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Internet of Things (IoT) and ERP

In order to take advantage of the huge amounts of data which will be collected with the Internet of Things (IoT), it is necessary that the future ERP system is flexible, intelligent and delivers real-time information.

What is Internet of Things (IoT)

The Internet of Things (IoT) is the term for network consisting of all types of physical devices with access to the Internet, which includes everything from mobile phones, coffee makers, washing machines to cars and buildings. So pretty much everything you can think of.

In short, the Internet of Things (IoT) expands the connection possibility to the Internet for all types of devices, so it is not only desktop computers and smartphones which are connected, but billions of devices of all types. Some estimates that over 100 billion units by 2020 will be connected to the Internet.

Internet of Things (IoT) and ERP

The Internet of Things (IoT) will open up many new possibilities, a world where devices talk to each other through a two-way connection.

By collecting, analyzing and processing data from sensors things, companies will now be able to offer their customers new services. A product is therefore not out of a company's hands after it has been purchased by the customer. In the future, manufacturers will be able to monitor each product and therefore be better able to advise customers and offer additional services. By utilizing the new technology successfully gives businesses additional sales arguments.

The ERP system becomes essential to organize the unstructured data from individual devices with structured business data from the ERP system. It is essential that the ERP system is able to manage, analyze and display all the data in real time.

Challenges

Internet of Things is still in the development stage and there are still a number of challenges to be solved. The most important of these is data security. The increasing amount of devices that are connected via the Internet increases at the same time the number of options on how to hack the system and thereby pose an increasing threat to companies. Another problem is the huge amount of data from the many units that require huge storage space, which currently sets the limit for the full development of the Internet of Things.
 
 

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