WerkzeugTechnik

Technology – System – Logistic

ISSN Nr. 0997 - 6981

www.werkzeug-technik.com

15 February 2011Nr. 118

Technical magazine for cutting tools and measurement in the manufacturing

Dedication - Integration - Open SourceNew Rules in the Coating Industry (and in the progressive economy)

PREPRINT

1 Flexible dedication of products(to the application of your customer)

“The mass market is dead, replaced by

the mass of niches“ [1].

This surge was partly driven by in-

novative coaters, yet, first at all by the

users. They recognized that dedicated

coatings adapted to the application re-

sult in a much higher performance than

the universal ones (e.g. figure 2).

Furthermore, in the case of integrated

In-House-Coating, the dedicated coat-

ings provide new and efficient market-

ing opportunities. Nowadays the tool

geometries may be copied rather quickly,

coatings, however, much slower and

much more difficult. Therefore the mar-

keting argument, “Everything, cutting

material – geometry – coating, from one

Currently three new rulesbear on the market,

characterizing modernbranches of the world

economy:Dedication – Integration –

Open Source.These phenomena have been

changing the tool coatinglandscape more and more

progressively.

Dedication – Integration – Open Source

COATING

2 ● Werkzeug Technik 118 ● 15 February 2011

New Rules in the Coating Industry (and in progressive economics)

T. Cselle - PLATIT AG, Selzach, Schweiz

Figure 1: Number of available

coatings in the tool market in during

the last three decades.

During the first two decades (1980-

2000) of coated cutting tools the dedi-

cation of coatings to the applications’

requirements was not really possible

due to the limited flexibility of the coat-

ing units, and was not wanted either.

The big job coaters and the even bigger

tool manufacturers limited the choices to

some standard coatings, and they “dis-

tributed” them for a wide range of ap-

plications. This situation was perfect for

mass production. Bulk quantities of tools

were coated in big chambers, and sold

at high profit margins. The picture

changed with the appearance of flexible

small and medium size coating units (at

the beginning of the 2000-ies). The num-

ber of the available coatings exploded on

the market (figure 1).

Enabling customers to collaborate

with you – in creating, distributing,

marketing, and supporting products –

is what creates a premium in today’s

market“ [1].

Job coating was very profitable, there-

fore more and more companies crowded

to the market. Naturally the most of

them are not interested in depositing

many, different, “dedicated” coatings.

They have to fill their large volume

units, and therefore they have to coat the

most divers tools and other substrates

with a least possible number of differing

coatings.

The job coating prices have continu-

ously fallen due to increased competi-

tion. Contracted volumes have been di-

minished as former customers of job

coating have changed into the harbor

of In-House-Coating. The job coaters

have had to accept their profits being

cut.

COATING

3 ● Werkzeug Technik 118 ● February 2011

Figure 2: Hobbing with

conventionally and dedicatedly

coated tools.

Figure 3: The two different

basic procedures of tool coating.

The own, integrated In-House-Coat-

ing used to be a privilege of big tool

manufacturers for a long time. All the

others were serviced by the distribution

networks of the initially few job coaters

(figure 3).

dedicated hand” is particularly obvious

and useful.

Intermediate conclusion

to “dedication“:

The trend towards plenty of niche

coatings is so evident, that you tend to

generate a Moore’s law for coatings...

2 Integration of new technologies(into the manufacturing process of your customer)

“We have shifted from an economy based

on scarcity to one based on abundance. The

control of products or distribution will no

longer guaranty a premium and a profit.

COATING

6 ● Werkzeug Technik 118 ● 15 February 2011

Figure 4: What is important for the users

of coatings? The 10 most important criteria.

Importance: rising from 0 to 5 –

IHC: In-House Coating.

What is innovation? Innovation is“having created something new”. Thisterm, unspecificly used, applies to newideas, inventions, and their economicalimplementation.

The most innovative sector at the mo-ment is undoubtedly the IT industry. Itis launching new products at a veryrapid pace. Two companies, whose com-pany policies couldn’t be more different,are currently battling for leadership inthe sector [4].

• The one works within a closely knit hierarchy, under strict, central guide-lines and controls, applying a high-end pricing policy for hardware andsoftware.

• The other focuses on openness, self-motivation and free of charge services.

This situation is very similar to thetool-coating market. The market lea-ders have been focused on job coatingservices disclose hardly any informa-tion as to their coatings:

• They remain silent regarding compo-sition and coating structures,

• The physical properties are only de-scribed in terms of standard values

• When selling a coating plant,

– the coatings are frozen and cannot be modified by the user,

– whereby the formulas represent asignificant cost item.

The TripleCoatings3® [6] of PLATITare – in terms of Open Source Philoso-phy – in stark contrast to this:

• The compositions and stoichiometries

(coating structure) are disclosed

(figure 5)

• The effects of the individual “compo-

nents and doping elements“ are

described in details.

• Apart from coating compositions,

cathode configurations that are used

for manufacturing the respective coat-

ings are disclosed as well.

• The users receive measurement values

and diagrams on the coatings they

are using.

• The coating recipes may be modi-

fied/adapted by the users (according

to the motto of Open Source principle:

Everyone knows what’s best for him-

self).

• The standard recipes of the Nanocom-

positeTripleCoatings3® are “core com-

ponents“ of the PLATIT plants, and

are thus free of charge for the users.

• The members of the TripleCoatings3®

- coating family are tesserae (Lego

bricks), that have been developed sys-

tematically, as Open Source. Figure 6

represents the current state (Jan/2011).

Open Sourcing does not mean the

supplier opens all his secrets to his cus-

tomers - the algorithm of the system

software or the internal design of a coat-

ing cathode. However it means he sup-

plies complete turnkey systems [7] en-

abling the customer to create new

products (e.g. new dedicated coatings,

and this with or without the supplier’s

help).

PLATIT starts the Open Source activities

not from grace of charity, but;

• In the interest of the rapid spreading

of the TripleCoatings3®all over the

world.

Of course they have tried to com-

pensate their losses by means of ratio-

nalization measures, first of all by im-

proved distribution of the coated tools,

by optimized logistics; pick-up service,

loading and washing by the customer

etc.

These measures have surly been use-

ful, but have not been able to undo the

advantages of integrated In-House-Coat-

ing. This has been illustrated by the ex-

tensive L.E.K study [3]. This research

analyzed amongst others the issue of,

what is important for the users of coat-

ings. Without exception all of the 10

most important criteria favor In-House-

Coating (figure 4).

Over the last 5 years there has been a

clear trend; sophisticated customers of

job coating wants to take over control

into own hands. The job coating market

grows in the low-tech area only, where

the quantity is more important than the

quality, hence mainly in China.

Intermediate conclusion to “Integration“ :

Hand over control to your customers

– or you will lose them! [1]

3 Open sourcing your know

how (to share it with your

customer)

“Owning pipelines, people, products,

or even intellectual properties is no

longer the key of success. Openness is “

[1].

7 ● Werkzeug Technik 118 ● 15 February 2011

• Therefore users should not hesitate to

use these High-Tech coatings. They

should not waste time and perfor-

mance by sticking to conventional

coatings, like TiN & AlTiN & Co.

Intermediate conclusion to Open Source:

“In the course of 40 years, I have not

yet seen that closed systems have held

their own against open systems“, states

the famous Swiss supporter of Open Sour-

cing, the Logitech-founder, Daniel Borel [5].

4 Summary

Nowadays the progressive economy

(the coating industry is being part of it

without doubt) can be characterized by

3 new rules:

• Tailored dedication of the products

to their application,

• Direct integration of new technolo-

gies (e.g. coating) into the manufac-

turing process, so far outsourced to

job coaters and,

• Full openness to transfer the know-

how of the new technology to the

user.

References:

[1] B u z z M a c h i n e b y J e f f J a r v i s ;

www.buzzmachine.com

[2] Volz, P.: Application Optimized Coa-

ting, Werkstatt und Betrieb, Hanser

Verlag, München, 06/2010, p.23-25.

[3] Thin-Film Coating Market – L.E.K.

Consulting GmbH, München, 2007.

COATING

Figure 6: TripleCoatings3® - The

Open Source Coating Family.

Figure 5: Stoichiometry of a TripleCoating,

and the required cathode configuration.

[4] Kowalsky, M.: Battle of Worlds –

Apple vs. Google – Bilanz, Springer,

Zürich, August/2010.

[5] Real Open Source;

www.zwahlendesign.ch

[6] Cselle, T., Morstein, M., Lümkemann,

A.: TripleCoatings3® - The Open

Source Coating Family, Werkzeug-

Technik 115, Boulogne, Sept/2010.

[7] Compendium 2011 - PLATIT-catalog

and web site: www.platit.com

(11810-100)