•P o w e r i n g t h e I n t e r n e t o f T h i n g s What are the Digitization Trends? The Internet of Everything: The Greatest Impact of Digitization 3 © 2014 Pegasystems Inc. What are Things? The Internet of Things (IoT) refers to uniquely identifiable objects and their virtual representations in an Internet-like structure. Source: Wikipedia This convergence of machine and intelligent data is known as the Industrial Internet, and it's changing the way we work. Source: GE The Internet of Everything (IoE) — the networked connection of people, process, data, and things Source: Cisco 4 © 2014 Pegasystems Inc. What are “Things”? 5 © 2014 Pegasystems Inc. 6 © 2014 Pegasystems Inc. The raw numbers are huge. 7 © 2014 Pegasystems Inc. The market size and growth numbers are staggering. 8 © 2014 Pegasystems Inc. Some perspective… 9 © 2014 Pegasystems Inc. It’s not about the gadgets. “This is not about technology at all,” Chambers said, “It’s about how it changes peoples’ lives forever.” 10 © 2014 Pegasystems Inc. The coming tsunami of machine-to-machine interconnections – yielding tremendous flows of information – and knowledge. “Once we free the machine social network (comprised of sensors and an unimaginable number of other devices) from the drag of human interaction, there is tremendous potential for creating autonomous communities of machines that require only occasional interaction with, or reporting to, humans.” - Francis DaCosta 11 © 2014 Pegasystems Inc. Why the Internet of Things is Happening Now 1. Small. Inexpensive, and powerful Connected Parts for small (e.g. wearables) and large (e.g. trucks) Things are relatively inexpensive. 2. Pervasiveness of Connectivity (Internet): The Cloud and Mobile Apps. 3. Compelling applications and players for consumer, industry and public sector ecosystems. 4. The next phase in the evolution of computing: towards intelligent, connected Things & Robots 5. Emerging standards: in network layers (ZigBee, Wifi 802.11, IPv6, MQTT, CoAP) 6. Robustness of Big Data and Analytics 7. Unprecedented Opportunities for Innovation: start ups, crowd-funding 12 © 2014 Pegasystems Inc. The Momentum is Unprecedented The Economist conducted a study in late 2013 that surveyed companies’ attitudes about the Internet of Things. Key findings: 13 ► 75% of companies are either actively exploring or using the IoT. ► Only 6% of business leaders believe that it’s just hype. ► 96% of surveyed individuals expect their business to be using IoT in some respect within three years. ► 61% of the leaders recognize that they need to integrate IoT into their businesses, or else the business will fall behind. http://www.arm.com/files/pdf/EIU_Internet_Business_Index_WEB.PDF © 2014 Pegasystems Inc. What is The Process of Everything? 14 © 2014 Pegasystems Inc. With so much out there…. How do you grab onto it? 15 © 2014 Pegasystems Inc. Why Process of Everything? The sensors on Things offer little or no real value by themselves. IoT/IoE sensors and controllers tend to be point-to-point and are functionally siloed • The Process Of Everything provides end-to-end intelligent processes – orchestrating to achieve specific business value: • Things • Back Office Operations • Systems of Record • Field People • Customer Service Representatives • Omni-Channel interactions 16 © 2014 Pegasystems Inc. The Process of Everything is Necessary. •The Need For Adaptability and Change of business rules, decisions, tasks and orchestration policies involving people and things: • Visible, Declarative, and Easy to Change Rules in automated Processes for Things and People • Planned and unplanned (ad-hoc) tasks involving Things (e.g. Robots) or People • Guided and intelligent interactions for Things and People in the context of end-to-end processes • Self-Learning (form Data and Events) with Predictive Analytics for Things and People • Contextual Execution of Rules or Process for Things and People 17 © 2014 Pegasystems Inc. The Process of Everything is Necessary. •Some Things (e.g. Cars with Telematics) are Channels for Customers: • iBPM Enabled CRM – as well as customer service and support – can be leveraged to optimize the customer experience and process. • Integrate Consumers/Customers with Manufacturers (e.g. OEMs) and Dealers. • Processes optimizing the customer experience, while benefiting the value chain of organizations – especially in manufacturing 18 © 2014 Pegasystems Inc. To utilize the Internet of Things, You must sense events as they occur... Events Sense & Respond Outcomes …and respond to achieve the desired 19 © 2014 Pegasystems Inc. What Outcomes? What people need from all this digital frenzy. 20 • Status: Tell me what’s going on . E.g. Transportation • Diagnostics: Tell me what’s gone wrong. E.g. Power Plant • Location: Where is the action? E.g. Law Enforcement Emergency • Repair: Fix this. E.g. Connected Vehicle • Upgrade: This needs to be improved. E.g. Farm Equipment • Automation & Control: Manage this to some defined end. E.g. Patient Care • Behavior: Manage the behaviors or causes of the situation. E.g. Insurance. © 2014 Pegasystems Inc. Events Sense, Process and Respond Outcomes Status Diagnostics Location Repair Replenishment Upgrades Automation & Control Profile Behaviors 21 © 2014 Pegasystems Inc. What is iBPM? Human System Business Things Process Participants From Internet of Everything to Process of Everything 22 © 2014 Pegasystems Inc. What is iBPM? Business System Human Things Process Participants Dynamic Case Management Social Mobile Cloud Structured Production Workflow Process Automation Business Rules Analytics Decision Management Business Events & CEP Big Data Process Intelligence Scientific Management Business Process Re-engineering TOC Lean Six Sigma NPS BSC Process Methods EA SOA WOA Process Architectures 23 © 2014 Pegasystems Inc. iBA Managing All Types of Work & Workers Extremely Structured Unstructure d & Ad Hoc Spectrum of Work Work Automation System Clerical Knowledge Assisted Knowledge Worker Dynamic Case Management Dynamic Case Management supports all work needed to handle a case, regardless of kind or who is performing it 24 © 2014 Pegasystems Inc. Case Participants Sub-Cases Collaboration Case Stages Case Content Case Business Objectives Tasks Dynamic Case Management 25 © 2014 Pegasystems Inc. Decisions Case Events Case Data Processes KPI Stages 26 © 2014 Pegasystems Inc. Processes Example CHANNELS Case Subject: Aircraft Turn-Around Content/ Attachments Radar CDM Portal Min TurnAround Passenger Time Info Flight Update Message Air-to-Air Case 1578 Inbound Subcas Flight eA Activities Case workers Stand Airline Airport planners Operations Staff Staff Taxiing T Landing Bags Refueling Events: External, Internal Handheld Devices Related Cases 27 Weather Security Mechanical Alert Delay © 2014 Pegasystems Inc. Passenger(s) Outbound Mobile Phone Cleaning Related Subjects Inbound Flight Outbound Flight Subcas Flight eB Activities Passenger Mgmt Match Bags to Passengers Baggage Reconciliation Departure Scheduling Board Passengers Bags “Intelligent” Business Process Management The Process of Everything. Expression Rules Integration (SOA/WOA/EDA) Rules Decision Trees, Tables, Constraints UI Rules iBPM 28 © 2014 Pegasystems Inc. Analytics and NextBest-Action Decision Management Event Rules Three Application Use Cases for the Process of Everything 1. Humans, Things (Devices, Robots, etc.) – participants in processes • Process and Deliver a Package: Humans &Things: Connected Vehicles, Sensors, Robots • Activate the vacation home (many “Things”) in a return from vacation process. • Adjust device settings in a preventive vehicle warranty process. 29 © 2014 Pegasystems Inc. Three Application Use Cases for the Process of Everything 2. A device recognizes an Event and starts an exception case to resolve it. • Elevated CO2 level in a Connected Car instantiates a case • Boiler malfunction in a connected home instantiates a case to handle and repair • An incident is detected in a remote Oil pipeline - Drone and Field people are dispatched to fix it Events 30 © 2014 Pegasystems Inc. 32 © 2014 Pegasystems Inc. Device-Directed WarrantyTM ! PRODUCT CO2 SENSOR WARRANTY EVENT CASE NV. 7 SERVICE REQUIRED CUSTOMER DEALER TRIAGE DIAGS SERVICE ORDER PARTS SKILLED TECH WARRANTY CLAIM 33 © 2014 Pegasystems Inc. IoT Events and Big Data: “Thing Data” 34 © 2014 Pegasystems Inc. 3. Events Events Events Events Real-time analysis of aggregated event data (Thing Data, Predictive, CEP) suggests a probability of occurrence and processes are activated to prevent a failure and/or maintain a condition. Operationalize, Process and Respond Outcomes Status Diagnostics Location Repair Replenishment Upgrades Automation & Control 35 © 2014 Pegasystems Inc. Behaviors Areas of Application for The Process of Everything 36 © 2014 Pegasystems Inc. Cities, Homes & Buildings Healthcare Manufacturing Automotive & Transportation Supply Chain Retail Field Service Utilities – smart metering and grids Security & Surveillance Environmental Monitoring Agriculture Military i 37 © 2014 Pegasystems Inc. Protocol Landscape for IoT From Device to Intelligent Business Processes Machine Supply Chain Health Marketing Manufacturing Support Automotive & Utilities Transportation Remote Access AJ Visualization Engines Device Registration Device Provisioning Firmware Management Assets & Products Security Data Analysis Hadoop CEP Data Mining Flume CoAP MOTT Luxun HTTP AMOP DDS IPv4 FTP DATA STORAGE / RETRIEVAL Fluentd Telnet DATA AGGREGATION / PROCESSING SSH IPv6 SESSION / COMMUNICATION BLE RFid Dash 7 GSM Wifi 802.11 a/b/g/n Zigbee GloWPAN Ethernet 802.15.4e 802.3 ODB2 RS-232 Wireless USB SPI Modbus RS-485 RJ45 Bluetooth DEVICE © 2014 Pegasystems Inc. BUSINESS VALUE Cassandra Storm XMPP Scribe 38 Machine Learning Kafka Esper RapidMQ Sourced from: http://entrepreneurshiptalk.wordpress.com/2014/01/29/the-internetof-thing-protocol-stack-from-sensors-to-business-value/ HBase TRANSPORT LINK PROTOCOL LAYER CONNECTIVITY SENSORS New South Wales Government Example • Sensor input from over 20,000 remote devices • Intelligent fault analysis and routing • Awarded Gartner’s “Best Use of BPM Technology”, 2013 Tech Summit • Live in 4 months; improved use of engineering resources 39 © 2014 Pegasystems Inc. 40 © 2014 Pegasystems Inc. Question and Answer 41 © 2014 Pegasystems Inc.