product lifecycle management: an integral part of the future of manufacturing
TRANSCRIPT
Product Lifecycle Management:An Integral Part of the Future of Manufacturing
Karthik Sundaram, Senior Research AnalystIndustrial Automation & Process ControlIndustrial Automation & Process Control
September 13, 2011
Functional Expertise
� Technical expertise in the field of Industrial Automation & Process Control. Particular expertise in:
- Engineering of Safety Systems (Invensys Triconex)
- Site commissioning of Major Gas projects
- Exposure with Major EPC Clients and End Users across the globe
Industry Expertise
� Over three years of Industrial experience in the field of Automation & Process Control, leveraging long-standing
working relationships with leading industry participants in
- Safety Systems
- Distributed Control Systems
- HMI & SCADA
What I bring to the Team
Today’s Presenter: Karthik Sundaram
Place photo hereShadow Background
for effect
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What I bring to the Team
• Intensive Experience and domain expertise in the Automation Industry
• Exposure to major Industry standards and architecture
• Global experience with leading corporates in Singapore & Qatar
Career Highlights
� Extensive expertise in Safety systems for Oil & Gas and Refinery Projects.
� Worked in major projects for Invensys, India with global clients in the field of Engineering, EPC and Process
Industries. This includes
- Qatar Gas
- Fluor, USA
- CTJV, Qatar
- Tecnicas Reunidas, Spain
- Emerson Process Management, Singapore
Education
� Bachelor of Engineering from Anna University, Chennai, India.
Karthik SundaramSenior Research Analyst
Frost & SullivanEuropeChennai, India
Agenda
Market Overview
Market Analysis
Market Segmentation
3
Product Trends
PLM in Future of Manufacturing
Industry Challenges, Market Drivers and Restraints
Conclusions
Market Overview
Comprehensive business strategy that covers product lifecycle fromideation to end-of-life.Comprehensive business strategy that covers product lifecycle fromideation to end-of-life.
PLM is graduating into a “strategic necessity” formanufacturing process and product planning.PLM is graduating into a “strategic necessity” formanufacturing process and product planning.
European PLM market revived considerably in 2010European PLM market revived considerably in 2010
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The market is strongly competed by major PLM vendors,niche participants and ERP vendors offering PLM solutions.The market is strongly competed by major PLM vendors,niche participants and ERP vendors offering PLM solutions.
Collaborative Product Definitions Management (CPDM) accountedfor 42.0 percent of the total European PLM Market in 2010, and wasthe fastest growing product segment in 2010.
Collaborative Product Definitions Management (CPDM) accountedfor 42.0 percent of the total European PLM Market in 2010, and wasthe fastest growing product segment in 2010.
European PLM market revived considerably in 2010and registered a year-on-year growth of 6.9 percent in2010.
European PLM market revived considerably in 2010and registered a year-on-year growth of 6.9 percent in2010.
Source: Google Images & Frost & Sullivan Analysis
Market Segmentation
Product Lifecycle Management Market (Europe)
Authoring & Analysis Tools Collaborative Product Definitions Management (CPDM)
Digital Manufacturing
Computer-aided Design,
Computer-aided Manufacturing, Finite
Element Analysis, Stress Analysis
Product Data Management (PDM), Portfolio Management, Enterprise
Application Integration (EAI)
Enterprise Data Integration,
Virtual prototype testing,
Synchronization of
Design and Manufacturing
Source: Frost & Sullivan Analysis.
5
Utilities & ProcessConsumer Packaged
GoodsHigh-Tech & Electronics Machinery &
Industrial
Automotives & Transport
Others
(Pharmaceuticals, Medical Devices etc)
Aerospace & Defense
Source: Frost & Sullivan Analysis
European Regions included in the study are as
follows:
• Germany
• France
• Italy
• The United Kingdom
• Scandinavia (Denmark, Finland, Norway and
Sweden
• Benelux (Belgium, Netherlands and
Luxembourg)
Market Segmentation
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Luxembourg)
• Iberia (Spain and Portugal)
• Rest of Western Europe (ROWE) (Austria,
Greece, Ireland and Switzerland)
• Central and Eastern Europe (CEE) (Poland,
Hungary, The Czech Republic, Slovenia, Slovakia,
Lithuania, Latvia, Estonia, Bulgaria and
Romania)
Market Analysis -1/2
Product Lifecycle Management Market : Forecast by Product Type (Europe)
5.0 %
D ig it al M anuf act ur ing
C PD M
A ut hor ing & A nalysisCAGR 6.1%
CAGR 7.9%
4.6 %
43.6 %5.0%
42.0%
53.0%
Product Lifecycle Management Market : Revenue Breakdown by
Product Type (Europe), 2010
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53 .0 %
4 2 .0 %
CAGR 7.0%
2017
51.8 %
2010
Authoring & Analysis Tools CPDM Digital Manufacturing
Source: Frost & Sullivan Analysis.
15%44%
41%
Major PLM Vendors Niche Players ERP Vendors
Product Lifecycle Management Market : Market Share Analysis (Europe), 2010
Market Analysis - 2/2
10.0%
7.5%
22.5%
PLM Market : Percent of Revenues by End-users (Europe), 2010
PLM Market : Percent of Revenues by Geographic Regions (Europe), 2010
24.0%
10.5%10.0%
7.0%
6.0%
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13.0%
14.0%8.5%
24.5%
Automotive & Transport Aerospace & Defense
CPG Hi-tech and Electronics
Machinery and Industrial Utilities & Process
Others
17.5% 12.5%
4.0%
8.5%
Germany Italy France
UK Iberia Scandinavia
Benelux ROWE CEE
Source: Frost & Sullivan Analysis.
Industry Challenges
Lack of standardised product definitions affect end-user perception
Industry
Poor presence in process industries
Product Lifecycle Management Market: Impact of Top Four Industry Challenges (Europe), 2011-2017.
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Integration of PLM with higher platforms- a predicament for pure-play vendors
Influx of home-grown solutions restrains market growth
Industry Challenges for Product Lifecycle
Management
Source: Frost & Sullivan Analysis.
Market Drivers and RestraintsM
ark
et
Dri
ve
rs
Increasing focus on digital manufacturing
Seamless integration with ERP and MES
platforms boosts expansion
Need for productivity and product innovation
drives growth
Product Lifecycle Management Market: Market Drivers and Restraints (Europe), 2011-2017
Emerging green fields of CPG, High-tech
and electronics in Europe bolster PLM growth
IMPACT
1-2 Years 3-4 Years 5-7 Years
Medium High High
Medium
Medium
High
Medium
Medium
Low
Low Medium High
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Increasing focus on digital manufacturing
Ma
rke
t R
es
tra
ints
Significant mergers and acquisitions will affect niche participants
High fragmentation of cPDm market restrains market size and pricing
Saturation of authoring and analysis tools affects growth
Low Medium High
Medium Medium High
Medium Medium High
Medium Low Low
Source: Frost & Sullivan Analysis.
Product Trends
2. cPDm
1. Authoring and
Analysis Tools
Evolution of PLM
Product Lifecycle Management Market: Evolution of PLM Products (Europe), 2010
Product Lifecycle Management Market: Scope of PLM (Europe), 2010
Product Design Ideation
Design Engineering
Manufacturing
Engineering
Au
tho
rin
g a
nd
An
aly
sis
Co
lla
bo
rati
ve
Pro
du
ct
De
fin
itio
n M
an
ag
em
en
t (C
PD
M)
Dig
ita
l M
an
ufa
ctu
rin
g
Pro
du
ct
Lif
ec
yc
le
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3. Digital Manufacturing
of PLM Engineering
Simulation/Analysis
Quality Check
Sales and Distribution
Service Maintenance
Disposal
Au
tho
rin
g a
nd
An
aly
sis
Co
lla
bo
rati
ve
Pro
du
ct
De
fin
itio
n M
an
ag
em
en
t (C
PD
M)
Dig
ita
l M
an
ufa
ctu
rin
g
Source: Frost & Sullivan Analysis.
Pro
du
ct
Lif
ec
yc
le
PLM in Future of Manufacturing
PLM transforming into a repository of business
intelligence
Seamless exchange of business intelligence
between ERP and PLM will enhance efficiency by
optimization of resource planning
SustainabilityFuture
ofManufacturing
Cloud Computing
Smart Grids
Mega Trends and PLMMega Trends and PLM
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Sliding doors and longer windows to view nature from
the ground up
The ERP-PLM-MES MatrixThe ERP-PLM-MES Matrix
Integration of PLM and MES will be a productive circle of data exchange that will aid
product innovation and improve manufacturing
process planning
A bidirectional exchange of recommendations between PLM and MES will enable continuous improvement
throughout the production cycle
Mobile & Wireless Technology
Integrated Enterprise Ecosystem
Source: Frost & Sullivan Analysis.
Conclusions
Need for Product
Innovation
Regulatory Compliance
Emerging Markets of Eastern Europe
Global Financial Crisis
“ CPDM segment will drive growth over the
forecast period ”
Expected Growth of CPDM, 2011-2017.
CAGR: 7.9 %
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Source: Frost & Sullivan Analysis
Product Lifecycle
Management Market
in Europe Process Industries – a Growth Opportunity
Sustainability & Lifecycle
Assessment
Fashion & Apparel in Europe – An Emerging
PLM Market
Growth of CPDM Segment
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For Additional Information
Anna Zanchi
Corporate Communications
Industrial Automation & Process Control
+39 02 4651 4819 [email protected]
Sivakumar Narayanswamy
Program Manager
Industrial Automation & Process Control - Europe+91 44 6681 [email protected]
17
Muthukumar Viswanathan
Practice Director
Industrial Automation & Process Control - Europe
+44 20 7915 7804
Karthik Sundaram
Senior Research Analyst
Industrial Automation & Process Control - Europe
+91 44 6681 [email protected]