In addition to cloud, the integration of social networking capabilities, and as well as new methods for visually presenting rich product-related data to a wider spectrum of users which will impact next-generation PLM and also help expand PLM’s reach throughout the supply chain. The changing of corporate culture towards cloud computing and the creation of cross-functional workflows that can support PLM will hasten how products are brought to market in a faster, more cost-effective way.
Tony Christian of global industry analyst and market consultancy, Cambashi says the cloud has the potential to cause a step change in the PLM applications business. “In addition to the cost, scalability and availability benefits that accrue as with other major applications - provided that data security and communications reliability concerns can be addressed - cloud-based PLM deployments are likely to offer a compelling solution to the problems of reach and accessibility for participants of all sizes and levels of use in global product development networks and supply chains,” says Mr Christian.
PriceWaterhouseCooper’s principal technology leader, Tom Degarmo puts it a little more succinctly: “cloud computing accelerates innovation and improves time-to-market successes and offers added flexibility within PLM applications. Overall it can improve connections across a company's network of suppliers, time zones and cultures. It enables an extendable enterprise.”
Cloud PLM options
The easiest explanation of cloud computing is to view it as a grouping of remote computers whose resources you can harness on an as-needed basis regardless of where the computers reside, who owns them or can access them. According to Omnify Software’s president and CEO, Chuck Cimalore, PLM is a set of diverse business strategies, processes and applications.
“To identify the right projects, processes and problems that can be solved by introducing cloud-based PLM solutions can be a tall order when you factor in the importance of addressing ownership, location and privacy/security issues,” he says. “In order to help mitigate security concerns and control the location of information, Omnify decided to support a hybrid environment with a private/public cloud and an on-premises/cloud architecture.”
Analysts agree and are working with PLM customers today that are grappling with the concept of cloud computing and how best to address these issues. Analyst firm Frost and Sullivan reports that most people refer to public clouds when they talk about cloud computing.
There are four types of cloud strategies being deployed in PLM applications. Public clouds are typically systems that are shared by multiple people who use the system and have no control over who their fellow users can be. Private clouds infer systems available for the sole benefit of a single company/entity where cloud data is secure and protected.
Then there are community clouds where only specially selected companies with common or related goals participate in the system (like partners, channels, supply/design chain, for instance). And lastly there are hybrid clouds where a private cloud can extend onto a public cloud for specific activities and on an as-need basis. The benefit of a hybrid approach that incorporates a public cloud is that it provides extra performance scalability for the private cloud that would be in use.
In addition to these, there are three segments of cloud-based technology: software as a service (SaaS), platform as a service (PaaS), and infrastructure as a service (IaaS). SaaS (occasionally referred to as ‘software on demand’) deploys over the internet and is made available to users when requested. It is usually served as a payment per-usage or on subscription basis.
PaaS is a combination of a development platform and solution stack that is delivered as a service on demand. Forrester Research describes it as an infrastructure that can be used to develop a new software app or extend existing ones without the initial cost of buying and implementing additional hardware and software.
IaaS provides an environment for running user built virtualised systems, sometimes termed as a platform virtualisation environment. It encompasses service, software, data-centre and network equipment delivered as a single bundle.
Cloud computing is likely to impact the enterprise more broadly. Take the example of radiation therapy specialist, Mevion Medical Systems, Inc. Its workforce is distributed throughout the globe and its business systems must be available at all times and on all company-supported platforms (PC, Mac, Linux, Android, and IOS).
The company’s IT manager, Edward Quinn says that in order to do this, they take advantage of a hybrid cloud that enables them to scale quickly and efficiently to distributed cloud data centres at far less cost than purchasing expensive equipment or renting/building out corporate data centres.
“The IT department can leverage the advanced international infrastructure already in place by leading cloud computing companies and activate and pay only for the services that its business needs,” he adds.
Single computing architecture
The Mevion hybrid cloud computing architecture uses both internal and external clouds, providing all segments: SaaS, PaaS and IaaS. The architecture supports a distributed workforce implementing key security measures; integrate with the corporate data centre to ensure data integrity, and scale across multiple external systems to ensure reliability.
All of Mevion’s employees use Omnify Software’s Empower PLM application on a daily basis from their computers, smartphones, and tablets, both from within the company network and through remote secured VPN connections. Chuck Cimalore again:
“We [Omnify Software] recognise that companies will have different deployment strategies, and that these strategies may, in time, change. In turn, we have designed our products and services to support cloud-based, on-premises, and hybrid methodologies.”
Organizations are starting to identify that they can really benefit from including outside suppliers on their cloud. The elastic nature of cloud platforms makes it possible to scale up when needed which can greatly extend simulation, visualisation and computation products.
Most IT industry analysts (Forrester, Gartner, Frost & Sullivan, ARC and The Yankee Group) agree that the power and potential of cloud computing, when properly deployed, can have a significant impact on the PLM industry. PLM customers are giving it serious consideration and are evaluating their PLM business processes with regard to how they may be run seamlessly and securely connected to cloud-based data sets. Nonetheless, the take-up is slow despite the maturity of the technology.
Accessing data, processes and business intelligence in the cloud from a PLM platform could, if done correctly, give global companies more effective use of critical information sources, help them exploit their expert resources and manage complex analytical processes - all from within their PLM system.
Forrester states that the overall objective for most companies implementing PLM in a cloud is to optimise productivity and achieve a return on their investment in cloud deployment. Meanwhile, Gartner says service applications or product analytics are most likely to take advantage of the flexibility and scalability of the cloud without raising issues over the security of core intellectual property.
In the end, it will be the companies themselves who will decide how to adopt the cloud - and few of them expect it to be a linear process. Omnify Sortware’s Cimalore agrees:
“Our goal is to remain flexible and support a variety of deployment options. This will provide PLM customers with the ability to decide the best deployment for their own needs and comfort level.”
IT is trying to establish a running pathway to get existing software on the cloud in a very gradual way. It includes planning, pilots, validation, and so on. One thing that is certain, however, is that the urgent business pains and short opportunity will provide an advantage for cloud providers to offer their services to companies at the time they needed with the right speed and cost.
Eric Marks is an industry practice leader with PricewaterhouseCoopers