Internet of Things (IoT): Data in Business - Essay Sample

Introduction

Internet of Things (IoT) refers to a platform of embedded and connected devices that are used or operated collaboratively. The IoT can be thought of as a virtual network of operated devices independently of each other but integrated to allow for collaborations. The platform allows devices to interact, learn from each other, and have others’ experiences in a similar way that humans do (Ray, 2018). Distributed information systems in decentralized organizations make a classic example of the Internet of Things. In business, the IoT has been the foundation of automation in various industries and the core of efficient business management.

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The IoT comprises of different types of components and different levels. Differences in how the components are perceived exist, but there are similarities in the primary components of IoT and information systems. The alignment is because they can be thought of as computer systems with unlimited devices that work together to manipulate data for different purposes. Five significant components cut across the IoT and information systems: people, hardware, software, procedures, and data. The data component of the IoT, its attributes, and applicability in business are covered in this paper.

The IoT and Business

The devices’ connections are through the Internet, meaning that the IoT is technically unlimited in terms of size because devices can be added to it as needed. It should be noted that different devices, like wearable technology and modular electronics, can be connected. The IoT is not just limited to computing gear and its peripheral devices connected to the computers. Any device that can connect to the Internet can make it part of an IoT. The computer systems and any infrastructure that makes part of the technology applied in business are, without question, the IoT’s main elements.

IoT in Business: Data

Data is defined as the statistics and facts collected and organized for reference or analysis. There is no question about the essential component of the IoT and all information systems being data. It is arguable whether the hardware and software are crucial, but data is ahead of the other four components. It is what integrates them. Data is a crucial element in business as it is the basis of business analysis and record keeping. IoT plays an integral role in data generation and management.

IoT and Generation of Data

Business entities have many data generation and data use in almost all operations, with data generation coming from the lower-level touchpoints. Lower-level touchpoints in the IoT include research and development, production, processing, point-of-sale systems, and customer relationship management systems, among others (Haller & Magerkurth, 2011). The devices used in these processes contribute directly to the generation of data. Some of them have the added functionality of analysis, but they mainly collect and structure data for storage.

Data is continually generated, collected, and stored by IoT devices, meaning that there is no limit to the maximum data storage needs. Big data is the brainchild of the increase in data volume(s). It is defined as vast volumes of data that cannot be analyzed using commonly available analytics tools and systems. Big data calls for innovative storage, management, and analytics solutions for the data created by IoT devices.

The storage of data in business is done in databases and different formats. Standard data formats in businesses are XML, text, images, and tables. The differences in data types call for different database types that consequently need various database management systems (DBMS). Types of data used in business are big data, unstructured data, machine data, semi-structured data, structured data, time-stamped data, and real-time data.

IoT and the Analysis of Data

Some of the devices on IoT in businesses have analytics capabilities. Data is analyzed as per its type and need, with devices doing the analytics periodically and in real-time as it is generated. The adoption of 4G technology and the rise of 5G technology is the cornerstone of real-time data analytics (Rao & Prasad, 2018). Data analysis in business can be done internally by the IoT within the organization or externally by a specialized IoT.

Amazon Web Services is the biggest company that outsources its computing power to other businesses for different purposes. The invention and increased adoption of cloud computing has been crucial to businesses and the core of IoT in connectivity and operations. Data can now be analyzed in real-time by off-site specialists and streamed back to a business almost in real-time, considering latencies in connectivity.

Conclusion

IoT is a crucial element for businesses. It goes beyond the computer infrastructure in organizations and also accounts for many other devices. It can be thought of as a compound IT infrastructure that includes the information systems and other devices connected to the Internet in the organization. Data is central to the IoT both as raw material and output. The output is the data generated on IoT devices, and the raw material is fed to the devices and systems for analytics. Data analysis is the core of business intelligence as it helps establish critical business insights that dictate strategy and decision-making.

References

Haller, S., & Magerkurth, C. (2011, March). The real-time enterprise: IoT-enabled business processes. In IETF IAB Workshop on Interconnecting Smart Objects with the Internet (pp. 1-3). https://www.iab.org/wp-content/IAB-uploads/2011/03/Haller.pdf

Rao, S. K., & Prasad, R. (2018). Impact of 5G technologies on industry 4.0. Wireless personal communications, 100(1), 145-159. https://doi.org/10.1007/s11277-018-5615-7

Ray, P. P. (2018). A survey on Internet of Things architectures. Journal of King Saud University-Computer and Information Sciences, 30(3), 291-319. https://doi.org/10.1016/j.jksuci.2016.10.003