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Project Engaging In Product Lifecycle Management (PLM)
Traditional manufacturing processes were developed during a time when no single company could account for every aspect of a product's creation. Even though many items, such as automobiles, began life being developed and manufactured by an individual organization, the questions of raw materials, distribution and eventual sale were often solved by different businesses.
Today's unprecedented level of connectivity that the internet and sophisticated software solutions make available offers enterprises the chance to exert total control over the production process. Enterprise resource planning allows companies to engage in product lifecycle management (PLM). This business model makes it possible for a single company to maintain authority over each step in a product's creation.
Some organizations are content to simply generate products and services while leaving the underlying information about what they represent to marketing specialists and sales associates. In a PLM-oriented process, such ideas begin at conception and are carried through from the very beginning. While there may be some streamlining along the way, ultimately the ideas that guide the eventual deployment of products will be created before they're even made. Enterprise resource planning helps to facilitate this by maintaining information vital to these steps throughout an entire process.
Design & Manufacture
Very few items are ever made without some changes that are made to their eventual designs. However, PLM practices help to minimize the necessity for these alterations. An organization oriented in this way will, in theory, spend as much time as possible on the earliest steps so that eventual execution can be performed flawlessly. Therefore, when it comes time to begin production of a product or to begin implementing a service, most of the work has already been done. This makes enormous savings possible and prevents problems from arising later in the process.
Service & Disposal
Creating a device or object for which there is a great deal of demand forces enterprises to determine which sales organizations or retail outlets will ultimately distribute their creations. Following a PLM model means that such considerations, once more, were made in the planning stages and require only their execution rather than their selection. Having a contract or agreement in place at early stages allows for streamlined deployment and instantaneous profits, in contrast with a period of uncertainty and losses.
Originally published by The Sage ERP Team on 9/21/2011