IpX Symposium Keynote: Digital Transformation and PLM Paradigm Shift

I was invited to give a keynote at IpX Symposium. For those of your who was involved into Configuration Management discipline and familiar with CMII model, this is the same organization and the event that was re-branded last year as IpX (Integrated Process Excellence). Navigate to the following link to read more about the event, agenda, speakers and topics.

The main topic of the event was – Blueprint for Business and Digital Harmonization. Digithlal transformation is a topic that was practically touched by all aspects in various combination and configuration. I will take my time to digest the event, which will continue tomorrow. Stay tuned for my article to share highlights of the event later this week.

Today, I want to share my presentation, conclusion and perspective on the future of PLM and what I call – PLM paradigm shift. I uploaded my slide deck to SlideShare. You can get it here.

Digital transformation is the process that going to happen over time. This is not an “overnight” transformation. The most fundamental thing in the transformation is to take all processes and change them by turning bottom up into digital form- starting from infrastructure, changing record management, rethinking collaboration model, adding analytic and machine learning and switching to multi-tenant systems. The result will show up as a set of connected apps available on different online manufacturing platforms.

Here is how I see digital transformation in PLM: paper, CAD file, Data, Network.

The most fundamental part of transformation is switch from data control to data intelligence. The later will enable new process of decision making and optimization in manufacturing.

Last but not least – networks. I can see networks as the most fundamental and important factor influencing business transformation these days. Pay attention – networks are much more powerful than single entities.

What is my conclusion? The transformation is coming to PLM. Existing PLM platform and infrastructure will be transformed as a result of major shift in manufacturing, relationships between companies, new business models and opportunities. It will include a shift from mostly single tenant systems architecture to multi-tenant PLM system architectures. It will bring a shift in PLM paradigm from mostly data controlling functions to decision support and intelligence. After all, I can see networks will win the competition with old school large systems. New vendors will emerge. Old vendors will transform or disappear. But it will take time. Just my thoughts…

Best, Oleg

Want to learn more about PLM? Check out my new PLM Book website.

Disclaimer: I’m co-founder and CEO of OpenBOM developing cloud based bill of materials and inventory management tool for manufacturing companies, hardware startups and supply chain. My opinion can be unintentionally biased.