cscmp 2014 3d printing for the rest of us
DESCRIPTION
3D Printing or Additive Manufacturing and its impact on manufacturing and the supply chain.TRANSCRIPT
3D Printing for the Rest of Us
Session Outline
• Introductions
• 3 D Printing (Additive Manufacturing): State of the Industry
• Areas of disruption… and opportunity
• Q/A
Introductions
Ed Elsbury, Liberty Advisor Group, Business and Technology Advisory [email protected]
Ben Elrod, Liberty Advisor Group, Business and Technology Advisory [email protected]
Kim Brand, 3D Parts Manufacturing, 3D Printing Service Bureau [email protected]
3D Printing (“Additive Manufacturing”)
• Radical new method for manufacturing objects• Technology has been around since early 80’s• Over hundred materials currently available for 3D
Printing • Already used in scale manufacturing
Materials available for 3D Printers
• Metals available for 3D Printing– Tool steels– Stainless Steel (including 17-4PH)– Titanium (including 6-4 Medical Grade)– Titanium & Aluminum Alloys– Aluminum (6061 to 6061-T6)– Nickel-based Alloys– Cobalt-chromium Alloys– Copper-based Alloys– Gold, Silver & other precious metals
Industry is growing as functional parts become economical
Functional parts now most prevalent
Source: Wohler Associates, Stratasys, 3Discovered analysis
Based upon 2012 data, 43% of parts manufactured are Production quality: Functional Parts, Tooling, and Casting Patterns.
Increased availability and precision support further growth
80k 3D Printers; ~$1Bn in Service Bureau Sales. Over 800 Service Bureaus in the
USA.
To print 100k finished components annually by 2020
20 micron resolution & tolerance of 100 micronsPost processing to a roughness average of 1 micron
8,000 industrial 3D Printers sold in 2012
Client Experiences / Applications
• Toyota – Turnaround• Nexxt Spine – Part Consolidation• Lilly – Lot size one• Walmart + IUPUI – No Alternative (Plastic molds)• Parker-Hannifin – Rapid Iteration• Rolls Royce – Geometry/Turnaround/Tooling• Zip Speed Weaponry – Turnaround• Diamond Chain – Marketing Demo• Delta Faucet – New Product Development
Client Experiences / Applications
Client Experiences / Applications
Finished Parts
General Electric Co. LEAP Jet Turbine Fuel Nozzle
• Formerly 20 pieces welded together > less labor and waste for production
• 25% lighter & 5x more durable > longer life & reduced maintenance
• 15% more efficient spray > Several million in fuel savings annually
per plane
• Full turbine 450kg lighter > Up to $3,000/kg annual fuel savings
3D Printed in Titanium in a single run
Complex Components
“This type of [rocket engine] injector manufactured with traditional processes would take more than a year to make but with these new processes it can be produced in less than four months, with a 70 percent reduction in cost.”
Source: NASA
Minimize number of components:This injector had only two parts, whereas a similar conventionally manufactured injector had 115 parts. Fewer parts require less assembly effort, which means complex parts made with 3-D printing have the potential for significant cost savings.
Rocket Engine Injector
3D Printing Drama
• Gravity is not your friend• New material qualification very expensive, risky?• Radical geometry is free but sloooow (8 hr/in)• Metal printing is a team sport• Machine technology frenzy• New tools = new rules
Disruption
Source: Melba Kurman: 10 Principles of 3D Printing, 3Discovered
1. One printer makes many shapes >> No retooling
2. Small footprint manufacturing >> Production possible anywhere
3. No lead time from design to production >> Accelerated speed-to-market
4. Skill is in design, not manufacturing >> Anyone can make everything
5. Only make what’s required, when required >> No waste, no inventory
6. Reduced assembly >> Combine sub-assemblies into a single part
7. Infinite blends of materials >> Better products
8. Duplicate, edit, copy physical objects >> Make what you design
9. Unlimited design space >> Think it, make it!
10. The printer does it all >> Manufacturing complexity is free
What products/parts?
NOW SELECTIVE LATER• Low relative production volume,
high value• Customized objects• High logistics costs• Complex construction/assembly• Tools & Molds• Hand-crafted/ hand assembled
products and components• High inventory cost & demand
uncertainty
• Tools• Molds
• Large form factor & dimensions (e.g. steel beams & plates)
• Simple/low cost logistics• Low inventory costs• Predictable demand
patterns• Esoteric materials
TRADE-OFF point
Volume (# Units)Tota
l Cos
t
Conventional Manufacturing
3D Printing
Manufacturers are starting slow by piloting specific cases
1. Economic Feasibility
2. Pilot Program
3. Roll-out Assessment
Quantify and compare value chain economics for existing objects
• Identify potential object (products, parts, tools) candidates.• Analyze value added costs and metrics.• Identify and analyze alternative 3D Printing processes.• Quantify opportunity in $, time, and organizational impact.
Test for quality, cost, complexity, and scalability• Controlled, small scale, outsourced test production• Monitor and evaluate results• Make adjustments: Design & Processes
Plan for implementation• Revise/quantify production, logistics, net investment, and
switching costs• Plan and execute organizational changes• Integrated manufacture & design planning• Develop budget; change & steady state
Longer term changes to sourcing and manufacture are being planned
Design for 3d Printing
New Economics
Organizational Change
Leverage new possibilities rather than replacing existing processes
• Develop new parts that take advantage of unique 3D Printing features• Simplify multi-part assemblies into single parts • Premium features from customization flexibility• Potential crowdsourcing of designs, and product requirements
Product Innovation and increased value-added• Monetize retired/aftermarket objects, parts, and designs• Print molds, castings, & tooling on demand• Repair vs. replacement will impact pricing and customer relationships• Evaluate need for dedicated production facilities vs. outsourcing
Design to manufacture requires new organizational models• Evaluate core strengths – design v. production?• Merging product design and manufacturing engineering teams• Business Process Reengineering
- Collaboration & planning between R&D & Manufacturing- Customization > closer, collaborative engagement with customer
needs
Over time the impact on the Supply Chain will be significant
• Products mass produced (China/Globally)
• Goods ‘pushed out’ and distributed through warehouse network to customers
• Long lead times• High transportation costs• Large carbon footprint• Scale > large facilities
Conventional Supply Chain
• Customized production (onshore)
• ‘Pulled’ by end customer demand
• Locally printed and distributed• Short lead time• Lower transportation costs• Lower carbon footprint• Experience > smaller facilities
3D Print Supply Chain
Design Mfr. Distr.Design Mfr. Distr.
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Liberty Advisor Group
Liberty Advisor Group is a management and technology advisory firm that specializes in identifying and executing high priority business and technology initiatives that quickly improve operating income.
Clients engage us when faced with complex business and IT challenges to design and execute strategic initiatives that are both practical, positively impact the bottom line, and align top-down business needs and bottom-up operational capabilities.
Technology Strategy
• IT Strategy & Architecture
• System and ERP Planning, Prioritization and Roadmaps
• Master Data Management
• IT/Business Alignment Assessment
• Multi-channel architecture
M&A Services
• Operations and IT Due Diligence
• Merger Integration• Carve Out Planning and
Execution• System and ERP
Rationalization and Consolidation
• IT Strategy and Roadmaps
Business Transformation
• End to End Business Process Improvement
• Supply Chain Optimization
• 3D Printing • ERP Implementation
Optimization and Rescue
• e-commerce and m- commerce
Data Mining & Analytics
• Operating Income Improvement
• Margin Improvement• Customer & Product
Profitability• Sales Effectiveness• Indirect and Direct
Spend Improvement• MRO Spend
Improvement
3D Parts Manufacturing
• Founded 1/2013• $2M Investment in downtown Indianapolis• Service Bureau: DMLS (Metals), PolyJet (Digital
Plastics,) SLA (Resins,) FDM (ABS/PLA)