American IIoT (Smart Manufacturing) Perspective Source : SMLC - Smart Manufacturing Leadership Collation

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1 American IIoT (Smart Manufacturing) Perspective Source : SMLC - Smart Manufacturing Leadership Collation IT/OT Integration Manufacturing Intelligence Manufacturing Knowledge 1 Copyright 2009 INFOLOGIC Inc. All rights reserved.

2 IIoT-based SMBs Opportunities : Manufacturing Business Transformation Model Product-asa Product Product-asa Service Product-asa Process Value to Customer Product-asa Business Model Product Plus Cost Product Cost Focus on products as digital items, such as Sensorbased products and offer under CAPEX Combine Product with a Service, and offer under OPEX using Cloud, Mobile features Combine Product, Service, SMAC set (Social, Mobile, Analytics, Cloud) & Augmented Reality Integrate your offerings with third party offerings OEMs, partners and competitors 2 Copyright 2009 INFOLOGIC Inc. All rights reserved.

3 FACT CHECK : Product-as-a-Service Model n The Internet of Things Is Here, and It Isn t a Thing (Wall Street Journal 8/21/2016) Everyone is waiting for the Internet of Things. The funny thing is, it is already here. Contrary to expectation, though, it isn t just a bunch of devices that have a chip and an internet connection. The killer app of the Internet of Things isn t a thing at all it is services. And they are being delivered by an unlikely cast of characters: Uber Technologies Inc., Solar City, ADT Corp., and Comcast, to name a few n The Digital Manufacturer Resolving the Service Dilemma (Cisco Executive Survey - 11/2015) In a climate of digital disruption and global market pressures, many manufacturers want to differentiate with new service-oriented revenue models, especially those that rely on connected machines and machine asa-service. In a Cisco survey of more than 600 senior executives in 13 countries from both industrial machine builders and end-user manufacturers 86 percent said the transition from product-centric to serviceoriented revenue models is a core part of their growth strategies 3 Copyright 2009 INFOLOGIC Inc. All rights reserved.

4 FACT CHECK : Product-as-a-Process Model "Innovation: The Classic Traps the most common mistake companies make is to apply traditional corporate processes to new projects Winning in IoT: It s All About the Business Processes IoT s real value, from the customer s perspective, is in the top two layers of the technology stack; that is, services and IoT analytics and applications 4 Copyright 2009 INFOLOGIC Inc. All rights reserved.

5 FACT CHECK : Product-as-a-Business Model How Smart, Connected Products Are Transforming Companies HBR Research Review by Professor Michael E. Porter and James E. Happelmann 10/2015 The world s largest taxi company owns no vehicles The world s most popular media company creates no content The world s largest hospitability company owns no real estate 5 Copyright 2009 INFOLOGIC Inc. All rights reserved.

6 How to Leverage the Federally-funded ManufacturingUSA Institutes ( ) Federal Government Act : H.R.2996 (RAMI) Revitalize American Manufacturing and Innovation Act of 2014 Source: 6 Copyright 2009 INFOLOGIC Inc. All rights reserved.

7 Conclusions: IIoT-based SMB Opportunities Become IT/OT Solution Providers and Help Manufacturing SMB s to adapt an IIoT (Smart Manufacturing)-based Business Transformation Model Manufacturing IT/OT SMB s Solution Providers. the countries and companies that strategically start this journey toward Smart Manufacturing and are first to achieve manufacturing knowledge will earn long term competitive advantages well into coming decades (Source: Smart Manufacturing Leadership Coalition) 7 Copyright 2009 INFOLOGIC Inc. All rights reserved.

8 Government Update John Holman, Esq., PMP CEO, Pax Advisory (650) Executive Session: Risk In The Internet Of Things Sun, Aug 13, :15 pm to 3:45 pm Osceola 1-2 Pax Advisory Vienna, VA

9 INTERNET OF THINGS OR INTERNET OF EVERYTHING? Scale 2020, there will be 50 billion devices, $19 billion in value, 38% CAGR and $166 billion. Smart Connected Products could create 3.7 trillion dollars What s connected? Unmanned Arial Vehicles Unmanned Surface Vessels Unmanned Underwater Vehicles Everything & Everything Pax Advisory Vienna, VA

10 RISK FACTORS? Threat Vectors Inside risk Outside risk Future risk Interface (Web/cloud/mobile) Network services Identity & Access Encryption Compliance Internet of Things (IoT) Cybersecurity Improvement Act of 2017 This guy concerns Pax Advisory Vienna, VA

11 FUTURE STATE? 2020, there will be 50 billion devices, $19 billion in value, 38% CAGR and $166 billion. Smart Connected Products could create 3.7 trillion dollars Pax Advisory Vienna, VA

12 Some Prescriptive Thoughts David Carter, CGCIO, CISSP Director, Mirth and Mystery Phone: Executive Session: Risk In The Internet Of Things Sun, Aug 13, :15 pm to 3:45 pm Osceola 1-2 Encore Technology Group Greenville, SC

13 Some Prescriptive Thoughts A Term to Enter into our Vocabulary INTERNET OF ENTITIES Encore Technology Group Greenville, SC

14 Some Prescriptive Thoughts Customers Do Not Need You For INFORMATION Customers DO NEED You For INTERPRETAION Encore Technology Group Greenville, SC