In a significant move to address mounting pressures within the manufacturing sector, process intelligence leader Celonis and management consulting firm Cavalis have jointly launched a new application designed to provide manufacturers with unprecedented, data-driven control over their product portfolios.[1][2][3] The "Celonis Product Portfolio Optimization for Manufacturing" app, powered by Cavalis, leverages process intelligence to offer a real-time, holistic view of a company's products, aiming to slash operational complexity, reduce costs, and drive revenue growth.[4] This launch comes at a critical time for manufacturers who are navigating the complexities of fragile supply chains, cost fluctuations, and the ever-present need to make faster, more intelligent decisions to maintain a competitive edge.[4][1][2] The application promises to transform the traditionally manual and fragmented process of product portfolio management into a strategic, intelligent advantage.[4][1]

The core challenge the new application seeks to solve is the inherent lack of visibility and the siloed nature of data within manufacturing operations.[1] Product portfolio management has historically been a cumbersome process, heavily reliant on disconnected teams and disparate data sources, making it difficult to gain a clear and accurate picture of product performance and profitability.[4][1] This fragmentation often leads to inefficiencies, increased costs, and missed opportunities. The Celonis and Cavalis solution directly confronts this by integrating data from across the value chain, including procurement, order management, manufacturing, and supply chain systems.[4][1] By creating a "living digital twin" of a company's product lifecycle, the app provides a dynamic and continuously updated view of operations.[1][3] This digital twin technology offers a comprehensive model of how products move through the various stages of production, distribution, and sales, enabling a level of transparency that has been largely unattainable for many organizations.[1] A leading global manufacturer has already utilized the app, reporting significant acceleration and simplification in the process of aligning material master data for components and end-products.[4][2]

At the heart of the application's capabilities is Celonis' powerful Process Intelligence platform, combined with Cavalis' deep domain expertise in manufacturing and data analytics.[4][1][5] A standout feature is its Bill of Materials (BoM) decomposition functionality.[1][2] This allows for a granular evaluation of the product mix, enabling businesses to precisely identify key cost drivers, understand component dependencies, and uncover opportunities for standardization and cost reduction.[1][2][3] By breaking down complex product structures, the app empowers product managers to make informed, data-backed decisions regarding product rationalization, inventory optimization, and overall lifecycle management.[4][6] Liam Mawe, Global VP for Industries at Celonis, noted that while AI presents significant opportunities for manufacturing, many companies struggle to apply it effectively in critical areas.[4][1][2] He stated that the new app bridges this gap by providing AI with the rich business context needed to define, monitor, and update complex product portfolios in real-time, ultimately impacting both top and bottom lines.[4][1][2]

The tangible benefits for manufacturers are expected to be substantial, ranging from enhanced operational efficiency to significant financial gains. The app is designed to deliver real-time insights into product performance, profitability, and operational efficiency.[4][3] This empowers managers to identify high-performing products, streamline the process of discontinuing underperforming ones, and better align their offerings with market demand.[4][1] By optimizing product termination strategies, companies can reduce maintenance and inventory holding costs.[4] Furthermore, identifying and addressing bottlenecks within production and supply chain processes leads to improved operational flow.[1][3] This increased efficiency can free up operational capacity, which can then be redirected toward developing new, innovative products, thereby fostering revenue growth while simultaneously lowering costs by reducing manual work and complexity.[1] Fabian Gatzka, Managing Director and Co-Founder at Cavalis, emphasized that by embedding Process Intelligence into this core workflow, it becomes a strategic tool that helps companies achieve tangible business outcomes.[4][1]

In conclusion, the collaboration between Celonis and Cavalis represents a pivotal step forward in the application of AI and process intelligence within the manufacturing industry. The Product Portfolio Optimization for Manufacturing app provides a sophisticated, data-driven solution to long-standing challenges of complexity and data fragmentation. By offering a real-time, comprehensive view of the entire product lifecycle, from component procurement to final sale, the application equips manufacturers with the necessary tools to navigate an increasingly volatile global market.[3] This ability to make faster, smarter decisions about which products to invest in, rationalize, or redesign is no longer just a competitive advantage but a necessity for survival and growth. The launch signifies a broader trend towards embedding intelligence directly into core business processes, transforming them from reactive, manual functions into proactive, strategic drivers of value. As more manufacturers adopt such technologies, the industry is poised to achieve new levels of efficiency, agility, and profitability.[3]