I am not debating if PLM-as-a-Service is good or not but there is no doubt that it is a good option for companies who do not want to invest in the in-house PLM and IT resources for reasons that are reasonable for them. This is similar to owning a car vs using Uber type service. Something-as-a-service is a nice option these days for startups and small-scale companies who don’t want to invest upfront in their non-core business activities. But We hear lot of myths about anything new in the market and PLM-as-a-Service is not an exception. PLM Nordic research team has tried to bust some of the myths surrounding this topic. Let’s see some of them.
Let's bust the Myths
Myth 1:
My Engineering IP (Intellectual Property) data is not safe on the cloud:
Most of the cloud service providers have implemented or have the flexibility to implement the most advanced security protocols as quickly as possible compared to the on-premises servers. So, safety/ security perspective your engineering data is safe on cloud.
If you take the example of your company’s email, SharePoint, OneDrive which is already on cloud and in the similar way your engineering data will be securely store on cloud
Facts:
PLM on Cloud is Secured
Myth 2:
PLM-as-a-Service is costly.
Throughout history companies have often viewed the implementation of PLM as expensive and complex because of the initial investments, challenging deployments and maintenance requirements involved. This perception has led to the misconception that opting for PLM as a Service is inherently costly. However, this belief is not entirely accurate.
PLM as a Service offers cost advantages. To begin with it eliminates the necessity for expenditures on hardware and software by adopting a subscription-based approach that spreads costs over time making them more manageable and predictable for businesses. Additionally, these services typically provide flexible pricing options based on factors such as users, storage needs, or specific functionalities enabling companies to start and scale up as necessary without initial investments.
Furthermore, by entrusting the service provider with tasks such as managing infrastructure, updates and maintenance responsibilities internal IT teams are liberated to concentrate on projects than routine system upkeep. This external management of PLM administration helps reduce expenses associated with hardware purchases, software licenses IT staff salaries and ongoing maintenance efforts. Moreover, being hosted on cutting edge cloud infrastructure guarantees that PLM as a Service user has access to the features and enhancements without incurring costs for upgrades.
The provider also manages updates and security patches helping businesses save money and simplify operations. Additionally, a centralized cloud-based platform improves communication and workflows from any location enhancing productivity and collaboration. Reporting and analytics features provide insights into product development processes assisting in decision making and process optimization.
Contrary to outdated beliefs, PLM as a Service is cost efficient delivering cost savings, operational efficiencies, and competitive advantages, for organizations of all sizes. Adopting this approach can bring about benefits in the changing product development environment.
PLM on Cloud is not costly
Myth 3:
We will become dependent on third party/Vendor.
While you have a valid point, there is a way to manage the situation effectively. One approach is to establish a balanced team or appoint a responsible member from the customer side. This key user, or key users, should be well-versed in both the functional behavior of the system and the basic troubleshooting methods for resolving application-related issues. By having someone who understands how the system operates and can apply quick fixes or workarounds, the application can run smoothly without significant interruptions
Facts:
Balanced Approach
Myth 4:
We will not get fast response, or I will get struck.
There might be some incidents where in you will not get a fast response. The solution for this is to establish a proper SLA. A service-level agreement (SLA) is a formal document that defines the expected level of service between a service provider and a customer. By having a well-defined SLA with clear terms regarding response times, you can set expectations and ensure that the vendor is contractually obligated to meet these standards. This can help in mitigating delays and improving the overall response time. Also, you can consider the solution mentioned in Myth3.
Facts:
With well defined SLA, the response time gets better
Myth 5:
My employees are better equipped to handle new technology than others.
You might have employees who are already well-equipped to handle new technologies such as cloud computing, Product Lifecycle Management (PLM), Application Lifecycle Management (ALM), and Enterprise Resource Planning (ERP). However, these technologies evolve rapidly, and staying proficient requires continuous learning. Therefore, even though your employees are currently capable, they will need to undergo regular training sessions and obtain new certifications to keep their skills and knowledge current.
Whereas if you have a third-party or a vendor who have all the skilled resources and will be responsible to enhance their skills then your employees can focus more on enhancing your product or services.
Facts:
Consultants are Subject matter expert, they check all scenario for future proof operations
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Affordability
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Updated Tech.
Helps in realization of digitalization journey
Connected
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Robust Security
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