Product Lifecycle Management (Volume 1) (eBook)

John Stark started working in product development in 1979. In the 1980s he worked in computer aided design, product data management and business process improvement. He has worked as a consultant to companies in the product development and support area since the mid-1980s; first for Coopers & Lybrand, then as an independent consultant.In the last 15 years, he has focused on helping companies implement PLM. During this time he has worked with more than 50 companies, so has a very good experience of PLM in industry.

Preface 6
Contents 9
1 Product Lifecycle Management 16
1.1 What Is PLM? 16
1.1.1 Definition of PLM 16
1.1.2 Definition of the PLM Initiative 16
1.1.3 A Paradigm 17
1.1.3.1 The Paradigm Before PLM 17
1.1.4 Definition of the PLM Paradigm 18
1.2 This Chapter 18
1.2.1 Objective 18
1.2.2 Content 19
1.2.2.1 Skills 19
1.2.3 Relevance 19
1.3 The P, L and M of PLM 20
1.3.1 The P of PLM 20
1.3.1.1 Importance 20
1.3.1.2 Range of Products 20
1.3.1.3 Number of Parts 20
1.3.2 The L of PLM 21
1.3.2.1 Related Lifecycles 22
1.3.3 The M of PLM 22
1.4 The Scope of PLM 23
1.4.1 Activities in the Scope of PLM 23
1.4.2 The PLM Grid 23
1.4.3 Resources in the Scope of PLM 24
1.4.3.1 Objectives and Metrics 24
1.4.3.2 Organisation and Management 25
1.4.3.3 Activities 25
1.4.3.4 People 25
1.4.3.5 Product Data 26
1.4.3.6 Product Data Management System 26
1.4.3.7 PLM Applications 27
1.4.3.8 Facilities and Equipment 27
1.4.3.9 Methods and Techniques 27
1.4.3.10 Products 28
1.5 The PLM Paradigm 28
1.5.1 PLM Concepts 28
1.5.1.1 Business-Oriented 28
1.5.1.2 Formally-Defined 30
1.5.1.3 Lifecycle 30
1.5.1.4 A Holistic Paradigm 31
1.5.1.5 Digital 32
1.5.1.6 A Joined-up Paradigm 32
1.5.1.7 Focus on the Product 33
1.5.2 PLM Consequences 34
1.5.3 PLM Corollaries 36
1.6 Benefits of PLM 36
1.6.1 Strategic Benefits 37
1.6.2 Operational Benefits 37
1.7 The Spread of PLM 38
1.8 Overcoming Problems, Enabling Opportunities 39
1.8.1 Managing the Product Isn’t Easy 40
1.8.2 Loss of Control 40
1.8.3 Sources of Problems 42
1.8.4 Opportunities 43
1.9 What Next? 43
2 The PLM Environment 45
2.1 This Chapter 45
2.1.1 Objective 45
2.1.2 Content 45
2.1.2.1 Skills 46
2.1.3 Relevance 46
2.1.3.1 It Depends Where You’re Starting from 47
2.1.3.2 Time for Complete Change 47
2.1.3.3 Starting from, Ending in 48
2.1.3.4 The Name of “Before PLM” 48
2.1.3.5 The End of “Before PLM” 49
2.2 Issues in the Traditional Environment 49
2.2.1 Serial Workflow 50
2.2.2 Departmental Organisations 51
2.2.3 Piecemeal Improvements 53
2.3 Product Data Issues 54
2.3.1 A Lot of Product Data 55
2.3.2 Poor Change Management 55
2.3.3 Data not Linked to Management Tools 56
2.4 A Complex, Changing Environment 57
2.4.1 Change 57
2.4.2 Interconnections 57
2.4.2.1 Macroeconomic Changes 58
2.4.2.2 Environmental Changes 58
2.4.2.3 Corporate Challenges 59
2.4.2.4 Technological Changes 61
2.4.2.5 Product-Related Changes 62
2.4.3 Changes Driving PLM 63
2.4.4 Result 64
2.5 Example from “Before PLM” 65
2.5.1 Introduction 65
2.5.2 Quantitative Feedback 66
2.6 Product Pains 68
2.6.1 Aerospace Products 70
2.6.2 Power Plants 71
2.6.3 Automotive Products 72
2.6.4 Financial Products 72
2.6.5 Other Products 73
2.6.6 Current and Future Nightmare 73
2.7 Product Opportunities 75
2.7.1 Globalisation Opportunity 76
2.7.2 Technology Opportunities 76
2.7.3 Social/Environmental Opportunity 79
2.7.4 Human Resource Opportunity 79
2.7.5 The Result and the Requirements 80
2.7.5.1 Next Steps 80
3 Business Processes in the PLM Environment 82
3.1 This Chapter 82
3.1.1 Objective 82
3.1.2 Content 82
3.1.2.1 Skills 83
3.1.3 Relevance of Business Processes in PLM 83
3.2 Definitions and Introduction 84
3.2.1 Definitions 84
3.2.1.1 Process 84
3.2.1.2 Business Process 84
3.2.1.3 Process Mapping 85
3.2.1.4 Process Modelling 85
3.2.1.5 Business Process Management 85
3.2.1.6 Methods/Techniques/Best Practices 85
3.2.1.7 Use Case 85
3.2.1.8 Workflow 86
3.2.2 Action Across the Product Lifecycle 86
3.2.3 Organising the Action 86
3.2.3.1 Departmental Focus 87
3.2.3.2 Method, Technique, How-to, Best Practice 87
3.2.4 Process Approach 88
3.2.4.1 No Standard Processes 88
3.2.4.2 Business Process Architecture 89
3.2.4.3 Process Management 89
3.2.4.4 Needed Characteristics of a Process 90
3.2.4.5 Naming of Processes 91
3.2.4.6 Particularities of Business Processes in PLM 91
3.2.4.7 PLM Process Particularities, but Similar Management 92
3.2.4.8 Consequences of Neglecting Processes in the PLM Initiative 92
3.2.5 Tools to Represent Business Processes 93
3.2.5.1 BPMN 95
3.2.6 Documenting Processes 95
3.2.6.1 Reasons for Documenting Processes 95
3.2.6.2 Models 95
3.2.6.3 Process Flow Diagrams 96
3.2.6.4 Swimlanes 97
3.2.6.5 Process Description Documents 97
3.2.6.6 Process Steps 98
3.2.6.7 Use Case, Use Case Description 99
3.2.6.8 Use Case Diagram 100
3.2.6.9 Creation of Workflows 102
3.2.7 KPIs for Business Processes 103
3.2.8 The Importance of Business Processes in PLM 103
3.2.8.1 A Company Is Its Processes 103
3.2.8.2 Revenues Result from Processes 103
3.2.8.3 Waste Results from Processes 103
3.2.8.4 The Process Is What People Do 104
3.2.8.5 Automation 104
3.2.8.6 Understanding and Improvement 104
3.2.8.7 Brother and Sister: Product Data and Business Process 104
3.2.8.8 Process-Related Targets of a PLM Initiative 104
3.3 Process Reality in a Typical Company 104
3.3.1 Generic Issues with Business Processes 104
3.3.1.1 Name and Scope 105
3.3.1.2 Development 105
3.3.1.3 Changes 106
3.3.1.4 Management 106
3.3.2 Interaction with Other Activities 107
3.3.3 Generic Issues with Methods 108
3.3.3.1 Unclear Name and Scope 109
3.3.3.2 Overlap Between Methods 109
3.3.3.3 Overlap Between Methods and Applications 109
3.3.3.4 Confusion Between Methods and Processes 109
3.3.3.5 Duplication of Existing Activities 109
3.3.3.6 Unclear Metrics 110
3.3.3.7 Method Evolution and Confusion 110
3.3.3.8 Interaction of Methods with Other PLM Components 110
3.3.4 Interaction with Company Initiatives 111
3.3.5 Generic Challenges with Business Processes 111
3.3.6 A Generic Vision for Business Processes in PLM 111
3.3.6.1 Phases of the Product Lifecycle 112
3.3.6.2 Management of the Product Lifecycle 112
3.3.6.3 Lifecycle Design and Analysis 113
3.3.6.4 Lifecycle Modelling 113
3.3.6.5 Process Definition and Automation 113
3.3.6.6 Standard Lifecycle Processes 114
3.3.6.7 Standard Lifecycle Methodologies 114
3.3.6.8 Mandatory Compliance 114
3.3.6.9 Voluntary Conformity 114
3.3.6.10 Progress with Lifecycle and Process 115
3.4 Business Process Activities in the PLM Initiative 115
3.4.1 Projects Related to Business Processes 115
3.4.2 Business Process Improvement 116
3.4.3 Business Process Mapping and Modelling 117
3.4.4 The ECM Business Process 118
3.4.4.1 Process Name(s) 119
3.4.4.2 No Standard Process 119
3.4.4.3 Purpose 120
3.4.4.4 Objective 120
3.4.4.5 Need for Change 120
3.4.4.6 Sources and Reasons for Change 121
3.4.4.7 The Risk of Uncontrolled Change 121
3.4.4.8 The Danger 122
3.4.4.9 The Future 122
3.4.4.10 Typical Activities 123
3.4.4.11 Different Numbers of Steps 123
3.4.5 The NPD Business Process 124
3.4.5.1 Process Name(s) 125
3.4.5.2 No Standard Process 125
3.4.5.3 Stage and Gate 126
3.4.5.4 Lessons Learned 128
3.4.6 The Portfolio Management Process 128
3.4.6.1 Different Scopes 129
3.4.6.2 Process Name(s) 130
3.4.6.3 NPD Project Portfolio Management 131
3.4.6.4 Similar Starting Point 131
3.4.6.5 Requirement 132
3.4.6.6 Reports 132
3.4.6.7 Lessons Learned 133
3.5 Learning from Experience 133
3.5.1 From the Trenches 134
3.5.1.1 No Time for Processes 134
3.5.1.2 Unexpected Interest 134
3.5.1.3 Unexpected Reply 134
3.5.1.4 Processes Aren’t in PLM? 135
3.5.1.5 Process and System (1) 135
3.5.1.6 Process and System (2) 135
3.5.1.7 Too Much Mapping 135
3.5.1.8 A Change of Situation 136
3.5.2 Business Process Improvement Approach 137
3.5.2.1 As-Is Situation 137
3.5.2.2 Towards To-Be 139
3.5.2.3 To-Be 139
3.5.2.4 To-Be Process Model 141
3.5.2.5 Benefits 141
3.5.3 Pitfalls of Business Process Mapping and Modelling 141
3.5.4 Top Management Role with Business Processes 142
3.5.4.1 In Control of Business Processes 142
3.5.4.2 Leading from the Top 142
3.5.4.3 The Right Structure 142
3.5.4.4 The Right Culture 143
3.5.4.5 The Right Skills 143
4 Product Data in the PLM Environment 144
4.1 This Chapter 144
4.1.1 Objective 144
4.1.2 Content 144
4.1.2.1 Skills 145
4.1.3 Relevance of Product Data in PLM 145
4.2 Definitions and Introduction 146
4.2.1 Definitions 146
4.2.1.1 Product Data 146
4.2.1.2 Product Data Management 147
4.2.1.3 Data Model 147
4.2.1.4 Conceptual Data Model 147
4.2.1.5 Logical Data Model 148
4.2.1.6 Physical Data Model 148
4.2.1.7 Entity-Relationship Model 148
4.2.1.8 Configuration, Configuration Management 149
4.2.2 Product Data Across the Lifecycle 150
4.2.3 Organising the Product Data 150
4.2.3.1 Departmental Focus 150
4.2.3.2 Paper 151
4.2.3.3 Document Management Group 152
4.2.4 Product Data as a Strategic Resource 153
4.2.4.1 Metadata 154
4.2.4.2 Product Data Architecture 155
4.2.4.3 Product Data Modelling 155
4.2.4.4 Product Data Rules 156
4.2.4.5 Managing Product Data 156
4.2.5 Tools to Represent Product Data 157
4.2.5.1 UML 157
4.2.6 Data Model Diagrams 157
4.2.6.1 Data Flow 158
4.2.6.2 Class Diagram 159
4.2.6.3 State Diagram 160
4.2.7 KPIs for Product Data 161
4.2.8 The Importance of Product Data in PLM 161
4.3 Reality in a Typical Company 162
4.3.1 Generic Issues with Product Data 162
4.3.2 Interaction with Other Activities 164
4.3.3 Interaction with Company Initiatives 165
4.3.4 Generic Challenges and Objectives 165
4.3.5 A Generic Vision for Product Data in PLM 166
4.3.5.1 Clean, Standard, Process-Driven Data 166
4.3.5.2 Digital Data 166
4.3.5.3 Data Management 167
4.3.5.4 Legacy Data 167
4.3.5.5 Data Exchange 167
4.3.5.6 Progress with Data, Information and Knowledge 167
4.3.5.7 Progress Report 167
4.4 Product Data Activities in the PLM Initiative 168
4.4.1 Product Data-Related Projects 168
4.4.2 Product Data Modelling 168
4.4.2.1 Iterative Approach 169
4.4.2.2 Involvement in Modelling 169
4.4.2.3 Characteristics of Modellers and Models 169
4.4.3 Product Data Improvement 169
4.4.4 Product Data Cleansing 170
4.4.5 Product Data Migration 171
4.5 Learning from Experience 172
4.5.1 From the Trenches 172
4.5.1.1 Devil in the Details (1) 172
4.5.1.2 Devil in the Details (2) 172
4.5.1.3 Devil in the Details (3) 173
4.5.1.4 Devil in the Details (4) 174
4.5.1.5 Devil in the Details (5) 174
4.5.1.6 Devil in the Details (6) 174
4.5.1.7 Devil in the Details (7) 175
4.5.1.8 Mission-Critical Product Data 175
4.5.1.9 Product Data in Prior Art 175
4.5.1.10 Product Data in the Operating Phase 176
4.5.1.11 Unexpected Reaction 176
4.5.1.12 Data Review (1) 176
4.5.1.13 Data Review (2) 176
4.5.2 Product Data Improvement Approach 177
4.5.2.1 As-Is 177
4.5.2.2 Towards To-Be 179
4.5.2.3 To-Be 180
4.5.2.4 To-Be Data Model 181
4.5.2.5 Benefits 181
4.5.3 Pitfalls of Product Data Modelling 181
4.5.4 Top Management Role with Product Data 182
4.5.4.1 Under Control 182
4.5.4.2 High Quality 182
4.5.4.3 Complete 182
4.5.4.4 Secure 183
4.5.4.5 Available 183
4.5.4.6 Strategic Asset in the Digital Company 183
4.5.4.7 Cross-Functional 183
4.5.4.8 Reusable 184
5 Information Systems in the PLM Environment 185
5.1 This Chapter 185
5.1.1 Objective 185
5.1.2 Content 185
5.1.2.1 Skills 186
5.1.3 Definitions 186
5.1.3.1 PLM Applications 186
5.1.3.2 PDM System 186
5.1.4 Relevance of Applications in PLM 186
5.1.4.1 Relevance of PLM Applications 186
5.1.4.2 Relevance of PDM Systems 187
5.2 Introduction to PLM Applications 187
5.2.1 PLM Applications in the Product Lifecycle 187
5.2.2 Generic and Specific PLM Applications 188
5.2.3 Generic PLM Applications 190
5.2.3.1 Data Management/Document Management 190
5.2.3.2 Part Management/Product Management/Configuration Management 190
5.2.3.3 Process Management/Workflow Management 190
5.2.3.4 Program Management/Project Management 191
5.2.3.5 Collaboration Management 191
5.2.3.6 Visualisation 191
5.2.3.7 Integration 191
5.2.3.8 Infrastructure Management 191
5.2.3.9 Idea Management 192
5.2.3.10 Product Feedback Management 192
5.2.4 Specific PLM Applications 192
5.2.4.1 Product Portfolio Management 192
5.2.4.2 Idea Generation Management 192
5.2.4.3 Requirements and Specifications Management 192
5.2.4.4 Collaborative Product Definition Management 193
5.2.4.5 Supplier and Sourcing Management 193
5.2.4.6 Manufacturing Management 193
5.2.4.7 Maintenance Management 193
5.2.4.8 Compliance Management 193
5.2.4.9 Intellectual Property Management 193
5.2.5 The PDM System: A Special Application 194
5.2.5.1 PDM Systems in the Early 21st Century 195
5.2.6 Organising the Applications 195
5.2.6.1 Departmental World 195
5.2.6.2 Enterprise World 197
5.2.6.3 PLM Application Architecture 198
5.2.6.4 PLM Application Strategy 199
5.2.6.5 PLM Application Management Processes 199
5.2.7 KPIs for PLM Applications 199
5.2.8 The Importance of the PDM System in PLM 200
5.3 Reality in a Typical Company 201
5.3.1 Generic Issues with PLM Applications 201
5.3.1.1 Ambiguous Name and Unclear Scope 201
5.3.1.2 Islands of Automation 202
5.3.1.3 Departmental Islands, Supplier Islands 202
5.3.1.4 Interface and Integration Need 202
5.3.1.5 Overlapping Data Management Functionality 203
5.3.1.6 Different User Interfaces 203
5.3.1.7 Organisational Match 203
5.3.1.8 Limited Operating Environment 203
5.3.1.9 Versions 204
5.3.1.10 Legacy Applications 204
5.3.2 Generic Issues with PDM Systems 204
5.3.2.1 Naming, Functionality, Scope 205
5.3.2.2 Change, Version Management 205
5.3.2.3 Interfaces 205
5.3.2.4 Data Model, Workflow 205
5.3.2.5 Ownership, Funding, Support 206
5.3.2.6 Fit in IS Architecture 206
5.3.2.7 Customisation, Installation 207
5.3.2.8 Everyday Use 207
5.3.3 Interaction with Other Activities 209
5.3.4 Interaction with Company Initiatives 209
5.3.5 Generic Challenges with PLM Applications 210
5.3.6 A Generic Vision for PLM Applications 210
5.3.6.1 Digital Company 211
5.3.6.2 PLM Application Architecture and Strategy 211
5.3.6.3 Product Data Management for PLM 211
5.3.6.4 PLM Applications Throughout the Product Lifecycle 211
5.3.6.5 PLM Application Standardisation 212
5.3.6.6 Interfaces 212
5.4 Application Activities in the PLM Initiative 212
5.4.1 Application-Related Projects 212
5.4.2 PLM Application Status Review 213
5.4.3 Software Development Approaches 215
5.4.4 PDM System Selection and Implementation 216
5.4.4.1 Standard IS System Selection Approach 217
5.4.4.2 Pitfalls of the Standard Approach 217
5.5 Best Practice PDM System Selection 218
5.5.1 Prepare the PDM System Project 219
5.5.1.1 Hold a Kick-Off Meeting 220
5.5.1.2 Know Thyself 220
5.5.2 Document the Business Objectives 221
5.5.3 Document the Current Situation 222
5.5.3.1 Activities in Scope 223
5.5.3.2 Product Data 224
5.5.3.3 Users of Product Data 224
5.5.3.4 PLM Applications 225
5.5.3.5 Product Data Management Systems 225
5.5.4 Identify PDM System Requirements 226
5.5.4.1 The Requirements Document 226
5.5.4.2 Rules for Requirements 228
5.5.4.3 Requirements Relative to the Current Situation 228
5.5.4.4 Gathering and Confirming the Requirements 228
5.5.4.5 Report the Business Objectives and Requirements 229
5.5.5 Know Your Partners 229
5.5.5.1 Identify Potential Partners 229
5.5.5.2 Write and Send the RFPs, Receive Replies 230
5.5.5.3 Make a Short-List of Candidate Partners 230
5.5.5.4 Benchmark Candidate Partners 230
5.5.5.5 Identify Scenarios 231
5.5.5.6 Potential Benefits 232
5.5.5.7 Specific Benefits 233
5.5.5.8 Costs 233
5.5.5.9 Other Criteria 233
5.5.5.10 Roadmap and Plan 233
5.5.5.11 Return on Investment 234
5.5.5.12 Risks 235
5.5.5.13 Build the Scenarios 235
5.5.5.14 Prepare and Present the Scenarios 235
5.5.5.15 Select the Partners 235
5.5.6 Pre-align with Your Partners 236
5.5.7 Align and Plan with Your Partners 236
5.5.8 Carry Out Detailed Design and Planning 237
5.5.9 Build and Plan the PDM System 237
5.5.10 Test and Validate the PDM System 238
5.5.11 Deploy the PDM System 238
5.5.11.1 Go-Live 238
5.5.12 Use the PDM System 239
5.5.13 Support and Sustain the PDM System 239
5.5.14 Review PDM System Performance 239
5.5.15 Achieve Breakeven for the PDM System 240
5.5.16 Evolve and Extend the PDM System 240
5.6 Learning from Experience 240
5.6.1 From the Trenches 240
5.6.1.1 Process Before System 240
5.6.1.2 Faraway 241
5.6.1.3 PDM Is for the Lifecycle 241
5.6.1.4 So That’s What We Do 241
5.6.1.5 A Clean Slate 242
5.6.1.6 Now I Begin to Understand 242
5.6.2 Guidelines for PDM System Implementation 242
5.6.3 Pitfalls of Application Implementation 242
5.6.4 Top Management Role with PLM Applications 244
5.6.4.1 Provide Vision and Leadership 244
5.6.4.2 Involvement with PDM 244
5.6.4.3 A Strategy for PLM Applications 245
5.6.4.4 Clarify the IS Role 245
5.6.4.5 Communication 245
5.6.4.6 Vendor Control 245
5.6.4.7 Budget 245
6 Organisational Change Management in the PLM Environment 246
6.1 This Chapter 246
6.1.1 Objective 246
6.1.2 Content 246
6.1.2.1 Skills 247
6.1.3 Relevance of OCM in PLM 247
6.2 Definitions and Introduction 248
6.2.1 Definitions 248
6.2.1.1 Organisation 248
6.2.1.2 Organisational Change 248
6.2.1.3 Organisational Change Management 248
6.2.1.4 Organisational Change Plan 248
6.2.2 Benefits of OCM 249
6.2.3 Incremental and Transformational Change 249
6.2.4 Equation for Change 250
6.2.4.1 Many Overlapping Changes and Change Projects 251
6.2.5 Resistance to Change 252
6.2.5.1 Employee Issues 252
6.2.5.2 Management Issues 253
6.2.5.3 General Issues 253
6.2.6 Prerequisites for Organisational Change 254
6.2.7 KPIs for Organisational Change 255
6.2.8 The Importance of OCM in the PLM Environment 255
6.2.8.1 Special Features of OCM in a PLM Initiative 255
6.2.8.2 Results of Ignoring OCM in a PLM Initiative 255
6.3 Participants in Change 256
6.3.1 Benefits of the Change to PLM 256
6.3.2 People Who Make Change Happen 257
6.3.2.1 Sponsors 257
6.3.2.2 The OCM Team Leader 258
6.3.2.3 The OCM Team: Change Agents 258
6.3.2.4 Champions 259
6.3.3 People in the Product Lifecycle 259
6.3.3.1 Functional Managers 259
6.3.3.2 Marketing Managers 260
6.3.3.3 Manufacturing Managers 260
6.3.3.4 Engineering Managers 260
6.3.3.5 Product Support Managers 261
6.3.3.6 PLM Managers 262
6.3.3.7 Product Engineers 262
6.3.3.8 Service Providers 263
6.3.3.9 Accepters, Blockers, Sleepers 263
6.3.4 Roles 263
6.3.4.1 Role in Change 264
6.3.4.2 Roles of Lifecycle Participants 264
6.4 Reality in a Typical Company 265
6.4.1 Generic Issues with Change 265
6.4.2 OCM Interaction with Company Resources and Initiatives 265
6.5 OCM Activities in the PLM Initiative 266
6.5.1 Projects Related to OCM 266
6.5.2 Plan the Change Project 267
6.5.2.1 Success Factors for OCM 267
6.5.3 Communication 268
6.5.3.1 Communicating a Simple High-Level PLM Message 270
6.5.3.2 Communicating the PLM Vision 270
6.5.4 Learning and Training 271
6.5.4.1 Coaching and Mentoring 272
6.5.5 The Reward System 273
6.6 Learning from Experience 274
6.6.1 Tips from the Trenches 274
6.6.1.1 Getting Started 274
6.6.1.2 Repeat Performance 274
6.6.1.3 Luxury Goods Manufacturer 275
6.6.1.4 Consumer Goods Manufacturer 275
6.6.1.5 You Can Take a Horse to Water 275
6.6.2 Be Realistic 275
6.6.2.1 Are We Able to Change? 275
6.6.2.2 Am I Willing to Change? 276
6.6.3 Pitfalls of Organisational Change 276
6.6.4 Top Management Role with OCM 277
6.6.4.1 Objectives 277
6.6.4.2 Resources and Skills 277
6.6.4.3 Leadership 277
6.6.4.4 Communication 278
6.6.4.5 Support 278
6.6.4.6 Convince Middle Managers 278
7 Project/Program Management in the PLM Environment 279
7.1 Skills and Relevance 279
7.1.1 Objective 279
7.1.2 Content 279
7.1.2.1 Skills 280
7.1.3 Relevance 280
7.2 Definitions and Introduction 280
7.2.1 Definitions 280
7.2.1.1 Project 280
7.2.1.2 One-Off Project, Repetitive Project 281
7.2.1.3 Why Project Management? 281
7.2.1.4 Project Management 281
7.2.1.5 Program 282
7.2.1.6 Project Schedule, Project Plan 282
7.2.1.7 Project Manager 283
7.2.1.8 Project Management Office (PMO) 283
7.2.1.9 Program Management Office (PMO) 284
7.2.2 Characteristics of Projects 284
7.2.2.1 Benefits of Project Management 284
7.2.3 People in Projects 285
7.2.3.1 Project Sponsor 285
7.2.3.2 Stakeholders 286
7.2.3.3 Steering Committee 286
7.2.3.4 Project Manager 286
7.2.3.5 Project Director 287
7.2.3.6 Project Team 287
7.2.3.7 Project Team Member 287
7.2.3.8 Team Leader, Track Leader 288
7.2.3.9 Subject Matter Expert 288
7.2.3.10 Business Process Architect 288
7.2.3.11 Data Modeller 289
7.2.3.12 Business Analyst 289
7.2.3.13 System Analyst 289
7.2.3.14 Solution Architect 290
7.2.3.15 Application Developer 290
7.2.3.16 Key User 290
7.2.3.17 Tester 291
7.2.3.18 Workshop Facilitator 291
7.2.3.19 Project Assistant 291
7.2.3.20 Project Coach 291
7.2.4 Project Phases 292
7.2.4.1 Phase 1 Project Management Activities 292
7.2.4.2 Phase 2 Project Management Activities 292
7.2.4.3 Phase 3 Project Management Activities 292
7.2.4.4 Phase 4 Project Management Activities 293
7.2.5 Project Management Knowledge Areas 293
7.2.6 Project Management Tools and Templates 294
7.2.6.1 PERT, PERT Chart 294
7.2.6.2 Gantt Chart 294
7.2.6.3 Project Management Software 294
7.2.6.4 Deliverables Checklist 294
7.2.6.5 Roles and Responsibilities Matrix 295
7.2.6.6 Risk Log 295
7.2.6.7 Risk Matrix 295
7.2.6.8 Risk Management Software 295
7.2.6.9 Issue Log 295
7.2.6.10 RACI Diagram 296
7.2.7 KPIs for Project Management 296
7.2.8 The Importance of Project Management in PLM 296
7.2.8.1 What’s Special About Project Management in the PLM Environment? 296
7.2.8.2 What Happens if You Don’t Do Project Management in a PLM Initiative? 297
7.3 Project Reality in a Typical Company 297
7.3.1 Generic Issues with Projects 297
7.3.2 Generic Issues with Project Plans 298
7.3.3 Interaction with Other Activities 299
7.4 Project Management Activities in the PLM Initiative 299
7.4.1 Projects Related to Project Management 300
7.4.2 Working with Consultants 300
7.4.3 Reviewing Readiness 301
7.4.3.1 Success Factors for Project Management 302
7.4.3.2 Benefits of Project Plans 302
7.5 Learning from Experience 303
7.5.1 From the Trenches 303
7.5.1.1 Workshops on Christmas Day 303
7.5.1.2 Changing Horses in Midstream 303
7.5.1.3 Kill Jimmy Meetings 304
7.5.1.4 Non-participating Project Members 304
7.5.1.5 Revolving Door Project Managers 304
7.5.1.6 The Project Manager Who Wasn’t 304
7.5.1.7 Moving the Goalposts 305
7.5.1.8 An Unsupportive Sponsor 305
7.5.1.9 Happy Birthday, Dear Project 305
7.5.1.10 Hierarchical Problems 305
7.5.1.11 Get Dirty Quickly (1) 305
7.5.1.12 Get Dirty Quickly (2) 306
7.5.1.13 Get Dirty Slowly 306
7.5.1.14 Would You Repeat That, Please? 306
7.5.1.15 Project Management Fracture 306
7.5.1.16 Sinking Project 307
7.5.2 Pitfalls of Project Management 307
7.5.3 Top Management Role with Project Management 307
7.5.3.1 Guidance About Goals and Changes 307
7.5.3.2 Encourage Project Planning 308
7.5.3.3 Only Start with a Good Chance of Success 308
7.5.3.4 Create an Appropriate Organisation 308
7.5.3.5 Get Involved and Stay Committed. Take Responsibility 308
7.5.3.6 Support and Develop the Project Manager 309
7.5.3.7 Champion the Project at the Executive Level 309
8 The PLM Initiative 310
8.1 This Chapter 310
8.1.1 Objective 310
8.1.2 Content 310
8.1.2.1 Skills 310
8.1.3 Relevance 311
8.2 Definitions and Introduction 311
8.2.1 Definitions 311
8.2.1.1 PLM Initiative 311
8.2.2 From 5 Pillars to the Initiative 311
8.2.2.1 Different Company, Different PLM Initiative 312
8.2.2.2 Differences Between Industries 313
8.2.2.3 Different Scope 314
8.2.2.4 Different Starting Points 315
8.2.2.5 Different Objectives 316
8.3 Getting Started 319
8.3.1 Middle Managers and Executives 319
8.3.2 Company Dilemma, Personal Dilemma 320
8.3.3 Going Nowhere 322
8.3.4 Getting to the Start Line 322
8.4 Approaches to a PLM Initiative 324
8.4.1 Standard Approach 324
8.4.1.1 Standard Approach, Different Steps 324
8.4.1.2 Getting Alignment of Views 325
8.4.1.3 Feasibility Study 326
8.4.1.4 The Current Situation: Steps and Structure 328
8.4.1.5 A PLM Vision: Steps and Structure 329
8.4.1.6 The Future PLM Strategy: Steps and Structure 330
8.4.1.7 Financial Justification of the PLM Initiative 332
8.4.1.8 The PLM Implementation Strategy 332
8.4.1.9 The PLM Implementation Plan 337
8.4.1.10 The PLM Initiative Charter 338
8.4.2 The Ten Step Approach 338
8.4.3 After Initiative Launch 340
8.4.3.1 Initiative Progress Reporting 341
8.4.3.2 Waning Interest and Pre-emptive Action 341
8.4.3.3 PLM Status Review 342
8.5 Learning from Experience 344
8.5.1 From the Trenches 344
8.5.1.1 Different Scope 344
8.5.1.2 Different Approach, Different Result 346
8.5.2 Pitfalls for the PLM Initiative 346
8.5.3 Examples of the PLM Dilemma 347
8.5.4 Results of Use of the Ten Step Approach 350
8.5.4.1 Understanding and Quantifying Options 350
8.5.4.2 Managing the Post-acquisition Situation 351
8.5.4.3 From PDM to PLM 351
8.5.4.4 Getting Started with PLM 351
8.5.4.5 Engineering Change Management 351
8.5.4.6 Identification of Benefits and Risks 351
8.5.4.7 Two Proposed Solutions 352
8.5.4.8 Findings 352
8.5.5 Common Features of PLM Initiatives 353
8.5.5.1 A Unique Initiative Benefiting from Experience of Others 353
8.5.5.2 A Multi-year PLM Initiative 353
8.5.5.3 A PLM Initiative Containing Many Projects 353
8.5.5.4 Phase the Initiative, Don’t Chop It Up 353
8.5.5.5 Order of Components 354
8.5.5.6 Step-by-Step or Big Bang 355
8.5.5.7 Starting Place 355
8.5.5.8 A Good Initiative Manager 355
8.5.5.9 A Cross-Functional Challenge 356
8.5.5.10 Learning and Understanding Takes Time 356
8.5.5.11 The Need for OCM 356
8.5.6 Top Management Role in the PLM Initiative 357
8.5.6.1 Appoint a PLM VP 357
8.5.6.2 Upfront Planning 357
8.5.6.3 Involvement and Commitment 358
8.5.6.4 Prescriptive Approach 358
8.5.6.5 Clear and Common Terminology 358
8.5.6.6 Architectures and Models 358
8.5.6.7 Digital Company 359
8.5.6.8 Product Strategy 359
8.5.6.9 Product Portfolio and Product Architecture 359
8.5.6.10 Model the PLM Environment 359
8.5.6.11 PLM Thought and Action 360
Bibliography 361
Index 362