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* Welcome * Welcome to 2PLM, an e-zine distributed about every two weeks. This issue includes :
John Stark Currently, nearly all companies have some components of PLM in place. If they didn't, they would have gone out of business. Typically, until recently, though, companies have managed the product in different ways at different times with different approaches, processes and applications such as Product Portfolio Management (PPM), Product Data Management (PDM), Configuration Management, Product Recall, Customer Complaint Management, Product Warranty Management and Engineering Change Management. However, companies have not had a "PLM" that manages a product continuously and coherently throughout the lifecycle. Products have been managed in one way in early stages of the life, then in a different way during their development. Often the company didn't manage the product during its use, and partially or totally lost control of the product. Sometimes the company managed the product again when the product was due for disposal, sometimes it didn't. Because there wasn't a single, or a coherent, approach or technique or solution or application in a company to manage products across the lifecycle, problems have occurred. With the applications, information and processes spread out between different functional organizations, nobody had a full overview of the product. Product developers could see product details in their CAD system, but had no idea if customers really needed these details or even if these products were being sold. Meanwhile Product Managers looked at Sales figures, but didn't have access to the fine details of products and features, so couldn't see how these were related to sales results. Executives received good-looking Word and PowerPoint reports, but had no access to the underlying data. Quality problems communicated by product users were dutifully logged in Quality databases, but often the developers of new products couldn't access these databases, and the same problems were designed into new products. Many things were done separately, in separate departments or functions across the lifecycle. Perhaps companies did not manage the product very well, but to some extent they managed it. Some managers made sure that products were sold, making money for shareholders, and enabling employees and suppliers to be paid. And in other parts of the organization, other managers made sure that new products were developed and brought to market. Various elements of PLM were being done departmentally. To improve productivity, many companies automated some of their product-related activities long ago, creating Islands of Applications and Data, but they were rarely able to leverage these to achieve the expected improvements in business results. Thousands of companies of all sizes are now either considering investing in PLM or in expanding their existing PLM implementation. There are hundreds of companies offering application software that they describe as PLM software, and many of these companies have annual revenues of over $1 billion. There are thousands of companies offering consultant and system integration services in the area of PLM. There are many conferences on the subject. International research projects have been launched into PLM subjects. The subject of PLM is mentioned in the mainstream press as well as in industry journals and technical publications. Numerous articles are written about PLM and its role in managing the entire product lifecycle and the extended virtual enterprise. CIOs read in IS publications that PLM is the final strategic building block for their enterprise application architecture. They see that CIOs in other companies are looking to combine collaborative Web platforms and integrated enterprise applications to support better the thrust to bring competitive products to market faster. Product Managers read that the product is once again at the heart of business strategy, and PLM will enable a quantum leap in product innovation. They attend conferences and hear Corporate Innovation VPs explaining the benefits of PLM and the need to act before it is too late. Business Process Managers read in Quality journals that PLM is the final plank of the Business Process Framework and that, to earn Quality awards, they should define and deploy lean PLM processes. CEOs read in the business press that PLM will help increase revenues and earnings by bringing better products to market faster, and extending the lives of mature products. Many people in all types and sizes of company are now aware that PLM is on the way (or has arrived), and ask what they should do about it. The answer seems to be, in theory at least, that the benefits of PLM will be reaped after the development of a PLM Strategy and Roadmap, and the deployment of PLM. The theory is great - the benefits of PLM will be reaped after the development of a PLM Strategy and Roadmap, investing heavily in software licenses, and the deployment of PLM. But how do you go beyond the theory and make it happen? If you don't believe in instant "out-of-the box" PLM:
* Business Process Management Benefits * Scott Cleveland I recently attended a webinar on business process management. The sponsor conducted a survey to uncover the results of companies' BPM efforts. The Hard Benefits included: Cost Savings; Reduced Elapsed Time; Resource Optimization; Automation of Human Tasks; Manage End to End Processes; Fewer Errors; Ensure Compliance; and some others. The Soft Benefits included: Higher Customer Satisfaction; Visible Processes; Shared Knowledge; Lower Risk of Lawsuits; Real Time Agile Business Behavior; Competitive Advantage; and some others. Our Thoughts... None of you should be surprised by any of the Hard Benefits - I have been talking about these for years. But, let's look at the Soft Benefits.
Your Thoughts What are the results of your company's BPM efforts? Scott Cleveland is VP Sales & Marketing, Ingenuus Software. 
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