Automation: The Future of the Internet of Things at the Workplace

Shelly Dutton

workplace automation with the internet of thingsNow that we have explored the home of the future, what about the workplace?

Sure, we all know about the warehouse robots used by companies such as Amazon, Crate & Barrel, Gap, and others. But where else can the Internet of Things automate business operations in the near future?

Take a look at what the future may hold for office workers

  • Facilities managers may experience the ease of managing the building and office equipment. Imagine copiers and printers sensing when they are low on paper or toner and automatically entering a work order or inventory request into CAFM and CMMS systems. Elevators will be able to tell you when they get stuck. HVAC systems will alert you when their filters need changing. And components like pumps would tell you when they start heating up, indicating there is a problem. Even individual lights, outlets, or thermostats could be connected to the Internet of Things and controlled.
  • IT professionals will see distributed computing at the device level help optimize the performance of machines and processes. Infrastructures will enable device-to-device communication, replacing the idea of servers that push information to devices. Instead, devices will be able to communicate with each other. And as a result, traditional systems will morph into cloud-based software. By automating these networks and removing the “middlemen of IT architecture,” the entire infrastructure will be able to self-configure, self-regulate, and suggest efficiency improvements.
  • Plant managers will go beyond lean manufacturing. Consider a plant that stocks to a minimum. Components are constantly traveling across the planet, often arriving within a day. With the Internet of Things, this system extends beyond individual factories to interconnect multiple factories and regions – enabling sensors to automatically trigger ordering and shipping of parts when stocks fall below a certain level.
  • HR managers may embrace predictive analysis to understand expected workloads and skills needed in the future. They can easily make strategic plans that factor in external economic and political trends. Resource plans can be made based on projected internal and external workforce supply. And organizational modeling will be based on information from all enterprise processes – combining data from finance, HR, logistics, supply chain, and sales.

A brave new world

As you can see, the Internet of Things is bringing together information in more useful and creative ways. And we have only scratched the surface. Automation will not avoid the Internet of Things, but rather will be at the heart of it. And benefits – such as increased operational efficiency, lower costs, and higher productivity – are only the start.

Do you have ideas on how your business can be automated with this information? I’d love to read your thoughts below.




awareness , IOT

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13 Scary Statistics On Employee Engagement [INFOGRAPHIC]

Jacob Shriar

There is a serious problem with the way we work.

Most employees are disengaged and not passionate about the work they do. This is costing companies a ton of money in lost productivity, absenteeism, and turnover. It’s also harmful to employees, because they’re more stressed out than ever.

The thing that bothers me the most about it, is that it’s all so easy to fix. I can’t figure out why managers aren’t more proactive about this. Besides the human element of caring for our employees, it’s costing them money, so they should care more about fixing it. Something as simple as saying thank you to your employees can have a huge effect on their engagement, not to mention it’s good for your level of happiness.

The infographic that we put together has some pretty shocking statistics in it, but there are a few common themes. Employees feel overworked, overwhelmed, and they don’t like what they do. Companies are noticing it, with 75% of them saying they can’t attract the right talent, and 83% of them feeling that their employer brand isn’t compelling. Companies that want to fix this need to be smart, and patient. This doesn’t happen overnight, but like I mentioned, it’s easy to do. Being patient might be the hardest thing for companies, and I understand how frustrating it can be not to see results right away, but it’s important that you invest in this, because the ROI of employee engagement is huge.

Here are 4 simple (and free) things you can do to get that passion back into employees. These are all based on research from Deloitte.

1.  Encourage side projects

Employees feel overworked and underappreciated, so as leaders, we need to stop overloading them to the point where they can’t handle the workload. Let them explore their own passions and interests, and work on side projects. Ideally, they wouldn’t have to be related to the company, but if you’re worried about them wasting time, you can set that boundary that it has to be related to the company. What this does, is give them autonomy, and let them improve on their skills (mastery), two of the biggest motivators for work.

Employees feel overworked and underappreciated, so as leaders, we need to stop overloading them to the point where they can’t handle the workload.

2.  Encourage workers to engage with customers

At Wistia, a video hosting company, they make everyone in the company do customer support during their onboarding, and they often rotate people into customer support. When I asked Chris, their CEO, why they do this, he mentioned to me that it’s so every single person in the company understands how their customers are using their product. What pains they’re having, what they like about it, it gets everyone on the same page. It keeps all employees in the loop, and can really motivate you to work when you’re talking directly with customers.

3.  Encourage workers to work cross-functionally

Both Apple and Google have created common areas in their offices, specifically and strategically located, so that different workers that don’t normally interact with each other can have a chance to chat.

This isn’t a coincidence. It’s meant for that collaborative learning, and building those relationships with your colleagues.

4.  Encourage networking in their industry

This is similar to number 2 on the list, but it’s important for employees to grow and learn more about what they do. It helps them build that passion for their industry. It’s important to go to networking events, and encourage your employees to participate in these things. Websites like Eventbrite or Meetup have lots of great resources, and most of the events on there are free.

13 Disturbing Facts About Employee Engagement [Infographic]

What do you do to increase employee engagement? Let me know your thoughts in the comments!

Did you like today’s post? If so you’ll love our frequent newsletter! Sign up here and receive The Switch and Shift Change Playbook, by Shawn Murphy, as our thanks to you!

This infographic was crafted with love by Officevibe, the employee survey tool that helps companies improve their corporate wellness, and have a better organizational culture.


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Supply Chain Fraud: The Threat from Within

Lindsey LaManna

Supply chain fraud – whether perpetrated by suppliers, subcontractors, employees, or some combination of those – can take many forms. Among the most common are:

  • Falsified labor
  • Inflated bills or expense accounts
  • Bribery and corruption
  • Phantom vendor accounts or invoices
  • Bid rigging
  • Grey markets (counterfeit or knockoff products)
  • Failure to meet specifications (resulting in substandard or dangerous goods)
  • Unauthorized disbursements

LSAP_Smart Supply Chains_graphics_briefook inside

Perhaps the most damaging sources of supply chain fraud are internal, especially collusion between an employee and a supplier. Such partnerships help fraudsters evade independent checks and other controls, enabling them to steal larger amounts. The median loss from fraud committed
by a single thief was US$80,000, according to the Association of Certified Fraud Examiners (ACFE).

Costs increase along with the number of perpetrators involved. Fraud involving two thieves had a median loss of US$200,000; fraud involving three people had a median loss of US$355,000; and fraud with four or more had a median loss of more than US$500,000, according to ACFE.

Build a culture to fight fraud

The most effective method to fight internal supply chain theft is to create a culture dedicated to fighting it. Here are a few ways to do it:

  • Make sure the board and C-level executives understand the critical nature of the supply chain and the risk of fraud throughout the procurement lifecycle.
  • Market the organization’s supply chain policies internally and among contractors.
  • Institute policies that prohibit conflicts of interest, and cross-check employee and supplier data to uncover potential conflicts.
  • Define the rules for accepting gifts from suppliers and insist that all gifts be documented.
  • Require two employees to sign off on any proposed changes to suppliers.
  • Watch for staff defections to suppliers, and pay close attention to any supplier that has recently poached an employee.

About Lindsey LaManna

Lindsey LaManna is Social and Reporting Manager for the Digitalist Magazine by SAP Global Marketing. Follow @LindseyLaManna on Twitter, on LinkedIn or Google+.


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The Future Of Supplier Collaboration: 9 Things CPOs Want Their Managers To Know Now

Sundar Kamak

As a sourcing or procurement manager, you may think there’s nothing new about supplier collaboration. Your chief procurement officer (CPO) most likely disagrees.
Forward-thinking CPOs acknowledge the benefit of supplier partnerships. They not only value collaboration, but require a revolution in how their buying organization conducts its business and operations. “Procurement must start looking to suppliers for inspiration and new capability, stop prescribing specifications and start tapping into the expertise of suppliers,” writes David Rae in Procurement Leaders. The CEO expects it of your CPO, and your CPO expects it of you. For sourcing managers, this can be a lot of pressure.

Here are nine things your CPO wants you to know about how supplier collaboration is changing – and why it matters to your company’s future and your own future.

1. The need for supplier collaboration in procurement is greater than ever

Over half (65%) of procurement practitioners say procurement at their company is becoming more collaborative with suppliers, according to The Future of Procurement, Making Collaboration Pay Off, by Oxford Economics. Why? Because the pace of business has increased exponentially, and businesses must be able to respond to new market demands with agility and innovation. In this climate, buyers are relying on suppliers more than ever before. And buyers aren’t collaborating with suppliers merely as providers of materials and goods, but as strategic partners that can help create products that are competitive differentiators.

Supplier collaboration itself isn’t new. What’s new is that it’s taken on a much greater urgency and importance.

2. You’re probably not realizing the full collective power of your supplier relationships

Supplier collaboration has always been a function of maintaining a delicate balance between demand and supply. For the most part, the primary focus of the supplier relationship is ensuring the right materials are available at the right time and location. However, sourcing managers with a narrow focus on delivery are missing out on one of the greatest advantages of forging collaborative supplier partnerships: an opportunity to drive synergies that are otherwise perceived as impossible within the confines of the business. The game-changer is when you drive those synergies with thousands, not hundreds of suppliers. Look at the Apple Store as a prime example of collaboration en masse. Without the apps, the iPhone is just another ordinary phone!

3. Collaboration comes in more than one flavor

Suppliers don’t just collaborate with you to provide a critical component or service. They also work with your engineers to help ensure costs are optimized from the buyer’s perspective as well as the supplier’s side. They may even take over the provisioning of an entire end-to-end solution. Or co-design with your R&D team through joint research and development. These forms of collaboration aren’t new, but they are becoming more common and more critical. And they are becoming more impactful, because once you start extending any of these collaboration models to more and more suppliers, your capabilities as a business increase by orders of magnitude. If one good supplier can enable your company to build its brand, expand its reach, and establish its position as a market leader – imagine what’s possible when you work collaboratively with hundreds or thousands of suppliers.

4. Keeping product sustainability top of mind pays off

Facing increasing demand for sustainable products and production, companies are relying on suppliers to answer this new market requirement.

As a sourcing manager, you may need to go outside your comfort zone to think about new, innovative ways to collaborate for achieving sustainability. Recently, I heard from an acquaintance who is a CPO of a leading services company. His organization is currently collaborating with one of the largest suppliers in the world to adhere to regulatory mandates and consumer demand for “lean and green” lightbulbs. Although this approach was interesting to me, what really struck me was his observation on how this co-innovation with the supplier is spawning cost and resource optimization and the delivery of competitive products. As reported by Andrew Winston in The Harvard Business Review, Target and Walmart partnered to launch the Personal Care Sustainability Summit last year. So even competitors are collaborating with each other and with their suppliers in the name of sustainability.

5. Co-marketing is a win-win

Look at your list of suppliers. Does anyone have a brand that is bigger than your company’s? Believe it or not, almost all of us do. So why not seize the opportunity to raise your and your supplier’s brand profile in the marketplace?

Take Intel, for example. The laptop you’re working on right now may very well have an “Intel inside” sticker on it. That’s co-marketing at work. Consistently ranked as one of the world’s top 100 most valuable brands by Millward Brown Optimor, this largest supplier of microprocessors is world-renowned for its technology and innovation. For many companies that buy supplies from Intel, the decision to co-market is a strategic approach to convey that the product is reliable and provides real value for their computing needs.

6. Suppliers get to choose their customers, too

Increased competition for high-performing suppliers is changing the way procurement operates, say 58% of procurement executives in the Oxford Economics study. Buyers have a responsibility to the supplier – and to their CEO – to be a customer of choice. When the economy is going well, you might be able to dictate the supplier’s goods and services – and sometimes even the service delivery model. When times get tough (and they can very quickly), suppliers will typically reevaluate your organization’s needs to see whether they can continue service in a fiscally responsible manner. To secure suppliers’ attention in favorable and challenging economic conditions, your organization should establish collaborative and mutually productive partnerships with them.

7. Suppliers can help simplify operations

Cost optimization will always be one of your performance metrics; however, that is only one small part of the entire puzzle. What will help your organization get noticed is leveraging the supplier relationship to innovate new and better ways of managing the product line and operating the business while balancing risk and cost optimization. Ask yourself: Which functions are no longer needed? Can they be outsourced to a supplier that can perform them better? What can be automated?

8. Suppliers have a better grasp of your sourcing categories than you do

Understand your category like never before so that your organization can realize the full potential of its supplier investments while delivering products that are consistent and of high quality. How? By leveraging the wisdom of your suppliers. To be blunt: they know more than you do. Tap into that knowledge to gain a solid understanding of the product, market category, suppliers’ capabilities, and shifting dynamics in the industry, If a buyer does not understand these areas deeply, no amount of collaboration will empower a supplier to help your company innovate as well as optimize costs and resources.

9. Remember that there’s something in it for you as well

All of us want to do strategic, impactful work. Sourcing managers with aspirations of becoming CPOs should move beyond writing contracts and pushing PO requests by building strategic procurement skill sets. For example, a working knowledge in analytics allows you to choose suppliers that can shape the market and help a product succeed – and can catch the eye of the senior leadership team.

Sundar Kamak is global vice president of solutions marketing at Ariba, an SAP company.

For more on supplier collaboration, read Making Collaboration Pay Off, part of a series on the Future of Procurement, by Oxford Economics.


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5 Reasons You'll Embrace Digital Transformation In 2016

Dinesh Sharma

Without a doubt, the lives of everyone on this planet has been impacted by the digital economy. Approximately 2 billion of us don’t leave our homes without a smartphone in hand. We shop online for almost every conceivable product. And for the 57% who are still unconnected, they are benefiting from a growing social community that is exchanging ideas, influencing governments worldwide, inspiring change, creating awareness of injustice, and coordinating aid to those in need.

At the same time, a growing number of companies are extending the possibilities of hyperconnectivity. Kaeser Kompressoren is embedding sensors in its systems to predict potential breakdowns and generate revenue by tracking the volume of compressed air consumed by its customers. Haier Asia is doubling up its digital platform to get closer to its customers and give them exactly what they want. Even Europe’s second-largest port found a way to increase capacity by 150% without physically expanding its bustling facility.

For these companies, digital transformation is not just a strategic move – it’s a fundamental part of their survival and overall business model. In fact, a recent study by the Economist Intelligence Unit (EIU) revealed that 59% of executives view the failure to adapt to hyperconnectivity is their organization’s biggest threat.

2016: The year of real digital transformation

Despite all of this change, we have yet to scratch the surface of the possibilities the digital economy offers. Mark my words: 2016 will further prove the transformational power of the digital economy.

As we prepare to usher in a new year, here are my top predictions of how the digital economy will continue to revolutionize everything:

1. Digital masters will emerge – and win every time.

Companies that digitally transform everything they do and touch will further differentiate themselves from those that just dabble in digital services. Although the EIU reports that 19% of companies are radically changing their business model to seize the opportunities hyperconnectivity offers, they are becoming powerful brands.

Take Nike, for example. The well-known sports apparel company has transformed itself into a fitness and lifestyle brand. By actively engaging with customers through social media, mobile technology, and embedded sensors, it is fostering an empowered community. From tracking diet, activity, and fitness progress to sending reminders to get their customers moving, Nike is making sure that their customers have the support they need – whenever and wherever they need it. 

2. Digital Darwinism will become a significant threat.

Technology and society are evolving at a pace that is simply too difficult for many organizations to keep up with.  In fact, according to some predictions, 40% of the Fortune 500 are expected to no longer exist within 10 years if they do not evolve soon.

To survive, companies must be not only the strongest and the most intelligent, but they also must adapt to change.  We have all seen this firsthand as we spent the last 20 years saying goodbye to brand leaders that resisted the call and opportunity to digitize. So for the 81% that are not taking digital transformation seriously, make 2016 the year you start to get serious.

3. Digital transformation will be pervasive across every area of the business. 

To be truly transformed, companies must go beyond window dressing the customer experience, embedding a few sensors to monitor production, and monetizing a service with digital technology. They must reach deep into the bare bones of the company, going as far as human resources and finance and as high up as the executive boardroom.

Digital transformation is just the enabler – real change happens when the business culture, leadership, and processes of profit centers and cost centers embrace it and evolve with it. The cloud, mobile technology, networks, and analytics present every business area with a unique opportunity to gain greater efficiency, perform instant data analysis, and achieve better collaboration. Not only does digital transformation help companies modernize and become an attractive employer brand for younger talent, but it also creates a seamless customer experience, promotes more effective collaboration, and empowers the entire workforce.

One brand that shows the power of such an undertaking is Burberry. Famous for its digital retail experience online and in physical stores, the luxury retailer has taken its personalization strategy to its employees too. By making it easier for employees in all areas to sell the brand to customers, Burberry is experiencing increased engagement across its workforce. And in the end, that means a better customer experience – anytime, anywhere, and through any channel.

4. The sales funnel will disappear – for good.

For decades, the sales funnel has been used as a visual representation of separating qualified buyers from the rest of the prospect pool. However, thanks to the Internet and social network, the sales process has accelerated to the point where the funnel is no longer relevant.

CEB recently uncovered that the average buyer is 57% through the purchase decision process before their first interaction with a sales representative or channel. Plus, companies only have 12% of their customer’s mindshare through the buying experience.  As a result, customers tend to fall through the funnel undetected and without a defined journey.

Through digital transformation, sales and marketing can better address this issue by providing multiple touch points that can make the brand accessible to every existing and potential customer – no matter the path taken. Along the way, data should be collected, consolidated, and distributed across the enterprise to provide insight and power decisions at the moment of the interaction.

5. Cryptocurrency will pave the way for better data security. 

Bitcoin. Drones. Virtual reality. Cloud. All of these emerging technologies has drawn a fair amount of press lately. However, there are always naysayers fearful that these innovations will not measure up in terms of protection from cyberattacks and data breaches. And probably the most eyebrow-raising one of all is cryptocurrency. However, Bitcoin has included a level of security into its ecosystem: The blockchain.

Through redundancy, computational compliance, and high-speed processing, all transactions are logged on a publicly available general ledger and copied across thousands of servers. When a transaction is initiated, every one of those servers must agree that the information given is accurate. Should someone try to cheat or hack into the ecosystem, it will be rejected as soon as the new account identifier is detected to be unidentifiable.

Is it possible that someone can work faster than these servers? According to The Economist, it is nearly impossible to generate a new version of the blockchain quick enough to overtake more than half of the servers controlling it. As computing power and speed increases, so will the servers’ ability to process information faster than the most-competent blockchain miners.

What do you think of these predictions? Dust off your crystal ball and share how you foresee the digital economy evolving!

Learn more about what’s possible for your business in the digital economy. Check out these reports detailing the Economist Intelligence Unit’s research:



About Dinesh Sharma

As Vice President of Marketing, Internet of Things (IoT), Dinesh Sharma is charged with driving thought leadership, awareness and adoption of SAP’s solutions for IoT across industries and lines of business. He is responsible for go-to-market plans across the IoT portfolio, as well as providing detailed analysis of industry and market trends, customer needs, competitors, economic environment and emerging business opportunities. Prior to his current role, he was the global VP leading cloud and cloud platform marketing, where he successfully launched the industry’s first in-memory cloud platform-as-a-service (PaaS), SAP HANA Cloud platform. Dinesh is senior technology executive with over 20 years experience in the industry: His domain experience spans from semiconductors, software design, product marketing and business strategy. He has managed worldwide business units for large technology companies and also has founded technology start-ups, including Dynamic Pictures, Inc., which he sold to 3Dlabs. While at ATI and AMD he drove an increase in market share from 12% to 47% in less than 2 years, while also delivering a 5X growth in revenue by delivering innovative products, driving direct sales engagement and marketing programs that reinvigorated enterprise sales. Prior to joining SAP he has been in leadership roles at startups in virtualization, big data and distributed computing with a heavy emphasis on building Cloud infrastructure and platforms. He has captured over $30MM in venture funding in his entrepreneurial career. Dinesh holds a Bachelor of Engineering degree in Electronic Engineering from University of Liverpool, UK. He lives in the San Francisco Bay Area with his wife and two small children.

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