COMPETITIVE STRENGHT

Leading competitive position in customer markets

KUKA is one of the world’s leading manufacturers of automated production systems, predominantly for the automotive industry. KUKA has over 100 years of experience in metalworking and joining processes. For more than 30 years, the company has been working on automation solutions for the automotive industry and other segments of industry (General Industry). The Robotics division is TOP 3 in the field of industrial robotics in the automotive industry worldwide and number one in Europe. In General Industry, the global market share is around 7%. When it comes to automation solutions for body-in-white applications, the Systems division is one of the two leading suppliers in Europe and North America. KUKA stands out from the competition due to the reputation of its brand, the quality of its products, its innovative solution approaches and a strong global presence.

Strong innovative potential as a leader in technology and innovation

For more than 30 years, KUKA has continuously brought innovative products onto the market and shaped industry standards. KUKA introduced the first electromechanically driven robot with six axes, for example, in 1973, the first articulated robot in 1985, the PC-based robot controller in 1996 and the world’s first prototype of a lightweight robot in 2006. The company has acquired substantial expertise in the fields of automation and system integration and offers innovative solutions for technologically demanding production processes.

Well positioned with a broad product portfolio in markets with attractive growth prospects

KUKA is active in the market for robots and automated production systems, primarily for the automotive industry, but increasingly also for other segments of industry, such as metalworking, medical technology and food production. The principal driver for growth in these markets is the increasing demand for automation solutions due to the generally rising pressure on costs which meanwhile also affects small and medium-sized enterprises.

Strong customer retention and global footprint

KUKA’s many years of activity in the field of robot-based automation and the company’s great innovative drive have helped it to establish close, long-term customer relationships, particularly with major European and North American automotive manufacturers, but also with other major companies outside the automotive industry.

STRATEGY

Extension of leadership in innovation and technology and expansion of product portfolio

The KUKA Group also plans to continue investing a significant share of its revenue in research and development in order to maintain and extend its current technological leadership. Measures to ensure that this target is also met include the creation of the position of Chief Technology Officer (CTO) in 2010 and intensification of research cooperation with institutions such as the German Aerospace Center (DLR).

Diversification in specific industries and regional markets to allow the systematic exploitation of growth opportunities

The company is striving to make the most of regional opportunities for growth, particularly in the USA and with an additional focus on the BRIC countries (Brazil, Russia, India and China), in both the automotive industry and general industry. The strategies already implemented successfully in Europe are also to be extended to these markets.

Profitable growth through increased efficiency and productivity

KUKA plans to increase productivity still further and adapt its cost structure to prevailing market conditions. Innovation and progress are accompanying endeavors to continue improving internal sequences and processes.