It’s adding up: Additive manufacturing for more added value!

7.3 billion U.S. dollars – that was the turnover generated worldwide by additive manufacturing in 2017. The number is pretty impressive, right? Well, to contextualize, it is important to understand that the manufacturing sector as a whole accounts for 12 trillion U.S. dollars and thus the sales share of additive manufacturing is at only 0.06 percent.[1] This makes 3-D printing seem almost insignificant… at first.

Disrupting the manufacturing industry

However, let’s not be too quick to judge. There are other numbers that actually underline the incredible potential of this technology. The 3-D printing industry is expected to grow in double digits for the years to come. In 2018, it reached a sound productivity level and growth is settling at a constant rate of about 12.5 percent a year. That’s really strong and shows to me that this is only the beginning of an exciting future for this technology!

I am a strong believer in the power additive manufacturing. In my opinion, the technology has the potential to truly push forward the entire manufacturing industry we know today. The 2019 Gartner Hype Cycle, a publication by the Gartner Institute that highlights trends and predictions to consider for future manufacturing processes and products, expects a growing market for additive manufacturing, specifically in the medical field (e.g. for producing surgical tools and prosthetic limbs) and in metal 3-D printing. Experts see a steady stream of new market entrants that will ensure an accelerated market expansion for this technology.[2]

Bright future, despite some challenges

There are so many upsides to additive manufacturing: We can produce hardware on demand, in the smallest quantities, individualized and closer to our customers. Instead of applying traditional manufacturing methods such as milling or sawing, we can save material, labor costs and energy by printing what is really in demand at a particular moment. And 3-D printing opens up completely new opportunities: We can create components that were previously impossible to produce geometrically. What truly fascinates me is the fact that the creation process already begins completely digitally: Engineers can develop components on computers without having to limit their imagination. The time and process from digital design to a finished product has never been so short!

I am aware that there are still some challenges to overcome. As of now, the variety of printing materials is still limited, the size of printed components is restricted and conventional mass production is still faster when it comes to big volumes.

Changing the game, also in logistics?

Despite those challenges, the potential of additive manufacturing to change and advance an entire industry is evident not only in manufacturing, but also in logistics. So far we’ve had three means of transport: via earth, air or water. Additive manufacturing adds a fourth dimension to this, which is via the internet at the speed of light. You simply send your construction data to a printer anywhere in the world and produce the required parts right where they are deployed. Major logistics companies are getting ready to adapt and further develop their business model. They will no longer have to store huge amounts of parts for their customers to deliver them on demand. Instead, they need to prepare for hauling smaller batches with individualized parts and products that are printed in a location close to the customer – massive storage space and long-distance transportation will (in the future) no longer be necessary in these cases. UPS already introduced a network of 3-D printing locations to print and ship products for their U.S. customers.[3]

Exploring opportunities for printed spare parts

Let’s look at spare parts: another field where additive manufacturing can provide great value. I recently read that Deutsche Bahn, the biggest German railway company, stocks spare parts worth 600 million euros per year – an immensely high amount![4] And some of the parts might not even be used when trains are discarded. In addition, spare part providers currently need to make sure that they are capable of offering spare parts for a product for five to 30 years – can you image how much planning and estimating demand goes into this? 3-D printing is a great solution to make this much more efficient. By printing on demand, spare parts and tools can be finished, certified and shipped when the demand arises…at any time, also after many years. Eventually, this approach is more economical, ecological and prevents unnecessary long downtimes of machines.

At the K?rber Group, we are putting a lot of effort into driving additive manufacturing forward to provide our customers with added value and to benefit from these potentials ourselves. We recently set up a Center of Excellence for Additive Manufacturing that will explore new opportunities for our businesses and market environments. Moreover, a team at Hauni (AM @Hauni), one of our Group’s companies and the world’s leading supplier of solutions to the international tobacco industry, is working with a lot of energy and passion on its Spare Parts as a Service project. The goal of Matthias L?nnecker and his team: The customer can expect his specific metal spare part in about a week – currently, delivery time for new spare parts is up to 63 days. I am excited to see the results coming along and to explore continuously what additive manufacturing can add to our offerings for the industry.

You want to learn more about our achievements and offerings? Get in contact! I am looking forward to a more detailed exchange with you!