MARCH 20198 MANUFACTURINGTECHNOLOGYINSIGHTSIN MY OPINIONNew Business Thinking: What is it? Regardless of the industry you serve, the Internet of Things (IoT) has become a competitive differentiator in how businesses are valued. Businesses that have yet to digitize their environments are already three to five years behind and this gap continues to widen. In fact, looking at the industry holistically, 2017 is the year the IoT became operational. Throughout 2018 and 2019, businesses will begin to scale their IoT initiatives.With an explosion in data and new computing capabilities--along with advances in other areas such as artificial intelligence, automation and robotics, additive technology, and human-machine interaction--there is an unleashing of innovation that has already begun to change the nature of manufacturing itself. Today's business models aren't necessarily going to hold true for the future. This is the time for manufacturers to take a step back and look at their business through a different lens with a mindset focused on maximizing the business value chain and delivering customer value for tomorrow, not just today. Everything has to center around a customer value add. If doesn't, don't do it.How the Digital Revolution is Driving New Ways to Think about Your Business By Patrick Bass, CEO, thyssenkrupp North AmericaWhen employing an IoT strategy there is a sequence of events you may go through along the way: digitization, digitalization and finally, digital transformation. These three steps are the very foundation upon which an IoT strategy is built. However, there often is confusion regarding the differences between these terms and some people may not even know there are important distinctions to be made. The differences are significant and should be well understood. Let's take a closer look at each stage and how it applies to the manufacturing process: Digitization: Transitioning from analog to digital Digitization is changing our society as fundamentally as the Industrial Revolution did. It is having a tremendous effect on the style of value creation. Just what does digitization look like? At its most basic, digitization is the process of making analog information available and accessible in a digital format. For manufacturers, it could be the transition of work order forms into PDFs, using scan guns and forklift scanners to capture inventory, converting customer files and reports from paper into online spreadsheets, or converting product manuals and repair handbooks from hard copy into a digital format. The benefit: one truth, one source.Patrick Bass
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