Why Your Warehouse Needs IIoT: 5 Key Benefits

The Internet of Things (IoT) has been in the works for a long time, with its origins rooted in the development of the web in the 1960s. The concept itself — bringing connectivity to things — wasn’t coined until 1999, and didn’t truly take shape until around 2013. Ever since then, things have seemed to accelerate at a faster pace than ever before, at least when it comes to this type of technology.

Today, we have smart home devices, mobile tech, wireless sensors, GPS, control systems and more. The technology is now being adopted in commercial and industrial settings far beyond the conventional consumer-oriented uses of its early days.

Forget the smart home. Something more innovative and exciting is the smart warehouse or manufacturing plant. The benefits the technology has to offer the industrial world are vast, including a boost in operational efficiency, lower costs, and faster time to market for goods and products.

If there was any doubt surrounding the viability of IoT, now is the time to address those concerns. IIoT, or the industrial internet of things, is on the rise — and that means anyone looking to stay competitive needs to get onboard.

Here are some reasons why you should consider IIoT in your warehouse and facilities.

1. Predictive Analytics

Operations and management decisions are not easy to deal with, and it’s worse when there’s minimal to no data available. What if there was a way to ensure you always had the right information? What if you could be prepared for anything?

Predictive analytics through modern devices and machine learning allows you to build functional models of various outcomes and events. It means you can predict what’s coming and take action early. This is incredibly valuable in the supply chain, where operations hinge on current market demand, supply lines and more.

IIoT and connected sensors are exactly the types of devices that can be used to gather and report the needed information. It extends far beyond just general performance. Equipment and machinery, for example, can be outfitted with sensors to discern declining efficiency, malfunctions or even new applications. Preventive maintenance can be taken to a whole new level through IoT and the resulting data.

The evolution of advanced analytics, mainly by including predictive elements, is largely driven by these technologies, and it has sweeping implications for modern industry.

2. Seamless Operations and Production Processes

In any warehouse, there’s a degree of autonomy that allows the entire operation to remain smooth and seamless. Unfortunately, there are also circumstances that can grind everything to a halt. Running out of raw materials or supplies is just one example, and in the current landscape, it can even mean the death of a business.

The need to remain in motion, working seamlessly and without complications, cannot be overstated. It’s something IIoT can offer, especially when combined with other, similarly powerful technologies. Consider a wireless sensor that sends information to a control system about low supplies. The alert could activate an order process that sends for new materials. This might not seem that advanced, but factoring in various shipping times and supply states can change the game completely. An item or material that is six months out can be ordered exactly on time. This ensures a new shipment is available when items are depleted.

In shipping warehouses, the same sensors can be used to communicate information to partners and vendors along the supply chain. In real-time, everyone knows exactly how many supplies are available, how long they’ll take to move and what that means for their operations.

The looming adoption of 5G mobile networks and more capable wireless connections will also contribute to the seamless nature of industrial IoT. Cellular connections transmit over greater distances than any other connection type, and 5G will provide increased bandwidth and speeds, minimal interference and more coverage.

3. Reduced Costs

With more information at the ready, you tend to make smarter, more informed decisions. IoT enables this, and it also improves efficiency across the board. This is achieved by tapping into more nuanced controls, automation and real-time, frequent reporting. It also depends on how and where the technology is applied.

Reduced costs are one of the most important benefits gained when deploying IIoT, and it’s also a driving factor of adoption for most organizations. The primary revenue driver for 54 percent of enterprise IoT projects is cost savings.

4. Merging Offline and Online Processes

There’s a lot of talk surrounding the digital transformation of modern business and operations. As more technologies are introduced, it’s necessary to move away from physical and paper-based processes. That’s another benefit realized through the adoption of IIoT.

Deploying more data-driven solutions provides the necessary content to change to an all-digital operation. Processes can be synchronized with the help of real-time data.

Equipment and machines can be monitored remotely and provide more detailed performance information. Personnel have access to digital content from anywhere, allowing for better controls and smarter workstreams. An entire warehouse can become one seamless environment.

5. Faster Time to Market and Better Communication

A boost in efficiency translates to a quicker time to market, which benefits consumers and clients alike. That alone is a great reason to implement IIoT within every warehouse and facility. Because of the data-oriented nature of IoT, more information is accessible — which opens up better communication with customers.

Imagine being able to communicate exactly when inventory will be replenished or sharing the effect of market trends on current operations. It flows in the opposite direction too, allowing consumers to stay connected to organizations, which creates greater opportunities for relevancy and personalization. Delivering the kind of products and goods customers want is a staple of today’s technology-oriented landscape.

The Rise of the Data-Driven Smart Warehouse

Smarter facilities are inevitable, and that will remain true for nearly all industries. IIoT will serve as the driving force behind the movement, allowing for increased levels of efficiency, stronger and more accurate datastreams and lower overall costs. It will welcome a new age of business, one that is more streamlined than ever before.