Technology Governance and Risk Management - Desklib

Read a literature review on the Internet of Things and its impact on business organizations. Learn how IoT can be aligned with business goals and the risks associated with it. Find out how various industries are using IoT to improve their services.

Running head: TECHNOLOGY GOVERNANCE AND RISK MANAGEMENT
TECHNOLOGY GOVERNANCE AND RISK MANAGEMENT
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TECHNOLOGY GOVERNANCE AND RISK MANAGEMENT
Literature review on the Internet of things
Introduction
The broadband of the Internet of things is becoming available worldwide overwhelming the
connecting cost, cost of devices, and offering the Wi-Fi abilities (Barnaghi, Wang, Henson &
Taylor, 2012). Cost of established sensors and technology together with the penetration of
smartphones, among other significant technological developments, are making the IoT a perfect
storm. IoT (Internet of things) is currently a big topic of discussion inside and outside the
workplaces. It's a technique that influences not only our living style but also our working
processes. The IoT (Internet of Things) is among the most expensive networks linked to smart
and sensor devices (Wang et al. 2016). The IoT network is then combined with more advanced
analytics with the principal aim of drawing insights from the information they give to control the
equipment, to offer better services. Specific automated machines like robots and drones can be
used in processing the data. Manufactures of such devices can as well make exceptional
connections and insights to customer's experiences (Rosa, Câmara & Gouveia, 2015).
Various technology of wireless has as well been facilitated in remote data transferring, sensing
and controlling things like Bluetooth, RFID, and cellular network. This form of technology and
the above mentioned have played a crucial part in adding intelligence in the organization of (IoT)
Internet of Things (Joseph, Kar, Ilavarasan & Ganesh, 2017). IoT is nothing big but simple
ability of items sharing information, individuals to computers, and the machine-machine
communication. This kind of extension that can offer connection, internetworking, and
communication is what constitutes the Internet of Things.
Therefore, the main objective of this piece is to critically evaluate how the evolving technology
of IoT can be aligned with business organizations goals, its impacts on the business, and the risks
associated with the technology.
Findings on how various business organizations use the Internet of Things technology
Internet of things is the next evolving generation of networking and currently its almost taking a
considerable leap capability in collecting, distributing and analyzing the data which can be
ultimately be transformed into useful information and knowledge (Mishra, Gunasekaran, Childe,
Papadopoulos, Dubey & Wamba, 2016). When connected to actuators or sensor devices, the IoT
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allows the new form of communication between things and individuals and as well as the items
themselves. Today any business organization or individual can have connectivity with any object
at any place at any time. There is also a high possibility of creating a connection which can
extend and establish a higher performance dynamic network. The advanced technologies in
communication have resulted in the improvement and miniaturization of computer performance,
and sensors (Fernández, & Fraga, 2018). This change has provided higher development and
growth for business organizations.
Being one of the significant forth business organizational revolution, the Internet of Things is
already making a significant influence on commercial and consumer-facing alike. Business
organizations management require the IoT knowledge in developing strategies on how to best
leverage and integrate their management structures — for instance, developing the skills on how
to implement various optimized sensor devices or how to operate with data from the connected
devices. When such skills are made available, then IoT can play a crucial role in improving the
quality of services (Shang, Zhang & Chen, 2012).
The finding from various studies has indicated that particular industries are leading in the
adoption of Internet of Things in their management. This adds a more significant percentage of
the total number of the world economy projected in the future (Firouzi et al. 2018). According to
(Mieronkoski et al. 2017), the business organizations leading to the adoption of the Internet of
things are insurance, healthcare, home management, and manufacturing enterprises.
The Internet of Things has been used at first with the wireless sensors which are coupled with the
real-time data that monitor the hand washing procedures in OhioHealth to help in preventing the
health-associated diseases (Mehmood, Faisal & Altowaijri, 2015). Health-associated diseases
affect at least one patient in a total of 20 patients within the United State health organizations,
which results to about 90, 000 number of deaths in every year with respect to CDC (centers for
disease control and prevention) report. Their systems have been installed with sensors on
washing basins in the hospital rooms to monitor every member of the staff who is entering the
room. This technology has already approximately 90% of compliance with the standards of
washing hands, which about 20% have been jumping in the past years (Del Giudice, 2016).
Integrating the IoT system in OhioHealth hospital is helping the management to make
observations and capturing the data that was not possible in the previous years. The analysis of
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hand-washing information provides various stakeholders with deep insights in the compliance by
various organizational departments, job duties, the shift, together with other aspects of social
behavior (Wolfert, Ge, Verdouw & Bogaardt, 2017). The real-time data is useful to the hospital
management in alerting them on the proper hygiene behaviors which are not followed to take a
collective decision in safeguarding the health of their patients and employees.
The IoT is also being used by various home management organizations in improving the living
standards required in changing the home environment with respects to the mood of the
surrounding with no interruptions. In some instances, the physically challenged or disabled
individuals are not able to move from one point to another hence becoming complicated in
accessing the typical domestic appliances. Thus, there was a need for developing an essential
system which does not call for more human interruptions (Yerpude & Singhal, 2017). These are
the systems with energy efficient, with the ability to automatically detect a problem and send an
alert to a relevant technician. The home automation is one of these organizations, which helps in
automating the housework and household activities. The device can control the lighting system,
ventilation, home appliances, air conditioning, heating systems, and security gates and doors.
Thus, helping in improving comfort, efficiency, security, and conveniences (Schreieck, Hakes,
Wiesche & Krcmar, 2017). Therefore, making a life for disabled and older adults more quality
and becoming less dependent on their caregivers. In recent years home automation is increasing
because of the increased simplicity as the result of the Internet of things. This is creating an
enabling environment for physically challenged individuals by making it possible for their
electric equipment to communicate with each other.
The next finding of this research is how the IoT is being used to connect different devices
organized in a manner that its able to gather more information to offer precise services to the
clients (George & Nazeh, 2019). This way, many organizations are using the Internet of things in
adding value to their goods and services in the marketing industry. For example, the
entrepreneurs and marketers love proper data, and with the introduction of Internet of Things
device which connects the customers in different ways, then there is significant promise in
accessing the data than in the past years. This is because the smart equipment will have the
ability to track and record patterns of behaviors by the customers. The business organizations
will as well be able to learn the new methods of improving their products and to customize the
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search in an innovative way (Janiesch et al. 2017). The marketing companies are taking
advantage of the IoT by using it data-based insight to device the best way of advertising.
Secondly, the IoT will help the marketing companies to manage their inventories in the best way
possible. If a business relies more on storage, manufacturing, or warehousing, the remote
scanners can be used to assist the employees in tracking the items individually. Thus, the IoT is
exceptional can be very useful in keeping the tabs on transforming the inventory completely into
an automated one. This will free the employees for other essential and more urgent tasks (Demir,
Turan, Onel, Ekin & Demir, 2019).
Thirdly, if a marketing company is not dealing with physical inventory directly, the IoT can open
another world of remote work. Having more than one device wired in a single network, the
remote working workers will be well connected and can complete a new task from a remote
location by just clicking on the device in the office (Larson & Chang, 2016). This will
significantly increase the efficiency and the productivity of the remote employees whose
outcome is high profits made by the company.
Fourthly, the customers can access a new way of searching and buying the products. Clients will
have a straightforward way of also placing their orders of exact products they want and get
delivered as soon as possible. This has been facilitated with IoT, whose main objective in the
marketing companies is to advance the technology and focus on instant gratification. However,
for its to work effectively, the logistics experts, partners, and suppliers will have to push their
technology to serve the customers better. By doing so, it will increase the speed and efficiency of
serving the customers and getting the work done in less time. Costa, Pires & Delicato (2016) the
most magnificent and latest thing to be accomplished by IoT is allowing the workforce in
completing tasks faster and precisely including the analysis of data and management. This will
reduce the number of employees or expand the business to accommodate the extra employees.
Expanding the business organization means the customers who got the new experience of IoT
have increased their needs. Therefore, they might want commodities that they thought they were
never necessary in the past. The IoT will become an additional standard for new gadgets and
other appliances. Just like suppliers, consumers will as well be required to integrate more
effective and efficient and other accessories that will enable the smooth running of the Internet of
things technology (Pati & Bandyopadhyay, 2017).
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Lastly, the marketing companies will be required to reorganize their members of staff to fit in the
new technology of IoT (Akkermans, Zhu, Fang, Lamper & van, 2019). This will include finding
the need of adding more employees, thus becoming one of the ways the IoT is contributing to
employment opportunities. IoT might call for experts for any successful integration of this
technology in their systems. These experts will help in implementing the IoT procedures and the
required data analyst to come up with the best information. Thus, the IoT technology is one of
the best in improving the marketing strategies in enhancing the working environment of
advertising companies (Brouns, Tata, Ludwig, Asensio & Grefen, 2018).
The Importance of Internet of Things in achieving the organizational goals
First, the Internet of Things is playing a crucial part in improving consumer's experiences and
business insights. The application of the technology in marketing companies, hospitals, and in-
home management sectors is establishing an additional stream of information and potential
analytics which means these sectors have more insights in the operations(Barnaghi, Wang,
Henson & Taylor, 2012). In some of the cases, like in marketing companies, the IoT has been
enabled together with the cloud platforms offered by IBM and Google. The technology is as well
as shifting towards the edge computing technique in some marketing organizations. For the sake
of reducing the latency and other difficulties, it has also been incorporated with the third-party
and remote areas.
With regards to customer’s experiences, the IoT has enabled various business organizations to
understand the preferences of its customers. This understanding of customers needs is what these
companies are using to better their products and services. In the shopping surrounding, the
Internet of Things has helped dramatically to reduce the friction in purchasing experiences and
has assisted the consumers in interacting fully with the products. In some circumstances, the
customers' experiences are still clunky, but the Internet of Things can help in providing the first
and high street stores. When trying to get rid of friction experiences, of the shopping centers in
the United Kingdom Sainsbury's has already employed "Scan, Pay and Go" where the customer's
devices have been linked to their machines through IoT to help them avoid queuing(Barnaghi,
Wang, Henson & Taylor, 2012). The Amazon company is also using the technology to help them
detect commodities that have been moved or on transit as well as knowing when customers have
moved from their operation areas. The enhancement of customers’ experiences through IoT has
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yield a wide range of benefits to the companies applying the technology in their business
activities. Nevertheless, in all types of business organizations, the Internet of Things technology
has seen enormous operational and strategic potentials.
Secondly, the IoT technology has facilitated the increase of productivity and efficiency in
business organizations. By connecting various devices within an organization, the management
can quickly identify the techniques of boosting their productivity and efficiency. According to
(Kiron, Kane, Palmer, Phillips & Buckley, 2016) the IoT technology expects to promote the
business revenues by $ 154 in the next few years. For instance, the workforce at Ford's Valencia
Engine Assembly Plant, located in Spain is using different equipment connected through the
Internet of Things technology to improve the efficiency of their operation. The company has
been using the IoT also in designing the working stations that are less stressful to strengthen its
manufacturing activities. Through accurate tracking on the employees' movements, the company
has been able to establish data-driven transformations to it's to the process of its vehicles, which
makes them more efficient and safe. The ability to apply the IoT has also made it easy in
identifying the issues and bottlenecks in the processing line no matter how small they may seem
to be.
Thirdly, closely associated with the productivity and efficiency the Internet of Things is helping
several companies to reduce wastage of human and material resources through integrating IoT
tracking technique. In recent research conducted recently, Werner Reuss of Orange services
stated that the IoT had significantly contributed to eliminating wastage and inefficiencies within
their supply chains (Barnaghi, Wang, Henson & Taylor, 2012). The European car manufacturers
have as well indicated that the company was able to recover 400 euros, which were lost in their
supply chain in the previous years.
Lastly, the Internet of Things has been able to offer a new business model. This is by the fact that
the most obvious thing that the IoT is revolving around the productivity, effectiveness,
efficiency, and in controlling the business activities. Many companies are recognizing the
development of IoT technology technique in providing information concerning their clients and
the experience they have with their services. This has been enhanced by the ability of IoT in
connecting different machines in the manner that they can communicate various issues to the
management. Many of this equipment was designed to communicate with each other, but the
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evolvement of the Internet of Things has added significant value to them. The value-added
overwhelm, improving their designs to enable them to gather a piece of real-time information
(Akkermans, Zhu, Fang, Lamper & van, 2019).
The risks associated with aligning the Internet of Things with organizational goals
The internet of things technique holds a significant promise and deal for the company dealing
with massive high data. Although like any other technology, it can become a target for the
attacks since a large number of companies will be relying on this technique. The fact that IoT
will link various devices makes them vulnerable to insecurity. Thus, the business organizations
aspiring to use the technology must give priority to the security of their data (Pati &
Bandyopadhyay, 2017).
Secondly, there can be a risk of misconfigurations. This is among the most prominent security
flaw which leads to the left of the loopholes, which can attract the attackers within the business
organization. The IoT technology is as well prone to this kind of risk. If any organization is not
able to separate the least privilege necessities in their job allocation, then their data can be at high
risk. If the company is not using the encryption when storing their data and the attacker can
easily access the portable storage devices, then their information is never safe. Again, if the
connected devices using default password and username, then that can create an open door for
the attackers. Larson & Chang (2016) states that before aligning the Internet of Things in a
business organization, there is need of making appropriate strategies and ensure everything is
well configured keeping the idea of security back in mind.
Thirdly, a business that applies IoT can experience a denial of services attack. Chang, Kuo &
Ramachandran (2016) when customers and the business organizations rely on a constant data
feed, removing that can result in customers' dissatisfaction, interruptions, frustrations, and loss of
revenues. The attackers know how this can frustrate an organization and will use the IoT tactic to
disrupt their processes and services. Hence, business organizations should ensure the security of
their network services to prevent potential attacks.
Conclusion
Internet of things technology is the current big point of discussion within and outside the
workplaces. It's a technology that impacts not only our living style, but also our daily working
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activities. The Internet of Things is becoming among the most expensive networks linked to
smart and sensor devices. Currently, any business organization can have connectivity with any
object at any place at any time. There is also a high potential in creating a link which can extend
and establish a higher performance in business operations. The advanced technologies in
communication have resulted in the improvement and miniaturization of computer performance,
network, and sensors. These a few examples of its significance for the companies that have been
able to incorporate the IoT technique as part of modern technology in their transformation
strategies. When linked to other emerging technologies like robots and drones, various business
organizations can unlock the previous untapped streams of revenues, quality goods and services,
competitive benefits, and new ways of developing their workforce. However, the companies
aspiring to incorporate the IoT in their business activities should consider the risks associated
with its as well.
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