Operation Management
Flextronics is a world-class electronic manufacturing service provider (EMS) committed to providing innovative design and manufacturing services to automotive, defense industry manufacturing, medical and technology companies. Total revenue in fiscal 2006 reached $15.3 billion. Flextronics provides customers with electronic product design, construction, transportation and maintenance services through its network of factory facilities in more than 30 countries on five continents. This global scale provides customers with complete design, engineering, and core electronic manufacturing and logistics services. After vertically integrating components, it optimizes customers' operations by reducing customer costs and shortening product time to market. . Screenshot of Flextronics website
Market-focused leadership and management
In order to achieve revenue growth goals, Flextronics activated organizational reengineering and divided the company into different business units oriented towards market segmentation. , to create more value and innovation for our customers, enhance our competitiveness, and increase market share. This orientation provides OEM customers with economies of scale in centralized core services such as manufacturing, procurement, logistics and information technology, as well as customized, market-specific capabilities including design, manufacturing, logistics considerations and original design manufacturing (ODM) services. . In addition, these market-customized services also respond to the needs of OEM customers in different industries, vertically integrating our cost-effective component solutions and providing emphasizing the uniqueness of product design, manufacturing, and special logistics considerations. Through such a market-focused leadership and management strategy, Flextronics can respond to market conditions in real time and make quick and flexible decisions.
End-to-end solutions
As a world-class EMS provider, Flextronics provides a full range of supply chain services around the world to simplify the global product development process and help Our customers significantly reduce product development time and achieve cost reductions. Our vertically integrated services provide customers with a complete set of design, manufacturing and logistics solutions that run through all aspects of the product from initial design, mass production, testing, distribution to after-sales service and support. Through the integration of design, construction and transportation services, we help us provide complete finished products to OEM customers and end consumers.
Comprehensive design and engineering capabilities
Flextronics has industry-leading global design service capabilities, with more than 6,000 product design engineers, and can provide global Our design services, products and solutions fully meet a variety of customer needs, covering areas including integrated circuit design, component and software development, as well as testing and engineering services. Global Deployment
In order to serve the increasing outsourcing needs of multinational and regional OEM companies, Flextronics has established extensive design, manufacturing and logistics facilities in major electronics markets around the world (Americas, Asia and Europe) network. Our network of manufacturing facilities in more than 30 countries around the world allows us to flexibly select suitable factory locations to implement customer projects based on customer requirements.
High-cost component solutions
Flextronics can provide OEM and ODM (original design manufacturer) customers with the design and manufacturing services of accessory components, including camera components, antennas, radio frequency ( RF) components and thin film transistor (TFT) displays, etc. By leveraging our world-class technology, low-cost manufacturing processes, and vertical integration strategy that incorporates precision plastic parts and lens production capabilities, Flextronics can provide customers in the mobile communications market with market-leading, high-quality products.
Low-Cost Manufacturing Services
We are the global industry leader in low-cost manufacturing capabilities. With our investments in production facilities in low-cost regions around the world, we can create the lowest manufacturing costs for our customers. Our manufacturing facilities located in low-cost regions are primarily located in Mexico, Brazil, Poland, Hungary, China, Malaysia and other parts of Asia. As an important part of our low-cost production strategy, we have also established multiple fully integrated, high-volume production industrial parks in Brazil, China, Hungary, Mexico and Poland. These campuses provide comprehensive supply chain management by concentrating manufacturing and logistics operations and suppliers into a single, low-cost location.
This strategy not only increases our customers' flexibility, reduces distribution barriers, shortens turnaround times, but also reduces transportation and overall product costs.
Advanced supply chain management
Flextronics is a leading company in global procurement, with component procurement exceeding US$14 billion in fiscal year 2005. As a result, we are able to leverage our extensive global supplier relationships to gain competitive pricing and supply chain flexibility for our OEM customers.
Long-term and stable customer relationships
Flextronics firmly believes that long-term and stable customer relationships are the cornerstone of our success and a basic requirement to maintain continued growth and profitability in the industry. In order to continuously meet the ever-changing needs of OEM customers, Flextronics is committed to providing world-class integrated solutions, thereby establishing the upper-level quality and service standards in the industry.
Flexible business contract form
Flextronics’ contract design and related engineering services widely cover all aspects of product design, including industrial, user interface and mechanical design, hardware design, Embedded and application software development, printed circuit board (PCB) design, semiconductor design, system certification, and test development, etc., carry out a variety of complete product development, system integration, cost reduction, software design and application for customers to choose from Program development and other services. Through the combination of multiple design and manufacturing businesses, Flextronics can provide ODM (original design manufacturing) solutions for OEM customers to sell mobile phones and other consumer electronics products under their own brands. The company also provides contract design services to meet a variety of customer design needs. (People's Daily Online)
Information Technology Strategy and Implementation
Today's increasingly competitive global market requires IT technology not only for convenience, but also for higher centralization. and standardization requirements, which are key elements to ensure the success of our customers' businesses. By combining centralized applications and standardized manufacturing processes, Flextronics can provide customers around the world with consistent, high-quality products while reducing product costs and accelerating global product launches. Flextronics can provide consistent business services to the company's customers around the world, continuously enhance the visibility of its expanding supply chain, and respond quickly to information provided by advanced ERP (enterprise resource planning) applications and business analysis tools. . Flextronics not only attaches great importance to heavy investment in IT technology, but its global management team can also make full use of the company's worldwide IT expertise, so that customers can rely on a complete set of IT technology capabilities to obtain substantial business profits. Social Responsibility
Flextronics' corporate social responsibility practices cover a wide range of fields, and mainly focus on disaster relief, medical assistance, education, environmental protection, occupational health and safety, and community support activities around the world. Flextronics continues to increase its support and investment in the global community through various forms such as special grants, financial donations, volunteer actions, support projects, and resource donations. Flextronics' social responsibility mission is to adhere to the highest ethical practice standards for our customers, suppliers, partners, employees, communities and investors, and to provide a safe and excellent working environment for our employees, thereby contributing to the global society and the international environment Make a positive contribution.
Environmental, Health and Safety Policy
Flextronics recognizes its responsibilities and obligations as a corporate citizen. The company ensures through its environment, health and safety (EHS) management mechanism that:
The company will take necessary measures to provide a safe and healthy workplace for its employees; and by implementing appropriate management practices and technologies to protect the environment, save energy and natural resources, and prevent environmental pollution and employee work-related injuries;
The company will monitor and measure its implementation, and ensure that its operating facilities around the world are maintained and strictly comply with local regulations. Relevant regulations and policies to maintain the company's image as a responsible corporate citizen;
The company will regularly evaluate its operating methods and procedures to cope with the changing environment and continuously improve the company's performance;
The company will make its employees, suppliers, customers and the public aware of this policy;
The company will promote and cultivate a culture that allows its employees, management and business partners to cooperate with each other,** *Work together for environmental protection, health and safety.
Environmental Protection Directives
In January 2003, the European Union (EU) passed two environmental protection directives, RoHS and WEEE, to protect human health and ensure that electrical and electronic products are recycled and discarded. Does not harm the environment.
The RoHS environmental directive represents the restriction of the use of hazardous substances and prohibits the use of lead, mercury, cadmium, hexavalent chromium, polybiphenyls (PBBs), and polybrominated ethers (PBDEs) in electronic products. This measure came into effect in July 2006.
The WEEE environmental directive targets electronic waste and discarded electrical appliances, focusing on the recycling of electronic products. Since August 13, 2005, manufacturers must collect, process, recycle, and collect electronic products for their own production. All WEEE-specified projects such as repairs will be budgeted for disposal.
The two directives RoHS and WEEE have significantly affected the product design of electrical and electronic product manufacturers. Flextronics' policies are as follows:
Take proactive actions to ensure that Flextronics clearly fulfills its legal responsibilities as a company.
Ensure we can appropriately support Flextronics’ customer needs.
Understand the opportunities where these directives can enhance our competitiveness.
Execute instructions in the most cost-effective manner.
Leader in environmental protection
Flextronics colleagues have many years of experience in green manufacturing and recycling products. For example, Flextronics' lead-free soldering process has been implemented since 1995. The company has made significant contributions in designing, introducing, and leading lead-free manufacturing processes. In 1997, Flextronics introduced lead-free soldering processes when producing products such as mobile phones and printers for many well-known manufacturers.
In 2002, Dr. Dongkai Shangguan, the director of advanced process technology at Flextronics, was awarded the Lead-free Interface Process Award by Flextronics in recognition of his long-term contribution to lead-free research and introduction. He also assisted in the establishment of the EMS seminar related to lead-free printed circuit board assembly, which was the first time that Flextronics joined forces with other EMS factories. Industry alliances
In addition to participating in lead-free organizations, Flextronics is also joining other organizations in different industries such as IPC (Electronic Industry Consortium) and HDPUG (High Density Packaging Users Group).
Furthermore, the company is actively cooperating with universities on lead-free technology research, including Tempere University in Finland, Swedish Metal Research Institute, Hong Kong University of Science and Technology, and Gotebs Chalmers University of Technology in Sweden. Global Strategy
Flextronics acquires Solectron for US$3.6 billion, with total revenue comparable to that of Hon Hai:
Flextronics, a major electronics foundry in Singapore, agrees to acquire competitors for US$3.6 billion Rival Solectron intends to expand the electronics manufacturing market. Flextronics said the acquisition is scheduled to be completed by the end of 2007.
Flextronics and Solectron issued a joint statement stating that Solectron investors can choose to exchange 0.345 shares of Flextronics stock for each share, or receive US$3.89 in cash per share, which is a premium to Solectron’s closing price on June 1. 15%, Citigroup agreed to provide Flextronics with a loan of US$2.5 billion with a financing term of 7 years to assist Flextronics' acquisition activities.
Flextronics manufactures the Xbox 360 game consoles for major mobile phone manufacturers Sony Ericsson and Microsoft. It competes with Canadian company Celestica and Taiwanese manufacturer Hon Hai. After Flextronics acquires Solectron, it will Adding Cisco Systems and Sun Microsystems to Flextronics' customer list.
Mike McNamara, CEO of Flextronics, pointed out that Solectron's advantages in high-end computing and telecommunications fields are particularly important for this acquisition. After the combination of the two companies, they will become leaders in most product market areas.
Flextronics pointed out that after the acquisition of Solectron, the company's operations span 35 countries, with a total number of employees of approximately 200,000, including approximately 4,000 design engineers, and its seven very diverse customer market areas and several The total annual revenue of the vertical components will exceed US$30 billion
Flextronics acquires IDW in exchange for shares and integrates LCD product lines
Recently, Flextronics announced the completion of the acquisition of LCD supplier International DisplayWorks Inc ( IDW). It is reported that each IDW common share will be replaced by 0.5653 shares of Flextronics stock, with a total transaction value of approximately US$243 million.
Mike McNamara, CEO of Flextronics, said, "One of our company's central growth strategies is to acquire companies with synergies to increase our ability to serve customers. IDW is an ideal acquisition target for Flextronics in many ways. It will strengthen our overall vertically unified management capabilities and significantly increase our small-format LCD panel design and manufacturing capabilities. We are very pleased to complete this acquisition and eagerly look forward to the IDW team joining Flextronics, including Tom Lacey, who will lead our components business. "
IDW Chairman and CEO Tom Lacey said, "Flextronics has strong capabilities in providing industry-leading component technology. We are pleased to join this team and not only bring opportunities to IDW employees, but also become a leader in the industry. "Being part of an industry-leading company will also provide our customers with the benefits of scale that only a company of Flextronics' size can provide," Lacey added. "Both management and the board are pleased with the facts of this transaction." On November 28, 2006, more than 96% of shareholders voted in favor of the merger. According to the previous announcement, IDW shareholders held a special meeting to vote on the transaction. Pursuant to the resolution, IDW common stock will cease trading on the Nasdaq Global Market. Flextronics expects to issue approximately 26.2 million new shares for the acquisition.
It is reported that IDW mainly produces LCDs, modules and provides assembly services for mobile phones, MP3 players, industrial and commercial products and future digital cameras. Flextronics will combine IDW's LCD business with the company's lens modules, TV tuners, WiFi, and TFT module assembly departments to form a new department. About 8,000 IDW employees will be transferred to Flextronics.
Flextronics acquires Motorola Mobility’s Tianjin factory and takes over facilities and factories in Jaguariuna, Brazil
On December 11, 2012, it was learned from Singapore’s Flextronics Group that Flextronics acquired Motorola Mobility The Tianjin factory and the takeover of the facilities and factories in Jaguariuna, Brazil are based on three major strategic factors including supply chain cooperation. Relevant sources confirmed to this newspaper that the transaction is expected to be completed in June 2013. Flextronics will acquire the Tianjin factory and related equipment as well as the related equipment of the Jaguariuna factory in Brazil for a total of US$75 million without premium.
According to reports, three major factors prompted Flextronics to acquire two Motorola Mobility factories. These include: Positioning Flextronics as a key supply chain partner for future hardware products within Google, Motorola Mobility and its ecosystem; Strengthening manufacturing capabilities in China and Brazil with highly trained employees who are part of today’s manufacturing workforce The market is becoming more and more rare; complementing complete end-to-end solutions including metals, plastics, global services and components, and further optimizing the operating expenditure structure.
Relevant people said that the transaction is expected to benefit Flextronics financially in a variety of ways, with the potential for annual revenue of billions of dollars. Once the transaction closes, Flextronics will purchase normal inventory to support product manufacturing at that time. The transaction is expected to close in June 2013, subject to customary closing conditions, including regulatory approvals.
In addition, Flextronics also stated that three major ecosystems represented by Microsoft, Apple and Google have now been formed. It is expected that these ecosystems will continue to flourish and connect more and more devices around the world. In order to further highlight the value of the ecosystem, after Microsoft and Google focused on the software business, Flextronics took major measures to establish the hardware business. This transaction will also make Flextronics an important partner of the Google ecosystem.
Development History
1969: Joe McKenzie founded Flextronics Inc. in Silicon Valley
1980: Sold to Bob Todd, Joe Sullivan, and Jack Watts, with new buyer Todd as CEO .
1981: Established manufacturing plant in Singapore
1987: Stock listing
1990: After leveraged buyout, the stock was delisted and returned to a private company. And reorganized into Singapore-based Flextronics International Ltd.
1993: Received investment from venture capital fund Sequoia Capital
1994: Second stock listing, Michael Marks has been CEO since January 1994
1996: Closed the foundry in Richardson, Texas, USA. Acquisition of the Astron Group and FICO Plastics Ltd companies in Hong Kong and the production facilities of Ericsson Enterprise Networks in Karlskrona, Sweden.
1998: Announced that revenue for the fiscal year ended in March exceeded one billion US dollars
2000: Ranked No. 1 in Industry Week's '100 Best-Managed Companies' 3
2005: Purchased the manufacturing department of Nortel Networks
2007: Acquired another large EMS foundry, Solectron (English: Solectron)
2012: Nokia Siemens and Flextronics jointly open a factory in Brazil to produce 4G equipment
2012: Flextronics will acquire Motorola’s manufacturing factory in Tianjin, China, and lease Motorola Mobility’s factory in Jaguariuna, Brazil Facilities and Factories
Ranked 492nd among Fortune 500 companies in 2013