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Smart Systems Design Needs to Transcend Discreet Product Or Service Innovation

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Smart Systems Design Needs to Transcend Discreet Product Or Service Innovation Experience Behaviors smart Developing New Growth systems Opportunities at the Intersection Data & Content Relationships of Smart Systems, Services and design the Internet of Things Skills Technology B o u l d e r Z u r i c h what are smart systems and the internet of things? Why Is It So Important? Global expansion; re-engineering; What unrealized lean practices; mergers and technology, acquisitions. For most companies system and where are the biggest these strategies for growth and market leadership opportunities are value creation have reached the Which combination growth opportunities? available in the point of diminishing returns. As of customer value smart systems Smart Systems networks continue to integrate the elements will How Should We Think About Framing Opportunities? and IoT arena? Growth physical and virtual worlds, what differentiate us? How Opportunities The assumption that the role of new business design worked in the past to drive growth can we make, partner of acquire those and development is only about making existing is less likely to work now or in the elements? products or services more attractive no longer future... works. We believe smart systems design needs to transcend discreet product or service innovation. What business design, Business developers need to creatively imagine fully revenue model and developed systems and whole marketplaces. management priorities will help build long term success? To discover, design and develop innovative smart systems, organizations will need new and uniquely how should our facilitated processes... organization respond? What Are The Success Factors? Diverse collaborative networks will be self-organized by people who are motivated to explore and develop ideas they care deeply about. Business innovation will extend beyond ideas about new products and services to the very manner in which business is conducted. Building new ventures for the Internet of Things requires new and very different modes of design and development – organizations will need to push the boundaries of collaboration to include many new and unfamiliar participants... CONTENTS 01 What Are Smart Systems, Services and the Internet of Things Page 04 02 Framing Smart Systems Growth Opportunities Page 14 03 Smart Systems Growth Models and Strategies Page 24 04 Smart Systems Design and Development Process Page 50 smart systems design 3 01 What exactly are smart systems and the INTERNET of THINGS 1 sensors 2 3 people 0 & actuators 0 connectivity 0 ?& processes & data What smart Are Smart systems Systems and and services Services innovation smart systems 5 design smart What systems Are Smart and services Systems and innovation Services smart systems design 6 What smart Are Smart systems Systems and and services Services innovation And quickly advancing TO DIVERSE APPLICATIONS HOME HEALTH CITIES CONSUMER BODY INDUSTRY TRANSPORT BUILDINGS MOBILITY INFRASTRUCTURE Light bulbs Trac routing Patient Care HVAC Electrical Distribution Security Telematics Elderly Monitoring Security Maintenance Pet Feeding Package Monitoring Remote Diagnostic Lighting Surveillance Irrigation Controller Smart Parking Equipment Monitoring Electrical Signage Smoke Alarm Insurance Adjustments Hospital Hygiene Transit Utilities / Smart Grid Refrigerator Supply Chain Bio Wearables Emergency Alerts Emergency Services Infotainment Shipping Food sensors Structural Integrity Waste Management Washer / Dryer Public Transport Occupancy Stove Airlines Energy Credits Energy Monitoring Trains smart systems 7 design smart What systems Are Smart and services Systems and innovation Services things get really interesting when connected devices start creating compound applications COMPLEX: • Smart Cities • Smart Transportation Systems • Diverse Data Fusions COMPOUND: • Asset Management • Multi-Vendor Equipment Support SIMPLE: • Automation • Alerts & Alarms • Location Services • Monitoring & Diagnostics • Maintenance Dispatch Compound Applications: Complex Applications: Simple Applications: Applications that involve multiple [peer-to-peer] devices Applications driven by diverse interactions involving sensors, Applications involving simple and machines with significant interactions between sys- actuators, machines, people and systems that enable extending/ remote monitoring, location tems and equipment in multi-vendor environment such expanding values from collaboration and analytics supported by services and product support as factories, hospitals and related environments charac- data fusion between and among disparate and diverse sources for maintenance or upgrades terized by diverse vendors, users and stakeholders 60 50 40 30 NFC 20 10 0 2000 2006 2012 smart systems design 8 What smart Are Smart systems Systems and and services Services innovation compound applications enable unique new use cases for example for example for example smart systems 9 design smart What systems Are Smart and services Systems and innovation Services smart systems design 10 What smart Are Smart systems Systems and and services Services innovation smart systems 11 design smart What systems Are Smart and services Systems and innovation Services connected machines and devices are rapidly proliferating InIn 2017 2016 nearlyover 3 2.7billion billion connectedconnected devices willwere be shipped shipped ThisThis number number will willgrow grow to nearly to nearly 108 billion billion devices devices by f or2022 the year 2020 *Not including mobile phones Home (Consumer) 43,745.71 billion (Devi ces millions) Transport (Mobility) 500392.72 million(Devi ces millions) Body (Health) 600360.03 million(Devi ces millions) Buildings (Infrastructure) 2.11,726.59 billion (Devi ces millions) Cities (Industry) 2.81,524.70 billion (Devi ces millions) smart systems design 12 What smart Are Smart systems Systems and and services Services innovation smart systems and services opportunities 2020 are enormous in scale and scope ..... 2017 2015 HOME CONSUMER $180.3B MOBILITY TRANSPORT $79.4B $29.4B $10.4B BODY HEALTH $6.2B $18.5B BUILDINGS INFRASTRUCTURE $25.0B $397.8B INDUSTRY CITIES $77.0B $59.2B $76.1B smart connected systems $48.7B $129.8B spending is likely to grow to a scale that is larger than all Managed Services previous generations of IT and $571,845.77 (USD millions) $210.2B Network spending Enablement Hardware $43,782.24 (USD millions) Network Services $387,453.46 (USD millions) $270.0B Internet of Things and Smart Systems Opportunity 2022 By 2022 thisBy 2020 opportunity this opportunity will willgrow grow to to more more than >$1 Trillion smart systems 13 design Relationships Strategy & & Interactions Business Model 3 02 framing smart systems growth opportunities Framing smart Smart Systems systems Growth and services Opportunities innovation Smart Systems and the framing Internet of Things Stack Smart Systems are quickly becoming a Technology massive, global digital nervous system smart systems conecting billions of people, tens of billions of devices, and trillions and more data points through a network of unprecedented scale Overview growth User Relationships Market Experience opportunities Business smart systems 15 design smart Framing systems Smart Systems and services Growth innovation Opportunities hee ierecio led he phical ih ser perience he diial he are mediaed ooi uer oex dentity ocation ime ieracio, uie procee, echolo eracio archiecure, ad el creaed mare force Visua udio actie eationships er xperiece Tech upplier ectronics Sotware odues oile ollaoraio eor s orporate Funds alic ahoard peraio Value Added Applications Outsourced g ogistics ppl aleme Tech em Applications Value dded arer aa reaio ro Services ntegrators coem eor erice eice aaeme elaiohip irelie WLAN WWAN ei oecii esign Firms ncuators WPAN hael arer eice aleme LPWAN Vs s etaiers Buie Software eearch are ardware uomer nivs onsortia ary dopters oreation Buie odel Soo ooperative oaorative Buie aret oeiaio ost aueased isruptive eeue pe Suscription anaged ndirect are elier usiness irect hanne aue dders smart systems design 16 Framing smart Smart Systems systems Growth and services Opportunities innovation “User Experience” is the sum of our relationship with Overview technology. It encompasses the practical—like which User Experience senses, gestures, and inputs we use to interact with our devices and surrounding Layer environment—as well as the emotional: how the interaction makes us feel. Context Interfaces TIme Embedded Internal Adhere/Patches Visual / Textile Audio / Tactile / Identity Accessories Clipped Strapped Footwear Gaze Tracking Facial Expression Tracking Earbuds Eyewear Headware Emotion Recognition Voice Recognition Handheld / Mobile Haptic Sensors Pressure Sensors Location / Fixed Taste/Smell Sensors Surroundings Joysticks / Mice Device smart systems 17 design smart Framing systems Smart Systems and services Growth innovation Opportunities From the design of silicon to the end-user experience, the technologies of Overview Overview the IoTFrom are the driven design by data.o siicon to the enduser eperience the technoogies o TTechnologyechnology the o are driven y data Sensors, software, and networked infrastructure collect, analyze, transmit ayerLayer and Sensorspresent data sotwa forr thee and users networed and devices inrastructu who needre coect it most. anaye transmit and present data or the users and devices who need it most Supply Chain & Logistics Security / Data Policies & Governance Asset Management Energy Management SaaS PaaS Security Management Cloud Services IaaS
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