7 05, 2019

IoT: How Much Steak, How Much Sizzle?

By |2019-05-07T11:07:47+00:00May 7th, 2019|Internet of things, Private Equity Value Creation|

When it comes to the Internet of Things (IoT) and its applicability to creating value in the products and services of lower middle (LMM) and middle market (MM) industrial companies, is it all sizzle and no steak? It’s a critical question, because these markets can’t survive on sound and scent alone – they neat to add real meat to their bottom lines.

The question has come up more than a few times during my travels in Europe and the U.S., and it’s been flavored still more (clearly, food is on my mind) by the rapid IoT-supported evolutions in the electric vehicle, electric utility (smart metering), vehicle / asset tracking, and marine industries. Today, for example, there are more than 200 million smart electric meters installed worldwide and that number is growing – rapidly.

Which is why I believe we’re moving beyond the sizzle and are going to start seeing IoT built into future LMM and MM revenue projections, as they incorporate IoT into their product and service line strategies. I think that we are […]

3 03, 2019

Using the 4W Framework to Rationalize IoT Investments

By |2019-05-03T08:52:05+00:00March 3rd, 2019|Internet of things, IoT, Private Equity Value Creation|

Developing IoT solutions for existing product lines is increasingly important to industrial companies of all sizes and scopes, primarily because they’re seen as important value-adds without the need to reinvent the wheel itself.

One example: manufacturers are adding sensors to their devices in order to provide customers with a preventative maintenance service – the product is monitored and, when necessary, serviced, without inconveniencing the customer. The result: no disruptive field failures, the product’s service life is extended, and by extension the brand enjoys a stronger affinity from the customer.

That’s the theory, anyway.

IoT Potential vs. Reality

Because we live in an era with virtually unlimited potential for imagining digital tools and the connective networks that bind them, industry is faced with a difficult decision: while IoT devices sound good in theory, how do you know if an IoT investment actually makes sense?

To answer that question, we recommend answering four key questions about the users (and uses) of the IoT product prior to actual development and deployment. We’ve bundled these into what we call the 4W […]