AMT JUN 2015

jun15 Australian Manufacturing Technology

Your Industry. Your Magazine.

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Volume 15 Number 05 JUNE 2015 ISSN 1832-6080

contents

AGRICULTURE Ripe for picking GWE Green energy plant hailed a model Agriworld Australia reflects changing industry

36 40 42

CUTTING TOOLS Industry-specific tools for machining ISO-S materials SpinJet HSM Jet Spindle – a revolutionary game changer Meeting the challenge of CFRP machining Closing a tooling loop Drill geometry allows for continuous support

46 48 50 52 53

ADDITIVE MANUFACTURING Justifying AM through jigs & fixtures

56

MOTORS & DRIVES The importance of smart drive systems Customised solution for crane drive synchronisation Optimising motor and gearbox alignment

60 62 64

FORMING & FABRICATION How selection of press brake tooling affects manufacturing 66 Quoting process optimisation 67

From the CEO From the Industry From the Union

10 12 14

INDUSTRY NEWS Current news from the industry

16

PRODUCT NEWS Our selection of new and interesting products

29

ONE ON ONE John Pollaers

44

COMPANY FOCUS Brown’s Precision Welding – The show goes on

54

AMTIL FORUM Finance Law OHS Logistics

68 69 70 71

Manufacturing History – A look back in time

72

AMTIL INSIDE The latest news from AMTIL

74

jun15 AustrAliAn MAnufActuring technology

your industry. your Magazine.

Agriculture: Harvesting opportunities PAGE 36

.Agriculture .Cutting Tools

6 |

.Additive Manufacturing .Motors

& Drives .Forming & Fabrication

AMT JUNE 2015

36

Ripe for picking Despite some market volatility in recent years, agricultural machinery is a significant, and growing, industry.

Highlighted here are some successful Australian manufacturers seizing the opportunities in the sector.

54

Brown’s Precision Welding - The show goes on Brown’s Precision Welding specialises in the fabrication of metal truss for the events industry - a field with often unusual assignments. Despite competition from cheap imports, the company is continuing to move forward with a focus on quality and a commitment to its customers.

56

Cover Australia’s agricultural machinery manufacturing sector is a $2bn, growing industry. The components produced

by Australian companies are diverse and include items from small brackets to complete kits for rotary cow sheds, grading machines, conveyor systems, water tanks, fruit-grading machinery and harvesters. Page 36

Additive manufacturing through jigs and fixtures Jig & fixture-making is an often-overlooked AM application with potentially huge financial returns, as the three companies: Digi, Oreck and rp+m have discovered.

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CHROME IS THE NEW BLACK

FROM THE

Editor William Poole

Indian ambitions A global manufacturing milestone was reached early last month, as the 500-millionth General Motors-branded vehicle rolled off the production line.

Take a second to think about that number. Picture half a billion cars. Enough to give a car to every third person living in China. Or one each for the entire population of North America.

Or just short of 21 for every Australian. Admittedly GM took over a century to do it, but it’s still a remarkable number that puts all other auto-makers in the shade. An extraordinary achievement for an extraordinary manufacturing company.

GM has had some ups and downs over its 106-year history, from the sustained high between 1931 and 2007, when it topped global sales rankings for 77 years running, to the abrupt low of 2009, when it needed a government bailout after declaring bankruptcy. A year later the company returned to profitability after one of the biggest initial public offerings of all time. Its expansion into international markets dates back to 1925, when it bought Vauxhall in the UK, followed four years later by Opel in Germany, and our own Holden in 1931. Today, GM employs more than 212,000 people around the world and does business in over 120 countries.

As we know, Holden will cease manufacturing in Australia in 2017, but its parent company is pushing on with plans to build its next half-billion vehicles. And figuring strongly among those plans is India. GM sees major growth potential in India, tipping it to overtake Japan as the world’s third-biggest car market by 2025, and intends to control a 5% slice within the next decade. Coupled with this sales drive, GM is planning to drastically ramp up local production, taking advantage of low labour costs to make India a global manufacturing and export hub.

GM’s aspirations are matched by India itself. The world’s second-most populous country is in an ambitious drive to reinvent itself as a global manufacturing powerhouse. Earlier this year it overtook China as the world’s fastest growing big economy, and in April it recorded an 18th consecutive month of growth in factory activity.

The drive is being led by Prime Minister Narendra Modi, who launched the Make in India initiative last September. Make in India aims to encourage companies to manufacture their products in India, relaxing restrictions on foreign investment in various sectors, and providing a range of incentives to attract investment. Modi, fast becoming one of the most interesting figures in global manufacturing, has been an energetic salesman for the policy, actively courting the US, China and South Korea, and making considerable headlines at Hannover-Messe last month.

Make in India faces its challenges. India’s infrastructure is in dire need of modernising, and its manufacturing sector remains comparatively small. But the country boasts an unusually youthful labour force – under-35s account for more than 50% of the population. And its burgeoning middle class not only represents a sizeable domestic market, but also a pool of technically savvy workers ready to assist the transition to more advanced, high-value-add manufacturing as the sector matures. Already the likes of Airbus, Samsung and Hitachi have unveiled significant investments in India.

GM has struggled in the Indian market for almost two decades, so it remains to be seen whether its plans for the subcontinent bear fruit. But when that one-billionth car does roll out of the showroom, there’s a fair chance it was manufactured – and bought – in India.

Editor William Poole wpoole@amtil.com.au Contributors Carole Goldsmith Sales Manager Anne Samuelsson asamuelsson@amtil.com.au Publications Co-ordinator Gabriele Richter grichter@amtil.com.au Publisher Shane Infanti sinfanti@amtil.com.au Designer Franco Schena fschena@amtil.com.au Prepress & Print Printgraphics Australia AMT Magazine is printed in Australia using FSC mix of paper from responsible sources FSC© C007821 Contact Details AMT Magazine AMTIL Suite 1, 673 Boronia Rd Wantirna VIC 3152 AUSTRALIA T 03 9800 3666 F 03 9800 3436 E info@amtil.com.au W www.amtil.com.au Copyright © Australian Manufacturing Technology (AMT).

All rights reserved. AMT Magazine may not be copied or reproduced in whole or part thereof without written permission from the publisher.

Contained specifications and claims are those supplied by the manufacturer (contributor)

Disclaimer The opinions expressed within AMT Magazine from editorial staff, contributors or advertisers are not necessarily those of AMTIL. The publisher reserves the right to amend the listed editorial features published in the AMT Magazine Media Kit for content or production purposes.

AMT Magazine is dedicated to Australia’s machining, tooling and sheet-metal working industries and is published monthly.

Subscription to AMT Magazine (and other benefits) is available through AMTIL Associate Membership at $165 (inc GST) per annum.

Contact AMTIL on 03 9800 3666 for further information.

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FROM THE

CEO Shane Infanti – Chief Executive Officer AMTIL

Budget initiative needs expansion I have heard over the past few weeks the Federal budget being described as “the small business burger”.

That is, small business is the meat in the patty that will get, and give, the most benefit from the budget.

I am not convinced this is the case.

Whilst I cannot argue that the immediate tax relief for small business is a welcome initiative and no doubt many companies will benefit from it, the expectation that it will stimulate business growth and drive job creation is simply ridiculous.

Let’s evaluate some of the benefits for a minute. What will dropping the company tax rate from 30% to 28.5% for businesses with a turnover of under $2m achieve? OK, take Business A with a turnover of $1.5m and let’s say they are returning a net profit of 6%, giving them a taxable return of $90,000. The difference between paying 28.5% company tax rather than 30% is $1350. Now I have spoken to a number of small businesses over the past two weeks and asked them what they would do if I gave them a cheque for $1350 and how would it change their business. Everyone - to a T - responded with “thanks for the dough, but it’s not going to change anything I do”. And why would we expect it to?

Let us be as positive as possible with the criteria and take Company B turning over $2m with a net profit of 20% (how many of them are around?). Their tax saving is going to be $6000 which I cannot dispute is becoming significant for a little business, but I will still argue is not going to result in that business employing a new staff member or significantly growing in any way.

Now shift our attention to the $20,000 depreciation rules that will run through to June 2017. Again, on face value I’m not saying it’s a bad policy and I expect many small businesses will take advantage of deductions where they can. However, where is the logic in saying you can fully depreciate an imported coffee machine from Aldi or an imported desk from Officeworks but locally produced office plants are a no-go. At least with the office plants you may be supporting local jobs rather than faceless importers and their 20 foot containers. Regardless of this

slight anomaly in the claimable expenses, I still cannot work out how we expect a small business to significantly change its operations with these tax relief measures.

So this leads to the heart of the issue. We have missed the mark on our target market for where growth and stimulus can be best generated. We have focused these benefits on the “micro” business when we should be focused on our “macro” and medium businesses, generating between $2m and $100m. These are the companies, with some assistance and support, that have the best capability of growing their businesses and generating employment. If we were really serious about making a difference over the next 14 months, we should have applied the 28.5% company tax rate and a $200,000 tax deduction threshold to small to medium businesses with a turnover between $2m and $100m. Now THAT would be a statement.

What a brave initiative that would be. What a boost to business confidence. What an injection into encouraging investment. A policy decision such as that would have an enormous impact on our economy in both business and jobs.

Take Company C, turning over $15m with a net profit of 8%. Whilst the $18,000 of company tax savings still does not equate necessarily to a new job, the $200,000 of investment into a piece of new technology that might allow a company to innovate, generate new opportunities and business combined will encourage jobs growth.

The truth is that we need to have policy measures in place that allow micro businesses to become small, small businesses to become medium, medium businesses to become large and large businesses to remain in Australia, contributing to our economic wealth.

We seem to miss the mark consistently with our small to medium businesses in the $2-100m bracket, that have the biggest representation in our country.

Mr Hockey may have an easy sell of his small business policy because it has some benefits. Unfortunately though, it will have a very small impact on business stimulation and jobs growth, the two outcomes that the tax relief was attempting to influence.

The bigger picture in a smaller package Market your business 24 hours a day, 7 days a week.

AMT & AMTIL Digital Media Kit 2015

10 |

AMT JUNE 2015

Your Industry. Your Magazine.

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Call Anne Samuelsson at AMTIL on 03 9800 3666, mobile on 0400 115 525 or email asamuelsson@amtil.com.au

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FROM THE

Industry Innes Willox – Chief Executive Australian Industry Group

Tax reform vital to build on Budget This year’s Budget prelude saw a welcome dropping of the political rhetoric around Australia facing a “budget emergency”. But make no mistake: a real emergency would indeed become apparent not far down the track if this Budget had dodged its central task of fortifying the economy against the pressures bearing down on it.

The Treasurer faced a very difficult task in preparing a Budget that would need to find the right balance between providing near-term stimulus in a slow economy, and making appropriate headway on the longer-term challenge of fiscal fortification.

So how did he do? Certainly, the 2015-16 Budget is heading in the right direction by maintaining the commitment to restoring the budget to surplus over the medium term, and it makes a good start in improving incentives to invest and create jobs – particularly for small businesses.

On its own, however, there are clear risks that it may not provide the lift in business confidence and demand needed to generate the additional investment required to lift productivity and growth and to make substantial inroads into unemployment over the next few years.

This year, 75% of businesses polled by Ai Group nominated cutting the company tax rate as their highest priority. The package of business tax measures has delivered the long-awaited 1.5% cut – but only to businesses with turnover of less than $2m. This will provide a timely lift in incentives for small businesses to grow, invest and create jobs.

The increase, until June 2017, in the amount of capital expenditure that can be deducted immediately is also particularly welcome. What remains clear, however, is that fundamental tax reform, and a cut in the company tax rate for all companies, must be a high priority.

Measures to streamline business registration, remove tax barriers to small business restructuring, and allow immediate deductions for certain start-up expenses are sensible initiatives. They will boost new business creation, reduce regulatory burdens, give business owners more time to spend on their businesses, and generate new opportunities for growth.

The Treasurer also made positive announcements in relation to tightening the anti-avoidance provisions, which have the potential to improve the fairness of the tax system. It will be critical that measures are designed and implemented in consultation with business and in a way that does not detract from incentives to invest in Australia or create additional uncertainty for business.

The decision not to proceed with a new Diverted Profits Tax, as had been speculated, is particularly welcome. It recognises the fundamental strength of the structure of Australia’s international tax arrangements and avoids the substantial risk of a further complication of Australia’s already overly-complex business tax system.

The extension of the GST base to capture a wider range of online transactions is a welcome move in principle that will level a corner of the consumption tax playing field. There is clearly much further to go in this regard and a broadening of the consumption tax base should be a major part of upcoming tax reform measures. Careful attention will need to be given to the design of new measures and consultation with business will be a key in part in getting this right also.

In terms of the big picture, this Budget clearly acknowledges the immediate constraints facing the Australian budget, with growth forecast to remain below 3% until the end of 2016-17. GDP growth in excess of these levels is needed to make inroads into the unemployment rate.

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There are clear risks that it may not provide the lift in business confidence and demand needed to generate the additional investment required Moreover, there is a real risk that the growth outlook anticipated in the Budget is somewhat optimistic, with the Budget outlook relying on another couple of years of strong investment in residential construction and a solid pick-up in non-mining business investment in 2016-17 and 2017-18.

The Budget Papers also highlight the degree to which taxation revenue and the budget bottom line have become reliant on commodity prices – particularly for iron ore and coal. This vulnerability further underlines the importance of generating new sources of growth across the economy.

Ai Group welcomes the emphasis on lifting workforce participation in this budget, including by improving the availability of childcare and improving incentives for employers to hire new employees. For a number of years Ai Group has argued that improved access to childcare is the best way to assist parents with young children reenter the workforce or extend their participation in paid work.

In regard to the offsetting savings under the new approach to paid parental leave, the Government must ensure that new arrangements do not deter businesses from putting in place or continuing to offer their own parental leave schemes. These schemes allow businesses to attract and retain staff while they care for children.

The Budget also has a continued focus on infrastructure, including the Northern Australia Infrastructure Facility, to encourage investment in major projects. It remains critical that funding is only made available to the highest-priority projects backed by rigorous cost benefit analysis.

While the immigration program of 190,000 is a little short of businesses ambitions, the emphasis on the skilled component will help ensure this is a workable compromise. However, it is important that eligibility conditions for other visa categories, including working holiday visas, are not further tightened.

We also welcome the measures aimed at boosting exports – in particular, the initiatives aimed at informing businesses about the potential opportunities available under Australia’s free-trade agreements.

It is important to recognise that we cannot expect the Budget to achieve everything. Indeed, if only one lesson could be drawn from last year’s Budget, the perils of trying to do too much must rank as a leading candidate. Budget 2015-16 is much more measured – but what it does is make it very clear that we have enormous challenges ahead.

Benefits delivered in a part of the business constituency will flow through to a degree, but long-term projections around growth and unemployment tell us that this budget alone is not going to sufficiently shift the dial. There is more work ahead for the Government.

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FROM THE

Union Paul Bastian – National Secretary Australian Manufacturing Workers Union

Budget optimism overlooks bleak outlook for economy Some commentators have been greeting the recent Budget as some kind of return to the free spending days of the past, as though the Federal Government has had some kind of Keynesian epiphany to try to restore jobs and growth. But it isn’t that simple and it isn’t true, particularly for our Union’s members and certainly not for the nation’s manufacturing industry in which they work.

Step back from the $5.5bn in tax cuts and tax incentives being poured into small business and you’ll still see an economy deteriorating over the next few years, with predictions of improvement after that based on some incredibly optimistic Treasury estimates. Unemployment is expected to hit 6.5% next year and not fall below 6% until 2018-19.

Inflation will sink to 1.75% this year, getting back beyond 2% next year.

Growth will bump along the bottom at 2.75% then allegedly climb, but wage growth is stuck at historic lows around 2.5%-3%. Who will do the spending?

Treasurer Joe Hockey says he’s a “glass half full” sort of guy and is urging small business to get out and spend up on equipment up to $20,000, with the tax subsidy to complement the lower tax rate for these small enterprises. The proposal to cut the small business company tax rate is positive.

But the key question for manufacturing is whether throwing a taxwrite off at micro-businesses with a turnover less than $2m a year is sufficient to build confidence across the rest of the economy. Sub$20,000 spends on a new ute, a coffee machine or a computer – all likely to be imported – won’t be the key to providing the nation with skilled jobs and investment plan to underpin prosperity into the future.

The sector most likely to sustain and regenerate skilled jobs for manufacturing is the 75,000 businesses with a turnover of between $2m and $5m, including medium supply chain companies that complement our large-scale manufacturers. They are the businesses with much potential to invest, innovate and grow.

Of course, the small high-tech start-ups often need government nurturing. That’s why Labor’s proposal for a $500m Smart Investment Fund has merit. But by pitching primarily to micro-business, this Abbott-Hockey package ignores the medium-to-large companies that provide 65% of the nation’s value-added and 53% of employment.

That includes important manufacturers. It’s a bit like trying to get fit by just exercising your left leg.

This two-year sugar hit for small business risks rorting by manipulation but most seriously, won’t in itself meet our fundamental growth challenge as we cope with the drop-off in mining revenues (with only the construction industry picking up the slack so far). As the Australian Industry Group and many leading commentators observed, there is little incentive here to give the medium-to-large, mature businesses the confidence they so desperately needed to lift investment.

That’s where the generous veneer of this Budget falls away, exposing it as a short-term political fix with an eye to the next election but failing the test of vision. It is a document without integrity, ironically failing the concerns of unions and employer groups, of economists left and right.

It managed to add $12.5bn to deficits for the next three years without repairing the damage from last year’s ill-considered Budget, Hockey now kicking the deficit can down the road out of political fear. It is lower- and middle-income earners who will be sandbagging that deficit by bracket creep, those effective income tax rises making 80% of extra revenues.

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AMT JUNE 2015

There is little incentive here to give the medium-to-large, mature businesses the confidence they so desperately needed to lift investment.

Prime Minister Tony Abbott’s Government has shrunk from its real responsibility, of modernising our economy and providing high-skilled jobs for future generations. Hockey remains determined to strip back $800m from the states in health and education. There is nothing to rectify the cuts to apprenticeships and training from the last Budget.

After abolishing essentially every industry program last year and replacing them with the $500m Entrepreneur Infrastructure Program, it is now cutting this by $27m. Businesses expecting limited support from programs already officially closed but still managing previously agreed contracts will have to revise down their plans, as Commercialisation Australia, Enterprise Connect and the innovation precincts will suffer a $32m shave after last year’s $842m abolition.

Labor’s goal of spending 3% of GDP by the end of next decade on research and development is a welcome contrast, but a long leap into the future when we need future-proofing now.

Auto parts makers struggling to diversify before the car-makers’ closures will not be fooled by misreporting of a “boost” of $105m to the Automotive Transformation Scheme. Essentially, it’s a planned cut of $800m from the former Labor Government’s ATS. Manufacturers can only now wonder what might have been the multiplier impact if the $1.8bn Budget splurge on the small business asset write-off could have been shared more selectively. We need a much broader plan that will modernise the whole economy, and build on our national advantage in quality education to help Australian businesses innovate. The Opposition’s grand plan to turbo-charge education in science and technology with 25,000 new teachers and 25,000 scholarships is an aspirational – if unfunded – stride in the right direction.

The government’s sabotage by uncertainty of investment in solar and environmental industries is a scandal, destroying a growth industry and future jobs for nothing more than political games. Government does have a strategic responsibility to invest in our value-added industries, beyond spreading money for a short-term boost from cafes, boutiques, fitness clubs and wedding planners.

Just hours before the Treasurer announced his Budget, shipbuilding firm BAE Systems in Melbourne announced it was shedding another 150 positions due to a lack of certainty on contracts worth billions of dollars in defence shipbuilding. The Budget gave nothing to navy shipbuilding. Defence Minister Kevin Andrews blamed the former government. Skilled young shipbuilders just out of their apprenticeships will now be competing for jobs welding trailers or scrap parts in small business workshops. As a nation, we owe ourselves and these young workers a better future than that.

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ASEAN growth points to new opportunities for Australia ASEAN could replace China as the world’s leading manufacturing centre in the next 10-15 years and emerge as a key market for Australian exporters, with the potential for the Australia-ASEAN trade and investment corridor to double and exceed US$210bn by 2025, according to new research from ANZ. The report, ‘ASEAN: The Next Horizon’, highlights the region’s enormous potential, driven by closer economic integration, demographics, low labour costs and its strategic position at the intersection of global trade and shipping routes. According to the report, ASEAN is on track to become Asia’s third engine of growth alongside China and India, and will be the fifth-largest economy in the world by 2020. Greater ASEAN integration and the creation of the ASEAN Economic Community could spur annual regional GDP growth of 6%-8%.

Over the same period, annual intra-regional trade could reach US$1 trillion and G4 (US, Europe, Japan and China) trade of US$3.7 trillion. Foreign direct investment (FDI) into ASEAN from the G4 will continue to grow strongly to around US$106bn as companies look to expand production bases in the region.

Three ASEAN sub-regions will evolve: • Myanmar, Cambodia and Laos will provide a large, youthful labour force for new production platforms.

• Thailand, Vietnam, Indonesia and the Philippines will compete as the most cost effective mid-value manufacturing centres.

• Singapore and Malaysia will develop as dominant finance, technology and design hubs.

For Australia, total trade and FDI flows will increase from around US$90bn in 2013 to US$155bn- US$210bn in 2025.

“Strong demand growth, rising living standards, urbanisation and ASEAN’s large infrastructure needs present an enormous opportunity for Australian business,” said ANZ CEO International and Institutional Banking Andrew Géczy. “While China is top of mind in Australia, the way that the world manufactures is changing but critically where it consumes is shifting to ASEAN. ASEAN’s large infrastructure deficit will drive increasing demand for hard commodities, while rising living standards will create further opportunities for Australian agriculture and services such as tourism and education.”

However, the report warns that global competition is intensifying and that Australia’s overall share of ASEAN’s trade is stalling.

“With a projected economic growth rate only marginally behind China and India, ASEAN is on track to emerge as Asia’s third engine of growth and the world’s fifth largest economy by the end of the decade,” added ANZ Chief Economist for South Asia, ASEAN and the Pacific Glenn Maguire. “By 2030 half of Southeast Asia’s 650 million people will also be under the age of 30, forming a powerful emerging middle class with high rates of consumption. And by sheer weight of numbers, one of the biggest opportunities is in Indonesia.”

Sydney Airport launches electric bus tender Sydney Airport has announced it is investigating the addition of electric buses to the airport’s parking and ground transport operations.

The airport has invited Expressions of Interest from manufacturers in Australia and overseas to take part in an open tender for the supply of electric buses, to be used on the shuttle route between the T2/T3 precinct and the Blu Emu Car Park. The electric bus tender is part of the airport’s commitment to sustainability and follows the publication last month of Sydney Airport’s first Sustainability Report.

“We are always looking to improve the efficiency of our ground transport operations and to do so in a sustainable way,” Sydney Airport General Manager Parking & Ground Transport, Craig Norton, said. “Finding sustainable transport solutions is a priority for the airport, and advances in electric vehicle technology in recent years mean we can now look seriously at the feasibility of introducing electric buses.”

Sydney Airport is advertising its electric bus tender in a number of publications in Australia, the USA, the UK, Europe and Asia, with interested parties required to register Expressions of Interest by 12 June.

“We’re looking for a manufacturer who can deliver first-rate electric vehicles to replace the six diesel buses that currently transport passengers and staff between the Blu Emu Car Park and the domestic terminals,” Norton added.

In 2014, more than 1.6m passengers and airport workers were transported on the Blu Emu Car Park’s buses.

Electric shuttle buses operate in Manchester and Nottingham in the UK and at Amsterdam’s Schiphol Airport, while electric bus trials have taken place in cities as diverse as Los Angeles, Bangalore and Kuala Lumpur.

“This is a busy shuttle route, and optimum operational efficiency and passenger comfort will be two of the key criteria we’ll look for from any manufacturer,” Norton said.

Manufacturers should register Expressions of Interest at: www.sydneyairport.com.au/corporate/business/services/ electricbustender.aspx

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AMT JUNE 2015

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industry news

RMIT and Okuma Australia announce strategic alliance RMIT University and Okuma Australia have announced a strategic alliance that establishes RMIT Advanced Manufacturing Precinct as an authorised Okuma machine operation and programming training facility.

According to Okuma Australia’s Managing Director, Phil Hayes: “Right across Australia, as the inevitable requirement to implement new technologies to meet competitive global manufacturing targets gathers pace, it’s simply no longer appropriate that machine tool suppliers should be regarded as manufacturing skills providers alone.

“Whilst Okuma ensures that every Okuma user has access to comprehensive operational training and lifetime support, the RMIT alliance will allow those users to tap into the structured, extended skills training and knowledge resources that RMIT has to offer at a central location in Melbourne.”

Okuma will promote the preferential alliance to its customer base throughout Victoria particularly and as part of its Australia-wide marketing program. RMIT will be included in the group alliance Partners in Productive Expertise (PIPE). Okuma will continue to provide specific customer support in its own right under the published terms of its 12-month bottomless operator training program and general application engineering assistance for all Okuma customers throughout Australia.

The enhancement and improvement of high-level employee trade skills, in conjunction with the safe use, operation and programming of Okuma machine tools, will be offered by specialist staff at the RMIT Advanced Manufacturing Precinct, who will have full access to Okuma staff, technical information and documentation. Okuma will also continue its full-time, national customer after-sales field service and support programs including its unique Okuma-PAC program.

Okuma has appointed its National Technical Manager Leigh Milvain as its partnership coordinator and RMIT has appointed Professor Milan Brandt in a similar role for the University. The partnership will seek to engage local industry in skill improvement opportunities available through the delivery of a co-ordinated knowledge platform available at RMIT’s state-of-the-art facilities, materials and equipment at its Advanced Manufacturing Precinct in Carlton. As a leading, industryengaged tertiary institution, RMIT has the professional capacity to deliver curriculum-based advanced skills learning outcomes.

Currently RMIT’s Advanced Manufacturing Precinct houses Okuma capacity in fully simultaneous five-axes machining, multifunction turning with fully CNC B-axis, CNC turning with Y axis and live tooling, a strong line-up of high-level industrial machine tools plus allied robotic and automation systems.

Professor Aleksandar Subic, RMIT’s Dean of Engineering and Head of the School of Aerospace, Mechanical and Manufacturing Engineering, said: “The strategic alliance with Okuma provides strong support for the development of our work-ready graduates within the Engineering Learning Factory at the Advanced Manufacturing Precinct, and contributes to the development and transformation of the Australian manufacturing sector.”

Aussie SME exporters remain optimistic SME exporters started 2015 optimistically, with 39% expecting their export sales to increase over the next 12 months, according to new research by Efic, Australia’s export finance agency.

Increased overseas demand (24%) was the main reason provided for this increase, with this optimism around export sales growth also up by 8% from this time last year. The research, which surveyed 871 SME exporters, is the fifth in a regular quarterly series conducted by Efic to provide key insights into the outlook of Australian SME exporters.

The proportion of overall revenue attributed to export sales increased by 25% during 2014, highlighting just how important exports have become to those SMEs surveyed. Exports now make up 16% of total revenue, with this forecast to grow by another 4% in the next 12 months. Smaller exporters (those with turnover between $100,000 and $1m) are the most positive, with this group expecting exports, as a proportion of overall revenue, to grow by 6% in the next 12 months.

Of the SME exporters surveyed, 28% also expected the profitability of their international operations to increase over the next 12 months, which is down slightly (5%) since this time last year. However, the majority of respondents (69%) expected the profitability of their international operations to remain the same in the next 12 months.

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The percentage of SME exporters that named China as their most important export market has grown by almost 6% in the last 12 months.

In this survey, 26% again pointed to China as their most important export market, followed by Oceania/New Zealand (20%), India (11%) and the USA (10%). In selecting their most important export market, future growth prospects and their past efforts to grow this market were the main reasons provided by those surveyed, with 17% stating that it is their highest growth market, and a further 16% stating that it is the market with the most existing customers.

“It’s pleasing to see how positive SME exporters are about the year ahead, with improved overseas demand expected to drive increased revenue within their businesses,” said Efic Executive Director, SME, Andrew Watson. “And while a large proportion has again told us that access to finance continues to be a challenge, I hope that many look at all of the options that are available to them to secure finance.”

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industry news

Auto aftermarket shifts into top gear Held in Melbourne from 16 to 18 April, the 2015 Auto Aftermarket Expo demonstrated that Australia’s automotive aftermarket suppliers, manufacturers and exporters can offer a future for people facing job losses when local passenger vehicle manufacturing ceases in 2017.

Hosted by the Australian Automotive Aftermarket Association (AAAA), the event (co-located with the Collision Repair Expo) showcased 420 exhibitors from 21 countries. In addition, 30 other organisations staged events to link with what is now the largest automotive industry show in the Oceania region. The Expos attracted 10,266 technicians and workshop owners and managers.

AAAA Executive Director Stuart Charity said this attendance is up 34% on the 2013 Expos held in Sydney.

“Exhibitors are delighted with this result, particularly in the knowledge that the service and repair segment of the Australian automotive industry is consolidating,” said Charity. “The vehicle service and repair industry has approximately 25,000 workshops nationally. It was amazing to have such a high proportion of service and repair business operators visit the Expos. This is testimony to the passion and commitment they have for their businesses. These people know they have to stay on top of trends to be successful in a small business.”

The Australian automotive aftermarket enjoyed the attention of political leaders engaged in a range of automotive-related issues.

The Expo was formally opened by Shadow Minister for Higher Education, Research, Innovation and Industry Senator Kim Carr, who is also a member of the Senate Inquiry into the Australian Automotive Industry. Senator Carr was joined by fellow Senate Inquiry members Senator Nick Xenophon and Senator Ricky Muir at the ribbon cutting. Victorian Minister for Industry Lily D’Ambrosio, Federal Assistant Minister for Infrastructure and Regional Development Jamie Briggs and Federal Minister for Small Business Bruce Billson also attended events connected to the expo. Charity said the engagement of Federal and State politicians was welcome.

“In the past, the aftermarket has been largely ignored as governments focused on the passenger vehicle manufacturers,” he

Opening the Australian Auto Aftermarket Expo were (left to right) AAAA President Bob Pattison, Senator Nick Xenophon, AAAA Executive Director Stuart Charity, Senator Ricky Muir and Shadow Industry Minister Kim Carr.

said. “Aftermarket manufacturing represents 36% of all automotive production in Australia – that is $5.2bn a year – and exports $800m worth of Australian developed products each year. The AAAA has lobbied hard to demonstrate to State and Federal MPs that when the passenger vehicle manufacturers close their plants, there will still be a vital and growing automotive industry in Australia.

“By visiting the 2015 Expos, these MPs clearly saw the important role the aftermarket now plays in the lives of Australians and their economy. We hope they also now realise that, with appropriate policies in place, aftermarket manufacturers and exporters can play an even larger role in ensuring future growth for our nation’s automotive industry.”

AIM Group appoints David Pich as chief executive David Pich has been appointed as the new Chief Executive of AIM Group, which oversees membership for AIM (Australian Institute of Management).

Pich has more than 20 years’ experience in corporate and not-for-profit roles. After 12 years working in senior human resources and market development roles for organisations such as Cadbury, Hewlett-Packard and PwC, Pich moved into the not-for-profit sector where he has worked for over a decade.

His roles have included national Head of Fundraising, Marketing and Communication for CanTeen and the inaugural Chief Executive of the St George & Sutherland Medical Research Foundation. Most recently he has been head of the Association of Chartered Certified Accountants for Australia and New Zealand. AIM Group chair Ann Messenger said Pich was an ideal leader to deliver on the AIM Group strategy of providing increased value for members.

“David has diverse experience across

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AMT JUNE 2015

disciplines and sectors. He has worked with industry bodies, corporates and not-for-profits in a variety of roles,” said Messenger. “David will work closely with the AIM Group Board to continue to deliver on the strategies that have commenced. He will also work closely with Daniel Musson, the chief executive of AIM Educating & Training, to ensure AIM delivers value across the board to members, clients and students.”

Mr Pich said he looked forward to helping increase the value provided to members.

“I am absolutely delighted to be joining AIM Group, especially at such a significant time in the organisation’s long and prestigious history,” he explained. “I am particularly excited by the opportunities that exist to expand the depth and breadth of the services that AIM offers to its members around Australia.”

industry news

Thales opens new Townsville site Thales has opened a new facility in Townsville, Queensland.

Major General Paul McLachlan, Head of Land Systems at the Defence Materiel Organisation, officially opened the facility in a ceremony also attended by Townsville MP Scott Stewart, representing the Premier of Queensland, plus Thales Australia CEO Chris Jenkins and other employees.

The team in Townsville will primarily support the ADF’s life-saving Bushmaster vehicles, which have proven so effective in protecting Australian troops on operations. The Townsville facility will supplement the company’s main Bushmaster support centre at Eagle Farm, Queensland, and also the protected vehicles manufacturing facility in Bendigo, Victoria.

Kevin Wall, Thales Australia’s Protected Vehicles Vice President, said: “We are committed to providing the best support for the Bushmaster fleet around the country, and our investment in this new facility will deliver convenient services close to a major Army base.”

CSIRO helps Nissan continue local manufacturing Nissan Casting Australia recently announced it will continue to manufacture components locally, at its facility in South Dandenong, Victoria, beyond the year 2020.

Nissan will now ramp up production of parts for its zero-emission electric car, the Leaf, as well as 38 other models sold internationally.

The decision is a welcome turnaround for Australian automotive manufacturing industry, and it was partly driven by a collaboration with CSIRO on innovative new casting technologies.

Managing Director of Nissan Casting Australia, Peter Jones, acknowledged the role R&D investment had played in securing Nissan’s future. In particular, he highlighted the company’s collaboration with the CSIRO manufacturing team to develop unique solutions to lower production costs. Called CASTvac, the technology is one of a series of casting technologies that CSIRO has developed in partnership with the automotive manufacturer and the CAST Cooperative Research Centre.

“With the CSIRO, we developed a casting technology that eliminates valve blockages caused by the molten aluminium,” said Jones. “It avoids machine stoppages and can save us up to $100,000 a year in the production of a single component.”

AMT JUNE 2015

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industry news

UoS brings hypersonic travel closer to reality Two University of Sydney aeronautical engineering PhD researchers have been invited by the European Space Agency (ESA) to help realise the dream of travelling at seven times the speed of sound.

ESA has the ambition to fly from Brussels to Sydney in two hours says David Munk, who along with fellow researcher Jonathan Jeyaratnam has joined the HEXAFLY-INT project team, a $33m international collaboration focused on flying civil aircraft at hypersonic levels.

Their research is being conducted as part of their Engineering Ph.D. theses. Munk’s work involves designing algorithms that assist in novel structural designs for the aircraft that will support the high temperature of hypersonic flight.

“One of the main concerns is extreme heat,” he says. “An aircraft experiences high thermal stresses and a significant reduction in material strength and stiffness when it is taking off or flying at supersonic speeds.

“To combat this reduction in strength and rigidity I am designing an optimal algorithm that will determine the best structural layout for such craft. My algorithm will add to the innovative structural concepts being created to handle the harsh environment experienced by the high-speed vehicles.”

Jeyaratnam is concerned with how the aerodynamic design of hypersonic craft will handle the very different low-speed flows experienced at take-off and landing.

“The aerodynamics of a hypersonic plane is very different to a standard civil aircraft” says Jeyaratnam, who will build a low-speed model for testing at the University’s Marulan airstrip. “I’m looking at the variation in the sizing, positioning and dihedral (upward) angle of the vertical tail to find out if their positioning can improve the lateral stability but not compromise performance of a craft that travels at Mach 7. I think perhaps an extension of the outboard portion of the wings at the tail may improve the stability of the vehicle at low speed and also improve performance.”

Hypersonic flight has been the holy grail of aeronautical research for more than six decades says Dr Gareth Vio, who, together with

Dr Dries Verstraete, is supervising Munk and Jeyaratnam’s research.

Vio lectures in Aerospace Engineering at the School of Aerospace, Mechanical and Mechatronic Engineering.

“David and Jonathan are coming up with radical new concepts for take-off trajectory and tail designs,” says Vio. “The ESA was impressed by the Honors theses of both these students and invited them on-board the HEXAFLY-INT team based in Australia.

“It is almost 40 years since the US defence force flew a plane at speeds faster than a speeding bullet, as they say. The record supersonic speed of 2193 miles per hour was achieved at California’s Beale Air Force Base in 1976. But to date commercial application of the technology has been limited by lack of range, stemming from high fuel consumption and low cruise efficiency. If the HEXAFLY-INT project is successful in its endeavours, we could be flying to Europe and back in a day.”

Stratasys 3D printers used to produce Airbus A350 XWB parts Stratasys has revealed that Airbus produced more than 1000 flight parts on its Stratasys FDM 3D Production Systems for use in the first-of-type A350 XWB aircraft, delivered in December 2014.

The 3D printed parts were used in place of traditionally manufactured parts to increase supply chain flexibility, enabling Airbus to meet its delivery commitment on-time. Airbus initiated development and certification of 3D printing with Stratasys in 2013 as a schedule risk reduction activity that proved valuable for the A350 XWB program, highlighting a key benefit of 3D printing in the manufacturing industry.

The parts are 3D printed using Ultem 9085 resin for FDM, which is certified to an Airbus material specification. Ultem 9085 provides a high strength-to-weight ratio and is FST (flame, smoke and toxicity) compliant for aircraft interior applications. This enables Airbus to manufacture strong, lighter-weight parts while substantially reducing production time and manufacturing costs.

“We are delighted that Stratasys additive manufacturing solutions are being adopted by Airbus for its flagship A350 XWB aircraft,” said Dan Yalon, Executive Vice-President, Business Development, Marketing & Vertical Solutions for Stratasys. “Both companies share a vision of applying innovative technologies to design and manufacturing to create game-changing benefits.

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AMT JUNE 2015

“Our additive manufacturing solutions can produce complex parts on-demand, ensuring on time delivery while streamlining supply chains. Additive manufacturing also greatly improves the buy-to-fly ratio as significantly less material is wasted than with conventional manufacturing methods. Stratasys is looking forward to bringing these and other advantages to its collaboration with Airbus and to being part of Airbus’s Factory of the Future initiative.”

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government news

BUDGET 2015

Investing in science, research and energy for our competitive future Ian Macfarlane MP Minister for Industry & Science The 2015 Budget is part of the Commonwealth Government’s plan to build a strong, safe and prosperous future for all Australians.

The Budget reaffirms the Government’s commitment to create stronger connections between industry and science, in order to capitalise on new opportunities for economic growth and new jobs, as Australian industry transitions to a new era. Industry Growth Centres in advanced manufacturing; food and agribusiness; mining equipment, technology and services; oil, gas and energy resources; and medical technologies and pharmaceuticals will help drive the transformation of Australian industry. The Government will further deliver on its national science, technology, engineering and mathematics (STEM) policy, implement new measures to boost the commercial returns from Australia’s research, and establish National Science and Research Priorities.

The Government is investing almost $70m in additional funding for Australia’s leading scientific research organisations to build worldclass infrastructure that will create stronger connections between research and industry and maximise Australia’s competitiveness. The Government is maintaining its annual investment of around $9bn in science, research and innovation.

The 2015 Budget delivers $20.5m to keep the Australian Synchrotron in Melbourne operating in 2016-17. Managed by the Australian Nuclear Science and Technology Organisation (ANSTO), it is the only such facility in the South-East Asia and Oceania regions. The

Government will also provide $49.1m to ANSTO for the development of Australia’s nuclear science expertise, including the management of Australia’s radioactive waste produced specifically from nuclear medicine production and research into areas of national priority.

This Budget also includes a four-year investment in the CSIRO of over $3bn over the forward estimates. This is evidence of our commitment to the CSIRO and its critical role supporting Australian industry. The Government is making strategic, targeted and smart investments in Australia’s science and research capacity. As manufacturing and industry transition into a new phase, the Government is putting science at the centre of industry to identify and seize new jobs and opportunities in the rapidly changing global economy.

The Government’s investment in research infrastructure such as the Synchrotron would spread the benefits from Australia’s sophisticated science community across the economy. The Synchrotron is critical scientific infrastructure that benefits industries including mining, health, manufacturing, food security, energy and bio‑security, as well as improving productivity and research commercialisation. Through the Synchrotron, Australia is developing treatments for lung disease and Alzheimer’s and contributing to the development of innovative devices and materials for energy production and transport applications.

The Government’s $49.1m investment in ANSTO’s capabilities would underwrite further developments in nuclear science and medicine. One in two Australians will require access to life-saving nuclear medicines.

ANSTO produces 85% of Australia’s requirements. ANSTO also produces 30% of the world’s irradiated silicon, used in applications like fast trains and hybrid cars. Invaluable work by ANSTO results in the production of some by-products such as waste that we have a responsibility to manage in a safe and secure way.

Where are the jobs for the future?

Senator Kim Carr Shadow Minister For Higher Education, Research, Innovation And Industry If there was a prize for missing the big picture, first place would go to Joe Hockey.

Joe Hockey’s second Budget shows that this government has learnt nothing. The first Abbott Government Budget cut $3bn from science, research and innovation. This year’s Budget does nothing to reverse those savage cuts. Joe Hockey said in his Budget speech that people often ask him where the future jobs are going to come from. Then he delivered a Budget that completely fails to answer that question.

This short-sighted Budget once again shows that the Abbott Government has no interest in building the jobs and industries of the future. This Budget is all about saving Tony Abbott’s job – not about doing what’s right for Australian jobs.

The $27m cut to the Cooperative Research Centres (CRC) program is particularly concerning. This sounds the death knell for new funding rounds and pulls the rug out from under the Innovative Manufacturing CRC and the CRC for Optimising Resource Extraction, whose current funding expires at the end of June. These two CRCs were

recommended for funding by the independent CRC committee 11 and five months ago respectively, and have been left in limbo ever since.

Ian Macfarlane must immediately clarify the implications of this petty and short-sighted cut to a program that is recognised around the world for successfully bringing researchers and industry together.

Real jobs, research projects and industry partnerships are on the line.

Further demonstrating the Budget’s short-sightedness, Macfarlane makes a massive deal of his one-year funding commitment to the Australian Synchrotron. In reality, this is a pathetic stop-gap measure that leaves one of Australia’s premier research facilities with a funding cliff at the end on 2016‑17.

The Abbott Government has even cut over $27m from its own Entrepreneurs’ Infrastructure Programme, the pale substitute for Labor’s innovation programs, such as Commercialisation Australia and Enterprise Connect.

This Budget is long on frill and short on substance. If Australia is to remain competitive as the mining investment boom subsides, we need a government that invests in the skills for high-tech, high-wage jobs – not the brain drain inflicted by Tony Abbott and Joe Hockey in their short-sighted budget. This Budget is about the Abbott Government desperately trying to remove the stain on their reputation in the leadup to the election, but no amount of bleach will do the job.

This is not a Budget for Australia’s future.

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government news

John Pollaers to head up new Industry & Skills Committee John Pollaers, the head of the Australian Advanced Manufacturers Council (AAMC), has been named as the chair of the new Australian Industry and Skills Committee The Committee has been established to provide effective industry leadership to the vocational education and training (VET) sector in Australia. Assistant Minister for Education and Training, Senator Simon Birmingham, announced the composition of the Committee ahead of a meeting with state and territory ministers in early May. “My state and territory Ministerial colleagues and I have committed to a VET reform agenda that improves the quality of vocational education, cuts red tape, makes training more relevant to employer needs, and encourages more people to undertake apprenticeships or training in areas of skills shortage,” Senator Birmingham said. “Establishing the Australian Industry and Skills Committee will greatly assist the Government in delivering on these reforms.”

The Committee replaces a framework of 13 different committees and advisory bodies. According to Senator Birmingham, this will simplify governance of the vocational education sector and put industry at the centre of the system.

“To lead the Committee I have appointed John Pollaers as the Chair,” added the Senator. “As current Chair of the Australian Advanced Manufacturing Council and with extensive industry experience, including as previous Chief Executive Officer of Pacific Brands Limited and Foster’s Group Limited, John is well placed to lead this key part of the VET system and I very much welcome his involvement.”

In accepting the appointment, Pollaers said: “As Chair of the Committee I look forward to working closely with government, education and

industry leaders across all states and territories to ensure that Australian industry has access to a highly skilled and globally competitive workforce. Our economic future rests in their hands.”

Senator Birmingham said that under Pollaers’ guidance, the Committee will comprise 12 members from industry, including a member nominated by each state and territory.

The Committee will also have one industry peak body representative rotating annually.

The Australian Chamber of Commerce and Industry has nominated the first member while the Business Council of Australia and the Australian Industry Group will participate in future rotations.

In addition, New South Wales will nominate a member to join the Committee. Two ex-officio members, who are senior government officials, will support the Industry Committee members.

John Pollaers is interviewed on page 44.

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Innovation Through Passion AMT JUNE 2015

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VOICE-BOX Opinions from across the manufacturing industry

Manufacturing technology – The value of buying local In November, Paul Philips warned of a growing trend of Australasian manufacturing companies sourcing machines direct from Asia, Europe and the USA, and made the case for buying from local agents. The article prompted considerable discussion, so we reprint it now for readers who missed it.

As an Australian-based manufacturing technology supplier, I write this to stimulate debate, enhance productivity and hence improve living standards for us all. Let’s look at an Australasia-based technology supplier and how they add value. An effective supplier may perform some or all of the following: • Thoroughly investigate the needs of the user by collecting all information about the present or planned process, including any apparent problems.

• Draw on their experience to suggest all available solutions and assist the user in making an informed selection of the most appropriate equipment for the required process. Without breaching strict confidentiality, solutions learned from one project or process can be applied to other different processes at other (non-competing) users.

• Correspond clearly with overseas manufacturers of manufacturing technology to ensure that the technology and equipment is appropriate for the intended application.

• Assist the user with financial justification for the acquisition, and connect the user with sources for finance. Even though the initial outlay may not be the lowest, the ROI over time will reflect that “best value” has been achieved.

• Correspond with the manufacturing technology manufacturer to ensure that the ordered equipment and all optional specifications exactly match the user’s needs and subsequent purchase order.

• Be the Australasia-based legal entity and single point of contact for compliance and legal matters related to a project and to potentially multiple manufacturers of technology – serving effectively as a project co-ordinator.

• Agree equipment acceptance parameters and arrange tests to demonstrate those parameters.

• Arrange logistics to deliver the equipment to the user’s site by the most cost-effective and expeditious method.

• Install and commission the equipment in the facility in the shortest possible time.

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• Perform safety risk assessments to Australian standards, significantly reducing the user’s risk exposure. Many overseas manufacturers are unfamiliar with our legislation.

• Provides operator and maintenance training to the user’s personnel.

Achieving proficiency quickly boosts safety, productivity and ROI. • Be available to provide service during the warranty period and beyond.

Provide telephone support for quick solutions to minor problems that would otherwise lead to lengthy downtime.

• Provide regular preventative maintenance to extend equipment life and reliability, reducing breakdowns and makes productivity predictable.

• Hold stocks of consumable and repair parts, which are used in common by multiple users.

• Arrange for retrofitting or reconditioning when equipment no longer meets a user’s needs, so it becomes useful again. Alternatively arrange redeployment with another user or environmentally compliant disposal.

• Provide valuations to help the user meet business objectives.

If all of the above are done well, the supplier will add tremendous value to the user’s business. If they are done badly, they may cause great harm. For this reason, all prospective suppliers should be carefully vetted to ascertain and confirm their capabilities. A good supplier becomes a long-term partner. Often overlooked in addition is the vital role that suppliers play in the transferal of technology.

The hidden costs Let’s talk about saving money, which is the stated reason that most users want to deal directly with manufacturers. Most users who deal directly expect to save around 10% of the value of the equipment. As a headline, this may be correct – but that assumes that everything on the above list goes to plan.

How much does the user lose when something goes wrong? When you add in time the user spends administering the

project (tasks with which they have no experience, with many pitfalls), the financial gap closes rapidly. Is it worth the risk?

An experienced supplier can perform the functions far more efficiently than a user who is involved in acquisitions sporadically, at best. If a supplier was to bill hourly in the same way that a lawyer or other professional does, it is likely the hours charged (and costs) for the above services would be much higher.

How much does a user spend on business analysts, consultants and mentoring?

Bundling these services into the price of the equipment, while not transparent, likely works out cheaper for the buyer. In the past, we have surveyed users, with a view to reducing equipment prices in exchange for charging separately for support services. Our customers always firmly stated they would like to stay with the existing arrangements.

Finally, consider this: each piece of equipment purchased directly from a manufacturer sends some work offshore. Each piece not sourced through an Australasian supplier weakens our entire industry and drives up operating costs for every user. Each supplier (and all suppliers collectively) needs critical mass to sustain our manufacturing ecosystem. If the fixed operating overhead of each supplier is spread over fewer and fewer machines, the prices of the individual machines will need to increase. If not, the supplier will cease operations. When the supplier no longer exists, the user will be forced to deal directly with manufacturers.

Then the users will come to appreciate just how much value a good supplier adds.

Quoting Joni Mitchell’s Sixties song, Big Yellow Taxi; “Don’t it always seem to go, that you don’t know what you’ve got till it’s gone.”

I look forward to your feedback, to add to the debate as to how the Australasian precision manufacturing industry will advance, especially in living with the closure of our automotive sector.

Paul Philips is Managing Director at Sydney-based Benson Machines, which has been transferring technology since 1908. Paul has requested that this article be available for all to reproduce freely, without attribution, for the greater good. www.bensonmachines.com

Australia’s ‘five pillar economy’ – manufacturing In his 2013 election campaign, Tony Abbott promised his government would build a world-class “five pillar economy”, encompassing manufacturing, agriculture, services, education and mining. Two years later, Professor Roy Green examines how manufacturing is faring.

Manufacturing has changed the world and is itself changing, more fundamentally than at any time since the industrial revolution.

Does this spell the end of manufacturing in Australia, or a new beginning?

Our immediate challenge is that the resources boom has ‘hollowed out’ the sector in a number of ways. First, the high Australian dollar, associated with rising commodity prices, has made traditional lowcost manufacturing uncompetitive. This has come to be known as the “Dutch disease”, following the similar impact of North Sea gas discoveries in the 1970s.

Second, under pressure to open new mines, resources companies raided manufacturers for skilled workers instead of training their own, offering wage rates that manufacturing employers could not afford. This might not have been so damaging if the companies had sourced their equipment and infrastructure locally, but much of this was sourced from abroad.

Third, the increased terms of trade resulting from high commodity prices masked a slowdown of Australia’s productivity performance since the end of the 1990s.

The complacency induced by the mining boom distracted the attention of policymakers from other sources of growth, such as manufacturing, which would eventually be needed to “rebalance” the economy.

Still an important pillar That said, it is important to recognise that manufacturing is still an important pillar of the Australian economy, and despite recent setbacks has infinite opportunities for growth and diversification, particularly in global value chains. Would anyone know from the doomsayers that the total value of manufacturing production is one and a half times higher today than it was in 1979?

Yet the manufacturing share of Australia’s gross domestic product has fallen from 12.9% in 1979 to 6.2%. This is because the economy grew by a factor of three over this period – twice as fast as manufacturing.

Manufacturing exports also increased in value but declined as a proportion of total exports from 49.6% in 2006 to 35% today, due to the increased share of commodity exports.

On the face of it, workforce trends tell a dismal story, certainly since 1985 when manufacturing was the largest jobs category in the Australian economy at 16.5% of total employment. Since then, it has dropped to 7.9% of the total, reflecting a decline in the manufacturing workforce of 18.7% to around 920,000. This compares with an increase in total jobs of 43.4% over the same period.

Moreover, it is anticipated that by the end of 2018, manufacturing employment will fall by another 40,000, with the end of car assembly. But we should bear in mind that many jobs that are integral to manufacturing are classified as services. These jobs include engineering, design, marketing and other professional and technical services. Rather than thinking of manufacturing as being in decline, it is more accurately depicted as part of a value chain where value creation is outsourced or acquired elsewhere.

A different composition Clearly while manufacturing retains a major presence in the Australian economy, it is generating a very different composition of output and employment from the past. It must respond to global competitive pressures, more complex market conditions and rapid technological change, but is it doing so fast enough? The evidence indicates only a partial shift so far from low-cost competition to higher-value-adding sectors and from low-skill, routine jobs to high-skill, highproductivity jobs.

There are more than 80,000 manufacturing businesses in Australia, mostly under 100 employees, with the larger ones accounting for more than a quarter of the economy’s total R&D expenditure. However, we are now seeing a sharp decline in manufacturing investment from a peak of $14.4bn in 2005-06 to $8.8bn in 2013-14. This is the lowest level in 12 years, as profit margins fall behind other sectors, at a time when global opportunities are at their greatest.

products and services, often intermingled, to global markets and value chains. Sometimes they are outsourced components of the larger operation, but mostly they are clusters or networks of small and medium enterprises (SMEs) that have become known as “micromultinationals”.

These globalised SMEs are characterised by relentless innovation, which includes but goes beyond technology development and adaptation. They also pursue nontechnological innovations such as business model transformation, design-led innovation and new manufacturing methods, in turn enabled by digitisation, machine learning and the intersection of the physical and virtual worlds in the “Internet of Things”.

In Germany, this new approach to manufacturing and its integration with services is called “Industry 4.0”. It is driven by a well-funded “innovation ecosystem” of large and small firms, universities, Fraunhofer Institutes and government, supported by strong workforce and management capability and informed by sophisticated “technology foresights” which mark out areas of future as well as established competitive advantage.

Other countries are also adopting this approach, most recently the UK which has invested heavily in its “Catapult Centres”, as well as the Netherlands with its “top sectors” strategy and the US with a network of National Manufacturing Institutes. Australia has exemplars in its small number of high performing manufacturing micromultinationals, but a lot to learn about building a competitive knowledge-based economy.

Professor Roy Green is Dean of UTS Business School at University of Technology, Sydney. This article was originally published in The Conversation. www.theconversation.com www.uts.edu.au/about/uts-businessschool

The rise of “micromultinationals” Around the world, large vertically integrated manufacturing operations are being superseded by smaller, interdependent production units which supply specialised

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Tech news

USA: World’s first 3D printed fabric Using Kickstarter, and 1.5 years in the making, a group from the US has developed the Electroloom – a 3D printer which whose nozzles convert liquid to fibres (electrospinning) and which enables people to design and manufacture clothes from scratch. Using Field Guided Fabrication, the cotton, solvent and polymer mixture is guided with an electric field, converting the liquids into solid threads. These nano threads then coat the mould, creating a mesh of randomly interconnecting threads that build up. The resulting garments are made as a single piece, without the need for seams or stitching. Benefits include the fabric’s porous microstructure which makes it harder to snag.

Mixed

USA: Floatable metal composite Researchers have demonstrated a new metal matrix composite that is so light that it can float on water. Its density is only 0.92 grams per cubic cm, yet it is strong enough to withstand the marine environment, allowing a boat to stay afloat despite damage to its structure. It also promises to improve automotive fuel economy. Although syntactic foams are not new, this is the first development of a lightweight metal matrix syntactic foam. The magnesium alloy matrix composite is turned into foam by adding strong, lightweight, silicon carbide hollow spheres. These offer impact protection to the foam because each shell acts like an energy absorber during its fracture. The composite can be customised for density and other properties by adding more or fewer shells into the metal matrix.

NY University Polytechnic School of Engineering

US: First 3D-printed copper rocket engine part NASA engineers have 3D-printed the first full-scale, copper rocket engine part, considered a milestone for aerospace 3D-printing.

Additive manufacturing has the potential to reduce the time and cost of making rocket parts like the copper liner found in rocket combustion chambers. A selective laser melting machine fused 8255 layers of copper powder to make the chamber in 10 days and 18 hours. Copper is extremely good at conducting heat, but this property makes the additive manufacturing of copper challenging (ie making tiny passages with complex internal geometries). The goal is to build rocket engine parts up to 10 times faster and reduce cost by more than 50% and the ultimate aim is to develop a repeatable process that industry can adopt.

NASA

Australia: CSIRO solar shines on Cyprus hill CSIRO scientists have designed and installed a solar field of 50 highperformance heliostats (mirrors) in Cyprus which places the island nation at the frontier of solar energy research in Europe. As most of the country’s electricity is currently generated using oil, harnessing the sun’s energy through solar thermal technology is an attractive option for Cyprus. It could also power energy intensive desalination plants used to tackle perennial water shortages. This is the first time the CSIRO has deployed this technology outside Australia. The heat generated by the field could bring a two litre kettle to the boil in less than five seconds.

CSIRO

Australia: Gold detection technology

USA: Aluminium: New, high-volume joining process Conventional laser welding can be problematic when applied to aluminum, now researchers have demonstrated a new process for the expanded use of lightweight aluminium for the auto industry, reducing production time and costs while yielding strong and lightweight parts (a resultant car door is 62% lighter and 25% cheaper). The process was achieved by transforming a joining technique called friction stir welding (FSW). The process can now be used to join aluminum sheets of varying thicknesses. The team is focusing on even faster weld speeds and the ability to maneuver around contours of complex aluminum parts. The team also is modifying FSW to join different alloys.

Pacific Northwest National Laboratory

Australia: 4D-Printing The fourth dimension is shape shifting and researchers are helping set the pace in the next revolution in additive manufacturing by developing 3D-printed materials that morph into new structures under the influence of external stimuli such as water or heat. This ground-breaking science promises advancement in medicine, construction, automation and robotics etc. Researchers have manufactured a valve that actuates in response to its surrounding water’s temperature by closing itself when it detects hot water. The ACES group was the first to combine printing a 4D device with four different cartridges simultaneously, while using tough gels with the incorporated actuating materials.

University of Wollongong (ACES)

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Researchers are developing a portable, easy to use and highly sensitive method for gold detection that would allow mineral exploration companies to test for gold on-site at the drilling rig. Using light in two different processes, they have been able to detect gold nanoparticles at detection limits 100 times lower than achievable under current methods. The amount of gold can be determined with an hour.

University of Adelaide

USA: Babies saved by 3D printing – progress report A new study reports outcomes for three Kaiba babies who became among the first in the world to benefit from 3D printed devices that saved their lives in 2012. The babies all had the same life-threatening condition: tracheobronchomalacia, which causes the windpipe to periodically collapse.

They became the first to benefit from groundbreaking 3D printed devices that helped keep their airways open. The device worked better than expected and the procedure has been successfully replicated. The babies were able to come off of ventilators and no longer needed paralytics, narcotics, sedation or intravenous therapy. Today, Kaiba is an active, healthy 3-year-old in preschool, Garrett, (2.5 years) has a contagious laugh and Ian (17 months) is known for his huge grins and enthusiastic high-fives.

University of Michigan

Product news

QMS relies on innovative technology to produce quality work Quality Metal Solutions (QMS) started from humble beginnings, but today a company that was created by two people has now well and truly doubled in size.

For the last seven years, Nigel Pendlebury has seen QMS grow. He has seen a constant evolution of technology that not only allows the business to run smoothly, but also guarantees customers will receive a quality product. QMS manufactures parts for a number of industries all of which are diverse in size.

“We service the pharmaceutical and food industries as well as the agriculture and trucking industries,” says Pendlebury. “Our customers are diverse from small fabricators to large enterprises so it’s a broad spectrum.”

As technology is advancing, Pendlebury says the best way to stay ahead of the competition is to constantly invest in the best machines around.

“We are constantly investing in new technology,” says Pendlebury.

“Keeping up to date with new machines as well as the latest software to keep ahead, is essential in a competitive industry like this. We are always on the look out for diverse equipment, which means we can do different things, satisfying the needs of our customers.”

What makes QMS stand out as is the fact that they perform everything under one roof.

“What sets us apart from other businesses in the area, is the fact that we design and develop the 3D designs and make sure our customers can get a feel of their products before we process them,” Pendlebury says. “Not too many companies can do that under one roof. Most places require you to go elsewhere to get designs draw up, but at QMS we do it all for you.”

QMS’s newest machine is the Trumpf TruLaser 3030 L20, which combines innovative technology and high-powered laser power. The TruLaser 3030 L20’s new design enables reliable processing, a single cutting head strategy resulting in minimal unproductive time, as well as an automatic nozzle change that also reduces unproductive time.

“Our machines have definitely increased efficiency,” says Pendlebury.

“What has shocked me the most is how much faster the piercing times are. It certainly speeds up the process.”

As a customer of Headland Machinery, Nigel says he has always been happy with the service and efficiency he has received from the service teams.

“I am very happy with the service provided by Headland Machinery,” he says. “Their response time is extremely quick which has helped us out when we have needed it. It makes the process easy knowing you can rely on them.” www.headland.com.au

Schwarze-Robitec - Quality tools for maximum profitability Many tube and pipe-processing companies exclusively use custom-made bending machines to achieve a maximum of precision and productivity. Full machine capacity, however, is often only possible in combination with a high-quality tool solution.

Global competition, more complex tube geometries, more exotic materials – the market requirements rise continuously. With them, the requirements placed on production processes and production machines change as well. High-quality tool solutions provide a major contribution to faster throughput times, reduced non-productive times and an improved total productivity.

“Those making false economies usually invest double – in the form of time and money,” comments Hartmut Stöhr, Managing Director of Schwarze-Robitec.

Tube-bending machines are high-tech products, which offer constant high quality only with the corresponding tool outfit. Often, questions regarding the geometry of the tubes to be processed, their material and their output quantity determine the dimensioning of machine and tool. A lack of know-how can quickly take its toll in the form of high rejection rates, poor quality and customer complaints.

“Those who don’t buy the tools from the bending specialist should check carefully, whether the initially lower investment costs can actually be maintained across the complete production cycle,” advises Stöhr.

“I recommend users to play it safe in this sensitive area and to benefit from the advice and experience of the machine manufacturer.”

For this reason, Schwarze-Robitec does not sell any ready-made tool series products. Instead, the company offers a modular-configurable accessories program that is adapted flexibly to the specific project requirements.

This comprises single-stack tools and multiple-radius bending tools both for series and high-volume production.

Schwarze-Robitec designs its equipment specifically for the respective user industries, employing specialised know-how built over decades of experience in a variety of industries. Common to all material solutions is the use of high-quality materials and special hardening processes, which optimise the precision, wear resistance, dimensional stability and thereby the endurance of the tools. A high repeat accuracy is also ensured.

“At the beginning of each project we provide detailed advice with the aim of finding the best bending solution for the customer,” reports Stöhr. “The result is always a long-term convincing production solution at the highest level.” www.schwarze-robitec.com AMT JUNE 2015

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product news

Knowledge is power, and knowledge can save power!

Knowledge through compressed air training may well be the key to unlocking the energy savings potential of a compressed air system, says Jeff Coyle, Engineering Manager at Kaeser Compressors Australia.

Energy costs can account for a considerable amount of manufacturers’ operating costs, a large proportion of which may well be attributed to running a compressed air system. So how can manufacturers reduce the impact to their bottom line?

“It is well documented that electricity prices have risen sharply over the past decade in Australia,” says Coyle. “Once seen as a relatively low fixed cost, energy has become an ever more important variable cost that impacts on company profits.”

Often considered the fourth utility, compressed air is commonly one of the largest single energy costs consumers face within a manufacturing facility and, depending on utilisation, electrical power can account for up to 90% of the total costs of compressed air production. In addition, the energy costs of a typical compressed air system can account for almost three-quarters of its lifetime costs.

It therefore makes sense to keep the power consumption of a compressed air system to a minimum.

Fortunately, compressed air is one source of energy where significant and sustainable energy savings can be found. Indeed, many existing compressed air users could be hiding an energy savings potential of 30% or more.

“Anyone wanting to use compressed air energy efficiently must consider the compressed air system as a whole and understand the numerous correlations and interactions within the system and its integration into the operational environment,” Coyle adds. “The first step in realising such energy savings potential is therefore knowledge, and for many, compressed air training and education will be the key to unlocking this potential.”

Kaeser has just released its 2015 Compressed Air Seminar Series. Committed to supporting the compressed air industry with training and education, these one-day seminars developed by Kaeser, are designed to equip compressed air end-users, operators, supervisors and consultants with the knowledge to assist them in optimising

the productivity and energy efficiency of a compressed air system as well as controlling associated operating costs.

From the fundamental principles of compressed air to the operation and maintenance of air compressors, control systems and air treatment, the one-day Compressed Air seminar from Kaeser, provides participants with the knowledge that can ultimately assist them in optimising the energy efficiency of a compressed air system. The seminars are running throughout Australia in 2015.

“Knowledge really is power in optimising the energy efficiency of a compressed air system,” Coyle concludes. “And consequently, knowledge can also save you power!’ www.kaeser.com.au

Ultimaker 2 3D printer now available from Redstack With the addition of the Ultimaker 2 to Redstack’s range, the world’s premier open source 3D printer can now be in your hands.

The Ultimaker 2 offers a new level of 3D printing, designed to provide incredible quality while still remaining easy to use.

Usability is a key focus of the Ultimaker’s design, with the printer ready to go within minutes of being removed from its box.

With the elimination of a painful assembly processes, there is little standing between you and your first print.

The Ultimaker 2 has also benefited from a unique development process. Instead of the secrecy that often surrounds high-tech products, the Ultimaker 2 is the result of an open source development. This results in a 3D printer that is designed by the people, for the people.

The sharing culture is a defining point of difference for the Ultimaker, especially considering the highly competitive nature

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of the 3D printing industry. With the access to the printer’s source files available during development, the 3D printing community had a direct influence on the final product, making sure the production is bug-free and ready to print. In terms of filament, the two most popular thermoplastics are supported by the Ultimaker 2. Both ABS and PLA varieties function with the device, giving a degree of flexibility with the plastics available.

Ultimaker have rigorously tested a range of filaments with the printer, and offer a variety that is guaranteed to provide smooth prints every time.

The Ultimaker 2 comes with everything you need to get started straight away, including the necessary cabling, an SD card and most importantly, 0.75kg of filament, so you can start printing straight away. With a range

of 3D design and engineering software solutions available, training and services, Redstack offers everything you need get the most out of your 3D printer. From advanced prototyping to tinkering at home, there’s a 3D printing solution for users of all levels. www.redstack.com.au

WHY

?

Over 100 years Of innOvatiOn, endurance, and perfOrmance.

Since their founding in the late 1890’s as The Cincinnati Shaper Company, CINCINNATI Incorporated has built its reputation on three principles: innovation, performance and endurance. From their modern plant and technical centre on a 700-acre site near Cincinnati, Ohio, Cincinnati Inc design and build machines to the standard of ruggedness required by industry - with premium engineering features that stand up to years of rigorous use in demanding environments. This philosophy is evident in their range of laser cutting machines and material handling systems. For further insight in how Cincinnati can benefit your business, contact us at Industrial Laser.

CL400 series CO2 laser machines for full range cutting to 30mm

CL900 series Fibre laser machines for ultra high-speed cutting

Cincinnati choose PRC lasers for their CO2 models, but you don’t need to buy a new machine to reap the benefits of PRC’s innovations: + Low Gas Consumption (via GEM Filter Technology) + Lifetime Electrodes and Glassware + No Turbine Rebuilds + Remote Diagnosis + 2 Year Warranty We can replace your tired laser with a 2.5kW PRC for as little as $135k; 4kW for only $175k.

Rental plans are available.

Sole Australasian Distributor: industrial laser sales & service Factory 8, 17 Keppel Drive, Hallam VIC 3803 AUSTRALIA T: (03) 9796 3055 E: sales@industriallaser.com.au www.industriallaser.com.au AUG2104

product news

Haas unveils all-new bar feeder When Haas Automation introduced the Servo Bar 300 bar feeder in 1999, it was instantly popular, because it was compact, easy to use, and affordable. For 2015, Haas engineers went back to the drawing board to make bar feeder operations easier, more efficient, and faster.

The result is the all-new Haas Bar Feeder, which provides a simpler and more affordable way to automate part production on Haas turning centres. It features a re-engineered, heavy-duty – yet still compact – design that boosts productivity and streamlines turning operations. Designed and built by Haas Automation exclusively for use on Haas ST-10 through ST-35 and DS series CNC turning centres, the Haas Bar Feeder connects directly to the Haas control, and is powered by the turning centre.

Fast set-up and quick changeovers are what set the new Haas Bar Feeder apart from the competition. It features an innovative rollaway design that provides easy access to the rear of the lathe spindle for quick liner adapter and liner changes. Simply press the foot-pedal release, and the bar feeder easily rolls out of the way for access. When pulled back into position, the bar feeder locks into place completely, eliminating accidental bumps or alignment issues.

Moreover, making bar height adjustments is easier than ever, using a single handwheel right where it’s needed to make visual “on-centre” adjustments. Quick-change pushrods snap into place without tools, and both sizes store conveniently in the cover of the bar feeder. Built-in racks on both ends of the bar feeder provide storage for and easy access to all Haas extruded spindle liners, so there’s no need to walk around the machine, as with the previous version.

To reduce cycle times, the Haas Bar Feeder uses a new belt-driven bar-shuttle system, which is seven times faster than the previous version with lightning-fast retract speeds.

Optical sensors accurately determine bar position, even on bars with chamfers and ragged ends, and stainless steel runners on the charging tray help bars roll down to the loading area much easier. Even square and hexagonal stock glide down smoothly to the new bar feeder tray.

Because it’s integrated with the Haas control, all bar feeder parameters are set directly at the lathe. Easy-to-read, on-screen icons indicate if the bar feeder is out of position, has the lid open, or needs to be latched back into place. The new Haas Bar Feeder is easy to set up, easy to operate, and ready to boost your output and profits. www.haas-australia.com

Extended DrillRush line doubles margins TaeguTec has extended the new DrillRush line by introducing a double margin indexable drill that has a diameter range of 8mm to 19.5 mm.

The new addition to the highly popular line opens the door to high surface roughness and high precision drilling applications and expands TaeguTec‘s reach into the drilling market while also extending the application range of the successful DrillRush line by improving upon the steel drilling (ISO P material) process.

Known for its optimised edge geometry and innovative clamping structure, the addition to the DrillRush family continues the line’s remarkable performance compared to existing solid carbide or other conventional drills. With two guiding areas – four in total – on two cutting edges, the new double margin indexable DrillRush ensures high hole quality in relation to the cylindricity and straightness of the tool during the machining process.

This new TaeguTec DrillRush double margin indexable drill head enables reliable high

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quality hole machining, which includes close hole tolerance, premium surface roughness and production stability. Furthermore, the double margin type heads are available in the latest GoldRush TT9080 grade for prolonged tool life and are interchangeable with standard DrillRush bodies.

Like all DrillRush products, the double margin indexable drill heads have a quick change system that permits for head indexing on the fly, and can incorporate different size heads on one drill body. Its twisted coolant channels and polished chip gullet offers smooth and excellent chip evacuation, while its rigid connection presents remarkable performance with a maximum number of head indexing. www.taegutec.com

product news

Lector 642: Highly efficient code reading Lector 642 is the name of SICK’s new image-based code reader product family, which offers the ideal performance package for demanding code reading applications.

Changing object heights and reading distances, wide visual ranges, randomly aligned 1D and 2D codes, and fast transport speeds are just some of the challenges that the Lector 642 can overcome, thanks to features such as its high camera resolution, and fast serial image shooting and decoding functions. It also offers a variety of fieldbus options and extensive analysis functions.

The Lector 642 code reader is available in a “Flex” version with individually adjustable illumination settings and lenses, making it a technically and economically efficient solution with a great deal of flexibility when it comes to applications.

The “Panorama” accessory part for all Lector 642 and Lector 65x models makes it possible to achieve a field of view that is about 50% larger with the same code resolution. The Lector 642 boasts a resolution of 1.7 MPixel, meaning the device can reliably identify a standard 1D code with a line width of 0.35mm in a reading field with a width of 400mm. Whether bar code, Data Matrix, MaxiCode, or QR code – powerful decoding algorithms ensure that even codes with poor levels of contrast or areas that have been damaged can reliably be detected and evaluated.

It goes without saying that the Lector 642 code reader offers easy integration, without the need for significant training. Serial interfaces, I/Os, USB, CAN, and Ethernet-based fieldbuses, such as TCP/IP, Ethernet/IP, and Profinet, are already integrated in the code readers, as are the function blocks. Other fieldbuses, for example Profibus, are available in the form of connection modules. During device set-up, the optimum settings can be established quickly thanks to function buttons and auto-setup, and alignment is facilitated by the integrated target laser. Optical and acoustic feedback signals provide support during commissioning and when actually operating the device. This allows images and read data to be collated and interpreted before being used to generate statistics and deduce trends.

Common applications of the Lector 642 code reader involve automated sorting processes within the field of intralogistics. However, even manual handling and sorting processes can be semi-automated with the Lector 642. The code readers’ full potential is utilised in the field of factory automation, such as when identifying tires and in the end-of-line area of packaging systems.

With the matrix-image-based code readers in the Lector 642 product family, SICK is adding to its portfolio of “4Dpro” identification solutions and is able to offer a complete range of products consisting of laser scanners, line cameras, matrix code readers, and RFID systems. www.sick.com.au

Brushless DC motors with inner rotors reach highest power levels.

New from maxon motor, the 14pole high-torque 40mm brushless DC inner rotor motor can produce continuous torque levels of 232mNm at over 7000rpm.

With dimensions of just 40mm by 56mm, the new length release at 100 watts brings this line of multipole brushless motors a third power option including a 50W and 70W version. There are 9V, 18V, 36V and 48V nominal DC windings available. The 50W and 70W motors have a maximum speed of 10,000rpm and the 100W motor has a maximum speed of 8000rpm.

It is possible to use the speed constant of the motor (commonly known as KV) to configure the motor for the speed requirement of the motors application. For example: using the 18V winding of the 70W motor and a system voltage of 24V, the motor will have a no-load running speed of just over 10,000rpm. This speed can then be

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controlled with one of maxon’s brushless DC servo amplifiers.

One of the most important factors in modern machine design is the power-to-weight ratio and the new brushless DC motors from maxon are some of the best performing to date, especially when comparing the torque of the motor with its diameter. The motors are available with tiny high resolution encoders and compact planetary gears. Engineers at maxon motor Australia are able to help with the configuration of motor, gearhead, encoder and control units to suit the specific needs of your application. www.maxonmotor.com.au

BySprint Fiber 6000 6.0 kW Fiber Laser cutting

Full lights out automation Automatic nozzle changing CutControl-cut quality monitoring ByPos Fiber-automatic focal control

Fast Efficient Profitable

Available in 3.0 x 1.5m or 4.0 x 2.0m www.bystronic.com

31-33 Sullivan Street Moorabbin Victoria 3189 Tel: (03) 9555 5525 Fax: (03) 9555 2970 Web: www.lmclaser.com.au Email: sales@lmclaser.com.au

Agriculture

Despite some market volatility in recent years, agricultural machinery is a significant, and growing, industry. Carole Goldsmith looks at some of the Australian manufacturers seizing the opportunities in the sector.

Australia’s agricultural machinery manufacturing is a $2bn industry recording an annual average growth rate of 2.2% over the past five years, according to IbisWorld’s October 2014 Agricultural Machinery Manufacturing Market Research Report, ANZSIC C2461. The report also reveals that the industry employs 6527 people within 866 businesses.

Agricultural markets have seen volatile conditions over the past five years, amid unstable commodity prices, weather conditions, production volumes and exchange rates. Nonetheless, three Australian manufacturers of agricultural machinery – GP Graders, Leda Custom Farm Equipment and New Touch Laser Cutting – are booming, with adding employees, exploring new markets, expanding opportunities, and enjoying custom-designed success.

GP Graders – Taking on the world Australia’s 2014 Exporter Of The Year and Australian Manufacturing award winner, GP Graders, is this country’s foremost supplier of machinery for grading fresh fruit and vegetables, and the world’s leading manufacturer of cherry sorting and packing machines.

Trade and Investment Minister Andrew Robb congratulated the company’s CEO Stuart Payne, at the Australian Export Awards

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last November, for GP Graders’ ongoing success exporting its machines. It currently has machinery in 18 countries, with key markets in Europe, the USA, Canada and Chile.

Payne speaks excitedly about his company’s export expansion: “We are in the process of significant expansion through Europe.

When in place, this will greatly increase our huge grading market across Italy, Spain and France. Last year we installed the world’s largest cherry-grading machine in California. It can process 24 tons of fruit per hour and this is a 200% increase on previous machines.”

He adds that the company is currently installing machines in Germany and Belgium, with prospective sales in Switzerland, Norway, Italy, Spain, Turkey and Greece. Explaining how he finds additional global business, Payne says: “It mainly occurs through our agent network or at international trade shows where company representatives approach me on our company’s display stand.

“Everything we do in this company is an invention to meet a solution to a need. We receive a request, think about the design, develop it, test it and sell it. There are always new ideas and problems with grading fruit and we always aim to solve them.”

Agriculture

Payne co-directs the company with his brother Ian, who manages production. Their father Geoff started the company 52 years ago, when he set up a small manufacturing and grading business to cater for local fruit growers in Mount Waverley, in Melbourne’s eastern suburbs. How the company has grown since then!

As well as the company’s head office and manufacturing plant in Mount Waverley, its international operations include GP Graders LLC (USA), near Seattle, and GP Graders Chile SpA, in Curico, south of Santiago. The business has around 70 employees in total, including 10 in the USA and 10 in Chile.

“Our Chilean workforce will be increasing to 20 by this August to handle our increasing grading machine distribution in Chile,” adds Payne. “Last year we moved from an agency relationship in Chile, to running the business ourselves and opened GP Graders Chile SpA. We have an assembly plant at our US company and may do some machine assembling at our Curico business in the future.”

Payne explains that the company’s orientation of fruit and vegetable grading is towards small produce and includes anything that can be rotated such as cherries, Brussel sprouts, cherry and grape

tomatoes, small onions and plums. It still manufactures machinery for citrus, apples, pears and stone fruit, and is also producing several machines for abalone and oyster grading.

“However our largest market is in cherries and the cherry industry as a whole has grown over the past 20 years,” Payne says excitedly.

“There is an enormous demand for cherries in Asia. They are regarded as a delicacy and a luxury item, especially in China and Japan where they are given as gifts.

“In China, people buy cherries for the New Year’s celebrations.

Chinese buyers are even flying directly to cherry farms in Chile to buy entire cherry crops from the farmers directly. Some Chilean growers are making $US40,000 an acre from their sales to China.”

The majority of the company’s sales are derived from its AirJet ®cherry and grape tomato grader, which it claims is used by every major cherry packer in all leading markets globally. The machinery’s unique camera technology categorises cherries according to size, colour, shape and defects, which cuts human sorting by 80% and increases accuracy to 97.5%.

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Agriculture

GP Graders currently has fruit-grading machinery in 18 countries, with key markets in Europe, the USA, Canada and Chile

GP Graders’ CEO Stuart Payne receiving the 2014 Exporter Of The Year award from Trade and Investment Minister Andrew Robb.

Payne explains the machine’s camera technology: “There are three cameras per cherry and each camera takes 10 synchronised images of every cherry. That’s 906 images for each standard cherry lane.

At the California site, where our largest machine is installed, it takes 36,000 images per second over the 40-lane grading site.

Leda builds around seven harvesters a year. The combined build for last and this year is eight olive harvesters and seven grape harvesters.

All harvesters are custom-made for the client’s particular requirements.

The top of the range Colossus XL olive harvester sells for around $950,000 while the grape harvester’s price varies from $200,000 to $400,000.

“The cameras illuminate the fruit and we can see the cherry or cherry tomato’s grade including softness, bruising, rot or cracking. We rotate every cherry under the camera and the conveyor speed is 30.2 cherries per second. This multi-dimensional analysis enables us to measure size, colour grades and skin imperfections at high speeds and with perfect efficiency. The first quality graded cherries are sold for export and for domestic markets.”

The AirJet ®machines sell for $US1.5m-$US2.5m and its largest machine was sold to its California client last year for around $US7m.

GP Graders invests around $US4m-$5m annually on R&D and Payne says: “We have a wonderful history of successful innovation. Eighty percent of what we begin to design is successful and leads to ongoing sales.”

The AirJet ®machines are all serviced on-site before the season, as the cherry season lasts just six to eight weeks. Each operator attends an intensive machine training course and GP Graders provides 24/7 on-line support throughout the season. Trained AirJet ® contract dayshift operators are also available for hire. This team of single young men have the very fortunate job of travelling the world operating the machines during the busy cherry season periods.

On the company’s future plans, Payne says: “We will continue to grow and move into grading other niche fruit and vegetable markets where vision technology can be utilised to reduce cost and provide a guaranteed grade in terms of size and quality. There are a myriad of benefits this technology brings to our customers from storage to staffing, to assessing new markets, domestically and globally.

Automation and implementation of technology in agriculture is expanding rapidly. We are moving towards a uniform consistency and quality of products supplied worldwide.”

Standing at a massive 5.85 metres tall and weighing 28 tons, the Colossus XL has a 96% efficiency in removing the olive fruit from fully grown trees. Leda has invested nine years of manufacturing and research to develop the machine.

With the combined experience designing and manufacturing the H-Series Tow grape harvester and the Colossus olive harvester, it was only a natural progression that the next step for Leda was to build a self-propelled grape harvester. With that, the H-Series P16 grape harvester was developed.

As well as the harvesters, Leda designs and makes approximately 1500 different variants of farming equipment products, many of which are custom-built and designed for clients’ requirements. Employee numbers have also grown from 35 to 60 this year to handle the company’s increasing business. One of Leda’s strengths is its supplier relationships; and it has a very close relationships with local and national suppliers.

Higgins’ love of designing farm equipment started long before he started his farm equipment business 16 years ago. “I worked with my father on a dry fruit property as a teenager and I started to design our own machines.”

Leda’s largest customer is Australia’s premier olive company Boundary Bend. Higgins says: “Boundary Bend asked us to develop a single operator Collossus harvester three years ago. This harvester was custom-produced and it harvests an average of 110 trees per hour

Leda – Consolidating operations Leda is currently engaged in the process of consolidating its four businesses – Leda Custom Farm Equipment, Leda AG, Messor and Mallee Trailer Hire – on one site of around six acres in Mildura, in Victoria’s north, over the next 12 months. The company is currently located on four sites at Mildura, Robinvale and Buronga in NSW. For Australia’s only manufacturer of olive and grape harvesters, the move is certainly a positive step forward. Founder, owner and Managing Director Damien ‘Henry’ Higgins says: “We received a Victorian Government grant of $250,000 from the ‘Victorian Business Flood Recovery Fund’ to build a new factory in Mildura. The new site will include a showroom, service department, manufacturing site, hydraulics department, engineering and customised manufacturing.”

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The Colossus XL olive harvester stands at a massive 5.85 metres tall and weighs 28 tons.

Agriculture

Left: The Colossus XL has a 96% efficiency in removing the olive fruit from fully grown trees. Right: Leda is currently consolidating its manufacturing operations in one single site in Mildura, Vic.

using just one operator. We’ve developed the Colossus XL over the last 11 years alongside Boundary Bend and other highly respected olive growers in Australia.”

He explains the Collossus XL process: “Once the olives are picked with the harvester, they fall onto a conveyor belt and are then transported on to a lift conveyor. The olives then move to another container where they are cleaned and transported to a bin for processing.”

Recently Leda modified the Colossus olive harvester to enable it to harvest oranges. Changes included redesigning the collection buckets making them large enough to hold oranges. The conveyor also had to be redesigned to discharge the fruit from the rear of the machine instead of the usual side discharge system used. The cleaning system was adjusted to prevent the orange tree’s larger leaves and sticks from becoming stuck and obstructing the system.

Leda supplies machines and parts to farms across Australia and Higgins says that they have plans to export machines in the future.

When asked what the manufacturing industry needs in Australia, Higgins says: “The government should be providing manufacturing tax incentives to encourage manufacturers to make products in this country. Businesses are finding it too easy to go overseas to build their products.”

New Touch Laser – custom design driving success When Brad Drury started New Touch Laser 14 years ago, it was a two-man business. Today, the company employs around 60 staff and operates six laser cutting machines over 24 hours a day, at two sites in Bayswater and Clayton South, in Melbourne’s east.

Drury and Alex Vandenbroeck formed a sister company called New Touch Fabrications in 2007, allowing them to deliver a complete range of fabrication services. The two businesses have since been merged allowing them to streamline the operation whilst improving lead time and customer service.

New Touch co-owners Alex Vandenbroeck and Brad Drury.

As well as supplying the agriculture sector, New Touch has an extremely diverse customer base across Australia, ranging from sheet metal and machinery businesses, to furniture manufacturers, as well as the trucking, defence, construction and automotive sectors, to name a few.

Most of the components produced for its clients are done to customer designs received via its CAD software. Drury advises: “When we see an opportunity for a design improvement, however, we certainly get involved in giving feedback and assisting with the redesign to meet our customer’s needs.”

He describes the equipment they use in the business: “Our main machines are laser cutting machines, of which we have a variety of brands and models. These are all capable of performing slightly different tasks, from automation, 2D and rotary cutting up to 2000mm by 4000mm in size and 25mm thick Mild Steel and 20mm Stainless Steel. We also have press brakes, laser marking, welding and many other smaller machines required for fabrication. For the agricultural sector components, we mainly use the lasers and press brakes.”

When asked where the opportunities for manufacturers lie in agriculture, Drury responds: “I think that the opportunities are similar in all industries? The government needs to develop policies that encourage and support businesses more and eliminate all the red tape and associated costs of being in business in Australia. This will make it more appealing for entrepreneurs and established businesses to invest and spend money in this country.” www.gpgraders.com.au www.leda.net.au www.newtouchlaser.com.au

With Drury as Managing Director and Vandenbroeck as Operations Director, the joint-owners are proud of their company’s continuous success. Although only 5% of its business is involved in the agriculture sector, it has provided a steady supply of interesting projects for New Touch.

Drury advises: “Since we started New Touch, we have been making various components for the agriculture industry. These range from small brackets to complete kits for rotary cow sheds, grading machines, large conveyor systems, water tanks and rotary hoes.

“The most interesting agricultural equipment that we’ve made components for is the rotary cowshed and many of these machines are exported to the USA. The cows are loaded on one side and the equipment rotates around the area they are milked. Other tasks can also be performed like feeding, washing and physical inspections.”

New Touch makes many components for the agriculture industry on Trumpf lasers at its Clayton South branch.

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Agriculture

GWE green energy plant hailed as model for agri waste processing A green energy initiative by Oakey Beef Exports in Darling Downs, Queensland, has been praised as an environmental and business efficiency model for food producers worldwide.

The Global Water Engineering (GWE) COHRAL plant was installed by environmental engineering and green energy specialists CST Wastewater Solutions, based in Roseville, NSW. Officially opened by Industry Minister Ian Macfarlane, it will extract green energy biogas from its waste water streams to replace millions of dollars’ worth of natural gas currently consumed at the abattoir in Darling Downs.

Industry Minister Ian Macfarlane, second left, performs the official launch ceremony.

The plant – the first GWE Covered High Rate Anaerobic Lagoon in the world – will produce 183.3 gigajoules of energy a day when it reaches design capacity through the combustion of methane produced. The new plant delivers high-quality waste water by extracting organic content, which it converts into methane to replace fossil fuels. The GWE anaerobic digestion technology involved can remove more than 70%-90% of organic waste content.

“The green energy produced represents 40% of our current usage of natural gas and will produce direct ongoing savings year after year. The cost of construction is expected to be repaid inside five years,” said Oakey General Manager Pat Gleeson. “The effect of burning the methane will save the equivalent of 12,000 tonnes of CO2, equivalent to removing 2700 cars from the road.”

Additional benefits include reduced greenhouse gas emissions, improved quality of wastewater and greatly reduced odour emissions from the plant.

“Our parent company [Japanese meat processor] NH Foods is pleased to have undertaken another innovative project that again demonstrates their continued commitment to business sustainability, the industry, our employees, the community and the environment,” added Gleeson. “This is a world- class initiative, with NH providing a model for the benefits of foreign investment in Australia.”

Minister Macfarlane said the project was a poster child that served as an example to industry throughout Australia and worldwide.

“This is a good project whichever way you look at it – including as a community asset, as an industry initiative funded on its own merits without government subsidy, and as a scientific, energy and industry advance that produces green energy as it reduces emissions,” he said. “It is a sign of confidence of Japan investing in Australia.

“This is one of the most modern – if not the most modern – meat works in Australia,” he added describing the Oakey plant, which

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is already one of Australia’s largest beef export plants and is currently undergoing an expansion to increase production from 298,000 head a year to 560,000, with employment rising from 750 to as many as 1400. In addition to lowering the plant’s dependence on increasingly expensive supplies of natural gas, the GWE anaerobic digestion plant will simultaneously produce waste water far cleaner than typical waste lagoons. The GWE COHRAL installation is the first of its kind in the world.

GWE has been a world leader in clean water and green energy solutions for more than 35 years. Its anaerobic waste water and green energy technology has been proven in a wide variety of livestock, crop and beverage

production facilities and is applicable to any industry with an organic waste stream.

Applied at a Thai cassava starch sludge processing facility, the technology won the 2014 Green Energy Award from the International Institution of Chemical Engineers (IChemE), which has more than 40,000 members worldwide. The award, given to GWE Chairman and CEO Jean Pierre Ombregt, recognised the best project or process to demonstrate innovation in renewable energy, alternative energy sources, efficient energy use or the development of energy production methods that reduce energy and water intensity.

COHRAL technology – which is applicable to both livestock and cropping operations

Agriculture are located much closer to each other than previously. So instead of open lagoons being potential dumping grounds for environmental problems, closed installations such as Oakey Creek’s represent an outstanding contribution to good community relations.”

– uses concentrated anaerobic bacteria to digest 70%-85% of the organic matter (COD, or Chemical Oxygen Demand) in Oakey’s waste water to produce effluent of far higher quality than typical open lagoons. Closed tank (reactor) designs, where applicable, can achieve even higher digestion levels and efficiencies, with more than 90% achieved in service by GWE plants.

“Yet another outstanding benefit is that anaerobic digestion produces reliable and predictable base load power. Unlike some other green energy technologies, it is not dependent on the wind blowing or the sun shining.”

The biogas storage design selected for Oakey – a 6000 cubic metre capacity, flexible PVC-coated, polyester-fibre flexible storage balloon – is engineered to be permanently gas-tight with high operational reliability and optimum safety.

“The safe, durable and environmentally harmonious COHRAL technology deployed at Oakey Beef can be widely applied worldwide to food, beverage and agricultural and primary processing plants,” says CST Wastewater Solutions Managing Director Michael Bambridge, whose company represents GWE technology in Australia and New Zealand. “Oakey Beef Processing and its owners NH foods have taken a farsighted initiative that opens the way to cleaner, greener and more profitable industry performance.”

Another major benefit of covered anaerobic lagoons is that the methane biogas produced within them is not only prevented from escaping into the atmosphere (where

CST Wastewater Solutions Managing Director Michael Bambridge (Centre) outlines the new Global Water Engineering plant to Minister Macfarlane, right, and NH Foods, Andrew Trianace

it is many times more damaging than CO2 emissions). It is also harnessed to generate energy – whereas waste water is normally a heavy consumer of energy in terms of processing and oxygenation.

“In addition to the obvious waste-to-energy benefits, the process also helps curb odours that emanate from open lagoons in processing plants,” added Bambridge.

“This is becoming a much bigger issue in Australia as urban encroachment means agribusiness and expanding communities

NH Foods has supported innovations such as the new GWE plant since the initial purchase of Oakey Abattoir in 1987, investing more than $100m dollars to grow capacity from 300 head a day to the current capability of 1300 head a day, which Gleeson says includes state-of-the-art traceability of product.

“Our next phase of plant development is in the final design stage, focused on upgrading the existing cold storage and chilling capacity with a construction cost of $50m over the next two years,” said Gleeson. “Operating in a global market, as a premium exporter to 34 countries, means that our manufacturing processes need to be respectful, sustainable and efficient.” www.cstwastewater.com www.globalwaterengineering.com

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Agriculture

Agriworld Australia to reflect radically changing industry Climate impact, changing appetites, supply chain disruption, and technological innovations will radically alter Australia’s agricultural sector, according to a recent whitepaper from Ipsos Business Consulting.

Ipsos will present the key findings of its whitepaper, entitled ‘Outlook for Australia’s agri sector’, at the inaugural edition of Agriworld Australia, a first-of-its kind, two-day business-to-business conference and exhibition, to be held at Sydney Showground on 16-17 July. Agriworld Australia will bring together the entire agribusiness value chain, from ‘farm to fork’, built on four defined pillars: • Agriinvest – investment services (finance, legal & tax support, business services).

• Agritech – farm production (field technologies, animal management).

• Agrinext – processing (technology, generation solutions, equipment).

• Agritrade – trade services (transport, storage, smart technology, export services).

Agriworld Australia will attract Australian and international professionals from the agricultural food production, fishing and aquaculture and food processing industries. Attendees will have the opportunity to source and buy the latest products, equipment and services to enhance their production productivity from the field to the processing plant. They will have the chance to interact with both domestic and international investors, understand the market appetite for their products and understand the best channels for delivery to market.

Organised by Reed Exhibitions Australia, Agriworld Australia is supported by peak industry body Royal Agricultural Society of New South Wales (RAS). Michael Kenny, RAS Chief Executive, affirms that Agriworld Australia supports his organisation’s key objectives.

“RAS applauds Reed Exhibitions for this exciting initiative and we are delighted to be supporting the inaugural Agriworld Australia as both strategic partner and host,” says Kenny. “The objectives put in place

by Reed are closely aligned to RAS’s vision and purpose to encourage the sustainable development of agriculture by staging events that support agricultural excellence. The team at RAS looks forward to supporting Reed Exhibitions in developing Agriworld Australia into the country’s premium agribusiness conference and exhibition.”

Exhibitors at Agriworld Australia will showcase the latest technologies and support services, from farm production to food-processing and trade. They will have the opportunity to connect and engage with the domestic agricultural supply chain and to exploit opportunities to access this fast-growing sector in Australia and key Asian markets.

The investment stream (Agriinvest) within Agriworld Australia will attract domestic and international investors, who will benefit from the opportunity to assess the different commodity risks and their potential, look at how best to diversify their investment portfolio and network on a larger scale with those companies that can help them own a piece of Australia’s agricultural market.

Delegates at the Agriworld Australia conference will benefit from a mix of seminars and interactive workshops, providing valuable face-to-face learning opportunities. A premium line-up of national and international speakers will present their knowledge, experiences and solutions. The Agriworld Conference program will include the following speakers: • The Hon Barnaby Joyce MP – Minister for Agriculture: “Agricultural competitiveness: the health and future of Australian agriculture.”

• The Hon Joel Fitzgibbon MP – Shadow Minister for Agriculture: “Fostering a healthy, vibrant and prosperous rural Australia.”

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• Dr Brian Keating – Science Director - Agriculture Flagship, CSIRO: “Taking a strategic national approach to ‘whole of value chain’ productivity improvement for food and fibre products.”

• Tim McGavin – Chief Executive Officer, Laguna Bay Pastoral Company: “What do investors look for in an agribusiness asset?”

• David Foote – Chief Executive Officer, Australian Country Choice: “Relationship-building in the agrifood value chain.”

“The launch of Agriworld Australia follows extensive industry research and consultation, which clearly demonstrated the market need for a premium quality, comprehensive agribusiness event for the full ‘farm to fork’ agricultural/agri-food value chain,” says John Gorton, Executive Director of Reed Exhibitions Australia. “In an independently-conducted survey of 100 senior agribusiness executives, 90% stated that high quality agriculture/agribusiness events are important to them and to their business. 99% of surveyed executives stated that they would be likely to attend if a major event organiser in Australia were to launch a new exhibition focusing on bringing the entire agriculture/agribusiness supply chain together, with an emphasis on ‘farm to fork’.”

The launch of Agriworld Australia is supported by the predicted growth in the Australian agricultural and agri-food markets. Australia exports around 65% of its farm products, 75% of its fish products and 60% of its forest products. The agribusiness industry in Australia is currently worth $219bn with 576,000 people employed and 125,160 operating businesses. Naming agribusiness as one of its “Fantastic Five Next Growth Waves for Australia”, Deloitte predicts that Australia’s agribusiness sector could add an extra $250bn to the Australian economy over the next two decades, driven by growth in food exports to neighbouring Asia.

“Reed Exhibitions is delighted to be working with Australia’s dynamic agribusiness industry and offering a platform to support its growth,” Gorton concludes. “We will be working closely with our strategic partner RAS and other industry stakeholders to ensure that the content and direction of Agriworld Australia stay firmly aligned with the industry’s needs, objectives and culture” www.agriworldaustralia.com.au

One on one

John Pollaers is the chairman of the Australian Advanced Manufacturing Council (AAMC). He has recently been appointed to chair the Federal Government’s Industry and Skills Committee.

By William Poole.

AMT: Firstly, what is the AAMC and why was it set up?

John Pollaers: The AAMC is essentially CEOs of advanced manufacturing businesses or multi-national corporations with operations in Australia. We started our effort back in 2013, but really formalised ourselves about 12 months ago.

Our focus is firstly on shifting the understanding of what advanced manufacturing is. That’s about education, and consistency of understanding – that it’s not just a sector but a series of capabilities applicable to all industry sectors. That’s why it’s so important.

Second is to look at the ecosystem and identify where the gaps are, who’s accountable, and encourage them to step into that accountability and deal with the issues. We’re not about creating lots of new things, we’re not about new money; there’s plenty of money in the system. It’s about making sure the gaps get addressed.

The last one is to understand where the policy settings, if adjusted, would support that ecosystem. We don’t start with the premise that we need to wait for Government. Our starting position is that industry can do this for themselves. There’s 2500 successful advanced manufacturers in this country who are growing, who are participating in global supply chains, who haven’t relied on government support.

If we get behind those companies, and show other companies how to transition into that way of working, we’ll get a faster return on investment, we’ll get job immediate growth, and importantly we’ll be setting Australia up for a long-term growth sector.

AMT: A number of your members are Primes and OEMs. How do we create opportunities for smaller manufacturers in their supply chains?

JP: There are a couple of overarching gaps in the system. One is that a small-to-medium enterprises (SME) don’t necessarily have the capacity to focus on research & development or commercialisation, or the time to engage with research institutions. How do you facilitate that? When you look at the way that the US and UK and Germany are approaching this issue, it’s by encouraging intermediate technology organisations to come together to develop capabilities, solve problems, and then bring those capabilities into the businesses.

In many instances, those capabilities could come out of working closely with multinational corporations. So the second gap is how we get SMEs to tap into the global supply chains of those multinationals.

A lot of our focus is about bringing attention to opportunities for SMEs to work with larger businesses and leverage those relationships internationally.

AMT: What activities is the AAMC engaging in to achieve your goals?

JP: We’ve spent a lot of time advocating for – and I think we can take some credit for – the recognition of “advanced manufacturing” as one of the five focus areas under the Government’s Industry Innovation and Competitiveness Agenda. That’s meant educating key stakeholders

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in Government and focussing on developing relationships and understandings. Firstly, it is education, understanding what it is and what the opportunity is. Secondly, it’s about talking to businesses around their role, how they can work with each other, and how they can connect with research on the commercialisation front, so they aren’t waiting for Government. And then it’s working on the policy levers, to say: “Where are the opportunities to learn from international approaches, and address the skills gap, address IP retention issues, address funding issues?”

AMT: There seems to be a strong ethos of not waiting, of bypassing Government.

JP: Yes. If industry steps up and works together and is clear on what it’s trying to accomplish, what we’re doing is defining the role Government can play. There’s often been an assumption in the manufacturing policy debate that manufacturers wait for Government to solve the problem.

That’s not the way we think. It’s CEOs who believe industry can step up, industry will make those investment decisions. If we’re clear on what we need, the role of Government becomes clearer. But it’s a more proactive approach on our part.

AMT: And what role should Government take?

JP: Government is critical in building collaboration between research and business, in facilitating commercialisation of our world-class research, and in supporting technology acceleration. We’re strongly behind the establishment of the Industry Growth Centres to help drive exactly that – to give us a strong coordinated national effort – and the CEOs of the AAMC will do all we can to ensure the Centres succeed in the long term, beyond political cycles, as industry-driven catalysts. The Cooperative Research Centres programme is also aligning its efforts with the Growth Centres and with industry needs – and this is very welcome.

There’s also an important role in market access facilitation. The new paradigm for manufacturing is not fully integrated production, but supplying into global supply chains. So helping Australian companies access the global supply chains of major multinationals is an example of what could be done. It’s about finding out what the world needs and wants, and providing it, at the high-value end of the supply chain.

The submarine project is a case in point. We’re arguing we use that project to inject Australian companies into the supply chains of major contractors – and in that way build Australian high-value capabilities at a globally competitive level. Make that a criteria. Then you’re not just part of producing, say, ten submarines – you’re part of producing 300.

One example is Marand Precision Engineering’s role in the Joint Strike Fighter project. Once you’re in and you prove you’re internationally competitive, you continue to provide. That’s the way for many of these advanced Australian companies.

AMT: So it’s not just giving them a job, it’s helping them become the “go-to guy” for that job.

JP: Right. If your starting position is that we can be globally competitive, we already have 2500 companies proving that, you come at it with a different mindset than if you’re constantly saying: “Why weren’t we able to do the last big project?” It’s a different way into the opportunity.

AMT: So how, for example, does a component manufacturer who’s spent a long time supplying Holden make the transition?

JP: Marand is a good example. It was a component supplier to Ford, it decided to invest in equipment and start to transition into supplying into mining, and then into defence. It’s really about standing back, looking at your core capabilities, identifying where – with some investment – you could create products for these global supply chains, and making sure you get into those tender processes. The companies doing that are succeeding. There’s plenty of opportunity. There’s no reason why Australian component manufacturers can’t be supplying into automotive supply chains outside Australia.

What you’ve got to do is get outside Australia: you’ve got to go and have the meetings and make the introductions. Doors can be opened, but you’ve got to go and meet people, attend events like the Hannover Fair, and get yourself connected. Having travelled and looked at this across different markets, my observation is that our willingness to invest and go and sell ourselves is the important difference. Our skills and capabilities are world-class. What we’ve got to do is understand the opportunity better, build salesmanship and get connected.

AMT: You were recently in Germany and the UK. What can we learn from overseas?

JP: Again, what differentiates those 2500 companies in Australia is exactly what I observed over there: the commitment to invest in technology; the commitment to build skills and capabilities in your people – because it’s not just about expensive equipment, it’s the people who use it to solve problems; the commitment to understanding needs and opportunities within global supply chains, rather than just the domestic market. And it’s the commitment to investing in innovation.

Most successful companies are investing in high-performance management techniques, in relationships with research institutes, in commercialisation. By and large that means reinvestment of 5%-10% of revenue into R&D – in some cases even higher.

It’s something you build over time, but it’s a commitment to bringing new thinking into your business and then going out and selling yourselves into global supply chains. Then our market proximity issue goes away, because we’re talking about high-value engineering, where the cost of shipping isn’t the thing that makes the difference. We’re competing against higher-cost labour markets, so it’s all about the added value.

So I think it’s a mindset issue. We’re proving already we can do it.

AMT: Tell us about how you got involved with the AAMC. JP: During the global financial crisis (GFC), we appeared to become very inwardly-focussed. The only thing I ever read about was the success of the mining and financial services industries. And the research we were doing, particularly at Fosters, where I was working at the time, was telling us people broadly felt confident about Australia’s future, but didn’t feel confident about their own futures. That suggested there were a couple of different economies running. As I looked into it, I thought it was really bizarre: a high Australian dollar, and nobody really investing in plant and equipment and IP. That’s a confidence issue, and a lost opportunity as it turns out.

industry. It’s a very practical role. Rather than creating new things, it’s recognising we’ve actually got everything we need – we’ve just got to make it work more consistently with a clearer sense of the outcome.

AMT: What are the biggest challenges for the sector in this country?

JP: The biggest challenge is self-belief. If people get that we are good and we are capable, and that accessing those markets is not as difficult as it might appear, we would make much faster progress.

Self-belief is important.

The lack of a fact base and common understanding is also an issue. Although we’ve got five Competitiveness Agenda items, not all departmental priorities are lined up against them, so we lose opportunities that would come from an aligned interest. I think the lack of commonality of understanding or aligned effort is the second barrier.

As a third, there’s a need for specific interventions from Government around stimulating investment in technology. The way we treat IP in Australia – that we don’t amortise IP for tax purposes – that’s a huge disadvantage. If you want to invest in innovation, you need to be able to write that off to encourage further investment in research.

I think there are barriers around making sure that we’re internationally competitive when it comes to attracting and retaining IP. They’re the specific issues. I’d actually put labour issues some distance behind that. We’d all like more flexibility, we’d all like lower wage structures, but the reality is that manufacturing, though only 9% of GDP, represents a higher percentage of Australian wages because we’re talking about skilled labour and higher added value. Therefore it’s not as big an issue. Advanced manufacturers don’t mind paying because they’re more interested in making sure the right skills are available. Most often they can’t find people with the skills, which is an issue we need to confront when it comes to the Skills Agenda: how do we make sure we’ve got the right people available to feed the opportunities that come our way?

AMT: Where do you see the sector a decade from now?

JP: We’re definitely at a crossroads. If we commit, if we realign our efforts against the five Competiveness Agenda outcomes, if we invest in those capabilities, I see no reason why Australia can’t have a healthy, thriving advanced manufacturing sector in the next ten years. There’s nothing standing in the way, provided we’ve got the courage to follow through. www.aamc.org.au

And the public debate around manufacturing was so negative, almost like it was always going to result in a hand-out. So we started to say “Where are we succeeding?”, and it became clear there were many examples of success. The public debate was misinformed. So once I left Fosters, I decided to do a review of manufacturing competiveness, joining forces with work the Ai Group was doing and Dow was doing.

Once we started looking at it, we recognised that most Australian industries are dependent on the same technologies. Advanced manufacturing isn’t a sector, it’s a series of capabilities. Once that became clear, the argument for why we should invest became clear.

So as a group of CEOs we decided the only way to get this solved was if we took time out and focussed on promotion, understanding the ecosystem, and making sure the gaps were closed. That’s how I got involved.

AMT: What might an ordinary day entail?

JP: One part is making sure we take every opportunity to communicate the positives, because there’s a huge education job to be done.

Secondly, it’s identifying those areas – within or outside government – with accountability for a piece of the puzzle, a piece of the ecosystem.

So I spend time with Austrade talking about supply chain opportunities, or with the Chief Scientist asking why the country’s science plan doesn’t match the opportunities in the five Competiveness Agenda areas, or mentoring universities and the CSIRO on engagement with

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Cutting Tools

Industry-specific tools and strategies for machining ISO-S materials Manufacture of precision components for the medical, power generation and aerospace industries requires workpiece materials that provide high resistance to heat and wear, extreme toughness, quality and reliability, such as ISO-S alloys, and titaniums. These alloys, however, also exhibit machining characteristics different from traditional irons and steels. By Teun van Asten.

Machining ISO-S materials is challenging because alloys transfer heat poorly, also known as low thermal conductivity. The heat generated in machining (~1100-1300 degrees Celsius) is absorbed by the tool and workpiece instead of being carried away in the cut chips. Thereby, tool life suffers, and part distortion can occur. The alloys also have tendencies to strain and precipitation harden when machined, increasing cutting forces and further degrading tool life. Lastly, the stickiness or ductility of these materials creates uncontrolled built-up edge and notch wear.

Considering the difficulty of machining ISO-S materials and the expense of the parts involved, manufacturers pursue machining improvements that primarily focus on component reliability and quality, with cycle time reductions coming in as a second priority. Maximising the benefits of these high-performance alloys requires the use of advanced tools and application strategies.

Toolmakers finetune those tools and techniques to provide productive and reliable solutions for specific industry applications.

Medical applications Manufacturing of medical implants is growing rapidly. To function properly and avoid rejection by the body, medical implants must be chemically inert and fully resistant to corrosion by bodily fluids. Accordingly, the biocompatibility and corrosion resistance of ISO-S materials make them an excellent basis for a wide range of orthopaedic, dental, and other medical components.

Two basic components make up a replacement knee. The femoral component imitates the round condyle prominence at the end of the thigh bone and attaches to the upper leg bone or femur. In turn, the femoral component bears on a polymer cup that rests in the second basic component, a titanium tray that is attached to the top of the lower leg bone or tibia.

ISO-S materials’ poor heat transfer properties mandate the use of coolant in most machining operations. However, medical regulators have strict rules regarding contamination by residual coolant and demand stringent, timeconsuming cleaning processes. As a result, toolmakers are developing ways to machine medical parts “dry”, without coolant or emulsion. Seco has developed coolant-free processes to machine Ti6Al4V titanium tibal trays with special t-slot and form end mills.

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The operation takes less than 10 minutes, with good tool life, excellent quality, and contamination-free parts.

Another effort to mitigate the effects of poor thermal transfer properties of ISO-S alloys involves replacing grinding operations with machining. The heat generated in a lengthy grinding operation can induce stress in a part and distort it; one manufacturer found that femoral knee components were often out of dimensional specification after grinding, resulting in a scrap rate of 20%-30%.

To solve the problem, Seco application engineers developed a five-step method to machine femoral components on a machining centre. The process uses ball end mills and a part fixture with a centrelock system that permits the part to be rotated during machining. This copy milling approach is well suited for less rigid part-clamping setups, which are common when producing these complex 3D parts. Cutting time for the entire operation is about seven minutes. After machining, only polishing is required, which consumes less time than polishing previously performed after grinding.

Specialised machining methods can help overcome the challenges of machining ISO-S materials. High-feed milling strategies provide productivity combined with long tool life. In a roughing operation on a dental component made of CoCr steel, a 3mm-diameter JHF 180 cutter from Seco´s Jabro endmill line was applied at a table feed rate of 4000mm/min with a 2mm axial depth of cut, 0.2mm radial depth of cut, and cutting speed of 66 m/min.

In the cobalt-chrome steel, tool life was 175 minutes.

Many small medical and dental components are machined on compact high-speed machining centres in laboratories and dental offices. The small cutters these machines employ must be engineered to withstand the rapidly changing chip loads characteristic of profiling operations on small implants and other parts. To fill that need, Seco developed Jabro Mini JM905 and JM920 cutters. The tools are available in four-flute versions in diameters from 0.1mm to 2.0mm, and in long overhang lengths up to 16xD. Despite their small size, the tools offer strength and stability for specialised small-part production, with dimensions that meet typical workpiece requirements.

Power generation ISO-S materials are also finding increased application in the global power generation industry. Despite current emphasis on green energy sources such as wind, water, and solar, over 60% of the world’s electricity is currently produced via combustible fuels, mostly via the use of gas and steam turbines.

There are ongoing efforts to make the turbines more efficient. Strong, yet lightweight titanium components, for example, reduce centripetal forces at high rotations per minute in the lower-compression sections of the turbines, resulting in faster rotational speeds.

In addition to titanium components, heatresistant superalloys (HRSAs) are used for components in the combustion sections to handle the temperatures necessary for higher engine efficiency.

In the pursuit of efficiency and increased performance, ISO-S alloys undergo constant evolution. Metals producers develop alloys

Cutting Tools relief and a specially formed chip space.

A through-coolant channel minimises workpiece adhesion and clears chips. In machining the stacked materials, the tool passed first through the stainless steel then through the titanium. The parameters for more difficult-to-machine material (titanium) were applied throughout. In recognition of the alloy’s low thermal conductivity, a moderate cutting speed of 50m/min was used, with a feed of 0.036mm/rev feed, and a 3mm depth of cut, descending in circular interpolation.

This Jabro tool assortment is well suited for medical part manufacturers processing tibial tray components.

HSS alternative Despite its performance advantages in many situations, carbide tooling is not the only way to effectively machine ISO-S materials. In some cases, high-speed steel (HSS) cutters are more productive and cost-effective.

with greater capabilities to meet the demands of increasingly tough applications. For example, established HRSA such as nickelbase Inconel 738 and cobalt-based SFX414 were engineered to operate in temperatures in the range of 850-1200 degrees Celsius.

Some of the latest HRSA compositions such as GTD 262 and Rene 108 are intended to perform at temperatures of 1200-1600 degrees Celsius. The new alloys present proportionately greater machining challenges.

Seco recently assisted with the machining of a new, higher-performance alloy used in static turbine components. The material’s higher heat resistance increased machining difficulty; only 18 metres/min cutting speed could be achieved, compared to a speed of 25-35 metres/min typical with Inconel 718 reference material.

Existing tooling wore out after only one turbine segment (320mm cutting length), and the turbine manufacturer sought greater tool life.

Seco developed a special cutter based on the Jabro 780 tool geometry, which features a dual-core design that provides increased stability in tough cutting conditions. The tool was applied at the parameters used originally: cutting speed of 18 metres/min, feed per tooth of 0.015mm and table feed of 43 mm/ min. The new tool machined two turbine segments (640 mm), a100% increase in tool life. Then, by reducing cutting speed to 16m/ min and increasing feed per tooth 0.017mm, application engineers could further extend tool life by 150% to 800 mm.

Aerospace components Because HRSA maintain strength at high temperatures and offer superior creep and corrosion resistance, the alloys make up as much as 50% of the weight of a modern aerospace engine. Applications of ISO-S materials in aerospace turbines are similar to turbines used in energy production. In many cases, however, aerospace tolerances

are tighter. For example, Seco develops special tools to machine the fir-tree-shaped root profile of turbine blades. Root profile tolerances for some energy applications are in the range of 10 microns, while tolerances for some aerospace profiles are as tight as 0-5 microns.

Titanium’s light weight and strength are exploited in structural aerospace parts such as landing gears. Landing gear components are massive and strong, but also very heavy when manufactured from standard materials.

Newer, lighter and stronger titanium alloys used to produce lighter landing gears are more difficult to machine. One such recently developed alloy is titanium 5553, so called because it includes 5% aluminium, 5% molybdenum, 5% vanadium, and 3% chromium. The benefit of titanium 5553 is its high tensile strength: 1160MPa compared to 910MPa for Ti6Al4V reference material. The higher tensile strength limits cutting speeds to levels 50% lower than those applied with Ti6Al4V. If a single ISO-S material poses machining difficulty, processing two different materials together offers an even greater challenge.

Some aerospace applications involve machining components composed of stacks of differing materials. The challenge is to machine the “sandwich” or “hybrid” with adequate chip control and no vibration or burrs. A typical example would be a combination of titanium and stainless steel.

Stainless steel and titanium share some properties; both are relatively high in strength and have adhesive properties in that the cut material tends to stick to the endmill.

Many large aerospace components, such as landing gear parts, are machined from solid billets of titanium or stainless steel. For these parts, high-performance HSS tools up to 50mm in diameter can remove large volumes of material. The HSS tools are very effective on low-rpm, high-torque machines for effective roughing and even finishing of titaniums and stainless steel. The ability to employ large diameters and widths of cut enables the tools to provide competitive metal removal rates even when run at lower speeds than those achievable with carbide tools.

An example of an advanced HSS tool is the Jabro JCO710 HSS-Co cutter with 8% cobalt content and a hardness of 67 HRC. The tool features polished flutes to reduce friction and edge build-up, and a variable face profile geometry to cut light and reduce the risk of chatter that causes unacceptable surface roughness values. These cutters have provided more than 800 minutes of tool life when applied at a manufacturer producing large titanium parts.

Conclusion Manufacturers´ goals for machining operations for ISO-S materials used in critical applications are top quality, reliable consistency, and productivity. As metal producers develop new alloys to meet increasingly demanding high-performance applications, cutting tool makers in turn create new cutting tool materials and strategies engineered to overcome the machining challenges of ISO-S materials and enable manufacturers to meet their machining goals. www.secotools.com

Seco’s solution for machining an engine mount featuring a titanium 6Al4V/austentic stainless steel stack was application of a carbide Jabro JHP 770 tool specially designed for machining titanium. The tool incorporates differential flute spacing, radial AMT JUNE 2015

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Cutting Tools

SpinJet HSM Jet Spindle – a revolutionary game changer The relentless progress that continues to be made within the global machining sector can usually be described as an evolutionary process. Occasionally, however, the introduction of a game-changing technology means that the sector’s development is accelerated by a technological ‘revolution’.

Iscar believes it has one such groundbreaking technology on its hands, with the recent introduction of its new SpinJet HighSpeed spindle. With the SpintJet, Iscar has set out to transform the rules of metalwork by altering old paradigms concerning investment and production times.

By retrofitting a revolutionary SpinJet unit, a regular CNC milling and turret lathe machine is instantly transformed into a highspeed machine (HSM). SpinJet provides a multitude of advantages, including truncated machining times, dramatically increased productivity, improved quality, simplicity, flexibility and not least, a rapid return on investment.

Prior to the launch of the cost-effective Spinjet High-Speed spindle, a high level of capital expenditure was required to purchase a HSM that could undertake jobs requiring high rotational spindle speeds.

Furthermore, additional floor space needed to be found in order to accommodate the machine tool. The implementation of Iscar’s easy-to-fit SpinJet eliminates the need for any investment in expensive HSMs and allows owners of standard CNC machines to compete in the HSM field.

Enhancing productivity The compact SpinJet HSM Jet spindle can comfortably fit into the palm of a hand; it attaches easily to any standard CNC machine’s spindle or turret lathe, and is driven by the coolant flow (minimum 20 bar) through the spindle, at speeds that can reach as high as a remarkable 50,000rpm.

When compared to normal machining, the use of SpinJet delivers impressive reductions in machining time of over 400%.

In addition to the CNC machine tool’s coolant driving Spinjet, it also maintains a cool cutting tool and improves the chip evacuation.

User-friendly simplicity One of the main advantages that SpinJet can offer lies in its sheer simplicity. Colibri Spindles developed the SpinJet taking into account human factors and ergonomics, which is reflected in its plug-and-play ease of usage throughout all work stages.

SpinJet’s design and compact size allow it to be conveniently stored within the machine magazine for regular automatic tool changing, from where it can be called up by the CNC program as if it were another tool holder and attached to the machine’s spindle with its tool holder. The chosen cutting tool is

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simply clamped into the Spinjet by using an ER11 collet chuck of the relevant ER11 SPR collet diameter.

SpinJet can be used throughout all industries that make use of metal cutting, as well as across all materials and for any type of parts.

Unlike the other auxiliary spindles that are currently available, the autonomous SpinJet operates alone, meaning that it does not need, for example, the power of compressed air or an external electric controller with complex installations, stop blocks, electric wires, air connectors and hoses.

To help users track spindle speed, the SpinJet uses a wireless monitor to record revolutions per minute. The monitor clearly displays all required information in real time, allowing instant machining parameters to be made. Thanks to the advanced RPM monitoring system, optimal feed rates can be determined to provide maximum yield.

Complete flexibility Using the SpinJet guarantees high flexibility, enabling quick switching between jobs via their automatic tool changer. Most importantly, the SpinJet gives users the ability to perform all HSM operations on a single CNC machine.

SpinJet machining provides high levels of precision and results in excellent cutting and surface quality on operations including milling, drilling, turning, grinding, chamfering and engraving. For the finer operations that use smaller diameter tools require higher

speeds, the SpinJet suits applications using tool shanks with diameters of up to 7mm.

Since its recent high-profile launch, SpinJet has already begun to enjoy remarkable global sales success. According to Iscar, it has transformed users’ manufacturing operations and made a significant contribution towards expanding the kinds of machining jobs they are able to undertake and improving the quality of parts. Such positive user feedback points to an impressively quick return on investment (ROI). In fact, several users have reported that they have achieved an ROI following the first job performed with the use of SpinJet. www.iscar.com.au

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Cutting Tools

Meeting the challenge of CFRP machining Composite materials such as carbon fibre-reinforced polymer (CFRP) are increasingly being embraced by industries including automotive, aerospace and defence. However, while such materials offer indisputable benefits, they also present significant new challenges for cutting tools manufacturers.

All of OSG’s products are manufactured in-house, from the production of tool material, to creation of tool geometry, to the development of OSG proprietary coatings: the three vital elements in the manufacturing of superior cutting tools. This is reflected in OSG’s reputation for such traits and global market standing.

Since its beginnings in 1938, OSG’s tap technology has compounded and evolved into the world’s number 1 choice and the benchmark for the global tap manufacturing industry, with one in every three taps supplied globally manufactured by OSG. Many have tried to replicate OSG’s tapping products without success, though this is not the only area where OSG is substantially ahead of its competitors.

OSG has also received high acclaim for the development of high-precision, high-value added products for use in automotive and aircraft part manufacture, which demand advanced processing techniques and zero margin of error in various, traditionally difficultto-machine materials. These are areas where OSG’s knowledge and approach to development have seen enormous advances in tooling technology – particularly in relatively newer commercially viable and innovative materials such as carbon fibre and other carbon fibre-reinforced polymer (CFRP) materials.

OSG is currently positioned at the forefront of the CFRP revolution with ongoing global market dominance in manufacturing and development areas such as high-end luxury and supercar automotive, Formula 1, defence, major commercial aerospace and other innovative industries where CFRP is developing into a more widely used and acceptable mainstream material.

CFRP is an eminently durable and light composite material. Although CFRP is difficult to machine due to its abrasive nature, it is not a newly discovered material. For many years, CFRP has been extensively utilised in the defence sector. In certain fighter jets, up to 80% of the aircraft can be constructed of CFRP parts. For the sake of performance, defence manufacturers are committed to machining CFRP, despite high costs and the need to employ large quantity of cutting tools.

In the production of commercial airliners, efficiency is of utmost importance. Compared to military aircraft, commercial aircraft are generally larger in size and are produced in greater quantity. Aluminium alloy and stainless steel have been widely utilised in commercial aircraft applications due to their good casting

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characteristics. However, unlike aluminium alloy, CFRP does not oxidise. By replacing aluminium alloy with CFRP, components become lighter, more durable and aircraft fuel consumption can be significantly reduced.

Since the aerospace industry has seemingly discovered the new “miracle” material, it’s easy to assume everyone will win. However, the process is not that simple. Manufacturing CFRP requires an extensive process that is both difficult and time-consuming. As CFRP gradually becomes more mainstream, it also brings the question of “How do we effectively machine this material?”

CFRP is a corrosion-resistant, stiff, and strong material composed of mixtures of fibre. Machining CFRP often involves a high degree of difficulty because of its multilayer property. Poor hole quality is a common problem in aerospace applications because of a condition called delamination.

Delamination is the splitting of a laminate into layers, and can occur on a hole, edge or at other surfaces during milling. There are numerous types of delamination, many of which are named for their appearance: midlayer flaking, fibre break-out, and uncut fibre, to name a few.

A common problem when machining CFRP is when layers are left uncut, due to poor quality tooling, resulting in the cutting tool used dragging the uncut fibres by momentum, causing the material to stretch and the hole diameter to distort. Another common issue experienced by poor tooling choice and/or conditions, is when feather-like delamination occurs during a CFRP trimming operation.

These machining problems can be caused by dull cutting edges, incorrect cutting tool geometries, and improper cutting conditions.

In addition, vibration during machining can also contribute to delamination.

Diamond tooling provides an edge Many manufactures have turned to diamond tooling in hopes of achieving better consistency. Diamond tooling has been around for some time and has been a great product for aluminium and other non-ferrous applications. The ability of diamond tooling to last exponentially longer than uncoated tooling while maintaining good edge sharpness has helped the machining process of CFRP to become more effective.

This is where OSG has leaped forward in CFRP tooling technology, developing a patented micro diamond coating which is much finer than any other competitor’s.

Combined with refined tooling geometry and highly developed base material, the result is a superior range of CFRP tooling, with much sharper edges, smoother surfaces and the elimination of the coating flaking away when tool life is nearing the end.

OSG’s Aero-BNC diamond coated fine nick router is the perfect example of the technology at its best. Used in many machining operations such as trimming, slotting and profile machining, the Aero-BNC has both an outstanding tool life and surface/ edge quality unmatched by any other tool in its class. Not only do these factors greatly increase the efficiency of machining and process, but the Aero-BNC can be used in roughing as well as finishing, minimising tooling required. All of these are significant factors in reducing cost.

The Aero-STAD, a triple angle, fine diamond coated drill is also a great example of OSG’s dedication to CFRP tooling technology. The drill is specifically designed to eliminate fibre breakout and delamination issues commonly found on both entry and exit of drilled holes as well as leave the desired finish inside the hole.

Cutting Tools

OSG has a dedicated research group, consistently providing ongoing development and innovation in CFRP machining processes and tooling. The OSG Global Technology Centre, located in Toyokawa Japan, is an 18,650sqm site devoted to research, development and education in CFRP as well as other composite materials such as GFRP (glass), AFRP (aramid), honeycomb and metal stack composites.

Located within OSG’s research and development facilities is its very own threestory guest house, used for accommodating guests and holding conferences and educational seminars, from basic subjects like “What are composites?”, to more advanced topics like “How to machine CFRP” and “How to select optimum tooling for CFRP”. OSG is also actively involved in long-term research projects in collaboration with universities and government research organisations.

As well as OSG’s leading CFRP development team of engineers, a specialist application team is devoted to the support of industry in every country, and is already very active in Australia and New Zealand. Customer training and CFRP seminars are conducted regularly at both the Global Technology Centre in Japan and the OSG Academy, another of OSG’s education centres located just outside Chicago, USA.

As both the Australian and New Zealand Governments, at both state and national level, continue to focus on the development of new hi-tech, sustainable fibres and materials with applications in various facets of manufacturing, they also provide millions of dollars to fund research and construct research centres for CFRP industries. These initiatives are assisting the Australasian region to forge a reputation as global leaders in the development of carbon fibre composites.

OSG is leading the way in CFRP machining process and tooling and is actively engaged

in some of the Australia and New Zealand’s biggest CFRP projects.

CFRP machining is still very much a turnkey operation to many fabricators in industry.

Finding consistency has been difficult due to the various types of CFRP in the market with almost every material being used varying to some degree between users. Utilising the right tooling and advice, most problems can be overcome by users, extra manual processes and operations like chamfering and deburring parts can be eliminated, and machining can become much easier. www.osgtooling.com.au

SpiroGrooving – revolutionising seal ring groove machining SpiroGrooving, an innovative method for seal ring grooves developed by Sandvik Coromant, ensures high output of quality components and meets tough security demands. Used with the CoroBore XL system, it utilises a spirograph tool path to create close-tolerance seal ring grooves in a very secure and productive way.

Requiring close tolerances and high-quality surface finish, seal ring grooves is a critical feature on many oil and gas components.

Conventional methods for machining seal ring grooves often suffer from slow production and poor process security. Multipleoperation approaches incorporating both roughing and finishing sequences are another time thief. The tools that are being used are single point or plunging cutters that are prone to vibration. Adding to the challenges is the common use of difficultto-machine materials such as solid Inconel 718 and cladded Inconel 625.

SpiroGrooving is a machining method used with the CoroBore® XL system that utilises a spirograph tool path to create close-tolerance seal ring grooves

in a very secure and productive way. This solution is ideal for making seal ring grooves in pre-clad machining of steel and stainless steel.

The unique internal coolant feature of CoroBore XL facilitates machining in advanced materials. Roughing and finishing are carried out in the same operation, which significantly reduces machining time and improves productivity. Altogether, this ensures high output of quality components and process security when machining seal ring grooves.

SpiroGrooving uses a circular spirograph tool movement in a taper. This reduces chip thickness, enabling light cutting action and increased feed. Parts of the insert cutting edge have an interrupted cutting behaviour, eliminating long chips tangling to the tool and spindle. With a unique NC-code generator, SpiroGrooving is programmed just in a few easy steps. www.sandvik.coromant.com

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Cutting Tools

Closing a tooling loop Finding long-term solutions is at the top of the agenda for many companies. As part of this, the cost efficiency of production processes is increasingly playing an important role. Significant cost savings can be made by having metal cutting tools professionally reground and recoated.

The issue of “sustainability” has been a hot topic in the metalworking industry for some time: the aim of finding long-term solutions is not restricted to exploiting resources responsibly, but is highly relevant to the cost efficiency of a company. For this reason, Walter places great value on the entire product cycle of its tools and on extending their service life.

“The second step in the lifecycle of our products is reconditioning,” explains JensPeter Schneck, Reconditioning & Recycling Manager at Walter. “Our customers have their tools reground and recoated three to five times in our Reconditioning Centres. All within 14 days, we set to work on the worn tools and return them to the customer as they were originally, almost as good as new.

For us, reconditioning plays a crucial role in extending the product lifecycle and helping to save costs and resources.

“If the tools are completely worn out, we will buy back the useful carbide according to its value per kilogram and arrange for it to be removed from the customer’s premises.

The material is then broken down into its individual components in our own recycling plants, where it is processed to obtain pure tungsten carbide for use in the production of new tools. This is how a completely closed product loop is created.”

Reconditioning plays a key role in providing cost-efficiency to the customer because it offers enormous potential savings compared with purchasing new tools to replace worn ones. According to Schneck, “new tools are now always designed with the inherent ability to be reconditioned”.

Precise cutting edge preparation is vital in determining performance and tool life. For this reason, the tools are in the best hands if they are sent to Walter’s Reconditioning Service when they become worn, as these are the only specialists who can restore all the finer details to the drill bits and return them almost as good as new. The same applies to the coating. For example, after tools have been reconditioned just three times, tooling costs of around 50%-60% can already be saved.

The procedure for sending off tools for reconditioning is straightforward. Customers are provided with a special carrying box with a standard delivery note and a barcode sticker. This can be filled with the worn tools, and collected on request.

Walter’s specialists recondition the tools to restore their original geometry and effective original coating. Conventional regrinding

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Walter’s Reconditioning Service at work.

with a standard coating would lead to a significantly shorter tool life and reduced process reliability.

it has been reground – in this case, less effectively – and makes adjustments to the machine accordingly.”

Walter’s reconditioning specialists are very familiar the old adage “You get what you pay for”. Local regrinding services often offer lower prices, but paying a bit more for a high-quality service is worthwhile in the long term. Based on a case study focussing on one of its major customers, a manufacturer of accessories for the automotive industry, Walter proved that short-term cost savings made on regrinding services translate to a significant increase in production costs in the long term.

Despite performance being deliberately reduced, the second stage of testing revealed an even more surprising result: the tool life of the end mill reground by Walter was many times longer than that of the endmill reground by the local service. This is an enormous difference in performance, which ultimately translates to a significant rise in manufacturing costs. Taking into account the higher costs of having the tools reground by the manufacturer, the customer saved around 70% in production costs with Walter’s Reconditioning Service, compared with the local regrinding service. The findings of the case study proved convincing in winning over the customer whose manufacturing process has now been optimised in terms of its cost effectiveness.

The customer was using the Protomax ST high-performance endmill to machine an alloyed steel workpiece. Once the tool had become worn, it was taken to a local regrinding service with which the customer had had a business relationship for many years, and was reground at a lower price than that offered by Walter. Field testing was then carried out to compare the performance of both alternatives. Right from the very beginning, the tools reground by the local service operated with a machining parameter that was 40% lower than the tools reconditioned by Walter.

“Unfortunately, this happens all too often, and many factory managers probably aren’t even aware of it,” explains Schneck. “From past experience, the machine operator is used to the way the tool performs when

“This is why it’s so important to take advantage of the expertise of the original manufacturer, as you would when purchasing a new tool,” says Schneck. “When they come back from the Walter Reconditioning Service, the tools are almost as good as new. This also means that they can be operated with the same machining parameters. This cuts down on the time and costs involved in machining.

Not only this, but the tool life is significantly longer than if the tools had been reground by a competitor. As a result, fewer tool changes are necessary and productivity increases, for example.” www.walter-tools.com

Cutting Tools

Drill geometry allows for continuous support The traditional ‘Twist Drill’ has been around for more than 150 years and its overall design has changed little during this time.

This is recognition, if it was ever needed, of the innovative invention from American mechanic Stephen Morse from Massachusetts back in 1863. However, while the style and general use of a standard twist drill remains close to its original roots, there is a constant requirement to push the boundaries and find new ways to enhance performance, extend tool life and reduce overall costs.

Dormer Pramet’s philosophy has always been to provide customers with simple, reliable solutions to support to their manufacturing challenges in an efficient, cost-effective manner. This was a key element in its development of a distinctive feature into the working end of the traditional drill.

Continuously Thinned Web (CTW) technology is unique to Dormer Pramet’s rotary drilling range and provides a variety of benefits to support cutting tool life without compromising performance. CTW geometry is a key feature of the newly released R459 multi-material drill for applications up to 8xD, produced under the company’s Dormer brand. Including CTW in the range means it is easier to regrind the drill, ensuring the drill is restored to as close to its original properties as possible after regrinding.

Traditionally, web thinning is performed as an additional operation after point grinding. A drill point is thinned by shortening the chisel edge to reduce the thrust force needed when drilling. CTW technology simplifies the chisel thinning process as the depth is already set and no adjustments are needed during regrind, regardless of drill length.

Ricky Payling, Dormer Pramet’s application specialist for rotary tools, explains: “CTW increases both flute volume and cross sectional strength. The combination of these elements ensures consistent forces

Dormer Pramet’s new R459 solid carbide 8xD drill

Ricky Payling, Dormer Pramet’s application specialist for rotary tools.

throughout the drilling cycle, with little or no increase in power requirement as the drill penetrates deeper into the hole. This, in turn, allows increased cutting speeds and greater performance reliability without compromising tool life.”

Regrinding a drill can be a cost-effective solution to extend the life of a cutting tool, but it can be a complex procedure and must be performed accurately to ensure a consistently good performance.

“Generally, a drill after regrind will be at around 75%-80% of its original qualities and performance, but with CTW included, this increases significantly to 90%-95%,” adds Payling. “Also, for a regrind company, working with a batch of drills with CTW included will significantly reduce its lead time, compared with those that do not. This offers a quick turnaround for customers, simplified logistics and machine downtime is kept to a minimum.”

Installing CTW into a drill not only reduces the complexities of regrinding, but because an amount of the web thinning is built into the design, the symmetry of the tool is retained after regrind. This means the drill will not degenerate over time and will maintain its torque strength after repeated regrinds.

By integrating part of the web-thinning feature within the flute form, the design is effectively thinned throughout the drill’s life, without passing on the costs and difficulties associated with this additional operation to the user. Also, as thrust forces are kept consistently low, there is less wear and tear on the machine tool, providing more time and cost savings for the end-user.

Unique to Dormer Pramet, CTW currently features in its new R459 drill, though the company hopes to expand its use to other drilling ranges in the near future. A key feature of the R459 is its versatility in machining various materials. Recent in-house testing

by Dormer Pramet on aluminium, hardened steel and stainless steel, showed how CTW could withstand differing applications and conditions.

The point design of the R459 drill after 30 minutes machining stainless steel

During a test in stainless steel 316L with cutting data of Vc 35m/min at a feed of 0.1mm/rev (1395rpm @ 140mm/min). The R459 ran for 30 minutes contact time and showed a small amount of pick-up, with a nice even wear scar across the cutting edges. Similarly when machining aluminium, the drill was run at Dormer catalogue data Vc 285m/min (11,340rpm) at a feed of 0.26 mm/rev (2950 mm/min). After 30 minutes of contact time the drill showed minimal wear across cutting edges, with a small amount of pick-up.

In the development of the R459 with CTW, Dormer Pramet performed a range of tests where the drill performed well against five competitors. To ensure fairness, all the drills were tested in the same conditions.

From those tested Dormer’s drill and one competitor lasted the full 30 minutes, drilling more than 340 holes without any problems.

Another lasted half an hour but offered a poor finish and noisy performance, while another lasted the time but only at 7xD capability.

The remaining two failed inside 20 minutes.

From the initial test, the best-performing competitor was then tested to compare tool life. The R459 lasted a further 80 minutes, drilling 900 holes, without any problems, while the competitor was badly worn after completing the same operation.

The tests showed that even with the CTW web-thinning feature included, deep-hole drills can perform successfully in a range of material applications. This consistent performance, enhanced tool life, improved regrind process and ultimately a reduction in costs offer a win-win solution for all. Even the most demanding customer should be pleased with the results – just maybe, even Stephen Morse would be impressed to see how his invention has developed during the last 150 years. www.dormerpramet.com AMT JUNE 2015

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company focus

Brown’s Precision Welding – The show goes on Based in Noble Park, Victoria, Brown’s Precision Welding has established itself by specialising in a singularly niche market. Recent years have seen an influx of competition from cheap imports, but the company is continuing to move forward with a focus on quality and a commitment to its customers.

By William Poole.

Brown’s core business lies in the provision of structural support systems for the events and entertainment industries, where it specialises in the fabrication of metal truss. You may well have seen its products in action, supporting the stage, the lights or the sound equipment at live events ranging from music festivals, to theatre, circuses, or even the AFL Grand Final Parade. Another major client is the television industry, where Brown’s often provide truss for major studio productions.

The company will also often pick up more unusual assignments. Last year, the world’s leaders gathered underneath Brown’s handiwork when it supplied lighting rigging for the G20 summit in Brisbane. It has also provided truss assemblies for the original production of Walking with Dinosaurs. With only one competitor operating within Australia, it’s a highly specific market niche that Brown’s has carved out for itself. And it’s matched by the unusual path taken by the company’s Managing Director, Beau Southey, into the industry.

“My background – believe it or not – was in advertising,” Southey recounts. “I started out as a graphic artist and photographer, and became interested in lighting through photography. One of my clients had a son who was a lighting designer, the introduction was made and from that point on, I was in the lighting industry.”

Southey began working for rock ’n’ roll bands playing in pubs, before graduating to bigger shows. One production company he worked for would later become Brown’s sole Australian competitor, where he learnt to build truss under Peter Brown. It was Brown who would go on to start his own company – Brown’s. Sadly Peter passed away 16 years ago, so when his family began looking for someone to buy the business, Southey was the first port of call, buying Browns in partnership with Braham Ciddor and Andrew Sherar of lighting specialists Lightmoves.

“I worked with him every day, so I knew exactly what was going on,” Southey adds. “And here we are 15 years later!”

Today, Brown’s operates out of a production facility in Noble Park that it shares with two associated companies: the aforementioned Lightmoves, and lighting hire and production company Resolution X. Brown’s employs three full-time welders and two factory hands, with additional administration and support staff shared across the three companies.

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Brown’s Managing Director, Beau Southey

Operating in such a niche market presents some distinct challenges.

Much of the work entails a high degree of customisation to meet the client’s particular needs. While Brown’s has developed a large range of standardised products, many of its clients require customised equipment and this is where the company really specialises. Moreover, the company’s refusal to cut corners on quality means its processes are largely impervious to automation, requiring instead an almost craftsman-like meticulousness and attention to detail.

“We like to think of ourselves as proper old school tradespeople,” says Southey. “If you don’t know exactly what you’re doing 100% of the time, you can get into a lot of trouble. We have to watch things so carefully, because it’s very important that things go out of here straight, square and strong and as well made as it possibly can be.”

To further add to the challenges, everything has to be delivered working perfectly and on time, in an industry when deadlines can’t afford to slip.

company focus

Brown’s has provided truss for events ranging from the Future Music Festival (below) to last year’s G20 summit in Brisbane (far left).

“People make changes at the last minute, all the time,” says Southey.

“They’ve had a truck break down between Sydney and Melbourne, for example, and they need to shuffle the production schedule around, so what could have been us building gear tomorrow is now us doing our thing today. We’ve lost 24 hours just like that.

“And we have to come up with the answers. Which is why my background in this industry is good: I understand the ramifications of something turning up three hours late, if customers don’t get their show rigged in time it’s as bad as it gets and everyone suffers. We’ve never been involved with anything that jeopardised the production of the show in the end. It’s the old saying: the show must go on!”

Competing with China The last few years have seen margins at Brown’s eroding. As Southey puts it, the company was “going gangbusters” for the first 10 years or so. But like many, its fortunes dipped when the global financial crisis hit, and in the years since then, it has faced the emergence of a wave of cheap imports from China.

“We’re continuously confronted with Chinese imported product, which is not good for us nor for the industry,” says Southey. “It’s not made out of the quality material we use, the majority of the tube is not as thick, so it gets dented and damaged quicker. At the end of the day, it’s not made as well as ours is, with as much care.”

To demonstrate this point, Southey points out the joint on a piece of truss from a Chinese competitor. At the tightest point in the angle between the two pipes, the weld is incomplete, leaving a narrow but visible gap. This is because the work was performed using a welding robot or an unskilled operator, and it amounts to a potential tearpoint, weakening the overall structure. However, Southey adds, the Chinese imports are about a third of the price, and Brown’s operates in a market where clients are demanding the lowest costs available, with little regard for the fact that they are not as well-made. Southey offers a bleak outlook when it comes to the prospects of the market recognising the importance of quality.

“The Chinese guys are in it for the bucks. Once the gear comes to Australia, if someone gets injured, it doesn’t matter! I hate to say it, but the only real thing that’s going to turn people around is an accident where people get injured. We don’t want that.”

Meeting the challenge posed from exports is no easy task. Competing on price is impossible when welders in China are paid around $5 an hour – at Brown’s they earn $50 an hour. The company has undertaken some product development, with a range of standardised truss systems and accessories, as well as innovations such as a truss system that can be stacked for easy transport. However, the market in Australia is small, and often resistant to change.

“We tend to be a little bit slow off the mark when it comes to R&D,” says Southey. “It’s a long process. For example, that stacking truss took us 12 months to get up and running. And in a lot of cases, there

are good things that you do come up with that are too expensive or don’t match other systems people have bought off you. You have to do a lot of talking to people to convince them to forget about what they’ve already got and to buy new stuff.” Southey is also looking at ways to diversify the business, breaking into new sectors and reducing its dependency on its core market. Lately the company has been fielding inquiries to build communications towers to go on buildings.

Several fabrication shops had turned down the work because of the very specific requirements in terms of the size and shape of truss, but Brown’s is willing to take it on.

“We’re capable of doing almost anything: aircraft componentry, specialised architectural components, signage – a multitude of products,” says Southey. “We’ve got a really good engineer, Richard Matheson from Vandermeer Consultants, who will turn computations around overnight for us, and give us the numbers to tell us if it will work. He’s got a great reputation, and is very reliable. We’re capable of doing high-quality work for customers who need specialist parts made. Aluminium, steel, we’ll weld exotics, stainless steel – anything really.” Meanwhile, there’s one indisputable advantage that Brown’s can claim over its overseas rivals: its established position in the sector, founded on a well-earned reputation for quality and expertise, and on a number of solid, longstanding customer relationships. The company works with its clients to help them get the most out of their existing truss, providing professional repair and maintenance services – even when it might otherwise have led to a sale.

“Because of the useage and nature of aluminium truss, it’s got a safe working life of about 10-15 years,” says Southey. “If people own truss that’s older than 10 years, I’d like them to ring us and ask us to look at it to make sure it’s okay. I’ll run a crack test on everything, and if there’s a need for repair, we’ll bring it back here and fix it, which is cheaper than replacement.” Being based in Australia, Brown’s can provide its customers here with a level of service its foreign rivals can’t hope to match. And that often means going to extraordinary lengths. Southey recounts one occasion when Matheson wanted to observe a set-up they’d provided for a concert in Sydney.

“He got a ticket, sat in the front row with binoculars, on watch all night to see for himself how trusses work in a live environment,” says Southey. “Rich just needed to watch everything from a chair out front.

That’s how dedicated he is. He wasn’t watching the band, he was looking up in the air with his binoculars!” Southey is candid about the challenge posed by overseas competitors, and how difficult it is to counter it. But the team at Brown’s continue to believe passionately in what they do and the way that they do it, and they remain determined to continue doing it their way.

“If I knew the answer, I’d be doing it,” says Southey. “The only thing we can do is continuously get out in the faces of people, try to convince them that ours is better than theirs is. And it is.” www.brownswelding.com.au AMT JUNE 2015

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additive manufacturing

Justifying additive manufacturing through jigs and fixtures There is an often-overlooked additive manufacturing (AM) application with potentially huge financial returns, offering savings which can be so large that they can justify the purchase of a 3D printing system in far less time than the typical three-to-five-year payback period the financial officer will demand.

That application is jig and fixture making. By Joe Hiemenz of Stratasys.

Jig and fixture making also includes gauges, organisational aids and other manufacturing devices. AM produces these tools by adding material in an automated, layer-by-layer process rather than removing material with a cutter or forming it in a mould. Replacing conventionally manufactured jigs and fixtures with additively manufactured ones will reduce the fabrication expense — often by 50%-90% — while reducing labour and speeding delivery.

But that financial advantage is tiny when compared to the profit gains that result from production-floor reductions in labour and time to market. According to three owners of Stratasys Fortus machines, one-year profit gains ranged from $60,000 to $230,000 from just a few fixture-related applications.

Although traditionally-made manufacturing tools could produce the same financial results, AM’s advantage is that it’s easier and quicker to implement. The result is a deployment of fixtures where they previously did not exist. Making these items with AM is a simple, efficient and nearly labour-free task that does not require the overhead of highly skilled CAM programmers and machinists.

Digi International Inc. Digi International designs and manufactures wireless networking devices using Wi-Fi, cellular and ZigBee communications standards.

Its focus is on industrial, commercial and enterprise applications.

As with many companies, Digi acquired AM with specific applications in mind but found others, such as conformal coating masking.

According to Matthew Larsen, lead mechanical engineer, management approved his AM purchase after he showed a 2.6-year payback based on savings in engineering-related functions, with an emphasis on prototyping expenses and engineering productivity.

“We didn’t even consider operational labour on the production floor in our initial justification for adding a Fortus additive manufacturing machine,” says Larsen.

Within a year of purchasing the machine, Digi expanded beyond engineering into applications such as fixtures with integrated masks for its conformal coating process, which have big operational savings.

Many of Digi’s electronics require a conformal coating to protect sensitive components from the environment or to maintain sterility.

Historically, Digi would purchase machined aluminium carriers for printed circuit boards (PCBs), and prior to the coating process, technicians would manually apply tape to mask uncoated components.

For a PCB in an outdoor product, each board took 60 seconds for technicians to apply and remove the tape. Over its total production runs, the labour cost would be $135,000. With hybrid carrier and masking fixtures produced through fused deposition modelling (FDM), Digi reduced masking labour by 55 seconds per PCB for its outdoor product, yielding labour savings of $123,750. This single fixture offers annual savings greater than that for all engineering-related AM applications combined.

Larsen acknowledges that this financial gain would be possible with a machined alternative, but noted that Digi had not considered it. With small-batch production, saving a minute per board appeared to be a small benefit that was countered by the time and effort to have the hybrid masks machined by a supplier. With an ever-present list of higher-priority projects, permanent masks for conformal coating were considered “nice to do when we have the time”. But that time never came, until they had in-house AM capabilities.

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FDM hybrid mask (black) shields PCB components from conformal coating (blue under ultraviolet light).

“We looked at our masking operation and thought we’d give AM a try,” adds Larsen. “The risk was small because the cost was low, the process was simple, and it took very little time on the part of engineering and manufacturing.”

Digi is glad that it tried AM masking. According to Larsen: “When our costing department ran the numbers, everyone was shocked at how much AM had saved us.”

Oreck Manufacturing Company Well known for its commercial and consumer vacuums, Oreck was an early adopter of AM-made jigs and fixtures. In one case, it saved $65,000 by lowering the fabrication costs of assembly line pallets. But that amount is tiny when compared to the return on investment that resulted from efficiency gains in quality assurance.

Over the past few years, Oreck has used AM to make hundreds of inspection fixtures for its co-ordinate measuring machines (CMMs). On average, it saves $200 and 6.5 days versus having them machined.

However, the most significant financial gain is a conservatively estimated $100,000-$500,000 increase in gross profit that could result from a 29-day reduction in time-to-market.

The use of AM in this assembly line pallet saved Oreck $65,000.

Before its work with AM, Oreck took 30 days to complete its first article inspections of 20-30 components for a new product. After receiving the first samples from production tooling, the QA department would start making fixtures and programming the CMM. On the 30th day, it would complete the CMM inspection and release the program to the production floor.

additive manufacturing The nozzle holder eliminates seven minutes when a press operator is looking for the nozzle for a new set-up. The knockout-holder eliminates 10 minutes. At Thogus’ burdened hourly rate, that results in a savings of $4.70 per changeover, per press. With 30 presses and an average of 150 changeovers per year, Thogus realises an annual savings of $21,150 each year from just two simple organisational aids.

The total cost to make them was $160.44. While this is approximately a 90% reduction versus outsourced machined pieces, Gannon doesn’t bother to calculate these savings because they are small when compared to those on the production floor and the AM justification is based on simplicity and ease.

“We know it costs less, takes less time and requires less effort. We know that it yields operational time savings on the floor, so we just do it.”

Thogus also uses AM-made workpiece holders on robotic arms, assembly fixtures, check gauges and inspection fixtures. “There are so many on the floor, I stopped counting long ago,” says Gannon.

Using AM fixtures, Oreck completes CMM programming before the first articles arrive.

With AM, it has taken fixture-making and CMM programming off the critical path. The QA team completes these tasks well before the first articles arrive in the inspection lab. Using AM to make part replicas and CMM fixtures, Oreck creates its inspection plan and starts its CMM programming when a tooling order is released, not after samples are received. Consequently, the QA department is ready and waiting for arrival of the first samples.

One CMM fixture in the quality assurance lab is typical in the inspection process. Gannon projects that this fixture will save Thogus $23,625 by eliminating seven hours from the inspection process for each batch.

Conservatively, Gannon expects 10 similar situations each year for a total savings of $230,000. With results like these, Thogus has easily justified its investment in rp+m’s six FDM machines.

As Digi, Oreck and rp+m have shown, financial justification of a new AM system based solely on jigs and fixtures can be quite easy and the outcome quite profitable. The important elements of these justifications are to equate the ease and simplicity of AM with more fixtures put into service. Then carry the savings out to the production floor to calculate labour reduction and profit gains from getting product on the shelves sooner. www.stratasys.com www.tasman3dprinters.com.au

What’s the financial gain from 29 days? Let’s run the numbers for a generic consumer product that sells for $250. Gross profit margin usually runs about 50%, so each unit sold contributes $125. With annual sales of 10,000 units (28 per day), the daily gross profit for this product is $3500. So, a 29-day decrease in time to market increases gross profit by $101,500. If you increase sales to 50,000 units per year, the additional gross profit increases to $507,500. With either estimate, the average AM system would have less than a two-year payback period if it were used for only one first-article-inspection project.

www.scan-xpress.com.au

Rapid Prototype + Manufacturing Rapid Prototype + Manufacturing LLC (rp+m) is a strategic partner of Thogus, a custom plastic injection moulder. Located within Thogus’ plant, rp+m’s impact on production is obvious — brightly coloured 3D-printed production aids are everywhere. According to Engineering Manager Patrick Gannon, “Our additive manufacturing processes are the path of least resistance”.

As with Digi, Gannon notes the efficiency of designing, printing and putting an aid in service. The entire process usually takes 2-24 hours.

That path of least resistance has yielded a proliferation of manufacturing aids that are crucial in Thogus’ push for operational efficiency.

Gannon cites the tools that support Thogus’ 5S efforts, a workplace organisation and efficiency discipline. The crux of 5S is a neat and orderly workspace that places all tools and components at hand.

Without additive manufacturing, the majority of the company’s 5S organisational aids would simply not exist.

“If we outsourced manufacturing of these tools, the value equation just doesn’t work,” says Gannon. “With additive manufacturing, we see an opportunity, design a tool, print it and put it in service. It is that easy.”

In the 5S category, Gannon offers two examples from the hundreds dispersed throughout the Thogus production floor: nozzle holder and knock-out rod holder. Both of these 5S organisers are located at each of the company’s 30 injection-moulding presses. Operators turn to these holders every time there is a change to a press set-up.

Company Profile Scan-Xpress specialises in 3D Scanning Services and GOM 3D Optical Metrology Systems.

For more than 15 years Scan-Xpress has delivered industry leading 3D scanning, reverse engineering & consulting services and World Class GOM ATOS Optical scanning, measuring, inspection & reporting products to Australian industry.

Scan-Xpress Services: • • • • •

Non Contact 3D Scanning.

Reverse Engineering.

3D Optical & Probe Inspection.

Inspection & Quality Reporting.

Design & Engineering Consultation.

3D Optical CMM:

GOM’s 3D Co-ordinate Measurement integrates Optical Metrology in industrial process chains.

• Non Contact 3D Inspection.

• Semi-Automated Inspection.

• Off Line Programming.

• Auto Scan Sequencing.

• Automated ATOS ScanBox. • Automated ATOS Inspection Cell.

Fully Automated Measurement

Scan-Xpress Pty Ltd

42 James Street, Northcote VIC, 3070 Australia.

T +613 9946 1086, M 0416 188 479, E. Barry@scan-xpress.com.au, ABN: 51 005 337 057 AMT JUNE 2015

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additive manufacturing

Students harness 3D printing potential While many professional engineers and industrial designers are only now beginning to become aware of the advantages of 3D printing and additive manufacturing, there is a group of people a fraction of their age who have already mastered this technology.

They are the teenagers from high schools across the nation who compete in the F1 In Schools Technology Challenge. They are using additive manufacturing to create aerodynamic aids with complex surfacing and angles such as nose cones, spoilers and winglets. These form part of miniature Formula One race cars that are capable of accelerating from 0-80km/hour in less than two seconds.

The students use 3D virtual wind tunnels and 3D CAD/CAM software to style and prove their designs before sending them to the

3D printers. The weight of the parts is also of great importance as all cars must weigh the same. F1 In Schools is the world’s largest STEM (science, technology, engineering & manufacturing) competition, involving 17,000 schools and over 9,000,000 students. It tasks students with designing, making, testing and racing advanced race-cars, the “F1 cars of the future”. The program has been operated in Australia since 1999 by the not-for-profit social enterprise, Re-Engineering Australia Foundation (distributor of the MakerBot range of 3D printers).

The ability of 3D printers to make almost any object enables the young race teams to exercise limitless imagination and come up with some remarkable innovations – some of which have impressed race engineers at the real Formula1 teams. This mastery of 3D printing has contributed to Team Australia winning the F1 In Schools World Finals a record four times and claiming the prestigious Best Engineered Design Award seven times in 10 years. www.rea.org.au/f1-in-schools

Global 3D printing market to reach $20.2bn in 2019 A new study has forecast that the worldwide market for 3D printers and associated materials and services will reach US$5.2bn by 2015, up from US$3.3bn in 2014, growing 56%.

According to the research from independent analyst company Canalys, this is expected to grow further to US$20.2bn by 2019, representing an expected compound annual growth rate (CAGR) of 44% from 2014 to 2019.

“As we expected, the 3D printing market has grown substantially over the past few years,” said Canalys Research Analyst Joe Kempton.

“We have seen improving print speeds, a wider range of materials and new forms of additive manufacturing methods. There has also been a substantial increase in the number of vendors entering this space, with many coming from Asia, challenging the previous dominance of 3D printing hotspots such as Germany and the USA. “Alongside this we have seen more ‘traditional’ technology players becoming increasingly involved in the market, bringing accelerated growth, which accounts for the fast evolving nature of the industry.

In the next five years, more companies will move in to establish their own niches, as 3D printing begins to permeate across more sectors.

Long-existing vendors such as Stratasys and 3D Systems are well placed to take advantage of this growth but may find their dominant positions challenged by newer rivals.”

For much of the past decade, the main growth in 3D printer shipments has been from material extrusion 3D printers, which make up the vast

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majority of the shipments seen in the consumer sector. However, as a result of many expired or expiring patents, vat polymerisation is fast becoming a major growth sector in both the enterprise and consumer spaces, and these 3D printers will continue to fall in price and improve in speed and quality.

The aerospace, automotive, and medical sectors will continue to be the major revenue drivers going forward over the next five years, with companies such as GE, Boeing, and BMW investing many millions of dollars into the technology.

“While the enterprise space will undergo its own revolution from 3D printing, over the next few years we expect to see the consumer sector advance at a similarly rapid pace,” continued Kempton. “Many of these 3D printers will be plug-and-play, turnkey devices that will begin to hit the $500 sweet spot at which many consumers are likely to make impulsive purchasing decisions.

“However, this also necessitates improved performance, a wider range of available materials, as well as the simplification of 3D printing software to make it easier for these users to get the most out of their 3D printing experience, and become loyal buyers who are willing to upgrade to more expensive and prosumer-focused 3D printers.” www.canalys.com

additive manufacturing

Keech product development system set to cut development times in half Innovative industrial/mining component design and manufacturing company Keech Australia has introduced a new system for product development that is set to slash the time taken from product conception to installation, potentially saving its customers millions of dollars in lost productivity revenue.

Keech’s new state-of-the-art 3D printing capability enables the product development team to make 3D models of custom components, using feedback collected directly from customers by Keech’s team of field engineers. “The goal is to precisely meet the customer’s requirements first time, every time,” said Dr Bala Hebbar, General Manager Innovation and Quality at Keech.

The use of 3D printing allows Keech to more quickly test new approaches to challenges like improving the method of attaching a component or decreasing its weight. What would have taken 180 days in the past can now be done in 90 days with the new system.

“Previously, we would have had to make a 300kg steel casting of a component and we still wouldn’t know how well it would fit in with the other components in a machine until it was installed on-site,” Bala said. “Now, with our 3D printing capability, we can get a much better feel for a product’s compatibility using a scaled-down version. We are able to tell right away if it will work without having to go through the huge expense and time-consuming process of making a full-size casting.”

The new development process was created partly in response to demand from the mining industry, where componentry can play a major role in production efficiency. “During the mining boom period, the primary concern for mine operators was getting the components they needed as quickly as possible,” Bala explained. “With ore

prices falling, companies are now more focused on efficiency gains, increasing productivity and reducing downtime.”

The new streamlined process of informationgathering and 3D printing has not come at the expense of rigorous testing. Although it’s faster, the process is more detailed than ever.

Dr Bala Hebbar heads the product development team at Keech.

“Where once we had five or six different steps in our development process, we now have 15 steps. The goal is to produce the right product first time, so we conduct even more validation and prototype testing,” Bala said.

The knowledge that Keech gains through the use of the 3D printing further expedites the process of developing new components.

“We can see what has worked in the past so we can compare and benchmark against what we are currently doing,” Bala said.

“This design inventory helps with the flow of imagination within our engineering team, enabling them to develop better and better products.” www.keech.com.au

The NEW Shape of Manufacturing Stratasys 3D Printers are changing the way manufacturers are taking on the world.

Our customers are discovering that 3D Printers give them the best edge to succeed. · Produce jigs, tools, fixtures, parts & injection moulds. · Speed up time-to-market with prototyping. · Rental & leasing options available.

Contact us on 03 8587 8200 or go to www.tasman3dprinters.com.au

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Motors & Drives

The importance of smart drive systems procurement As Australian manufacturers continue to find their feet in the ‘Asian Century’, the importance of innovation and working smarter, not harder, to remain competitive has been pronounced by industry leaders and government officials alike. One key business area that is seeing a fundamental shift in outlook is within procurement and supply chain management.

The Productivity Commission has found that Australian manufacturers, not only have high labour costs, but also “suffered from high logistics costs”. With components sourced from overseas suppliers, manufacturers are often subjected to long supply chains. This not only affects productivity, but long-term costs associated with poor procurement processes such as wastage and high levels of energy consumption. Successful procurement involves a holistic approach, leaning on stable supplier relationships and local knowledge.

The importance of finding the right supplier is now more important than ever to the success of a manufacturer. Leading industry expert Barry Thomas has noted that, “organisations [are] becoming more reliant on procurement to identify the most suitable strategic partners that not only contribute to fostering innovation, but also help to maintain a competitive advantage”.

The Australian Procurement and Construction Council (APCC) observed in 2003 that successful procurement processes include “the adoption of an integrated procurement approach which incorporates whole-of-life costing models to increase overall effectiveness of the procurement activity”. It is about keeping future running costs in mind and, importantly, the quality of the product and its longevity.

However, manufacturers often source materials from multiple suppliers, thus commencing the difficult and sometimes impossible juggling act of supply chain management. And while “cheap” parts from multiple suppliers might make immediate economic sense, it is within the lifespan of the parts that we see that the associated long-term costs often come to the fore. This affects the areas of downtime, maintenance costs, and energy requirements all of which are significant and costly elements of running a business and are often overlooked.

And because procurement deals with demand, it is imperative that manufacturers scrutinise the supply and its ecological impact.

Successful procurement procedures also take into consideration sustainable procurement, which reduces cost through increased efficiency, reduced waste disposal, and reduced risk management.

Building solid relationships with quality suppliers is fundamental for successful procurement. Indeed, the relationship between supplier and consumer needs to become more streamlined in order to be more productive and mitigate possible complications within the supply chain. As Thomas has explained, “it is beneficial to emphasise the importance of investing time and resource for face-to-face interaction with partners to establish trusted relationships”.

Too many cooks Drive systems are the nerve centre of any manufacturing process and, thus, vital to get right from the beginning. A typical drive system consists of a motor or gear-motor, a motor controller, a motion/process control PLC for human to machine interface and a visualisation for process adjustment. Piecing together integral, and sometimes complicated, equipment needs an uncomplicated and reliable supply chain. Choosing to procure all system components directly from the manufacturer, or a ‘mix-and-match’ approach from various distributors, can be a difficult decision for manufacturers seeking to optimise drive and control systems in the manufacturing process.

Of course, price points and availability of parts can dictate procurement processes, and often lead to multiple suppliers. However, by selecting parts from different suppliers, engineers and the end user can sometimes miss out on vital savings. While initial price points can be quite low, if the pieces simply do not fit, the consequences lead to a higher Total Cost of Ownership. One potential pitfall is higher energy consumption resulting from the inadequate consideration being given to drive system efficiency at the time of project planning.

Given the potential complexity involved in purchasing drive systems, there are a few things to keep in mind:

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Motors & Drives

Lincoln Electric offers one of the broadest cutting product portfolios in the metalworking industry.

• Consider a one-stop-shop drive systems provider – This may help avoid getting lost in the myriad of components and suppliers. Manufacturers can also limit costs and extra fees associated with a drive component puzzle that doesn’t quite fit.

• Form a trusted relationship with a “drive partner” – Working with people who know your business and provide solutions to meet your environmental and application parameters can ultimately lead to productivity and less down-time.

• Standardisation is the key to price reduction – Standardising on product offerings from one specialist supplier brings benefits to many aspects of a manufacturing business. From a procurement perspective, standardisation brings economies of scale, undoubtedly driving prices down during contract negotiations.

From an operational point of view, supplier standardisation paves a path to a streamlined spares inventory as often one stocked component can be utilised as a replacement for components installed in a vast number of locations, of course this needs to be considered at product selection stage.

• Local availability – When negotiating contracts with overseas project companies, consider the manufacturer of parts installed within the project. Too often spare parts cannot be sourced due to lack of local representation or inadequate stock holdings, this leads to increased downtimes and or higher replacement costs because of excessive express freight charges.

• In-house expertise – Consider a supplier backed by their own engineering, and sales team. Engaging with a supplier who has the capabilities to engineer a complete drive system can often eliminate the middle-man.

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• Stop the blame game – One drive supplier responsible for the integrity of drive package eliminates finger pointing during initial system installation or service scenarios. One point of contact to solve your drive system problems at time of need.

SEW-Eurodrive – Solving the procurement challenge SEW-Eurodrive has its own national network of assembly plants and technical sales offices throughout Australia and can supply a complete drive package to suit most drive applications for the manufacturing industry. From assembly to maintenance, SEW-Eurodrive provides end to-end solutions and is one of the very few local suppliers that can tailor make drive packages to customer requirements from its inventory of modular components and parts: • AC Motors, asynchronous and synchronous.

• Geared motors/servo motors locally assembled.

• Extensive stock of frequency inverters servo controllers and accessories.

• Drive operator panels through to sophisticated motion control PLCs. • Engineering know-how to assist with pre and after sales support.

• Australia and worldwide support and service network.

SEW-Eurodrive also supplies high-quality after-sales service and training with DriveACADEMY, equipping engineers with the technical knowledge to project manage, install, maintain and troubleshoot equipment. The SEW-Eurodrive DriveACADEMY trains engineers in all aspects of the project from start to finish. Procuring drive systems from SEW-Eurodrive gives manufacturers the confidence that the people who make the drives also assemble and service the drives. This constant contact enables SEW-Eurodrive to form solid relationships www.sew-eurodrive.com.au with manufacturers.

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AMT JUNE 2015

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Motors & Drives

Rising to the occasion: Customised solution for crane drive synchronisation What to do when the crane of your choice is no longer available? An Australian provider of overhead cranes fulfils all customer needs, even when the parameters are very particular. For this application, the challenge was to synchronise a new bridge crane with two existing ones. Nord Drivesystems configured the drives – keeping in mind the end-users’ budgetary requirements.

Melbourne-based Modular Cranes is one of Australia’s leading overhead crane suppliers, offering modular packages for payloads up to 100 tons. The cranes are individually adapted to suit the particular factory layout or application. The family-run business, established more than 30 years ago, supplies quality material handling products to clients all over the country. Modular Cranes works with top crane technology manufacturers such as Advanced Radiotech Corporation, Donati and Street. The company also services cranes throughout Victoria as well as New South Wales, South Australia and Tasmania.

A manufacturer of heavy truck trailers approached Modular Cranes with an unusual problem. The company had been successfully using two 22m-wide overhead cranes in its factory. The cranes, traditional single-girder bridge designs rated at 12.5 tons each, were installed on the same set of support beams spanning the entire length of the factory. They were identical in their specifications and synchronised for two speeds as well as for ramp-up and ramp-down times. A wireless handheld remote control pendant simultaneously actuated the pair of cranes as required.

Changes in the production process now necessitated the installation of a third identical crane on the same set of support beams, allowing for very long and heavy trailers to be moved through the factory with the load shared between two of the cranes at any one time.

However, the specific crane used in this application was no longer in production. After many years of reliable service, the existing cranes had not nearly reached the end of their lifespan, and therefore it was neither economical nor environmentally sustainable to replace them.

Modular Cranes needed to find a practical and economic alternative design solution to match the performance and synchronisation characteristics of the existing onsite cranes.

Customised drive configuration For the new overhead crane’s two bridge drives, Modular Cranes sought the expertise of Nord Drivesystems.

“We were faced with the problem that our new crane needed to travel exactly in synch with the existing onsite cranes,” said Annie McDiarmid, Operations Manager at Modular Cranes. “Nord Drivesystems offered us a solution that met our customer’s budgetary requirements and assured us that we could match acceleration, deceleration, braking, and traversing speeds with the existing non-inverter driven cranes.”

The 22m-wide overhead cranes run on beams that span the entire length of the factory, with all three synchronised for speed and ramp times.

Nord proposed an integrated solution consisting of an efficient helical gear unit, a standard four-pole electric motor with a 10Nm electromagnetic brake, and a motor-mounted frequency inverter with an external brake resistor. The two bridge drives were configured to synchronise and match the existing cranes using a simple parameter set-up procedure and were flange-mounted on the crane girder.

Operation is comfortably carried out with the same remote control pendant, no additional configuration is required. The precision of the Nord helical gear set and the flexibility of the decentralised frequency inverter software permitted this new crane to be synchronised with the existing cranes without rotary encoders.

Nord configured the gear units using its Unicase helical inline gearbox series which, providing a wide torque range from 10Nm to 26,000Nm and ratios from 1.35:1 to 14,340.31:1, enables unique flexibility in the configuration of the optimal drive train for any task and mechanical set-up. The Unicase housing design – with its one-piece machined construction including integrated flange and bearing sets – provides long and trouble-free operation and allows for a highly robust solution that can withstand extreme loads. Nord is the only manufacturer worldwide to produce very large industrial gear units with 242,000Nm output torques in a single-piece cast-iron housing.

To solve the synchronisation problem, Nord recommended a motormounted frequency inverter for straightforward installation that makes shielded cables unnecessary. The manufacturer has a comprehensive drive electronics program with graded performance and functional range options that allow users to choose suitable compact solutions with the exact features they require for any given task, thereby optimising budget and resource use.

The end-user, a manufacturer of heavy truck trailers, required an additional crane for the handling of new, larger trailer models.

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The SK 205E inverter selected for this application realises drive functions such as ramp-up: the inverter ensures the motor starts slowly with high torque, thereby protecting the mechanics from the extreme loads that are effective when the heavy overhead crane is started from standstill. An external brake resistor accommodates the regenerative current when the crane is decelerated. The inverter is also equipped with an integral 24V DC power supply to provide the internal control voltage – therefore requiring only a power connection and no separate control cable.

Motors & Drives

High-Performance CNC Machining Centers for Composites

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The bridge drives for the new crane were custom-tailored by Nord Drivesystems.

Full Line of 3 & 5 Axis Machining Centers

McDiarmid highlighted the quality of Nord’s customer support: “Throughout the process, Nord offered us abundant amounts of support from trained professionals and worked with us to achieve the best possible outcome.”

Complete Software Solutions

To achieve this high level of support globally, the Nord Drivesystems Group has established a large network of subsidiaries and service centres. The manufacturer has been represented on the Australian continent since the mid-1990s. Nord’s Australian subsidiary, Nord Drivesystems, began operations in 2010 with the construction of an assembly facility in the Melbourne suburb of Derrimut.

www.thermwood.com.au PH +61419928469

thermwood First in CNC Routers

The plant boasts a state-of-the-art geared motor manufacturing capability with production and quality assurance processes that comply with the standards of its German parent company. Nord also maintains sales branches in Sydney and Brisbane, with regional sales managers serving all states and territories in Australia as well as New Zealand. Nord supplies motors conforming to the relevant Australian energy efficiency specification MEPS High Efficiency and frequency inverters with C-Tick certification.

After the completion of the customization project at Modular Cranes, McDiarmid’s conclusion was: “No problem is too big for NORD!” www.nord.com

The economic solution consists of two flange-mounted NordBLOC.1 geared brake motors, each fitted with an SK 205E frequency inverter and an external brake resistor.

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Motors & Drives

Optimising motor and gearbox alignment Electric motors and drives can operate for significant periods of time with few reliability issues. However, if they are poorly mounted or misaligned, serious and often costly problems can occur very quickly.

Poorly mounted or misaligned motors and drives can lead to bearing and seal breakdown, coupling failure and possible consequential damage to other components.

The problem often occurs when components are assembled or replaced in working environments where there is urgency to recommission the machinery. Often drive motors and gearboxes are swapped out with replacements that may have some differences in mounting hardware, or that originate from different manufacturers.

Technofast founder and CEO John Bucknell explains that the correct alignment of the two components is always required when changing one or the other.

“Large machines are often aligned using laser equipment to ensure best outcomes,” says Bucknell. “Normally, the procedure requires linear adjustment and shim packing for correct height alignment.”

After each alignment adjustment, the mounting bolts must be tightened and the alignment measured to assess the outcome.

This may require a number of passes to get the required result and can often take many hours of labour and downtime.

Bucknell says the use of Technofast’s EziTite hydraulic nuts dramatically reduces installation times, as mounting bolts do not have to be screwed down and fully tightened repeatedly with torque wrenches or other means. When used in conjunction with the correct alignment tooling, EziTite hydraulic nuts and bolts allow the operator to bring all corners of the component motor or gearbox down simultaneously for measurement of alignment. Necessary linear adjustments or shim packing can be done by releasing the hydraulic pressure, making changes, then reapplying it to achieve the optimum result.

“When all is to spec, the EziTite’s Lock Ring is simply nipped up tight, the pressure released and pressurising equipment removed from the finished job,” adds Bucknell. “The whole process takes just minutes, not hours.”

According to Bucknell, EziTite hydraulic nuts and bolts are ideal for simultaneously tensioning bolting arrays such as fasteners on a flange, joint or cover, often loading 100% of the fasteners at once. This gives an extremely accurate even load onto the bolted joint, ensuring a leak-free start-up. Moreover, EziTite hydraulic nuts and bolts offer the user additional benefits, including improved safety by removing flogging spanners and larger wrenches, along with greater accuracy and much reduced downtime on vital equipment.

“Plus of course there is minimal physical effort required to operate Technofast hydraulic bolting systems,” Bucknell adds.

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“Even in tight spaces, as long as you can connect the pressure hose, then you can tighten the bolt.”

EziTite hydraulic nuts and bolts can be used to secure motors and drives found right across the world in a wide range of industries including manufacturing, heavy engineering, mining, oil and gas facilities and power generation. Applications include conveyor drives, crushers, milling and rolling equipment, turbines, pumps, fans, blowers, vibrating screens and sieves, pipe flanges, reactor joints and covers, autoclaves and foundation bolts.

EziTite hydraulic nuts and bolts will drastically minimise the time required to carry out critical bolting procedures and are highly resistant to vibration and shock loads. They can be specified and manufactured using high-strength alloy or stainless steels to suit application requirements, with protective covers or optional surface treatments available.

EziTite hydraulic bolts are precision engineered, high-performance, hydraulically operated fasteners that incorporate mechanisms for tensioning. They can be quickly and easily fitted using standard pumping equipment such as Technofast’s hand-operated, electric-hydraulic or airhydraulic pumps.

EziTite hydraulic nuts can be rapidly applied by being installed on bolt studs then hydraulically actuated, stretching the bolt to the precise tension required and then locking

it in place mechanically with a locking device.

The reverse procedure permits equally rapid disassembly when it is eventually required for maintenance, for example.

The EziTite hydraulic nut is a precisionengineered, high-pressure, highperformance, hydraulically operated bolt tensioning device that can be quickly and easily fitted and used with Technofast pumping equipment. EziTite hydraulic nuts and bolts are ideal where: • Accurate and reliable loading is required on bolting.

• Vibrational or torsional stresses are a problem.

• Regular maintenance requires repeated adjustment or removal of nuts.

• There are confined or difficult nut locations.

The standard range of the EziTite hydraulic bolt is 20mm to 100mm bolt diameter, and features a unique lock-ring thread technology to ensure maximum retained load and a spherical seat ensures correct alignment to the joint face. Available in a variety of seal designs for temperature/pressure requirements, the maximum pressure of EziTite hydraulic bolts is 100MPA, though custom designs may be higher. All standard EziTite hydraulic bolts are fitted with a stroke indicator, quick connect fittings and CEJN type male snap fittings, BSPP porting and bleed plugs. www.technofast.com

Forming & Fabrication

Techni Waterjet pump slashes energy costs German firm Brenner GmbH & Co has enjoyed major savings on its electricity bill after sourcing a Quantum NXT pump from Techni Waterjet.

Based in the Bavarian town of Dillingen, Brenner has been a global leader in the foam and elastomer industry for over 25 years due to the company’s ability to cut with high-precision, high-pressure waterjets.

Operating 14 waterjets with a range between three and 20 cuttings nozzles per machine, Brenner is able to produce more than 300 million parts per year, mainly high-quality PU or PE foams.

With years of expertise combined with state-of-the-art technology, Brenner has been able to secure its position as world market leaders in its product segment. That is one of the reasons Managing Director Mario Brenner turned to Techni Waterjet when the company needed to reduce costs, but keep up the same amount of production with high-quality results.

Brenner relied on Techni’s Quantum NXT Electric Servo Pump Dual to accompany its large range of waterjets, not only to keep costs down, but also to reduce noise levels, minimise downtime due to its ease of maintenance, as well as reduce the company’s carbon footprint.

Compared to other hydraulic pumps running the same production, Techni’s Quantum NXT was able to significantly diminish their electricity bill by 22%. Those savings add up to a large sum when Brenner is running its waterjets at full capacity 80-90 hours per week and nearly 18 hours per day.

“We did a comparison with an identical machine running on the same parts (same nozzle quantity, same pressure, and so on),” stated Mario Brenner, Managing Director of Brenner. “We achieved a reduction of energy of approximately 22% in comparison to a competitor’s pump.”

Brenner’s Production Manager Johann Graf and Managing Director Mario Brenner.

Not only does Brenner rely on cutting costs with its Quantum, but also cutting down on noise. The Quantum is 800% quieter than a typical hydraulic intensifier, which adds up to a huge noise reduction when cutting with 14 waterjets. Typical hydraulic intensifiers run at 80dBa, while Techni’s Quantum NXT runs at less than 68dBa. “Noise reduction is always a desirable feature,” said Brenner.

Brenner is committed to using economical resources with minimum environmental impact, which is one more reason they chose Techni’s Quantum NXT. The Quantum NXT is highly environmentally friendly, with the smallest carbon footprint of any waterjet cutting pump available on the market today.

“Nowadays achieving a smaller footprint while reducing costs and becoming more environmentally friendly is one of the most important characteristics of any technical equipment,” explained Brenner. www.brennergmbh.de www.techniwaterjet.com

LVD Lynx – entrylevel fibre laser LVD has expanded its fibre laser cutting systems product line with the introduction of the Lynx FL. Lynx offers users the ability to enter the world of fibre laser cutting with the flexibility to process a wide variety of material types and thicknesses all within a modest, cost-effective budget. Powered by a high-efficiency, 2kW IPG fibre laser source, Lynx provides dynamic, accurate thin sheet processing of traditional sheet metal materials such as mild steel, stainless steel and aluminium with the added versatility to efficiently process metals such as copper and brass. Increased beam absorption of the 1μm wave length laser beam by the material provides processing speeds up to three times faster than CO2 laser sources in thin sheet metal.

A compact design, Lynx maximises uptime with an integrated shuttle table system that allows one table to be loaded while the machine is cutting on the other table.

Table change time is only 35 seconds. Lynx features an integrated Siemens IU CNC control and drive package guaranteeing the highest accuracy and repeatability even at high speeds. The new Precitec “Light-Cutter” guarantees high cutting speed with excellent cutting quality. It incorporates an easy and fast protective glass cartridge change, temperature and constant distance control and a crash-protection system. www.lvdgroup.com

FORGED IS BEST Looking for better quality, stronger and lighter non ferrous components?

Find out how easy it is to move from casting to manufacturing short to medium size production runs, cost effectively on your doorstep.

Call Brenton on +64 21 721 021 or email brenton@techforge.co.nz

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Forming & Fabrication

How selection of press brake tooling affects manufacturing Have you ever considered how standard tooling impacts the design of a part? By Grant Hagedorn.

During a recent conversation in a design group meeting, I overheard someone say: “It looks great, let’s bend it up!”

Often, issues affecting the manufacturing process arise, requiring the design group to make adjustments to their design. Before bending a new part, it is important to look at the press brake tooling selection, material choice and the machine to consider how it will affect the manufacturing process. This article will use an application example to look at the way standard tooling impacts the design of a part.

The company recently purchased a 95ton press brake and is looking to bend new parts in 0.25-inch mild steel. To keep the parts aesthetically pleasing, the design engineers will use an air bending technique so the material never touches the bottom of the lower tool (die). The manufacturer must first ask questions such as: How long can the bend be with this machine? What is the minimum flange length achievable? What is the resulting radius based on this flange length? There are numerous programs and apps on the market to help answer those questions. Alternatively, the fabricator can use a chart to help determine the limitations of the machine.

Start with the recommended tooling. The bending force chart we are using for this example uses the rule that the die width should be six to eight times the material thickness. To bend 0.25-inch material, the operator needs a die width between 1.5 and 2 inches. Our chart recommends a die that is 1.969 inches wide, but it also shows several alternatives. Using the recommended 1.969inch wide die, the press force is 15.1 tons per foot, the minimum flange length (b) is 1.476 inches, and the radius (Ri) is 0.315 inches.

With this information we can now derive the maximum length for our machine (95 ton/15.1 ton = 6.2 feet). These numbers are a close approximation, as variance in material properties might make them change.

With this information, the engineer now knows that when bending 0.25-inch thick parts with this press brake, all flanges must be greater than 1.476 inches long, and the bend length must be shorter than 6.2 feet.

Designing anything outside this range, such as a part with a one-inch flange or an eightfoot long bend, will not work.

Goal: Design a longer bend What if the design engineer requires an eight-foot bend? To determine the press force needed for an eight-foot bend on a 95-ton capacity machine, simply divide 95

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The upper tool (punch) is selected based on its height, tool rating and shape. It is easiest to use the machine’s software to select a tool based on the part’s geometry, though it is also possible to make the selection with a side profile template or the tool itself, especially if a cardboard mock-up exists. In some cases, it might be best to work with the tooling manufacture to create a custom tool.

tons by the bend length needed. (95 tons / 8 feet = 11.875 tons per foot). A die with a wider opening will require less force to bend the material so, once again, we consult our chart to determine the appropriate size. A die opening of 2.362 inches reduces the required press force to 9.5 tons per foot. However, it will also impact the minimum flange length and the bending radii, since the part has to rest on the shoulders of the die. Since they will impact the part design, these tolerances must be recalculated. The minimum flange length (b) increases to 2.362 inches and the radius increases to 0.512 inches.

Goal: Design a smaller flange What if the design engineer needs to reduce the flange length to one inch? To achieve a smaller flange the die width must be reduced.

This will increase the tonnage needed for the bend. According to the chart, achieving a minimum flange length (b) of less than one inch requires a die width of 1.181 inches.

With a new minimum flange length (b) of just 0.886 inches, the press force increases to 25.2 tons per foot with a maximum bending length of 3.7 feet.

It is clear that many factors come into play during part design. The design group must have the part criteria in mind before developing a new part so they are able to calculate the numbers and prevent major problems when bending the part.

Tool selection When the design group is pleased with the part and all its criteria have been met, there are a few additional considerations before attempting the bend. The upper tool (punch) is selected based on its height, tool rating

Grant Hagedorn is the assistant training manager at Trumpf Inc.

and shape. It is easiest to use the machine’s software to select a tool based on the part’s geometry, though it is also possible to make the selection with a side profile template or the tool itself, especially if a cardboard mockup exists. In some cases, it might be best to work with the tooling manufacture to create a custom tool. Once the punch and die have been selected, use the offline programming software to test the bending sequences and bend allowances. Any issues, for example with box height or part geometry, will quickly become apparent. If no issues arise, the part is bendable. It is best if the design group also has access to this software to quickly and easily test various design options before moving forward with production.

Programming the part offline will also ensure all operators use the same bend sequences and tooling when the part is manufactured.

Once all the pieces of the design puzzle are in place, develop the flat pattern based on the bend allowance values in the software. It is critical to use the same software, data base, or chart to develop the flat pattern for all the machines programmed since using different software for the laser can create problems during bending.

Continued next page at top

Forming & Fabrication Continued from previous page Once the punch and die have been selected, use the offline programming software to test the bending sequences and bend allowances. Any issues, for example with box height or part geometry, will quickly become apparent. If no issues arise, the part is bendable. It is best if the design group also has access to this software to quickly and easily test various design options before moving forward with production.

Programming the part offline will also ensure all operators use the same bend sequences and tooling when the part is manufactured.

For example, a part developed using a 3D CAD software will unfold using the bend allowances in that software package while the programming software of a punching or laser machine might use a different bend allowance and the press brake software would perhaps use a third.

Invest the time initially to make sure all software uses the same formulas to develop the flat part or many quality issues will surely arise. By following the guidelines above, a manufacturer is best equipped to bend a perfect part on the first attempt.

Reprinted courtesy of Fabricating & Metalworking. www.us.trumpf.com

Quoting process optimisation – A key to increased profitability Today’s technology allows manufacturers to run leaner, become more efficient, and accelerate turnaround times. A key part of this is streamlining your quoting processes. By Neill Kapp, Regional Sales Manager at SigmaTEK Australia.

Companies today face much greater demands from their customers, whether it’s speed of quotes or lower prices.

Furthermore, with email and websites, customers can quickly send information to a much larger audience of potentially, increasing the competition for every job. So, what’s the best way to combat this?

Generally the fastest quote wins the job.

In the past, there always seemed to be an inherent knowledge needed to create quotes. The sales department generally: • Grabbed a part, taking some quick measurements.

• Looked at material rates.

• Guessed the time to cut and clean-up the parts.

• Instinctively knew what the market would bear, determining accordingly what could be charged to cut the parts.

It was uncertain if the job was going to be profitable in this slow and inaccurate process. Today, known variables are replacing guestimates. With the use of software technology, machine data and actual cost inputs can be used to produce correct pricing in seconds. Employing interactive tech tables to achieve accurate run times from cutting machines, or even welding, can save hundreds of man-hours each year.

Every manufacturing operation costs money.

Capturing expenses allows actual numbers to be generated. Known costs can then be marked-up to the competitive situation.

Once run-times, operators needed, and processing time is known, material costs can be added. Doing this accurately requires applying real part geometry against materials.

The solution is to employ engineering upfront, obtain customer geometry and use technology tables to determine accurate costs. This accelerates quoting and promotes efficiency. For this to work, we must ensure accuracy in costs and geometry.

Accuracy is vital. We must leverage technology to setup accurate run times, gain the latest material costs, and actual shop costs. If one has accurate density and material costs, he can utilise nesting algorithms to generate nested costs, rectangle costs, and true shape costs.

As long as material and density costs are accurate, he can apply a proper mark-up, and profitability is determined. This is true for any operation.

Today fabricators can leverage technologies and best practices to become more competitive, win more bids, and run much leaner. Combining the use of tech tables with accurate geometry is the key to profitability.

Sophisticated nesting software, such as SigmaNEST, generates accurate quotes based on actual material consumption and machine run time. The software calculates the amount of material used to run a given job and how long the cutting operation will take. SigmaNEST employs advanced quoting operability, along with advanced nesting algorithms, work order and report generation, to generate a time and material saving, and reduce manufacturing cost. www.sigmanest.com

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forum – Finance

Understanding what banks look for Many business owners mistakenly believe that money in the bank account and good profits represent strong financial statements. Showing a profit is a positive indicator, but when assessing the strength or a business’ balance sheet, a bank will look for a number of indicators, as explained by Damian Sutherland and Tony Mitchem In this issue we will examine the balance sheet, the profit and loss and the importance of an accurate projected cash flow. The balance sheet comprises three components: assets, liabilities and equity.

Assets Cash in the bank account is not a significant positive to the bank as it can fluctuate from week to week. Fittings, equipment and lease held improvements are not significant assets from a lending perspective, mainly because if a bank forecloses on a loan and a business is not a going concern, they have poor resale value. Tangible, illiquid assets such as property or land create a very healthy balance sheet and are valued by banks.

Stock (inventory) and debtors (accounts receivable) are assets that will often provide security to enable bank finance but, whilst the dollar value is important, the bank will look closely at the quality of the assets. When reviewing accounts receivable, the bank will attribute greater value to the 30 and 60­day debtors. Debtors in excess of 90 days are given minimal or no value.Unsecured loans to associates or related parties in the assets section will have minimal value, as they will most likely be viewed as uncollectible if the bank forecloses on the loan.

Liabilities Basically, the less liabilities the better.

Debt in the balance sheet secured against specific assets usually means that these liabilities are effectively cancelling each other out.

Large creditors (accounts payable), particularly those greater than 30 days or outside trading terms, will be viewed unfavourably. Banks will scrutinise all statutory obligations to ensure they are up to date.

Unsecured loans or related party loans in the liability section are seen as a positive by the bank. In fact, in a family or discretionary trust, the beneficiary loans are basically equity. These loans represent capital injected or profits left behind in the business and indicate that the business is fully or partially self-funded.

Equity The greater equity the better. Equity or shareholders’ funds will also represent capital injected into the business. Negative equity would suggest that liabilities exceed assets and would be a cause for concern..

Profit And Loss Statement Banks will typically want a minimum of the last two to three years’ profit and loss. Whilst the profit is a strong indicator, the bank will delve deeper into what is behind the profit result.

Firstly, they will look at the fundamentals of the profit and loss, considering items such as rent and wages relative to business turnover.

Banks have data on industry benchmarks and will assess expenses and overheads relative to comparative businesses. They will inspect the business’ gross margin and the closing stock figure to sales and turnover. This will also be compared to industry benchmarks.

The bank will view whether revenue has been increasing..For an owner-operated business, the bank will scrutinise the shareholders’/ directors’ full take-home pay, assessing wages, profits and fringe benefits. It may be that profit is high but the directors are drawing minimal wages.

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Conversely, profit may be on the low side but closer inspection reveals that the owners are drawing large wages, salary sacrificing into superannuation and are provided with a number of salary packaging items.

Typically, the bank will look at EBITD (earnings before interest. tax and depreciation) and add these outgoings to prior years’ profits to determine anticipated cash flow to repay a loan.

Cash flow/Forecast In understanding the future profits and the ability of a business to meet the ongoing financing commitments, the bank will want 12 to 24 months’ projected cash flows, which demonstrate the direction the business is going and often provide a clearer picture of growth expectations and cash flow requirements.

Banks want to understand your business and ensure that the right facilities are available to assist your business. They will generally provide a short­term facility such as an overdraft to enable you to deal with the peaks and troughs of cash flow, rather than provide longterm financing with a term loan or commercial bill.

Importantly, when preparing a cash flow, you should demonstrate to the bank the ability to make interest payments and principal repayments if required. The forecast has to be realistic. Businesses will often prepare extremely optimistic cash flow/ profit projections to gain favour with the bank and give the impression that the business is expected to be extremely profitable. However, I have heard the bank turn to a business owner in such an instance and say, “Based on this cash flow, you do not need any money from us!”.

Be careful you do not outsmart yourself.

Damian Sutherland and Tony Mitchem are directors of William Buck (Vic) Pty Ltd Chartered Accountants, specialising in the manufacturing industry and offering a full range of services, with offices across Australia and NZ. As an AMTIL member your first meeting with us is complimentary and gives you access to one of our directors to access a wealth of advice, such as: asset protection strategies; equipment and property financing; budgeting; profitability analysis and product costing.

If you would like to arrange a complimentary appointment, please contact Damian or Tony on 03 9824 8555. www.williambuck.com

forum – Law

Avoiding the cost of injuries One worker’s compensation claim alone can result in an employer’s annual premium increasing by at least 30% each year for three years. The importance of an injured worker returning to work as quickly as possible, and the correct procedures for claim-lodging are explained here by Kim Cunningham.

Agriculture is one of Australia’s most dangerous industries. While, employing only 3% of Australia’s workforce, it has one of the highest injury rates.

Providing employees with a safe workplace and supporting those injured at work is an easy rule to accept. Despite best efforts, thousands of farm workers are injured annually.

With every worker’s compensation claim often comes a very significant financial cost. If an employee’s injury is properly managed immediately, the risks of it turning into an expensive worker’s compensation claim are diminished.

The most important strategy to manage a worker’s compensation claim is to identify injuries early, obtain early medical treatment and return employees to work quickly. Evidence shows, the earlier the return to work, the better the chances of recovery. The first four weeks following injury are crucial and may be the determining factor whether an employee recovers or lodges a worker’s compensation claim. The longer a person remains off work, the less likely they’ll return to work and the greater the cost to the employer.

Managing Injuries and return to work If an employee is injured (at work or not), then adopt the following strategy to quicken the recovery and the return to work. If a claim is still lodged, adopting the same strategy can create enormous savings.

First, create a culture of early reporting of injuries and early intervention by the employer. The role of supervisors is crucial in achieving good return to work outcomes. Employees can be reluctant to report an injury and supervisors must look for and discuss any sign of injury.

Second, manage their injury by managing their work. If an employee is experiencing pain or having difficulty doing their job, look at what can be done to help them and, importantly, to remain at work. Can you alter the way a task is carried out? Can you allocate different duties to that employee? Can you provide some aides to support their injury?

Third, maintain contact. Every supervisor should demonstrate their support by communicating honestly and often. With the worker’s permission, a supervisor can speak or meet with their doctor to discuss their injury, their job and what modifications they need at work.

If an employee is off work, their supervisor should contact them immediately and maintain contact with them throughout any absence.

Employees will be motivated to return to work early if the workplace engages and shows them support. It is a simple approach but it will create a motivation to work.

The key things that will prevent an early return to work are lack of contact, delays, lack of support and unreasonable expectations.

Everyone’s goals should be the same - the injured employee, the supervisor/manager, the treating doctor and co-workers – to achieve an early and successful return to work.

A claim is lodged – what now?

If a worker’s compensation claim is lodged, there are ways to ensure it will not increase an employer’s workers compensation insurance bill (premium). If the employee returns to their full working hours within ten days (even if on modified or different duties) and if the employer meets their medical expenses, then the claim will be deemed a “minor” claim and it will not increase the employer’s premium. (That is not to say an employer should avoid lodging a workers compensation claim with

their insurer. If an employee submits a Worker’s Injury Claim Form, the employer must provide this to their insurer, even if the employee takes no time off work.)

If a claim is lodged, every employer has an obligation to provide the employee with suitable duties and so the same strategies discussed above should be implemented. The benefits from doing so at the earliest stage possible are significant – the costs of the claim will be reduced, the duration of the claim will be shortened and the potential financial impact of the claim on the employer will be significantly diminished.

Reducing premium and claims costs Every employer has the potential to reduce the financial impact a worker’s compensation claim has on their business. As discussed, the best way is to bring the injured employee back to work as soon as possible. Even if they are performing entirely different work, the aim should be to have them working their normal pre-injury hours.

Why is this so important? One worker’s compensation claim alone can result in an employer’s annual premium increasing by at least 30% each year for three years. That one claim can result in a $100,000 premium increasing to $220,000 over the life of the claim.

Successfully managing the return to work process can be key to reducing the financial impact of a worker’s compensation claim. It needs to be reasonable, realistic and planned in co-operation with the worker’s compensation insurer, the insurer’s rehabilitation provider and, most importantly, the employee and their treating doctors.

If you have a question about worker’s compensation and how the associated costs can be controlled, Kim Cunningham of M+K Lawyers can be contacted at kim.cunningham@mk.com.au or on (03) 8615 9954.

Our lawyers have worked in industry spanning from Government departments and health to industry associations. This means we understand the challenges employers face. www.mk.com.au

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forum – OHS

Shift in thinking required to ensure safety taken seriously Scott Moffat, Managing Director of Pilz Australia, explains why he believes we still have some way to go with regard to machinery safety and calls for a shift in thinking about safety in the workplace.

On 24 April, The Age reported that Braeside (Melbourne) bakery, Laurent, had been convicted and fined $60,000 following an incident in which an employee had his arm severed when accessing an unguarded part of the dough mixing machinery.

This article caught my attention because it’s another instance of poor machinery safety leading to an irreversible employee injury, but what was more alarming for me in this instance was the follow up message

by WorkSafe.

I generally applaud the actions of WorkSafe to make our workplaces safer, and yes the message in the article is - in the main - correct.

Poorly guarded machines are a major source of serious workplace injuries and machine guarding is one of the most fundamental ways of protecting employees. The decision to leave the guarding off the processing machine was “disastrous”. However, WorkSafe’s Executive Director of Health and Safety, Len Neist, also said, ‘The WorkSafe message is simple. If guarding is removed for cleaning or maintenance, it must be replaced.’

This is not the right message to be sending to workplaces . If the guarding is able to be removed then this guarding should be interlocked and the machine should not be able to operate. Period.

Operators should never have the option to normally run machinery unguarded.

Removable guarding is required to be interlocked with the machine safety control system. This is documented in the recently revised AS/NZS 4024.1601 (2014) as well as in the 2009 Code of practice Safeguarding of machinery and plant.

The Code of practice states, ‘Interlocked physical barriers (interlocked guards), such as enclosure guards, are known as ‘movable guards’ and are interconnected with the power or control system of the machine. The interlock prevents the machinery from operating unless the guard is closed. They cannot be opened until the dangerous parts of the machine have come fully to rest.

So I cannot accept WorkSafe’s messages in these instances as to do so would be falling well short of where we need to be in terms of creating a safe operating environment. It’s time to shift our thinking from one of user error – he/she got hurt because they did the wrong thing or didn’t follow the right procedure - to one of designing workplaces and systems which are error-tolerant and resistant in the sense that errors can occur without leading to unacceptable consequences.. We need to focus on ensuring we have the right safety systems in place and asking ourselves, ‘did we do all that is reasonably practicable to avoid this accident happening? Did we allow for errors or scenarios outside the norm?’

Professor Sidney Dekker of Griffith University has written widely on the subject of “Safety, Differently” and says we should be seeing safety not as absence of errors and violations but rather the presence of systems.

In the event of electrical failure, loss of power or malfunction, the machine’s guarding system should ‘fail to safe’, and render the machine or part inoperable until the power is restored or the guarding mechanism is repaired.

I wholly concur with Professor Dekker. We need a stronger focus on creating error-resistant workplaces and we mustn’t get sidetracked by asking why the Laurent employee operated the machine with guarding removed or why did the worker put his arm inside the guillotine?

Professor Dekker’s book, “The field guide to understanding human error” is a good practical read on his concepts and encourages the reader to make a shift from his ‘The Bad Apple Theory’ where you believe your system is basically safe if it were not for those few unreliable people in it.

Interlocked guards and their components must be designed so that any failure does not expose people to danger. The design also needs to consider the possibility of a person being inside the area covered by the guard when an attempt is made to start the machine.’

So we need to create safer work environments and ensure we have the right safety control systems on our machinery. This is exactly why we have Codes of Practice and Australian Standards – to protect our most important assets our people.

So in the Laurent case the message is clear, the machinery should have complied with the relevant machinery standard.

Already this year Safe Work Australia has reported a fatality caused by being trapped in machinery. Last year there were eight such deaths and many more people who were seriously injured for life.

I have also seen a similar concerning theme in the recent WorkSafe TV advertisement, “Not sure? Ask!” in which a young male worker loses his arm in a guillotine. He reaches in to remove a blockage and the machine operates; severing his arm. Again the viewer is left with the impression the young worker should have asked questions and spoken up in the workplace before reaching in.

Workplace communication and behavioural safety are certainly important themes in workplace safety but in this instance the machinery simply should have had a presence-sensing device and again should not have been able to operate with the worker’s arm inside the danger zone.

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Manufacturing can be dangerous which is why companies like Pilz exist. But it’s time we sent a stronger message that adhering to the Standards and ensuring our workplaces are set up to protect our employees is critical if we’re to take safety seriously .

Pilz, a trusted provider of safety products and services to leading national and international industrial companies in a wide range of industries. Pilz’s local team helps companies apply best manufacturing practice to safely optimise the availability and productivity of their plants worldwide.

Ph: 1300 723 334. Email: s.moffat@pilz.com.au www.pilz.com.au

forum – Strategy

Where are we headed?

A new way to rekindle Australia’s technology and manufacturing sectors must be found. By Roger La Salle.

I’ll set the scene by citing the words of two people. If these are the commonly held views of our economic intellectuals, I really do fear for our future. The first was from a Chief Economist of one of our biggest banks. As I understand it, the economist was formerly employed as a bureaucrat in the Department of Treasury and Finance in Canberra, so no doubt well-versed in economics:

“The notion that we need to make things in the country to prosper is a complete myth.”

When challenged on this point, the answer given was to the effect that the service providers simply provide other services to service providers and the money circulates and when they need to, they will buy computers and technology products or manufactured goods. No mention was made of just where these technology products come from and that the purchase of a technology product by a service provider means money exiting this Ponzi scheme* circular service loop and going off –shore.

The second quote is from a senior economics writer for one of our bigger newspapers; words to the effect of:

“It’s really very simple The accountant pays the consultant who pays the internet company who pays the lawyer who pays the school teacher who pays the doctor who pays the cleaner who pays the hairdresser and so on. Money circulates around the loop and everybody gets paid. It’s simply a 30 day cycle” With interest rates at an all-time low, unemployment higher than it’s been for many years, exports of minerals tanking, the auto industry in exit mode, manufacturing in most sectors almost obliterated and our education OECD ranking in decline, despite our “Building the Education Revolution” why should we be concerned? The economists tell us all is OK - our Debt to GDP ratio is low compared with all the basket-case economies.

What value are services?

Wealth is created when things are created, including physical products (agricultural, mining, the arts etc). As for services, in essence there are possibly just two services that actually create wealth for Australia these being the export of education and inbound tourism. The rest simply circulate the wealth of people trading tangibles, which would include the arts.

Many services are government-funded (police, hospitals, education etc). Where does the money come from to fund these?

A paradigm shift is needed If Australia does not find a new way of stimulating and encouraging investment in technology and manufacturing, I see no escape from disaster other than a recovery in commodity pricing, increased agricultural exports, more inbound tourism or educational exports.

Failing the above, all of which as a technologist I find unpalatable, we need to find a way to rekindle our technology and manufacturing sectors. But then again, even if we do develop some great new ideas, why make anything in Australia when you can choose a low-cost labour market?

A paradigm shift in thinking is needed. There is a myriad of assistance programs. But alas, if you look at most indexes of Australia’s innovation ranking you will find us near the top OF THE BOTTOM.

Innovation Innovation, the act of changing something to add value, is what it’s all about and there is no end to the ways one can innovate. But if one retains a fixed mindset when attempting innovation, the constraints imposed serve to limit the ability to really think “outside the box”.

The overriding mind-set within government seems to be about subsidies. Provide grants and tax incentives for people to spend more on innovation in the hope that this will inspire successful outcomes.

Maybe it will, but at what cost? What is the return on this investment?

Invert the model Inversion, or thinking of things the other way round, is one way of looking to inspire new paradigm thinking.

Think for a moment what would happen if, instead of the vast subsidy spending that Governments provide, we removed all such funding (or significantly curtailed it? And instead rewarded successful innovation endeavours.

Imagine the inflow of entrepreneurial funds from both local and overseas investors if we were to provide a tax holiday of perhaps five years on income earned from newly commercialised innovations.

Imagine too the income for government from people employed in these new industries paying tax on their wages.

I suggest such a sea change in innovation strategy would have a vastly positive and lasting effect and largely remove wasted government investment in innovation.

Roger La Salle, is the creator of the “Matrix Thinking”™ technique and is widely sought after as an international speaker on innovation, opportunity and business development. He is the author of four books, Director and former CEO of the Innovation Centre of Victoria as well as a number of companies both in Australian and overseas. He has been responsible for a number of successful technology start-ups and in 2005 he was appointed to the “Chair of Innovation” at “The Queens University” in Belfast.

Matrix Thinking is now used in more than 28 countries and licensed to Deloitte for their Innovation Academy. www.matrixthinking.com *A form of fraud in which belief in the success of a non-existent enterprise is fostered by the payment of quick returns to the first investors from money invested by later investors.

AMT JUNE 2015

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manufacturing history

Big wheels & little wheels – the story of Sir Laurence John Hartnett (1898 – 1986)

Part 5

Enemy action

UK-born Sir Laurence Hartnett arrived in Australia in 1934. He was known as Australia’s ‘Father of the Holden’, but he was much more than that as he tirelessly devoted himself to the country he loved via his visionary “Made in Australia” campaign. Apart from commencing the remarkable revitalisation of GM-Holden in 1934, his other contributions to Australia included being appointed Director of Ordnance Production in World War II, setting up the Commonwealth Aircraft Corporation and numerous other ventures. In this instalment, Laurence’s adventures in unreliable WW1 planes continues, the dangers of which almost leading one to speculate who the enemy was: Germans or the prototype allied planes of that era?

I

ran smack into a tree on the edge of the tarmac. I came to rest with a jolt and somersaulted out of the cockpit. The engine toppled out of its frame and the Maurice Farman was a write-off. The ambulance men picked me up from a tangle of fabric, bamboo and pianowire, and chugged off with me towards the medical hut. I wasn’t badly hurt; a few scratches and a bump on the knee was the only damage. But I hobbled as I went up sheepishly to my instructor.

Satisfied that I was O.K., he said, “You’d better have another flip right now.” I knew what was in his mind; if I didn’t make another flight immediately I might be too scared to try again later.

Night-flying uniform: RAF leather-lined coa t, triple gloves (silk, wool, leather); sheep-skin thigh-high boots, bibbed helmet, earphone flaps, fur-lined goggles and long underwear.

I was often still cold.

This time I went up with my flight commander in another Maurice Farman. My knee was paining as we took off, but I soon forgot about it. For five or six minutes I flew around the field until my flight commander was satisfied that my nerves were perfectly O.K. He took the controls as we came in to land. For some reason, he tried to make a side-slip landing, but he didn’t have the nose into the wind as we touched down - and crash!- the aircraft smacked heavily into the tarmac, crumpled and flipped on its side. And we both stepped but unhurt! I felt very much like saying, “If you’ve another plane to spare I’d like to go up again, sir, right now.” But two wrecks within thirty minutes was two too many. There were no more planes left to fly that day.

The ambulance came out again and took both of us in to the medico.

He examined my knee, which was swelling now, and marked me “unfit for duty”, which meant a few days leave.

After I had completed my eight hours solo, I went for my International Pilot’s Licence. I still have it. It’s like an international driver’s licence and in those days it enabled one to fly a plane anywhere in the world.

As well as Zeppelin night raids, the Germans made occasional daylight raids on the outskirts of London. They’d come over in flights of five or six planes, drop a few small bombs, squirt a few hundred rounds at anything resembling a target, probably take photographs, and then fly out to sea and away. We’d usually get an alert by telephone that the raiders had been sighted coming up from the Thames estuary evidently their compasses were no better than ours and Old Father Thames was the best guide. Not long after I got my pilot’s licence I experienced one of those German daylight plane raids. The alert came and I was waiting for a plane to be readied for take-off. The plane’s engine was running, an armoury sergeant was rushing out with some Lewis magazines and the pilot was beckoning frantically. I rushed over, complete with flying helmet, and the pilot jerked a thumb at the empty rear cockpit. “Hop in!” he yelled. I hesitated for a fraction of a second, then climbed in behind him. Before I was seated we were taxi-ing to the tarmac, and by the time we had taken off, I was fixing the magazines and swinging the Lewis guns on their mounts. Eventually we saw the Germans in the distance, streaking in the direction of Hounslow with some of our aircraft of all descriptions chasing them.

But we were too slow, too late and too far away. On our return I emptied a couple of magazines. That little bit of excitement earned an endorsed entry in my log book: “Enemy action over England.”

The C.O. announced to me that I would be posted to a night-flying Handley Page bomber squadron because I came from the Navy and one of the important things about night flying in these heavy jobs is good navigation. . “You’re awfully heavy on controls, Hartnett,” said the C.O. “.. too heavy for a scout. I’ll recommend you for a heavier aircraft.” “Surely not, sir,” I replied, bitterly disappointed. “Yes, you are,” he said, with a definite don’t-argue-with-me note in his voice.

How silly it was! Just because I’d had a brief navy training I was regarded as a navigation expert. It was an example of the unimaginative thinking of some Air Ministry bureaucrat. Still, there was no appeal against that kind of decision. It was just the way one’s cards fell.

This is an extract from ‘Big Wheels & Little Wheels’, by Sir Laurence Hartnett as told to John Veitch, 1964. © Deirdre Barnett.

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To be continued…

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Shane Infanti – Chief Executive Officer AMTIL

Roll on Austech 2017 At the time of writing this column Austech had not taken place so I am sincerely hoping that the sentiment of my column came to fruition, which I am certain it did.

A lot of work goes into the running of our trade show and, unlike a lot of associationowned exhibitions, we manage the complete exhibition in-house with a dedicated team of people. So I would like to take the opportunity to thank them for their efforts.

Kim Warren has been our Event Manager for the past 15 years and continues to provide a high level of customer service to our member companies participating in the show.

Her management and attention to detail has been a primary reason why Austech has grown from strength to strength and is now recognised as the major manufacturing event in the country. So my thanks go to Kim for what I am sure was another successful event.

The rest of my team, and that includes everybody, has put in a great effort over the past eight months to bring it all together. Whether it be organising the OEM displays, helping sell exhibition space, coordinating the number of networking functions and meetings on site, implementing the marketing plan, putting together the speaker program, managing the finances and collections, fielding the hundreds of calls from visitors wanting information (and everything else) and then putting in a huge week on site – your efforts are very much appreciated.

To all the visitors that came along, particularly those from interstate, we say a big thank you for making the effort and hope that you found what you were looking for. We were very confident leading into the show that the exhibits would be of a high standard.

There was plenty of new technology to see, all the major players were in attendance and the vibe pre-show was very positive so I sincerely hope that translated into a great visitor experience.

To all our exhibitors, I trust the exhibition met with your expectations and provides a fillip for investment and purchasing decisions over the coming six months. Your support for the show is the ONLY reason it exists and I truly hope that the return on your investment has been worth the effort.

One positive announcement just prior to Austech was the small business accelerated depreciation scheme that came out of the Federal budget. I will be very interested to see what impact that had on the purchasing decisions from our small business sector that attended. Whilst I am on that topic however, I draw your attention to my column on page 10 in the hope that it brings further attention for the need to expand this accelerated depreciation scheme much more broadly.

And so we look towards the next Austech exhibition, to be held again in Melbourne from 9th to the 12th May in 2017. We hope to be able to keep building the show, now in a two year cycle, into an event that is recognised as the manufacturing “SuperShow” for our precision engineering and advanced manufacturing industry.

Whilst it is fresh in the mind of both visitors and exhibitors, any feedback is welcome and I encourage you to email me at sinfanti@amtil.com.au with any comments whether they be positive or constructive.

Regards

AMTILinside

AMTIL set for Entrepreneurs’ Infrastructure Programme (EIP) Over the last 15 years or more AMTIL has been a partner with the Commonwealth Government on various initiatives, from skills improvement to export market access, business intelligence to technology and knowledge dissemination. Now we are about to close down one of the more successful national programme initiatives we have been involved with, and start a refreshed version this coming July. By Greg Chalker.

The Entrepreneurs’ Infrastructure Programme (EIP), developed from the Enterprise Connect initiative of the previous Government, is a flagship initiative focused on raising the competiveness and productivity of eligible companies at an individual level. The programme forms a part of the Australian Government’s Economic Action Strategy and will deploy more than 100 experienced Advisers and Facilitators, offering support to businesses through three elements: 1. Business Management a. Business Evaluations – A business assessment resulting in a detailed report and recommendations for improvements. b. Supply Chain Facilitation – A practical approach to assist companies in interacting with, and supplying into, new and existing markets. c. Business Growth Services – Access for eligible businesses with high growth potential to specialist advisers, services and connections aimed at accelerating their growth. d. Business Growth Grants – Small, co-funded grants to engage external expertise to assist businesses with implementing improvements recommended under their Business Evaluation.

2. Research Connections a. Identify critical and strategic research needs and opportunities. b. Support the business to connect with sources of expertise, technology and advice. c. Provide pathways to engage and collaborate with the research sector.

3. Accelerating Commercialisation a. Provides expert guidance, connections and grants to accelerate the commercialisation of novel products, processes and services.

Up to this point in time, AMTIL has had six people engaged in these activities across Australia. Each has been very successfully engaging, advising and connecting companies in a diversity of industry sectors.

In the last 12 months alone AMTIL’s Advisers and Facilitators have touched approximately 300 businesses. They have evaluated businesses and advised improvement strategies; they have assisted business owners and managers to engage service providers that can help them with improvement activities. They have conducted desktop research on behalf of companies into the most appropriate technologies that are needed for a particular process or product; and they have connected businesses with state and Commonwealth initiatives that can help support research and access opportunities for growth.

The dedication of our current Advisers and Facilitators has helped AMTIL as it has moved toward a longer-term goal. Now, after several months of tendering, AMTIL is proud to say we have been selected to move forward with the Commonwealth as an Industry Partner on the EIP, with a contract to provide nine Advisers and Facilitators across the country for the next three years. This is recognition of the importance of the industry we work hard to advocate. It is also a vote of confidence in AMTIL, which has gone from one adviser - restricted to Melbourne in 2010 - to nine Advisers and Facilitators located in three states and in some cases operating nationally.

The EIP is one of the few really good programmes making a real change for many of our members and community. I know this programme can make a difference in your business. I have seen it happen, and I have heard it straight from too many mouths of owners and managers to think otherwise. Call me and I am happy to talk to you about how the EIP could change your business.

Greg Chalker is AMTIL’s Corporate Services Manager.

He may be contacted by calling 03 9800 3666 or emailing gchalker@amtil.com.au.

At your service.

AMTIL supports its members through its select range of AMTIL Service Partners.

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www.amtil.com.au/Membership/Service-Partners

AMT JUNE 2015

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AMTILinside

Make It Cheaper – Making savings for New Touch When New Touch Laser Cutting approached AMTIL service partner Make It Cheaper for help in negotiating competitive rates for its energy needs, it was delighted with the result.

New Touch began in 2001 as a two-man operation and has rapidly grown to become one of the industry’s premier companies.

Currently operating six machines, 24 hours a day, over two locations in Bayswater and Clayton South, Victoria, New Touch is renowned for providing high-quality laser cutting and marking services at competitive prices. It offers an expanded range of services to meet the laser cutting and fabrication needs of customers across a wide variety of sectors.

In addition to laser cutting, New Touch delivers a complete range of fabrication services. Its state-of-the-art press brakes are capable of meeting all bending and folding needs – from complex, intricate sheet metal components to large plate at 8mm thick and beyond. The company is equipped with the capabilities to MIG or TIG weld, rivet, sand or polish your product whether it’s mild steel, stainless steel or aluminium. It also offers a complete range of finishing services to help guide its customers’ projects from concept to completion.

Brad Drury, co-owner of New Touch, came to Make It Cheaper after reading about its new partnership with AMTIL in the April edition of AMT magazine. The company’s commercial energy contracts were coming up for renewal, so it was perfect timing. Once Brad called the dedicated 1300 number to get in touch with Make It Cheaper, he got in contact with one of its commercial account managers, Josh Hicks. Josh is a long-standing employee of Make It Cheaper and loves to service partners’ needs by negotiating competitive energy rates.

“I’ve always enjoyed the concept of helping Australians save time and money,” says Josh . “Since moving to the commercial team, the satisfaction is at an all-time high due to being able to save Australian businesses thousands off their bills. Working with Brad was a pleasure and I was really happy with the result. I look forward to talking to him when the contract is up for renewal in two years to service his needs again.”

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Brad has been a long-standing member of AMTIL and when the association provides value back to its members, he knows that the results can be relied upon.

Once Brad called Josh to discuss the upcoming contract, Josh got to work to get live rates from a long list of retailers to discover which would be most competitive. Once he received that information, he presented Brad with the details concerning who had provided competitive offers to price the energy, and at what cost. The last step was to choose which of the offers the client would like. According to Brad it was a really easy service to use.

“I chose Make It Cheaper as they are the official energy partner for AMTIL, and I know that if my association is recommending a service it is usually for a good reason,” said Brad. “All I had to do was ring the 1300 number and get through to one of the experts. I found Josh very professional throughout the process and he answered any queries with professionalism and in a very timely manner.

“Using Make It Cheaper made the process extremely simple and quick; they also achieved some very competitive pricing for my energy. Not only do they handle the

pricing and set up of the contracts, but when it expires in two years they will recontact to renegotiate the pricing again. We would strongly recommend Make It Cheaper to others and especially to readers of AMT and members of AMTIL.” It’s great to see expertise pay off. In helping New Touch to cut out the time and hassle of setting up a new energy contract, Make It Cheaper enabled the company to focus on achieving its own goals for growth and productivity. www.newtouchlaser.com.au To talk to an expert at Make It Cheaper about your commercial energy switch, call directly on 1300 839 899.

ManufactureLink proudly owned and operated

by AMTIL

Follow our members on

Go Get linked!

Manufacturelink is your directory for all things Manufacturing. processes. services. technology.

1186AMT

We’ve got the link to make it happen.

Visit www.manufacturelink.com.au to learn more.

AMTILinside

Flying the Aussie flag at EMO AMTIL will again have a presence at the major manufacturing technology show EMO, being held in Milan, Italy, from 5-10 October this year.

EMO runs every two years and covers the following product sectors - metal forming and metal cutting machine tools, machines for welding, for thermal and surface treatments, robots, mechatronics, additive manufacturing technologies, automation hardware and software, assembling, tools, parts, components, accessories, metrology, quality control, systems for safety and environmental protection.

AMTIL FOOTY TIPPIng 2015

The AMTIL stand will be part of the International Association Pavilion and provides an opportunity for us to promote our members’ capabilities to an expected audience of over 100,000 visitors.

Australian visitors can also have access to our meeting room, bag storage and, of course, a cold refreshment. Shane Infanti and Greg Chalker will be attending on behalf of the Institute.

Accommodation is very scarce and AMTIL does not have any further rooms available, so if you are planning on attending and have not booked accommodation yet, we suggest you go to http://www.emomilano.com/en/visitors/hospitality

In addition, we are planning a site visit or two depending on interest, so please let us know if you are attending and would like further information.

Anybody interested in any AMTIL activities during that week should contact Shane Infanti at sinfanti@amtil.com.au

New AMTIL Members

Multiform Engineering Pty Ltd 35 York Road INGLEBURN NSW 2565 T: 02 9829 1166 solutions@multiformengineering.com.au www.multiformengineering.com.au

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For more information on the EMO event go to www.emo-milano.com

Micron Manufacturing 25/197 Power Street GLENDENNING, NSW 2761 T: 02 9037 9590 ryan@micronmanufacturing.com.au www.micron manufacturing.com.au

Nupress Group 11 Nelson Road CARDIFF, NSW 2285 T: 02 4903 9300 sales@nupress.com.au www.nupress.com.au

Upsets galore

How’s your tipping going?

Season 2015 has already served its fair share of upsets with many tipsters struggling to pick the card. GWS spanking the mighty Hawks, the winless Lions stringing two on the trot defeating premiership favourite Port Adelaide, together with the resurgance of the youthful Bulldogs and the surprise of the season (at the time of writing), the West Coast Eagles sitting second behind the powerhouse Fremantle.

The tipping ladder has seen considerable movement these last few weeks, but do not fear as there is no runaway leader with only two tips separating first and tenth place. A real issue being part of a Hungry Jacks sponsored site is the lack of consistent handing out of Whoppers – a reward for picking all winners and I’m getting a little hungry, till then. Sanchez

Round 7 1 John MacDonald 2 Conrad Willis 3 Waverley Reds 4 Seco 5 Josh Pearce 6 Brendan Smith 7 Damian 8 Lou 9 Magpiemad rules!

10 Daniel Fisher

44 (320) 44 (328) 43 (239) 43 (283) 43 (294) 43 (296) 43 (296) 43 (324) 42 (279) 42 (320)

Australian Manufacturing Technology Institute Limited

Keeping it Simple.

One Membership, Many Benefits.

connect.inform.grow.

MeMbershIp pAckAges AvAILAbLe AMTIL membership for companies, individuals and supporters within the precision engineering and advanced manufacturing sector.

For more information visit www.amtil.com.au or contact corporate services Manager greg chalker on 03 9800 3666 or gchalker@amtil.com.au

1220AMTIL

www.amtil.com.au

industry calendar

Please Note: It is recommended to contact the exhibition organiser to confirm before attending event

INTERNATIONAL Manufacturing Surabaya Indonesia, Surabaya 10-13 June 2015 Manufacturing machinery, factory equipment and supplies exhibition.

With East Java experiencing high levels of industrial growth, this event showcases products for the manufacturing machinery, equipment, materials and, services industries. http://manufacturingsurabaya.com International Paris Air Show France, Paris 15-21 June 2015 Over 100 years old, this show is the largest and longest-running aerospace trade show in the world and the key event for the industry. www.siae.fr/EN Automation Technology Expo Canada Canada, Toronto 16-18 June 2015 Co-located with Design & Manufacturing Canada, Packex, PTX and Plast-Ex www.canontradeshows.com/expo/atx_ca13 Amerimold USA, Illinois 17-18 June 2015 Tradeshow and technical conference for the plastic injection mould manufacturing industry. www.amerimoldexpo.com SCM Logistics Singapore 23-25 June 2015 The only event in Asia to cover the end-to-end supply chain across all industries, from the suppliers to manufacturers, to distributors and finally to the retailer/customer www.terrapinn.com/exhibition/scmlogistics-manufacturing-world Rosemould Russia, Moscow 23-25 June 2015 Only trade show dedicated to mould making and related industries in the post-Soviet territory. Includes: mould making tooling, design & engineering, prototyping; 3D technologies; CAD/CAM; metals/ composites; metalprocessing equipment; automation; quality control. www.rosmould.com Design Engineering & Manufacturing Solutions Expo Japan, Tokyo 24-26 June 2015 Specialised exhibition of IT solutions for the manufacturing industry. www.dms-tokyo.jp/en M-Tech Japan, Tokyo 24-26 June 2015 Mechanical components & material technology.

Includes all kinds of mechanical parts (bearings, fasteners, mechanical springs) and metal and plastic processing technology. www.mtech-tokyo.jp/en Manufacturing Expo Thailand, Bangkok 24-27 June 2015 Includes three tradeshows: Intermold Thailand;

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AMT JUNE 2015

Assembly & Automation and Automotive Manufacturing. Latest machinery and technologies, all-in-one sourcing platform for industrialists (from mould-making, auto-parts to automation), www.automanexpo.com IMTOS India, New Delhi 4-7 July 2015 India Machine Tools Show www.imtos.com MTA Vietnam Vietnam, Saigon 7-10 July 2015 Precision Engineering, Machine Tools & Metal Working Exhibition & Conference http://mtavietnam.com/en/home Intertplas Thailand Thailand, Bangkok 9-12 July 2015 International plastics and rubber technology trade exhibition and conference, www.interplasthailand.com Taiwan Automation Intelligence & Robot Show Taiwan, Taipei 16-19 July 2015 Automation intelligence & robotics technologies, products and equipment. Based on manufacturing applications (factory production, manufacturing, assembly and other processes) for a broad range of industries. www.tairos.tw/en MTT Expo Indonesia, Jakarta 4-7 August 2015 Includes machine tools, metalworking & precision tooling, automotive engineering & related manufacturing technologies. http://mtt-indonesia.com/expo Delhi Machine Tool Expo India, New Delhi 20-23 August 2015 Includes metal cutting/metal forming machine tools, welding, automation, software, assembling, metrology, accessories. . www.mtx.co.in Cambodia International Machinery Industrial Fair Cambodia, Diamond Island Convention Centre 21-24 August 2015 Includes metalworking & automation, plastics production, auto parts & accessories, food processing. www.camboexpo.com/CIMIF PDMAEC Philippines 26-29 August 2015 Die & mould machinery & equipment exhibition http://pdmaec.brinkster.net/index2.html Taipei International Mould & Die Industry Fair Taiwan, Taipei 26-29 August 2015 Includes: Machining centers, EDM, milling, grinding, engraving machines, lathes, presses,

CAD/CAM/CAE, Testing Equipment, auxiliary equipment etc. www.odm-dmi.com/en/ Vietnam Manufacturing Expo Vietnam, Hanoi 10-12 September 2015 Manufacturing machinery and technologies for supporting industries (machine tools for mould and die making and injection technologies for plastics manufacturing).. www.vietnammanufacturingexpo.com IMEX India, Bombay 13-15 September 2015 International machine tools and allied products expo, Co-located with: World of Metal; CWE (International Exhibition on Cutting and Welding Equipment); TechIndia (engineering and manufacturing industry exhibition);.UMEX (intl. exhibition of used machines); Hand Tools & Fasteners Expo. www.imexonline.com WESTEC USA, Los Angeles 15-17 September 2015 Expo for the advanced manufacturing industry. Includes cutting-edge manufacturing equipment, advanced technologies, new products and applications. www.westeconline.com Metalform China, Shanghai 16- 19 September 2015 Focusing on the metal forming industry.

Co-located with four shows: ChinaForge;, SheetMetal China; MetalFab China and MetalComp China. www.chinaforge.com.cn/en AmCon USA New York 23-24 September 2015 Texas 6-7 October 2015 Utah 27-28 October Michigan 10-11 November 2015 Design & contract manufacture expo. from prototypes to production parts. Includes printing; forming/fab; machining; engineering; prototyping; assembly. www.amconshows.com Canadian Manufacturing Technology Show Canada, Mississauga 28 September – 1 October 2015 Includes latest advances in machine tool, tooling, metal forming and fabricating, advanced manufacturing including 3D printing/ additive manufacturing, automation. Includes Technology Zones. http://cmts.ca EMO Italy, Milan 5-10 October 2015 Includes Metal forming/cutting machine tools, welding, automation,software, accessories, metrology, quality control, OHS. www.emo-milano.com

industry calendar local Adelaide Boat Show Adelaide 25-28 June 2015 Showcase of vessels large and small, products and accessories, services and expert advice, seminars and workshops, holiday destinations and entertainment. www.kjex.com.au Sydney Boat Show Sydney Exhibition Centre 30 July – 3 August 2015 www.sydneyboatshow.com.au Agriworld Australia Sydney Showground 16-17 July 2015 Includes Agribusiness value chain; Agriinvest (investment services); Agritech (field technologies, animal management); Agrinext (technology, equipment); Agritrade (trade services). www.agriworldaustralia.com.au ACI Connect 2015 Sydney Olympic Park 12-13 August 2015 Australia’s only conference and exhibition dedicated to automation, control and instrumentation technology. Includes industry expert keynotes on Connected Manufacturing, the all new Future Networks Forum, leadership panels, and two dedicated MiniLab workshop channels. www.aciconnect.com.au AIMEX Sydney Showground 1-4 September 2015 Asia-Pacific’s international mining exhibition.

Featuring the latest in mining innovation www.aimex.com.au

Safety in Action Melbourne Exhibition Centre 15-17 September 2015 www.safetyinaction.net.au/melbourne Australian Sustainability in Business Melbourne Convention & Exhibition Centre 7-8 October 2015 Will look at the core fundamentals for a company’s sustainable future and how sustainable innovation improve their profitability and social responsibility while reducing their impact on the environment. www.australiansustainability.com.au Australian Construction Equipment Expo Melbourne Showgrounds 12-14 November 2015 Includes the latest equipment, products and innovations in the construction industry.

Includes exhibitors from civil engineering and construction, public works, Government, earthmoving and demolition. http://aceexpo.com.au Motorclassica 2015 Melbourne 23-25 October 2015 Australia’s premier event for rare and exotic, historic, vintage veteran classic and collectible cars & motorcycles. Celebration marques include 50 years for the Supercar, Dino, Shelby and Mustang; 70 years of MV Agusta and 50 years of the Bugatti Club Australia. www.motorclassica.com.au Queensland Gas Conference & Exhibition Brisbane 24-25 November 2015 Dedicated to the latest developments and issues surrounding Coal Seam Gas (CSG) and Liquefied Natural Gas (LNG) in Queensland.

Advertiser Index Iscar 9 Alfex CNC 15 Lincoln Electric 61 Amada Oceania 82-83 LMC Laser 35 AMTIL AMT 49, 10 LS Starrett 43 AMTIL Membership 79 Machinery Forum 73 AMTIL ManufactureLink 77 maxon motor 63 Applied Machinery 17 MTI Qualos 21, 41 Complete Machine Tools 33 OSG Asia Pty Ltd 4-5 Compressed Air Australia 19 Scan Xpress 57 Delahenty Machinery 61 Seco Tools 7 ECI Solutions front cover SEW Eurodirve 84 Efic 13 Taegutec Australia 2-3 Flecknoe 63 Tasman 3D Printers 59 Hardman Brothers 8 Techni Waterjet 25 Hare & Forbes 23 Technical Forgings 65 Industrial Laser 31 Walter AG Singapore 11 Industrial Laser Impact Card 66-67

MotorClassica

Rises in LNG exports of 8% pa for the last five years, predicted revenue for the CSG industry to grow 148% in 2015 and Qld holding over 92% of Australia’s CSG reserves, provide a perfect basis for personnel from the gas sector learn and share better production strategies. www.queenslandgasconference.com.au Motorworld Melbourne Melbourne 25-29 November 2015 A comprehensive automotive festival which presents the Australian automotive industry to buyers throughout Australia and Asia. Includes the latest release motor vehicles and motor bikes in motion. Features 23 dedicated feature zones www.motorworldmelbourne.com

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SOFTWARE

ROBOTICS & AUTOMATION WORKHOLDING

AMT JUNE 2015

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The next generation of the cutting edge EM Series turret punch press with high speed automatic tool changer. Utilising power saving electric servo drives, this innovative machine combines high speed production, impressive reliability and numerous cost and process improvements. Additional productivity enhancing features include scratch free processing with a concealed lower turret, ID Tooling system for digital tool control and a range of automated sheet load/unload options.

• Twin high speed electric servo drive punch mechanism • 70% power saving over a conventional hydraulic machine • 179 or 300 station tool storage unit (TSU) holds 2 die clearances for each punch

• Scratch free processing with ZR brush covered lower turret • Multi-Purpose Turret (MPT) with 4 tapping stations • Modular automation options • Highest real world hit rates and ram positioning accuracy • Process 3000 x 1500 sheets without reposition

NEXIII ID Tooling

AC servo direct twin drive

TSU Automatic Tool Changer

Amada Oceania Pty Ltd www.amada.com.au

FEW STEPS TO SUCCESS

“What’s critical in our business is reliability.

Amada machines are the most reliable ones you can get.”

“Our whole manufacturing operation is based on eliminating the number of steps, unnecessary worker motion.

Our new ZRT punching machine has saved us 200 steps in a 6000-step operation; the payback is significant.”

Bob Campbell, owner and founder of Server Racks Australia, Queanbeyan, NSW.

Lean manufacturers focus on eliminating all non-value-adding steps from their manufacturing processes. Examples of such waste include significant amounts of work in process, long setup times and unnecessary worker motion. For Bob Campbell, owner and founder of Queanbeyan (NSW)-based Server Racks Australia – a business unit of Precision Metals Queanbeyan Pty Ltd – it is the latter which is critical to success. “Our whole manufacturing operation is based on eliminating the number of steps,” he says.

“I’m a believer in the Toyota Production System. We manufacture all our server racks and other sheetmetal products individually and just-in-time to guarantee timely delivery.”

Server Racks Australia combines state-ofthe-art CNC machinery with a highly-skilled workforce; and the success speaks for itself.

The business has been growing steadily over the last 30 years and today turns over around $12 million with 51 employees.

“What is critical in our business is reliability,” Bob emphasises. As a result, the company primarily relies on equipment from Amada for manufacturing its server racks components. When asked why he has stayed loyal to that builder since installing the first of its machines many years ago, he cites two factors: reliability and the nearby competent support facility.

Among the many bending, punching, laser cutting, welding and combination

machines from Amada is the recently installed EM-3510 ZRT punching machine.

Alongside the tool turret with 33 stations, the machine possesses a setup turret that can be equipped with tools during machine operation and feeds the tools into the turret as required. The system is able to house up to several hundred tools. As a result, companies can run complex jobs over a period of several days without any manual intervention.

“The automatic tool changer has saved our workers 200 steps to tool a turret,” Bob says. “Saving 200 steps in a 6000-step operation is quite significant in terms of payback and time-to-market.”

Productivity: The EM-3510 ZRT turret punch press is able to machine large sheets without repositioning.

Bob Campbell is especially pleased with the machine’s ability to gang punch large perforated areas with large punch tools.

Automation: The machine features a setup turret that can be equipped with tools during machine operation. Thanks to the innovative tool ID, a barcode-based tool identification, the EM-3510 ZRT is able to access all the available tools and perform its own tool setups automatically. The system reliably identifies the current status of all the tools in terms of size, shape, angle and stroke rate.

Energy efficiency: The EM-3510 ZRT is equipped with a highly efficient servo-electric twin drive with energy recovery. The energy that is released when the ram is decelerated is stored and then re-used for the next movement of the punching machine. This way, the punching machine achieves extremely high stroke rates while simultaneously saving energy.

Sydney 02 8887 1100 Unit 7, 16 Lexington Dr., Bella Vista NSW 2153 Melbourne 03 9020 1400 Unit 1, 3-4 Anzed Court Mulgrave VIC 3170 | Perth | Brisbane

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