Business Strategy and Innovation Framework | Page 17

Business Strategy and Innovation Framework
This same potential for operational and added value in business products , services and customer experience exists for all market segments and industries .
3.3 OPPORTUNITY AT THE IT / OT INTERSECTION
IIoT is creating the potential benefit from the connection and integration of data from information technology ( IT ) systems and the data center with data from operational technology ( OT ) on the factory floor and connected devices . The IT side of business focuses on resources that process data for business-related functions such as payroll , databases , customer access , various business analysis , reporting tools , and inventory . The OT side targets systems and elements that build , execute , control , and monitor industrial or service processes .
At present , operating models for many larger ‘ traditional ’ industrial enterprises include at least some IT and OT assets . As the IIoT becomes more prevalent , the intersection of these elements has the potential for both disruption and benefit within the enterprise .
While there is generally some integration between the IT and OT domains in most companies , the degree of integration varies considerably by market segment . Many enterprises have different processes , organizational structures and systems in place for each domain . Much of the integration between the two is manual , loosely connected , or in silos .
With IIoT comes a significant opportunity , and a necessity , to bring these two operating worlds together to the benefit of the entire business model . Indeed , the intersection between these two domains and the potential for data integration across the business is one of the most significant motivations and benefits of IIoT adoption .
3.3.1 THE NEW INTERSECTION AND OPPORTUNITY POINT
Until the advent of IIoT , there was limited collaboration or cross-linkage between the disciplines of IT and OT , as Figure 3-1 illustrates . Such ‘ islands ’ of execution fostered organizational models that , while individually effective , caused IT and OT to operate in relatively independent ways . This is partly because IT and OT require different processes , systems , and measures , and even a different operational ‘ language .’
The net impact of this situation has been the inability to make use of broader business insight and learning to benefit production operations . Likewise , IT saw limited benefit from physicalworld and real-time analysis or trends that might increase business insight and allow for faster adjustment of business models ( further insight into this can be found in the IIC Reference Architecture or IIRA [ IIC1 ], section entitled ‘ Functional Approach ’).
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