FUTURE MANUFACTURING FLAGSHIP

Future Manufacturing Trends – enabling technologies and innovation HVRF, Newcastle June 2014

Trends and realities for Australian manufacturing

Majority of

Australian

manufacturers

are relatively

small.

Most Australian

manufacturers

operate in low

to medium tech.

Operating in an

increasingly

high cost

environment

Some are heavily

export oriented

but majority rely

on domestic

market.

The world is changing

quickly, businesses

need to be prepared.

Do we know what

to prepare for?

Megatrends

A particularly

important pattern of

social, economic or

environmental

activity that occurs

at the intersection of

many trends

Virtually Here

Increased connectivity between people, institutions and devices

The silk highway

Rapid economic growth in Asia and the developing

world

Forever young

An ageing population, rising healthcare expenditure and changed retirement models

More from less

Increasing demand for l imited resources

Great expectations

Demand for experiences in l ight of income growth and choice

overloaded consumers

Going, going … gone?

A window of opportunity to save endangered plants, animals and

habitats

So how do these

megatrends affect me

and my business ?

`

Virtually Here

The silk highway

Forever young

Going, going … gone?

More from less

Great expectations

Consumers are expecting a

higher degree of personalisation in what they buy and experience

The opportunity and

challenge for businesses to customise offerings efficiently

• Understand and respond to consumer insights much more quickly that they can currently do;

• Personalise or customise products and services implying a need to increase capacity for innovative design and flexible production;

• Shift from mass production to mass customisation ?

• Shift from capturing value solely from producing and selling products to creating knowledge and selling experiences

• Understand that consumers and governments have increasingly high expectations on businesses manage - social license to operate.

An increasingly connected and networked world ...

Information Driven Manufacturing

Towards a

competitive,

productive

and sustainable

future for

manufacturing

Sustainability - License to operate, Sustainable products, Resource efficient

Speed and agility Responsiveness, Customisation, Speed to market

Scalability Low volume, reconfigurable, Scope vs scale

Smart - Materials and processes, Information systems, Design led

Services Solutions vs product, Moving up value chain

reSources Natural assets, Human capital

Supply chains Globally connected

The 7 “S” of Manufacturing

Products

Processes Services

MANUFACTURING Materials Sciences

Process Sciences

Information Sciences

Design

Manufacturing: what is it?

Design it yourself…

Consumers’ expectations

are being shaped by

their lives online.

Reducing unit cost from repetition – economies from scale

Mass production

Providing choice through diversity

and personalisation - Customisation

So what does mass

customisation mean for

manufacturers?

Electron Beam Melting (EBM)

Fused deposition Modelling

(FDM)

UV photopolymer

3D Printing

Additive manufacturing or 3D printing

Future Technologies ... 3D printing / additive manufacturing

• Can offer significant cost savings by using lower amounts of materials than traditional subtractive methods

• Ability to significantly shorten the time a product spends in the design cycle before it reaches the market.

• Capability to manufacture highly complex products that simply cannot be produced with a conventional method.

• Rapidly produce once off products without a large investment in tooling or moulding equipment

• Able to combine two or more simple parts, prior to assembly, into one large complex component.

To become more competitive however, companies need to understand • impact of cost versus benefit gained for every part that they make. • Develop an appropriate business models that can allow them to fully

exploit the advantages

Additive vs Subtractive Manufacturing

In comparison with traditional “subtractive” manufacturing methods in

which a block of finished material is machined down to make a product,

additive manufacturing methods are fast, use less energy, and generate

less waste material.

Additive manufacturing

Subtractive manufacturing

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CSI

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Personalisation of IT - Wearable Electronic, Mobile

Technologies & Consumerisation of IT and BYoT,

Screenless Display

Biotech Genomics & Medical Devices

Big Data and Analytics

Human Computer interface

Advanced Materials, Nanotechnolgies, Carbon Fibres

Composites & advanced materials

Harvesting value from waste & clean water

solutions

Clean energy & Energy Storage solutions including

smart buildings

New Production Processes - 3D printing, Apps,

Embedded systems, Smart Sensors, Flexible electronics

Cloud computing Services - the IoT & the Connected &

Collaborative economy

Technology trends

relevant to future

manufacturing

1

8

|

CSIRO: positive impact | Presentation title | Presenter name 1

9

|

Professor Sam Bucolo

Peter King

2

0

|

2

1

|

22 |

• New Workflows

• New Business Models • New Enterprises

• Cost Avoidance Strategies

• New Processes

• New Materials • New Production

• Cost Reduction Strategies

• Mass Customization

• Maximize Flexibility

• Focus on scope/value

• Mass Production

• Minimize Waste

• Focus on scale/ efficiency

Lean Agile

Information Driven

Manufacturing

Value Capture and Creation

Advanced Manufacturing

Value Capture

Future of Manufacturing

Great expectations

Virtu

ally He

re

Mo

re fro

m le

ss

Information Driven Manufacturing

information will flow

across all boundaries

within a factory, across

multiple processing

systems and multiple

enterprises ... including people

Industrial Internet Industrie 4.0

Future Technologies ... Network Enabled Manufacturing

AND ...

Booz and Co 2013 / 14 survey, that identified that “companies (that) made significant use of these digital enablers were 77 per cent more likely to report that they outperformed competitors than were those with low or moderate usage rates” BUT While 96 per cent of SMEs reported that they were online, only 19 per cent of those said that they had some form of digital business strategy.”

Summary

Megatrends and what they may mean to manufacturing Enabling technologies Innovation more broadly – design integration Information

Thank you CSIRO Future Manufacturing Flagship Dr Swee Mak

w www.csiro.au