M2M TO IOT

CHAPTER 2
SUBJECT IOT
 M2M
• Machine-to-machine, or M2M, is a broad label that can be used to describe any technology that

enables networked devices to exchange information and perform actions without the manual

assistance of humans. Artificial intelligence and machine learning facilitate the communication

between systems, allowing them to make their own autonomous choices.

 M2M
• M2M technology was first adopted in manufacturing and industrial settings, where other
technologies, such as SCADA and remote monitoring, helped remotely manage and control data
from equipment. M2M has since found applications in other sectors, such as healthcare, business
and insurance. M2M is also the foundation for the internet of things (IoT).

• Machine to machine refers to technology that allowed both wireless and wired systems to
communicate with other devices of the same type.
 M2M

• The main purpose of machine-to-machine technology is to tap into sensor data and transmit it to a

network.

• M2M systems often use public networks and access methods -- for example, cellular or Ethernet --
to make it more cost-effective.

• The main components of an M2M system include sensors, RFID, a Wi-Fi or cellular

communications link, and autonomic computing software programmed to help a network device
interpret data and make decisions.
 BENEFITS OF M2M

 reduced costs by minimizing equipment maintenance and downtime;

 boosted revenue by revealing new business opportunities for servicing products in the
field

 improved customer service by proactively monitoring and servicing equipment before it

fails or only when it is needed.
KEY FEATURES OF M2M TECHNOLOGY

 Low power consumption, in an effort to improve the system's ability to effectively service M2M applications.

 A Network operator that provides packet-switched service

 Monitoring abilities that provide functionality to detect events.

 Time tolerance, meaning data transfers can be delayed.

 Time control, meaning data can only be sent or received at specific predetermined periods.

 Location specific triggers that alert or wake up devices when they enter particular areas.

 The ability to continually send and receive small amounts of data.

REQUIREMENTS OF AN M2M SYSTEM INCLUDE:

 Scalability - The M2M system should be able to continue to function efficiently as more
connected objects are added.

 Anonymity - The M2M system must be able to hide the identity of an M2M device when
requested, subject to regulatory requirements.

 Logging - M2M systems must support the recording of important events, such as failed installation
attempts, service not operating or the occurrence of faulty information. The logs should be
available by request.
REQUIREMENTS OF AN M2M SYSTEM INCLUDE:

 M2M application communication principles - M2M systems should enable communication between M2M applications in the
network and the M2M device or gateway using communication techniques, such as short message service (SMS) and IP
 Connected devices should also be able to communicate with each other in a peer-to-peer (P2P) manner.

 Delivery methods - The M2M system should support unicast, anycast, multicast and broadcast communication modes, with

broadcast being replaced by multicast or anycast whenever possible to minimize the load on the communication network.

 Message transmission scheduling - M2M systems must be able to control network access and messaging schedules and
should be conscious of M2M applications' scheduling delay tolerance.

 Message communication path selection - Optimization of the message communication paths within an M2M system must be
possible and based on policies like transmission failures, delays when other paths exist and network costs.
 M2M VALUE CHAIN

• A value chain is associated with the creation of value it is an instantiation of exchange by a certain

set of companies within an ecosystem. It is a useful model to explain how markets create value and

how they evolve over time.

• A value chain describes the full range of activities that firms and workers perform to bring a

product from its conception to end use and beyond, including design, production, marketing,

distribution, and support to the final consumer

 M2M VALUE CHAIN

DISTRIBUTION
INPUT MANUFACTURE PROCESSING PACKING and
MARKETING
 M2M VALUE CHAIN

Input Inputs are the base raw ingredients

that are turned into a product

Example Cocoa beans for the manufacture of

chocolate
M2M example Data from an M2M device that will be
turned into piece of information.
 M2M VALUE CHAIN

Production/Manufacture Refers to the process that the raw

inputs are put through to become part
of a value chain

Example Cocoa beans may be dried and separated

before being transported to overseas
markets.
M2M example Data from an M2M, needs to be verified
and tagged for provenance.
 M2M VALUE CHAIN

Processing Refers to the process whereby a

product is prepared for sale.

Example Cocoa beans may now be made into

cocoa powder, ready for use in
chocolate bars,
M2M example M2M refers to the aggregation of
multiple data sources to create an
information component something that
is ready to be combined with other data
sets to make it useful for corporate
decision-making.
 M2M VALUE CHAIN

Packaging Refers to the process wherby a product can be

branded as would be recognizable to end-user
consumers.

Example A chocolate bar would now be ready to eat and

have a red wrapper with the words “KitKatt” on
it.
M2M example M2M data will have to be combined with other
information from internal corporate databases.
For example, to see whether the data received
required any action. This data would be
recognizable to the end-users that need to use the
information, either in the form of visualizations
or an Excel spreadsheet.
 M2M VALUE CHAIN

Distribution/Marketing This process refers to the channels to market

for products

Example A chocolate bar may be sold at a supermarket, a

kiosk, or even online

M2M example Will have produced an information product that

can be used to create new knowledge within a
corporate environment examples include more
detailed scheduling of maintenance based on real-
world information or improved product design due
to feedback from the M2M solution.
WHAT IS THE IOT VALUE CHAIN?

• The IoT value chain explains the building blocks of IoT, how value is created, who they players are, and how
they interact with each other to deliver value.

• Looking at the IoT value chain as a pyramid, at the base is all the connected devices: phones, fitness bands,
connected cars, smart homes, and other devices on the consumer side; in industry, you have things like building
sensors, smart cities, and connected factories, for example.

• Stepping up a level from the base brings in the network and connectivity—how devices are connected and
communicate. It’s also where service providers collect device and network data and upload it to the cloud.

• Finally, at the top of the value chain, are applications and services that are closest to the eventual end users—
enterprises and consumers.
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INDUSTRIAL INTERNET OF THINGS (IIOT)

• It is the use of smart sensors and actuators to enhance manufacturing and industrial
processes.
• Also known as the industrial internet or Industry 4.0.
• The driving philosophy behind IIoT is that smart machines are not only better than
humans at capturing and analyzing data in real time, they are better at communicating
important information that can be used to drive business decisions faster and more
accurately.
INDUSTRIAL INTERNET OF THINGS (IIOT)

• Connected sensors and actuators enable companies to pick up on inefficiencies

and problems sooner, and save time and money in addition to supporting
business intelligence (BI) efforts.
 HOW IIOT WORKS

• IIoT is a network of intelligent devices connected to form systems that monitor,

collect, exchange and analyze data. Each industrial IoT ecosystem consists of:
• Intelligent assets that can sense, communicate and store information about
themselves;
• Public and/or private data communications infrastructure
• Analytics and applications that generate business information from raw data; and
• People.
 BENEFITS OF IIOT

1. predictive maintenance. Organizations can use real-time data generated from IIoT
systems to predict defects in machinery, for example, before they occur, enabling
companies to take action to address those issues before a part fails or a machine goes down.

2. improved field service. IIoT technologies help field service technicians identify potential
issues in customer equipment before they become major issues, enabling techs to fix the
problems before they inconvenience customers.
 BENEFITS OF IIOT

3. Asset tracking is another IIoT perk. Suppliers, manufacturers and customers can
use asset management systems to track the location, status and condition of
products throughout the supply chain. The system will send instant alerts to
stakeholders if the goods are damaged or at risk of being damaged, giving them
the chance to take immediate or preventive action to remedy the situation.

4. IIoT also enables enhanced customer satisfaction. When products are connected
to the internet of things, the manufacturer can capture and analyze data about how
customers use their products, enabling manufacturers and product designers to
tailor future IoT devices and build more customer-centric product roadmaps.
 BENEFITS OF IIOT

5. IIoT also improves facility management. Manufacturing equipment is susceptible to wear

and tear, which can be exacerbated by certain conditions within a factory. Sensors can
monitor vibrations, temperature and other factors that might lead to operating conditions
that are less than optimal.