Analysis

Empowering Frontline Leaders: A Key to Boosting Productivity in New Zealand’s Manufacturing Sector

From April issue, NZ Manufacturer www.nzmanufacturer.co.nz -David O’Connor, Commercial Manager, The Learning Wave Much has been written about the need for New Zealand manufacturing businesses to increase productivity to remain competitive internationally, and subsequently, the benefits that adoption of new digital technologies and smart factories can deliver to NZ manufacturers. It is no great secret that the sector is in the midst of tough times. Many businesses are reporting having to cut back on shifts and overtime hours, pushing out innovation projects, and reducing their training spend to help manage costs and profitability. Strong leadership is the key ingredient of any high-performing organisation. Equally, a lack of it can spell disaster. A quick search of Google tells us the same thing- they lead upwards of 80% of the workforce, and their performance directly impacts their team’s productivity, quality, engagement, innovation, customer service, and safety. Getting it right is critical. The role of the frontline leader cannot all too easily be undervalued. Being a frontline leader isn’t just about keeping the production line running, and meeting today’s production targets; it’s about inspiring, motivating, and guiding their teams to perform better and juggling the ever-changing demands of staff, health and safety, quality, reporting and of course production and operational efficiency targets. No easy feat. The return on investment is clear – according to a 2022 Harvard Business Review article, organisations with high-quality leaders are 13 times more likely to outperform their competition. And yet with statistics like that, only 12% of companies surveyed in the recent 2023 Global leadership Forecast were confident in their leadership bench. Building a strong leadership bench is the obvious answer to unlocking productivity and performance. An investment in learning pays dividends. In a recent article in MBA news, the Forrester research report stated that one number stands […]

Information and operational technology a crucial strategy

From April issue of NZ Manufacturer www.nzmanufacturer.co.nz Adam Sharman, Senior Partner, Dsifer As manufacturers look to technology to support the productivity, efficiency and innovation of their operations, the convergence of Information Technology (IT) and Operational Technology (OT) stands out as a crucial strategy. As at 2024, the OT market is expected to expand at a CAGR of 8.69% and the solution options available to manufacturers to digitise their operations continues to grow. Whilst OT solutions provide significant benefit to manufacturers, it is the integration of OT and IT across the organisation that drives the highest value for these soluions. Historically, IT and OT have operated in silos, serving distinct functions within organisations. However, as Industry 4.0 reshapes manufacturing processes, the synergy between these two domains has become imperative for staying competitive and maximising efficiency. The integration of IT and OT involves breaking down the barriers between these two domains to create a unified ecosystem that leverages data from both operational and informational sources. This integration enables manufacturers to optimise production processes, enhance product quality, reduce downtime, and ultimately drive profitability. One of the primary benefits of integrating IT and OT is improved visibility and transparency across the manufacturing operations. By connecting OT devices to IT systems, manufacturers can gather real-time data on equipment performance, production rates, and resource utilisation. This comprehensive visibility enables better decision-making, as managers have access to timely and accurate information to identify bottlenecks, anticipate maintenance needs, and optimise workflows. Furthermore, the integration of IT and OT facilitates predictive decision making. For example, predictive maintenance, a proactive approach to equipment upkeep that relies on data analytics and machine learning algorithms to anticipate potential failures before they occur. In order to successfully integrate their IT and OT systems, organisations should consider the following key dimensions: Understand the Business […]

Australia and New Zealand working together

Editorial April issue NZ Manufacturer www.nzmanufacturer.co.nz In late March, the Minister for Manufacturing, Andrew Bayly, spent a week in Australia, where he met with four ministers in the Australian Federal Government, including Senator Hon Tim Ayres, the Assistant Minister for Manufacturing and Assistant Minister for Trade. They discussed opportunities that exist for our two countries to work together, to grow manufacturing productivity on both sides of the Tasman. He also met with Maria Vamvakinou MP and Scott Buchholz MP, who co-chair the Parliamentary Friends of Manufacturing group in the Australian Parliament. This provides a non-partisan forum for parliamentarians to meet and interact with businesses, unions, industry and advocacy groups to help support and strengthen Australia’s manufacturing industry. Andrew Bayley also joined up with a delegation of manufacturing business leaders from New Zealand keen to get a better understanding of emerging advancements in research in Australia, particularly how they relate to advanced manufacturing, and how these could be transferred to industry here in NZ. Meanwhile, In Australia, it has been announced that the Albanese Government intends to create a Future Made in Australia Act. To spur investment in clean energy technologies and secure economic opportunity and growth for Australia. The minister at work. Australian investment in R&D has reached a 30-year low, only spending 1.68% of GDP on R&D. Meanwhile, competitors are growing their R&D spending, with the USA, Japan, Germany and many other developed countries spending over 3% of their GDP on R&D each year. Australia needs an immediate and sustained increase in R&D funding to make sure Australia doesn’t get left behind. Australian research and innovation will be the driving force behind their future prosperity. Australia cannot afford to neglect R&D any longer. Which, of course, brings me back to our situation in New Zealand. Andrew Bayly says he […]

Lessons in collaboration from across the Tasman

From April issue NZ Manufacturer magazine www.nzmanufacturer.co.nz Andrew Bayly, Minister for Manufacturing In my February article, I announced the first meeting of my Manufacturing Productivity Advisory Group, a forum for business leaders keen to enable a brighter future for New Zealand’s manufacturing sector. I am pleased to say this group has already met again. Chaired very capably by Sarah Ramsay, chief executive of United Machinists and chair of the Advanced Manufacturing Aotearoa council, there are key themes emerging, which most people in the industry will already be well aware of. That education is needed to change the perception of the industry in people’s minds, especially those of parents with children who are contemplating their future careers and who think ‘manufacturing’ is still a dirty world. That our research centres focus on novel innovation without considering the manufacturing capabilities needed to produce them. That procurement for infrastructure is skewed towards lowest-cost international providers, thereby discouraging domestic suppliers from ramping up their manufacturing capability. And, of course, that investment is required in automation and Industry 4.0 technologies which will help drive productivity improvements. We are now in the process of finalising the finer elements of these initiatives that will help inform future policy announcements, which you will hear about in due course. In late March, I spent a week in Australia, during which I met with four ministers in the Australian Federal Government, including Senator Hon Tim Ayres, the Assistant Minister for Manufacturing and Assistant Minister for Trade. At the University of Wollongong Facility for Intelligent Fabrication. This was the second time I had met with Tim and I was keen to ask him how the Australian manufacturing sector organises and funds itself and its activities. We also discussed how the Australian Government has managed to secure successful partnerships with the country’s […]

What do we do about manufacturing?

From April issue of NZ Manufacturer www.nzmanufacturer.co.nz By Brett O’Riley, Chief Executive EMA *Brett O’Riley is stepping down from his role at EMA in June. What follows are his present reflections on manufacturing in New Zealand. Our manufacturing sector is struggling, and it pains me to say it. The release of this month’s Performance of Manufacturing Index (PMI), a global measure of manufacturing activity, shows manufacturing activity in New Zealand has been shrinking for the past 12 months. While this might not be a surprise given the global economic slowdown, what is concerning is that manufacturing in New Zealand is underperforming most other major economies. Other countries have taken very deliberate steps to modernise and strengthen their manufacturing sectors; from an aggressive Accelerated Depreciation business taxation regime for investing in new hardware and software in Singapore, to the massive Inflation Reduction Act in the United States. Manufacturing is critically important to the New Zealand economy, and it is important we get the sector functioning as effectively as possible. The sector contributes more than $23 billion to our economy, or about 10% of GDP. It accounts for 60% of our exports and employs 12% of our workforce, with the potential to grow those metrics. Manufacturing isn’t just concentrated in one part of the country. It plays a critical role in our regional economies, accounting for more than 10% of jobs in almost every part of the country. Every day, more than 220,000 Kiwis go to work in manufacturing businesses in Te Tai Tokerau, Southland and everywhere in between. Therefore, it is no surprise that when manufacturing isn’t doing well, our economy doesn’t do well. This is demonstrated by the latest economic numbers, which saw the economy shrink off the back of a sharp fall in manufacturing activity. But it’s not […]

Women in Business: Hildy Kovacs, co-owner, Kovacs Design Furniture

Tell readers just what it is you do? My brother Johnny and I own the furniture manufacturing business, Kovacs Design Furniture. We still make all our furniture in our New Zealand factory based in Christchurch and our tag line is “Made. Right. Here.” Which the team is immensely proud of. My main role is as our furniture designer. Taking an idea through the concept stage to the prototype stage, completing the initial costings and making it ready for production release. However, my typical workday could also cover marking, sewing, quality control, photography, marketing, sales, and production management. Designing furniture – is it a passion of yours? It wasn’t but is now. It started off with me learning all the different manufacturing aspects of the business, so I have developed a really good understanding of how things go together and what is important in creating a product that not only looks great but has to be comfortable and built to last. I really started designing furniture to prove to myself that I could do it and from that it has become my passion. How long have you been in the family business? I started doing small tasks with my brother for my father like making buttons from as young as I can remember. So, I guess I was born into the industry. However, I have worked fulltime in the business for the last 44 years. What is the satisfaction you get from being involved in a family business? Designing furniture where every piece is unique with its own handwriting is hugely challenging. They all have different prerequisites one must overcome for the product to be aesthetically pleasing, comfortable and viable. I am constantly learning and getting it right is the biggest buzz ever. Where does Kovacs sit in the furniture scheme […]

Dave Pham_Senior Solutions Architect at Yubico

Tips to maximise your consumer-facing passkey implementation

Dave Pham, Senior Solutions Architect, Yubico Passkeys have taken the online security world by storm since their inception in mid-2022, even if the underlying technology can technically be traced back to FIDO2 and its breakthrough onto the world stage in 2018. Popularity has no doubt exploded due to their widespread adoption by the world’s largest tech companies – who also happen to be the most used identity providers collectively – as millions of users begin to make the shift. They are seemingly heading towards becoming the new de facto standard of secure authentication for both apps and websites alike. This is a massive leap forward for account security considering the underlying fundamentals are grounded in cryptography, which makes them extremely resilient to hackers and represents an approach that is magnitudes more secure than the traditional password. Although the distinction between passkey and FIDO2 credentials is extremely subtle, and many will often use the terms interchangeably, it should be clarified that passkey can refer to both classic FIDO2 credentials that are strictly device-bound (such as with hardware security keys) or syncable credentials that reside across multiple devices, generally via a cloud service or identity provider. But regardless of whether or not they are device-bound or syncable, passkeys are still a relatively new concept, and many software developers and security experts are scrambling to understand how to best integrate them into existing services and products (especially for those transitioning from password-based implementations). The nuances and best practices that lead to an optimised flow within a robust passkey implementation are still being fine tuned, and the most seamless UX possible may not yet be fully realised. While the passkey landscape is nebulous and still evolving, the aim of this post is to highlight a few staple considerations to get the most out of any consumer-facing passkey implementation and guide […]

View from the top of the year: The picture for Christchurch Industrial Property in 2024

-Greg O’Brien and Mitchell Ryder, Associate Directors, Industrial and Business Services, Christchurch. Savills New Zealand. The current industrial property market in Christchurch is perhaps best described as a multi-layered beast. As a result of the Christchurch earthquakes and the need to complete structural strengthening, local vendors and landlords became some of the most experienced in the country when it came to understanding the performance of their asset. We are seeing this expertise play out as quality stock is sought and business cases for new builds wait for their moment. Against this backdrop, 2024 is already heralding good news. The market is buoyant, people are paying great money for land, and while demand is intense, we are steadily finding the stock to meet it. The state of the current warehousing market In the small to medium range – warehouses 250sqm to 1,500sqm – there is a steady flow of activity. Businesses are looking for opportunities to upsize and to consolidate multiple leased warehouse spaces, often located a few doors down from each other, or to split themselves across the city to service growing client bases. The lack of available stock across the city affects the amount tenants are being required to pay; this in turn drives the market rental evidence for valuers as they advise landlords as to the new rates when the time comes for the scheduled market review of rents. Some tenants have been encouraged to look for cheaper alternative warehouses as their existing landlords look to maximise their returns. Warehouse options in this range are tight, and properties listed on platforms such as TradeMe are often long spoken-for, as tenants find to their frustration. In the medium to large warehouse range – 1,500sqm to 3,000sqm – we are observing available stock being limited for a range of reasons, […]

Maruiti Safe Haven: Empowering Māori Safety Leadership in New Zealand Manufacturing

Workplace safety statistics often paint a sobering picture. In New Zealand, Māori workers experience 31% more serious non-fatal work-related injuries compared to their non-Māori counterparts. ACC’s claim rate data, coupled with Stats NZ’s Household Labour Force Survey from 2019 to 2021, underscores a troubling reality: Māori injury rates stand significantly higher, ranging from 25% to 33% above those of non-Māori. With the New Zealand Manufacturing sector employing over 250,000 people, and Māori making up approximately 14% of the workforce, it is clear that a transformative shift is required to address these statistics and help build safer work, safer workplaces, and safer workers. Recognising the need for change, Nik Jessop and Katrina Tahi Tahi from Te Pou Ora – Northern Region Equity, Partnerships & Intervention Design at Worksafe New Zealand and The Learning Wave have developed Maruiti Safe Haven – a Māori Safety Leadership training programme that develops improved safety outcomes by integrating a Te Ao Māori cultural lens into safety leadership practices. Picture: From the HRNZ Awards. This marae-based experience incorporates Tikanga Māori principles to engage the hearts and minds of operational and production leaders and to deepen the connection to Māori perspectives on not just Health and safety but also well-being. Te Whare Tapa Whā is utilised as a framework to foster shared understanding and language of being a Safety leader, and their commitment to safety at a personal, operational, and business level. Since 2020, the Maruiti Safe Haven Kaupapa has uplifted the safety leadership skills of over 60 leaders from 14 manufacturing businesses across Te Tai Tokerau. This initiative has not only enhanced safety capabilities resulting in tangible improvements in workplace safety. It has equipped these leaders with the tools to support their kaimahi more effectively and create greater engagement and participation, which are key to lifting safety […]

The Productivity Dilemma – don’t wait for the government

John Luxton, RegenerationHQ Right here, right now New Zealand SME owners are well-positioned to boost productivity within their own operations, even amidst broader societal or governmental challenges in addressing productivity issues. This capacity for internal transformation is critical for driving business growth and setting a benchmark for productivity improvement. Embracing digital transformation is a key strategy for SMEs. By integrating technology into daily operations, such as project management tools, CRM systems, and cloud-based accounting software, businesses can streamline processes, reduce manual tasks, and free up time for strategic development. Additionally, leveraging digital marketing can significantly enhance visibility and customer engagement. Investing in employee engagement and skill development is another avenue for boosting productivity. Cultivating a culture that values continuous learning and improvement, through training opportunities and mentorship programs, can increase team motivation and efficiency. When employees feel valued and are equipped with necessary skills, their contribution to business success is amplified. Process optimisation is essential for eliminating inefficiencies and reducing waste. Adopting continuous improvement principles to focus on maximising customer value while minimising non-essential activities can help SMEs stay competitive and agile. Focusing on customer needs and maintaining a dialogue through feedback mechanisms can lead to improved service or product offerings and higher satisfaction rates. This customer-centric approach can provide valuable insights for innovation and business development. Lastly, fostering a culture of innovation encourages the exploration of new ideas, diversification of product lines, and sustainable business practices. Being open to change and willing to take calculated risks can uncover new growth opportunities and productivity enhancements. By leveraging technology, valuing their teams, optimising processes, focusing on customers, and embracing innovation, SME owners in New Zealand can significantly increase their businesses’ productivity, serving as exemplars of internal initiative in productivity improvement. Waiting for the government to “do something” is called hope and […]

«‹ 8 9 10 11 ›»

News Ticker

Analysis