Regional Manufacturing

NZ Manufacturer magazine includes expert comment and analysis from Sean Doherty, Ian Walsh, Geerten Lengkeek, Dr. Megan Woods, and soon, the new Minister for Small Business and Manufacturing, Cameron Brewer. In this election year, we welcome feedback from you, the reader, on the issues you would like the incoming government to focus on and do something about (productivity – energy costs – the cost of living – housing etc). This article is by Sean Doherty, Manufacturing Commentator | NZ Industry Trends   Manufacturing is not just another sector in New Zealand; it is one of the core systems that keeps regional communities alive and anchors our standard of living. When factories close in Whakatāne, or the outer suburbs of Christchurch, we do not seamlessly “move up the value chain.” We lose well‑paid careers, technical capability, and the dense network of firms and supply chains that make an economy resilient. The signs of deindustrialisation are already all around us Long‑standing manufacturing plants shutting, production shifting offshore, and investment decisions quietly goes against New Zealand. The immediate impact is job loss, but the deeper damage is structural. Manufacturing has long provided thousands of solid, mid‑skill, mid‑wage jobs for people who are prepared to learn a trade, run complex processes, and take responsibility for quality and output. As these roles disappear, the labour market splits into a small group of high‑income professionals and a growing pool of low‑paid service jobs in areas like tourism and hospitality. That mix locks in stagnant wages, weakens social mobility, and drives up fiscal pressure as more households rely on government support to close the income gap. For regions, the consequences are even more personal. A single plant in a provincial town can support hundreds of families directly and many more through suppliers—maintenance firms, transport operators, engineering workshops, automation […]

  Adam Harvey, Business Performance Partner – Manufacturing, The Learning Wave We all know the story: New Zealand productivity lags behind much of the OECD. For years, it’s been in reports, debated at conferences and written in board packs. You feel it when the same issues resurface, rework creeps back in, downtime conversations repeat, and new kit doesn’t deliver what it promised. Travelling the country and visiting Kiwi manufacturers, one thing is clear: there’s ambition everywhere. New systems being introduced, digital dashboards going up, automation projects underway, and capital being committed. There’s no shortage of intent. That’s progress. It’s the right direction. But there’s an uncomfortable truth that needs to be addressed. New systems, processes and tools don’t create better performance on their own. If the people closest to the work aren’t confident reacting to change, interpreting data, using the tools, and actively improving waste, quality and efficiency, productivity and performance rarely changes. Not because your team doesn’t care. But because the capability required to unlock that next performance level hasn’t kept pace. The real constraint holding us back In many cases, that capability gap traces back to something we don’t talk nearly enough about in manufacturing: low workplace literacy and numeracy. Not school maths. Not essay writing. Workplace skills. Reading a job sheet and understanding what it needs. Identifying problems and asking the right questions. Speaking up and asking questions when they aren’t sure. Across Kiwi manufacturing, the data is confronting. At least half of all frontline workers don’t have the skills to thrive in increasingly complex plants. When those skills aren’t strong, performance leaks. The silence when you ask for questions? The issues noticed but not raised? The instruction acknowledged but not followed? All likely literacy challenges. And as new tools, systems and processes roll in, those gaps […]