A system for applying composite fiber to a lay-up tool has a fixed creel for supplying fiber to the fiber placement dispensing head and a fixed arm having a first end attached to the creel and having a second end attached to the dispensing head. The dispensing head is fixed on the end of the arm. A robot having a first and second pivot axis and at least a first wrist supports the lay-up tool. The robot manipulates the tool for application of fiber from the head to the tool. Manipulating the tool instead of the dispensing head allows the path length for the fiber between the creel and head to be fixed in length and orientation during application of fiber to the tool.