THE INTERNET OF THINGS - Globe myBusiness Academy...Ionics EMS Inc., they’re developing “a new...

THE INTERNET OF THINGSWhat Philippine Manufacturers Need to Know

THE INTERNET OF THINGSWhat Philippine Manufacturers Need to Know

1 Introduction

Foreword

3 What is the Internet of Things? Digital Devices Data IoT Network

8 Who is Using the Internet of Things? The Internet of Things for Consumers The Internet of Things in the Philippine Manufacturing Landscape Concepcion Industrial Corporation’s Smart Appliances Other Innovations by Local Companies

14 Using the Internet of Thingsfor Your Business Supply Chain and Production Delivery and Logistics Human Resources and Training Security Infrastructure

26 What Will it Take for the Internet of Things to Thrive in the Philippines? Reliable Connectivity Hardware & Software Optimization & Practice Human Capital

32 What Now?

IMAGINE a world where your business is optimized by digital

technology and physical infrastructure working

seamlessly together.

IMAGINE having your supply chain and equipment connected

in one network, where you can easily monitor progress

and quality.

IMAGINE running your business with by-the-minute updates

on what your customers want, 24-hour surveillance of your

factories, and automated production lines that work with

the utmost precision and e�ciency.

With the Industrial Internet of Things, all this and more is

possible. Industrial IoT is quickly becoming a global

phenomenon, such that it has been dubbed as the trailblazer

for a new Industrial Revolution.

This white paper discusses the possibility and implementation

of IoT in the Philippines’ manufacturing sector. It o�ers a

comprehensive look at the many ways IoT can change your

enterprise and its operations, and it highlights the ways you

can utilize the precursors of IoT in your manufacturing

business today.

Allow us to guide you throughthis road to innovation.

Derrick HengSenior Advisor,

Globe MyBusinessGlobe Telecom

FOREWORD

The INTERNET OF THINGS has been making waves lately as

an innovative way to make devices smarter. It optimizes them

to gather data, connects them to each other via the Internet,

and makes use of this network of information to improve

consumers’ lives.

IoT is already making its mark in the Philippines today.

Consumers are looking at smart thermostats, smart speakers,

and even smart wearables like the Apple Watch or FitBit.

These devices all have something in common: they’re enabled

by technology and the Internet to gather data, which

consumers can make use of in order to set goals, conserve

energy, or enjoy life more.

However, rather than just an innovation to make lives easier

for consumers, research suggests that IoT’s greatest

beneficiaries will be businesses. Among those businesses, the

industry to benefit the most will be manufacturing. Nearly

every facet of the process manufacturers go through everyday

can be optimized by IoT, and with our current technologies,

we’re only seeing the tip of the iceberg.

This white paper prepared by Globe myBusiness can help you

better understand how IoT works, and give you an insight on

how you can use it for your business.

Albert de LarrazabalChief Commercial O�cer

Globe Telecom

FOREWORD

The Internet of Things: What Philippine Manufacturers Need to Know 1

$5 Trillion. That’s the annual economic value that McKinsey & Company, a global management consulting

firm, expects will be created by the Internet of Things across B2B environments such as factories, construction

sites, oil & gas, and o�ces1. 38% of that value will accrue to emerging markets.

As of February 2017, the Philippines’ merchandise export sales amounted to $4.782 billion2

and reached a gross value added (GVA) of PHP 2.7 trillion3. With these statistics, Philippine

manufacturers stand to gain enormously from adopting hardware, software, processes, and tools that

leverage the Internet of Things. But what exactly is it?

1http://www.mckinsey.com/business-functions/digital-mckinsey/our-insights/an-executives-guide-to-the-internet-of-things2https://psa.gov.ph/tags/exports3https://philippinemanufacturing.wordpress.com/category/status-of-manufacturing/

http://www.mckinsey.com/business-functions/digital-mckinsey/our-insights/an-executives-guide-to-the-internet-of-things

https://psa.gov.ph/tags/exports

https://philippinemanufacturing.wordpress.com/category/status-of-manufacturing/


The INTERNET OF THINGS is a revolutionary system that forms an online network of computing devices

embedded in everyday objects, enabling these devices to send, receive and analyze data at scale.

In a business setting, these optimized processes allow entrepreneurs to make more e�ective business decisions,

ultimately growing revenues and the bottomline.

3

What is theInternet of Things?

Whether or not you’ve heard of the Internet of Things, you’ll surely become morefamiliar with the term in the next few years.

The Internet of Things: What Philippine Manufacturers Need to Know

4

To debunk a common misconception, IoT is more than just machine-to-machine functionality. It involves the

combination of three systems:

Getting to know these three pillars and the way they interact is the easiest way to understand and simplify IoT.

DIGITALDEVICES DATA IoT

NETWORK

“The value of IoT products doesn’t come fromthe technology, or the Internet, or the things. Value iscreated in IoT by making sense of data, turning it into

knowledge and meaningful action.”- What the Internet of Things is Not About by Stijn Schuermans, founder of Innovictory and

Senior Business Analyst at leading app economy research company SlashData


https://www.slashdata.co/blog/2015/03/what-the-internet-of-things-is-not-about

01 DIGITAL DEVICESThe Internet of Things is defined by the

networking of physical things (hence its name)

by enabling them with sensors, cameras,

software, and network connectivity. These

things range from household appliances,

vehicles, machinery and equipment,

infrastructures, and even clothing. When

embedded with sensors, software and

connectivity, these “digital devices” are able

to gather, analyze, send, report and even act

upon data.

5The Internet of Things: What Philippine Manufacturers Need to Know

02 DATAThe data that digital devices collect often

depend on the devices themselves. An easy

example would be a refrigerator that keeps

track of the products inside it, a car that notes

commonly visited locations and drives itself to

those venues, or sensors on machinery that

predict the machine’s degradation.

In fact, sensors can be made to detect various

factors: temperature, touch, proximity,

pressure, the presence of smoke and gas … the

list goes on and on.

But the important part of IoT isn’t the data

itself, even though that’s pretty

revolutionary―it’s the many uses of that data,

which can be dissected and understood

through the IoT network.


03 IoT NETWORKThe most important part of IoT is the

network that brings everything together.

By connecting all these sensors (i.e. the

ones in the refrigerator, the car, or the

machine) to one network, you can access

all the data they collect―and in the case

of manufacturing, you can use this data

to improve business operations.


8

Who is using theInternet of Things?

But the Internet of Things is, after all, relatively new. It’s being repeatedly improved and revamped, and we are still

on the first few steps toward maximizing its potential.

With this revolutionary technology, it’s undoubtedly at the forefront of many successful companies’ operations.


Right now, the praise for IoT is more pronounced on the side of consumers, as there are a number of digital

devices people can use to optimize their own homes.

9

The FitBit is a heart rate

monitor designed as a

wearable, so you can track

your pulse anywhere you go,

allowing you to set fitness

goals and keep them.

Samsung’s SmartThings are a

wide range of appliances you can

use at home to conserve energy,

get healthy, and even have fun.

The Apple or Pebble watch

functions almost like a

smartphone you wear on your

wrist with the many apps,

functions and programs it has.

Drones come with a multitude of

uses. They can be used for

photography, surveillance, or

even sports like drone racing.

See other products here: http://iotlist.co


http://iotlist.co

Amazon’s Echo and Alexa

devices allow you to control

other IoT devices in your

home through voice

commands.

Google’s VR Headset

allows you to experience

virtual reality in ways

you’ve never seen before,

and can take you to

di�erent places or

situations from within the

safety of your own home.

The Ring Video Doorbell

secures your home

through multiple devices

that allow you to monitor

and communicate in

every room of your house,

all through one platform.

Nest’s learning

thermostat remembers

your temperature

preferences, learns your

schedule, and programs

itself to save energy.

See other products here: http://iotlist.co


http://iotlist.co

11

The Internet of Things in the Philippine Manufacturing Landscape

1https://www.i-scoop.eu/internet-of-things-guide/internet-of-things-in-manufacturing/ 2http://www.mckinsey.com/business-functions/digital-mckinsey/our-insights/an-executives-guide-to-the-internet-of-things

IoT will be more valuable to businesses―most

especially the manufacturing industry1. It’s foreseen

that emerging markets will be the prime areas for

IoT adoption, and eventually, the number of IoT

deployments in developing economies might

surpass those in advanced ones2. This is good news

for countries like the Philippines.

Many internationally-acclaimed corporations are

spearheading the use of IoT for manufacturing, and

some local companies have been quick to jump on

the bandwagon as well.


https://www.i-scoop.eu/internet-of-things-guide/internet-of-things-in-manufacturing/

http://www.mckinsey.com/business-functions/digital-mckinsey/our-insights/an-executives-guide-to-the-internet-of-things

12

“Our vision [is] to build better lives by using smart solutions in

our products, which will provide comfort and convenience to

our consumers. To be able to realize this vision, we are forming

a strategic alliance with Ionics to help us develop and apply

the technology to our locally manufactured appliances.”-Raul Joseph Concepcion, chief executive of CIC,

in an interview with ABS-CBN News

One of the most notable local companies to make

the leap is consumer and industrial solutions

manufacturer Concepcion Industrial Corporation.

Teaming up with electronics manufacturing house

Ionics EMS Inc., they’re developing “a new

generation of smart appliances and products using

the Internet of things (IoT) technology”1.

Already they have developed smart appliances like

air conditioners, refrigerators, and washing

machines that are optimized with network

technology in order to make them more

energy-saving, which is beneficial for both the

consumer and the planet.

1 http://business.inquirer.net/209193/209193

Concepcion Industrial Corporation’s Smart Appliances


http://news.abs-cbn.com/business/04/06/16/concepcion-industrial-partners-with-ionics-for-internet-of-things

13

JuiceBox creator Jason Josol and his team won

the AngelHack Manila award for their futuristic

IoT juicebox.

Photo: https://e27.co/

Galileo CEO Jun Lozada and his team of

innovators at the launch of TARA.

Photo: http://www.philstar.com/

A Clearskies drone takes its first test

flight of 2016.

Photo: https://www.facebook.com/clearskiesph/

Other Innovations by Local Companies

CIC and Ionics are not the only ones trying their

hand at implementing IoT in the country. In Scoping

out the Internet of Things in the Philippines, Harvey

Barkin quotes some entrepreneurs who shared their

own experiences with IoT:

JuiceBox creator Jason Josol says they built a 3D

model of a customizing juicer

Galileo CEO Jun Lozada found a way to ensure

the safety of a mobile device and its user against

cyber thieves

Clearskies CEO Vince Villena and his team put to-

gether unmanned aerial vehicles (UAVs) or drones

to detect oil and gas leaks.


https://e27.co/

http://www.philstar.com/

https://www.facebook.com/clearskiesph/

14

We’ve touched on some of the ways IoT can enhance life for consumers and even for business owners, but there are many more enhancements IoT can o�er to themanufacturing industry.

Using the Internet of Thingsfor Your Business


15

Because IoT for manufacturing mainly involves machinery, or “things,” it is most useful in departments that

require equipment or upgraded technology. Some examples include:

But that’s not all IoT is good for. The best part about the Internet of Things is that it opens up many possibilities

for creativity in a number of fields and departments.

Here are the top five departments that may be improved by the use of IoT, as well as some innovations you can

add to optimize each.

PRODUCTIONRESEARCH

ANDDEVELOPMENT

DELIVERY


SUPPLY CHAIN AND PRODUCTION

Quality Control

As mentioned above, sensors placed on your conveyor belts, machinery, and other equipment can tell you a

number of things. They can indicate whether the temperature, pressure, volume, dimensions, etc. are optimal in

your production space and conducive to good-quality products. They can also detect degradation in your

equipment, so you are better prepared for any technical di�culties or glitches.


17


Real Time Metrics

You can improve the e�ciency and accuracy of your measurements, tallies and records with IoT. Besides sensors

that can tell you the quality of your products, you can also measure quantity with bar- or QR-codes, RFID tags, and

scanners. Having a scanner at the end of every conveyor belt, for example, can tell you how many products have

been finished and whether or not you’re meeting your quota at the right pace.


18

Product Development and Innovation


With the edge that IoT o�ers, businesses now can and should look into adding features to their products and

services that will maximize the use of a digital network. Products and services can no longer be stagnant in terms

of o�ering just one function; they need to have multi-functions or Internet compatibility. Thus, in addition to being

an optimizer for your processes, IoT can also become a source of new revenues for your business.


19

The ultimate stage of IoT utilizes automated cars, trucks, and aerial delivery drones that drive themselves.

However, while this is still a long way o� for many countries including the Philippines, IoT for delivery purposes

already involves global positioning systems that can pinpoint the location of your vehicles, compute the time they

take to arrive at their destinations, and account for any accidents along the way. If you’ve used Uber or Waze, then

you have first hand knowledge of this technology.

DELIVERY AND LOGISTICS

DELIVERY

50M 100M


20

In manufacturing, new technologies in augmented reality can optimize the training of skilled workers or

employees who handle complex equipment, such that they are able to assemble, utilize or experiment with new

technology or machinery through augmented reality, lessening the risk of physical damage as well as heightening

the chance of accuracy and progress. For example, Microsoft’s Hololens allows you to engage with digital content

and even interact with holograms surrounding you - so imagine the possibilities this presents for working with

simulated equipment or situations.

HUMAN RESOURCES AND TRAINING


21

Nowadays, IoT has taken security to the next level, with innovations like old mobile devices that live a second life

as 24-hour surveillance cameras, systems that require biometric authentication in order to access sensitive data,

and sensors that detect heat, noise or motion, among many others. A similar device that is currently available for

the home is the Ring Video Doorbell, over a million of which have already been sold worldwide.

SECURITY


Beyond optimizing products, processes or programs, you can improve your facility itself. As mentioned earlier,

Concepcion Industrial Corporation has been making eco-friendly smart appliances for the home. There are many

other industrial smart appliances you can use to improve your factory, warehouse or o�ce’s environmental

impact, connectivity, or quality. Consider smart plugs, thermostats, lightbulbs or speakers―after all, they’re not

just good for the home.

INFRASTRUCTURE


23

Here’s a table that summarizes how IoT products can improve your business.

DEPARTMENT

QUALITY CONTROL

IoT PRODUCT BENEFIT TO YOUR BUSINESS

Heat, Pressure, or degradation sensorsEnsure optimum quality by making sure your

process runs as smoothly andconsistently as possible.

SUPPLY CHAIN RFID tags, bar- or QR-codes and scannersKeep track of your production by addingscannable codes or tags to your finished

products.

PRODUCT DEVELOPMENT Virtual Private Cloud*

Have your own cloud storage facility that isaccessible 24/7. This allows you and your entire

team to collaborate and access all necessary digital materials anywhere within the company.

For other products you can use to optimize your manufacturing business, check out Globe MyBusiness’ o�ered solutions here.*currently o�ered by Globe MyBusiness

DELIVERY Fleet Management System* Track your vehicles and assets, and ensure your routes are optimized through real-time GPS.


http://business.globe.com.ph/industries/manufacturing.html

24

DEPARTMENT IoT PRODUCT BENEFIT TO YOUR BUSINESS

SECURITY

Managed Security andSurveillance System*

Secure assets and monitor your businessoperations using state-of-the-art alarms,

surveillance and RFID systems.

Canvas Checklist Mobile App* Keep your warehouse and equipmentwell-maintained with a digital inspection

checklist.


HUMAN RESOURCES

Virtual or augmented reality equipment By simulating your training and/ormaintenance processes, you can train youremployees without risking the state of your

equipment and machinery.

Managed RFID Solutions* Automate employee attendance through wireless access for easier monitoring.



25

DEPARTMENT IoT PRODUCT BENEFIT TO YOUR BUSINESS

CONNECTIVITY

Broadband*

Canvas Checklist Mobile App*

BGIX*

Mobile Internet*

By far the most crucial requirement for the Internet of Things is reliable Internet connection. This brings all your digital devices together and

gives you access to their data, from anywhere either within the facility or out of it.


INFRASTRUCTURE

Smart lightbulbs

Smart plugs

Smart thermostats

Smart speakers

Most smart appliances can be operated by voice commands, or through a network that connects

them all to one device. Many of them are also more eco-friendly and responsive than regular devices.



26

What Will it Take for the Internet of Thingsto Thrive in the Philippines?

The Internet of Things is an exciting development to look forward to, but it’s going to take quite a bit of nationwide preparation in order to be fully actualized. Here’s a look at just what it takes to utilize the Internet of Things in the Philippines.


27

For the Internet of Things to be implemented in the Philippines, the following factors will be required:

ReliableConnectivity

Hardwareand

Software

Optimizationand

Practice

HumanCapital



Reliable Connectivity: Achieve Stable

Internet Connection

With the necessity that compels businesses to

consider being IoT-capable, the country’s network

infrastructure has to coincide. IoT thrives on

WiFi connection to be able to link and sync devices

seamlessly. Two factors need to be taken into

account: Internet speed and adoption.

With the help of Globe Telecom, the country’s

average Broadband speed has been significantly

improving in the past five years, peaking at 5.5

mbps in the first quarter of 2017. Broadband

adoption rate has also increased 111% in the

past year.

Globe at Home is also leading the charge in making

access to the Internet more a�ordable and

accessible with 260,000 lines deployed in 2016,

and a goal of 400,000 lines by the end of 2017.

Finally, the introduction of fiber Internet technology

aims to further improve Internet connectivity by

ensuring a connection that is resilient to natural

disasters, particularly typhoons, as the Philippines

is a known typhoon country.

In order for the country to achieve faster Internet

speed, the government can lessen red tape by

taking away tedious permit procedures and building

constraints for the lack of cell sites.

29

Hardware and Software: Figure Out the

Infrastructure and Infostructure

Today’s next-generation sensors are smart,

cost-e�ective, accurate and easily deployable. But

beyond these, the smart factory of the future may

utilize biometric software apps, which will be able to

connect smart mobile devices to the security

ecosystem. Manufacturers will leverage cameras for

touchless fingerprint, eye and facial recognition,

microphones for voice recognition, and other

components for behavioral biometrics.

With sensors and digital devices underpinning the

current infostructure, manufacturers will also be

integrating new ways to apply greater automation

and digitalization across supply chains.

These ways include advanced machines with

robotics, self-optimization and self-configuration

capabilities, which enhance quality control and cost

e�ciency. The smart factory would also allow

manufacturers to control processes using

cloud-based dashboard systems.


30

Optimization and Practice: Implement

and Innovate

In The Internet of Things and the Future of

Manufacturing, Markus Lö�er and Andreas

Tschiesner say: “Consider processes that govern

themselves, where smart products can take

corrective action to avoid damages and where

individual parts are automatically replenished.

Such technologies already exist and could drive

what some German industry leaders call the

fourth industrial revolution.”

The Roadmap is poised to address concerns over

building an enabling ecosystem for IoT in the

Philippines by stating that:

“The Philippines, by all means, should strive to

develop itself as an innovative hub by aligning its resources and

core strengths with an approach that is carefully planned and

studied. Technology innovation plays a critical role towards

economic growth; therefore, the Philippines should aim to

reach its highest potential by becoming more innovative in

Internet-related technology.”- Lö�er and Tschiesner in their book

The Internet of Things and the Future of Manufacturing


31

Human Capital: Taking your organization

to the future

Finally, the last crucial step that shouldn’t be

overlooked is making sure your team is ready for the

big changes that come with using new technology

in your business. Some training will be required to

make sure your team understands how digital

devices work, what can be done with the data they

collect, and how to solve technical issues if they

come up. You should be preparing them not only for

dealing with current technologies, but whatever the

future has in store as well.


32

What Now?Now that you’ve become familiar with the Internet of Things and its benefits for your business, what should you, as a manufacturing business owner, do to make the most of it?


33

If it isn’t clear yet, understand that this is the most important thing.

Today’s technology relies on the Internet so much that if you don’t have

stable WiFi connection, you will definitely be falling behind.

Every business is unique, which means yours will have its own specific

needs. Discover these needs by going deep into your business and

observing its pain points. Only then will you know what ought to be

optimized by technology.

This is another crucial step. With the number of companies selling various

products and digital solutions, it’s important to find someone you can

trust and rely on.

The Internet of Things may sound like a dream come true, but that doesn’t

mean its precursors aren’t anything short of game-changing. Now that

you know how they can work for your business, try some of them out. As a

bonus, check out our list of manufacturing solutions here.

The only way to tell if something’s working is to see if your overall results

improve. Thus, once you’ve implemented some IoT precursors to your

factory, o�ce, security system or delivery vehicles, check on their progress

regularly to make sure the technology is working at its best.

The Internet of Things may be a few steps away, but technology is moving so quickly that very soon we may well be looking IoT in the face.

To prepare for that day, consider doing the following:

Get stable Internet connection.1

Understand the pain points of your business.2

Find a trusted partner with reliable solutions.3

Monitor the e�ects.5

Implement an IoT precursor (or two) to your business.4



If you want to learn more about the Internet of Things andhow you can utilize its precursors to optimize your business,

e-mail us at [email protected]

mybusiness.globe.com.ph Globe myBusiness

https://mybusiness.globe.com.ph/

https://mybusiness.globe.com.ph/

https://www.facebook.com/globemybusiness/

https://www.facebook.com/globemybusiness/

Date post:	20-Apr-2020
Category:	Documents
Upload:	others
View:	2 times
Download:	0 times

THE INTERNET OF THINGS - Globe myBusiness Academy...Ionics EMS Inc., they’re developing “a new...

Documents