Demand for PLM Software is usually a result of a desire for greater efficiency in the product development process. The efficiencies, or improvements, sought often relate to cost reduction, quality improvement and time management.



"The Problem", as PLM Technology Guide labels it, is that paper-managed systems tend to be serial, fragmented and slow, making innovation and new-product development and introduction (NPDI) challenging. "The result is that many companies suffer from NPDI practices that are slow, resource intensive, costly, inflexible, provide little visibility, and are difficult to manage and control." The fragmented nature of paper-managed PLM systems is shown to the right, which each department involved in product management is separated.



PLM systems, or "The Solution", transform this process by integrating all product information to help define, execute, measure and manage key product-related business processes. With a PLM system, product information from marketing and design comes together, and leaves in a form suitable for production and support.