What is product lifecycle management?
You may have heard of product lifecycle management (PLM) and wondered what it is. You’re not alone!
Think of PLM as a set of processes that allow you to manage your product’s journey from concept to end-of-life, and the data associated with it, in a comprehensive way.
PLM systems essentially help businesses manage a product’s complete lifecycle in an organized manner. PLM provides visibility into all the information related to design, development and supporting processes, so that you can track the progress of your products at every stage.
Being cross-functional by nature, it is not limited to just one department in your organization: instead it is used across functions like design, merchandising, quality assurance, etc. It also connects internal departments with external vendors and partners for better collaboration.
History of PLM
In the early ‘80s, the American automotive industry was getting aggressively competitive. The manufacturing processes were becoming more complex and expensive and, profit margins were thinning. As a result, American Motor Company (the Jeep maker) created the first Product Data Management (PDM) system to their centralize computer-aided design (CAD) processes in the late 1980s.
Thanks to PDM (or PLM 1.0, as many call it), AMC was able to introduce a new Jeep line, create a new automotive category called sports utility vehicles (SUVs), and get acquired by Chrysler Corporation, who adapted AMC’s techniques to reduce their development cost structure by 50%!
The roots of modern PLM can be traced back to this PDM that was gradually loaded with more functionalities such as collaboration, bill of materials (BOM) management, quality planning, compliance tracking and more.
Today, PLM has become an integral part of supply chain management and is used by many companies to organize product information from the time it’s first conceptualized until well after its production cycle ends.
PLM has become indispensable for any consumer goods business. Here are some problems that plague companies who still work without PLM software.
The stages of PLM
Product lifecycle management consists of the following stages:
- Product Planning & Analysis: At this stage, you’ll be focusing on research on customer needs and the design of the product.
- Product Development: In this stage, the focus shifts to building out the actual product. You’ll need detailed plans for all aspects of creation, as well as a team of capable collaborators and other resources for development.
- Product Execution: This is when you actually create the product based on your previous planning and research stages. This part can include concept testing, prototyping, design testing and more to get your product ready to be released into the world.
- Product Service & Support: At this point, your product is out in the world for everyone to use! Now, it’s time to optimize things like warranty management, timely updates and customer support issues that can arise with any new product launch.
- Product Retirement: Once a product has been on the market for a number of years, it may be time to consider retiring it or bringing out new versions of some form or another — so the last step in PLM is figuring out how best to do that while still keeping your customers happy and supporting them through any transitions they might face as a result of these changes
Summary
PLM software can help companies improve product development processes, collaborate more efficiently internally and externally, make better-informed decisions, improve product cost management, and ensure data security.
If you’re looking for a cloud-based PLM solution for the fashion industry, check out WFX PLM!
