Product Lifecycle Management

What is it and why is it so important?

The most valuable resource that any consumer goods company has is its product data, but you wouldn't think so from the manner in which it is sometimes handled and distributed.  At many companies, e-mail and Excel spreadsheets are used to collaborate internally as well as with overseas offices, agents and suppliers on samples and technical specification or BOMs.  Moreover, sample and production order tracking are updates made to Excel that are sent from overseas to head office on a weekly basis.

Why is there such a lack of concern on the quality control of this vital information in the supply chain?  Clearly, no company would allow it’s customer and production orders to be handled in such a manner, which is why Enterprise Resource Planning (ERP) solutions are not an option for deployment, but a given.

Unmistakably, orders are important to the success of any company and are the hub of the process wheel in an ERP application.  But to obtain orders, you need to develop innovative products that at most companies involve bringing together teams of people from all over the globe.  Clearly, everyone recognizes there can be issues and problems in the early stages of development that when gone unchecked, can have significant negative impact to the bottom line.  And if, as experts state, up to 80% of the cost of product is in the development stage, there needs to better management and control over product data.

Today, product lifecycle management is emerging as a recognized business process to manage the creation and dissemination of product data throughout the supply chain.  Applications are now available to create product content and manage the process from concept to retirement.  These applications provide a seamless environment for accessing, manipulating, updating and analyzing product information in a global distributed environment.

At Global Trading Systems, we have been developing and enhancing PLM applications for the verticals we serve since 1996.   It has always been our conviction that while orders are the hub of the wheel in ERP applications, just as importantly product data is the hub of the wheel in PLM applications. PLM applications provide an opportunity for companies to optimize the product development process resulting in shorter time to market, higher quality, reduced costs and better customer service.