Utility Product Lifecycles - They do exist.
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- Mar 30, 2020 11:28 am GMTMar 28, 2020 4:03 pm GMT
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Product life cycle management is defined as follows: “In industry, product lifecycle management (PLM) is the process of managing the entire lifecycle of a product from inception, through engineering design and manufacture, to service and disposal of manufactured products”. In the utility industry, the predominant products are rates, or tariffs.
For utilities, product lifecycle management includes:
- Determining the revenue target, typically through a cost to serve model,
- Designing rates to achieve the target revenue, and possibly influencing customer behavior, Gaining approval for the rates,
- Performing customer rate education and marketing,
- Operationalizing the rates to allow customers to purchase (enroll) in the rate and receive bills
- Evaluating the performance of the rate.