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Internet of ThingsOfferings
2
Market Opportunity and Timing Value for Clients IBM IoT Strategy IBM Offerings
Watson IoT Platform IoT Applications IoT Industry Transformations
Success Stories and IBM Announcements
Watson IoT Offerings Introduction
3
IoT is driving Digital Disruption of the Physical WorldAccelerating advances in technology
Are transforming every part of business
Advanced Analytics
Creating new products and business models
Improving operations and lowering costs
Driving engagement and customer experience
Pervasive Connectivity
Embedded sensors
Cloud Computing
Product LifecycleManagement
4
IoT represents enormous scale and impact
25 BillionInstalled IoT Devices2 by 2020
$3.6 TrillionPotential economic impact1 per year by 2020
70% B2BIoT value created in B2B use cases3
Source: 1) McKinsey June 2015 2) Gartner November 2014
Connected devices are growing at an exponential rate
Value derived from this connectivity drives massive monetary opportunity
Majority of value will be in B2B and B2B2C use cases
5
With IoT, companies are becoming more competitive with new ways to drive better business engagement
I need to reduce the cost of running my building
How can I best support our organization's environmental
sustainability objectives?
We need to create multiple variants of our products for different
markets
I need help managing complex development projects
How can I increase the utilization of my assets?
Can I reduce maintenance costs by doing condition repairs instead of time-based
maintenance
I need to reduce/eliminate my factory downtime due to
unplanned outagesI have assets deployed all over the place that need a repair process
How much more revenue can I generate from my current assets?
How much energy cost can I reduce?
I have to prove we met regulatory specs to an
auditor!I need to find new sources of revenue by moving to new service-business models
I need to reduce risk developing this complex
device
How can my
business deliver better client
experience or
better outcomes with IoT
6
With IoT, companies are looking to…
Engage with clients and markets in new ways
Rapidly and securely connect devices
Optimize operations
Enable new business models
Facilities Vehicles Home Health
FactoriesTransport
Watson IoT Platform
IoT Solutions
Facilities MgmtAsset Performance
Connected Products
Work Mgmt
Health & SafetyOperation
sProduct
Development
7
3 Steps to enable valueU
niqu
e va
lue
deliv
ered
Time, Maturity and Scale of Adoption
Transform the way business gets done as a Cognitive enterprise. Connect businesses to their clients.
Packaged Apps Transforming Business
Platform
Client value
realized
Connect your devices simply and securely to the Watson IoT Platform. Use the API’s in the Platform to bring in Cognitive, Weather, Analytics, Security, and data streaming capabilities.
Push platform data into packaged IBM applications that optimize your operations and drive better business outcomes such as reliability, productivity, and risk.
Visibility into product usage Rapid innovation / experimentation Improved operational efficiency
Decision support for usage drive design, warranty mgt, client up-sell
Improved client experience Reduced operational costs Reduced health / safety risk
Capture new revenue opportunity
Transform client experience and engagement
Lead / participate in industry re-ordering
IoT Platform Connect
IoT Platform Risk
Management
IoT Platform Info Management (incl. Weather
APIs)
Enterprise Asset Mgmt
IoT Platform Analytics
IoT Continuous Engineering
Additional Cognitive Offerings
IoTIndustry Offerings
IoT Platform Analytics (incl. Cognitive APIs)
IoT
Off
erin
gs Facility & Real Estate
Mgmt
8
IoT Value StrategyAre you looking to connect…
Devices? Equipment? People?Start with the Watson IoT Platform
Connect to…Secure connectivityManage devices
Store and archive dataOrganize and transformStructure and unstructured
Real timePredictiveCognitive
Data protectionSecurity analyticsKey and cert management Facilitie
s Vehicles Home HealthFactorie
sTransport
Watson IoT Platform
Connect
Information Manageme
nt
Analytics
Risk Manageme
nt
9
IoT Value StrategyAre you looking to optimize…
Assets? Product Development? Safety
Start with the IoT ApplicationsImprove space utilizationReduce energy usage
Reduce time to valueImprove lease management
Optimize resourcesIncrease ‘re-use’
Life cycle managementConfiguration management
Facility & Space
Real Estate
Product Development
Health & Safety
Asset Management
Operational riskEnable safety culture
Facilities Vehicles Home Health
FactoriesTransport
Watson IoT Platform
Facilities MgmtAsset Performance
Connected Products
Work Mgmt
Health & SafetyOperation
sProduct
Development
10
IoT Value StrategyAre you looking to transform traditional business with IoT?
• Invent new business models
• Develop differentiated solutions
• Improve operational efficiency
• Drive better customer engagement
• Utilize IBM innovation and a Consult to Run partnership Facilitie
s Vehicles Home HealthFactorie
sTransport
Watson IoT Platform
IoT Solutions
Facilities MgmtAsset Performance
Connected Products
Work Mgmt
Health & SafetyOperation
sProduct
Development
11
Cognitive IoT is infusing intelligence into the physical world to transform business
BOSCHDevelops intelligent, interconnected automotive products through collaboration across the supply chain
AIRBUSIncreases the value of fleet of aircraft by using cognitive IoT to track and analyze comprehensive maintenance records
Transform the customer experience and
relationship
Be the disruptor, not the disrupted
CumminsOptimizes truck fleet using engine sensors that gather data in real-time to diagnose problems remotely
Boost operational efficiency
Offering DetailsIBM Watson IoT
Platform
13
Third Party AppsIBM Watson IoT Platform ConnectAttach, Collect, & Organize, Device Management, Secure Connectivity, Visualization
IBM Watson IoT Platform Information ManagementStorage & Archive, Metadata Management, Reporting, Streaming data, Parsing and Transformation, Manage unstructured data
IBM Watson IoT Platform AnalyticsPredictive, Cognitive, Real-time, and Contextual
IBM Watson IoT Platform Risk ManagementSecurity Analytics, Data Protection, Auditing/Logging, Firmware Updates, Key/Certificate Mgmt, Org Specific Security
Third Party Apps
The IBM Watson IoT PlatformEverything you need to Innovate with IoT
14
Risk Management and Blockchain capabilities for better security and privacy
Bloc
kcha
in
Providing the ability to enforce the appropriate level of security and privacy for your IoT solution from the device through the network to the cloud and beyond
End to end core security features
System wide confidence via Security Analytics and Device Management
Support for secure decentralized systems with Blockchain
15
Combining weather, analytics, and the Internet of Things to deliver better outcomes
Weather assets fuel IoT transformation across industries
Incorporate weather data into your IoT applications
Combine weather data in your data set to gain more insight
“Insights for Weather” API now available on Bluemix
Wea
ther
Dat
a
16
Adding analytics capabilities to IoT data produces the intelligence of cognitive IoT
Natural Language Processing
MachineLearning
Video/Image/Audio Analytics
Text Analytics
Cogn
itive
Offering DetailsIBM IoT Applications Asset and Facility Management
18
IBM IoT Applications increases performance and value of Asset and Facility Management
Enterprise Asset Management
Facility & Real Estate
Management ANALYTICS
MO
BILITY
Facility & Space
Real Estate
Energy & Sustainability
Capital Projects
Work Management
Supply Chain
Health & Safety
Service Providers
Process Automation
Asset Management
Configuration Management
Industry SolutionsCommon Platform Services
Asset, Device, System Infrastructure Interaction
SUPPLY
CHAIN
19
Instrumented Interconnected Intelligent
Ever increasing range of sensors
Volume, velocity, variety Event driven information
Agility and Mobility Highly Connected Systems Cross Collaboration
From data to actionable intelligence
From reactive to proactive Whole lifecycle system
optimizationAsset Management and Facilities MaturityAbsent Cognizant Evolving Proficient Advanced
Maintenance is an Expense Maintenance is an InvestmentTime and Effort
Cost
s
Performance
Calendar basedUsage based
Predictive Risk basedCondition based
Enterprise Asset Management Asset Performance Management
Enterprise Asset Management with Performance Management drives enterprises to advanced stages of Asset Maturity
20
Real Estate and Facilities Performance Management drives utilization and financial return on assets
INCREASE ASSET UTILIZATION AND ROARE
DUCE
SPA
CE-R
ELAT
ED E
XPEN
SES
REAL ESTATE AND FACILITIES PERFORMANCE MANAGEMENTDrive asset effectiveness
INTEGRATED WORKPLACE MANAGEMENT SYSTEMSDrive operational efficiency
REDUCEcost of REFM
operationsacross
departments
INCREASE asset
Utilizationacross REFM
portfolio
OPTIMIZEfinancial return
on REFMinvestment
PERCEPTIVEAPPLICATIONS
COGNITIVEANALYTICS
PRESENCEDETECTION
FINANCIALANALYTICSMOBILE CLOUD BIM
EXTENDREFM to
morepeople in
more places
SIMPLIFYREFM tasks
on more devices
PINPOINTplanning,
maintenance for each
REFM asset
IDENTIFYtrends and patterns in the REFM portfolio
Offering DetailsIBM IoT Applications Continuous Engineering
22
Where human safety is a factor, even simple devices and systems require careful engineering to reduce risk
23
Keeping hardware & software versions & configurations straight is a challenge when designing, manufacturing, and operating “things”
Each sensor contains a software tree with a complexity of options, models, fixes and releases that must be managed
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24
IBM Rational DOORS Next GenerationCollect, Organize and Collaborate to define Requirements
IBM Rational Team ConcertPlan, manage and develop products and software
IBM Rational Rhapsody and Design ManagerDesign, prototype, execute system and software models and code
IBM Rational Quality ManagerDefine, manage and execute tests
IBM Rational Engineering AnalyticsUnderstand complex interactions between Requirements, Plans, Designs and Tests to prove Compliance and Completeness
IBM Rational Method ComposerExtend, Capture, Enforce and leverage Industry and Company best practices
IBM IoT Continuous Engineering Everything you need to Create Disruptive Devices with IoT
Implementation
• New Deployments
• Product updates and
• OTA• Device
Configuration Management
Secure Cloud
Distribution
Condition and
Performance
Monitoring
Data Enhancem
ent
CognitiveAnalysis
Condition Based
Maintenance
Real-time Performance Insight
Engineering Data
Analytics
Requirements
Engineering
CustomerNeeds
SystemRequireme
nts
SystemDesign
Virtual Verificatio
n
Integration & System Test
System
Verification
and Validation
Deployment/
Release to Mfg.
Manufacturing
Deployment / Sale
SensorsData Aggregatio
n
Design for Analytics
Analytics for Design
Offering DetailsIBM IoT Industry Transformation Solutions
26
IBM IoT Transformational OfferingsEnabling new business models with integrated solutions
Automotive
Retail
Electronics
Industrial Products
Insurance
Aviation
Energy & Utilities
Chemical &
Petroleum
Transport
Healthcare
Transform traditional business with the capabilities of IoT
• Invent new business models
• Develop differentiated solutions
• Improve operational efficiency
• Drive better customer engagement
• Utilize IBM innovationAvailable now or
1H ‘16
Future
27
IBM IoT for Automotive
Analytics driven off of extensive data
Value from Actionable Insights
Massively scalable and in real-time
IoT for Automotive made for the development and operation of next-gen connected cars
Helping automotive manufacturers gather data from individual sensors, combine this data with other data sources for real-time analysis, and provide actionable insights for added value
Automotive
28
IBM IoT for Electronics
Simple Device Registration Process
Increased remote functions promote increased engagement
Content Delivery unlock new revenue streams and service models
IoT for Electronics to enable the next generation of service delivery of connected products
Electronics
29
Elimination of manual operations
95%
100%
Shorten customer service call time by
70%
Prediction of ground events for high risk engines
Reduction of time for software error correction
90%
Improvement in process efficiency
98%
In cost and performance benefits
$700M
reduction in manual processes
93%
Customers are already experiencing results with IBM Internet of Things offerings
Improvement in steering decisions due to quality insight
20%
30
IBM is a leader in defining IoTParticipating member in key open standards and industry initiatives
30
31
•Watson IoT Platform•Partner Ecosystem•Analytics & Cognitive•Security•Cloud, On-Premise, Hybrid
Secure, Scalable, &
Open Platform to enable IoT
• IoT Applications• Industry Solutions•Third Party Solutions•GBS Digital Ops Practice•Client experience
Industry-specific
expertise to solve
business needs
•Watson capabilities via APIs
•GBS’ Cognitive Practice•Digital Transformation and Industry Know-how
•Data: Weather, Social, etc…
Capabilities to help digital
businesses become cognitive
IBM
’s c
ompr
ehen
sive
IoT
Port
folio
to
acce
lera
te y
our
tran
sfor
mat
ion
750 IoT Patents; 3x times any other company 40% faster development with Bluemix and Watson IoT
Platform 77k developers using Watson Developer Cloud globally 26B inquires handled daily by The Weather Company
platform 10k clients in 133 countries rely on IBM Security solutions 15B events managed daily by IBM Security services IBM Solutions used globally across various industries
4000 IoT clients worldwide 7 of the 10 largest automotive companies 8 of the 10 largest oil & gas companies 11 of the 20 largest diversified utility companies 6 of the 10 largest energy companies 9 of the 15 busiest airports 11 of the 12 major aerospace and defense
companies Over 1400 global IoT Business Partners 350+ Watson ecosystem partners 24+ Watson APIs, powered by 50 cognitive
technologies 1.3B Watson API calls processed per month … and
growing The industry’s only consulting practice dedicated to
Cognitive Business, drawing on 2000 experts in industry dynamics, data science, and analytics
How can IBM facilitate your digital transformation?We are a trusted partner with proven industry expertise, business solutions, and longevity
3232
Learn more about how Watson IoT can help you capitalize on the connected world.
Visit ibm.com/iot
Realize your IoT potential