MIS: 3D Printing

Moral of the Story

Raymond-in-Printer-Land

Presents:

Group Members

#1 Ideas Matter

• Innovations and Ideas matter most as they are irreplaceble by machines

Future Development of personalization

-Education Field

Recommendations of Personalization

1. Be a Home Designer

Lau Ka Man Tracey 3035071321

Kwan Yi Nga Eos 3035074579

Tang Yin Han Kelly 3035070444

Yeh Hoi Kei Jaime 3035069031

• President Obama-3D printing 'revolutionalize the way we make almost everything'
• Also suggested every high school to be equipped with a 3D printer

• Grandtech: schools and education units have been their largest customer source
• 3D printing limited: school also their largest revenue source--> various promotions

Actual Application

• Teaching Aid
• Student Use

• Customers turn into 'Makers' (home printing)
• Online trading platform for digitalized design (virtual design)
• No delivery time (different from bricks, clicks, brick-and-clicks)
• Facilitates crowd creation and OSS movement
• Network effect resulted

#2 Two Sides of A Coin

• Mis-use may result in catastrophes

Future development of personalization

2. New form of business: 3D printing Outlet

(similar to neighborhood printing shops)

• Mr. Wong from 3D Printing Company Ltd: customers do not know how 3D printing works
• Survey results: customers welcomed a 3D printing outlet near their home

Recommendations of Mass Production

Recommendation: Apple Inc.

Problem: Lack of Innovation

• Highly similar exterior of i-proucts
• Limited product range

Toyota Motor Corporation - Introducing 3D printing to production chain

Problem: Safety Concern

• Recall scandal in 2009
• Customers switch to substitutes like Volvo?

Proposed Solution

• Merging product sale with personalization of exterior (Bundling)
• Practise market segmentation
• Enable Price Discrimination
• Differentiate product from key rivals

Solution

• Incorporate 3D printing into production line for higher accuracy
• Reduce chance of delay in product launch and time for QC
• 3D printing of specific parts upon customers' requests
• Capture consumer surplus

3D Printing: A Panacea for Mass Production and Personalization?

Mass Production-Challenge

2. Limited Application (nature of raw material)

Mass Production -Challenges

1. Risky Investment-high sunk cost

Vertrouw me

(Vertaald:

• High capital cost
• Large-scale 3D printer for manufacturing: up to 10 million
• Renting space for printers
• Employee training cost for operation of printer

3. Environmentally Friendly

• Traditional manufacturing: 90% raw materials discarded
• Less waste generated with 3D printing
• More energy efficient (save energy by 41-64%)

Case: Nanjing Zijin-Lead Electronic Co

-set up in 2008, most extensive use of 3D printer

-In 2013, cash flow and capital structure could merely sustain its operation

• Current technological level --> only support plastic, metal and ceramic
• Lacking materials of high heat-resistance, strength and durability
• Current application: complementary system only

Mass Production-Opportunities

1. Greater Flexibility in Production Line

-'A factory without factory floor'

-Does not require large

assembly line

-Print unlimited products with Computer-Aided Softwares (CAD)

-Little coordination is needed

Mass Production- Challenges

Personalization-Opportunities

1. Accuracy Improvement

• Enable ultra-thin layers to be produced accurately
• Enable building models of complex geometries

• Example: Architecture firm

-especially for organic-shaped buildings

-more identical and even models

(Vertaald: Tijd voor SCIENCE!)

Personalization-Opportunities

2. More Cost-effective Way of Production

• Relatively low cost of customized objects
• Prototyping Professions: small quantity sample fabrication
• Example: production of plastic molds in medical field
• Long run: lower set up cost

Personalization-Opportunities

3. Improved consumers' satisfaction

• Tailor-made products can best-fit customers' needs (personalized-medical device)
• Better-designed products readily available in market at lower prices in forms of prototypes (user-experience experiments)

3. Cannibalization

• Survey results: interests for customized products 3.8/5
• customers prefer customization than standardized one
• customization products as substitutes of standardized products

3. Acting as complementary system to mass production

Personalization-Opportunities

4. Development of new business opportunities

• Companies providing 3D printing services (Apostrophe, 3D Printing Company Ltd)
• Survey: interest in trying 3D printing (average 4.2/5)
• On-demand basis without need to build up inventories
• Long-tail: firms more willing to product low-volume and less popular goods

Personalization-Limitations

2. Switching Towards High-Tech Production

1. Concern over Intellectual Property Rights

• popularity of crowdsourcing and sharing platforms --> amateur inventors
• Increasing speed and ease of fabrication elevates competition for patent rights
• Patents exist even for the smallest snap connectors
• Potential for infringing intellectual property rights

Personalization-Limitations

2. Environmental Issue:Throw-away Culture

• Result of over-consumption of short-lived disposable items
• 3D printing: allowing easy and speedy production of prototypes -->tendency of overuse of such a technology
• Overproduction of intermediary parts with low use value

4. Change in Labor Structure

• gradually replace unskilled labour due to higher level of automation
• Change in global supply chain--> China's 'World Factory' position maybe challenged

• Innovation and creativity--> one of the six major pillar industries
• Examples: SME funds and Hong Kong Science Park
• 3D printing no longer confined to industrial use--> home production also available

• 3D printing produces supplement of a product
• Panasonic: 3D print metal and resin parts only
• Capture market niches where traditional manufacturing leaves out

4. Minimal Inventory Cost

• Fewer production steps
• Inventory cost for semi-finished products are pulled down

This is the end of

our presentation.

Thank you so much!

We welcome your

questions and response!

Future Development of Mass Production

Introduction and

Background

Conclusion

1. Revival of Manufacturing Sector

• 3D printing is a promising technology
• More advantageous if used in personalization rather than mass production
• Case study: Toyota, Napster, Apple showed the business opportunities brought forth by 3D printing

Personalization-Limitations

Traditional Manufacturing v

3D printing

Key Issues

Why 3D Printing?

3. Commodisation

• situation where products of same nature become undifferentiated
• Increased difficulty in product differentiation
• Reduces pricing power of producer
• Skillful interior designers find it hard to differentiate themselves from unskilled designers

Traditional Manufacturing

• forming structure (injection and extrusion)
• personalization options limited

• Gaining popularity globally

• Explore ways in which 3D printing can be applied in terms in (i) personalization and (ii) mass production
• Limitations as to extensive application of 3D printing
• to project future development
• to suggest possible business applications

• Hong Kong losing comparative advantage since reform and opening up of China
• (i) Manufacturing base relocated to China/ (ii) outsourcing production to Mainland factories
• Encourage rebound of manufacturing sector of Hong Kong
• Daniel Wong: strong interest of local company using 3D printing

3D Printing

• Generate 3D object from digital file
• No human-built molds

• Still distant and unfamiliar in Hong Kong

2. Higher Efficiency as Compared with Traditional Manufacturing

• Better cooling channel shortens production time
• Panasonic business plan: make half its yearly output of mould with 3D printing
• Allows for overnight build