Case Article—Digitizing Spare Parts Supply Chain via 3D Printing: An Operational Cost Analysis

Yue Zhang (), William McCall () and Jing-Sheng Song ()
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Yue Zhang: Smeal College of Business, Pennsylvania State University, University Park, Pennsylvania 16802
William McCall: Xerox Additive Manufacturing, Durham, North Carolina 27703
Jing-Sheng Song: Fuqua School of Business, Duke University, Durham, North Carolina 27708

INFORMS Transactions on Education, 2024, vol. 25, issue 1, 81-84

Abstract: The case presents a sourcing problem and a manufacturing problem faced by an original equipment manufacturer, seeking recommendations for sourcing a diverse range of parts for high-voltage equipment, as well as making decisions on the manufacturing strategy for a component used in a water monitoring system. The case provides an opportunity to explore the qualitative and quantitative aspects of three-dimensional (3D) printing versus traditional manufacturing, specifically in terms of operational cost. Furthermore, this case facilitates discussions on the potential impact of 3D printing on supply chains. It is suitable for use in graduate and undergraduate courses, as it introduces key concepts such as manufacturing and inventory policies, queueing theory, and life cycle analysis. Ultimately, the case is designed to promote a deeper understanding of the challenges and opportunities that manufacturers face in today’s rapidly evolving technological landscape.

Keywords: centralized/decentralized manufacturing; make-to-stock (MTS); make-to-order (MTO); inventory costs; economic order quantity (EOQ); (r; Q) policy; life cycle analysis; multiclass queue (search for similar items in EconPapers)
Date: 2024
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Persistent link: https://EconPapers.repec.org/RePEc:inm:orited:v:25:y:2024:i:1:p:81-84

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