Business News

How secure is your manufacturing facility?

Wondering if your visitor and worker management process at your manufacturing facility is up to scratch? We’ve compiled a (non-exhaustive) list of questions for you. But before you read on, how would you rate your control of visitors and workers on-site? Give your facility a score out of 10. Now that you’ve got that number in your head, ask yourself the following: Are visitors able to pre-register before arriving at the facility to make registration more efficient on arrival? Is communication with guests, employees or contractors consistent, with a clear and evident process? Is there a protocol for employees when visitors are on-site? Do you have a system in place to alert employees/managers/authorities of any red flags that come up in a visitor’s registration? (e.g. someone from an organisation not allowed on-site). Are visitors issued with a visitor badge, pass or other type of visible visitor identification? Are visitors authorised by a host before they can finalise their registration? If you need to contact a visitor, employee or contractor, can you do this easily and promptly? Do you complete accurate records of workers’ induction course completions? Can you deny site or zone access to employees who do not have specific/current qualification or permissions? Are employees and contractors able to quickly alert others of new hazards on-site? Do all entrances or zones have the ability to document visitors? If a visitor entered a zone or area outside of their permitted access range, would an employee or manager be alerted immediately? Likewise, if a contractor or employee entered an unpermitted area, would a manager or security personnel be notified? Are you always aware when a contractor or employee is working alone? If a visitor has overstayed their expected time on-site, will this trigger an alert? If you answered ‘no’ to any of […]

A question of change

In August issue of NZ Manufacturer we have included comments and wish lists from business leaders as to what they would like to see from the next elected government. NZMEA wants all parties to put forward their vision for creating a more prosperous and high-value economy, with manufacturing playing a key role. BusinessNZ wants a government that will reduce taxes, fix problem legislation and boost growth in the regions. Lewis Woodward, managing director, Connection Technologies, Wellington wants overseas companies to pay and contribute more to the New Zealand economy. And he would like local businesses to be supported more. NZMEA has a whole plethora of concerns and want to see greater emphasis on the education sector to address current and future skills shortages; a minister for manufacturing appointed; and amongst others, providing the right incentives for shifting more investment into the productive sectors of our economy. We have a choice, continue with the tried and known or change government to bring in a fresh way of doing things. Systems and processes we have in place are not working for all people. Wages are not competitive enough, housing is a stressful issue, the health service struggles to keep up with a growing and aging population. And the future is changing. Disruptive technologies and Industry 4.0 are changing the face of manufacturing. Where there is change there is opportunity. When you initiate change it means you (ought to be) ahead of the game. As a small economy we are subject to world economic conditions. We cannot be isolated in our approach to export markets and need to keep up, to be competitive. The next government needs to be fiscally strong (and smart) and meet the challenges we need as a nation to bring about a sense of fair play in these extremely […]

Business Election Manifesto

BusinessNZ today released its Election Manifesto. Based on a survey of employers throughout New Zealand-, the Manifesto outlines seven priorities that business would like to see enacted after the 2017 General Election. BusinessNZ Chief Executive Kirk Hope said businesses want a Government that will reduce taxes, fix problem legislation, and boost growth in the regions. “Business wants to see a tax cut for all categories of taxpayer early in the first term of the new Government, and no new taxes of any kind.” Mr Hope said employers in many sectors were worried about being unable to fill job vacancies, and wanted action on skills. “They are unhappy with the level of skills coming out of the education system and want those skill gaps fixed by education and, if necessary, immigration. They want employees with better technical skills to help to grow more innovative and sustainable businesses.” Local government and the Resource Management Act were also a key concern “There’s a strong view that the RMA is holding the country back – 95 percent of businesses surveyed want it fixed or gone.” Businesses were also concerned about local government investing rates money in council-controlled enterprises and non-essential spending, while failing to invest in infrastructure. 65 percent wanted local government to stick to core functions like providing infrastructure. Kirk Hope said business wanted a Government that continued negotiating free trade agreements to reduce the tariff burden on New Zealand exporters. A large majority want trade agreements with the US, UK, EU and the new TPP-11. “These seven priorities if enacted by a new Government would improve the environment for enterprise and help business to create jobs and prosperity in local communities all over New Zealand.”

Building the case for manufacturing automation to drive business growth

By Shermine Gotfredsen, General Manager SEA & Oceania, Universal Robots New Zealand’s manufacturing industry has continued to expand almost every month since October 2012, based on the Bank of New Zealand-Business NZ performance of manufacturing index . The sector was lifted by a construction boom that started during the rebuild of Christchurch post-earthquake. However, manufacturing as a percentage of the economy has declined in the long-term, from about 26 percent of gross domestic production (GDP) 40 years ago to about 13 percent in 2009 . To ensure manufacturing momentum continues, New Zealand manufacturers must look to innovative new ways to achieve business growth and expansion into regional and international markets. Recent research from Universal Robots, which surveyed the Australian and New Zealand manufacturing community indicates a growing emphasis on automation and particularly robotics as a way to increase competitive advantage. Almost half of ANZ manufacturers have invested in automation in the past year. Meanwhile, a vast majority of manufacturers plan to invest in automation in the coming year, with more than half of those respondents planning to install robotics solutions. This growth in automation investment has no doubt been driven by an increased focus on business innovation. Due to New Zealand’s geographical isolation creating higher freight overheads, and greater labour costs compared to countries such as China, many local manufacturers have felt pressure to consider automation as a way to increase productivity and profits. The decision to automate is typically based on a number of factors, namely the need to improve business performance, reduce production time and improve the quantity and quality of output. One such company exploring the use of automation to enable greater production flexibility and output is Auckland based injection moulding company TCI New Zealand, which deployed Universal Robots cobots to help automate specific production processes, such […]

Supporting the regions

In the picture: Gisborne. It’s an election year. We know this because various types of carrot are being placed in front of us. Ranging from greater welfare support, more houses, improving the quality of water to…financial support for the regions. Especially on the East Coast where the levels of youth unemployment are rampant. Seeing it’s the regions that bring in the maximum revenues for government coffers this is welcome news indeed. But why does it have to take an election to put forward this plan? The problem exists in the region perpetually, so last year and the year before the financial support would have been very welcome! In bolstering the regions, we can look towards more people in employment, and hopefully the ability to commit more money to R & D. It is the regions where New Zealand’s ‘pot of gold’ lives. Primarily in land-based industries which are a far greater contributor to the economy than almost anything else apart from tourism and the construction industries which have on-going work for a while, especially in Auckland. Australia – widely known as ‘The Lucky Country’ – has done very well from the mining industry. Over recent years exports just about looked after themselves; which is good because Australians choose a lifestyle first and have been called too casual in their dedication to growth. After all, they need time for the AFL and test cricket! Our luck has not been different. It is the world’s continual need for agricultural and horticultural products of a high quality which we are renowned for. Markets that won’t fade out and offer New Zealand success for years to come. Because this is regional business it makes sense that investment in the regions can assist with the manufacturing processes of food manufacturers. By making products and […]

The business of technology

The latest Technology Investment Network (TIN) Investors Guide has drawn its information from the top 200 New Zealand technology firms. Highlights of the Guide include: *Revenue growth in 2016 came from Auckland and Northland 12.2%. Hamilton 11.1%. Central North Island 0.9%.Wellington 15.3%.South Island 9.2%. *An increase of 239% in foreign investment in early stage technology companies. *Revenue growth of the past year of 12% (over $1B). *Growth across every New Zealand region. *Highest growth sectors are FinTech 23.1% and Digital Media 15.9%. *The New Zealand technology sector contributes 16.2B of national GDP, consisting of 28,749 forms, employing 98,900 workers. *$6.9B generated in offshore revenues. *Technology is New Zealand’s third largest export sector. *21% of the companies now have revenues exceeding $50m.

Exponential Manufacturing Revolution

Diane Francis Member of Advisory Council at Hudson Institute Kleptocracy Initiative The train to Boston from New York speeds past stunning scenery as well as the blight of abandoned factories, scarred with graffiti. These empty buildings are the remnants of a New England that was the China of the Industrial Revolution based on cheap immigrant labour. Today, its towns languish economically, except for Boston, which is enjoying a resurgence as a technology, pharma, and advanced manufacturing hub. This week, American experts from industry, technology, and policy gathered at a conference in Boston, curated by Singularity University, to discuss the role of tech in manufacturing. America remains a manufacturing powerhouse, as well as the world’s pre-eminent technology nation, but marrying the two will take time. In global terms, the industrial sector represents one-third of all global economic output and represents half of the world’s energy consumption and renewables. “This year, offshore wind power generation matched the cost of natural gas power plants in Europe,” said Singularity’s energy expert Ramez Naam. “In windy parts of the world, wind power is cheapest, and in sunny parts of the world solar is.” In solar, record low prices were reached this year too. A major contract in Dubai at 2.91 U.S. cents per kilowatt hour, the world’s lowest — Ontario’s prices average 8 cents per kilowatt hour. India just completed the world’s largest solar farm (4.5 U.S. cents per kilowatt hour) and its federal government intends to have only electrically-powered vehicles by 2030 – completely bypassing fossil fuels. As these industries scale, costs plummet for solar panels and turbines. China is converting to renewables rapidly, but has also earmarked half a trillion dollars to become the world’s advanced manufacturing leader. This is a major pivot, necessary in light of the fact that cheap labour, […]

Higher skills and regional focus positive – but no panacea for employers

BusinessNZ says Labour’s immigration policy has a positive focus on higher skills and regional concerns, but the overall tightening of migrant numbers could be difficult for business. Labour proposes to tighten skills criteria, place more consideration on skill needs in the regions, and more actively enforce the Labour Market Test for work visas. BusinessNZ Chief Executive Kirk Hope says these policies would help bring higher-skilled migrants here, bring workers to the regions, and ensure employers are not misusing the Labour Market Test. “It would be particularly useful to get the regions’ skill needs more comprehensively represented in the occupational shortages list, to have visas issued for work in specific regions, and to involve regional businesses and business organisations in those decisions. For regional economic growth, businesses rely on a mix of skills – some provided by migrants – and it is important to give regional economies the best chance of success,” Mr Hope said. But he said on top of restrictions recently imposed by Government (restricting low-skilled workers to 3-year visas, restricting skilled worker visas to those earning more than $49,000 a year, and increasing the points needed for skilled migrants to get residency), Labour’s proposed restrictions could make it harder for businesses to fill jobs. “Employers are finding it hard to fill positions in hospitality, IT, horticulture, construction and other sectors. The more restrictions that are placed on lower-skilled migrants coming here, the harder it will be for the economy to grow.” Mr Hope said Labour’s approach in the construction industry was positive. “Being able to hire a skilled tradesperson on a 3-year work visa without Labour Market test, as long as they are paid over $20 an hour and as long as a New Zealand apprentice is taken on for each overseas worker hired – this is […]

What next?

Grab a cup of coffee and consider the following: What Next? Urgency needed on skill shortages. Budget 2017: Another missed opportunity to support our productive economy. Low productivity hurting New Zealand. It’s all about the present and the future and there’s enough issues in the above subject areas to shake a stick at. After all, a little bit of witchcraft might help! I hope you are up to date with all of this but seeing you are probably one of the 97 percent of SMEs in New Zealand you will already be concerned one way or the other. Not enough skilled staff, not enough money to pay them, lack of support for manufacturers in the Budget and the level of the nation’s productivity in manufacturing is nothing to write home about. The push for high yielding industries supported by Callaghan Innovation means that larger companies benefit while smaller ones don’t see it worth their time and energy to even apply. So, What Next? We all know what is next. This program could have been shown by TVNZ any time, any day, any year because there is always a What’s Next? We are continually being told about the future. About Industry 4.0, Robotics, Artificial Intelligence, about where the jobs will be and how many people needed to do them. It’s a consternation where the stars don’t align. If you have robotics, for example in an orchard pack house you don’t need as many staff. As in Toyota car plants in Asia where staff numbers have […]

The business of technology

The Technology Investment Network (TIN) Investors Guide has drawn its information from the top 200 New Zealand technology firms. Highlights of the Guide include: *Revenue growth in 2016 came from Auckland and Northland 12.2%. Hamilton 11.1%. Central North Island 0.9%.Wellington 15.3%.South Island 9.2%. *An increase of 239% in foreign investment in early stage technology companies. *Revenue growth of the past year of 12% (over $1B). *Growth across every New Zealand region. *Highest growth sectors are FinTech 23.1% and Digital Media 15.9%. *The New Zealand technology sector contributes 16.2B of national GDP, consisting of 28,749 forms, employing 98,900 workers. *$6.9B generated in offshore revenues. *Technology is New Zealand’s third largest export sector. *21% of the companies now have revenues exceeding $50m. www.nzmanufacturer.co.nz

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