Welcome to “The PLM Economy”

Analysts are often known for creating new words or concepts to describe the world. When it first came out that I was returning to an analyst role at CIMdata, I coined a word that I put on my Twitter feed:

Oblogation -noun 1. a blog that a person is bound or obliged to create when they become an “analyst.”

It took a while to get this blog started, but here goes.

The creativity of analysts extends to creating models. (In a future post, I will include my obligatory 2×2 matrix.) Any analyst worth his or her salt will have a model or two in their pocket. Maybe that is one reason I enjoy this profession, as I firmly believe in using models. No, not that type of model (at least not in this space). Models in the sense of what does not appear until the tenth definition of the word “model” at dictionary.com:

10. a simplified representation of a system or phenomenon, as in the sciences or economics, with any hypotheses required to describe the system or explain the phenomenon, often mathematically.

Perhaps this comes from my background as a lapsed mathematician. But this interest in applying models to help explain concepts was heightened by my time at the Software Engineering Institute (SEI) at Carnegie Mellon University. (Just for giggles, type “Stan Przybylinski software technology transfer” into Google and you can see illustrations of my sordid conceptual past.)

The “model of the day” comes from my time at the SEI, and has its roots in communication theory. The model helps illustrate how technologies move from one organization to another, and provides a framework for studying how they mature as a result of multitudes of these “transactions”.  (Our goal was to determine how to best speed the maturation of SEI-developed and promoted technologies to improve software development and its application. Today, the best known SEI “technology” is the CMMi and its offshoots, which should be familiar to many in the software development community.) Here we are using the model for a different purpose: to represent the relationship between solution suppliers and end user organizations, in this case in the PLM space.

Companies of any type (the large bubbles) develop products for sale to their customers. In the case of PLM, Solution Suppliers develop offerings of different types to help End User companies reach their PLM objectives. The smaller bubble on the left represents the outward reaching functions of Solution Suppliers, like sales and marketing. They are the “boundary spanners” described in the innovation literature.

On the other side, End Users often have subgroups, task forces, ad-hoc committees and the like reaching in the opposite direction. Sometimes they too are boundary spanners (but often they are people with the time to be in the group). These are the parties to this transaction in the PLM Economy.

Analysts and consultants are, of course, other actors in the PLM Economy that try to play that boundary spanner role. CIMdata is one of them. But one of the things that fascinated me about CIMdata when I joined the first time in 2000 was that CIMdata sat right smack in the middle of the equation.

Groups like The Knowledge Capital Group, an analyst about analysts (say that five times fast), categorize analysts as sell side (Solution Suppliers) and buy side (End Users) on their own magic four-sector-box-with-dots thing. In their scheme, CIMdata would sit on the mid-line, which is not common. Of course, the other analyst firms do work across the line, either by special project, cross-cutting business unit or some other means.

One of the reasons to bring up this particular model is that it represents my philosophy and plans for this blog. My topics will range across this gap, with some focusing on Solution Suppliers and others on End Users, but always with a view across that span. Beyond that, I am always open to ideas for topics. I also hope to have some fun, and good conversations along the way. Speaking of conversations, my plan is to leave comments on this group un-moderated. Whether it stays that way is up to all of you.

Let the fun begin!



About Stan Przybylinski

Stan Przybylinski, Director of Research for the management consulting and research firm CIMdata — an internationally recognized authority on Product Lifecycle Management (PLM), has more than 30 years experience in the development of business-enabling information technology (IT) solutions for research, engineering, and manufacturing organizations worldwide. He has held various positions in research and development, marketing, and communications with both Fortune 100 companies and small organizations.

As Director of Research, Mr. Przybylinski is responsible for CIMdata’s research agenda, including the CIMdata PLM Market Analysis Report series, recognized as one of the best and most complete sources of market data on the global PLM market. Other research interests include R&D management, requirements management, channel management, strategic marketing, and software delivery models. He is also the main author of the CIMdata blog, “The PLM Economy.”

Beyond his research work at CIMdata, Mr. Przybylinski has been directly involved with the selection, consulting, integration, and implementation of large-scale PLM solutions. He has experience working in the automotive, aerospace, consumer packaged goods (CPG), high-tech, and medical device industries. He has spoken on a number of different product lifecycle management-related topics in Europe, North America, and Asia.

Prior to joining CIMdata, Mr. Przybylinski was Manager of Market and Competitive Intelligence in the Corporate Marketing group for Dassault Systèmes, a market leader in PLM solutions. In this global role, Mr. Przybylinski was responsible for market monitoring and analysis, competitive analysis, strategic marketing, and the building of “communities of interest” in the Dassault Systèmes group around market intelligence and competitive topics. One such group, the “Competitive Intelligence Advantage” community, was the largest (over 3,000 members), most active, and most popular across Dassault Systèmes hundreds of communities.

Mr. Przybylinski’s university education includes a Bachelor of Science and Master of Science degree in Mathematics from the University of Vermont, and a Masters of Business Administration in Finance from New York University. Mr. Przybylinski is also all but dissertation (ABD) in Industrial and Operations Engineering at the University of Michigan. His continuing education includes CMII Certification from the Institute for Configuration Management.

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6 Responses to Welcome to “The PLM Economy”

  1. Jim McKinney says:

    Stan,

    Nice post. I think the two circles are getting closer to each other, or at least the ability for Solution Suppliers and End Users to interact on social networks has increased. On the other hand, just the sheer amount of information that is now available makes it even more important for someone like CIMdata to make sense out of it all for End Users.

    Happy Blogging!

  2. Mark Burhop says:

    Good first post Stan. Introduced the blog and had some interesting content. I’m looking forward to learning more from you blog.

    I think Jim above has a couple good points too. Social media has changed the throughput of that line between supplier and end user making a blog like this even more important.

    Mark

  3. Mark Levitt says:

    Stan,
    Here’s my “oblogatory” comment: The symbiotic relationships binding together solution providers, end users and industry influencers may be better drawn as a triangle. Each group has its own angle and makes points that connect to the others.
    Thanks,
    Mark

  4. Thanks for jumping in Mark.

    That geometry could work also, but in my experience the connection between influencers and solution providers is often more direct. Most analysts get more revenue from the “sell side” of the equation. (Indeed, some have solutions suppliers have changed their function titles from “analyst relations” to use the word influencers.)

    End users do influence analysts. In fact, they better, because analysts should be looking at what is actually happening in the market vs. any agenda or idea they may have. But their influence should probably stop there, as their value to end users is mostly as an unbiased source of information. Plus, as you and I have discussed, some other analyst firms measure analyst influence, and it seems to increase with company size, i.e., the bigger the company, the more analysts affect buying decisions. Solution suppliers, and others in the PLM economy, go after end user companies of all sizes.

    In it’s full blown version, this model has many bubbles, with influences coming from many directions. Those same studies that show analysts as influencers also show that end users get information from many other sources, valuing peers most highly. (There is a whole set of literature on how information moves in professional “communities,” organizational boundaries be damned.)

    Interesting stuff, at least to geeks like me.

    Stan

  5. Yaser Kabakibo says:

    Hey Stan,

    Congrats on your new obligatory task. Hope you have fun keeping it alive! Mentioning the topic above, I thought of squeezing in my view of what is going on. As I see it, companies don’t have the option of not being “hyper social” anymore (read Hyper Social Organization by Francois Gossieaux). With the evolution of social media, the coin has flipped in favor of the consumer. Now, consumer can turn things upside down for any (big or small) organization by just voicing their opinion about it through social media platforms (+ve Best Buy, -ve DellHell).
    PLM is still a slimy fish and keeps slipping between the hands as people still don’t have a solid grasp of what it is and what it has to offer. But just like anything else, the move voices there are, the better the evolution of the product goes.
    I look forward reading your blog, no pressure !
    Thanks
    Yaser

  6. Stan, Welcome to the blogosphere! I’m looking forward to following your insight on PLM Economy. Btw, nice name… Good luck! Oleg