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Adoption of smart practises by manufacturers across New Zealand

New Zealand’s manufacturing sector has stepped firmly into the fourth industrial revolution, with a 10.5 percent increase in the use of advanced manufacturing technologies since 2023, as shown in the final Industry 4.0 Insights Survey by Callaghan Innovation. The Industry 4.0 programme was launched to build awareness and educate New Zealand’s manufacturing sector about the powers of digitisation and connectivity in manufacturing. And, while it’s achieved this goal with 80 percent of Kiwi manufacturers aware of the programme, for Sean Doherty, Industry 4.0 Product Manager at Callaghan Innovation, the real impact has been how quickly that awareness has turned into action. “What seemed experimental five years ago, has quickly become business as usual for many Kiwi manufacturers,” he says. “Manufacturers are increasingly recognising the value of advanced technologies as essential tools for growth and resilience. We now have nearly 40 percent of the workforce implementing Industry 4.0 technologies.” From AI and robotics to real-time data tracking, manufacturers are turning to smart technologies to lift productivity, improve quality and modernise operations. It’s already seen that Industry 4.0 technologies such as AI, digital twins or cloud technology are able to increase productivity by 15-30%. Supporting this momentum, the recently introduced Investment Boost scheme offers manufacturers an immediate 20 percent tax deduction on eligible machinery and equipment purchases. “Capital investment often presents a significant challenge for manufacturers,” says Doherty. “This incentive helps lower that barrier to entry, making it more feasible for businesses to invest in automation, AI and other advanced tools. It’s a promising development and will help keep momentum built through Industry 4.0.” However, Doherty stresses that “technology alone isn’t enough, investing in people and company culture is critical for lasting success.” To view the full Callaghan Innovation Industry 4.0 Insights Survey report, visit: https://www.callaghaninnovation.govt.nz/assets/documents/Industry-4-0/2025_Industry4_Insights_Survey_FINAL.pdf

The Canterbury engineering business with trained staff who never want to leave

Training at the heart of exporter’s success story An unwavering commitment to upskilling its people has helped keep tool maker Sutton Tools (NZ) out in front despite a string of setbacks including an earthquake, a pandemic, and in 2022, a fire that gutted their Kaiapoi factory. Now though, the future looks brighter than ever with a brand-new factory in Rangiora and a forward-focussed masterplan that will drive expansion and power up their knowledge base. Sutton Tools manufactures its high-quality cutting tools in Rangiora, as well as at two sites in Victoria, Australia before exporting them globally. Adopting a proactive approach to training has been a critical factor in their success, and a long-standing partnership with industry training organisation Competenz has been pivotal to this work. For over 30 years, Competenz has collaborated with Sutton Tools, offering apprenticeship and traineeship opportunities to enhance skills and engagement. Production Manager Brian McCallum has spent just shy of 25 years with the company and in that time, he has completed a string of Competenz programmes including a New Zealand Certificate in Workplace Health & Safety Practices (Level 3), a National Certificate in Competitive Manufacturing (Level 4), and a National Certificate in Manufacturing (Metal and Related Products) (Level 3). Currently he’s working towards his NZ Apprenticeship in Mechanical Engineering (Trade) (Level 4) – Fitting and Machining. “I went to Sutton for work experience when I was 17 and I never left,” says Brian. “In that time, I’ve been given lots of opportunities and done lots of different things within the company, including gaining qualifications and temporarily relocating to Australia after the fire to help with running one of the manufacturing plants in Melbourne.” With a myriad of development and career prospects – and a highly supportive, encouraging employer – he can’t see a reason to […]

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Living in an apartment, near the railway line

On a business trip, I travelled on the Tokaido Shinkansen Bullet Train between Tokyo and Nagoya and, was taken by the number of apartments along the side of the track, at Bullet Train speed. And they all had one thing in common on their balcony: a dog kennel, a satellite dish, plants and clothes lines. Nowhere to walk, no ground level space to kick a ball around. I wonder what the thinking is around 15 storey apartment buildings around the new Auckland railway stations? Is it to ensure the trains have patronage and the huge spend on their development justified? The Government wants Auckland Council to make apartments possible. “Ensuring that Auckland takes economic advantage of this transformational investment in the city”. I wonder how many Government ministers will move there? Apartment buildings can bring problems – lots of people in a built-up area without social cohesion, finding ways to get into each other’s way and an over familiarity with one’s neighbours which doesn’t necessarily lead to a quality of life. The economic advantages for engineers, architects, developers, interior decorating consultants and so on will be great. And may also continue to see trades people in Auckland continue to have work instead of crossing the ditch to Australia. If people live in a large city, they need a quality of life for day-by-day accessibility to work, education and social events. But why live in a large city, in an apartment, by a railway line? Why not move to the regions where you have greater choices of more competitively priced housing and greenfields where the family can play? -Doug Green, Publisher, NZ Manufacturer www.nzmanufacturer.co.nz publisher@xtra.co.nz

Engineering the future: What we’re seeing from the front line

By James Richardson, Commercial Manager, Caliber Design At Caliber, we work alongside some of New Zealand’s most innovative engineering businesses. With over 60 mechanical engineers seconded into client teams across the country, we get a front-row seat to the future—watching it take shape in factories, labs, and workshops up and down the country. We see a lot. Some of it makes headlines. Most of it doesn’t. But it’s all part of a bigger story: Kiwi engineering delivering smart, practical solutions to complex problems. Aerospace There’s serious momentum in aerospace. Autonomous systems, propulsion tech, advanced structures—this is no longer niche R&D. It’s a growing sector with commercial focus and technical depth. What we’re seeing is a shift from “can we?” to “how fast can we build it?” Projects are fast-paced and multi-disciplinary, and the bar for design quality is high. It’s a brilliant space for engineers who like a challenge. Energy The energy sector is diversifying quickly. Hydrogen, renewables, and electrification are driving a lot of new activity. But equally important is the work happening to modernise and optimise existing systems. This is where Caliber engineers often slot in—helping deliver upgrades, commission new assets, or unblock critical path items on capital projects. It’s hands-on, collaborative work that has real impact. Materials Materials innovation is accelerating. We’re seeing more advanced composites, more recycled and recyclable options, and clever use of analysis tools to get the most out of every design. But materials are only as good as your ability to design and manufacture with them. That’s why FEA, prototyping, and validation are becoming non-negotiables—especially when time-to-market is tight. Where We Fit Our model is simple. We provide seconded mechanical engineering support—when and where it’s needed. Our engineers embed directly into our clients’ teams, working under their direction to help get projects delivered. […]

Industry 4.0 for SME manufacturers

Article 4 – from a series of 5 – From June issue, NZ Manufacturer magazine www.nzmanufacturer.co.nz -Frank Phillips, Director, Fulcrum Article 4: The Significance of Systems in Industry 4.0 and Automation Welcome to the next part of our Industry 4.0 series for SME manufacturer. We’re exploring various companies that can help you embrace advanced technologies and optimize your operations. Today’s focus: Manufacturing Systems. Let’s dive in and see how they can drive your business success. Systems: The Backbone of Modern Manufacturing In the dynamic landscape of Industry 4.0, systems are the backbone that supports and streamlines manufacturing operations. These companies specialize in providing software solutions such as ERP (Enterprise Resource Planning), MES (Manufacturing Execution Systems), CMMS (Computerised Maintenance Management Systems), APS (Advanced Planning and Scheduling), and various other tools designed to solve challenges and manage processes more effectively. Think of them as the digital frameworks that enable smooth and efficient manufacturing processes. Streamlining Operations: How Systems Add Value Manufacturers often grapple with issues like disjointed processes, lack of visibility, and inefficient resource management. Engaging a systems provider can address these challenges by implementing software solutions that integrate and optimize various aspects of manufacturing operations. By leveraging these systems, manufacturers can achieve better coordination, real-time visibility, and enhanced decision-making capabilities. Implementing Success: Typical Engagement and Resource Requirements The journey with a systems provider typically begins with a comprehensive assessment of your existing processes and systems. This phase involves site visits, technical evaluations, and collaborative discussions to identify pain points and opportunities for improvement. The systems provider then establishes to what extent their solution meets requirements, the optimal configuration and any customisation that might be required. Expect to allocate internal resources, including IT personnel, process engineers, and operations managers, to work closely with the systems provider. The engagement would typically take several […]

LCA: A powerful tool for change

In the early days of sustainability, we were often driven by a desire to “save the polar bears” or protect rainforests. Today, business leaders are asking a different question. It’s no longer “Is this the right thing to do?” but “Is this worth the investment?” The answer is yes, and Life Cycle Assessment (LCA) can help prove it. So, what exactly is an LCA? LCA is a tool that measures the environmental footprint of a product or service across its life cycle. It helps you understand your product’s environmental footprint, find opportunities to improve and communicate your sustainability credentials with confidence. This means LCA gives you a snapshot of your product or services’ footprint, both what goes into it and what comes out. That includes: what goes in, like energy and raw materials what comes out, like waste, water pollution and carbon emissions. The lower the impact, the smaller your product’s environmental footprint. Click here to learn more in thinkstep-anz’s Need to Know guide. From burden to business case LCA can seem complex and overwhelming. It’s sometimes seen as a data-heavy, costly exercise. But when you look at it through a business lens, LCA becomes a strategic tool. It can help you build resilience, drive innovation and gain market advantage. Around the world, LCA is gaining traction. In the EU, it’s a requirement for Horizon funding. In Australia, the 2024 Building Ministers’ Meeting endorsed LCA as part of the National Construction Code for commercial buildings. EPD Australasia just celebrated 2,000 Environmental Product Declarations. In China, national funding for LCA research is growing rapidly. Business success starts with transparency LCA takes a full-life approach. It looks at a product’s environmental impact from raw materials to disposal. This broad scope gives you visibility – and with visibility comes opportunity. One client asked, […]

Expect to Win: Raising the Bar and Aiming for Excellence

From June issue, NZ Manufacturer magazine www.nzmanufacturer.co.nz In a Bay of Plenty workshop, the first press of the day starts up. Meanwhile, 18,000 kilometres away, its twin in Stuttgart is already changing over to the next job, 30% more parts out the door before smoko. Same equipment, same potential just different culture. David Altena is Head of Growth & Partnerships at SmartSpace ai & Co-Founder & Host of The Better SMB Podcast. david@altena.solutions New Zealanders already work around 15 percent longer than the OECD average while generating 20 percent less output per person. Our productivity gap has widened from 34 percent in 1996 to roughly 40 percent today. “Good enough for NZ” is quietly costing us millions every pay cycle. The Budget for manufacturers is a brand-new 20% “Investment Boost” tax deduction: buy qualifying plant or machinery after 22 May 2025 and you can write off one-fifth of the cost in year one, on top of normal depreciation. Rob Bull is Director & Principal Consultant at Plexus Consultant & C0-Founder& Host of The Better SMB Podcast. rob@nzla.nz Before racing for a purchase order, pause. A tax break multiplies whatever capability you already have, good or bad. Before you bolt a faster robot to yesterday’s habits, take ninety days to hard-wire a culture that expects to win. After all, every dollar you save on tax is wasted if the new kit sits idle for want of process discipline. Winning is a system, not a slogan In factories that outperform global peers, five habits show up in every shift and hum in the background like the compressor: Uncompromising clarity – three numbers on every wall, one for productivity, one for quality, one for innovation and improvement. The strategic goals are translated into performance metrics the whole team can understand and influence. Standard […]

SouthMACH 2025: Capability Is still the differentiator

From June issue, NZ Manufacturer magazine www.nzmanufacturer.co.nz Review from Caliber Design There was a strong sense of optimism at SouthMACH this year. The energy was good. People were open, engaged, and proud of the work they’re doing. Yes, there are still challenges—but the general feeling was that things are picking up, and that real progress is being made. Capability remains a key issue. “We’ve got the ideas. We just don’t have the resource.” The work is there. Priorities are clear. But teams are at capacity. There’s limited room to take on more—let alone deliver faster. Shifting the Dial Whether the focus is production, upgrades, product development, or compliance—it takes people to get things done. Not just more hands, but the right experience, at the right time. At SouthMACH, there was strong interest in how to keep momentum without overloading internal teams. Many are turning to flexible engineering support—people who can step in, contribute from day one, and help shift the dial. The common thread? Capability isn’t just about technical knowledge. It’s about judgement, communication, adaptability, and the ability to work well on-site, under pressure, and in step with the wider team. What We Noticed Amidst the usual challenges—capacity, backlog, deadlines—there was also a clear sense of optimism. Many have weathered tough years and come through more focused. Some of the best conversations we had were about what’s working: building long-term partnerships that help teams flex as needed; investing in project engineering—not just design, but full delivery; and embedding engineers into existing teams to remove bottlenecks and keep work flowing. We also asked our team: “What was the most exciting innovation or product you came across during the event?” The answers were varied—but all pointed to practical, clever engineering solving real problems. Dawn Aerospace stood out to several engineers—not just […]

SouthMach 2025: Innovation, Excellence, and the Future Talent of New Zealand Manufacturing

From June issue, NZ Manufacturer magazine www.nzmanufacturer.co.nz -Adam Sharman,CEO LMAC Group, APAC SouthMach 2025, held at Wolfbrook Arena in Christchurch from 28–29 May, once again proved to be the South Island’s premier event for the manufacturing and engineering sectors. With a strong focus on innovation, digital transformation, and workforce development, this year’s expo came at a pivotal time for New Zealand’s manufacturing industry—one that is navigating both significant challenges and emerging opportunities. The SouthMach expo is always an opportunity to showcase the innovation happening in New Zealand and this year’s event was no exception with a focus on South Island innovation through the AMA Innovation Zone led by Dawn Aerospace, Argus Manutech, ENI Engineering and Hamilton Jet and United Machinists. It was interesting to see how these organisations have practically leveraged industry 4.0 technologies in the New Zealand context to drive innovation and productivity through smart investment and a staged approach to adoption. The adoption of Industry 4.0 was a key theme of SouthMach this year and this was reinforced through the ASB Manufacturers Workshop, delivered by the EMA and LMAC. Participants on both days were exposed to a practical case study to build awareness of industry 4.0 in a New Zealand business and left with a roadmap of next steps for their own businesses. A Visionary Keynote: From Garage to Orbit One of the most inspiring moments of SouthMach 2025 came from Charlie North of Dawn Aerospace, during his keynote titled “From Garage to Orbit: A Manufacturing Story.” North shared the company’s remarkable journey from a backyard shed in New Zealand to becoming a global leader in spaceplane and in-space propulsion technology. His talk emphasised that true innovation in manufacturing isn’t about hype or heroics—it’s about people, process, and purpose. He called on New Zealand’s industrial sector to “aim high, build well, and back […]

Page Macrae’s new Port Products hopper a game-changer for materials bulk handling

From June issue of NZ Manufacturer magazine. Page Macrae Engineering is one of New Zealand’s most respected heavy engineering fabrication companies, with a legacy spanning more than six decades. Based in Mount Maunganui, the company was founded in 1955 and has built a reputation for large-scale projects in tank and piping fabrication for the energy, pulp and paper and water-treatment sectors; log and dry bulk solid handling equipment for ship loading and unloading; bulk storage for fuel and chemicals; and manufacture of forestry equipment. At the helm of Page Macrae is CEO Alan Sutcliffe, whose leadership has recently helped steer the company into new international markets. The Employers and Manufacturers Association’s Nicholas Russell sat down with Alan to discuss the company’s new world-leading hopper, which sparked huge interest during a recent sales trip to Europe. Can you tell us about your recent product launch and how it was received internationally? We recently launched our new Bulk Master Smart Dock Hopper in Mount Maunganui at an event attended by the Prime Minister and some of his Ministers. It’s a hopper full of smart technology that is designed to suppress dust emissions during bulk cargo unloading from ships. Traditional hoppers create large dust plumes, which harm the environment. Our design includes a vacuum system that captures the dust as cargo is released into the hopper and is automated, so operators can control the system remotely without having to be in a hazardous environment. We previewed the product at a conference in Australia recently, which had strong attendance from European buyers. The feedback was overwhelmingly positive. Based on that, we decided to test the product in the European market by attending the Breakbulk event in Rotterdam in May. That trip validated that our product fills a gap not currently met in the Northern […]

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