What is the secret of Foxconn's success? Foxconn CEO - Guo Taiming once summed up the key points of Foxconn's success: four talents, three-stream management, second-rate equipment, first-class customers, that is, to find large customers such as Apple, Finland and Nokia, and to use China's low-cost and diligent labor production. However, this successful model may come to an end, because domestic workers are no longer workers who can be arbitrarily squeezed.
In recent years, along with the rapid development of Foxconn, the drawbacks of this successful model of crushing cheap labor and achieving huge economic benefits have gradually been exposed. For example, the 12 consecutive employee jumps in 2010 and the 13 young employees of Shenzhen Foxconn suffered from leukemia, which are related to Foxconn's strict militarization management and overtime work. In addition, the “factory girl†and the employee fight have always been a phenomenon that cannot be eradicated within the factory.
In addition to problems inside the factory, Foxconn is now experiencing a big problem now, that is, the increase in labor costs caused by labor difficulties and labor shortages, especially in China's coastal areas, such as Shenzhen. In 2012, the labor costs (including social security fees, etc.) of employees in the Shenzhen factory were $6,653 per person, an increase of 70% over 2008. Faced with rising labor costs in the coastal areas, Foxconn, the global electronics OEM, is gradually shifting its production line to the mainland. Chongqing, Chengdu, Zhengzhou and Guizhou were successively matched by Foxconn.
Even so, Foxconn's lack of labor has not been resolved. Guo Taiming said that more and more Chinese young people are reluctant to engage in monotonous and low-paying assembly line work, making it difficult for Foxconn to attract a sufficient number of workers. The old development model has not been able to meet the development of enterprises. To achieve new breakthroughs, we must seek new development models.
Another way to solve the labor problem is to increase the degree of automation and let the robot replace the labor. Guo Taiming publicly stated in 2011 that Foxconn will assemble 1 million robotic arms in 2014 and complete the first batch of automated factories within 5 to 10 years. This is the so-called “Million Robot Projectâ€. However, Foxconn's progress in propelling robots is not as smooth as Guo Taiming expected. The robots developed by Foxconn still have many problems to be solved. The instability and accuracy of the robots are lacking. Many complicated processes, such as polishing the metal casing of the iPhone, still require manual operation.
However, even if the "Million Robots" program was frustrated, Foxconn faced increasing human and production costs and did not give up its efforts in the direction of industrial production automation.
Due to the rising labor costs in the mainland and the lack of high-end technical talents, Foxconn invested 40 million US dollars (about 250 million yuan) to build machine tool automation production plants and a robot research and development center in the United States, mainly engaged in the manufacture of high-end smartphones and tablets. Support the pace of enterprise automation transformation in the future.
In 2015, in order to accelerate the transformation of enterprise automation, Guo Taiming announced at the annual conference that Foxconn will achieve 30% automation in 2020. In addition, Foxconn is also preparing to sell its self-developed robot Foxbot to other manufacturers in the mainland.
Dai Jiapeng, general manager of the Foxconn Automation Technology Development Committee, said that the company's Chinese plant, including its factory in Shenzhen, has 50,000 operational industrial robots and hundreds of thousands of automated equipment. He said the company plans to add at least 10,000 robots to its Chinese plant in the next year. However, so far, the goal of Guo Taiming’s “Million Robot Project†set up in 2011 has not been fully realized.
At the beginning of this year, Guo Taiming said that Foxconn will continue to increase investment in robotics. The team led by Dai Jiapeng will focus on how to further strengthen the automation of the assembly line, which is what most manufacturers need. At the same time, Foxconn is also closely watching any technological breakthroughs in the automated assembly of the electronics manufacturing industry.
Hong Kong's "South China Morning Post" reported that Foxconn and Alibaba, respectively, invested 20% of Japan's Softbank's robot subsidiary, and in late June, launched the world's first robot "Pepper" that can understand human emotions. Softbank said at a press conference that the company will work with Alibaba and Foxconn to build a framework to jointly promote and expand the robotics industry worldwide.
Foxconn's road to automated exploration is not smooth, but as the world's largest foundry, its efforts in automated exploration have also sounded the horn of "machine substitution" for many companies. Some experts predict that the industrial robot market will be broad in the next decade, and the "machine substitution" will go deep into all walks of life. Therefore, the transformation of automation should be the goal of many enterprises.
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