Top 5 challenges for Industrial IoT (IIoT) Implementation

Yogesh By Yogesh
The physical world is transformed

Thanks to IoT, the physical world is transforming into digital beings and there is an explosion of smart devices and technologies that have allowed this transformation to happen. Machine learning, artificial intelligence, robots and high-speed internet are driving force in technological evolution.

One such technology that leading the change in manufacturing space is is Industrial Internet of Things (IIoT) which is also known as the Industrial Internet or Industry 4.0. The technology can bring together brilliant machines, advanced analytics, and the people involved at work.

On combining machine-to-machine communication with big data analytics in an industry, IIoT can drive unprecedented levels of efficiency, productivity, and performance. And that’s the reason, most businesses are employing  IoT development companies to get the sensor, gateways and other IoT infrastructure integrated into their businesses.

While the evolution of the industrial internet of things has created new opportunities, it has also brought new challenges for business leaders.

“As per the analytical reports, the industrial internet of things will reinvent many sectors that account for approximately two-thirds of the global economic output hence driving economic gains of 14.2 trillion dollars by 2030.”

Also Read: State of the Global IoT & IIoT Market

However not every enterprise is able to equip itself with the benefits of the IIoT. While some enterprises, especially large-scale ones, can think of building dedicated in-house teams for implementing IIoT. However, considering the complexities of bringing talent and building a solid infrastructural foundation, stand in the way of many enterprises.

It’s observed that within the next few years, 72% of those companies fear they will lose market share if they are unable to implement their big data strategy. There are a few challenges that are holding them back.

Let’s dig deep and learn about the top five IIoT implementation challenges currently faced by organizations.

Connectivity Outage Challenge

There is a constant need for uninterrupted connectivity if an enterprise is planning to go IIoT. Even while using Internet connectivity, its availability of 100% is nearly impossible. Either for maintenance or for some other reason, at one point of time, the connection is lost.

If an enterprise is planning to implement IIoT technology in their system, the critical need is to be present with an unremitted connection. It would be best to make sure to use the proper cables and set a system that guarantees zero data loss—even in case of connectivity Issues.

Related Blog: Top 10 Challenges Enterprises Face in IoT Implementation

Delivering Value to The Customer

The plan to implement IIoT solutions can severely impact the efficiency, customer satisfaction, and productivity in the long run. Having IIoT is a big deal and the entire cycle needs great understanding as any business usually plans for new technology to fill the gap of understanding the customer problem statement.

Hence, it becomes extremely crucial for IoT consultants to figure out the key performance indicators to measure and improve through an IoT solution.

Data Storage

One of the major challenges for enterprises is Data storage. Today all forecasted activities heavily rely on the stored data from the past. No enterprise lives with an old traditional method to tackle data which usually would be analyzing high-frequency data, analyze it, and promptly throw it away.

Industrial Internet of Things supports to collect thousands of data points that have critical relevance to future aspects of the business outside of the OT network. And hence it becomes a necessity for any enterprise to plan for a secure storage of data before going full IIoT in long run.


There had been numerous cases of cyber-attacks in the past. It’s much important to save critical data from cyber-attacks than maintaining typical IT networks. This had been the biggest IIoT challenge for the operation and technology teams since a regular threat can ruin the enterprise.

Even if a company plans to overcome such issues with IIoT, this would mean introducing new security tools to the network which means increased cost and heavy maintenance. Thus, businesses are usually resisting the idea of IIoT until they are equipped with a solid security plan in place.

Analytics Challenges

Even if IoT solution is implemented in the enterprise, its actual ROI value is realized through actionable insights derived from the collected IoT data. This could only be possible with the help of a high-performance analytics platform that can handle the gigantic amount of data added to the solution.

While implementing IoT architecture, it’s important for Data Analytics partners to involve data processing, cleansing, and representation too. This ensures leaving enough space for extensibility factor to add real-time or predictive analytics to an IoT solution easily.


Experts have suggested that industrial IoT will surely enhance production levels even further with time. It’s believed that involving IIoT will eventually become the driving force of innovations behind various types of revolution. Be it the enterprise, end users or the workforce itself, all segments will carry equal benefit and advantages as a part of the extensive automation process.

Finoit Technologies is a renowned Software development company providing technology consulting, digital transformation and IOT application development services to SMBs and enterprises. For questions/queries, you may write to us at [email protected]

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