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PDM
PLM
Time-to-market
The time required to bring a new product to
Different phases differ in the challenges
the market they present and in their most important
Time-to-volume focus areas
The time required to begin the mass
production of the product
The metrics used to measure the
Time-to-react performance of a product in its current
The time required to carry out changes lifecycle phase must be in tune with the
demanded by the market, customers, or
internal interest groups in the supply network phase and the strategic goals of the
company
Time-to-service
The response time to carry out a service
order from the customer
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Time-to-market Time-to-market
y Indicators to measure operations
The turnaround time for NPI is too long
Lost market share, lost learning
y Setting indicators and constant follow-up during NPI
possibilities, and loss of competitive phase
Problem advantage y Ability to share information within organization or with
If it takes time, it also takes a lot of work partners
Inefficient process
y The numbers of errors and corrections (BOM)
y Development potential by PLM
y Cooperation in the value network
NPI is to complex and ineffective
Older technologies, older principles of
y The use of various data standards
product management y The transfer and distribution of information
Causes The current NPI process does not meet accelerates
the demands of todays business needs
y Good usability and transfer of information
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y The quality if information improves 8
Time-to-volume Time-to-volume
Unable to bring a large enough y Indicators to measure operations
volume to the market
Poor availability of the necessary
y Ramp up time (the time to full scale production from
components NPI)
Problem Poor quality of product design or y Number of product changes during ramp up time
production planning
The poor cooperation in network y Yield of p
production p
process
product development y Corrections made during production
y Development potential by PLM
Poor ability to transmit product data in the y Developing communication in the value network
supply chain y Improving the manufacture of the product and
Causes Unable to make the necessary changes
changing problem components
Defective product data
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Time-to-react Time-to-react
Unable to react quickly enough
y Indicators to measure operations
Unable to bring products to market in y The number of product changes and their nature
rhythm with customers wishes, market
Problem changes and set timetables
before and after launching of the product
Quality problems in the production or
during delivery of the product
y Development potential by PLM
yS
Supporting
ti ththe fformall change
h processes with
ith
appropriate tools
The speed, effectiveness and y Shortening the turnaround times for change
productivity of the product process and processes and making the distribution, retrieval and
change process are bad
Causes Takes too long to collect customer transfer of information possible
demands and quality and design
feedback
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Time-to-service Time-to-service
Customers are being lost to competitors y Indicators to measure operations
better able to produce after market y Service turnaround time from customer request to
services
Problem Competitors are able to serve more
delivery
quickly with shorter response time, y The customers opinion of the service
better quality of services
y Getting
g new after sales customers
y Customer retention
Poor availability of product y Development potential by PLM
documentation from customer interface y Improved availability of information from the customer
Disconnected and outdated product
Causes documentation
interface
Uncontrolled product changes during y Better retrieval and real-time availability of information
lifecycle from a single source
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Stages in the Product Life Cycle - Stages in the Product Life Cycle - Product
User
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Stages in New Product Development Process Stages in the Product Life Cycle -
Manufacturer
Support
Retire
Service
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Stages in the Product Life Cycle - y The new product lifecycle ends after 5 years
Service y The service lifecycle can last up to 30 or 50
years
The relation of the new product lifecycle to
y During the service lifecyle, the most important
the service lifecycle of delivered product
indicator is time-to-service performance in
servicing the installed product base
y More challenges the product information with
all its variations must be maintained for decades
y It is important to understand the impact on the
overall service lifecyle of decisions made in the
various stages of the new product lifecyle
y Considering both the market lifecyle and service
21 lifecyle when planning the actual products 22
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Stages in the Product Life Cycle - Business The pre-active life cycle
The pre-active life cycle phase includes
two stages, design and engineering.
This phase is different from the other two
e cyc
life cycle
e phases
p ases in tthat:
at
it occurs once for a specific product type and
is not repeated for each single product
produced
Upper level product life cycle its direct impact on the environment is
diagram minimal
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Stages in the Product Life Cycle - Business End Of Life phase (EOL)
y When the performance of a product has deteriorated and
at the same time new products on the market offer much
better performance and appeal than the original product,
a big gap is created.
EOL processes have received attention due to new
g
legislative initiatives demanding
g manufacturer
accountability for a product over the entire product life
cycle.
Disassembly and remanufacturing of cellular phones can
be a competitive business segment in the European
market.
Detailing the EOL phase of Multiple companies will be served by single suppliers to
the product life cycle perform product disassembly, testing, recycling,
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refurbishment and disposal. 42
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Introduction
Product Development Stages
The seller tries to stimulate demand
New ideas/possible inventions
Promotion campaigns to get increase public
Market analysis is it wanted? Can it be awareness needs to spend a lot of money
produced at a profit? Who is it likely to be
aimed at? Explain how the product is used (FAB):
Features Advantages Benefits
Product development and refinement
Lose money, but potential to make profits in the
Test Marketing possibly local/regional
future negative profit
Analysis of test marketing results and
Low sales and profit cost > revenue
amendment of product/production process
The best performance indicator is time-to-market:
Preparations for launch publicity, marketing
the performance and efficiency of the design and
campaign
productizing process
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Growth Maturity
The ability to bring the product to the markets in Many competitors have joined - the market is
sufficient volume without sacrificing quality saturated
A lot is sold - The seller tries to sell as much as The only way to sell is to begin to lower the price -
possible and profits decrease
Other competitor companies watch, and decide Competition can get nasty and commercials are
about joining in with a competitor product intense Persuasive
Persuasive promotion
promotion becomes more
Success breeds imitation important during this stage
Growth will continue until too many competitors in Commercials almost begging the customer to still
buy the product because you still make it just as
the market - and the market is saturated
good
Spending more money on promotion to keep sales The best performance indicator is time-to-react: the
going cuts profit agility with which companies make changes to their
The best performance indicator is time-to-volume products
When in the decline stage, a firm may: Product Life Cycle - Marketing
Harvest:
H t reduce
d costs
t andd continue
ti tto offer
ff
the product to a targeted niche.
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Digital cameras
Mini-disc
Electric cars
DVD
VR*
Extending the Product Life Cycle Extending the Product Life Cycle
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