We have recently published Blueprint Report on Product Lifecycle Management (PLM) Services. This is our third engineering services Blueprint in which we analyzed and positioned thirteen PLM Service providers according to their execution and innovation capabilities. In the first one, we focused on the mechanical engineering services. In the second engineering Blueprint, we looked at Software Product Engineering (SPE) services in detail.
What does PLM Services Blueprint cover?
This blueprint includes the PLM offerings of different service providers across verticals. This includes their capabilities across the HfS PLM Services Value Chain of: Plan, Implement, Manage, and Optimize for leading PLM applications such as Dassault, Siemens, PTC, Autodesk, SAP, and Oracle. This report also provides insights into the capability, vision and investment priorities of the service providers included in the Blueprint report. We also outline the strengths and challenges to take into consideration for these service providers. The report also mentions market analysis of the PLM Services industry, the current focus area and the future growth areas over the next few years. The service providers included in this report are Accenture, Atos, Cognizant, Capgemini, HCL, Infosys, KPIT, L&T Technology Services, Syntel, TCS, Tech Mahindra, Tata Technologies and Wipro.
What is unique in this Blueprint?
Our focus is not solely on size, revenue and global scale of the PLM service providers but our emphasis is also on the way service delivery is organized, the availability of industry domain expertise, the availability of PLM software expertise, applicability to different customer segments, investments in industry talent, acquisitions of companies with industry specific capabilities, etc. Also, the blueprint includes recommendation sections for buyer enterprises as well as the service providers. Another point of emphasis in our research is the effect of digital and emerging technologies in PLM and how service providers are enabling new ways of working with these new technologies to address industry-specific challenges and the level of innovation brought to clients. For example we covered how service providers are leveraging social, mobility, cloud, and analytics in PLM.
This Blueprint also includes PLM market analysis and benchmarking. This is first of its kind of PLM Services study where we tried to collect important operating data from PLM service providers and arrived at the aggregate or the average PLM Services industry metrics. This should help each PLM service provider, PLM software provider, and enterprise to benchmark their PLM operations and identify their strengths as well as areas or levers of improvement.
The intent of this report is to provide valuable intelligence and a reality check on what is going on in the PLM services world.
What is the current state of PLM Services market?
There is a renewed interest in the PLM market. PLM traditionally was an enterprise application solution for addressing product development challenges, which was a nice-to-have solution. But now with the advent of IoT, smart products, and digital manufacturing, it is becoming central to any manufacturing firm’s technology landscape. Though PLM has been implemented in large organizations for quite some time, the user adoption is very low among organizations. But now companies are realizing the value of PLM implementation and are increasingly looking for PLM services for consulting, implementation, managing, and optimization. Service providers are also developing industry-specific PLM systems and plug-and-play solutions in partnering with PLM software vendors to address specific client challenges. With the advent of digital technologies, digital PLM is helping to build the next generation PLM products and ensuring a rapid, intelligent and connected system. Also, PLM solutions are increasingly being used for compliance management, after market services solutions, etc.
What are we expecting in the coming years?
The next few years will observe more PLM adoption, application of digital PLM and more integration of PLM with enterprise applications. Also, the PLM usage will expand beyond traditional large manufacturing companies to other verticals and also customers for different sizes including SMBs. As the PLM market has been growing rapidly, a number of new service providers have emerged in this space in the last few years. So we expect to see an acceleration of this trend in the near future. Also, the market will see M&As as the global and Indian service providers will look for specialized service providers and boutique consulting in PLM space to get rapid access to the industry and technical capabilities.
We think there’s a high chance the grid could be very different again next time round! Stick with HfS to monitor the important changes in this rapidly evolving market!
Posted in : Procurement and Supply Chain