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Additive Manufacturing (AM) combined with subtractive methods such as machining, referred to as Hybrid-Manufacturing, has the ability to provide the discrete advantages belonging to each manufacturing process. Although metal AM parts are highly complex and customizable they often do not meet required dimensions and tolerances, and subtractive machining is required in order to post-process these parts by eliminating surface roughness. Subtractive machining alone is limited in regards to design, complexity and weight. Research shows that traditional shops have both interest in and excess capacity utilization to adopt AM to form an integrated hybrid-manufacturing supply chain. The hypothesis of this research is that, if strategically located, AM technology can integrate and streamline supply chains, connecting the AM supply chain with traditional machine shops and heat treatment centers for hybrid-manufacturing processes in both manufacturing and reverse logistics applications.In this research, the following investigations are presented, 1) Strategically locating AM hub centers based on existing machine shops in the United States in order to improve small and medium OEM accessibility to AM technology, 2) Strategically locating AM hub centers based upon both existing machine shops and heat treatment centers in the United States given that the majority of metal parts must go through some surface enhancement process, 3) Strategically locating AM repair technology based upon existing machine shops and aircraft engine maintenance and repair shops in order to utilize the benefits of AM to improve the reverse logistics process, and 4) Analyzing the competition and economic implications of traditional shops adopting AM technology to offer hybrid-manufacturing through a production economics approach. A series of facility location models and an economic duopoly model are developed in this research. The implications of integrating AM with traditional supply chain by strategically locating AM technology across the United States are derived with regards to geography, demand, fixed cost and transportation cost. Similarly, the economic model provides implications on being the first to adopt AM technology among competing firms with regards to product prices, quantities and profits. The results from each model are studied to support the widespread adoption of AM in the United States and to advance future applications of AM. |
