Gartner: IoT Poised To Impact Supply Chains in Profound Way
September 10, 2020
Gartner 2020 Hype Cycle for Supply Chain Strategy Shows Internet of Things is Two to Five Years Away from Transformational Impact
The Gartner 2020 Hype Cycle for Supply Chain Strategy shows that the Internet of Things (IoT) has reached the bottom of the Trough of Disillusionment. The market will begin to climb out of this trough, as the technology advances and practitioners succeed in defining the best opportunities for the unique measurement and tracking capabilities of IoT.
The Trough of Disillusionment highlights technologies and markets where interest has waned as experiments and implementations fail to deliver (see Figure 1).
“IoT is in the trough because we see that many companies are implementing the technology, but they struggle to define the best opportunities for using its measurement and tracking capabilities,” said Mike Burkett, vice president distinguished analyst with the Gartner Supply Chain Practice. “We see further potential to grow its use over the next several years. Gartner estimates that installed IoT endpoints for manufacturing and natural resources industries are forecast to grow to 1.9 billion units in 2028. That is five times from 331.5 million units in 2018.”
Figure 1: Hype Cycle for Supply Chain Strategy, 2020
According to Gartner’s 2019 Digital
Business Impact on the Supply Chain
Survey, 59% of respondents had partially
or fully deployed IoT across the entire
organization. Another 22% were piloting
and 15% had not invested yet, but
planned to do so in the next two years.