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* Welcome * Welcome to 2PLM, an e-zine distributed about every two weeks. This issue includes :
by Brad Goldense and Ervin Kule In the August 11, 2008 issue of 2PLM we highlighted recent research on product development and innovation processes, tools and top corporate metrics by Goldense Group, Inc. In this issue we present the fourth in a series of six articles, which focuses on results in the area of "Innovation Identity." Next issue we will look at results on "Innovation Tools." The survey investigated the Innovation Identity in corporations. Individual questions centered on the message communicated by the nomenclature of the name of the company Product Development process, given the spectrum of the innovation-like or execution-like words that could be chosen. The extent to which the process name is branded, either internally or externally to the company and/or is a registered trademark or servicemark, was also researched. Finally the degree to which the name of the process changed during the past four years of industry emphasis on innovation was explored. Replies to GGI's 2008 Product Development Metrics Survey were received from 209 companies across a range of industries including industrial and medical products, aerospace, defense, electronics, chemicals, and pure software companies. Companies often give a purposeful identity to their product development process. The use of a name an icon or an acronym usually serves as a reminder to reinforcing values to company personnel in similar ways like branding works in the marketing of product. Our focus was to contrast Innovation identities versus Execution identities in the nomenclature of the processes of PD, or to find a balance of the two. Surprisingly we found that Execution gets much more emphasis, 81% of responses, versus Innovation. Companies are clearly giving a message that communicates action, rather than how this action should be implemented. Most companies choose to bring this message out through the use of a name that is a phrase or an acronym, as opposed to a graphic icon. Only 15% use an image as the choice for the nomenclature of their PD processes. Across the population of respondent companies, the words Invention, Innovation, Creation, Ideation and synonyms for these terms, it was found that 29% of companies make use of these words or synonyms. There does appear to be a trend forming for more use of innovation-like adjectives in the nomenclature of PD. Half of the companies responding have made changes in their PD names since 2002. Of those who have made changes, 38% tend to "hint" at more innovation in the choice of their new identity for PD. Even with this trend, Execution is the clear and overwhelming message. These findings were reinforced by another finding. Only a third of companies require some type of formal innovation activity during PD. The vast majority of all formal PD activities are execution-related. Finally, very few companies recognize the power of promoting/marketing or formally branding their PD process(es) externally. Only 16.5% make efforts in these areas. In summary, the message that emanates from the nomenclature of corporate Product Development processes is one of action and execution. Innovation-oriented nomenclature is on the rise, but not enough to shift the balance away from execution. Formal innovation techniques and tools are not required in most PD processes. The branding of PD processes and the external marketing of them is minimal. For more information about GGI's 2008 Product Development Metrics Survey, the research description and the available reports go to GGI's website. To purchase reports with text and/or graphical analysis of the results, go to http://www.goldensegroupinc.com/cgi/catalog.cgi?display_p355. Bradford L. Goldense is President and CEO, Goldense Group, Inc. Ervin A. Kule is Manager of Market Research, Goldense Group, Inc. 
* Green PLM: An Opportunity for Operational Excellence * by Enrique Ramirez and Ehsan Ehsani Many people consider that developing 'green' products is mainly imposed by legislation and constitutes extra costs. However, when observing what some companies have achieved by effectively utilizing green changes in their organization, we reached the conclusion that they're only partially right. In fact, 'green' aspects can be taken into account in the whole value chain, from the time of innovation, and including the product development phase, launch, sales and so on. In particular, the use of more sustainable materials during product design impacts the whole product value chain, e.g. reducing CO2 emissions during production and transport, energy consumption during product usage, and the environmental impact when the product is retired or dismantled. Among the important benefits that green product innovation can bring for a company's performance are the following: Green can reduce costs In some instances, the recent rise in fuel costs, along with a company's efforts to be more green, has resulted in some significant cost-savings. One good example is the trend to reduce the weight of products (e.g. computers). This can lead to reduced costs in supply chain activities, e.g. for packaging, handling, transportation and even recycling. Green can boost innovation Companies can change their model of innovation and benefit from the green movement. Reduction of paper use is for sure a threat for paper manufacturers, but it can also be seen as an opportunity for creating innovative products. For example, it is well known how Toppan and Sony developed a new high capacity DVD using paper. The disc has a total weight that is 51% paper. Green can be used as a vehicle for growth A recent study by Market Initiative showed that, despite the difficulties of the paper industry in Canada, green paper mills have achieved record sales increases as publishers and paper user companies have implemented policies to buy recycled paper. In general, the supplier-customer relationship has become an important area for sectors such as retailing. Retailers know that a 'green' image attracts consumers and consequently they prefer to launch new green products in the market. On the supply side, this is translated into a new opportunity for companies with more green products in their portfolio as retail companies prefer to switch to greener suppliers. Green as a new business opportunity The green factor is successfully used by pioneer companies to create win-win scenarios for new sales. One example is the companies that are using open innovation mechanisms to find new product opportunities using green solutions and applying non-aggressive materials. To summarize, the main message is: Green trends shouldn't be considered as extra costs but as a new business opportunity. However, identifying such opportunities requires a new mentality, a new way of thinking. Enrique Ramirez and Ehsan Ehsani are consultants with Accenture Spain. Their blog can be read at http://www.productlifecyclemanager.com/. 
* Sustainability Webinar * Selerant brought together a group of experts from different fields to go through various aspects of sustainability:
* BPM Center of Excellence * by Scott Cleveland Forrester recently interviewed 164 IT Architects - some of the results follow .. 13% said that they had no plans for implementing BPM. The primary reasons were: high project costs; lack of proven benefits; lack of technical resources; and the complexity of the project. The 87% that are implementing BPM expected: increased productivity for process workers; real time visibility into key processes; consistent process execution across business units; and optimization of their business processes. As a result of their interviews, Forrester noticed a strong correlation between a BPM Center of Excellence and BPM project success. The premise - if senior management is willing to support a BPM Center of Excellence, then they are definitely supporting this BPM effort. Our Thoughts . . . Regarding those not implementing BPM - I have talked with many companies that have reflected those same findings. I have seen project costs and lack of technical resources as the biggest obstacles. Regarding expectations - I see these expectations as the reasons companies buy into BPM to begin with. If you didn't believe your process cycles take too long, you wouldn't be looking into BPM. The 2 biggest elements of shortening cycle times are to control how long process steps take and to have visibility into the process to see that it is on time. If the process is late, you will be able to quickly see that fact and make resource adjustments. A key requirement for the success of any large enterprise solution is management support. I am not convinced that a BPM Center of Excellence is the way to go, but I am convinced that you need management support. So, you know your company - choose a path that will garner management support. Scott Cleveland is VP Sales & Marketing, Ingenuus Software.
* PLM Strategi & Vision 08 * Årets tema: Att möjliggöra globala produkter i Sverige och Skandinavien. Globala produkter kan användas av en miljard eller mer människor värden över. Läs mer. Plats för konferensen: Torsdagen den 23 oktober 2008, Stockholmsmässan i Älvsjö. PLM Strategi & Vision 08 går parallellt med Tekniska Mässan. Ladda ned komplett konferensprogram.
* PLM North America 2008: How far through the PLM Adoption Process are you? * PLM North America is the conference and networking event that can help enable you and your company to satisfy the relentless pressure to innovate and bring the right products, to the right market - faster. This three day gathering of cross-industry professionals taking place from 13th - 14th October 2008 at the World Golf Village, St Augustine, Florida, will be made up of keynote conference sessions and interactive workshops run by leading solution providers covering the length and breadth of the PLM spectrum. Use the market experience of the following cross-industry specialists as they reveal their experiences of adopting PLM within their organization. Terry Kline, Global Product Development Process Information Officer, General Motors Corporation reveals how GM has implemented a successful worldwide PLM strategy, and offers guidance on how you can improve every aspect of the way you build your products to become best in class. Paul M. Bevilaqua, Chief Engineer, Advanced Development Projects, Lockheed Martin demonstrates why in order to lessen the risk of product failure, that all designs should be managed from the "conceptual phase" in the context of their F-35 Joint Strike Fighter. Huw Evans, R&D Information Director, HPC, Unilever advocates PLM as the "path to growth" for your organization, outlining what it has brought to Unilever in terms of sharing information, implementing improved product procedures and workforce unity. Warren Siecke, IT Program Manager, Product and Planning, The Timberland Company, highlights why PLM should be connected with your wider business strategy to manage product design, the product portfolio and the supply chain. He also explains why you can leverage PLM to enhance business processes and mitigate risk. View the full program. Reserve your place for the special price of US$1,995 quoting the booking code STARK1 or call Laurence Allen on +44 207 202 7560. 
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