Understanding PDM and PLM

When it comes to managing product-related data and processes, two acronyms often come up: PDM and PLM. Though they might seem similar, they serve distinct purposes in the lifecycle of product development. This article will help you understand what PDM and PLM are, highlight their differences, and guide you on when to use one over the other.

What is PDM?

Product Data Management (PDM) is a system used to manage product engineering data and process information in a central repository. PDM focuses on managing data about the design and engineering of a product—such as CAD files, drawings, renderings, and the engineering bills of materials—and key workflows governing engineering processes. Its primary job is to be a single source of truth and approvals for storing and releasing engineering data.

PDM systems share several key features to help an organization manage their engineering data:

Revision control

One of PDM’s core features is to control revisions to files under management. Changes to files are assigned versions as they’re checked in or merged in, so your team can always access the latest version of a file along with its design history.

File management

PDM systems provide storage and retrieval for your physical files, to ensure everyone on the team is working from the same source of truth. Many PDM systems also support storing metadata (i.e. custom properties) for versions of files under management.

Access control and permissions

PDM systems come with a user and permissions model to control who can submit and approve changes, view data, and administer the system.

Workflow automation

PDM systems can be configured to automate tasks like part number assignment, part release, ECO approval, part replacement/retirement, and other common engineering tasks.

Existing solutions and typical costs

Examples of PDM systems in the market today include SOLIDWORKS PDM, Upchain , and the data management features of OnShape. PDM systems are rarely “one size fits all”, and often require expertise to design, install, and customize the system to meet the organization’s needs. In some cases, a PDM implementation can cost tens of thousands of dollars or more to get started, and ongoing maintenance costs to keep it running. As a result, a company will typically adopt PDM when the cost of mistakes in their product data are high or increasing, i.e. when they grow their engineering team beyond a handful of people or need more rigorous control over their engineering data.

What is PLM?

Product Lifecycle Management (PLM) is a system that encompasses the entire lifecycle of a product, from initial concept through design, manufacturing, maintenance, and disposal. This is typically much broader than just your engineering data: PLM integrates people, processes, business systems, and other information to manage a product's lifecycle efficiently. PLM also will manage your product manufacturing bill of materials in addition to your engineering BOM, ensuring everyone involved in the product is operating from the same set of information.

PLM systems share several key features to help an organization manage their product’s lifecycle:

Release management

One of the primary features of PLM software is managing the release—or cancelation—of parts and products. In most manufacturing processes, a part must be released before it can be put into production. Release management is therefore very important in minimizing costly communication mistakes by ensuring you are building with finished, reviewed, and approved parts.

Product bill of materials

A PLM system will maintain the bill of materials (and sometimes multiple bills of materials) for your product throughout its lifecycle. A product BOM represents the project structure and key metadata and is released and revisioned like any individual component.

Change orders

PLM systems provide a mechanism for submitting engineering change orders against a product. Engineering change orders are used when a released part in a product must be replaced with another part, and likely necessitate engineering, testing, review, purchasing support, and approval. PLM manages this process and ensures the correct people are brought into the project at the right time.

Other common features

• Project management: Some PLM software includes project management features such as deliverables, milestones, tasks, and schedules.
• Compliance and regulatory management: Similarly, some PLM software will also store metadata and documentation to support regulatory compliance.
• Workflow automation: Similar to PDM, PLM software may include workflow management features to control part release approvals, change order approvals, and notifications to key stakeholders.
• Analytics and reporting: PLM software may have built-in analytics and reporting, to help business leaders understand cost, yield, warranty, and other related information.
• Part number database: PLM software often includes a part number assignment database, to allocate and keep track of assigned, retired, and replacement part numbers for your product data.

Existing solutions and typical costs

Examples of PLM systems in the market today include Duro, Fusion Manage, Windchill, Arena, Teamcenter. PLM systems can also require customizations, but modern solutions like Duro and Fusion Manage come with sensible defaults “out of the box” to ensure you get up and running as fast as possible. As a result, a PLM implementation can be relatively straight forward, but since so many different business functions interact with it, additional costs can incur from getting alignment across your organization. Companies will typically adopt PLM when they look at manufacturing their product, as the cost of mistakes in unreleased parts and undocumented changes increases substantially when transitioning your product from engineering to manufacturing.

Differences between PDM and PLM

While both PDM and PLM deal with product data, their scope and functionality differ significantly:

• Scope: PDM is focused on managing design data, files, and documentation, whereas PLM covers the entire product lifecycle.
• Integration: PDM is often integrated within CAD tools and serves as a repository for design data. PLM, on the other hand, integrates with various business systems, including ERP, SCM, and CRM.
• Users: PDM is primarily used by design and engineering teams. PLM is used by a broader range of stakeholders, including project managers, manufacturing teams, and executives.
• Functionality: PDM focuses on version control, access permissions, and file management. PLM includes release management, change management, and the full product bill of materials.

When to Use PDM vs. PLM

Choosing whether to utilize a PDM or PLM system depends on your organization's needs:

• Use PDM if: Your primary need is to manage design data and ensure version control. PDM is ideal for organizations that need a robust system to handle CAD files, documentation, and design workflows.
• Use PLM if: You require a comprehensive solution to manage the entire product lifecycle. PLM is suitable for organizations that need to integrate various business processes, ensure regulatory compliance, and foster collaboration among different departments.

Eventually, most companies will end up adopting both. Which system they adopt first will largely depend on how complex their engineering is vs. how tightly controlled their part release and change management needs to be.

How can Bommer help?

Whether you are looking for a PDM or PLM solution, Bommer can help you by ensuring your engineers can access and enter critical-to-quality metadata efficiently and accurately without leaving their CAD tool. This ensures a seamless and error-free source of truth within PDM and ensures that release management or change management workflows in PLM are accurate and reliable. Bommer’s lightweight design and accessible interface is easy and cost-effective to add on to any engineering system; most teams realize a return on their investment within their first month or part release.