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Product lifecycle management (PLM) is an important part of supply chain efficiency as it helps organisations to plan, develop, and control the entire life of a product.
It is a business practice which involves the coordination of all activities and resources related to a product from its conception to its retirement. PLM helps to ensure that all aspects of the product’s lifecycle are managed in an efficient and cost-effective manner.
Organisations need to have a clear understanding of the role of PLM in their supply chain in order to achieve the most efficient and cost-effective operations. It is important to understand that PLM is a continuous process that should be incorporated into the company’s overall strategy. This means that the organisation should have a clear vision of the product’s lifecycle, from conception to retirement, and the steps needed to achieve this goal.
The primary step in PLM is the development of a product’s design. This phase involves creating a product design that meets all the customer’s requirements and specifications. The design should also be cost-effective and suitable for the company’s market. Once the design is completed, it needs to be incorporated into the company’s supply chain. This could include the sourcing of components, the manufacturing of the product, and the distribution of the product.
The next step in PLM is the production of the product. This involves the manufacturing of the product according to the design. It is important to ensure that the production process is both efficient and cost-effective. This will help to minimise costs and maximise profits. Additionally, it is important to ensure that the quality of the product is up to standard. This is usually achieved through quality assurance measures.
Once the product has been manufactured, it needs to be distributed to the customer. This involves the coordination of logistics, including the delivery of the product to the customer. It is important to ensure that the delivery is timely and cost-effective. This can be achieved by working with reliable suppliers and ensuring that the delivery process is well-planned.
The final stage of PLM is the retirement of the product. This is usually done when the product is no longer viable or profitable. The company needs to ensure that the retirement process is properly managed in order to avoid any potential losses. This is usually done by disposing of the product in an environmentally friendly manner.
To sum up, PLM plays an important role in achieving supply chain efficiency. It involves the coordination of all activities related to a product’s lifecycle, from conception to retirement. This includes the development of the product’s design, the production of the product, the distribution of the product, and the retirement of the product.