The Impact of the Internet of Things on New Approach in Network Management
The Impact of the Internet of Things on New Approach in Network Management

Summary/Abstract: Background. Entrepreneurial networks are established in order to achieve a competitive advantage and superior performance, due to collaboration within different levels and types of organisations. Their existence, based on alliances, cooperatives, capital relationships, etc. requires long lasting bonds and thus may not be easily adjustable. Turbulent condtitions, extended response time to occuring changes, and processes’ adaptation may be an obstacle to their appropriate functioning. As a proposal a new approach emerges, which is associated with the concept of the Internet of Things (IoT), favouring redefinition of the market, buyers, users, and product range.Research aims. The main aim of this article is to present an innovative attitude to network management, based on communication and platforms’ integration, due to the IoT approach. In this regard the paper will show functioning regularities of contemporary networks in a turbulent environment, followed by an analysis of examples used as an illustrative material of smart objects and solutions underlying creation of intelligent shopping, processes’ integration, automation, and personalised packaging, that allow for more flexible and unconventional network management.Methodology. The paper presents a literature review and an analysis of secondary data resources and it also bases on available case studies of the IoT implementations.Key findings. Nowadays, available literature as well as business consider network management as a constant and formalised relationships’ dependency and they are more eager to follow trodden schemes. In the proposed new management approach, the network shall be rather perceived as a dynamic solution, created ad hoc by customers using companies’ products and available applications. Therefore, to overcome the above mentioned schortcomings, organisations should go beyond standard solutions, introducing unconventional ideas and thinking. Such attitute may not only constitute a competitive advantage of flexible management, a more versatile approach, but it will also open a new business window to a lucrative market, with an estimated potential economic impact growth annual ratio to be between $2.7 to $6.2 trillion per year by 2025.JEL Classification: L86, D85, O33, M31

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