The past decade has seen a remarkable change in manufacturing software. Product lifecycle management (PLM) has grown beyond its origins as an engineering product data management (PDM) resource into its own approach to manufacturing businesses. Though the value of PLM is high, many companies – especially those with a combination of experienced and new employees – struggle to use PLM to its fullest potential. One of the most important ways to increase PLM benefits is to improve your PLM return on investment (ROI).
While a professional consultation is best to check your business’s potential ROI gains, many companies can improve PLM ROIs by following the tips below.
A Three-Step Approach to Improve Your PLM ROI
To see the kinds of returns promised by the latest generation of PLM solutions, we at SolidPartners recommend a three-step approach. This includes:
- Increasing the benefits of PLM
- Decreasing the costs to install and manage PLM
- Reducing any risks when possible
Maximizing the benefits of PLM often comes down to having clear objectives. Without a clear purpose guiding the use of PLM solutions, individual workers (or entire teams) fail to apply appropriate workflows. Or, sometimes PLM isn’t given enough time by top management to mature in the workplace and is instead passed over for a newer, shinier solution with more promise (but which will also struggle to deliver promised ROIs).
Increasing PLM benefits needs to start with education and strategy. When top management agree to a PLM strategy, then make plans to follow that strategy, the everyday actions of employees reflect this commitment, too. Even low-level workers will give their buy-in for a PLM-centered workflow if they sense a similar commitment from top management.
Companies that have a positive ROI with PLM software see it not as a tool, but a way to run their business. PLM enhances team collaboration, especially with remote teams.
If you feel your company needs to improve your PLM ROI and see more PLM benefits, consider meeting with an experienced consultant. These consultants can help make a plan to help your company better follow PLM adoption strategy, including creating educational materials and strategies for all employees. This can ensure everyone understands the importance of using PLM and thus enable to benefits of PLM to surface.
(By the way, if you’re looking for a PLM consultant with over two decades of experience implementing manufacturing software solutions, you might want to learn more about the SolidPartners team. Contact us, and we’ll get back to you ASAP.)
Another step to improve your PLM ROI is to decrease the total cost of your investment.
While many PLM solutions have appeared in recent years, some of them costs tens to hundreds of thousands of dollars to deploy.
By choosing a PLM solution that is affordable, yet still powerful enough for your manufacturing business needs, you can decrease the initial investment required to use PLM.
In our experience, the SolidPartners team has seen companies who choose low-cost PLM software, such as our 4G:PLM, are able to recoup their investment and see greater profit increases than those stuck paying for more expensive alternatives. CIO Review seems to feel the same way, reporting that 4G:PLM break shorts the ROI time.
Remember, PLM is a long-term strategy to grow your manufacturing business. By making the right investment upfront, you can increase the ROI over time. Even after you pay off the initial investment, the cost savings from choosing the right solution provider can lead to other opportunities to invest in your business and further improve your PLM ROI.
Accidents happen. time-to-market can be unpredictable at times. Production costs can increase without warning. Compliance risks, such as product recalls, legal fees, and other dangers, can jeopardize profits.
By following a defined PLM strategy and increasing PLM benefits, your business is in a position to reduce many of the risks inherent to the industry. Improving risk-prone aspects of your business allows you to mitigate the effects of those risks even before they appear.
Your improved time-to-market, operational efficiencies, and lower material and production costs from PLM help reduce the effects your business feels when an operational risk rears its ugly head.
Speak with SolidPartners to Improve Your PLM ROI
If you’re thinking about PLM, or if you’ve already deployed a PL solution and are looking to improve hour PLM ROI, speak with our team at SolidPartners soon. We’ve helped enough manufacturing businesses, large and small, maximize the return on their PLM investment to quickly recognize ways we can help your business grow. Contact us to schedule a consultation or demo today.