For Yaskawa The Future is Now

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1 For Yaskawa The Future is Now Masahiro Ogawa Mike Knapek Yaskawa America, Inc. At Columbia Business School October 29, 2015

2 The Future is Today Presenters Who is Yaskawa Yaskawa 2025 Yaskawa New and Future Technologies What Comes in Future Yaskawa America, Inc. 2/14

business in the America s Michael Mike Knapek- Corporate Vice President of Yaskawa Electric Corp.; President and COO of Yaskawa America Inc.

3 Presenters Masahiro Ogawa- Corporate Vice President of Yaskawa Electric Corp.; Chairman and CEO of Yaskawa America Inc. 28 years with Yaskawa Corporation 5 years in Product Engineering 18 years as Head of global Robot development 4 years in charge of Yaskawa s Drive, Motion and Robot s business in the America s Michael Mike Knapek- Corporate Vice President of Yaskawa Electric Corp.; President and COO of Yaskawa America Inc. 29 years with Yaskawa America and Magnetek 12 years in Sales and Marketing Management 13 years in Business Management of Inverter business of Yaskawa and Magnetek 4 years in charge of Yaskawa s Drive & Motion business in the America s Yaskawa America, Inc. 3/14

4 Who is Yaskawa 3 Products Global Leader Installed over 300,000 Industrial Robots Installed over 10 Million Servo Motors and Amps Installed over 23 Million Industrial Inverters Yaskawa America, Inc. 4/14

Mechatronics is the marriage of mechanical components and electronics to solve problems

5 Who is Yaskawa Yaskawa is a technology leader starting with Electric Motors and evolving into Factory Automation and Robots. Mechatronics is the marriage of mechanical components and electronics to solve problems in factories and machines. Yaskawa founded the word Mechatronics World Wide leader in Robots, Servo s and Inverters Yaskawa America, Inc. 5/14

Yaskawa 2025 Offer a new value to society through fusion of

Domains Our Goal Respect Life Mechatronics We aim to

sustainable society with technologies accumulated over the

Achieve revolutionary industrial automation, through

maximized, through the application of mechatronics

Deliver Results We promise to deliver assured results to

6 Yaskawa 2025 Offer a new value to society through fusion of core technology advancement and open innovation Our Business Domains Our Goal Respect Life Mechatronics We aim to contribute to improving quality of life and building a sustainable society with technologies accumulated over the past century. Achieve revolutionary industrial automation, through combination of worldʼs leading edge technologies and open innovation. Empower Innovation Clean Power Provide safe and secure living in a sustainable society. We venture in new technologies/ domains/targets to bring Waku-Waku *¹ excitement to people. Humatronics Create a society where peopleʼs capabilities are maximized, through the application of mechatronics technology to medical/welfare segment. Deliver Results We promise to deliver assured results to stakeholders, while continuously enhancing business execution capabilities. *1 Waku-Waku : Onomatopoeia used in Japanese language to express someone's feeling of enthusiasm *2 Humatronics: Term coined to denote a cross of Human and Mechatronics Yaskawa America, Inc. 6/14

Yaskawa New and Future Technologies Matrix Converter Environmental requirement for energy saving unit has developed variable

in the world. U1000 is an integrated solution of these two problems in single unit.

7 Yaskawa New and Future Technologies Matrix Converter Environmental requirement for energy saving unit has developed variable speed drive, while principle of technology has negative side-effect as higher harmonics and loss of electricity on motor deceleration. Solution of these problems is realized in Matrix Converter, which Yaskawa successfully introduced into market first time ever in the world. U1000 is an integrated solution of these two problems in single unit. This unit enables; - Simple electric structure to avoid less harmonic turbulence - Long system life and less maintenance requirement - Continuous electric regeneration by bi-directional switching - Highly efficient operation with less energy consumption. Matrix Converter Yaskawa America, Inc. 7/14

Yaskawa New and Future Technologies Photo Voltaic Inverter / GaN Power Device

Energy offers major solution of alternative energy.

breakthrough to realize; - More efficient energy conversion - Smaller size -

Yaskawa introduced GaN (Gallium-Nitride) Power Device with advanced technology

8 Yaskawa New and Future Technologies Photo Voltaic Inverter / GaN Power Device Shift to sustainable society is essential change of global movement and Solar Energy offers major solution of alternative energy. However, application of residential solar voltaic system requires technical breakthrough to realize; - More efficient energy conversion - Smaller size - Quiet operation. Yaskawa introduced GaN (Gallium-Nitride) Power Device with advanced technology of electric circuit and control. Enewell SOL V1 is 40% smaller unit which features higher efficiency and generate no mosquito-sound in operation. To PowerGrid Yaskawa America, Inc. 8/14

Yaskawa New and Future Technologies BioMedical Robot Robot can

as; - Continuous inspection of patient-origin samples -

doctors in internal treatment - Repetitive experiment of

9 Yaskawa New and Future Technologies BioMedical Robot Robot can operate human motion using tools and machines in hazardous environment. Precise movement of a dual-arm six-axis robot enables meticulous process of human hands to be automated. Robot can support BioMedical field of industry in many ways, such as; - Continuous inspection of patient-origin samples - Concoction of individualized drug without contamination - Support doctors in internal treatment - Repetitive experiment of chemicals in search of new drug <Automated Cell Culturing System> <Automated Virus Inspection System> <Anti-cancer Agent Tailoring Support System> Yaskawa America, Inc. 9/14

10 Yaskawa New and Future Technologies Human Assist Robot Aging population and low birth-rate are common problem in advanced counties. Yaskawa is developing technologies of service robot for healthcare/welfare requirement. Decrease of physical strength is a symptom of aging and causes lowering quality of life. Yaskawa is developing service robot to help such as; - Prevent decrease of physical strength - Post-infection/injury rehabilitation - Support decreased physical function. We call fusion of mechatronics and human ability to increase QOL as Humatronics. Ultra lightweight Simple Design Easy to use Generation of new market Independence support Wider usability Yaskawa America, Inc. 10/14

Yaskawa New and Future Technologies Collaborative Robot Remove the fence between robots and humans, so that

Collaborative robots recognize safety, interface with humans, and do not need programming.

Collaborative robot will share a space with us tomorrow.

11 Yaskawa New and Future Technologies Collaborative Robot Remove the fence between robots and humans, so that robots can work together with us. Collaborative robots recognize safety, interface with humans, and do not need programming. Broader automation demand of industry requires next generation relationship of robot with human. Collaborative robot will share a space with us tomorrow. Most industrial application is open to this kind of robot, which includes; - Picking/Packaging/Palletizing of foods, beverages and drugs - Assembly of components, machines, and automobiles - Material handling for logistics, container loading, warehousing Yaskawa America, Inc. 11/14

Yaskawa Combined Technologies Yaskawa supports industrial line solution with singular control Support of Yaskawa s

a single software solution Support of Yaskawa s standard line of general motion control components for discrete

operation; which leads to higher overall equipment efficiency (OEE).

12 Yaskawa Combined Technologies Yaskawa supports industrial line solution with singular control Support of Yaskawa s standard line of robots as well as a variety of custom mechanisms Robots, Motion, Variable Speed Drives and Logic in a single software solution Support of Yaskawa s standard line of general motion control components for discrete machinery Control all line components under one communication platform facilitates versatile and standardized operation; which leads to higher overall equipment efficiency (OEE). Support of Yaskawa s variable speed drives for material handling Tablet or traditional pendant for commissioning of robotics Copyright 2010 YASKAWA Electric Corporation 12/14

system Control system security M2M communication PLC Self

Production management system Big-data platform PLC Motion

High-speed Ethernet Field-net Servo drive Wireless pendant

information Traceability information Parts maintenance

applications Advent of IoT and M2M communication breaks

13 What Comes in Future Industry 4.0 External Cloud Yaskawa Cloud service Sales management system Control system security M2M communication PLC Self Leaning Robot PC Controller integrated multi-axes Servo drive Production management system Big-data platform PLC Motion controller Inverter Design support system Cloud in factory High-speed Ethernet Field-net Servo drive Wireless pendant Smart-Phone Tablet Remote maintenance Auto-tuning Products information Traceability information Parts maintenance information Degrade and failure diagnosis Provide SaaS applications Advent of IoT and M2M communication breaks ground for Yaskawa to contribute industry with integral solution of products and technologies. Yaskawa foresees new horizon for the world of factory automation, where ultimate efficiency and complete service is provided. Yaskawa America, Inc. 13/14

14 Yaskawa 2025 Offer a new value to society through fusion of core technology advancement and open innovation Our Business Domains Our Goal Respect Life Mechatronics We aim to contribute to improving quality of life and building a sustainable society with technologies accumulated over the past century. Achieve revolutionary industrial automation, through combination of worldʼs leading edge technologies and open innovation. Empower Innovation Clean Power Provide safe and secure living in a sustainable society. We venture in new technologies/ domains/targets to bring Waku-Waku *¹ excitement to people. Humatronics Create a society where peopleʼs capabilities are maximized, through the application of mechatronics technology to medical/welfare segment. Deliver Results We promise to deliver assured results to stakeholders, while continuously enhancing business execution capabilities. *1 Waku-Waku : Onomatopoeia used in Japanese language to express someone's feeling of enthusiasm *2 Humatronics: Term coined to denote a cross of Human and Mechatronics Yaskawa America, Inc. 14/14

Vision Long-term Business Plan FY FY2025. April 20, May 2016 revision 1: P.2 FY2015 financial values changed to actual

Vision Long-term Business Plan FY FY2025. April 20, May 2016 revision 1: P.2 FY2015 financial values changed to actual Long-term Business Plan FY2016 - FY2025 Vision 2025 April 20, 2015 20 May 2016 revision 1: P.2 FY2015 financial values changed to actual 2016 YASKAWA Electric Corporation Our Vision for 2025 Offer a new