Guide to Fashion Product Lifecycle Management (PLM)
From the runway to retail, fashion moves fast–blink and you'd miss a trend. Although the industry is known for its long and complex supply chains, speed and agility are essential. That's where Product Lifecycle Management (PLM) in fashion came in.
PLM is not new to the fashion industry. It has mainly been used as a collaborative tool to speed up the concept-to-shelf process. However, it has great potential to improve fashion sustainability.
In this article, we learn about product lifecycle management, its application in the fashion industry, and its potential impact on sustainable fashion.
TABLE OF CONTENTS:
What is Product Lifecycle Management?
Product Lifecycle Management (PLM) is a process, but it also refers to the tools or, in this case, software, used to carry out that process.
Process
As a process, PLM is a system for managing the entire product lifecycle, from initial concept through manufacturing, usage, and disposal.
The idea is to establish a central point of control from which businesses can oversee the product lifecycle.
Product lifecycle management (PLM) integrates people, data, and processes into one cohesive framework. It also enhances collaboration among all teams involved in product development.
Tool
A PLM software is essentially an end-to-end supply chain management tool. Across various industries, it has optimized product development.
In the fashion industry, PLM has been beneficial in responding profitably to swiftly changing consumer demands.
Tight deadlines, product iterations, a complex supply chain, and numerous checkpoints along product lifecycles characterize the fashion and apparel industry. A fashion PLM system helps unify all the fragmented aspects into one continuous flow.
When was PLM invented?
PLM wasn't invented; instead, it developed over a period of time from the 1980s to the present.
It started with merging aspects of Computer-Aided Design (CAD), Product Data Management (PDM), Enterprise Resource Planning (ERP), and other business systems. By the 21st century, we had fully developed PLM systems.
Today, AI, Machine Learning, and the Internet of Things (IoT) have increased the capabilities of PLM systems.
The phases of the fashion product lifecycle management
There are many types of PLM solutions available on the market, and each differs from the others in some small way. However, all the different tools follow the same process.
Let's examine the typical PLM process.
1. Planning
Fashion product development begins with identifying market demands. Next is mapping out a route to satisfy those needs profitably.
That involves sales forecasting, creating budgets, outlining production schedules, allocating resources, deciding milestones, and assigning responsibilities.
The importance of this stage in PLM lies in laying the foundation for successful products and gathering essential data that will guide the work at every stage. It also allows stakeholders to identify potential production issues before project kickoff.
2. Conception
At this stage, business executives collaborate with designers, trend analysts, and merchandisers to develop initial product ideas. They create mood boards and draw up the general creative direction for the collection.
Market research, trend projections, and brand values drive the ideas from the conception stage.
Talks with suppliers and manufacturers start at this stage to confirm the availability of production materials, production capacity, and costs. At this stage, production teams make more concrete decisions and identify possible hiccups.
3. Design
The design stage is where concept ideas come to life. Designers create detailed sketches, decide on colorways, choose fabrics, draft patterns, and make samples.
The design phase is the point at which apparel undergoes technical testing. Does it fit? Is it the right color? And so on.
Any approved design gets turned into a tech pack, which is a compilation of measurements, colors, materials, and other design specifications.
PLM makes it easier for designers to get feedback from internal actors, suppliers, and manufacturers, which influences final designs.
4. Manufacturing
Once designs are okayed, fashion brands order materials from vendors and send tech packs to their manufacturing partners. But that's only the beginning.
At the manufacturing stage, fashion brands must work closely with suppliers and factories. They need to conduct regular quality control checks and ensure that production stays on schedule.
The manufacturing process can be pretty complex, but PLM helps brands make sense of it. Additionally, it makes it easier to store, distribute, and review data used to guide apparel production.
5. Distribution
Distribution comes next. Some fashion companies deliver products to independent retailers, and that's the end. Others sell directly to consumers through brand stores in different locations.
Successful distribution requires rigorous logistics planning. That includes shipping, warehousing, and inventory management. PLM systems can help track shipping schedules, inventory levels, and sales.
Business managers can use PLM data on inventory levels and sales to prevent overproduction or underproduction, both of which impact profitability.
6. Services and feedback
At this point, the product lifecycle, sales, and customer support teams can utilize the PLM system for two primary purposes.
First, they can pull up product data from the system to address customer inquiries and post-sale issues. Second, they can collect consumer feedback on products, which is then passed directly to decision-makers through the PLM system.
Consumer feedback is one of the essentials of the fashion value chain. Brands that don't sell directly to consumers can benefit from integrating their retail partners into their company's PLM at the feedback stage.
7. End-of-Life disposal
More consumers are demanding that fashion brands consider sustainable disposal options. Brands that take this seriously create take-back programs and other recycling or reuse initiatives. This phase is considered a part of sustainable manufacturing.
They can use PLM tools to track the number of products being recycled or reused through their programs. If they aren't meeting their target for recycling or reuse, then they can find solutions to the identified issues.
Why are PLM solutions essential for the fashion industry?
The fashion business is really about getting trending runway styles into stores before competitors do. That's the point of the “fast” in fast fashion.
Below are some of the advantages that PLM systems bring to the fashion industry.
1. Increased speed to market
The fashion PLM system helps streamline processes involved in producing apparel. Everything from market research to design and manufacturing can be managed within the system.
A central management system for all parties involved in production facilitates faster communication. It also means that multiple eyes are watching the process for potential issues.
Finally, with each production round, brands can identify redundancies and other inefficiencies. Therefore, they're able to go to market faster than the last time.
2. Enhanced collaboration
Keeping up with the pace, despite fashion’s segmented value chain, requires efficient collaboration between internal and external partners.
PLM solutions can address efficiency barriers internally and externally. It brings the various teams together, merging their different tasks to create one dynamic workflow. That keeps everyone on the same page.
It also simplifies and hastens communications. For example, if manufacturers identify an error in design data, they highlight it, and the PLM system immediately notifies the relevant internal teams. That's much simpler than starting an email chain that will take several days to reach all concerned teams.
3. Centralized data management
A PLM system stores production information, everything from tech packs to supplier lists and manufacturer details. It also makes the data available for anyone within their access limit, effectively eliminating information silos with minimal effort.
Data centralization ensures that all production stakeholders have access to information as soon as it is entered into the system. Access to up-to-date information reduces errors and enhances collaboration. It also enables faster pivoting when consumer trends shift during the product development process.
Best of all, brands can control the amount of information they share with internal teams and external partners.
4. Efficient management
Product managers manage internal teams and oversee supplier management, conducting regular check-ins with manufacturers. They can use PLM to track product development in real-time, ensuring everything is going as planned.
PLM also allows managers to set milestones and send alerts to relevant stakeholders when deadlines are approaching or delays arise, keeping teams on track.
More importantly, PLMs can help companies save costs. Managers can view the entire picture to identify bottlenecks, redundancies, and unnecessary tasks that are costing money and time.
5. Quality assurance
Product quality is a significant concern in the apparel industry, even for fast fashion businesses that are often criticized for their questionable product quality.
The fact is, no company wants to spend money on apparel that falls apart even before it reaches the retail store. On trend or not, no shopper will buy faulty garments. Therefore, product managers must conduct regular quality checks throughout the production process.
PLMs help with quality assurance by automating inspections and compliance checks every step of the way.
Additionally, suppose a manufacturer uses metal buttons rather than plastic. In that case, you won't have to wait to travel to the factory or for finished goods to arrive at your warehouse to find out. With real-time data collection, managers are notified of product quality issues early enough.
6. Analytics for better decisions
PLM software collects data from multiple entry points. Brands can analyze that data to gain insights into the product development process. The analysis can then enable data-driven decisions and help identify opportunities for improvement.
For example, if a brand consistently fails to meet market demands, it may be because they are producing too slowly, providing an inconsistent product experience, or not using consumer feedback.
Any of those issues are things brands can deduce from PLM data.
7. Optimize other business tools
Some PLM systems seamlessly integrate other tools used to manage other business processes. That collaboration increases the power of those tools. ERPs, PDMs, and Product Information Management (PIM) are among these tools.
ERP systems enable businesses to coordinate all aspects of their operations, including HR, accounting, and manufacturing.
PDM is an engineering tool primarily used to track technical data during the design and development phase.
PIM is simply organizing all the information needed to market a product. For example, product descriptions that include details such as size, color, and fabric type.
Are there downsides to using PLMs in fashion?
- It may be too complex and costly for small fashion designers and manufacturers.
- Integrating PLM with existing systems isn't always seamless or possible.
- A quicker time to market means that the fast fashion business and its negative environmental impact are unlikely to slow down anytime soon.
PLM for sustainable fashion
The fashion and apparel industry has an incredible opportunity to use PLM to advance sustainability. Having a bird's eye view of the entire supply chain is an advantage too good to pass up.
Transparency
The long, complex processes in the fashion industry are often the primary challenge to achieving supply chain transparency and sustainability.
However, through fashion PLM solutions, brands can collect and review product data across their entire supply chain. That way, they can easily identify the source of each item during audits.
Lower impact
Thanks to the big picture that PLM provides, it's easier to measure the overall impact of manufacturing processes. Then brands can optimize those processes to reduce their impact.
Quality control and compliance
PLM systems can help companies stay compliant with industry regulations and sustainable fashion certifications. It tracks and keeps a precise record of the product's development process, materials, and suppliers.
Sustainable product design
The last step of a complete PLM process is the disposal solution. With the impact of end-of-life considerations in mind, product designers can choose designs and materials that are environmentally friendly.
Should every fashion business use a PLM system?
Most businesses in the fashion and apparel industry will apply PLM in some capacity. But not all.
Some may need tools that take them through the entire process. Others may be just a small part of another company’s PLM.
For example, brands like Zara, Victoria’s Secret, Forever 21, and Abercrombie manage their entire product lifecycle — from design to disposal. They need a robust PLM system.
However, some fashion companies may purchase finished products from larger fashion brands while creating their own products.
Companies like Nordstrom, Macy’s, and Penney’s belong to this category. They'll need a PLM system to manage their name-brand production. They may or may not interface with their finished goods suppliers using a PLM solution.
Fashion companies like Ross, TJ Maxx, and Burlington, which sell off-season apparel at low prices, do not need PLM systems.
Should small fashion brands use PLM?
If you're just starting out or purposely run a small, slow fashion brand, investing hundreds of dollars in fancy software doesn't make much sense.
However, you can follow the process using free or cheap tools.
- For design files, Figma or Adobe Illustrator would be suitable options.
- For product data management, use Excel spreadsheets.
- For communications, Slack or emails would be sufficient.
- For task management, Asana or a simpler option like Todoist would work.
Examples of fashion PLM software
Different types of Product Lifecycle Management solutions made for the fashion and apparel industry include
You can also get a software engineer to build a tailored PLM solution if nothing on the market fits your needs or budget.
How to choose the right PLM solution
Beyond providing all the advantages mentioned in this article, the right PLM tool should:
- Be made with the apparel industry in mind.
- Have a user-friendly interface and be intuitive to use.
- Have integration capabilities and work well with other enterprise systems.
Conclusion: Fashion Product Lifecycle Management
The fashion and apparel sector thrives on speed and efficiency. Fashion PLM systems streamline processes, enhance collaboration, and improve the bottom line.
PLM can refer to either a process or a system, both of which aim to harmonize every stage of product development.
Jen’s a passionate environmentalist and sustainability expert. With a science degree from Babcock University Jen loves applying her research skills to craft editorial that connects with our global changemaker and readership audiences centered around topics including zero waste, sustainability, climate change, and biodiversity.
Elsewhere Jen’s interests include the role that future technology and data have in helping us solve some of the planet’s biggest challenges.
Fact Checked By:
Isabela Sedano, BEng.
