Implementation of PLM
PLM (Product Lifecycle Management) has matured as a piece of technology and has become simpler to implement. However, the implementation of PLM involves much more than just the installation of new software and there are still pitfalls to be aware of. Processes and organization are heavily involved. It is vital to learn from the errors of others and avoid making the same mistakes yourself. In this article, no. 5 in the PLM School, we look at the typical problems associated with the introduction of PLM. We look at what is needed before, during and after implementation.
Be aware of PLM’s “softer values”
The trend in PLM in recent years has been that the costs for the actual software and services for adapting the software have declined in relation to the costs associated with the process and organization aspect, for example, new business processes, changed work methodology, training, communication, etc. This is a result of the software having become more standardized, suppliers having improved at implementation and customers having matured and become aware of the significance of these “softer values.”
Map PLM requirements
The better the preparation, the greater the chance of success. The first task to accomplish is to create a PLM chart showing the PLM requirements and identifying critical success factors and measurable targets. The company must analyze and focus on what it wants to achieve in the long term, at the same time as defining initial short-term goals. Think big, start small and gradually expand. See the example in the diagram of the overall PLM chart, where functionality and the number of users are increased in four stages. The PLM chart should create a framework for the choice of system and supplier and for the coming implementation.
Dig. Think big, start small and scale fast
Chose the right tool – that the company can grow with
The choice of a PLM system is something that a company has to live with for many years. It is a strategic and important choice. Rather confusingly, most PLM systems look alike in a PowerPoint presentation. It is only when you dig a little deeper that the major differences can be seen. The key consideration is that your company solves the problems it identified and outlined in the PLM chart. Does the system encompass the processes you want it to encompass? Can it be integrated with systems that you want it to integrate with? Can the system be scaled up? Can it easily encompass a higher number and different types of users and, ideally, other locations? Most companies now have a global perspective and the solutions should support this.
Choose the right supplier – test them!
Just as important as the choice of system is the choice of supplier. The supplier will be a long-term partner and it costs time and money if you make a bad choice. It is important to choose a supplier who understands your company and value chain, and who has prior experience in this area. Test the supplier at the evaluation stage. Typically, a scenario/test ¬case describing the central processes, data and functions for a PLM system for your company is prepared. The various suppliers can present their proposals using company data. This is often known as Proof-Of-Concept that can eliminate systems and consultants who do not meet the needs of the company. Many companies also make requirements on the supplier’s reputation, solidity and its solvency since the system will be business critical and is to function for a long period.
Engage management
Management needs to provide its support to attain the targets of the PLM project. The introduction of a PLM system should be a strategic venture from management to solve key challenges or open up to new possibilities. It is also essential that management adopts a consistent approach and offers its full support. The introduction of PLM cannot be voluntary. If resistance arises, management must clearly state what the strategy is.
Allocate ample resources – involve process owners
One area which is easy to go wrong in is allocating too few or incorrect resources for the PLM project. Dedicated personnel who know the products, processes and systems of the company well, and who can also make decisions are required. These individuals are usually key persons, such as process owners, who you would be reluctant to remove from their usual tasks. But it is a certain road to unsuccessful implementation if too few or incorrect resources are allocated to the PLM project. After all, this is a matter of establishing future processes and systems for handling the company’s most important possession, namely its products.
Focus on prototypes and standard solutions rather than specifications
One method that has contributed to successful implementations, particularly in recent years, is the shift in focus from detailed specification to prototypes of solutions. A prototype is easier to relate to and is now relatively simple to build. Focusing on detailed specifications usually results in a highly customized system and yet one that is not suitable for practical everyday work. Instead, use standard functionality to quickly get things working and gathering experience. A great deal of best practice has been gathered in today’s PLM applications and companies should be willing to change their work methods.
Dig. Focuses on previous prototypes rather than specifications
Plan roll-out with user in focus
A PLM project will often have a major focus on the initial phases when the solution and “building” the system is discussed, although a later phase is equally as important to success, namely roll-out. If the organization is not prepared, it will not help rolling out the best system in the world. Involve the organization and focus on the users with the necessary training, documentation and understanding for the usage of the system.
Summary
The implementation of PLM is not a pure IT project. PLM is more of a business strategy for working with product information. Changes to the organization, business processes and work methodology are also important. This makes introducing a PLM system an exciting challenge. Management must become involved and think big, start small and gradually expand. The company should make use of the supplier’s experience and attempt to avoid the same mistakes that others have made in the past. This will make a successful PLM project!