160615 Progress Update WP2 (Bram Westerweel)

1. On the benifits of Additive
Manufacturing for spare parts supply:
Which parts to print?
Progress report on Work Package 2 by Bram Westerweel

2. Status update & Agenda
• Work package status
• Research proposal is approved
• Coursework is finished
• Current research topic
• Model background
• Implementation
• Results
• Looking ahead

3. Evaluating the potential of AM for spare parts supply
• We have the option to replace the regularly produced spare part by an
AM version, which we still have to develop. Our research question is:
“Under what conditions does the AM part outperform the regular spare part in
terms of total lifecycle costs?
• Basic assumptions:
• Installed base of capital goods
• Single item, single stockpoint
• AM has a shorter production leadtime than regular method

4. Evaluating the potential of AM for spare parts supply
• Our model is based on evaluating total lifecycle costs (LCC) for the
regular and the AM part.
• We establish when both component types break even.
Balancing total lifecycle costs
Regular AM
AM
Regular
Total lifecycle
costs
Production Inventory Downtime
Design
Investment
Performance
Benefits
Parameters:
Leadtime
Component reliability
Component price

5. Results: evaluating break-even mean time between
failure (reliability)

6. Results: evaluating break-even mean time between
failure (reliability)
• What happens when we vary parameters, such as installed base size?

7. Results: evaluating break-even component costs

8. Looking ahead
• A working paper will be finished this summer. This will contain:
• Properties of the break-even characteristics (when AM outperforms regular)
• A numerical experiment
• A set of case studies (JLG, potentially Fokker)
• In september, we start working on a second topic.