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Industry 4.0 - How Disruptive Technology Affects Business Globally - To Disrupt or Risk Being Disrupted


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Invited Talk - Arshad Ayub Graduate Business School (AAGBS), UiTM SHAH ALAM, June 9, 2018

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Industry 4.0 - How Disruptive Technology Affects Business Globally - To Disrupt or Risk Being Disrupted

  1. 1. favoriot Dr. Mazlan Abbas CEO, FAVORIOT Email: Invited Talk - Arshad Ayub Graduate Business School (AAGBS), UiTM SHAH ALAM, June 9, 2018 Industry Revolution 4.0 How Disruptive Technology Affects Business Globally “Get Ready to Disrupt or Risk Being Disrupted”
  2. 2. favoriot COMFORT NeedalittlePush
  3. 3. favoriot Where Are We in the Industrial Revolution? Manual Electrical Automation Intelligence
  4. 4. favoriot Industry 4.0 (I4.0) Equal to 4th Industrial Revolution (4IR)?
  5. 5. favoriot The 4th Industrial Revolution vs Industry 4.0
  6. 6. favoriot 4th Industrial Revolution Technologies
  7. 7. favoriot Which Industrial Revolution Is This?
  8. 8. favoriot Which Industrial Revolution Is This?
  9. 9. favoriot Which Industrial Revolution Is This?
  10. 10. favoriot Business Survival in 21st Century • Every 3 to 7 years, organizations need to reinvent themselves • According to The Boston Consulting Group - S&P 500 Companies from 50 years ago – only 19% are still in existence
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  12. 12. favoriot Who Will Replace Your Jobs? [Source: ]
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  14. 14. favoriot The 3 Tsunamis of Internet Fixed Internet Mobile Internet Internet of Things (IOT)
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  16. 16. favoriot Understanding IOT What is Exactly Internet of Things?
  17. 17. favoriot [Source: ]
  18. 18. favoriot Sensors: • Camera – “Eyes” • Audio – “Ears” • Accelerometer – “Speed” • GPS – “Location” • Gyroscope – “Movement” • Compass – “Direction” • Proximity – “Closeness” • Ambient light – “Eyes” • Others… Context 1. Spatial – Location / Speed Orientation 2. Temporal – Time / Duration 3. Environmental – Temperature / Light / Noise Level 4. User Characterization – Activity (Mobility Pattern) / Social (Friends, Interactions) 5. Resource Availability – Storage / Memory / Computational / Battery Your Smartphone is an IoT Device
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  22. 22. favoriot Why IoT Is At An Inflection Point? Hardware is cheap Connectivity is pervasive Moore’s Law continues Metcalfe’s Law ”Network Effects” Development is easy
  23. 23. favoriot IOT Maturity Autonomous OptimizationControl Monitoring
  24. 24. favoriot MONITORINGVehicle Tracking
  25. 25. favoriot CONTROL Security Lock Immobilizer
  26. 26. favoriot OPTIMISEBest Route Safe Fuel Optimize Engine
  27. 27. favoriot AUTONOMOUSSelf-Cruising Safe-Sailing
  28. 28. favoriot UBER is Disruptive
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  30. 30. favoriot Motorcycle Ride-Sharing Versus Indonesia Malaysia
  31. 31. favoriot DRIVERLESSTAXI
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  33. 33. favoriot FLYINGTAXIAAV – Autonomous Aerial Vehicle
  34. 34. favoriot Understand Your Customer’s Business How the customer uses your product? What the customer uses your product for? How frequently your customer used the product? Where and for how long your customer used your product? Why your customer uses your product?
  35. 35. favoriot Example - Is It Worth to Track a Person? USD 20 Per Month Payfor Fun? PaytoSaveUSD 30permonth PaytogetnewRevenue USD25permonth PayforLoyalty Program
  36. 36. favoriot Market Potential Examples
  37. 37. favoriot Market Potential Transportation Connected cars are a top IoT device. We estimate there will be over 220M connected cars on the road by 2020. [Source:] Insurance A survey has found that 74% of insurance executives believe the IoT will disrupt insurance within the next five years. 74% also plan to invest in developing and implementing IoT strategies by 2016, according to an SMA Research survey.
  38. 38. favoriot Are You A Safe Driver?
  39. 39. favoriot Bus Accidents in Malaysia
  40. 40. favoriot IMAGINETHIS…
  41. 41. favoriot Market Potential Connected Home Smart meters are already a reality, and from the 313 million installed in homes worldwide in 2013, Navigate Research predicts that number to jump to 1.1 billion by 2022 [Source:] Agriculture We estimate 75M IoT devices will be shipped for agricultural uses in 2020, at a 20% CAGR. These devices are primary sensors placed in soil to track acidity levels, temperature, and variables that help farmers increase crop yields.
  42. 42. favoriot Connected Home - Example
  43. 43. favoriot Market Potential Healthcare We estimate 646M IoT devices will be used for healthcare by 2020. Connected healthcare devices can collect data, automate processes, and more. Smart Buildings 43% of building managers in the US believe the IoT will affect how they run their building within the next 2 to 3 years, according to a survey from Daintree Networks. [Source:]
  44. 44. favoriot Market Potential Manufacturing 35% of manufacturers already use smart sensors. 10% plan to implement them within a year, and 8% plan to implement them within 3 years, according to PwC [Source:]
  45. 45. favoriot By Peace of Mind During Hajj/Umrah
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  47. 47. favoriot Very crowded area. About 2.3 Million in Mount Arafat or Mudzalifah or Mina at one particular period of time. Average 6 persons per sq. meter during peak period Indonesians Umrah - 2017 Core Customer Problems LOSS OF DIRECTION Missing pilgrims. Problems to remember direction to camps or accommodation COMPLEXITY OF MANAGING PILGRIMS Whereabouts of Pilgrims and Emergency Assistance HEALTH CONDITION Crowds and people from all around the world – vulnerable to infectious disease or outbreaks. Hot weather can cause dehydration CAUSE OF ANXIETY TO FAMILY MEMBERS Lack of communication Indonesians Hajj - 2017
  48. 48. favoriot The Solution Flexi-1 Raqib Mobile App Benefits to Family Members: • Peace of Mind • Monitor Health and Location • Keep in constant communications Raqib Wearables Benefits to Pilgrims: • Assist Pilgrims to find their way back • Keep in constant communications Raqib Dashboard and CRM Benefits to Pilgrims Authorities: • A new source of revenue stream • Service differentiation • Better customer service to their PilgrimsEzy-1 Core IoT Middleware/Platform Raqib Is The Companion You Need on Your Hajj & Umrah
  49. 49. favoriot Building IR 4.0 Applications Leveraging the IOT Ecosystem
  50. 50. favoriot Data Ownerships Personal/Household Private Public CommercialSensorDataProvider
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  53. 53. favoriot Wisdom Knowledge Information Data More Important Less Important Benefitto Hum anity Evaluated understanding Appreciation of Answers to questions. Symbols Understanding Answers to questions WHO WHY HOW WHAT WHERE WHEN Value is Created by Making Sense of Data
  54. 54. favoriot Wisdom Knowledge Information Data More Important Less Important Benefitto Hum anity Evaluated understanding Appreciation of Answers to questions. Symbols Understanding Answers to questions WHO WHY HOW WHAT WHERE WHEN Value is Created by Making Sense of Data
  55. 55. favoriot Wisdom Knowledge Information Data More Important Less Important Benefitto Hum anity Understanding Example: Smart Waste Management N/A Who is collecting the garbage? What is the status of the garbage bin? When was the garbage collected? Where is the location of the full bin? How to plan the route of the trucks? How many days till the next collection? Why the garbage truck not picking the garbage? Why a particular area is full of garbage? Empty (0), Full (1)
  57. 57. favoriot Home Health Transport OfficeWaste IOT Platforms - From Vertical To Horizontal Blending Data - Creating New Compound Applications
  58. 58. favoriot Delivering The Whole IOT Puzzle Internet Biometric Ultrasonic Temp Humidity Pressure Motion Position Light Image Motor Switch Lighting Valve SensorsActuators IOTPlatform Analytics Applications WiFi 2G/3G/4G An IoT platform is able to connect to devices and sensors in real time, process data and drive big-data analytics in the cloud.
  59. 59. favoriot IoT Ecosystems
  60. 60. favoriot The Growing of IoT Ecosystems favoriotfavorwatch Malaysia IoT Ecosystem
  61. 61. favoriot favoriot IoT Middleware “Creating an IoT Innovation Ecosystem”
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  63. 63. favoriot Smart Modules Smart Objects Connectivity Platform S/W Customization/ System Integrator Application s /Analytics Resellers / Channels Malaysia IoT Ecosystem As of March 28, 2018 @ 9.00 am R&D/ Universities ©IoTDiscussion Group
  64. 64. favoriot Why favoriot ? 1. Customizable platform 2. Reduces time to market from months to weeks 3. Minimizes the cost and risk of application development 4. Can be easily tailored for multiple business applications 5. Capable of handling millions of devices and scale elastically 6. As the platform evolves, you get new features for free 7. Speeds up the rule creation process 8. Easily handling data ownership for sharing and monetizing
  65. 65. favoriot favoriot IoT Middleware Offers • Device Connectivity - Supports different protocols and data format. Application Programming Interface (API) ensuring accurate data streaming and interaction with all devices • Device Management - To ensures the connected “things” are working properly. We create the abstraction of the physical devices in IOT realms within the IOT middleware • Scalable Database - Scalable storage of device data brings the requirements for hybrid cloud-based databases to a new level in terms of data volume, variety, velocity and veracity • Business Logic - Brings data to life with rule-based event-action-triggers • Notification Engine - Combining business logic with notification engine enable execution of “smart” actions based on specific sensor data • Dashboarding - Enables users to see patterns and observe trends from visualization dashboards where data is vividly portrayed through various type of charts • Application Programming Interface - APIs that act as interfaces for third party systems • Security - All interaction with the IOT Middleware are secured via HTTP/TLS protocol
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  67. 67. favoriot Gateway 3G/Ethernet/Wi-Fi IOT Devices IOT Devices 3G/Ethernet/Wi-Fi HTTPS Push/Pull Service Social Media Integration DEVICE CONNECTIVITY (REST, MQTT) APPLICATION INTEGRATION DATA MANAGEMENT DATA STORE BUSINESS LOGIC NOTIFICATION ENGINE REST API Custom Reporting SECURITY BIG DATA TOOLS Application Development AUTHENTICATION Data Analytics
  68. 68. favoriot Examples of IoT Solutions
  69. 69. favoriot favoriot Platform Users
  70. 70. favoriot Demand for IoT Talent [Source: internet-of-things-demand-for-iot-talent-surges-300-in-last-3- years/729007/ ] [Source: professionals/ ]
  71. 71. favoriot Malaysia Needs 100K IoT Professionals Choose Your Value-Chain: 1. End-device components 2. End devices and sensors 3. Embedded operating systems 4. IT, network and OSS infrastructure 5. Security 6. IoT Middleware 7. Cloud infrastructure 8. Analytics applications 9. Visualization applications 10.Management and applications enablement software 11.Service providers 12.Vertical products and solutions 13.System integrators [Source: ]
  72. 72. favoriot Difficulty in coordinating actions across different organization units Lack of courage to push radical transformation Lack of necessary talent Concern about cybersecurity when working with third party providers Lack of business case that justifies investment in the underlying IT architecture Top Barriers to Industry 4.0
  73. 73. favoriot Diffusion of Innovation
  74. 74. favoriot Who Are The New Generation-IoT?
  75. 75. favoriot They are pioneers in IoT They are willing to learn and take risks and are good at building virtual teams internally and partnering externally. You can recognize these new winners not by their age or their titles—but by their ability to build and deploy agile, flexible business solutions. A new generation of leaders, makers, thinkers, and doers is meeting that change with flexibility and optimism and transforming it into opportunity.
  76. 76. favoriot They are eager to champion and drive these opportunities in their organizations. These people know that IoT is not just one project, one training session, one change. They know that in order to succeed they and their organizations need to adjust and re-learn, over and over again. These are the people who see the transformational power of IoT-driven processes, business models, and new revenue streams.
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  78. 78. favoriot Download Presentation Slides Here - /mazlan1
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