The industry is advancing with digital tools. The advent of IoT manufacturing is a clear indicator of future innovation in the service industry.  Today, manufacturing is impacted by changing customer expectations and increased consumer demand. 

Certainly, IoT app developers have been the ideal solution for an assortment of manufacturers in a variety of industries – from electronics and chemicals, to notable products. The IoT is still dominating the market. 

As a result, recent IoT statistics show that the number of connected devices will go up to 30.7 billion in 2022. Additionally, IoT investments will also reach $1.29 trillion by the end of the year. 

However, what is the Internet of Things? In laymen’s terms, Smart Manufacturing brings up performance, safety, and offers a better insight into customer preferences and behavior.  

How IoT Works in Manufacturing 

We must begin with IoT devices to better understand the IoT. An IoT device, by definition, is any computing device that can connect wirelessly to a network to transmit data. However, much new equipment specifically designed for manufacturing has the Internet of Things sensors already installed.  

These sensors are retrofitted sensors that are commonly installed on existing equipment, so, it enables smart IoT manufacturing. 

Siemens electronics is a great example of practical use. Siemens electronics manufacture in Germany uses IoT in machines to automate 75% of its production.  Consequently, the parts of the product are manufactured, they can communicate with the machines using product codes. This allows them to navigate further through the production process. 

Since all processes are optimized for IT control and optimization, there are very few chances of making mistakes. 

Cisco, Microsoft, and Intel are just a few of the IoT app development companies that have been extremely successful at this. They have outsourced production plants around the world and have created “VMES”, or virtual IoT manufacturing industry execution system platforms, to monitor production. 

What is great is that this system makes use of technology from production machines and predict the quality capabilities in the external environment, for example:

  • The cloud.
  • IoT.
  • Big Data.
  • Analytics.

The IoT in the Manufacturing Industry Consists:

  • Intelligent manufacturing.
  • Asset management.
  • Optimized processes.
  • Plan. 
  • Monitoring. 
  • Interaction between machine and human. 
  • Cyber-physical systems. 

Data is Crucial in IoT Manufacturing 

Above all, manufacturing is an essential sector that relies on IoT sensors. The IoT sensors provide valuable data and insights into manufacturing performance, which companies can use to improve customer satisfaction. 

Subsequently, manufacturers who choose to use the Internet of Things approach in their business decisions can improve their services and offer better products, services, and quality. However, machine learning is improving as technology advances. 

Ultimately, higher productivity can only be achieved if there is a faster and more efficient production process. 

IoT analytics found that smart devices in manufacturing, results in a 33.1% revenue increase, at least 11% better quality, and 22% higher customer satisfaction. 

Moreover, 97% of 600 manufacturing companies agree that IoT is the most important technology, while 83% have IoT implementations already. 

The collective benefits

The benefits of IoT have become quite clear. IoT’s helping hand goes beyond the highly efficient manufacturing processes and controlled production, for example:

  • The facilitated connection between machines and manufacturers. 
  • Get a deeper understanding of the manufacturing process. 
  • Data analysis is a key tool to help you make better business decisions. 
  • Production workflows are improved by optimizing and automating production processes. 
  • The network allows equipment management and control from any place via devices connected to it. 
  • The sensor data gives you a better view of your power consumption. 
  • It is time-saving and cost-savings. 
  • Reducing downtime. 
  • Better product quality. 
  • Reduction in the risk of human error. 
  • An easy machine assessment, so, workers can determine if the machine requires repair. 
  • Safety improvements. 
  • Live overview of all ongoing activities. 
  • Management of the global supply chain improved.
  • Customer satisfaction 


In conclusion, its efficiency is undisputed, the Internet of Things (IoT) is a smart technology that elevates manufacturing to a new level of business operations.  

High-functioning organizations use these devices to increase production, reduce risks and maintain better control over the entire process. 

This concept is exceptional access for production companies as well as IoT application developers. This gives them a competitive advantage and allows them to expand their business internationally. 

If you want to learn more about IoT and Smart Manufacturing, click here!