Ivaldi Introduces Part Replacement as a Service
Written by Joanna Carbajal
Ivaldi Group offers Parts Replacement as a Service (PRaaS), which is a breakthrough solution for digitizing and delivering physical parts. We are working with leading partners across maritime, offshore, and construction to deliver the Ivaldi PRaaS system, which reduces inventory, warehousing needs, delivery times, and cost of logistics by sending files – not parts.
Planning for future demand is never easy, and the current supply chains suffer several challenges. Core to most of these is that when parts are made in advance and stored until the end-user orders a spare, costs are incurred upfront, and parts aren’t where they ultimately need to be. Additionally, the cost of storage, transportation, and unsold items are all apparent flaws with this system. For every $1 of sales, U.S. retailers are currently sitting on about $1.43 in inventory – tying up some $1.1 trillion in cash in the U.S. alone.
Another issue involves the unavailability of obsolete spare parts, which we here at Ivaldi Group like to call “unobtainables.” Large and otherwise functioning systems are fully swapped because simple plastic and metal components are unavailable. Maersk estimates that a spare part at sea can cost as much as $5,000 to deliver. More frequently, spares shipped to port can typically cost as much as the original price of the part once all supply chain costs are factored in.
Ivaldi Group’s solution: Part Replacement as a Service [PRaaS]
In the traditional inventory-based model, an “unobtainable” broken clip on a $1,500 welding mask results in buying a completely new unit. With Ivaldi’s PRaaS solution, our customers can order a 3D printed plastic clip, printed-on-demand from one of our production centers located in the nearest port. As a result, the customer gets a 10¢ plastic clip delivered within 24 hours instead of having to buy an entirely new $1,500 mask that might take 3 to 4 weeks to be delivered.
Zero inventory can be achieved using Local Manufacturing Centers (LMCs). We believe these are the future of logistics. Instead of having physical inventory, Ivaldi Group offers a digital warehouse. With the Ivaldi Group solution, the customer selects their needed part from a virtual library of spare parts. Selected spare parts are then manufactured on-demand at the closest LMC. Local on-demand manufacturing can free up operating capital and reduce response times; it can also reduce production, warehousing, and transportation costs. Ivaldi is spearheading this development of local manufacturing centers. We are taking industry leadership as a technology partner with select partners in the construction, offshore, and maritime industries. You can read more about our latest partnerships here and here.
“LMCs aren’t just makers printing parts in their kitchen,” says Ivaldi Group CEO, Espen Sivertsen. He says, “A local manufacturing center will have stringent quality controls, standardized operating procedures, and last-mile delivery capabilities. Also, from a cost perspective, it really doesn’t make sense to have a hundred different LMCs for each OEM trying to supply a port or construction site. Rather, we see LMCs much like automatic teller machines – standardized, ubiquitous, and – crucially – connected via software into the current supply chain. Just like with credit cards, it is fully possible to compete on the customer, service packages and digital product levels while at the same time collaborating on physical production and last-mile delivery. After all: it’s easy to print a logo. As an aside, an interesting effect of local production is that the only imports than are raw materials. This means that cost-savings can be had by recycling local waste materials and returned parts into new on-demand goods. The Filabot system is a great example of what that might look like. In summary, I see recent developments in on-demand manufacturing empowering digital inventory and local manufacturing solutions. These will remove most of the current steps between the original equipment manufacturer and the end-users. It’s great for the planet and great for profit margins, and Ivaldi Group is leading the charge.”
To learn more, read “Local Manufacturing Centers are the Future of Logistics” by Espen Sivertsen, CEO of Ivaldi Group.
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