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In the last few weeks, I thought I had a writer’s block, as I usually write about PLM-related topics close to my engagements.
Where are the always popular discussions related to EBOM or MBOM? Where is the Form-Fit-Function discussion or the traditional “meaningful numbers” discussions?
These topics always create a lot of interaction and discussion, as many of us have mature opinions.
However, last month I spent most of the time discussing the connection between digital PLM strategies and sustainability. With the Russian invasion of Ukraine, leading to high energy prices, combined with several climate disasters this year, people are aware that 2022 is not a year as usual. A year full of events that force us to rethink our current ways of living.
The notion of urgency
Sustainability for the planet and its people has all the focus currently. COP27 gives you the impression that governments are really serious. Are they? Read this post from Kimberley R. Miner, Climate Scientist at NASA, Polar Explorer& Professor.
She doubts if we really grasp the urgency needed to address climate change. Or are we just playing to be on stage? I agree with her doubts.
So what to do with my favorite EBOM-MBOM discussions?
Last week I attended an event organized by Dassault Systems in the Netherlands for their Dutch/Belgium customers.
The title of the event was: Sustainable innovation for a digital future. I expected a techy event. Click on the image to see the details.
Asking my grandson, who had just started to his study Aerospace Engineering in Delft (NL), learning to work with CAD and PLM-tools, to join me – he replied:
“Too many software demos”
It turned out that my grandson was wrong. The keynote speech from Ruud Veltenaar made most of the audience feel uncomfortable. He really pointed to the fact that we are aware of climate change and our impact on the planet, but in a way, we are paralyzed. Nothing new, but confronting and unexpected when going to a customer event.
Ruud’s message: Accept that we are at the end of an existing world order, and we should prepare for a new world order with the right moral leadership. It starts within yourself. Reflect on who you really are, where you are in your life path, and finally, what you want.
It sounds simple, and I can see it helps to step aside and reflect on these points.
Otherwise, you might feel we are in a rat race as shown below (recommend to watch).
The keynote was the foundation for a day of group and panel discussions on sustainability. Learning from their customers their sustainability plans and experiences.
It showed Dassault Systems, with its 2012 purpose (click on the link to see its history), Harmonizing Products, Nature and Life is ahead of the curve (at least they were for me).
The event was energizing, and my grandson was wrong:
“No software – next time?”
The impact of legacies – data, processes & people
For those who haven’t read my previous post, The week after PLM Roadmap / PDT Europe 2022, I wrote about the importance of Heterogeneous and federated PLM, one of the discussions related to data-driven PLM.
Looking back, I have been writing about data-driven PLM since 2014, and few companies have made progress here. Understandable, first of all, due to legacy data, which is not in the right format or quality to support data-driven processes.
However, also here, legacy processes and legacy people are blocking the change. There is no blame here; it is difficult to change. You might have a visionary management team, but then it comes down to the execution of the strategy. The organizational structure and the existing people skills are creating more resistance than progress.
For that reason, I wrote this post in 2015: PLM and Global Warming, where I compared the progress we made within our PLM community with the lack of progress we are making in solving global warming. We know the problem, but we are unable to act due to the lack of feeling the urgency.
This blog post triggered Rich McFall to start together in 2018 the PLM Global Green Alliance.
In my PLM Roadmap / PDT Europe session Sustainability and Data-driven PLM – the perfect storm, I raised the awareness that we need to speed up. We have 10 perhaps 15 years to implement radical changes, according to scientists, before we reach irreversible tipping points.
Why PLM and Sustainability?
Sustainability starts with the business strategy. How does your company want to contribute to a more sustainable future? The strategy to follow with probably the most impact is the concept of a circular economy – image below and more info here.
The idea behind the circular economy is to minimize the need for new finite materials (the right side) and to use for energy delivery only renewables. Implementing these principles clearly requires a more holistic design of products and services. Each loop should be analyzed and considered when delivering solutions to the market.
Therefore, a logical outcome of the circular economy would be transforming from selling products to the market towards a product-as-a-service model. In this case, the product manufacturer becomes responsible for the full product lifecycle and its environmental impact.
And here comes the importance of PLM. You can measure and tune your environmental impact during production in your ERP or MES environment. However, 80 % of the environmental impact is defined during the design phase, the domain of PLM. All these analysis together are called Life Cycle Analysis or Life Cycle Assessment (LCA). A practice that starts at the moment you start to think about a product or solution – a specialized systems thinking approach.
So how to define and select the right options for future products?
Virtual products / Digital Twins
This is where sustainability is pushing for digitization of the product lifecycle. Building and analyzing products in the virtual world is much cheaper than working with physical prototypes.
The importance of a model-based approach here allows companies efficiently deal with trade-off studies for each solution.
In addition, the choice and the behavior of materials also have an impact. These material properties will come from various databases, some based on hazardous substances, others on environmental parameters. Connecting these databases to the virtual model is crucial to remain efficient.
Imagine you need manually collect and process in these properties whenever studying an alternative. The manual process will be too costly (fewer trade-offs and not finding the optimum) and too slow (time-to-market impact).
That’s why I am greatly interested in all the developments related to a federated PLM infrastructure. A monolithic system cannot be the solution for such a model-based environment. In my terminology, here we need an architecture with systems of engagement combined with system(s) of record.
I will publish more on this topic in the future.
In the previous paragraphs, I wrote about the virtual product environment, which some companies call the virtual twin. However, besides the virtual twin, we also need several digital twins. These digital models allow us to monitor and optimize the production process, which can lead to design changes.
Also, monitoring the product in operation using a digital twin allows us to optimize the performance and execution of the solutions in the field.
The feedback from these digital twins will then help the company to improve the design and calibrate their simulation models. It should be a closed loop. You can find a more recent discussion related to the above image here.
Our mission
At this moment, sustainability is at the top of my personal agenda, and I hope for many of you. However, besides the choices we can make in our personal lives, there is also an area where we, as PLM interested parties, should contribute: The digitization of the product lifecycle as an enabler for a sustainable business.
Without mature concepts for a connected enterprise, implementing sustainable products and business processes will be a wish, not a strategy. So add digitization to your skillset and use it in the context of sustainability.
Conclusion
It might look like this PLM blog has become an environmental blog. This might be right, as the environmental impact of products and solutions is directly related to product lifecycle management. However, do not worry. In the upcoming time, I will focus on the aspects and experiences of a connected enterprise. I will leave the easier discussions (EBOM/MBOM/FFF/Smart Numbers) from a coordinated enterprise as they are. There is work to do shortly. Your thoughts?
About a year ago we started the PLM Global Green Alliance, further abbreviated as the PGGA. Rich McFall, the main driver behind the PGGA started the website, The PLM Green Alliance, to have a persistent place to share information.
Also, we launched the PLM Global Alliance LinkedIn group to share our intentions and create a community of people who would like to share knowledge through information or discussion.
Our mission statement is:
The mission of the new PLM Green Alliance is to create global connection, communication, and community between professionals who use, develop, market, or support Product Lifecycle Management (PLM) related technologies and software solutions that have value in addressing the causes and consequences of climate change due to human-generated greenhouse gas emissions. We are motivated by the technological challenge to help create a more sustainable and green future for our economies, industries, communities, and all life forms on our planet that depend on healthy ecosystems.
My motivation
My personal motivation to support and join the PGGA was driven by the wish to combine my PLM-world with interest to create a more sustainable society for anyone around the world. It is a challenging combination. For example, PLM is born in the Aerospace and Defense industries, probably not the most sustainable industries.
Having worked with some companies in the Apparel and Retail industry, I have seen that these industries care more about their carbon footprint. Perhaps because they are “volume-industries” closely connected to their consumers, these industries actively build practices to reduce their carbon footprint and impact societies. The sense or non-sense of recycling is such a topic to discuss and analyze.
At that time, I got inspired by a session during the PLM Roadmap / PDT 2019 conference.
Graham Aid‘s from the Ragn-Sells group was a call to action. Sustainability and a wealthy economy go together; however, we have to change our habits & think patterns. You can read my review from this session in this blog post: The weekend after PLM Roadmap / PDT 2019 – Day 1
Many readers of this post have probably never heard of the Ragn-Sells group or followed up on a call for action. I have the same challenge. Being motivated beyond your day-to-day business (the old ways of working) and giving these activities priority above exploring and learning more about applying sustainability in my PLM practices.
And then came COVID-19.
I think most of you have seen the image on the left, which started as a joke. However, looking back, we all have seen that COVID-19 has led to a tremendous push for using digital technologies to modernize existing businesses.
Personally, I was used to traveling every 2 – 3 weeks to a customer, now I have left my home office only twice for business. Meanwhile, I invested in better communication equipment and a place to work. And hé, it remains possible to work and communicate with people.
Onboarding new people, getting to know new people takes more social interaction than a camera can bring.
In the PGGA LinkedIn community, we had people joining from all over the world. We started to organize video meetings to discuss their expectations and interest in this group with some active members.
We learned several things from these calls.
First of all, finding a single timeslot that everyone worldwide could participate in is a challenge. A late Friday afternoon is almost midnight in Asia and morning in the US. And is Friday the best day – we do not know yet.
For that reason, we are probably moving to the PLM Green Alliance website and combine this environment with a space for discussion outside the LinkedIn scope. More to come on the PGGA website.
Finally, we will organize video discussion sessions to ask the participants to prepare themselves for a discussion. Any member of the PGGA can bring in the discussion topics.
It might be a topic you want to clarify or better understand.
What’s next
For December 4th, we have planned a discussion meeting related to the Exponential Roadmap 2019 report, where 36 solutions to halve carbon emission by 2030 are discussed. In our video discussion, we want to focus on the chapter: Digital Industries.
We believe that this topic comes closest to our PLM domain and hopes that participants will share their thinking and potential activities within their companies.
You can download the Exponential Roadmap here or by clicking on the image. More details about the PLM Global Green Alliance you will find in the LinkedIn group. If you want to participate, let us know.
The PGGA website will be the place where more and more information will be collected per theme, to help you understand what is happening worldwide and the place where you can contribute to let us know what is happening at your side.
Conclusion
The PLM Global Green Alliance exists now for a year with 192 members. With approximately five percent active members, we have the motivation to grow our efforts and value. We learned from COVID-19 there is a need to become proactive as the costs of prevention are always lower than the costs of (trying) fixing afterward.
And each of us has the challenge to behave a little differently than before.
Will you be one of them ?
Life goes on, and I hope you are all staying safe while thinking about the future. Interesting in the context of the future, there was a recent post from Lionel Grealou with the title: Towards PLM 4.0: Hyperconnected Asset Performance Management Framework.
Lionel gave a kind of evolutionary path for PLM. The path from PLM 1.0 (PDM) ending in a PLM 4.0 definition. Read the article or click on the image to see an enlarged version to understand the logical order. Interesting to mention that PLM 4.0 is the end target, for sure there is a wishful mind-mapping with Industry 4.0.
When seeing this diagram, it reminded me of Marc Halpern’s diagram that he presented during the PDT 2015 conference. Without much fantasy, you can map your company to one of the given stages and understand what the logical next step would be. To map Lionel’s model with Marc’s model, I would state PLM 4.0 aligns with Marc’s column Collaborating.
In the discussion related to Lionel’s post, I stated two points. First, an observation that most of the companies that I know remain in PLM 1.0 or 2.0, or in Marc’s diagram, they are still trying to reach the level of Integrating.
Why is it so difficult to move to the next stage?
Oleg Shilovitsky, in a reaction to Lionel’s post, confirmed this. In Why did manufacturing stuck in PLM 1.0 and PLM 2.0? Oleg points to several integration challenges, functional and technical. His take is that new technologies might be the answer to move to PLM 3.0, as you can read from his conclusion.
What is my conclusion?
There are many promising technologies, but integration is remaining the biggest problem for manufacturing companies in adopting PLM 3.0. The companies are struggling to expand upstream and downstream. Existing vendors are careful about the changes. At the same time, very few alternatives can be seen around. Cloud structure, new data management, and cloud infrastructure can simplify many integration challenges and unlock PLM 3.0 for future business upstream and especially downstream. Just my thoughts…
Completely disconnected from Lionel’s post, Angad Sorte from Plural Nordic AS wrote a LinkedIn post: Why PLM does not get attention from your CEO. Click on the image to see an enlarged version, that also neatly aligns with Industry 4.0. Coincidence, or do great minds think alike? Phil Collins would sing: It is in the air tonight
Angad’s post is about the historical framing of PLM as a system, an engineering tool versus a business strategy. Angrad believes once you have a clear definition, it will be easier to explain the next steps for the business. The challenge here is: Do we need, or do we have a clear definition of PLM? It is a topic that I do not want to discuss anymore due to a variety of opinions and interpretations. An exact definition will never lead to a CEO stating, “Now I know why we need PLM.”
I believe there are enough business proof points WHY companies require a PLM-infrastructure as part of a profitable business. Depending on the organization, it might be just a collection of tools, and people do the work. Perhaps this is the practice in small enterprises?
In larger enterprises, the go-to-market strategy, the information needs, and related processes will drive the justification for PLM. But always in the context of a business transformation. Strategic consultancy firms are excellent in providing strategic roadmaps for their customers, indicating the need for a PLM-infrastructure as part of that.
Most of the time, they do not dive more in-depth as when it comes to implementation, other resources are needed.
What needs to be done in PLM 1.0 to 4.0 per level/stage is well described in all the diagrams on a high-level. The WHAT-domain is the domain of the PLM-vendors and implementers. They know what their tools and skillsets can do, and they will help the customer to implement such an environment.
The big illusion of all the evolutionary diagrams is that it gives a false impression of evolution. Moving to the next level is not just switching on new or more technology and involve more people.
So the big question is HOW and WHEN to make progress.
HOW to make progress
In the past four years, I have learned that digital transformation in the domain of PLM is NOT an evolution. It is disruptive as the whole foundation for PLM changes. If you zoom in on the picture on the left, you will see the data model on the left, and the data model on the right is entirely different.
On the left side of the chasm, we have a coordinated environment based on data-structures (items, folders, tasks) to link documents.
On the right side of the chasm, we have a connected environment based on federated data elements and models (3D, Logical, and Simulation models).
I have been discussing this topic in the past two years at various PLM conferences and a year ago in my blog: The Challenges of a connected ecosystem for PLM
If you are interested in learning more about this topic, register for the upcoming virtual PLM Innovation Forum organized by TECHNIA. Registration is for free, and you will be able to watch the presentation, either live or recorded for 30 days.
At this moment, the detailed agenda has not been published, and I will update the link once the session is visible. My presentation will not only focus on the HOW to execute a digital transformation, including PLM can be done, but also explain why NOW is the moment.
NOW to make progress
When the COVID19-related lockdown started, must of us thought that after the lockdown, we will be back in business as soon as possible. Now understanding the impact of the virus on our society, it is clear that we need to re-invent ourselves for a sustainable future, be more resilient.
It is now time to act and think differently as due to the lockdown, most of us have time to think. Are you and your company looking forward to creating a better future? Or will you and your company try to do the same non-sustainable rat race of the past and being caught by the next crises.
McKinsey has been publishing several articles related to the impact of COVID19 and the article: Beyond coronavirus: The path to the next normal very insightful
As McKinsey never talks about PLM, therefore I want to guide you to think about more sustainable business.
Use a modern PLM-infrastructure, practices, and tools to remain competitive, meanwhile creating new or additional business models. Realizing concepts as digital twins, AR/VR-based business models require an internal transition in your company, the jump from coordinated to connected. Therefore, start investigating, experimenting in these new ways of working, and learn fast. This is why we created the PLM Green Alliance as a platform to share and discuss.
If you believe there is no need to be fast, I recommend you watch Rebecka Carlsson’s presentation at the PLMIF event. The title of her presentation: Exponential Tech in Sustainability. Rebecca will share insights for business development about how companies can upgrade to new business models based on the new opportunities that come with sustainability and exponential tech.
The reason I recommend her presentation because she addresses the aspect of exponential thinking nicely. Rebecka states we are “programmed” to think local-linear as mankind. Exponential thinking goes beyond our experience. Something we are not used doing until with the COVID19-virus we discovered exponential growth of the number of infections.
Finally, and this I read this morning, Jan Bosch wrote an interesting post: Why Agile Matters, talking about the fact that during the design and delivery of the product to the market, the environment and therefore the requirements might change. Read his post, unless as Jan states:
Concluding, if you’re able to perfectly predict the optimal set of requirements for a system or product years ahead of the start of production or deployment and if you’re able to accurately predict the effect of each requirement on the user, the customer and the quality attributes of the system, then you don’t need Agile.
What I like about Jan’s post is the fact that we should anticipate changing requirements. This statement combined with Rebecka’s call for being ready for exponential change, with an emerging need for sustainability, might help you discuss in your company how a modern New Product Introduction process might look like, including requirements for a sustainable future that might come in later (per current situation) or can become a practice for the future
Conclusion
Now is the disruptive moment to break with the old ways of working. Develop plans for the new Beyond-COVID19-society. Force yourselves to work in more sustainable modes (digital/virtual), develop sustainable products or services (a circular economy), and keep on learning. Perhaps we will meet virtually during the upcoming PLM Innovation Forum?
Note: You have reached the end of this post, which means you took the time to read it all. Now if you LIKE or DISLIKE the content, share it in a comment. Digital communication is the future. Just chasing for Likes is a skin-deep society. We need arguments.
Looking forward to your feedback.
Meanwhile, two weeks of a partial lockdown have passed here in the Netherlands, and we have at least another 3 weeks to go according to the Dutch government. The good thing in our country, decisions, and measures are made based on the advice of experts as we cannot rely on politicians as experts.
I realize that despite the discomfort for me, for many other people in other countries, it is a tragedy. My mental support to all of you, wherever you are.
So what has happened since Time to Think (and act differently)?
All Hands On Deck
In the past two weeks, it has become clear that a global pandemic as this one requires an “All Hands On Deck” mentality to support the need for medical supplies and in particular respiration devices, so-called ventilators. Devices needed to save the lives of profoundly affected people. I have great respect for the “hands” that are doing the work in infectious environments.
Due to time pressure, innovative thinking is required to reach quick results in many countries. Companies and governmental organizations have created consortia to address the urgent need for ventilators. You will not see so much PR from these consortia as they are too busy doing the real work.
Still, you see from many of the commercial participants their marketing messages, why, and how they contribute to these activities.
One of the most promoted capabilities is PLM collaboration on the cloud as there is a need for real-time collaboration between people that are under lockdown. They have no time setting-up environments and learning new tools to use for collaboration.
For me, these are grand experiments, can a group of almost untrained people corporate fast in a new environment.
For sure, offering free cloud software, PLM, online CAD or 3D Printing, seems like a positive and compassionate gesture from these vendors. However, this is precisely the wrong perception in our PLM-world – the difficulty with PLM does not lie necessary in the tools.
It is about learning to collaborate outside your silo.
Instead of “wait till I am done” it should become “this is what I have so far – use it for your progress”. This is a behavior change.
Do we have time for behavioral changes at this moment? Time will tell if the myth will become a reality so fast.
A lot of thinking
The past two weeks were weeks of thinking and talking a lot with PLM-interested persons along the globe using virtual meetings.
As long as the lockdowns will be there I keep on offering free of charge PLM coaching for individuals who want to understand the future of PLM.
Through all these calls, I really became THE VirtualDutchman in many of these meetings (thanks Jagan for the awareness).
I realized that there is a lot of value in virtual meetings, in particular with the video option on. Although I believe video works well when you had met before as most of my current meetings were with people, I have met before face-to-face. Hence, you know each other facial expressions already.
I am a big fan of face-to-face meetings as I learned in the past 20 years that despite all the technology and methodology issues, the human factor is essential. We are not rational people; we live and decide by emotions.
Still, I conclude that in the future, I could do with less travel, as I see the benefits from current virtual meetings.
Less face-to-face meetings will help me to work on a more sustainable future as I am aware of the impact flying has on the environment. Also, talking with other people, there is the notion that after the lockdowns, virtual conferencing might become more and more a best practice. Good for the climate, the environment, and time savings – bad for traditional industries like aircraft carriers, taxis, and hotels. I will not say 100 % goodbye but reduce.
A Virtual PLM conference!
I was extremely excited to participate in the upcoming PLM Innovation Forum (PLMIF) starting on April 28th, organized by TECHNIA. I have been visiting the event in the past a few times in Stockholm. It was a great place to meet many of the people from my network.
This time I am even more excited as the upcoming PLMIF will be a VIRTUAL conference with all the aspects of a real conference – read more about the conference here.
There will be an auditorium where lectures will be given, there are virtual booths, and it will be a place to network virtually. In my next post, I hope to zoom in on the conference.
Sustainability, a circular economy, and modern PLM should go together. Since 2014, these topics have been on the agenda of the joint CIMdata Roadmap/PDT conferences. Speakers like Amir Rashid KTH Sweden, Ken Webster Ellen MacArthur Foundation, and many others have been talking about the circular economy.
The Scandinavian mindset for an inclusive society for people and the environment for sure, has influenced the agenda. The links above lead to some better understanding of what is meant by a circular economy and a sustainable future, as also the short YouTube movie below:
The circular economy is crucial for a sustainable future. Therefore, I am looking forward to participating in the upcoming PLM Innovation Forum on April 28th, where it will be all about digitalization for sustainable product development and manufacturing. Hopefully, with the right balance towards the WHY-side of our brain, not so much about WHAT.
You are welcomed to register for free here: the virtual PLM Innovation Forum – we might meet there (virtually).
The PLM Green Alliance
The PLM Green Alliance had been announced some months ago, started by Rich McFall and supported by Bjorn Fidjeland, Oleg Shilovitsky, and me.
It was the first step to proactively bringing people together to discuss topics like reducing our carbon footprint, sharing and brainstorming about innovations that will lead to a sustainable future for ourselves and our children, grand-grand-children. The idea behind the PLM Green Alliance is that a proactive approach is much cheaper in the long term as we can still evaluate and discuss options.
This brings me back to the All hands On Deck approach we currently use for fighting the COVID-19 virus.
In a crisis mode, the damage to the people and the economy is severe. Besides, in a crisis mode, a lot of errors will be made, but don’t blame or joke about these people that are trying. Without failure, there is no learning.
We are in a potential time of disruption as the image shows below, but we do not have the complete answers for the future
Think about how you could pro-actively work on a sustainable future for all of us. This will be my personal target, combined with explaining and coaching companies related to topics of modern PLM, during the current lockdown and hopefully long after. The PLM Green Alliance is eager to learn from you and your companies where they are contributing to a more sustainable and greener future.
Do not feel your contribution is not needed, as according to research done by the Carr Center’s Erica Chenoweth: The ‘3.5% rule’: How a small minority can change the world. It could be an encouragement to act instead of watching who will determine your future.
Conclusion
While learning to live in a virtual world, we might be realizing that the current crisis is an opportunity to switch faster to a more sustainable and inclusive society. For PLM moving to data-driven, cloud-based environments, using a Model-Based approach along the whole lifecycle, is a path to reduce friction when delivering innovations. From years to weeks? Something we wished to have today already. Stay safe!
In my previous post, I shared my observations from the past 10 years related to PLM. It was about globalization and digitization becoming part of our daily business. In the domain of PLM, the coordinated approach has become the most common practice.
Now let’s look at the challenges for the upcoming decade, as to my opinion, the next decade is going to be decisive for people, companies and even our current ways of living. So let’s start with the challenges from easy to difficult
Challenge 1: Connected PLM
Implementing an end-to-end digital strategy, including PLM, is probably business-wise the biggest challenge. I described the future vision for PLM to enable the digital twin –How PLM, ALM, and BIM converge thanks to the digital twin.
Initially, we will implement a digital twin for capital-intensive assets, like satellites, airplanes, turbines, buildings, plants, and even our own Earth – the most valuable asset we have. To have an efficient digital continuity of information, information needs to be stored in connected models with shared parameters. Any conversion from format A to format B will block the actual data to be used in another context – therefore, standards are crucial. When I described the connected enterprise, this is the ultimate goal to be reached in 10 (or more) years. It will be data-driven and model-based
Getting to connected PLM will not be the next step in evolution. It will be disruptive for organizations to maintain and optimize the past (coordinated) and meanwhile develop and learn the future (connected). Have a look at my presentation at PLM Roadmap PDT conference to understand the dual approach needed to maintain “old” PLM and work on the future.
Interesting also my blog buddy Oleg Shilovitsky looked back on the past decade (here) and looked forward to 2030 (here). Oleg looks at these topics from a different perspective; however, I think we agree on the future quoting his conclusion:
PLM 2030 is a giant online environment connecting people, companies, and services together in a big network. It might sound like a super dream. But let me give you an idea of why I think it is possible. We live in a world of connected information today.
Challenge 2: Generation change
At this moment, large organizations are mostly organized and managed by hierarchical silos, e.g., the marketing department, the R&D department, Manufacturing, Service, Customer Relations, and potentially more.
Each of these silos has its P&L (Profit & Loss) targets and is optimizing itself accordingly. Depending on the size of the company, there will be various layers of middle management. Your level in the organization depends most of the time on your years of experience and visibility.
The result of this type of organization is the lack of “horizontal flow” crucial for a connected enterprise. Besides, the top of the organization is currently full of people educated and thinking linear/analog, not fully understanding the full impact of digital transformation for their organization. So when will the change start?
In particular, in modern manufacturing organizations, the middle management needs to transform and dissolve as empowered multidisciplinary teams will do the job. I wrote about this challenge last year: The Middle Management dilemma. And as mentioned by several others – It will be: Transform or Die for traditionally managed companies.
The good news is that the old generation is retiring in the upcoming decade, creating space for digital natives. To make it a smooth transition, the experts currently working in the silos will be missed for their experience – they should start coaching the young generation now.
Challenge 3: Sustainability of the planet.
The biggest challenge for the upcoming decade will be adapting our lifestyles/products to create a sustainable planet for the future. While mainly the US and Western Europe have been building a society based on unlimited growth, the effect of this lifestyle has become visible to the world. We consume with the only limit of money and create waste and landfill (plastics and more) form which the earth will not recover if we continue in this way. When I say “we,” I mean the group of fortunate people that grew up in a wealthy society. If you want to discover how blessed you are (or not), just have a look at the global rich list to determine your position.
Now thanks to globalization, other countries start to develop their economies too and become wealthy enough to replicate the US/European lifestyle. We are overconsuming the natural resources this earth has, and we drop them as waste – preferably not in our backyard but either in the ocean or at fewer wealth countries.
We have to start thinking circular and PLM can play a role in this. From linear to circular.
In my blog post related to PLM Roadmap/PDT Europe – day 1, I described Graham Aid’s (Ragn-Sells) session:
Enabling the Circular Economy for Long Term Prosperity.
He mentioned several examples where traditional thinking just leads to more waste, instead of starting from the beginning with a sustainable model to bring products to the market.
Combined with our lifestyle, there is a debate on how the carbon dioxide we produce influences the climate and the atmosphere. I am not a scientist, but I believe in science and not in conspiracies. So there is a problem. In 1970 when scientists discovered the effect of CFK on the Ozone-layer of the atmosphere, we ultimately “fixed” the issue. That time without social media we still trusted scientists – read more about it here: The Ozone hole
I believe mankind will be intelligent enough to “fix” the upcoming climate issues if we trust in science and act based on science. If we depend on politicians and lobbyists, we will see crazy measures that make no sense, for example, the concept of “biofuel.” We need to use our scientific brains to address sustainability for the future of our (single) earth.
Therefore, together with Rich McFall (the initiator), Oleg Shilovitsky, and Bjorn Fidjeland (PLM-peers), we launched the PLM Green Alliance, where we will try to focus on sharing ideas, discussion related to PLM and PLM-related technologies to create a network of innovative companies/ideas. We are in the early stages of this initiative and are looking for ways to make it an active alliance. Insights, stories, and support are welcome. More to come this year (and decade).
Challenge 4: The Human brain
The biggest challenge for the upcoming decade will be the human brain. Even though we believe we are rational, it is mainly our primitive brain that drives our decisions. Thinking Fast and Slow from Daniel Kahneman is a must-read in this area. Or Predictably Irrational: The Hidden Forces that shape our decisions. Note: these books are “old” books from years ago. However, due to globalization and social connectivity, they have become actual.
Our brain does not like to waste energy. If we see the information that confirms our way of thinking, we do not look further. Social media like Facebook are using their algorithms to help you to “discover” even more information that you like. Social media do not care about facts; they care about clicks for advertisers. Of course, controversial headers or pictures get the right attention. Facts are no longer relevant, and we will see this phenomenon probably this year again in the US presidential elections.
The challenge for implementing PLM and acting against human-influenced Climate Change is that we have to use our “thinking slow” mode combined with a general trust in science. I recommend reading Enlightenment now from Steven Pinker. I respect Steven Pinker for the many books I have read from him in the past. Enlightenment Now is perhaps a challenging book to complete. However, it illustrates that a lot of the pessimistic thinking of our time has no fundamental grounds. As a global society, we have been making a lot of progress in the past century. You would not go back to the past anymore.
Back to PLM.
PLM is not a “wonder tool/concept,” and its success is mainly depending on a long-term vision, organizational change, culture, and then the tools. It is not a surprise that it is hard for our brains to decide on a roadmap for PLM. In 2015 I wrote about the similarity of PLM and acting against Climate Change – read it here: PLM and Global Warming
In the upcoming PI PLMx London conference, I will lead a Think Tank session related to Getting PLM on the Executive’s agenda. Getting PLM on an executive agenda is about connecting to the brain and not about a hypothetical business case only. Even at exec level, decisions are made by “gut feeling” – the way the human brain decides. See you in London or more about this topic in a month.
Conclusion
The next decade will have enormous challenges – more than in the past decades. These challenges are caused by our lifestyles AND the effects of digitization. Understanding and realizing our biases caused by our brains is crucial. There is no black and white truth (single version of the truth) in our complex society.
I encourage you to keep the dialogue open and to avoid to live in a silo.
Jos Voskuil's Weblog 
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