A techno-economic assessment of centralized vs. distributed aerospace manufacturing systems

Abstract

This thesis provides a comprehensive techno-economic assessment comparing centralized and distributed aerospace manufacturing systems, with a focus on the use of additive manufacturing (AM) for producing turbine blades in aircraft engines. The study reveals that centralized manufacturing results in a higher cost per part at $463.97, largely due to logistics expenses, but offers greater financial stability with a positive NPV of $5 million. On the other hand, distributed manufacturing achieves a lower cost per part at $334.60 by eliminating logistics costs. Initially, this approach showed a negative NPV; however, after price adjustments, the distributed system could reach a significantly higher NPV of $38 million. Despite these cost benefits, distributed manufacturing carries higher financial risks due to its sensitivity to material cost fluctuations. These findings highlight the trade-offs between the operational stability of centralized systems and the potential cost efficiency of distributed systems when leveraging AM technology