PLM benefits for networked SMEs

PLM is universally recognized as a valid strategy to reduce time to market, increase process efficiency and cut lifecycle cost. Despite the importance for companies to objectively assess these emphasized competitive advantages, the benefits which can be achieved through PLM still remain intangible. Their measurement is particularly difficult for networked enterprises where each company is characterized by different forms of organization, personnel skills, levels of computerization, etc. This paper presents the results of a long-term study carried out on several Italian manufacturing companies, mainly small and medium sized, concerning the quantification of PLM benefits for collaboration. A structured approach is developed to assess the quality of a collaborative PLM implementation and its impact on real processes. The approach is based on a set of indicators of usage, performance and satisfaction. Finally the cost-reduction achieved by means of the new system has been estimated on the basis of the companies’ hourly cost. The results are remarkable and make evidence of great time and cost saving. This study shows a reliable experience on how PLM can successfully support companies to improve collaboration and hence to face the current economic crisis.