Half of Organizations in the US and Europe Lag in IoT Adoption, Finds HCL Study
43% of respondents say their customers will suffer due to their organization’s inability to utilize IoT
Noida, India; 8th February 2017 – HCL Technologies (HCL), a leading global IT services company, today released the findings of an independent survey of senior business and technology decision–makers on the Internet of Things (IoT) in large global enterprises. This is a first-of-its-kind global CXO survey with early adopters of the technology. 50% of respondents said their organizations are already behind the curve on IoT, whilst 43% said their customers will suffer from their organization’s failure to utilise IoT fully. Key findings include:
- Nearly half of respondents (49%) said an uncoordinated, siloed approach to IoT is holding them back from moving beyond pilots into revenue generating opportunities.
- 65% said the primary drivers for adopting IoT are improving business process efficiency and better customer satisfaction.
- Approximately four in ten (38%) organizations are using IoT and a further 57% plan to use it in the future.
- 82% agreed that organizations embracing IoT are likely to be in a stronger position in the marketplace.
These findings indicate that many businesses are still in the early stages of IoT adoption, where its use is limited to a single business function, rather than being committed to a formal business–wide program.
“Many companies have made inroads into the IoT, but when you peel away the layers, very few have embarked on truly transformative programs,” said Sukamal Banerjee, CVP & Global Head of IoT WoRKSTM, HCL Technologies. “Success depends on an enterprise-wide IoT strategy that centralizes a significant portion of the data from connected assets onto a single platform, where it can be used to generate revenues and new opportunities. It is only by doing so that they will reach the ultimate goals of IoT: organizational efficiency, more profitable business models and competitive edge. For example, manufacturers can use sensor data to charge customers based on hours of equipment in operation, or lab equipment providers can detect and automatically replenish supplies.”
The research findings are unique and indicate that the solution to the challenges that are holding businesses back from committing more fully to the IoT, are dependent on selecting the right IoT platform. Perhaps in response to these challenges and to avoid falling behind, almost three-quarters (73%) of respondents said they plan to enlist the support of a specialist IoT service provider.
These findings are discussed further in our report: “IoT Strategy: Insights From Early Adopters”. To download the whitepaper, click here.
“With a lot of aggressive technology selling going on in the name of IoT, it’s extremely difficult for businesses to see a clear and rapid path to realize full value, but this is no time to sit on the side-lines,” continued Sukamal Banerjee. “In capital intensive industries, the digital economy will force the gap between innovators and followers to the ability to create intelligent insights from a full range of IoT assets. This process can be incredibly daunting, so next–generation service offerings will play a crucial role in guiding organizations and helping them discover new types of value and a new, more effective way to compete.”
Commissioned by IoT WoRKSTM, the IoT business unit of HCL Technologies and conducted by independent technology market research company Vanson Bourne, the survey was completed by 263 senior IT and business decision-makers at large enterprises in a cross-section of vertical markets in the US, the UK, Germany and the Nordics. A rigorous multi-level screening process ensured that only those enterprises that felt IoT was relevant to their organization were given the opportunity to participate.
About HCL Technologies
HCL Technologies (HCL) is a leading global IT services company that helps global enterprises re–imagine and transform their businesses through Digital technology transformation. HCL operates out of 32 countries and has consolidated revenues of US$ 6.7 billion, for 12 months ended 31st December, 2016. HCL focuses on providing an integrated portfolio of services underlined by its Mode 1–2–3 growth strategy. Mode 1 encompasses the core services in the areas of Applications, Infrastructure, BPO and Engineering & R&D services, leveraging DRYiCETM Autonomics to transform clients' business and IT landscape, making them 'lean' and 'agile'. Mode 2 focuses on experience–centric and outcome–oriented services such as Digital and Analytics Services (BEYONDigitalTM), IoT WoRKSTM, Cloud and Security, utilizing DRYiCETM Orchestration to drive business outcomes and enable enterprise digitalization. Mode 3 strategy is ecosystem–driven, creating innovative IP–partnerships to build products and platforms business.
HCL leverages its global network of integrated co-innovation labs, and global delivery capabilities to provide holistic multi–service delivery in key industry verticals including Financial Services, Manufacturing, Telecommunications, Media, Publishing, Entertainment, Retail CPG, Life Sciences Healthcare, Oil & Gas, Energy & Utilities, Travel, Transportation & Logistics and Government. With 111,092 professionals from diverse nationalities, HCL focuses on creating real value for customers by taking 'Relationships Beyond the Contract'. For more information, please visit www.hcltech.com
Certain statements in this release are forward-looking statements, which involve a number of risks, uncertainties, assumptions and other factors that could cause actual results to differ materially from those in such forward-looking statements. All statements, other than statements of historical fact are statements that could be deemed forward-looking statements, including but not limited to the statements containing the words 'planned', 'expects', 'believes’,’ strategy', 'opportunity', 'anticipates', 'hopes' or other similar words. The risks and uncertainties relating to these statements include, but are not limited to, risks and uncertainties regarding impact of pending regulatory proceedings, fluctuations in earnings, our ability to manage growth, intense competition in IT services, business process outsourcing and consulting services including those factors which may affect our cost advantage, wage increases in India, customer acceptances of our services, products and fee structures, our ability to attract and retain highly skilled professionals, our ability to integrate acquired assets in a cost-effective and timely manner, time and cost overruns on fixed-price, fixed-timeframe contracts, client concentration, restrictions on immigration, our ability to manage our international operations, reduced demand for technology in our key focus areas, disruptions in telecommunication networks, our ability to successfully complete and integrate potential acquisitions, the success of our brand development efforts, liability for damages on our service contracts, the success of the companies /entities in which we have made strategic investments, withdrawal of governmental fiscal incentives, political instability, legal restrictions on raising capital or acquiring companies outside India, and unauthorized use of our intellectual property, other risks, uncertainties and general economic conditions affecting our industry. There can be no assurance that the forward-looking statements made herein will prove to be accurate, and issuance of such forward-looking statements should not be regarded as a representation by the Company, or any other person, that the objective and plans of the Company will be achieved. All forward-looking statements made herein are based on information presently available to the Management of the Company and the Company does not undertake to update any forward-looking statement that may be made from time to time by or on behalf of the Company.
For details contact: