Many companies are struggling to find value with IoT data. The costs to store, process, and analyze IoT data can grow quickly. With future financial returns uncertain, some companies are questioning if it is worth the investment.
According to McKinsey & Company, a consulting agency, most IoT data is not used. From their research, less than 1% of data generated by an oil platform was used for decision-making purposes.
Finding value with IoT analytics is often like finding a diamond in a mountain of rubble. We can accept that 1% of the data has value, but which 1% is it? This can vary depending on the question. One man's worthless granite is another man's priceless diamond.
The business value challenge is how to keep costs low while increasing the ability to create superior financial returns. Analytics is a great way to get there.
