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ABSTRACT: The Fourth Industrial Revolution integrates virtual and real-world production.
Additive manufacturing exemplifies this by 3D printing from virtual designs, gaining recognition
in Brazil. This study proposes 3D printing service locations. We follow a four-phase framework
by Chopra and Meindl for supply chain projects. Strategic planning covers the initial phases.
We analyze factors for the third phase. Goiânia, Brazil, with tax incentives and infrastructure, is
our case city. We assessed local infrastructure for 3D printing with Selective Laser Sintering. We
identified 16 potential locations for a future facility using mathematical programming.
KEYWORDS:Logistics network; Infrastructure planning; Facility Location;3D Printing
a maximum five keywords that reflect the subject of the paper (Body Text Indent, Times New
Roman, 11 points, italic, justify)
can hinder investments (de Souza Dutra, 2022).
Initiating such a venture strategically is complex,
1 INTRODUCTION and according to Chopra and Meindl (2016),
The introduction will contain the general deciding the optimal locations for 3D printing
aspects of the research, the objectives and the shops/industries represents a crucial strategic
methodology. The text style is Normal, written in choice. Supply Chain innovation and Total
Times New Roman font, 11 points, justified and Quality Management (Mehregan et al. (2023),
with a 5-mm indentation on the first line. information Techology (Alghofeli, 2023) and
Conner et al. (2014) define additive resilience management (Kovačić, 2023) positively
manufacturing, or 3D printing, as the layer-by- affects competitive advantage and firm
layer deposition of material for part production, performance. Chopra and Meindl (2016) propose
distinguishing it from subtractive, formative, and a four-phase framework for designing a supply
joining processes. Ferreira et al. (2020) link it to chain's physical network to aid in this process.
Industry 4.0, termed "Smart Grids" in the The framework has a top-down structure, ranging
electrical industry by de Souza Dutra (2023). CNI from strategic to operational decisions.
(2016) notes its growing significance in This paper aims to apply the third stage in
applications like toy production, the Chopra and Meindl framework to incorporate
dental/orthopedic prosthetics, and educational a additive manufacturing factory/store into its
tools. respective supply chain. Specifically, it focuses on
The Brazilian market holds promise for a case study that considers strategic decisions like
additive manufacturing's growth, even during product definition, market research, facility
economic crises, per Estadão (Dino, 2019) and layout, and production flow. The third phase of
Veja (Schlindwein, 2020). Schlindwein (2020) the framework suggests potential facility
predicts a 49% adoption rate of 3D printing in locations, emphasizing an analysis of
Brazil by 2022, with sectors like transportation infrastructure suitability and production methods.
(61%), chemicals and biotechnology (58%), oil Infrastructure encompasses
and gas (57%), and healthcare (53%) leading the interconnected systems and objects like
way. Dino (2019) adds that food, aerospace, and structures, infrastructure, machinery, and
fashion industries also contribute to additive amenities crucial in the context of economy, the
manufacturing's expansion. state, and its citizens (Nascimento et al., 2023).
Exploiting this growth, entrepreneurs may Production methods, as defined by Chopra and
aspire to venture into additive manufacturing. Meindl (2016), result from the combination of
Modernizing the procurement of machinery and machinery attributes and the skills of personnel in
equipment is indispensable for businesses (de executing production processes.
Souza Dutra, 2015), but insufficient information
This article aims to evaluate potential sites in illustration of these six supply chain structure
the Goiânia metropolitan area for a company in categories and their relationship to customization.
the additive manufacturing sector. It will focus on
assessing suitable production methods, required
infrastructure, and constraints set by the
organizational strategy to recommend potential
locations for 3D printing operations.
2 LITERATURE REVIEW
The text will be written with the normal style
with a 5-mm indent on the first line, single line
spacing. The font is Times New Roman, 11 pt.
Please do not add empty rows before of after
chapter titles, unless required (if the title is at the
bottom of the page).
As per Chopra and Meindl (2016), in phase Figure 1: Categorization of Processes Based on Customer
Engagement. Source: GOSLING et al. (2007) apud RYAN et
III of their framework, analyzing infrastructure al. (2017).
factors and production methods is essential to
fulfill the requirements of a potential location Figure 1 depicts a continuum of
suggested in this stage, which will then selected customization, with higher customization levels
by facility location algorithms (Ferreira, 2022). entailing increased customer involvement, even
A few of these elements pertain to the from the initial production or design stages. In
region's infrastructure facilities, which is this figure, ETO represents the highest
determined in earlier phases of the framework. customization level, while STS deals involving
These include factors like access to transportation more standardized products. The dividing line in
services for products distribution, closeness to Figure 1 illustrates the point where customer
harbors, air terminals, and roadways, access to influence begins.
telecommunication services, transportation for Sen et al. (2021) characterize these
employees, and the presence of existing or classifications as follows:
potential warehouse facilities. Other factors relate - Engineer-to-Order (ETO): Unique items
to production methods, such as employee skills, with demand fluctuations, specific inputs, and
workforce turnover, community receptivity to the long lead times.
facilities, and response times at the facilities. - Make-to-Order (MTO) / Buy-to-Order
Evaluating these factors is crucial to guarantee (BTO): Items utilize common raw materials, and
that the recommended sites align with both the customers have the option to specify their
business needs and the chosen production preferences with slightly shorter lead times
methods (Chopra and Meindl, 2016). compared to ETO.
Considering this, we will now discuss three - Assembly-to-Order (ATO): Components
critical aspects related to additive manufacturing are manufactured without customer specifications
operations, as outlined by Ryan et al. (2017): but are assembled according to customer
customer participation in the manufacturing preferences, offering shorter lead times.
process, facility allocation, and manufacturing - Make-to-Stock: Demand forecasts are
methods operations. crucial for determining inventory levels in
standardized product supply chains, with a focus
on reducing excess inventory.
2.1 Customer participation in the - Ship-to-Stock: Standardized products
manufacturing process are allocated to fixed destinations.
Ryan et al. (2017) classifies the extent of These categorizations can be applied not
customer participation in product manufacturing only to processes but also to consecutive supply
into six groups, based on the point in the supply chain operations. As an illustration, consider
chain where customization occurs. These Ikea's supply chain falls within the ATO category
categories apply to situations where (Ikea, 2022).
customization happens either in the ultimate Ryan et al. (2017) emphasize that a part
distribution stage (Stock-to-Ship (STS) or at the of additive manufacturing's primary advantages is
beginning of the manufacturing process its exceptional flexibility, capable of meeting each
(Engineer-to-Order - ETO). Figure 1 provides an customer's specific requirements. While 3D
printing technology finds successful application
within supply chains like MTO (SCOTT and For both Ryan et al. (2017) and Sá et al. (2022),
HARRISON, 2015) and even Make-to-Stock three types of production operations in 3D
(MTS) (EYERS et al., 2018), most of studies printing are recognized: a) Factory which
focus on ETO chains. Adopting a chain model encompasses high-volume production of
such as ETO inherently entails various production standardized products with specialized equipment
method characteristics, thus contributing to the and operators who are skilled and specialized in
definition of 'Production Methods,' an input its utilization; b) Job Shop, with low-volume
suggested by Chopra and Meindl (2016) in the production occurs using more expensive, high-
logistical network design process. quality equipment, typically operated by
Gosling and Naim (2009) propose that specialists; and c) Craft which is often operated by
Lean production aligns well with ETO supply the customer, for limited-scale production. For the
chains, emphasizing the production of only company case in this paper, Job Shop is
customer-demanded items. They argue that lean suggested.
effectively reduces waste, particularly related to
inventory management and overproduction. In 3 METHODOLOGY
addition, Lean may help with visualization
(Cordeiro Júnior, 2022). This Qualitative case study carried out
with the Brazilian small and medium-sized
2.1 Plant Distribution enterprise "PRO3D", employed data gathering
Ryan et al. (2017) highlights that methods such as observation, documentation,
literature considers that the spatial distribution of empirical research, and literature review. The
3D-printed parts manufacturing facilities presents study's primary focus is to assess elements
various potential configurations. These range outlined in the third stage in Chopra and Meindl's
from home consumers utilizing personal printers supply chain network design framework. The
for custom items to large nationwide factory objective is to mitigate investment hazards for the
operations. The distribution of these factories is firm as it ventures into offering additive
shaped due to various supply chain decisions manufacturing services for orthopedic and dental
spanning strategic, tactical, and operational prosthetics. This analysis centers on facilities and
levels. manufacturing techniques, as per Chopra and
The physical distribution of plants is Meindl's (2016) definition.
determined by the company's reach and strategy. To assess supplier availability, we first
A nationally reaching factory may have higher examined the enterprise's strategic plan for
logistics costs but can achieve economies of scale mentions of input suppliers required for a 3D
and offer competitively priced products. printing facility in the Goiânia metropolitan
Conversely, a nearby factory might incur reduced region. In cases where the plan lacked this
distribution expenses, and provide faster service information, we utilized Google Maps to identify
but could face higher production expenses, local 3D printing input suppliers in the Goiânia
affecting product prices. The choice of factory metropolitan area.
distribution mode (along with associated Regarding transportation services for the
production systems) also plays a role in defining product, we assess the suitability of transportation
'Production Methods,' aligning with Chopra and modes for both input materials and the final
Meindl's (2016) framework for devising a product by considering supplier and customer
logistical network. locations. We begin by identifying any unique
Sá et al. (2022) detailed three main transportation requirements for the raw materials
technologies and three types of additive and the final product. Then, we compile a list of
manufacturing operations. The writers found that vehicles that fulfill these requirements. Finally,
Stereolithography is particularly suitable for we verify the availability of such vehicles in the
prosthetics due to its lower resolution capability metropolitan area of Goiânia.
and reasonable material quality, which makes it Within this study, proximity to ports,
well-suited for highly detailed objects. airports, and highways is determined by
measuring the distance between the study region
and these transportation hubs utilizing the
distance calculation tool within "Google Maps".
Following this, a concise assessment will be
conducted to highlight the significance of being
close to ports, airports, and highways.
Assessing the enterprise's production potential customer locations, anticipated demand,
flow, we analyzed the required communication and the organization's network design type.
services for employees. Subsequently, we Prior to this work, we conducted a
investigated whether any communication strategic evaluation of the company using Phase I
companies provide these services and conducted a of Chopra and Meindl's (2011) supply network
price analysis for such services. framework. The assessment integrated data from
To assess transportation options for applied and literature research, emphasizing
workers, we checked the website of the company crucial business aspects and aligning theoretical
managing public transportation in the Goiânia strategic concepts with the real-life situations in
metropolitan region. Additionally, we examined the Goiânia metropolitan area.
the availability of warehouses, either built or The organization's items include
potential sites, through local real estate agencies orthopedic and dental prostheses, primarily
and virtual street visits using the "Google Street" intended for the public health system. Anticipated
tool within "Google Maps" in the Goiânia customers include medical testing facilities,
metropolitan area. clinics, and hospitals. Initially, we identified 12
Labor force turnover is the regular sub-areas with potential clients’, as depicted in
replacement of some workers through layoffs and Figure 2.
new hires within a specific timeframe, quantified
by the turnover rate or simply "turnover." We
estimated workforce turnover by reviewing the
literature and establishing a link between
turnover, as viewed by an Human Resource (HR)
consulting agency, and the competencies required
for the company's production processes.
In this paper, "community receptivity"
refers to how the community perceives the
establishment of a new company nearby. We will
utilize "Google Maps" to identify existing
Figure 2: Prospective clients. Source: Google Maps.
factories in the Goiânia metropolitan region and
Within these 12 sub-areas with
examine any available evaluations or opinions
prospective clients, Sá et al. (2022) estimated the
from residents and visitors to these locations to
total monthly requirements, as presented in Table
gauge community sentiment.
1.
Response time is defined as the sum of Table 1. Projected demand for each sub-area of potential
the delivery time from the input supplier and the customers.
printing process duration. To estimate this Prospective sub-area
Monthly requirements
measure, we carried out empirical research with (minimum, mode,
customers
maximum)
potential suppliers to ascertain their lead times
D1 (18,25,48)
and used competitors' data to approximate 3D D2 (15,20,24)
object printing times. D3 (31,35,42)
In this document, essential competencies D4 (15,22,30)
are described as the technical and interpersonal D5 (0,17,20)
D6 (5,40,81)
abilities required by employees to perform their
D7 (12,35,49)
roles effectively. We conducted an analysis of D8 (15,19,33)
production flow activities to identify the D9 (0,8,12)
knowledge needed for each task. Additionally, we D10 (10,30,66)
determined job profiles through consultations D11 (15,40,58)
with expertise HR firms. D12 (10,30,46)
Source: Sá et al. (2022).
Three 3D printer suppliers were
4 Results and discussion identified, which are listed in Table 2 and its
4.1 Strategic overview of the organization location shown in Figure 3. Notably, 3D printer
suppliers are situated in states other than the
This section offers a strategic overview of intended location for the 3D Printing Company.
the company in study, supporting the analyses Table 2. Assembled 3D printer factories.
conducted in this paper. We will provide brief Shop City
descriptions of the product, supplier locations,
3D Lab Betim
layout, production flow, production technologies,
3D Criar São Paulo
Florianópoli
FilipeFlop
s
-19.92 x -
Quanton3d 3 7 6
43.95
-19.88 x -
3D Fila 5
Figure 5: The Proposed Physical Network Model. 43.96