160615 Quickscan JLG (Stijn Verputten)

1. Logistical impact
of
Additive Manufacturing
on
after-sales service supply chains
A Quick scan at JLG Ground Support
Stijn Verputten, TU/e

2. Table of contents
1. JLG Industries
2. Ranking method
3. Promising parts

3. JLG Industries
• JLG is a $3 Billion global Company
• Part of $9 Billion Oshkosh Corporation
• Distributer of access equipment
• Work platforms
• Tele-handlers
• JLG Ground Support
• Aftermarket
• Operating all around the world
• Project done in Maasmechelen, Belgium

4. Benefits of Additive Manufacturing
Benefits1 for JLG Ground Support
• Simpler supply chain
• Shorter lead times  Lower inventories
• Small production batches
Company goal: Reduce inventory while maintaining a fill rate of 98%
Company goal in combination with AM benefits
• In our project we investigate how we can use AM to meet this goal
• We need to know which parts are eligible and what criteria they must meet
[1] Holmström, J., Partanen, J., Tuomi, J., & Walter, M. (2010). Rapid manufacturing in the spare parts supply chain: alternative approaches
to capacity deployment. Journal of Manufacturing Technology Management,21(6), 687-697.

5. Ranking method
• We follow Knofius’ framework as conducted at Fokker and
Royal Netherlands Army
• Ranking method made in 3 phases
Data Filtering
Spare Part
attributes
assortment
Data Scoring
Overall
Score
Phase 1 Phase 2 Phase 3 Result

6. Data Filtering
• Start with 74 882 parts
• Go/No-Go attributes
• Data unavailability
• 803 promising parts
ID Field Restriction Remaining parts
1 All parts JLG Ground
Support
74,882 parts
2 Superseded/obsolete =’(Blanks)’ 71,805 parts
3 Buy level =’buy level’ 17,064 parts
4 Sales 2007/2016
Yes/No
=’Yes’ 5,284 parts
5 Std price > 20€ 2,600 parts
6 Commodity code Min {irrelevant
keywords}
883 parts
7 Printable Material
type
Min {irrelevant
keywords}
868 parts
8 Total Size printable =1 853 parts
9 Printable Weight < 22 pounds 803 parts

7. Spare part attributes
• Determine spare part attributes
• Demand
• Lead time
• Cost
• Batch size/sales
• Inventory Turnover Rate(ITR)

8. Spare part attribute weight
19%
22%
19%
18%
22%
Demand Leadtime Batchsize
ITR Cost
• Analytical Hierarchy Process
• 5 Decision makers
• Pair-wise comparison

9. Data scoring
• All candidate parts receive a score from ‘0’ to ‘1’ for every
spare part attribute
• Normalize scores based on extreme values
• Linear scoring:
• Lead time
• Batch size/sale
• ITR
• Logarithmic scoring:
• cost
• Other scoring:
• Demand

10. Final results
Very promising parts:
• Parts with score >0.6
• 122 parts
0
50
100
150
200
250
0-0.1 0.1-0.2 0.2-0.3 0.3-0.4 0.4-0.5 0.5-0.6 0.6-0.7 0.7-0.8
1
34
88
177
220
161
89
33
Numberofparts
total scores
Total scores

11. Promising parts
• Manual check for the 50 best parts
• 4 parts are selected in collaboration with the
company.
• Based on: - Suitability to manufacture with AM
- Favorable for AM
- Kind of part

12. Stop, Lift cylinder
Specification:
• Material: Metal
• Size:
• Weight: 0,700 kg
• Lead time: 25 days
• Cost: € 30,63
• Demand: 2 a year
• Batch size/sales:12.50
• ITR: 0.08
0,190
0,0490,190
0,174
0,02
6
Total score:
0.629301
Score demand
score leadtime
score batchsize
score ITR
score Cost

13. Mount, Rear window latch
Specification:
• Material: A36 Steel
• Size: 52 mm
• Weight: 0,067 kg
• Lead time: 77 days
• Cost: € 34,04
• Demand: 1 a year
• Batch size/sales:1
• ITR: 0,14

14. Pin, Kingpin (1001130160)
Specification:
• Material: Metal (4150101).
• Size: 150 mm
• Weight: 0,400 kg
• Lead time: 59 days
• Cost: € 95,36
• Demand: 2 a year
• Batch size/sales:0,5
• ITR: 0,15

15. Valve, Heater water
Specification:
• Material: Metal
• Size: 106,0 mm
• Weight: 0,450 kg
• Lead time: 81 days
• Cost: € 106,41
• Demand: 0 a year
• Batch size/sales:1
• ITR: 0

16. Future steps
• Next steps with these parts are, with Westerweel’s model:
• Determine minimum Quality of the AM parts
• Determine maximum cost of the AM parts
• To determine definit Go/No-go for the selected parts

17. Conclusion

18. Questions?

19. Pin, Axle Pivot
Specification:
• Material: Metal (4150101)
• Size: 222,5 mm
• Lead time: 79 days
• Cost: € 21,72
• Demand: 2 a year
• Batch size/sales:5
• ITR: 1

20. Valve, Fly boom
Specification:
• Material:
• Size: 153,7 mm
• Lead time: 59 days
• Cost: € 150,60
• Demand: 0 a year
• Batch size/sales:5
• ITR: 0

21. Valve, Counterbalance
Specification:
• Material: Metal (4150421)
• Size: 134,8 mm
• Lead time: 111 days
• Cost: € 73,34
• Demand: 1 a year
• Batch size/sales:1
• ITR: 0,5