What is the Internet of Things (IoT)?

The Internet of Things (IoT) is a term that’s becoming increasingly common. But what exactly does it mean?

In simple terms, IoT refers to the network of physical devices connected to the internet. These devices, embedded with sensors and software, can communicate and exchange data with each other.

From your preheated oven notifying you that it’s ready (because who doesn’t want to be alerted when it’s time to bake that extra-large batch of cookies?) to lightbulbs that are somehow smart enough to dim themselves when you’re trying to binge-watch your favorite show, IoT is making our lives more connected than ever.

It’s not just about convenience, though—who knew we’d ever need a notification when the oven has reached a toasty 350 degrees? 

IoT is transforming industries, changing how businesses operate, and even influencing consumer behavior. However, with this increased connectivity comes new challenges, particularly regarding security.

In this article, we’ll explore its applications, impact, and securing our connected devices.

Understanding The Internet of Things (IoT)

The Internet of Things (IoT) is a network of physical items with built-in sensors, software, and internet connectivity. This setup allows these items to gather and share data. 

These devices, often called “smart objects,” can range from simple gadgets like smart thermostats for homes to advanced factory machinery. There’s even the idea of creating whole “smart cities” using IoT technology.

IoT enables these devices to talk to each other and other internet-connected devices, creating a vast network where data is exchanged and tasks are automated. For example, IoT can control factory operations and track inventory in warehouses. The applications for IoT are wide-ranging and are already making a difference in many industries, such as manufacturing, healthcare, and finance.

As more devices connect to the internet, IoT’s role in transforming our daily lives and interactions will continue to grow.

Everyday Examples of IoT

IoT is not a distant, futuristic concept– It’s part of our daily routines. Many of us encounter it without even realizing it.

Here are some everyday examples:

• Smart Home Devices such as smart doorbells, cameras, heating and cooling, and smart appliances.
• Remote car starters allow you to start your car from your mobile device.
• Smart speakers such as Google Alexa allow you to request music or the weather with voice commands.
• Wearable health monitors such as the Oura Ring track vital signs, sleep, and activity.

IoT simplifies tasks that once required human intervention. It creates a networked lifestyle that learns from our habits and preferences. Through IoT, ordinary objects gain “intelligence,” making our lives more convenient and efficient.

Examples of IoT Applications in Business

Internet of Things (IoT) in Healthcare Examples

Implantable Glucose Monitoring Systems

People with diabetes can have small devices with sensors placed under their skin. These sensors send alerts to their phones when blood sugar levels drop too low and keep track of past data. This helps patients understand when they might be at risk for low blood sugar, both now and in the future.

Heart Monitors with Reporting

Patients can use devices that track their heart rates and check for high blood pressure. Healthcare providers can access this heart monitor data during check-ups and exams. These wearable devices can also notify healthcare professionals if patients have irregular heartbeats, palpitations, strokes, or heart attacks. This allows ambulances to be sent out quickly, which can be crucial for saving lives.

Medical Alert Systems

People can wear items that look like jewelry but are actually made to alert family or friends in an emergency. For example, if someone has a medical alert bracelet and falls out of bed at night, their chosen contacts will get an instant message on their smartphones saying that help is needed.

Wireless Sensors

Wireless sensors are now used in laboratories and hospital fridges to ensure blood samples, refrigerated medicines, and other medical materials stay at the correct temperatures.

Location Services

Equipment like wheelchairs, scales, defibrillators, nebulizers, pumps, and monitors can be equipped with IoT sensors, making it easy for healthcare staff to find them. These essential tools can often get lost or are difficult to locate, but with IoT technology, staff will always know where everything is.

Internet of Things (IoT) in Manufacturing Examples

Predictive Maintenance

Rather than changing machinery parts on a set schedule to avoid failures, technicians can use predictive maintenance to check the equipment’s condition and only replace parts when they’re really needed.

Energy Management

An IoT-enabled energy management system gives manufacturers a clear view of the energy used for each piece of equipment or the entire plant around the clock. Companies can gather data throughout their manufacturing processes by using wearables, sensors, and other IoT devices. This technology helps manufacturers lower costs by decreasing energy losses from transformers, minimizing standby power, and avoiding peak demand periods.

Real-time Product Enhancement

Thanks to IoT-enabled sensors, manufacturers can keep track of how their products perform even after leaving the factory. They can also update the software and settings remotely, which means they can fix issues, make improvements, or add new features without physically accessing the product.

Supply Chain Optimization

Manufacturing companies can improve their supply chain management using smart sensors. By adding RFID/NFC tags or QR codes to their products or machines, businesses can keep track of their items from raw materials through different production stages. Additionally, IoT-based asset tracking systems can help check stock levels and spot any differences between the actual amounts and what they expect to have.

Quality Assurance

Manufacturers can use IoT sensors to monitor things like pressure, temperature, and humidity to make sure their products meet quality standards. By checking product quality during the production process instead of waiting until the end, companies can significantly improve the quality of their products while also saving time and money.

Safety Improvement

Manufacturers can improve safety by using sensors on workers and machines to spot potential dangers almost instantly. For instance, they can quickly find hazardous chemicals or detect high temperatures in the factory and take steps to protect workers. Additionally, if the sensors show that a machine isn’t working correctly, it can trigger maintenance to fix the issue before it becomes a bigger problem.

Internet of Things (IoT) in Finance

IoT Payments

IoT payments are transactions made by devices without a person being involved, using specific rules.

Platforms that support IoT payments let customers pay their bills using different devices, such as contactless cards, smartphones, and smartwatches. By integrating this into your invoicing process, you can enhance customer experiences and streamline the payment process.

Customer Service

IoT devices are great for quickly assisting customers. For example, smartphones can alert account or customer relationship managers when a customer enters your office. This allows you to quickly address their needs, which helps build trust and loyalty.

IoT devices can also guide customers around your office by directing them to the right person. For instance, Citibank lets customers use their phones to open doors at ATMs.

Fraud Detection

Banks and financial institutions are primary targets for hackers. When combined with machine learning (ML) technology, Internet of Things (IoT) devices can help spot unusual activities by gathering data from different sources like payment systems, servers, and ATMs. This allows for the quick detection of fraud and money laundering, enabling the necessary actions to be taken swiftly.

Auditing

Accounting and auditing play a vital role in spotting any issues in financial processes and detecting fraud. Traditionally, these methods involve a lot of paperwork.

However, with the Internet of Things (IoT) in accounting, all transactions can be tracked in real-time and sent directly to the accounting department. This means accountants can easily monitor the audit trails of employees or different departments as they make purchases or receive money. This approach makes the accounting process more efficient and reduces the effort needed for audits, ensuring that everything runs smoothly and with fewer mistakes.

How Should Businesses Handle IoT?

Managing Internet of Things (IoT) devices can be tricky, but following some key practices can help businesses keep their devices secure, efficient, and running smoothly. Here are some simplified tips for managing IoT devices:

Create an IoT Plan: Before setting up any IoT devices, businesses should clearly identify what they want to achieve and how they plan to use them. This helps select the best technologies and ensure the IoT plan aligns with overall business goals.

Select Secure IoT Devices: Security is crucial for IoT devices, as they can be easy targets for cyberattacks. Businesses should pick devices that prioritize security and use protective measures like encryption and access controls.

Regular Monitoring and Maintenance: It’s essential to regularly check and maintain IoT devices to keep them working well and secure. This involves tracking their performance, updating software, and conducting security checks.

Efficient Data Management: IoT devices produce a lot of data, which can be overwhelming. Businesses should establish a clear strategy for managing this data—covering storage, analysis, and how to visualize the information—to gain valuable insights.

Build a Strong Ecosystem: IoT devices are often part of a broader system that includes other devices and platforms. Businesses need to ensure their IoT devices can effectively work with these different technologies for better integration and functionality.

Consider an IoT Device Network: IoT Device Networks are a way to improve security by keeping your Internet of Things (IoT) devices on their own separate parts of the network. This helps protect sensitive information by making sure these devices aren’t connected to computers or personal phones, which reduces the chances of unauthorized access and potential threats.

Conclusion

In summary, the Internet of Things (IoT) is truly changing how we engage with our surroundings, seamlessly integrating convenience and innovation into our daily lives. As we welcome smart devices into our homes and workplaces, making our routines smoother and more efficient, it’s crucial to consider how these connections impact us.

While IoT brings many benefits—like enhanced efficiency and a better user experience—it also underscores the urgent need for strong security measures to safeguard our devices and personal information. As we venture further into the world of IoT, prioritizing security will be essential to ensure that our increasingly connected lives remain enjoyable and safe.

Ready to implement IoT devices within your Northeast Ohio business? AtNetPlus IT experts will work with you to develop a customized strategy that fits your unique needs.