Powered by TMCnet
 
| More

Cable Technology Feature Article

July 25, 2008

Fujitsu to Expand Manufacturing Capacity in Texas

By Susan J. Campbell, TMCnet Contributing Editor


Fujitsu, a supplier of innovative optical and wireless networking solutions, has announced today that they are expanding manufacturing capacity at their Richardson, Texas headquarters.
 
The company is positioning this latest development as boosting the domestic economy as it is shifting key optical and electronic components from Europe and Japan to the U.S. In the process, 67 new professional and production jobs will be created in North Texas.
 
“In an environment where a majority of customer orders require delivery in under a week, and often within 24 hours, our manufacturing facility in Richardson is critical to our competitive advantage,” said Hans Roehrig, senior vice president of operations and manufacturing at Fujitsu Network Communications (News - Alert), in a Friday statement.
 
“Fujitsu is one of only a few major optical networking vendors that manufactures its own equipment in North America. By optimizing our in-sourced supply chain and implementing highly-regarded manufacturing philosophies, we are able to respond faster to rapidly changing customer requirements and deliver industry-leading product reliability.”

With this build-out, Fujitsu is transferring manufacturing of optical and electronic assemblies for its FLASHWAVE 4500 Multiservice Provisioning Platform (MSPP) and FLASHWAVE 7500 Re-configurable Optical Add/Drop Multiplexer (ROADM (News - Alert)) from Japan.

The Richardson location will also receive the transfer of the manufacturing of broadband and fiber access products from Europe. Hard disk drive logistics are also being consolidated from a third party vendor. This transfer process began in the first quarter of 2008 and is expected to be completed by the end of the year.

Fujitsu highlighted that one of the key objectives of this move was to improve its ability to respond to highly variable global demand. Pooling production capabilities in fewer places allows for the balance of peaks and troughs of demand to improve operating efficiency.

“The transfer of manufacturing requirements from Europe and Japan to Richardson is an affirmation of the success we have been able to achieve through a commitment to continuous improvement,” continued Roehrig. “Each year our employees implement more than 4,000 process improvements through our Kaizen reward program.”
 
“Most changes are small improvements, but the combined impact of thousands of small ideas delivers impressive results. We welcome the addition of new employees to our manufacturing team, and look forward to their fresh perspectives and contributions that will reinforce our manufacturing facility as second to none in our industry,” added Roehrig.

“Since helping to establish the Telecom Corridorbrand by locating their headquarters in Richardson in 1981, Fujitsu Network Communications has consistently demonstrated a commitment to our local economy,” said Steve Mitchell, mayor of Richardson, Texas, in Friday’s statement.
 
“Fujitsu was one of four founding members of the Metroplex Technology Business Council (MTBC (News - Alert)), the largest technology trade association in Texas and a leading advocate for Dallas/Fort Worth’s high-tech industry. The expansion of Fujitsu’s manufacturing operations in Richardson is the latest in a series of events solidifying our status as a leading center of technology research, design, and manufacturing in the U.S.”

Fujitsu is right in that the establishment of further manufacturing facilities in the United States not only helps to boost the local economy, it also helps to strengthen the consumers’ perception of the company and its role in domestic growth.

The company has recognized the benefits of moving foreign manufacturing back to U.S. soil and is capitalizing on the opportunities that such a move will help to create. For the local community of Richardson, Texas, this will mean more jobs and more tax dollars – a win/win for all.
 
Susan J. Campbell is a contributing editor for TMC (News - Alert) and has also written for eastbiz.com. To see more of her articles, please visit Susan J. Campbell’s columnist page.
 
Don’t forget to check out TMCnet’s White Paper Library, which provides a selection of in-depth information on relevant topics affecting the IP Communications industry. The library offers white papers, case studies and other documents which are free to registered users. Today’s featured white paper is ApplianX IP Gateway as a VoIP-Enabled Programmable Switch, brought to you by Aculab (News - Alert).