150610 Exploring the supply chain opportunities of additive manufacturing in aviation’s spare part industry (Gereon Deppe) RapidTech meeting 10-06-2015

1. © 2013 The RepAIR consortium 1
www.Rep-AIR.eu
Future RepAIR and Maintenance
for Aerospace industry
This project has received funding from the European Union’s Seventh
Framework Programme for research, technological development and
demonstration under grant agreement no 605779.
Exploring the supply chain opportunities of Additive
Manufacturing in aviation’s spare part industry
Gereon Deppe
RapidTech
Erfurt, 10th of June, 2015

2. © 2013 The RepAIR consortium 2
RepAIR - Overview
• Origin of funding: EU – FP7 Transport (AAT)
• Project Coordinator: University of Paderborn
• Total budget: 5.951.426 €
• Funding of EU: 4.276.352 €
• 12 partners
• Project duration: 36 Month
• Start date: 01.06.2013
Website: www.rep-air.eu

3. © 2013 The RepAIR consortium 3
RepAIR – Future RepAIR
and Maintenance for
Aerospace Industry and
Aeronautics & Air Transport

4. © 2013 The RepAIR consortium 4
Fundamentals
Present
Current
processes do
not contain
AM application
Goal
Reduce
logistic and
storage costs
with AM
Future
Take
developments
into account
Approach
Describe
approaches to
integrate AM
into the supply
chain

5. © 2013 The RepAIR consortium 5
• MRO costs reduction by automation level increase and
an enhancement of the spare parts production stages
(by a complete production and supply chain integration)
Objectives

6. © 2013 The RepAIR consortium 6
Around the Clock and around the world
• The Boeing 747 has six million parts
• 75.000 drawings were used to produce the
first 747
• Airbus stocks 3.6 million parts &120.000
tools
• Providing spare parts for 60 years
• Parts need to be at the gate ASAP
• Some Boeing, some Airbus,……..
How many parts in total?
Source: Lufthansa-Technik.com
Source: Slimlivery.com

7. © 2013 The RepAIR consortium 7
System analysis
Source: Lufthansa Technik

8. © 2013 The RepAIR consortium 8
AM developments
Machine
size build chamber
build-up rates
surface quality
accuracy
Material
specific
characteristics
multi-material
processing
Other
software
improvements
norms, certifications,
interfaces
Images: www.slm-solutions.com || www.bgw-stahl.de/ || www.reliancemedical.co.uk

9. © 2013 The RepAIR consortium 9
RepAIR – Future RepAIR
and Maintenance for
Aerospace Industry and
Aeronautics & Air Transport

10. © 2013 The RepAIR consortium 10
• Spare part availability compared to
spare part inventory
• 20% predictable / 80% unpredictable
failures
• AOG  highest priority
Service level vs. logistic costs
Source: [HiOl13]

11. © 2013 The RepAIR consortium 11
Supply Chain Key Aspects
• Goal: “satisfy the needs of customers
and reduce downtime costs” [KPH13]
• Key aspect is the operation time
of the aircrafts
• MRO provider: partner that helps to
keep aircrafts airworthy
High
inventory
costs
Volatile
demand
Excessive
storage
High part
value
Long
product
lifecycle
Source: [WHY04]

12. © 2013 The RepAIR consortium 12
Warehousing in MRO Aerospace
• High quality & safety standards: high part value
• Total value: 20 – 30 bn. US-$
Source: [FrLi09]
30 %20 % 50 %
Worldwide, annual
costs
for spare part
warehousing
5 bn. US-$
Capital lockup is substantial!

13. © 2013 The RepAIR consortium 13
Supply Chain
Source: [WHY04]
Additive Manufacturing:
more flexible in manufacturing as well as within the supply chain

14. © 2013 The RepAIR consortium 14
Supply Chain Approaches
Source: [Fish97]
LEAN
• Eliminate waste
• Reduce failures
• Efficient processes
 for functional products
and predictable demand
AGILE
• Reducing lead time
• Fast reconfiguration of
processes / flexibility
• Availability
 for innovative products
with a volatile demand

15. © 2013 The RepAIR consortium 15
Supply Chain Approaches integrating AM
• Lean approach + high flexibility / availability
• Reduction of transportation of physical
goods
• Only raw material has to be available
• Less parts have to be assembled and
handled
• Significantly reduced set up time
• Instant start of production
• True just-in-time approach
Source: [Fish97]

16. © 2013 The RepAIR consortium 16
Supply Chain with Centralized AM
Centralized AM production
Currently: more feasible
• high acquisition price
• finishing work
• low build up rates
• small number of suitable parts
• several machines work with almost full
workload at a central warehouse etc.
• on demand instead of inventory
• Still relies on shipping to POU
Image: www.arbelatech.com

17. © 2013 The RepAIR consortium 17
Supply Chain with Distributed AM
Distributed AM production
Future: optimally exploit AM advantages
• when acquisition price decreases
• higher quantity of AM parts (demand)
• higher accuracy, less finishing
• local production close to point of use
• excessive warehousing becomes redundant
• lower logistic/shipping costs
• workload lower -> flexibility higher
• meet sudden demands, sell volume to others
Image: blogs.techworld.com

18. © 2013 The RepAIR consortium 18
Allocation of AM potentials to supply
chain key factors
High carefulness and
precaution in all processes
Continuous enhancements
Provide prerequisites
for approval
Consequent documentation
of all processes
Efficient flexibility
Preparation of a total
operating performance
Achieving cost-efficient
service level
Continuous quality orientation
High degree of automation
Arbitrary geometry design
and variation
Integration of information and
manufacturing technology
Availability of high-grade materials
Shortfall of tools
Potential to save resources
Variable production order
Peripheral, time oriented
manufacturing
1
2
0
1
7
2
4
1

19. © 2013 The RepAIR consortium 19
Future Scenarios
Additional repair
process
Spare part
production
Necessary
technology for
MRO
Vital part of
MRO
TODAY
FUTURE
1 2 3
4

20. © 2013 The RepAIR consortium 20
Get in touch with RepAIR
• RepAIR Website @ www.rep-air.eu
• Overall Objectives
• Role of the Partners
• Where to meet RepAIR
• Publications
• Contact
• RepAIR @ linkedin.com and twitter
• Discussion about content
• Project news
• Announcement of where to find RepAIR
• Announcement of publications

21. © 2013 The RepAIR consortium 21
www.Rep-AIR.eu
Contact
Partners
This project has received funding from the European Union’s Seventh
Framework Programme for research, technological development and
demonstration under grant agreement no 605779.
Project Coordinator
Prof. Dr.-Ing. Rainer Koch
FON: +49 (0) 5251 - 60 22 58
E-MAIL: r.koch@cik.uni-paderborn.de
Project Manager
Dr.-Ing. Jens Pottebaum
FON: +49 (0) 5251 – 60 22 34
E-MAIL: pottebaum@cik.uni-paderborn.de
Advisory Board Manager
Dr.-Ing. Eric Klemp
FON: +49 (0) 5251 – 60 5415
E-MAIL: eric.klemp@uni-paderborn.de
Presenter:
Gereon Deppe
FON: +49 (0) 5251 – 60 22 63
E-MAIL: deppe@cik.uni-paderborn.de

22. © 2013 The RepAIR consortium 22
[Clea11] Clearwater Industrials Team (2011): Aerospace Global Report 2011. Hg. v. Clearwater Industrials. Clearwater Industrials. Last checked:
15.03.2015 URL: http://www.imap.com/imap/media/resources/Aerospace_8_1FED752787A1E.pdf
[FrLi09] Friedrich, Sebastian; List, Stefanie (2009): Supply Chain Kooperation in der Ersatzteillogistik für die Luftfahrt (English: Supply chain
cooperation in the aeronautics‘ spare part logistics). In: Stefan Voß, Julia Pahl und Silvia Schwarze (Hg.): Logistik Management.
Heidelberg: Physica-Verlag HD, S. 55–75
[Fish97] Fisher, Marshall (1997): What is the right supply chain for your product? In: Harvard Business Review 75(2), S. 105–116. URL:
http://www.computingscience.nl/docs/vakken/scm/Fisher.pdf, last checked 18.02.2014
[Gebh07] Gebhardt, Andreas (2007): Generative Fertigungsverfahren. Rapid prototyping - rapid tooling - rapid manufacturing. 3. Aufl. München:
Hanser
[HiOl13] HINSCH, M.; OLTHOFF, J. HRSG.: Impulsgeber Luftfahrt. Industrial Leadership durch luftfahrtspezifische Aufbau- und Ablaufkonzepte
(English: Impulse generator aerospace. Industrial leadership with aerospace specific concepts). Springer Vieweg, Berlin, 2013.
[Hins12] Hinsch, Martin (2012): Industrielles Luftfahrtmanagement (English: Industrial aviation management), 2nd edition Berlin/Heidelberg:
Springer Verlag
[HPTW10] Holmström, Jan; Partanen, Jouni; Tuomi, Jukka; Walter, Manfred (2010): Rapid manufacturing in the spare parts supply chain: Alternative
approaches to capacity deployment. In: Journal of Manufacturing Technology Management, Vol. 21 Iss 6 pp. 687 - 697
[IBM13] IBM Institute for Business Value; Brody, Paul; Pureswaran, Veena (2013): The new software-defined supply chain. Last checked:
15.03.2015 URL: http://www-935.ibm.com/services/multimedia/The_new_software-defined_supply_chain_Exec_Report.pdf
[KPH13] Khajavi, Siavash H.; Partanen, Jouni; Holmström, Jan (2013): Additive manufacturing in the spare parts supply chain. In: Computers in
Industry. DOI: 10.1016/j.compind.2013.07.008
[SGF+08] Spiegel, Hildburg; Götte, Sascha; Friehmelt, Holger (2008): Partnership Supply Chain in der Luftfahrt (English: Partnership supply chain
in the aerospace sector). In: Partnership supply chain in der Luftfahrt
[WHY04] Walter, Manfred; Holmström, Jan; Yrjölä, Hannu (2004): Rapid manufacturing and its impact on supply chain management. Helsinki
University of Technology, Helsinki
Literature