Will Google Create a Platform for New Enterprise PLM?

by Oleg on January 9, 2013 · 10 comments

Those of your who following my blog long enough, knows that from time to time, I’m speculating about Google and PLM. The last time I did it was almost a year ago. Navigate to the following link – PLM and Google Enterprise to refresh your memories. While lots of Google technologies (especially in collaboration space) can be very attractive in PLM and manufacturing, Google attitude to enterprise organizations culture, support and focus behind enterprise deals made Google presence in enterprise and specifically manufacturing not very strong.

There are some news here. Google is planning to tackle the enterprise market. On my way to Toronto today, I had a chance to read a very informative interview from CBR – “Q&A with Thomas Davies, Head of Google Enterprise UK and Ireland.” Have a read. It is short and contains some information related to Google’s enterprise strategy. Google is planning to play around three significant trends – cloud, social and mobile (CloSoMo). I found the conclusion about “social” interesting. Google+ remains the designated app here. According to Davis, Google learned a lot from previous experiments from Buzz and Wave. Part of this learning the fact people are not interested “just to interact with a group of people”. The demand is to have vertically integrated applications – Gmail, Docs, Hangout and more. Speaking about cloud, Google’s objective is to provide 30% – 50% operational cost saving.

However, the following passage from the interview is my favorite. It related to collaboration and personal productivity.

It’s not for me to comment on Microsoft or any of our competitors. We’ve never said that within Google Apps we will bring out an Office like-for-like replacement. But people want to change. I think the time for personal productivity – going to the office, filling in your spreadsheets and sending them to someone else – is going. There was a standard, monolithic build; SAP in the background, Office and IE on the desktop and BlackBerry. That’s changing and I think the speed of that change has caught IT departments by surprise. That plays nicely into our hands. I think where we will win, and where we are winning, is when it comes to the three main benefits: business benefits, technical benefits and cultural transformation. That’s how you change an entire company.

The point is clear. Excel spreadsheets and email traffic is a reality of many manufacturing companies today. 10 years of web revolution and consumerization made almost not impact on enterprise companies. PLM is one of the most complicated enterprise silos to be transformed. Here is my speculation – Google cloud platform combined with Google+ collaboration services and vertically integrated apps can be a foundation to build a modern PLM replacement for homegrown PLM initiatives and even larger PLM offering. Are you ready to buy this? A good question to ask manufacturing companies with zillions Excel sreadsheets and 10 years old PLM implementations.

What is my conclusion? I can see how enterprise space drives more attention these days. I’m afraid, pure technological play won’t be sufficient. To create partnership eco-system and becoming enterprise friendly – two main challenges Google will experience on that way. In my view, Google technology can make a spectacular success in PLM. Simplification of many engineering and downstream processes via CloSoMo can be an interesting approach. Just my thoughts…

Best, Oleg

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  • bausk

    Hi Oleg,
    The existing Google infrastructure has, in my opinion, an incredible, tremendous potential for many kinds of automation that deal with engineering data. In order for fields like PLM to embrace it, a substantial shift is required in the process of technological decision-making: what technology to use, where to invest development effort and the like.

  • beyondplm

    Agree. Beyond technology play need to come to make it happen.

  • Vic

    Oleg, Google’s potential to disrupt PLM and other markets cannot be overstated. They can do so using a mix of technology, social, cloud, and simplicity seductively elegant to users and irresistible to partners and organizations seeking to change the status quo. It’s happening as we speak…

  • Philippe QUERE

    Google Apps Marketplace is a good way to have complementarity tools of Google technologies or to integrate PLM with Google technologies:

    https://www.google.com/enterprise/marketplace/search?query=plm

  • bausk

    Their main advantage is the enormous user ecosystem. If you develop on Google’s platform, you are immediately in the mainstream and do not have to worry about being washed up into an obscure segment of technology since it is an almost-safe bet that Google will be around for the next decade at least.

  • beyondplm

    Vic, thanks for the comment! You are right about Google’s technological potential. However, the main problem of Google in enterprise is not technology, but what I call “enterprise attitude”. If current attitude change will be consistent, then we can see more Google-technological opportunities in enterprise. Best, Oleg

  • beyondplm

    Alex, I sort of disagree. Google eco-system (for example Android) is very not efficient in terms of monetizing compared to iOS. With the latest changes in Google App Standard edition, Google destroyed a massive amount of free Google-App eco-system. Just an opinion. YMMV. Oleg

  • beyondplm

    Philippe, thanks for the link! As I said it has a potential. At the same time, they have strong competitors in this space such as force.com.

  • Chen Peng

    Enterprise Marketing is really different compared with Social Marketing.

    Security, Business Constrains, Political, etc. must to be considered in this marketing.

    I agree that the PLM solution today is not so good, we need to ask a question, why the enterprise need PLM solution today?

    Excel is really popular in this market, it’s not good too, but why it’s so popular?

  • beyondplm

    Excel is popular because of simplicity. It is easy kickstart, but then it cost a lot.

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