Launching the Internet of Things: how to ensure a successful debut

Abstract

Purpose Companies that leverage the Internet-of-things (IoT) will gain significant competitive advantages over the competition; however, few businesses have active IoT initiatives. This paper aims to provide principles to guide executives as they launch or scale-up IoT initiatives. Design/methodology/approach This paper draws upon data from original expert interviews and an extensive study of existing scholarly literature, management publications and white papers from leading strategy and technology firms. Findings Close cooperation among a company’s operations, business strategy and information technology units creates a trifecta of skills, vision and budgeting that can successfully bring major IoT initiatives to fruition. Unfortunately, many companies face a misalignment among these departments. The way to overcome this misalignment is to create a cross-functional team dedicated to IoT initiatives. Leaders should build these teams on the principles of autonomy, rational compensation, equality and diversity. Practical implications This paper provides strategic advice for business leaders as well as four guiding principles with which to execute their IoT strategies. Originality/value Much of the writing about IoT advocates initiatives by teaching about the many business benefits of IoT or provides a use case for a specific type of IoT technology. This paper focuses on removing a major obstacle faced by many business leaders who want to embrace the IoT but find themselves unable to do so.