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TransformationalTechnologies:Today
HowIoT,AI,andblockchainwillrevolutionizebusiness.
TheInternetofThings(IoT),artificialintelligence(AI),andblockchainrepresentanunprecedentedopportunityfortheenterpriseandthepublicsector.
Everyinstitutioncapableofexploitingthesetechnologieswillhaveachancetoradicallystreamlineandenhanceexistingprocesses,createentirelynewbusinessmodels,anddevelopinnovativeproductsandservices
foranewgenerationofconsumers.
Butthisisn’tavisionofautopian,tech-enabledfuture—thetechnologycapabilitiesareavailabletodaytohelpyoubuildthebusinessoftomorrow.
2 TransformationalTechnologies:Today
TransformationalTechnologies:Today 3
Thepersonalcomputingrevolution.Theinternet.Mobiledevicesthatputasupercomputerinthepalmofyourhand.We’vebeenexposedtotransformationaltechnologiesbefore,andunderstandthattheyhavethepowertochangetheworldasweknowit.
Buteachofthesepastexamplesemergedgradually—andcrucially—inisolation.
Wehadtimetogrowusedtopersonalcomputingbeforetheinternetarrivedandchangedthegameoncemore.Wewereinternet-savvylongbeforesmartphonesputthewebinourpockets.Now,multiplenewtechnologiesareemergingatonce:3Dprinting,5Gwireless,virtualandaugmentedreality,andothers.
Whileeachofthesetechnologiespresentexcitingopportunitiesandsignificantchallengesfortheenterprise,weconsiderthreetobetrulytransformational:IoT,AI,andblockchain.Alone,anyoneofthesethreewouldhavethepowertoalterbusiness,leisure,andsocietyasawhole.Buttogether,theirtransformativeimpactwillbeunprecedented.
Thisisthefirsttimeinmodernhistorythatthreetransformationaltechnologieshaveemergedinthesamegeneration,andyetit’satasteofthingstocome.Thedigitalrevolutionmeanstechnologicaldisruptionhaschangedfromaonce-in-a-lifetimeeventtoaconstantprocess.Now,anybusinessesthatfallbehindwillquicklyfindthemselveswith
aninsurmountablegaptoclose.
Inthispaper,we’llexplorehowyoucannotonlyprepareyourbusinessforIoT,AI,
andblockchain,butalsoempoweryourorganizationtoexploitthemnowandinthefuture.We’lldiscusshowcloudactsasbothanenablerandanaccelerant—pavingthewayforimplementationofanynewtechnology.Andwe’llexploreOracle’scapabilitiesinIoT,
AI,andblockchain—powerfulontheirown,buttransformationalwhencombined.
IOT:SENSINGTHEWORLD.
TounderstandIoT,AI,andblockchain,ithelpstothinkofthemasinterconnectedorganicprocesses.IoTislikethehumannervoussystem.Itsenses,withbillionsofconnecteddevicesaroundtheworldnowrecordingauniverseofnewdata.
AIislikethereasoningpartofyourbrain.Itthinksbyanalyzingdataandmakingdecisionspreviouslyreservedforhumans.Andblockchainislikeyourmemory—creatingasecure,indeliblerecordoftransactionsanddataexchanges.
IoTistransformingaworldofthingsintoaworldofdata.Practicallyanythingcanbeequippedwithasensorandmadesmart—fromasmartwatchthatmonitorsyourbloodpressure,heartrate,andbloodsugarlevelstoaconnectedfactorythatoverseeseverystageoftheproductionprocess.
“Smarthomesandconnectedproductswon’tjustbeaimedathomelife.They’llalsohaveamajorimpactonbusiness.Andjustlikeanycompanythatblissfullyignoredtheinternetattheturnofthecentury,
theonesthatdismisstheInternetofThingsriskgettingleftbehind.”
JaredNewman,FastCompany
1GartnerNewsroom
2Forbes
IoTinaction.
IoTwillimpactsomeindustriesmorethanothers.Thepublicsector,manufacturing,transportation,automotive,consumergoods,andevenhealthcarewillneverbethesameonceIoTtakeshold.Itprovidesanopportunitytoextractnewdataandimproveexistingbusinessprocesses,bringinnovativeproductsandservicestomarketfast,andgathernewinformationonconsumertrendsandpreferences.
It’seasytopictureIoTinuseforconsumerapplications,andaroundthehome.Ahostofsmarthouseholdappliancesandpersonalelectronicdeviceswillhelptotransformtheconsumergoodsindustry—revolutionizingtheuserexperience,andproviding
retailerswithafloodofusefuldata.ButtheimpactofIoTwillbefeltfarbeyondthehome.
Intheautomotiveindustry,IoTishelpingmanufacturersmakeconnected,autonomous,shared,andelectric(CASE)vehiclesasafe,workablereality.Insurerscanusethedataproducedbytheseconnectedvehicles(amongcountlessotherthings)tomonitordrivinghabits,developpersonalizedcoveroptions,andaccuratelyprocessclaims.
Andmanufacturerscancreateconnectedsmartfactoriescapableofmonitoring
equipmenthealth,minimizingproductioncostsanddowntime,andmaximizingproductivity.
Gettingthere.
There’sclearlygreatpotentialinIoT.It’sestimatedthattherewillbe20.4billionIoTdevicesincirculationby2020,1generatinginexcessof14zettabytesofdataeveryyear.2Butuptonow,IoTprojectshavebeenbothdifficulttoimplement,andoftenunderutilized—withonlyafractionofthatdatadelugecurrentlyanalyzedandputtopracticaluse.
TorealizethebusinessbenefitsofIoT,theenterprisemust:
BuildandadoptanecosystemofIoT-enableddevices
Source,store,andmanageenormousamountsofdata
Adoptsophisticatedanalyticsandmachinelearningcapabilities
CreatenewIoTapplicationsthatexploitdatainsights
IntegrateIoTintoexistingapplicationsandworkflows
Deployend-to-endsecurity
Monitorandmanagetheentirevaluechain
4 TransformationalTechnologies:Today
TransformationalTechnologies:Today 5
There’senormousopportunityinIoT.Butthechallengefortheenterpriseistobuildonexistingtechnology,infrastructure,andcapabilitiestoacceleratetimetovalue,andminimizethecostandcomplexityofIoTimplementation.Thebenefitsforthosethatsucceedwillbesignificantindeed.
HowOraclecanhelp.
Oracle’sgoalistomakeIoTimplementationeasy—cost-effective,user-friendly,andcapableofdrivingbusinessoutcomes.
Tothatend,weofferfivepowerful,ready-to-useIoTapplications:
OracleProductionMonitoringClouddeliversacommandingviewoffactories,machines,andproducts.
OracleAssetMonitoringCloudprovidesreal-timeinsightsfromconnectedassets.
OracleFleetMonitoringCloudtracksandmanagesconnectedvehicles.
OracleServiceMonitoringforConnectedAssetsCloudenablessuperiorcustomerservice.
OracleConnectedWorkerCloudprovidesreal-timevisibilityofworkerhealth,location,andworkenvironments.
TheseapplicationsareconnectedtoworkwithourSaaSapplications,too:enterpriseresourceplanning(ERP),supplychainmanagement(SCM),humancapitalmanagement(HCM),andothers.Andifyouwanttocreateyourowncustomappsorservices,youcanbuildthemusingourpowerful,integratedcloudplatform.There’salsoachoiceofdeploymentmodels:inthepubliccloud,orOracleCloudatCustomer—thepowerofthepublicclouddeliveredsecurelyinyourdatacenter.
AI:THINKINGABOUTDATA.
IfIoTisthesensingpartoftransformationaltechnology,thenAIisthethinkingpart.Withinthebroadfield
ofartificialintelligence,it’smachinelearningthat’spoisedtomakethegreatestimpact.Ithasthepotentialtoenablefast,intelligentdecision-making—either
insupportofhumanintelligence,orinplaceofit.Businessescandelegatemundaneorcomplicatedtaskstoachievealevelofaccuracyandefficiencybeyond
thecapabilitiesofhumanworkers.
Butputtingdecisionsinthehandsofintelligentmachineshasprofoundmoral,ethical,andeventheologicalimplications.
WhileAIandmachinelearningarealreadymakingintelligentinterventionsonbehalfofhumans—inourvoice-activatedpersonalassistants,forexample—there’sworktobedonebeforemachinesaregivenfullagency.Andbeforewegetthere,somefar-reachingquestionswillneedtobeasked—andanswered.
Machinelearninginaction.
Theinsightsgeneratedbymachinelearningwillhelp
theenterprisebetterunderstandcustomerexpectationsandmarkettrends,enablingautomated,personalizedengagements.Itwillhelpinthecreationofnewgoodsandservices,designedtoquicklyandaccuratelymeetthedemandsofmodernconsumersorfillgapsinthemarket.
Anditwillempowerbusinessoperationsthroughinsightfulrecommendationsandstrategicinput.
Machinelearninghasthepowertotransformhumanresourcesbyenhancingrecruitment,staffretention,andmaximizingproductivity.Intheautomotiveindustry,it’sthedrivingforcebehindautonomousvehicles.
Itcanhelpthetelecommunicationsindustryidentifyandaddressnetworkfaults,andallowfinancialservicesinstitutionstomoreaccuratelyprofileconsumers.
Machinelearningpowerscustomerservicechatbots,providesmarketinginsights,identifiescybersecurityvulnerabilities,enablespersonalizedproducts
andservices,andmuchmore.
It’shardtothinkofatechnologywithmoresignificantpotentialfortransformation—now,orthroughouthistory.
Gettingthere.
There’slittledoubtthattheimpactofmachinelearning
ontheenterprisewillbeprofound.Sowhyaren’tweseeingmoregroundbreakingmachinelearning–poweredproducts,services,andbusinessmodelshitthemarkettoday?
Theanswer,aswithIoT,isthatmaximizingthebusiness
benefitsofmachinelearningcanbemorechallengingthanitseems.Implementationwon’tbeacaseofthrowingaswitchandwatchingitcometolife.It’sanincrementalprocess.
Toexploitthetruevalueofmachinelearningintherealworld,theenterprisemust:
Recognizeopportunitiesforenhancedintelligencewithinthebusinessorsupplychain
Accumulateandstoreenormousamountsofdata—bothinternalandexternal,structuredandunstructured
Attractandretaintherighttalentwiththerightskillstoputmachinelearningtowork
Deeplyintegratemachinelearningintoapplicationsbotholdandnew
Deployitacrossmultiplefunctions,ratherthannarrowusecases
Applyittoexistinginfrastructureandcapabilities,insteadofstartingfromscratch
ConsidertheethicalandmoralquestionsregardingthescopeofAIimplementation
Initially,implementingandexploitingmachinelearningintheenterprisehasprovenchallenging.Butthebenefitsofdoingsosuccessfullyareclear.Businesseshavelittlechoicebuttofindawaytoinfusetheirbusinessmodelsandprocesseswithmachinelearning,orriskfallingbehindmore-agilecompetitors.
HowOraclecanhelp.
Machinelearningbelongsinthepresent—notthefuture.That’swhywe’reconnectingourcoreapplications—ERP,SCM,andHCM—withready-to-usemachinelearningcapabilities.Wecallthemadaptiveintelligentapplications,andtogether,theyhelptocreateaconnectedenterprise.We’rebuildingautomationintoourcloudplatformservices,too—creatingself-driving,self-securingdatabases,analytics,security,management,andmore.Andalloftheseapplicationscanbeeasilyaccessedandusedthrough
theOracleDigitalAssistant.
ButwhatreallysetsOracleapartisdata.Largevolumes
ofhigh-qualitydataenrichmachinelearning,andempowerittodeliverstrongerbusinessoutcomes.AndthankstoOracleDataCloud,wehavemorethananyoneelse—it’stheworld’ssinglelargestmarketplaceofthird-partydata.
6 TransformationalTechnologies:Today
TransformationalTechnologies:Today 7
“Anythingthatcouldgiverisetosmarter-than-humanintelligence…winshandsdownbeyondcontestasdoingthemosttochangetheworld.Nothingelseiseveninthesameleague.”
EliezerYudkowsky,Cofounder,MachineIntelligenceResearchInstitute
“Blockchainisavast,globaldistributedledgerordatabaserunningonmillionsofdevicesandopentoanyone,wherenotjustinformationbutanythingofvalue—money,butalsotitles,deeds,identities,evenvotes—canbemoved,stored,andmanagedsecurelyandprivately.”
DonTapscott,CEO,TheTapscottGroup
BLOCKCHAIN:COMMITTINGTRANSACTIONSTOMEMORY.
SoIoTfeels.AndAIandmachinelearningthink.Blockchain,meanwhile,canbesaidtoremember.
BlockchainisknownasthetechnologythatunderpinsBitcoinandothercryptocurrencies,
butinreality,it’smuch,muchmorethanthat.Thinkofblockchainasthefoundationofhigh-trustcomputing.Itbringsreliability,transparency,andsecuritytoallmannerofdataexchanges—whetherfinancialtransactions,contractualandlegalagreements,orchangesofownership.
Ablockchainusesadistributedpeer-to-peernetworktokeepanunalterablerecordofeveryexchange—removingtheneedfortrusted,third-partyintermediariesindigitaltransactions.Theupshot?Fasterprocesses,real-timetransactionvisibility,andreducedcostsacrosseveryindustry.
Therearefewareaswhereblockchain’stransformativeinfluencewillnotbefelt.GartnerestimatesthatblockchaincouldcreateUS$176billionofvalue-addedrevenueby2025—revolutionizingthesupplychain,enablingnewbusinessmodels,anddisruptingexistingones.
Blockchaininaction.
Blockchainwillprovetobeagame-changerinnumerousindustriesandsectors—financialservicesandinsurance,ecommerce,healthcare,humanresources,andmore.Essentially,anywheredigitalinformationisexchanged.Intheconsumergoodssector,blockchain
willprovidetransparencyacrossthesupplychainthroughassettracking—enhancing
8 TransformationalTechnologies:Today
TransformationalTechnologies:Today 9
accountability,streamliningproductrecalls,andimprovingconsumertrust.Ineducationandresearch,itwillhelptoensurethatintellectualpropertyrightsareupheld.And,ofcourse,infinance,blockchainistherocketfuelpoweringthefintechrevolution.
Gettingthere.
AswithIoTandAI,you’dexpectblockchaintohavebeenadoptedandimplementedmorewidelybynow—particularlyconsideringtherecentmediahyperegardingblockchain
andcryptocurrencies.Butbeyondthoseagilefintechstartups,it’sstillacomparativerarity.Theproblemisfamiliar—perceivedriskandcomplexitystandinthewayofwidespreadadoption.
Barrierstoblockchainadoptioninclude:
Costandavailabilityofcomputeresources.
Lackofregulationofblockchainminers.
Everyonewhojoinsablockchainnetworkmustagreetobeboundbyitsrules.
Blockchaincontractsarecurrentlyuntestedincourt.
Blockchainmustbeintegratedwithexistingsystemsofrecord.
Fewcurrentusecasesoffercompellingorimmediatereturnoninvestment.
Traditionalstakeholdersremainrisk-averse.
Blockchainisundoubtedlytransformative.Infact,muchofitsimpacthasyettobeexplored—evenonatheoreticallevel.Butbeforetheenterprisecandiscovertheouterreachesofblockchain’spotential,thesestumblingblocksmustbeovercome.
HowOraclecanhelp.
Ouraimistomakealltransformativetechnologiespowerfullysimpletoputtowork.TheOracleBlockchainCloudServiceiseasytoimplement,cost-effective,andcapableofacceleratingtimetovaluewhilemaintainingsecurityandresilience.
OracleBlockchainCloudService:
Isanindustrialblockchainplatform,designedfortheenterprise
Isproduction-readyandpreassembled—simpletodeployandintegrate
Isdeliveredwithawiderangeofsoftwaredevelopmentkitsandapplicationprogramminginterfaces(APIs)foreaseofintegration
Makesitsimpletoaddsmartcontractstointeractionswiththirdparties
Iseasytosecure,thankstoOracle’spowerfulidentitymanagementservice
Issimpletomonitorandmanage—eitherthroughOracle’sadministrativeconsole,orexistingoperationaltools
Makesiteasytoconnecttoexistingapplications,orcreateentirelynewones
Soloorsymphony?
Feeling.Thinking.Remembering.Ineachofus,thesethreeabilitiescombinetoenableallofthewonderfulpossibilitiesofhumanendeavor.Likewise,IoT,machinelearning,andblockchainarepotentiallytransformativeontheirown—butexponentiallymorepowerfulwhencombined.Together,
thesethreetransformationaltechnologieswillchangetheworld.
10 TransformationalTechnologies:Today
TransformationalTechnologies:Today 11
MAKINGTRANSFORMATIONREAL.
Inthehome.
Today,eventhemostadvancedtechnologiesareusuallyreactiveratherthanproactive.ThinkofavirtualassistantsuchasSiri,Alexa,orCortana.Givethemacommandandthey’llrespondtoit—orderingaproductyou’verequested,say,orplacingacallonyourbehalf.Butwhenpowered
bytransformationaltechnology,thesevirtualassistantswillbecomemuchmoreproactive.Inthenearfuture,yourvirtualassistantmightobservethatyou’rerunninglowonaparticularproduct,andsuggestthatitplaceanorderfor
you—ortellyouhowyoucanfindthebestvaluebyadjustingyourpurchasehabits.
IoTdatafromyourrefrigeratorwilldeterminethatyourmilkisrunninglow.Machinelearningwillworkoutwhichretailerssellyourpreferredbrand,andwhereyoucangetitcheapest.Andblockchainwillensurethatthetransactionisprocessedsecurely,andyougetexactlywhatyoupaidfor.
Healthcare.
ConsiderUShealthcareinitscurrentform.Today,muchdependsonthepatient.Theydecidewhentheyneedtoseetheirdoctor—generallyonlyoncevisiblesymptomshaveappeared,oranaccidenthasoccurred.Theyhavetoscheduleanappointment.Andoften,theymustrememberthepertinentdetailsoftheirmedicalhistory.Andhumanbeings,ofcourse,arefallible—andforgetful.
Instead,imagineanationofsensor-equippedpatients.MachinelearningmonitorsIoTsensordata,andcandetermine—atanearlystage—whensomethinghasgonewrong.Thepatient’svirtualassistantcancross-referencetheircalendarwiththeirdoctor’s,andscheduleanappointmentautomatically.Andwhenthepatientarrives,blockchainwillensurethattheyhaveasecure,accurate,digitalmedicalhistoryforthedoctor’sreference.
Cybersecurity.
New,more-stringentregulationsliketheGeneralDataProtectionRegulation(GDPR)inEurope,themutatingthreatofcybercrime,andtheincreasingvalueandproliferation
ofconsumerdatahasmadecybersecurityauniversallypressingconcern.Butevenhere,IoT,AI,andblockchaincanhaveatransformationaleffect.
Thesetechnologieslargelyremovethehumanelementfromprocesseslikecybersecurity—andwithit,theriskofhumanerror.Whenpracticallyeverythingissensor-equipped,logandauditdatacanbecollectedinacentralizedrepository.
Machinelearningcananalyzethisdatafarmorequicklyand
accuratelythananyhumancould,makelogicaldecisions,andtakeautonomousaction.Andanyandallcriticalevidenceissecurelyrecordedviablockchain.It’sasystemthateffectivelybypassesthemostcommoncausesofdatabreaches—carelessness,humanerror,andmaliciousintervention.
Inmanufacturing.
Finally,let’sconsiderhowthesetransformationaltechnologiesmightreinventthemanufacturingindustry.
Byusingaproductionmonitoringcloudsolution,productionmanagersgainaremote,digitalviewofeverymachine
ineveryfactory.Theycanseeperformancedataforeachpieceofequipment,andusingmachinelearning–poweredproactivemaintenance,anticipatewhenafaultmayoccurinadvance.Therighttechniciancanbeassignedtotherightjobattherighttime,aworkordercanberaised,andreplacementpartspurchasedsecurelythroughblockchain.
“We’reinfusingthenewtechnologiesofautonomouscomputing,AI,IoT,blockchain,andnewformsofhumaninterfaceintoourcloudoffering.”
ThomasKurian,PresidentofProductDevelopment,Oracle
REALIZINGTOMORROW,TODAY.
Thesetransformationaltechnologieswillbringchange—inourprofessionallives,ourpersonallives,thecompaniesweworkfor,andsocietyasawhole.
Buttheirimpactisn’tsomethingthatbelongstoavagueanddistantfuture.Infact,mostofthesecapabilitiesareavailabletoday.So,howdoyoubringthefutureforwardandempoweryourbusinesstotakeadvantageofthetransformativeimpactofIoT,AI,andblockchain?
You’llfindtheanswerinthecloud.Thefactisthatwithoutcloud,implementinganynewtechnologywillproveextremelydifficult.Iteffectivelylevelstheplayingfield.Withcloud,evensmallcompaniescanaccessthesamecomputepowerandresourcesaslargeorganizations,whiletraditionalbusinessescanadoptthesameflexibilityasagiletechstartups.Cloudenablesinnovation,helpsminimizeITspend,andacceleratesadoption
ofnewtechnologieslikethesethreegame-changers.
Gettingthere.
Thingstobearinmindwhenpreparingyourbusinessfortransformationaltechnologies:
Focusonthebigthree:IoT,AI,andblockchain.
Rememberthatcloudlevelstheplayingfield.Youcan’tgettherewithoutit.
Understandthatthesetechnologiesareunderpinnedbyvastamountsofdata.TheAI-enabledOracleAutonomousDatabasemakesdatamanagementfarsimplerandmorecost-effective.
Appreciatethatembracingtransformationaltechnologies—andrealizingtheirfullpoten
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