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Axcelis Technologies, Inc. is a world- leading provider of equipment and services to the semiconductor manufacturing industry. For thirty five years, chipmakers from around the globe have relied on Axcelis' systems and process expertise to form the transistors that power all electronics - from smart phones and tablets, to laptops, personal music players and more.

Competition

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Page 1: Competition

Axcelis Technologies, Inc. is a world-leading provider of equipment and services to the

semiconductor manufacturing industry. For thirty five years, chipmakers from around the

globe have relied on Axcelis' systems and process expertise to form the transistors that power all electronics - from smart phones and tablets, to laptops, personal music players and

more.

Page 2: Competition

• Their equipment portfolio comprises a powerful suite of manufacturing technologies for ion implantation - one of the most critical and enabling steps in the IC manufacturing process.

• http://www.youtube.com/watch?NR=1&v=gBAKXvsaEiw&feature=endscreen

Page 3: Competition

• In addition, they provide extensive aftermarket service and support, including spare parts, equipment upgrades, maintenance services and customer training. Our customers include all of the 20 largest semiconductor manufacturers in the world. More than 3,000 of our products are in use worldwide.

Page 4: Competition

Competition

• The US Companies in our local area besides Axcelis include Applied Materials (Varian) and Ulvac.

• In other words there are job possibililities in the immediate area. These include business, sales, finance, as well as manufacturing.

Page 5: Competition

• These companies survive and prosper in the face of foreign competition because they utilize smart manufacturing techniques and innovation.

• This requires not only that their scientist are on top of their fields but their technicians and floor managers know what they are doing.

Page 6: Competition

• So How Do They Survive?

Page 7: Competition

• Strong improvements in U.S. manufacturing productivity and output since 1990 began with less capital-intensive TQM, Six Sigma, Kaizan strategies, but evolved into larger investments in automation which have been eliminating many routine jobs.

Page 8: Competition

• Most of the 5 million manufacturing workers displaced in the past decade had a high school education or less. Less than 40 percent of U.S. manufacturing employees today are engaged in actual production. New jobs will look different.

• “Investing in technology, equipment and automation” is the #1 way that U.S. manufacturers say they can increase their competitiveness.

Page 9: Competition

• As U.S. business leaders also discover the innovation advantage of locating manufacturing in closer proximity to R&D, it may unexpectedly add to any technology-driven U.S. manufacturing resurgence.

• Manufacturing is responsible for 69% of private R&D spending in the U.S. Recent studies show that this R&D is sometimes more effective when co-located with manufacturing.

• “We must rebuild the nation’s industrial commons – the collective R&D, engineering and manufacturing capabilities that sustain innovation.”

Page 10: Competition

• Manufacturing SMART:

• http://www.flixxy.com/boeing-737-time-lapse.htm

Page 11: Competition

•Where is the math?• Does it matter whether it is a

plane or an ion implanter?• Is it a place where you could

work and make a career?

Page 12: Competition

• Today Companies expect everyone to be a Contributor and to be Involved

• You will not find Jobs that pay well where you are merely a cog

•Machine parts are easily Replaced

Page 13: Competition

• So what is important and where does math come in:

• Algebra I• Geometry • Algebra II

Page 14: Competition

Algebra I

• How many Units should we manufacture and at what price?

• What should the marketing/sales department seek to charge and what should the manufacturing department make

Page 15: Competition

Algebra I Demand Function

• Suppose that the customers are price sensitive– That is they will buy less of your equipment the

higher the price.– Fortunately it is a linear function:– The units (u) demanded by the customers increase

as the price in thousands of dollars (p) decreases

P = -3.5 (u) + 80 where u< 20

Page 16: Competition

• The Units (u) that the manufacturing department is willing to supply is also a function of the price

• That is the higher the price in thousands the more that will be built (as the cost of making units increase after a certain minimum U (e.g. 4).

So: the Supply function is :P = 1.5 U – 1 once U > 4

Algebra I Supply Function

Page 17: Competition

Algebra I

• Thus the question is how many should the manufacturing department make and can the sales department sell at a price that justifies both equations (note that since you cannot make partial machines but can charge fractions of P which is in thousands of dollars) U must be rounded if necessary to a whole number and P can be rounded to what level?)

Page 18: Competition

Geometry• As seen in the video and the pictures of the manufacturing

process, efficiency is paramount. One way to ensure efficiency is to leave adequate room for employees to work while having appropriate equipment and tools close at hand.

• The constraints are that the work area is a rectangular space 10’ by 12” and the Unit frame is 6’ by 4’. The first, second, and third unit part trays have rectangular bases 3’x4.5’, 2.5’x5’ and 3’x4’. The first (used with the first and second part tray) and second unit tool tray (used with the second and third part tray) are cylindrical with radius 2’).

• (Continued Next slide)

Page 19: Competition

Geometry• Now, as seen in the pictures the outlines for the work area, the

unit frame, tool carts, and part carts are marked on the manufacturing floor.

• What is the total area used, what is the total area devoted to the unit frame, and what is the total area devoted for the carts.

• Only 45% of the work area can be occupied by the unit and all carts at any one time, please devise your most efficient manner for the placement and the removal and replacement of the carts so that movements are minimized while still maintaining 55% or above clear floor space during manufacture.

Page 20: Competition

Algebra II

• In Business, the revenue, cost and ultimately profit drive the sales department and the manufacturing departments of any business.

• That is a company tries to maximize revenues (the number of products sold x the price sold), and minimize the costs of doing business (the cost of making products, distribution of the product, the advertising and sales expense, and general overhead) to yield profit (revenue – costs)

Page 21: Competition

Algebra II• The profit as it relates to revenue can be stated as a

quadratic function where a is positive and the profit function as it relates to cost can also be stated a quadratic function were a is negative and X is the number of units sold or manufactured.

• Manufacturing too many units reduces the overall profit as it costs more to make each additional unit and because storage costs must be added, while manufacturing too few reduces the overall profit (lost revenue). Thus, the number of manufactured units manufactured and sold on an annual basis should be approximately equal (one year you may manufacture an portion to have it for next year).

Page 22: Competition

Algebra II

• Profit (P in thousands of dollars) as a function of units manufactured is P = -.5(x²) + 15x – 11.25

• Profit (P in thousands of dollars) as a function of units sold isP= .75(x²) - 6x + 8

What is the value of X when the Profit is equal Graph the functions and write a discussion of what

value(s) of X make the most sense.