Top 10 Predictions for Product Lifecycle Management in Joe Barkai, Practice Director Manufacturing Insights Webcast January 24, 2008

Transcription

1 Top 10 Predictions for Product Lifecycle Management in 2008 Joe Barkai, Practice Director Manufacturing Insights Webcast January 24, 2008

2 Webcast Logistics Audio lines are muted until Q&A session Submit your questions via the Live Meeting Chat window at any time Slides available within 24 hours for Manufacturing Insights clients and attendees All other requests: Problems? Manufacturing Insights, an IDC company. All rights reserved. 1

3 Manufacturing Insights, an IDC company Provides industry business leaders with informed opinions on the technologies required to create a competitive advantage Presents strategic and insightful market positions, trends, and cross-industry segmentation data Including Lean/ Six Sigma, RFID, Warranty and establishing operations in China Encourages an open dialogue with our expert analysts to support key investment decisions Singapore, Milan, and US Leverages IDC s worldwide network of resources and data 2008 Manufacturing Insights, an IDC company. All rights reserved. 2

4 Introducing our Speaker Joe Barkai, Practice Director, Product Lifecycle Strategies Responsible for research and analysis on the types of investments that introduce operational efficiencies to the domain while improving the responsiveness to customer requirements Extensive experience as both a practitioner and market researcher Over 20 years industry experience in product management, marketing, and business development Founder and principal at Diagnostic Strategies Founder of the Transportation Industry Knowledge Management Consortium that has become the Service Technology Program Office of SAE International Sought after thought leader for industry events with strong focus on the business value of technology in manufacturing and customer service 2008 Manufacturing Insights, an IDC company. All rights reserved. 3

5 Agenda Why Predictions? The Industry Environment Top 10 Predictions for PLM Joe Barkai, Practice Director, Product Lifecycle Strategies Essential Guidance LIVE Questions 2008 Manufacturing Insights, an IDC company. All rights reserved. 4

6 Why Predictions? Goal: Identify trends that impact manufacturing business and how they are reflected in product lifecycle management processes and information technology decisions Process: Drawn from IDC and Manufacturing Insights studies, industry contacts, and firsthand industry experience Bias: We focus on the transformation of major manufacturing processes and how IT enables that transformation Time Frame: Predictions are focused on 2008, but have a long range impact 2008 Manufacturing Insights, an IDC company. All rights reserved. 5

7 Industry Environment The dreaded R word Reasons for optimism Global growth to the rescue, but challenges are abound Shortening product lifecycles and continuous margin pressures Need to differentiate in your market Compliance with local and global regulations Aging / emerging workforce 2008 Manufacturing Insights, an IDC company. All rights reserved. 6

8 #1: Innovation is a Hot Topic Innovation and innovation management will be a prominent topic and garner much attention Software vendors rally to offer solutions, but industry is slow to adopt Innovation is a "soft" creative process Requires internal process reengineering and culture changes Innovation in moderation: leaning the innovation process Innovate only as needed Reuse as much as you can Outsource when it makes sense 2008 Manufacturing Insights, an IDC company. All rights reserved. 7

9 #2: From Multi-national to Globally Integrated Enterprises More than half revenue/profits are generated outside home regions Business models migrate from multi-national to globallyintegrated enterprises Manufacturers adopt global product management strategies Modular processes for modular products and markets Move decision-making closer to the market Become market and user-segment focused The power of federated SOA architectures 2008 Manufacturing Insights, an IDC company. All rights reserved. 8

10 #3: Collaborative Decision Environments Manufacturing enterprises must accelerate and improve the capacity and fidelity of decision-making Collaborative decision environments amplify the value of product lifecycle investments Beyond collaboration virtual joint ventures Beyond collaboration platforms and data exchange SOA to encapsulate data and processes into services that are leveraged across the globally-integrated enterprise The next hot topic - domain ontologies, data semantics, Who is the custodian? The next big IT investment area 2008 Manufacturing Insights, an IDC company. All rights reserved. 9

11 #4: From an Application Category to an Enterprise Strategy Remembering CRM From a collection of loosely integrated tools to a business strategy Harmonizing product content and optimizing decision making Integrating processes, not automating tasks Get ready for the clash of the titans 2008 Manufacturing Insights, an IDC company. All rights reserved. 10

12 #5: The Return of Knowledge Management Renewed recognition of knowledge management to improve decision making capacity Increases complexity Compressed cycle time New design environment in the extended enterprise Aging workforce Emerging workforce The rise of organic knowledge management Social networks Wikis Information retrieval tools 2008 Manufacturing Insights, an IDC company. All rights reserved. 11

13 #6: Information Democratization Broader collaboration and more information Growing concerns IP protection Digital rights management 2008 Manufacturing Insights, an IDC company. All rights reserved. 12

14 #7: More Data Than You Can Handle Data proliferation is not a storage problem New and better questions demand a new generation of analytics and better search tools Putting the I back into BI Snazzy dashboards are no longer sufficient The proverbial Google search Semantic and business aware vs. text-based search 2008 Manufacturing Insights, an IDC company. All rights reserved. 13

15 #8: Remote Service Create New Revenue Opportunities Remote services / Machine-to-machine (M2M) technologies Improve asset uptime and utilization Optimize service delivery New business models create new revenue opportunities Accelerated availability of technology and wireless services Aggressive adoption leads to double-digit growth Extreme verticalization And slow maturation Convergence of IT and Engineering Not a way to sneak behind your CIO s back! 2008 Manufacturing Insights, an IDC company. All rights reserved. 14

16 #9: More Software, More Challenges Exponential growth in electronics, mechatronics and embedded software Growing need for better digital prototyping and wholesystem simulation tools Opportunities for new players? 2008 Manufacturing Insights, an IDC company. All rights reserved. 15

17 #10: Compliance Across the Value Chain Environment, social, governance, and ethics matters to business. It s not only about risk management or cost, but about revenue, profit, and competitive positioning. David Blood, President of Generation Investment Management The hype is in full force Your suppliers and partners problems are yours The role of PLM Sustainability translated into product design goals and constraints Design for sustainability Alternative designs for sustainability alternatives 2008 Manufacturing Insights, an IDC company. All rights reserved. 16

18 Essential Guidance and Summary Advice for Manufacturing Companies Accelerate investments that improve capacity of decision making Assure that information technology investments are adequate to support emerging issues like sustainability, aging workforce, and M2M Watch for highly technical topics that may hide process challenges and longterm business risks Advice for Technology Providers Demonstrate PLM process vision and technology leadership that support global decision-making Improve functionality that has immediate and demonstrable value in realworld applications Reduce product fragmentation, especially in heterogeneous IT environment 2008 Manufacturing Insights, an IDC company. All rights reserved. 17

19 Related Reports and LIVE Questions Worldwide Product Life-Cycle Strategies 2008 Top 10 Predictions Worldwide Manufacturing 2008 Top 10 Predictions Engineering-Oriented Value Chains Industry Outlook and 2008 Budget Guide The Next Generation of Product Life-Cycle Management - Driving Better Product Decisions Which Way Is Up? More Consolidation in PLM Machine to Machine (M2M) Communication Technology Landscape and Value Chain Overview Can Manufacturers Stop the Knowledge Exodus? How to Sneak Behind Your CIO's Back The Aging/Emerging Dynamic jbarkai@idc.com 2008 Manufacturing Insights, an IDC company. All rights reserved. 18

20 As a Reminder Top 10 Webcast EMEA Supply Chain Top 10 Predictions 2008 February 19, 2008 Join Pierfrancesco Manenti, Research Director, EMEA, as he unveils the 2008 predictions for Europe that encompass topics such as Demand Visibility, Agility, Manufacturing Offshoring, Risk Management, Aftermarket Services, RFID, and SOA to name a few. Top 10 PLM Slides will be available within 24 hours will be sent with URL Link 2008 Manufacturing Insights, an IDC company. All rights reserved. 19

21 Upcoming Events NASSCOM 2008 India Leadership Forum February 13-15, 2008, Mumbai, India Join Bob Parker at one of the most respected events across the world, which is now in its 16th year. Warranty Chain Management Conference March 4-6, 2008, San Diego Join Joe Barkai, at this industry event for an informative session about IT Investments In Service, Repair and Warranty Management Operations. Industry Insights '08 March 10, 2008, San Jose Join Bob Parker as he leads a discussion on go-to-market strategies across the various segments of manufacturing. Service Parts Inventory Management - Optimizing the Service Supply Chain to Increase Customer Satisfaction and Profitability March 31 - April 2, 2008, The Gleacher Center, Chicago, IL Join Joe Barkai, as he presents a keynote on Wed., April 2 on "How Emerging Trends Impact Repair and Service Parts Operations" Manufacturing Insights, an IDC company. All rights reserved. 20