PARIS, June 17 /PRNewswire-FirstCall/ -- PTC (Nasdaq: PMTC), the product
development company(TM), today published an exclusive study on the aerospace
and defense markets that found product development in those industries
suffering from a significant lack of coherent vision, management and
execution.
The study, "Forging A Common Vision: PTC Survey on Improving Product
Development in the Aerospace and Defense Industry" announced at the Paris Air
Show, revealed that aerospace and defense (A&D) industry senior management
executives and operational executives see the world in fundamentally different
and conflicting ways. Management and operational executives disagree on a wide
range of important issues -- including the importance of breakthrough
innovation in creating new markets, the need to increase the efficiency of the
development process, the importance of skilled personnel, and the role of
internal IT departments in product development.
"We have many divisions, but lack a company-wide, coherent approach to
product development," remarked one survey participant, a management executive
responsible for strategic planning at a major European aerospace and defense
company.
PTC commissioned Bayer Consulting, an independent research firm, to
conduct the survey of 151 senior executives at major A&D companies in the
United States, Canada, the United Kingdom, France, and Germany. One half of
the interviews were conducted with senior management executives who had direct
experience with how their company uses product development to achieve its
business goals and create value. The remaining interviews involved operational
executives with direct responsibility for implementing product development
strategies. The companies included both prime contractors and suppliers.
"A&D companies must ensure that their management and operational
executives share a common vision of product development and a common
understanding of what is required to improve the product development process,"
said PTC Executive Vice President and Chief Product Officer James Heppelmann,
commenting on the study's results.
"The divergence of views between management and operational executives
raises serious concerns for companies attempting to improve product
development," Heppelmann stressed. "To succeed, these companies must bring
together management executives and operational executives and reach agreement
on product development goals and the investments in business processes,
people, and technology that will be required to achieve them."
While the study found that management and operational executives were in
accord on the importance of continually improving product quality and
performance, there was a divergence of opinion on the importance of
breakthrough innovation to develop new markets. This is a critical issue in an
industry where the cost of designing a new aircraft or weapons system can
total billions of dollars.
Most management executives reported that their companies were focused on
achieving incremental improvements to current products, rather than in using
innovation to create entirely new markets. In sharp contrast, most operational
executives said that their companies relied greatly on a strategy of
breakthrough innovation designed to develop new markets. This divide reflects
a long-standing tension between the corporate center and its major programs.
Their divergent views clearly demonstrate a need to create a common
understanding of strategic goals. Management executives may also lack an
appreciation of the operational realities of product development.
"While management and operational executives agreed that product
development is critical to delivering value, there was a great gulf of opinion
on key issues," Heppelmann concluded. "A first step towards improving product
development will be ensuring alignment between management and operational
objectives, especially when it comes to such critical issues as the priority
placed on breakthrough innovation to create new markets. Successful companies
will be those that can create and execute a vision of the role of product
development in creating value that is shared throughout the entire
organization."
About PTC
PTC develops, markets, and supports software solutions that help
manufacturers win with superior products. PTC is the world's largest software
company with a total commitment to product development. The company services
more than 35,000 customers worldwide. Further information on PTC is available
at http://www.ptc.com or call 1-888-782-3776, ext. 901.
Except for the historical information contained herein, matters discussed
in this news release may constitute forward-looking statements that involve
risks and uncertainties that could cause actual results to differ materially
from those projected. These include: the success of our initiatives to
facilitate our customer's understanding of the benefits of our PLM solutions,
including return on investment and value creation; our successful development
of software packages that gain industry acceptance as quality product
development systems; the success of customer satisfaction initiatives; and the
effects of a weakening economy which may impact the overall demand for
software and related services; as well as other risks and uncertainties
detailed from time to time in reports filed by PTC with the Securities and
Exchange Commission, including the Company's most recent reports on Form 10-K
and 10-Q.
PTC and its logo, Product First, The Product Development Company, Create
Collaborate Control, Simple Powerful Connected, Pro/ENGINEER, Wildfire,
Windchill, and all PTC product names and logos are trademarks or registered
trademarks of Parametric Technology Corporation or its subsidiaries in the
United States and in other countries.
Investor Contact Information
Meredith Mendola
781-370-6151
mmendola@ptc.com
Public Relations Contact Information
Joe Gavaghan
781-370-5074
jgavaghan@ptc.com
SOURCE PTC
 back to top
Related links:
http://www.ptc.com
CONTACT:
Investor Contact Information: Meredith
Mendola, +1-781-370-6151, mmendola@ptc.com, or Public Relations
Contact Information: Joe Gavaghan, +1-781-370-5074,
jgavaghan@ptc.com, both of PTC
|
