Procter & Gamble (P&G) is piloting product lifecycle management (PLM) software as a means to share research among a growing number of participants in the collaborative R&D process, according to a special report in CIO Magazine. P&G’s CEO, A.G. Lafley, estimates that some 35% of new products for the consumer goods manufacturer are developed by outsiders. For a firm that spends roughly twice the percent of revenue on R&D that other businesses in the industry do (3.4%, compared with the average 1.6%), P&G wants to ensure that such spending is productive, and its “hit rate” of 80% of ideas leading to products (compared with an industry rate of 30%) is evidence that it is. P&G complements the 8,000 scientists in its own R&D organization with the outsourcing of some routine processes and networking with researchers globally for problem resolution. To manage the coordination, P&G sought a technology solution that was flexible, could be ramped up to accommodate a larger-scale operation and promoted collaboration. Vendor UGS provided the software platform that allows researchers to share their “lab notebooks” electronically. Just 75 of the targeted 5,500 scientists are involved in the pilot, but P&G is cautiously optimistic that the PLM software can add speed and productivity to the R&D process. (CIO Magazine [Koch], February 1, 2007) (as reported by i4cp)