One question I get a lot focuses on the difference between Industry 4.0 and the Internet of Things. “Aren’t they the same thing?” Well, they are and they aren’t. The Internet of Things is a construct by which objects are connected and made smarter. Industry 4.0 connotes the fourth Industrial Revolution, in which this interplay between digital technologies and the physical world is scaled to an industrial level to enable connected production, supply chains, business operations, and beyond. In essence, it’s a scaled up, amped up, industrialized version of the IoT—which is why Industry 4.0 is also known to some as the Industrial Internet of Things.
In our last post, my colleague Scott Corwin highlighted some of the most noteworthy and, frankly, surprising developments we’ve witnessed in the mobility arena in the last few months.
By Scott Corwin
A year ago, we posited that the extended global automotive industry was undergoing an unprecedented transformation into a new mobility ecosystem.1 Since then, the pace of change has been, in our view, breathtaking. Through hundreds of conversations with corporate executives, government leaders, technologists, and academics around the globe, we have gained a front-row seat to how the future of mobility is evolving. In particular, we have witnessed:
Hype and heightened expectations about how Industry 4.0 can help chemicals companies accelerate business growth and optimize operations is prompting executives to think through the advanced technologies they could implement within their company and with their partners in the value chain.
Remember the last time you bought a car?
Hardly anyone finds today’s automotive retail experience—researching, contacting the dealership, test driving, financing, and closing the deal—efficient and satisfying.1
Indeed, just 17 out of more than 4,000 car shoppers in a recent survey said that they were happy with the status quo car-buying process.2 That’s 17 people, not 17 percent.
Auto retailers have acknowledged this dissatisfaction and responded with incremental changes. As other industries become more customer-centric, however, creating a less painful retail experience is increasingly table stakes for carmakers and dealers. Continue reading “The future of auto retailing: preparing for the evolving mobility ecosystem”
Posted by Joe Mariani
It’s not just for consumers and smart gadgets. Whether you call it the Internet of Things (IoT), Industry 4.0, Machine 2 Machine communication or any of the other names by which it goes, the connectivity of devices was among the most talked about technologies of 2015.i While many manufacturers and logistics providers have jumped on board and are using IoT to improve inventory visibility or flows through the production floor, there are still some hurdles to adoption. As we discussed in a recent article, the vast majority of IoT applications right now serve only to cut costs or increase efficiency. While the costs of sensors and computing have dropped in recent years, using IoT solely for cost cutting still may not be enough to justify the initial investment required.
Posted by John Hagel III
I just returned from the Consumer Electronics Show (CES) in Las Vegas and it was striking how much the automobile has become a center of attention at this gathering. It was timely because I just published a new report on the future of mobility™—Navigating a shifting landscape—and I had an opportunity to present my perspectives at CES.
My key message was that we need to avoid getting distracted. It’s easy to get consumed by the amazing technology reshaping the mobility ecosystem. But from a business perspective, the key question remains: Where’s the money?
Continue reading “Where’s the Money? The Future of the Mobility Ecosystem”
The global automotive industry may be on the verge of a fundamental transformation giving rise to a new mobility ecosystem. These changes could have far reaching implications for how we move from point A to point B, and for stakeholders far beyond the auto industry, including gas companies, retailers, insurers, emergency rooms, advertisers, and government regulators.
We might be forgiven for thinking these shifts will materialize only in the distant future, making strategic changes today premature. But the future of mobility is already impacting how businesses operate in an array of industries. Consider just a few recent examples. The US Department of Transportation announced in December that its safety ratings would begin considering the presence of crash-avoidance and other advanced technologies, which are important enabling technologies for autonomous drive that could spur adoption by automakers.1 As of November 2015, Google self-driving cars have completed more than 1.3 million miles of autonomous driving on public streets.2 Several companies developing autonomous cars have indicated they would accept liability should their vehicles crash, a sign of their confidence in the technology and an important development for insurers and the general public.3 AT&T added over a million new connected cars in its third quarter, more than any other wireless category, including smartphones.4 The list goes on, and these developments are just the first tentative steps toward a new mobility ecosystem.
Continue reading “The Future of Mobility, Today and Tomorrow”