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Capitalizing on the Internet of Things (IoT)

May 2014

Kevin Parker

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| © Copyright 2014 Hitachi Consulting

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MTBC – May Tech Industry Luncheon

Enterprise of Things Introduction

Our Focus and POV

Example Solutions

End-to-end Capabilities

Questions and Answers

Internet of Things (IoT) overview

Becoming an

Enterprise of Things

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| © Copyright 2014 Hitachi Consulting

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Hitachi Consulting

• Imagine a world where the following things are possible…

– Starbucks knows you are near, what you like to drink and automatically orders

your favorite drink before you arrive

– Coffee pots and Refrigerators sense customer needs

– You’re headed to a movie with friends

– Coke machines automatically ready to make your favorite drink

– You’re shopping at Abercrombie Fitch or Nordstroms, they know who you are,

what you buy

• We are not that far off from this today…

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| © Copyright 2014 Hitachi Consulting

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What is IoT?

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| © Copyright 2014 Hitachi Consulting

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Why Now?

Technology advancements are making architectures a reality

Miniaturization

Processing Power

Connectivity

Battery Life

IPv6

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| © Copyright 2014 Hitachi Consulting

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Hitachi Consulting

Examples of the Internet of Things – Where are we today?

http://www.fastcompany.com/3020544/fast-feed/starbucks-buys-into-internet-of-things-with-connected-coffee-machines-and-fridges

http://www.wired.com/wiredenterprise/2014/01/coke-iot/

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| © Copyright 2014 Hitachi Consulting

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Examples of smart devices/technology you may know,

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| © Copyright 2014 Hitachi Consulting

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The Internet of Things is Here

Exponential growth fuels unprecedented economic value add

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| © Copyright 2014 Hitachi Consulting

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Extraordinary Value Creation Opportunity

$8 Trillion in efficiency gains and innovation across any industry

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| © Copyright 2014 Hitachi Consulting

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MTBC – May Tech Industry Luncheon

Enterprise of Things Introduction

Our Focus and POV

Example Solutions

End-to-end Capabilities

Questions and Answers

Internet of Things (IoT) overview

Becoming an

Enterprise of Things

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| © Copyright 2014 Hitachi Consulting

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Converting IoT Technology to EoT Business Solutions

From innovation to sustainability, value abounds across use cases

Mobile Applications Social & Cloud Real-time Analytics Chemicals Consumer Energy & Mining Industrials Travel & Hospitality Government, Defense & Security Communication Financial Services Life Sciences

Manage People

• Route Tuning • Logistics Planning • Maintenance Planning • Queue Management • Staff Scheduling • Sales Management • Loyalty Program Integration

Manage Buildings

• Energy Management • Building Security • Home Automation • Factory Automation

Manage Assets

• Equipment Management • Transport Logistics • Asset tracking • Tank Management • Fleet Management • Mining Management • Inventory Management

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| © Copyright 2014 Hitachi Consulting

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Key Components of an EoT Solution

The E2E solution includes hardware (IT & OT) and software

Operations Finance R&D HR CXM Controls Security Gateway Sensors Device Integration Connectivity Software Development Data Center

Integration Analytics Data Performance Management Platform Management Vendor Management

Business

Applications

Integrated IoT

Platform

Operational

Technologies

End-To-End Integration and Management

Devices & Controls

Interfaces & Gateway

IoT

Platform Data Center Platforms

Business Applications

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| © Copyright 2014 Hitachi Consulting

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Together, We Offer End-To-End Capabilities

Enabling the Enterprise of Things takes breadth and depth

Org Effectiveness E.g. M&A OCM

Org Effectiveness

Social Innovation E.g. ESaaS

HCC

MC, ESS E.g. AT&T PGM

MGT CNS

Custom, mobile, Cloud E.g. PGE Utilities

STS

Oracle, MSFT, SAP E.g. SCM, EAM, CX

Enterprise Apps

HGC-IA, BI E.g. Tech Mining

BI

CME: Home Automation Automotive: Telematics

Industry Teams

Convergence E.g.HCTA/HiSol SuperJ

HCC

Hosting/MS E.g. Cannon EIP

Outsourcing

Product Development

E.g. Hayward Pool

OPD

It’s not a hardware world anymore: Service Revenues for the IoT will reach $500

Billion by 2018, dwarfing the $33 Billion in revenue expected form devices in 2018

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| © Copyright 2014 Hitachi Consulting

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MTBC – May Tech Industry Luncheon

Enterprise of Things Introduction

Our Focus and POV

Example Solutions

End-to-end Capabilities

Questions and Answers

Internet of Things (IoT) overview

Becoming an

Enterprise of Things

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| © Copyright 2014 Hitachi Consulting

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Gateway

Eurotech People Counter

Hitachi/Oracle “IoT in Motion” People Counting Solution

Applications in hospitality, mass transport, and more

Business

Applications

Integrated IoT

Platform

Operational

Technologies

• Big Data / Analytics

• System Management

• Connectivity / Integration

• Development Platform

• Devices and gateways

• Embedded Software

• Event Processing

• Standards / Integration

• Business Applications

• Operational Applications

• Mobile Applications

• Integration / Federation

End-To-End Integration and Management

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| © Copyright 2014 Hitachi Consulting

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Value Proposition

IoT In Motion for Hospitality

Front Desk / Valet / Casino Floors

IoT In Motion

Use Case Description

Occupancy

• Number of guests waiting at Check-in Traffic / flow Case

• Flow of guests through lines (Check-in(s), Taxi queue(s), Bell/Concierge, etc.)

Improve Productivity and Utilization

• Redirect labor to relieve pressure at key customer touchpoints

Generate more revenue

• Redirect guests leaving an event to open gaming areas with appropriate staffing

Use Case

Improved staff utilization Improved customer service

Volume of guests coming in through front doors

• Are they going to check-in or into casino?

Imagine hospitality without lines…

Track capacity numbers and drive traffic: for future staffing on exact days year-over-year, for Peak times of the day, and for special events/marketing.

• Not all traffic in a casino checks-in, stays at that hotel. How many come through the door, how many actually check-in?

Improved sales

• Opening more tables in casino “hot” areas at right time • Combine with mobile loyalty apps / location services to

direct targeted sales What if you always knew your customer’s name, last experience / interaction, etc.

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| © Copyright 2014 Hitachi Consulting 17

Operations

Management

Asset

Efficiency

Space

Management

Behavior &

Compliance

Maintenance

Management

Project

Management

Building Energy Management

Provide key capabilities to take energy reduction actions

Building Energy Management

Value

Driver

Key

Capabilities

Business

Applications

Improve

Efficiency

• Manage Assets • Manage facilities

• Manage assets & controls • Manage Maintenance • Enterprise Asset Management

Improve

Energy

Program

• Manage Project Portfolio • Manage Project Execution • Manage Operations (SOP)

• Innovation Management

Reduce

Consumption

• Manage Consumption • Manage space • Manage Incentives • Manage compliance • Energy Dashboard

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| © Copyright 2014 Hitachi Consulting

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MTBC – May Tech Industry Luncheon

Enterprise of Things Introduction

Our Focus and POV

Example Solutions

End-to-end Capabilities

Questions and Answers

Internet of Things (IoT) overview

Becoming an

Enterprise of Things

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| © Copyright 2014 Hitachi Consulting

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Enterprise of Things End-To-End Capabilities

Business

Applications

Integrated IoT

Platform

Operational

Technologies

 Vendor Selection

 Embedded software Dev  Standards Integration  Data Governance  Managed Services  Application Hosting  Applications Implementation  Application Integration  BI and Analytics  Device Application Framework

 Gateway Event Processing  Communications and Admin  Java Embedded  Application Management  Integration Platform  Connectivity Platform  Development Platform  Business Applications  Industry Applications  Analytics Platform  Data Center Platform

End-To-End Integration and Management

 Application Development  Technology Integration  Managed Services

 Application Hosting

 Security and administration  Organization Transformation  Strategic Planning

 Program Management  Contract Management

Planning

Integration

Implementation

Edge

Devices

Gateway

Devices

IoT/Network

Platform

Analytics

Platform

Business/

Industry Apps

Data Center

Platform

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| © Copyright 2014 Hitachi Consulting

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Enterprise of Things Workshop

Clarify the opportunity, devise a strategy, tailor the action plan

IoT Awareness

Market Definition &

Opportunity

Common & Relevant

Use Cases

IoT Technology 101

Vendor Ecosystem

Opportunity

Assessment

Current

Portfolio

IoT Application

Opportunities

Deployment

Approaches

Value Prioritization

Enterprise of Things

Action Plan

Timing

Stakeholder

Identification

Data & Research

Needs

SMART Action Plan

Two successive ½ day sessions – with participation from IT, R&D,

Operations/Supply Chain, Marketing, Sales, and Finance

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| © Copyright 2014 Hitachi Consulting 21

Cities / Utilities

Telematics

Public Facilities

Cargo Tracking

Home Automation

Building Management

Hitachi Consulting IoT Credentials

Growing list of IoT success stories

Credentials

People

Buildings

Assets

Cons

umer

s

Pr

o

vider

s

Energy

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| © Copyright 2014 Hitachi Consulting

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Influential IoT Ecosystem

We are talking to a lot of influential players in the IoT space

IoT Platform

Communications

Energy

Products

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| © Copyright 2014 Hitachi Consulting

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Learn More

Additional Information Available

Hitachi Limited: Social Innovation

http://www.hitachi.com/businesses/innovation/index.html

Hitachi Consulting: IoT

http://www.hitachiconsulting.com/iot.cfm

Hitachi Consulting: Sharepoint

https://teams.hitachiconsulting.net/oracleg/wip/iot/default.aspx

Solution Overviews and Cases

Enterprise of Things

Energy Solutions

InMotion People Counting

Home Automation

Sales Presentation and POV

Internet of Things Overview

Building Energy Management

People Management

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| © Copyright 2014 Hitachi Consulting

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