PLMosaur, Traditional PLM and SaaS Newbies

I think cloud / SaaS option for PLM can become a reality earlier than expected. Listening to customers, vendors as well as reading all news and buzz stream, I can definitely see a changing trend with regards to cloud based solutions. There is an increased trend of discussion about possible PLM scenarios to introduce a cloud based and SaaS solutions. I can recommend to read the following posts from Jim Brown blog – Cloud and Multi-touch CAD/PLM: Engineer’s Nightmare , Josh Mings’ SolidSmack about SolidWorks on the Cloud. In addition, you can take a look on a very interesting presentation about Cloud/SaaS and PLM strategy by Tata Consultancy Services from PDT Europe last year. You can download slides from this location and, dispite “the confidential note”, these slides contain some excellent thoughts about PLM SaaS, PaaS and IaaS offerings.

Cloud and PLMosaurs
In my view, existing PLM vendors are facing significant disruption from the side of agile and lean vision of PLM/SaaS. Why I’m saying a vision? Because, realistically, I don’t see a significant presence of SaaS / Cloud based offering on the market. It seems to me, existing vendors have hard time to make solutions co-exist (i.e. PTC/IBM or Oracle Agile). The issue of security is a nuclear weapon that on premise vendors put in front of the customers when a discussion about moving to SaaS becomes really hot. As part of this discussion, the story of private cloud comes up, and I can see a tendency of PLM providers to think about moving existing PLM solutions hosted by public or private clouds. What will happen to existing PLMs? Is there a possibility for existing PLMs to survive and successfully squeeze into a cloud, or they will become PLMosaurs? This is a very good question, and I think, we’ll experience multiple trials of existing PLM solutions jumping on the cloud soon.

Lightweight and Granular
Life on cloud is not as easy, and if I’m looking on the experience of Salesforce.com, PLM vendors need to think twice before moving current product offering on the cloud. I’d recommend an excellent reading Behind The Cloud by Marc Benioff. Current monolithic architectures may have potential problems and will require re-engineering. Cloud will require a different content creation and application granularity techniques. Current solutions have a potential to re-use expertise and leveraging existing customer base, but this is going to be a challenging path.

PLM SaaS Newbies
There is a small presence of new companies in this space. PLM+ made a splash last year by their announcement, Vuuch is another interesting solution that can pretend on some of the space covered today by existing PLM products. I was reading Jim Brown’s write up about the future of engineering software strategies. He mentioned fewer new entrances and, at the same time, stated that “to innovate in a garage” is much easier than doing the same in a big company.

What is my conclusion? It seems to me PLM companies need to think how to ramp up with SaaS solutions. My concern is that hosting current product offerings as a SaaS by moving them to the cloud is one possible strategy, and it will be realized by PLM mindshare leaders soon. There are some advantages together with some disadvantages and a danger to end up moving all existing PLM problems on the cloud. I think, PLM needs to find an alternative way to solve manufacturing problems by providing granular SaaS solutions. This is the time to learn from the past experience of Arena, PTC/IBM and other pioneers of SaaS PLM offering and think about the future.

Just my thoughts…
Best, Oleg

Pic by lleugh (http://www.flickr.com/photos/lleugh/ / CC BY-NC-SA 2.0)

Share

About these ads

9 Responses to PLMosaur, Traditional PLM and SaaS Newbies

  1. Nawal says:

    Oleg,

    Do you think we have answer to question – “Is cloud for everybody?”. I have heard stories were simple email server on cloud are not going well for some companies though they seem to be working for other companies.

    Is there any understanding about what works well on cloud on what does not? Here I mean more from use-case and business process point of view.

  2. Nawal, Thanks for comment! I don’t know what is “a cloud for everybody”. I don’t think cloud will use some homogeneous solution for everybody. I think, many different services will be available on the cloud to server, engineering and manufacturing needs in the future. We need to learn from Salesforce or similar companies today how to do so… Best, Oleg

  3. Nawal says:

    Oleg, what I meant by that is from point of use-case/usage scenario. Is cloud more suited to certain kinds of usage and won’t work for other kinds. For example, can Cloud work for WIP data management as against only being a release process vault.

  4. [...] PLMosaur, Traditional PLM and SaaS Newbies « Daily PLM Think Tank Blog [...]

  5. [...] PLMosaur, Traditional PLM and SaaS Newbies « Daily PLM Think Tank Blog [...]

  6. Nawal, I think, I got your point. First, think about cloud as another way to put your “server”. It helps you to understand the idea. Database server, Email, Files, etc. When you get this idea, the next step is to think about the cloud as a place where you can run service of any kind – i.e. Make rendering, analyzes, calculation, etc. Like you are typing c:\ when you want to access file system, you can type- “http:\\mycloud\checkmymodel “… this is, of course, pseudo code :)… but can give you some initial point to think about… Best, Oleg

  7. Anything written by Marc Benioff is worth the read. And moving to the cloud is not going to be the easiest thing but it needs to be worked out if not I see companies fading into the sunset. Thanks for the post.

  8. Joseph, thanks for your comment! oleg

  9. […] If you are long time readers you can probably remember my Where is PLM on industry cloud map? or PLMosaur, Traditional PLM and SaaS Newbies. Cloud PLM is a real thing these days. PLM vendors are approaching cloud PLM is a different ways. […]

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

Follow

Get every new post delivered to your Inbox.

Join 244 other followers

%d bloggers like this: