NZ Manufacturer June 2014

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June 2014

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BUILDNZ | DESIGNEX CANTERBURY Female-led company gets ready to manufacture locally drikolor® Founding Director, Rachel Lacy, wants to change the way the world colours paint, and she’s well on the way with the company recently completing one of the fastest investment rounds in recent times. In just 18 months drikolor has transformed from a start-up with a disruptive technology, to one that has 10 employees, global partners, and a New Zealand-based commercial manufacturing facility readying to open.

turnover premium paint company, and will be selling Sto paints throughout Australasia.

The latest capital raising has accelerated the company’s growth to help achieve these milestones.

subscribed. Arc Angels has a fantastic network of investors and we obviously hit the right note with them.”

“Paint companies understand drikolor’s potential. The current system of using liquid colourants and a tinting wheel is complex, noisy, messy and unreliable. It also requires capital expenditure, trained staff and large retail space with customers experiencing lengthy waiting times for inevitable mistints. Our solution eliminates these problems, while enabling new channels to enter the decorative paint market, which is worth US$50billion globally.”

It was backed by past investors who reinvested and a member of Arc Angels, a new New Zealand angel investment organisation that mobilises investment in female-managed business.

Arc Angels Executive Director, Alex Mercer, said part of drikolor’s appeal is because it is managed and designed by a woman who has tremendous experience in the paint industry.

Rachel Lacy says drikolor looked to raise $750,000 in this latest round and understands it to be one of the fastest capital raisings in recent times.

“The fact that drikolor a new product with few competitors, and are manufacturing locally with enormous potential offshore, all help make it a compelling business to invest in.”

“We were thrilled when we closed the round after ten days, at 133% over

continued on page 28

The innovative process proprietary to drikolor delivers colour in a dry, granulated form that can be stirred into paint. Rachel Lacy says it’s as simple as stirring sugar into coffee. “By simply changing the form of a product you can completely change the way you can sell it, who you sell it to, and how it’s distributed. It’s a world first that lets new retailers get into the paint business, but best of all, anyone can use it.” Global partners already secured include Les Couleurs Suisse AG, through which drikolor has the exclusive New Zealand and Australian rights to sell colours from the Les Corbusier Colour Range, recognized worldwide by architects as the pinnacle in colour design. The company also attracted the attention of Sto, a billion-euro

Rachel Lacy

continued on page 33

The hassle free apprenticeship service Apprentice Training New Zealand recruits, employs and manages apprentices to train in your business.

0800 526 1800 www.atnz.org.nz


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CONTENTS DEPARTMENTS 5 BUSINESS NEWS

ADVISORS Larry Wiechern

Growth Agenda massive.

Is the Manager of the Maintenance and Reliability Centre, Manukau Institute of Technology.

Commercial hub to create jobs.

6 ANALYSIS 7-8 MANUFACTURING TECHNOLOGY

Video marketing for the Manufacturing Industry.

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High strength aluminium foam for automotive industry. Network Time Machine ensures optimal user experience. Okuma and RoboJob reach agreement.

9-11 MANUFACTURING TECHNOLOGY

Craig Carlyle

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FeatureCAM focuses on ease of use.

Designing for The Internet of Things.

12 CASE STUDY

Catherine Beard

The right tools for the job well worth it.

13-18 BUILDNZ/DESIGNEX CANTERBURY Kitchen solutions from Hafele.

Green material for road pavement. Are we heading into a new building boom?

Is Director of Maintenance Transformations Ltd, an executive member of the Maintenance Engineering Societyand the Event Director of the NationalMaintenance Engineering Conference.

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Is Executive Director of Export NZ and Manufacturing, divisions of Business NZ, NewZealand’s largest business advocacy group, representing businesses of all sizes.

Canterbury construction event takes off. Design for Manufacture.

Brian Willoughby

19-21 THE FUTURE OF MANUFACTURING

Is president of the NZ Manufacturers and Exporters Association and managing director of Contex Engineers and Plinius Audio.

The Factory of the Future.

22-23 PRODUCT NEWS

Lewis Woodward

Filter technology guards against finest pollutants.

Is managing director of Connection Technologies Ltd, Wellington and is passionate about industry supporting NZ based companies, which in turn builds local expertise and knowledge, and provides education and employment for future generations.

Proconect range up to 660 amps.

24 INDUSTRY TRAINING 26 FOOD MANUFACTURING 28 ANALYSIS 29 ENERGY Nelson academy fills the gap.

Hottest new dairy technology designed here.

Complexity and Economic Performance.

Professor John Raine

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Is Head of the School of Engineering and Pro Vice Chancellor – Innovation andEnterprise at the Auckland University of Technology.

Oil well to start again after drilling difficulties.

30 BUSINESS NEWS

Innovators awards now open. Software to cut cost of business mail.

31 REAR VIEW

Brazilian World Cup – déjà vu New Zealand 2011.

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Bruce Goldsworthy

An advocate for NZ manufacturing for 40 years, he was Chief Executive of the Auckland Manufacturers Association for seven years He has been Manager of EMA’s Advocacy and Manufacturing Services, and lately manager for Export New Zealand in the north.

Déjà vu or Real Change?

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NZ Manufacturer June 2014

EDITORIAL

the ELEPHANT

PUBLISHER Media Hawke’s Bay Ltd,1/121 Russell Street North, Hastings, New Zealand 4122.

MANAGING EDITOR Doug Green T: +64 6 870 9029 E: publisher@xtra.co.nz

CONTRIBUTORS Holly Green, Kim Campbell, Suzie McDonald, Jurgen Brand, Alex Flood, Wolfgang Scholz John Walley.

ADVERTISING Doug Green T: + 64 6 870 9029 E: publisher@xtra.co.nz

DESIGN & PRODUCTION Kim Alves, KA Design T: + 64 6 879 5815 E: kim.alves@xtra.co.nz

WEB MASTER Dan Browne E: dan@membrana.co.nz

PUBLISHING SERVICES On-Line Publisher Media Hawke’s Bay Ltd

DIGITAL SUBSCRIPTIONS E: info@nzmanufacturer.co.nz Free of Charge.

MEDIA HAWKES BAY LTD T: +64 6 870 4506 F: +64 6 878 8150 E: mediahb@xtra.co.nz 1/121 Russell Street North, Hastings PO Box 1109, Hastings, NZ NZ Manufacturer ISSN 1179-4992

Vol.5 No. 5 June 2014 Copyright: NZ Manufacturer is copyright and may not be reproduced in whole or in part without the written permission of the publisher. Neither editorial opinions expressed, nor facts stated in the advertisements, are necessarily agreed to by the editor or publisher of NZ Manufacturer and, whilst all efforts are made to ensure accuracy, no responsibility will be taken by the publishers for inaccurate information, or for any consequences of reliance on this information. NZ Manufacturer welcomes your contributions which may not necessarily be used because of the philosophy of the publication.

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in the room Continues to be the exchange rate. Over the years contributors to this publication who talk about the high exchange rate have been advised not to be ‘worry warts’ and just get on with it. Even Finance Minister, Bill English has commented on the exchange rate. Other commentators talk about the country’s reliance on forestry and dairy industries and how they are having to do too much with all other industry categories combined providing less revenue than 2012-2013. We all know this is the case. Manufacturing needs to step up more; but to do this we need to look at where our products – made here – are in demand. Not the researched prototype which is sold out to an overseas company once the initial work has been done.

overseas and what their expertise on projects brings back into the country, financially. Throughout Malaysia, The Philippines and other Southeast Asian countries, our consultants are in demand. They are not making a product to sell overseas, they are exporting their skills. Let’s dig deeper, though. Generate more pictures of why export receipts have stood still since 2009. And what can we do about it. More incentives for manufacturers to pursue new overseas markets, more assistance for manufacturers to visit trade fairs and technology events. Industry visits and new relationships to assist the export drive. Every day is a new day and if you’ve heard it all before freshen up…look for new challenges. Find those new opportunities.

Working more with our trade commissioners overseas and researching the business press are ways of finding opportunities in other countries. If we focus too much on importing then it only works if components brought in complete the order and the finished product goes overseas to the customer. It would be interesting to have figures on New Zealand consultants working

Doug Green


NZ Manufacturer June 2014

The recipe for perpetual ignorance is: Be satisfied with your opinions and content with your knowledge. - Elbert Hubbard

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BUSINESS NEWS

Growth Agenda massive, thorough, committed Folding the previous six documents of the Business Growth Agenda into the one massive document demonstrates the extent of the work going on to develop business, the Employers and Manufacturers Association says. “Refining the Business Growth Agenda into the one document, while largely descriptive, highlights the broad front New Zealand is advancing on,” said EMA’s chief executive Kim Campbell. “It’s a testament to the range and extent of business development actions taking place, and it denounces any idea that we are reliant on producing milk only

for our economic future. “Notably the government’s programmes for skills building are starting to bite, which is apparent through lower unemployment in key areas. “Also the innovation economy is starting to respond to the large number of initiatives at play. “One shortfall is where the agenda insufficiently addresses the supply of new housing. “Also, there is clearly room to lift the pace of general reforms needed in local government, the RMA and especially government procurement practices.”

Commercial hub to create jobs A new commercial centre for North Canterbury – at the heart of Ravenswood Village, a residential community with over 1500 sections – will provide more choice and convenience for residents of Ravenswood, Pegasus, Woodend, Rangiora and Kaiapoi. The 10-hectare development, divided into 44 commercial lots with space for 70 shops and services, is currently in development off State Highway 1. The commercial centre will focus on large-format retail and light industrial premises, including a supermarket, hardware store and a number of other leading retailers, as well as a range of food outlets, and other services. The new centre will also feature a fuel station, with comprehensive onsite facilities and extensive parking, to serve both the local area and commercial and

Commercial & industrial growth

commuter traffic on State Highway 1. Smaller scale retail, including boutique shopping, a restaurant and café will complement the commercial hub. The Ravenswood Retail Centre’s developers, who are also planning the adjacent community development, say the new commercial centre will support and stimulate local growth. Ravenswood Developments Limited general manager Paul Croft says North Canterbury is one of New Zealand’s fastest growing districts, and it needs both jobs and investment to sustain its growth. “A growing population drives economic growth within the district, providing more opportunity to develop businesses and create a wider range of convenient choice for local people.” “This new development will also create more jobs for local people, both during construction and over the

longer term.” Mr Croft says the developers will also invest extensively in the creation of local infrastructure to support the development. “For features like high speed digital networks and other infrastructure, a commercial centre of this scale gives us the opportunity to provide more services to local residents and business owners.” “Upgrading roading will also provide efficient access to the commercial hub from all directions, making it quick and convenient to use, and creating a market for retailers that extends throughout the local region.” “Ultimately, we are aiming to create sustainable, self-sufficient growth for the community, without compromising the surrounding rural character.”

Employment growth

Economic output

Crime rate East Tamaki is the largest industrial precinct in Auckland with 2000 businesses and a growth rate higher than the regional average. getba.org.nz

getba

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Greater East Tamaki Business Association Inc.


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NZ Manufacturer June 2014

A positive attitude may not solve every problem but it makes solving any problem a more pleasant experience.

ANALYSIS

- Grant Fairley

Video marketing for the Manufacturing Industry - Suzie McDonald You may think that web video doesn’t apply to your business. However, with the internet, purchasing behavior of business and consumers has changed and video marketing is a key facet of this trend.

For online purchasing, video replaces the sales person. Video has the benefit of providing all the information that a customer needs but in a far more engaging way than photos and text alone.

Those companies that ignore this trend risk missing out on reaching new clients and also maintaining relationships with existing clients.

Video won’t replace traditional marketing and sales techniques but will definitely enhance them.

Web or online video is currently one of the fastest growing marketing trends. In New Zealand 75% of Kiwis are now watching online video and with the growth of smart phones, and ultrafast broadband, this trend is set to continue. The reason for this is set in human sociology – we love to be told stories and that is what video does well. People are becoming accustomed to watching video online and in many instances now expect to see a video before making purchasing decisions online. Web video isn’t simply the watching of TV programmes online or YouTube videos of cute cats and dancing toddlers. Increasingly both consumers and businesses are making purchasing decisions based on web videos. For some elements of the manufacturing industry, especially in retail sectors, the statistics are powerful. Take for example, Shoeline an online shoe retailer based in the US. In 2009 they decided to add videos to their e-commerce site to help showcase their products. The results? A 44% increase in online sales conversion. In the UK, online fashion retailers such as ASOS are bringing their products to life by investing heavily in interactive video content, a strategy that has coincided with a large boost in sales. The increase in conversions shouldn’t really come as a surprise.

Opinion Manufacturing Profiles Letters to the Editor Politics of Manufacturing Trade Fair World Diary of Events World Market Report Q/A Export News Machine Tools Business Opportunities Commentary As I See It Business News Appointments Around New Zealand Australian Report New to the Market Lean Manufacturing Equipment for Sale Recruitment Environmental Technology Manufacturing Processes

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But what of B2B areas of the manufacturing industry? Product demonstrations, plant or factory tours, and customer testimonials or case studies are great ways to capitalise on the power of videos in the B2B sales cycle. It’s about brand and product awareness, reaching new clients and also maintaining relationships with existing. For inspiration take a look at the YouTube channel for Lincoln Electric. They are a US based welding manufacturer who over the past few years have been investing heavily in their video marketing. Hundreds of videos of varying quality appear on their YouTube channel – everything from case studies to product videos to engineering maintenance videos. Lincoln have been effective in not only using video as a sale and marketing tool but they have also harnessed “how to videos” or “product demo” videos as a key component of their customer service strategy.

via short thought leadership videos. Use videos at conferences and expo’s. Cut down on health and safety and staff training costs by creating interactive videos; video can be far more than just a sales tool. And the best thing is, you need not spend a fortune in the process. In the past few years the costs of video production have reduced significantly. A high quality homepage video can be produced for under $2,000 which makes video marketing much more attractive to businesses. Your existing and future customers spend a lot of time online, and video is one of the best ways to engage with them while there are there. If you don’t, someone else will.

Suzie McDonald is an ex-BBC journalist and the Owner/Creative Director of ClickHD Online Videos – specialists in online video marketing. They produce high quality, affordable web videos for businesses throughout New Zealand. www.clickhd.co.nz

For many businesses the barrier to video marketing lies with the question of how they will use a video and what benefits it will bring. Many businesses simply plonk a video on their website and then forget. Video can be used to draw traffic to your site by improving Google rankings; however the best results are achieved by actively using the video as you would any marketing material. Add videos to your email signature, incorporate them in to newsletters. Add video to your social media sites. Become an expert in your industry

NZ MANUFACTURER • JUNE 2014 Issue • Features

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Preview- FoodTech PackTech Energy The Future of Manufacturing buildnz/designex Canterbury Smart Manufacturing Advertising Booking Deadline – 23 July 2014 Advertising Copy Deadline – 23 July 2014 Editorial Copy Deadline – 23 July 2014 Advertising – For bookings and further information contact: Doug Green, P O Box 1109, Hastings 4156, Hawke’s Bay Email: publisher@xtra.co.nz

Editorial material to be sent to : Doug Green, P O Box 1109, Hastings 4156, Hawke’s Bay Email: publisher@xtra.co.nz Tel: 06 870 9029 Fax: 06 878 8150

At NZ MANUFACTURER our aim is to keep our readers up to date with the latest industry news and manufacturing advances in a tasty paper morsel, ensuring they do not get left behind in the highly competitive and rapidly evolving manufacturing world.


NZ Manufacturer June 2014

Excellence is not a skill. It is an attitude. - Ralph Marston

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MANUFACTURING TECHNOLOGY

High strength cellular aluminium foam for the automotive industry Aluminium foam is used for applications that requires high level of energy and sound absorption characteristics. Researchers have developed an innovative process to make high strength cellular aluminium foam with help from some salt. Aluminium foam exhibits unique properties when compared to its dense form, particularly its lightweight characteristics. Generally, the foam can be divided into two categories; closed cell and open cell, both have different characteristics and applications. The features of the closed cell are, the pores structure is isolated and they are not connected to each other. This type of aluminium foam is suitable for application that requires high level of energy and sound absorption characteristics. It has been used widely in many structural parts, particularly in areas exposed to high damping capacity, for example in the automotive front bumper component. Meanwhile, the open cell, owing to greater level of connectivity of the pores, the structure has been accepted and used in thermal management applications.

One such promising application is as a heat exchanger, particularly as a cooling medium to transfer heat, due to the development of its porous structure, which provides greater surface area, thus, enabling improved heat transfer efficiency. Producing a combined structure of open and closed cell in one volume component appears to be a difficult process due to the different processing techniques involved and their individual limitations. Therefore, in this study, an innovative processing route for high strength cellular aluminium foam (CAF) by integrating porous and dense structures is presented. The CAF is well known as a light-weight product exhibiting high level of inter-connected porosity which is very useful as a thermal management application, particularly as a heat transfer or cooling medium. However, the level of strength for the CAF is not really promising when it is subjected to high impact; thus, limit its potential application, particularly in the automotive industry. Subsequently, an alternative route by integrating dense and porous structure has been investigated. The solid

aluminium at the centre acts as a pillar providing excellent strength for the surrounding foam structure. The product has demonstrated functionally graded properties which is possible for applications that require both properties of heat transfer and high strength. The product was fabricated using infiltration of NaCl space holder combined with central solid aluminium foam. It is well known that NaCl has a greater melting point than that of aluminium. Therefore, when aluminium melts, the liquid fills the interstitial spaces between the NaCl grain. Prior to melting, the NaCl is sieved according to the desired porous structure. The materials (NaCl, central aluminium core and dense Aluminium ingot) are placed in the cylindrical steel mould and heated at temperature range between 670 and 700oC. The NaCl is placed at the bottom mould with aluminium central pillar and bulk Aluminium placed at the top of NaCl

so that after the aluminium turns into liquid, it penetrates along the interstitial spaces between NaCl. Upon solidification, the part is removed from the mould and further machining is carried out to remove surface roughness caused by the solidification process. The part is then leached in an ultrasonic water bath in order to remove the NaCl completely. The final product is the cellular aluminium foam exhibiting excellent interconnected pores structure with dense central pillar. The central solid pillar provides extra strength for the surrounded foam structure. The foams structure produced was examined for its density, porosity and strength by compression test. Thermal conductivity was also carried out to investigate the effect of space holder size and the NaCl fractions on the final properties.

Network Time Machine ensures optimal user experience The Network Time Machine LTE/VoLTE, is a portable LTE troubleshooting appliance that helps wireless carriers resolve network performance issues quickly and cost effectively. This ability is crucial to reducing customer churn, as subscribers who switch wireless carriers increasingly point to poor customer care and inadequate network performance as their reason for leaving.

“While networks have evolved from 3G to 4G/LTE to meet performance demands, network monitoring technologies have not kept pace. Network Time Machine LTE/VoLTE is the first troubleshooting appliance that can deliver the 20Gbps performance required for high-performance wireless networks and—even more important—for creating loyalty among today’s fickle wireless subscribers.”

The Network Time Machine provides extensive network and application visibility, as well as the forensic details necessary to solve signalling or data performance problems in 20 Gbps carrier environments. Using Network Time Machine, carriers can measure and prove network performance, resolve subscriber issues and deliver the best possible consumer experience to meet growing voice, video, and data demands.

According to a recent Ovum survey*, 27 per cent of wireless subscribers who had changed carriers in the previous month cited “low network quality/ speed of the services” as their reason for switching. More than 30 per cent said poor customer care was a key reason.

“The proliferation of affordable smartphones, tablets, and other devices has sparked an ever-increasing popularity of mobile videos, games, and data applications,” said Amit Rao, general manager of the Carrier Wireless Core product line.

While today’s wireless carriers need better and faster ways to resolve the network issues that drive customer complaints, most of their network engineers rely on solutions that lack capture performance or fragile appliances that must be shipped to unmonitored high-traffic LTE port locations. These tools often break and require complex configurations to make them operational.

Network Time Machine is a rugged appliance that solves both problems. It identifies and resolves issues before subscriber frustration and churn concerns grow. The solution’s unique performance bottleneck analysis (PBA) automatically discovers applications and reports performance trending metrics by server, network, and client site. These metrics show where application time is spent and immediately identifies the root cause of customer complaints about performance. Network Time Machine also provides voice and video traffic analysis and playback, enabling carriers to troubleshoot and monitor the entire triple play from a single appliance.

which most cannot, the end-to-end visibility needed to diagnose issues would suffer due to the exorbitant cost of monitoring every link and the lack of granularity needed to identify and fix the root cause. Network Time Machine provides the application and network visibility LTE carriers need more cost-effectively and with more detailed data than other solutions. Network Time Machine for LTE is available in both portable and rackmount platforms.

LTE network deployments have evolved carrier networks to an all-IP environment that encounter a host of new application and data problems, from the backhaul to the core and data centres in the network. Even if current monitoring systems can reach these regions, www.nzmanufacturer.co.nz


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NZ Manufacturer June 2014

MANUFACTURING TECHNOLOGY

All lasting business is built on friendship. – Alfred A. Montapert

Okuma and RoboJob reach agreement Leading precision CNC machining equipment and robotic solutions supplier Okuma Australia has announced an exclusive distribution agreement for Australia and New Zealand with Belgium robotics technology and solution company, ROBOJOB. The agreement followed a networking seminar with representatives from ROBOJOB where this innovative company provided an insight into their world of manufacturing and the pressures that led them to develop their own robotics solutions now being sold throughout Europe. RoboJob CEO, Helmut de Roovere said “In Western Europe we have similarly high labour rates and a large number of small to medium sized job shops. Our own manufacturing experiences led us to pursue all the available days in a year for production and even to extend our operations to a second and third shift. When we analysed our employee structures we found that like most businesses, there are repetitive and creative tasks. “We wanted to take people doing repetitive tasks and give them new creative roles in our operation. This boosted our planning, innovation, output and work satisfaction enormously. The changes we initiated using newly developed RoboJob technology delivered us massive gains in efficiency, productivity and business returns,” he said. The concept developed by RoboJob is based on six key elements such as: • Labour savings • Fast payback • Ease of use and fast set up / changeover times • Extendable operation hours without penalties • Portability from machine to machine potential • Accountable customer support Whilst businesses throughout Australia and New Zealand have the capacities and skills to thrive, add growth and develop markets, continuing increases in the areas of wage rates, superannuation, long service leave, work-cover, payroll tax, annual leave entitlements and personal leave, continue to add pressures at a time when global benchmarks are rapidly re-defining manufacturing costs. With the combined Belgium and Netherlands markets being of a similar size to that of Australia, with similarities also in the size of job shops, www.nzmanufacturer.co.nz

a critical factor in the development of innovative productivity tools by RoboJob was Belgium labour costs in manufacturing which are number three in the world. The great advantage of RoboJob is its complete flexibility and ease of use and setting. They developed their own interactive operator interface screen that only requires the customer to input the main features of the job, a procedure that can be done in a matter of minutes. Robot units are so uniquely compact that machine door access for the operator is always clear for manual intervention and it is also possible to move the unit from machine to machine. As a company specialised in advanced technologies, Okuma Australia has long campaigned for greater overall acceptance of automated systems and, where applicable, the use of quality robotic technology. From Okuma Japan, the company offers integrated,

on-board production gantry robots and in addition Okuma Australia offers tailor made stand-alone (floor) robotic solutions. The collaboration with RoboJob extends the Australian and New Zealand offering to provide an extended range with even more flexible cost effective solutions for its customers. Having designed equipment to meet the needs of their own precision machine shop when nothing was available off the shelf, the result of this internal development by RoboJob is compact, high quality and industrially durable automation robotics with minimum components that are simple to use, flexible and low cost. Two product groups, ‘RoboJob Turn-Assist’ and ‘RoboJob Mill-Assist’ are available principally with the same DNA but tailored to suit parts that are either turned or milled. A key element of each is the interactive controller whereby basic dimensions are asked for and input by the operator, allowing quick set-up or changeovers to occur

making important short batch work very much more viable. The portability of this equipment between machines is also a major advantage. Once set-up, ‘after hours’ performance monitoring can be added via the internet or simply by phone for alarms or completion signals. The implementation of a RoboJob system is designed to fundamentally reduce salary costs for machining and significantly increase the number of spindle hours with substantially less working hours. CNC operators can focus on creative tasks such as quality control or programming the next machine instead of spending up to 60% of their time manually loading and unloading CNC machines. Okuma Australia’s experience in robotic automated cells has been extensive throughout Australia and New Zealand with technicians trained to support the industry with advanced, flexible and cost effective RoboJob technology.


NZ Manufacturer June 2014

A satisfied customer is the best business strategy of all. – Michael Leboeuf

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MANUFACTURING TECHNOLOGY

FeatureCAM feature-based CAM focuses on ease of use The 2014 R3 release of Delcam’s FeatureCAM feature-based CAM system includes a range of enhancements to make the software even easier to use, so allowing customers to produce programs for all types of machine tool more quickly and, therefore, to deliver high-quality parts in shorter lead times.

plane, line or axis in which to mirror.

FeatureCAM was the world’s first feature-based programming software when it was launched in 1995. Constant development since then has ensured that the system has retained its leadership in programming speed and ease of use, while an increased range of strategies has been added to provide more efficient toolpaths that give greater productivity on a wider range of machinery, including mill-turn machines, five-axis mills and wire EDM equipment.

Another change allows the picking of the bottom radius of solid faces through curvature analysis. This greatly improves interactive feature recognition by removing the need to take measurements of the part to identify the bottom radius.

The first productivity-enhancing option in FeatureCAM 2014 R3 is a new command that allows entire parts or projects to be mirrored more easily than before. The option supports parts to be milled with multiple set-ups, including 2.5D, 3D and 3+2-axis configurations. Both ‘Move’ and ‘Copy’ options are available to reflect all the features within the part or project relative to a choice of a particular

Continuous enhancements have been made to the FeatureCAM user interface to improve ease of use. One simple improvement in the new release makes tool windows respond to the machine choice. Tools now appear in the window in an orientation that matches how the tool will be used on the machine, eliminating any mental disconnect when selecting the desired tools for particular operations.

FeatureCAM 2014 R3 sees the introduction of a new hole type, ‘Thread Mill Hole’, which eliminates the need to create holes, pockets or sides, and thread features as separate items. It can be used either with holes created with the ‘Hole’ feature or those that have been identified with ‘Feature Recognition’. A range of preset threads for standard depths of drilling and thread depths can be applied or users can customise their own thread combinations. FeatureCAM 2014 R3 gives more control when creating z-level roughing toolpaths, with a new option to establish pre-drill locations for the

Entire parts or projects can be mirrored more easily than before in FeatureCAM 2014 R3

toolpath. This can be done through the use of single-point positions or curve-point positions to define the plunge locations. Although FeatureCAM comes with extensive automation built in, it also comes with Addins, such as the ‘Port Cavity’ Addin, that users can customise for any repetitive operations. A new version of this Addin, integrated with FeatureCAM’s ‘Part Library’ functionality, has been developed for the new release to provide more flexibility and to make it easier for programmers to define their manufacturing processes. The user can now create a template feature set for each port, using regular drilling features, and then configures

the recognition to copy toolpaths for this feature set from the part library when a similar feature set is recognised. The availability of a wide range of post-processors has always been a key benefit of FeatureCAM, together with the ability for users to customise their posts. In FeatureCAM 2014 R3, post variables can be assigned user-defined names. This allows users to see quickly exactly which post variables are configured for use with a particular post-processor and to understand their intended use. This change will be particularly valuable when programmers need to understand customisations in posts that have been made by other users.

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Designing for the internet of things

NZ Manufacturer June 2014

MANUFACTURING TECHNOLOGY Emerging devices are making the Internet more useful and exciting, but at the same time, these devices are also making the internet more complicated. From livefeed traffic cams to fitness trackers to smart watches, the family of Internet-based devices is growing more Emerging devices are and making diverse every day, integrating obscure gadgets DESIGNING FOR THE the Internet useful that go farmore beyond theand computers and servers that the INDIVIDUAL exciting, but at the same While the Internet might have been Internet was initially built for. developed as a government network, time, these devices are also Refining the design and integration of these devices it is really the Individual whowill made it a making the internet more prove to be one of the primary versatile technical the toolchallenges for work and of play. When complicated. From live-feed you are designing an Internet-based next 10 to 15 years. But if we do it right and don’t lose traffic cams to fitness trackers device for the Individual, it is sight of watches, our goals,the thefamily Internet will continue to be the single to smart imperative to capitalize on his or her development that makes this the most dynamic ofbiggest Internet-based devices is creativity: time to be alive in the history of mankind. growing more diverse every • Create objects that are compatible day, integrating obscure with a broad range of lifestyles and It is and estimated that by the year 2020, somewhere technical aptitudes. gadgets go 100 far beyond betweenthat 50 and billion devices will be connected to the computers and servers • Don’t used add features that you think the “Internet of Things”—the phrase to collectively some people might use, or might that the Internet was initially describe all of the noncomputer devices actively linked learn to use in time. built for. to the Internet. In order to maximize this potential, we

DESIGNING FOR THE INTERNET OF THINGS

• Ifease you’re because youofwant Refining thetake designitand integration of to need to upon ourselves thetorn introduction to add a feature that you know these devices will prove bedigital one of infrastructure. For a these devices into to the designer, is complicated, leave it on the • do not overwhelm the user with a the primary technical challenges of the the most important way to ensure that youfor area doing your part islisttoofconstantly remind things that you think are good back burner future iteration, next 10 to 15 years. But if we do it right yourself who you are designing for: the Individual, the Business, or the System (government for him or her. optional downloadable content, or and don’t lose sight of our goals, the a future “deluxe” model. agencies). With that, there are three overarching rules to remember: Internet will continue to be the single Your device will be more successful if biggest development that makes this Any first release model needs to be it has fewer features than if it has too 1. All Internet users are dedicated to saving or generating money by increasing their the most dynamic time to be alive in basic so that the Individual can master many, because the Individual will know access to information. Strive to create devices that do this while saving the user time in the history of mankind. it quickly and know that he or she is in what he or she is getting and what he convenient ways. It is estimated that by the year 2020, complete control. Few people want or or she will need to learn at the time need 100 percent control of any given of purchase. Remember, it is not the somewhere between 50 and 100 of 2. Identify the specifi c needs the Individual, Business, and System individually, and billion devices will be connected to device, but they do want the ability to Individual’s job to learn how to use a anticipate their evolving needs in the future. Ask yourself this question: where do the the “Internet of Things”—the phrase change proprietary settings and close device, and he or she will stop using it needs of these groups intersect currently, and where will they diverge or intersect in used to collectively describe all of the unnecessary programs. The Individual (or refrain from buying it altogether) the future? noncomputer devices actively linked is more comfortable with technology if he or she thinks the learning curve is to the Internet. In order to maximize when he or she knows what a device too steep. To help make your device a 3. Devise ways to isolate the specific interests of the target group that you are designing this potential, we need to take it upon is doing and has control over it. To this success, consider these factors: for.toPrioritize interests ofend, that group over the pressuring interests of other groups. ourselves ease thethe introduction • Design logical devices that are easy of these devices into the digital infrastructure. For a designer, the most important way to ensure that you are doing your part is to constantly remind yourself who you are designing for: the Individual, the Business, or the System (government agencies). With that, there are three overarching rules to remember:

• design devices that offer a clean slate of content so that the Individual can be creative and make it his or her own; • start simple and give the user the ability to customize a device in a way that conforms to his or her unique lifestyle;

do this while savingaptitudes. the user ad range ofthat lifestyles and technical time in convenient ways. le might use, or might learn to use in time. 2 Identify the specific needs of the ure that you know is complicated, leave it Individual, Business, and System onal downloadable content, a future their individually, and oranticipate

DESIGNING FOR THE BUSINESS

evolving needs in the future. Ask yourself question: where t the Individual canthis master it quickly anddo the needs of these groups intersect people want or need 100 percent control currently, and where will they y to change proprietary settings and close diverge or intersect in the future?

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gs that you think are good for him or her.

er features than if it has too many, because

• The Individual must see the device as an upgrade over something already owned, or improvement to his or her quality of life without adding any hassle. The value add must be real and marketable. • The device must be compatible with the most disparate set of networked devices possible. If the device is too proprietary and doesn’t work well with others in an ecosystem, it’s likely to gain a bad reputation quickly.

1 All Internet users are dedicated as a government network, it is really the to saving or generating money and play. When you are designing an by increasing their access to perative to information. capitalize on his or her creativity: Strive to create devices

omfortable with technology when he or she Devise ver it. To 3this end,ways to isolate the specific interests of the target group that ent so that you the are Individual can be creative and designing for. Prioritize the interests of that group over the pressuring of conforms other groups. ustomize a device in ainterests way that to

to operate and demonstrate very obvious potential for reward.

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When designing an Internet-based device intended to be used by a Business, you need to maintain a business mindset and prioritize efficiency as the main benefit. Remember that the Business makes money when it does two things: meets its sales targets, and manages clients and employees effectively. As a product designer, you want to focus on the latter. If you can create a product

that helps a company manage people, you are also helping that company make sales; it doesn’t necessarily work the other way around. Imagine that you are designing a barcode scanner for logging product inventory. To do the job properly, you will need to weigh out your critical variables for your design so that your product will make the business more efficient from the inside out. Ask yourself questions like these: Is ease of use more important than security protocol? A small business shouldn’t have to sacrifice speed and battery life because your wireless scanner uses a government-strength security protocol (because you wanted to be able to market your product to the largest possible buyer group of businesses). Will it ultimately be worth training people to use the device, or should it have fewer features and be intuitive to use out of the box? In certain cases, training employees to use a new technology is a worthy investment—if the features will save time and money in the long run. But ask yourself: will this technology be outdated by the time employees are fully competent in using it, and how much will the company have to lose while adapting to the device? A smart strategy for designing any product for the Business is to create a clear set of goals based upon those of the companies that you are marketing to, and design your product accordingly. One approach is to ask for a copy of a business model from a company that would consider buying your product—this will help you to tailor your design strategy to


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NZ Manufacturer June 2014

MANUFACTURING TECHNOLOGY target your corporate buyer’s needs. Having knowledge of the internal departments and external stakeholders that will need to deal with data sent and received from your device can help you decide which design variables are most important. When trying to gauge the importance of your design priorities, consider the following:

DESIGNING FOR THE SYSTEM

and contraction in a bridge would be a very deliberate task, and probably one that would be assigned to a designer on a commission-based agreement. If you were to take on this job, it would not be like designing for the Business or the Individual, where the appeal (and sometimes the novelty factor) of a design can sell the product. The product has already been sold and it is simply your job to make it work.

Designing Internet-based devices for the government has less to do with the allure of the Internet, and more to do with the immediate capabilities of devices that happen to use it. The System • Devise a simple set of core design has no interest in principles that are faithful to the enabling remote goals of the Business itself. If your climate control device complements the mission of in military tanks the Business, then it will be valuable. if an army cadet • Remember that the Business thrives tweets “#Hot” desert on obtaining a maximum amount during training. The of information from the Individual System’s major and its employees, and it generally Whether you are suffers when divulging information interests are clear designing for to the System. Your product should and utilitarian: space agencies the protect the interest of the Business protect or transportation I n d i v i d u a l, and help it manage information, Whether you are designing for space agencies or transportation departments, chances d e p a r t m are ents, the without releasing information to oversee . chances are that that you’reand working according Business, to predetermined specifications with very exact intentions. and competitors prying eyes. invent ways to like this designers who can take a list of restricting factors and useyou’re them working as • Jobs Aiming for require longevity and according to earn profit. If you hints to point toward a solution—essentially, designers who are brought in to bridge the gap upgradability are priorities— predetermined specifi cations with are designing for the System, then you planned obsolescence is never of a engineering and the real world. Ifvery between the hard science youexact are designing for like the this intentions. Jobs must remember that you are working good thing, especially in bulk sales require designers who can take a list of System, then you must be thattobridge consider the following: solve a and challenge; it is need-based situations. restricting factors and use them as hints design that probably won’t make your • Designing Internet-based devices for the System is about stating your credentials and to point toward a solution—essentially, • Every variable in compatibility adds brand a household name. capabilities, and complexity living up to the challenge presented to you. designers Your future product is who are broughtpitch in to bridge another layer to the The System strives to operate at the the gap between the hard science of of devices coordinating within the how well you prove yourself onofyour first assignment. top the food chain, so designing engineering and the real world. If you Internet of Things. Remember that Internet-based devicesfor foryour it generally • Ifcompatibility the product you design is not perfect government buyer,forthere is no then you are designing the System, poor addsthat time. Every grants less creative freedom due must be that bridge and second counts to the sympathy forBusiness. you as the designer. It is a pass/fail exam, and if your design looks consider better the to a well-defined set of goals. following: than it functions, you won’tStrong get hired again. designers can spin this to their advantage—remember that • Designing Internet-based devices The creativity that you inject into your project will be most appreciated withis regard to your for the System about stating sometimes having fewer variables and how it is applied to the efficiency of mission the device. From the lifespan of the capacitors to theand credentials and capabilities, a clear can allow you to make living up to the challenge degradation of the chipsets anda profound the practicality ofa the software coding, your missionpresented is impact with unique and to you. Your future product pitch is unconventional solution. current If you can to maximize the potential for your device vis-à-vis government-standard Internet how well you prove yourself on your thinkprobably outside of be the replaced—not box and conceive updated. If you can use specs. When it is outdated, it will fi rst assignment. a profound solution after having

It is estimated that by the year 2020, somewhere between

50 and 100 million devices will be connected to the “Internet of Things”

functions, you won’t get hired again. The creativity that you inject into your project will be most appreciated with regard to how it is applied to the effi ciency of the device. From the lifespan of the capacitors to the degradation of the chipsets and the practicality of the software coding, your mission is to maximize the potential for your device vis-à-vis current government-standard Internet specs. When it is outdated, it will probably be replaced—not updated. If you can use foresight to fi gure out a way to design your product for future updates without making sacrifi ces to its functionality in the present, you win. The best approach that you can take is to ask all questions up front and make no assumptions, prioritize the details logically, and apply design intuition accordingly.

appreciated gesture.

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foresight to figure out a way tostarted design your product for future updates without making with the odds against you, you • If the product that you design is not sacrifices to its functionality inhave the turned present, you win. a thankless task into an perfect for your government buyer,

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thereand is no make sympathy The best approach that you can take is to ask all questions up front nofor you as the designer. It is a pass/fail exam, and Designing something like a network assumptions, prioritize the details logically, and apply design intuition accordingly.

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NZ Manufacturer June 2014

CASE STUDY

A business absolutely devoted to service will have only one worry about profits. They will be embarrassingly large. – Henry Ford

The right tools for the job well worth it Bayer New Zealand’s Animal Health Division manufactures a wide range of veterinary products at its Manukau site. Around 130 employees work in the division, with 60 directly involved in the manufacturing process as machine operators, filling operators and in warehouse roles. Operators need to follow stringent and complex procedures that require a high degree of precision. Through it’s the right tools programme, the company has a strong learning and development focus and wants to ensure that employees have the right skills to do a great job and to continuously improve. Bayer’s manufacturing roles typically involve lots of counting and measuring minute quantities of ingredients, which then need to be added in the correct order. Manufacturing and warehousing employees are also required to complete a wide variety of paperwork and provide accurate written and verbal information. Doing this well requires employees at all levels to have strong levels of literacy, numeracy and communication skills and an in-depth understanding about the procedures, in what order they should be carried out, and why they are important. Many people work in sterile rooms, so maintaining hygiene standards and following correct procedures are vital to achieve high quality finished products.

Most people’s roles involve working near production line machinery and handling chemicals so excellent health and safety practice is also important. Most people’s roles involve working near production line machinery and handling chemicals so excellent health and safety practice is also important. Although employees were generally doing their jobs to a satisfactory level, managers saw opportunities for improvement. In particular there was a low level of employee participation in meetings and an unwillingness to speak up. There were also communication breakdowns when giving instructions and at shift handovers. Employees were offered the opportunity to participate in a governwww.nzmanufacturer.co.nz

ment-subsidised Workbase literacy, language and numeracy training programme that was run in their workplace. The training programme was tailored to include the skills individual employees needed for their jobs and to also reflect Bayer’s the right tools programme. This meant that employees could apply what they learnt directly to their work and they could see immediate personal improvements and build on those. So many people asked to attend the training course that a second one was offered, and is currently under way. Twenty-four people attended the first course, which ran during work time for 40 hours over a nine-month period. Senior Human Resources Advisor Amanda Wells says the programme was hugely successful and very positively received: “Employees got a lot from it and always made the effort to attend.” In addition, Bayer asked Workbase to work with employees to review and rewrite a number of written procedures to make them easier to read and understand. Amanda says both Bayer and the course participants experienced the following benefits from the programme: • Improved communication during shift-handovers reduced misunderstandings and mistakes. • Employees became more confident, active and constructive in their communication, which enabled them to better contribute to making ongoing improvements within the business. • Increased participation in team meetings provided richer and more contextualised information and also meant employees were better able to meet requests made of them. • Increased employee satisfaction contributed to a more positive workplace culture. • Improved employee ability to understand and describe operational matters resulted in increased compliance with policies and procedures, and less rework and wastage. • Increased accuracy during stocktaking resulted in more effective and efficient stock management. Employees who completed the literacy, language and communication programme are happier and more fulfilled in their jobs because they better understand what is being asked of them, and have the confidence to

question and clarify if they are unsure about anything. Many participants have also reported that their enhanced skills have led to improved communication with their partners, and an increased ability to assist their children with schoolwork. Bayer believes the more clearly written documentation and improved employee skills have resulted in significant health and safety improvements. Accident and near miss reporting have improved significantly and employees are far more pro-active in bringing potential hazards to their manager’s attention – including ones that had been noticed for years without being reported until now. Bayer’s Operations Manager Terry Campbell was pleased about the courses because he believes that good communication, literacy and numeracy are paramount to an organisation’s success. He suspected that some employees needed literacy and communication skills help but he did not realise how much this affected how they did their jobs until after they had done the course. After the course team members are more confident and more engaged in their work because they better understand what is being asked of them and now clarify what they don’t understand, and bring potential issues and hazards to management’s attention. “People never used to speak up, now they actively participate in meetings,” he says. Terry says there have improvements in all aspects of the team’s work with fewer mistakes, less rework and far better attention to detail.

asked whether they had understood something in a training session, but later it would be apparent that they did not understand.” Terry says that people on his team have told him that their improved literacy, numeracy and communication skills have helped in other parts of their lives, such as using information sources at the local library and the Internet for the first time. “It has opened their eyes to these things”. He notes that companies also have an important role to play, and that there needs to be a two-pronged approach to literacy and communication improvements. “It’s not just about individuals improving their skills. We realised that many of our written instructions and policies were difficult to follow, and were written by consultants and managers, and pitched at that level.” Bayer is now rewriting standard operating procedures, and health and safety documentation to ensure that they contain the necessary information without being too complicated. “For example, there’s no point having long and complex fire evacuation procedures pinned on the wall if nobody reads them or knows what they mean,” he says. Workbase is a not for profit trust with more than 20 years’ experience in developing adult literacy skills and helping organisations to work smarter and safer.

been

“The accident and near miss rates have dropped because people are more confident to tell managers about a potential hazard and to complete hazard reports. “We have also noticed that people get more out of training courses that they attend because they now have the skills to ask if they don’t understand something. Previously people would nod if

Bayer’s Operations Manager Terry Campbell.


NZ Manufacturer June 2014

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BUILDNZ | DESIGNEX CANTERBURY Kitchen Small, space tight? Look at this solution from Häfele!

It’s easier and more efficient to work in a workshop that’s neat and tidy. The same applies to kitchens and especially if space is tight. When every ingredient and implement has its firm place ready to hand, you’ll be able to whip up a recipe in next to no time. But how best to store a bulky chopping board or odd-shaped ladles and spoons, what about those perilously sharp knives? And those bottles of oil and vinegar, some tall some short? The cookingAGENT is a Kesseböhmer storage solution that packs maximum functionality into a compact full-extension pull-out that fits into a narrow base unit. It’s thoughtful, space saving and you can put your hand on everything quickly and easily.

CLEVER STORAGE.

Clever storage considers convenience for today‘s multi-use kitchens as much as it considers capacity. From the elegance and functionality of LeMans to the space-saving style of Tandem, Kesseböhmer turns ordinary cabinets into extraordinary kitchens. Truly innovative designs with non-slip surfaces, transparent storage and smooth handling that deliver a level of simplicity that is naturally easy to use and enjoy. Everything in its place. Everything within reach.

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NZ Manufacturer June 2014

BUILDNZ | DESIGNEX CANTERBURY Green material for road pavement With the dwindling supply of new resources and spiraling cost of materials, the use of Reclaimed Asphalt Pavement (RAP),a recycled material obtained from deteriorated roads is a suitable way to conserve non-renewable resources that is aggregates and bitumen used for asphalt mixes. Most road authorities allow the incorporation of not more than 30% of RAP in hot mix asphalt to avoid any detrimental effects on the mix properties. The increase in asphalt materials prices encouraged the road construction industry to strive for the use of higher percentages of RAP to reduce the cost of road projects. A higher addition of RAP should enhance the value of the recycled pavements and have the potential for reducing the quantity of waste materials. However, the use of RAP in HMA still requires mixing and compaction temperatures similar to the conventional HMA.

The use of Reclaimed Asphalt Pavement (RAP) a recycled material obtained from deteriorated roads is a suitable way to conserve non-renewable resources – aggregates and bitumen used for asphalt mixes. The scarcity of resources especially in the energy sector (eg. oil sector) and the shortage of new supplies of natural materials have affected the road building industry. There is a need for a reduction in temperature in the production of hot mix asphalt (HMA) to conserve energy and the need to conserve scarce resources such as virgin aggregates to produce HMA.

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The chemical composition of sasobit can be described as fine crystalline materials in long -chain hydrocarbons, composed from 40 to 115 carbon atoms. The melting point of sasobit is about 100 degree celcius and it is completely dissolved in bitumen at temperature above 115 degree Celsius. Mixing temperature for WMA is reduces to a range of about 115 to 135 degree Celsius, which is substantially lower than the mixing temperature of 150 to 160 degree Celsius used for conventional hot mix asphalt.

Therefore, there are enormous benefits of incorporating high percentages of RAP in WMA mixes Therefore, there are enormous benefits of incorporating high percentages of RAP in WMA mixes, namely the reduction of energy to produce HMA and conservation of non-renewable resources (aggregates and bitumen) used for asphalt mixes.

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This research investigated and compared the performance of WMA containing 30%, 40% and 50% of RAP by weight of the mix with the conventional asphaltic concrete. The performance of the mixes was compared by measuring the stiffness value, moisture susceptibility and rutting depth.

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Recent advances in technology has allowed the temperature for mixing and compaction of asphaltic concrete mixes to be lowered compared to the mixing and compaction temperatures for conventional hot mix asphalt. Warm Mix Asphalt (WMA) allows a reduction in the mixing and compaction temperatures by using additives such as sasobit, which is a paraffin wax derived from coal gasification process.

17/06/2014 4:18:17 p.m.

It was found that the warm mix asphalt using sasobit-additive and containing high percentage of RAP could produce mix with similar performance to the conventional HMA mix and complied to all Public Work Department of Malaysia’s specification requirement. This shows that WMA added with up to 50% RAP has the potential to save production costs in terms of lower energy requirements and also savings in terms of raw materials used (due to high amount of recycled material added in the mix), without compromising the performance of the mix as it adheres to all requirements and specifications. This study/invention received a Gold award in the Invention Innovation and Design Exposition 2014 UiTM Shah Alam.


NZ Manufacturer June 2014

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BUILDNZ | DESIGNEX CANTERBURY

Are we heading into a new building boom? The Canterbury rebuild and a rebound in the Auckland housing sector is expected to help drive the building sector to a new peak by year ending March 2016, says leading industry analyst and economic forecaster, BIS Shrapnel. According to the company’s Building and Construction in New Zealand 2014-2019 report, also contributing to the increase in activity level is remediation work on leaky homes and schools as well as earthquake-risk buildings. Total building (residential and non-residential) authorisation value over the next five years to 2019 is forecast to reach a new record high in 2016 to more than NZ$10 billion in constant terms. This level of activity would exceed the historically high levels recorded over the boom period of 2004-2008. “We expect Auckland to experience strong growth in residential construction over most of the next five years,” said report author and BIS Shrapnel senior project manager, Adeline Wong. “The number of dwelling consents in Auckland is expected to increase from 4,760 in 2012/13 to an estimated 6,350 in 2013/14 and then to around 10,000 by 2017/18.

housing sector may thus present an upside over the forecast period – which is in line with Auckland’s Unitary Plan that calls for up to 70 per cent of new dwellings to be built within the current city boundary.” Over the next five years, BIS Shrapnel expects the New Zealand housing market to be underpinned by reasonably strong net overseas immigration and mostly favourable economic growth. Dwelling activity over the outlook period will also be boosted by strong activity in alterations and additions to dwellings, and this will drive total dwelling authorisation value to record highs – resulting in an annual average of NZ$5.85 billion in constant terms. While Christchurch reconstruction will provide a major boost to the non-residential building sector over the next five years, BIS Shrapnel also expects a pick-up in new building and refurbishment activity in the warehouse, factory and office building sectors in the North Island as leasing activity gathers pace in response to domestic and global economic growth over the next 2-3 years.

Wong said building activity should be supported by a number of factors.

Annual average commercial and industrial building authorisations are forecast to reach an estimated NZ$2.39 billion in constant terms – or 14 per cent higher than the level during the 2004-2008 boom years.

“Relatively low levels of new residential building in recent years have left a housing shortage, although 2013 Census data indicates this may be less than previously thought,” said Wong. “Population growth including through immigration, firm economic growth, and relatively low – but rising – interest rates should also support the demand for residential dwellings.

“The non-residential building sector over the next five years may get an extra lift from potentially wider earthquake strengthening work in office buildings and schools in Wellington in particular,” said Wong. “However, there is also a downside risk to our forecasts in that the timing and scale of Christchurch reconstruction, and also seismic work in Wellington ,may not be as expected.

“Auckland’s high house prices are likely to drive first home buyers to settle for cheaper apartment prices in high density living in the inner city. The high density

“Some owners of quake-damaged and earthquake-risk properties may not commit to redevelopment in the short term, which would impact the overall outlook.” www.nzmanufacturer.co.nz


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NZ Manufacturer June 2014

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BUILDNZ | DESIGNEX CANTERBURY Canterbury construction event takes off This year sees Canterbury achieve another first when New Zealand’s largest building and design exhibition, buildnz | designex, comes to Christchurch. It’s already fully booked and ready to give Canterbury and South Island building and design professionals a grand trade-only spectacle over three days, 31st July – 2nd August. Modelled on the highly successful award winning Auckland buildnz | designex, the Canterbury event benefits from 20 years of input into the industry. This has resulted in more than 145 key suppliers from across the design, construction and build sectors coming together under 2600 square metres of floor space at Christchurch’s CBS Arena. Researching the latest products and technology, and hearing from industry leaders across free seminars spanning the 3 days, will attract the industry’s most highly recognised professionals, as will anyone determined to stay ahead of the pack. The value of Canterbury buildnz | designex is obvious when you consider that industry heavyweight contributors include CBANZ, BRANZ, MBIE, NASH, ADNZ, NZIA, Lifemark, Homestar, Christchurch City Council, and RMBF. “Canterbury buildnz | designex is a great initiative,” says Certified Builders Association Chief Executive, Grant Florence. “We found the 2013 Auckland event very valuable and one

that made us look very closely at being a proactive supporter for the Christchurch event, which we are.” Chris Kay from NZ Steel says, “Nothing beats the opportunity for face to face interaction at buildnz | designex exhibitions. That’s why New Zealand Steel, in conjunction with the National Association of Steel-Framed Housing (NASH), exhibited at the 2013 show in Auckland and have booked stand space for the Christchurch event. Through these shows we meet existing and prospective builders of steel-framed houses, answer technical questions and distribute the latest technical information to support the use of steel framing. The 2013 show also provided a number of opportunities to establish training opportunities through the polytechnics which are being followed up by NASH.” Canterbury has immense importance to New Zealand’s economy, and in particular the construction, build and design sectors. The impact of the tragic earthquakes has seen huge growth in demand, with an estimated $30 billion expenditure in the rebuild alone, much of that in the next two years. It is important that those involved in the rebuild have access to the latest industry technology and information. Canterbury buildnz | designex will give trade visitors the opportunity for direct dialogue with key industry suppliers, ensuring that not only are they up-to-date with the industry developments

but they can also negotiate great deals and take advantage of the many show-only specials. This must attend event includes a busy educational and development seminar program across the three days and available free of charge to all attendees. One of the highlights will be a session with award winning architect Nat Cheshire of Cheshire Architects who’s inspiring vision for creative design is not to be missed. The show organiser, XPO Exhibitions, has scheduled an extensive visitor marketing campaign to ensure the message gets to the industry with a strong presence online and in radio, press, bill boards, and topical media publications. Please visit the web site www.canterburybuildnz. co.nz for more information and to pre-register to visit this trade-only exhibition.

www.nzmanufacturer.co.nz


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NZ Manufacturer June 2014

BUILDNZ | DESIGNEX CANTERBURY Design for Manufacture - Jurgen Brand, Designbrand Ltd When receiving the suggestion to write this article I had to make a choice of the right ‘angle of attack’, just as designers’ need to ask the first question to define the way we embark on the product development path.

However, this is only the very front end of a design development. There are many aspects which will influence a product’s appearance, its user experience, functionality or manufacturing process.

Usually we would ask WHO we are designing for – who, as in the user, because that is ultimately what defines the product in almost all its user attributes. A product will rarely develop in the way one first expects and the WHO of our first question needs to be differentiated further.

Anything, from the 50-year-old punch press to the latest in sophisticated computer driven manufacturing automation can be found across the industry.

For example, if you are designing a sleep solution for babies, is it the baby or the parents you are designing for? If you are getting the product right for the baby, you would inevitably win over the parent, yet the emotive quality of the product has got to address the parent first – it is them who make the purchase decision. The design process will constantly enable you to question the design criteria, make changes and even arrange a shift in focus, if the knowledge gained through the design research/investigation justifies this shift. Every project runs through a series of questions before conceptual design starts in earnest. Some projects are far more complex than others. Other products have a set of users and their different objectives have to be considered. So far I have only mentioned the ‘actual’ user. Imagine the case of a care-giver assisted off-road wheelchair for the mobility impaired! The design criteria for the care-giver are vastly different from the criteria of the passenger.

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Within the New Zealand manufacturing sector one will find a great variety of technologies and processes.

Someone will make the product we design and it has to be suitable for their plant. When we take the approach of ‘best practice’ in selecting the right processes for the manufacture of our product, we might achieve all its sophistication and inherent qualities only by using materials and processes which cannot be found locally.

Therefore it is up to the designer to set up all the aspects of a successful product by being able to design for manufacture – in our case manufacture in New Zealand. We cannot afford to involve ourselves too much in the business case of a new development. It is impossible

for designers to have the same conviction as the person/s who own the idea. If we are designing for an inventor or entrepreneur, the design for manufacture becomes secondary as long as we can suit the available budget and achieve the product attributes defined by the design intend of the concept. However, if we are designing for a manufacturer it would be futile to develop a product depending on processes this manufacturer has to ‘buy in’, requiring higher manufacturing costs or investment into new technology and generating smaller margins. Without becoming too ‘wordy’ with my spiel, I would like to emphasise the responsibility designers carry for the NZ manufacturers. We should be seen as enablers, as professionals with a set of skills to enable innovative development of new products within the constraints of the existing manufacturing industry. At the same time one should expect a manufacturer to show the willingness to expand their horizons by supplementing their existing processes with new ones. Over the years I have spoken to many manufacturers to make a case for design and innovation. Often I have seen stagnation, justified by difficult markets, the Chinese Manufacturing Threat or the excuse of insufficient capacity. While protecting client confidentiality, I am at liberty to compare manufacturers with one another. One manufacturer rejects design innovation, invests heavily into better machines in a declining market

to find these machines sitting idle because they get beaten by cheaper cost from overseas, whereas another manufacturer embraces design innovation and has the existing machines work at full capacity due to the resulting demand. Whose books are going to look better at year’s end? It is the designer’s ability to design for specific processes and increase the value produced by the existing manufacturers. It is also the designer’s responsibility to return value to the community by being considerate of the industry by making best use of the resources, machines and skilled labour force that is available already. We can return value to the country by making good use of what is here already, use ecologically sound principles, renewable materials and energy. Would it not be nice to make this path perpetual by making it fully sustainable and allowing the next generation to benefit by embracing this design thinking?


NZ Manufacturer June 2014

A leader is a dealer in hope. – Napoleon Bonaparte

THE FUTURE OF MANUFACTURING

Additive manufacturing more and more renowned Long confined to prototyping, 3D printing enters the factories. By the large door in some niche sectors such as aerospace, its growth is spectacular, both for the manufacture of whole objects like airplanes and drones for the production of parts for the flight. This booming industry was worth $ 2.5 billion in 2013.

The 3rd industrial revolution This additive manufacturing capacity to replace other methods to achieve the finished products led some analysts estimate it will be at the origin of the third industrial revolution.

A passion to be credited equipment manufacturers, but also software. Without them, the technique would be further reduced to its historical activity of creating models, instead of trying to build a future. This requires advanced technology and the use of more varied materials. SUBHEAD Today, 3D construction provides: * The construction of custom objects, such as implants, through the scanner patient; * Relief in transportation (automotive, aeronautics ...); * Use a variety of materials: glass, plastic, metal or ceramic; * Customization or restoration pieces; * Manufacturing service 3D cloud computing.

Double-digit growth It took the 3D printing industry, 20 years to reach $ 1 billion in size. In another five years, the industry has generated its second billion. It is expected to double again to $ 4 billion

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in 2015. The 3D printing industry will continue to show a double-digit growth in the coming years, reaching $ 6 billion in 2017 and $ 10.8 billion in 2021 SUBHEAD

The technologies 3D printing, also called “additive layer manufacturing” or “additive manufacturing” allows creating complex shapes, unachievable with conventional moulding techniques and machining. Furthermore, there is not, or very little loss of material and the number of process steps is reduced. Different techniques are used: all involve adding successive layers of material to form the final object.

The main three are: Stereolitography (SLA) The stereolithography process is the oldest technology in rapid prototyping process (1986). Under the action of a laser, a liquid photosensitive resin is solidified by chemical change. The light beam emitted by the laser is projected on the surface of the resin by a dynamic set of mirrors. The movement of these mirrors controlled by a computer interpreting the data provided by the CAD software cycles through the beam trajectory corresponding to a section of the work piece. After polymerisation of a section, the platform supporting the object being manufactured gets down in the resin vessel, of a height corresponding to the thickness of the section (from 0.07 to 0.75 mm). The stack of layers provides a three dimensional part.

Selective laser sintering (SLS): Sintering is a manufacturing process consisting in heating the powder without melting it. Under the effect of

heat, the grains are welded together, thereby forming the cohesion of the part. The best known case is that of firing pottery.

The two major global automakers, 3D Systems and Stratasys, which merged with Objet at the end of 2012, are of similar size.

The SLS process (Selective Laser Sintering) is used to create 3D objects, layer by layer, from powders that are sintered or fused with a laser. The process begins with a 3D CAD file, divided into 2D sections and the piece is built to a fairly close process to stereolitography process. SUBHEAD - Depositing thermoplastic yarn: The method FDM (Fused Deposition Modelling), which was developed by Stratasys (USA), is using a three axes machine movement for depositing a molten wire to the work piece during manufacturing. Solidification is immediate when the wire comes into contact with the previous section. The materials used for the wire are wax, polyamide, polypropylene, ABS ... This relatively quick and inexpensive method has been the most sold for two years thanks to the success of 3D printers.

The turnover of the first rose to $ 353.6 million in 2012 (+ 53.5%, with 22.4% organic growth), against $ 359 million for Stratasys (including Objet), which grew by 30%. The group also provides an increase of between 20% and 24% in 2013.

Industries using additive manufacturing Many industries rely on additive manufacturing: Aerospace, automotive, medical, jewellery, sports, leisure, telecommunications, electronics, consumer products, industrial products, packaging, art, architecture... 3D printing will also provide new answers in the areas of communication, events, POS or personalised gifts. And in bacterial biology, or in the gun industry!

Outlook Materials, machinery, via the software and related services, the additive manufacturing is expanding. Estimated at $ 3.8 billion for 2014, it should be worth more than $ 16 billion by 2018. This rapid expansion opens urgent projects for the near future. Thus, standardisation work is undertaken at the international level, including the expected level of digital production files harmonisation. Other brake up: securing these 3D printing files containing confidential design data. Axes of research and development already studied:

Industries using 3D manufacturing (percentage of total revenues)

• Multi-material 3D printing, especially for electronics;

Electronic and consumer products: 20.3% Motor vehicles: 19.5% Medical / Dental: 15.1% Aerospace: 12.1% Industrial machines: 10.8% Education / Academic Research: 8% Government agencies / Military: 6% Architecture: 3% Other: 5.3%

The Actors Today, most manufacturers professional quality 3D printers are from Europe; others are China, the United States and Japan.

The great success of Sculpteo, specialised in custom manufacturing on demand from 3D files sent by internet or via modified from its website templates is often emphasised. And for good reason. The case remains isolated. In addition, some observers note that part of the turnover of the company comes from rapid prototyping, thus causing competition with other providers of 3-D manufacturing services. Production on demand of dishes or shells customized for smartphones opens a new market. But it will long remain marginal.

of

• Large work pieces printing such as aircraft wings, once; • 3D Printing human tissues and simple bodies; • Co-create with customers. • The sustainable 3D printing will be on the market in spring 2014. FabShop in collaboration with The AlgoPack, Brittany Company, has developed the seaweed Filament.

Use of 3D printing for the production of parts for final products is approaching 30% of all 3D printing (2012). www.nzmanufacturer.co.nz


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NZ Manufacturer June 2014

THE FUTURE OF MANUFACTURING

No man can stand on top because he is put there. – H. H. Vreeland

The Factory of the Future With around $900 billion of waste in global manufacturing supply chains*, it’s clear there’s scope to cut costs dramatically and create new value. As manufacturing regains favour with economic and political stakeholders worldwide, progressive enterprises are exploring ways to work more efficiently using asset information, system integration and process innovation. There are, of course, the ongoing challenges. Product and supply chain complexities are unavoidable. Rising raw materials and energy prices require constant monitoring and reassessment. The global marketplace is defined by aggressive competition and pace of activity. Small, hungry, local enterprises are often better - placed to compete on price than multi-national organisations trying to balance economies of scale with meeting customer needs in regional markets. Production lines have to be able to produce shorter-run products for specific markets and end user needs. And manufacturers may operate multiple sites in different time zones producing the same item.

The shift from capacity to capability To streamline operations, manufacturers are looking to measure success based on production capability and flexibility rather than efficiency and production capacity. *Source: IDC Manufacturing Insights

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Living Lean There’s significant potential to adapt existing processes and work with greater precision. Companies that follow lean principles, like building to actual customer demand - rather than adhering to forecasts - and bringing material to the plant only when needed as opposed to keeping stockpiles on hand, operate more efficiently. Increasing efficiency, especially where materials handling, energy and labour costs are concerned, is far easier with visibility not only into individual processes, but also to a network of connected devices across the entire business ecosystem. Every point in the supply chain where visibility is less than complete can potentially harbour inefficiencies. Conversely, every visible asset or event that can be identified and placed in context can be potentially improved.

Wasted data As the number of devices linked to manufacturing production processes has increased dramatically, so has the amount of data available. However, much of this information sits in disjointed data silos. In supply chain operations, warehouse management systems and inventory management systems are implemented at a local distribution centre, with proprietary integration back to an ERP system. While some of this data may be accessible centrally, the actual asset tracking devices often lack real-time connectivity, giving only a historical view rather than a current perspective.

When this scenario is replicated across the enterprise, with innumerable devices running disparately, the inability to harness the data available is just another manifestation of wider system inefficiency. By capturing the data, and turning it into actionable information that provides full visibility into the supply chain, enterprises can streamline their processes and move towards optimal production.

The factory of the future is centred on visibility The key for manufacturers is to know exactly what’s happening in front of and around them. At the heart of the factory of the future will be data, visible, comprehensible and actionable. This authentic, accurate, accessible data, pointin-time or real-time, gives status of machine, component or finished goods, enabling existing processes to be more precisely managed, and new value to be created. To succeed, best-in-class manufacturers give their physical assets a digital profile that enables them to know the real-time location and condition of those assets, and timing and accuracy of the events occurring, throughout the value chain. Data visibility empowers you to orchestrate production and deliver to order, cutting out operator waiting time, reducing defects, and eliminating over-production. With complete visibility of the relationships and interdependence between items, processes and people, and transactions taking place enterprises


NZ Manufacturer June 2014

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Whenever you see a successful business, someone once made a courageous decision. – Peter F. Drucker

can move closer to the goal of true manufacturing visibility. Advances in production technology and innovative thinking are driving better visibility of objects, actions and events affecting the manufacturing supply chain. By incorporating these advances into your enterprise, you can see where inefficiencies are happening, and where a change of approach will move you towards operational excellence.

Small, hungry, local enterprises are often better - placed to compete on price than multi-national organisations.

Integrated ecosystems Where, historically, a diverse, disparate mix of fixed and mobile systems and devices have operated in silos, bringing together corporate and personal technology into a manageable whole creates efficiencies and delivers new value. Connectivity and consistent visibility across operations, supply chains, and business partners streamlines processes and operations, driving better customer service and loyalty.

The virtual plant floor

Tighter processes mean faster inventory turns, reducing the need for on-hand inventory. Eliminating waste and improving asset tracking can boost product quality while reducing operating and capital expenditure.

The virtual plant floor is an integration of all sites and systems supported by complete,connected supply chain visibility. This focuses on how an issue at one site can affect production at another, and how to overcome these problems.

Strategic big data Enterprises are looking at the advent of big data as a vast mine to gain deeper, more actionable insight into their operations and processes, and do more with less. The richness of big data is more than just the volume of data, but also the velocity and value of the data. New technologies have the potential to gather and assimilate unprecedented levels of production data. This helps you to identify connections within information and make intelligent use of it.

The Internet of Things The number of devices associated with business operations continues to increase. With the focus on better and more actionable business analytics, solutions that capitalise on the Internet of Things are rapidly gaining momentum, especially when they are Cloud-ready and accessible across the enterprise and beyond.

Actionable analytics In real-time, you now have the ability to access information not just to pinpoint trends, but also to act on them and improve performance as a consequence. Internet of Things-enabled devices provides ‘right now’ visibility into supply chains, distribution centres, land and seaports. They also drive very tight process-driven tasks where instantaneous feedback and control are essential. Businesses can use this data to optimise processes, reduce shrinkage, and provide better security and safety throughout the workplace. Deep visibility into mission critical operations provides the measurable metrics enabling the enterprise to make betterinformed decisions and inspire innovation.

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NZ Manufacturer June 2014

PRODUCT NEWS

I do not believe a man can ever leave his business. He ought to think of it by day and dream of it by night. – Henry Ford

Ground-Breaking filter technology guards against finest pollutants Haze is usually composed of pollutants in the form of tiny suspended particles or fine mists/droplets emitted from vehicles, coal-burning power plants and factories. Continued exposure increases the risk of developing respiratory problems, heart diseases and lung cancer. Can we avoid the unhealthy air? A simple face mask that can block out suspended particles has been developed by scientists from the Department of Mechanical Engineering at the Hong Kong Polytechnic University (PolyU). The project is led by Professor Wallace Woon-Fong Leung, a renowned filtration expert, who has spent his career understanding these invisible killers. In Hong Kong, suspended particles PM 10 and PM 2.5 are being monitored.

PM 10 refers to particles that are 10 microns (or micrometres) in size or smaller, whereas PM 2.5 measures 2.5 microns or smaller. At the forefront of combating air pollution, Professor Leung targets ultra-fine pollutants that have yet been picked up by air quality monitors – particles measuring 1 micron or below, which he perceived to be a more important threat to human health. However, it would be difficult to breathe through the mask if it were required to block out nano-aerosols. To make an effective filter that is highly breathable, a new filter that provides high filtration efficiency yet low air resistance (or low pressure drop) is required. Pollutant particles get into our body in two ways – by the airflow carrying them and by the diffusion motion of these tiny particles. As the particles are intercepted by the fibres of the mask, they are filtered out before reaching our lungs.

Fibres from natural or synthetic materials can be made into nanofibres around 1/500 of the diameter of a hair (about 0.1 mm) through nanotechnologies. While nanofibres increase the surface area for nano-aerosol interception, they also incur larger air resistance. Professor Leung’s new innovation aims to divide optimal amount of nanofibres into multiple layers separated by a permeable space, allowing plenty of room for air to pass through. A conventional face mask can only block out about 25% of 0.3-micron nano-aerosols under standard test conditions. Professor Leung said: “The multi-layer nanofibre mask can block out at least 80% of suspended nano-aerosols, even the ones smaller than 0.3 micron. In the meantime, the wearer can breathe as comfortably as wearing a conventional face mask, making it superb for any outdoor occasions. Another option is to provide a nanofibre mask that has the same

capture efficiency as conventional face mask, yet it is at least several times more breathable, which would be suitable for the working group.” In addition, a new gas purifying technology is under development to convert harmful pollutant gases, such as NOx and volatile organic compound, to harmless substances including acids, carbon dioxide and water vapour. Going beyond personal protection, the filtration and purifying technologies when combined can also clean the air in buildings and improve indoor air quality. Professor Leung said they could make air-purifying filters that are easily fitted into old and new buildings, without any extra supporting structures or additional costs. Therefore, the potential is limitless; air-purifying filters can also be installed in the cabins of airplanes, vehicles, trains and ships. Such a handy solution can be the way of future for “cleaner and healthier” air.

The multilayer nanofibre filter can provide high protection with low pressure drop, allowing users to breathe comfortably. www.nzmanufacturer.co.nz


NZ Manufacturer June 2014

If your actions inspire others to dream more, learn more, do more and become more, you are a leader. – John Quincy Adams

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PRODUCT NEWS

Proconect range up to 660 amps he 3PV/3PX range from Proconect, a large extension to the existing Proconect Deconnector plugs and sockets range, provides the market with even more options for mining, harbour, transportation, and commercial applications. Proconect 3PV/3PX plugs and sockets are available in either a screw ring (3PV) or push-pull connection (3PX) system where regular use or high vibration is expected. With current ratings starting at 160A with a maximum of 660A (at 3.3 kV), the 3PV/3PX also features IP 67/ IK 10 ingress and impact protection for the harsh Australian environment. Made with corrosion proof tempered cast aluminium including stainless steel fastenings, the 3PV/3PX range provides the right solution for the most arduous applications. A full range will be available and featured in the upcoming Plugs and Sockets catalogue: • Appliance inlets, socket outlets, straight plugs, angled plugs, extension sockets • Three phase, earth and two pilots pins or three phase, neutral, earth and two pilot pins • Crimping or screw terminal style cable connection, suiting cable cross section from 16-300 mm2 • A medium voltage range up to 11 kV is also available on request

See better in wet weather Rain can cut down vision through a vehicles windscreen significantly, especially if the wipers are worn, but there is a way to make it clearer and safer. It’s called Rain-X Original Glass Treatment and just one application can make a dramatic difference to driving visibility. It’s simple to apply and can be used on any type of glass. Rainx seals the microscopic pores of glass with a super-slick, no stick invisible barrier that repels rain, sleet, and snow on contact. Rain drops bead up and are blown away by the aerodynamic wind flow from driving, improving all-weather visibility, safety and driving comfort. Driving is more hazardous this time of year, with increased amounts of rain and less sunlight, so it’s important to maximise visibility. It’s not generally well-known that glass is porous, trapping water and making it more difficult to disperse. Over time you also get a build-up of dirt, grime, oil and other chemicals on the surface, which makes it even more difficult to see, as plain water won’t easily remove it. Available in an easy-to-use trigger spray, Rain-X Original Glass is applied to the glass surface with a cloth and rubbed into the glass exterior, then allowed to dry before buffing with a dry cloth. For best results, a second application is recommended, particularly if the glass has not been cleaned for some time. The difference can be seen immediately as raindrops have little to adhere to and fly off the windscreen while driving. Rain X also works well in repelling sleet and snow and on frosty mornings it’s much easier to remove ice from glass. Dead insects are also easier to remove. And just as Rain-X Original Glass Treatment can keep vehicle glass clearer, it can also be used on shower glass to prevent water smears caused by a build-up of soap and scum. www.nzmanufacturer.co.nz


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NZ Manufacturer June 2014

MAINTENANCE

Do not go where the path may lead, go instead where there is no path and leave a trail. — Ralph Waldo Emerson

“We give the students in our region an opportunity to have a ‘foot in the door’ giving students a clearer picture of their future options while still remaining in the school environment and part of the school’s values.” Nat Edwards from Waimea College experienced that ‘foot in the door’ while pursuing a career in mechanical engineering. However, as a result of the environment and conversations with tutors who encouraged him to make his own decisions, Nat changed his mind. “I had a career rethink. I wanted to try something different. I talked to my family and a couple of local builders and decided I wanted to do construction,” Nat says. “I’m a hands-on, outdoors person. I had this vision of starting with an empty space and building something

Shaaron Adams.

architecturally designed.”

Nelson academy fills the gap The lack of vocational training opportunities available to students across the Top of the South region is being addressed by a unique educational organisation. Five colleges and the Nelson Marlborough Institute of Technology (NMIT) recognised the need to provide clear pathways for students leaving school and considering tertiary training or employment in the region. Top of the South Trades Academy was established in 2011. Shaaron Adams, Trades Academy Manager, opened the door to students and within five months 110 students from the Nelson Tasman region had joined up. Now two years later the Academy has 15 partners including Whenua iti Outdoors, a new tertiary provider, in a region extending from Nelson and Tasman to Marlborough, offering 12 different programmes to nearly 300 students. TOTSTA provides students in the region an opportunity to learn and engage in programmes across a range of industries and trades enabling successful transition from school to tertiary training and the outside employment world “My satisfaction is getting all of our partners working in a constructive www.nzmanufacturer.co.nz

As a result Nat, who’s in Year 13 at Waimea College, has started his second year at TOTSTA with the goal of an

way for the students in the region,”

“New Zealand has to improve the rate

Shaaron says. “Daily I see the energy and motivation that the students have gained.”

of NCEA Level 2 achievement, the minimum qualification a young person needs to get to be ready for a better future. To get employment you need to get a solid education, achieving at least a minimum qualification, or more.

apprenticeship in building.

According to Arthur, “NZ has poor retention rates of 15-19 year olds remaining in education to get qualifications and skills that will benefit them and not enough young people progressing to Level 4 or above, on the New Zealand qualifications framework.”

to build homes for them and give them

Students can access programmes across hospitality, tourism, agriculture, construction and many others. The programmes have a component where students study at their own school and attend at least one day at TOTSTA. Students thrive in the tertiary-type environment which is hands on. Students have to take on more personal responsibility and are therefore more engaged in the ‘work’, they are punctual and are present. Students start to learn the fundamentals of what it might take to work in a particular field or industry. z“Vocational Pathways is an extremely timely initiative. It’s the ideal time for it and the community at large understands why it’s good. Vocational Pathways are helping students, parents and the community prepare our young people for work, study or training. The programmes are providing the skills that industry wants.” TOTSTA is starting to build and grow the number of students coming out with valuable skills and qualifications to help build the pool of talent in New Zealand. Arthur Graves, General Manager Youth Guarantee oversees the Vocational Pathways programme says,

“Learning in a Trades Academy gives students real life skills and qualifications and using the Vocational Pathways young people can choose their study options and see how it relates to future job or career options. Students can get relevant qualifications and a Vocational Pathway which will set them up for their next steps, whether it’s into tertiary study, industry training or employment.” Shaaron explains that TOTSTA’s role is to provide an atmosphere where students experience what tertiary training is about, succeed in that environment, build relationships with tutors and students from other schools and get a sense of the pathways open to them.

In 10 years’ time he intends to own his own company to build the structures of the future somewhere in the world. But there’s also a strong humanitarian side to Nat. “I want to help people in need. I want shelter,” he says. That humanitarian component is a key part of the Academy and students are treated as colleagues, receive personal attention, shown the right pathway and get the hands-on experience they require. Shaaron says the students are more motivated with their studies and understand the importance of maths and English because of how the subjects are implicitly being taught and applied in practical projects such construction or business. She’s so confident the Academy is succeeding, that TOTSTA has entered the Prime Minister’s Excellence in Education award. The programme is ticking all the boxes she says and her 15 partners would agree. More than 4,200 senior secondary schools students, from 264 schools are currently enrolled at a Trades Academy this year, in 22 Secondary-Tertiary Programmes throughout New Zealand.


2014 NZ Manufacturer June 2014

Work spares us from three evils: boredom, vice, and need. – Voltaire

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Kingsgate Hotel, Hamilton 12th - 13th NOVEMBER

2 Day Con ference $6 Bring a m 80 + gst ate and it’ s $440 + g st each! E

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nline Toda y: www.m esnz.org.n Email: info z/nmec @ a dminonca Phone: Le l l.co.nz anne Pow ley (09) 29 6 1333

TAKING KNOWLEDGE BACK TO THE WORKPLACE! Information, Inspiration & Interactive Displays

Get in early to reserve your place And maximize your exposure... www.nzmanufacturer.co.nz Free public trade expo, Tuesday 11th November 2014


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NZ Manufacturer June 2014

FOOD MANUFACTURING

Negotiation in the classic diplomatic sense assumes parties more anxious to agree than to disagree. – Dean Acheson

Hottest new dairy technology designed here Technology designed to bring the power of intelligent communication and unprecedented future proofing to dairy farmers’ milking systems was highlighted at National Fieldays. The product in the spotlight at Waikato Milking Systems stand was a newly designed product known as the Bail Marshal. The New Zealand owned company’s Chief Executive Dean Bell says the innovative product has been designed to enable all technology devices on a milking system to work together seamlessly and continually communicate with each other. “I believe the Bail Marshal will be the hottest new dairy technology device

farmers will find they absolutely have to have,” Mr Bell says.

milking point, the Bail Marshal manages connectivity and communication

between all bail devices easily and effectively.

Waikato Milking Systems is the largest 100% New Zealand owned dairy technology designer and manufacturer. The company exports to more than 30 countries around the world and has dealers nationwide. At National Fieldays, the company displayed its high performing milking system designs, including rotary and herringbone designs and showcased its latest and best technology devices designed to save farmers time, money and labour in the dairy. The Bail Marshal helps improve the efficiency of dairy farming businesses. The Bail Marshal is an intelligent communication device that brings an unbeatable level of integration, simplicity and future proofing to milking systems. With one at every

Laminex NZ – a first Laminex New Zealand is the first company in Australasia to have a product (Strand floor) listed in the Declare database; a platform of the Living Building Challenge, one of the building industry’s most rigorous and ambitious performance standards. Considered the ‘nutrition label’ for the industry, and widely accepted as the most advanced green building standard in the world, the Declare label offers unprecedented transparency into the ingredients, sourcing, and manufacturing of labelled products. Strandfloor has earned the highest possible Declare label ‘Red List Free’.The ‘Red List Free’ label means that the product is completely free of Red List materials which builders may not use if construction is to meet the criteria of the Living Building Challenge. Living Building Challenge’s list of red list materials and chemicals includes ingredients such as asbestos, formaldehyde (added), and wood treatments such as creosote, arsenic or pentachlorophenol. Strandfloor is a high density reconstituted wood panel, bonded with moisture resistant resin and wax, specifically formulated for use as residential and commercial interior floor platforms. Strandfloor, which is manufactured in New Zealand, has unrivalled environmental credentials using only a fraction of the energy and carbon emitted in producing a concrete floor.

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Introducing

NZ Manufacturer June 2014

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A point of difference in today’s busy FMCG market.

Developed by AsureQuality, inSight™ provides shoppers with independently verified information about the products they are about to buy. After a successful application process, producers can place the inSight™ logo and a QR code on their product packaging. When shoppers scan the QR code at the point of sale they can access information about the product, including: • • • • •

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Call us now on 0508 00 11 22 to find out how inSight™ can add value to your business. www.aqinsight.com

www.nzmanufacturer.co.nz A new innovation taking product assurances into the 21st Century


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NZ Manufacturer June 2014

Negotiation in the classic diplomatic sense assumes parties more anxious to agree than to disagree.

ANALYSIS

– Dean Acheson

Complexity and Economic Performance - John Walley, Chief Executive, New Zealand Manufacturers and Exporters Association

Over the past 30 years economic strategy has separated into two broad camps, largely driven by the underlying culture which made the choice. The Anglosphere countries such as New Zealand, the US, Australia, Canada and the UK have followed a deep belief in the primacy of markets, an intent if not the reality of ever smaller governments, lower taxes and an expressed policy emphasis on their domestic non-traded sectors, seeing their tradable sectors as, at best, a policy afterthought, and, at worst, structurally unnecessary. It should be no surprise that down this path tradable sectors shrink in quality bereft of policy support and consequently investment. The Economic Complexity Index (ECI) is used as a measure of complexity, and shows a clear separation between the two broad groups. Being more complex (higher ECI value) in this sense means the things produced within their economies are more complex, and in turn, more complex production builds the capability to continue to make more complex things in the future - this is all influenced by policy choices and bias.

the coming years. Consistently running current account deficits (negative CAB) indicates an unbalanced economy: inadequate saving leads to offshore borrowing, importing too much of what could be done locally and inadequate export income to cover the investment and spending position of the country.

Above you can see three measures that mirror complexity and give us an idea of economic balance within each country. Firstly, Net International Investment Position to GDP ratio (NIIP) gives us a snap shot of each country’s debt position, taking into both government and private debt and asset movements. As you can see, our complex economies (dark grey) largely have positive NIIP numbers, while our sample of economies where complexity is eroding all see negative NIIP values. New Zealand’s NIIP has recently been positively influenced by insurance claims resulting from the earthquake. The second measure is the Current Account Balance (CAB) as a percentage of GDP. This is closely related to the NIIP, but shows the change in a country’s net foreign assets in the particular year, as a percentage of GDP for that year. We once again see largely the same separation for 2013 as with NIIP.

So now we can see the separation of these two broad groups by their level of complexity, what other broad economic indicators separate them, and why do they matter?

Perhaps the most interesting part of the CAB values, is the change between our three date points, 1980, 1990 and 2013. For all of the simple economies (light grey) in our sample, we see a worsening CAB between 1980 and 2013. Conversely, the complex economies show the opposite trend, all seeing negative CAB in 1980, with most improving dramatically between 1980 and 1990, with further improvement between 1990 and 2013. Recently, New Zealand has seen some transient improvements in our CAB, due to high terms of trade – but is forecast to worsen again in

The final measure is the External Balance on Goods and Services as a percentage of GDP (EBGS). Unlike CAB and NIIP, which take into account financial flows, EBGS only measures the exports of goods and services, minus the imports of goods and services. For most of our complex economies, this is a positive number, meaning they export more goods and services than they import, while the most of the simple economies have a negative value, making them a net importer of goods and services. This also exhibits the same trend over our three data points as CAB, with complex economies generally improving (becoming more positive), while the simple economies became more negative over the same time period. When considered together, the table above suggests that policy choices within an economy bias economic performance and balance, while influencing tradable sector complexity. A country’s tendency towards complexity helps foster innovation and added value, which in turn increases capability as a foundation for future growth – this is why the complex economies become more complex, while the simple continue a slide towards simplicity. This is especially important for a small, isolated country like New Zealand, as we lack the scale in our domestic sector for many industries without significant export content. We need to focus our policy choices towards those that promote increasingly complex production, added value and drive growth in our tradable sector – this will help to lead to a stronger, more diverse and consequently a more resilient economy which can provide a more prosperous future for all.

Female-led company gets ready to manufacture locally continued from page 1

drikolor is using the latest investment to fast-track its manufacturing plans in New Zealand in record time, and lock in valuable patents.

world with this type of technology right now. Through it we are able to control the supply chain from raw material to the end customer.

Managing Director Craig Reid and Rachel Lacy recently returned from the UK, USA and Asia where they met with leaders in the global paint industry. Rachel Lacy says these senior executives were united in their feedback.

Interest in drikolor’s technology from local paint and concrete industries is strong. It allows the ability to change the form in which colour comes, from liquid to dry pigment, creating endless possibilities for a range of industries.

“All had interest in drikolor as we appear to be the only company in the

The ability to buy colour separately from a base paint, distribute it directly

www.nzmanufacturer.co.nz

online, or collaborate with high profile interior or fashion designer to develop a colour palette unique to them are just some of the uses for this proprietary technology. Rachel Lacy says the accelerated growth helped by the recent funding round means drikolor is well on track to reach its goals. “We are a Kiwi technology company that’s commercialising very quickly. We’re aiming to be in a range of

stores in New Zealand and Australia by September this year. While we’re focused on achieving our business goals, at the heart of our company we are a collaboration of experts who simply want to change the way the world colours paint.” To speak with Rachel Lacy or Alex Mercer, please contact Clare England, 021 615 915 or clare.england@xtra. co.nz


NZ Manufacturer June 2014

He who has learned to disagree without being disagreeable has discovered the most valuable secret of a diplomat. – Robert Estabrook

29

ENERGY

Oil well to start again after drilling difficulties The cost of the US$27 million exploratory oil and gas Oi well offshore Taranaki has risen to US$40 million, largely as a result of the drilling partners being forced to plug and abandon the first well, which encountered technical difficulties at a depth of 1,507 metres. The Oi-1 well is a partnership between operator AWE (31.25 percent), Pan Pacific Petroleum (50 percent) and New Zealand Oil & Gas, (18.75 percent), with costs of the re-drill to be borne by the partners in proportion to their shareholdings in the prospect,

which is testing a structure similar to the nearby producing fields at Tui, Amokura, and Pateke. “Oi-1 had drilled a 17.5 inch hole to a depth of 1,507 metres when operational difficulties were encountered setting casing. Attempts to install cement plugs and sidetrack the well were also unsuccessful,” said NZOG in a statement to the NZX. The Kan Tan IV drilling rig is now settling over a new well site, Oi-2, 150 metres from the original drill site, targeting a total depth of 3,881 metres.

“To improve conditions in Oi-2, 13 3/8 inch casing will be set at 550 metres rather than 1,500 metres planned in Oi-1,” NZOG said. “This will enable a drilling fluids system to be established at a shallow depth and improve management of conditions in the well bore. Then a 12.5 hole will be drilled to 1,500 metres before 9 5/8 inch casing is set. An 8.5 inch hole will then be drilled to the target depth.” Oi is about 37 kilometres off the coast of Taranaki in about 120 metres of water.

NABERSNZ tool shows you how to get to the next level The New Zealand Green Building Council and the Energy Efficiency and Conservation Authority (EECA) has launched a new online tool as part of the NABERSNZ programme.

voluntary rating system that measures the energy performance of New Zealand’s office buildings. NABERSNZ is an important tool to help reduce energy use and costs.

The NABERSNZ calculator will allow building owners and tenants to get a clearer picture of what they need to do to get a desired star rating under the NABERSNZ programme.

Building owners and tenants can already get a Certified Rating as part of the NABERSNZ programme, which shows, on a scale of 1 to 6, the energy performance of their building or tenancy.

Working with an Accredited Assessor or Practitioner, they will be able to see the energy reduction required in their particular building, to get the Certified Rating they want.

This calculator makes it possible to see what’s required to take the next step - the energy reduction required for a building or tenancy to achieve the next star rating – or any star rating.

The addition of the new tool is part of the ongoing development of the NABERSNZ programme, a

The calculator is also likely to be used by architects, engineers, and building scientists at design stage, to

more accurately design a building that will meet a client’s desired star rating. The calculator will initially be available only to Assessors and Practitioners (people who have received NABERSNZ training). Anyone who wants to become an Assessor or Practitioner should check out the NABERSNZ website for details of training courses. The NABERSNZ programme has been underway since June 2013, overseen by Administrator NZGBC and licence-holder EECA. More information about the programme is available on the website www. nabersnz.govt.nz, along with a list of Accredited Assessors and Practitioners.

www.nzmanufacturer.co.nz


30

NZ Manufacturer June 2014

The most important trip you may take in life is meeting people half way.

BUSINESS NEWS

– Henry Boyle

Innovators awards now open Now’s the time to tell your story by entering the New Zealand Innovators Awards, celebrating innovation and commercialisation in New Zealand entries opened on12 June, 2014. The Awards, now in their fourth year, aim to unearth, reward and celebrate research, innovation and commercialisation, putting great Kiwi companies on a national stage to help them grow. In 2013, award entries came from nine industries and business disciplines including; Design and Engineering; Information Communications

Technology, Media Music and Entertainment, Marketing and Communications, as well as Hospitality Food and Beverage. Entries came particularly from high growth companies with fewer than 50 employees. Overall, 56% of entrants were from Auckland, but there were also strong entries from Otago and the West Coast, as well as most major cities throughout New Zealand. This year, organisers expect to see strong entries across many sectors throughout the country. Last year, the supreme winner was Pacific Edge for its bladder cancer diagnostic management system, and winner of the Innovation Communications Technology was computing vendor, GreenButton, which had customers including Pixar, NASA and Boeing and was bought by Microsoft this year.

Industry & Business Categories: • Innovation in Design & Engineering

EMEX feedback • Innovation in Sustainability & Clean-tech • Innovation in Environment & Agriculture • Innovation in Health & Science • Innovation in Hospitality, Food & Beverage • Innovation in ICT & Cloud Solutions • Innovation in Marketing & Communications • Innovation in Media, Music & Entertainment • Innovation in Financial & Professional Services From these categories, the evaluators will select: • Bayer Supreme New Zealand Innovator • Emerging New Zealand Innovator • Most Inspiring Individual • Export Innovator of the Year • Innovation Excellence in Research • The People’s Choice – Idealog Magazine online award • Excellence in Social Innovation

The Environmental Protection Authority has turned down an application by Trans-Tasman Resources Ltd to start a new industry in the Exclusive Economic Zone off the coast of Taranaki. The proposed enterprise would have established an under-sea iron sand mining industry, diversifying New Zealand’s extraction sector and creating new income streams and jobs in the Taranaki region.

environmental effects. BusinessNZ Chief Executive Phil O’Reilly says the decision is a blow for prospects for new industries and growth in the Exclusive Economic Zone. “Any new industry is bound to have some uncertainties. Millions can be invested in researching and estimating the likely effects of a new industry without realistically being able to achieve absolute certainty about all outcomes.”

Trans-Tasman Resources Ltd spent seven years and $60 million to research and develop the application.

Mr O’Reilly said the decision made it clear ‘that there was uncertainty and that in these circumstance the Exclusive Economic Zone and Continental Shelf (Environmental Effects) Act 2012 requires the EPA to favour caution’.

The EPA turned the application down because of uncertainty around

“Business wants to be responsible and supports regulations to protect the

EMEX provided us an excellent opportunity to talk to a variety of people from all aspects of the engineering and manufacturing sectors. We made a number of new contacts; gaining good insights about the training needs of their businesses. We also received positive feedback from existing customers and about our ATNZ service in particular. We were impressed by the range of exhibitors and the new equipment and products being promoted. As the industry training organisation for engineering and manufacturing, getting a first-hand look at the technologies that will drive the future of our customers’ operations is valuable so that we can ensure our qualifications meet the needs of New Zealand businesses.

An excellent platform

Catch 22 for new industry? Rejection of a proposal for a new industry is disappointing, says BusinessNZ.

Competenz says…

environment, but will be wondering how much certainty is realistic,” Mr O’Reilly said. “No doubt the EPA has carried out its mandate in good faith, but business will be wondering about the effect of the decision on other new and emerging industries. “The rejection of an application to establish a new industry on the grounds of uncertainty - when 100% certainty for a completely new industry is impossible - may raise the question of whether our regulatory settings themselves may be preventing new industry from being established. “It would be unfortunate if this was the message being heard by potential investors in New Zealand.”

EMEX 2014 again proved to be an excellent platform for Baskiville. Com to display products to new and existing companies. With a strong interest we are again seeing how many of the different industries are getting inter connected. There aren’t many items today that don’t involve electronics in some part of them. Baskiville.Com has been servicing the electronics industry for 40+ years, and has the experience and knowledge to support its products. We saw through EMEX that our manufacturing and repair industries are still strong. -Ian Fowler, Baskiville.Com Ltd

New software aims to halve cost of business mail With the price of postage increasing from 70 cents to 80 cents on 1 July, NZAX-listed Solution Dynamics (SDL) wants businesses to halve the cost of their ‘ad hoc’ mail.

the average total cost of non-bulk mailed business documents to between $1.80 and $1.90, after accounting for the cost of postage, printing, envelope and inserting.

‘ad hoc’ – Dejar Mail will save them

‘Ad hoc’ mail is any mail sent in quantities of less than 1000 items which, because it is not bulk, does not attract NZ Post’s bulk mailing rate. Studies suggest that, on average, 30% of corporates’ mail is ad hoc, particularly among those operating from multiple locations.

Déjar Mail software reduces this to between 80 and 90 cents which means the production, printing, processing and posting can all be undertaken for around the price of a stamp.

In addition to effectively halving the

NZ Post’s 1 July price increase will take www.nzmanufacturer.co.nz

A bank or insurance company that sends, for example, 5 million documents by mail per year is likely to send more than 1 million documents

more than $1 million annually through having all those documents on a bulk rate. cost of ad hoc mailing, the software allows individual businesses to review and approve documents prior to mailing. Dejar Mail is ideal for small to medium businesses (SME’s) where the hassle of the mailing process is largely removed.

Solution Dynamics managing director Nelson Siva.


NZ Manufacturer June 2014

Place a higher priority on discovering what a win looks like for the other person. – Harvey Robbins

31

REAR VIEW

Brazilian World Cup – déjà vu New Zealand 2011 Brazilian doubts about the financial spinoffs from the FIFA World Cup sound hauntingly familiar to those heard in New Zealand before the 2011 Rugby World Cup. New research from the Grant Thornton International Business Report (IBR) has found that Brazilian business enthusiasm for hosting the tournament has plummeted over the past two years. The proportion of Brazilian business leaders who believe hosting the World Cup would translate into faster economic growth has fallen from 80% in Q1-2012 to just 33% by Q1-2014. Alec Flood, Partner, Audit at Grant Thornton New Zealand, said similarly, the early hype surrounding the Rugby World Cup in this country started to flatten the closer we got to the first kick off. “While there were definitely winners in the wash up of the Rugby World Cup, there were just as many, if not more, who were disappointed with the outcome. “There were many businesses who invested heavily in anticipation of the profit they would reap from the cup, but that profit never eventuated,” he said.

In Brazil, few business leaders are predicting increased investment (just 11%, compared with 23% in 2012) or increased profits (19%) as a result of Brazil hosting the competition. Fifty two percent of businesses are expecting the tourism sector to see the biggest pick-up in activity.

When you think back to the Rugby World Cup in New Zealand, it’s likely that productivity dropped during this time. “Business enthusiasm for the World Cup has certainly ebbed away as the economic situation in Brazil has worsened over the past 24 months. Initially there was much hope in the business community that the infrastructure investments required to get the country ready to receive

Déjà Vu or Real Change?

will find strong industry support such as the key ones:

HERA represents a broad spectrum of largely what I would class as average SMEs, and most of the Labour policies listed make a lot of sense to a strategically important sector of the NZ economy; a sector that in my view could do a lot better with strong transformational incentives in place.

• Support hi-tech manufacturing through accelerated depreciation

Without repeating the arguments for the policies requested, most of them

“This should have been an opportunity to place Brazil in the international ‘shop window’, but instead international media attention has been focused on delays in stadia construction and public protests against both the government and FIFA.” More than two in five business leaders expect infrastructure investments particularly those in the transport sector - to be the most enduring legacy of the games (42%), with a further quarter expecting a greater influx of tourists (26%). However, almost a third believe stadium construction in their city has disrupted daily life and just 40% believe the stadium will be well used once the tournament is over. “One aspect that the survey did not touch on was the loss in business productivity in Brazil during the World Cup. When you think back to the Rugby World Cup in New Zealand, it’s likely that productivity dropped during this time. “I’m not just talking about those people who took sick days on game

day, but also the amount of time wasted on emails and phone calls, discussing every game over several weeks. It all adds up but has probably never been calculated. “However, the one good thing in Brazil’s favour is that this is turning out to be a great dress rehearsal for the upcoming Olympics in 2016. There is now an increased awareness in government and in the private sector of the shortfall infrastructure and what needs to be done to get the county ready for these games, and for sustainable growth to become a reality.

Dr Wolfgang Scholz, HERA Director

Last month I was privileged to be invited to Labour’s Manufacturing Economic Upgrade Policy launch in Auckland. Together with a group of manufacturing sector stakeholders, we listened to Labour leader David Cunliffe, and the Deputy Leader and Finance Spokesperson David Parker outlining their plan for the manufacturing sector to create better jobs and wages.

Having put a submission to the 2013 Parliamentary Inquiry into Manufacturing, I have to say that the Labour party strategists definitely listened to the metals engineering industry sector.

600,000 visitors this summer - not to mention those coming for the Olympic Games in 2016 - would boost the long-term growth prospects of the economy.

• Reintroduce the 12.5% R&D tax credit • Reform monetary policy to achieve a fairer and more stable exchange rate • Government agencies have to buy more Kiwi-made products • Give manufacturers a stronger voice in trade negotiations

• Introduce measures to increase the national savings pool and improve access to capital for businesses I agree with the EMA chief executive Kim Campbell, where he was saying that the Labour manufacturing policy makes sense, it is however short on some important details. But will the general voter be interested in the details? I still remember, having commented on the policies we had as a choice in the last elections, despite being aligned to our industry’s own policy recommendations, the voters

Good policies are not always going to be popular, but that doesn’t mean they aren’t necessary. did not agree with what appeared to be needed to make a sensible and very necessary transition in New Zealand’s focus towards developing a diverse and export-focused manufacturing sector. As one of the attendees at the launch commented, asking the voters to tick policies which achieve e.g. a fairer and lower valued NZ$ with the subsequently increased cost of imports, make us work longer to accommodate the cost of an over-aging population, which along with removing Capital

Gains tax for those of us who put all our savings in the housing market, are hardly populist vote winners. Whether this will prove to be Déjà Vu or a real change will depend on how Labour will be able to sell the positive and much needed longer-term economic outcomes of their policies. Good policies are not always going to be popular, but that doesn’t mean they aren’t necessary. www.nzmanufacturer.co.nz


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NZ Manufacturer June 2014

Work spares us from three evils: boredom, vice, and need. – Voltaire

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