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Realizing Business Value with a PLM Roadmap

Realizing Business Value with a PLM Roadmap. Madhan Manager – Pre Sales madhant@ptc.com August 3 rd , 2011. Thought Leader in Product Development. Parametric, associative, feature-based, solid modeler. XML documentation and dynamic publishing solution.

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Realizing Business Value with a PLM Roadmap

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  1. Realizing Business Value with a PLM Roadmap Madhan Manager – Pre Sales madhant@ptc.com August 3rd , 2011

  2. Thought Leader in Product Development Parametric, associative, feature-based, solid modeler • XML documentation and dynamic publishingsolution • Only integral product development system • Internet-based PLM solution Tomarket To future • Embedded Software • Service information • Breakthrough design apps • Product • analytics

  3. PTC’s Product Development System (PDS) Windchill Windchill Cadence, Mentor, Zuken PPM RequirementsLink Mathcad Pro/ENGINEER ProductView Program Portfolio Management Requirements Management Engineering Calculations MCAD / CAM / CAE ECAD DigitalMockup ERP Document Management Workflow Heterogeneous CAD Data Mgmt ECAD DataManagement Complete BOM Management Product Lifecycle Management Financials SCM MRP EnterpriseInteroperability DistributedCollaboration Communities of Practice Visualization Change & Config. Mgmt SAP, Oracle,Dynamics EmbeddedSoftware ServiceInformation Manufacturing Process Mgmt. Quality, Risk & Reliability Mgmt. ProductAnalytics Supplier &Component Mgmt. Windchill Windchill Open Source,Rational Arbortext Relex InSight MPMLink PartsLink 3

  4. Why is Planning for Business Value important? PLM stands for ProductLifecycleManagement Do capabilities tie to value? Today, products are complex involving integration of mechanical, electrical, electronics & software components Product development teams are dynamic and dispersed Severe time and cost pressures Information over-load for individuals Risk of failure Lifecycles involve many activities that need to be covered from concept to retirement Every piece of information that defines the product has its own lifecycle PLM integrates People, Process & Technology What processes are we improving? What comes first? Source : AMR/Gartner

  5. Process Aligns a Two-Way Path Between Strategies and Technology ‘Top Down’ Path from Corporate Strategies to Technical Abilities Senior Management Initiatives C-Level Strategies Department- Driven Plans Technical & Functional Assets ‘Bottoms Up’ Path from Technologies/Services to Company Goals © 2011 PTC

  6. A Rich Source of Intellectual Property (IP) from PTC Informed by…. • Qualitative Research • 25 years supporting product development orgs • 6 month engagement Boston Consulting Group • Leading product development academics (MIT, Harvard) • Literature review • In depth interviews with product development leaders • Quantitative research • Surveyed 900 product development managers across all geographies • Reviewed thousands of engagements with customers © 2011 PTC • The Roadmap was built using: • 25 years of customer data • Deep industry research • Best Practices in product development (supported by PTC solutions)

  7. Value Opportunities – Strategies to Drive Growth and/or Profitability Grow Share w/Customer Focused Products Protect Product Position Improve Ability to Fulfill Demand Growth Design For Ongoing Revenue Streams VALUE Develop and Define New Markets Design to Realize a Price Premium Lower Product Cost Profitability Lower Lifecycle Cost Improve Asset Utilization

  8. Business Initiatives Action Plans to Support Value Opportunities Improve product & lifecycle cost management Improve aesthetic appeal / design of products Incorporate voice of customer into design process Enhance ability to configure products Sample Business Initiatives for Growing Share with Customer Focused Products © 2011 PTC

  9. Navigating the Product Value Roadmap • Processes and Capabilities that distinguish world-class companies © 2011 PTC

  10. Vision, Strategies & Initiatives - Example Illustrative Example ... a clear vision for realizing sustainable and measurable values VALUE Grow as a global Player from a systems supplier to mid-size market as the innovation & technological leader with unique customer focused products 1 VISION ... clear strategies and initiatives to implement and realize the vision Lower Product Cost – through commonalities, platform concepts & market specific innovations (be the best in specific markets) 1 • Lower Product Cost • Grow Market Share • Lower Lifecycle Cost Grow market share in low cost countries with new customers and expand the footprint at existing customers 2 STRATEGIES Lower Lifecycle Cost in terms of design anywhere , esp. with flexible involvement of local development and production units in low cost geographies. 3 Integral Engineering Backbone Global Concepts & Standardization Front loading / Global product development Product Compliance & Risk Management Enable integrated tool chainand integral engineering backbone 1 Improve efficiency through standardized working methods & processes and global concepts for product platforms & mfg 2 Front load & improve global product development , enhanced collaboration through the increase of transparency & traceability INITIATIVES 3 Ensure efficient global product compliance & risk management 4 PTC Confidential

  11. Vision, Strategies & Initiatives - Example Illustrative Example ... a clear vision for realizing sustainable and measurable values VALUE Strengthen product competitiveness, reduce cost and improve quality through product complexity management “Sustainable Profit” 1 VISION ... clear strategies and initiatives to implement and realize the vision Transparency - Ability to access and control impact engineering decisions 1 Product Cost Planning Platform Integration New Models Brand Enhancement Modularity - Modular Architecture for sustainable platform 2 STRATEGIES Efficiency - Seamless process chain for efficient engineering 3 Quality - Quality assurance as key criteria for development 4 BOM base Product Development Global R&D Support Internal/external collaboration environment Improve virtual engineering environment Closed loop quality improvement program Management product information including CAX, cost, weight etc 1 Development and integration with PMS 2 Collaboration environment of suppliers and development partners INITIATIVES 3 Strong integration of CAX – PDM 4 Closed loop quality system, facilitating Failure report trends, fueling innovation & customer satisfaction 5 PTC Confidential

  12. Roadmap Process – Value, Priorities & Solution Developed in Parallel Solution Validation Value Scorecard & Roadmap PDSVA Business Case

  13. Processes Improvements Drive Value Best Practices Distributed Collaboration Integrated, Cross-Discipline BOM Top Down Design Associative 3D Part Modeling Associative Routed Systems Associative Drawings Drawingless Design ECAD-MCAD Collaboration Work Practice Standardization Standardized Engineering Calculations Large MCAD Assembly Management (Heterogeneous) Design in Context Efficient Design Review

  14. Level 4 Level 3 Extended Optimized Level 2 Enterprise Integrated Domain Integrated Level 1 Fragmented Detailed Design – Process Maturity Levels example • Four Levels of Detailed Design Capabilities • Level 1 Fragmented – No formal process within and across different domains (mechanical, electrical, software) • Process is manual and disconnected from the rest of the organization • Data is not formally managed • Level 2 Domain Integrated – Formal process within different engineering domains (mechanical, electrical, software) • Information is exchanged manually across domains • Detailed design representations are created in 3D digital media • Data is managed at design team level • Level 3 Enterprise Integrated – Common formal, enterprise-level, automated process used across domains • Complete product information in a single, structured, cross-discipline product data repository • Part classification and search enables design standardization and reuse • Level 4 Extended Optimized – Common, formal and automated process extended to partners outside the enterprise • Project management, visualization and verification capabilities • Extended collaborative environment for dispersed design teams $$$ Value © 2006 PTC

  15. Value Release Plan & Best Practicesfor Base Processes / Base Value at customer XXX Rail Illustrative Example VR4 – Extension Further Processestbd, i.e.: Quality & Reliability Management Concept Development Verification & Validation Variant Design & Generation Manufacturing Process Mgmt. Tech.Info Creation & Delivery … • VR3 – Management: • Project ManagementBest Practices:- Distributed project collaboration • Project dashboards • Integration: • - SAP PS • CADIM-Successor: • - Project data, timelines, milesones, checklists, documents, BOM, EAs • VR2 – Management: • Change and Configuration MangagementBest Practices: • Standardized, automateed change process • Integrated, cross-discipline change management • Integrated product issue management • CADIM Successor: • - Products, Parts, eBOMs, Kits, Standard-Parts, tech.Doc., Drawings, • ECR, ECO, EAs • VR1 – Engineering: • System Design Detailled Design:Best Practices:Best Practices: • Generic product platform design - Distributed Collaboration • Platform CAD structure management - Integrated, cross-discipline BOM • - Top-down design • Pro/INTRALINK Successor: - Associative drawings • - MCAD Data Management for Pro/E - Work practice standardization • - Large MCAD assembly management © 2010 PTC

  16. The Key Components of PLM OOTB capability footprint for workgroup, enterprise, and extended enterprise Document Mgmt Workflow DistributedCollaboration EmbeddedVisualization Heterogeneous CAD Data Mgmt Complete BOM Management Change & Config. Mgmt Embedded Software Mgmt Communities of Practice Program PortfolioManagement RequirementsManagement Supplier & ComponentMgmt ManufacturingProcess Mgmt Product Analytics Service Information QualityManagement Integral architecture One underlying architecture High / distributed performance Secure & open Interoperable

  17. Serving the best in Multiple Vertical Markets AEROSPACE & DEFENSE ELECTRONICS& HIGH TECH RETAIL & CONSUMER MEDICALDEVICES INDUSTRIAL AUTOMOTIVE

  18. Technology Leader in Product Development Product Development System • Only integral PDS in the market • Single best-selling PLM software • Integralarchitecture • Outgrew Industry~2x • (2004-2010) • 1,000,000+active seats • Winningbenchmarks and raising the bar • Best-of-breedsolutions • Broadcapability footprint • OOTB

  19. Summary Key takeaways • PLM for your company is a process – not just an activity. • Careful planning with a long term roadmap for PLM helps realize maximum value. • Optimizing Product development with PLM should be part of your organizations Product / Quality / Growth strategy. • Pick the best minds/thought leaders in your organization for the job. • Staffing resources and mindshare is imperative to success. • Technology footprint, Architecture, scalability, TCO, measurable Value parameters should be part of key selection criteria. • Product development system grows with your organization positively impacting Growth/Profitability.

  20. For your Reading James (Jim) Heppelmann, President & Chief Executive Officer 25 years of information technology industry experience, Co-founded Windchill Technology BS ME, U of MN IT 13 years of service at PTC http://www.ptc.com/company/jim-heppelmann-ceo-announcement/ © 2008 PTC

  21. madhant@ptc.com +91 98450 71679

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