An Optimization Model for the Design of Additive Manufacturing Supply Chains

Abstract

The continuous adoption of Additive Manufacturing (AM) can enhance Supply Chain’s (SC) effectiveness, adaptability and competitiveness. AM allows for a decentralized SC, bringing production centres nearer to customers, increasing products availability and decreasing inventory level and lead time. However, the integration of SC and AM brings difficulties, leading to the need of a completely new SC design. This paper proposes an optimization model supporting the design of spare parts SCs operating under a Make-To-Order (MTO) strategy. The proposed approach considers the decision of deploying productive resources (3D printers) in locations of a spare parts SC. The problem is represented as a combination of the p-median and location-allocation optimization models, which are solved using a Mixed Integer Linear Programming (MILP). The approach is tested in two scenarios from a real-world use case of an elevator maintenance service provider. Obtained results demonstrated the promising capabilities of the proposed approach for handling the new design challenges arising from the forthcoming widespread use of 3D printers in manufacturing SCs.