PLM Benefits for Buyers: How buyers can increase margins

In the world of purchasing, it is crucial for buyers to maintain accurate data and a comprehensive overview of documentation, tech packs, pricing, qualities, and minimum order quantities (MOQ). A lack of alignment between buyers, designers, and technicians can result in costly production errors caused by misunderstandings arising from outdated information. Fortunately, brands can leverage Product Lifecycle Management (PLM) software to optimize and streamline their processes. In this article, we will delve deeper into how buyers can enhance their daily work by incorporating PLM systems.

Benefits of PLM for Buyers

Alignment and Collaboration

Maintaining harmonious collaboration between buyers, designers, and technicians is pivotal. Through PLM software, buyers can establish seamless alignment with these key stakeholders, ensuring a shared understanding of requirements, changes, and expectations. Such alignment significantly reduces misunderstandings and the potential for errors in sourcing and production.

Process Overview and Control

PLM empowers buyers to maintain a comprehensive overview of crucial processes, including pricing, MOQ, and progress tracking. By centralizing information within the PLM system, buyers can mitigate the risks of scattered data across email chains, file attachments, and meetings. This structured approach minimizes the likelihood of errors and enhances overall efficiency.

Enhancing Sourcing and Buying Processes

Real-time Collaboration

Sourcing and buying departments bear the responsibility of procuring materials, quantities, and qualities within specified pricing and timeline constraints. However, designers and technicians often introduce last-minute changes to tech packs, leading to obsolete product data and subsequent errors in pricing, MOQ, and sampling. Adopting PLM software ensures that buyers constantly work with up-to-date tech packs, reducing sourcing costs and streamlining the overall procurement process.

Meeting Strict Deadlines

By utilizing PLM systems, buyers can effectively meet tight deadlines, thanks to improved visibility and real-time information access. The centralized platform enables buyers to work alongside designers and technicians seamlessly, enabling efficient sourcing, accurate pricing negotiations, and timely delivery. Ultimately, this reduces development costs and improves time to market.

Achieving Traceability and Transparency

Centralized Data Management

Traditionally, information such as tech packs, pricing, and comments are scattered across various platforms, including email, file-sharing services, and spreadsheet attachments. This fragmented approach makes traceability and data accessibility cumbersome, leading to potential errors and delays. PLM software resolves this challenge by consolidating all data in a single system, facilitating efficient tracking, and enabling easy access to certificates, quality information, and other essential details.

Sustainable Sourcing

With PLM, buyers can contribute to sustainable sourcing practices. The centralized system ensures that all data and processes are easily traceable, promoting transparency throughout the sourcing journey. This transparency aids in identifying and rectifying errors promptly, preventing bottlenecks that could impede further development processes. Consequently, PLM software plays a vital role in enhancing a brand's overall sustainability efforts.

Conclusion

To avoid costly procurement mistakes and delays, it is imperative for buyers, designers, and technicians to align their efforts and work with the most accurate and up-to-date information. By leveraging PLM systems, brands can streamline their sourcing processes, minimize errors, and enhance overall efficiency. Collaborating within a single source of truth empowers buyers to meet deadlines, improve margins through better pricing, and expedite subsequent development processes. Incorporating PLM software is a crucial step toward maximizing efficiency and accuracy in buyer work.

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