NZ Productivity Organisation

Rise of the Machines – is technology really replacing humans?

– Catherine Lye, Head of Advanced Manufacturing and Export Communities, EMA As our Smart Factory Showcase continues building momentum in the Industry 4.0, manufacturing and technology space, it’s time to share some insights into what we’ll be covering during each session. Each Smart Factory Showcase covers several key areas of operation at Nautech Electronics. These include sales and planning, systems, connectivity, research and development, production, testing, facilities, smart business models and implementation strategies. Industry 4.0 and the showcase are all about highlighting how a range of digital technologies enhance manufacturing performance, output, monitoring and control, keeping businesses globally competitive. Today, we’ll consider the view that the adoption of new technologies could lead to the replacement of the human element required in manufacturing – or does it? Many of us have seen The Terminator film series where the artificially intelligent machines become self-aware and hostile with an aim to take over the world in a post-apocalyptic future. As Laurie Kubiak, CEO of Nautech Electronics assures us, people are always going to be necessary for the safe and successful operation of manufacturing machinery and technology. Adopting new technology is about making everyone’s lives easier, both for the company and its people. People are required for all parts of Nautech’s operations, particularly for forward-planning, scheduling, stock management, programming and much more. They cannot be replaced. Adopting Industry 4.0 and smart technologies actually has the potential to create more job opportunities, as people become vital in ensuring maximum machine efficiency, productivity, outputs and operation. Cobots (collaborative robots) are often used to take on certain repetitive tasks that humans could do, but they are able to maintain consistency and run for longer periods. They don’t need to work a standard shift or stop for breaks. Passing on these mundane tasks to cobots also has health […]

Harness the power of words to make your business more sustainable

-Barbara Nebel, thinkstep-anz This month’s sustainability tip: pick up your pen (physical or digital). Why? Because clear, engaging communication and reporting will make your manufacturing business more sustainable. Harnessing the power of words will help you define your sustainability strategy and share it with the people who matter to your business. Get your sustainability strategy down ‘on paper’ We love this quote from Pulitzer Prize winner David McCullough: ‘Writing is thinking. To write well is to think clearly. That’s why it’s so hard.’ We think he’s right. Getting your sustainability programme down ‘on paper’ will force you to consider how sustainability fits into your business strategy. What really matters to make sure your business ‘goes the distance’? How can you make it more sustainable? Who do you need to involve? What are the risks and opportunities? What targets will you set and how will you know if you meet them? If you haven’t already, get writing. Our tips: focus on what matters. (Strategy is about what you leave out as well as what you put in.) Keep your document short. Use ‘dinner-table language’: simple words, short sentences, personal language like ‘we and you’. Communicate your products’ environmental performance Tell your customers how you’re making your products more sustainable. Consider producing an Environmental Product Declaration (EPD) for a product. In our last article, we featured manufacturer Red Stag Wood Solutions’ EPD for sawn and planed timber products. An EPD tells the environmental story of a product over its life cycle in a clear, simple format that a wide audience can understand. It will help you translate complex environmental information about your product’s environmental footprint into simpler information that your wholesale and retail customers can trust to make decisions. Every EPD is based on data from a detailed environmental study called a […]

igus advances circular economy with e-chain made of recycled material

In the picture:More sustainability with consistent quality: The new world first cradle-chain made of recycled material conserves resources and drives the circular economy forward. Conserving resources and extending the product life cycle – this is the goal igus is pursuing with the new E2.1.CG cradle-chain from Treotham. Cradle-to-cradle: This is the principle of the circular economy, which is abased on nature. The aim: to return consumer goods to the biological or technical cycle in order to conserve valuable resources and raw materials. The motion plastics specialist igus is also pursuing this goal and has now developed the world’s first energy chain made from recycled material on the basis of its own “chainge” e-chain recycling program. From extreme weather and natural hazards to marine pollution, the climate crisis is getting worse and more and more people are becoming aware of it. “Even the purchasing decisions of our customers are increasingly being shaped by ecological considerations. That is why we have put a lot of effort into product development in order to be able to produce more resource-efficiently – without sacrificing product quality,” explains Jörg Ottersbach, Head of the igus e-chains Business Unit. The result: the E2.1.CG cradle-chain – a complete range of e-chains made from the new igumid CG material. Numerous laboratory tests show that the new e-chain has almost the same technical properties and load limits as an energy chain made from the standard igumid G material. The new range is available from Treotham in five series and 28 chain types. From discarded e-chain to recycled material The cradle-chain uses, among other things, recycled material from the “chainge” recycling program. As part of this program, igus has been collecting used energy chains from customers since 2019 so they do not end up in industrial waste. This service is offered […]

The Great Resignation affects digital transformation plans

A study by SAP SE has found nine in ten (92%) small and medium-sized enterprises (SMEs) in New Zealand say workforce volatility, including the Great Resignation, has directly impacted their digital transformation plans. This is critical, given 79 percent of SMEs say digital transformation is very important to their organisation’s survival over the next year. These insights have been revealed in new SME research which explores the impact of the Great Resignation on New Zealand’s SMEs. The study, Transformational Talent: The impact of the Great Resignation on Digital Transformation in APJ’s SMEs commissioned Dynata to survey 1,363 small and medium business owners and decision-makers across eight countries in the region, including 101 in New Zealand. The impact of the Great Resignation on SME digital transformation in New Zealand As the world economy recovers from the pandemic, businesses now face another challenge – the ‘Great Resignation’. Coined in 2021, the phrase refers to a worldwide trend of millions of employees across the world leaving their jobs. SAP’s research found the Great Resignation is real and impacting SMEs in New Zealand today. Three quarters (79%) of respondents agreed that more employees are resigning now compared to just 12 months ago, easily the highest in Asia Pacific and Japan. 36 percent of SMEs said they are not finding it easy to cope with the impact of the Great Resignation. The talent crunch is impacting organisation’s ability to digitally transform their businesses. In fact, lack of skilled talent ranks alongside difficulty balancing priorities as the top challenges to achieving successful transformation for New Zealand SMEs, ahead of traditional obstacles like cyber security or lack of budgets. Investing in talent and training to mitigate the Great Resignation SMEs in New Zealand are investing in their workforce to mitigate the effects of the Great Resignation […]

Richard Rookes, CEO, MHM Automation

How do you view the current market for automation? There is no better time than now to look at introducing technology to automate manufacturing processes. The international marketplace demands our customers be world leading in their operations and offerings, while also tackling the challenge of accessing labour. Covid has only exacerbated the labour shortage – and automation is an excellent solution to overcome this. What is your take on the industry in New Zealand at present? Is it an exciting space to be working in? New Zealand has always been a global leader in innovation, particularly as it relates to the food industry. However, the sector is fragmented with many small to mid-sized companies that do not have the scale or access to capital to take their technology to the world. MHM Automation has been consolidating a number of these businesses with a focus on building scale and diversification. We see it as an exciting place to be in – the drivers of automation in the food sector are many, from food safety, worker health and safety, food quality and keeping costs low. We see the drivers of automation improving and are excited about helping our customers future-proof their businesses. Briefly introduce me to MHM Automation MHM Automation is a leader in the design and supply of automated solutions to the food sector globally. We are headquartered out of Christchurch (NZ), and also have facilities in Hastings, Auckland, Brisbane and Green Bay, Wisconsin. MHM’s core business is working with the leading meat and dairy processors in North America, Europe, Australia and New Zealand. Our client base spans most of the major producers in these markets. MHM has three key product offerings: Chilling and freezing: Our Milmeq product range is a world leader in the chilling and freezing of meat and […]

Q&A Holger Heinzel, HERA

Digitisation and new technologies are having a profound impact on every facet of the manufacturing industry. As has been discussed in this forum, Industry 4.0 is upon us – enabling and also pushing businesses to collect and analyse data to streamline and improve the efficency of their systems and processes. The new tech gives so much – freed-up time and productivity boosts, less waste, far better and faster insights for a business to improve. We appreciate, though, that innovation requires investment and this is a time when many organisations are maintaining a hawk-like eye on capex and opex. The good news is that it’s worth it: HERA’s 2021 report in collaboration with BERL modelled the potential economic impact of Industry 4.0 on the New Zealand construction industry and found that gains over the next five years could be as much as $8 billion, and a heartening $4 billion at the moderate optimistic forecasting. And that is only for that part of the NZ economy. The potential for individual businesses and the wider industry is clear if we can take advantage of it. To that end, we are focusing on tools and methodologies to help members and other manufacturing organisations with the transition to Industry 4.0. A good starting point for company is to establish where they currently sit at, as a starting point for their transformation journey or how far they might have already come. What is the SIRI Assessment? Siri, short for Smart Industry Readiness Index, is an Industry 4.0-focused global assessment scheme. It was developed out of Singapore and is available to manufacturers in New Zealand. In the past four years, over 300 companies worldwide have used the SIRI Assessment to formally evaluate their facilities and processes and kick-start their Industry 4.0 transformation. The tool works for a wide […]

Company Profile: Nautech Electronics

Nautech at EMEX 2022. Nautech Electronics has worked tirelessly for over 30 years to deliver their clients the high-quality electronic solutions they need. They use the very latest technology and Kiwi ingenuity to establish themselves as a world leader in electronics manufacturing and product engineering. Recognising the marine industry’s growing need for electronics installation and service, Nautech was established in 1989 as a home-based business. They now operate out of a state-of-the-art facility with a team of 78 specialists. With an innovative and collaborative approach, Nautech focus on excellent service, reliable delivery, IP protection and competitive pricing. Today, Nautech continue to deliver their clients the world-class electronic solutions they need to succeed. At Nautech, Quality isn’t just a process – It’s their philosophy. Nautech has partnered with the EMA for the Callaghan Innovation funded Smart Factory Showcase as part of the Industry 4.0 Demonstration Network which launches in July. Andrew Turner, Managing Director and Owner shares the company’s path: Can you tell us a little more about Nautech and the customers you serve? We manufacture for almost all industry sectors, from consumer to automotive, marine, aeronautical the way to defence and aerospace. We also design and develop products for customers as well as our own range of emergency warning products. Can you explain what Total Quality Management means to Nautech? TQM starts with management but is really a culture, it needs “buy in” from the whole team. At Nautech, all members participate in improving processes, products, services, and their own work environment. What advances have you seen in manufacturing since Nautech was established in 1989? So many! Back then, almost all electronics used thru hole components. We purchased our first wave soldering machine in 1996, and later that year, our first SMT placement machine. It was 2000 before we upgraded […]

Q&A: David Moore, Managing Director of Grayson Engineering

HERA member Grayson Engineering is a recognised market leader with over 50 years in the steel fabrication industry. From large-scale stadiums to sculptures, bridges, towers, industrial sheds and everything in between, the organisation has completed a wide range of projects while continually investing in CNC equipment and technology. HERA spoke to Managing Director, David Moore (left), about the future of steel, the impact of Industry 4.0 and some of the challenges and opportunities the company is facing. How are you finding current business conditions? We are busy. We’ve got a lot of work locked in for this year and next year, but, like everyone in the industry, the price of steel is increasing and ongoing global supply chain issues are proving challenging. While there is a lot of construction activity, one of our biggest challenges now is ensuring we get what we need as every service provider, from steel merchants to paint suppliers, is having their own supply impasses. We’re optimistic that it won’t get worse, but realistically these pressures are here for a while yet. If you asked me before the war in the Ukraine, things were starting to stabilise, but now we are seeing prices on the move again. How much has your company been impacted by the pandemic? If we have an outbreak in our office-based team, they can work from home if they’re well enough. Our team can’t do what they do in the workshop at home – and just about everybody in our workshop caught COVID-19. It hit our business hard, particularly as the level of assistance from the Government was really limited to the wage subsidy. As other businesses know, there are fixed overheads that must be paid even when no revenue comes in during lockdowns. It will probably take two or three years […]

Company Profile – Oasis Engineering, Tauranga

Industry 4.0 – Just do it! Oasis Engineering began as the maintenance division of the Gisborne Oasis soft drink brand, before moving to Tauranga and becoming known for its close-tolerance machined parts in difficult to work materials, including stainless steel and titanium. They now make parts for every major compressed natural gas (CNG) company in over 40 countries. Oasis and its team of 30 manufacture precision stainless steel machined and assembled components, primarily for the natural gas industry. We recently caught up with Kevin Flint, General Manager of Oasis, to hear how their Industry 4.0 journey has been progressing. Can you tell us a bit about your background and your role at Oasis? I am the General Manager of Oasis Engineering Ltd. From Blackpool in the UK, I have been in the manufacturing industry for over 30 years. I emigrated to New Zealand in 2006 and I’ve been employed at Oasis Engineering since 2007. I have a degree in Mechanical Engineering, a Masters in Product Development, and am a Fellow of the Institute of Mechanical Engineers (UK). My first professional role was to design Automated Production Machines and write the PLC programs. Industry 4.0 has been in my blood since I began my professional career. Can you tell us what Oasis Engineering do? We are a manufacturing company based in Tauranga with 30 employees. We design and manufacture products for the CNG (Compressed Natural Gas) Industry, Hydrogen Refuelling Industry, Food and Dairy Industry. Currently, 80 per cent of our products are exported to over 20 countries, but mainly the USA and Canada. When did Oasis begin their Industry 4.0 journey? I first became aware of Industry 4.0 after Oasis Engineering was bought by German company, Elaflex Hiby GmbH in April 2017. They have a factory similar to ours in Plettenburg […]

Serious about sustainability? Delve into your supply chain!

-Barbara Nebel, CEO thinkstep-anz Supply chains are ‘having a moment’ – and not an easy one. As a manufacturer, you’re likely to be facing supply chain challenges due to Covid-19 and global unrest. The current situation highlights the critical role supply chains play in manufacturing. Read on to learn how Kawerau-based manufacturer Essity Australasia (formerly Asaleo Care) is future-proofing its supply chain, with benefits to its business, the natural environment and local communities. Zooming out: the global picture and SDG12 But first, let’s start with the global picture. The United Nations’ Sustainable Development Goals (SDGs) recognise that supply chains play a critical role in creating a more sustainable world. In fact, supply chains have their own SDG. It’s SDG 12: Responsible Consumption and Production, and it’s linked to many other goals in the SDG framework. Why the link? Because, by purchasing responsibly, manufacturers can have positive impacts far beyond their own businesses. For example, by ‘buying local’, they can help build sustainable cities and communities (SDG11). By using renewable energy, they can contribute to affordable and clean energy (SDG7) and promote climate action (SDG13). Essity Australasia: SDG12 in action Essity Australasia is a good example of SDG12 in action. The manufacturer produces personal care and hygiene products and is the only New Zealand manufacturer of toilet and hand towel tissue products. The company is serious about understanding and managing its environmental and social impacts, including through its supply chain. Understanding the sustainability of its supply chain Essity Australasia uses Life Cycle Assessment (LCA) to review the environmental impacts of its products across their life cycles. LCAs measure the impacts, including carbon emissions, involved when the manufacturer makes its personal care and hygiene products (using resources like trees, water and energy and services like transport). They also calculate the impacts involved […]

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