Welcome to Focus on PTC Today’s Session: PLM Segment 1 Focus on PTC PLM (Product Lifecycle Management) Segment © 2006 PTC 2 Product Lifecycle Management (PLM) Brian Shepherd EVP, PLM and SCM June 2012 Product Lifecycle Management: Its Role PLM © 2012 PTC To help companies develop the right products With efficient strategies and collective knowledge According to product performance targets 4 Product Lifecycle Management: Its Value PLM © 2012 PTC Increase revenue with innovative and tailored products Increase profit with efficient use of resources and effective cost controls 5 Customer Story: Piaggio 6 Product Lifecycle Management Delivering Product and Service Advantage Increasing demand for diversity Over 50% of companies are increasing products and variants in the next year Need for optimized resources 76% of companies have too many projects given available resources Global Efficient Platforms Strategies Global Optimized Development Teams Product & Service Advantage Global Right Offerings Products Globalization Labor cost (71%), proximity to customer (64%), and skill of workforce (61%) are the top reasons cited for globalization Cost of poor quality Typical COPQ is 5-20% of revenue Global Competitive Quality Performance Sources: 1Lippincott/PTC 2011 survey of global manufacturers 2Quality Digest 3(Cooper, Dr. Robert G. and Edgett, Dr. Scott J., Product Development Institute) 4Accenture: Manufacturing’s Secret Shift (2011) 5How Quality Drives the Rise and Fall of High-Tech Products 6Gartner: Manufacturing 2.0 7 Global Offerings Improving product and service offerings Product Offerings with Potential Identifying the right products and services to create a competitive portfolio demands insight into requirements, performance, and profitability. Manage Development Resources Balance Product Portfolios 1 2 ̶ Provide insight into the performance of your current portfolio ̶ Guide investment towards the most promising products and programs ̶ Capture the voice of the customer to establish requirements for success ̶ Enable program management to monitor progress and ongoing performance Integrate Planning across the Enterprise 3 8 Global Platforms OBJECTIVE APPROACH Achieve product diversity with scale by: Product Diversity with Scale ̶ Architecting product platforms as a collection of reusable modules Efficiently handle the complexity that comes with meeting the varied requirements of market, region, and customerspecific products ̶ Validating product platforms and configurations ̶ Propagating configuration information to create manufacturing and service plans ADOPTION VALUE ENTERPRISE Increase market share via faster NPI Manage the Building Blocks 1 Define the Platform 2 Share the Platform 3 1 25% decrease in product development time1 30% – 40% cost savings through higher product commonalities1 Increase service profit via higher first-time fix rates HARDWARE & SOFTWARE ENGINEERING SUPPLY CHAIN & MANUFACTURING SALES & SERVICE Schuh & Co, others from PTC customer experience 9 Global Development Enable high performance with secure teaming Product Development with Knowledge Provide a single source of truth for all product-related information ̶ Enable fast and secure collaboration for global sites and value chain partners ̶ Standardize best practices ̶ Share the collective knowledge and experience of the enterprise Globalization is not just about reducing costs: it’s now about driving business growth in new, expanded markets. ̶ Share Product Information Communicate and Collaborate 1 2 Collaborate across the Enterprise 3 10 Global Quality A comprehensive quality management approach Product Quality with Confidence ̶ Establish an authoritative, accessible source of quality data for the enterprise Effectively managing quality requires coordination across all of the enterprise functions that impact product performance, safety, reliability, and risk. ̶ Enable each organization to establish interrelated quality, risk, and validation plans ̶ Track and audit issue resolution ̶ Close the loop so that lessons learned are reused in subsequent activities Standardize Quality Processes Integrate Quality throughout the Lifecycle 1 2 Manage Quality across the Enterprise 3 11 Windchill Single Source of Truth This presentation contains forward looking information subject to change without notice 13 Success with Windchill 9.x (September 2007 – March 2011) Customers Selected Windchill for: MCAD Data Management ECAD Data Management Software Data Management Enterprise Content & Process Management Configuration Management Manufacturing Process Mgmnt Planning Requirements Management Supplier & Component Management Enterprise Interoperability Distributed Collaboration – Full “footprint” of capabilities for core product development process improvement – Proven architecture that is open, high performance, and secure – “Ready now” to deliver real customer value Visualization 14 Windchill 10.0 PTC’s New Platform for Global PLM The largest Windchill release in PTC’s history Building on Windchill’s proven strengths: 1. Capability Footprint 10.0 2. Architecture 3. Customer Success add significant customer value in: 4. User Experience 5. Serviceability GET MORE value from PLM 15 Hyundai Kia Motor Corporation Deploys PTC’s PLM Solutions The complete system of record for digitally tracking the creation and modification of their platforms and vehicles from concept to production “In order to support our ambitious growth plans, we have prioritized the need for a faster and more efficient environment to facilitate global concurrent product development and support the rapidly changing requirements for our vehicle programs” -Dr. H. S. Lee, Vice Chairman HKMC R&D center “Our company believes that new thinking leads to new possibilities. This philosophy is what led us to select PTC as our strategic PLM partner.” -ChangKy Kang, EVP, head of vehicle development center 4 Hyundai Motor Company and Kia Motors Corporation Completes First Phase of PTC PLM System Deployment Strong Partnership Enables Companies to Achieve Aggressive Milestone on Schedule 16 PLM Leadership Brian Shepherd EVP, PLM & SCM Segments Bill Neuman Leland McLaughlin PLM Solutions PLM NA GTM Tom Shoemaker Michael Rygol PLM Marketing PLM EMEA GTM Ken Stillwell Greg Marin PLM & SCM Finance/Ops PLM Services GTM 17 Focus on PTC Q&A © 2006 PTC 18