130226 open innovation in additive manufacturing v3

Open Innovation in Additive Manufacturing RapidPro, February 26, 2013, Veldhoven, The Netherlands

Market developments require a review of the current collaboration within the high-tech supply chain

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Original Equipment Manufacturers … are going back to their core business to serve globally competing markets (Farm Out)

… grow the outsourcing volume and level of complexity

… increase their cost price pressure

Suppliers & Subcontractors

… see product, process & coordination requirements increase

… are involved in product development, specialization is essential

… take their share of the risk in new business models

Implications for the future

… supply chains are more complex

… competition now is between global value chains instead of individual companies

… uncertainty is bigger than ever

Environment is unpredictable

Black Swans occur …

… political instability and economic crises

… customers are very well informed, demanding en lack loyalty

… some raw materials are getting scarce

Technology develops fast

… many disruptive technologies

… R&D cost grow more rapidly than revenues

… energy sources and consumption change

… product life cycle management is increasingly

important

The open innovation concept emerged as an answer to these challenges for the R&D part of the value chain

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© Henry Chesbrough

Networked Innovation

Virtual enterprise

Open supply chain

Open Innovation

Specialized company

The open supply chain is a logical next step in the development of supply chains

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Traditional supply chain

Collaborative supply chain

Individual company

performance

Supply chain

performance

Network

performance

Buyer – supplier

relationship Trust in the chain Equal partnerships

1:1 1:N N:N

Agreements upfront Standards to confirm

relationships

Pre-competitive

standards

Closed innovation / Research

supply chain evolution

innovation evolution

Vertically integrated company

organization

focus

relationship

collaboration

scope

This creates an Open Supply Chain with much more options for specialised suppliers adding value in various tiers

• Primary process: more process steps are subcontracted in a multi-tier value chain

• Support processes: management of the total supply chain and more aspects

1. Research & Development

2. Design & Engineering

3. Prototyping & Industrialization

5. System integration

6. Sales & Service

4. Component production

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Based on the open innovation financial model for R&D, a new financial model emerges for the open supply chain

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For new OEMs this allows for focus on the core competences and outsource a substantial part to suppliers

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1. Research & Development

6. Sales & Service

2nd Tier

3rd Tier

1st Tier

Process Development

Project Management & Staffing

Quality Assurance

Business Model Development, Financing & Funding

Sourcing & Life Cycle Management

Supply Chain Management

OEM

Supplier

3. Prototyping & Industrialization

4. Component production

5. System integration

2. Design & Engineering

Material research & analysis

1. Research & Development

2. Design & Engineering

3. Prototyping & Industrialization

5. System integration

6. Sales & Service

(Re)design for AM, engineering support

Parts production & supply

Equipment development

Parts supply

Raw materials & commodity providers

Additive manufacturing equipment OEMs

Design & engineering firms

(high tech) suppliers & subcontractors

(high tech) suppliers & subcontractors

Event organisers

Technology institutes and universities

OEM value chain

Additive Industries’ business model will be built on the open supply chain, exploiting a broad partner network

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Additive Industries activities

Service providers

Supply partnerships

Prototyping, process optimization & testing

4. Component production

Training, consulting, shared facilities/labs, events

In order to accelerate the creation of knowledge and experience, Additive Industries will start with design for

Additive Manufacturing and a shared lab

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AM assessment

Design & engineering

Material & process

selection

Parts manufacturing

Post processing

Prototyping & process

optimisation

Supply & Distribution

Partners

Additive Industries

3D Design & Engineering: • Design for Additive Manufacturing • Redesign • Digitization • Technology consulting • …

Shared lab facility: • Demand pooling • Materials research • Prototyping • Process

optimization • Quality testing • …

Post processing & Supply (through partners): • Production • Assembly • Supply • Distributed printing • …

Additive Manufacturing will focus on the most mature technologies for functional parts

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Additive Manufacturing

Plastics Ceramics Metals Composites/hybrid materials

Materials

Technologies Material extrusion Material/binder jetting Sheet lamination Vat photopolymerization (stereolithography, DLP) Powder bed fusion (laser sintering, SLS, SLM, DMLS, EBM) Directed energy deposition

Built on the experience gained, the proposition of Additive Industries will be expanded to four building blocks

• 3D Design & Engineering: Design for additive manufacturing, engineering services, consulting and training

• Prototyping & Testing: Fabrication and testing of first series of additive manufactured products, parts and components with multiple technologies in shared AM facilities (AddLab)

• Equipment & Materials: OEM development, delivery and servicing of automated integrated additive manufacturing solutions & materials

• Platform & Virtual Factory: Creation and operation of an internet platform for designers and additive manufacturers to meet, work together and share capacity

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In summary: Additive Industries will industrialise 3D printing for functional parts in metal and ceramics

• Additive Industries will support companies to (re)design for additive manufacturing

• By pooling volumes in high tech applications, the business case for joined investment in AM equipment will be positive

• A shared AM facility (AddLab) will allow high tech companies to experiment with AM technology and applications

• Based on the experience gained, Additive Industries will develop to be an OEM of dedicated industrial grade AM equipment & -systems for – direct printing of functional parts

– larger volumes/higher production speed/higher efficiency

– higher precision/resolution

– larger product dimensions

– automated handling & post processing

• The regional supply base can co-develop and manufacture this new equipment and use it to produce parts

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We would like to invite you to …

• Share your ideas for potential AM made parts …

• Tell us your requirements for integrated AM solutions …

• Join us in our shared application laboratory AddLab …

• Co-develop our AM solutions …

• Or … join the Additive Industries team!

Thank you for your attention!

More information: d.kersten@additiveindustries.com