There Are New Markets for Industrial IoT Data
probably not on an ad hoc basis. Any change
in reporting functions (e.g. frequency,
granularity etc.) might incur additional,
change-of-scope costs from up-stream
suppliers.
#1 Develop IIoT Data Capabilities within
the Organization
The first step for each organization is to set
up and maintain a catalog of IIoT data assets.
To this, the organization needs to add three
capabilities. One is a data science team that
has the expertise to analyze and use the data
to make business and operational decisions.
This is a cross-organizational competence
and one that fits with the IIoT Competence
Center recommendation in the IIC’s Business
Strategy & Innovation Framework 13 .
There is a need to formalize such
arrangements as an organization shifts to a
model where it requires more frequent and
on-demand data gathering.
#3 Explore Down-stream Supply Chain
Opportunities
A second capability relates to the
technologies needed to acquire, store and
distribute IIoT data in a secure and reliable
manner. An innovation capability is the third
item. It encompasses a functions relating to
business
development,
intellectual
property 14 and regulatory alignment
approaches to commercializing IIoT data
sustainably. There is a similar need to explore and
formalize down-stream supply chain
opportunities as to how their products are
used. Depending on their size, organizations
may find that they have less leverage with
down-stream business partners and greater
pressure to conform to down-stream data
management practices and encoding
standards.
#2 Formalize Up-stream Supply Chain
Opportunities #4 Join Other IIoT Data Eco-system
Some firms may find themselves operating in
industries where there is value in joining an
external, IIoT data eco-system. A good
example of this is health applications, be
they human or machine related. The value
stems from aggregating particular classes of
data to provide latitudinal population
insights.
Industrial firms that procure components
from suppliers may have few, if any, rights to
production and supply-chain data beyond
their specification and quality-control
metrics.
In the case of industrial services, plant
managers might outsource facilities
management functions. They are likely to
obtain periodic performance reports but
13 Industrial Internet Consortium: Business Strategy & Innovation Framework, https://www.iiconsortium.org/BSIF.htm
14 Data as IP and Data License Agreements, Practical Law Practice Note 4-532-4243, Fried Frank LLP (2017)
IIC Journal of Innovation
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