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THE INDUSTRIAL INTERNET OF THINGS DRIVING THE BIG DATA BOOM
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Table of contents
Introduction . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3
What is the Industrial Internet of Things? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4
What does it look like in materials handling and logistics? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6
Then: IIoT meets the supply chain . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7
Now:IIoToffersgreatervisibilityinmaterialshandling . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8
Future:IIoTtransformsmaterialshandling . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9
How can your operation benefit? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10
Increaseindividualoperatorefficiencyandoveralllaborproductivity . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12
Optimize assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13
Maximizelimitedwarehousespace . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14
Increasethepotentialvelocityoffastmovers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15
Fosterdata-drivenaccountability . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16
Increasevisibilitythroughoutthesupplychain . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17
How much of a priority should you make the IIoT? And how quickly will it pay off? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18
How can you protect your network against cybersecurity threats? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20
Understandtheimportanceofcybersecurity . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21
Knowtherisks:Collaboratewithvendorsandavoidweaklinks . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22
Beproactiveandsecureagainstdatalossandcompromise . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23
How do you get there? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24
Startwithsimplesteps . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25
PrepareforIndustry4.0 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26
WhatistheIndustrial InternetofThings? Howcanyouroperationbenefit? Howmuchofapriority
shouldyoumaketheIIoT? Howdoyougetthere?Howcanyouprotectyournetwork againstcybersecuritythreats?
Whatdoesitlooklikein materialshandling&logistics?
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Introduction
The2000ssawatippingpointinconsumerelectronicsthatcreatedsomethingofa“BigDataBang.”High-speedinternetconnectionsreachedmobiledevicesandthusbeganthedawnofanewdigitalerathatconnectedvirtuallyeveryoneandeverything.
Theconnectedworldhasgrownatanastoundingpaceeversince–from2billion“smart”devicesin2006toanexpected200billionby2020.ThishasledtoanexplosionofinformationandtermsliketheIndustrialInternetofThings(IIoT),bigdata,5Gandthecloudbecomingcommonvernacular.
Atabasiclevel,thesetermsrefertothenearubiquitousabilityofdevicestosendandreceivedata.Userscanthenleveragethisdatatomakemoreinformeddecisionsandenableautomatedactions,therebyincreasinglaborproductivity.
Butwhatdoesthatmeanforbusinesses,particularlywarehousesanddistributioncenters?
WhatistheIndustrial InternetofThings? Howcanyouroperationbenefit? Howmuchofapriority
shouldyoumaketheIIoT? Howdoyougetthere?Howcanyouprotectyournetwork againstcybersecuritythreats?
Whatdoesitlooklikein materialshandling&logistics?
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WHAT IS THE INDUSTRIAL INTERNET OF THINGS?
the cloud
IIoT
M2M Communication
MACHINE TO MACHINECOMMUNICATION
Big Dataadvanced analytics IIoT ADVANCED
ANALYTICS
M2M
thecloud
BIG DATAM2MIIoT
the
clou
d
AdvancedAnalytics
machine to machinecommunication
WhatistheIndustrial InternetofThings? Howcanyouroperationbenefit? Howmuchofapriority
shouldyoumaketheIIoT? Howdoyougetthere?Howcanyouprotectyournetwork againstcybersecuritythreats?
Whatdoesitlooklikein materialshandling&logistics?
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What is the Industrial Internet of Things?
Begin with the buzz words.
The cloudreferstointernet-based,sharedcomputingpowerthatallowssoftwareandservicestorunontheInternetinsteadofalocalcomputer.Foranexampleofthiscloudvs.localdynamic,thinkofonline-basedapplicationslikeGoogleDocsvs.MicrosoftWordrunninglocallyonadesktop.
The Internet of Things,ontheotherhand,referstothebillionsofelectronicdevices–everythingfromfridgestoforklifts–thatcancollectandtransmitdatawirelessly,usingWi-Fi,Bluetooth,near-fieldcommunicationandthecloud.ThecloudandtheIoTaretrulytwopeasinapod–they’reinseparable.TherewouldbenoIoTwithoutthecloudandthecloudconstantlyexpandsastheIoTgrows.Inessence,IoTenableslocalizeddecisionmakingbyleveraging–andenhancing–cloud-basedaggregation.
IIoT means the IndustrialInternetofThings,soanyconnecteddevicespecificallyintheindustrialsector.IIoTholdsgreatpotentialforqualitycontrol,sustainablepractices,supplychaintraceabilityandoverallsupplychainefficiency.
Machine-to-machine (M2M) communicationistheframeworkoftheIIoT.Thisbroadtermappliestoanytwodevicesexchanginginformationandperformingactionswithoutinputfromhumans.M2Mtechnologyenableswarehousesoftwaresystemstomanageautomatedequipment,roboticlifttruckstocommunicateandmaintenancemanagementsoftwaretoworkwithequipmentlikeconveyorsandsorters.
Big dataisatermforthemassiveamountofdatacollectedfrombillionsofconnecteddevices.Thesearedatasetssobigthattheyledtotheinventionofnewcomputerstoprovidethenecessarypowertoanalyzethem.Withsuchsignificantvolumeandvariety,patterns,trendsandassociationscanemergethatrevealnewinsightsandbetterbusinesspractices.Thoseinsightsaregainedfromadvanced analytics–thescientificprocessoftransformingbigdataintorelevantinsights.
Cybersecuritygoesfarbeyondanti-virussoftwareandpasswordprotection.Itreferstotheeffortstoprotectconnectedsystemsfromattacksanddatabreaches–athreatbusinessesofallsizesmusttakeveryseriouslyastheycapturegreatervolumesofdata.
WhatistheIndustrial InternetofThings? Howcanyouroperationbenefit? Howmuchofapriority
shouldyoumaketheIIoT? Howdoyougetthere?Howcanyouprotectyournetwork againstcybersecuritythreats?
Whatdoesitlooklikein materialshandling&logistics?
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WHAT DOES IT LOOK LIKE IN MATERIALS HANDLING AND LOGISTICS?
Then Now Future
WhatistheIndustrial InternetofThings? Howcanyouroperationbenefit? Howmuchofapriority
shouldyoumaketheIIoT? Howdoyougetthere?Whatdoesitlooklikein materialshandling&logistics?
Howcanyouprotectyournetwork againstcybersecuritythreats?
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What does it look like in materials handling and logistics?
OneofthefirstmanifestationsoftheIIoTinlogisticscamein2000withtheintroductionoftelematicsandtrackingsensorsinover-the-roadtrucks.Thisprovidedenhanced,data-driventransparencyandhelpedilluminateopportunitiesforincreasedproductivityandefficiencyinsupplychainoperations.
Inthewarehouse,earlydatacollectionapplicationsfocusedprimarilyonanalyzingbasicpoint-to-pointdata,likethenumberofordershandledinacertaintimeframe,andcomparingthedataacrossanetworkofdistributioncenters(DCs).Thisincludedbasicoperationslikepicking,putawayandothercommontasks.
Then: The IIoT meets the supply chain
1,298orders handled
2,312orders handled
9,381orders handled
Distribution Center #2
Distribution Center #3
Distribution Center #1
WhatistheIndustrial InternetofThings? Howcanyouroperationbenefit? Howmuchofapriority
shouldyoumaketheIIoT? Howdoyougetthere?Whatdoesitlooklikein materialshandling&logistics?
Howcanyouprotectyournetwork againstcybersecuritythreats?
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What does it look like in materials handling and logistics?
Connectivityandcloud-basedtechnologyisexperiencingmorerapidadoptioninmaterialshandlingoperationsthanever.Over40percentofallIIoTdevicesexistinbusinessandmanufacturing,and43percentofmaterialshandlingprofessionalsengageinbigdataanalysis.
Contemporarychallenges,suchasshippingpressuresine-commerce,governmentregulationinfoodandbeverageandlaborshortagesacrossvirtuallyallindustries,leadtoaneedtoleveragebigdataforgreaterlaborproductivityandoverallefficiency.Thesedatadrivenimprovementsextendtoeverythingfromlifttruckfleetutilizationandoperatorperformancetoenergyuseandmaintenance.
AnothereffectoftheproliferationofmorecomprehensivedataisgreatervisibilityintoDCs.Sincedatacollectionhasbeenexpandedtonearlyeveryaspectofawarehouseoperation,managerscangetinsightsthatgodeeperthaneverbefore.Forinstance,awarehousemanagementsystem(WMS)mayhelpacompanyestablishhowlongitshouldtaketomoveproductfromdocktorackviaforklift,butbigdatathatbringsinmoredatasetsfrommultiplesystemscanhelpexplainwhythattimeparameterisnotalwaysmet.
Now: The IIoT offers greater visibility in materials handling
WhatistheIndustrial InternetofThings? Howcanyouroperationbenefit? Howmuchofapriority
shouldyoumaketheIIoT? Howdoyougetthere?Howcanyouprotectyournetwork againstcybersecuritythreats?
Whatdoesitlooklikein materialshandling&logistics?
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What does it look like in materials handling and logistics?
Withmoreend-usersandsolutionsprovidersrecognizingthevalueoftheIIoT,materialshandlingoperationscanmovebeyondreactivedecisionstopreventiveandevenpredictivemeasures.Forexample,insteadofusingdatasimplytotrackthetimeframeinwhichcertaincomponentswillneedmaintenance,operationscanmonitorcomponentsviavibrationsensorsorothertelematicsystems,andsetupautomatedalertsintheeventananomaly,suchasalowbatteryoracertaindegreeofwear,isdetected.
Theseautomated,if-thenfunctionsalsomakeanimpactwithconsumerdevices,likewearables.Apatent applicationdescribeshowanApplewatchandiPhonecanworktogethertoautomaticallycall911intheeventa“careevent,”suchasaheartattack,isdetected.Beyondautomatictriggers,thenextfrontierismachinelearning.Systemscannotonlytakeactionbasedondatameetingacertainthreshold,butcanjudgedegreesofsuccessandcontinuouslyoptimizeactionbasedontacticalcharacteristics.Forexample,anautonomousvehiclemaylearntoadjustitsroutebasedontimeofday,expectedtrafficconditionsandotherfactors.
Future: The IIoT transforms materials handling
SENSOR DAMAGED DUE TO IMPACT
WhatistheIndustrial InternetofThings? Howcanyouroperationbenefit? Howmuchofapriority
shouldyoumaketheIIoT? Howdoyougetthere?Howcanyouprotectyournetwork againstcybersecuritythreats?
Whatdoesitlooklikein materialshandling&logistics?
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HOW CAN YOUR OPERATION BENEFIT?
WhatistheIndustrial InternetofThings? Howcanyouroperationbenefit? Howmuchofapriority
shouldyoumaketheIIoT? Howdoyougetthere?Howcanyouprotectyournetwork againstcybersecuritythreats?
Whatdoesitlooklikein materialshandling&logistics?
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Enter the Smart (IIoT-enabled) Warehouse
Warehouseshostamultitudeofprocesses,peopleandequipment,eachofwhichholds datareadytobeliberatedandputtouseforrealbenefit.Thisdatacanhelp:
1. Increaseindividualoperatorefficiencyand overalllaborproductivity
2. Optimize assets
3. Maximizelimitedwarehousespace
How can your operation benefit?
4. Increasethepotentialvelocityoffastmovers
5.Fosterdata-drivenaccountability
6.Increasevisibilitythroughoutthesupplychain
WhatistheIndustrial InternetofThings? Howcanyouroperationbenefit? Howmuchofapriority
shouldyoumaketheIIoT? Howdoyougetthere?Howcanyouprotectyournetwork againstcybersecuritythreats?
Whatdoesitlooklikein materialshandling&logistics?
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● Improve safety compliance and track OSHA adherence – Telematiclifttrucksolutionscanenhancesafety regulationcompliancebyrestrictingtruckaccesstoonlyoperatorswithpropercertificationandproviding automatedcheckliststoguideoperatorsastheystarttheirshift.
● Analyze errors and injuries by equipment type and employee – Someoperatorsmayexcelwithcertaintrucks butfumblewithothers,allowingmanagementtobettermatchtheskillsofthelaborforcewithequipment,oradjust trainingandsafetyprograms.Equipmentchoicecanalsoinfluencethelikelihoodofchronicconditionsandinjuries fromrepetitivemovements.Forinstance,whilesomeoperatorsmayfavorsit-downlifttruckmodels,standup modelscanreducethestressonkneesfromrepeatedlygettingonandoff.
● Plan for overtime and seasonal workers – Breakdownthroughputvolumesbynumberofoperatorsandtrucksto helppredicttheamountoflabornecessarytohandlepeaks.
● Identify opportunities for automation – Usedatafromutilization,GPSinformation,impactsandproductivityreportsto findopportunitiestoimplementautomatedsolutions,likeroboticlifttrucks.
● Find the most efficient routes – OneoperatormayspendtwicethetraveltimegettingfrompointAtopointBas anotherdriver.Withlocationandutilizationdatacapturedfromthetruck,warehousemanagerscandeducethecause– whetheraninefficientroute,unscheduledbreakorothercause.
Inthewarehouse,productivitydependsinlargepartonhowwelloperationsutilizelabor.Withadvancedtelematicssolutions,warehousemanagerscanmonitorperformanceallthewaydowntotheindividuallifttruckoperatortohelpidentifysystemicinefficiencies.
Increase individual operator efficiency and overall labor productivity
How can your operation benefit?
WhatistheIndustrial InternetofThings? Howcanyouroperationbenefit? Howmuchofapriority
shouldyoumaketheIIoT? Howdoyougetthere?Howcanyouprotectyournetwork againstcybersecuritythreats?
Whatdoesitlooklikein materialshandling&logistics?
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LifttruckscanbeequippedwithtelemetrysystemsandRFIDreaderstogatherdataonboththetruckandauxiliarycomponentsfortransmissiontoacentralizedrepository.Thistechnologyenablesgreatervisibilityintothelifttruckfleetoperation,allowingdiscovery—andcorrection—ofvariousfleetutilizationinefficiencies.
Optimize assets
How can your operation benefit?
● Measure fleet size, configuration and usage – Monitortruckutilizationandbatteryusageforleaner, moreefficientlystructuredfleets.
● Reduce maintenance and overhead costs – Configurefaultcodestoautomaticallytriggermaintenance functionsorservicecallswithoutrequiringanyactionfromfacilitymanagementormaintenancepersonnel.
● Reduce truck abuse – Monitorimpacthistory,includingidentificationofcommonimpactlocations.
● Reduce risk of downtime – Proactivelyalerttechnicianstoservicerequests,whichcankeepminor issuesfromturningintobigproblems.
WhatistheIndustrial InternetofThings? Howcanyouroperationbenefit? Howmuchofapriority
shouldyoumaketheIIoT? Howdoyougetthere?Howcanyouprotectyournetwork againstcybersecuritythreats?
Whatdoesitlooklikein materialshandling&logistics?
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SKUproliferationpressuresoperationstostoreawiderrangeofever-changinginventory.Assuch,intelligentlystructuringstoragesystemsandpickaislestofacilitateefficientinventorymovementiscriticallyimportant.Thisrequirescollectingandanalyzingorderprofilesandexpecteddemandtooptimizespaceandlaborutilization.
Togetherwithurbanization,SKUproliferationdriveswarehouseoperationstobuildupratherthanout.Understandingcurrentspaceandgrowthtrajectoriescanhelpinformequipmentpurchases–likenarroworverynarrowaislelifttruckmodels.
Buttoday’sworldchangesfasterthanever.Fidgetspinnerssurgedtopopularityinamatterofmonths,accountingfor17percentofdailyonlinetoysalesinlateMay 2017 .Real-timedatafrompoint-of-salesystemsprovidesthedata-drivenbackbonetoinformstorageandfulfillmentstrategies,andtheup-to-the-minutevisibilitytoadapttonewlypopularitemsandrapidlyrisingdemand.
Maximize use of limited warehouse space
How can your operation benefit?
WhatistheIndustrial InternetofThings? Howcanyouroperationbenefit? Howmuchofapriority
shouldyoumaketheIIoT? Howdoyougetthere?Howcanyouprotectyournetwork againstcybersecuritythreats?
Whatdoesitlooklikein materialshandling&logistics?
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TheproliferationofconnecteddeviceshastransformedDCsfromopaqueboxeswithinsufficientvisibilityofinventorytoatransparenthubthatoffersdetailedupdatesoforderstatus.
RFIDtechnologycantrackpalletsandindividualcasesthrougheachstepofthesupplychain,fromsourcingrawmaterialsandproductionsites,todistributioncenter,retailoutletsviadirect-storedeliveryandultimately,theconsumer’sdoorstep.Thistraceabilityisvitalinsourcingfoodborneillnesses,locatingmanufacturingdefectsandidentifyingcomponentfailure.
Foroperationsfeelingcompetitivepressuretoprovidespeedydeliveryofvirtuallyanyproduct,thisenhancedvisibilityandmoreefficientoperationiscriticaltohandlingcontemporarychallenges.Takeanorderthatincludesapairgloves,ascarfandahat.Shippingratesincentivizeretailerstopackandshiptheseitemstogether.However,thatpressurese-commercefulfillmentoperationstofindthemostefficientwaytobringtogethermultipleitemsfromdifferentlocationsofthewarehouseforshipment.
Increase the potential velocity of fast movers
How can your operation benefit?
Alotofthebigdatathatcompaniesaccumulatenowaddressesthesechallenges,helpingcompaniesdeterminehowtooptimallypositiongoodsthatareoftensoldtogether.Thisenableseasyorderconsolidationandavoidsalengthyreunionacrossthousandsoffeetofwarehousespace.
WhatistheIndustrial InternetofThings? Howcanyouroperationbenefit? Howmuchofapriority
shouldyoumaketheIIoT? Howdoyougetthere?Howcanyouprotectyournetwork againstcybersecuritythreats?
Whatdoesitlooklikein materialshandling&logistics?
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Corporateresponsibilityreportinghasbecomemorewidespreadinrecentyears,andforgoodreason.Companiescanusereal-timedataandanalyticstoolstotrackactionsaffectingpeople,theplanetandprofitswithgreateraccuracy.
• Promote safe behavior – Telematicssolutionsoffer self-managementcapabilitiesthroughspeedandimpact informationtofurtherincentivizesafeoperatorbehavior.
• Reduce carbon footprint – Operationalneedsand optimalshippingschedulescanbeanalyzedtoreduce excesstransportationcostsandemissions.
• Lead the pack – Companiescannowcompareindustry benchmarksonsupplychaintransparency,environmental impact,humanrightsandothercorporategovernanceinitiatives.
Foster data-driven accountability
How can your operation benefit?
WhatistheIndustrial InternetofThings? Howcanyouroperationbenefit? Howmuchofapriority
shouldyoumaketheIIoT? Howdoyougetthere?Howcanyouprotectyournetwork againstcybersecuritythreats?
Whatdoesitlooklikein materialshandling&logistics?
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Increase visibility throughout the supply chain
OneofthemostimportantbenefitsoftheIIoTandconnecteddevicesisvisibility.Inadditiontooptimizingequipment,processesandlaborwithinawarehouse,itsuseextendsbeyondthefourwalls,creatingintersectionalopportunitiestoincreaselaborproductivitythroughoutthesupplychain.Thankstobigdata,linearsupplychainsareevolvingintocomplex,dynamicandconnectednetworks,basedontheexchangeofinformationthatdrivesincreasinglyefficient,moretransparentmanufacturing,distributionanddirectstoredelivery.
How can your operation benefit?
WhatistheIndustrial InternetofThings? Howcanyouroperationbenefit? Howmuchofapriority
shouldyoumaketheIIoT? Howdoyougetthere?Howcanyouprotectyournetwork againstcybersecuritythreats?
Whatdoesitlooklikein materialshandling&logistics?
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HOW MUCH OF A PRIORITY SHOULD YOU MAKE THE IIOT? AND HOW QUICKLY WILL IT PAY OFF?
WhatistheIndustrial InternetofThings? Howcanyouroperationbenefit? Howmuchofapriority
shouldyoumaketheIIoT? Howdoyougetthere?Howcanyouprotectyournetwork againstcybersecuritythreats?
Whatdoesitlooklikein materialshandling&logistics?
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Today’swarehouseandsupplychainmanagersdonothaveexcesstimeontheirhands–infact,it’squitetheopposite.
AccordingtotheGeneralElectricIndustrialInternetInsights2015report,80to90percentofrespondentsindicatedthatbigdataanalyticsiseitherthetoppriorityorinthetopthree,butonly43percentclaimedtheycurrentlyengageinbigdataanalysis.Nowisthetimetotakestepstowardsimplementinganalyticsolutionstoprotectandgrowmarketshare.
Whilethepainofchangeisusuallyfeltmostdeeplyatstartup,thelong-termbenefitofsuchinvestmentisclear.Addingbigdataanalysiscantransitionorganizationsfromreactiveintopredictiveandautomatedenterprises.OperatingasmartDConthecuttingedgeofbigdataandtheIIoTalsohelpsattractmorequalifiedtalent—avitalbenefitinanindustrythatstrugglestofindandretainlabor.
How much of a priority should you make the IIoT? And how quickly will it pay off?
WhatistheIndustrialInternet ofThings?
80-90%of companies list big
data as a priority
43%are currently engaged
in big data analysis
WhatistheIndustrial InternetofThings? Howcanyouroperationbenefit? Howmuchofapriority
shouldyoumaketheIIoT? Howdoyougetthere?Howcanyouprotectyournetwork againstcybersecuritythreats?
Whatdoesitlooklikein materialshandling&logistics?
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HOW CAN YOU PROTECT YOUR NETWORK AGAINST CYBERSECURITY THREATS?
WhatistheIndustrial InternetofThings? Howcanyouroperationbenefit? Howmuchofapriority
shouldyoumaketheIIoT? Howdoyougetthere?Howcanyouprotectyournetwork againstcybersecuritythreats?
Whatdoesitlooklikein materialshandling&logistics?
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Understand the importance of cybersecurity
AGartnerstudyindicatesthatmorethanhalfofmajornewbusinesssystemswillincorporatesomeelementoftheIoTby2020.Asgeneratingandsharingdigitalinformationbetweenorganizationsandsuppliersbecomesincreasinglyprevalent,keepingthisdatasecuremustbeatoppriority.Afterall,greaterintegrationandconnectivitypointscanmeanagreaterriskofvulnerability.Justoneattackcontainingasingularpieceofmalwareisallittakestowreakhavoc,hinderingproductionanddamagingacompany’sreputationasasecurebusinesspartner.
In2013and2014,maliciouscyberattacksstrucklargeretailersacrossseveralindustries,fromofficesuppliesandgrocerytohomeimprovementandgeneralmerchandise.Bytargetingpoint-of-salesystems,thesedatabreachesexposedthepersonalandfinancialinformationofhundredsofmillionsofcustomers.Thedamagewassignificant,withretailersonthehookforsignificantfinancialdamagestobothconsumersandbankinginstitutions,andsufferingheavyblowstotheirreputationsintheeyesofconsumers.
WhatistheIndustrial InternetofThings? Howcanyouroperationbenefit? Howmuchofapriority
shouldyoumaketheIIoT? Howdoyougetthere?Howcanyouprotectyournetwork againstcybersecuritythreats?
101
In 2018, cybersecurity spending is predicted to soar to $101 billion. And by 2020, spending is expected to reach $170 billion.
Whatdoesitlooklikein materialshandling&logistics?
How can you protect your network against cybersecurity threats?
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Know the risks: Collaborate with vendors and avoid weak links
Cybersecuritycannotbeviewedasasolelyinternalventure,butratheracollaborativeeffortthroughouttheentiresupplychain.Everyentityacompanydoesbusinesswithcanposeathreat,asdatalossandcompromisesviathirdpartiesareagrowingproblem.
Companiesareonlyassecureastheirweakestpartner’scybersecurityprotocols.BuildingasecurefoundationrequiresextensivevettingandsecuritystatementsfrompotentialpartnersineveryRFPandcontract.Afterall,thehigh-profiledatabreachescouldnothavebeenpreventedbyin-housesecuritymeasuresalone.Inonecase,hackersgainedentrytopoint-of-salesystemsviastolencredentialsfromathird-partyHVACvendor.
Inthewarehouse,theWMSisaprimeobjectiveforcybercriminals.Avulnerabilityhererisksbringingthroughputtoahaltandexposingsensitiveinformation.Likeallotherbusinesssystems,warehousesoftwareshouldbebehindasecurefirewall.
59% of companies do NOT have a process for assessing cybersecurity capabilities of third-party providers with whom they share data or networks.
WhatistheIndustrial InternetofThings? Howcanyouroperationbenefit? Howmuchofapriority
shouldyoumaketheIIoT? Howdoyougetthere?Howcanyouprotectyournetwork againstcybersecuritythreats?
59%
Whatdoesitlooklikein materialshandling&logistics?
How can you protect your network against cybersecurity threats?
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Be proactive and secure against data loss and compromise
Ascyberattacksbecomemorecommon,thecybercriminalswhoperpetratethembecomemorebrazen,skilledandrelentless.Stavingoffsuchadvanced,persistentthreatsleavesnoroomforcomplacency.Mountinganeffectivedefensetakesproactive,robustsecurityprotocolssupplementedbyongoingvulnerabilityscans.
Thefollowingprinciplescanlaythefoundationforareliablecybersecurityeffort:
Educate everyone at every level –Manydatabreachesaretheresultofoverlookingcompliancerules.Startbytrainingemployeesateveryleveltovaluetheimportanceofcybersecurity.
Maintain communication across the supply chain –Remember,whileanattackisgenerallyonlysuccessfulattheweakestlink,itcaninterferewiththeentiresupplychain.Supportconsistencyandavoidbusinessdisruptionanduncertaintywithregularcommunicationamongsuppliersandcustomers.
Thoroughly vet vendor security capabilities –Instituteavendorvettingprocessbeforeapprovinganynewpartner.Thispracticeshouldalsoincludeannualreviewsoncompliancewithsecuritystandards.
WhatistheIndustrial InternetofThings? Howcanyouroperationbenefit? Howmuchofapriority
shouldyoumaketheIIoT? Howdoyougetthere?Howcanyouprotectyournetwork againstcybersecuritythreats?
Whatdoesitlooklikein materialshandling&logistics?
How can you protect your network against cybersecurity threats?
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HOW DO YOU GET THERE?
WhatistheIndustrial InternetofThings? Howcanyouroperationbenefit? Howmuchofapriority
shouldyoumaketheIIoT? Howdoyougetthere?Howcanyouprotectyournetwork againstcybersecuritythreats?
Whatdoesitlooklikein materialshandling&logistics?
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InvestmentinITinfrastructurecanbedaunting,sostartsmall,trackROIandscaletowardsgreatercapability.
Identifypotentialholesandthreatstooperationalefficiency,andthensortinitiativesbypriority.Forexample,ifanoperation’sbiggestconcernissafety,theycantrackcommonaccidentlocations.Or,ifintenseseasonalpeaksarethenorm,tracklaborproductivityandutilizationtoplanforovertimeworkers.
Start with simple steps:
• Equip forklifts with data-collecting sensors – Takeadvantageofbasictelemetryfunctions–faultcodes,usagemonitoring, GPS,etc.–andsetupautomatedworkflowstogettherightinformationinfrontoftherightpeople.Thisenablesautomationof fleetmanagement,routeadjustmentandmaintenancedecisions.AccordingtoSupplyChain24/7,puttingavehiclemanagement systemonalifttruckdeliversa5percentincreaseinproductivitybyidentifyinginefficientoperatorbehaviors.
• Add sensors to key operational assets – Sensorsanddetectorscanbeplacedinvariouslocationsonconveyors, sortersandothermechanicalequipmenttocaptureawiderangeofoperationaldata.Smartsystemscanhelpcollectand disseminatecrucialinformationaboutwarehouseoperationsandproductivity,withoutoverwhelmingoperationswithdatathey cannotputtoproductiveuse.
• Make adjustments to the WMS – Datatrackingandanalysiscanbeusedforsimplerinventoryvalidationtodecreaseerrorsand improvemorecomplexdecisionslikedeterminingidealbinlocations.Anotherimportantapplicationofbigdatainthewarehouseis ameaningfulviewacrosstheenterprise.ThemoredatatheWMScaptures,themoreinformationavailabletodrivemoreinformed decisionsandreactquicklytosolveproblems.
Asoperationscollectmoretypesofdatainmorelocations,theycancombinedifferentdatasetsandspecificexperiencestooverallsupplychainmanagement.Choosetherightpartnerwiththerighttechnology,knowledgeandexperiencetoaddressthechallengesindeployingandmanagingasolutionofsuchscale.
WhatistheIndustrial InternetofThings? Howcanyouroperationbenefit? Howmuchofapriority
shouldyoumaketheIIoT? Howdoyougetthere?Howcanyouprotectyournetwork againstcybersecuritythreats?
Whatdoesitlooklikein materialshandling&logistics?
How do you get there?
26
Prepare for Industry 4.0
Industry4.0representstheultimateendgameofbigdata,connecteddevicesandsimilartechnologies.WhileIndustry3.0focusedontheautomationofsinglemachinesandprocesses,Industry4.0focusesonthedigitizationofallphysicalassetsinawarehouse,withroboticsconnectedremotelytocomputersequippedwithmachinelearningalgorithmsthatcanlearnandcontrolequipmentwithverylittleinputfromhumanoperators.
ManyoftheapplicationsofIndustry4.0arestillnotyetwidelyadoptedintoday’swarehouses,butthatchangeseveryday,withdifferentindustriesimplementingbigdataapplicationsatvaryingspeeds.
Whetherusedtoplanlabor,optimizelifttruckfleetusageandmaintenance,enhancesafetyorcreateidealinventoryflow,bigdatainmaterialshandlingcanleadthewaytotremendouscompetitiveadvantages.Furthermore,theearlyadoptersofdigitalDCsofIndustry4.0canhelpsetorinfluencetechnicalstandardsasadoptiongrowsandthesetechnologiesbecomeubiquitous.
WhatistheIndustrial InternetofThings? Howcanyouroperationbenefit? Howmuchofapriority
shouldyoumaketheIIoT? Howdoyougetthere?Howcanyouprotectyournetwork againstcybersecuritythreats?
Whatdoesitlooklikein materialshandling&logistics?
How do you get there?
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