Kellogg on Technology and Innovation
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Applications of Location Technology
Location based services benefits
almost all sectors including B2C, B2B and B2G while on the consumers' side
including C2C, C2B and C2G.
In the wireless technologies category, there is another
technology picking up and with its unlimited networking capabilities, it also
has a great potential in the near future. The technology is Bluetooth, a
technology based on radio transmission. The advantage of this technology lies
in its small size, range, speed and portability. It is a miniature radio,
which can be installed, in any computing device as well as in any home or
office appliances.
Moreover, this technology allows devices to communicate
automatically with each other. However, with all the above advantages,
Bluetooth is still not having the capability to become the general-purpose
technology. Lets go through some of the issues, which are very important to
Bluetooth and can be viewed as its opportunity or hindrance.
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The frequency range which is currently
used by Bluetooth is available free and very much common in use. It is expected
that in future that as the number of Bluetooth devices grow the problems can
arise in the frequency side.
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Cost and size of its radio chips can
be the negative points for Bluetooth.
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With the facility to support
encryption as well as authentication, Bluetooth stands little ahead in terms of
security. But according to analysts, there are still some security flaws that
Bluetooth needs to take care of.
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Another major drawback for Bluetooth
is not getting support from big software companies. Microsoft did not provide
support to Bluetooth in its Windows XP launch even it has given support to Wi-Fi.
Wireless Applications:
With the increased usage of wireless
technologies in the past few years, more and more companies are using wireless
applications to reduce costs of inventory as well as increase customer
satisfactions level. While on the other side, the reach of wireless devices to
the individuals have increased many folds and it is expected to increase
further. As wireless has changed many faces of manufacturing, goods tracking,
inventory status and customer inquiry details, lets examine its applications
across horizontal and vertical application areas:
Horizontal Application Areas:
Some companies are already working on wireless applications in horizontal
application areas, which include knowledge management applications,
communication services, mobile commerce, mobile tracking and other applications
related to tracking and management. Let us go in details of each service:
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Knowledge Management Applications:
Companies are now focusing on consolidating employees' knowledge at one common
point so that other employees can be benefited by availing this centrally
located information. Other areas which include companies database and its access
to employees with entry and exit check points, information portals, supply chain
management applications, customer relationship management tools and trouble
shooting information which can be accessed by employees at any time.
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Communication Services:
Communications services include e-mail, pop-up messages, mobile field force
applications like transfer field data to information portals and other services
which serves the purpose of quick information sharing across the same and
different technological platforms.
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Mobile Commerce: The best use
of wireless applications is mobile commerce, which benefits organizations in
many terms that includes cost savings over the long term and customer
satisfaction. Organizations are using mobile commerce in identifying point of
sale retailing, customer data gathering and in tracking inventory. While on the
other side, consumers are also finding themselves with the information on
e-commerce, point of sale transactions, online shopping, online banking and
wallet tracking.
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Tracking Applications: One of
the major benefits of telemetry and tracking will be towards logistics industry.
With the benefits like content information availability at any time, always
connectivity to sales people or a technical guy on shop floor, tracking has
become the main wining competition tool for logistics companies. For example, a
logistics company can use the wireless applications starting from field
personnel to last warehouse truck fleet.
Vertical Wireless Applications:
On vertical applications side, following industry details on specific segments
are given which are going to be affected by wireless applications. These are:
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Financial Services: With the
expected market revenues for financial services through wireless devices among
the highest, most of the people have started using wireless devices to do
transactions like mobile banking, insurance, stock trading and financial
analysis. But still many financial companies are not adopting mobile services as
they were expected. The reason is the interface problems across different
platforms and low speed across networks.
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HealthCare: There are many
healthcare services, which can be offered in the wireless environment. Some
insurance companies in the US have already started delivering content for health
insurance to their handsets while a number of healthcare insurance agents are
collecting information and passing it to central database for companies to do
claim process in a much faster way. Another areas are wireless prescription,
cost savings on the documentation part, access to central database for doctors
and also access to government laws and regulations instead of going through the
desktop or book.
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Government: Governments can use
wireless services in many areas. The best part with wireless services is that it
solves security issues to a certain extent where information can be passed in
real time. Other services include transfer of many government services to
wireless devices like tax payment, claims settlements and fast access to
emergency services.
2004, ICMR Case Studies and Management Resources. All rights reserved. No part of this publication may be
reproduced, stored in a retrieval system, used in a spreadsheet, or transmitted
in any form or by any means - electronic or mechanical, without permission.
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