Digital Print Platforms / Solutions

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A discussion of how print-on-demand (POD) and digital printing fit within the supply chain of a higher education publisher.

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Digital Print Platforms / Solutions

  1. 1. Digital Print Platforms / Solutions<br />A Digital Print Primer for Book Printers, Thought Leadership Workshop<br />August 5, 2010<br />Ken Brooks<br />SVP, Global Production & Manufacturing Services<br />ken.brooks@cengage.com<br />
  2. 2. The supply chain is growing more complex<br />2<br />Supply<br /> Side<br />Demand<br />Side<br />Make-to-Stock<br />Supply<br />Demand<br />Make-to-Order (short-run, one-off)<br />Supply<br />Demand<br />Configure-to-Order (Custom)<br />CMS<br />Demand<br />Supply<br />
  3. 3. There’s a Make-to-Stock / Make-to-Order breakeven<br />3<br />Make to Stock<br />TCO <br />per<br />Unit<br />Make to Order<br />0<br />Print Order Quantity<br />
  4. 4. Manufacturing Strategy – 4c<br />4<br />
  5. 5. Manufacturing Strategy – 1c<br />5<br />
  6. 6. Goal: balance unit cost with the cost of long range planning risk<br />Lifetime<br />Total Cost<br />Min<br />LTC<br />Cost per Unit<br />Mfg<br />Risk<br />Low<br />Low<br />Months supply <br />Planning Risk Cost<br />Manufacturing Unit Cost<br /><ul><li> Obsolescence
  7. 7. Stock-out / Lost Margin
  8. 8. Cost of Capital
  9. 9. Make Ready
  10. 10. Run Rate
  11. 11. Order Processing</li></ul>6<br />
  12. 12. There are three principal cost levers…<br />7<br />Reduce Manufacturing Cost Basis<br />Manage Planning Risk<br />Optimize Print Strategy<br />Lifetime<br />Total Cost<br />C<br />Cost per Unit<br />B<br />A<br />Mfg<br />Risk<br />Average Months Supply<br />…all of which are impacted by POD.<br />
  13. 13. There are a few scenarios in which POD is easily justified.<br /><ul><li>Print run below breakeven</li></ul>Slow moving titles (including custom/CTO)<br />End of life titles<br />Sampling<br /><ul><li>Waiting for a print run to arrive</li></ul>8<br />Number of Titles<br />0<br />Copies Sold per Year<br />
  14. 14. Fully supporting POD requires substantial change.<br />9<br />
  15. 15. There are also process capability issues to resolve…<br />
  16. 16. Digital Print Platforms / Solutions<br />A Digital Print Primer for Book Printers, Thought Leadership Workshop<br />August 5, 2010<br />Ken Brooks<br />SVP, Global Production & Manufacturing Services<br />ken.brooks@cengage.com<br />

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