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Product Life Cycle Management (PLM) : Unit 1: Introduction To PLM
Product Life Cycle Management (PLM) : Unit 1: Introduction To PLM
Product Life Cycle Management (PLM) : Unit 1: Introduction To PLM
Introduction:
Life cycle processes in todays networked world, means bringing new products to market with less expenditure of time
and effort. PLM Product Life cycle Management and Product Data Management [PDM] are the useful tools for
controlling product-related information as well as the lifecycle of a product.
The two acronyms PDM and PLM are closely associated; the main difference is one of scope and
purpose. Whereas PDM is mainly a set of tools and methods aimed at efficiently managing product data, PLM
is a holistic approach that uses a wide range of different concepts, technologies, and tools, which extend to
groups beyond the functions of a company or even a supply network in order to manage and control the
lifecycle of a product. Product life cycle considers the profitability of the product of during its life cycle, where
traditionally products are evaluated on yearly basis which will help in decision making. Product life cycle
recognizes the behavior of the products at various stages of its life cycle. Each product has it own life cycles.
Ex, binoculars have very long product life cycle while Toys have very short product life cycle.
Definition of PLM:
In industry, Product Lifecycle Management (PLM) is defined as the process of managing the entire
lifecycle of a product from its conception, through design and manufacture, to service and disposal. PLM
integrates people, data, processes and business systems and provides a product information backbone for
Product Lifecycle Management makes it possible to command the whole lifespan of a product and the
information connected with it. Efficient product lifecycle management enables companies to compete
successfully in international and global markets. Also PLM manages the activities of a companys product all
the way across its life cycle in most effective way and it enables the company to take control of their product.
PLM offers transparency about what is happening over the product life cycle and offers many ways to solve the
problem in the company.
The Modern PLM system capabilities include workflow, program management, and project control
features that standardize, automate, and speed up operations. Web based systems enable companies easily to
connect their globally dispersed facilities with each other and with outside organizations such as suppliers,
partners, and even customers. PLM is a collaborative backbone allowing people throughout extended
enterprises to work together more effectively.
Therefore the core of product lifecycle management is the creation, preservation and storage of
information relating to the companys products and activities, in order to ensure the fast, easy and trouble-free
finding, refining, distribution and reutilization of the data required for daily operations
The product life cycle describes the sales pattern of a product over time. Generally, the time span begins with
product introduction and ends with its obsolescence and replacement. While the form of the life cycle is fairly
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Asst.Professor
Vidyavardhaka College of Engineering Mysore
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standard, it is subject to variations. The concept underlying the premise of product life cycle is that all products
pass through the stages outlined below
The four major stages of the product life cycle are as follows:-
1) Development/ Introduction Stage
2) Growth stage
3) Maturity stage
4) Decline stage
Introduction-Stage
At this stage the product is new to the market and few potential customers are aware with the existence of
product. The price is generally high. The sales of the product are low or may be restricted to early adopters.
Profits are often low or losses are being made, this is because of the high advertising cost and repayment of
developmental cost.
At the introductory stage:-
The product is unknown,
The price is generally high,
Growth-Stage
At this stage the product is becoming more widely known and acceptable in the market. Marketing is done to
strengthen brand and develop an image for the product. Prices may start to fall as competitors enter the market.
With the increase in sales, profit may start to be earned, but advertising cost remains high.
At the growth stage:-
The product is more widely known and consumed,
The sales volume increases,
Maturity-Stage
At this stage the product is competing with alternatives. Sales and profits are at their peak. With the increases in
competition the price reaches to its lowest point. Advertising is done to reinforce the product image in the
consumer's minds to increase repeat purchases.
At maturity stage:-
The product is competing with alternatives,
The sales are at their peak,
Decline-Stage
At this stage product popularity is decreasing, People starts moving towards new introduced products as a result
sales start to fall fast and product range is reduced. The product faces reduced competition as many players have
left the market and it is expected that new competitor will enter the market.
At decline stage:-
The product faces reduced competition,
The sales volume reduces,
To calculate or measure at what stage of its life cycle a product is at in the given market, the following
parameters needs to be measured and monitored:
Features of PLM
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Vidyavardhaka College of Engineering Mysore
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a) Item management one of the basic functions of a PLM system is the management of items. The system
controls the information on the item and the status of the item as well as processes related to the creation
and maintenance of items.
b) Product structure management and maintenance the PLM system identifies individual information and
its connections to other pieces of information with the help of the product structure, which consists of
items hierarchically connected together.
c) User privilege management the PLM system is used to define information access and maintenance rights.
The PLM system defines the people who can create new information or make, check and accept changes, and
those who are allowed only to view the information or documents in the system.
d) Maintenance of the state or status of documents and items the system maintains information about the state
and version (e.g. sketch, draft, accepted, distributed, obsolete)of each document and item, and about changes
made to them: what, when, and by whom.
e) Information retrieval one of the main tasks of a PLM system is information retrieval. PLM systems
intensify and facilitate the retrieval of information so that:
It is possible to utilize existing information better than before when creating new information. All the existing
information on a given subject, such as a particular product, can be easily accessed: documents, components,
perhaps a design solution of proven quality.
It is easy to find out how a given piece of information is related to other information, for example to find out
where else a given design solution, part or component is used. (This is very important for change management
when implementing changes in this piece of information)
f) Change management is a tool with which the latest valid information about changes, such as version changes
to a product or component, are recorded in documents or items, which are then made available in the right place
and at the right time.
g) Configuration management varying the physical properties of similar products and switching
interchangeable assemblages or components. Configuration management allows products to be customized
according to customer wishes.
h) The management of tasks (messages), also known as workflow management, is one of the basic properties of
a PLM system. The communication and division of tasks is carried out through graphical illustration of the
chain of tasks and by e-mail or a task list. The management of tasks makes possible the radical intensification of
communication in the organization, especially in a decentralized even worldwide environment.
i) File/document management involves index information on files contained in the system. In other words, it is a
question of metadata information about what information is located where.
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Asst.Professor
Vidyavardhaka College of Engineering Mysore
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j) Information loss during updating is avoided. The PLM system controls the copying of files and ensures that
the master copy is preserved until the files have been successfully updated.
l) History / System log a database of events which ensures that that all measures such as updating
documents or changing component items made within the sphere of PLM management can be tracked, if
necessary (Product process traceability).
Different ways to show where PLM can help a company to improve effectiveness, efficiency and control
throughout the entire product lifecycle, enabling it, for example, to
12. Ability to provide contract manufacturers with access to a centralized product record.
16. Delivers the required product at the required time in the required place
17. Provide maintenance information on line, with up-to-date documentation and service bulletins
18. Provide better product maintenance and service until the product is eventually recycled and disposed of in an
environmentally-sensitive manner.
Another way to understand the benefits of PLM is to focus on the revenue increases
Another way of understanding the benefits of PLM is to focus on the ways it helps cut costs. Examples include:
Reduce direct labor costs across the lifecycle, for example in engineering, manufacturing and the
workers waste a lot of time on data retrieval and management activities. PDM systems, which are
system components of PLM, can do this work for them, leaving them more time for Value-adding
activities. As a result, fewer specialists will be needed.
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Vidyavardhaka College of Engineering Mysore
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Reduce overhead labor costs (administrators, supervisors, clerks, managers, checkers, information
managers, data entry clerks, inspectors, documenters, BOM conversion staff, manufacturing clerks,
etc.). In an effective, joined-up PLM environment, a lot of the paper-shuffling, data re-entry, data
formatting, and administrative work that is currently carried out by many people across the lifecycle will
be eliminated. As a result, fewer people will be needed for these tasks.
Reduce material and energy consumption costs by use of optimized design, better decisions, more reuse,
and better purchasing. In the PLM environment, people will have better information, allowing them to
take better decisions that will lead to reduced manufacturing costs. Digitally simulating production
facilities and production processes for all the possible configurations of a new product will reduce costs
Reduce the cost of purchased designs and parts. The PLM system will provide more accurate and more
detailed information, allowing people to negotiate better prices for purchased products and services.
reduce the cost of quality (reduce scrap and rework, penalty costs, warranty costs, recall parts, erroneous
order and manufacture of parts, obsolete parts, product liability costs). The PLM system will reduce the
number of errors made along the marketing/engineering/manufacturing/delivery/service chain.
Reduce costs of storing information (e.g. reduced paper cost). Information will be stored on low-cost, compact
media rather than on paper.
Reduce costs of communicating information. Information will be transferred quickly and cheaply by electronic
means rather than by the slow and expensive transport of paper documents.
Reduce costs by providing a common IS framework to track the performance of activities in each phase of a
products lifecycle
Reduce the cost of service visits through knowledge of the exact configuration of the product.
Areas of PLM
Within PLM there are five primary areas;
1. Systems Engineering (SE)
2. Product and Portfolio Management (PPM)
3. Product Design (CAx)
4. Manufacturing Process Management (MPM)
5. Product Data Management (PDM)
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Asst.Professor
Vidyavardhaka College of Engineering Mysore
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Systems Engineering is focused on meeting all requirements, primary meeting customer needs,
and coordinating the systems design process by involving all relevant disciplines.
Product and Portfolio Management is focused on managing resource allocation, tracking
progress vs. plan for new product development projects that are in process (or in a holding
status). Portfolio management is a tool that assists management in tracking progress on new
products and making trade-off decisions when allocating scarce resources.
Product Design is the process of creating a new product to be sold by a business to its
customers.
Manufacturing Process Management is a collection of technologies and methods used to define
how products are to be manufactured.
Product Data Management is focused on capturing and maintaining information on products
and/or services through their development and useful life.
1) Outsourcing has led to long design and supply chains with the result that product development,
manufacturing and support activities are spread out over different organizations, often over different
continents. Managing them when they were in one company in one location was difficult enough,
managing them across an extended enterprise is many times more difficult.
2) The functionality of products goes on increasing, complicating their development and support.
4) Responsibilities and their replacement by numerous companies, contractors and subcontractors with
unclear relationships.
5) Competitive pressures result in less time being available for product development.
6) .Many companies now offer complete solutions, rather than individual products.
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Vidyavardhaka College of Engineering Mysore
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7) This adds a new layer of challenges. Solutions are more complex to develop and support than single
products.
8) Many more services are offered along with a product. Sometimes, it seems as if the services are more
important than the product. Developing and supporting these services may require additional skills.
9) Consumers want customized products which are much more difficult to develop and support than
standard products.
10) Consumers want more services not easy for organizations that only used to sell products.
11) Population trends, such as ageing in Western countries, lead to the need for new types of products.
12) Globalization has led to the availability of hundreds of millions of workers in Asia with wages far below
US levels. New approaches are needed to manage their efforts.
13) Increased environmental awareness leads to calls for reduced pollution from manufacturing and
logistics.
14) The rapid emergence of new technologies provides many opportunities but also the difficulties of
industrializing them and ensuring their safe use.
15) Sustainable development is needed to ensure resources are available for future generations which
mean companies have to take good care of existing resources.
16) Regulations, such as Directive 2002/96/EC of the European Parliament, which has, as a first priority, the
prevention of waste electrical and electronic equipment (WEEE), can lead to major changes in business
rules and models.
17) A Stock Exchange mentality, with managers more interested in quarterly results than in the long-term
well-being of their products and services.
19) The lifetime of some products is now so short, that the development of a future generation has to start
before the development of the previous generation has been finished.
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Asst.Professor
Vidyavardhaka College of Engineering Mysore
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20) Geopolitical developments such as the appearance of China as a major exporter of manufactured
goods, India as a leading producer of software and software developers, and Russia as a leading
producer of oil and gas lead to many changes.
Phases of PLM
Phase 1: Conceive
The first stage in idea is the definition of its requirements based on customer, company, market and
regulatory bodies viewpoints. From this a specification of the products major technical parameters can
be defined. Parallel to the requirements specification the initial concept design work is carried out
defining the visual aesthetics of the product together with its main functional aspects. For the Industrial
Design, Styling, work many different media are used from pencil and paper, clay models to 3D CAID
Computer-aided industrial design software.
Phase 2: Design
Describe, Define, Develop, Test, Analyze and Validate
This is where the detailed design and development of the products form starts, progressing to prototype
testing, through pilot release to full product launch. It can also involve redesign and ramp for
improvement to existing products as well as planned obsolescence. The main tool used for design and
development is CAD Computer-aided design. This can be simple 2D Drawing / Drafting or 3D
Parametric Feature Based Solid/Surface Modeling. Such software includes technology such as Hybrid
Modeling, Reverse Engineering, KBE (Knowledge-Based Engineering), NDT (Nondestructive testing),
and Assembly construction.
This step covers many engineering disciplines including: Mechanical, Electrical, Electronic, Software
(embedded), and domain-specific, such as Architectural, Aerospace, Automotive ... Along with the
actual creation of geometry there is the analysis of the components and product assemblies. Simulation,
validation and optimization tasks are carried out using CAE (Computer-aided engineering) software
either integrated in the CAD package or stand-alone. These are used to perform tasks such as:- Stress
analysis, FEA (Finite Element Analysis); Kinematics; Computational fluid dynamics (CFD); and
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mechanical event simulation (MES). CAQ (Computer-aided quality) is used for tasks such as
Dimensional Tolerance (engineering) Analysis. Another task performed at this stage is the sourcing of
bought out components, possibly with the aid of Procurement systems.
Phase 3: Realize
Manufacture, Make, Build, Procure, Produce, Sell and Deliver
Once the design of the products components is complete the method of manufacturing is defined. This
includes CAD tasks such as tool design; creation of CNC Machining instructions for the products parts
as well as tools to manufacture those parts, using integrated or separate CAM Computer-aided
manufacturing software. This will also involve analysis tools for process simulation for operations such
as casting, molding, and die press forming. Once the manufacturing method has been identified CPM
comes into play. This involves CAPE (Computer-aided Production Engineering) or CAP/CAPP
(Production Planning) tools for carrying out Factory, Plant and Facility Layout and Production
Simulation. For example: Press-Line Simulation; and Industrial Ergonomics; as well as tool selection
management. Once components are manufactured their geometrical form and size can be checked
against the original CAD data with the use of Computer Aided Inspection equipment and software.
Parallel to the engineering tasks, sales product configuration and marketing documentation work will be
taking place. This could include transferring engineering data (geometry and part list data) to a web
based sales configuration and other Desktop Publishing systems.
Phase 4: Service
Use, Operate, Maintain, Support, Sustain, Phase-out, Retire, Recycle and Disposal
The final phase of the lifecycle involves managing of in service information. Providing customers and
service engineers with support information for repair and maintenance, as well as waste
management/recycling information. This involves using such tools as Maintenance, Repair and
Operations Management (MRO) software
Components of PLM
Some of the components of PLM are:
a) Product data & Product b) Customers c) Product life cycle activities d)Organizational
Structure e) Human resource in product life cycle f) methods, techniques and methodologies
g) Processes f) components in life cycle
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a) Product data & Product: Product data is one of the components of PLM, but the product is the main focus of
PLM.without product the company doesnt exist and wont have any customers.
b) Customers
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Asst.Professor
Vidyavardhaka College of Engineering Mysore