Smart Products and Machines for New Revenue Streams Mfg204

Title

AWS re:Invent 2022 - Smart products and machines for new revenue streams (MFG204)

Summary

  • Michel Putnik, the global leader for smart products and services at AWS, introduces the session and discusses the importance of product telemetry in enhancing customer intimacy, supply chain efficiency, and product performance.
  • Gabriele, the CIO at Unox, shares their journey of instrumenting their product range, focusing on professional ovens for the food service industry.
  • Unox's approach to IoT began in 2015, leading to a serverless, scalable infrastructure on AWS with 30,000 connected ovens.
  • Challenges faced included customer adoption, understanding product usage, and creating value from telemetry data.
  • Unox developed mobile and web applications to improve customer usage, manage recipes, and optimize production scheduling.
  • AWS services facilitated the creation of smarter products, such as the Digital ED SpeedX oven, which combines steam and microwaves and features digital capabilities like remote control, voice assistance, and technical support.
  • Unox explored new revenue streams through customer success plans and premium digital features.
  • AWS also supported Unox in migrating their SAP to AWS and implementing Amazon Connect for their contact centers, improving service levels and scaling customer support.

Insights

  • The integration of IoT and telemetry data into products can significantly enhance customer experience, product design, and operational efficiency.
  • Customer adoption of connected products can be challenging, and companies may need to demonstrate clear value to encourage usage.
  • Data-driven insights can lead to product innovations and optimizations that were not previously considered during the design phase.
  • Serverless architecture on AWS allows for scalability and reliability, enabling companies like Unox to grow their connected product offerings without significant infrastructure concerns.
  • AWS's suite of services, including IoT, Kinesis, Greengrass, and Monitron, provides a comprehensive toolkit for companies to develop smart products and services.
  • The transition from CapEx to OpEx models in manufacturing is facilitated by product telemetry, which can inform service level agreements and pricing strategies.
  • AWS's focus on priority areas such as engineering and design, production optimization, sustainability, supply chain, and smart products reflects the broader industry trends and customer needs.
  • The concept of a digital thread emphasizes the importance of cross-functional data sharing within an organization to maximize the value of product telemetry.
  • The case study of Unox illustrates the potential for digital transformation in traditional manufacturing sectors and the creation of new revenue streams through smart product features and services.