ARC reports Nematron is rebounding

A renewed focus on hardware combined with software is bringing customers back to Nematron Corp. (Ann Arbor, Mich.), increasing sales, and returning the company to profitability, says an ARC Insights report released June 30 by ARC Advisory Group. Following a major restructuring, Nematron is once again concentrating on its hardware platform and combining it with softwa...

By Staff August 1, 1999

A renewed focus on hardware combined with software is bringing customers back to Nematron Corp. (Ann Arbor, Mich.), increasing sales, and returning the company to profitability, says an ARC Insights report released June 30 by ARC Advisory Group. Following a major restructuring, Nematron is once again concentrating on its hardware platform and combining it with software to offer a complete solutions package. Projects include a huge powertrain-related backorder from General Motors, which represents about 50% of Nematron’s sales, says John Moore, the report’s coauthor and director of ARC’s field systems group. To accelerate industrial PC (IPC) production, Nematron began outsourcing most of its IPC manufacturing to Selectron in May 1999. Projected savings aren’t available, adds Mr. Moore, but Selectron has the capacity to lessen Nematron’s backlog, complete orders faster, and build the IPCs less expensively. The report adds that Nematron’s complete solution is “fairly unique” among major PC-control and HMI suppliers.