Understanding product lifecycle management and supporting systems

Abstract

Purpose

This study attempts to expand knowledge of product lifecycle management (PLM) and supporting systems. Its objective is threefold: first, to identify and assess the impact of two key PLM building blocks on new product performance. Second, to use the aforementioned PLM building blocks to highlight the distinctive nature of PLM and closed‐loop PLM systems. Third, to demonstrate that the closed‐loop PLM system provides more new product benefits than the PLM system and that the usage of the closed‐loop PLM system is positively related to new product development.

Design/methodology/approach

The research hypotheses were tested on data collected from 87 manufacturers in the transportation equipment manufacturing industry in one Canadian province.

Findings

The findings show that only ten manufacturers have adopted a closed‐loop PLM system. As expected, the results show that the two key PLM building blocks, namely operational integration and information system (IS) usage, are positively related to new product development. Findings also show that the level of forward operational integration is similar in the closed‐loop PLM system and in the PLM system, while the level of backward operational integration, the usage of the PLM system and new product development are higher in the closed‐loop PLM system. Finally, the results demonstrate that the usage of the closed‐loop PLM system is positively related to new product development.

Originality/value

This contribution should give academics and practitioners alike a better understanding of the role and benefits of PLM and its supporting systems (the PLM system and the closed‐loop PLM system).

Citation

Hadaya, P. and Marchildon, P. (2012), "Understanding product lifecycle management and supporting systems", Industrial Management & Data Systems, Vol. 112 No. 4, pp. 559-583. https://doi.org/10.1108/02635571211225486