The Daily News

Manufacturing starts year by shifting up a gear

Hon Chris Penk New data showing New Zealand manufacturing is experiencing its highest level of activity since December 2021 signals a strong start to the year, Small Business and Manufacturing Minister Chris Penk says. The latest BNZ – BusinessNZ Performance of Manufacturing Index (PMI) shows the seasonally adjusted PMI for December has risen by 4.4 points compared to November, bringing it to 56.1. “This is an incredibly positive signal, as a PMI reading above 50.0 indicates the manufacturing industry is generally expanding. The data suggests New Zealand manufacturing growth is outperforming major economies including the United States, China, Japan, the United Kingdom, and Australia,” Mr Penk says. “The success of manufacturing is central to the health of the New Zealand economy. The sector directly employs more than 220,000 people, contributes around eight percent of GDP and accounts for 60 percent of our exports. “We know some manufacturers felt the pinch of harder months last year. Today’s great news coupled with a 1.1 percent uptick for national GDP in the September quarter indicates a brighter future for businesses. “The Government is focused on setting the right conditions and fixing the basics so that businesses can thrive. Manufacturers are turning that certainty into growth through hard work and innovation. “The creativity and resilience of the sector, and its contribution to national prosperity deserve to be celebrated. It’s therefore my pleasure to announce the second annual Minister for Manufacturing Awards will be held at Auckland Showgrounds on 27 May. “This year’s awards will again recognise the Manufacturer of the Year, Manufacturing Leader of the Year, Apprentice of the Year and Excellence in Process Innovation. It will also introduce three new categories. “This includes a dedicated Manufacturer of the Year award for businesses with fewer than 50 Full Time Equivalent Employees (FTEs). With around 97 percent of manufacturers falling into this group, opening a new category ensures small businesses receive the recognition they deserve. “An Emerging Manufacturer Leader of the Year award is also being added to shine a spotlight on the next generation of innovators and trailblazers, alongside a Manufacturing Lifetime & Legacy Award to honour those who have […]

The Year in Review – Business Exit Landscape

Mike Warmington, Platform 1 This year has been marked by fluctuations in the business exit landscape. The first quarter saw lots of activity and some deal flow. The middle two quarters saw business owners contemplating transitioning out, more likely to hold off as they endured a tougher sales environment putting the squeeze on their businesses. Our meeting numbers with business owners we had not previously met were significantly up on 2024, however this did not translate into as many engagements as we would normally expect from that level of activity. The market is experiencing record demand from individuals seeking business ownership or transition opportunities. Three Reserve Bank OCR cuts since August and lower interest rates made a noticeable positive difference ,along with increasingly positive business confidence survey results. We have found more business owners we spoke to during the year are only now prepared to either push the button on engagement now or indicate they will take action in early 2026. Having held off through COVID and the recent recession many owners are years behind in their exit planning or executing .In our opinion NZ faces the largest business ownership transition it has ever seen : Over 50% of New Zealand SME owners are aged 55 or older Over 40% of business owners plan to exit in the next 5 years Over 70% of business owners plan to exit in the next 10 years While exact numbers are assumptions, figures from a variety of other sources all quote essentially the same statistics.This demographic reality means thousands of businesses will change hands in the next decade creating both challenges and opportunities. Here’s what I’m seeing in the market: Management Buy-Ins are gaining awareness and traction – external talented entrepreneurial people transitioning in over time. Employee Ownership Models are emerging to keep businesses […]

NZ needs more entrepreneurs. Will its new tertiary strategy reward real risk takers?

Rod McNaughton, Professor of Entrepreneurship, University of Auckland, Waipapa Taumata Rau The government’s recently released Tertiary Education Strategy 2025–2030 signals a shift towards harnessing the sector to address New Zealand’s long-standing productivity issues. But the strategy and its goals aren’t necessarily aligned. Universities and polytechnics are now expected to promote innovation, accelerate commercialisation and build significantly stronger entrepreneurial capabilities. Measuring those things will be the challenge. The strategy identifies “particular gaps in market-driven entrepreneurial skills” and instructs universities to expand entrepreneurial education, especially for graduate researchers. It also acknowledges that more people will build careers through self-employment, freelancing or portfolio work. In parallel, a new national intellectual property policy gives academic staff the first right to commercialise government-funded research, signalling a stronger expectation that universities will generate new ventures and technologies. The country wants more innovators, founders and risk-takers. Yet several elements of the strategy, especially the way performance may be assessed, risk unintentionally discouraging the very entrepreneurial pathways it aims to promote. The wrong metrics? Graduate earnings are one example. Early-career income is widely used internationally as a marker of labour-market relevance, and the strategy treats it as a key success measure. But entrepreneurship rarely begins with high or stable income. Founders typically experience several years of irregular or low earnings before ventures become viable. When systems use earnings as a key indicator, the fear is universities will shift focus toward producing graduates for established, well-paid sectors, and away from entrepreneurial endeavours. But earnings are only one of several tensions. The strategy’s strong emphasis on labour-market alignment, employer co-design and responsiveness to current skill shortages can tilt institutions toward preparing graduates for today’s jobs rather than tomorrow’s industries. Many entrepreneurial opportunities emerge in sectors too new to appear in occupational forecasts, from synthetic biology and climate technologies to AI and autonomous systems. […]

NZPO an impartial voice

Media Hawkes Bay Limited, publishers of this magazine, has founded and launched the New Zealand Productivity Organisation (NZPO) to assist in moving manufacturing and business forward. We understand that New Zealand companies may well have their own clients they communicate with regarding productivity. However, New Zealand Manufacturer is an impartial voice and collaborates with many companies for better business and better times. Your company is invited to be a part of NZPO, as we share stories and experiences of our businesses as they tell them to us. And we find ways to greater prosperity. We were extremely concerned that the NZ Productivity Commission ceased with no noticeable feedback and input from the business community. Is it missed? Does anyone care? We intend to find out. Contact publisher@xtra.co.nz or Tel: o27 280 1992 to discuss further and be added to the NZPO Data Base.

How the EMA’s Manufacturing Safety Dashboard can help to transform workplace safety

By EMA Head of Advanced Manufacturing Jane Finlayson In an industry where precision, productivity and performance define success, safety must never be treated as a background concern. For manufacturers, every injury represents not just harm to a valued person but also disruption to production, increased costs and reputational risk. Yet despite decades of progress, manufacturing remains New Zealand’s highest-harm sector. At the Employers and Manufacturers Association (EMA) we’ve been looking at ways to assist the sector and one result was the Manufacturing Safety Dashboard, which we launched earlier this year. It’s a dynamic online tool designed to help manufacturers understand, benchmark and reduce workplace harm. This dashboard can be a catalyst for cultural change in manufacturing businesses. It was designed to take what has too often been a reactive approach to safety and turn it into a proactive, informed strategy for harm reduction. Recently, I had the opportunity to present the dashboard to a group of structural steel manufacturers and distributors. Drilling into the data revealed not only the levels of harm prevalent in their subsector but also the types of injuries occurring most frequently, and how that compares to other manufacturing subsectors. This level of visibility sparked meaningful conversations about risk mitigation, training, seasonal workforce management, and the role of leadership in fostering safer workplaces. The Manufacturing Safety Dashboard was developed initially by WorkSafe, in partnership with ACC and data specialists at Flock, with a clear objective: to make harm data accessible and actionable. Drawing from ACC claims data and overlaying it with BIC (Business Industry Classification) codes, the tool provides a transparent picture of injury trends across the many subsectors that make up manufacturing. Whether a company operates in plastics, food processing, metal fabrication, or structural steel, the dashboard allows users to filter by industry, region and time […]

How an elite athlete system could unlock new levels of productivity in NZ manufacturing

-Mark Devlin, Impact PR New Zealand’s manufacturers have long punched above their weight. Despite our relatively small domestic market and geographic isolation, Kiwi businesses have found ways to innovate, adapt, and produce world-class products. But there’s one area where we continue to fall behind global benchmarks, and that is workforce productivity. In a sector where efficiency, speed, and output are constantly under pressure, how we support and develop human performance should be central to every productivity conversation. Yet all too often, manufacturers focus their investment on new machinery, process automation, or software upgrades, while overlooking the untapped potential within their people. That is why a new system, originally designed to help elite athletes deliver peak performances under pressure, could represent a game-changing opportunity for our industry. Vantaset, a New Zealand-based performance company, has developed a science-backed workplace platform that helps individuals and teams consistently deliver their best. It was created by Craig Steel, a performance expert whose research into the psychological breaking point of athletes led to a repeatable framework now used in both public and private sector organisations. This is not a motivational workshop or a leadership seminar. It is a codified, platform-based performance system grounded in decades of data and testing. Developed by a team that includes a former All Blacks manager and two Olympians, the Vantaset framework was originally designed to help elite athletes deliver peak performance on demand. It has since been refined into a platform-as-a-service (PaaS) model that organisations can implement across their entire workforce. What makes this particularly relevant for manufacturers is the platform’s focus on helping people function effectively in high-pressure environments. Unlike many workplace performance tools that are reactive-used to manage poor results or resolve personnel issues-Vantaset’s system is designed to proactively lift output and engagement. This approach is especially powerful for […]

SouthMACH 2025: Capability Is still the differentiator

From June issue, NZ Manufacturer magazine www.nzmanufacturer.co.nz Review from Caliber Design There was a strong sense of optimism at SouthMACH this year. The energy was good. People were open, engaged, and proud of the work they’re doing. Yes, there are still challenges—but the general feeling was that things are picking up, and that real progress is being made. Capability remains a key issue. “We’ve got the ideas. We just don’t have the resource.” The work is there. Priorities are clear. But teams are at capacity. There’s limited room to take on more—let alone deliver faster. Shifting the Dial Whether the focus is production, upgrades, product development, or compliance—it takes people to get things done. Not just more hands, but the right experience, at the right time. At SouthMACH, there was strong interest in how to keep momentum without overloading internal teams. Many are turning to flexible engineering support—people who can step in, contribute from day one, and help shift the dial. The common thread? Capability isn’t just about technical knowledge. It’s about judgement, communication, adaptability, and the ability to work well on-site, under pressure, and in step with the wider team. What We Noticed Amidst the usual challenges—capacity, backlog, deadlines—there was also a clear sense of optimism. Many have weathered tough years and come through more focused. Some of the best conversations we had were about what’s working: building long-term partnerships that help teams flex as needed; investing in project engineering—not just design, but full delivery; and embedding engineers into existing teams to remove bottlenecks and keep work flowing. We also asked our team: “What was the most exciting innovation or product you came across during the event?” The answers were varied—but all pointed to practical, clever engineering solving real problems. Dawn Aerospace stood out to several engineers—not just […]

Christchurch manufacturing trade fair to create opportunities

NZ Manufacturer, a Media Partner for SouthMACH 2025, extends best wishes to exhibitors at the show, commencing today in Christchurch. In challenging economic times we look for the best equipment and services to keep our companies ahead of the game; or at least, breaking even. There is no one simple answer to the market forces of today; the best we can do is be prepared to seize the opportunity when it arises, using the technology essential for success. Mixing with peers, discussing these opportunities and sharing secrets of success are also what trade fairs are about. The challenges your company may be facing are not unique, lots of companies are currently facing them. Creating a mutual support society is part of the battle…the other is runs on the board. It is in-board, in workshops, in brain-storming sessions on the floor. Reach out to us at www.nzmanufacturer.co.nz or email publisher@xtra.co.nz if your company has a story from SouthMACH 2025 you would like to share. Your observations on the event itself or where you see manufacturing’s future are subjects we are interested in hearing about. Best Wishes for a rewarding two days to your company. D J Green, Publisher, NZ Manufacturer magazine 027 625 6166

The Skills Shortage Smokescreen

Stop searching for unicorns. Build a workplace worth joining and staying at. “We just can’t find the right people.” It’s the go-to excuse for operational issues, stalled growth and missed deadlines. But let’s call it what it is: a smokescreen. The so-called “skills shortage” is a convenient distraction from a harder truth. For many businesses, they don’t have a people problem, it’s a management problem. David Altana is head of growth and partnership at Smartspace.ai and co-host and founder of The Better SMB Podcast. When we dig beneath the surface, the reality is clearer than we’d like to admit. If your business can’t attract or retain good people, it’s probably not the labour market letting you down. It’s likely something internal: your culture, your systems, or your leadership. You Get What You Build For According to MBIE[1], 40% of roles in Tamaki Makaurau are classed as low-skilled, so let’s contrast a couple of businesses in the same region, competing to attract the same workers. One constantly complains about a lack of skilled staff. The other quietly gets on with hiring, training and growing its team. The difference isn’t luck. It’s leadership. Rob Bull is Director and principal consultant at Plexus Consultant and co-founder and host of The Better SMB Podcast. The successful business has designed itself to be a place people want to stay. It invests in onboarding, creates meaningful development pathways, and builds an environment where team members feel valued. Managers know their people. They communicate. They coach. They share the “why” behind the work. These companies don’t have a secret recruitment strategy, they simply understand retention starts with trust, which is built through day-to-day leadership, not policies or perks. To get an idea of what this looks like in practice, it’s worth reading the Jones & Sandford Joinery […]

Hydrogen electric flight prepares for lift off in New Zealand

Stralis Aircraft, Fabrum and Ara Ake are collaborating to advance hydrogen-powered aviation by designing, developing and testing liquid-hydrogen storage tanks and a fuel system for Stralis aircraft. The partnership aims to enable Australasia’s first liquid-hydrogen-powered flight – and support the transition toward zero-emission aviation. Australian company Stralis Aircraft, which develops high-performance, low-operating-cost hydrogen-electric propulsion systems, will integrate Fabrum’s tanks and fuel system into its aircraft. New Zealand company Fabrum, which specialises in zero-emission transition technology, will provide lightweight composite tanks and dispensing systems, essential enablers for hydrogen-powered aircraft. The project is supported by Ara Ake, New Zealand’s future energy centre, and aligns with Fabrum’s recently announced hydrogen testing facility at Christchurch International Airport. “Our hydrogen liquefier provides readily available liquid hydrogen onsite, allowing the capability to access the critical fuel source to prove and test the tanks and fuel system we are developing for Stralis and their fixed-wing fuel-cell electric aircraft,” said Christopher Boyle, Managing Director of Fabrum. “With Ara Ake support, we are excited to be delivering our light-weight composite tanks and fuel system for Stralis to advance the future of hydrogen-powered flight.” The collaboration also aims to strengthen industry ties between New Zealand and Australia. The project will build expertise in liquid-hydrogen storage refuelling, and aircraft integration, contributing to New Zealand’s growing role in hydrogen aviation. In the picture: Ara Ake CE Cristiano Marantes (middle) with Stralis co-founder and CEO Bob Criner and co-founder and CTO Stuart Johnstone. “This project is a strong example of Ara Ake’s role in connecting leading organisations across countries to advance real-world clean energy solutions,” said Cristiano Marantes, CEO of Ara Ake. “By enabling this initiative, we’re supporting the first hydrogen-electric demonstration with liquid hydrogen and positioning New Zealand as a global testbed for sustainable aviation innovation.” Stralis’ fuel-cell technology is significantly lighter […]

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