Forrester Study on IoT: Powering the Future of Business

Forrester Study on IoT: Powering the Future of Business

Andreas Rosengren
Andreas Rosengren,

A new study by Forrester points to the potential of strategic enterprise IoT to transform operations and boost performance. Learn more about the key findings.

IoT initiatives offer enormous opportunities for companies to adapt and remain resilient in a rapidly evolving operating environment. To find out more about how large businesses view IoT, we commissioned Forrester Consulting to survey more than 550 C-level executives, IT executives, directors and functional managers at companies in the U.S., UK, Germany and France with revenues from $1 billion to more than $50 billion. The survey was conducted in March 2020.

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The study shows that enterprises of all sizes recognize that IoT offers enormous benefits, and most are committed to leveraging IoT across the enterprise. However, 55% of respondents said their organizations have struggled to deliver business value from IoT projects. Many respondents who have conducted multiple in-house IoT pilots noted they lacked a coherent strategy to deploy their initiatives enterprise-wide. They reported that the new IoT capabilities often did not receive the necessary investment or leadership support to extend the initiative across the business.

Among the key findings:

  • Exploration and implementation of IoT are pervasive. Most respondents (52%) support implementations of multiple IoT uses cases or processes, and more than two in five (42%) are planning broader, enterprise-wide adoption. Only a few (6%) view their IoT initiatives as single or isolated use cases. 
  • Investment has increased and will only grow. Investment in IoT is on the rise, with 73% having increased spending in the last two years while nearly a quarter (24%) report having increased IoT spending by more than 10%. About three-fourths (73%) expect spending to increase in the coming two years. Only 2% expect spending to decrease. 
  • Analytics and process improvement are the top drivers. More than half the respondents say better use of data and analytics in decision-making is a key driver of IoT initiatives. Almost half (47%) see opportunities for greater efficiency in operational technologies using insights from data.

Read the whitepaper IoT: Powering the Future of Business and Improving Everyday Life to get a summary of our key findings, including ten real-world examples of how we have delivered IoT at enterprise scale to help organizations leverage data and analytics to modernize their business models and drive new revenue. Also read more about Cognizant’s IoT offering.

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