Developments

Transpower, lines companies out of touch with customers

Business has been struck almost speechless at the lack of sensitivity of Transpower and other lines companies. Transpower and partners have gone to the Commerce Commission asking for a green light to raise their prices so they can guarantee themselves an almost 12% pre tax, risk free return on capital to upgrade the grid. “Every other business in New Zealand would be very happy to be earning over 8% after tax on their capital right now,” said Alasdair Thompson, chief executive of the Employers and Manufacturers Association. “For a government owned monopoly to request a 12% risk free rate of return shows Transpower has lost touch with its customers,” Mr Thompson said. “The request is to increase prices so they can expect over 8% return on capital after tax, which equates to nearly 12% before tax. ‘The transmission upgrades are necessary and will be paid for by a mix of shareholder funds and borrowing which has to be paid off from future profits boosted by price increases. “But monopolies extracting the sort of return that Transpower wants must be reined in by the regulator. The price increases being sought are grossly unreasonable in a flat and struggling economy. “Business and residential customers alike will be watching closely the outcome from the Commerce Commission.”

CADCAM software used here for implants

A range of Delcam’s CADCAM software, in particular the latest release of the CopyCAD Pro reverse engineering system, is being used by a group of companies in New Zealand to design and manufacture custom-made maxillofacial implants for patients suffering with tumours or major bone loss. The overall process, which is managed by Computer Generated Implants Ltd, has improved the quality of the results and the speed of recovery. Most of the recent cases have involved patients who have had tumours removed some time ago. Typically, the reconstructive surgery carried out at the time involved a bone graft using a shaped portion of patient’s fibula. Aesthetic outcomes were often poor and the patient also had to endure a lengthy period in a leg plaster cast while the fibula healed. in these cases, there was little requirement to design and manufacture implants in a short time frame. However, for so-called ‘hot cases’, the priority is to dramatically shorten the overall lead time. Ideally, the surgeons would like to operate well beyond the margins of the tumour and insert the custom-made implant in the same procedure. “We had been using Delcam’s CopyCAD and PowerSHAPE successfully for many years for the design of these types of implant,” explained a spokesman for the group. ‘The results have been good but the process required a high level of modelling skill and could take days or weeks. This was not a real problem for historic cases but we really needed to shorten the lead time for the process. The new CopyCAD Pro release has proved much easier to use and enables us to confidently take on “hot cases’ now. It is a huge and important leap forward.” The process used by the New Zealand group begins when patient data in either a CT or MRI scan is […]

Emergency Shutdown – Who pays the workers?

By Claire Parkes, Managing Director, Clarian Human Resources Many businesses in Christchurch are quickly coming to terms with how to handle their staff resource while their operations are fully or partially closed down. There’s lots of information hitting the media, so let’s cut-to-the-chase with the essentials. 1. Look at your employee agreements – is there anything written about what actions will take place in the event of an emergency or temporary shut-down of operations? If so, you will need to follow these. 2. Are your employees on a fixed number of hours per week or can they be varied on demand i.e. casual agreements? If the hours are fixed, you will need to pay them for hours normally contracted for if they are fit and able to undertake the work. 3. Check your insurance – does it cover payment of wages in this situation? 4. Ask employees if they would be willing to take annual leave during the shutdown period (but be aware that they do not have to oblige where you have not given them 14 days notice). 5. Consider allowing your employees to work from home or another appropriate building if access is possible. 6. Be open with your employees about the financial strain the situation has put on the company and see if you can come to some kind of mutual agreement about reduced hours over a certain timeframe. 7. Direct your employees to compensation through WINZ for loss of income and basic necessities (see http://www.workandincome.govt.nz/individuals/a-z-benefits/civil-defence-payment.html) 8. Contact the Chamber of Commerce to see if you are eligible for compensation recently announced by the government. 9. Ensure you are continuously checking the suitability of your office space against health and safety regulations. 10. Consider whetherÊimprovements to your policies and agreements to cover for any future emergencies can […]

World first robotic legs provide new option for wheelchair users

When Hayden Allen was spinal cord injured five years ago he became a full time wheelchair user and doctors told him he’d never walk again. Today a revolutionary product developed by Auckland-based company Rex Bionics has enabled Hayden to walk again. Hayden has been one of the first people in the world to use Rex, the Robotic Exoskeleton. Rex is best described as a pair of robotic legs that supports and assists a person who usually uses a wheelchair, enabling the person to stand, walk and go up and down steps and slopes. “I’ll never forget what it was like to see my feet walking under me the first time I used Rex,”says Hayden, who is 6’4” (193cm) tall when standing. “People say to me, “look up when you’re walking” but I just can’t stop staring down at my feet moving.” Being out of his chair and on his feet again allows Hayden many more options on a day to day basis, increasing opportunities for employment and recreational activities by providing access for him to independently go places previously inaccessible to him. For example – up stairs! Rex users self-transfer from their wheelchair into Rex, strap themselves in and control their movements using a joystick and control pad. Rex is the brainchild of two childhood friends, Richard Little and Robert Irving – co-founders of Rex Bionics. “Both of our mothers are in wheelchairs so we are aware of some of the obstacles and access issues faced by many wheelchair users,” says Richard. Robert’s Multiple Sclerosis diagnosis seven years ago was the catalyst for these men to put their engineering skills to use to develop a practical, standing and walking alternative to wheelchairs. The founders are quick to point out that Rex is not a replacement for a wheelchair, but a complement […]

Never underestimate the importance of brand

Michael Holt, Managing Director, gardyneHOLT design Our country and our industry is based on a practical sense of getting things done, usually with little fuss or fanfare. However, times are changing and in particular we’re less reliant upon our domestic markets to offer sufficient demand, especially with our own markets wide open to competition from overseas. The message from government, now more than ever, is to develop our export markets and international revenue base. But have we properly developed the knack for self-promotion that we really need in order to compete vigorously. The essence of commodification is where two or more seemingly similar things are only really differentiated on price. Price competition is a common and often painful element in contract negotiations, leading to ongoing cost control. But it’s a tough way to make fair profits. Furthermore, why would anyone want to sell their product or service based primarily on price? There’ll always be others striving to be even cheaper, so price really is a fickle way of winning and maintaining sales. Competitive advantage must be woven into the products, service and ongoing relationship in order to maintain demand, differentiation and where possible, premium. For example, Hi-Q Components, a smart and reliable Kiwi business with a great reputation for supplying thousands of different small components to manufacturers (electrical components, bushes and bearings, caps, covers etc) realised that their brand is the first and best way to express their value. They started with the idea of supplying anything that can fit within a shoebox, and that’s still true today. Their brand should say that for them but the problem was that their brand didn’t say anything much at all. Our task was to add all the right qualities while keeping a connection to the original brand. In the process, we’ve created […]

Losing our direction

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CADCAM gives racing supplier power and precision

‘Power Through Precision’ is the company motto at MBE Cylinder Heads and Manifolds. MBE achieves both precision and power by using Delcam’s PowerSHAPE design software and its PowerMILL machining program. To see how, watch the Delcam TV video on https://www.delcam.tv/delcam-video.asp?VideoId=79. Founded in 1997 by Matt Bieneman, MBE is located in the heart of America’s racing country in Mooresville, North Carolina. Mr. Bienenman created a team of specialists hand-picked from the best in the industry and was equally particular about his selection of equipment and software. The resulting levels of quality and technical innovation have made MBE a trusted choice for leading race teams and engine builders throughout the United States, Australia and Canada. Customers include teams from dirt racing and drag racing, as well as competitors in tractor- and truck-pulling events. Just like the race cars, trucks and other custom vehicles he helps build, MBE’s head programmer Mark Olson says what makes the company’s Delcam products winners is their power. “It amazes me what the Delcam programs can do,” he admitted. “I’ve used a lot of programs in my career (which began in 1970) and this is the smartest software that I’ve ever used.” “We do a lot of manual work to develop the shape of the manifold,” explained Mr. Olson. “Once we are happy with the design, we digitize the ports, chambers and whatever else needs to be machined, and we import the data into PowerSHAPE.” “PowerSHAPE has a great, powerful surfacing engine,” said Mr. Olson. “I haven’t yet found anything as good as PowerSHAPE to manipulate surface data into exactly the shapes that I need.” After perfecting the model in PowerSHAPE, Mr. Olson moves his design easily and flawlessly into PowerMILL. The transparent interface between PowerMILL and PowerSHAPE is a big benefit. “You can cut and paste geometry […]

Competitive Manufacturing Programs help manufacturers go Lean

According to www.stats.govt.nz approximately half of NZ manufacturers have less than 50 FTE employees and one in five manufacturers employ less than 10 people. These companies underpin the NZ economy but are they benefiting from Lean thinking? Owners and / or managers of SMEs who believe that their company has more potential than it is currently realising might benefit from undertaking a lean program. Lean thinking can be used to generate cost reductions, or gain improvements in lead time and delivery performance. Applying lean thinking might also highlight opportunities to reduce inventory in order to free cash and fuel further growth. However, for SMEs companies, “going lean’ can be particularly challenging and improvement efforts are often put on the back burner due to unresolved implementation questions such as: Will the tools be effective here? Will I get buy-in? Will the benefits exceed the costs So how does the smaller manufacturer get started on the continuous improvement journey? One route is to consider a government subsidised Public Program in Competitive Manufacturing. Public CM programs are typically aimed at individuals with organisational accountability for continuous performance improvement. These courses introduce best practice continuous improvement methodologies from the world’s leading organisations. The emphasis of a good quality CM program is on ‘learning by doing’ and knowledge sharing with other course participants and the assessment of learning is based around the implementation of workplace projects. On a public diploma level CM program the participant can expect to learn many technical aspects of a lean implementation including: How to map their own value stream and use this to identify wastes The importance of a balanced scorecard and application for their own company The ‘best practice’approach to reducing changeover times How to apply ‘Just In Time’ to their own workplace How to manage a 5S system […]

Doing business at the fieldays

What this growth has done for New Zealand manufacturing achievement – some including joint-international agreements -is nothing short of amazing. A ‘world class’manufacturing showcase of advanced technology and innovative solutions By Roger Magee Senior Writer It has grown, without worthy competition, to become recognised as Australasia’s leading ‘Agri-Business’ Exhibition.- and it is easy to see why. From humble beginnings at Mystery Creek in 1968, NZ National Agricultural Fieldays “has bloomed as a free-range concept for the benefit of bringing members of New Zealand’s primary industries together to introduce and expose new products, achievements and services….and its increasingly vibrant international market connections. During the 1980’s the important open-door trans-Tasman trade policy of CER, brought Australian companies into the exhibitor fold and since then even more companies from other countries, keen to cash in on its now highly ranked business profile among the top five exhibitions of its kind in the world. What this growth has done for New Zealand manufacturing achievement – some including jointÊinternational agreements -Êis nothing short of amazing. Progress, particularly through research and development in science and technical innovation has rapidly advanced New Zealand’s highly valued primary industry profile. Last monthÊ (June) Wayne Mapp, NZ Minister of Research, Science and Technology, re-affirmed major government reforms aimed at the science and innovation spectrum, with millions of dollars being directed into fundamental research, development and technical innovation… and with that…the special focus this year on linking science and business practice in an innovative growth partnership. The future of this combined asset for New Zealand enterprise appears to be firmly in place. Innovative technology To look at the early beginnings at Mystery Creek,in the 1960’s this once humble stage for agriculture, business and industry promotion (near the banks of the wondrous Waikato River) is no longer recognisable. By the time the four-day […]

Future Focus on Export Products

Comment by Heavy Engineering Research Association Director Dr Wolfgang Scholz The Heavy Engineering Research Association has just put a funding proposal to Government’s research funding agency the Foundation for Research Science and Technology (FRST) aimed at supporting the New Zealand Metals Industry in becoming more productive and developing export opportunities. This new proposal comes at a time when Government and industry advisor’s stress the need for companies to join Government in increasing investment in research and technology (R&D) if we want the New Zealand economy to transform and create wealth funded on knowledge-based, high value-added and profitable industries. Government Science Advisor, Sir Peter Gluckman, outlined recently at a medical technology conference that our industry spending on R&D is at best 0.4 % of GDP, while in more advanced nations, industry spends as much as 2% of GDP on research and technology. However, he noted that New Zealand’s Government fares much better and is the only nation where Government RS&T spending is actually higher than industry’s with 0.5-0.7%, which is close to the average of the advanced nations’ 1% for government-funded RS&T. He also noted that the medical technology sector – to which our metals industry makes a significant contribution through tool making, casting or general metals-based manufacturing – has shown resilience despite the global financial meltdown and is predicted to be a billion $ industry within the next 5 years. In 2008, metals-based products – excluding steel- and aluminium-based products of our two steel companies and NZAS – provided export earnings alone of over $560M. I am convinced that with the right leadership and incentives in place, our strategically important industry will be able to crack the billion dollar export mark as easily as medical equipment exports are projected to. We have an amazing depth of capabilities due to our […]

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