Why now is the right time to reinvent PDM?

by Oleg on August 15, 2014 · 0 comments

re0invent-pdm-now

Product Data Management (PDM) isn’t a new domain. The first PDM systems were invented 20-30 years ago with a simple objective – to manage product data. The scope of PDM was heavily debated and included design, engineering BOMs, ECO and even supply chain. However, the most widely accepted role of PDM is to manage CAD files and their revisions.

For long time, PDM was recognized as somewhat you only need to consider if  a size of your engineering department is large enough. Even starting price to implement PDM solution went down significantly for the last 20 years, my hunch average PDM solution starting cost for engineering organization with 10-15 people will be about $30-50K. Cost and implementation complexity made PDM business limited to larger companies and was mostly handled by resellers with special skills and knowledge. Most of them associated with a specific CAD vendor channel.

CAD vendors recognized the need and complexity of PDM. For most of vendors the answer on PDM demand was to develop (or acquire) a dedicated PDM system bundled with their CAD software. As a result of that, most of PDM players were acquired. Most of existing (remaining) PDM vendors are either focusing on a specific geographical niche or developed additional solutions usually branded with “PLM” buzzword and strategy.

My hunch is that until last year, PDM market was somewhat stalled and focusing on replacing of outdated versions of PDM software as well as support of new CAD software releases. Then something happens… For the last months, I can see an increased interested in PDM software. I noticed few focused researches and articles in the field of PDM – Expert Guide to the Next Generation of PDM; TechClarity Expert Guide for Basic CAD management and few others.

Also I want to mention few activities by vendors focusing on basic PDM functionality. It started from more traditional OOTB approach made by PTC Windchill PDM Essentials, SolidEdge SP focusing on SharePoint platform leverage and GrabCAD Workbench using “cloud platform” as a differentiation strategy.

Consilia Vector published CAMScore report for GrabCAD Workbench where CAMS stands for Cloud, Analytics, Mobile, Social. In my view, these major trends are making a renaissance in the space of PDM.

As I mentioned before, because of cost and complexity, PDM software was out of reach for many smaller companies and engineering departments. DIY (Do it yourself) PDM  approach combining network file share, Excel files and FTP is a solution for probably 60-70% of market. For many years, to share files using network and USB drives was “good enough solution”. But the era of file sharing changed forever with coming trend of  social networks, mobile and cloud. So called YAPSA (Yet Another Photo Sharing Apps) became widely available in our everyday life. The question why PDM is so complex and why we cannot manage and access CAD data similar to what we do with photos and videos brings PDM solution back to the innovation room.

What is my conclusion? Cloud, web and social technologies in consumer space reached the level of maturity. It comes to the point where new tech and awareness of cloud and social approach are going to challenge a traditional PDM space. In addition to that, looks like an existing approach to use network drives and file sharing to manage CAD files is coming to logical end. People will be looking how to copy YAPSA  approach into PDM space. So, it is time for PDM to change. Just my thoughts…

Best, Oleg

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