Analysis

Growing our World Class Industries

-Ian Walsh, Managing Director, Intent Group Over the last few years, I have been asked by aspiring NZ companies – ‘Who is world class?’ ‘What are we best at in NZ?’ Or even more insightfully, ‘what could we be best at?’ The current industries that have been resilient throughout COVID, where demand has remained strong and in some cases shown significant growth, provide some clues. It is clear there is huge demand for our food produce, especially kiwifruit, apples, wine and of course the perennial meat and dairy. Over the years I have had the privilege to work in all of these industries. The world sees us as a clean, green, high-quality food producer and, whilst we have areas for improvement, the horticulture industry is a shining example of this. In the last decade we have seen significant growth in wine, kiwifruit and apples to name a few, with wine on a 24-year growth trend! There is significant potential to provide the world with high quality, high margin food and reinforce our global image. Given this, it behoves all parties (employers, government, unions and other stakeholders) to work together to provide a roadmap to a green, profitable, and more sustainable industry. COVID has heightened our awareness of the current challenges the horticultural industry faces and, to be frank, has been grappling with for a long time. Being a seasonal business, there are certain times of the year when there is a higher demand for labour. This is typically around picking and packing (February through to June). Historically, many harvest operators have worked with the Ministry of Social Development (MSD), youth schemes, recruiters and so on, to fill the needs, with many a despairing operator/employer explaining that finding good people to fill roles was near impossible. The issues were not so […]

ATNZ Apprentice of the Year a story of resilience

Perseverance and passion were rewarded for Lachlan Hamilton-Ralph, named the Apprentice Training New Zealand (ATNZ) Apprentice of the Year 2020 at the recent awards ceremony in Auckland. General engineering apprentice Lachlan was runner-up for the award in 2019, which celebrates an ATNZ apprentice who demonstrates outstanding performance in their work, a great attitude, is proactive on the job and demonstrates pride and enjoyment in what they do. This is the third year of the annual awards for ATNZ, a not-for-profit group training organisation (GTO) that employs more than 330 engineering apprentices and places them with host companies around New Zealand where they do their learning. Following feedback from the judges that year, Lachlan and his workplace Obtuse Limited worked hard to prepare him for another shot at the coveted award, and he was delighted to walk away with the trophy. Representing the judges, ATNZ general manager Susanne Martin said they had a difficult time coming to their decision on the winner. “I say it every year, but it’s true: the calibre of applications and the passion for their work and studies exemplified in those submissions, continues to blow the minds of the judging panel. “This year has been the toughest yet. Our judges were spellbound by the level of detail, high standard of references, and touches of humour. On more than one occasion they were heard to remark: ‘Can’t we give it to them all?’” Ms Martin described how they were impressed with Lachlan’s thoughtful and thorough application and glowing feedback from colleagues and customers. “Lachlan’s exemplary references, particularly from Obtuse customers, his outstanding study performance, and the variety of extra responsibilities he has taken on, really wowed us. We were also inspired by his resilience, in the face of both a challenging year with the global pandemic and in […]

What we said when the PM came to visit

– Sarah Ramsay, Chief Executive Officer, United Machinists The Prime Minister was so disappointed she couldn’t make United’s Hawaiian launch party, she dropped in for a visit a couple of weeks later with her own party of some 30 media, entourage and diplomatic police. We can confirm it isn’t an act – Jacinda Ardern in person is the real-deal, a people person that puts you at ease immediately and is genuinely interested. Thoughtful, curious and obviously read up before her visit, she was eager to discuss the operations of our workshop and our views on the contract manufacturing industry: How difficult is it to find skilled staff? What can be done to help push apprenticeships? What can schools be doing to draw attention to careers in engineering? Why is it important for NZ to retain manufacturing? What can the government do to help push this? We told her our vision was to bring sexy back into manufacturing – she had a good laugh at that. We told her that now is the time for a renaissance of hi-tech manufacturing in New Zealand. The time to redefine what manufacturing looks like. That it’s not a dirty old mill or lathe, with ‘you’ll get it when its good and ready’ service. It’s the ‘Machine Shop of the Future’ – a state of the art, temperature-controlled facility making highly intricate parts for industries such as medical, cinematography, marine and aerospace. Utilising the very latest in CNC, robotic and software technology available. But that investments into machine capacity will come to nought, if we don’t have the highly skilled people to run them. Of the seven qualified CNC machinists we have hired in the past 18 months, six have been from overseas. “Go hard & Go Early” – a motto often used by Prime […]

Empowering the manufacturing workforce to survive the pandemic and thrive beyond it

Before the Covid-19 pandemic, labour flexibility, digital transformation and operational excellence were key pillars of an emergent Fourth Industrial Revolution. Now, these areas provide vital lifelines to build resilience during the crisis and beyond. There is now more global recognition of the need for ongoing agile operations to accelerate the adoption of modern digital tools to improve the status and proficiency of frontline work. The industrial companies that take bold action to shore up their workforce and technology investments will emerge more resilient, and more likely to succeed no matter what uncertainties come their way. Ten months ago, the first cases of Covid-19 were detected. In the time since, companies, supply chains and entire economies have been disrupted and forced to adapt to a “new normal” where change is constant, and agility is critical. More than 48% of respondents in a recent survey of the world’s top risk experts said they were most worried about a disruption of global supply chains. Another report states that the Covid-19 crisis has impacted more than 75% of the world’s manufacturing outputs. As important as it is to address immediate needs and concerns while Covid-19 case rates fluctuate around the world, manufacturers must prepare for recovery and the Great Reset ahead. “Now more than ever, industry leaders have realised that they need to transform towards agile and sustainable manufacturing. Companies must be ready for a skill shift with a rising demand for technological, social, and higher cognitive skills.” — Valérie Ferret, 3DEXPERIENCE Edu Vice President, Dassault Systèmes Even before the pandemic, labour flexibility, digital transformation and operational excellence were key pillars of an emergent Fourth Industrial Revolution. Now, these areas provide vital lifelines to build resilience during the crisis and beyond. A profound sense of urgency has organisations seeking more pragmatic solutions and approaches to identifying the skills, […]

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Podcast with Pru Gordon and some of Australia’s biggest trade deals

All’s fair in trade and war: The latest episode of digital trade platform TradeWindow’s new podcast features trade guru Pru Gordon sharing a behind the scenes look at some of Australia’s biggest trade deals. A behind-the-scenes glimpse into game-changing trade deals is explored in the latest episode of Redefining Trade, the podcast by digital trade platform TradeWindow. Pru Gordon, whose trade experience spans 25 years, revealed to podcast host and TradeWindow Chief Sales & Marketing Officer Peter Foyston a handful of highlights in her career, including seeing former trade representative for the United States (U.S.), Michael (Mike) Froman, grapple with Andrew Robb, Australia’s former Minister for Trade and Investment, over the controversial issue of biologics in the Trans-Pacific Partnership (TPP). Negotiations between Australia and the U.S. centred around the protection of data used to determine the ethics and effectiveness of biologic medicines, which Gordon said was a make-or-break issue in the partnership for several countries, including Australia which came under significant pressure to shift its position. “It was fascinating to see Mike Froman – who is an unbelievably articulate and impressive person – come up against Andrew Robb, who is equally impressive with his own set of skills, but quite different,” Gordon recalled. “Andrew Robb absolutely understood the importance of those negotiations and the number of other countries in the TPP who were really relying on Australia to hold the line on this issue. It was fantastic to see the dynamic, and the different personalities of the two key negotiators and how that influenced the dialogue and way the issue was negotiated.” Another of Gordon’s most memorable moments was at the 2015 Nairobi Ministerial Conference, when World Trade Organisation (WTO) members agreed on a historic decision to eliminate agricultural export subsidies – the most important reform of international trade rules in agriculture […]

RCEP: A trading world of increased possibilities

-Doug Green, Publisher NZ Manufacturer – www.nzmanufacturer.co.nz Editorial – November issue. Important, I think, to make this Editorial about the RCEP Agreement which will open up more opportunities for New Zealand businesses. New Zealand is a member of the world’s largest free-trade deal, representing 30% of GDP, which aims to boost imports and exports with lower tariffs across 15 Asia-Pacific countries. This is a big deal and the largest free trade deal so far. At the (virtual) ASEAN Summit, held Sunday last, ministers from 15 countries signed a mega-trade agreement after eight years of negotiations, which started in 2012. Known as the Regional Comprehensive Economic Partnership (RCEP) Agreement, once ratified, it will form the largest-ever regional free-trade bloc. Countries who signed were China, Japan, South Korea, Australia, New Zealand, and members of the Association of Southeast Asian Nations (ASEAN), including Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, Philippines, Singapore, Thailand and Vietnam. The 15,000-page agreement outlines tariff reductions of about 90% on traded goods and services. On top of goods and services, the agreement covers investment, economic and technical cooperation, new rules for e-commerce, intellectual property and more. When finalised, the main benefits for businesses will be: One set of rules for accessing lower tariffs in any of the 15 RCEP markets; New trade opportunities in telecommunications, professional and financial services; Improved processes for tackling non-tariff barriers such as customs procedures; Greater investment certainty; New rules on e-commerce to make it easier for businesses to trade online; A common set of intellectual property rules; and A new rules of origin agreement to boost inputs in production chains. These new measures are expected to come into effect once the majority of participating countries ratify the deal over the next two years. As I said, this is a big deal.

Question everything, nothing is off the table

Simon Ganley, managing director, Ganley Engineering Over the past three decades I have been at the sharp end of process control. Mostly with multi-national manufacturers both in NZ and internationally. This has involved a wide variety of applications in a large number of factories. I have made a lot of very useful contacts with a lot of very clever people. I have seen a lot of amazing solutions and have also seen a lot of dumb stupidity that has cost a lot of money. So, what do the top players do with the new waves of technology becoming available because of quantum developments in computing, optics and machine control? For a start they question everything. Nothing is off the table. They only buy the best equipment available with the lowest cost of ownership. Anything bought is thoroughly tested and dissected long before it gets anywhere near a production line. They sell what they make for top dollar and have built their reputations on quality. They hate waste and they watch their costs. A lot of them have process control sensors specifically developed for what they do with custom filters and algorithms. This enables them to go to places no-one has been before with consistently made new products. And it enables us to build these new technologies into our new analysers and control sensors. It is a symbiotic world for us. Now what they do and a lot of industry doesn’t is to control what they make to the top of the specification as they make it. Probably the biggest cost to manufacturing is the price of energy. If someone is running a fluid bed drier, a tunnel oven, a fryer, a drum drier or anything that uses energy with no controls is probably over drying/ cooking and giving away enormous […]

Circular product stewardship: Starting with design

By Barbara Nebelwww.thinkstep-anz.com/ In the transition to a circular economy, New Zealand first needs to address its continued reliance on a linear take-make-waste model. For organisations looking to take meaningful action, taking responsibility for the end-of-life of their products with product stewardship can be a key part of the solution. With proponents ranging from successful businesses to new industry and governmental initiatives, it is safe to predict that product stewardship is here to stay and ready to play a pivotal role in the circular transition. Starting with the waste problem during this process is a common tactic but the best approach starts at the beginning with product design. In fact, UK based Waste and Resources Action Programme (WRAP) found that 80% of the environmental impacts of modern products are determined during product design and development. Incorporating product stewardship into product design will provide more circular solutions for end-of-life decisions, minimise waste in the process and ultimately, speed up the transition to a circular economy. This is exactly what Utility Electric Vehicle (UEV) company UBCO has set out to do. Starting with product stewardship Focused on a largely electronic product with a high capacity lithium-ion battery, UBCO identified end of life processes and product stewardship as their defining sustainability issues. For UBCO, tackling these issues head on starts with design. UBCO’s product design approach utilises life cycle thinking to consider the entire value chain – from the raw materials and the energy used to create the product, through to the packaging, distribution, use, maintenance, and eventually recycling, reuse, recovery, and final disposal. “It would have been easiest to have battery and electronics in a big block of resin to make it waterproof – but that would prevent any product stewardship approach in future”, says Timothy Allan, CEO and Managing Director of […]

The truth about counterfeits

~ Why you can never eliminate the risk of counterfeits entirely ~ According to the latest data from the Organisation for Economic Cooperation and Development (OECD), the trade in counterfeit goods now represents 3.3 per cent of global trade. Unfortunately, this figure is on the rise, even as overall trade has declined. Here, John Young, APAC director at obsolete parts supplier EU Automation APAC, offers his verdict on the scale of the problem in the Asia Pacific region and what manufacturers can do to limit the risks. Counterfeiting in industry Counterfeiting is not a new problem, but the current growth of this phenomenon is driven by many novel factors, such as the convergence between industry and IT and new technologies like 3D printing. Most people have some familiarity with this problem in the world of consumer goods, but industrial equipment is not immune to the risk. In the world of industrial parts, fakes are often even harder to detect. Take an industrial motor as an example. The outer casing or housing of the counterfeit part may look perfectly fine. Even on the inside, there is very little way of detecting a counterfeit through a simple visual inspection. Counterfeited industrial parts are usually manufactured from poorer quality material. This reduces the life cycle of the part, increasing the risks of unplanned downtime and raising whole-life costs when unexpected failures occur. Unfortunately, there is often little way to know definitively if the broken part was genuine or not. Genuine parts will have been through a rigorous and standardised process of testing. Fake parts, on the other hand, do not benefit from this validation and verification process. Labelling is one way of stamping products in a way that can demonstrate their authenticity, but unfortunately modern technology makes these labels much easier for scammers […]

Manufacturing industry crucial to the country’s economic future

The New Zealand manufacturing and technology industry is actively urging the Government to listen to and support the engine room of New Zealand’s economic recovery. The call comes after the Hutt Valley Chamber of Commerce hosted the country’s first Manufacturing and Technology Forum, focusing on economic recovery from COVID-19. Over one hundred manufacturing and technology industry representatives across the Wellington region came together to share their views and highlight areas where support was needed to foster economic growth from these industries. The Minister of Finance, the Honorable Grant Robertson attended the forum and opened the event, which was part of October’s 2020 Wellington Business Expo. CEO of the Hutt Valley Chamber of Commerce, Helen Down, said government must support the manufacturing sector to reap the benefits it can offer to the COVID-19 response and our economic recovery. The forum is part of an ongoing programme of work by the Hutt Valley Chamber of Commerce to champion the manufacturing and technology industries and advocate for them to government. “It is not only industries most obviously damaged by COVID-19, like international tourism that needs support. Manufacturing and technology industries are pivotal to our recovery and our future, they are important employers in our communities and they need government support,” she said. A panel of industry experts from a variety of manufacturing and technology companies presented their inside perspectives. The panel included Sir Neville Jordan from Endeavour Capital; Martin Simpson from Fraser Engineering; Richard Latta from Leda Extrusions and Pikes Plastics; Derek Bradley from Aurora44; Terry Carter from NZ Tube Mills; and Shane Lowe from 360 Logistics. The General Manager of Fraser Engineering, Martin Simpson, said the manufacturing sector is the engine room of the economy and can no longer be ignored. Located in Wingate, Lower Hutt, Fraser Engineering employs 120 staff and […]

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