The Importance of Product Lifecycle Management in the Manufacturing Industry
What Is a Product Life Cycle?
A product lifecycle is a series of steps a product must go through during its life. The product goes from its introduction to the market to its decline and then removal from the market. It is a conceptual reference that allows businesses to visualize their products and competitors on the market, as well as plan to take advantage of opportunities and avoid threats.
What Are the Main Stages of the Product Lifecycle?
There are usually 4 steps to the product lifecycle: introductory phase, growth, maturity, and decline.
The product introduction to the market is the step called ‘introductory phase’. The goal is to create awareness of the product and capture as much share as possible before competitors come in.
The second step of the product life cycle is the growth, when the product sales start to grow. New customers buy the product because of the early adopters’ influence. Competitors come flooding the market with their own product when they realize the potential benefits of the growth market.
The third step of the lifecycle is the maturity, when the demand for the product stabilizes. Competition is fierce, and it is important to focus on differentiating your product from those of competitors.
The fourth step of the product lifecycle is the decline, when the demand for the product starts to decrease and the product becomes outdated or better alternatives come on the market. Businesses can try to reposition their product to capture residual demand or discontinue the product.
PLM stands for product lifecycle management, which is the entire processes and technologies used in managing the product lifecycle, typically in the form of software centralizing all the product-related data and activities. In short, the product lifecycle management software focuses on the technical and developmental side of product creation and evolution.
Product Data Management
Product Data Management (PDM) focuses on centralizing, organizing, and sharing product-related data. This includes models, drawings, product design, specifications, and engineering documents, particularly during the design and development phase.
Collaboration and Communication
The centralization of data allows teams to collaborate more efficiently by accessing the latest information at any given time. This reduces errors and miscommunications. Features such as live chatting, file sharing, and collaborative editing of documents are common in PLM software.
Regulatory Compliance
The PLM system digitizes regulatory documents, which allows businesses to standardize their procedures and comply with regulations more efficiently.
Quality Management
Quality Management System (QMS) creates a closed-loop process that moves a product back to the design and development phase when a quality issue is detected. Then, the product is improved until it meets the quality standards.
Workflow Automation
The workflow automation automates routine tasks. It reduces manual work, minimizes errors, and speeds up data transfer to the system. Additionally, the automation of the workflows generates data for analytics, which makes it easier to monitor performance and improve efficiency.
Top 5 Benefits of Implementing PLM in Manufacturing
Manufacturers can launch their product more quickly and efficiently with their rationalized processes and the automation of their workflows. Additionally, the optimized processes and workflows reduce the number of errors and manual labour.
The centralization of all data, including digital regulations forms, and the standardization of processes reduce errors and defects, which leads to higher-quality products.
The collaboration is easier with a single set of data shared between teams and colleagues. It reduces misunderstandings and errors, allowing teams to work with the latest information. This also reduces wasted time on rework.
The centralized database reuniting all the product development process information, as well as those from manufacturing and supply chain operations, allows the PLM solution to help identify inefficiencies, reduce rework, and minimize waste of resources.
Data access is crucial in a product lifecycle management system, as it provides real-time data and an overview of all the operations, which greatly improves the decision-making and helps businesses to pivot according to market swings.
Why Does PLM Matter in Manufacturing?
Product lifecycle management matters in the manufacturing industry because it streamlines product development and production processes, improves collaboration between departments, reduces costs, ensures compliance, and accelerates time to market.
Common Challenges with PLM Adoption?
The initial investment to acquire and implement a product lifecycle management solution can be high. It requires the software itself, an infrastructure, data migration, and training. For companies with a tight budget, it can seem like a big upfront investment. However, in the long term, businesses will see major efficiency improvements and cost savings across all operations.
When you adopt a product life cycle management software, it often means retiring old processes and manual work. This can be difficult for team members used to the old ways. It will be important to explain to your staff all the advantages gained by adopting a PLM software.
Many options are available on the product lifecycle management software market, which can make it difficult for businesses to pick. Some PLM systems can suit a broad range of industries, while others can be tailored to a specific sector. For example, Epicor Product Lifecycle Management (Epicor PLM) is a software made for manufacturers.
It is crucial for businesses to evaluate their business processes and needs to choose the right software for them.
How to Choose the Right PLM System?
To choose the right PLM system, you need to consider multiple factors.
- Evaluate your business goals and needs.
- Look for industry fit.
- Evaluate the functionalities.
- Evaluate the user experience.
- Evaluate the fit with your existing business systems.
- Think about scalability and customizations.
- Calculate the total costs.
The Role of PLM in Manufacturing
In the manufacturing industry, PLM, like the Epicor PLM, optimizes all stages of your product development process. It goes from the concept and raw materials to the final products made available on the market. In between, it passes by the transfer of the bill of materials (BOM) from engineering to manufacturing.
Why Work with PLM Experts?
PLM Experts can help you unlock the full potential of your PLM software. With our deep knowledge in manufacturing, our experts will help bring your products to market faster. We can help tailor the system to your specific needs and improve your production line.
Book a call now to gain a lasting competitive advantage.