Published on 05/28/2017 | Use Cases
Professor Michael E. Porter of the Harvard Business School and PTC CEO, Jim Heppelmann, have collaborated to examine the impact of the Internet of Things on companies’ operations and organizational structure. This article, featured in the September 2015 issue of the Harvard Business Review, builds on Porter and Heppelmann’s previous HBR article, How Smart, Connected Products Are Transforming Competition. The real value in smart, connected products (and operations, and applications) is in the data they generate. This data, properly harnessed, becomes actionable business information. This information is transforming traditional business functions across the organization in the following ways:
• Product development will use seven new design principles,
• Marketing and sales will change the way products are brought to market,
• Customer success will be redefined, and
• Traditional service will become remote, predictive, and preventative.
To adopt and benefit from these new value drivers, companies will need to modify the structure of their organization, including a transitional model that will help accelerate successful IoT enablement. This article provides examples from dozens of companies that have successfully transformed their organizations along with three models of how companies are making this transition today.
You can find and download the original report here.
