Profitability with a PLM Concept

A customer was in a situation that product information was not well organized and ownership of data was not defined. They had a huge potential to grow their service business, but accessing data of old product instances, their item data and documents was difficult. It was unclear to organization how to maintain product instance data without jeopardizing product definition of active products. Also a global information model was missing to describe the products, items and their relationship to other data dimensions. We helped them to implement a PLM concept that succeeded to highlight the ownership of product data entities in different lifecycles. The concept was aligned with the changes in the organizational structure where different roles were introduced for product ownership and operations in the service lifecycle. The improved concept decreased remarkably the response time in spare part request and also helped the customer to grow in their service business.

 

Product Management Training

One customer was implementing both a PLM system, but also global PLM practices. This was a big transformation, not only on practices level, but in the organization culture. An extensive training effort was needed to train and convince people in different organizational layers and roles, that the global common processes and data will be an asset for the corporate. One of the drivers for the change was a renewed sourcing strategy and targeted improvements in the cost competitiveness. Enego supported the transformation with both class room trainings and by managing the deployment to spear head products and offering them care during their first steps with the new global process.

 

Data & Operational Excellence

Often the data is a reason for fluctuation in corporate’s operational excellence. This is a known fact and also highlighted in many posts and articles that promote the importance of a proper master data. With one of our customers, we came up with an idea: What if issues in the operational excellence are not only caused by poor data, but we could identify issues in the operational excellence with analytics on the data. We started to pull out global and local item replacement information from their ERP system and created a script that pointed out conflicts in the data. Mainly these were symptoms of issues in the global product change and lifecycle management processes and item data harmonization practices. We created an action list of improvements to implement into their product management and item replacement processes. We continued to run the script on regular basis to see, if the data started to improve. Eventually it did and helped the organization to maintain procurement data on the correct items and secure on-time-delivery of products and spare parts.

 

Implementation of item end-of-life management

A customer in heavy machinery industry was suffering from an inventory value higher than 50 million euros. After an extensive analysis was completed, it became evident that a focal reason of the high value was a non-working obsolescence process. Enego identified that the process was not well defined and product management process was not properly integrated with delivery operations and inventory management practices. We redefined the process by implementing¬†our best practice¬†concept for end-of-life lifecycle management. After the implementation with a partnering IT company, product management lifecycle¬†decisions were automatically mapped to ERP system’s material settings to guide the purchasing and inventory management. After the organization was trained and adapted to the new practices, inventory value decreased 7% the next year and continued to decrease the coming years.