Welcome!

Java IoT Authors: Elizabeth White, Liz McMillan, Jyoti Bansal, Sematext Blog, William Schmarzo

Related Topics: @ThingsExpo, @CloudExpo, @BigDataExpo

@ThingsExpo: Article

Converging IT and OT at the Speed of the IoT | @ThingsExpo #IoT #M2M

A recent study showed that 40 percent of companies at the top of their industries will be replaced in the next 10 years

Converging IT and OT at the Speed of the IoT

The rolling thunder of digital transformation waits for no business. It will make short work of any organization that does not evolve rapidly. CEOs must quickly define where their organizations can compete for success and lead them on that journey. If they can't-or won't-change, they risk fading away like the slow-moving dinosaurs confronted with a habitat-destroying meteor.

The IoT's Precipitous Changes
Leading analyst Gartner forecasts that 8.4 billion connected things will be in use worldwide in 2017, up 31 percent from 2016, and will reach 20.4 billion by 2020. There is already $1.9 trillion dollars' worth of economic value related to the sale and usage of IoT technology.

The impact crater of this technology shift must not go underestimated. A recent study showed that 40 percent of companies at the top of their industries will be replaced in the next 10 years. Yet, the same survey found that 45 percent of respondents do not think digital disruption is worthy of attention from their organization's board of directors.

This attitude is perilous. Just consider these examples:

  • AirBnB, Uber and Lyft are transforming how people book lodging and arrange transportation, putting enormous pressure on the hospitality and taxi industries.
  • The iPhone blew the former market leader off the map.
  • Additive (3D) printing threatens marine and overland cargo shipping companies.
  • As the photography market swung toward digital, the reign of film-based camera companies ended.

There are bright spots for agile companies, however. With the launch of Pokemon Go and its massive recent Apple partnership, Nintendo boosted its relevance by establishing a strong mobile platform.

Rapid change requires that industry leaders proactively plan. Would you rather be Netflix or Blockbuster? Nearly 30 percent of businesses worldwide have already begun limited IoT deployments, according to Strategy Analytics' IoT 2015 Deployment and Usage Trends survey. For organizations that have not yet begun, it's not too late to embrace digital transformation - but they must act now.

Turning the Ship Around
The IoT opens up new worlds of possibilities because organizations now can extract data from network-connected devices and sensors. This data was never available before. Insights from this data can add enormous value to organizations. But companies must reshape their current infrastructures in order to use their data effectively. And they must hire and train the right people to bring their digital change strategies to fruition.

The traditional siloes of information technology (IT) and operational technology (OT) are getting shaken up by the IoT. These two were once separate and did not often communicate with each other. Now they must come together. It's a huge and critical step in the digital journey. The rub? Most do not know how to merge IT and OT. Neither IT nor OT professionals fully grasp converged IoT networking. They do not understand industrial IoT security. They are not fluent in endpoint data management and analytics. And they are not at all certain how the preceding will add value to their organizations. How will it lead to new business models? Or new services and revenue sources?

It will take new talent and the right training to update the skills of existing staff and to find answers to these questions. Connecting 20 billion machines and devices is a huge task. The World Bank predicts that over the next decade, there will be 2 million unfilled information and communication technology (ICT) -related jobs worldwide. There will be a global need to train 220,000 new control engineers every year for manufacturing plant operations alone.

The IT department, known for its information processing duties, is better positioned to take the lead in the digital journey. Data from IoT connected devices will create new information to parse, interpret and monetize. But IT must collaborate with OT during the transition. After all, many of the sensors, devices, operations and software that comprise the IoT reside in the OT side of the organization.

Consider, for instance, a steam valve system that controls water flow through a cooling apparatus. It operates within the OT domain and will continue to operate in the OT domain. In the past, manual intervention was required to take its readings and make decisions. Now, in an IoT environment, data from the apparatus is collected, analyzed and acted upon via the interconnected network and IT software. Solving for manual intervention, data generated from OT-managed devices and sensors is delivered across the IT system to take critical, real-time action.

How the IoT Benefits OT
IoT advocates need to make a strong business case for its benefits to OT and the organization as a whole. For example, the IoT could boost corporate profits worldwide by 21 percent in 2022.

Safety and comfort are also IoT benefits. Connected sensors and devices can measure and manage hazardous places at no risk to human beings. The IoT can also regulate the organization's physical surroundings to control energy costs and boost comfort.

Yet another benefit of the IoT is efficiency. It will handle routine tasks like reporting misconfigurations and errors as they occur on automated assembly lines. The result? Higher yields and less downtime, which improves profits. Better decision-making is also possible due to the IoT. Pulling trends from empirical data removes assumptions from the process. The ability to view how the system behaves can yield new insights and ideas.

Over the long term, IoT data analysis holds great potential for new revenue opportunities. In the short term, the IoT's immediate effect is lower costs and increased efficiency. All departments will benefit from the IoT. However, in a major cultural shift like this, OT executives must align with current IT initiatives in addition to breaking out of existing silos. It is a tall order.

Skilled Workers in Short Supply
To make the order even taller, OT executives are facing a major talent gap. Additionally, executives lack a process or industry-approved framework for quantifying the skills needed to perform IoT job roles. Insufficient staffing and lack of expertise is the top-cited barrier for organizations currently looking to implement and benefit from the IoT, according to research from Gartner.

Further, the State of IoT 2015 Global Developer Study found that 51 percent of developers and chief information officers surveyed say they are uncertain they have the skills or resources to deliver on the promise of the IoT.

Lessons Learned
Investing in the IoT is investing in the future. Let's explore how to lay out and follow a roadmap to a successful IoT strategy. Successful digital journeys arise from two factors. The first is leadership. Organizations need to hire a digital champion with a firm IoT vision and the enthusiasm to motivate employees to make huge changes in systems and processes. CEOs recognize the importance of tying workplace culture to behavior, with 41 percent making changes to this aspect of their talent strategies. Indeed, companies that take bold actions to align their value proposition, capabilities, products and services together view their culture as their greatest asset.

Updated skills is the second factor. Seventy-two percent of the CEO respondents in the 19th PWC annual Global CEO Survey reported that the availability of key skills is a concern. Both IT and OT need digital expertise. Training staff in this new expertise is essential for organizations to avoid the meteor and thrive in their digital transitions.

No business wants to go the way of the dinosaur. Organizations understand that in order to succeed in today's environment, they need to overcome traditional siloes by bringing together IT and OT to truly get the most out of their IoT efforts.

More Stories By Sudarshan Krishnamurthi

Sudarshan Krishnamurthi is a senior manager, Business Strategy, at Cisco Systems with over 20+ years of experience in the technology industry. He leads the Business Strategy function for Education Services within Cisco. He also leads the Strategy and Portfolio Workgroups for the IoT Talent Consortium, which is an industry initiative to address the IoT skills gap and the career trajectories of the future. He has worked with many industry partner, including Rockwell Automation and Panduit, to help create the first skills-based training and certification program focused on IT and OT convergence on the industrial plant floor. Through this program, Rockwell and Cisco have jointly trained and certified more than 1,000 individuals.

Comments (0)

Share your thoughts on this story.

Add your comment
You must be signed in to add a comment. Sign-in | Register

In accordance with our Comment Policy, we encourage comments that are on topic, relevant and to-the-point. We will remove comments that include profanity, personal attacks, racial slurs, threats of violence, or other inappropriate material that violates our Terms and Conditions, and will block users who make repeated violations. We ask all readers to expect diversity of opinion and to treat one another with dignity and respect.


@ThingsExpo Stories
SYS-CON Events announced today that CA Technologies has been named “Platinum Sponsor” of SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY, and the 21st International Cloud Expo®, which will take place October 31-November 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. CA Technologies helps customers succeed in a future where every business – from apparel to energy – is being rewritten by software. From ...
SYS-CON Events announced today that Technologic Systems Inc., an embedded systems solutions company, will exhibit at SYS-CON's @ThingsExpo, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Technologic Systems is an embedded systems company with headquarters in Fountain Hills, Arizona. They have been in business for 32 years, helping more than 8,000 OEM customers and building over a hundred COTS products that have never been discontinued. Technologic Systems’ pr...
SYS-CON Events announced today that Auditwerx will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Auditwerx specializes in SOC 1, SOC 2, and SOC 3 attestation services throughout the U.S. and Canada. As a division of Carr, Riggs & Ingram (CRI), one of the top 20 largest CPA firms nationally, you can expect the resources, skills, and experience of a much larger firm combined with the accessibility and attent...
SYS-CON Events announced today that HTBase will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. HTBase (Gartner 2016 Cool Vendor) delivers a Composable IT infrastructure solution architected for agility and increased efficiency. It turns compute, storage, and fabric into fluid pools of resources that are easily composed and re-composed to meet each application’s needs. With HTBase, companies can quickly prov...
SYS-CON Events announced today that Loom Systems will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Founded in 2015, Loom Systems delivers an advanced AI solution to predict and prevent problems in the digital business. Loom stands alone in the industry as an AI analysis platform requiring no prior math knowledge from operators, leveraging the existing staff to succeed in the digital era. With offices in S...
Buzzword alert: Microservices and IoT at a DevOps conference? What could possibly go wrong? In this Power Panel at DevOps Summit, moderated by Jason Bloomberg, the leading expert on architecting agility for the enterprise and president of Intellyx, panelists peeled away the buzz and discuss the important architectural principles behind implementing IoT solutions for the enterprise. As remote IoT devices and sensors become increasingly intelligent, they become part of our distributed cloud enviro...
SYS-CON Events announced today that T-Mobile will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. As America's Un-carrier, T-Mobile US, Inc., is redefining the way consumers and businesses buy wireless services through leading product and service innovation. The Company's advanced nationwide 4G LTE network delivers outstanding wireless experiences to 67.4 million customers who are unwilling to compromise on ...
SYS-CON Events announced today that Infranics will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Since 2000, Infranics has developed SysMaster Suite, which is required for the stable and efficient management of ICT infrastructure. The ICT management solution developed and provided by Infranics continues to add intelligence to the ICT infrastructure through the IMC (Infra Management Cycle) based on mathemat...
SYS-CON Events announced today that Interoute, owner-operator of one of Europe's largest networks and a global cloud services platform, has been named “Bronze Sponsor” of SYS-CON's 20th Cloud Expo, which will take place on June 6-8, 2017 at the Javits Center in New York, New York. Interoute is the owner-operator of one of Europe's largest networks and a global cloud services platform which encompasses 12 data centers, 14 virtual data centers and 31 colocation centers, with connections to 195 add...
SYS-CON Events announced today that Cloudistics, an on-premises cloud computing company, has been named “Bronze Sponsor” of SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Cloudistics delivers a complete public cloud experience with composable on-premises infrastructures to medium and large enterprises. Its software-defined technology natively converges network, storage, compute, virtualization, and management into a ...
In his session at @ThingsExpo, Eric Lachapelle, CEO of the Professional Evaluation and Certification Board (PECB), will provide an overview of various initiatives to certifiy the security of connected devices and future trends in ensuring public trust of IoT. Eric Lachapelle is the Chief Executive Officer of the Professional Evaluation and Certification Board (PECB), an international certification body. His role is to help companies and individuals to achieve professional, accredited and worldw...
In his General Session at 16th Cloud Expo, David Shacochis, host of The Hybrid IT Files podcast and Vice President at CenturyLink, investigated three key trends of the “gigabit economy" though the story of a Fortune 500 communications company in transformation. Narrating how multi-modal hybrid IT, service automation, and agile delivery all intersect, he will cover the role of storytelling and empathy in achieving strategic alignment between the enterprise and its information technology.
Microservices are a very exciting architectural approach that many organizations are looking to as a way to accelerate innovation. Microservices promise to allow teams to move away from monolithic "ball of mud" systems, but the reality is that, in the vast majority of organizations, different projects and technologies will continue to be developed at different speeds. How to handle the dependencies between these disparate systems with different iteration cycles? Consider the "canoncial problem" ...
The Internet of Things is clearly many things: data collection and analytics, wearables, Smart Grids and Smart Cities, the Industrial Internet, and more. Cool platforms like Arduino, Raspberry Pi, Intel's Galileo and Edison, and a diverse world of sensors are making the IoT a great toy box for developers in all these areas. In this Power Panel at @ThingsExpo, moderated by Conference Chair Roger Strukhoff, panelists discussed what things are the most important, which will have the most profound e...
Keeping pace with advancements in software delivery processes and tooling is taxing even for the most proficient organizations. Point tools, platforms, open source and the increasing adoption of private and public cloud services requires strong engineering rigor - all in the face of developer demands to use the tools of choice. As Agile has settled in as a mainstream practice, now DevOps has emerged as the next wave to improve software delivery speed and output. To make DevOps work, organization...
My team embarked on building a data lake for our sales and marketing data to better understand customer journeys. This required building a hybrid data pipeline to connect our cloud CRM with the new Hadoop Data Lake. One challenge is that IT was not in a position to provide support until we proved value and marketing did not have the experience, so we embarked on the journey ourselves within the product marketing team for our line of business within Progress. In his session at @BigDataExpo, Sum...
Web Real-Time Communication APIs have quickly revolutionized what browsers are capable of. In addition to video and audio streams, we can now bi-directionally send arbitrary data over WebRTC's PeerConnection Data Channels. With the advent of Progressive Web Apps and new hardware APIs such as WebBluetooh and WebUSB, we can finally enable users to stitch together the Internet of Things directly from their browsers while communicating privately and securely in a decentralized way.
DevOps is often described as a combination of technology and culture. Without both, DevOps isn't complete. However, applying the culture to outdated technology is a recipe for disaster; as response times grow and connections between teams are delayed by technology, the culture will die. A Nutanix Enterprise Cloud has many benefits that provide the needed base for a true DevOps paradigm.
What sort of WebRTC based applications can we expect to see over the next year and beyond? One way to predict development trends is to see what sorts of applications startups are building. In his session at @ThingsExpo, Arin Sime, founder of WebRTC.ventures, will discuss the current and likely future trends in WebRTC application development based on real requests for custom applications from real customers, as well as other public sources of information,
In his General Session at 17th Cloud Expo, Bruce Swann, Senior Product Marketing Manager for Adobe Campaign, explored the key ingredients of cross-channel marketing in a digital world. Learn how the Adobe Marketing Cloud can help marketers embrace opportunities for personalized, relevant and real-time customer engagement across offline (direct mail, point of sale, call center) and digital (email, website, SMS, mobile apps, social networks, connected objects).