PLM FOR APPAREL 2015

Given the scale of PLM investment to
date, along with the planned investments
and hoped-for returns on those
investments, there is much opportunity
for apparel and retail executives and
supply chain leaders to leverage the
technology as a whole for a much
broader set of benefits.
BY JANET SULESKI AND ANNA TONCHEVA, GARTNER

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SPONSORED BY

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the appeal of using social and mobile technologies. While companies are planning to make further investments. without your participation. now ranks fifth. just 18 percent of companies describe PLM’s role in their businesses today as a differentiator. the planned investments. footwear. and multiple related supply chain processes throughout their various life cycles. and the hoped-for benefits and returns on those investments. This year’s portion of survey respondents with plans to make further investments in PLM technology rebounded to 63 percent from 50 percent in 2014. and strategic objectives being set by process and technology leaders in apparel. Over time. and apparel supply chain. which ranked as the No. improving product quality. Apparel companies continue to watch costs closely. accessories and home fashions. This report is meant to be a useful benchmarking and research tool to help guide your company’s thinking about the current state of your PLM process and discipline. second only to ERP in terms of business criticality in many companies. 31 percent had annual sales of $1 billion to $5 billion. Apparel companies today believe PLM evolution will be driven by factors such as the desire to standardize an expanding list of PLM activities across multiple channels and geographies. the percent of respondents reporting having invested $500. This year. the likelihood of those investments happening in the next 18 months dropped slightly from 52 percent to 43 percent. along with the interest in business intelligence and analytics to make intelligent tradeoff decisions throughout a product’s life. and another 16 percent as being embedded within their end-to-end supply chain processes. In this time. reducing time-to-market.4 13 . For the second year in a row. assess your PLM maturity and map your path to the next level of PLM maturity. but with many costs squeezed out of supply chains over the years and the pursuit of low-cost manufacturing above all other business goals coming under critical scrutiny. future spending plans. software has evolved from product data management (PDM) functionality to product lifecycle management (PLM) functionality. 56 percent are planning to add customized capabilities and 36 percent plan to roll out additional software modules alongside their installed PLM functionality. As noted in our 2014 report.000 or more in PLM technology has grown a remarkable 92 percent.000 or more jumped to 41 percent after dropping to 21 percent last year. Among companies planning to make future investments. 10 percent had annual sales of more than $5 billion. compare your investments to date and how they measure up to your industry peers. there is a lot of opportunity for executive and supply chain leaders to leverage PLM for a much broader set of benefits. We offer our sincere thanks to the 51 companies that participated and shared information about their PLM plans and initiatives. both driving the growth and being driven by apparel users’ functional requirements. will drive functional progression. 35 percent were vertically-integrated companies that design and sell apparel and other products directly to consumers through their own retail channels. and 23 percent had sales revenues of $100 million or less. We welcome your suggestions and feedback for the kinds of data you would like to see collected and presented in next year’s survey. making this study available through Apparel would not be possible. 36 percent had sales revenues of $100 million to $1 billion. Given the scale of investment to date. defined by Gartner as next-generation information technology platforms that facilitate continuous creativity. Still emerging is the next role that PLM will play as a true competitive differentiator. For those investing over the next 18 months. 2 expected business benefit in 2006. In parallel. Lower product costs. this next stage of evolution will drive a new round of investments in PLM processes. I n the 10 years since the first joint survey between Apparel and AMR Research (later Gartner). 43 percent of survey respondents were manufacturers. PLM has definitively moved from its traditional bailiwick of product design teams to take a much larger role as a process and technology backbone for retail. Expectations for return on investment have grown as well. and generating better designs. product portfolios. and is now wavering at the border between PLM and Product Innovation Platforms.AN APPAREL RESEARCH STUDY & ANALYSIS ABOUT THE SURVEY Apparel magazine and Gartner’s 10th annual survey of the apparel industry’s adoption and use of Product Lifecycle Management (PLM) technology provides the industry an opportunity to look back over a decade of development and a decade of progress in designing the PLM discipline and implementing supporting technologies. The survey was conducted in March 2015 to seek out industry participants’ opinions on the latest PLM investments. and the attraction of cloud-based deployments. footwear. yielding improvements to products. PLM technology providers will be asked to provide the functionality to support the orchestrated processes that apparel companies are building to drive value. the portion expecting to invest $500. This. technology and business talent. the top-ranked benefit that apparel and fashion companies hope to achieve from investments in PLM strategies and technologies is the standardization of processes. this is not the competitive differentiator that it was a decade ago. from 24 percent to 46 percent of respondents. and 22 percent were retailers that sell branded apparel merchandise or a blend of branded and private-label merchandise. Of the 48 companies that indicated an annual revenue range.

the creation of the purchase order. For the purposes of this research. brands. may also cover a range of activities that include order-to-shipment.000 <$10. line planning. allocation to channels or stores and visibility to merchandise. In apparel. and PLM applications offered by vendors. though this is changing. Without this.<$50.000 . a PLM for RFA application and processes must support the design-to-order span of activities. PLM is described by retail. Where Are We Now? The apparel industry has come a long way in 10 years as measured by investment.5 million or more . at this time.5 million <$2. yet essential for getting PLM initiatives right. Gartner defines PLM as a discipline for guiding products and product portfolios from ideas through retirement to create the most value for businesses.000. just 15 percent of survey respondents reported having invested more than $1 million so far on their PLM initiatives. Gartner takes the position that. footwear and accessories (RFA) companies in endless combinations to cover process steps in: • Design-to-order: For example. product portfolio management and product phase-out processes. resulting in confusion regarding what is and is not a PLM application for these industries. storyboarding. and typically conclude at either tech pack creation or the cutting of the final purchase order. visibility to the location of the shipment and import status.<$250. traceability to the dock and invoicing the (B2B) customer. distribution of product to warehouses or stores.000 . their partners and their customers.• Order-to-shipment: For example. creation of shipping documentation. enterprises have blurred the boundaries between the discipline and the technology.000 . In 2006.000 <$500.000 <$50. deployed technology and benefits achieved from that technology. raw materials visibility and management and finished goods sourcing. In 2015. visibility to manufacturing status. shipment-to-cash.000 <$100.<$1 million <$1 million . 33 percent of respondents said that their companies had spent more than $1 million on Figure 1: Spending on PLM Technology to Date 2015 Retailers (N=15) 7% 13% 20% 7% 13% 3% 27% 13% 2014 Retailers (N=22) 5% 5% 9% 9% 32% 5% 18% 18% 2015 Manufacturers & Others (N=24) 8% 17% 13% 4% 17% 13% 17% 13% 2014 Manufacturers & Others (N=11) 9% 14 9% 9% 36% 18% 9% PLM FOR APPAREL 2015: A DECADE OF PLM DEVELOPMENT 9% <<$10. 2015 SNAPSHOT AND EVOLUTION Defining the Scope of PLM One of the greatest challenges in tackling PLM within the apparel industry is that getting a consistent definition for what companies include in the scope of PLM is difficult. PLM investments are less likely to achieve target benefits and returns-on-investment. definition. inventory and operations execution (MIOE). creation of the outbound delivery notice or ASN. Company definitions of the scope of PLM. vertically-integrated retailers. May include the creation of the purchase order. or manufacturers — conduct PLM activities within their companies and use technology to support those activities.000 . Our survey focuses on how apparel companies — whether they be retailers. and language for PLM as it evaluates initiatives to improve processes and the application of technology.<$100. inspiration capture. more so than other industries.<$500. if not impossible. • Shipment-to-cash: For example. and half of respondents had spent less than $100. The important thing is that your company have a shared scope. product specification development.<$2.000 <$250.000 . PLM applications have traditionally been focused on the subset of PLM activities that occur from ideation capture and product data management.

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000. social or consumer safety compliance tracking 20% 18% 20% 37% 12% 22% 27% 35% 20% 39% 20% 22% 37% 51% 25% Executive Dashboards 12% 28% 45% Direct Materials Sourcing/ Supplier Collaboration 20% 25% 57% Workflow/Critical Path Management 6% 29% 59% Product Portfolio Management 16 18% 63% Line Planning 10% 16% 78% Materials Management Other. 60 percent). and line planning (59 percent vs. cloud and big data developments. Over the past three years. up mod- n= 51 <Currently Use Figure 2: PLM Efforts and Adoption Status <Plan to Implement in next 18 months Bill of Materials/ Product Data Management 52% Calendar Management 51% Collaborative Design/ CAD File Sharing 51% Merchandise Planning/ Management 41% Product Ideation 41% 24% Virtual Product Prototyping/ Modeling 24% Sustainability. apparel companies have made the greatest progress in adopting costing (78 percent vs. Eighty percent of survey respondents today include or plan to include direct materials sourcing and supplier collaboration in their PLM deployments. up from 57 percent in 2006. In 2006.4 PLM initiatives to date. costing. 80 percent of companies had adopted or planned to adopt bills of material/product data management functionality. the figure for the percent of survey respondents that have spent more than $1 million has wavered a bit. and 39 percent had spent somewhere in between those two figures (see Figure 1). product portfolio management (57 percent vs. Twenty-eight percent of companies had spent under $100. Compared to 2014’s survey results. 55 percent) functionality. Planning in turn lays the groundwork for the future of PLM. today. which is evolving today under the influence of social. and materials management functionality. 40 percent). mobile.estly from 77 percent in 2006. that figure is 90 percent. n=18 8% 82% Costing Business Intelligence (BI)/ Analytics <Do Not Use/No Plans to Use 24% 48% 20% 28% 57% 38% 72% PLM FOR APPAREL 2015: A DECADE OF PLM DEVELOPMENT 42% 28% . more than one-third of all responding companies have taken the steps over time to invest an enormous amount of capital into PLM. The adoption of this planning layer of capabilities is indicative of companies moving to the next stage of technology-enabled PLM proficiency after establishing their operational foundations with bills-of-material and product data management. Companies have made great strides in adopting and using PLM technology as a result of these investments (see Figure 2). and 73 percent have implemented or plan to implement collaborative design or CAD sharing capabilities. but at its essence.

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25 percent reported having business intelligence within the scope of PLM. The top three answers were: faster time to market (23 percent). or demand planning organizations. showed that improving new product commercialization and launch and PLM FOR APPAREL 2015: A DECADE OF PLM DEVELOPMENT . 30 percent of survey respondents had business intelligence technologies encompassed within their PLM initiatives. using big data or business analytics/intelligence within the context of PLM. if benefits achieved lag in one area. Reflecting now over what has actually been achieved. the last apparel technology trends survey. Bottom Line Improvements Experienced Through PLM To Date n= 48 <Ranked 1st <Ranked 2nd <Ranked 3rd Have Achieved Rankings Greater Standardization of PLM Processes Reduced Product Development Time 8% 10% 13% Improved Product Margins 8% Other 2% 6% 59% 55% 26% 25% 10% 6% 13% 17% 22% 16% 12% 2% The last of these. In 2012. The focus on improving planning functions such as costing and line planning may be a reaction to slow progress on cutting times-to-market. This has been a consistent theme throughout our decade of research. we can see that PLM has delivered on standardization of PLM processes (as a means to manage costs and reduce risk). and yet remains an opportunity for apparel companies and PLM technology providers to explore. as we will further explore herein. such as within marketing.Figure 3. Indeed. appears to be a sticking point for apparel companies. both as a technology and as a role exists somewhere else. conducted in 2006. conducted in late 2013. In our first survey. time-to-market remains unchanged for many products. Apparel Companies Will Invest in Planning Functions within PLM It appeared in 2014 that the apparel industry took a bit of a breather on PLM investments as companies assessed the next round of business opportunities. a natural reaction is to invest in other areas showing greater promise for faster ROI. 1 as the top functionality apparel companies would like to see software and services providers add to or enhance within their applications (see Figure 7). and needs to be linked to product design and development planning and execution process more effectively to drive results. merchandising. lower product 18 8% 10% 2% 10% Improved Product Quality/Fewer Defects 2% 8% 25% 19% 23% Improved Adoption Rate of Proposed Designs 2% Reduced Product Costs 19% 15% Improved Design/Development Team Productivity (# Designs/Person) Faster Time to Market 19% 40% SUM 76% costs (21 percent) and better designs (18 percent). Simultaneously. It may be that business intelligence. Meantime. and in 2015. business intelligence and analytics ranked No. Faster time to market and improved product quality are two areas where PLM processes and technologies have not yet met the hoped-for expectations. and improved product design (see Figure 3). we asked apparel companies what the primary business benefits were that they hoped to achieve from their PLM implementations. reduced product development time. with 51 percent of survey respondents.

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marketing. Companies continue to develop highly-focused PLM initiatives. social. Additionally. fewer companies have actually seen faster time-to-market.000 <$500. sales and supply chain.7% 23. lower product costs. linked closely with PLM processes and applications. including new product development. survey respondents indicate a willingness to make larger PLM investments than last year.<$500.000 <$10. The survey data shows that.<$100. however. with 59 percent planning investments of $500. and only 26 percent noted it among their top three achieved benefits. While survey respondents indicate that PLM initiatives have helped reduce product development time. The planned timeline for these investments has remained relatively consistent. mobile and business intelligence capabilities and evaluate the evolving Product Innovation Platforms that will increasingly support end- Figure 4: Anticipated Investments in PLM Technology How much more Plan to invest further (Among those who plan to make additional investments in PLM technology) 14% 15% 16% 2015 (N=32) 62.000 <$101. up from 39 percent in 2014. But. as they did in 2014. directionally. and 66 percent included it among their top three business goals. Twenty-five percent of respondents ranked faster time-to-market as their hoped for goal. These goals.7% <Don’t know <Yes 2015 (N=32) 9% 2014 (N=23) 2013 (N=37) 34% 35% 17% 11% 31% 32% 26% 30% 19% 13% 16% 6% 9% 11% <In the next 6 months <In the next 6 – 12 months <In the next 12 .000 .000 or more. and fewer markdowns (see Figure 6).000 . As a result.4 reducing lead times ranked as the top business initiatives companies were considering for 2014. Implementations of PLM strategies and technologies have yielded solid results for many companies. sourcing and distribution may have actually increased as time to design a product fell.<$1 million <$1 million or more <Don’t know Figure 5: Timeline for Future Investments When making the bulk of those investments? Plan to invest further (Among those who plan to make further investments in PLM technology) 14% 15% 16% 23. 1 way apparel companies planned to achieve future growth goals.18 months <More than 18 months from now <Don’t know PLM FOR APPAREL 2015: A DECADE OF PLM DEVELOPMENT . PLM initiatives have delivered on expectations for process standardization. were the No. have yielded mixed results. commercialization and launch activities across multiple functions such as design. only 8 percent of respondents noted faster time to market as the top business benefit achieved. Hoped-for goals for faster time-to-market. the percent of survey respondents planning to make additional investments in PLM technology rebounded from 50 percent in 2014 to 63 percent in 2015 (see Figure 4).5% 50% 35% 21% <No 2014 (N=23) 4% 2013 (N=37) 3% 63% <Don’t know 16% <Yes 16% 17% 35% 18% 26% 31% 9% 28% 4% 13% 17% 22% 18% 21% <<$10. but not always in the areas where apparel companies hoped they would be achieved. more apparel companies are holding off on investments for another 12 months than indicated the same last year.5% 50% 35% 63% 21% <No 20 62. suggesting that time for other activities such as planning. and at the same time are laying the foundation for broader refreshes that will allow them to tap potential advantages from developments in cloud.to-end PLM activities.000 .

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line planning (28 percent). Achieved. Comparing the functional wish list to survey respondents’ plans to add PLM functions to their PLM capabilities over the next 18 months.Outperforming expectations is better/improved design and development capabilities. we see that plans to improve sustainability. suggesting that in 2014 companies were kicking the tires of some less widely-adopted capabilities before investing to continue to improve visibility and planning functions and processes. 2015 <Ranked 1st <Ranked 2nd <Ranked 3rd Hope to Achieve Rankings n= 51 Greater Standardization of PLM Process 12% 35% Faster Time to Market 25% 25% Improved Quality Assurance & Compliance Testing 2% 22% and Documentation 25% Improved Product Quality/ Fewer Defects 16% Lower Product Costs 6% 18% 18% Better Design 10% 6% 8% Fewer Markdowns 4% 10% Other 2% 2% 10% 6% 24% 16% Have Achieved Rankings n= 48 Greater Standardization of Processes Reduced Product Development Time 40% 15% Improved Design/Development Team Productivity (# Designs/ Person) Faster Time to Market 8% 10% 8% Improved Adoption Rate of Proposed Designs 2%13% 10% Reduced Product Costs 10%2%10% Improved Product Margins 6%6% Other 2% 22 19% 23% Improved Product Quality/ Fewer Defects 2%8%6% PLM FOR APPAREL 2015: A DECADE OF PLM DEVELOPMENT 19% 19% 25% 13% 17% . Areas that slipped down the wish list in 2015 include workflow and critical path management (down from the No. Apparel companies continue to ask their technology partners for a wide array of functional additions and improvements. Hand in hand with that. or they have not yet gotten deep enough into investments in this area to know precisely what enhanced capabilities to ask their providers to add. or consumer safety compliance is an investment target for many companies. Primary Benefits of PLM Strategy. or misaligned product costs. Improved idea capture and sharing and workflow visibility have been instrumental in reducing the number of design cycles apparel products go through during the development process. companies have seen improved adoption rates for their proposed designs. and are important contributing factors to the reduction in product development time. 4 rank in 2014).4 Figure 6. Hoped For vs. and merchandise planning (16 percent) ranked as the top capabilities that survey respondents ranked first or second as areas they would like PLM software and service providers to improve. costing. and executive dashboards rated highly among the visibility capabilities companies crave to more quickly identify and respond to problems such as schedule delays. and collaborative design/CAD file sharing (down from No. virtual product prototyping/modeling (down from its No. supply problems. business intelligence/analytics (26 percent). Several interpretations can be made: apparel companies may be satisfied with the compliance capabilities offered by their PLM technology providers. and functions that improve visibility and the ability to respond quickly when plans go awry remained popular. Among the planning functions. 2 spot on the 2014 wish list). 5 last year). calendar management (26 percent). Calendar management. In 2015 the wish-list rankings changed to reflect the interest in planning activities. The 2015 rankings closely correlate to the 2013 survey results. social. Both are evidence that the internal workflows and collaboration enabled by better PLM processes and technologies are yielding products of which multiple stakeholders approve. yet is ranked well down the functional wish list. direct materials sourcing.

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companies can expect to see PLM FOR APPAREL 2015: A DECADE OF PLM DEVELOPMENT .Figure 7: The 2015 Functional Wish List n= 51 <Ranked 1st <Ranked 2nd <Ranked 3rd <Ranked 4th <Ranked 5th Business Intelligence (BI)/Analytics 14% Calendar Management 12% Merchandise Planning/ Management 10% Costing 10% Direct Materials Sourcing/ Supplier Collaboration Bill of Materials/ Product Data Management Executive Dashboards 6% Virtual Product Prototyping/Modeling Workflow/Critical Path Management 2% 4% Product Portfolio Management 4% 10% 8% 12% 6% 4% 6% 4% 4% 2% Other 2% 2% 2% 10% 6% 4% 6% 50% 44% 32% 4% 30% 8% 10% 52% 36% 8% 12% 8% 38% 22% 10% 2% 4% 24% 6% 8% 46% 34% 6% 6% 2% 6% 10% 8% 2% 22% Materials Management 2% 10% Sustainability. PLM initiatives have helped stabilize and create consistency among PLM activities. 1 influence fell to 25 percent in 2015. understanding the factors influencing the evolution of the PLM discipline as well as technology is important for planning future investments in people. but rather creating a center-led PLM strategy that creates integration and orchestration across key activities. customers. Center-led supply chain strategies are becoming more common in apparel enterprises. which controls business risk and product costs to an extent. The increasing influence of centralizing activities likely has less to do with literally putting everyone doing product design and development in one place. processes and technologies tied to this area. and markets. and as new product design and launch activities continue to migrate into the span of control for supply chain organizations. and the increased availability and adoption of cloud or Software-as-a-Service (SaaS) deployment models. or Consumer Safety 2% 2% 2% 8% Compliance Tracking Product Ideation 2% 2% 8% 14% 6% 10% 4% 8% 36% 22% 8% 6% 22% 6% SHAPING PLM FOR THE FUTURE Given the enormous importance of PLM to apparel organizations. products. but fewer companies ranked it among the top three influences when compared with 2014’s results. Social. but still allows for managing differences in channels. compared to 37 percent in 2014. the factors that apparel companies believe will guide their PLM strategy development are changing. 24 2% 2% 8% 8% 12% 6% 6% 6% 14% 10% 2% 8% 6% 6% 14% 6% 8% Line Planning Collaborative Design/ CAD File Sharing 12% SUM Moving up the list as influences are the need to increase centralization of PLM activities. companies ranking it as the No. True to the maturing nature of the market. Cost management and reduction once again retained its ranking as the top influence on PLM strategies. Notably.

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Among retailers. technical. and even supply chain services to attract and retain customers and consumers. The case for doing so will become more compelling as companies limit race-to-the-bottom cost cutting and increasingly focus on innovation and topline growth for enterprise success. the numbers are similar. sourcing and launch activities that retailers must support.4 PLM FOR APPAREL 2015: A DECADE OF PLM DEVELOPMENT . Among apparel manufacturers. Activities or Investments Planned for PLM Technology & Services. If anything.Figure 8. or Consumer Safety Compliance Tracking 39% 38% 37% Calendar Management Merchandise Planning/ Management 35% 29% Line Planning Workflow/Critical Path Management 28% Other 28% Product Portfolio Management 25% Collaborative Design/ CAD File Sharing 22% Product Ideation 22% Virtual Product Prototyping/ Modeling 20% Materials Management 18% Costing Bill of Materials/ Product Data Management 16% 8% more experimentation with center-led models being applied to PLM. This was the first year in our survey that we asked companies to describe the primary role PLM plays in their companies. development. apparel manufacturers are more fixed at the reactive stage of PLM maturity. reflecting the struggle that companies have in being both responsive to customer (retailer) needs and consumer preferences. process or talent perspective. We expect to see a surge of organizational innovation as apparel companies more clearly define the role of PLM in their supply chains and then design the organizations needed to effectively support the chosen strategy. development. Evolving PLM strategies will require bold apparel industry participants to create aspirational plans for supply chain leadership that may precede their companies’ abilities to execute on the new organizational design from a cultural. Social. and fully 50 percent describe PLM as belonging primarily to product 26 design. just 17 percent describe PLM as a business differentiator. textiles. and sourcing organizations only. and bringing innovative designs. Another 22 percent describe PLM as embedded within their end-to-end supply chain process. 2015 Plan to Implement in the Next 18 Months n= 51 Business Intelligence (BI)/Analytics 51% Executive Dashboards 48% Direct Materials Sourcing/ Supplier Collaboration Sustainability. a startling figure in light of the growth of private-label activities and the parallel growth in design. Cloud/SaaS deployments of PLM technology are one lever for providing consistent functionality and workflows based on best practices defined at least loosely by center-led PLM teams.

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… Apparel manufacturers can start deploying tools against specific business process bottlenecks immediately. etc.” Looking back across a decade of survey work. and also in using applications to standardize processes (to a PLM FOR APPAREL 2015: A DECADE OF PLM DEVELOPMENT . Geographies. “The fashion business is often wrongly assumed to be fast to market with new products. we can see that the apparel industry has made substantial progress in deploying applications to address specific business bottlenecks. sourcing and manufacturing chain and keeping the time to market for new products at nine to 12 months for most. The answer for many lies in the technology to support new product development and introduction. 14% 14% Increased Availability and Adoption of Cloud or Software-as-a-Service Based PLM Applications Senior PLM Talent to Oversee or Orchestrate Your Organization's PLM Strategy 16% 20% The Expansion of Our PLM Strategy to Encompass New Product Commercialization and Launch Activities Government Regulation and Quality Assurance Compliance 39% 25% Cost Management/Cost Cutting Tighter Integration of PLM Strategy into the SC Organization <Ranked 3rd 20% 10% 8% 25% 22% 8% 10% 8% 12% 16% 6% 10% 2%2% Sustainability/Corporate Social Responsibility 2%4%6% Other 4% 2014 37% Cost Management/Cost Cutting The Expansion of Our PLM Strategy to Encompass New Product Commercialization and Launch Activities 24% 21% The Need to Increase Centralization of Product Design and Development Activities Across Brands. The consultant’s knee-jerk notion that the process is broken is wrong in this 28 case: It is more a problem of poor tools and weak discipline. A spiral of cost pressures driving offshore manufacturing is exacerbating communication problems across the design. Gartner (then AMR Research) wrote in a research note aimed to the apparel industry.Figure 9. Geographies. etc. 13% Increased Availability and Adoption of Cloud or Software-as-a-Service Based PLM Applications 13% Tighter Integration of PLM Strategy into the SC Organization 8% 18% 16% 11% 29% 16% 5% 5% 8% Government Regulation and Quality Assurance Compliance 3% 11% 11% 18% Senior PLM Talent to Oversee or Orchestrate Your Organization's PLM Strategy 3%3%13% Sustainability/Corporate Social Responsibility 3%8% CLOSING THOUGHTS A dozen years ago. but should do so in the context of a wider product lifecycle management (PLM) strategy. Factors Influencing PLM Strategies Over Next Three Years <Ranked 1st n= 51 2015 <Ranked 2nd The Need to Increase Centralization of Product Design and Development Activities Across Brands.

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forecasting. and replenishment (CPFR). n Copyright © 2015 by Edgell Communications Inc. product lifecycle management and business intelligence applications. connected. analyzing and writing about the technologies. and guide clients in evaluating actionable go-to-market strategies and portfolio development. Janet’s research and analysis focused on fresh item management. best practices and trends in key retail software segments. 30 PLM FOR APPAREL 2015: A DECADE OF PLM DEVELOPMENT . or is the PLM discipline as it is cur- 33% 12% 22% PLM Develops Expertise. Supply Chain & Apparel. Janet is a member of Apparel’s Editorial Advisory Board. She has also covered inventory optimization. Her focus was to analyze the relationships between IT spending and economic variables. and reduce or manage product costs. which. if not exactly broken. point-of-sale. RDA Team. Gartner Janet Suleski brings more than 17 years of experience working with retailers and software vendors to her role as research director. supply chain & apparel. supplier collaboration and supply chain event management. Anna spent more than a decade at IDC as a research director/economist/analyst. Resources and Common Processes 24% PLM Links Design/ Development and Sourcing Processes rently constructed better aligned to be a “lights-on” operational system. analyses and delivers the insights from qualitative and quantitative research studies. Resources and Common Processes PLM is Defined as Product Design and Development Only PLM Develops Expertise. Will the apparel industry increasingly put PLM into the role of a true competitive differentiator. Research Director. Prior to Gartner. strategic sourcing and procurement. ABOUT THE AUTHORS Janet Suleski. and is a founding member of the retail advisory practice. Prior to her current role at Gartner. All rights reserved. Janet is primarily responsible for researching. more like a manufacturing execution system or a payroll application — essential to business but fundamentally unglamorous? We hope next year’s survey will tell us more about whether the industry wishes to move the PLM discipline forward as a differentiator or whether a new generation of PLM organizational structures and Product Innovation Platform technologies better represent next year’s big runway success. Anna Toncheva. data-driven. The apparel industry is now showing a greater appetite for taking a critical look at PLM processes and strategies. by Market Segment MANUFACTURER (n=33) RETAILER (n=18) 17% PLM is Embedded within End-to-End Supply Chain PLM is a Differentiator PLM is Defined as Product Design and Development Only PLM is a Differentiator 28% 18% PLM is Embedded within End-to-End Supply Chain 22% 11% 12% PLM Links Design/ Development and Sourcing Processes point). Researcher.Figure 10. including retail ERP. collaborative planning. where she is designs. may not be the right ones to take companies into an increasingly multi-channel. software and services forecasts and segmentations. price optimization and customer loyalty software and business processes. Primary Role of PLM in Supply Chain. global. develop multilevel hardware. create designs more efficiently. and cloud-based PLM future. Gartner Anna Toncheva is a researcher in the RDA team at Gartner. at Gartner.