Minimizing Risk with PLM Transformation: The Role of Executive Sponsors

Large-scale business change initiatives are inherently risky. Business literature is littered with failure stories: Companies overreach, technology doesn’t work as advertised, workers resist the new approach to work.

To avoid such disasters, most business leaders today appreciate the importance of including strong executive sponsors for technology-based transformation programs like PLM.

In practice, however, companies often fail to establish the level and type of executive sponsorship required to actively guide such programs to a successful conclusion and reap the business benefits promised at the outset.

We watched one large customer of ours—with a program to harmonize product design and manufacturing across multiple business units—exhaust a full year with little progress due to a lack of effective executive sponsorship. The program goal was clear but execution faltered with the lack of executive engagement.

As shown in the video case study above, the company eventually managed to turn the program around with a new sponsor and create a top performing initiative. But the delay was costly indeed, and the lessons learned from the turnaround provide a useful example of the requirements for successful sponsorship.

Related Articles:

Photo: Megaphone, Tsutatsuta’s Photostream, Flickr (CC By 2.0)

About Rob Leavitt

Rob Leavitt is Director of Thought Leadership at PTC Global Services, the consulting arm of PTC. A long-time advisor to top technology and IT services firms, Rob works with PTC consultants, partners, and customers to advance understanding of key issues and challenges in product development, manufacturing, and after-market service. Follow Rob on Twitter at @PTC_Consulting.
This entry was posted in Strategy. Bookmark the permalink.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s