Product Efficiency — The Business Potential Of PLM

Andrew Sparrow
1 min readSep 28, 2019

Why do companies try to justify the investment in PLM through the quantification of increase engineering efficiencies?

Each time this is the route taken it ends up a discussion over staff reduction or at least less time spent in R&D. Whereas, if we focus on product efficiency dynamics, such as COGS, it’s a far greater return.

The product efficiency gains are often easier to realize and firming up the business case for onward presentation to the senior managers.

Engineers searching around for parts have limited patience and more often than not will create a new item rather than keep going until they find it. Resulting in part duplication, lack of scalability and high product costs.

PLM is not just an IT or Manufacturing investment but instead is the transformation of product innovation and development. Before embarking on a new PLM project, senior management needs to understand and agree the benefits necessary to push the company to a new level of market leading competitiveness.

Not appreciating PLM as a strategic business approach or having a C-Suite that’s unwilling to understand PLM, can have devastating implications.

Let’s fix this




Andrew Sparrow

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