MyIoT Inc. is a mid-sized technology company that was early to market with Internet of Things (IoT) devices for the home. They make security cameras, thermostats, and lighting products that have Internet functionality for home automation. myIoT products have done well selling to specialty lighting retailers and the company is preparing to sell its award-winning products through major chains like Best Buy and The Home Depot. The company is also planning to expand its website from an information portal to an e-commerce website for direct sales.

Despite being a technology product company, myIoT is not particularly sophisticated in terms of transportation management technology. Since the inception of the company, spreadsheets, a simple database, and basic shipping software provided by a trucking company have served as the transportation information backbone of the company. With the growth in sales and larger orders rolling in, this homegrown “transportation management system” is starting to fail. An audit by an external consultant revealed that shipments are being routed inefficiently, the optimal carriers are not being selected, documents are incomplete, and deliveries are arriving late. 

Furthermore, myIoT has very limited visibility of in-transit freight and can’t answer customer questions effectively.

Danny Updike, CEO of myIoT, grew increasingly frustrated as he read the auditor’s report aloud to his leadership team. He concluded by saying: “How the heck can a technology products company be so inept at using technology to run its business? We need to get this issue resolved ASAP. Those holiday orders from the huge retailers will start to ship out in three months. We will lose their business with these types of basic transportation problems. Fix it now.” Updike slammed the report on the table and stormed out of the conference room. 

After the outburst, the remaining executives turned to Victor Michel for a solution. The transportation vice president responded by saying: “I have been telling you folks for a year that this was a growing problem and have been doing some research on technology options.

Give me a reasonable budget and two months. We will replace our patchwork ‘systems’ with a transportation solution that really works.”

QUESTIONS

1. What types of software does myIoT need to support its business growth? What features and capabilities are needed?

2. To obtain the necessary transportation capabilities in a short timeframe, what type of software purchase option should myIoT pursue? Explain.

3. What types of technology implementation challenges might myIoT face? How can these risks be minimized?

4. How can myIoT benefit from the features that will soon be available in next-generation TMS?