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2012 Northwest Ohio Manufacturing Forum and Expo

2012 Northwest Ohio Manufacturing Forum and Expo. Re-Shoring America with Robotics and Flexible Automation. Who is MCRI. Robot Manufacturers. ABB FANUC Kuka Motoman. Adept DENSO Epson Kawasaki Nachi Okura Reis Staubli. Save Your Factory .

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2012 Northwest Ohio Manufacturing Forum and Expo

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  1. 2012Northwest Ohio Manufacturing Forum and Expo Re-Shoring America with Robotics and Flexible Automation

  2. Who is MCRI

  3. Robot Manufacturers ABB FANUC Kuka Motoman Adept DENSO Epson Kawasaki Nachi Okura Reis Staubli

  4. Save Your Factory • Manufacturing Paradigm – We need to off-shore to low-cost labor markets to be competative • Facing the challenge to re-shore • What steps can be taken to enable North American manufactures to be globally competitive

  5. Importance of Manufacturing in America • Leads in GDP Growth & Productivity • Leads in Innovation: • 70% of Total Private Sector R&D • 90% of Patents • U.S. Manufacturers have added 495,000 American jobs since 2010 • Workers earn pay and benefits about 17% higher than other workers • Backbone of Defense Industrial-Technology Base

  6. Why Invest in Robotics? Robots Create Jobs: "In world terms three to five million of jobs would not exist if automation and robotics had not been developed to enable cost effective production of millions of electronic products, from Phones to Playstations." - "Positive Impact of Industrial Robots on Employment" by MetraMartech November 2011 Robots Improve Work Conditions: robots carry out work in areas that would be unsafe for humans robots carry out work that would not be economically viable in a high wage economy robots carry out work that would be impossible for humans.

  7. Re-Shoring Paradigms • N.A. - Higher costs • - Labor - Healthcare • Legal - Tax Rates • Environmental laws Offshore - Low cost labor

  8. Traditional Cost Comparison • Start with the piece part cost for a domestic product • Compare this with the piece part cost for the same item in China or India (It will almost always be lower) • Add the cost of freight to get it to your customer

  9. Realistic Cost Comparison • Shipping • Inventory • Insurance • Quality • Travel • Vendor Selection • Infrastructure Risk • Material • Labor • Other

  10. Other Considerations • Legal Issues • Theft/Piracy • Cost of additional paperwork • Cost of employee morale • Cultural/Communication difficulties • Loss of manufacturing control and flexibility • Training costs • Lead Time, QC, Inventory • Underestimation of startup costs • Increasing labor costs once a vendor relationship is established • Cost of transition • Cost of layoffs and severance • Cost of inventory carry due to shipping • Cost of managing offshore • Cost of bringing a project back to the U.S.

  11. Using the North American Option The Real Long Term Winner? North America Offshore • Lean Manufacturing • Robots & Automation • Quality Programs • Just in time Inventory • Capitalize on culture, laws & standards

  12. Keys to Manufacturing Success • Manufacturing will go to the countries whose companies • Embrace automation • Use lean manufacturing processes • Reduce production costs while improving quality • North America is in the best position to win the race

  13. Case StudyRe-shore Packaging Operation • Considerations • Labor cost rising • Quality concerns • Damage during shipping • Inventory regulation • Changing packaging/product

  14. Case StudyRe-shore Packaging Operation • Challenges • Running multiple sku’s simultaneously • Floor space • Amount of equipment required • Available labor • Throughput • Varying product and production needs • Changing inventory • Maintenance • Ability to grow

  15. Case StudyRe-shore Packaging Operation Packing/lidding area • Challenges • Erect 3 sizes of case • Random sizes can be processed • Traffic control • Maintenance • Data acquisition

  16. Case Erecting Lidding Development

  17. Case Erecting Lidding Development

  18. Case Erecting Lidding Development

  19. Installed System

  20. Re-Shoring Results • Successes • Flexibility for scheduling • 2 operators for packaging • Future automation of RF sealing • Reduced inventory • Total inventory tracking • Data gathering • Remote diagnostics • Local support • Shipping cost • Damaged product • New product additions • Future efficiency • Reliability

  21. Questions and Contact Information Motion Controls Robotics, Inc. 1500 Walter Ave Fremont, Ohio 43420 www.motioncontrolsrobotics.com Tim Ellenberger VP (419) 334-5886

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