PLM and the death of complexity

April 24, 2012

The complexity of engineering and manufacturing software is a well-known fact. The topic isn’t really new. For the last couple of years the complexity topic came to me in different context and various forms. Two weeks ago, I was writing about that in my blog – PLM: Data, Search and Future User Experience. If you haven’t had a chance to read it, please take a look.

One of my working hypotheses these days is that consumer market and consumer software provides a significant injection of ideas for user experience. In parallel consumer behaviors of web and other software are changing state of mind of many end users. I was reading an article outline from Gartner about consumer trends that impact technology. I found this write up quite interesting. Navigate your browser to the following link to read it – Gartner Outlines 10 Consumer Macro Trends to Impact Technology, Media and Service Providers for Next 10 Years and have a read. This passage is my favorite one.

Market Trend No. 9 — The Death of Complexity

The consumer market is becoming progressively less tolerant of complexity. Although consumers tend to buy products with ever-richer features, they often prefer those that are simple and intuitive. The ability to provide appealing and intuitive user interfaces has become a critical point of differentiation among competing technology providers. As technology becomes more complex, vendors need to invest more in keeping the user interface simple and intuitive. T&SPs therefore need to focus on simplifying technology, pricing, brand messaging, and feedback and interaction, and consider offering chargeable help services for consumers challenged by installing and configuring new equipment and services in their homes.

It made me think that fighting complexity will be one of the most critical elements of the future CAD/PLM vendor strategies. I was looking on what CAD/PLM companies are doing these days. I can summarize it in the following 3 directions:

1- Leverage OS user experience.

This direction was very popular in the past. In the world of Microsoft Windows dominance, to adopt OS user experience and make your application transparent is an interesting decision. It started from leveraging File Explorer UI and continue towards deeper integration with Microsoft Office, SharePoint and other systems. The examples are SolidWorks EPDM, PTC Windchill and few others.

2- Mimic successful web application in consumer market

Web is the source of inspiration for many startup companies and well established brands in CAD / PLM. The most popular elements of use experience that companies have tried to use were – Google search and Social Networking. The experiments presented by Siemens PLM as Active Workspace is one of the examples. Dassault came with Exalead search SBA, but I have never seen something that was delivered in this space by Exalead after DS acquisition.

3- 3D and Gaming

Because design content in CAD is visual and in many cases is 3D, companies have tried to use gaming analogies to develop the next successful user experience in this space. 3DLive from Dassault was clearly pioneering in this space by delivering their 3DLive. These days, I want to mention Siemens PLM Active Workspace. It is another interesting experience of mixing of 3D and search experience.

What is my conclusion? The death of the complexity is here. PLM and other software vendors in the manufacturing and engineering space need to take a note. The user experience will not be set by enterprise monsters. New generation of people will not tolerate the complex PLM software. This is a time to rest the expectations. Just my thoughts…

Best, Oleg

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Product Lifecycle Management and Obsessive Taxonomies

March 26, 2012

I’ve been reading tweeter stream during my short weekend at home. One of the tweets from Randal Newton caught my special attention. This is the message:

This message made me think about PLM systems, taxonomies and folksonomies. If you’re new to this term, a short intro.Taxonomies is what you most probably know as data classification. From Wikipedia article:

Taxonomy (from Greek: τάξις taxis “arrangement” and Greek: νομία nomia “method”[1]) is the science of identifying and naming species, and arranging them into aclassification.[2][3] The field of taxonomy, sometimes referred to as “biological taxonomy”, revolves around the description and use of taxonomic units, known as taxa (singulartaxon). A resulting taxonomy is a particular classification (“the taxonomy of …”), arranged in a hierarchical structure or classification scheme.

Taxonomies are created by a single individual or a team, and it is clearly represented as hierarchical structure. Opposite to taxonomies, folksonomy presents a different way of data organization.

A folksonomy is a system of classification derived from the practice and method of collaboratively creating and managing tags to annotate and categorize content;[1][2] this practice is also known as collaborative tagging,[3] social classification, social indexing, and social tagging. Folksonomy, a term coined by Thomas Vander Wal, is aportmanteau of folk and taxonomy. Folksonomies became popular on the Web around 2004[4] as part of social software applications such as social bookmarking and photograph annotation. Tagging, which is one of the defining characteristics of Web 2.0 services, allows users to collectively classify and find information. Some websites include tag clouds as a way to visualize tags in a folksonomy.[5] A good example of a social website that utilizes folksonomy is 43 Things.

Take a look on an interesting picture presenting opposite worlds of taxonomies and folksonomies. It is about top-down and bottom-up:

I’ve been thinking about taxonomies and folksonomies in a sense of system rigidity. Most of PLM systems built with a predefined set of rules and models. It creates a certain level of resistance when it comes to the usage of the systems. Customization of systems is complicated, sometimes is cumbersome. Opposite to that, folksonomies is a model that can be “collaboratively created“. This element of collaborative creation is something that can be very much appealing to most of the engineering that like to think more flexible.

Social is another aspect. Social is trending and some companies are trying to bring it as a differentiation in PLM game these days. It would be interesting to see if social PLM and other systems pretending to be “social” are using folksonomical approach to help people to organize data within lifecycle.

What is my conclusion? PLM needs to learn new words and methods of work that prove themselves in the last 10 years of Web. Folksonomies is one of them. The rigidity of existing systems (obsessive taxonomies) need to be transformed into a more flexible and granular approach. Just my thoughts…

Best, Oleg

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The Enterprise and PLM will rock 2012?

December 18, 2011

As usual, at the end of the year, there is a time for blog posts with predictions, opinions and future trends. Last 2-3 years of technological boom were around consumer applications – social, web, mobile. These are three major application field that developed many technologies of the past years. How it may impact enterprise and PLM?

I was reading thebarefootvc blog earlier today – 10+ trends: recap of 2011 and what’s next… One of the trends mentioned in the context of 2012 was Enterprise. This is my favorite passage:

The Enterprise: The last few years have focused on consumer usage and adoption of technology. However, large companies are recovering from the shock of the 2008 collapse and re-aligning to the New Normal. Technology can play a role through cost reduction and creating efficiencies (virtualization, cloud computing) as well as top line revenue enhancement (utilizing data and social media for better customer service and sales strategies). New financial services and healthcare regulation will also create the need for related IT solutions.

It made me think about PLM in 2012. Few important events happened in the end of 2012. One of them – Autodesk entered PLM. This is an important move. Autodesk means "volume". Consumer market is also about volume. Volume means broader adoption and lower prices. Volume is about Toyota and not about Lexus. Second is a broader adoption of the cloud technologies. For many enterprise organizations now it is a question of "when" and not a question of "why".

What is my conclusion? 2012 has a potential to become a year of PLM rock stars. Cost will be one of the most important factors of PLM in a near future. Cloud technologies and behemoths like Autodesk will be playing a significant role in this process. Just my thoughts…

Best, Oleg

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DIY PLM and Zero Email Policy

December 16, 2011

Let’s talk about emails today. How many of them are you reading or writing daily? A lot? Emails are with us for the last 50 years. Will it stay with us for the next 50? Actually, some researchers are saying that we are reading fewer emails. Especially when it comes to younger people. Read last year NYT article – Email gets an instant makeover. Take a look on the following chart below from this article.

Younger people are actually banning emails and moving towards social networks. I remember the story that happened to me few months ago on board of the flight to Europe. Talking with my neighbor, I discovered that he has no email account. When I asked him how he is communicating, he said – Facebook and cell phone.

Do It Yourself PLM (DIY PLM)

What is DIY PLM? Earlier, this year, in my presentation during Autodesk Forum in Moscow, I analyzed PLM implementation options. You can see my presentation here. DIY PLM is one of the ways people are implementing PLM these days.

One of the observations, I’ve made is that email is one of the fundamental tools companies are still using to create an easy path to PLM by allowing to people to communicate and run product development processes.

Zero Email Policy

About a couple of weeks ago, I was reading the following ABC News article – Tech Firm Implements Employee Zero Email Policy. Employees of tech company Atos will be banned from sending email under new company "zero emails" policy. Here is a very interesting quote:

CEO Thierry Breton of the French information technology company said only 10 percent of the 200 messages employees receive per day are useful and 18 percent is spam. That’s why he hopes the company can eradicate internal emails in 18 months, forcing the company’s 74,000 employees to communicate with each other via instant messaging and a Facebook-style interface.

What is my conclusion? I think zero emails can be an opportunity for PLM vendors to propose some "new collaboration" infusion to companies. At the time companies are tired from emails and new generation is shifting towards something different like Facebook-style communication, PLM vendors have some advantages. It is already happened. Lead PLM companies are thinking about new "social" ways. You can see Dassault’s 3DSwYm, PTC Social product development and some others. However, vendors, please don’t make it lame… like emails. Just my thoughts…

Best, Oleg

image is courtesy of neboweb.

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PLM and Strategic Technologies for 2012

October 26, 2011

We are in the Q4 of 2011. It is a traditional time start thinking about what is going to happen in 2012. I was reading Gartner’s Top 10 strategic technologies for 2012 published after Gartner’s ITxpo 2011 Symposium last week in Orlando. What is strategic technology according to Gartner:

What’s a "strategic technology"? The short version is that a strategic technology is one that has the potential for "significant impact on the enterprise in the next three years." That means either an existing technology that’s matured or become suitable for wider use, or it’s an emerging technology that could provide a strategic business advantage for early adopters. If it’s new(ish) and going to impact your organization’s long-term plans or initiatives.

I expected (and hope you too) to see "cloud" in the list. However, the rest of the list looks interesting. Here is the list:

  • Cloud computing
  • Big Data
  • Extreme Low-Energy Servers
  • Next-Generation Analytics
  • App Stores and Marketplaces
  • In-Memory Computing
  • Mobile-Centric Applications and Interfaces
  • Contextual and Social User Experience
  • Internet of Things
  • Media Tablets

Read about Gartner perspective in details here. Some of the things are resonating with my thoughts about what PLM technologies will emerge and how CAD/PLM vendors can leverage them. Please take a look below on my take about what technologies will be important for the future development of software for manufacturing and engineering.

Cloud Computing

Well.. this topic is everywhere. I think "cloud" is about shifting paradigms. People, by mistake, see the cloud as a renaissance of mainframe computers connected via the internet. However, it is wrong, in my view. There two things where cloud will provide a shift – cost of services and availability. Take a look on one of my latest posts about the cloud- 3 Key Cloud principles: will CAD/PLM follow?

Big Data

The stories about Big Data are fascinating. The importance of big data related technologies in manufacturing is obvious. The amount of data gathered by enterprise organization is huge. Most of this data is "invisible" today. A fraction of this data is controlled by enterprise software. Rest lives between workstations, databases, Excels, portals and personal USB drives. A significant portion of data now is on the web, but it is not connected to information inside of companies. To have the ability to connect information Design-Engineering-Manufacturing-Support-Service-Marketing (sounds PLMish) is where big data technologies can help.

Next generation analytics

Business in general and manufacturing company specifically is all about a decision. You cannot manage anything if you cannot measure and analyze data. How efficient is your design, energy consumption, customer adoption rate, customer complains, supplier’s efficiency – all this information needs to be analyzed? The ability to embed analytics in the decision process is the key issue and top priority for most of the companies.

App Stores and Market Places

This is part of what called "consumerization". We finally got it with iPhone, iTunes, etc. Now we expect the same magic to happen in business. In my presentation earlier this month on Dassault PLM forum, I mentioned Enterprise App Store as something that will have a huge potential in the future. However, many questions are still not answered – who will decide about the purchase, how apps will be selected, how integration will happen, etc.

In-memory computing

The impact of how products can leverage new memory technologies (i.e. Flash drives) is incredible. Especially when it comes to calculation, simulation and analyzes. So, I expect it to be part of technologies, CAD companies will use the most.

Mobile centric application and interfaces

I hope you are taking mobile seriously. The revolution here is under go, and we will see lots of improvements in this space. However, the main point – you don’t need to be at your desktop to decide is probably the key. The amount of time, people will use mobile device and not laptop/workstation is growing. It will help to develop fields like – marketing, support, technical operation and many others. Since I published. Who can generate 3D/PLM content for Apple iPad two years ago, we can see a huge progress. You can see mobile/ iPad apps in the portfolios of almost every CAD/PLM company. Future here will be just amazing, in my view.

Contextual and Social Experience

Well, this is another "new kid". I think, everybody these days experienced "social addiction" of Facebook and other social networks. The "aha" moment these days is to understand how it will impact our business life and business decisions. Social technologies are running fast, but to find really workable stuff is hard. One of my last write ups about that is -PLM and Social Enterprise: Files vs. People? can give you some ideas where social can go.

Internet of things

Another "fascinating topic" in my eyes. I’m following "internet of things" trend for some times now. Here is my short note about that almost 2.5 years ago – PLM and Internet of Things. Some technologies in this space are really interesting for manufacturing / engineering – sensors, image recognition, 2D to 3D conversions.

Media Tablets

This technology is kind of extension to "mobile" story. However, it is all about experience and information consumption. My favorite example – Flipboard for iPad. You can take another "almost 2 years ago post" – Things are getting touchy (PLM Tablet user experience) and compare it with your experience today. Another aspect of tablet technologies is the development of API for information access.

What is my conclusion? Prediction is a tough job. Talking about technologies in the context of the future is twice though. In general, customers don’t care about technologies. They care about "getting job done". However, speaking about engineering, manufacturing and enterprise, I can see a "momentum for new technologies", because this place was too long unchanged. Just my thoughts…

Best, Oleg

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PLM Vendors and “Cloud Marketing” Hype

October 19, 2011

From time to time, I’m experimenting with Google Trends. These results, obviously, cannot be counted as a serious research. At the same time, they can provide some insight on what happens. This morning, I was playing around “cloud” and “database” terms. I wonder if possible to find any evidence of changes in the balance between these two trends from the marketing standpoint. So, you can take a look on results:

Looking on the picture above, you can see the trend is clear. However, in order to neutralize the influence of “ash clouds” :) , I also made a comparison between “database software” and “cloud software”.

PLM Marketing

CAD/PLM companies demonstrated a significant amount of focus introducing cloud oriented solutions. Earlier, I was talking about Autodesk and Dassault investments into cloud solutions. However, I found some interesting thing about Arena Solutions too. Arena is definitely not a newcomer if we speak about what we call cloud. Arena roots are going back into dot.com era 1990s when the company was started as bom.com. I tracked some funny marketing transformations that happened to Arena very recently.

Take a look on former definition of what Arena is doing (I took it from the old press release almost 4 years ago).

Arena Solutions is the leading provider of on–demand (SaaS) product lifecycle management solutions for manufacturing companies of all sizes. As the only true on–demand, secure Internet–based PLM service, Arena PLM provides a superior alternative to complicated, lengthy and expensive traditional PLM software deployments.

Fast forward into 2011. Pay attention on how Arena Solution presented now – Bill of Material (BOM) and change management solution in the cloud. It is also interesting to see a fresh look and feel of Arena solution website saying: Put your product data where it belongs. In the cloud. Interesting marketing transformation. Kind of “back to roots”.

What is my conclusion? I think, changes are really happen now. Even less than a year ago, people exposed lots of fear when talking about business solutions in the cloud. Not any more. I can see strong trends among the companies trying to evaluate possible advantages of cloud technologies. At the same time, when lots of things happen around in consumer technologies, marketing hype around the cloud becomes very strong, so enterprise software companies are trying to catch the wave. Just my thoughts..

Best, Oleg

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PLM & Market and Technology Trends

October 14, 2011

Yesterday I spent my day on Dassault PLM Forum in Moscow. The event website is here. You can see the agenda of the forum in English here. I was talking about PLM relations to modern market and technological trend.

Best, Oleg

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PDM/PLM and Future Competition

August 19, 2011

Google-Moto deal created a lot of fuss and speculation. At the same time, it created an example of cross-domain innovation, which in my view, worth being analyzed. I’ve been reading Forrester blog earlier today -What Signal Does The Google-Motorola Marriage Send To Product Strategists? Thinking about PLM future, I found the following strategic guidance important:

1. Forget what you know about traditional competitors. If you think you have a rock-solid understanding of your biggestcompetitive threats — think again. You’re probably wrong.

2. Learn as much as you can about adjacent innovations. Look around the fringe of your organization and yourindustry. There are likely to be several pockets of adjacent innovations all around you. If you can’t see them, you’re not looking hard enough. In fact, the next big disruption in your industry will be the result of the unexpectedconvergence and application of those adjacencies.

3. Learn how to control the chaos of idea overload. If you calibrate your R&D spend to stay within your traditionalindustry guardrails, you will fail to see the big adjacent opportunities that may be staring you in the face from theoutside. To be clear, this doesn’t mean to spend more on product development. It means to spend differently, in otherwise unexpected ways.

PDM/PLM eco-system today dominated by a small number of giant providers associated with either large CAD vendors – Dassault, Siemens PLM, PTC and large ERP vendors – SAP and Oracle. The number of smaller companies in this space decreased significantly for the last few years as a result of acquisitions and retirements. I decided to put some of my thoughts related to the potential future of PDM / PLM product, technologies and market space.

Innovation and Consumer IT technologies

I think, manufacturing companies these days are facing a very interesting and even maybe a unique situation. I want to name two most important trends – globalization and cross-organizational optimization. Product cost is the issue on the table, in my view. Because of the current economic situations, companies are not ready to follow the solution path they used before. At the same time, in order to have an ability to decrease product cost, companies are looking how to introduce new solutions, which will be different from what companies have been doing last 10 years. It requires the next level of IT development. Today’s systems are squeezed to the highest level of their potential. Existing PLM software is too expensive and relies on the technologies developed 15-20 years ago. Consumer and web technologies is a potential place where future innovation can come from.

During the last 10 year, the enterprise IT was very busy working on existing software assets and implementations. After Y2K, the enterprise PDM and PLM space wasn’t a place where people focused their innovative ideas. However, last 10 years accumulated huge amount of technologies coming from the web and consumer web space. Web 2.0, online games, social networks, photo-sharing services, e-commerce. This is only a short list of places where real innovation happened. Open source and technological platforms are coming from this place. Manufacturing companies and stagnated enterprise data management deals can be a place to apply these technologies. Focus on how to decrease the cost of change and low TCO can create a future shift in this industry.

What is my conclusion? I think, there is a significant pain in today’s PDM / PLM market status quo. We can see some movements made by existing players on the market. However, in most of the cases, they just put a "lipstick on a pig". To change existing platforms and business models is very costly and painful. Not every business can afford to do so. Especially when you have lots of existing customers and revenues. As it usually happens, outside players can get in and disrupt the space. Do you think it will be possible? I want to know your opinion. Speak your mind.

Best, Oleg

Image: renjith krishnan / FreeDigitalPhotos.net

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PLM Open Source: Strategic or Off Road?

March 17, 2011

I’m watching closely everything that happens around with Open Source. The world of Open Source is changing all the time. Remember, in the beginning it was about Linux. Then it comes to other places – content management, CRM, enterprise search, mobile platforms and many other places. What happens with manufacturing and engineering systems? Is there a place where Open Source can provide some advantages? I read an article Open Source Software Hits a Strategic Tipping Point by Laurie Wurster. The author discusses what traction Open Source getting in the industry. Here you can see some information about the level of Open Source acceptance on the picture below provided by Gartner.

Picture-25.png

These numbers made me think about what possible path Open Source can take in engineering and manufacturing software segments.

Open Source Debates

I can observe multiple debates in the software community about what is Open Source and what software can be qualified as Open Source. In general I can see an open source as a model that promotes availability of the software source code to the system end users and following modification. However, the model, is not clean and transforming all the time. Some disputed models in this space are community-based development as well as mixed licensing where some of the system code is proprietary and another piece is open under one of avaialble open source licenses. Alternative, stricter definition refers to the Gartner’s definition of Open Source as a software released under Open Source Initiative licenses.

Open Source and Engineering Software Segments

In my view, Open Source might have a different potential in engineering and manufacturing software segments. It depends on the level of specialty, community size and existing software product and vendors strategy in this segment. In general, I can see an open source trend is to go bottom up from more generic type of software to more specific one. The size of the potential community is also very important. For example, CAD/CAE is a segment, which can be characterized by very specific skills, large number of mature products and software vendors. Despite few examples (Archimedes, BRL-CAD,avoCADo), I think, chance for CAD Open Source is relatively low in coming few years. On the other side, data management has a wider implementation scope. There are several mature open source products in this space such asMySQL, Cassandra and others, so a potential data management solution such as PDM can be very possible created by community of data-oriented developers. The last segment I wanted to touch is so called "software for collaboration". In my view, this is one of the most confusing in the space of engineering and manufacturing. At the same time, there are many open source tools in this category that can provide a value and can be easy enhanced with additional features.

What is my conclusion? I think Open Source gains acceptance and making progress in diverse fields. Depending on the application field it can become strategic or get off road. However, your organization needs to have a set of skills to make an open source happen. It is all about implementation, changes, coding, testing. It cost money and resources. Multiple tools can be combined into compelling solution. Do you think Open Source is for your organization? What flavor of Open Source do you prefer and see more applicable? I’m going to discuss it next month during my Beyond PLM panel on Aras Community Event (ACE) next month.

Best, Oleg
Freebie.

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How To Stop Searching for PLM Killer App?

March 12, 2011

Are you familiar with the "Killer App" syndrome? In my view, conversations about a "Killer App" are very popular when some technological device or broad technological innovation needs to be proven. Killer App becomes so popular that return on the technology becomes obvious. I can bring some examples of Killer Apps in the past:VisiCalc on Apple II or Lotus 1-2-3 for IBM PC. However, in my view, talks about "killer app" are also a good indication about problems with a product or technology.

The following article caught my attention yesterday: What is the Killer Application for a Modern Engineer? I missed it when it was originally published in January. Chad Jackson, my colleague in the PLM Blogosphere, is talking about CAD, Collaboration and Mashups as examples of killer applications for Engineers. Where I disagree about the "notion" killer application in the context of engineers, I found analyzes Chad made in his post interesting.

Examples of Killer Apps?

CAD App
Personally, I think CAD is a mainstream technology. It was proven by many years. I don’t think, somebody today is designing any product without CAD system. History of CAD passed many waves of technological innovation that moved CAD between 2D, 3D and different computers platforms. I found surprising the fact SolidWorks wasn’t mentioned in the list of CAD products, but the choice of CAD was always somewhat "religious" and Chad’s selection didn’t surprise me.

Collaboration App
The history of various "collaborative applications" in the engineering space, in my view, started by introducing of data management to a wider company audience and following trial to expansion into PDM and PLM. The discussion about what is the killer app for collaboration is on going even today. My favorite collaboration tool for many years is email. Since I moved to Google App, I found it as a good addition to my email experience. PDM and PLM applications are constantly trying to replace email without visible success, in my view.

Mashups
The story of mashup is funny in my view. The word itself came to us from the Internet and Web space where applications (mostly running in the browser) "mashed up" the web content and making it more valuable for end users. The most successful mashup application, in my eyes is Google Map. I wrote about mashup on my blog before (Will Mashup Grow Up in PLM?) In my eyes mashups are interesting, but too vague and unclear from the standpoing of end-user who trying to get a job done.

PLM as a Killer App

In the beginning of 2000s PLM was introduced as a next big thing for engineers and manufacturing. After almost a decade of debates and different technological and product development attempts, I can see Product Lifecycle Management more as a "business and technological strategy" rather than "application".

Product Development: One Size Doesn’t Fit All?

Now think about design, engineering and manufacturing. It is all so different from various perspectives. Industry specific needs, departments and roles are different. Finally, every manufacturing shop is developing their own strategy for how to compete in the modern world and what can make it unique. If you ask me what application can fit everything, my ultimate answer is simple – Excel. Yes, Excel rocks when it comes to the flexibility and user adoption. The cost of customizing Excel to fit your needs is huge and the cost to support it even bigger (remember my Do you need chief Excel officer to manage BOM?)

What is my conclusion? PLM software vendors and analysts need to stop searching for a next "Killer Application". Flexibility and granularity are two important directions software vendors need to follow to gain next level of PLM software adoption. Just my opinion, of course. YMMV.

Best, Oleg

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