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We keep hearing about this concept called the Internet of Things. What does it mean and what is the impact on customer service?

6/9/2015

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Question
We keep hearing about this concept called the Internet of Things. What does it mean and what is the impact on customer service?

Answer

The Internet of Things (IoT) is a concept where objects have the ability to constantly transfer and receive data without the need for human intervention. A “thing” can be any object, natural or man-made, that can be allocated an Internet Protocol (IP) address and transmit or receive data over a network. Today IP-enabled sensors are in objects such as medical equipment (computed tomography (CT) scanners), electrocardiography (EKG) monitors, and blood glucose monitoring systems); automobiles; wearable devices (the wristwatch); home appliances (refrigerators, televisions, heating, ventilation and air conditioning (HVAC) systems, etc.); heavy machinery (tractors, bulldozers, oil and gas drilling equipment, etc.); as well as the more common devices such as smartphones, tablets, etc. The maturation of wireless, mobile and micro-electromechanical systems (MEMS) technology, along with the accessibility and speed of the Internet, are playing an important role in advancing the concept of IoT.

IoT could revolutionize the world of customer service, converting many services from reactive to proactive. Using IoT, companies could proactively monitor everything from home appliances and cars to the equipment used in hospitals and manufacturing plants, allowing the “thing” to “reach out” for help before there is a failure. Consider the benefit of a washing machine notifying the company’s field service organization a few weeks before an essential piece of equipment is going to fail. Using IoT, companies could significantly improve the performance of their products, while also optimizing the delivery of services to their customers.

As the IoT smart devices or nodes are added to the network, companies will need to develop ways to store, track and analyze the vast amounts of data that will be generated. Organizations will also need to address new concerns related to the privacy, integrity and security of data. While the full impact and benefits of IoT are yet to be determined, organizations should start discussions and education about the opportunities, challenges and potential benefits of this capability to customer service as more smart devices continue to come online.