What an interconnected world we live in today! Our daily lives rely heavily on technology, and many of the tasks we complete require a device here and a gadget there. Small businesses have had to move with the times from old-school landlines to auto dialing software. We’re living in the “fourth industrial revolution”, with the digital space forming a network through the Internet of Things (IoT), including everything from AI to a VoIP phone system.
And if you’re a small business owner but just Google searched “VoIP phone system definition“, then you should keep reading this article…
What Is the IoT?
The Internet of Things (IoT) is a term referring to the network of connectivity between all things digital, online, cyber, or internet related.
Consider an average morning in 2021. From when your smartphone alarm jolts you awake, to your smart toaster, or the smart TV you watch your morning news on. The pedometer on your smartwatch tracking your steps through your day, and the nighttime sensors that trigger your lights on if you’re not home in the evening. These smart-home tasks and devices are part of the internet of things.
The IoT connects devices to complete tasks, collect data, make analyses, and make decisions. The bottom line is connection. The IoT provides a network of devices to communicate through and to make a connected world possible.
6 Core Benefits Of The IoT For Small Businesses
Image: Photo by Pixabay from Pexels
1. Data Collection
There is great potential for data collection and data tracking for your small business with the internet of things. You can use the Internet of Things to monitor and manage your business’ internal data and improve operations.
The Internet of Things uses sensors to track the state of physical items. Food companies can install smart sensors into their refrigerators to watch and maintain heat levels, and inform you if and why changes occur. This is an example of equipment data collection. You can also track environmental circumstances like temperature.
The Internet of Things’ connectivity also applies to your customers, as they use multiple connected devices, online platforms, and software in their day-to-day life. Your small business can take advantage of this by working with companies related to your business to collect data on your customers’ behavior.
For example, your small business can work with an ecommerce platform like Shopify to find out the latest online store trends that can improve your customers’ experience.
You can also track data through analytics (i.e., taking note of the most popular devices or platforms customers use to access your website and adapting your website strategies accordingly.) Apps are another IoT-conscious way to collect data. You can hire a developer to create an app for your small business, and monitor customer activity on your app.
Of course, you must abide by regional data privacy laws or industry-specific regulations like the Health Insurance Portability and Accountability Act (HIPAA).
2. Boosts Productivity & Efficiency
Efficiency and productivity are central to the successful running of your small business, and utilizing the IoT can lead to increases in both.
Automation software and tools for better communication, record-keeping, documentation, and logistical management, can cut down on your workers’ tasks, allowing them to focus on other issues. This also means you minimize the labor required from your workers, directly impacting your labor costs.
Connecting office devices like computers, printers, screens, smartphones, and more, through applications, office productivity tools, and software helps to streamline and optimize tasks.
You can also use data analysis and analytics in specific apps via the IoT to monitor the progress and effectiveness of tasks completed. By doing so, you can see what works well in enhancing efficiency and remove tools or processes that detract from your productivity.
3. Broader Prospects
An improvement in connectivity opens up your business to a vaster world and makes more things possible for small businesses. By using social media, for example, your business has increased access to customers, competitors, and potential collaborators.
Analytics, artificial intelligence, social media, video communication software, and more all expand the potential of your business, bringing greater opportunities right to you, and enabling competitive analysis and many other business-critical processes.
If you keep up with technological changes, your business also has the potential of creating new opportunities for itself by getting involved in innovating new ways of working within your industry.
4. Logistics Management
Every business owner needs to have an overview of the state of their organization-stock levels, resource management, workplace conditions, departmental statistics, and more.
Not only do you have the internal circumstances of your company to think about, but you also have external factors to consider: regulations, laws, industry stipulations, and more that affect how you run your business. There is much to monitor, and even more, as your business expands.
With the IoT’s connectivity, you can centralize data and information and ease the flow of both. Developments like inventory and order management software assist with this, along with product sensors, tracking systems, and automation.
5. Tightens Security
As with any amazing thing in life, technology use comes with its downsides. In this case, issues of cybersecurity and safety. The network of data established by the Internet of Things means your information is accessible on many fronts, and thus, there are multiple cyber vulnerabilities to your small business. Your business ought to be conscious of this and implement security policies and programs that protect your data.
On another security level, though, the IoT can assist in tightening your workplace security. With better logistics and workplace management, you can ensure that facilities are well maintained, reducing safety risks for employees. You can also use IoT security solutions to automate safety policies and remove bugs in your systems. The technology can nurture a safer workplace for your employees.
6. Adaptability
Now more than ever, businesses need to be able to adapt to changing conditions. In particular, there is a shift to remote work. The IoT enables businesses to be more flexible and mobile; to adapt as needed.
Remote employees and virtual communication mean there is less need for a traditional office space. The ability to work from anywhere leads to flexibility and vaster possibilities.
With interconnected and portable devices and online connectivity, your office is right with you wherever you are. You can process payments, manage orders, market your brand, communicate with features like online faxing, and meet with clients no matter where you.
An example of the impact IoT has had on remote working is the developed use of video-calling internet platforms. Although video calls and conferencing have been around for a while, when combined with the IoT, video platforms have greater potential for connectivity.
The IoT enables different features like having access to information while the video is running, and connecting from different devices or platforms (ie: browser or app).
An additional benefit of remote work is the reduction of costs. The resources you would provide to your employees in a traditional office workspace include security, electricity, devices, sanitation, and stationery, among others. Maintenance of all resources also needs to occur regularly. Remote work reduces, if not completely erases, the cost related to these resources.
IoT’s interconnected nature means remote workers can have access to all necessary information across the devices they have available to them, and your business can maintain functionality and collaboration without breaking the bank.
The Bottom Line Is… The Future Is Tech
The COVID-19 pandemic has affected how the world functions in tremendous ways. One could even suggest that it has established a new world order. It’s accelerated the move to a world in which we rely even more on technology to connect us to others. This has required businesses to come to the party and figure out how to sustain profits and productivity and adapt.
Small businesses, in particular, have had to get creative about how they make their business work with minimal resources. The Internet of Things stepped forward impressively in 2020, presenting itself as a further answer to more of small business’ operating issues.
Through the IoT and other tech developments, small businesses have stayed connected and found innovative ways to stay afloat. Its use can be cost-effective, adaptable, and vital to business functions like customer service provision, expansion, and management.
Of course, let’s not run away from the question of cybersecurity. It is a major consideration, but one that can be easily addressed with investment in a trustworthy cybersecurity platform.
There is also the issue of standardization. Software and quality vary between devices, which affects connectivity. Think, for example, about the limitations of Android software versus iOS, and vice versa. If standardization can take place in the Internet of Things, more devices can connect easily, increasing productivity and efficiency.
Understanding and investing in the Internet of Things is a smart business move, one that your company should make today.
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ABOUT THE AUTHOR
Elea Andrea Almazora- RingCentral US
Elea is the SEO Content Optimization manager for RingCentral, the leader in global enterprise communication and collaboration solutions on the cloud. She has more than a decade’s worth of experience in on-page optimization, editorial production, and digital publishing. She spends her free time learning new things.
