New Leadership at MuTracx

Estimated reading time: 14 minutes

de Geus: I see it becoming more environmentally friendly, having more processes which are digitized and more automation. Factories that are completely automated are a trend that will continue for a number of years, I think.

Matties: That's great. The circuit board industry is changing, and I agree that reshoring will drive the labor costs out with the use of more automation. It's really a recipe because Whelen, sitting here in the middle of New Hampshire, has proven that.  And more interestingly, this is a captive facility, which we haven't seen in many years.

de Geus: Perhaps that could be a trend also.

Matties: Yes, because in Whelen's case, they were spending $7 million a year in China on boards. It cost them $12 million to set up this facility. They brought all the work back to America and they reduced their cycle times from days to hours. They're creating jobs.

de Geus: They created higher-level jobs also. I was amazed by the fact that, as Alex Stepinski [PCB fab division manager at Whelen] showed us on the line, we had another project customer say that normally at such a line segment you could have 10–15 employees, all doing more lower-level labor activities. And now the whole line is basically run with one employee, who has more influence and higher education levels. I think higher quality-level jobs are generated in this kind of situation.

Matties: We've been here at Whelen for the last three days doing a cover story on them about cycle time reduction, because they’re not only producing circuit boards, but they've reduced their cycle time so substantially after all these processes. And while we've been here, another PCB shop’s managing director said he was impressed with the MuTracx system and is now planning to purchase one. He walked in. He saw it. Maybe a little disbelief in the beginning, but when he left, the handshake was done. I think this is where you're at: Seeing is believing.

de Geus: Looking at the factory with our product really in production is better than a lot of presentations. You can't compete with a working factory.

Matties: In the U.S. specifically, that's probably an important key target. You have, I think, a salesperson in Boston on the East Coast, but what about service? Do you have that in place now?

de Geus: We have one service engineer in the U.S. because it is an important target of ours. Our service organization will have to grow with the installed base, so we have to make sure that this is manageable and that we work with agents and distributors who can also play a role in the service ramp-up. In the end, these are all production facilities; time, robustness and a quick response from service is very important. If we go to an area, then of course we have to establish a footprint and support our customers.

Matties: I think you're at 50 panels per hour right now, and I’d guess you need to be at 250 per hour for China. How do you get there?

de Geus: Perhaps, going for systems with dual engines, as we call them. Combining, for instance, the core of two systems in one product is a way forward for this. We can reuse the components already created.

Matties: How fast do you think you'll get there? China is obviously the market.

de Geus: I think the first one-and-a-half years we'll be primarily focusing on the U.S. and Europe, and from 2017 onward we will begin with printing in Asia.

Matties: That will be excellent if you can do that. It's definitely going to be challenging. There's no doubt in my mind.

de Geus: In our region, in Eindhoven, a lot of equipment manufacturers want footprints in Asia because that's basically where the production is. We are, in our region, very capable of establishing a footprint in China or Taiwan or Korea. There are lots of examples in our vicinity of companies who do this, but the product has to be ready for it. You have to have good relations with distributors who can support you over there.

Matties: The other thing that you're going to be facing is increased competition by very well-established companies. How do you compete against something like that?

de Geus: I think, especially in the innerlayer and outer layer region, we have a rather unique position there and we have to innovate. MuTracx is a company that can’t allow itself to not innovate. A certain amount of our revenue will always be invested back into establishing new projects. We have ideas about in-line AOI, for example.

Basically, the MuTracx machine has an in-line AOI system that is superior in quality and we could use this module and have it somewhere else in the production line and provide in-line AOI capabilities.

Matties: And that would prevent repeatable errors, right? That is a big concern for many manufacturers.

de Geus: Absolutely. The way to move forward for such a high-tech company like MuTracx is to keep innovating. Keep your army in place. Look for the right business cases. Always, from now on, we will look for what our customers really want. What promise can we give with our technology? What are we good at? It's always good to have competition. It keeps us sharp. It motivates us. It gets the best out of us. If we were in a field where there was no competition then we would also fail to innovate at the right pace. I don't shy away from competition. It's always a good thing to have.

Matties: I agree. Congratulations on your success and I wish you continued success. You're inspiring the industry to continue to innovate.

de Geus: Thanks very much, and thank you for being at Whelen this week and providing graphic and filming material. It's been great.

Matties: Thank you.

• < Previous Page