In the midst of global uncertainty and disruption, the need to shorten supply chains is a pressing issue for many organizations, especially for multinationals that rely on cheap labor in Southeast Asia.
China continues to be hampered by economic slowdowns, energy shortages and ongoing lockdowns, particularly in relation to its resilience to Covid-19. China’s time as the world’s manufacturing engine appears to be over, as businesses look to move manufacturing to countries like Vietnam in Asia, or closer to the coast or home.
However, there are other ways to shorten supply chains – one of them is 3D printing, also known as additive manufacturing (AM).
AM technology began as a way to produce prototypes without any machine tools, but, over the past decade, it has evolved rapidly. An early hurdle was that the process only worked with plastic; But now materials that can be printed include powder, glue, metal, carbon and even human flesh.
In a report examining the state of 3D printing — called Additive Manufacturing Mainstream, co-author Jörg Bromberger, director of strategy and operations — noted that AM technology can produce any 3D part that works and costs more than conventional manufacturing methods. .
3D printing allows mass customization
It also highlights that it does not require molds or fixed tools, and allows for mass customization. Such simplicity, he continued, reduces the time to market and the need for spare parts, allowing for on-demand production from digital files available in the field. Bromberger cited the example of car manufacturer Mercedes-Benz, which uses AM to produce parts for its classic vehicles.
The technology has great potential to help businesses rethink manufacturing-based supply chains, and Bromberger feels the technology is approaching a point of disruption: “When will the long-touted technology that disrupts supply chains really come of age?”
His answer? When it’s a multi-billion dollar industry – which is AM; A $14.7 billion industry, to be exact, that boasts a 22 percent annual growth rate.
“Forty years after the first commercial 3D-printing machines, the sector is extremely dynamic, with more than 200 players competing to develop new hardware, software and materials,” said Bromberger.
AM claims to be able to produce products beyond traditional manufacturing methods. Widespread users of the technology include consumer and industrial goods manufacturers, the defense and aerospace industries, automotive companies, component suppliers, and the healthcare and dental industries.
Innovative driving improvements in AM Tech
Rapid innovation, says Bromberger, is leading to major improvements in the performance of AM technologies: “The latest AM machines use magnetic fields to control the alignment of fiber reinforcements to create stronger parts.
“In addition, the range of materials available for AM systems continues to expand, now including high-strength aluminum alloys and medical-grade polymers.”
AM systems are also increasing rapidly, Bromberger said, citing improvements in software and post-processing technology that are “further enhancing the end-to-end journey from concept to finished component.”
Disruption of any kind comes when advances in technology meet the mass demand for that technology – and AM is now approaching that point.
Indeed, some industry experts believe we’ve passed that point: noted lawyer and author Dennis Unkovich, for example, says supply chains have been disrupted not by Covid-19 but by disruptive factors already in the game, such as 3D printing. In fact, Unkovic continued, 3D printing will permanently change the global supply chain as we know it.
“The supply chain will be augmented by 3D printing and it will be a reality sooner than most expected,” he said.
Unkovic – who has been named to the Best Lawyers in America list for the past two decades – details how 3D printing is disrupting supply in his new book ‘Transforming the Global Supply Chain: Cyber Warfare, Technology and Politics’.
A one-time U.S. Senate legal counsel, Unkovich has been a supply chain attorney for 35 years, handling international trade deals primarily between the U.S. and China and Japan.
Unkovic reminds us that established manufacturing models built on China’s cheap labor have been under pressure for years. “For the past 25 years, labor costs have risen steadily in China. This forces companies outside of China to rethink how and where to source products and components.
“This offers the perfect economic conditions for 3D printing because it requires less labor and makes it very attractive for plants that are widespread in China.”
Complex objects are perfect for 3D printing
Unkovic also believes that the increasingly complex nature of mechanical and electronic components will play into the hands of 3D printing.
“Traditional manufacturing makes sense if you want to buy thousands or millions of simple components. But complex products are inherently made up of many sub-components, and 3D printing makes a printed product extremely complex in structure.
“The pandemic has made global suppliers and consumers more aware of the importance of timeliness in moving goods from one place to another, especially from one part of the world to another.
Unkovich said the outbreak has shown us that there is no guarantee that products made in China will make it to the U.S. or elsewhere on time.
“Companies that desperately need key components are encouraged to look to 3D printing to fill the gaps,” he says.
He also pointed out that today’s consumer is no longer happy with mass-produced goods, and instead wants personalized products.
“The strength of 3D printing is that any object can be altered or changed in subtle or significant ways without major retooling costs,” says Unkovic. “3D printing was once slow and limited, but now multi-jet fusion printers can quickly produce thousands of parts, and server farms can serve hundreds of 3D printers from dedicated vendors. “
Certainly, major moves are being made on the AM front. Recently, General Motors, Siemens, and Airbus Defense & Space joined major industrial manufacturing company Stratasys around the table to discuss 3D printing, and we’re starting to see more and more such events.
Unkovich and Bromberger already seem to be looking at the future here.
