Client is at cutting-edge R&D and innovation center, playing a pivotal role in advancing the future of Additive Manufacturing (AM) in the aerospace and automotive sectors. With a particular focus on Laser Powder Bed Fusion (LPBF) technology, client partners with leading OEMs to develop prototypes and conduct precision experiments that feed directly into flight-critical component production pipelines.
At the core of their mission is on-time delivery of experimental data and high-precision prototypes, with any delay directly impacting OEM trust, ongoing funding, and time-sensitive aerospace programmes like Project Falcon and advanced engine demonstrators.
Over the past 24 months, client had placed 15 Purchase Orders (POs) for Nickel Alloy 718 powder, the core input for LPBF processes. Data from these orders revealed that only 53% were delivered on time, while 13% were rejected entirely due to non-compliance with hazardous material regulations—both rejections occurring in just the last six months. One shipment alone introduced a 3-week halt in research operations, threatening key deliverables.
In early 2024, client faced a critical operational bottleneck: a 50 kg shipment of Nickel 718 powder was rejected at customs due to multiple hazardous materials compliance failures by Supplier (supplier identity confidential). These included:
Incorrect UN markings on packaging (4G instead of 1H2)
Missing Class 6.1 toxic subsidiary risk labels
Damage to the outer crate compromising label visibility
An inaccurate Emergency Response Code in the shipper’s declaration
Due to the flammable and toxic nature of nickel powder (UN Class 4.1), any non-compliance triggered regulatory red flags. Further complicating matters, Supplier lacked internal hazmat logistics capability and their repackaging process was severely delayed. Client’s logistics partner, also reported a 2–3 week backlog for certified hazmat freight, forcing the institute into an indefinite standstill.
Analysis exposed several systemic vulnerabilities:
Single-source dependency on a non-specialist hazmat supplier
Lack of buffer stock
Inadequate SOPs around hazmat material handling
Poor visibility into lead time volatility
The ripple effect jeopardized multi-million-pound research milestones and strategic OEM relationships.
Client partnered with AEM Consultancy to implement a fast but sustainable recovery strategy. The intervention was rooted in data-driven root cause analysis, regulatory compliance reinforcement, and supply chain restructuring.
Developed and enforced a Hazardous Materials Compliance Checklist for all incoming powder shipments
Revised SOPs covering:
Hazmat inspection protocols
Emergency sourcing and buffer stock management
Supplier qualification for hazardous materials
Internal LPBF lab handling and storage
Communication protocol for logistics disruption
Introduced a cross-functional hazmat training programme for Procurement, QC, Lab Technicians, and Scientists
Onboarded Secondary Supplier, who passed initial QC and compliance testing
Launched live inventory tracking and lead time dashboards
Instituted quarterly supplier review meetings
Implemented a 2-week safety stock policy, buffering against future disruptions
Notably, the average lead time for Nickel 718 powder had crept up to 32 days, with the latest rejected shipment projecting a >60-day delay. These insights were used to recalibrate ordering windows and stress-test alternative sourcing models.
Within 8 weeks of the intervention:
LPBF operations were fully restored
Secondary Supplier enabled a dual-source strategy, reducing dependency risk by 80%
2-week safety stock ensured zero disruption in the next production cycle
Prevented an estimated £50,000+ in project delay penalties
Avoided £12,000+ in expedited freight costs
Established a validated hazmat logistics framework for future material categories
The transformation not only stabilized production but also set client on a path toward long-term supply chain resilience and improved internal safety standards.
Want to build a more resilient, data-informed, and scalable operations system in your manufacturing or R&D organization? Please contact AEM Consultancy