A Renaissance in PLM Leadership – can Bassi make lightning strike twice for SolidWorks?

Great sales and successful marketing will always be a top priority for PLM executives. But in a world where new technology is about to transform product development as we know it, those priorities are changing.

“If you look at the major PLM and CAD players, like for instance Autodesk, PTC, or SolidWorks, it becomes obvious that we see reflections of an age of increasing complexity built on technological and social trends,” SolidWorks’ new CEO Gian Paolo Bassi said in a PLM TV News interview. “These factors also affect the kind of leadership the companies need.”

As a matter of fact, he didn’t even mention the words “license growth” or any financial goals during the entire conversation. This is unique in my 15 years of interviews with PLM top executives. Bassi has a clear focus: he sees Dassault’s 3DEXPERIENCE platform as a revolutionary platform for SolidWorks development. More than any other CAD system, SolidWorks brought 3D modeling to a huge and passionate user community in the 1990s. Can Bassi repeat this feat by delivering SolidWorks as a browser-based Software-as-a-Service solution in the Cloud? He points to the Conceptual Design and Industrial Designer products as hybrids that already connect the 3D CAD desktop to the Cloud.



What to expect from SolidWorks

So what can SolidWorks users expect of their future 3D CAD and PLM on their desktops and in the Cloud? And are they ready to move in the directions the new SolidWorks leader seems to be pointing?

Bassi made his official debut as CEO during the recent SolidWorks World conference in Phoenix, Ariz. The former VP and R&D manager made it clear that his mission – laid out by Dassault’s President Bernard Charles – is to lead SolidWorks into a future that focuses on new technologies, the Cloud, and Dassault Systemes’ PLM platform called 3DEXPERIENCE.

“This is not an easy job,” says CIMdata analyst Peter Bilello. ”But I can see a transition over time for the SolidWorks users. I don’t think it’s going to be overnight by any means. Their strategy right now appears to be a more hybrid approach where additional capabilities are continuing to be built up on the desktop environment. But also additional features or even applications will be delivered on their 3DEXPERIENCE platform.”

Billelo adds that getting SolidWorks’ devoted users on board, who have been utilizing that system since the mid ‘90s, can be a tricky feat. “They are very passionate, very astute CAD users ‘brought up’ on the desktop and there are millions of them, so it’s gonna take time”.

What SolidWorks users are saying about future developments

Denny Bahl, a member of the SolidWorks Chicago User Group, seems to agree. “Yes, we are passionate,” he says. “SolidWorks is truly a powerful package with ease-of-use built into it.”

"3DEXPERIENCE and the Conceptual products should be slowly introduced to the SolidWorks community, not upsetting the core users", says Denny Bahl, SW Chicago User Group.

Even though Bahl liked the desktop software, he was somewhat skeptical and cautious about the direction things are heading. “I think that the Cloud has potential and the SolidWorks collaborative tools are nice because with it being a worldwide community, now you’re collaborating with people halfway around the world. That’s a good thing; keep information sharing. On the other hand, a lot of people are skeptical because of intellectual property and things like that; “What’s the security?”, “Where is my data going?” Generally we’re talking about a slow process for the community to grasp. And right now the community is still a little skeptical about putting their stuff out there in the Cloud.”

Regarding the 3DEXPERIENCE, Bahl saw the potential, but said “it’s still fairly new in my world. I’m just learning about it right now.” He added, “As much as we hate it, the only constant in this respect is change. SolidWorks must be on top of things looking three steps ahead of us and bringing us those new solutions like the conceptual products (Conceptual Design and Industrial Designer, more on these cloud hybrid solutions below) and 3DEXPERIENCE. But it’s about slowly introducing them, not upsetting the core users yet. Everyone is still concerned about their desktop”.

That’s an interesting statement and evidence of how crucial Gian Paolo Bassi’s job is. The SolidWorks user groups are perhaps the company's most enthusiastic customers. If you are about to revolutionize the world of millions of users, proceed with caution.

What skills does a CEO need in today’s PLM market?

PLM and CAD have experienced unique challenges at different times in its development, which often characterized the type of leader that’s needed. The division of roles between technologists, engineers, mathematicians, economists, marketers, etc. is constantly evolving. The company’s goals change in the time between the first technological innovation, the entrepreneurship and growth phase, and product maturity. In the early stages, it’s the technical innovator who typically takes the lead.

But priorities change as the business grows. Initial focus on innovation is replaced by everyday work. Those who are good at organizing, systematizing and selling – economists, marketers, and sales professionals, for example – have more of a say; a fact that often takes them into corporate executive status.

During the leadership of SolidWorks founder Jon Hirschtick, the company unleashed 3D design to the masses on the Windows NT platform (1995-96). It was a huge boost.

Jon Hirschtick, founder of SolidWorks, unleashed 3D CAD desktop power in 1995.

Today, 3D CAD is a commodity and new technologies and platforms have emerged, including PLM and "beyond PLM" solutions, systems engineering, simulation-based design, Cloud, social product development, Internet of Things, M2M (Machine-to-Machine), and 3D printing. Sure, sales volumes remain of great importance, but the ability to forecast and catch up to new trends is vital. Where sales volumes and marketing were the primary focus, the challenge now is to combine old and new technology in a market with new demands.

“Historically, the leadership in software companies dedicated to engineering, design, and PLM evolved from technical visionaries to leaders with a business background,” explains Gartner’s analyst Marc Halpern. “Today, we are seeing a different trend. The emerging leaders have their grounding in engineering. For example, consider the following transitions: Carol Bartz to Carl Bass (engineering background) at Autodesk; from Bertrand Sicot to Gian Paolo Bassi (Software R&D); From Dick Harrison to Jim Hepelmann (Technologist) at PTC, and from Tony Affuso to Chuck Grindstaff (grounded in R&D) at Siemens PLM.”

He adds: “Perhaps, given the technical sophistication of the engineering, design, and PLM software markets, leadership in these software markets requires stronger technical grounding combined with business savvy than is required in other categories of software used for business and entertainment.”

Gian Paolo Bassi, is not worried over Autodesk's all-in on the Cloud or Jon Hirschticks new CAD in the Cloud solution, Onshape. "Autodesk tried to sell 360 to our customers on site in Phoenix. It makes me think that if they need our customers to make this a success I don't have to worry. Regarding Onshape, I know that they assembled a team of good thinkers, but so far I have no reason to worry".

Future development of Solidworks will respect the legacy while looking to the future

SolidWorks’ events are usually memorable. This year's user conference in Phoenix was no exception. The 5,500 participants in the SolidWorks community are typically down to earth designers, technicians and engineers who not only like their CAD and simulation tools, but also love to talk to each other about them.

That being said, the new technology overshadowed everything else. The cloud, PLM – increasingly complex products that demand new and sharper tools were discussed in great depth within the community. There are some uncertainties about where it all will lead and what you need on the software and platform side to keep up with new developments.

But this isn’t something that seems to bother Bassi. He knows what lies in front of him and as a "technology man," he understands what’s needed to maintain the company’s legacy and keep an eye on the future. Here’s what he hopes to do:

• 3D desktop CAD
- SolidWorks hallmark product
- Will remain, but will also be designed to operate in Cloud environments.

• Hybrid solutions will be developed
- Still in the early product development stages, the Concept Design module is ready to use
- Capabilities will enable you to work with all types of conceptual design data, including sketches, images, Adobe Illustrator files, 3D scan data, and existing 3D and 2D CAD data.

SolidWorks new Industrial Designer, a great concept tool and a way to bridge SolidWorks into the Cloud and Dassault Systemes 3DEXPERIENCE platform.

The new Industrial Designer module
- Concept design tool that allows you to quickly generate multiple industrial design concepts in response to a design brief
• Allows rapid creation, manipulation, and modification of designs
• Fills the conceptual early phases gap in the SolidWorks suite of tools
• Allows users to capture ideas digitally, quickly create 3D concept models, get feedback from internal and external stakeholders, and manage multiple concepts before committing engineering time to build a prototype

Bassi says that eventually, his company “will be developing SolidWorks as a SaaS option" (Software-as-a-Service). This means that the solution will be rented, operated and run in the Cloud. ”It will happen in a near future,” he adds. “The world is going in that direction, but SaaS isn’t a unique model. Today it works when and if you’re connected. But people don’t want to work connected all the time. So we are envisioning an environment where both ways of working is possible and we will get there in a very near future.”

Two pillars in SolidWorks’ product strategy

The new CEO says the company has two fundamental product strategies. The first targets the desktop generation (the current user base). “It will be there for many a years to come and we will keep investing in it until our customers no longer demand us to do so.”

The second strategy is directed at the Cloud generation. “Already products need to be designed in a different way due to the fact that society is profoundly different compared to only a couple of years ago. Have you ever heard of the term, ’plastictronics’? Today consumer products, devices often are made of plastics.”

He adds: “We can 3D print them and embed electronics in the form of an electronic circuit. But how do you create these new categories? You need an innovation platform. Creating a shape is not enough anymore. Today 3D printers can create non-homogeneous materials; materials that change continuously from one point to another. The technologies that are available can’t do that”.

Bassi’s point is that the mathematics of CAD was designed with subtractive manufacturing in mind. Now, we have addictive manufacturing. “This is totally different and we believe that what we need is a true platform so that customers can use synchronized local and remote resources,” he says. “Customers want to use design tools that look just like Facebook. They don’t want to be bothered with updates and new installations. And this happens to be exactly what our overarching strategy is about”.

Hats off for 3DEXPERIENCE. Bassi claims that demands for this platform will likely increase.

Why Bassi believes in 3DEXPERIENCE

As clear as Bassi’s plan appears to be, he is not forgoing the company's legacy; a 20-year history, which attracted a base of more than 2.8 million users. “This is nothing that I take lightly”, he says. “We have a great responsibility to manage these users' ‘legacy’ in such a way that secure product data, methodology and 3D models can be transferred into and used in the dynamics that now reshape the products and the way they are developed.”

Bassi wants to have a clear action plan for when things like Cloud, requirements for mobility, 3D printing and the Internet of Things transform everything. “We are in the Big Data era,” says the SolidWorks CEO. ”And we need a platform that can make these trillions of bits of information grippable.”

Dassault's 3DEXPERIENCE platform and what DS' CEO and President, Bernard Charles calls "the apps" - SolidWorks is one of them.

According to him, demand for 3DEXPERIENCE will likely increase. “We need solutions that can encapsulate the venues of social and Big Data. What we put in the platform is what people already do; they Google, they create social networks etc. The big difference is that in 3DEXPERIENCE you can do all of this and more on the same platform. Everything you need is already there, safe to use in a CAD context and connected. You won’t find these capabilities tied together elsewhere,” Bassi concluded, adding that this is a revolution and an end-to-end platform.

Realistic goals – don’t expect a quick swap of technology

That being said, Bassi is not expecting an incredibly fast breakthrough. “Well, it’s good to be fast and furious, but we also have to be respectful and mature business persons to serve our kind of community. And so, I think we have to mediate between being a novelty, being fast, and some aspects of what are already parts of our development technology. It’s not a direct connect, but between the lines, the SolidWorks’ leader admits that there is a balancing issue that has to be considered. This leads to a conclusion similar to CIMdata’s Peter Billelo, ”this will not happen overnight”.

SolidWorks is part of a big PLM company, Dassault Systemes, and thereby also a part of a much larger ecosystem. “In light of this, what we do, what we design, has a much larger implication. This must be taken in consideration, as much as the fact that we will surpass the threshold of three million installed seats this year. It’s a huge community and with it comes a big responsibility”, said Bassi.

With those numbers a quick swap to new technologies and platforms can’t be expected. But eventually, the time for change will come. ”Yes, I think so,” says Bilello. ”It can happen in a couple of years, it can even take longer than that.”

According to Bassi, product developers are entering an age of experiences. “These days people in the developed countries just don’t buy a car, they buy experiences. Say that you create a product and the product has to be connected. As you create that product, you need to immediately reach your ’constituency’, you need to have a user group, and you need to make sure that the design is right for your potential consumers. How do you do this?”

"Simple CAD is not enough anymore", says Bassi.

Simple CAD is not enough to serve future product development

He notes that simple CAD is not enough anymore. What users need is something that lets them stay connected, anytime, anywhere and on any device. It’s not hard to see where his thought process is leading.

“The platform world is fundamental. Cloud is an enabling technology, but the concept is really very simple,” he says. “We already access the resources that are remote, that are local and that are constantly synchronized. The convergence of mobility and Cloud is a reality and this is where we want to go.”

What’s the role of PLM in this? On one hand Bassi claims that his company is “already a PLM company” and that “Dassault Systemes as a matter of fact invented PLM.” On the other hand he says “we have worked with a lot of autonomy over the years. But now it’s time to elevate our way of working from autonomy to leadership. By being a part of DS, we can go from CAD in a browser to a full PLM implementation.”

As true as this answer may be, it’s somewhat contradictory. It’s as if he was saying, “Yes, we’re not a PLM company yet.” However, the SolidWorks software portfolio has many components – far from everything – that point in the PLM direction. A few examples are solutions for PDM, collaboration, conceptual design, CAD, and simulation. And during SolidWorks World, the company even presented the new Model Based Definition solution (an integrated drawing-less manufacturing solution that helps companies define, organize, and publish 3D Product Manufacturing Information).

Major challenges for SolidWorks

The world of product development is evolving and SolidWorks’ hallmark product has become a commodity. In addition, the idea of what modern industrial IT support must look like in order to develop new products is becoming increasingly complex. Both simple and complex mechanical products are increasingly equipped with electronics, software, sensors and connect to the Internet of Things.

All of this affects product development and the mainstream market where SolidWorks is a commonly used solution. This community is not immune to the changes. Linear development processes have evolved. Access to advanced software that can handle complex workflows and collaboration tools, as well as solutions for social innovation is becoming increasingly important. All of this is a huge challenge for the new SolidWorks chief.

Still, the SolidWorks community seems to be a bit subdued in their response. The uptake of last year’s launch of Conceptual Design has been sluggish, mainly because of a large price tag. However, Bassi says the company is looking at ways to make it more affordable.

“We learned a lot and we’ve seen an accelerating adoption of this new technology,” he explains. “And, yes, we found out that it is not easy to introduce a new category to the marketplace. Things don’t happen automatically just because we have a great solution. We need to approach the people and explain the venues of automating and digitizing the conceptual phase of a design. There’s simply a learning curve here and it will take some time to establish the benefits.”

SolidWorks gave the world desktop 3D CAD back in the mid 90's - can they make a similar breakthrough with the new conceptual products and the 3DEXPERIENCE platform?

Can lightning strike twice for SolidWorks?

Can SolidWorks once again revolutionize the product development industry? How the SolidWorks community will respond to the new 3DEXPERIENCE remains to be seen. The price tag of the new Industrial Designer solution is lower than Conceptual Design and the functionality looks great.

“We’ve seen SolidWorks move 3D CAD to desktop and Windows environments from mainframe and Unix computers; machines that were priced from $30,000 to maybe $100,000 could be replaced by a $3,000 PC. And they not only brought down the price point of machines, but also on the software,” says CIMdata’s Bilello, concluding that if SolidWorks can deliver via the Cloud (which is essentially free), the software could be delivered on a browser in a device or a “machine” for a couple hundred dollars. “They’ve done it before, they can do it again.”

Finally, will the SolidWorks users learn to embrace the Cloud? I think so – just look at what SolidWorks founder Jon Hirschtick is doing with Onshape right now. We’re talking about a Cloud-based CAD solution. Tough competitor Autodesk went all-in on the Cloud and is on its way to close down on-premise services in 2016. And Bassi already set the gears in motion to make it happen during his time as the company’s VP of R&D.

The question isn’t if they are going there, it’s when will they do it.