Editorial

Manufacturing continues to be critical to NZ economy, but changes needed if we are to unlock the sector’s potential

From NZ Manufacturer magazine, November 2023 By Brett O’Riley, EMA Chief Executive and Co-Chair of the Advanced Manufacturing Industry Transformation Plan Steering Group Last month, the Technology Investment Network (TIN) released its inaugural Advanced Manufacturing Report 2023. Commissioned by MBIE, the report compares national data with the results of a survey of the top 400 manufacturing companies by revenue and employment, providing a comprehensive picture of New Zealand’s manufacturing sector. Importantly, it includes benchmarks that will be used in future years to measure the health of manufacturing in New Zealand. This makes the report an important read for anyone with even a passing interest in manufacturing. The key takeaway is that manufacturing remains critically important to the New Zealand economy. It contributes more than $23 billion to our economy, or about 10% of GDP. It also accounts for 60% of the country’s exports and employs 12% of our workforce. In fact, the number of New Zealanders employed in manufacturing increased by more than 4% last year, reaching over 222,000. Manufacturing isn’t just concentrated in one part of the country. It plays a critical role in almost every one of our regions – accounting for than 10% of jobs in most regions. It is a large employer in Northland, Southland and everywhere in between. The report outlines some real positives that we need to be celebrate. Between 2018 and 2022, the sector increased research and development from $728m to $886m and reduced carbon emissions by more than 2000 kilotons. By 2024, it is projected the manufacturing will drop behind households to become the country’s third largest emitter. Despite this, there are some worrying trends identified in the report that we need to address if we want manufacturing to continue to be a cornerstone of our economy and drive our future […]

AoFrio named winner in BIER’s global ‘The Cool Challenge’

Paving the way for a more sustainable commercial refrigeration industry AoFrio, a global technology company headquartered in New Zealand, has been named the winner of the ‘Incremental Change in Energy efficiency’ category at The Cool Challenge, an initiative led by the Beverage Industry Environmental Roundtable (BIER). This achievement marks an important milestone for AoFrio, a global leader in creating and manufacturing cutting-edge and sustainable Internet of Things (IoT) solutions and high efficiency motors for commercial refrigeration. BIER is a coalition of leading global beverage companies working together to advance environmental sustainability within the beverage sector. Its new initiative, The Cool Challenge, invited innovators to revolutionise commercial refrigeration related to chilled, canned, or bottled beverages at their point of sale, and shape a sustainable future for the industry. AoFrio entered the ‘Incremental Change in Energy efficiency’ category, which required applicants to present solutions which optimise energy efficiency by leveraging existing compressor technology and pushing boundaries. Entries were judged by global sustainability leads amongst the likes of Heineken, AB InBev, and Coca-Cola. AoFrio received the win for its solution ‘AoFrio Inside’, which showcased the energy efficiency savings its customers can achieve if they implement the breadth of its hardware and SaaS offering in their coolers. AoFrio can reduce its customers’ energy-use by an average of 54% when compared to a basic cooler of the same capacity*. AoFrio Inside is a complete refrigeration solution that combines the best of hardware, software, and cloud-based services – it includes the following: AoFrio ECR 2 motor – a high-efficiency motor that uses significantly less power than shaded pole motors, saving energy and money. AoFrio SCS controller – a smart IoT controller that connects your cooler to the AoFrio ecosystem and enables you to monitor and control the cooler’s temperature, locations, sales, power consumption, and operational effectiveness. […]

Steel awards showcase local industry’s strength and innovation

Steel Construction New Zealand (SCNZ) is pleased to announce the results of 2023’s SCNZ Excellence in Steel Awards. The winners were announced on 27 October in Queenstown, where more than 200 structural steel industry leaders and specialists gathered to celebrate the best of the best at an event that showcases the sector’s commitment to innovation, best practice and collaboration. Each year, the task of judging becomes increasingly difficult. This year, 21 finalists were selected from a pool of 32 impressive submissions, which demonstrate the remarkable design and execution possible when steel is used as the primary construction material. “The high calibre of entries is testament to the industry’s ongoing commitment to raising the bar,” says SCNZ Chair David Moore. He notes there has been widespread emphasis on best practice amongst structural steel contractors and a drive to adopt global initiatives such as Industry 4.0. “Our local industry has also maintained its programme of investment in new cutting-edge plant, machinery and technology. These advances in technology have made it possible to construct highly complex steel structures that were previously out of reach,” says Moore. “The high standard of projects is also a reflection of the professionalism demonstrated by the fabricators, builders, architects and engineers that collaborate to bring these projects to life.” The 2023 winners are: Supreme & Over $3M Category Winner: MJH Engineering for One Whitmore Street Occupying a full city block, One Whitmore Street is a landmark 12-storey office tower in Wellington. The 17,500sqm building with its 1,420sqm floorplates and soaring three-metre-high ceilings will be the new home of the BNZ. The structure is designed to withstand Wellington’s unpredictable weather, with a convex profile and rounded corners that help to counter the city’s strong winds. The diagrid structure, with its diamond-patterned exterior, provides structural integrity while eliminating the need […]

Measuring and reporting your environmental performance – with Stride Property and ESP

Webinar 1:30pm, Tuesday 21 November, 30 minutes Learn how Stride Property is using ESP’s BraveGen software to track and report its carbon emissions and sustainability targets. Stride Property’s Sharyn Bramwell-Reweti, Safety and Sustainability Manager and ESP’s Dan Tomlinson, Head of Markets and Partnerships, joins thinkstep-anz CEO Barbara Nebel. https://www.thinkstep-anz.com/resrc/upcoming-events/stride-property-and-esp/

Tony Browne and Yang Ming, the Board Secretary of TUS-who signed MOU on behalf of TUS

World’s largest science park owner to explore opportunities within NZ

The development of a new technology park here, similar to the Cambridge University facility, could represent a significant opportunity for the expansion of New Zealand’s science and tech sectors. The arrival of the world’s largest technology park developer to explore opportunities within NZ is set to boost the country’s scientific research infrastructure and support business growth through the commercialisation of innovations in the bioscience, agritech and healthcare sectors. Chinese owned Tus-Holdings, manages international assets of $48bn, operates 300 start-up incubators in 70 science parks in 100 cities around the world. The organisation has also partnered with over 200 tertiary education providers, including Cambridge University, to support the growth of thousands of companies over the past 30 years. A newly signed memorandum of understanding, signed by the company and New Zealand’s former ambassador to China in his current role as chairman of the Council of Next Federation, Tony Browne, could lead to a multi-million dollar local incubation facility established to help Kiwi food, health and other technology businesses access the Chinese market. As part of the agreement, Tus-Holdings will explore the joint construction of science and technology industrial parks in New Zealand, Australia and China to promote and commercialise innovation. Browne says if established, the development of a new technology park here, similar to the Cambridge University facility, could represent a significant opportunity for the expansion of New Zealand’s science and tech sectors. He says the company has a focus on the provision of facilities and opportunities for scientific research and its commercialisation. Browne says the potential benefits for New Zealand lie in the development of new research facilities, enhanced international connections, and the chance for startups and other companies to benefit from networks and guidance in developing and growing science-based initiatives. “Through its incubation and funding ecosystem, Tus-Holdings has helped […]

RS launches NZ warehouse

Launched in November, RS will stock 500+ products in their new Auckland warehouse for next-day delivery across New Zealand. RS have further committed to the New Zealand market, leveraging the Group’s logistic partnerships with the opening of a state-of-the-art warehouse facility in Auckland. This commitment will ensure that customers can expect shorter delivery times with next day delivery available on many selected products. Established in New Zealand in 2013 RS, a global omnichannel product and solutions provider, has forged valuable partnerships with prominent industrial customers by augmenting their procurement, inventory, and maintenance operations. This recent expansion exemplifies RS’s dedication to minimising costly downtime for its clients. Customers can now readily access industry leading brands such as Schneider Electric, Fluke, TE Connectivity, Honeywell, and Amphenol Industrial through this facility, along with RS PRO, RS’s own brand which offers customers a price competitive advantage. It is expected that RS over the short term will expand the number of brands available directly through this warehouse, offering customers more locally sourced options. “The team at RS in New Zealand are excited to have leading brands locally available to enhance our service offering to New Zealand customers,” explains Angie Shears, RS’s New Zealand Sales Manager. “We’re particularly looking forward to being able to provide our customers at short notice with a wider range of products including dangerous goods such as lithium batteries, adhesives, and silicon, as well as brands previously unavailable in New Zealand. “ This new warehouse is another reason manufacturers and other industries throughout New Zealand should have RS as their preferred MRO supplier. Cost incurred through forced down time is a major issue for business in New Zealand, RS works diligently with its customers to minimise these. RS also builds efficiencies in their customers’ procurement through helping them consolidate their supplier base […]

Q & A:Sean Doherty Advanced Manufacturing,Callaghan Innovation

How can Advanced Manufacturing take NZ forward? Advanced manufacturing involves the use of technology to supercharge the manufacturing sector. Already an incredibly pivotal part of our nation’s economy and operations, there is real value to be found in unlocking the full potential of our manufacturers. The implementation of smart products and processes such as artificial intelligence, robotics and 3D printing are just some of the key ways we can look to automate, digitise and further develop operations. New Zealand hopes to reach the level of manufacturing represented by Industry 4.0 – a blueprint made up of a series of government initiatives from around the world. As a nation, reaching this goal would propel the nation forward in several critical ways. Manufacturers can harness new technologies to revolutionise their products and processes, effectively increasing their quality of output, and driving productivity forward. Economically, this creates an increase in profitability, enhances market competitiveness, and helps to generate higher-value jobs by automating lower-level tasks. Fostering innovation, this strengthens our supply chain resilience, and reduces our dependence on foreign sources. We can also work towards realising our full potential as a ‘clean, green New Zealand’, by encouraging resource-efficient, environmentally friendly practices. We are not a country rich with natural resources, except for dairy, horticulture and agriculture. We once made cars and TV sets. When that stopped it couldn’t be started again. So where can Advanced Manufacturing help to turn things around? Market demand, competition, global economic conditions and access to raw materials play crucial roles in the ability for a country to operate in a highly competitive industry – which is largely why dairy, horticulture and agriculture are particular strengths for New Zealand. However, advanced manufacturing holds endless possibilities for improvement. As we increase our capabilities, this certainly creates new opportunities for growth […]

What is prompt engineering?

Let’s say you’re making spaghetti marinara for dinner. Sauce from a jar is perfectly fine. But what if you buy your tomatoes and basil from the farmers market to make your own sauce? Chances are it will taste a lot better. And what if you grow your own ingredients from your garden and make your own fresh pasta? A whole new level of deliciousness. Just as better ingredients into a generative AI model can make for better results. These inputs are called prompts, and the practice of writing them is called prompt engineering. Skilled prompt engineers design inputs to interact optimally with other inputs in a generative AI tool. These inputs help elicit better answers from the AI model, meaning the model can perform its tasks better, such as writing marketing emails, generating code, analysing and synthesising text, engaging with customers via chatbots, creating digital art, composing music, or any of the other hundreds, if not thousands, of current applications. Let’s look at an example. Say you want a generative AI model to help you promote an upcoming financial-planning workshop with the CFO of your organisation, Acme Inc. You provide a generative AI chatbot with a simple prompt: “Write a social post advertising a class.” Here’s the output: **Elevate Your Skills: Join Our Class!** Unlock new knowledge, connect with experts, and embrace growth. Limited spots available—reserve yours now! #LearnWithUs #SkillBuilding #ClassTime It’s pretty generic and unlikely to generate much interest. Let’s try again. This time, you make your prompt a little more specific: “Write a short social post advertising a financial-planning workshop with the CFO of Acme, Inc.” Here’s what the model gives you this time: **Master Your Finances with the CFO of Acme, Inc.!** Get ready to take charge of your financial future! Join our upcoming Financial Planning Workshop featuring the CFO of Acme, […]

Helping Proline Steel gain new sustainability certification

www.thinkstep-anz.com The challenge Proline Steel was seeking to become one of the first businesses to be certified by the Australian Steel Institute (ASI)’s new Steel Sustainability Australia program (SSA). They approached the thinkstep-anz team knowing that they had helped ASI develop the new program. About SSA certification SSA certification independently verifies a company’s social, environmental and health processes. The certification, which replaces the ASI’s Environmental Sustainability Charter (ESC), recognises fabricators that have lower environmental impacts, are reducing carbon emissions, are transparent about their supply chain, respect human rights and are moving towards circular solutions. About Proline Steel Proline Steel fabricates structural steel in their factory in Padstow, New South Wales, and has nine staff. The manufacturer is a member of ASI. The company wanted to gain its first SSA certification to support its construction customers in the green building market. The certification contributes points to rating tools like Green Star. It also wanted to maintain industry leadership. As a smaller business, Proline needed help to document the good work it currently does, refine some of its processes and show it complies with SSA requirements. What thinkstep-anz did They worked with Proline to develop systems that support good business governance and manage its Environmental, Health and Safety (EH&S) activities. They held two workshops to help Proline document these systems and also helped the business better understand its supply chain. thinkstep-anz then worked with the Proline team to develop ten documents that met the SSA requirements. Once the documents were complete , they supported Proline with its submission to the SSA, and guided the company on how to best present the information to the assessor. Proline received the Level 1 SSA certificate in May 2023. It will aim for Level 2 next year. Helping Proline Steel to succeed sustainably thinkstep-anz’s work is helping […]

The time has come

A few years ago, Winston Peters was talking of the country’s need for a Minister of Racing and I was talking of the country’s need for a Minister of Manufacturing. I wrote about it, received feedback and, guess what?, that ministry has still not happened and is still a no-brainer! Business leaders need to take action about this for the future of the country. *Doug Green, publisher, NZ Manufacturer www.nzmanufacturer.co.nz Andy Bayly, National Spokesperson for Manufaxcturing comments: (In the picture)In July, representatives from the Hutt Valley Chamber of Commerce, local high schools and manufacturers met in Parliament with MP Andrew Bayly (seated, far right). Local MP Chris Bishop is also very supportive of the initiative. -Andrew Bayly, National Spokesperson for Manufacturing and MP for Port Waikato Over the last year, I have met with manufacturers from Whangarei in the north to Dunedin in the south. I have asked them what the Government could do to better support them. National wants to not only support existing manufacturers, but to attract more people into the sector and more manufacturing to New Zealand. We need all parts of our economy firing on all cylinders if New Zealand is going to recover from the current economic crisis quickly. To do so, we must reduce costs for our manufacturers, encourage investment, reduce taxes and make it easier for firms to hire and train new staff. Why manufacturing matters Manufacturing is critical to the New Zealand economy. It represents about 10 per cent of GDP and underpins over half of our exports. The sector employs about 250,000 people, accounting for nearly 11 per cent of all jobs in the economy. Its contribution to R&D is also significant, accounting for 24 per cent of business spending on R&D ($649 million in 2020). This has been achieved against […]

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