My students use ideas from my class to develop a business model for "print a house." just as complex parts can be fabricated using 3D printers, many aspects of a home came be constructed using a large 3D printing machine that dispenses concrete any other materials. These slides describe a business model for thus a technology, focusing on the value proposition (faster construction), customer selection (largely Chinese residential), and method of value capture.

1. Print-A-House, Inc.
Final Presentation for MT4002
Technology Management Strategy
6th November 2012
By:
Vincent Jayalie (U094718J)
Lee Jin Yuan (U094655L)
Vincent (U096043R)
Clovis Chew Xuan Hao (A0067193Y)
Beatrix Tan (U094727U)
Print Our House. Print Our Future.

2. Presentation Content
 Introduction
 History and Prospect of Contour Crafting
 Contour Crafting – “Additive Manufacturing” Technology in Construction
 Milestones of Contour Crafting Technology
 Corporate Profile: Print-A-House, Inc.
 Corporate Vision, Mission and Strategic Positioning
 Value Proposition: How is it applicable to our target market?
 Value Capture
 Scope of Activities
 Strategic Control of Technology
 Impact Analysis
 Conclusion: How Print-A-House can influence the future of the construction
industry
 Q &A
Print Our House. Print Our Future.

3. Contour Crafting
Introduction
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4. Conventional Construction
 Traditional brick-laying methods
 Pre-fabrication processes : Parts/Modules manufactured off-
site, then assembled together on the construction site
 Labor-intensive with high degree of repetition
Print Our House. Print Our Future.

5. Imagine the possibility of…
Building a house using a printer?
Click Here!
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6. Made Possible With
Contour Crafting Technology
Print Our House. Print Our Future.

7. Background of Contour Crafting
 Contour Crafting - 3D printing technology in Construction
 Invented in 2006 By Dr. Beshrokh Khoshnevis
 Developed a Successful Concrete laying Prototype
 Prototype able to “Print” 6 Foot Concrete Walls
 Received Funding from Caterpillar Inc. In 2008
 Supported By NASA
Dr Beshrokh Khoshnevis
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8. Common Misconceptions
 Contour Crafting printer can only be used once at one
particular location (not portable).
 It can be disassembled and reused in other locations.
 Contour Crafting is an all-in machine, covering all aspects from
landscaping, foundation laying, all the way to construction
and finishing processes.
 It specializes in construction and finishing
 Contour Crafting is cheaper due to the economies of scale in
mass producing houses.
 Contour Crafting is cheaper due to the cost-savings reaped for
minimal manual labor and high degree of process automation.
Print Our House. Print Our Future.

9. Contour Crafting
 Uses the Idea from one form of 3D Printing Technology
 “Additive Manufacturing”
 Building layer by layer till 3D Model is Complete
 Able to do Automated Plumbing, Electrical networking.
Raw Materials
Eg. Concrete Prefabricated Parts Additional Finishes
Input Design
CAD Design Contour “Prints” the House A “Newly”
Crafting Using the Design Constructed
Of Building Machine input House
Setting Up of Area
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10. Lets See How It Works!
Print Our House. Print Our Future.

11. Current Milestones of Contour Crafting
Technology
 Current Technology is still in its Infancy stages
 What Contour Crafting Technology has achieved
 Able to Build a 6 Feet Tall Custom Made Concrete Wall
 Design of Contour Crafter Machine Completed
 Amid Testing and Commercialization
 Building a Complete House (In the Works)
 Some Limitations
 Height Limit: 1-3 Stories Buildings
 Require Tow Vehicle
 Requires Area for Movable, Retractable Rails
 Cannot Print all Materials (eg Glasses)
Print Our House. Print Our Future.

12. Imagine if We are the Ones Commercializing
this Technology?
PRINT-A-HOUSE Inc.
Our Corporate Profile
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13. Print A House Company Profile
 Vision: “Print Our House, Print Our Future”
 Mission:
“We aspire to print safe, affordable housing for the future.”
 Strategic Positioning:
To be the market leader in the Chinese residential construction
industry in 2020.
 Website: www.PrintAHouse.spreadthelovesg.com
Print Our House. Print Our Future.

14. PRINT-A-HOUSE, INC.
Value Propositions
“8 Key Aspects”
Speed Work Safety Labour Monetary
Cost
Strength &
Environment Flexibility Accessibility
Safety
Print Our House. Print Our Future.

15. Speed of Construction
* Assuming 2500 square foot house:
Conventional Conventional Conventional Contour
Crafting
Type Stick-Built Modular / Log Homes Printing
Prefab
Time Needed 6 Months 8-10 weeks 7 Months Projected
20 hours
Print Our House. Print Our Future.

16. Speed of Construction
 Automate Repetitive Manual Labor
 Brick Laying
 Cementing
 Laying of Support Structures (Steel Rods, etc)
 Logistics
 Less Materials and Machines to be Transported
 Streamlined On-site Processes
 24 hour Continuous Operation
Print Our House. Print Our Future.

17. Work Safety during Construction
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18. Work Safety during Construction
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19. Work Safety during Construction
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20. Work Safety during Construction
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21. Work Safety during Construction
 Contour Crafting
 Less Injuries in Construction and Transportation-Related
Activities
 Less Worker Skin Contact with Hazardous Substances
 Less exposure to Airborne Substances such as Dust and
Chemicals
 Less Noise Exposure
 Easier to Establish Procedures for Hazard and Failure Analysis
during Construction
Print Our House. Print Our Future.

22. Labor (Manpower)
Type Conventional Contour Crafting
Type of • Labor • Mostly Machinery
Resources Used • Construction industry in UK • Printer (Movable
employs 3 million people Gantry)
• >60% are low-skilled laborers • Concrete Mixer
• Excavator
• Machineries • Bulldozer
• Concrete Mixer • Caterpillar
• Excavator
• Bulldozer
• Crane
• Caterpillar
Print Our House. Print Our Future.

23. Monetary Cost
Portion of Segment Conventional Contour Crafting
Cost Responsible
20-25% Financing • Long Construction • Streamlined
Process Construction
Process (Cost
Reduction)
25-30% Materials • Large Amount of Waste • Minimal Waste
Generated • Wasteless Process
(Cost Reduction)
45-55% Labor • Labor Intensive • Mainly
Machineries (Cost
Reduction)
Print Our House. Print Our Future.

24. Monetary Cost
 Major Portion of Cost: Labor
 Efficiency of Human Labor < Efficiency of Machinery
 Human Errors > Machine Errors
 Streamlined Process  Shorter Construction Time Man
Hours Saved
 Not all processes can be replaced by machineries
Print Our House. Print Our Future.

25. Environment
Type Traditional Contour Crafting
Construction • Transportation of Materials • Minimal Construction Waste
Waste • Damaged materials need to • Optimal Allocation of
be replaced Resources
• Delivery of large quantities of • Optimal Use of Raw
materials require temporary Materials
storage, which adds on to the
waste generated
• CIRIA reported an estimated 72
million tonnes of construction
waste produced annually.
• Nature of Materials
• May not be easy to be
recycled or reused
• Plastic
• Plaster Board
• Asbestos

26. Environment
Type Traditional Contour Crafting
Water Pollution • Poisoning of Groundwater • Clean Construction
• Pollutants such as diesel, oil and pant • Materials are input into the 3D
can soak into the groundwater, a printer
source of human drinking water • Concrete is being printed out in a
• Much more difficult to treat than systematic and clean manner
surface water • Minimal silt and soil being produced
• Murky waterways or utilized
• Silt and soil runs into natural • Pollutants are minimized as
waterways construction is done cleanly,
• Restricts sunlight filtration reducing the need to wash the
• Destroys aquatic life structure after building it.
Air Pollution • Reduction of Air Quality • Air Quality Maintained or Improved
• Dust Particles • Clean Building
• Concrete, Cement, Wood, • Minimal Dust Particles
Stone, Silica • Reduced Use of Diesel Tractors and
• Health Problems Trucks
• Respiratory Illness • Minimal Health Problems
• Asthma • Improved Air Quality
• Bronchitis • Minimal Carbon Footprint
• Sources • Reduced Use of Diesel Tractors and
• Diesel engine exhausts of vehicles & Trucks
heavy equipment

27. Environment
Print Our House. Print Our Future.

28. Strength & Safety of Structure
 Normal structure: 3000-6000 psi (pounds per square inch)
 Contour structure: up to 10000 psi
 Hollow walls
 Does not compromise structural strength
 Save materials
 Good heat conduction characteristics
 Materials: Mix of composite fibres, concrete and other
materials not disclosed
Print Our House. Print Our Future.

29. Flexibility in Designing
 Allows mass market production for faster and cheaper construction
 Also, allow customizations of design: just need to make changes in the
computer programming & CAD
 Able to build various type of building with different configurations
Print Our House. Print Our Future.

30. Accessibility to Masses
 Can execute intricate architectural features without compromising on
safety
 Current linear support building: weak in strength
 Eg: Adobe structure in Iran: less known and need expertise known by few people
• Able to mimic pattern
• Accessible to mass public instead of select few
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31. PRINT-A-HOUSE, INC.
Target Market
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32. Opportunities in China Market
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33. Why China Construction Market?
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34. High Demand for Construction
 World’s Largest Construction Market (2010)
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35. Rapid Urbanization
Extracted from :http://www.rba.gov.au/publications/bulletin/2012/sep/3.html
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36. Specific Target Market Segment
PRINT-A-HOUSE, INC.
Which Construction Submarket in
China?
Commercial Residential Industrial
Low Rise Sub-Urban
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37. Why Low Rise Sub-Urban Residential Market?
 Migration of Rural Population to Sub Urban Towns
New suburban development in Shenyang, China
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38. Why Low Rise Sub-Urban Residential Market?
 Rising China Middle Class
Print Our House. Print Our Future.

39. Why Low Rise Sub-Urban Residential Market?
 Increase In Earning & Spending Power of China’s Middle Class
Print Our House. Print Our Future.

40. Low Rise Sub–Urban Market
 Low Rise (1-3 Stories) Buildings Due to Limitation of Current
Contour Crafting Technology
 Sub-Urban Huge Potential Growth for the Next 10 Years
 Strong Demand from Rapidly Growing Middle Class
 Growing Developer Presence in Sub- Urban Market
 Larger Land Areas for Low Density Building Developments
Print Our House. Print Our Future.

41. PRINT-A-HOUSE, INC.
Problems in China Market
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42. Problem With Quality
With Rapid Construction
 Article (13th Sept 2012):
Hutchison Whampoa boss Li Ka-shing
“Quality problems afflict Hutchison Whampoa's Guangzhou
apartments”
 Housing project Yicuiwan built by Hutchison Whampoa in the
Guangdong provincial capital was plagued by quality problems.
 A result of lax construction and substandard materials
 In 2005, the Beijing Yicuiyuan project also suffered Similar
problems.
 Persistent problem that still plague china’s construction sector all
over china
Print Our House. Print Our Future.

43. PRINT-A-HOUSE, INC.
Value Capture
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44. Value Capture
• Direct Sales
• Fee Based Machine Rental
Construction • Fee Services (Consultation &
Firms (Main) Maintenance)
• Fee Based Machine Rental
Households/DIY • Fee Services (Consultation &
Maintenance)
(Alternative)
Print Our House. Print Our Future.

45. Cross Subsidization Opportunity
• Cheaper Printer
• Charge for Maintenance &
Construction Servicing
Firms (Main) • Supplier of Raw Materials
Required
• Cheaper Printer Rental
Households/DIY • Charge for Consultation/Design
Cost
(Alternative) • Supplier of Raw Materials
Required
Print Our House. Print Our Future.

46. Our Customers
Mass Market, Upscale Residential Construction Companies
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47. Competition Analysis
 First Mover in On Site Automated Construction Technologies
 Main Competitors:
 Construction equipment manufacturing company
 Limited Extend
 Concrete Blocks Manufacturing Providers
 Direct competition
Construction equipment Concrete Block Manufacturing
manufacturing companies Providers
Print Our House. Print Our Future.

48. Difficulties for Market
Penetration
 Resistance to Change (High Switching Cost)
 For construction companies already investing in those
equipment (high sunk cost)
 Skeptical about New Technologies
 Consumers tend to be Less receptive about new, untested Products
 Complex Nature of China’s Construction Industry
 Relies on Good Network/Relationships
 High Corruption
Print Our House. Print Our Future.

49. PRINT-A-HOUSE, INC.
Scope of Activities
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50. Scope of Activities (Design)
 Vertical Disintegration
 Design Process: Traditionally, part of construction company
 Lower barrier of entry for individual/aspiring freelancers
 Opportunities:
 Designing of Dream Houses Operations
 Online Platform for House designs
Masses
Construction
Company
Design Engineering
Print Our House. Print Our Future.

51. Scope of Activities (Supply Chain)
 Change of Focus of Activities
 Focus of Supply Chain Management
 Managing Raw Materials instead of Human Resources
 Opportunities:
 Direct Control over Raw Materials
 Putting Human Capital Resources to Efficient Use
 Discontinuity Switching Flow
 Off Site Construction of Prefabricated Walls
 Mismatch of Prefabricated Parts
 Multiply Sub Contractors
Print Our House. Print Our Future.

52. PRINT-A-HOUSE, INC.
Strategic Control
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53. Strategic Control Analysis
Opportunities Threats
• Complex technology • Ignorance about existing techs +
- Possible discontinuity of conventional Resistance to new/unproven tech
manufacturing methods
- Lower costs (mainly labor) for construction • Cannot replace mass production at the
firms moment
- Enables small businesses and consumers
- Green • Emerging big shark competitors in
market (hostile takeover)
• Services - Better branding
- Combines design, social sharing, web - R&D funding
services, and physical products - Integral industry architecture
- Complementary assets
• Intellectual property protection e.g. patents,  Possible “shakeout”
copyright against imitation
• New entrants with similar technology
• CAD software strategy (standard)
• Government collaboration
• Disruptive technology • Protection of Chinese residential
• Revolutionize suburban residential market construction industry against
through streamlined of construction process foreign invasion
• Labor-intensive to knowledge-intensive

54. Appropriability Regime
 Protect first entrant advantage
 IP protection
 Copyright: DMCA 1998 on design
 Patent: Contour Crafting technology
 Standard CAD software
 Licensed (China-specific)
 Regulations in China
 Scale effects (spread of intricate CAD designs)
 Better control of complementary assets (the whole package) and
integral industry architecture
 Vertical integration
Print Our House. Print Our Future.

55. PRINT-A-HOUSE, INC.
Impact Analysis
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56. Impact Analysis
 Socio-political Impact:
 High level of Retrenchment in construction labor market
 BUT:
 Create jobs in a more knowledge-intensive workforce (designers, computer
programmers, engineers, etc.)
 Reduce corruption
 Economic Impact
 Rapid infrastructure development to support the fast growing economy
 Optimal utilization of raw materials, hence lower the costs for the
construction firms
 Environmental Impact
 Less pollution
 Less wastage: conservation of resources
Print Our House. Print Our Future.

57. PRINT-A-HOUSE, INC.
Conclusion
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58. Conclusions
 Outlook:
 Industry-wide use in 5-8 years time
 Few hundred thousand dollars per machine
 How Print-A-House can influence the future of construction
industry
 Shift from labor-intensive towards a more knowledge-intensive
construction industry
 A safer, cheaper, faster construction process
 Revolutionary advancement in the current construction
technology in our target market
 Though still hindered with limitation it has Huge Potential
Print Our House. Print Our Future.

59. PRINT-A-HOUSE, INC.
Thank you for your attention
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60. PRINT-A-HOUSE, INC.
Q&A
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