Challenges in PLM for Enterprise Organizations · Summary Results • January 2016 Observations and Conclusions When asked how their organizations use PLM (Product Lifecycle Management)

Summary Results • January 2016

Challenges in PLM for Enterprise Organizations


Program Overview

Between September 2015 and January 2016, Gatepoint Research invited selected executives to participate in a survey themed Challenges in PLM for Enterprise Organizations

Candidates were invited via email and 100 executives have participated to date

Management levels represented are predominantly manufacturing sector senior decision makers: 10% hold the title CxO, 15% are VPs, and 75% are Directors

A wide range of industry sectors are represented in the survey includingAutomotive, Industrial, Electronics, Consumer Goods, and Biotechnology

Revenues at the respondents’ firms:

– 64% work in Fortune 1000 companies with revenues over $1.5 billion– 17% work in Large firms whose revenues are between $500 million and $1.5 billion– 19% work in Mid-Market to Small firms with under $500 million in revenues

100% of responders participated voluntarily; none were engaged using telemarketing


Observations and Conclusions

When asked how their organizations use PLM (Product Lifecycle Management) software, responders reported it to enable document management (71%), bill of materials (57%), product development (53%) as well as other business activities

The user pool in respondents’ firms varies greatly in size: while 21% of the companies surveyed report having in excess of 1,000 PLM users, 45% had between 100 and 1,000 users, and 32% had less than 100 users

38% of survey respondents report their existing PLM took more than 3 years to implement. Only 11% were able to accomplish implementation within a year

65% of respondents agree that their PLM system allows internal collaboration within narrow professional disciplines…but only 23% can make changes to their PLM system easily

Only 7% of respondents rate their PLM systems completely satisfactory

In fact, when respondents were specifically asked about PLM problems at their companies, “difficult to upgrade“ was the most-often cited complaint (38%)

Other problems reported include an inability to handle complexity (34%), and lack of end-to-end visibility into the development process (29%)

Summary Results • January 2016Copyright © 2015 Gatepoint Research. All rights reserved. The information contained in this report is the sole property of Gatepoint Research and may not be

used, reproduced, redistributed in any form including, but not limited to, print and digital form without the express written consent of Gatepoint Research.

What Type of Product Lifecycle Management (PLM) system do you use?

Survey responders report the use of a wide variety of PLM (Product Lifecycle

Management) software products in their organizations

28%

17%

14%13%

4%3% 1%

31%

0%

5%

10%

15%

20%

25%

30%

35%

SAP PLM PTCWindchill

Oracle Agile SiemensTeamcenter

Autodesk360

DassaultMatrixOne/SmarTeam

ArasInnovator

Other

ArenaBaan Campfire Enovia Homegrown Microsoft Sharepoint PdmWorks Enterprise ProductCenter Smartteam Workfront



What processes do you enable with your PLM system?

Respondents report applying PLM software to document management (71%), bill

of materials (57%), product development (53%) and other business processes

71%

57%

53%

40%

39%

32%

16%

0% 10% 20% 30% 40% 50% 60% 70% 80%

Document Management

Bill of Materials

Global ProductDevelopment

Project Management

ConfigurationManagement

MCAD/ECAD Integration

Systems Engineering



How long did it take to develop your existing implementation?

38% of survey respondents report their existing PLM took more than 3 years to

implement. Only 11% were able to accomplish implementation within a year

11%

31%

17%

38%

0% 5% 10% 15% 20% 25% 30% 35% 40% 45%

Less than a year

1 to 2 years

2 to 3 years

3+ years



How many PLM users does your company have?

21% of the companies surveyed report having in excess of 1,000 PLM users

32%

25%

20%

10%

4%

7%

0%

5%

10%

15%

20%

25%

30%

35%

1 to 100 101 to 500 501 to 1000 1,001 to 5,000 5,001 to 10,000 10,000+



Which of the following statements best describes

your PLM system?

65% of respondents agree that their PLM system allows them to collaborate internally within narrow professional disciplines…but only 25% can make changes to their PLM

system easily

65%

52%

47%

40%

25%

0% 10% 20% 30% 40% 50% 60% 70%

We can collaborate internally within adiscipline, e.g., mechanical engineering

Our PLM system helps us achieve our goals

We can collaborate internally across disciplines,e.g., mechanical engineering to software

Our PLM system is customizable

We can make changes to our PLM systemquickly and easily



Which of these common PLM problems does your company experience?

Respondents’ top complaints about their current PLM systems include that they are difficult to upgrade (38%), are functionally inflexible (34%), and lack end-to-

end development process visibility (29%)

38%

34%

29%

10%

8%

0% 5% 10% 15% 20% 25% 30% 35% 40% 45%

Upgrades are difficult so we don’t perform them as often as we should (or at all)

The system doesn’t have the functionality to handle our organization’s complexity

We lack visibility into the end-to-enddevelopment process

Its inability to scale causes poor performance

Different systems are usedin different parts of the company



How satisfied are you with your PLM solution overall?

Of all survey responders only 7% rate their PLM systems

completely satisfactory

6%

14%

44%

24%

7%

3%0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

50%

1 2 3 4 5 n/a

COMPLETELY UNSATISFIED COMPLETELY SATISFIED



Will you be making any changes to your PLM system

in the next 12-18 months?

Of respondents who plan changes to their PLM systems in the next 12-18 months, 12% plan to replace their existing system entirely. Another 30% plan to improve,

extend or expand their existing system

4%

11%

12%

15%

57%

0% 10% 20% 30% 40% 50% 60%

Yes, we plan to dedicate resourcestowards improving our existing system

Yes, we plan to complement and extend:integrate our current system with a new one

Yes, we plan to rip and replace: get a new system altogether

Yes, we plan to expand our implementation to more users/departments

No, we don’t have plans to do anything



What characteristics are essential to you in a PLM solution?

Survey respondents emphasize that having a flexible PLM solution, and a system that compliments their business processes, are their top two priorities (70%). Also

high priority: ease of implementation (67%)

70%

70%

67%

46%

44%

44%

42%

0% 10% 20% 30% 40% 50% 60% 70% 80%

Flexibility

Complementary to ourbusiness processes

Ease of implementation

Easy to upgrade

Ability to handle complexarchitecture

Predictable costs

Works with other PLM solutionsand software in our IT organization



Profile of Responders:

Industry Sectors

A wide range of industry sectors are represented in the survey

Electrical/Electronic Manufacturing

29%

Automotive20%

Consumer Goods16%Biotechnology

8%

Mechanical or Industrial

Engineering8%

Machinery6%

Aviation & Aerospace

3%

Consumer Electronics

3%

Defense & Space3%

Industrial Automation

1%

Oil & Energy1% Plastics

1%

Semiconductors1%




Revenue

64% of those surveyed work in Fortune 1000 companies with over $1.5 billion

in revenue

<$250 million11% $250 - 500 million

8%

$500 million - $1.5 billion17%>$1.5billion

64%




Job Level

Survey responders all hold executive level positions in their organizations

Director, 75%

VP, 15%

CxO, 10%


Aras offer the best Product Lifecycle Management (PLM) software for global businesses with

complex products and processes. Resilient PLM platform technology makes Aras more scalable,

flexible and upgradable for the world’s largest organizations, and a full set of applications provide

complete functionality for the business of engineering. Companies running Aras include Airbus,

GE, Hitachi, Honda, Kawasaki, Motorola, XEROX and thousands more worldwide.

www.aras.com

http://www.aras.com/

Documents

Challenges in PLM for Enterprise Organizations · Summary Results • January 2016 Observations and Conclusions When asked how their organizations use PLM (Product Lifecycle Management)