Product lifecycle management (PLM) software manages the data and processes involved in a product's development, from inception through launch. Companies use PLM software to increase productivity and collaboration, improve quality, bolster creativity, and shorten a product's time to market.
It helps integrate data, documents, business systems, and individuals involved in the creation process. PLM solutions also allow stakeholders to track the changes made to the product during its development.
Initially designed for manufacturing, it is used across various industries such as architecture, engineering, construction (AEC), and even services. In manufacturing, most PLM vendors provide custom functionalities for multiple types of production, such as discrete, process, and engineer-to-order (ETO).
PLM software is used by various users in an organization, such as product managers, engineers, production personnel, and maintenance technicians.
Since PLM data is used in the manufacturing, servicing, and disposal processes, this software integrates with various systems, including ERP systems, quality management systems, supply chain management software, and enterprise asset management (EAM).
To qualify for inclusion in the PLM category, a product must:
- Provide functionality for product design and computer-aided design(CAD) solutions
- Allow users to create and manage product configurations and bill of materials (BOM)
- Deliver features for requirements tracking and engineering change management
- Provide a centralized repository to manage product data throughout its lifecycle
- Maintain product documentation, CAD models, drawings, and technical specifications
- Manage product costs by tracking the costs of the components defined in BOMs and recipes
- Comply with quality standards and regulations or with customer-specific requirements
- Include simulation features to manage product testing scenarios in virtual environments
- Facilitate collaboration with suppliers, subcontractors, and other stakeholders
- Assist manufacturers with process planning across multiple locations
- Analyze product development KPIs and monitor engineering performance
