Enabling SME to share production capacity across industry sectors using digital platforms

Theme Industry 4.0, Production planning
Project title Enabling SME to share production capacity across industry sectors using digital platforms (KapShare)
Project duration 01.12.2019 – 31.08.2021
Results
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Press release

A volatile, non-transparent market environment leads to load fluctuations in production capacity in the manufacturing sector, which are reflected in the over- or under-utilisation of machinery. According to studies, small and medium-sized enterprises (SMEs) expect increasing volatility, which is accompanied by an increase in the frequency of market and economic cycles. Due to their size, SMEs can hardly cope with these fluctuations.

The KapShare research projects aim is to compensate the capacity fluctuations in the manufacturing sector. To this end, SMEs should be enabled to exchange production capacities across industry sectors ("capacity sharing"). This will be done by using a digital platform that will enable companies to offer machine hours on the market (in case of under-utilisation of machines) and to purchase them when needed (in case of over-utilisation of machines or lack of specialisation of own machines).

Publications about the project

A volatile, non-transparent market environment leads to fluctuations in the load on production capacities in the manufacturing sector, which are reflected within production in the over- or underutilization of machines and persons. Small and midsized enterprises (SMEs) are expecting increasing volatility, which is accompanied by an increase in the frequency of market and economic cycles. For SMEs it is difficult to cope with these fluctuations. Capacity sharing platforms can be a solution for this challenge. Platforms are available in different forms, but not used by companies often, because of prevailing scepticism in different fields. Therefore, a methodology will be developed to provide a decision support for or against platform usage. Additionally, the platform type choice will be supported, and the changes of logistic and economic indicators will be considered. With this information companies can make a qualitative decision, and the existing inhibitions can be alleviated.

capacity sharing, decision support, supplier and consumer view, logistic and economic indicators

Development of a methodologically procedure to enable companies to trade their free or required capacities by using a digital platform. The cross-sectoral digitalization of the economy not only leads to the creation of innovative products and services, but also to a change in existing market logics. Digital platforms are increasingly being regarded as growth and innovation drivers of digital change [2]. By linking the sharing economy in form of capacity sharing with digital platforms, companies can sell or purchase their free or required capacities across companies and thus counteract negative consequences of under- or overloading (such as short-time work or overtime).

capacity sharing

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