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Best Practices and Challenge Mitigations When Deploying IoT Devices, IoT Infrastructure and IoT Platforms for IoT Success
Introduction to the Top Do's and Don'ts of Industrial IoT Implementations
Through our work supporting digital transformations across the energy, mining, infrastructure, manufacturing and industrial sectors, we have seen firsthand what works and what does not when deploying Industrial IoT (IIoT) solutions. We have the digital ribbons and digital scars to prove it. Drawing from these digital learnings, we have distilled a focused list of key strategies and challenges into the top 7 do's and don'ts for successful IIoT deployment and long-term success.
This carefully curated guidance aims to support organisations in navigating the complexities of IIoT adoption with useful insights, hoping to ensure a more successful and value-driven digital transformation journey and helping to avoid the potential digital labyrinths that could arise within new adopters of these solutions.
The Do's That Will Support Effective IoT Deployments
Optimising your IIoT implementation requires a disciplined focus on best practices that can drive meaningful outcomes. This condensed list of 'do's' presents the key actions we believe are essential for achieving a successful and effective transformation, ensuring that your IIoT initiatives are strategically aligned and capable of delivering significant value to your organisation.
1) Do: Align IIoT Initiatives with Core Business Objectives
Why it Matters
Aligning Industrial Internet of Things (IIoT) initiatives with primary business objectives is critical in the complex landscape of industrial digital transformation. A strategic alignment ensures that IIoT investments deliver measurable returns, addressing critical business challenges such as optimising operational efficiency, minimising downtime, enhancing safety and improving sustainability.
By focusing on solving specific business problems, organisations avoid the pitfall of ‘technology for technology's sake’, ensuring that IIoT deployments contribute directly to bottom-line results and long-term strategic goals.
This focus also facilitates securing executive buy-in and resource allocation, which are essential for successful project execution.
Key Strategies
Conduct a Business Impact Analysis
Before investing in IIoT technology, perform a thorough business impact analysis to identify key operational areas where IIoT can drive significant improvements. This involves analysing existing processes, identifying bottlenecks and inefficiencies and quantifying the potential benefits of IIoT implementation. Consider factors like improved asset utilisation, reduced energy consumption, predictive maintenance and enhanced worker safety. Use data-driven insights to prioritise IIoT use cases that offer the highest potential for quantifying and qualifying the true impact of IIoT deployments on your business.
Develop a Strategic IIoT Roadmap:
Create a comprehensive IIoT roadmap that outlines specific goals, timelines and resource allocation. This roadmap should clearly link IIoT initiatives to measurable Key Performance Indicators (KPIs) aligned with overarching business objectives.
For example, if a key business goal is to reduce maintenance costs, the roadmap should define how IIoT-enabled predictive maintenance will achieve this, along with target cost reductions and implementation timelines. The roadmap acts as a guiding document, ensuring that all stakeholders are aligned and that progress can be tracked effectively.
Establish Clear KPIs and Regularly Review Performance:
Define specific, measurable, achievable, relevant and time-bound (SMART) KPIs to track the progress and effectiveness of your IIoT initiatives. Regularly monitor these KPIs and conduct performance reviews to assess whether the implemented solutions are delivering the expected business outcomes. Be prepared to adapt your IIoT strategy based on real-world performance data and evolving business requirements. This iterative approach ensures continuous optimisation and maximises the value of your IIoT investments.
2) Do: Choose Appropriate Technology Solutions for Your Environment
Why it Matters
The harsh realities of industrial environments—extreme temperatures, high humidity, vibration, electromagnetic interference and explosive atmospheres—demand robust and reliable IIoT solutions.
Selecting appropriate technology that can withstand these challenging conditions is crucial for ensuring the long-term success and ROI of your IIoT deployments.
Deploying consumer-grade or inadequately protected equipment in these settings can lead to premature failures, unreliable data acquisition, safety hazards and ultimately, project failure.
Investing in industrial-grade IIoT solutions designed specifically for these demanding environments ensures data integrity, operational continuity and worker safety.
Key Strategies
Prioritise Ruggedised and Industrial-Grade Hardware:
When choosing IIoT sensors, gateways and networking equipment, prioritise devices built to withstand the specific challenges of your industrial environment. Look for certifications such as IP ratings (aim for a minimum IP68) for dust and water resistance, hazardous area classifications (e.g, ATEX, IECEx) for explosive atmospheres and operating temperature ranges that match your site conditions. Consider factors like vibration resistance, shock absorption and electromagnetic compatibility (EMC) to ensure reliable performance in the presence of heavy machinery and electrical interference.
Evaluate Connectivity Solutions for Reliability and Range:
Industrial settings often require specialised connectivity solutions. Assess different wireless communication technologies like Wi-Fi, cellular (4G/5G/LTE-M/NB-IoT), LoRaWAN, Zigbee and industrial Bluetooth, considering factors such as range, data rate, power consumption, security and interference resistance (refer below to discussions pertaining to connectivity for more information).
In areas with limited or no cellular coverage, consider satellite communication or private LTE networks. Ensure your chosen connectivity solution provides reliable data transmission and onboard temporary storage even under challenging conditions. Redundant communication paths can further enhance reliability and prevent data loss.
3) Do: Prioritise Interoperability and System Integration. Aim for a Unified IIoT Ecosystem
Why it Matters
Interoperability is essential in today's networked industrial environment to get the most out of your IIoT investments. A truly effective IIoT ecosystem requires almost seamless data exchange and communication between various systems, including legacy Operational Technology (OT) infrastructure, modern Information Technology (IT) systems and diverse IIoT devices. Prioritising interoperability from the outset avoids data silos, reduces integration complexity and enables a holistic view of your operations, driving better decision-making and unlocking the full potential of your data. A lack of interoperability can lead to fragmented data, increased costs and missed opportunities for optimisation.
Key Strategies
Embrace Open Standards and Communication Protocols:
Opt for IIoT solutions that adhere to widely adopted open standards, such as OPC Unified Architecture (OPC UA), MQTT and RESTful APIs. Open standards ensure interoperability between devices and systems from different vendors, avoiding vendor lock-in and promoting flexibility. By using this approach, you can select the best-of-breed solutions without worrying about compatibility issues and integrate new IIoT technologies more smoothly into your current infrastructure.
Leverage APIs for Flexible Data Sharing:
Application Programming Interfaces (APIs) provide a standardised way to access and share data between different applications and systems. Adopt IIoT architectures with well-defined APIs to enable seamless data flow between IIoT devices, edge platforms, cloud services and enterprise applications. APIs foster flexibility, allowing you to integrate new applications and services easily as your needs evolve.
Plan for Legacy System Integration:
Don't overlook your legacy systems. Develop a clear strategy for integrating older equipment and software into your IIoT ecosystem. This might involve using data historians to bridge the gap between legacy data and new IIoT data streams. Careful planning for legacy system integration maximises the value of your existing investments.
4) Do: Empower Your Workforce through IIoT Coaching and Effective Change Management
Why it Matters
Technology is only as capable as the people who use it. Investing in employee training and proactive change management is essential for successful IIoT adoption. Equipping your workforce with the skills and knowledge to operate, maintain and leverage IIoT systems ensures smooth transitions, minimises resistance to new technologies and maximises the return on your IIoT investment. Without proper training and change management, even the most sophisticated IIoT implementation can falter due to lack of user adoption and operational inefficiencies.
Key Strategies
Deliver Targeted IIoT Training Programs:
Provide instructional materials tailored to the unique requirements of various groups. Provide hands-on training on new IIoT technologies, software interfaces, data analytics tools and cybersecurity best practices. Offer different learning modalities, including in-person workshops and on-the-job mentoring, to cater to diverse learning styles. Ensure that training materials are accessible, engaging and relevant to the daily tasks of your workforce.
Implement a Proactive Change Management Strategy:
Recognise that implementing IIoT will require changes to existing workflows and processes. Develop a proactive change management plan that addresses potential resistance, communicates the benefits of IIoT clearly and involves employees in the transition process. Engage with employees early on to understand their concerns, address their feedback and foster a sense of ownership in the IIoT implementation. Celebrate early successes and recognise employee contributions to build momentum and encourage adoption.
Foster a Culture of Continuous Learning and Innovation:
IIoT is a rapidly evolving field. Encourage a culture of continuous learning and professional development within your organisation. Provide opportunities for employees to stay up-to-date with the latest IIoT trends, technologies and best practices. Support their participation in industry conferences, workshops and online training courses.
Establish Clear Communication Channels:
Maintain open and transparent communication throughout the IIoT implementation process. Keep all stakeholders informed about project milestones, challenges and successes. Establish clear communication channels for employees to ask questions, provide feedback and report any issues. Regular communication builds trust, reduces uncertainty and fosters a sense of shared purpose.
5) Do: Aim for IIoT-Enabled Predictive Maintenance Solutions to Reduce Downtime and Optimise Asset Performance
Why it Matters
Unscheduled downtime is a significant cost driver in asset-intensive industries. Predictive maintenance enabled by IIoT technology is a valuable tool that can transform maintenance strategies by replacing reactive or preventative methods with a proactive model that anticipates equipment failures before they happen, offered by leading industry solution providers.
By adopting IIoT solutions that leverage real-time data from connected sensors, and importantly deliver advanced analytics, organisations can optimise maintenance schedules, reduce downtime, extend asset lifecycles and improve overall operational efficiency. This proactive approach minimises disruptions, improves safety and reduces maintenance costs significantly.
Key Strategies
Deploy Smart Sensors for Comprehensive Asset Monitoring:
Equip key assets, and typically Balance-of-Plant (BoP) equipment, with a network of smart sensors to collect real-time data on key performance indicators (KPIs) such as vibration, temperature, oil quality, pressure, current and acoustic emissions. Select sensors appropriate for the specific asset type and operating environment. Ensure reliable data acquisition and transmission through robust industrial-grade connectivity solutions. The data collected forms the foundation for accurate predictive maintenance outcomes.
Leverage Machine Learning for Predictive Analytics:
Adopt best-in-class solutions that utilise smart algorithms, machine learning, and most recently, AI, to analyse sensor data, identify patterns and predict potential equipment failures. Being aware of this fact will help you in your discussions with your suppliers. Not all IIoT solutions support these innovative outcomes, particularly those devices with communication protocols such as Zigbee and LoRawan.
Develop Automated Alert Systems for Proactive Maintenance:
The more intelligent IIoT solutions provide automated alert systems to notify operational personnel when potential equipment failures are predicted or when predefined thresholds are exceeded. These alerts should provide actionable insights, including the anticipated time to failure, the severity of the issue and recommended maintenance actions.
In time, once confidence in the IIoT solution is obtained, integrate these alerts with your existing Computerised Maintenance Management Systems (CMMS) or Enterprise Asset Management (EAM) systems - assuming sensor volumes deployed warrant the investment. This integration automates work order creation, facilitates efficient scheduling of maintenance tasks and provides a centralised platform for tracking maintenance activities. The integration streamlines workflows, reduces manual data entry and provides valuable insights for optimising maintenance strategies.
6) Do: Build Strategic Partnerships for IIoT Success – Look Beyond the OEM for Insights
Why it Matters
Implementing a successful IIoT solution requires a broad range of expertise, from hardware and software selection to data analytics and cybersecurity. While IIoT Original Equipment Manufacturers (OEMs) can provide valuable components, relying solely on OEMs guidance can limit your options, create vendor lock-in or miss out on what you do not know.
Building strategic partnerships with independent system integrators and specialised IIoT consultants provides access to broader industry knowledge, a wider range of technologies and ensures you receive objective, tailored advice that best meet your specific needs.
For example, at Miniotec, in addition to developing our own solutions, we also conduct a market scan and undertake independent analysis every 12 to 18 months to identify the best solutions available for different industry use cases. The outcome? If we are not willing to commit our time, resources and finances to a solution, we will not recommend it to our clients. IIoT OEM’s, or other technology OEMs however, will clearly prioritise their own solutions for better or for worse. This independence is a key benefit to our clients. Learn from our digital scars.
Key Strategies
Identify Key Expertise Gaps:
Before seeking partners, assess your internal capabilities and identify areas where you need external expertise. This could include areas like technology types, sensor hardware, sensor integration, data analytics, cloud computing, cybersecurity or specific industry applications. Understanding your needs helps you target partners who bring the right skills and experience to the table.
Look Beyond the OEM:
As we considered above, while OEMs can be valuable partners for specific IIoT components, explore collaborations with independent system integrators or specialised IIoT consultants. These partners will offer a broader and balanced perspective, removing the noise within a saturated sensor market. They can provide objective recommendations based on your specific needs, rather than being limited to a single vendor's product offerings. This approach avoids vendor lock-in and promotes innovation.
Foster Collaborative Relationships:
Treat your IIoT partners as extensions of your team. Foster open communication, share information transparently and encourage joint problem-solving. A collaborative approach leads to better solutions, smoother implementations and stronger long-term partnerships. Regular communication and feedback loops are crucial for maintaining productive relationships.
7) Do: De-risk Your IIoT Deployment with Targeted Pilot Projects
Why it Matters
Deploying a full-scale IIoT solution across your entire operation can be a complex and costly undertaking. Conducting targeted pilot projects before widespread deployment is a crucial step for de-risking your investment, validating performance, gathering user feedback and refining your IIoT strategy.
Pilot projects provide a controlled environment to test your solution under real-world conditions, identify potential integration challenges, and optimise system performance before committing to a larger-scale rollout. This iterative approach minimises disruptions, reduces costs and increases the likelihood of a successful IIoT implementation.
Our experience has shown that the best strategies to approach pilot projects is to accelerate quickly and share pilot successes widely within the organisation and have the courage to ‘fail fast’ and change course quickly when plans do not meet intended expectations.
Key Strategies
Define Clear Objectives and Scope for the Pilot:
Before launching a pilot project, clearly define its objectives, scope and success criteria. What specific aspects of your IIoT solution are you testing? What key performance indicators (KPIs) will you measure? A well-defined scope ensures that the pilot remains focused and provides actionable insights.
Select a Representative Pilot Environment:
Choose a pilot site or operational area that is representative of your overall environment that mirrors the actual operating conditions. The pilot should encompass the typical challenges and conditions that your IIoT solution will encounter in a full-scale deployment. Real-world testing is crucial for de-risking your IIoT deployment and ensuring long-term success. Ensure that all relevant stakeholders, including operators, maintenance personnel and IT staff, are involved in the deployment process. This provides valuable hands-on experience and facilitates early user adoption.
A pilot "champion" who will oversee internal and external stakeholders and supervise the implementation and operation of the pilot for its duration should also be appointed. Lack of a designated digital champion frequently results in subpar pilot outcomes, frequently with no fault to the technology under evaluation.
Monitor Performance and Gather Data:
Continuously monitor the performance of your IIoT solution during the pilot phase. Collect data on key performance indicators, system stability, data quality and user feedback. Use independent data analytics tools to analyse the collected data and identify areas for improvement. Regular performance reviews help to track progress and ensure the pilot is meeting its objectives.
Evaluate Results and Iterate:
At the conclusion of the pilot, thoroughly evaluate the results against the predefined success criteria. Analyse the collected data, user feedback and any identified challenges. Use these insights to refine your IIoT solution, adjust your implementation strategy and optimise system performance before proceeding with a full-scale deployment. This iterative approach ensures that your final IIoT rollout is based on real-world experience and maximises the likelihood of success.
It must be noted that accomplishing accurate data comparisons through independent methods is usually not directly alignable due to the mismatch between hardware capabilities and data collection timing. Therefore, the most important thing to concentrate on is making sure the collected data falls within expected and ranges and is not excessively dissimilar.
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The Don'ts You'll Need to Navigate in IoT Deployments
Avoiding common pitfalls is crucial for a successful IIoT deployment. The following don'ts represent a succinct selection of the most critical challenges from a broader list from our experience, helping you avoid key missteps that could undermine your initiatives and hinder progress.
1) Don't: Trap Yourself with Inflexible IIoT Systems – Prioritise Scalability and Adaptability
Why it's Critical to Avoid
Inflexible IIoT systems impede growth and restrict your ability to adjust to shifting business needs in the quickly changing industrial technology landscape. Choosing rigid, proprietary solutions can lead to vendor lock-in, escalating costs and missed opportunities to leverage new advancements in IIoT, artificial intelligence (AI) and machine learning. Prioritising scalability and flexibility ensures your IIoT infrastructure can grow and adapt alongside your business, maximising the long-term value of your investment.
Strategies to Avoid This Pitfall
Design for Scalability from the Outset:
When planning your IIoT architecture, consider future growth and expansion. Choose scalable platforms and technologies that can handle increasing data volumes, expanding sensor networks and evolving business requirements. Cloud-based solutions or hybrid architectures often provide greater scalability than on-premise systems. Conduct capacity planning exercises to estimate future needs and ensure your potential solution can accommodate growth.
Embrace Modular and Interoperable Solutions:
Opt for modular IIoT components and software that can be easily integrated, replaced or upgraded. Prioritise interoperability by selecting solutions based on open standards and APIs. This approach allows you to adapt your IIoT ecosystem to changing needs, incorporate new technologies seamlessly and avoid being locked into a single vendor's ecosystem. Modularity and interoperability provide greater flexibility and long-term adaptability.
Consider Future Technological Advancements:
The IIoT landscape is constantly evolving. Avoid making long-term commitments to technologies that could soon become obsolete. Stay informed about emerging trends like edge computing, AI-driven analytics (AIoT) and 5G connectivity. Design your IIoT architecture with future advancements in mind, ensuring it can accommodate new technologies and integrate with evolving industry standards.
2) Don't: Underestimate the Human Factor – Prioritise Change Management for IIoT Success
Why it's Critical to Avoid
Implementing IIoT isn't just about deploying new technology; it's about transforming how people work. Overlooking the human element and neglecting change management will always lead to resistance, low user adoption and ultimately, project failure. Even the most technically advanced IIoT solution will fail to deliver its intended benefits if employees are not adequately prepared for the changes and do not embrace the new ways of working. A well-defined change management strategy is crucial for ensuring a smooth transition, maximising user buy-in and realising the full potential of your IIoT investment.
Strategies to Avoid This Pitfall
Engage Employees Early and Often:
Involve employees in the IIoT implementation process from the beginning. Communicate the goals, benefits and potential impacts of the project clearly and transparently. Solicit feedback from employees at all levels and address their concerns proactively. Early engagement builds trust, reduces anxiety and fosters a sense of ownership.
Provide Targeted Training and Support:
Equip your workforce with the skills and knowledge they need to effectively operate and maintain the new IIoT systems. Offer tailored training programs that address the specific needs of different user groups. Provide ongoing support and resources to help employees adapt to the new technologies and processes. On-the-job training can facilitate smoother transitions.
Communicate Clearly and Transparently:
Maintain open and consistent communication throughout the IIoT implementation process. Keep employees informed about project milestones, challenges and successes. Make sure they understand how IIoT will affect their roles and responsibilities and that the goal is to support their role by shifting some of their routine tasks to more valuable ones rather than to eliminate it. Transparent communication builds trust and reduces resistance to change. Emphasise the positive impacts of IIoT on employee productivity, safety and job satisfaction.
Address Resistance Proactively:
Recognise that some resistance to new technology is inevitable. Address resistance proactively by identifying the root causes and developing strategies to overcome them. This may involve providing additional communications or addressing specific concerns for adoption.
Celebrate Successes and Recognise Contributions:
Acknowledge and celebrate all successes in your IIoT implementation. Recognise the contributions of employees who embrace and champion the new technology. Positive reinforcement and public recognition can help build momentum and encourage wider adoption.
3) Don't: Underestimate the Complexity of IIoT Connectivity in Industrial Environments
Why it's Critical to Avoid
Reliable connectivity is the backbone of any successful IIoT deployment. Underestimating the unique challenges of industrial environments—ranging from physical obstructions and interference to security concerns and power constraints—can lead to unreliable data transmission, system instability and compromised security. A robust and well-designed connectivity strategy is crucial for ensuring the consistent flow of data, enabling real-time insights and supporting mission-critical industrial operations.
Strategies to Avoid This Pitfall
Thoroughly Assess Your Environment and Connectivity Needs:
Conduct a comprehensive site survey to evaluate existing network infrastructure, identify potential obstacles (physical structures, interference sources) and determine the optimal connectivity solution for your specific needs. Consider factors like the range required, data throughput, power availability, security requirements and environmental conditions.
Develop a Comprehensive Connectivity Strategy:
Based on your site assessment, develop a robust connectivity strategy that addresses potential challenges and ensures reliable data transmission. Consider a layered approach, combining different technologies which could entail Wi-Fi, cellular (4G/5G/LTE-M/NB-IoT), LoRaWAN, Bluetooth, Zigbee or other industrial wireless protocols to address specific connectivity requirements. Plan for network segmentation and security to protect critical systems from unauthorised access. Based on our experience, the pick of communication protocols for predictive maintenance strategies are currently LTE and Wi-Fi. Other protocols are more appropriate when a single data point, like temperature or basic equipment data, is required.
Plan for Redundancy and Failover:
Network outages can have significant consequences in industrial settings. Build redundancy into your connectivity infrastructure by incorporating backup communication paths and failover mechanisms or by adopting IIoT solutions that include onboard sensor storage. This ensures that data capture can continue, minimising downtime and maintaining operational continuity.
Address Security Concerns from the Start:
IIoT devices and networks can be vulnerable to cyberattacks. Implement robust security measures, including strong encryption, access controls, intrusion detection systems and regular security audits. Secure your network infrastructure to protect sensitive data and prevent unauthorised access to critical systems.
Do Not Rely Solely on Theoretical Range Specifications:
Vendor-provided range estimates for wireless communication technologies are always overly optimistic. Real-world performance is significantly impacted by environmental factors like physical obstructions, interference and atmospheric conditions. Conduct on-site testing to validate range and performance before deploying at scale. Consider factors like equipment congestion and site-specific nuances that can affect signal propagation.
4) Don't: Fall for the Initial Price Trap – Consider the Total Cost of Ownership (TCO) of Your IIoT Solution
Why it's Critical to Avoid
Focusing solely on the upfront cost of IIoT hardware can lead to significant budget overruns and a lower-than-expected return on investment (ROI). The true cost of an IIoT deployment extends far beyond the initial purchase price, encompassing initial costs such as installation and ongoing expenses like software licenses, cloud services, connectivity fees, maintenance and workforce training. Undertaking due diligence in assessing the total cost of ownership (TCO) is crucial for making informed decisions, securing budget approval and maximising the long-term value of your IIoT investment.
Strategies to Avoid This Pitfall
Look Beyond the Initial Hardware Costs:
While the cost of sensors, gateways and other hardware is important, do not neglect the often-hidden costs associated with an IIoT deployment. Factor in expenses like software licenses, cloud platform fees, connectivity charges (cellular, satellite) and ongoing maintenance expenses. These recurring costs can impact the TCO over the lifetime of your IIoT solution.
Factor in Integration and Deployment Expenses:
Integrating IIoT systems with existing infrastructure can be complex and costly. Consider the expenses associated with system integration, data migration, network upgrades and on-site installation. These one-time costs can be substantial, especially in large-scale industrial deployments. Include professional services and consulting fees in your TCO calculations.
Consider Workforce Training and Change Management Expenses:
Equipping your workforce with the skills to use and maintain IIoT systems requires investment in training programs and change management initiatives. Include these costs in your TCO calculations. Effective training and change management are crucial for ensuring user adoption and maximising the return on your IIoT investment.
5) Don't: Focus Solely on Manhour Savings or Basic Costs – Adopt a Holistic Approach to ROI Calculations for IIoT Deployments
Why it’s Critical to Avoid
While the above TCO ‘don’t’ is valid, a narrow ROI assessment that solely focuses on direct savings, such as reduced manhours or sensor procurement costs, severely underestimates the broader value that Industrial Internet of Things (IIoT) deployments can provide. Focusing on narrow gains overlooks the extensive indirect benefits that can significantly enhance operational efficiency and profitability over time.
IIoT deployments unlock value in resource optimisation, predictive maintenance, energy efficiency and reducing unplanned downtime—metrics that go far beyond just cutting labour costs. In most cases, the cost of the IIoT solution that prevents a production loss will pay for itself in a matter of seconds. Therefore overlooking these indirect benefits often results in missed opportunities to maximise long-term ROI.
Strategies to Avoid This Pitfall
Incorporate Indirect Metrics into ROI Assessments:
When calculating ROI, consider not just the immediate costs of implementation but also long-term benefits such as reductions in unplanned downtime, enhanced resource utilisation and improvements in overall equipment effectiveness (OEE). Broader impacts like savings in maintenance costs, uptime improvements and productivity gains, dramatically shorten the breakeven period and increase profitability.
Quantify Production Losses and Downtime Risks:
One of the most overlooked aspects in ROI assessments is the cost of avoiding unexpected downtime or production losses. IIoT systems that implement predictive maintenance can prevent these costly disruptions, adding significant value that might not be immediately apparent in traditional ROI models.
Expand the Definition of ROI:
Rather than focusing solely on direct cost reductions, broaden your definition of ROI to include qualitative improvements such as better decision-making from real-time data insights, enhanced safety from proactive monitoring, safety improvements and energy efficiency. These factors contribute to a more accurate and comprehensive understanding of IIoT's long-term value.
Avoid Opting for the Cheapest Solution:
While it might be tempting to choose a lower-cost IIoT solution to boost short-term ROI, from our experience this often leads to higher long-term operational costs due to limited functionality or scalability, and worse, a solution that fails to deliver to expectations. The IIoT sensor market is saturated with many inferior products and sensor costs alone should not be your main decision basis for selecting your IIoT solution. Invest in robust systems that deliver comprehensive data analytics, predictive insights and easier integration to realise greater ROI in the long run.
By expanding your view of ROI beyond simple cost savings, your IIoT initiatives will not only break even sooner but will also drive sustained operational and financial benefits, ensuring that your digital transformation initiatives have a lasting, transformative impact.
You may also be interested in other Return on Investment (ROI) discussions within Energy, Mining, Manufacturing and Heavy Industry:
6) Don't: Underestimate the Severity of Cybersecurity Threats to Your IIoT Infrastructure
Why It's Critical to Avoid
While IIoT deployments offer significant operational and efficiency improvements, they also introduce new cybersecurity vulnerabilities. Connected systems, if not properly secured, can be targeted by cyberattacks, leading to production halts, equipment malfunctions, data theft and even reputational harm.
Yet, not all IIoT systems need to operate within the client’s main network. By considering alternative strategies, such as setting up separate or segmented networks for IIoT, companies can better control security risks while still benefiting from digital innovations. A robust, adaptable cybersecurity strategy is essential for maintaining the integrity and reliability of any IIoT deployment.
Strategies to Avoid This Pitfall
Consider Network Segmentation or Separate Networks:
Instead of relying solely on your existing corporate network, explore options such as setting up dedicated or segmented networks for your IIoT devices. Isolating IIoT systems from core operations, effectively through an ‘air gap’, helps reduce the potential impact of a breach and ensures that any attacks are confined. This approach also reduces the risk of business-critical functions being compromised by vulnerabilities in the IIoT environment.
Adopt a Multi-Layered Security Approach:
If you do adopt a corporate connectivity approach, protect your infrastructure with a comprehensive security strategy. This should include firewalls, intrusion detection and prevention systems (IDPS), encryption and strong access controls. Multi-factor authentication (MFA) and network isolation are critical for limiting exposure. By layering security, any successful attack on one aspect of your system will not immediately compromise the entire infrastructure.
Regularly Assess and Update Device Security:
Ensure that all IIoT devices are regularly updated to address known vulnerabilities. Change default device settings, particularly passwords, and implement strict access protocols to prevent unauthorised usage. Regular security assessments, such as vulnerability scanning and patching, should be part of ongoing device management, or that of the IIoT solution provider where a SLA is adopted.
Develop a Response Plan for Potential Threats:
Establish a well-defined incident response plan that enables you to detect, contain and recover from cybersecurity breaches swiftly. Test and review this plan periodically to account for evolving threats. Having clear communication channels ensures that all relevant stakeholders are alerted in the event of an incident, minimising operational downtime.
Stay Ahead of Emerging Threats:
The cybersecurity landscape evolves quickly, and new threats emerge regularly. Stay informed by following security advisories, engaging with industry forums and working with cybersecurity professionals.
By maintaining a flexible, proactive approach to IIoT cybersecurity, which includes strategies like network segmentation and comprehensive risk management, you can secure your infrastructure and protect both your operations and reputation from potential attacks.
7) Don't: Let Your IIoT Data Gather Dust – Prioritise Effective Data Visualisation and Reporting
Why it's Critical to Avoid
Raw IIoT data, while valuable, is often meaningless without effective visualisation and reporting tools. Complex datasets and endless spreadsheets can overwhelm users and obscure critical insights. Neglecting data visualisation and reporting limits the ability of stakeholders to understand, interpret and act on the data generated by your IIoT system. Investing in solutions that offer user-friendly dashboards and reporting tools transforms raw data into actionable intelligence, empowering decision-makers and driving business value.
Strategies to Avoid This Pitfall
Choose IIoT Platforms with Robust Visualisation Capabilities:
Select IIoT platforms and software solutions that offer built-in data visualisation and reporting tools. Look for platforms that provide customisable dashboards, interactive charts and user-friendly reporting features. Consider solutions that offer near real-time data visualisation capabilities for monitoring critical operations. Ensure the platform supports different data visualisation formats and can integrate with existing business intelligence (BI) tools.
Design Dashboards with Clarity and Actionability in Mind:
If designing and implementing your own visualisation platform, create clear, concise and actionable dashboards that display key performance indicators (KPIs) and relevant data insights. Avoid cluttered dashboards with too much information. Use appropriate chart types and visualisations to effectively communicate data trends and patterns. Tailor dashboards to the specific needs and roles of different stakeholders, providing relevant information at a glance.
Provide Training on Data Interpretation and Visualisation Tools:
Offer training to employees on how to effectively interpret data visualisations and use reporting tools. This empowers them to extract valuable insights from the data and make informed decisions. Training should cover basic data analysis principles, as well as the specific functionalities of your chosen visualisation and reporting tools.
In Summary - A Successful IoT Strategy Mitigates the Challenges of End-to-End Deployment
This article has presented the top 7 do's and don'ts for a successful Industrial IoT (IIoT) deployment, offering practical strategies drawn from our extensive experience in digital transformations.
By focusing on aligning IIoT initiatives with core business objectives, selecting the right technology, empowering the workforce and ensuring interoperability, organisations can maximise value and achieve long-term success.
Additionally, we explored how avoiding common pitfalls can save costs, enhance operational efficiency and create more resilient systems. These strategies are crucial for organisations looking to remain competitive in an increasingly connected and data-driven industrial landscape.
If you are ready to explore how these insights can support your IIoT journey, reach out to us for a deeper discussion. Miniotec is here to provide guidance tailored to your specific challenges and help you unlock the full potential of IIoT within your operations - independently.
We welcome your insights and experiences.
Stay safe.
Best;
Curious about the potential returns of IIoT to your organisation? Try our IIoT ROI Simulator on our Home Page.
Other Frequently Asked Questions (FAQ)
How do you create an Industrial IoT strategy?
Creating an effective Industrial IoT strategy starts with defining your business objectives and aligning them with IoT solutions. Develop a comprehensive understanding of your IoT ecosystem, including connected devices, IoT platforms and IoT infrastructure. Use a proof of concept (Pilot Program) to test your ideas before full IoT deployment. Ensure your strategy includes planning for future-proofing your IoT network by incorporating new IoT devices and technologies that support automation and scalability. Consult with experts like Miniotec to integrate effective solutions and learn from their experience across numerous industrial sectors.
How do you plan an IoT project?
Planning an IoT project involves establishing a clear business case for implementing IoT. This includes defining the scope, setting up an IoT infrastructure that involves selecting the right sensors and understanding the necessary bandwidth for data transmission. Key steps include developing a proof of concept, defining data collection needs and assessing IoT connectivity and network security. Proper planning helps ensure you achieve the benefits of using IoT solutions.
How do I make my IoT project successful?
For a successful IoT project, focus on defining clear goals, using IoT technologies that align with your business processes and ensuring effective IoT data management. A successful IoT initiative also requires reliable IoT connectivity, proactive firmware updates and proper training for managing IoT devices and the IoT network. Future-proofing and continuous improvement are critical to maintaining the IoT success of your project.
How do I deploy an IoT project?
To deploy your IoT project, ensure you have the appropriate IoT infrastructure in place, including IoT platforms, devices and network security measures. Begin with a pilot, often called a proof of concept, to identify any issues early on. Pay close attention to IoT connectivity, IoT deployment plans and ensure that firmware updates can be executed seamlessly. This helps minimise downtime and ensures consistent automation across connected devices.
How do you manage an IoT project?
Managing an IoT project effectively means having the right IoT strategy and IoT infrastructure in place. Prioritise consistent firmware updates, maintain a secure IoT network and manage IoT data effectively. It's also vital to ensure the integration of new devices into the existing IoT ecosystem while maintaining bandwidth and network security. Setting up regular assessments of your IoT platform helps improve efficiency and maintain a successful IoT environment.
What are the four (4) things needed for IoT to work properly?
For IoT to work effectively, you need the following:
Sensors and IoT devices for data collection (e.g., vibration sensors in manufacturing or conveyor belt rip sensors in mining).
IoT connectivity to ensure communication between connected devices.
Data management systems to store, analyse and make use of IoT data.
A reliable IoT platform for integration, monitoring and automation across all IoT products.
What are the five (5) C's of IoT?
The five C's of IoT are:
Connection: Establishing IoT connectivity for all devices.
Cloud: Using cloud solutions for data storage and processing.
Cybersecurity: Implementing strong network security and firmware updates.
Compliance: Ensuring your IIoT solution meets regulatory standards.
Continuity: Maintaining the stability and reliability of your IoT ecosystem.
What are three (3) best practices when deploying IoT security?
Network Security: Protect the IoT network through encryption, firewalls and intrusion detection.
Firmware Updates: Regularly update firmware on IoT devices to patch vulnerabilities.
Data Encryption: Encrypt all IoT data, both at rest and in transit, to ensure data integrity.
How do you effectively manage data in IoT?
To manage IoT data effectively, start by defining data collection needs and choosing the appropriate IoT infrastructure. Use an IoT platform for analysing and managing data to enhance automation and improve the way business processes are executed. Data storage and processing should be designed for scalability to support future-proofing and the onboarding of new devices.
How to implement IoT solutions?
Implementing IoT solutions involves identifying business needs and selecting the right IoT technologies. Develop a business case that includes proof of concept testing, followed by IoT deployment. Focus on setting up the right IoT infrastructure, including connected devices, IoT networks and IoT platforms. Effective IoT implementation also requires constant monitoring, firmware updates and integration of new IoT devices.
What is the failure rate of IoT projects?
Industrial IoT project failure rates can be as high as 50%+, often due to challenges in scalability, lack of clear business cases or inadequate planning. Ensuring that an IoT project is future-proofed requires team member support, training and adoption, has robust IoT connectivity and proper data management will significantly increase the chances of IoT success.
About Miniotec:
Miniotec is a digital consulting and technology solutions provider, dedicated to supporting companies in their digital transformation journeys. Established by a group of experienced engineers, we emphasise the harmonious integration of people, processes and technology. Our team has a rich history of working across various sectors, from energy and resources to infrastructure and industry. We are trusted by the world's largest miners, oil and gas giants, utility companies and even budding start-ups and believe in the transformative power of the Industrial Internet of Things (IIoT) and its role in unlocking valuable data insights. Through IIoT, we aim to facilitate better decision-making, enhance operational activities and promote safer work environments. At Miniotec, our goal is to guide and support, ensuring every digital step is a step forward.
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