The Daily News

Who is exporting?

NZ Manufacturer, June 2023 A mere 30 New Zealand companies, according to the Productivity Commission, account for over half of all exports. They say focus really needs to be on innovation and moving away from volume to value-added products. So, what are overseas trade visits for? Do business legations need to be vetted to determine that the ‘fact finding trip’ is not just an overseas holiday? Do they bring back business for the country? How much money has government invested over the years in trade visits that result in absolutely no return? Dairy is New Zealand’s biggest export earner – worth about $19 billion a year. The largest increase for the year ended December 2022 was for milk powder, butter, and cheese. This is New Zealand’s largest export commodity group, making up 28 percent of total exports over the year. This industry group, with a proven track record, doesn’t need to justify the trip; they have established markets and maintain them very well. To get more than 30 companies contributing to our export success, we need to increase productivity which needs: a positive attitude and involvement of management; proactive employees; good working conditions; tools and equipment available to raise productivity and the availability of input supplies. The four determinants of a nation’s productivity are physical capital, technology, human capital, and natural resources. Technology is a decisive factor in productivity, along with physical capital (equipment used to produce products), human capital (the knowledge of labourers), and natural resources. Now all of this sounds logical but obviously is not being put into practice(properly) if only 30 companies generate most of our export revenue. What are the restraints? At present, the shining light for export growth appears to be the gaming industry. What is everyone else doing? We are in a constant state of […]

Battery power plus product stewardship for a brighter future

By Dominic Salmon, 3R Group Business Development – Sustainable Solutions The transition away from fossil fuels will rely heavily on large batteries – it’s estimated that EVs and stationary energy storage batteries can enable 30% of the emissions reduction needed in the transport and energy sectors. The conversation can often steer towards electric vehicles, but large stationary batteries are just as important. Large batteries are not yet widely used in New Zealand outside of EVs and hybrid vehicles. However, the potential applications for stationery storage are huge. These range from use in homes to store excess solar power, to national power grid stabilisation, upgrading old, inefficient battery systems and even as back up for key infrastructure in the event of natural disasters such as Cyclone Gabrielle. The range of stakeholders in this area is wide, from EV and home solar system owners (and potential owners) to energy generation companies, vehicle and battery importers, recyclers and, well, just about anyone who has energy needs. Like all solutions though, thought needs to go into preventing unintended consequences. In the case of batteries, it’s ensuring they are ethically and sustainably produced and don’t become a problematic waste stream at end of life. While small markets like New Zealand, which don’t mine the minerals or manufacture large batteries, can’t have a direct impact on their production, we can ensure they are used as efficiently as possible. Importers, retailers and consumers can also use tools like the Global Battery Alliance’s battery passport to track battery health and environmental impact and create demand for ethically and sustainably manufactured batteries. Making this transition obviously isn’t straight forward but there is a significant amount of work being done, including in Aotearoa New Zealand by the Battery Industry Group (B.I.G). Batteries in the Land of the Long White Cloud […]

SouthMACH 2023 – technology and manufacturing excellence

SouthMACH, the bi-annual technology trade fair returns to Christchurch Arena 24-25 May, in two weeks time. www.southmach.co.nz With on-going change in products and services for the manufacturing sector, some of it quite profound, it is important to visit trade fairs like this, to see the latest technologies available and mix and discuss business opportunities with your peers. IIvisitors Visitors include Canterbury University, progressive members of the chamber of commerce, industry leaders, engineers, technical specialists, operations managers, company decisionmakers and operatives who have a stake in the future of manufacturing in the South Island – and further afield. Students are warmly invited to visit, to view and consider potential career options for the future. Partake in… Make NZ’s ‘Listen and Learn’ manufacturing industry conference on May 24, as part of SouthMach which will focus on peer-to-peer learning opportunities for manufacturing leaders. It’s a one-day conference with presentations from well-known and exciting manufacturing leaders across three sessions,” says Aad van der Poel, exhibition sales and event manager for Xpo Exhibitions, organiser of SouthMach 2023. Sessions during Listen and Learn will include a focus on the local and global environment that New Zealand manufacturers operate in, innovation for profit – as well as products, processes and business models. Reducing waste and carbon footprint will be covered and many are looking forward to MESNZ’s James Neale with his presentation ‘If you want to reduce your carbon footprint, do your homework first’. Van der Poel says that the wide variety of key industry people with crucial information will help manufacturers meet customer expectations, become an employer of choice, and retain a social licence to operate, Industry 4.0, to name but a few. “You will walk away with plenty of new ideas for making the boat go faster in your factory, and future-proofing you manufacturing business,” […]

Battery-recycling-on-pallet-Photog-Journey-by-Story

Circular economy: so much more than recycling!

Article: Part one The circle has been an important symbol since early times. To many ancient Eastern and Western civilisations, it represented unity, balance and stability. Fast forward to 2023 and the circle is the most talked about shape in sustainability. Why? Because it’s time to get serious about the circular economy and the business, environmental and social benefits it offers. What is ‘circular economy’? Circular economy (CE) is an economic system that can help your manufacturing business reduce risks and costs, become more resilient and build your brand. It can also help you identify new income streams. CE decouples using resources from economic growth. It recognises that the ‘linear’ economic system we use to produce and consume goods and services – ‘take-make-dispose’ – cannot go on forever. As manufacturers, you know that the resources you use are finite (‘take’). You may be facing shortages or skyrocketing prices, particularly with critical materials like lithium. Many of you will be looking for a more sustainable way to manufacture your product (‘make’). You may be concerned about what happens when consumers dispose of your product (‘dispose’). Are you contributing to landfilled waste? Could you be liable? Enter circular economy and solutions to these problems. Circular economy is based on three principles Principle 1: keep products and materials in use Circulating products and materials means keeping them in use at their highest value. It avoids the costs of extracting and creating materials, and of disposing of waste. A circular product is one that consumers can use for as long as possible (e.g. it is easy to repair). When the product wears out, its parts can be reused, or the product remanufactured (remade). At the end of the product’s life, its raw materials can be fully recycled. Principle 2: design out waste and pollution […]

Net-zero steel in building and construction: The way forward

As the world transitions to lower greenhouse-gas emissions, construction companies have a major role to play. In making the green buildings of the future, they have a chance to tap into demand that spans geographies and architectures. Indeed, greener business models are potential magnets for trillions of dollars earmarked for sustainable investment. In addition, companies that adapt effectively will ensure they are aligned with an increasingly stringent regulatory agenda. The decisions made by construction executives now will determine how they are positioned for the transition over the coming decade. Those that prepare astutely are likely to seek out emerging pockets of innovation and dial up investment in sustainable technologies and capabilities. To be sure, new materials such as green steel are more expensive, and will therefore demand a new pricing model. However, they can significantly reduce embodied carbon—in commercial buildings by as much as 70 percent by 2030. Amid tight industry margins, a priority for decision makers will be to ensure that there is a solid business case for change. The key in that regard will be to establish market position, while adjusting to a new cost base. They must also ensure that greener business models are aligned with demand that will rise at an uncertain pace over time. A tricky calculation is required, but the prize is a chance to get ahead in a market that is set for a potentially rewarding future. Construction industry emissions From houses to bridges, hospitals, and skyscrapers, the construction industry is responsible for approximately 25 percent of global greenhouse-gas emissions. A third of these are associated with materials and the construction process, or so-called “embodied carbon.” One reason for the industry’s high emissions is that it is a voracious consumer of steel, accounting for more than 50 percent of global demand.2Due to the energy required for its […]

Editorial February issue NZ Manufacturer: Productivity

Aren’t you sick of talking about it? However, I do need to ask “Is your company highly productive, or not productive enough?” We need to talk about it – not in a “we need to talk about Kevin way” – because Productivity is front and centre for all the country needs, and stands for, to get ahead. Let’s be clear, there are plenty of companies hugely invested in the technology and specialist staff to enhance their Productivity. And then there are those, unsure of the investment, unsure of return on investment. Too small to fail, too concerned to move ahead. Overcoming this fear can put the world at their feet. The drive to place Productivity ‘front and centre’ is very much in the mission statement, of such organisations as EMA and HERA, and forward thinker Ian Walsh of Argon. These are all deeply committed to Industry 4.0 and assisting their members and clients to move forward with better tools and outcomes for the future. The crises that have affected New Zealand’s business momentum over recent years are numerous – the Christchurch earthquake, the terrorist attack, climate change and the war in Ukraine. Supply chain issues, inflation and the relentless search for qualified staff to keep moving business forward. Whenever money is needed for flood relief or a crisis, there is a scramble to find it. Whatever party is in power does not solve the reality: money will always be tight. We are a nation that does well with Productivity in a crisis, when we need to clean-up. It is not a financial return! Work with the specialists and experts who can assist move your company forward. If you need to form a conglomerate to share equipment and resources, do it. Do not get left behind without the technology and skilled […]

A powerful recipe for innovation & growth

Greg Balla, CEO, Aofrio. Adding software to hardware – AoFrio is a New Zealand technology leader that few local people know about. With deep manufacturing and hardware roots, the company has decades of experience supporting food and beverage companies around the world with their refrigeration. Now, the business has innovated beyond hardware and invented the world’s first Internet of Things (IoT) platform for commercial refrigeration. The combinations of hardware, like motors and fans, and smart IoT-enabled refrigeration controllers and sensors help customers sell more products, save costs, track assets, gain insights to do business better and save on energy and carbon emissions. AoFrio is growing into a hardware-enabled, software as a service (SaaS) provider. It’s their pathway to lifting recurring revenue (because they sell their solution ongoing to customers), to expanding in existing markets and exploring new regions around the world. But the path to getting there has been long and not without its challenges. In the words of Greg Balla, CEO of AoFrio: From where I sit now, it’s easy to see a future where hundreds of millions of refrigerators around the world are connected to AoFrio’s platforms, giving us data to drive powerful, purposeful outcomes for customers. But there are many moments in AoFrio’s history that plotted the way to becoming the company we are today. We’re now in the position where we can couple our hardware abilities with software and data-driven insights to give clear customer insights and actions that are impactful to their bottom line. One of the turning points for us is around 2012. The company was tired of purely competing on price. Deciding instead to design the best refrigeration motor in the world. We set a goal that our electronically controlled motor would be better than the competition in every single respect. Most […]

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 […]

Becoming a low-emissions economy

-Barbara Nebel, thinkstep-nz The Government’s new Emission Reduction Plan (ERP) will move all industries, including manufacturing, to a low-emissions economy over the next three decades. In this article we look at what the ERP means for manufacturers: for the inputs you use (including transport, energy and buildings), the products you make and the waste you create. What is the ERP? Reducing greenhouse gas emissions is one of New Zealand’s biggest challenges. The ERP contains the strategies and policies that will make our Zero Carbon Act 2019 happen. It sets out how we will meet the first of three emissions budgets, for the period 2022 to 2025. To reach our end goal (net-zero emissions by 2050), we need to cap emissions at 72.4 megatonnes of carbon dioxide equivalent greenhouse gases each year over the next three years. Why does this matter, now more than ever? The World Meteorological Organisation believes that there is a 50:50 chance that global temperatures will temporarily reach 1.5°C above pre-industrial levels in at least one of the next five years. This is one of the thresholds we need to avoid under the Paris Agreement. Reducing emissions across your business’ value chain The government has these sources of manufacturing emissions firmly in its sights: transport, energy, buildings, waste. It is also expanding the New Zealand Emissions Trading Scheme (NZ ETS). Emissions from transport Road transport accounts for about 20% of New Zealand’s emissions. It is our fastest-growing source. The ERP sets a goal of significantly reducing transport-related carbon emissions by 2035. Manufacturers should expect a push to decarbonise heavy transport and freight. The government wants to reduce emissions from freight transport by 35% and the emissions intensity of transport fuels (the volume of emissions created per unit of GDP) by 10% by 2035. You will continue be […]

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 […]

«‹ 3 4 5 6 ›»

News Ticker

The Daily News