PLM Strategy Rev

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    PRODUCT LIFE CYCLEMANAGEMENT

    PLM Strategy

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    PLM Strategy

    Strategic management is the conduct of drafting,implementing and evaluating cross-functionaldecisions that will enable an organization to achieveits long-term objectives.

    It is the process of specifying the organization'smission, vision and objectives, developing policies andplans, often in terms of projects and programs, which

    are designed to achieve these objectives, and thenallocating resources to implement the policies andplans, projects and programs

    http://en.wikipedia.org/wiki/Organizationhttp://en.wikipedia.org/wiki/Mission_statementhttp://en.wikipedia.org/wiki/Mission_statementhttp://en.wikipedia.org/wiki/Organization
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    Strategy formulation in PLM

    Performing a situation analysis, self-evaluation andcompetitor analysis: both internal and external; bothmicro-environmental and macro-environmental.

    Concurrent with this assessment, objectives are set. This

    involves crafting vision statements (long term view of apossible future), mission statements (action points),overall corporate objectives (both financial andstrategic), strategic business unit objectives (bothfinancial and strategic), and tactical objectives.

    These objectives should, in the light of the situationanalysis, suggest a strategic plan. The plan provides thedetails of how to achieve these objectives.

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    Strategy Evaluation

    Measuring the effectiveness of the organizationalstrategy, it's extremely important to conduct a SWOTanalysis to figure out the strengths, weaknesses,opportunities and threats (both internal and external)of the entity in question. This may require to take

    certain precautionary measures or even to changethe entire strategy.

    In corporate strategy, Johnson and Scholes presenta model in which strategic options are evaluated

    against three key success criteria: Suitability (would it work?)

    Feasibility (can it be made to work?)

    Acceptability (will they work it?)

    http://en.wikipedia.org/wiki/SWOT_analysishttp://en.wikipedia.org/wiki/SWOT_analysishttp://en.wikipedia.org/wiki/SWOT_analysishttp://en.wikipedia.org/wiki/SWOT_analysishttp://en.wikipedia.org/wiki/SWOT_analysis
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    Feasibility

    Feasibility is concerned with the resources required toimplement the strategy are available, can be developedor obtained. Resources include funding, people, timeand information.

    Tools that can be used to evaluate feasibility include: cash flow analysis and forecasting

    break-even analysis

    resource deployment analysis

    http://en.wikipedia.org/wiki/Cash_flowhttp://en.wikipedia.org/wiki/Forecastinghttp://en.wikipedia.org/wiki/Break-evenhttp://en.wikipedia.org/wiki/Break-evenhttp://en.wikipedia.org/wiki/Break-evenhttp://en.wikipedia.org/wiki/Break-evenhttp://en.wikipedia.org/wiki/Forecastinghttp://en.wikipedia.org/wiki/Cash_flowhttp://en.wikipedia.org/wiki/Cash_flowhttp://en.wikipedia.org/wiki/Cash_flow
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    Corporate strategy

    It refers to the overarching strategy of thediversified firm. Such a corporate strategyanswers the questions of "in which

    businesses should we be in?" and "how doesbeing in these businesses create synergyand/or add to the competitive advantage ofthe corporation as a whole?"

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    Business strategy

    It refers to the aggregated strategies of singlebusiness firm or a strategic business unit(SBU) in a diversified corporation. Accordingto Michael Porter, a firm must formulate a

    business strategy that incorporates either costleadership, differentiation or focus in order toachieve a sustainable competitive advantage

    and long-term success in its chosen arenas orindustries.

    http://en.wikipedia.org/wiki/Michael_Porterhttp://en.wikipedia.org/wiki/Cost_leadershiphttp://en.wikipedia.org/wiki/Cost_leadershiphttp://en.wikipedia.org/wiki/Differentiation_(economics)http://en.wikipedia.org/wiki/Focushttp://en.wikipedia.org/wiki/Focushttp://en.wikipedia.org/wiki/Differentiation_(economics)http://en.wikipedia.org/wiki/Cost_leadershiphttp://en.wikipedia.org/wiki/Cost_leadershiphttp://en.wikipedia.org/wiki/Cost_leadershiphttp://en.wikipedia.org/wiki/Michael_Porterhttp://en.wikipedia.org/wiki/Michael_Porterhttp://en.wikipedia.org/wiki/Michael_Porter
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    Functional strategy

    It includes marketing strategies, new productdevelopment strategies, human resourcestrategies, financial strategies, legal strategies,supply-chain strategies, and information

    technology management strategies. The emphasisis on short and medium term plans and is limited tothe domain of each departments functionalresponsibility. Each functional department attempts

    to do its part in meeting overall corporateobjectives, and hence to some extent theirstrategies are derived from broader corporatestrategies.

    http://en.wikipedia.org/wiki/Marketing_strategieshttp://en.wikipedia.org/wiki/Marketing_strategieshttp://en.wikipedia.org/wiki/Marketing_strategieshttp://en.wikipedia.org/wiki/Marketing_strategies
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    Developing a PLM strategyA Five-step Process

    Collecting information

    Identifying possible strategies

    Selecting a strategy Communicating the selected strategy

    Implementing the strategy

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    Step 1: Collecting information

    Internal: Company, organisation, resources,capabilities, strengths and weaknesses

    Environment: Competitors, PLM strategies of

    competitors, market trends, technologyforecasting, Government rules & regulations,etc

    Key factors for success, trends, opportunitiesand threats

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    Step 2: Identifying possible strategies

    Strategy elements: Best functionality,customisation capability, most sustainableproducts, fastest time to market, bundled

    solutions rather than individual products Policies: technology, quality, suppliers,

    equipment purchase, culture, etc

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    Step 3: Selecting a strategy

    Short listing potential strategies SWOT analysis

    Does the strategy address key issues

    Does this strategy exploit our strengths Does it help against threats?

    What are profit and loss implications?

    What are the implications for investment?(Case study: Kingfisher Airlines)

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    Step 4: Communicating the selected

    Strategy

    Select a simple name for the strategy

    (Ex: Simplifly of Deccan Airlines)

    Express the strategy in simple languagewhich is easily understood

    Test the strategy with a control group

    (Beta version of s/w, test marketing, expos, etc)

    Select the appropriate channels and media forcommunicating the strategy

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    Step 5: Implementing the strategy

    Implementation plan

    Feed back and control

    Corrective actions and rephrasing the strategy

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    Change Management for PLM

    Major changes can happen only if the topmanagement takes the lead

    It can be expensive

    Team effort is required

    Requires long time and large efforts

    Examples: Merger of IA and AI, Privatisation,

    Nationalisation, mergers & acquisitions, closingdown some product lines, etc

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    Major Issues in change Management

    Old tasks to modify New tasks to identify and improve

    People who will have to change

    New tools to bring in

    Information to be used effectively

    (Pilots in Airbus A380 are required to monitor 55gauges, LEDs and digital readouts)

    Cultural problems to be adjusted Organisational structures to change

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    People and Change

    Sponsors

    Change agents

    Champions

    Accepters

    Blockers

    Sleepers

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    Key features of successful change

    Recognition of the need for a clearly defined andprofessionally managed change project

    Definition of as-is, intermediate and to-be states

    of the organisation Recognition of agents, accepters, blockers, etc

    The three major tools for changecommunication, learning and reward systems

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    Communication

    To overcome the fears and concerns aroused bythe change

    To convince the people the need for change

    To convince the people that the change process

    is well planned and in control

    To overcome the inevitable delays andunexpected events during the change process

    Communication tools interpersonal, newsletters, videos, e-mails, seminars, etc

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    Learning

    The companys vision and goals

    New skills and tools

    Extended education

    Culture and behaviour

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    The Reward system

    The main motivator for people to accept changeand cooperate

    An unambiguos definition of reward system

    Comittment of sponsors to ensureimplementation of reward system

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    Types of Change Strategy

    Incremental Change strategy: We will makechanges one step after the other.

    Ex: Continuous improvement

    Transformational Change strategy: We will

    change everything at once.

    Ex: Re-engineering

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    Incremental Change

    Does not challenge existing assumptions andculture

    Does not modify the existing organisation

    Uses existing structure and processes Causes little disruption

    Relatively low risk

    Is slow

    May not produce enough change

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    Transformational Change

    Changes existing structure Changes the existing organisation

    Changes the existing culture

    Is relatively high risk Is fast

    Focuses on major breakthroughs

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    Leadership for Change

    Good communication skills

    Ability to work with a wide range of people Sufficient resources (people, money and time)

    Risk taking ability

    Ability to delegate powers and responsibilities

    Good listening ability

    Good sales skills

    Good analytical and conceptual skills

    Ability to inspire and lead people Credible

    Thick skinned

    P d t d l t

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    Product development processesand methodologies

    Bottom-up design Top-down design

    Axiomatic Design

    Modular design

    Concurrent engineering workflow

    NPD New product development

    DFSS Design for Six Sigma

    DFMA Design for manufacture / assembly

    Digital simulation engineering

    http://en.wikipedia.org/wiki/New_product_developmenthttp://en.wikipedia.org/wiki/Design_for_Six_Sigmahttp://en.wikipedia.org/wiki/Design_for_Six_Sigmahttp://en.wikipedia.org/wiki/New_product_development
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    Major commercial players

    Total spending on PLM software and services is estimated

    to be above $15 billion a year

    companies that supply software to support the PLMprocess:

    Dassault Systmes ($1.7B), Siemens PLM Software (formerly UGS) ($1.4B), PTC ($1.0B), Agile Software Corporation (now part of Oracle

    Corporation)

    SofTech, Inc. (.011B)

    These companies provide software products that covermost of the areas of PLM functionality

    http://en.wikipedia.org/wiki/Dassault_Syst%C3%A8meshttp://en.wikipedia.org/wiki/Siemens_PLM_Softwarehttp://en.wikipedia.org/wiki/Parametric_Technology_Corporationhttp://en.wikipedia.org/wiki/Agile_Software_Corporationhttp://en.wikipedia.org/wiki/Oracle_Corporationhttp://en.wikipedia.org/wiki/Oracle_Corporationhttp://en.wikipedia.org/wiki/SofTech,_Inc.http://en.wikipedia.org/wiki/SofTech,_Inc.http://en.wikipedia.org/wiki/SofTech,_Inc.http://en.wikipedia.org/wiki/Oracle_Corporationhttp://en.wikipedia.org/wiki/Oracle_Corporationhttp://en.wikipedia.org/wiki/Agile_Software_Corporationhttp://en.wikipedia.org/wiki/Parametric_Technology_Corporationhttp://en.wikipedia.org/wiki/Siemens_PLM_Softwarehttp://en.wikipedia.org/wiki/Dassault_Syst%C3%A8meshttp://en.wikipedia.org/wiki/Dassault_Syst%C3%A8meshttp://en.wikipedia.org/wiki/Dassault_Syst%C3%A8mes
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    Major commercial players

    Some companies for example MSC Software($0.3B), AltairEngineering ($0.15B) and Wrench Solutions providepackages specializing in specific topics.

    Aras Corp offers Microsoft-based open source enterprisePLM solutions,[13]

    Arena Solutions and Datastay provide on-demand PLM(Software as a service) solutions.

    KnowledgeBench provides web-based PLM applications

    that are used by pharmaceutical and food and beveragemanufacturers.

    http://en.wikipedia.org/wiki/MSC_Softwarehttp://en.wikipedia.org/wiki/Altair_Engineeringhttp://en.wikipedia.org/wiki/Altair_Engineeringhttp://en.wikipedia.org/wiki/Aras_Corphttp://en.wikipedia.org/wiki/Open_sourcehttp://en.wikipedia.org/wiki/Product_lifecycle_managementhttp://en.wikipedia.org/wiki/Arena_Solutionshttp://en.wikipedia.org/w/index.php?title=Datastay&action=edit&redlink=1http://en.wikipedia.org/wiki/Software_as_a_servicehttp://en.wikipedia.org/wiki/KnowledgeBenchhttp://en.wikipedia.org/wiki/KnowledgeBenchhttp://en.wikipedia.org/wiki/KnowledgeBenchhttp://en.wikipedia.org/wiki/Software_as_a_servicehttp://en.wikipedia.org/wiki/Software_as_a_servicehttp://en.wikipedia.org/wiki/Software_as_a_servicehttp://en.wikipedia.org/wiki/Software_as_a_servicehttp://en.wikipedia.org/wiki/Software_as_a_servicehttp://en.wikipedia.org/wiki/Software_as_a_servicehttp://en.wikipedia.org/wiki/Software_as_a_servicehttp://en.wikipedia.org/w/index.php?title=Datastay&action=edit&redlink=1http://en.wikipedia.org/wiki/Arena_Solutionshttp://en.wikipedia.org/wiki/Arena_Solutionshttp://en.wikipedia.org/wiki/Arena_Solutionshttp://en.wikipedia.org/wiki/Arena_Solutionshttp://en.wikipedia.org/wiki/Product_lifecycle_managementhttp://en.wikipedia.org/wiki/Product_lifecycle_managementhttp://en.wikipedia.org/wiki/Product_lifecycle_managementhttp://en.wikipedia.org/wiki/Open_sourcehttp://en.wikipedia.org/wiki/Open_sourcehttp://en.wikipedia.org/wiki/Open_sourcehttp://en.wikipedia.org/wiki/Aras_Corphttp://en.wikipedia.org/wiki/Aras_Corphttp://en.wikipedia.org/wiki/Aras_Corphttp://en.wikipedia.org/wiki/Altair_Engineeringhttp://en.wikipedia.org/wiki/Altair_Engineeringhttp://en.wikipedia.org/wiki/Altair_Engineeringhttp://en.wikipedia.org/wiki/MSC_Softwarehttp://en.wikipedia.org/wiki/MSC_Softwarehttp://en.wikipedia.org/wiki/MSC_Software
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    Major commercial players

    Independent PLM solution providers such as Atos Origin, SIA

    Conseil, Accenture, Infosys, Integware, Metafore and Capgeminideliver PLM consulting and system integration services

    There are also companies whose main revenue is not from PLMbut do attribute some of their income from PLM software, such as

    SAP($11B), SSA Global , Oracle Corporation and Autodesk($1.5B).

    Other companies in this market, such as IBM ($88.9B), EDS($19.8B),NEC ($45B), Geometric, L&T Infotech, Tata Consultancy

    Services (TCS), Infinite Computer Solutions (ICS),WRENCHSolutions (P) Ltd, ITC Infotech provide outsourcing and consultingservices some of which is in the field of PLM.

    http://en.wikipedia.org/wiki/Atos_Originhttp://www.meta-fore.com/http://en.wikipedia.org/wiki/Capgeminihttp://en.wikipedia.org/wiki/SAP_AGhttp://en.wikipedia.org/wiki/SSA_Global_Technologieshttp://en.wikipedia.org/wiki/Oracle_Corporationhttp://en.wikipedia.org/wiki/Autodeskhttp://en.wikipedia.org/wiki/IBMhttp://en.wikipedia.org/wiki/EDShttp://en.wikipedia.org/wiki/NEChttp://en.wikipedia.org/wiki/Geometric_Limitedhttp://en.wikipedia.org/wiki/Larsen_&_Toubro_Infotechhttp://en.wikipedia.org/wiki/Tata_Consultancy_Serviceshttp://en.wikipedia.org/wiki/Tata_Consultancy_Serviceshttp://en.wikipedia.org/wiki/ITC_Ltd.http://en.wikipedia.org/wiki/ITC_Ltd.http://en.wikipedia.org/wiki/ITC_Ltd.http://en.wikipedia.org/wiki/ITC_Ltd.http://en.wikipedia.org/wiki/Tata_Consultancy_Serviceshttp://en.wikipedia.org/wiki/Tata_Consultancy_Serviceshttp://en.wikipedia.org/wiki/Tata_Consultancy_Serviceshttp://en.wikipedia.org/wiki/Tata_Consultancy_Serviceshttp://en.wikipedia.org/wiki/Tata_Consultancy_Serviceshttp://en.wikipedia.org/wiki/Larsen_&_Toubro_Infotechhttp://en.wikipedia.org/wiki/Larsen_&_Toubro_Infotechhttp://en.wikipedia.org/wiki/Larsen_&_Toubro_Infotechhttp://en.wikipedia.org/wiki/Geometric_Limitedhttp://en.wikipedia.org/wiki/NEChttp://en.wikipedia.org/wiki/EDShttp://en.wikipedia.org/wiki/IBMhttp://en.wikipedia.org/wiki/Autodeskhttp://en.wikipedia.org/wiki/Oracle_Corporationhttp://en.wikipedia.org/wiki/Oracle_Corporationhttp://en.wikipedia.org/wiki/Oracle_Corporationhttp://en.wikipedia.org/wiki/SSA_Global_Technologieshttp://en.wikipedia.org/wiki/SSA_Global_Technologieshttp://en.wikipedia.org/wiki/SSA_Global_Technologieshttp://en.wikipedia.org/wiki/SAP_AGhttp://en.wikipedia.org/wiki/Capgeminihttp://www.meta-fore.com/http://en.wikipedia.org/wiki/Atos_Originhttp://en.wikipedia.org/wiki/Atos_Originhttp://en.wikipedia.org/wiki/Atos_Origin
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    Reasons why strategic plans fail

    Failure to understand the customerWhy do they buyIs there a real need for the productInadequate or incorrect marketing research

    Inability to predict environmental reactionWhat will competitors do

    oFighting brandsoPrice wars

    Will government intervene

    Over-estimation of resource competenceCan the staff, equipment, and processes handle the newstrategyFailure to develop new employee and management skills

    http://en.wikipedia.org/wiki/Customerhttp://en.wikipedia.org/wiki/Marketing_researchhttp://en.wikipedia.org/wiki/Oligopolyhttp://en.wikipedia.org/wiki/Brand_managementhttp://en.wikipedia.org/wiki/Price_warshttp://en.wikipedia.org/wiki/Price_warshttp://en.wikipedia.org/wiki/Brand_managementhttp://en.wikipedia.org/wiki/Oligopolyhttp://en.wikipedia.org/wiki/Marketing_researchhttp://en.wikipedia.org/wiki/Customer
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    Reasons why strategic plans fail

    Failure to coordinateReporting and control relationships not adequateOrganizational structure not flexible enough

    Failure to obtain senior management commitment

    Failure to get management involved right from the startFailure to obtain sufficient company resources to accomplishtask

    Failure to obtain employee commitmentNew strategy not well explained to employeesNo incentives given to workers to embrace the new strategy

    Under-estimation of time requirementsNo critical path analysis done

    http://en.wikipedia.org/wiki/Critical_path_analysishttp://en.wikipedia.org/wiki/Critical_path_analysis
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    Reasons why strategic plans fail

    Failure to follow the planNo follow through after initial planningNo tracking of progress against planNo consequences for above

    Failure to manage changeInadequate understanding of the internal resistance tochangeLack of vision on the relationships between processes,technology and organization

    Poor communicationsInsufficient information sharing among stakeholdersExclusion of stakeholders and delegates

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    Product Data Management

    Product data management (PDM) serves as a central

    knowledge repository for process and product history, and

    promotes integration and data exchange among all

    business users who interact with products including

    project managers, engineers, sales people, buyers, and

    quality assurance teams.

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    Product Data Management

    Product data management (PDM) is the use of software or othertools to track and control data related to a particular product.

    The data tracked usually involves the technical specifications of theproduct, specifications for manufacture and development, and thetypes of materials that will be required to produce good.

    The use of product data management allows a company to track thevarious costs associated with the creation and launch of a product.

    Within PDM the focus is on managing and tracking the creation,change and archive of all information related to a product.

    The information being stored and managed (on one or more fileservers) will include engineering data such as Computer-aideddesign (CAD) models, drawings and their associated documents.

    http://en.wikipedia.org/wiki/Computer-aided_designhttp://en.wikipedia.org/wiki/Computer-aided_designhttp://en.wikipedia.org/wiki/Computer-aided_designhttp://en.wikipedia.org/wiki/Computer-aided_designhttp://en.wikipedia.org/wiki/Computer-aided_designhttp://en.wikipedia.org/wiki/Computer-aided_designhttp://en.wikipedia.org/wiki/Computer-aided_design
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    Product Data Management

    The central database will also manage metadata such as owner of a fileand release status of the components.

    The package will: control check-in and check-out of the product data tomulti-user; carry out engineering change management and releasecontrol on all versions/issues of components in a product; build and

    manipulate the product structure bill of materials (BOM) for assemblies;and assist in configurations management of product variants.

    This enables automatic reports on product costs, etc.

    Furthermore, PDM enables companies producing complex products to

    spread product data into the entire PLM launch-process. Thissignificantly enhances the effectiveness of the launch process.

    http://en.wikipedia.org/wiki/Metadatahttp://en.wikipedia.org/w/index.php?title=Engineering_change_management&action=edit&redlink=1http://en.wikipedia.org/wiki/Bill_of_materialshttp://en.wikipedia.org/wiki/Product_lifecycle_managementhttp://en.wikipedia.org/wiki/Product_lifecycle_managementhttp://en.wikipedia.org/wiki/Bill_of_materialshttp://en.wikipedia.org/wiki/Bill_of_materialshttp://en.wikipedia.org/wiki/Bill_of_materialshttp://en.wikipedia.org/wiki/Bill_of_materialshttp://en.wikipedia.org/wiki/Bill_of_materialshttp://en.wikipedia.org/w/index.php?title=Engineering_change_management&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Engineering_change_management&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Engineering_change_management&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Engineering_change_management&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Engineering_change_management&action=edit&redlink=1http://en.wikipedia.org/wiki/Metadata
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    Product Data Management

    Typical information managed in the PDM moduleinclude

    Part number Part description

    Supplier/vendor Vendor part number and description Unit of measure Cost/price

    Schematic or CAD drawingMaterial data sheets

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    Product Data Management

    PDM Advantages:

    Track and manage all changes to productrelated data

    Accelerate return on investment with easysetup

    Spend less time organizing and tracking designdata

    Improve productivity through reuse of productdesign data

    Enhance collaboration.

    http://en.wikipedia.org/wiki/Return_on_investmenthttp://en.wikipedia.org/wiki/Return_on_investmenthttp://en.wikipedia.org/wiki/Return_on_investmenthttp://en.wikipedia.org/wiki/Return_on_investmenthttp://en.wikipedia.org/wiki/Return_on_investmenthttp://en.wikipedia.org/wiki/Return_on_investment
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    Capabilities of PDM

    Access Control

    Component / Material Classification

    Product Structure

    Engineering Changes

    Process Management & workflow

    Collaboration

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    Capabilities of PDM

    Access controlRead only access can be given to personnel not directly involved

    with the design, development and planning process.

    Creation and maintenance access can be given to the individuals

    responsible for product and process design.

    Spread across multiple enterprises in a supply chain, access

    control becomes more critical and requires control to limit

    access to specific projects, products or parts for a specific

    supplier or customer

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    Capabilities of PDM

    Component / Material Classification

    This supports standardization by identifying similarcomponents/materials, eliminating redundancy, and establishinga preferred parts list.

    Establishing classes and subclasses with attributes allows adesigner to search and select a needed material, component orassembly with minimal effort thereby avoiding having to re-specifying an existing or similar component or material

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    Capabilities of PDM

    Product Structure

    This will allow different views of part relationships in assemblies tocorrespond to the various departmental needs (e.g., engineeringand manufacturing product structures), while maintaining rigor andconsistency of the product's definition through this single data

    base.

    One logical data base can support product and process designrequirements as well as maintain part relationships to serve as amanufacturing bill of materials for MRP II/ERP.

    In other words, PDM provides the ability to hold not just thephysical relationships between parts in an assembly but also otherkinds of structures; for instance, manufacturing, financial,maintenance or document relationships.

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    Capabilities of PDM

    Engineering ChangesEngineering changes can be facilitated with this configuration

    management and administrative control embedded within the

    system.

    CAE/ CAD tools will enable engineering changes to be more

    thoroughly developed and analyzed to better define change impact.

    When the changes have been made, it can be returned to the central

    database and placed in a queue or an email notification sent for

    approval by designated parties.

    In this manner, a Change Control Board (CCB) can even "convene"

    and provide individual member's input electronically.

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    Capabilities of PDM

    Process Management & Workflow

    PDM systems support process management by defining process steps

    related to the development, distribution and use of product data.

    Within a project, responsibilities are defined for the process steps -

    who needs to approve the data or work on the data before it moves to

    the next release or promotion level.

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    Capabilities of PDM

    CollaborationCollaboration can be supported in several ways. First, a PDM system

    may be the gateway that a team uses to access the information under

    discussion avoiding the need to copy and distribute a series of paper

    documents.

    Second, the PDM system may provide a synchronous or asynchronouscollaboration environment for team members to access, present,

    review and product feedback on product and process information.

    Third, what are now described as collaborative product commerce

    systems (CPC), provide extended PDM functionality and access controloutside the enterprise for customers, suppliers and interested third

    parties (e.g., regulatory agencies). This speeds the distribution of

    information, enhances coordination, and speeds the capture of

    feedback.

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    Product Workflow

    o

    A workflow consists of a sequence of connected steps.

    o It is a depiction of a sequence of operations, declared as workof a person, a group of persons, an organization of staff, orone or more simple or complex mechanisms.

    o The term workflow is used in computer programming tocapture and develop human-to-machine interaction

    o Assembly line remains the most famous example of aworkflow

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    Examples

    The following examples illustrate the variety of workflows seenin various contexts:

    1.In military planning, a "concept of operations" is a workflow

    that defines particular mission types2.In machine shops, particularly job shops and flow shops, the

    flow of a part through the various processing stations is awork flow

    3.Insurance claims processing is an example of an information-

    intensive, document-driven workflow4.In global software development, the concept of follow-the-sun describes a process of passing unfinished work acrosstime zones.

    Product Workflow

    http://en.wikipedia.org/wiki/Follow-the-sunhttp://en.wikipedia.org/wiki/Follow-the-sunhttp://en.wikipedia.org/wiki/Follow-the-sunhttp://en.wikipedia.org/wiki/Follow-the-sunhttp://en.wikipedia.org/wiki/Follow-the-sunhttp://en.wikipedia.org/wiki/Follow-the-sunhttp://en.wikipedia.org/wiki/Follow-the-sun
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    Product Workflow

    Workflow improvement theories

    1.Six Sigma2.Total Quality Management

    3.Business process reengineering4.Lean systems

    http://en.wikipedia.org/wiki/Six_Sigmahttp://en.wikipedia.org/wiki/Total_Quality_Managementhttp://en.wikipedia.org/wiki/Business_process_reengineeringhttp://en.wikipedia.org/wiki/Leanhttp://en.wikipedia.org/wiki/Leanhttp://en.wikipedia.org/wiki/Business_process_reengineeringhttp://en.wikipedia.org/wiki/Total_Quality_Managementhttp://en.wikipedia.org/wiki/Six_Sigma
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    SIX SIGMA

    Six Sigma is a business management strategy originally developed by Motorola,USA in 1986. Six Sigma seeks to improve the quality of process outputs by

    identifying and removing the causes of defects (errors) and minimizing variability inmanufacturing and business processes.

    It uses a set of quality management methods, including statistical methods, andcreates a special infrastructure of people within the organization ("Black Belts","Green Belts", etc.) who are experts in these methods. Each Six Sigma project

    carried out within an organization follows a defined sequence of steps and hasquantified financial targets (cost reduction and/or profit increase).

    The term Six Sigmaoriginated from terminology associated with manufacturing,specifically terms associated with statistical modeling of manufacturing processes.The maturity of a manufacturing process can be described by a sigmaratingindicating its yield, or the percentage of defect-free products it creates.

    A six sigma process is one in which 99.99966% of the products manufactured arestatistically expected to be free of defects (3.4 defects per million). Motorola set agoal of "six sigma" for all of its manufacturing operations, and this goal became abyword for the management and engineering practices used to achieve it.

    http://en.wikipedia.org/wiki/Strategic_managementhttp://en.wikipedia.org/wiki/Motorolahttp://en.wikipedia.org/wiki/Statistical_dispersionhttp://en.wikipedia.org/wiki/Manufacturinghttp://en.wikipedia.org/wiki/Business_processhttp://en.wikipedia.org/wiki/Quality_managementhttp://en.wikipedia.org/wiki/Statisticshttp://en.wikipedia.org/wiki/Process_capabilityhttp://en.wikipedia.org/wiki/Process_capabilityhttp://en.wikipedia.org/wiki/Statisticshttp://en.wikipedia.org/wiki/Quality_managementhttp://en.wikipedia.org/wiki/Business_processhttp://en.wikipedia.org/wiki/Manufacturinghttp://en.wikipedia.org/wiki/Statistical_dispersionhttp://en.wikipedia.org/wiki/Motorolahttp://en.wikipedia.org/wiki/Strategic_management
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    TQM

    Total quality management or TQM is an integrative philosophy of

    management for continuously improving the quality of products andprocesses.

    TQM functions on the premise that the quality of products andprocesses is the responsibility of everyone who is involved with thecreation or consumption of the products or services offered by an

    organization.

    In other words, TQM capitalizes on the involvement of management,workforce, suppliers, and even customers, in order to meet or exceedcustomer expectations.

    Considering the practices of TQM as discussed in six empirical studies,Cua, McKone, and Schroeder (2001) identified the nine common TQMpractices as cross-functional product design, process management,supplier quality management, customer involvement, information andfeedback, committed leadership, strategic planning, cross-functionaltraining, and employee involvement.

    http://en.wikipedia.org/wiki/Managementhttp://en.wikipedia.org/wiki/Qualityhttp://en.wikipedia.org/wiki/Premisehttp://en.wikipedia.org/wiki/Qualityhttp://en.wikipedia.org/wiki/Process_managementhttp://en.wikipedia.org/wiki/Feedbackhttp://en.wikipedia.org/wiki/Leadershiphttp://en.wikipedia.org/wiki/Strategic_planninghttp://en.wikipedia.org/wiki/Strategic_planninghttp://en.wikipedia.org/wiki/Leadershiphttp://en.wikipedia.org/wiki/Feedbackhttp://en.wikipedia.org/wiki/Process_managementhttp://en.wikipedia.org/wiki/Qualityhttp://en.wikipedia.org/wiki/Premisehttp://en.wikipedia.org/wiki/Qualityhttp://en.wikipedia.org/wiki/Management
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    Business Process Reengineering

    Business process re-engineering is the analysis and design ofworkflows and processes within an organization.

    According to Davenport (1990) a business process is a set of logicallyrelated tasks performed to achieve a defined business outcome. Re-engineering is the basis for many recent developments in management.The cross-functional team, for example, has become popular becauseof the desire to re-engineer separate functional tasks into completecross-functional processes.

    Also, many recent management information systems developments aimto integrate a wide number of business functions. Enterprise resourceplanning, supply chain management, knowledge management systems,groupware and collaborative systems, Human Resource ManagementSystems and customer relationship management.

    Business process re-engineering is also known as business processredesign, business transformation, or business process changemanagement.

    http://en.wikipedia.org/wiki/Cross-functional_teamhttp://en.wikipedia.org/wiki/Management_information_systemshttp://en.wikipedia.org/wiki/Enterprise_resource_planninghttp://en.wikipedia.org/wiki/Enterprise_resource_planninghttp://en.wikipedia.org/wiki/Supply_chain_managementhttp://en.wikipedia.org/wiki/Knowledge_managementhttp://en.wikipedia.org/wiki/Groupware_and_collaborative_systemshttp://en.wikipedia.org/wiki/Human_Resource_Management_Systemshttp://en.wikipedia.org/wiki/Human_Resource_Management_Systemshttp://en.wikipedia.org/wiki/Customer_relationship_managementhttp://en.wikipedia.org/wiki/Customer_relationship_managementhttp://en.wikipedia.org/wiki/Human_Resource_Management_Systemshttp://en.wikipedia.org/wiki/Human_Resource_Management_Systemshttp://en.wikipedia.org/wiki/Groupware_and_collaborative_systemshttp://en.wikipedia.org/wiki/Knowledge_managementhttp://en.wikipedia.org/wiki/Supply_chain_managementhttp://en.wikipedia.org/wiki/Enterprise_resource_planninghttp://en.wikipedia.org/wiki/Enterprise_resource_planninghttp://en.wikipedia.org/wiki/Management_information_systemshttp://en.wikipedia.org/wiki/Cross-functional_teamhttp://en.wikipedia.org/wiki/Cross-functional_teamhttp://en.wikipedia.org/wiki/Cross-functional_team
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    LeanSystems

    Lean Manufacturing is basically removal of wastages. In simple words

    this can can be explained as the expenditure of resources on otherthan the end customer product value, i-e wasting resources on thenon value added product, which will be of no value for thecustomers....

    Lean manufacturing, lean enterprise, or lean production, often

    simply, "Lean," is a production practice that considers the expenditureof resources for any goal other than the creation of value for the endcustomer to be wasteful, and thus a target for elimination. Workingfrom the perspective of the customer who consumes a product orservice, "value" is defined as any action or process that a customerwould be willing to pay for.

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    PLCMProduct Workflow

    Workflow components

    A workflow can usually be described using formal or informal flowdiagramming techniques, showing directed flows betweenprocessing steps. Single processing steps or components of aworkflow can basically be defined by three parameters:

    1. input description: the information, material and energy required tocomplete the step

    2.transformation rules, algorithms, which may be carried out byassociated human roles or machines, or a combination

    3.output description: the information, material and energy producedby the step and provided as input to downstream steps.

    http://en.wikipedia.org/wiki/Inputhttp://en.wikipedia.org/wiki/Algorithmhttp://en.wikipedia.org/wiki/Outputhttp://en.wikipedia.org/wiki/Outputhttp://en.wikipedia.org/wiki/Algorithmhttp://en.wikipedia.org/wiki/Input