observation

First of all happy new year to all of you. As there is no “End of the World”  risk anymore in the near future , we can start looking forward and set our goals for the next 5 years or is it a 7-years plan Oleg ?.

Christmas, the moment the light returns on the Northern hemisphere, plus the food , cycling and the preparations for the next Product Innovation conference in Berlin were the drivers for this blog post.

The title might give you the impression that it is an IQ-quiz: “Which word does not fit in this sequence”?  Well, It’s not, they are all related.  Let’s put them in a chronological order.

Frogs

frogFrogs existed first, and were exploring the world before us humans.  Paleontologists assume they had no notion of what was global.  In their world it was probably a few ponds in size.  For certain, they did not have anything to do with innovation.  At that time, survival depended on the slow process of evolution.

Millions of years later, the first Homos appeared on the earth surface;  Homo Sapiens, Homo Erectus, Homo Ludens and perhaps more.  They all had something in common: Instead of waiting for the evolution which was ongoing, they started in parallel to innovate.  First by walking upright, using a more advanced language to communicate and learning to have tools to achieve more.  Their world was still within a reasonable walking distance and probably they started to eat frogs.

Human evolution

This evolution continued for thousands of years.  Human beings started to spread around the world and in waves they brought innovation. They built stone temples, learned to sail, discovered gunpowder, electricity, the universe, the internet and more.  It is interesting to see that every time a major innovation was born, these innovators enriched their region in wealth and culture, using their innovation as a competitive advantage to dominate their neighbors.

In many cases 1000 years later, this innovation became a commodity and other civilizations stood up with their innovation and dominated their regional environment which became bigger and bigger in size.  Where possible they made use of the cheap resources (modern word for what was initially called slaves) to enrich their civilization.  For certain, the most civilized were eating frogs!

Market expansion – innovation pace

During the last century, the pace of innovation went faster and faster.  New ways of communication and transportation became available and affordable, which made it impossible for innovations to stay within a specific civilization. Innovation became available for everyone around the world and the domination shifted towards companies and markets.

SNAGHTML4a560dcCompanies with a strategy to innovate, discovered that there were new ways needed to respond faster than before to market opportunities.  This was the driving force behind PDM, as an first attempt to get a better grip and understanding of their fast evolving, more complex products, that require more and more global collaboration between design teams.

PDM is now accepted as critical by all manufacturing companies around the world, to guarantee quality and efficiency.  Customer focus became the next demand from the market and interestingly enough, the demand for frogs decreased.

However this wave of innovation was followed by a wave with even greater impact on the global society.  New technologies, the availability of internet and social media, suddenly changed society. Combined with the financial crisis in the US and Europe, it became clear that the way we worked in the past is no longer the way to survive in the future.

Faster and global

plm_txtPLM was introduced early this century as a new strategy to become more customer-centric, being able to respond faster and better to market demands by bringing innovation to the market before the competition. PLM requires a different approach by companies to work internally and interact with the (global) outside world.  The need to implement the PLM vision requires change and as it cannot be considered as an evolutionary process over several generations, it will be a business change. However, in general, human beings do not like rapid change.  Here the frogs come back into the picture, now as the boiling frog metaphor.

It is based on 19th century anecdote describing a frog slowly being boiled alive.  The premise is that if a frog is placed in boiling water, it will jump out, but if it is placed in cold water that is slowly heated, it will not perceive the danger and will be cooked to death.  The story is often used as a metaphor for the inability of people to react to significant changes that occur gradually.  This metaphor is very applicable for the classical approach companies bring their products to the market, where innovation is more a lucky coincidence than a result of a strategy.

Here it all comes together again.

marketleaderInnovation is the only way for companies to avoid becoming a commodity – not able to differentiate for your potential customers.  Now the title of this post should be clear: “Do not be a boiling frog, use PLM to support your innovation and become available for the global market”

As the new year has started and it is still time to extend your good intentions, add Innovation, PLM and Change to your survival list.

I look forward to your comments and hope to discuss with you the relation between PLM and Innovation during the upcoming Product Innovation event in Berlin, where I present a session with the title: “PLM loves Innovation ?”

(when you know me, you know the answer, but there are always surprises)

image

About these ads