May 2019

29 www.drivesncontrols.com May 2019 INTERNET OF THINGS n machine productivity shifts, allowing managers to devise strategies to maximise productivity, or to identify problems. Those problems could relate either to machines functioning improperly or to employee issues. Data collected from monitoring systems can also help companies to figure out the most effective manner in which to organise production. Data collected from IoT devices can also help to improve quality control, ensuring that less time and cost goes into identifying and correcting quality issues. These savings relate directly to increased productivity, which should, in the end, lead to increased profit. More efficient operations equal time and money saved. Those who do not apply IoT technologies risk losing valuable ground to their competitors. The costs for those not using IoT will only increase over time as their competitors grow more efficient and productive. Companies have found that by using IoT, they can cut costs, increase quality and reduce time-to-market. Even basic operations can save time and money. Some companies have achieved significant savings by using IoT for mundane tasks. Remote monitoring Large-scale manufacturers are often world- spanning organisations with facilities all around the globe. A global manufacturer with a home base in the UK may, for example, have operations in locations as far apart as Los Angeles and Sydney, in addition to their domestic operations. If these are connected via the IoT, managers in the headquarters can monitor production anywhere in the world in real time. Manufacturers who assemble different components in different locations can benefit from this real-time information- sharing and can plan more effectively for logistical and other needs. IoT-based technologies can connect to sensors and other devices in vital equipment to monitor any changes in performance over time. If programmed properly, IoT devices can compare data over time and predict the need for maintenance, or even deliver warnings of impending breakdowns. Preventative maintenance can save days, or even weeks, in lost production by averting major equipment malfunctions. These sensors and devices can also enhance worker safety. Machine malfunctions can create conditions that harm workers. Sensors can detect when workers are using machinery improperly and alert supervisors. They can detect the presence of unwanted liquids, gases, radiation, or other issues that might harm the health and safety of employees. Best of all, IoT technology can include fail- safes that can shut down affected equipment, if necessary. When seconds can make the difference between safety and injury, automatic shutoffs (as opposed to waiting for humans to react) can save lives and prevent property damage. Fewer jobs? One of the main criticisms of adopting the IoT lies in a perceived threat to jobs, especially in the UK and other industrialised nations. History shows that the adoption of labour-saving technologies actually increases the total number of jobs in manufacturing. When companies can save money and time in one sector, they usually invest the added capital into expanding other aspects of their businesses. Experts have pointed out that the impact of the second industrial revolution, for example, was to bring more jobs to manufacturing, but the IoT could result in even more dramatic growth. In truth, the IoT will help to bring manufacturing jobs back to the UK and other industrialised countries by restoring their competitive advantage over less industrialised nations with lower labour costs. In the last century, companies with labour- intensive manufacturing found that they could maintain a competitive advantage only by moving operations overseas or outsourcing to foreign companies. Labour costs in Vietnam, China, and even many parts of the US undercut those in the UK by a considerable amount. Using IoT-based technologies to replace certain categories of workers reduces the labour cost edge, making British advantages – such as reliable infrastructure, political stability, and closeness to market – more important. When combined with the 2017 cuts in corporate taxes, efficiencies brought in by the IoT have made the UK a much more favourable location to build or expand manufacturing operations. Led by declines in the automotive industry, British manufacturing and the economy overall have seen a slight downturn over the past year. Regulatory issues related to emissions controls and other factors have slowed production while demand has cooled. As the Trump administration in the US has slashed costly regulations and pushed manufacturing into overdrive, it has become more imperative for British industry to create more efficiencies and reduce costs. Just like companies a century and a half ago had to decide considering whether or not to invest in the technologies of the second industrial revolution, businesses today cannot ignore advances if they want to grow or even to survive. The IoT and all of its applications represent a vital investment. Some companies may choose to ignore it, but they will fall behind competitors, losing market share and profits. n “Those who do not apply IoT technologies risk losing valuable ground to their competitors.”