Editorial

Waste: The Enemy of World Class

-Ian Walsh, Managing Director, Intent Group Limited Most practitioners of continuous improvement and “lean” thinking will explain the approach to world class as making value flow by eliminating waste and continuously improving processes, practices and systems to support this value. Over the last few months, we’ve been made aware of the impending crisis in the horticultural sector – a crushing volume of produce languishing on the vine (or branch) due to a shortage of pickers. Can you imagine putting all your energy, labour, fertiliser, sprays, pruning and thinning practices over a whole year and then watching helplessly as some, or even worse, most of your crop ending up as just worm food? What an incredible waste, and yet this is what the industry has faced. Clearly, this was not the intention of the orchardists; had they known this would be the case, they would have managed their orchards to reduce the costs, efforts and waste. The problem stemmed from the lack of available labour to pick the crop. When we went into Covid lockdown last year the harvest was nearing or had reached completion. The emerging problem of lack of labour, due to border restrictions on Recognised Seasonal Employer (RSE) scheme workers, was highlighted and well documented. Yet in a period of nearly 12 months we were unable to put a process in place to avoid this waste. The assumption appeared to be that there would be enough labour freed up from other sectors to fill the gap. With the unemployment rate climbing, mostly through cuts in the tourism and hospitality industries, surely there would be enough people crying out for any employment opportunity they could get? The reality is this was not the case. Firstly, you’d have to be willing and able to pick fruit. Our nation’s experience over […]

EcoStruxure solution meets Mataura Valley Milk’s requirements

Building the world’s best nutritional business is the ambitious goal that New Zealand dairy company Mataura Valley Milk set out to achieve in August 2016. Now the company’s milk production plant is an impressive accomplishment that comfortably justifies its early ambition. Mataura Valley Milk is now benchmarking innovation and performance for other milk plants. Situated north of Gore at the bottom of the South Island, the state-of-the-art facility was delivered on-time and within budget, an impressive achievement for a greenfield project. “To achieve our goal, we knew that choosing only the best people, partners, and infrastructure was crucial,” says Brent Robinson, Mataura Valley Milk’s Projects Manager. “The success of the project was a consequence of meticulous planning and strategy. We sought out and hired the most skilled staff; we chose construction partners with proven expertise; we purchased best-in-class plant and equipment; and we partnered with industry-leading suppliers and fabricators.” Schneider Electric was one such expert partner that delivered its EcoStruxure solution, tailored to Mataura Valley Milk’s strict requirements for a fully connected and integrated facility with real-time visibility of every process. Connectivity At Mataura Valley Milk’s core is its dedication to customers. “We must have agility around what we produce with no sacrifice of quality. Producing nutritional products is a complex, high reward approach so the plant must be nimble and our expertise unmatched. To confidently make these decisions, visibility and trust in our data is crucial” says Robinson. Schneider Electric’s EcoStruxure Plant solution delivers and provides context to live, real-time data on every process at the plant through AVEVA’s System Platform, Batch Management and Manufacturing Execution System (MES) software. In short, Mataura Valley employees receive any data they require immediately and know they can trust it. Goal Mataura Valley Milk wanted to build a business that could quickly tailor production […]

Circular Economy Awards launched in Australia & New Zealand

A new awards program, The Circle Awards, will celebrate and unite the businesses, organisations, projects and people shaping the circular economy in Australia and New Zealand. Established by The World’s Most Rubbish (TWMR) in partnership with NSW Circular, The Bravery, and Urban List, The Circle Awards aims to spotlight products and services adopting circular practices that span all aspects of our day-to-day lives. It also aims to grow awareness of the sustainable options available to more people, not just the ones who are already looking for them. In contrast to our current ‘take-make-waste’ linear model, a circular economy is regenerative by design. It’s about rethinking the entire approach in order to design out waste and pollution, keep products and materials in use and regenerate natural systems. Keeping resources in use for longer, and in a perpetual loop, or circle, reduces environmental impact and protects precious natural resources. Nick Hoskin, Co-Founder of TWMR and The Circle Awards said, “Many consumers and brands are already contributing towards a more circular world, sometimes without realising it. While we’re hearing the term ‘circularity’ or the ‘circular economy’ more than ever, the understanding of what this means, both in theory and practice, is limited.” “The Circle Awards showcases tangible examples of circularity in action, demonstrating to people that we can consume more consciously without compromising on quality, cost or experience. In fact, circular design thinking is behind some of the most interesting products and services on the market as a driving force for innovation. The result can be a far superior experience because every aspect in the process has been carefully considered to deliver the best possible outcome,” explained Nick. Importantly, The Circle Awards is here to recognise and celebrate those making progress in this space, not just those doing it perfectly or on a […]

Revamped 2021 Diversity Awards NZ open for entries

Significant changes to the Diversity Awards NZ for 2021 recognise the increasing maturity in workplace diversity and inclusion programmes in Aotearoa. Entries are now open for this year’s awards and Diversity Works New Zealand Chief Executive Maretha Smit says the programme has a new format and new categories. “Over the past three decades, the conversation about workplace diversity and inclusion has matured to the extent that our collective perspective of excellence has become more refined, with multiple opportunities to showcase innovative approaches in respect of specific dimensions of diversity. “Through an extensive literature review over the past six months, Diversity Works New Zealand has developed a comprehensive framework of the specific organisational factors required to build inclusive workplaces. “We wanted to ensure our awards programme aligned with that framework.” The Diversity Awards NZ, now in their 24th year, offer organisations an opportunity to showcase a variety of innovative people initiatives and publicly commit to being held accountable for tangible progress in building work environments where everybody is safe to bring the best version of themselves. This year there will be four award categories for private and public sector organisations to enter – Leadership Award, Diverse Talent Award, Inclusive Workplace Award and Mātauranga Māori Award. The judges will be able to recognise large organisations with more than 100 employees and small to medium organisations with fewer than 100 employees in each category. All winners in these categories will be eligible for the Supreme Award. In addition, there will be an Impact Award open to private sector and charitable organisations whose core business it is to facilitate the provision of more equitable workplace opportunities. Previous Supreme Winners include the Ministry of Business, Innovation and Employment, Vector Limited, the New Zealand Defence Force, Real Journeys, New Zealand Police Winners are chosen by an […]

Digital Boost is just that

Manufacturing in the digital age The manufacturing industry is not often associated with social media, digital marketing or website development. With the introduction of the government’s free Digital Boost online learning tool, we caught up with a small Kiwi manufacturing business that is bucking this trend. Haumoana, Hawkes Bay based Raw Concrete Design says that it has benefited from digital upskilling. The business manufactures a range of concrete products including basins, vanities, tables and unique one-off creations such as bars and benchtops for residential and commercial clients. Owner of Raw, Toby Payton, uses concrete reinforced by fibreglass. This removes the need for conventional steel reinforcement, leading to a lighter, thinner and stronger final product. According to Toby, the use of digital tools has been instrumental in his business success. “It is all about streamlining your business and cutting out clutter to try and make life easier.” Toby has successfully used websites, social media and job tracking software to market his products and keep track of projects. With a background in human resources and no understanding of website development, Toby said he decided to build one himself. “It was a big learning curve. But I now understand the backend of it, which means as things need changing, I am able to edit it myself.” He also put a shop on the website to allow customers to purchase online easily. “The website adds credibility to the business – it was a great feeling when the first product sold.” The Raw website uses Stripe, an online payment platform that allows for quick and secure online payments. To market his products, Toby turned towards social media platforms Facebook and Instagram. While Facebook enables a broad range of content, Instagram is focused on image-heavy, content-rich posts. According to Toby, his social media accounts had a rapid […]

Can you spend your way to world class?

-Ian Walsh, Managing Director, Intent Group Limited I was recently reflecting on a discussion with a company that, like a few at the moment, has seen rapid growth due to increased demand for their products. They reviewed their ability to meet this demand and concluded they need to expand their facilities. This makes sense – interest rates are low, banks are keen to lend, so why not invest in new plant and equipment? Indeed, why not? “Have you optimised your current plant and equipment?” was my response – even if capital is readily available, why spend it if you can meet your needs with what you already have? In my experience many companies don’t know their true process potential or capacity. Obvious moves such as crewing all shifts and running through breaks have not been implemented, let alone proper debottlenecking and flow improvements. These combined efforts can lead to significant increases in throughput (in many cases 2-3 times) and avoid the need for investment altogether. There’s an assumption that by buying new equipment all the problems will go away and a warm rosy glow will shine on the business – this is rarely the case. Not unless you have deeper pockets than your competitors can you outspend them to world class! I think back to discussing equipment with the plant manager of a world class facility in Japan. He explained to me that they hate new equipment, that they know and understand their existing equipment, and with it they are already stable and performing. Their competitive advantage wasn’t in buying new equipment, but instead innovating and operating with their existing equipment better than anyone else. Contrast this with most companies where they assume the first day of new equipment will be the best, and every day after their investment diminishes […]

Food and beverage led economic recovery highlights the importance of Foodtech Packtech show in 2021

Locally and globally the environment, freight, food safety, traceability and security are becoming increasingly relevant to consumers and governments. As people ask where their food came from, food and beverage manufacturers need support and expertise to ensure that they meet the demands of buyers and legislators alike. It is times of intense change where a trade show spanning decades provides vital support to the industry by showcasing new technology, products, solutions and know-how. Meeting industry specialists is essential to helping you innovate and stay relevant through New Product Development and Process Improvement. Running from April 13 to 15 at ASB Showgrounds the co-located Foodtech Packtech and Materials, Handling and Logistics Expo give visitors the opportunity to meet over 200 new and existing suppliers in packaging, ingredients, logistics, machinery, technology and much more. Whether you are looking to take your new plant food solution the rest of the world, launch the family’s secret sauce or ensure that your multimillion-dollar global company is keeping up-to-date, this show will help you achieve your goals. Packed with features the event is a one-stop shop, with two shows key to the food and beverage industry under one roof. You will meet new and existing suppliers, as well as industry experts, and associations, so you can help New Zealand kick start the economy. Seminars With 32 seminars and workshops across three days, you are connected with the experts and answers to your most pressing food processing, manufacturing, packaging, sustainability and distribution questions. Business Growth Hub The show’s Business Growth Hub is supported by the Food Innovation Network, Auckland Unlimited, NZ Food Awards, Callaghan Innovation, New Zealand Trade & Enterprise and New Zealand Institute of Food Science & Technology Inc. You can book a one-on-one session at https://www.foodtechpacktech.co.nz/visitor-information/business-growth-hub/. Digital Lean Introductory Workshop A Digital Lean Introductory Workshop […]

High demand and growth puts pressure on manufacturing sector

The beginning of 2021 is proving a headache for the manufacturing sector and it could be some time before the pain relief kicks in. The cost of sourcing materials, increased demand, and supply issues are some of the areas industry is grappling with, according to Helen Down, Chief Executive of the Hutt Valley Chamber of Commerce. “It’s clear supply issues are continuing to have an impact as manufacturers are unable to source their raw materials in a timely or cost effective manner. With limitations to international travel, we are witnessing a dramatic change in customers buying habits, with people spending their money on home and recreational products. “This puts pressure on businesses who can’t keep up with demand in specific areas,” she said. “A wide range of businesses are finding it extremely time consuming to source raw materials. Some components are simply not available, and won’t be available, for many months, coupled with rapidly rising costs for materials.” Shane Lowe, National Sales Manager of freight forwarding company 360 Logistics, based in Lower Hutt, said they are they facing increased shipping and air costs, and there is a general slowdown at the moment in the ability to move goods. “The southbound rates from Asia continue to hold at peak levels as demand continues to outstrip capacity. “The USA congestion issues over many ports, and the capacity and congestion problems between New Zealand and Australia, are forcing the need to look at different options,” he said. “We are in the middle of the peak export season for New Zealand, and we are finding some route pricing has been pushed up and as a result we are struggling to find space to ship the product.” Shane Lowe said they are also seeing delays from suppliers because the factory supplying finished goods is also […]

We’re big coal users

-Editorial, March issue NZ Manufacturer Its common to sling the mud at Australia about its coal mines, reliance on coal and exports to South Asia nations. But it’s something else to realise that New Zealand has been importing coal at levels not seen in 14 years. million tonnes were imported into New Zealand last year, much higher than the combined total for 2018 and 2019. Why is this happening? Because the Government three years ago banned exploration for natural gas. We even had a climate – change emergency in December last year with coal imports 41 percent higher than in December 2019. Food for thought? The 2018 ban on companies exploring for natural gas has caused this spike. New Zealand’s manufacturing sector saw a slower rate of expansion during February, according to the latest BNZ – BusinessNZ Performance of Manufacturing Index (PMI). The seasonally adjusted PMI for February was 53.4 (a PMI reading above 50.0 indicates that manufacturing is generally expanding; below 50.0 that it is declining). This was down 4.6 points from January. PMI Time Series Table National Indicies Feb 2020 Oct 2020 Nov 2020 Dec 2020 Jan 2021 Feb 2021 BNZ – BusinessNZ PMI 54.1 52.2 54.9 48.3 58.0 53.4 Production 54.9 51.9 55.4 52.4 59.3 57.3 Employment 51.5 52.3 51.3 49.8 56.1 49.8 New Orders 56.2 53.2 56.7 50.5 62.8 56.2 Finished Stocks 53.5 49.3 59.5 45.3 52.9 51.2 Deliveries 53.6 49.1 51.6 45.0 48.8 47.6

Additive Manufacturing: Re-thinking how we use materials in a circular economy

By Dr. Jim Goddin, Technical Director of Circular Economy at thinkstep-anz. The circular economy presents a more economically sustainable and lower-risk alternative to the highly wasteful, linear, take-make-dispose economy. The regenerative model proposed by the circular economy shows that when the things we make are designed to last, their economic value can be recovered for the benefit of the business. If delivered well, the circular economy can also provide significant environmental and social benefits. The circular economy presents key opportunities for products that rely on advanced manufacturing processes such as Additive Manufacturing. Additive Manufacturing (AM) — sometimes called 3D printing or near-net-shape manufacturing — is the process of building a part layer by layer through selectively fusing (or sintering) the material using a laser or electron beam. This layer-wise process delivers design freedoms that are unavailable in more traditional manufacturing techniques. World-leading AM collaborations are incorporating Life Cycle Assessment principles when developing AM processes and parts, including the €18M (NZD $30M) AMAZE project — Europe’s largest and most ambitious metal additive manufacturing research project. Many AM projects also have a strong focus on resource efficiency. Metrics, such as the Material Circularity Indicator (MCI), enable us to gauge resource efficiency and in turn, quantify how circular products are. How then might AM be promoted based on circularity? Recovering manufacturing value in a circular economy The circular economy is estimated to represent a $NZD $7.5T global economic opportunity. This massive economic value stems from the reduction of supply risks and the recovery of value that is currently lost through products which are designed inefficiently, under-utilised, or which otherwise go to waste. Recovering materials through recycling is a prominent part of the circular economy and serves an essential purpose in reducing waste. However, recovering raw material value only accounts for a tiny portion […]

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