Expert interview with Jürg Weber - CEO of aclevion AG
Jürg, you have been working in the field of product information management for over 20 years now. What has changed over the course of these two decades?
To anticipate the most important thing in a few words: the importance, complexity and diversity of PIM solutions. We are on a completely different level today than we were 20 years ago. To be honest, back then I didn’t even expect that stand-alone PIM systems would still exist today. When I first came into contact with the topic, I was still on the customer side and tasked with setting up a functioning PIM. At first, we thought we would simply use the newly introduced SAP software in conjunction with the SAP eShop to map the necessary processes. But we soon realized: The system doesn’t offer the adequate options to manage non-master data smartly and efficiently. We were unable to structure the data sufficiently well and the refinement and maintenance could not be implemented consistently. So we introduced a PIM and publishing solution – still very rudimentary in terms of functionality compared to today. But at the time, it suited the challenges that we and other companies were facing. A good thing, but temporary, I thought. After all, the ERP providers would certainly quickly recognize the need and gradually expand their offering to include all the required features. An additional software solution would soon be obsolete again.
The development was then completely different: PIM solutions have evolved into powerful systems that hold entire software landscapes together and continue to allow us to maintain an overview and act efficiently with all this information in the midst of large amounts of data. Most ERP systems, on the other hand, are still only able to handle the requirements of today’s multichannel publishing to a very limited extent. And if we take a closer look, this separation makes perfect sense from today’s perspective, as these are two different disciplines that are becoming increasingly differentiated from one another due to the requirements of constantly new communication channels.
”PIM solutions have evolved into powerful systems that hold entire software landscapes together and continue to allow us to maintain an overview and act efficiently with all this information in the midst of large amounts of data.
Jürg WeberCEO
What exactly is the reason for this strong further development of PIM solutions that you have just outlined?
In contrast to the ERP system, the PIM solution is precisely designed to bring together large volumes of product data in a common location, making it accessible at all times, structuring it in a meaningful way, enriching it efficiently and in a targeted manner and feeding it directly to the publishing channels in the appropriate format with minimal effort. Without PIM, this is hardly possible today as soon as your own product portfolio has reached a certain size. After all, the amount of information and formats has increased massively over the last two decades – and the marketing world in general has become many times more complex. Good PIM systems have grown with the challenges and include everything that is needed to be successful on the market. With cloud accessibility and numerous automation mechanisms, right through to AI applications that can create product texts or take over the keywording of image media, for example.
The far-reaching change in marketing is also reflected in the way PIM providers see themselves: Today, the term PXM (Product Experience Management) is being used more and more frequently because it is no longer just about efficiently managing product information. Rather, all the data has a central purpose: to make the product as tangible as possible across the various sales and marketing channels with consistent, coherent, matching information and experiences, thus encouraging customers to buy.
And how is it that you have changed your view? Why is it good that ERP and PIM continue to exist independently and work towards each other, but don’t go into complete symbiosis?
Of course, a holistic system would have pragmatic advantages. But as soon as we look at the details, things start to get tricky: After all, the ERP system encompasses all important business processes at its core and thus symbolizes the engine room of the company. If there are too many and too complex processes beyond this core function, the system can become overloaded or at least suffer performance losses, meaning that important tasks may come to a standstill or even become unstable. At the same time, an ERP machine room contains extremely sensitive business data. So we have to think carefully about who and where we really want to allow access to this sensitive system – while one of the biggest advantages of PIM solutions is precisely the many connection options to a wide variety of platforms and the systems of our business partners. With two independent systems that are well coordinated and communicate bilaterally, we maintain stability and security while benefiting from the respective strengths of both worlds.
In addition, the requirements and dependencies in today’s multichannel publishing are very complex and have led to more and more specialization among PIM providers. Combining this already existing range with the different requirements of ERP systems – a laborious to impossible task that would hardly offer any advantages.
”In contrast to the ERP system, the PIM solution is precisely designed to bring together large volumes of product data in a common location, making it accessible at all times, structuring it in a meaningful way, enriching it efficiently and in a targeted manner and feeding it directly to the publishing channels in the appropriate format with minimal effort.
Today, there is a whole range of PIM providers, some of which differ greatly in terms of structure and range of functions. How important is it to consciously approach the selection process and weigh up the options carefully when making a decision?
Extremely important! Let’s take a look at the dimensions: when introducing new software that, like the PIM, focuses on core tasks of daily work, a company is making a long-term decision. If the decision is made in favor of a system that only partially covers the company’s specific requirements or is not compatible with the way the team works, this means either having to make major compromises that also affect efficiency and employee satisfaction. Or to accept another change with all the costs and effort involved. The good news is: with a careful evaluation in advance and professional support during the selection process, this risk tends towards zero. There are great solutions on the market for almost every scenario, with many customization options if required.
By the way, with all due respect for the hesitation that we often observe in companies: PIM is not something that can be put on the back burner. Otherwise the topic will inevitably catch up with you sooner or later and you will have wasted a lot of valuable time by then. What’s more, a proactive approach is one of the best ways to prepare for future challenges – such as the ever-increasing demands on product experience or topics such as the Digital Product Passport, which is planned from 2027.
So what is your advice to companies that want to position themselves for the future?
Start as quickly as possible by assessing the current situation in your own company: What is possible with the ERP currently in use today and in the future? Are the current structures and processes for managing and controlling all relevant product information suitable and efficient? And does this also apply to the future – especially with regard to the necessary communication channels?
We often receive feedback from companies that they will be busy introducing or evaluating a new ERP or eShop in the next few years and will only tackle the issue of PIM afterwards. In clearly budget-dependent situations, you have to accept this. Otherwise, I would always consider a parallel or even early introduction of the PIM solution, because a cleanly structured, carefully cleansed and high-quality product information landscape with efficient processes and high availability for multichannel delivery is just as relevant to the business and should therefore not be postponed for too long. Moreover, this is where success can be achieved most quickly: While an ERP implementation can take several years and the integration of an eShop solution approx. 1 – 2 years, a PIM implementation can now be realized in a time frame of approx. 6 – 12 months and possibly even faster. In addition, an existing PIM system has a positive influence on the introduction of an ERP system or eShop because all product information has already been processed and full availability is ensured. It therefore makes absolute sense to first analyze the specific situation as well as short and long-term opportunities and then set priorities accordingly.