Ricoh Stops Operations at three key plants!!

In addition, companies in many other business areas have been affected. These companies manufacture a wide range of components and chips used in digital imaging products which, while rather beyond the scope of our own site, are nonetheless critical to the products we use and review every day. These include household names such as Fujitsu, Hitachi, Texas Instruments, and Toshiba, as well as many lesser-known -- but none the less important -- companies besides. For example, Toshiba is the world's second largest supplier of NAND flash chips used in memory cards, as well as producing CMOS image sensors. Fujitsu likewise supplies a variety of components that feature in digital cameras and the like, including some -- such as its Milbeaut image processor series -- which are specifically designed for use in digital imaging products.

When I went into work on Monday, I had a conversation with my sales manager in refference to the impact of the situation in Japan. My feeling was that if the Fukushima Nuclear Power Plant situation deepened that we may have supply line issues for MFP's, Wide Format, Duplicators (Ricoh). My main concern was not the production in Japan, but where most of the parts come from like the motor's, pcb's and other assorted parts.

I kind thought that dealers and direct would make a run on hardware, meaning who ever had deep pockets would stock up on hardware in order not to have a supply issue, in the last few days I have heard of this happening in the Ricoh Channel. Thus, my other thought was that if there was a run on hardware here in the US, we would run out of inventory and have to wait for replacement products.

From what I uderstand at lease with Ricoh is that 55ppm and above are made in Tohuko (Closed), Duplicators are in made in Tohuko (Closed), certain accessories in Tohuko (Closed), Wide Format????, I was told these were also manufactured in the Sendai Region however not be able to confirm that, then you have the Hasma Ricoh which does copiers (closed).

I also understand that alot of systems are made in China and we should be ok with those for a while. If anyone else has anything to report I'd love to hear it.

Art

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I kind thought that dealers and direct would make a run on hardware, meaning who ever had deep pockets would stock up on hardware in order not to have a supply issue, in the last few days I have heard of this happening in the Ricoh Channel.

Note also though, dealers are making large purchases to meet or exceed quarterly Ricoh program goals.

quote:

Note also though, dealers are making large purchases to meet or exceed quarterly Ricoh program goals.

Right end of fiscal year, plants shut down + partial plants = low inventory

GINTEL:

Whats your take on the closing of factories, who's gonna get hit the hardest??? Ricoh, Canon, Xerox????

The manufacturing plants that supply the small subassemblies are going to be the issue. You only have to be short one part to have a nonfunctioning system.

This will be the test, who will Ricoh serve fairly, all parties or RBS/IKON. This is truly an ethical question that will grow their business with independents or damage it.

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Originally posted by Art Post:
GINTEL:

Whats your take on the closing of factories, who's gonna get hit the hardest??? Ricoh, Canon, Xerox????

Hey Art,

Didn't notice your question till now.

I do not know for sure. I know that so much of the hardware are built in China/Taiwan/etc and that most Japan-based manufacturing facilities are nowhere near the tsunami zone, so there is no actual damage to the plants.

That said, the factories, shipping operations, and corporate HQs are certainly not back to business as usual so I would think there would be some disruption.

I was at the Sharp dealer meetings and Ed McLaughlin said that their manufacturing and supply chain are fine but he indicated that another unnamed manufacturer is using scare tactics to encourage its dealers to stock up on product and that he viewed this and unethical. Not sure what MFR that is though...

With so much excess production capacity in the MFP space, will manufacturers take this opportunity and keep some facilities offline as long as possible?

If you had an A3 plant in Japan affected by these events, would it be rational to keep it closed and build an A4 plant in China, or build nothing, rather than rebuilding the A3 plant in Japan when the industry has a tough time already absorbing A3 production?