Recently, I noticed I reduced my blogging activities as many topics have already been discussed and repeatably published without new content.

With the upcoming of Gen AI and ChatGPT, I believe my PLM feeds are flooded by AI-generated blog posts.

The ChatGPT option

Most companies are not frontrunners in using extremely modern PLM concepts, so you can type risk-free questions and get common-sense answers.

I just tried these five questions:

  1. Why do we need an MBOM in PLM, and which industries benefit the most?
  2. What is the difference between a PLM system and a PLM strategy?
  3. Why do so many PLM projects fail?
  4. Why do so many ERP projects fail?
  5. What are the changes and benefits of a model-based approach to product lifecycle management?

Note: Questions 3 and 4 have almost similar causes and impacts, although slightly different,  which is to be expected given the scope of the domain.

All these questions provided enough information for a blog post based on the answer. This illustrates that if you are writing about what are current best practices in the field – stop writing – the knowledge is there.

PLM in the real life

Recently, I had several discussions about which skills a PLM expert should have or which topics a PLM project should address.

PLM for the individual

For the individual, there are often certifications to obtain. Roger Tempest has been fighting for PLM professional recognition through certification – a challenge due to the broad scope and possibilities. Read more about Roger’s work in this post: PLM is complex (and we have to accept it?)

PLM vendors and system integrators often certify their staff or resellers to guarantee the quality of their solution delivery. Potential topics will be missed as they do not fulfill the vendor’s or integrator’s business purpose.

Asking ChatGPT about the required skills for a PLM expert, these were the top 5 answers:

  1. Technical skills
  2. Domain Knowledge
  3. Analytical and Problem-Solving Skills
  4. Interpersonal and Management Skills
  5. Strategic Thinking

It was interesting to see the order proposed by ChatGPT. Fist the tools (technology), then the processes (domain knowledge / analytical thinking), and last the people and business (strategy and interpersonal and management skills) It is hard to find individuals with all these skills in a single person.

Although we want people to be that broad in their skills, job offerings are mainly looking for the expert in one domain, be it strategy, communication, industry or technology. To get an impression of the skills read my PLM and Education concluding blog post.

Now, let’s see what it means for an organization.

PLM for the organization

In this area, one of the most consistent frameworks I have seen over time is CIMdata‘s Critical Dozen. Although they refer less to skills and more to trends and enablers, a company should invest in – educate people & build skills – to support a successful digital transformation in the PLM domain.

Oleg Shilovitsky’s recent blog post, The 12 “P” s of PLM Explained by Role: How to Make PLM More Than Just a Buzzword describes in an AI manner the various aspects of the term PLM, using 12 P**-words, reacting to Lionel Grealou’ s post: Making PLM Great Again

The challenge I see with these types of posts is: “OK, what to do now? Where to start?”

I believe where to start at the first place is a commonly agreed topic.

Everything starts from having a purpose and a vision. And this vision should be supported by a motivating story about the WHY that inspires everyone.

It is teamwork to define such a strategy, communicate it through a compelling story and make it personal. An excellent book to read is Make it personal from Dr. Cara Antoine – click on the image to discover the content and find my review why I believe this book is so compelling.

An important reason why we have to make transformations personal is because we are dealing first of all with human beings. And human beings are driven by emotions first even before ratio kicks in. We see it everywhere and unfortunately also in politics.

The HOW from real-life

This question cannot be answered by external PLM vendors, consultants or system integrators. Forget the Out-of-the-Box templates or the industry best practices (from the past), but start from your company’s culture and vision, introducing step-by-step new technologies, ways of working and business models to move towards the company’s vision target.

Building the HOW  is not an easy journey, and to illustrate the variety of skills needed to be successful, I worked with Share PLM on their Series 2 podcast. You can find the complete overview here. There is one more to come to conclude this year.

Our focus was to speak only with PLM experts from the field, understanding their day-to-day challenges with a focus on HOW they did it and WHAT they learned.

And this is what we learned:

Unveiling FLSmidth’s Industrial Equipment PLM Transformation: From Projects to Products

It was our first episode of Series 2, and we spoke with Johan Mikkelä, Head of the PLM Solution Architecture at FLSmidth.

FLSmidth provides the global mining and cement industries with equipment and services, which is very much an ETO business moving towards CTO.

We discussed their Industrial Equipment PLM Transformation and the impact it has made.

Start With People: ABB’s Engineering Approach to Digital Transformation

We spoke with Issam Darraj, who shared his thoughts on human-centric digitalization. Issam talks us through ABB’s engineering perspective on driving transformation and discusses the importance of focusing on your people. Our favorite quote:

To grow, you need to focus on your people. If your people are happy, you will automatically grow. If your people are unhappy, they will leave you or work against you.

Enabling change: Exploring the human side of digital transformations

We spoke with Antonio Casaschi as he shared his thoughts on the human side of digital transformation.  When discussing the PLM expert, he agrees it is difficult. Our favorite part here:

“I see a PLM expert as someone with a lot of experience in organizational change management. Of course, maybe people with a different background can see a PLM expert with someone with a lot of knowledge of how you develop products, all the best practices around products, etc. We first need to agree on what a PLM expert is, and then we can agree on how you become an expert in such a domain.”

Revolutionizing PLM: Insights from Yousef Hooshmand

With Dr. Yousef Hooshmand, writer of the paper: From a Monolithic PLM Landscape to a Federated Domain and
Data Mesh,  with over 15 years of experience in the PLM domain, currently PLM Lead at NIO, we discussed the complexity of digital transformation in the PLM domain and How to deal with legacy, meanwhile implementing a user-centric, data-driven future.

My favorite quote: The End of Single Source of Truth, now it is about The nearest Source of Truth and Single Source of Change.

Steadfast Consistency: Delving into Configuration Management with Martijn Dullaart

Martijn Dullaart, who is the man behind the blog MDUX: The Future of CM and author of the book The Essential Guide to Part Re-Identification: Unleash the Power of Interchangeability and Traceability, has been active both in the PLM and CM domain and with Martijn the similarities and differences between PLM and CM and why organizations need to be educated on the topic of CM

The ROI of Digitalization: A Deep Dive into Business Value with Susanna Maëntausta

With Susanna Maëntausta, we discussed how to implement PLM in non-traditional manufacturing industries, such as the chemical and pharmaceutical industries.

Susanna teaches us to ensure PLM projects are value-driven, connecting business objectives and KPIs to the implementation and execution steps in the field. Susanna is highly skilled in connecting people at any level of the organization.

Narratives of Change: Grundfos Transformation Tales with Björn Axling

As Head of PLM and part of the Group Innovation management team at Grundfos, Bjorn Axling aims to drive a Group-wide, cross-functional transformation into more innovative, more efficient, and data-driven ways of working through the product lifecycle from ideation to end-of-life.

In this episode, you will learn all the various aspects that come together when leading such a transformation in terms of culture, people, communication, and modern technology.

The Next Lane: Marel and the Digital Product Highway with Roger Kabo

With Roger Kabo, we discussed the steps needed to replace a legacy PLM environment and be open to a modern, federated, and data-driven future.

Step 1: Start with the end in mind. Every successful business starts with a clear and compelling vision. Your vision should be specific, inspiring, and something your team can rally behind.

Next, build on value and do it step by step.

How do you manage technology and data when you have a diverse product portfolio?

We talked with Jim van Oss, the former CIO of Moog Inc., for a deep dive into the fascinating world of technology transformations.

Key Takeaway: Evolving technology requires a clear strategy!

Jim underscores the importance of having a north star to guide your technological advancements, ensuring you remain focused and adaptable in an ever-changing landscape.

Diverse Products, Unified Systems: MBSE Insights with Max Gravel from Moog

We discussed the future of the Model-Based approaches with Max Gravel – MBD at Gulfstream and MBSE at Moog.

Max Gravel, Manager of Model-Based Engineering at Moog Inc., who is also active in modern CM, emphasizes that understanding your company’s goals with MBD is crucial.

There’s no one-size-fits-all solution: it’s about tailoring the strategy to drive real value for your business. The tools are available, but the key lies in addressing the right questions and focusing on what matters most. A great, motivating story containing all the aspects of digital transformation in the PLM domain/

Customer-First PLM: Insights on Digital Transformation and Leadership

With Helene Arlander, who has been involved in big transformation projects in the telecom industry. Starting from a complex legacy environment, implementing new data-driven approaches. We discussed the importance of managing product portfolios end-to-end and the leadership strategies needed for engaging people in charge.

We also discussed the role of AI in shaping the future of PLM and the importance of vision, diverse skill sets, and teamwork in transformations.

Conclusion

I believe the time of traditional blogging is over – current PLM concepts and issues can be easily queried by using ChatGPT-like solutions. The fundamental understanding of what you can do now comes from learning and listening to people, not as fast as a TikTok video or Insta message. For me, a podcast is a comfortable method of holistic learning.

Let us know what you think and who should be in Season 3

And for my friends in the United States – Happy Thanksgiving and think about the day after ……..

Due to other activities, I could not immediately share the second part of the review related to the PLM Roadmap / PDT Europe conference, held on 23-24 October in Gothenburg. You can read my first post, mainly about Day 1, here: The weekend after PLM Roadmap/PDT Europe 2024.

There were several interesting sessions which I will not mention here as I want to focus on forward-looking topics with a mix of (federated) data-driven PLM environments and the applicability of AI, staying around 1500 words.

R-evolutionizing PLM and ERP and Heliple

Cristina Paniagua from the Luleå University of Technology closed the first day of the conference, giving us food for thought to discuss over dinner. Her session, describing the Arrowhead fPTN project,  fitted nicely with the concepts of the Federated PLM Heliple project presented by Erik Herzog also on Day 2.

They are both research products related to the future state of a digital enterprise. Therefore, it makes sense to treat them together.

Cristina’s session started with sharing the challenges of traditional PLM and ERP systems:

 

These statements align with the drivers of the Heliple project. The PLM and ERP systems—Systems of Record—provide baselines and traceability. However, Systems of Record have not historically been designed to support real-time collaboration or to create an attractive user experience.

The Heliple project focuses on connecting various modules—the horizontal bars—for systems engineering, hardware engineering, etc., as real-time collaboration environments that can be highly customized and replaceable if needed. The Heliple project explored the usage of OSLC to connect these modules, the Systems of Engagement, with the Systems of Record.

By using Lynxwork as a low-code wrapper to develop the OSLC connections and map them to the needed business scenarios, the team concluded that this approach is affordable for businesses.

Now, the Heliple team is aiming to expand their research with industry scale validation through the Demoiple project (Validate that the Heliple-2 technology can be implemented and accredited in Saab Aeronautics’ operational IT) combined with the Nextiple project, where they will investigate the role of heterogeneous information models/ontologies for heterogeneous analysis.

If you are interested in participating in Nextiple, don’t hesitate to contact Erik Herzog.

Christina’s Arrowhead flexible Production Value Network(fPVN) project aims to provide autonomous and evolvable information interoperability through machine-interpretable content for fPVN stakeholders. In less academic words, building a digital data-driven infrastructure.

The resulting technology is projected to impact manufacturing productivity and flexibility substantially.

The exciting starting point of the Arrowhead project is that it wants to use existing standards and systems as a foundation and, on top of that, create a business and user-oriented layer, using modern technologies such as micro-services to support real-time processing and semantic technologies, ontologies, system modeling, and AI for data translations and learning—a much broader and ambitious scope than the Heliple project.

I believe that in our PLM domain, this resonates with actual discussions you will find on LinkedIn, too. @Oleg Shilovitsky, @Dr. Yousef Hooshmand, @Prof. Dr. Jörg W. Fischer and Martin Eigner are a few of them steering these discussions. I consider it a perfect match for one of the images I shared about the future the digital enterprise.

Potentially, there are five platforms with their own internal ways of working, a mix of systems of record and systems of engagement, supported by an overlay of several Systems of Engagement environments.

I previously described these dedicated environments, e.g., OpenBOM, Colab, Partful, and Authentise. These solutions could also be dedicated apps supporting a specific ecosystem role.

See below my artist’s impression of how a Service Engineer would work in its app connected to CRM, PLM and ERP platform datasets:

The exciting part of the Arrowhead fPVN project is that it wants to explore the interactions between systems and user roles based on existing mature standards instead of leaving the connections to software developers.

Christina mentioned some of these standards below:

I greatly support this approach as, historically, much knowledge and effort has been put into developing standards to support interoperability. Maybe not in real-time, but the embedded knowledge in these standards will speed up the broader usage. Therefore, I concur with the concluding slide:

A final comment: Industrial users must push for these standards if they do not want a future vendor lock-in. Vendors will do what the majority of their customers ask for but will also keep their customers’ data in proprietary formats to prevent them from switching to another system.

 

Accelerated Product Development Enabled by Digitalization

The keynote session on Day 2, delivered by Uyiosa Abusomwan, Ph.D., Senior Global Technology Manager – Digital Engineering at Eaton, was a visionary story about the future of engineering.

With its broad range of products, Eaton is exploring new, innovative ways to accelerate product design by modeling the design process and applying AI to narrow design decisions and customer-specific engineering work. The picture below shows the areas of attention needed to model the design processes. Uyiosa mentioned the significant beneficial results that have already been reached.

Together with generative design, Eaton works towards modern digital engineering processes built on models and knowledge. His session was complementary to the Heliple and Arrowhead story. To reach such a contemporary design engineering environment, it must be data-driven and built upon open PLM and software components to fully use AI and automation.

 

Next Gen” Life Cycle Management in Next-Gen Nuclear Power and LTO Legacy Plants

Kent Freeland‘s presentation was a trip into memory land when he discussed the issues with Long Term Operations of legacy nuclear plants.

I spent several years in Ringhals (Sweden) discussing and piloting the setup of a PLM front-end next to the MRO (Maintenance Repair Overhaul) system. As nuclear plants developed in the sixties, they required a longer than anticipated lifecycle, with access to the right design and operational data; maintenance and upgrade changes in the plant needed to be planned and controlled. The design data is often lacking; it resides at the EPC or has been stored in a document management system with limited retrieval capabilities.

See also my 2019 post: How PLM, ALM, and BIM converge thanks to the digital twin.

Kent described these experienced challenges – we must have worked in parallel universes – that now, for the future, we need a digitally connected infrastructure for both plant design and maintenance artifacts, as envisioned below:

The solution reminded me of a lecture I saw at the PI PLMx 2019 conference, where the Swedish ESS facility demonstrated its Asset Lifecycle Data Management solution based on the 3DEXPERIENCE platform.

You can still find the presentation here: Henrik Lindblad Ola Nanzell ESS – Enabling Predictive Maintenance Through PLM & IIOT.

Also, Kent focused on the relevant standards to support a “Single Source of Truth” concept, where I would say after all the federated PLM discussions, I would go for:

“The nearest source of truth and a single source of Change”

assuming this makes more sense in a digitally connected enterprise.

 

Why do you need to be SMART when contracting for information?

Rob Bodington‘s presentation was complementary to Kent Freeland’s presentation. Ron, a technical fellow at Eurostep, described the challenge of information acquisition when working with large assets that require access to the correct data once the asset is in operation. The large asset could be a nuclear plant or an aircraft carrier.

In the ideal world, the asset owner wants to have a digital twin of the asset fed by different data sources through a digital thread. Of course, this environment will only be reliable when accurate data is used and presented.

Getting accurate data starts with the information acquisition process, and Rob explained that this needed to be done SMARTly – see the image below:

Rob zoomed in on the SMART keywords and the challenge the various standards provide to make the information SMARTly accessible, like the ISO 10303 / PLCS standard, the CFIHOS exchange standard and more. And then there is the ISO 8000 standard about data quality.

Click on the image to get smart.

Rob believes that AI might be the silver bullet as it might help understand the data quality, ontology and context of the data and even improve contracting, generating data clauses for contracting….

 

And there was a lot of AI ….

There was a dazzling presentation from Gary Langridge, engineering manager at Ocado, explaining their Ocado Smart Platform (OSP), which leverages AI, robotics, and automation to tackle the challenges of online grocery and allow their clients to excel in performance and customer responsiveness.

There was a significant AI component in his presentation, and if you are tired of reading, watch this video


But here was more AI – from the 25 sessions in this conference, 19 of them mentioned the potential or usage of AI somewhere in their speech – this is more than 75 %!

There was a dedicated closing panel discussion related to the real business value of Artificial Intelligence in the PLM domain, moderated by Peter Bilello and answered by selected speakers from the conference, Sandeep Natu (CIMdata), Lars Fossum (SAP), Diana Goenage (Dassault Systemes) and Uyiosa Abusomwan (Eaton).

The discussion was realistic and helpful for the audience. It is clear that to reap the benefits, companies must explore the technology and use it to create valuable business scenarios. One could argue that many AI tools are already available, but the challenge remains that they have to run on reliable data. The data foundation is crucial for a successful outcome.

An interesting point in the discussion was the statement from Diane Goenage, who repeatedly warned that using LLM-based solutions has an environmental impact due to the amount of energy they consume.

We have a similar debate in the Netherlands – do we want the wind energy consumed by data centers (the big tech companies with a minimum workforce in the Netherlands), or should the Dutch citizens benefit from renewable energy resources?

 

Conclusion

There were even more interesting presentations during these two days, and you might have noticed that I did not advertise my content. This is because I have already reached 1600 words, but I also want to spend more time on the content separately.

It was about PLM and Sustainability, a topic often covered in this conference. Unfortunately, only 25 % of the presentations touched on sustainability, and AI over-hypes the topic.

Hopefully, it is not a sign of the time?

 

I am sharing another follow-up interview about PLM and Sustainability with a software vendor or implementer. Last year, in November 2023, Klaus Brettschneider and Jos Voskuil from the PLM Green Global Alliance core team spoke with Transition Technologies PSC about their GreenPLM offering and their first experiences in the field.

As we noticed with most first interviews, sustainability was a topic of discussion in the PLM domain, but it was still in the early discovery phases for all of us.

Last week, we spoke again with Erik Rieger and Rafał Witkowski, both working for Transition Technologies PSC, a global IT solution integrator in the PLM world known for their PTC implementation services. The exciting part of this discussion is that system integrators are usually more directly connected to their customers in the field and, therefore, can be the source of understanding of what is happening.

 

ecoPLM and more

Where Erik is a and he is  a long term PLM expert and Rafal is the PLM Practice Lead for Industrial Sustainability. In the interview below they shared their experiences with a first implementation pilot in the field, the value of their _ecoPLM offering in the context of the broader PTC portfolio. And of course we discussed topics closely related to these points and put them into a broader context of sustainably.

Enjoy the 34 minutes discussion and you are always welcome to comment or start a discussion with us.

The slides shown in this presentation and some more can be downloaded HERE.

 

What I learned

  • The GreenPLM offering has changed its name into ecoPLM as TT PSC customers are focusing on developing sustainable products, with currently supporting designer to understand the carbon footprint of their products.
  • They are actually in a MVP approach with a Tier 1 automotive supplier to validate and improve their solution and more customers are adding Design for Sustainability to their objective, besides Time to Market, Quality and Cost.
  • Erik will provide a keynote speech at the Green PLM conference on November 14th in Berlin – The conference is targeting a German speaking audience although the papers are in English. You can still register and find more info here 
  • TT PSC is one of the partners completing the PTC sustainability offering and working close with their product management.
  • A customer quote: “Sustainability makes PLM sexy again”

Want to learn more?

Here are some links related to the topics discussed in our meeting:

 

Conclusions

We are making great progress in the support to design and deliver more sustainable products – sustainability goes beyond marketing as Rafal Witkowski  mentioned – the journey has started. What do you see in your company?

Next week – week 46 – more news from Day 2 from the #plmroadmappdt conference

 

 

It was a great pleasure to attend my favorite vendor-neutral PLM conference this year in Gothenburg—approximately 150 attendees, where most have expertise in the PLM domain.

We had the opportunity to learn new trends, discuss reality, and meet our peers.

The theme of the conference was:Value Drivers for Digitalization of the Product Lifecycle, a topic I have been discussing in my recent blog posts, as we need help and educate companies to understand the importance of digitalization for their business.

The two-day conference covered various lectures – view the agenda here – and of course the topic of AI was part of half of the lectures, giving the attendees a touch of reality.

In this first post, I will cover the main highlight of Day 1.

 

Value Drivers for Digitalization of the Product Lifecycle

As usual, the conference started with Peter Bilello, president & CEO of CIMdata, stressing again that when implementing a PLM strategy, the maximum result comes from a holistic approach, meaning look at the big picture, don’t just focus on one topic.

It was interesting to see again the classic graph (below) explaining the benefits of the end-to-end approach – I believe it is still valid for most companies; however, as I shared in my session the next day, implementing concepts of a Products Service System will require more a DevOp type of graph (more next week).

Next, Peter went through the CIMdata’s critical dozen with some updates. You can look at the updated 2024 image here.

Some of the changes: Digital Thread and Digital Twin are merged– as Digital Twins do not run on documents. And instead of focusing on Artificial Intelligence only,  CIMdata introduced Augmented Intelligence as we should also consider solutions that augment human activities, not just replace them.

Peter also shared the results of a recent PLM survey where companies were asked about their main motivation for PLM investments. I found the result a little discouraging for several reasons:

The number one topic is still faster, cheaper and better – almost 65 % of the respondents see this as their priority. This number one topic illustrates that Sustainability has not reached the level of urgency, and perhaps the topic can be found in standards compliance.

Many of the companies with Sustainability in their mission should understand that a digital PLM infrastructure is the foundation for most initiatives, like Lifecycle Analysis (LCA). Sustainability is more than part of standards compliance, if it was mentioned anyway.

The second disappointing observation for the understanding of PLM is that customer support is mentioned only by 15 % of the companies. Again, connecting your products to your customers is the first step to a DevOp approach, and you need to be able to optimize your product offering to what the customer really wants.

 

Digital Transformation of the Value Chain in Pharma

The second keynote was from Anders Romare, Chief Digital and Information Officer at Novo Nordisk. Anders has been participating in the PDT conference in the past. See my 2016 PLM Roadmap/PDT Europe post, where Anders presented on behalf of Airbus: Digital Transformation through an e2e PLM backbone.

Anders started by sharing some of the main characteristics of the companies he has been working for. Volvo, Airbus and now Novo Nordisk. It is interesting to compare these characteristics as they say a lot about the industry’s focus. See below:

Anders is now responsible for digital transformation in Novo Nordisk, which is a challenge in a heavily regulated industry.

One of the focus areas for Novo Nordisk in 2024 is also Artificial Intelligence, as you can see from the image to the left (click on it for the details).

As many others in this conference, Anders mentioned AI can only be applicable when it runs on top of accurate data.

Understanding the potential of AI, they identified 59 areas where AI can create value for the business, and it is interesting to compare the traditional PLM curve Peter shared in his session with the potential AI-enabled drug-development curve as presented by Anders below:

Next, Anders shared some of the example cases of this exploration, and if you are interested in the details, visit their tech.life site.

When talking about the engineering framing of PLM, it was interesting to learn from Anders, who had a long history in PLM before Novo Nordisk, when he replied to a question from the audience that he would never talk about PLM at the management level. It’s very much aligned with my Don’t mention the P** word post.

 

A Strategy for the Management of Large Enterprise PLM Platforms

One of the highlights for me on Day 1 was Jorgen Dahl‘s presentation. Jorgen, a senior PLM director at GE Aerospace, shared their story towards a single PLM approach needed due to changes in businesses. And addressing the need for a digital thread also comes with an increased need for uptime.

I like his strategy to execution approach, as shown in the image below, as it contains the most important topics. The business vision and understanding, the imagination of the end status and What must be True?

In my experience, the three blocks are iteratively connected. When describing the strategy, you might not be able to identify the required capabilities and management systems yet.

But then, when you start to imagine the ideal end state, you will have to consider them. And for companies, it is essential to be ambitious – or, as Jorgen stated, uncomfortable ambitious. Go for the 75 % to almost 100 % to be true. Also, asking What must be True is an excellent way to allow people to be involved and creatively explore the next steps.

Note: This approach does not provide all the details, as it will be a multiyear journey of learning and adjusting towards the future. Therefore, the strategy must be aligned with the culture to avoid continuous top-down governance of the details. In that context, Jorgen stated:

“Culture is what happens when you leave the room.”

It is a more positive statement than the famous Peter Drucker’s quote: “Culture eats strategy for breakfast.”

Jorgen’s concluding slide mentions potential common knowledge, although I believe the way Jorgen used the right easy-to-digest points will be helpful for all organizations to step back, look at their initiatives, and compare where they can improve.

 

 How a Business Capability Model and Application Portfolio Management Support Through Changing Times

Peter Vind‘s presentation was nicely connected to the presentation from Jorgen Dahl. Peter, who is an enterprise architect at Siemens Energy, started by explaining where the enterprise architect fits in an organization and comparing it to a city.

In his entertaining session, he mentioned he has to deal with the unicorns at the C-level, who, like politicians in a city, sometimes have the most “innovative” ideas – can they be realized?

Peter explained how they used Business Capability Modeling when Siemens Energy went through various business stages. First, the carve-out from Siemens AG and later the merger with Siemens Gamesa. Their challenge is to understand which capabilities remain, which are new or overlapping, both during the carve-out and merging process.

TIME explained

The business capability modeling leads to a classification of the applications used at different levels of the organization, such as customer-facing, operational, or supporting business capabilities.

Next, for the lifecycle of the applications, the TIME approach was used, meaning that each application was mapped to business fitness and technical fitness. Click on the diagram to see the details.

The result could look like the mapping shown below – a comprehensive overview of where the action is

It is a rational approach; however, Peter mentioned that we also should be aware of the HIPPOs in an organization. If there is a HiPPO (Highest Paid Person’s Opinion)  in play, you might face a political battle too.

It was a great educational session illustrating the need for an Enterprise Architect, the value of business capabilities modeling and the TIME concept.

 

And some more …

There were several other exciting presentations during day 1; however, as not all presentations are publicly available, I cannot discuss them in detail; I just looked at my notes.

Driving Trade Compliance and Efficiency

Peter Sandeck, Director of Project Management at TE Connectivity shared what they did to motivate engineers to endorse their Jurisdiction and Classification Assessment (JCA) process. Peter showed how, through a Minimal Viable Product (MVP) approach and listening to the end-users, they reached a higher Customer Satisfaction (CSAT) score after several iterations of the solution developed for the JCA process.

This approach is an excellent example of an agile method in which engineers are involved. My remaining question is still – are the same engineers in the short term also pushed to make lifecycle assessments? More work; however, I believe if you make it personal, the same MVP approach could work again.

 

Value of Model-Based Product Architecture

Jussi Sippola, Chief Expert, Product Architecture Management & Modularity at Wärtsilä, presented an excellent story related to the advantages of a more modular product architecture. Where historically, products were delivered based on customer requirements through the order fulfillment process, now there is in parallel the portfolio management process, defining the platform of modules, features and options.

Jussi mentioned that they were able to reduce the number of parts by 50 % while still maintaining the same level of customer capabilities. In addition, thanks to modularity, they were able to reduce the production lead time by 40 % – essential numbers if you want to remain competitive.

 

Conclusion

Day 1 was a day where we learned a lot as an audience, and in addition, the networking time and dinner in the evening were precious for me and, I assume, also for many of the participants. In my next post, we will see more about new ways of working, the AI dream and Sustainability.

Listen and Learn more from PLM Experts in the field

 

Recently, I attended several events related to the various aspects of product lifecycle management; most of them were tool-centric, explaining the benefits and values of their products.

In parallel, I am working with several companies, assisting their PLM teams to make their plans understood by the upper management, which has always been my mission in the past.

However, nowadays, people working in the business are feeling more and more challenged and pained by not acting adequately to the upcoming business demands.

The image below has been shown so many times, and every time, the context becomes more relevant.

Too often, an evolutionary mindset with small steps is considered instead of looking toward the future and reasoning back for what needs to be done.

Let me share some experiences and potential solutions.

Don’t use the P** word!

The title of this post is one of the most essential points to consider. By using the term PLM, the discussion is most of the time framed in a debate related to the purchase or installation of a system, the PLM system, which is an engineering tool.

PLM vendors, like Dassault Systèmes and Siemens, have recognized this, and the word PLM is no longer on their home pages.
They are now delivering experiences or digital industries software.

Other companies, such as PTC and Aras, broadened the discussion by naming other domains, such as manufacturing and services, all connected through a digital thread.

The challenge for all these software vendors is why a company would consider buying their products. A growing issue for them is also why would they like to change their existing PLM system to another one, as there is so much legacy.

For all of these vendors, success can come if champions inside the targeted company understand the technology and can translate its needs into their daily work.

Here, we meet the internal PLM team, which is motivated by the technology and wants to spread the message to the organization. Often, with no or limited success, as the value and the context they are considering are not understood or felt as urgent.

 

Lesson 1:
Don’t use the word PLM in your management messaging.

In some of the current projects I have seen, people talk about the digital highway or a digital infrastructure to take this hurdle. For example, listen to the SharePLM podcast with Roger Kabo from Marel, who talks about their vision and digital product highway.

The Marel digital product highway

As soon as you use the word PLM, most people think about a (costly) system, as this is how PLM is framed. Engineering, like IT, is often considered a cost center, as money is made by manufacturing and selling products.

According to experts (CIMdata/Gartner), Product Lifecycle Management is considered a strategic approach. However, the majority of people talk about a PLM system. Of course, vendors and system integrators will speak about their PLM offerings.

To avoid this framing, first of all, try to explain what you want to establish for the business. The terms Digital Product Highway or Digital Infrastructure, for example, avoid thinking in systems.

Lesson 2:
Don’t tell your management why they need to reward your project – they should tell you what they need.

This might seem like a bit of strange advice; however, you have to realize that most of the time, people do not talk about the details at the management level. At the management level, there are strategies and business objectives, and you will only get attention when your proposal addresses the business needs. At the management level, there should be an understanding of the business need and its potential value for the organization. Next, analyzing the business changes and required tools will lead to an understanding of what value the PLM team can bring.

Yousef Hooshmand’s  5 + 1 approach illustrates this perfectly. It is crucial to note that long-term executive commitment is needed to have a serious project, and therefore, the connection to their business objective is vital.

Therefore, if you can connect your project to the business objectives of someone in management, you have the opportunity to get executive sponsorship. A crucial advice you hear all the time when discussing successful PLM projects.

 

Lesson 3:
Alignment must come from within the organization.

Last week, at the 20th anniversary of the Dutch PLM platform, Yousef Hooshmand gave the keynote speech starting with the images below:

On the left side, we see the medieval Catholic church sincerely selling salvation through indulgences, where the legend says Luther bought the hell, demonstrating salvation comes from inside, not from external activities – read the legend here.

On the right side, we see the Digital Transformation expert sincerely selling digital transformation to companies. According to LinkedIn, there are about 1.170.000 people with the term Digital Transformation in their profile.

As Yousef mentioned, the intentions of these people can be sincere, but also, here, the transformation must come from inside (the company).

When I work with companies, I use the Benefits Dependency Network methodology to create a storyboard for the company. The BDN network then serves as a base for creating storylines that help people in the organization have a connected view starting from their perspective.

Companies might hire strategic consultancy firms to help them formulate their long-term strategy. This can be very helpful where, in the best case, the consultancy firm educates the company, but the company should decide on the direction.

In an older blog post, I wrote about this methodology, presented by Johannes Storvik at the Technia Innovation forum, and how it defines a value-driven implementation.

Dassault Systèmes and its partners use this methodology in their Value Engagement process, which is tuned to their solution portfolio.

You can also watch the webinar Federated PLM Webinar 5 – The Business Case for the Federated PLM, in which I explained the methodology used.

 

Lesson 4:
PLM is a business need not an IT service

This lesson is essential for those who believe that PLM is still a system or an IT service. In some companies, I have seen that the (understaffed) PLM team is part of a larger IT organization. In this type of organization, the PLM team, as part of IT, is purely considered a cost center that is available to support the demand from the business.

The business usually focuses on incremental and economic profitability, less on transformational ways of working.

In this context, it is relevant to read Chris Seiler’s post: How to escape the vicious circle in times of transformation? Where he reflects on his 2002 MBA study, which is still valid for many big corporate organizations.

It is a long read, but it is gratifying if you are interested. It shows that PLM concepts should be discussed and executed at the business level. Of course, I read the article with my PLM-twisted brain.

A Pessimistic Scenario of External Driving Forces and Their Internal Interrelations (Christ Seiler)

The image above from Chris’s post could be a starting point for a Benefits-Dependent Network diagram, expanded with Objectives, Business Changes and Benefits to fight this vicious downturn.

As PLM is no longer a system but a business strategy, the PLM team should be integrated into the business potential overlooked by the CIO or CDO, as a CEO is usually not able to give this long-term executive commitment.

Lesson 5:
Educate yourselves and your management

The last lesson is crucial, as due to improving technologies like AI and, earlier, the concepts of the digital twin, traditional ways of coordinated working will become inefficient and redundant.

However, before jumping on these new technologies, everyone, at every level in the organization, should be aware of:

WHY will this be relevant for our business? Is it to cut costs – being more efficient as fewer humans are in the process? Is it to be able to comply with new upcoming (sustainability) regulations? Is it because the aging workforce leaves a knowledge gap?

WHAT will our business need in the next 5 to 10 years? Are there new ways of working that we want to introduce, but we lack the technology and the tools? Do we have skills in-house? Remember, digital transformation must come from the inside.

HOW are we going to adapt our business? Can we do it in a learning mode, as the end target is not clear yet—the MVP (Minimum Viable Product) approach? Are we moving from selling products to providing a Product Service System?

My lesson: Get inspired by the software vendors who will show you what might be possible. Get educated on the topic and understand what it would mean for your organization. Start from the people and the business needs before jumping on the tools.

 

In the upcoming PLM Roadmap/PDT Europe conference on 23-24 October, we will be meeting again with a group of P** experts to discuss our experiences and progress in this domain. I will give a lecture here about what it takes to move to a sustainable economy based on a Product-as-a-service concept.

If you want to learn more – join us – here is the link to the agenda.

 

Conclusion

I hope you enjoyed reading a blog post not generated by ChatGPT, although I am using bullet points. With the overflow of information, it remains crucial to keep a holistic overview. I hope that with this post, I have helped the P** teams in their mission, and I look forward to learning from your experiences in this domain.

 

 

 

 

 

 

This is a guest post from one of our active members of the PLM Green Global Alliance, Roger L. Franz.

Roger is supporting industry inquiries on regulated substances, sustainable product design and life cycle management, including carbon footprint.

He is a recognized authority on supply chain reporting for compliance with worldwide regulations. Roger brings decades of experience with engineering tools and enterprise IT systems.

 

Introduction. 

More than just unsightly “plastic pollution,” the volume of consumer plastics and lack of closed-loop recovery have created a significant micro- and nano-plastics problem. These invisible plastic particles are found around the world, including in animal and human tissues.

For several reasons, including a much smaller volume of plastic used in electrotechnical products compared to consumer plastics and the generally longer life of hardware compared to the rapid turnover of consumer goods and packaging, the microplastics problem is not typically tagged as a major electronics problem- or at least not yet. Now is the time to be proactive.

The United Nations Environment Programme has posted summaries of recent discussions on using life cycle assessment (LCA) to address the global problem of plastic pollution.  These Life Cycle Initiative areas relate to plastic products, chemicals of concern in plastic products, and plastic product design.  The documents are about possible approaches to managing plastics with recommendations but are not detailed prescriptions, methods, or regulations.

While the studies did not specifically mention electrotechnical products, this industry will need to accelerate focus on engineering design tools and engineering plastics choices to avoid significantly adding on to the consumer plastic product problems.

Within the UNEP product design discussion, the section on “General considerations on possible approaches to product design, focusing on recyclability and reusability” included the following important point, which bears repeating:  Product design approaches should include eco-design and circularity principles.

 

Product design approaches should include
eco-design and circularity principles.

But what does this mean? In the following discussion, we hope to break these approaches down into more tangible design choices. Even within the electrotechnical product category, there are many product variations, so no claim is made here to cover all of them.

Options for lower carbon footprint plastics already exist to some extent.  Except for packaging, electronic components and products are typically made with engineering resins rather than the common consumer plastic “recycling arrow” types.   Alternative types of lower carbon footprint engineering resins may be available to use rather than others with higher carbon footprints.

Many plastic manufacturers are currently conducting LCA to quantify the cradle-to-gate carbon footprint of their materials. Different polymer types have inherent differences in carbon footprint due to their different monomeric starting materials and manufacturing processes.

For many plastics, these flows are detailed by Plastics Europe.  Polycarbonate, ABS, and several Polyamides, for example, are included. What is missing in these publicly available sources, as well as LCA inventory databases themselves, are many other engineering plastics; for example, while consumer PET is widely modeled, PBT (Polybutylene terephthalate) is not. These are just some of the data gaps that need to be resolved.

 

More sustainable feedstock is a good option since a given end polymer may be made from different monomeric chemicals, so the more sustainable plastic performs exactly like its classic version because it is the same.  One of the growing alternatives includes feedstocks based on renewable, bio-based sources.

These need some evaluation, again using LCA, to ensure they are free of downsides like increased water use, eutrophication, and chemical pollution due to the use of herbicides, pesticides, fertilizers, and so on. Marketing claims of being a “green material” will need backup data! For guidelines on acceptable environmental benefits claims, refer to the US FTC Green Guides.

Reducing the amount of plastic by design is not only a good practice for sustainability, it also saves money.  Some designs using parts with enough material to be modeled using generative design may be able to reduce the amount of material while reducing material usage and weight.  Reducing factory scrap from injection molding processes leaving sprues in runners and use of captive regrind are other good options.

Choosing manufacturers using renewable fuels– and even benefits like reduction of water use during processing- is another area of choice for sustainability.  Local sourcing is also a way to reduce the overall carbon footprint of a material by reducing the contribution of transportation.

Identify large plastic parts.  Historical guidelines on eco-design have actually been around for years.

One good example is the ECMA 341 Standard, “Environmental Design Considerations for ICT & CE Products (4th Edition / December 2010), which says, “All plastic parts weighing 25 g or more and with a flat area of 200 mm2 or more are marked with the type of polymer, copolymer, polymer blends or alloys in conformance with ISO 11469.”  This practice enables the identification of plastic types of large parts, while in practice, the ability to sort becomes less useful when a variety of goods are mixed in a production recycling facility.  Success here depends either on manual sorting or more sophisticated methods like infrared spectroscopy to be effective. Some equipment recyclers have such capability.

Keep it clean.   More useful guidance from ECMA 341 is to avoid the following: non-recyclable composites; coatings and surface finishes on plastic parts; adhesive-backed stickers or foams on plastic parts; if stickers are required, they should be separable; and metal inserts in plastic parts unless easily removable with common tools.  These are common sense from a clean recycling stream perspective and should not be difficult to implement.

Closing the end-of-life loop.   Recycling is imperfect, and as far as this author has seen, is rarely in place for engineering plastics.

Processes under development to decompose plastics back to new monomer feedstocks, called chemical recycling or tertiary recycling. This approach is achieving some success with a limited number of materials, mostly for high-volume consumer plastics rather than engineering types.

LCA is needed to validate that achieving plastic circularity this way with the necessary processing energy and chemicals will have a net environmental benefit.  The obvious problem with all approaches is that plastics were never designed for the environment in the first place.

Selecting More Sustainable Additives is another area where product engineers have some choices.  There are thousands of possible additives used in plastic, usually specified for a given grade and end application.  These include flame retardants, processing aids, fillers, colorants, ultraviolet stabilizers, plasticizers for flexibility, and so on and on.   While these choices are primarily the responsibility of the resin manufacturer, pressure from regulators and industry demand can influence the use of more sustainable additives.

Whenever possible, new products should avoid regulated substances by design, which may include Substances of Very High Concern (SVHC) as defined by the European Chemicals Agency (ECHA) and, more recently, polyfluorinated substances called PFAS.  This is easier said than done but definitely belongs on the checklist of ecodesign considerations.

Besides plastics?  While the present discussion is about plastics, choices of using altogether different materials may be possible in some cases.

High-volume hardware is probably unable to use alternative materials like wood, glass, bamboo, etc.   Historically, though, until the rise of both solid-state and plastic technology in the 1950s, radios and televisions featured wooden cases and consoles.  Miniaturization in the solid-state era brought in mostly plastic housings.  One recent example that the author worked on was an audio teleconferencing system that featured either oak or walnut to blend with the executive conference room.

While the intent was not specifically to avoid using plastic, it is an interesting example to think outside the plastic box. Wood avoids many of the issues with plastics, but of course, the plastics in the circuitry content remain to be addressed.

Other large household electrical/electronic goods are likely to use recyclable steel and/or stainless steel cabinets.  And if you consider an automobile to be an electronic product, these metals come into play in high volume in automobile shredder residue. Using metal rather than plastic housings may be possible for some products; for example, aluminum may be used for personal communications and IT devices, bringing a tradeoff between initial cost and the potential advantage of aluminum being more highly recyclable for use in new equipment than any plastic.

Only LCA can quantify the tradeoffs. We should also mention toys, which increasingly incorporate some electronics and use colored plastics extensively.

New material technology.  One of the many emerging material technologies is Engineered Wood.  The cited research hardly suggests that a wood-based material could be a drop-in, for example, injection molded thermoplastics, but the possibility is most intriguing.  However, just having a material of natural origins is not automatically a panacea for replacing plastics. Quite the contrary, significant cautions remain; for example,

“Chemical and thermal modifications are usually applied to adapt the wood structure and impart necessary functionalities. Most of these treatments use substantial amounts of chemicals, energy, and water. They also innocently incorporate unwanted chemically bonded structures into the wood and generate a large amount of waste products which are harmful to the environment. This brings a dilemma where an entirely sustainable and green material is converted to a non-environmentally friendly material”

(El Akban et. al, Green Chemistry, 2021).

For now, the point is that reconsidering classical synthetic polymers in the light of more natural and renewable materials may have an interesting future.

Modularity.  The ease of disassembly into “modules” is often listed as an eco-design practice that improves circularity, but the present author is skeptical about providing practical details.  More specific guidance requires each manufacturer to know how its products can be disassembled at their end of life and where such disassembly would lead in terms of reuse, remanufacturing, or material recovery.   In the context of plastics, a large plastic housing that can be easily disassembled into a single clean material is more likely to be sent to a recycler rather than reused as a “module” in other products.

It is unfortunate that software tools to make early design choices for disassembly began to be developed 25 years ago but have gone by the wayside since.   The author had personal experience with such a “Green Design Advisor” tool that modeled a product assembly from its raw materials and showed how disassembly into environmentally and economically viable recovery fractions could be optimized.

One example that is probably still true today is that an epoxy circuit board and its components would be a “module” to be submitted to size a reduction, separation, and metal recovery process.  Such a tool could also model the choice of a plastic housing vs. a metal alloy and the impacts of circular recovery of the material choices. Disassembly modeling tools for product designers is an area that needs significant development now, while software using artificial intelligence (AI) claims to be the answer. We shall see.

In conclusion, it must be recognized that most plastics were never designed for the environment in the first place. While there is currently no 100% perfect alternative, engineers do have options to improve the life cycle sustainability of tomorrow’s products.

  • Select lower PCF plastics and avoid regulated additives.
  • Reduce the amount of plastics if possible and keep larger parts free of different materials.
  • Consider materials other than plastics.
  • Be aware of new developments in both sources of plastic and end-of-life options.

 

Roger L. Franz / RogerLFranz@gmail.com   – Sept. 2024

 

 

 

 

I have not been writing much new content recently as I feel that from the conceptual side, so much has already been said and written. A way to confuse people is to overload them with information. We see it in our daily lives and our PLM domain.

With so much information, people become apathetic, and you will hear only the loudest and most straightforward solutions.

One desire may be that we should go back to the past when everything was easier to understand—are you sure about that?

This attitude has often led to companies doing nothing, not taking any risks, and just providing plasters and stitches when things become painful. Strategic decision-making is the key to avoiding this trap.

I just read this article in the Guardian: The German problem? It is an analog country in a digital world.

The article also describes the lessons learned from the UK (quote):

Britain was the dominant economic power in the 19th century on the back of the technologies of the first Industrial Revolution and found it hard to break with the old ways even when it should have been obvious that its coal and textile industries were in long-term decline.

As a result, Britain lagged behind its competitors. One of these was Germany, which excelled in advanced manufacturing and precision engineering.

Many technology concepts originated from Germany in the past and even now we are talking about Industrie 4.0 and Catena-X as advanced concepts. But are they implemented? Did companies change their culture and ways of working required for a connected and digital enterprise?

 

Technology is not the issue.

The current PLM concepts, which discuss a federated PLM infrastructure based on connected data, have become increasingly stable.

Perhaps people are using different terminologies and focusing on specific aspects of a business; however, all these (technical) discussions talk about similar business concepts:

Several more people are sharing their knowledge and experience in the domain of modern PLM concepts, and you will see that technology is not the issue. The hype of AI may become an issue.

 

From IT focus to Business focus

One issue I observed at several companies I worked with is that the PLM’s responsibility is inside the IT organization – click on the image to get the mindset.

This situation is a historical one, as in the traditional PLM mode, the focus was on the on-premise installation and maintenance of a PLM system. Topics like stability, performance and security are typical IT topics.

IT departments have often been considered cost centers, and their primary purpose is to keep costs low.

Does the slogan ONE CAD, ONE PLM or ONE ERP resonate in your company?

It is all a result of trying to standardize a company’s tools. It is not deficient in a coordinated enterprise where information is exchanged in documents and BOMs. Although I wrote in 2011 about the tension between business and IT in my post “PLM and IT—love/hate relation?”

Now, modern PLM is about a connected infrastructure where accurate data is the #1 priority.

Most of the new processes will be implemented in value streams, where the data is created in SaaS solutions running in the cloud. In such environments, business should be leading, and of course, where needed, IT should support the overall architecture concepts.

In this context, I recommend an older but still valid article: The Changing Role of IT: From Gatekeeper to Business Partner.

This changing role for IT should come in parallel to the changing role for the PLM team. The PLM team needs to first focus on enabling the new types of businesses and value streams, not on features and capabilities. This change in focus means they become part of the value creation teams instead of a cost center.

From successful PLM implementations, I have seen that the team directly reported to the CEO, CTO or CIO, no longer as a subdivision of the larger IT organization.

Where is your PLM team?
Is it a cost center or a value-creation engine?

 

The role of business leaders

As mentioned before, with a PLM team reporting to the business, communication should transition from discussing technology and capabilities to focusing on business value.

I recently wrote about this need for a change in attitude in my post:  PLM business first. The recommended flow is nicely represented in the section “Starting from the business.”

Image: Yousef Hooshmand.

Business leaders must realize that a change is needed due to upcoming regulations, like ESG and CSRD reporting, the Digital Product Passport and the need for product Life Cycle Analysis (LCA), which is more than just a change of tools.

I have often referred to the diagram created by Mark Halpern from Gartner in 2015. Below you can see and adjusted  diagram for 2024 including AI.

It looks like we are moving from Coordinated technology toward Connected technology. This seems easy to frame. However, my experience discussing this step in the past four to five years has led to the following four lessons learned:

  1. It is not a transition from Coordinated to Connected.
    At this step, a company has to start in a hybrid mode – there will always remain Coordinated ways of working connected to Connected ways of working. This is the current discussion related to Federated PLM and the introduction of the terms System of Record (traditional systems / supporting linear ways of working) and Systems of Engagement (connected environments targeting real-time collaboration in their value chain)
  2. It is not a matter of buying or deploying new tools.
    Digital transformation is a change in ways of working and the skills needed. In traditional environments, where people work in a coordinated approach, they can work in their discipline and deliver when needed. People working in the connected approach have different skills. They work data-driven in a multidisciplinary mode. These ways of working require modern skills. Companies that are investing in new tools often hesitate to change their organization, which leads to frustration and failure.
  3. There is no blueprint for your company.
    Digital transformation in a company is a learning process, and therefore, the idea of a digital transformation project is a utopia. It will be a learning journey where you have to start small with a Minimum Viable Product approach. Proof of Concepts is a waste of time as they do not commit to implementing the solution.
  4. The time is now!
    The role of management is to secure the company’s future, which means having a long-term vision. And as it is a learning journey, the time is now to invest and learn using connected technology to be connected to coordinated technology. Can you avoid waiting to learn?

I have shared the image below several times as it is one of the best blueprints for describing the needed business transition. It originates from a McKinsey article that does not explicitly refer to PLM, again demonstrating it is first about a business strategy.

It is up to the management to master this process and apply it to their business in a timely manner.  If not, the company and all its employees will be at risk for a sustainable business. Here, the word Sustainable has a double meaning – for the company and its employees/shareholders and the outside world – the planet.

Want to learn and discuss more?

Currently, I am preparing my session for the upcoming PLM Roadmap/PDT Europe conference on 23 and 24 October in Gothenburg. As I mentioned in previous years, this conference is my preferred event of the year as it is vendor-independent, and all participants are active in the various phases of a PLM implementation.

If you want to attend the conference, look here for the agenda and registration. I look forward to discussing modern PLM and its relation to sustainability with you. More in my upcoming posts till the conference.

Conclusion

Digital transformation in the PLM domain is going slow in many companies as it is complex. It is not an easy next step, as companies have to deal with different types of processes and skills. Therefore, a different organizational structure is needed. A decision to start with a different business structure always begins at the management level, driven by business goals. The technology is there—waiting for the business to lead.

 

We, the PLM Green Global Alliance, started our first interviews with PLM-related software vendors two years ago, in 2022, with the initial PLM vendors followed by additional software vendors and implementers who focus on Sustainability.

The list is getting longer, and for some of them, we are now in the second round, learning what has happened in the field with their customers.

You can always read about these interviews on our PLM Green Global Alliance website or subscribe to the YouTube channel: @PLM_Global_Green_Alliance   where we share the interview recordings.

This time, we spoke with Henrik Hulgaard from Configit. I spoke earlier with Henrik about Configuration Lifecycle Management – you can read our discussion here. Now, we talked about the relationship between Configit and Sustainability.

Configit

Configit is not a typical PLM or reporting software provider. They flourish on top of an existing (data-driven) infrastructure in order to provide consistency between all aspects of product design, manufacturing and usage.

In their words:

“We build configuration solutions for manufacturing companies to master the challenges of getting configurable products and services to market faster and selling, manufacturing, and servicing them more effectively.”

We discussed how this is beneficial in the context of Sustainability with Henrik Hulgaard, their VP of Product Management.

Enjoy the 35-minute discussion below:

The slides shown during the interview, combined with additional company information, can be found HERE.

What we have learned

  • Using Configit connected to your configurable products allows you to select the best performance for Sustainability if this is your motivation. It will enable companies to design and deliver configurable products where, in the end, in practice, the customer decides on the optimum configuration, fitting their purpose and ambition.
  • Configurations and Modularity, which are building blocks of the circular economy, go hand in hand and cannot be considered standalone options.
  • Even AI has entered the domain of configuration lifecycle management – we are in the early stages of learning more.

Want to learn more?

 

Conclusion

As a company, there are many ways to provide more sustainable products to your customers, such as by design and by customer choice. With Configit, companies can provide the most sustainable options for their manufacturing process or later support their customers to select the most sustainable options.

 

 

In recent years, I have assisted several companies in defining their PLM strategy. The good news is that these companies are talking first about a PLM strategy and not immediately about a PLM system selection.

In addition, a PLM strategy should not be defined in isolation but rather as an integral part of a broader business strategy. One of my favorite one-liners is:

“Are we implementing the past, or are we implementing the future?”

When companies implement the past, it feels like they modernize their current ways of working with new technology and capabilities. The new environment is more straightforward to explain to everybody in the company, and even the topic of migration can be addressed as migration might be manageable.

Note: Migration should always be considered – the elephant in the room.

I wrote about Migration Migraine in two posts earlier this year, one describing the basics and the second describing the lessons learned and the path to a digital future.

Implementing PLM now should be part of your business strategy.

Threats coming from different types of competitors, necessary sustainability-related regulations (e.g., CSRD reporting), and, on the positive side, new opportunities are coming (e.g., Product as a Service), all requiring your company to be adaptable to changes in products, services and even business models.

Suppose your company wants to benefit from concepts like the Digital Twin and AI. In that case, it needs a data-driven infrastructure—

Digital Twins do not run on documents, and algorithms need reliable data.

Digital Transformation in the PLM domain means combining Coordinated and Connected working methods. In other words, you need to build an infrastructure based on Systems of Record and Systems of Engagement. Followers of my blog should be familiar with these terms.

 

PLM is not an R&D and Engineering solution
(any more)

One of the biggest misconceptions still made is that PLM is implemented by a single system mainly used by R&D and Engineering. These disciplines are considered the traditional creators of product data—a logical assumption at the time when PLM was more of a silo, Managing Projects with CAD and BOM data.

However, this misconception frames many discussions towards discussions about what is the best system for my discipline, more or less strengthening the silos in an organization. Being able to break the silos is one of the technical capabilities digitization brings.

Business and IT architecture are closely related. Perhaps you have heard about Conway’s law (from 1967):

 

“Any organization that designs a system (defined broadly) will produce a design whose structure is a copy of the organization’s communication structure.”

This means that if you plan to implement or improve a PLM infrastructure without considering an organizational change, you will be locked again into your traditional ways of working – the coordinated approach, which is reflected on the left side of the image (click on it to enlarge it).

An organizational change impacts middle management, a significant category we often neglect. There is the C-level vision and the voice of the end user. Middle management has to connect them and still feel their jobs are not at risk. I wrote about it some years ago: The Middle Management Dilemma.

 

How do we adapt the business?

The biggest challenge of a business transformation is that it starts with the WHY and should be understood and supported at all organizational levels.

If there is no clear vision for change but a continuous push to be more efficient, your company is at risk!

For over 60 years, companies have been used to working in a coordinated approach, from paper-based to electronic deliverables.

  • How do you motivate your organization to move in a relatively unknown direction?
  • Who in your organization are the people who can build a digital vision and Strategy?

These two questions are fundamental, and you cannot outsource ownership of it.

People in the transformation teams need to be digitally skilled (not geeks), communicators (storytellers), and, very importantly, connected to the business.

Often, the candidates come from the existing business units where they have proven skills. The challenging part is educating them and making them available for this mission.

Digital transformation is not a side job.

Education can come from the outside world. Making people available to work on the new digital infrastructure is a management decision and their sense of priority.

 

How to get external support?

If you are connected to the PLM world like me, a lot of information is available. In academic papers, projects and in particular on LinkedIn currently, there is an overflow of architectural debates:

Recently, I participated in the discussions below:

 

The challenge with these articles is that they are for insiders and far from shareable with business people. There is always a discussion, as we are all learning to match theory with reality. For example,Prof. Dr. Jörg W. Fischer introduced the Information Architecture as a missing link. You can read his recent post here and the quote below to get interested:

All of these methods focus either on Data Architecture or Business Architecture. And the blind spot? I am convinced that an essential layer between the two is missing. We at STZ-RIM Reshape Information Management call this Information Architecture.

Still, we remain in the expert domain, which a limited group of people understands. We need to connect to the business. Where can we find more education from the business side?

The reaction below in one of the discussions says it all, in my opinion:

 

Starting from the business

What I have learned from my discussions with the management is:

  • Don’t mention PLM – you will be cornered in the R&D / Engineering frame.
  • Don’t explain their problems, and tell them that you have the solution (on PowerPoint)
  • Create curiosity about topics that are relevant to the business – What if …?
  • Use storytelling to imagine a future state – Spare the details.
  • Build trust and confidence that you are not selling a product. Let the company discover their needs as it is their transformation.

The diagram below, presented by Yousef Hooshmand during the PLM Roadmap/PDT Europe 2023 conference in Paris, describes it all:

It will be a continuous iterative process where, starting from business values and objectives, an implementation step is analyzed, how it fits in the PLM landscape and ultimately, how measures and actions guide the implementation of the tools and technology.

It is important to stress that this is not the guidance for a system implementation; it is the guidance for a digital transformation journey. Therefore, the message in the middle of the image is: Long-term Executive Commitment!

 

In addition, I want to point to articles and blogs written by Jan Bosch. Jan is an Executive, professor and consultant with more than 20 years of experience in large-scale software R&D management and business.

Although our worlds do not intersect yet, the management of mechanical products and software is different; his principles fit better and better with a modern data-driven organization. Often, I feel we are fighting the same battle to coach companies in their business transformation.

In the context of this article, I recommend reviewing the BAPO model coming from the software world.

BAPO stands for Business, Architecture, Process and Organization. As the diagram below indicates, you should start from the business, defining the needs for the architecture and then the preferred ways of working. Finally, the organization has to be established in accordance with the processes.

Often, companies use the OPAB approach, which makes them feel more comfortable (Conway’s Law). For further reading in this context, I recommend the following posts from Jan Bosch:

 

Business and technology

I want to conclude by discussing ways to connect business and technology as you need both.

First, I want to point to an example that we presented in the Federated PLM interest group on LinkedIn. Although the discussion initially focused on technical capabilities, we concluded by connecting them to business transformational needs. The diagram below is our characteristic image used to explain the interaction between Systems of Record (the vertical pillars) and the Systems of Engagement (the horizontal bars – modularity).

Have a look at the business discussion below:

 

Next, the diagram below comes from a 2017 McKinsey whitepaper: Toward an integrated technology operating model. Here, the authors describe how a company can move toward an integrated technology operating model using both coordinated and connected technologies.

They do not mention PLM; they have a business focus, and it is important to mention a company can work in different modes. This is an organizational choice, but don’t let people work in two modes,

 

Conclusion

With this post, I hope I moved the focus from technology and tools to an understandable business focus. Even within my 1500 words, there is much more to say, and this makes our (PLM) mission so complex and interesting. Let me know where you can connect.

I am happy to see that the number of members of our PLM Green Global Alliance on LinkedIn has been growing fast recently.

Early this year, we reached 1000 members; now, as of this post, we have almost 1200 members in our LinkedIn group—a growth of 20 % in less than half a year!

Each member of the #plmgreen alliance has a unique story and reason for joining.

I’m genuinely interested in learning more about your motivation. To kick off this conversation, I am sharing my journey, and I am eager to hear your thoughts, comments, and suggestions.

Being aware this is again a long read, but I encourage you to read the article till the end.

Reading a 1500-word post was a 20th-century skill that helped people understand things with their nuances.
Let’s not lose this skill in the 21st century!

 

How it all started

Rich McFall reached out to me in late 2019, seeking individuals who shared our vision of establishing a platform for discussion and collaboration on green PLM. He was drawn to my 2015 blog post, ‘PLM and Global Warming,’ which I wrote six months before the famous Paris Agreement.

In my 2015 blog post, I drew a parallel between the slow response to digital transformation in the PLM domain and our collective inaction against climate change.

Despite the growing awareness of human-caused greenhouse gas emissions, there needed to be more urgency. This post was a call to action, not just for digital transformation in the PLM domain, but for our planet’s future. The cartoon below illustrates this mindset:

Both Rich and I felt that, when possible, we should use our energy and PLM-related skills to bring together a community of people who would take Climate Change and Sustainability seriously.

Rich’s focus was primarily on Climate Change and Greenhouse Gas emissions. – a hot topic in the US, where my passion and interest were related to Sustainability and the Circular Economy – two overlapping topics with a different impact, both parts of the UN Sustainable Development Goals (SDG) as formulated and adopted by all United Nations Member States in 2015.

Climate change creates fear and polarization, whereas the Circular Economy is more of a long-term concept, more complex to grasp, or implement, however crucial for the future of the planet.”

 

The start in 2020

When we started in early 2020, a few people were interested in contributing to the alliance—their names are at the bottom of this post. After several internal Zoom meetings, we decided to focus on different Green areas.

The themes are available here: PLM Green Themes, i.e., Sustainability, the Circular Economy, Climate Change, Green Energy and Life Cycle Assessment.

In the beginning, the alliance was a small group of enthusiastic people supported by approximately 100 members in our LinkedIn group. As an organization of volunteers, we struggled with allocating time and resources to get the needed attention. In 2020, climate change and Sustainability were still niche topics in the PLM domain, and our audience was still small.

Our interactive medium was the LinkedIn group, where comments and likes were easily shared. Our PLM Green Global Alliance website would be the place where we consolidate information—a challenging approach for us with limited skills and budget.

 

Starting the interviews in 2022

In 2022, we started interviewing PLM-related software vendors. Together with Klaus Brettschneider and, more recently, Mark Reisig, we were happy to discover what the major players in our PLM ecosystem were doing regarding Sustainability.

We spoke with SAP (Feb 2022 – Circular Economy), Autodesk (March 2020 – empowering engineers), Dassault Systemes (May 2022 – company targets & Virtual Twin), Sustaira (Sept 2022 – Connecting the dots – ESG reporting) and Aras (Oct 2022 – the need for a digital thread)

 

2023 – A year of transition

Besides the software vendors, consultancy firms started to address the need for more sustainable product development and understanding of what to do, and we spoke with CIMdata (April 2023 – the importance of sustainable business models) and Transition Technologies PSC (October 2023 – their GreenPLM offering on top of the PTC PLM suite)

However, as a PLM Green Global Alliance, we discovered that more and more companies were considering moving away from greenwashing and toward implementing actual measures, some of them driven by upcoming regulations and country initiatives.

It was also a significant year for the PLM Green Global Alliance, as besides receiving increasingly encouraging messages, both CIMdata and CIMPA joined the alliance as moderators.

CIMdata, well known for its PLM consultancy and market analysis, started an additional consultancy practice related to PLM and Sustainability.

Mark Reisig, their lead consultant, joined us on the themes of Sustainability and Energy, also given his previous work career in that field.

CIMPA, a European PLM consultancy services company with roots in the aerospace industry, decided to support the alliance on the theme of the circular economy. Patrice Quencez and his team lead and moderate this activity.

 

Green in 2024 – what can we do?
Fear or Optimism? Fast and Slow!

One of the negative characteristics of the human mind is that we only want to act if it is indispensable. The brain’s evolutionary characteristic is to use the maximum amount of energy when there is a dangerous situation that forces us to act.

There is enough proof for this theory, and it is the main reason why we continue bad habits. The best book to recommend is Thinking Fast and Slow by Daniel Kahneman.

Ask yourself:

  • Should you study for the whole year or just before the exams?
  • Would you start smoking knowing it is likely killing you in the long term?
  • Would you save money for later, as then you might need it?
  • Would you spend hours/days mastering a topic, or would you be an expert on social media with some easy facts and statistics?
  • Would you act against climate change and overconsumption, knowing the reasons?

All the above questions illustrate that the majority of us (me too – there are no saints anymore) think fast, and media and marketing organizations know our weaknesses.

The result: we only get attention when there is a message of fear

An explanation of why good news channels have no subscribers, whereas bad/fake news and polarising messages create an emotion to act.

In our PLM Green Alliance Group, Rich started with a monthly news digest related to Climate change. In the beginning, it felt like only bad news and the climate changes and disasters were showing us the urgency to handle. Read the last Climate Change Chronicles here.

Bad news and fear might paralyze people.  You might think the topic is too big for me to handle; therefore, let’s do nothing. Do you remember the diagram below?

Fortunately, many people believe that something needs to be done.

A recent UNDP survey shows that 80 percent of people globally want more decisive government climate action. Read the news here, and if you are interested in how your country compares to the rest of the world, check it here.

The good news is that the majority supports measures; the bad news is that the minority is the most vocal and influential by having the means and motives not to change the current status quo. And they have been organizing themselves for years.

Therefore, there is some optimism – we need to organize!

Looking back, particularly over the last 1½ years, there are reasons for optimism. Progress might not go as fast as desired, but if you are open to action and your newsfeed algorithm is also switched to positive, you will find encouraging messages.

For example, follow Assaad Razouk; his posts are often encouraging – not creating rage.

Read the monthly ESG Newsletters published by Vincent de la Mar from Sustaira and discover the positive trend. You can find his latest May newsletter here as an example: Sustainability & ESG Insights May ’24: Biden’s carbon market plans & how to get back on track to Paris Targets.

Following the progress within Europe – after the European Green Deal with all its aspects, recently, the Nature Restoration Law was signed, pushing companies to use more generative resources. The Nature Restoration Law and the European Green Deal are regulations pushing for a more circular economy as both the left side (regenerative) and right side (hardware) of the famous butterfly are addressed.

 

Conclusion

We are making progress, and I hope this post makes you realize that you need to worry about climate change and the Sustainability of our planet. My passion, and the passion of all the people listed below, is to support a movement and not to be silent.

Now, I am asking you to share your story. Which topics do we need to address first? Can you share examples or facts that illustrate—that with 1200 members, we should not be part of the silent majority but become a respected voice?

 

We’d like to express our exceptional gratitude to all those who supported us or are still supporting us at any stage of our PLM Green Global Alliance. Feel motivated to join this group of the non-silent majority.

In an alfabetical order: Xavier Adam, Zoe Bezpalko, Tom Boudeville, Klaus Brettschneider, Nina Dar, Stephane Declee, Dave Duncan, Stephan Fester,  Bjorn Fidjeland, Ryan Flavelle, Matthias Fohrer, Roger L. Franz,  Lionel Grealou, Jon den Hartog, Patrick Hilberg, Yousef Hooshmand, Hannes Lindfred, Ilan Madjar, Vincent de la Mar, James Norman, Rich McFall,  Frank Popielas, Patrice Quencez, Mark Reisig, Audrey Reyniers, Erik Rieger,  Ryan Rochelle, Mark Rushton, Neil D’Souza, Jonathan Thery, Oleg Shilovitsky, Florence Verzelen, Darren West ,Patrick Willemsen, Rafał Witkowski, Morgan Zimmermann.

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  1. Unknown's avatar
  2. Håkan Kårdén's avatar

    Jos, all interesting and relevant. There are additional elements to be mentioned and Ontologies seem to be one of the…

  3. Lewis Kennebrew's avatar

    Jos, as usual, you've provided a buffet of "food for thought". Where do you see AI being trained by a…

  4. Håkan Kårdén's avatar