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Brooks Automation, Inc. Message Board

  • neworld02 neworld02 Apr 25, 2003 1:02 PM Flag

    Now Brooks is outsourcing to Solectron

    What are they doing following Asyst's lead to loss of control of their shareholders ROI. This message was posted more than two weeks ago. It is all comming true for Asyst. Is Brooks actually going to the same model?

    Solectron's Management has assurred Solectron's shareholders that Solectron will improve it's bottom line and profitability.

    SARS in Singapore? Now read this: Solectron and Asyst signed an agreement to make Solectron the sole electromechanical manufacturer for Asyst. Asyst said Monday the decision to transfer its U.S. production to Singapore through the outsourcing agreement would help it improve efficiency. Asyst's production from overseas locations will be shifted here quickly, it added.

    Fred Tiso, senior vice president for Asyst, said by April 70% of the company's worldwide revenue would come from the Singapore operations, jumping to 95% by the end of May. The State Department warns against even going to Singapore because of SARS.


    ASYST is now totally at Solectron's mercy. Will this be at the expense of ASYST's shareholders? Steve Schwartz thought he could play the highly leveraged Applied Materials outsourcing game with Solectron with no leverage at tiny ASYST.



    When there is not enough profit to go around, between two public companies, who gets the profits?
    1) Solectron who has 95% possession and control of the property and employees. Be it they are all sadly based in Singapore.
    or
    2)Steve Shwartz and his brain drained empty shell in Fremont? Possession is 9/10ths of the law. Always has been, always will be.

    Mr. Schwartz, if you want your products 95% built here in Singapore, and now that you have no options, we have a little price increase we are sure you can absorb somehow. Sorry Solectron's shareholders invested in Solectron to make them money, not, who are you? ASYST? well we can't do you any favors. Don't cry, it's not personal. This is hardcore business reality in a hardcore business world. Possession is 9/10ths, possession is 9/10ths, possession is 9/10ths, possession is 9/10ths...creepy huh.

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    • fool

    • Boy you really do know a lot about my computer. It is always the same side step the main issue and go off on a tangent to avoid that you would not win on the topic anyway. Have you ever thought of running for office, no don't the economy is screwed up enough. I have a good word for you try this. Ignoranus: A person who is both stupid and a Ass. Well I have to go and buff up my classic American car with the American Flag decal in the window now. I hope I do not get reprimanded for having it there after all this is America. Where you are free to have your own opinon no matter what it is. I always drive it in the parades each year. You know Veterans Day.


      God Bless the UNITED States of America

    • fool

    • My computer was manafactured in a company in Lexington, Mass. U.S.A. by American hands, in a building in America, with American parts. My first language is Japanise. Only because I had to learn it for the war. Oh by the way if you check the american car models you can find out just what plant they are made in this country what time, day, week, month, and year. Oh yea I forgot my other classic car it to is american and is almost 50 years old, I wonder how many Honda, Toyoto, and other imports there are that are still running even after 10 years. I am not saying that there is a fair amount of Quality in these imports but they learned it from us. Boy Henry Ford was one hell of a man.



      God Bless the United States of America

    • Hey Shureshot, I've got two questions:

      Are you comfortable with the amount of foreign content in your computer? If not, maybe you shouldn't use it.

      Is American English your first language? It is hard to tell from your postings.

    • <<All my hand tools are made here in athol Mass. you know the L.S. Starret Co. the standards that the world is measured on.>>

      I hate to disappoint you, but unless you bought them a long time ago, your made in USA hand tools may have been made in Scotland, England or Brazil.

      Manufacturing Facilities Worldwide

      Corporate Headquarters and Main Factory
      The L. S. Starrett Company
      121 Crescent Street
      Athol, MA 01 331 U.S.A.

      This 535,063 sq. ft. (49,709 sq. m) facility manufactures the complete line of precision tools and saw blades.

      Mount Airy, NC
      The L. S. Starrett Company
      1372 Boggs Drive, P.O. Box 1268
      Mount Airy, NC 27030-1268

      This 209,600 sq. ft. (19,472 sq. m) state-of-the art facility manufactures granite surface plates, coordinate measuring machines, vises, precision ground flat stock and band saw blades.

      Cleveland, OH
      The L. S. Starrett Company
      24500 Detroit Road
      Cleveland, OH 44145-2579

      This 47,700 sq. ft. (4,431 sq. m) facility manufactures gage blocks/standards, M-1 All Purpose Lubricant.

      Charleston, SC
      The L. S. Starrett Company
      6555 Fain St., Charleston, SC 29406-4909
      P.O. Box 40309, Charleston, SC 29423-0309

      This 165,000 sq. ft.� facility manufactures complete line of measuring tapes and other utility/hand tools.

      Alum Bank, PA
      The L. S. Starrett Company
      27 Industrial Lane
      Alum Bank, PA 15521-0028

      This 50,224 sq. ft. (4,666 sq. m) facility manufactures complete line of builders levels and tools.

      SCOTLAND
      The L. S. Starrett Company Ltd.
      Jedburgh TD8 6LR, Scotland

      This 189,000 sq. ft. (17,559 sq. m) facility manufactures and stocks full line of precision tools and saw blades.

      ENGLAND
      The L. S. Starrett Company Ltd.
      Snaygill Industrial Estate
      Skipton, North Yorkshire BD23 2QR, England

      This 16,000 sq. ft. (1 486 sq. m) facility manufactures complete line of optical measuring projectors and accessories.

      BRAZIL
      Starrett lnd(Ind�stria e Comb�rcio Ltda)
      Caixa Postal 171 13300-000-Itu, S.P., Brasil

      This 145,400 sq. ft. (13,508 sq. m) facility manufactures complete lines of precision tools, saw blades, tape measures, and hand tools.

    • Please I hope you all can forgive me for trying to support the work force in this country how narrow minded of me. Please keep on your track and just remember this period when they walk up to you and ask if you have a minute so they can walk you into their office and tell you due to the industry downturn we no longer need your services. But the people overseas are still working and not in the unemployed listing. They will realy thank you for buying their products and supporting their economy. Oh by the way I own three american cars, one american motorcycle, and one american boat with a american engine on it. All my hand tools are made here in athol Mass. you know the L.S. Starret Co. the standards that the world is measured on. And even they are now starting to be hurt with the influx of overseas tools. Sad is it not that a company as old as starret is being hurt due to price war. I will admit that it is very hard to find product made here but if you try hard enough you still can find them. Maybe in the near future you may not be able to then we will realy be in a pickel when they then jack the prices higher because we will no longer be able to manafacture in this country at all. So who is all this going to effect the child that was given 10 toys instead of 1 that is now grown up and trying to find a job well there is always burger king. Unless they will be own by a forign company. All for the almighty $$$. I wonder if all of our arm forces products are made overseas. Just think looking down at your rifle in a fox hole, and seeing made in one of the following countries Japan, India, China, ..... what would you be fighting for I thought for the U.S.A.



      God Bless the UNITED STATES of AMERICA

    • Sorry RoseB, that reply was to Sureshot, not you.

      Semi

    • Rose,

      Who do you think buys the robots and loadports that Brooks makes? Equipment OEMs. Who buys that equipment? Fabs. Where are the majority of the new fabs being built? Asia (even Intel is slowing and going more to an upgrade strategy for existing fabs). If the fabs were to use your logic, they wouldn't buy equipment from the US eqp OEMs, but from home-market OEMs only. Those OEMs would similarly buy robots only from their local suppliers. etc.

      Brooks and other U.S. based companies supplying to the Semiconductor industry would not have much of a market.

      If you haven't noticed, we are part of a global economy. Labor is one [significant] element of cost and it is a challenge for the U.S. labor market to be cost-competitive with certain Asian and Eastern European labor markets today. But, the U.S. continues to increase efficiency, so you can't even just compare labor rates directly. Fortunately, over time, these costs begin to normalize in a global economy. Just look at Taiwan costs vs. where they were 10 years ago. China high tech labor costs (IT, fab professionals, etc.) have quadrupled over the last couple of years. Japan used to be the low cost labor market 30 years ago, not so any longer. The law of supply and demand is a great equalizer.

      Just some food for thought -- protectionism and parochialism are not sustainable competitive barriers. Global markets tend to reward those that innovate on both the technology and operational efficiency fronts. If U.S. businesses, like Brooks, accept these realities and work to remain competitive, taking advantage of the global supply chain, then those business will not only survive, but thrive. Companies that rely on artificial protective barriers will never learn to innovate or become cost competitive and will struggle to remain viable.

      Semi

    • <<The Accord is assembled in America, not made. The difference is, assembled means just that, assembled, all the parts are "made" elsewhere, shipped "unassembled" to Ohio, then assembled.>>


      The actual situation is much more complicated then your simple statement.

      For a detailed discussion about domestic content for Hondas go to:

      http://www.umich.edu/~cibe/publications/97-05.pdf

      I don't think the workers in the Honda and Toyota plants would agree with you statement about not giving Americans jobs. Also, if you had done any research you would find that both Honda and Toyota have many Americans in senior executive positions.

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