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FANUC Robotics America Sponsors 'Save Your Factory' Initiative - Robotize So There Are No Jobs To Send Overseas

ROCHESTER HILLS, Mich., Nov. 4, 2004 -- Global competition is driving North American manufacturers to improve productivity and efficiency. To maximize North American manufacturing competitiveness and halt the continued erosion of manufacturing jobs to low-wage countries such as China, FANUC Robotics America, Inc. (Rochester Hills, MI) announced the launch of a collaborative initiative called 'Save Your Factory'. 'Save Your Factory' urges North American manufacturing companies to recognize automation and robotics as a more cost effective and profitable alternative to moving manufacturing facilities off-shore.

"Innovation and automation that produces bottom-line results will mark the difference between life and death for manufacturers in the near future," says Rick Schneider, President and CEO of FANUC Robotics America, Inc. "Automation is absolutely critical now for North American manufacturers to be competitive in the world market because it helps companies reduce costs, increase quality and improve control of their manufacturing operations."

The pressure to automate is both global and relentless. Cutting costs, increasing productivity, and improving quality have been identified as the primary issues facing North American manufacturers in numerous studies and position papers. In automotive manufacturing, for example, where rebates and incentives cut deeply into profits, OEMs are challenging suppliers to up their competitiveness. At the 2004 Management Briefing Seminars, sponsored by the Center for Automotive Research (Ann Arbor, MI), Chrysler Group Chief Operating Officer Tom LaSorda said, "Now I ask our suppliers: As we become faster and more innovative, as we become more flexible, will you be fast enough to out- innovate us? If not, then you've got work to do."

Cutting costs is the primary benefit of robotic automation, according to Schneider. He cites an example provided by Lincoln Electric of manual welding, where direct labor and materials might cost North American manufacturers 84 cents per part versus 30 cents per part in China. "In this example, robotic welding can cut total delivered part costs for North American manufacturers to match off-shore costs, when recognizing the added burden of shipping and duties that apply to manufacturing in China. And, potential risks are reduced such as shipping delays and long-distance quality issues associated with off-shore manufacturing."

Joining the growing consortium for the 'Save Your Factory' initiative includes Automation Alley (Troy, MI), The Society of Manufacturing Engineers (Dearborn, MI), and several of FANUC Robotics key integration partners: The Lincoln Electric Company (Cleveland, OH), Genesis Systems Group (Davenport, IA), Automated Concepts (Warrenville, IL), and Robotic Production Technology (Auburn Hills, MI).

FANUC Robotics recently hosted Albert Frink, newly appointed assistant secretary of manufacturing and services for the U.S. Department of Commerce. Frink toured the FANUC Robotics America, Inc. facility to gain additional insight into key issues faced by Michigan's manufacturers. FANUC Robotics was selected for the tour based on its commitment to strengthening the manufacturing industry.

"Exports and low costs are critical to the U.S. automotive industry, which supports so many manufacturing jobs in Michigan and throughout America," said Frink. "This administration will continue to seek feedback from private sector manufacturers as we work to lower health care costs, eliminate frivolous lawsuits and remove trade barriers by countries that don't play by the rules."

For more information on the initiative, as well as resources that can help companies remain competitive visit http://www.saveyourfactory.com/ .

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