What cloud PLM cannot do for you?

September 19, 2014

no-cloud-magic-plm

It has been already few years since I started to discuss cloud PLM opportunities on my blog. I found one of my early blogs about PLM and cloud – PLM and cloud: hold the promise?

So, what changed since then? Actually, quite a lot… We’ve seen massive adoption of cloud and mobile by businesses in many domains. PLM cloud adoption is growing too. Cloud is on the roadmap of all PLM vendors. It is really a question of "how to implement cloud?" rather than a question of "do we need to support cloud"? We also seen few very interesting examples of cloud applications in CAD/PLM space. I want just to mention few of them – Autodesk design tool Autodesk Fusion360, Dassault SolidWorks Mechanical Conceptual, Autodesk PLM360. Siemens PLM made their TeamCenter PLM available from IaaS infrastructure. Aras announced cloud strategy and introduced cloud product available via partnership with Infor ERP – Infor PLM Innovator. Cloud PLM pioneers, Arena Solutions, introduced several new cloud tools (BOM control and Quality management). Last but not least, GrabCAD, an open community of mechanical engineers released cloud PDM tool – GrabCAD Workbench. Earlier this week, GrabCAD was acquired by 3D printing company Stratasys. According to TechCrunch, article the deal was around $100M. I’m sure missed few products and companies…

Here are things that I discussed back in 2010 – cost of the solution, delivery model, global access, faster implementation, scaling. We learned a lot of about PLM and cloud for the last four years. Today, I want to make a reality check for list of things I discussed before in lights of what cloud PLM can or cannot do.

1- Cost

Cloud PLM made a mental switch in everything we knew about PLM before. According to Engineering.com article, cloud affected negatively on-premise PLM market. Cloud PLM created expectations for alternative pricing models and pushed all vendors to think how to turn PLM into service offering. Today, you can buy cloud PLM subscription with no upfront cost and hardware investment, which is a very good thing. However, I don’t think, total cost of ownership is different if you will calculate it on the period of 5 years. I’d love to see and learn more about that and love if you can share your comments.

2- Deployment, scale and IT

One of the best thing delivered by cloud PLM is related to deployment and IT cost. You can buy and deploy it instantly – almost similar to how you can open a new Gmail account. As a customer, you don’t need to worry about servers, setup cost, ordering hardware. You don’t need to negotiate with IT installation time. However, you cannot eliminate IT completely, especially if you are large company. For most of situations, you will have to discuss and make an alignment with IT about issues related to security and information access.

3- Faster Implementation

So, you can buy cloud PLM without upfront cost, you can deploy it overnight. What about PLM implementation? Implementation is an interesting thing. I’d like to speak about two aspects of implementations – 1/Configuration and customization; 2/ Implementations of business processes.

Four years ago, many companies were concerned about capability of web/cloud applications to deliver the level of flexibility, customization and configurations similar to on-premise PLM deployments. It is true, for most of situations, you cannot hack your cloud PLM with simple SQL script. However, I think, the flexibility of cloud PLM tools today is similar to on-premise PLM systems. However, flexibility of cloud PLM tools cannot provide real advantages compared to on-premise tools. Thanks for virtualization and modern collaboration technologies you can run your implementation remotely also for on-premise PLM systems.

Implementation of business processes is an interesting aspect of PLM implementation. In practice it means to define data structures and business processes. Cloud PLM won’t provide any advantages here. It is all about people, processes and organizational changes. So, the ugly truth is that cloud PLM won’t reduce your need of implementation services. In case of on-premise PLM, implementation will be done on site and collaborate with IT – installing, configuring and debugging customized software. In case of cloud PLM, you will need to work with cloud PLM vendor or hosting provider.

What is my conclusion? Cloud computing changed a lot in our life. PLM on the cloud can do many things differently. With much lower upfront cost and simple deployment, it opens PLM doors for many companies that never thought can buy and implement PLM systems before. However, when it comes to implementation and services, cloud PLM won’t do much different from on-premise PLM systems. You still need to implement it. It will require business process planning and implementation cost. Just my thoughts…

Best, Oleg


3 security related questions to ask your PLM cloud provider

September 12, 2014

plm-cloud-security

Cloud is getting wider adoption these days. An interesting trend I observe for the last year – customer are asking less questions about security. It was different 3-5 years ago. Everyone got concerned about cloud solutions security. Specifically for PLM domain, customers got concerned about company IP (drawings and other engineering-related materials that can be easy stolen without real ability to be returned).

It seems to me, the situation with security is getting different these days. Most of cloud companies are well prepared to answers on a typical set of questions related to data center protection, data redundancy, protection of customer data, monitoring and audit. Most of cloud companies are providing information about their security policies in a transparent way. Here are few examples – Amazon Security center; Autodesk Trust center; etc. There are lot of information cloud companies are placing outside to educate customers about security.

It is getting really hard for average business decision maker to make a conclusion about cloud security. The devil in details and to ask right questions is getting even more important than before. My attention was caught by InfoWorld article – Cloud security: We’re asking the wrong questions (thanks to one of my readers for sharing). My favorite passage is related to the ability to compare specific on-premise and cloud security aspects for a company:

To get an accurate answer to that question, you’d have to compare your on-premise solution (the entirety of it, including all your relationships) to the security offered by a particular cloud vendor. That’s hard to do in real life for a few reasons, led by the fact that most companies don’t know the security reality of their on-premise solutions — and followed by the fact that most cloud vendors won’t let you do onsite, direct security auditing of their systems. It’s a guessing game.

Companies have serious dilemma with regards to cloud adoption and security. On one side – anti-cloud specialists are keeping to buzz about cloud vulnerability and every security breach. On the other side, let’s face it, employees are using public and free cloud solutions anyway without IT approvals. It is important to come with a practical approach that helps company to make risk assessment with regards to cloud applications. InfoWorld article made me think about some set of initial questions that will help you to build an understanding of what "cloud solution" vendor is providing and how it does fit your company IT infrastructure. Here is the list I had in my mind this morning:

1- Account management. How cloud vendor manage user information and how company user database is mapped, used and / or imported into cloud infrastructure? The information about users and user-related characteristics is one of the most critical places for security breach. It is important to align it with your corporate directory management strategy. Specifically, check how to prevent potential APT (Advanced persistent threat).

2- Understand storage strategy. The risk of cloud implementation is a potential exposure of storage with sensitive data (eg. IP, documents, drawings, etc.). For short term storage oriented products it can be less sensitive. You maybe less concerned about storage for simulation results or visualization. However, storage of native CAD files with actual data can impose a different security risk.

3- Computing infrastructure. Cloud is a buzzword everyone use these days. However, behind fuzzy cloud words, actually you can find more info about specific computing infrastructure – IaaS, hosting, servers, operation systems, geographical locations and many others. Computing infrastructure strategy can be different and in many cases you can either ask vendor to disclose this information or find it by yourself. Usage of Google or Amazon won’t guarantee a specific security level. However, understanding of that, will help you to compare with your on-premise security level and assess your risks.

What is my conclusion? It is not simple to make a decision about your company readiness for cloud applications However, we need to face a reality, regardless on IT and management decision, the high probability is that your employees are already using cloud services. Engineers are placing documents on dropbox and using web email to send messages when your corporate email server stuck. Some of free collaboration software services are more efficient and/or more capable than your corporate PDM/PLM tools. So, better than ban cloud in your company, you should come with the list of questions that can help you to evaluate and build your path to the cloud. Just my thoughts…

Best, Oleg


CAD, PLM and Top 500 cloud app vendors list

September 5, 2014

top-cloud-apps-cad-plm-500

The cloud is growing. Few years ago, some of us had a concern if cloud is fad and it will over fast. Since that time, we can see many new companies in cloud space as well as many companies turned their development efforts completely towards the cloud eco-system.

If you like research, ranks and comparison of vendors, you may find the following list of vendors interesting. Apps Run The Cloud web site published the list of Cloud Top 500 Applications Vendors. You can see list of companies and detailed information about top 50 vendors for free. More detailed information requires subscription.

I’ve been trying to see what companies from CAD/PLM space made it to the list. Here is the list of companies with rank (assigned by Apps Run The Cloud) and domain (CAD or PLM):

120 – Autodesk (CAD)

158 – Altair Engineering, Inc. (CAD)

291 – Dassault Systems (PLM)

377 – Arena Solutions (PLM)

407 – Siemens PLM software (PLM)

What is my conclusion? Cloud is here to stay. The question is not "why the cloud?", but "how and what cloud vendor to choose?". I’ve been blogged about it before – PDM/PLM: Why the cloud? Wrong question… The growth of cloud software is fascinating. The fact 3 top CAD providers are in the list confirms the commitment of companies to cloud strategies and development. I didn’t find few names from CAD/PLM domain that I expected to see. I hope we will see more analysis and comparison of cloud strategies and cloud platforms in CAD/PLM space.

Best, Oleg


What the Dropbox price drop means for engineers and cloud PDM?

September 2, 2014

engineering-cloud-storage-pdm

Cloud storage is an interesting place these days. In my article CAD companies and cloud storage strategy few weeks ago, I discussed the aspect of cloud storage business. Cloud storage companies want your data and for that purpose they will make it very easy for you to sync your data into cloud storage.

Dropbox just made another move and simplified their cloud storage pricing model. Navigate to the following Business Insider article to see some interesting aspects of comparison between cloud storage providers. The most interesting part of the article speaks about specific cloud storage features – view only, password protection, time expiration and remote delete.

Dropbox’s new Pro plan also offers a few collaboration features, including “view-only” permissions, which is helpful for freelancers and contractors that want to show mockups to their clients without letting them make any changes. Dropbox Pro also lets users password-protect their links to any folders or documents, and even apply expiration dates to those items. As PCWorld’s Zach Miners points out, this would be useful for wedding photographers that only want to allow access to a particular album of photos for a limited time. Finally, Dropbox Pro will also let you delete any Dropbox files from a lost or stolen device while keeping those same files backed up in Dropbox’s cloud, which will be a relief for many who have ever worried about losing sensitive data on a misplaced device.

1TB is a lot of data. Even if you think about heavy CAD files, it is a lot. My guess 1TB can cover a storage for CAD and related Office files in many companies. But features differentiation is more important in my view. Dropbox price drop and attempt to introduce important features made me think about future trajectories of cloud storage and how it will related to engineers and growing number of cloud PDM solutions.

1- Cloud sync. Cloud storage will be free very soon. It will not be a differentiation factor to decide what solution to choose. The ability to bring your data to the cloud and bring it back at the time you need in a secure manner will be a key thing to evaluate. You can see how Apple, Google, Microsoft, Dropbox and other vendors are trying to simplify the cloud sync story for their eco-systems. So, think about your tools (CAD systems first!) and they way you work with your data before deciding to sync your files into one of major cloud storage service. To simplify data sync for CAD and other tools can be a first place to show advantages of cloud PDM.

2- Data access control. This is another fundamental functionality. Engineering data contains lots of dependencies. People are re-using the data between projects, working in teams and with different outsource providers. To support access control schema that can support individuals, small companies and teams in large companies can be a challenging task. This is a place where cloud PDM vendors can show a second advantage vs. generic cloud storage providers. For many companies, this is a showstopper to move into cloud solution.

3- Viewing service. It is extremely important to view files and data remotely without downloading file(s) to your computer and mobile devices. Engineering data stored in a very specific formats. To be able to access this data when it located remotely in the cloud can be a third important advantage of cloud PDM tools.

What is my conclusion? The time to pay for cloud storage is almost over. The next battle in cloud solutions competitive race will require to show functionality specifically tuned for engineering data. Cloud sync, access control and viewing is top 3 elements of any cloud PDM solution. The solution that will get it right, has a chance to win cloud PDM competition game. Just my thoughts…

Best, Oleg


Why now is the right time to reinvent PDM?

August 15, 2014

re0invent-pdm-now

Product Data Management (PDM) isn’t a new domain. The first PDM systems were invented 20-30 years ago with a simple objective – to manage product data. The scope of PDM was heavily debated and included design, engineering BOMs, ECO and even supply chain. However, the most widely accepted role of PDM is to manage CAD files and their revisions.

For long time, PDM was recognized as somewhat you only need to consider if a size of your engineering department is large enough. Even starting price to implement PDM solution went down significantly for the last 20 years, my hunch average PDM solution starting cost for engineering organization with 10-15 people will be about $30-50K. Cost and implementation complexity made PDM business limited to larger companies and was mostly handled by resellers with special skills and knowledge. Most of them associated with a specific CAD vendor channel.

CAD vendors recognized the need and complexity of PDM. For most of vendors the answer on PDM demand was to develop (or acquire) a dedicated PDM system bundled with their CAD software. As a result of that, most of PDM players were acquired. Most of existing (remaining) PDM vendors are either focusing on a specific geographical niche or developed additional solutions usually branded with "PLM" buzzword and strategy.

My hunch is that until last year, PDM market was somewhat stalled and focusing on replacing of outdated versions of PDM software as well as support of new CAD software releases. Then something happens… For the last months, I can see an increased interested in PDM software. I noticed few focused researches and articles in the field of PDM – Expert Guide to the Next Generation of PDM; TechClarity Expert Guide for Basic CAD management and few others.

Also I want to mention few activities by vendors focusing on basic PDM functionality. It started from more traditional OOTB approach made by PTC Windchill PDM Essentials, SolidEdge SP focusing on SharePoint platform leverage and GrabCAD Workbench using "cloud platform" as a differentiation strategy.

Consilia Vector published CAMScore report for GrabCAD Workbench where CAMS stands for Cloud, Analytics, Mobile, Social. In my view, these major trends are making a renaissance in the space of PDM.

As I mentioned before, because of cost and complexity, PDM software was out of reach for many smaller companies and engineering departments. DIY (Do it yourself) PDM approach combining network file share, Excel files and FTP is a solution for probably 60-70% of market. For many years, to share files using network and USB drives was "good enough solution". But the era of file sharing changed forever with coming trend of social networks, mobile and cloud. So called YAPSA (Yet Another Photo Sharing Apps) became widely available in our everyday life. The question why PDM is so complex and why we cannot manage and access CAD data similar to what we do with photos and videos brings PDM solution back to the innovation room.

What is my conclusion? Cloud, web and social technologies in consumer space reached the level of maturity. It comes to the point where new tech and awareness of cloud and social approach are going to challenge a traditional PDM space. In addition to that, looks like an existing approach to use network drives and file sharing to manage CAD files is coming to logical end. People will be looking how to copy YAPSA approach into PDM space. So, it is time for PDM to change. Just my thoughts…

Best, Oleg


Will public clouds help enterprises to crunch engineering data?

August 6, 2014

google-data-center-crunches-engineering-data

The scale and complexity of the data is growing tremendously these days. If you go back 20 years, the challenge for PDM / PLM companies was how to manage revisions CAD files. Now we have much more data coming into engineering department. Data about simulations and analysis, information about supply chain, online catalog parts and lot of other things. Product requirements are transformed from simple word file into complex data with information about customers and their needs. Companies are starting to capture information about how customers are using products. Sensors and other monitoring systems are everywhere. The ability to monitor products in real life creates additional opportunities – how to fix problems and optimize design and manufacturing.

Here is the problem… Despite strong trend towards cheaper computing resources, when it comes to the need to apply brute computing force, it still doesn’t come for free. Services like Amazon S3 are relatively cheap. However, if we you want to crunch and make analysis and/or processing of large sets of data, you will need to pay. Another aspect is related to performance. People are expecting software to work at a speed of user thinking process. Imagine, you want to produce design alternatives for your future product. In many situations, to wait few hours won’t be acceptable. It will be destructing users and they won’t use such system after all.

Manufacturing leadership article Google’s Big Data IoT Play For Manufacturing speaks exactly about that. What if the power of web giants like Google can be used to process engineering and manufacturing data. I found explanation provided by Tom Howe, Google’s senior enterprise consultant for manufacturing quite interesting. Here is the passage explaining Google’s approach.

Google’s approach, said Howe, is to focus on three key enabling platforms for the future: 1/ Cloud networks that are global, scalable and pervasive; 2/ Analytics and collection tools that allow companies to get answers to big data questions in 10 minutes, not 10 days; 3/ And a team of experts that understands what questions to ask and how to extract meaningful results from a deluge of data. At Google, he explained, there are analytics teams assigned to every functional area of the company. “There’s no such thing as a gut decision at Google,” said Howe.

It sounds to me like viable approach. However, it made me think about what will make Google and similar computing power holders to sell it to enterprise companies. Google ‘s biggest value is not to selling computing resources. Google business is selling ads… based on data. My hunch there are two potential reasons for Google to support manufacturing data inititatives – potential to develop Google platform for manufacturing apps and value of data. The first one is straightforward – Google wants more companies in their eco-system. I found the second one more interesting. What if manufacturing companies and Google will find a way to get an insight from engineering data useful for their business? Or even more – improving their core business.

What is my conclusion? I’m sure in the future data will become the next oil. The value of getting access to the data can be huge. The challenge to get that access is significant. Companies won’t allow Google as well as PLM companies simply use the data. Companies are very concerned about IP protection and security. To balance between accessing data, providing value proposition and gleaning insight and additional information from data can be an interesting play. For all parties involved… Just my thoughts..

Best, Oleg

Photo courtesy of Google Inc.


Here is why CAD in the cloud is more than mainframe terminal

August 1, 2014

CAD-IBM-mainframe-term

Cloud is one of the topics that I’m following on my blog for a long time. I can see lots of changes that happened in CAD / PLM world for the last few years with everything that related to cloud. I’m sure you remember very turbulent announcement about SolidWorks future in the cloud made during SWW 2010. Since then, I was looking how CAD/PLM vendors were taking different cloud approaches based on their customer base, long term vision and strategy. Here are some of my previous posts speaking about vendors and different cloud strategies – Dassault is going to support all PLM cloud options by 2015; PLM cloud switch and PTC final click; Siemens PLM analyst event PLM public cloud strategies; Cloud and IaaS options; PLM/PDM Why Cloud? Wrong question…

I read Siemens PLM blog post – Is it time to revisit CAD in the cloud? by Matt Lombard. The article raised many question and concerns in my head. So, I decided to share them with you to compare our notes about cloud strategies. My attention was caught by the following two statements: 1/ Cloud has nothing to do with CAD. It is IT; 2/ Cloud in the cloud will send us back to manufacturing/terminal arrangement. Here is the passage from the post about that:

The cloud has nothing to do with CAD, really. The cloud is all about how you deliver the software, and/or about how you store the data. It’s IT. There was a time when all CAD software was delivered across a network to individual terminals, and the data was stored centrally. People about my age who remember this sort of thing generally refer to that as the “bad old days”. Working on terminals that had to log in to a mainframe was inconvenient. If the mainframe was down, no one could do anything.

The personal computer (PC) revolution was such a big hit because it gave you more flexibility. Everyone had their own computer. It took us out of the collective, and made us individuals again. In the mid 90s, along with Windows NT, this meant that we could start using our technical engineering applications on PCs, which were far less expensive and restrictive when compared to mainframe setups.

“CAD in The Cloud” promises to send us back to the mainframe/terminal arrangement. Whether it’s a local cloud, on your company’s LAN or a public cloud on Amazon or IBM, or a private cloud you access over the internet, it’s the same idea as the mainframe/terminal. But is it a good thing, or a bad thing?

These two statements made me think again about completely different approach companies can take in terms of cloud adoption. You can consider cloud as "yet another server" located elsewhere and managed by somebody else (not by the IT of your company). From a very narrow point of view, it is true. However, think for the moment about potential elastic computing power. You might rethink your position. The ability to bring brute computing force will allow you to speed up design and analysis. You can compare variants, visualize your design and re-use early projects in a completely different way. It can change design and decision process completely.

Another aspect is related to collaboration and data access. By moving your PDM server into cloud can gain some benefits. It mostly around IT cost and global access. However, you can achieve much more by allowing people to communicate across departments and extended value chain. It opens many opportunities in communication, business optimization and analytics services.

Another interesting point made by Matt is related to desktop tools. Matt comes with the explanation about relationships between SolidEdge and cloud. Here is the passage from the blog:

For all of these reasons, I like the approach that Siemens PLM has when it comes to the cloud. Solid Edge does not appear to have any cloud aspirations at this time, but there are versions of enterprise software that will allow for local cloud set up. Giving the customer the choice and the control without coercing them is the right thing to do.

I like the way Matt put the connection between SolidEdge as a desktop software and so called "enterprise software that will allow for local cloud set up". I reminded me TechCrunch article – The Return Of The Desktop Productivity App. What I like is the role desktop applications play in the triad of desktop-web-mobile. All together, these applications become part of connected cloud platform. Think about Evernote for a moment. You can use desktop version of Evernote and transparently switch to mobile and web version depends on the situation and need. Your notes remain captured and available to view, edit and collaborate. This is a big deal. This is how we will use software tomorrow. Desktop CAD applications will be seamlessly connected to cloud platforms providing backbone for communication, collaboration and storage.

What is my conclusion? Think about web and cloud as a new platform. It will bring a completely new paradigm of design and engineering. As a first step you can think about it as an old "mainframe/terminal" or "yet another server located elsewhere". However, cloud trajectory will take us much further. It will bring new connected platforms that will change the way we communicate and collaborate. Elastic computing platforms will help us to find optimal design solution and intelligently use customer data for analysis. Just my thoughts…

Best, Oleg

The photo courtesy of computerhistory.org


Follow

Get every new post delivered to your Inbox.

Join 250 other followers