Product Innovation Platforms: Enabling Product Design and PLM in the Digital Business Era

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1 Product Innovation Platforms: Enabling Product Design and PLM in the Digital Business Era Marc Gartner is a registered trademark of Gartner, Inc. or its affiliates. This publication may not be reproduced or distributed in any form without Gartner's prior written permission. If you are authorized to access this publication, your use of it is subject to the Usage Guidelines for Gartner Services posted on gartner.com. The information contained in this publication has been obtained from sources believed to be reliable. Gartner disclaims all warranties as to the accuracy, completeness or adequacy of such information and shall have no liability for errors, omissions or inadequacies in such information. This publication consists of the opinions of Gartner's research organization and should not be construed as statements of fact. The opinions expressed herein are subject to change without notice. Although Gartner research may include a discussion of related legal issues, Gartner does not provide legal advice or services and its research should not be construed or used as such. Gartner is a public company, and its shareholders may include firms and funds that have financial interests in entities covered in Gartner research. Gartner's Board of Directors may include senior managers of these firms or funds. Gartner research is produced independently by its research organization without input or influence from these firms, funds or their managers. For further information on the independence and integrity of Gartner research, see "Guiding Principles on Independence and Objectivity."

2 Key Issues 1. Why do you need Product Innovation Platforms to enable products and "things" for digital business? 2. What is a Product Innovation Platform and how will it impact you, your company, and your value chain? 3. How should you strategize adoption of Product Innovation Platforms?

3 Key Issues 1. Why do you need Product Innovation Platforms to enable products and "things" for digital business? 2. What is a Product Innovation Platform and how will it impact you, your company, and your value chain? 3. How should you strategize adoption of Product Innovation Platforms?

4 Product and "Thing" Design Must Combine OT With IT to Enable Digital Business

5 Product Needs Evolve With Digital Business: A Case Study in Climate Control "Fast Follower" Legacy Leader in Climate Control Paradigm Shift

6 Digital Business Demands Systems and Systems-of-systems Thinking to Design Products Complex Machines Processes Even Retail Stores Factories Services

7 Key Issues 1. Why do you need Product Innovation Platforms to enable products and "things" for digital business? 2. What is a Product Innovation Platform and how will it impact you, your company, and your value chain? 3. How should you strategize adoption of Product Innovation Platforms?

8 Product Innovation Platforms Continuously Enhance PLM Discipline Demand Insights Governance Supply Network

9 "Nexus of Forces" Underpins the Promise of Product Innovation Platforms Extreme Behavior Pervasive Access Sharing Engineering and Manufacturing Knowledge Continuous Learning from Patterns in Systems Data Global-class Delivery NEXUS Collaborate and Communicate Any Time and Anywhere Perform Computations Any Time and Anywhere "Big" Context

10 Designing for Digital Business Requires IT Capability Beyond Current PLM Software Community Discovery Insight Product Innovation Platforms Accessibility Adaptability Reuse

11 Product Innovation Platforms: More Than Today's Design and PLM Software Innovation Enabler Insight Today's Design and PLM Software Marginally interfaced simulation/analytics Product Innovation Platform Integrated "big data" analytics and simulation

12 Product Innovation Platforms: More Than Today's Design and PLM Software Innovation Enabler Insight Today's Design and PLM Software Marginally interfaced simulation/analytics Product Innovation Platform Integrated "big data" analytics and simulation Adaptability Time-consuming IT involvement Flexible via SOA

13 Product Innovation Platforms: More Than Today's Design and PLM Software Innovation Enabler Insight Today's Design and PLM Software Marginally interfaced simulation/analytics Product Innovation Platform Integrated "big data" analytics and simulation Adaptability Time-consuming IT involvement Flexible via SOA Reuse Disconnected incompatible data makes search hard Enhanced textual and geometry-based search

14 Product Innovation Platforms: More Than Today's Design and PLM Software Innovation Enabler Insight Today's Design and PLM Software Marginally interfaced simulation/analytics Product Innovation Platform Integrated "big data" analytics and simulation Adaptability Time-consuming IT involvement Flexible via SOA Reuse Disconnected incompatible data makes search hard Enhanced textual and geometry-based search Accessibility LAN/WAN networking Instantaneous via the cloud

15 Product Innovation Platforms: More Than Today's Design and PLM Software Innovation Enabler Insight Today's Design and PLM Software Marginally interfaced simulation/analytics Product Innovation Platform Integrated "big data" analytics and simulation Adaptability Time-consuming IT involvement Flexible via SOA Reuse Disconnected incompatible data makes search hard Enhanced textual and geometry-based search Accessibility LAN/WAN networking Instantaneous via the cloud Discovery Disconnected tools/ hard to understand data Integrated search, analytics, and simulation

16 Product Innovation Platforms: More Than Today's Design and PLM Software Innovation Enabler Insight Today's Design and PLM Software Marginally interfaced simulation/analytics Product Innovation Platform Integrated "big data" analytics and simulation Adaptability Time-consuming IT involvement Flexible via SOA Reuse Disconnected incompatible data makes search hard Enhanced textual and geometry-based search Accessibility LAN/WAN networking Instantaneous via the cloud Discovery Community Disconnected tools/ hard to understand data Human networking or directories Integrated search, analytics, and simulation Social networking paradigm

17 Product Innovation Platform Some Key IT Requirements Search, Collaboration, Simulation, Analytics Visualization, Collaboration, Social Networking Modeling, Simulation, Analytics Cloud, Mobile, Open Architecture, Web Application Services Content Management, Open Architecture, Search Standards Open Architecture, Flexible Workflow, Easy Data Accessibility

18 Product Innovation Platforms: Functional Layering for Continuous Product Innovation Quality Data Cost Data IoT And So on E.g., Digital Marketing Big Ideas Big Data Voice of Customer Simulation and Test Data Requirements Management Portfolio Planning and Management Product Life Cycle Management (Strategy, Planning, PDM, and Governance) Systems-centric Design (Software, Electronics, Hardware, Recipes, and So on) Simulation and Test

19 The Major Design, PLM, and Business Suite Vendors Will All Offer Product Innovation Platforms by 2017 By 2020, 25% of large discrete manufacturers and formulated goods producers will use Product Innovation Platforms for design and PLM Reasons SPA will be true: Emergence of digital business Increasing acceptance of cloudbased advantages Changing product requirements Reasons SPA could be false: Concerns about IP protection in the cloud The systems-based learning curve is too steep Needed standards for data sharing will evolve too slowly

20 Potential Product Innovation Platforms Vendors Will Evolve Differently Autodesk, Aras, Dassault Systemes, PTC, Siemens Product Innovation Platforms Product Design and PLM Big Lever, Gensight, Jama Software, Planisware, Sopheon, Mathworks IFS, Infor, Oracle, SAP Niche Contributors Business Suite

21 Key Issues 1. Why do you need Product Innovation Platforms to enable products and "things" for digital business? 2. What is a Product Innovation Platform and how will it impact you, your company, and your value chain? 3. How should you strategize adoption of Product Innovation Platforms?

22 Perceived Risks Steep Learning Curve Cyber-terrorism Incomplete Standards Uncertain Cloud Performance Inadequate Openness

23 Road Map to Enabling Product Innovation Platforms for Product Life Cycle Management Step 4 Partner Selection Step 5 Change Management Step 3 Implementation Road Map Step 2 Root-cause Analysis Step 1 Business Case

24 Key Messages You need the next generation of design and PLM IT to support the emerging digital business world. Product Innovation Platforms, the next generation of IT for design and PLM, improves today's PLM and more. Enabling Product Innovation Platforms starts with the business case and addressing risks with the road map.

25 Recommended Gartner Research Product Innovation Platforms: The Foundation of Product Design and PLM in the Digital Business Era Marc Halpern (G ) Hype Cycle for Discrete Manufacturing and PLM, 2014 Marc Halpern and others (G ) Hype Cycle for Process Manufacturing and PLM, 2014 Janet Suleski and others (G ) Lessons Learned From Cloud in Manufacturing Industries Dale Hagemeyer, Thilo Koslowski and others (G ) Survey Analysis: Why Manufacturers Still Struggle to Modernize Collaboration Michael Shanler and Marc Halpern (G ) Innovation Insight: Exploiting Cloud Services to Improve and Transform Your Supply Chain Innovation Michael Dominy (G ) For more information, stop by Gartner Research Zone.

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