With the rapid technological advancements globally, not only did the supply chain management solutions adopt cloud technology but the product lifecycle management and numerous other sectors too.
A Product Lifecycle Management software is an end-to-end product development solution that has the potential to help companies boost innovation, bring modernization in business models, streamline product development, and simplify collaboration.
Today’s PLM software is mostly cloud-based with better accessibility, completely configurable, stays updated with regulations and industry trends, and ensures efficiency.
In this blog, we will discuss the need for enhancing collaboration with cloud-based PLM software as supply chain management solutions.
Why move PLM to the cloud?
1. Streamlines product development
Cloud-based supply chain software like PLM tools allows manufacturers to manage the entire product life cycle and access and share real-time data, documents, and workflows. Cloud improves communication, visibility, and traceability while reducing errors, delays, and costs. It also allows integration with other systems like ERP and CRM to optimize product development.
2. Save on infrastructure costs.
On-premise PLM solutions require expensive service, sufficient storage space, and the need to upgrade them every few years. All these together make them a sinkhole for capital.
On-cloud PLM implementation is taken care of somewhere else, and the overall costs get divided among all the clients, which makes it substantially cheaper.
3. Quick implementation
When you are planning to launch your product in the market, you want the process to be done faster. Even a day late can add to the cost of your production.
Implementing a custom build PLM system can take several weeks to months, whereas a cloud-based solution can be deployed in 2 days or less. Once you purchase the cloud solution, you will receive the license in the next 48 hours and use it on your existing devices.
4. Enhanced scalability
Work pressure in every company fluctuates over time when they need to hire contractors, get more licenses for software solutions like CAD, CAM, or PLM, and more. It means adding more servers which are good when there is enough work, but how about the other times?
On-cloud PLM solutions work on a subscription model where you can instantly upgrade plans as needed and cancel the excess when no longer needed.
5. Always stay updated
Technological advancements are happening at a faster pace, and PLM solutions need to stay up with the trend. Updating an on-premise PLM solution with a perpetual license becomes expensive, cumbersome, and time-consuming, and negligence can make the manufacturer lose their competitive edge.
Cloud-based PLM software includes automatic updates with a subscription fee, and the software provider’s responsible for upgrading them on time. Updates happen on the cloud; everyone accessing it gets the latest software version.
6. Easy accessibility facilitates remote working.
Cloud-based applications allow you to log in and access the necessary details from any device, anywhere and at any time, in a secure manner.
On-premise servers allow remote accessibility via VPN for data security, but they seem to be slow. Therefore, it can never be a practical solution like cloud-based PLM software. The IT department can hold the opening up of the entire network to suppliers using VPN due to firewall security threats.
7. Minimum support costs
Maintenance fees are just so high; why not upgrade instead of that? Most of the IT budget is spent on maintenance, which could have been better used to improve processes, create apps, and enable users to get additional IT services.
Cloud solutions have removed the maintenance headache and freed your IT professionals from such mundane tasks. It eventually improves productivity, focuses on core activities, and generates greater ROI on your IT.
8. Predictable expenses
Cloud solutions come with subscription plans, meaning you have an idea about your costs and peace of mind. In contrast, running your own servers means maintaining your own home; though you have a high sense of security, any breaks or system failure can empty your pocket.
For cloud-based PLM software, there are no surprise upgrade fees, no server costs, and repair bills. Furthermore, the cloud providers run at least a backup server, so there is no chance of losing data.
Final thoughts!
PLM solutions and the cloud together bring numerous benefits to small and large companies. It helps them scale and expand depending on business needs, adopt the latest technologies throughout the product lifecycle, and reduce IT resource needs and costs.
While stepping into the digital era, companies must adapt to new technologies, especially cloud solutions and supply chain management software solutions. It frees up their time for core activities, reduces unnecessary costs, and offers a competitive advantage in the market.
