Supply  Chain  Management  and  the  Internet  of  Things  

Hanns-­‐Chris:an  (Chris)  Hanebeck  GT  Supply  Chain  Services  

 Chad  W.  Autry  

University  of  Tennessee  

The Small Issue of Vision – Reality Chasm

© Copyright 2015 H.-C. L. Hanebeck Page 2 IoT in SCM for the University of Tennessee, November 11th, 2015

© Copyright 2015 H.-C. L. Hanebeck Page 3 IoT in SCM for the University of Tennessee, November 11th, 2015

There’s a Bullwhip Effect for Ideas!

IoT Vision is Often Quantified, but Rarely Operationalized!

© Copyright 2015 H.-C. L. Hanebeck Page 4 IoT in SCM for the University of Tennessee, November 11th, 2015

Out-Of-The-Box IoT Thinking

Noted on the Side: Welcome to the New World of Consumer Applications

Appliances. Why pay for an expensive espresso machine? It’ll be free – along with beans – while the company charges you by the shot, tells you when problems are brewing and also when you need to maintain their equipment.

Energy. Did anyone notice that Elon Musk is building the largest decentralized utility in the world – Solar X? Just wait when you see what he can do with your data: real-time consumption patterns by demographic, list of devices in your home, …

Vehicles. Pay by the drink, choose a different car based on your (daily) needs, trade with neighbors and friends, Uber as a delivery service for vehicles, etc. etc. And then there are all of the real-time traffic and peloton-type applications …

Gamification. First 25 people who find and purchase product x will get it for free … follow the clues on your Macy’s mobile app … or what about Tinder for Fashion while you’re in the Mall and ready for some real excitement!!!

Where  IoT  adds  value  

The  market  poten:al  is  there,  and  SCM  applica:ons  will  be  abundant...  

© Copyright 2015 H.-C. L. Hanebeck Page 7 IoT in SCM for the University of Tennessee, November 11th, 2015

The Endgame!

Source: University of Saarland, 2006

What’s  stopping  you?  

•  If  your  company  is  not  already  leveraging  IoT  to  reduce  costs  and  improve  efficiency,  why?  

•  If  you  are  geKng  engaged  with  IoT,  are  there  some  early  “pearls  of  wisdom”  you’d  be  willing  to  share?