The rise of Internet of Things (IoT) has brought about the need to manage the voluminous amount of data that flows through IoT systems. In order to achieve scalability, distributed cloud technology is used for designing and implementing large-scale IoT systems. Current work on managing data in such systems has mostly focused on persistent data, i.e., data that is stored even after the system has finished its execution. However, very little work has focused on how to manage the transient (non-persistent) data that is streamed through the system and which does not outlive the system execution. This transient data is crucial since it is typically processed to generate summarized insights during system execution, and some of it may need to be stored after system execution as per users needs. Currently this data is either purged after analysis or is fully stored for historical purposes.To that end, in this position paper, we present our thoughts on managing transient data in IoT systems. By managing, we mean the process of generating useful value from this data for users. We therefore provide a precise definition of how data can be characterized as transient. We then use this definition to suggest approaches for facilitating placement and processing of this data closer to related data and/or sources of computation for improving execution efficiency. We also show how these approaches can be made dynamic, so as to accommodate users' changing needs in real-time.