The Creative Class

Supporting manufacturers to succeed

By Hon Chris Penk, Minister for Small Business and Manufacturing While the Government has been setting out a pro-growth agenda, a question I often hear when I visit manufacturers or speak to business audiences is: what support is available for firms that want to expand and contribute to a stronger economy? For those who haven’t come across it yet, I want to highlight the Regional Business Partner (RBP) Network. This nationwide programme, delivered in partnership with business chambers, economic development agencies and the national provider Poutama Trust, offers practical, tailored support to help small businesses grow. The past financial year has been one of the strongest yet for the RBP Network. Nearly 4,500 businesses engaged with the programme, which is the highest number outside the COVID-19 response. That’s a seven per cent increase on the previous year, and 13 per cent higher than in 2022/23. This growing uptake tells us that business owners value the advice and connections on offer, and that word-of-mouth recommendations are carrying real weight. One example of what this support can achieve is Coastwood Furniture, a long-established manufacturer in Greymouth. Known for solid timber furniture designed for both retail and commercial clients, Coastwood has been in business for more than 25 years. Like many regional firms, it faces challenges: rising operating costs, softening retail demand, and limited access to experienced leadership talent. Within the company, some staff had stepped into management roles without formal training. Across its retail network, staff were not always equipped to present Coastwood products consistently. With support from Development West Coast through the RBP programme, Coastwood put targeted training in place. This included leadership development workshops, advanced health and safety training, and a “train the trainer” sales initiative to help retail partners around the country. The impact has been clear. Leaders […]

Is software development manufacturing?

The case for weightless exports Say “manufacturing” and most people picture sparks from a weld, sawdust from timber, or the whir of a CNC. We equate it with the physical and tangible. But what if our most scalable factories don’t make anything you can touch? What if software, intangible, weightless and infinitely reproducible, is already the most powerful manufacturing industry we have? David Altana is Head of Growth & Partnerships at SmartSpace.ai & Co-Founder & Host of The Better SMB Podcast. david@altana.solutions Rob Bull is Director of the New Zealand Lean Academy rob@nzla.nz It’s time we asked: Could software development be manufacturing? Manufacturing Principles, Different Medium ‘Manufacturing’, according to Wikipedia, is the creation or production of goods with the help of equipment, labour, machines, tools and chemical or biological processing or formulation. If you strip away the noise, manufacturing is about applying discipline to value creation: Standards before scale – chaos doesn’t scale. Whether it’s ISO audits on a production line or unit tests in a dev pipeline, quality comes from codified standards. Flow, not friction – lean talks takt time, bottlenecks and waste; Agile talks sprint velocity and backlog. Both are obsessed with minimising waste and maximising throughput. Customer Focus – whether it’s gearboxes or gigabytes, real manufacturing starts with solving actual customer problems, not filling time. Global scalability – once the process is right, standard processes are created, every extra unit costs marginally less. For plastics, that’s running another shift. For SaaS, it’s another thousand users for near-zero marginal cost. By those measures, software development is not only manufacturing, it’s the purest form we’ve ever had. The Scale Problem with “Stuff You Can Grow” New Zealand’s export story is dominated by the primary sector. Food and fibre exports are worth ~NZ$55–60 billion a year, more than half of […]

Leaders without borders: How Altus®’s leaders are solving problems together, and winning

Adam Harvey Business Performance Partner – Manufacturing The Learning Wave Every manufacturing leader knows the cost of problems no one owns. A defect that slips through. A rework job that eats up a shift. A delay that puts you on the back foot with a customer. Often, these issues live in the gaps between teams or sites. The kind of problems that don’t belong to one department. So they linger, costing time, money, and goodwill. At Altus®, they decided to change that. They knew that stronger results in productivity, quality, safety, and engagement wasn’t just about better processes. That it was about better leadership. The kind that connects the dots across the business. That’s how Elevate was born, a seven-month leadership journey for Altus® team leaders and managers built around one big idea: collaboration. People first, and then process Instead of starting with processes or machinery, Elevate began with a much more human question: What if the key to lifting performance wasn’t in the tools we use, but in the way our leaders work with each other and their teams? Elevate wasn’t about taking them out of the business to talk theory. It was about giving them the tools, space, and confidence to lead their people. It was about helping leaders under pressure realise that they didn’t have to go it alone. That the best leaders understand that real success comes from collaborating with others. Learners developed skills to lead through vision and values, improve cross-departmental collaboration, and seek out opportunities to solve problems both with and within their teams. Solving real problems, delivering real results The heartbeat of the programme was the Team Performance Improvement Project, small, cross-site teams tackling real Altus® challenges. One team tackled a costly issue: scratched products during site transfers. The project leads laid […]

Building resilience through age-inclusive practices in New Zealand manufacturing

By Shyamini Szeko, reflecting on Master’s research into ageing and work in New Zealand manufacturing (AcademyEx, 2025) When I began my Master’s research into age-inclusive practices in New Zealand manufacturing, I thought I was studying a “future of work” issue. What I quickly realised was that it is also a very human story, one about resilience, knowledge, and how we value people at different stages of their working lives. New Zealand’s workforce is changing fast. By 2033, nearly half (44%) of workers will be over 45, with 8.6% aged 65 and older (MBIE, 2023). We also stand out globally for how many older people remain in the workforce. Overall, about one in four New Zealanders aged 65 and over are still working, and for those aged 65 to 69, it is close to half (Te Ara Ahunga Ora, 2023). This is an extraordinary contribution, but also a challenge if workplaces do not adapt. What the research revealed Through conversations with older workers, younger colleagues, industry leaders, and cultural advisors, five themes became clear: Flexibility matters, but it is uneven Office-based employees often have access to flexibility, while factory workers rarely do. Yet small changes, such as a shorter week or a different shift pattern, can keep people engaged and thriving. Knowledge transfer is fragile Long-serving employees carry decades of know-how, often undocumented. Without structured mentoring, this experience is easily lost. Digital change can feel out of reach Many older workers lack confidence with technology and want safe, supportive ways to learn. Younger employees are often keen to help but need structured opportunities. Age is overlooked in inclusion While gender and ethnicity are visible priorities, age rarely makes the list. This gap leaves older workers feeling undervalued. Ageism is also evident in recruitment. Many people over 50 report being overlooked for […]

Salus Aviation’s advice for successful expansion

From NZ Manufacturer September edition Salus Aviation’s story began in 1936 as a small aviation support provider based in rural Auckland, right next to Ardmore Airport. Over time, the company evolved through mergers and acquisitions to create a vertically integrated aviation company. Today, it’s a true ‘nose-to-tail’ provider, leasing out aircraft, performing line maintenance, conducting heavy overhauls, manufacturing specialist equipment and supplying parts. The EMA’s Nicholas Russell sat down with Salus Aviation CEO Greg Edmonds to discuss the company’s evolution, which has been driven by customer demand for comprehensive solutions and a desire to prove that a New Zealand company can compete with the biggest players internationally. Q: What does Salus Aviation’s manufacturing workshop produce? Greg Edmonds: We marry stringent aviation standards with world-class design and MRO capabilities to serve our clients globally Our experienced design and manufacturing teams create specialist role equipment and modifications for both fixed-wing and rotary aircraft. Operating under NZCAA Part 148 manufacturing certification, we build and install advanced systems tailored to specific mission profiles – anything from agricultural operations to search and rescue. We also manufacture crop-spraying systems, infrastructure inspection role equipment, and even full aircraft assemblies and modifications. Our bespoke solutions extend aircraft capabilities and make operators safer and more efficient. Q: What lessons can other manufacturers draw from Salus Aviation’s successful expansion? Greg Edmonds: Vertical integration matters: We offer a ‘nose-to-tail’ service suite: design, MRO, parts supply, line maintenance, aircraft leasing and heavy overhaul. That gives us resilience and a competitive edge. Certification and quality are non-negotiable: Our Part 148 certification ensures our products meet top-tier aviation standards. Building a strong, proven foundation is key to successful growth: We sunk deep roots in New Zealand before looking outward, investing in markets like the Americas and Africa. Niche specialisation sells: For example, we’re […]

Building a competitive future: The role of Government in NZ Manufacturing

From NZ Manufacturer, September 2025 edition By Sean Doherty Following on from my article, “New Zealand is Poor Because It Chooses To Be,” I have had numerous conversations with friends and manufacturers about the Government’s role in innovation, productivity, and manufacturing. I would like to note that I have left Government service, and the views and guidance I share below are my own. However, they are informed by over 20 years of experience working closely with manufacturers, including the last five years within Government, and the good fortune of gaining a global perspective on interventions other Governments have made to increase manufacturing productivity and longevity. Should the Government take action to help manufacturing? One could argue that the Government already has a lot on its plate, with health, education, police, and infrastructure dominating the headlines, while investing in the future prosperity of the country often seems more challenging. However, it is globally recognised that a strong manufacturing sector is a cornerstone of a dynamic, resilient, and competitive economy. It underpins employment, exports, productivity, and innovation. To put this in the New Zealand context: manufacturing directly employs about 11% of the workforce and contributes approximately 10% to GDP. In 2024, business spending on Research and Development (R&D) reached a record high. However, despite this investment, we are seeing productivity flattening, which squeezes business margins and makes it difficult for businesses to invest in growth and their people. What does the Government support today? While the Government supports numerous business programs, below are some recommendations for manufacturers. I suggest engaging with these initiatives and understanding how they might fit into your plans, so you can invest your time wisely and potentially benefit both your business and the wider industry. Advanced Manufacturing Aotearoa (AMA) This is the only direct investment from the […]

Artisan skill and technology a successful brew at Zealong Tea Estates

With 48 hectares of certified organic Camellia sinensis growing in the heart of the Waikato, Zealong Tea Estate is New Zealand’s only commercial tea estate. You can tour the estate and sculpture walk, sample a high tea at their Tea Room, have a luxurious French-inspired meal at their Camellia Restaurant prepared by a chef plucked from the Michelin-starred kitchens of Paris, or take part in a traditional tasting of their internationally awarded teas. As a visitor destination, it’s a major asset to the region and the teas have been served to the likes of China’s President Xi Jinping and Her Majesty Queen Camilla during official events, and the estate has been filmed for the BBC Earth documentary One Cup, a Thousand Stories, which highlighted the estate’s quality-based approach to producing certified organic tea. Behind the scenes, the process of manufacturing its teas blends artisan skill and technology. The EMA’s Nicholas Russell sat down with Zealong General Manager Sen Kong to find out where they have used technology to improve efficiency but also how the human touch remains irreplaceable. Zealong has invested heavily in both people and technology. Why is the human touch still so crucial in your industry? Sen Kong: Technology plays a huge role in streamlining parts of our operation, such as processing, drying and quality control, but when it comes to the actual picking of the tea, the human hand is still superior. Machines aren’t yet sophisticated enough to distinguish the top three leaves from the rest of the plant, and that matters. Those top three leaves are the most tender and flavour rich. A machine might take too much, or damage the plant, which affects secondary growth. A trained picker knows exactly how to pluck, preserving both the leaf quality and the health of the bush. In addition, tea […]

Cutting red tape to encourage productivity

A visit to Glenbrook Steel Mill By Chris Penk, Minister for Small Business and Manufacturing Among the many things I’ve come to appreciate in this job is just how challenging it can be to run a small business in New Zealand’s regulatory maze – no matter the industry. In the wise words of our Prime Minister, “we can have more growth, more exports, more jobs, and higher wages for every New Zealander – we just have to say yes to letting it happen.” It’s clear to me that, like so many other businesses, manufacturers want to spend more time making things and creating jobs, and far less time buried in paperwork. Too often businesses tell me unclear or outdated regulations stand in the way. For example, machine guarding rules can clash with food safety standards, or exposure limits might fail to reflect the real risks on the ground. Many manufacturers have faced the frustrating reality that rigid rules cost time, money and productivity – without always delivering better safety outcomes. That’s why this Government is pushing ahead with work to clear out the sticky red tape that gums up the works. I want to acknowledge my colleague, Workplace Relations and Safety Minister Brooke van Velden, who has spent recent months engaging with manufacturers across the country. From sawmills to commercial bakeries, businesses have been upfront with Minister van Velden, as they have been with me, about the frustration of navigating grey areas and impractical requirements that tie them in knots. One example that stands out came from a business owner who shared how identical machine guarding passed inspection by WorkSafe in Auckland yet failed in Christchurch. When the same piece of equipment is treated differently depending on who shows up on site, it’s obvious something needs to change. We’re […]

Dispatches from Europe: Manufacturing crossroads across UK, France, Germany

A guide for New Zealand’s manufacturing leaders Adam Sharman, CEO LMAC Group APAC Having recently spent time on the ground with our team in Europe, it has been interesting to reflect on the common trends and differing approaches to industry support across Europe. Whilst different countries face some of their own unique challenges, priorities, constraints and policy backstops, one thing is clear; across Europe the manufacturing playbook is being rewritten. For New Zealand manufacturing, having an eye on the commonalities and practical differences in the European markets matter as much as the headline trend words (AI, reshoring, decarbonisation). In this article, we reflect on what’s really happening on the ground across the UK, France and Germany— and what we can learn in New Zealand. The UK: fast-to-adopt, policy-energised, skills-constrained UK manufacturers are pushing hard on data, AI and automation as the primary levers for productivity — driven by government programmes (Made Smarter), trade and tax incentives, and a recent policy pivot to a long-term industrial strategy that backs advanced manufacturing and skills investment. That policy momentum is prompting many UK firms to accelerate AI/ML pilots, invest in connected-factory programmes and consider reshoring for resilience. Yet adoption is uneven: SMEs still cite awareness, skills and access to capital as the highest barriers. Leaders should therefore prioritise scalable pilots that deliver measurable OEE (overall equipment effectiveness) gains, pair technology buys with rapid upskilling, and actively use available regional funding and schemes to lower implementation risk. France: state-led modernisation and selective reindustrialisation France combines a deliberately interventionist industrial policy with long-term programmes — “Industrie du Futur” and targeted investment funds — to modernise medium-sized sites and attract strategic projects (gigafactories, batteries, critical supply chains). The French state has used subsidy schemes and coordinated “Team France” efforts to push digitalisation, decarbonisation and on-shoring where […]

Company Profile: South Waikato Precision Engineering

Fiona Schroeder, General Manager How are you finding current business conditions? Business has been tough over the last 12 months, across the board, our customers have been “down” and experiencing lower demand. However, it would seem there are some green shoots which will hopefully mean that we have hit the bottom and are now looking forward to a period of gradual growth. What are the main activities of your company? South Waikato Precision Engineering is a manufacturing engineering business. We design and manufacture KNAPP spreader bars, lifting beams, man cages, skid steer attachments and excavator attachments including thumbs. We also manufacture parts for other New Zealand Manufacturers. With 11 CNCs and offline programming, we machine a wide variety of precision parts including tooling steels. We also have fabrication and welding, giving us the capability to manufacture welded parts that require machining in one place rather than having to use two separate suppliers. Our assembly team assemble manufactured parts into sub-assemblies for customers to streamline their manufacturing production. Where are future opportunities for growth, for your company? From a production manufacturing perspective, South Waikato Precision Engineering is partnering with New Zealand manufacturers to produce parts and provide sub-assemblies with the goal to reduce production costs and increase efficiencies to ensure our customers remain competitive in the global market. We believe this approach of assisting our manufacturing customers to reduce costs and use an external supplier to change fixed costs to variable costs will continue to create opportunities for growth both for South Waikato Precision Engineering and our customers. For our own products, KNAPP has the largest range of certified spreader bars and lifting beams available in New Zealand with growing demand from Crane and Hiab companies, manufacturers and warehouses that require compliant, certified lifting equipment. We also see growth in opportunities […]

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