NZ Productivity Organisation

Getting back on track

It is very good news that the country is now in Orange and flexibility around people gathering allows business to breathe a sigh of relief. We can only go up from here! As a nation – as a business nation – we have been wrapped up in Covid cotton wool for so long that many businesses closed and others will not get back to previous levels of performance. And of course, we don’t have enough skilled people for the work at hand at present and the continual threat of OE and crossing the ditch for better financial reward means it will be years before New Zealand can get back on a firm financial footing. Into the black…if at all. Keeping all the balls in the air is a challenge for this small economy, with so much demand on government finances to maintain existing systems. Closing down the country during Covid may have worked for health and safety but certainly not for business. One could argue that an amount of money needs to be spent on skilled workers, both internal and from overseas, (some will come back) to help realign the economy. Decent rates of pay so that effort is rewarded and a real incentive for improving productivity and efficiency. Keeping in mind, of course, that supply chain issues affect movement of goods, affect productivity, just as it does the current demand for New Zealand products. Changing markets, changing times. This government is going to have to live with their decision to halt the good work of so many businesses for the rest of their lives. It will haunt them to know that those who had, suddenly, had not. To arbitrarily decide who trades and who doesn’t – not based on their own personal business experience – was always going to […]

Technologies enable smart factories to self-adapt

By Jarrod Kinchington, Infor ANZ vice president and managing director Judging by the headlines, continuous logistics issues, continued pandemic restrictions, and rising prices for raw materials will mean that manufacturers have their work cut out for 2022. In addition, the drive towards sustainability is adding pressure to readjust the manufacturing footprint. Most manufacturers are still stuck with a geographic footprint, which was driven by labour arbitrage around the globe, rather than by factors such as closeness to customers or ecological concerns. To increase efficiency, many producers have started to implement Industry 4.0 technologies. Industry 4.0 came with the promise of a smart factory being profitable at the production lot size of one unit. The concept was introduced at the brink of the millennium change with the introduction of cyber-physical systems to share, analyse and guide intelligent actions for various processes in the industry to make the machines smarter and to lower downtime. Analytics can also be used for other aspects like logistics, demand forecasts, production scheduling and quality control, capacity utilisation and efficiency boosting. But we still stand at the beginning for leveraging the true potential of Industry 4.0. Smart technologies offer no less than the possibility to redesign the global manufacturing footprint, to position factories closer to markets, reduce logistics nightmares and increase visibility of the ecosystem partners, including suppliers and customers. There are six important ingredients for a strategy to create the future-proof smart factory: Customers increasingly demand highly personalised products as well as an enhanced customer experience. Manufacturing companies adopt highly agile cloud-based solutions to gain the ability to increase individualisation, service additions, and serve higher flexibility requirements. The need to reduce delays and transport costs, as well as the drive toward a more sustainable production and the imperative to reduce the distance to the physical end-consumer […]

igus 7th axis extends working space by up to 400 percent

Articulated arm robots can travel over six metres, quadrupling their working space: the 7th axis is now compatible with all lightweight articulated arm robots worldwide thanks to a simple Plug & Play kit. So far, models from Universal Robots, Epson and the igus robolink series from Treotham have benefited from this increased mobility. Now Omron, Franka Emika, Doosan, Yuanda Robotics and many other lightweight robotics suppliers are joining the list. The first users of the so-called 7th axis, a linear axis with an electric toothed belt drive that igus launched in 2020, were thrilled according to Alexander Mühlens: “Suddenly, thanks to the additional axis, their articulated arm robots are as mobile as humans. This enables them to take on multiple tasks in automation environments making them significantly more productive,” says the Head of Automation Technology at igus. “We therefore decided to extend the compatibility of the system to all manufacturers worldwide – such as Omron, Franka Emika, Doosan and Yuanda Robotics. With a matching Plug & Play kit of hardware and software we make customisation possible.” Ready-to-connect complete solution for all lightweight articulated arm robots In the future, all lightweight articulated arm robots with a weight range of 10 to 50 kilograms or, depending on the dynamics, a payload of 2 to 20 kilograms can use the 7th axis. Treotham supplies the system as a ready-to-connect complete solution from a single source. It consists of a drylin ZLW toothed belt axis with a length of up to six metres and two parallel rails made of aluminium. These can be mounted on the floor, walls or ceilings and a toothed belt drive with stepper motor for a positioning accuracy of 0.3 millimetres. Also included is: an energy chain for guiding energy and data cables; a switch cabinet integration kit with cables; […]

Hutt Valley businesses step up to help build talent pipeline in the region

-Rebecca Reed It’s the same old story for every business, particularly those in the manufacturing sector…how do you fill the shortage of tradespeople and find the right workers for the job? The lack of skilled workers in Aotearoa has only intensified since Covid, with employers battling to attract and retain talent to keep up with their workflow demands. In the Hutt Valley Chamber of Commerce recent Business Confidence Survey at the end of 2021, 56% of employers in the region said they were struggling for talent. Chief Executive, Patrick McKibbin, has been a long admirer of an innovative model born out of the Hawkes Bay that has become a real success story in attracting and retaining young talent. This model was the brainchild of engineering employer, Patton Engineering. After struggling to find and attract the right workers, particularly apprentices, Patton Engineering decided to do something about it themselves. In 2018, Patton Engineering partnered with Hastings Boys’ High School to create a model to support students towards a pathway into engineering that could be rolled out nationwide. To realise this vision, they focused on secondary students who were undertaking trades training as part of their technology class. Machinery, materials, and gear were provided to the school through sponsorships, grants, and donations. Patton Engineering also engaged their suppliers, like Steel and Tube, to provide the school with materials at the same cost it sells to Patton. This Steel and Tube deal is now available to all schools across New Zealand. How exactly does the model work? Essentially Patton Engineering, and now another 31 employers working with the school, provide work experiences through the year and then get to see and select the future employees for their business. For the business this has a fantastic ROI with lower cost to recruit, lower churn […]

Foster productivity growth for a strong recovery and better living standards

Strong government support to protect jobs and incomes in the face of the pandemic helped New Zealand recover rapidly from the severe Covid-19-induced downturn, but challenges remain to set the economy on a sustainable growth path, according to a new OECD report. The unemployment rate fell to its lowest level since 2007 while the employment rate rose to its highest level on record in the third quarter of 2021. However, inflation and house prices have picked up significantly and both household and government debt have increased. The latest OECD Economic Survey of New Zealand recommends that fiscal policy be adjusted in the near term to help stabilise the economy. Boosting productivity, particularly by making better use of digital technologies, would support further increases in living standards. Economic growth is expected to slow as capacity constraints bite and macroeconomic policies are tightened. Consumption growth is also expected to ease to a more sustainable pace as employment growth slows. After surging to 4.7% in 2021, New Zealand’s GDP is expected to rise by 3.8% this year before easing to 2.5% growth in 2023. “The near-term economic outlook is positive. The New Zealand economy has recovered strongly from the pandemic. The need for policy action is pressing in a number of areas to make economic growth sustainable. For instance, helping the digital sector to grow would help boost labour productivity.” OECD Secretary-General Mathias Cormann said, presenting the Survey alongside Finance Minister and Deputy Prime Minister Grant Robertson and Minister for the Digital Economy and Communications David Clark. “Linking pension eligibility to life expectancy and adopting long-term debt-to-GDP targets would help address the projected increase in government debt.” With affordability for first homebuyers at low levels and a buoyant housing market, it is important for the government to complete reforms to increase housing supply and […]