01.24.08 Top 10 PLM Predictions · 2008. 1. 24. · – Accelerate investments that improve capacity of decision making – Assure that information technology investments are adequate

Top 10 Predictions for Product Lifecycle Management in 2008Joe Barkai, Practice Director Manufacturing InsightsWebcast January 24, 2008

© 2008 Manufacturing Insights, an IDC company. All rights reserved. 1

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Manufacturing Insights, an IDC company

Provides industry business leaders with informed opinions on the technologies required to create a competitive advantagePresents strategic and insightful market positions, trends, and cross-industry segmentation data– Including Lean/ Six Sigma, RFID, Warranty and establishing operations in

China

Encourages an open dialogue with our expert analysts to support key investment decisions– Singapore, Milan, and US

Leverages IDC’s worldwide network of resources and data


Introducing our SpeakerJoe Barkai, Practice Director, Product Lifecycle Strategies

– Responsible for research and analysis on the types of investments that introduce operational efficiencies to the domain while improving the responsiveness to customer requirements

Extensive experience as both a practitioner and market researcher

– Over 20 years industry experience in product management, marketing, and business development

– Founder and principal at Diagnostic Strategies– Founder of the Transportation Industry Knowledge Management

Consortium that has become the Service Technology Program Office of SAE International

Sought after thought leader for industry events with strong focus on the business value of technology in manufacturing and customer service


Agenda

Why Predictions?

The Industry Environment

Top 10 Predictions for PLM

Essential Guidance

LIVE Questions

Joe Barkai, Practice Director, Product Lifecycle Strategies


Why Predictions?

Goal: Identify trends that impact manufacturing business and how they are reflected in product lifecycle management processes and information technology decisionsProcess: Drawn from IDC and Manufacturing Insights studies, industry contacts, and firsthand industry experienceBias: We focus on the transformation of major manufacturing processes and how IT enables that transformationTime Frame: Predictions are focused on 2008, but have a long range impact


Industry Environment

The dreaded ‘R’ word

Reasons for optimism

Global growth to the rescue, but challenges are abound

Shortening product lifecycles and continuous margin pressuresNeed to differentiate in your market

Compliance with local and global regulationsAging / emerging workforce


#1: Innovation is a Hot Topic

Innovation and innovation management will be a prominent topic and garner much attention

Software vendors rally to offer solutions, but industry is slow to adopt – Innovation is a "soft" creative process – Requires internal process reengineering and culture changes

Innovation in moderation: leaning the innovation process– Innovate only as needed– Reuse as much as you can– Outsource when it makes sense


#2: From Multi-national to Globally Integrated Enterprises

More than half revenue/profits are generated outside home regions

Business models migrate from multi-national to globally-integrated enterprises

Manufacturers adopt global product management strategies– Modular processes for modular products and markets– Move decision-making closer to the market– Become market and user-segment focused

The power of federated SOA architectures


#3: Collaborative Decision Environments

Manufacturing enterprises must accelerate and improve the capacity and fidelity of decision-making

Collaborative decision environments amplify the value of product lifecycle investments– Beyond collaboration – virtual joint ventures

Beyond collaboration “platforms” and data exchange– SOA to encapsulate data and processes into services that are leveraged

across the globally-integrated enterprise– The next hot topic - domain ontologies, data semantics, …

Who is the custodian?

The next big IT investment area


#4: From an Application Category to an Enterprise Strategy

Remembering CRM…From a collection of loosely integrated tools to a business strategyHarmonizing product content and optimizing decision makingIntegrating processes, not automating tasksGet ready for the clash of the titans


#5: The Return of Knowledge Management

Renewed recognition of knowledge management to improve decision making capacity– Increases complexity– Compressed cycle time– New design environment in the extended enterprise– Aging workforce– Emerging workforce

The rise of organic knowledge management – Social networks– Wikis– Information retrieval tools


#6: Information Democratization

Broader collaboration and more information

Growing concerns– IP protection– Digital rights management


#7: More Data Than You Can Handle

Data proliferation is not a storage problem

New and better questions demand a new generation of analytics and better search tools

Putting the “I” back into BI– Snazzy dashboards are no longer sufficient

The proverbial Google search– Semantic and business aware vs. text-based search


#8: Remote Service Create New Revenue Opportunities

Remote services / Machine-to-machine (M2M) technologies– Improve asset uptime and utilization– Optimize service delivery

New business models create new revenue opportunities

Accelerated availability of technology and wireless servicesAggressive adoption leads to double-digit growth

Extreme verticalization– And slow maturation

Convergence of IT and Engineering– Not a way to sneak behind your CIO’s back!


#9: More Software, More Challenges

Exponential growth in electronics, mechatronics and embedded software

Growing need for better digital prototyping and whole-system simulation tools

Opportunities for new players?


#10: Compliance Across the Value Chain

The hype is in full force

Your suppliers’ and partners’ problems are yours

The role of PLM– Sustainability translated into product design goals and constraints– Design for sustainability– Alternative designs for sustainability alternatives

Environment, social, governance, and ethics – matters to business. It’s not only about risk management or cost, but about revenue, profit, and competitive positioning.

–David Blood, President of Generation Investment Management


Essential Guidance and Summary

Advice for Manufacturing Companies– Accelerate investments that improve capacity of decision making

– Assure that information technology investments are adequate to support emerging issues like sustainability, aging workforce, and M2M

– Watch for highly technical topics that may hide process challenges and long-term business risks

Advice for Technology Providers– Demonstrate PLM process vision and technology leadership that support

global decision-making

– Improve functionality that has immediate and demonstrable value in real-world applications

– Reduce product fragmentation, especially in heterogeneous IT environment


Related Reports and LIVE Questions

Worldwide Product Life-Cycle Strategies 2008 Top 10 Predictions

Worldwide Manufacturing 2008 Top 10 Predictions

Engineering-Oriented Value Chains Industry Outlook and 2008 Budget Guide

The Next Generation of Product Life-Cycle Management - Driving Better Product Decisions

Which Way Is Up? — More Consolidation in PLM

Machine to Machine (M2M) Communication — Technology Landscape and Value Chain Overview

Can Manufacturers Stop the Knowledge Exodus?

How to Sneak Behind Your CIO's Back

The Aging/Emerging Dynamic

[email protected]


As a Reminder…Top 10 Webcast

EMEA Supply Chain Top 10 Predictions 2008 –– February 19, 2008

– Join Pierfrancesco Manenti, Research Director, EMEA, as he unveils the 2008 predictions for Europe that encompass topics such as Demand Visibility, Agility, Manufacturing Offshoring, Risk Management, Aftermarket Services, RFID, and SOA to name a few.

Top 10 PLM Slides will be available within 24 hours – Email will be sent with URL Link


Upcoming EventsNASSCOM 2008 India Leadership Forum

– February 13-15, 2008, Mumbai, IndiaJoin Bob Parker at one of the most respected events across the world, which is now in its 16th year.

Warranty Chain Management Conference– March 4-6, 2008, San Diego

Join Joe Barkai, at this industry event for an informative session about IT Investments In Service, Repair and Warranty Management Operations.

Industry Insights '08– March 10, 2008, San Jose

Join Bob Parker as he leads a discussion on go-to-market strategies across the various segments of manufacturing.

Service Parts Inventory Management - Optimizing the Service Supply Chain to Increase Customer Satisfaction and Profitability

– March 31 - April 2, 2008, The Gleacher Center, Chicago, IL Join Joe Barkai, as he presents a keynote on Wed., April 2 on "How Emerging Trends Impact Repair and Service Parts Operations" .

Documents

01.24.08 Top 10 PLM Predictions · 2008. 1. 24. · – Accelerate investments that improve capacity of decision making – Assure that information technology investments are adequate