Digitalization as a key enabler for efficient value creation networks in the tool and die making industry

The tool and die making industry is one of the most important industries in the manufacturing sector due to its key role in the value chain between product development and mass production. In an increasingly global production environment the tool and die making industry in high wage countries faces margin losses as well as expanding competition from Eastern Europe and Asia. Successful tool and die making companies counter these challenges with global value creation networks. Differentiating factors of efficient value creation networks are the smooth integration into the process chain of product development and mass production as well as the use of sophisticated supplier structures for the manufacturing process. According to latest field research the practical execution of these differentiating factors is not sufficiently addressed by existing approaches for the coordination of value creation networks. However, digitalization offers a capable solution to manage interfaces between entities and reduce complexity of the coordination of value creation networks. A recent study by the Laboratory for Machine Tools and Production Engineering (WZL) at RWTH Aachen University and Capgemini Consulting examines the capability of digital instruments for IT-coordination of value creation networks. This paper defines the key digital instruments for the tool and die making industry as the result of the study.