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BEDIFFERENT ACE C o p e n h a g e n

Traditional PLM vs. Movie: PDM vs. PLM - the Battle of Monsters The Alternative Approaches Monolithic? Extend? Complement? Promoted Control Hierarchy?

Slide 3 Session Topics Traditional PLM Approach Alternate PLM Approaches Company Examples PLM Approach Summary

Traditional PLM Observations and Definitions Slide 4 This is the 2-System view of the world ERP is the master and then PLM for everything else The goal is 1 system for CAD, Workflow, BOM, Quality, Manufacturing, Phase-Gate, Document Management,. But historically this normally just means PDM, because the focus is 3D CAD Centric High effort and high investment have been required to develop automation tools around the legacy high-end 3D CAD Apps Obvious Result: company can have only 1 solution brand loyalty with the CAD vendor

Traditional PLM Observations and Definitions Slide 5 CAD focused PLM means that only 10% of employees are directly involved with / impacted by the PLM CAD-BOM is forced to be the E-BOM. means you are modeling parts in 3D that are a waste of time Drawing centric world we use CAD to create a Drawing Difficult to take 3D CAD data models, rules, user interfaces, etc. to other problems Normally have a queue of departments waiting for their processes to be automated

Traditional PLM What drives this Approach? Slide 6 CIO is driving system rationalization; want less databases, less vendors, less complexity 3D systems such as Dassault V6 are becoming more closed; it may not be possible to chose another path 3D CAD vendors are a powerful political influence We already spent so much can t stop CIO is busy with ERP, or Social, or CRM and tired of engineering & manufacturing fights

Slide 7 New PLM Environment Products are changing (more change, more faster!) More complex (variants) Increasing electronics and software content Increasing compliance requirements Global dominance of a brand is now short-lived Business processes: time-to-market, supply-chain, quality, manufacturing, sales, marketing, are more important than the exact spline on the curve of a single bracket.

Slide 8 New PLM Environment F-22 Raptor = 1.7 million lines of code F-35 Joint Strike Fighter = 5.7 million lines of code 787 Dreamliner = 6.5 million lines Today s Luxury Automobile 30-50+ chips >100 million lines of code More than 30,000 parts overall sources spectrum.ieee.org/green-tech/advanced-cars/this-car-runs-on-code

Alternative PLM Approach Observations and Definitions Slide 9

Alternative PLM Approach Observations and Definitions We do not need a monolithic PDM/PLM that must do everything Could be a federated system view of the world Long term plan is a SOAP/XML (SOA Web Services) framework with a Master Data Model allowing many best-in-class point applications to be integrated Could be a phased strategy towards a single system Don t risk replacing all systems at one time Multi-year rollouts with 30-60-90 day intervals of new functionality added to the enterprise platform slowly replace Slide 10

Alternative PLM Approach Observations and Definitions Slide 11 Item Centric vs. Drawing Centric - many Items do not have 3D representations Content is EDA, SW, TechPubs, and sometimes 3D CAD Total user community for the PLM includes nonengineers, business users, supply chain partners, customers, The discussion is about Supply-Chain, Manufacturing, Quality, Systems Engineering, Compliance, but not which CAD system to use The 3D CAD vendor no longer sets the enterprise business software strategy

Alternative PLM Approach What drives this Approach? Mergers and the consumers driving change ever faster Availability of SOA Frameworks creates flexibility New IT tools allow rapid deployment of Apps Sometimes CAD is not the biggest problem Big differences between CAD and Enterprise are real Business rules Pace of change Data models Slide 12

Alternative PLM Approach What drives this Approach? Slide 13 We Can Not Wait Anymore

Slide 14 Real World Scenarios Look at some real-world scenarios Then summarize what the different approaches might be

Slide 15 Real World Scenarios Spin-out of life sciences products division from Kodak --$3B revenue Inherited from Kodak IT: TeamCenter for CAD management and MatrixOne for enterprise PLM 2010 replaced the enterprise PLM with Aras, but continued using TeamCenter for CAD Why Business level problems more urgent to solve Changing CAD management was viewed as too much risk Will revisit the CAD management decision after PLM rollout is past phase 3. CAD situation also changing due to acquisitions. Started with NX, now have Pro/E, SolidWorks, and Mentor.

Real World Scenarios Manufacturer of swage fittings for gas lines $1B revenues Company reputation and market position is highest quality swage fittings - Quality is Hi-Priority! SmarTeam for CAD management for many, many years, but not able to get past CAD file check-in / check-out Quality group tired of waiting, and used Aras to create a Quality PLM System no formal integration to PDM. Quality BOM FMEA Control Plan Slide 16

Real World Scenarios 2 Business Units High-End Printers vs. Copiers Internal competition on PLM strategies East Coast (copiers) uses CAD File management in TeamCenter West Coast (printers) uses CAD File management in WindChill Both tried to push the PDM system to enterprise level Printer business is faster growing, higher margins, needs to be more nimble Unlocked their PLM project to move 10x faster by deciding to split the architecture into PDM and PLM. Federated approach. Rapidly rolled out Quality, BOM, ECO, and Compliance East Coast still stuck. Bogged down by CAD-driven behaviors, data models, and thinking Slide 17

Real World Scenarios Transmission Manufacturer Auto transmissions are increasingly electronic & software CAD File management with TeamCenter & Pro/IntraLink PLM delayed by lack of flexibility and functionality Chose to use a separate PLM system to gain momentum and postpone the CAD PDM change decision Aras for enterprise PLM: EBOM, ALM, ECO, Quality (CAPA) After 2+ years, Enterprise PLM business issues are stabilized, and now starting to move CAD management out of legacy PDM into the PLM with direct integrations Slide 18

Slide 19 Real World Scenarios CAD management in legacy Enovia PDM system High-level of CAD automation implemented cannot change Not possible to implement BOM management in Enovia Drawing Centric vs. Item Centric Different users, different data models, different rules CIO chose to build a promoted control hierarchy: Enovia produces a CAD BOM (document structure) Aras for enterprise: EBOM, MBOM, ABOM authoring, change management with serial effectivity and BOM Audit / Validation

Alternative PLM Approach Scenarios Slide 20 Extend Need minimum additional functionality above current systems (typically workflow or phase-gate processes) XEROX Use federation to allow PLM processes to reference PDM objects Complement Not 3D CAD centric, Enterprise PLM has no CAD content. Like Swagelok with Quality PLM or Freudenberg with APQP Promoted Control / Hierarchy Advanced CAD automation (PDM) from CAD Vendor cannot be replaced CAD data is critical to business Product definition is more than CAD Lifecycle Promote data up the Hierarchy Incremental Phase Rollout GE PDM ERP PLM PDM PDM

Slide 21 BEDIFFERENT What s Next? Open Discussion at the Workshops Aras roadmap discussion Wednesday afternoon