NZ Manufacturer April 2016 by Media Hawkes Bay Limited

April 2016 Award winning supplier of SOLIDWORKS in Australia and New Zealand

www.nzmanufacturer.co.nz

2016 8 EMEX Bringing

MANUFACTURING TECHNOLOGY The Future of Manufacturing.

manufacturing home.

REGIONAL MANUFACTURING FDF after lucrative Chinese market.

31 May - 2 June 2016

A more useful model of tertiary education

The song remains the same

By Dieter Adam, CEO of the NZMEA Education is key to ensuring our people will be the best they can be and creating the most productive, capable and innovative economy we can. Human capital is just as important as any other input in a manufacturing business; if not the most important one. However, current research suggests that our return on investment in the tertiary sector is low compared to other OECD countries. Anecdotally, many businesses feel the reality of this when they have trouble filling skilled positions, and at times have to look overseas to find skills that just are not being delivered by the current system. The Productivity Commission is now looking into this problem and how new models of tertiary education could provide better outcomes. Generally, discussions about tertiary education can be dominated by established views and self-serving PR – it is great to see the Productivity Commission undertake a wide and data-driven examination. A root cause of the problems in our tertiary sector lies in its overarching focus on quantity over quality,

‘bums on seats’, in large part due to the funding policies that reward maximising the number of students enrolled, independent of what and how these students are doing. There is also a drive towards enrolling international students, which brings income to the institution and export revenue to the country, but can be driven by offering courses that attract large numbers of students and not necessarily what we need to grow our economy. Forecasts for domestic student numbers show a drop due to demographic factors. It is no coincidence that we currently hear a lot about the financial benefits of a university education, without real consideration for other options that may have better career pathways and opportunities, such as Polytech, trades or apprenticeship education.

New Zealand manufacturers are a sturdy, determined lot mostly pushing uphill against the surge of imported products that flood the country. Many of my conversations with them come down to this: We can’t make enough large volume products to be truly competitive with the same imported products. And imported products are difficult to compete against in price – not always quality.

ASB Showgrounds, Greenlane, Auckland

INSPIRING MANUFACTURING AND INNOVATION EXCELLENCE REGISTER TO ATTEND FOR FREE USING PROMO CODE: NZMANU

Small run manufacturers from around the regions have been describing their competitive advantage, or more accurately, how to find it. This matters because everyone wants to be successful. No company in New Zealand supplies an order for 100,000 widgets because the market just isn’t here.

Many people will be better suited to a well-paid and rewarding career in manufacturing, but simply never see it as an option. The NZMEA has a role to play in changing perceptions –

continued on page 6

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Visit us at EMEX on Stand ET4 and attend our Seminar during EMEX 31 May – 02 June 2016

9 – 10 November 2016 Claudelands Event Centre

Hamilton Sponsor and Exhibitor Enquiries Welcome Expo Open Day 8 November More information:

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Lifting the Game of Maintenance Engineering Speaker Sponsor

CONTENTS DEPARTMENTS 5 MANUFACTURING TECHNOLOGY

ADVISORS

The internet of drones has landed. The future of manufacturing.

Craig Carlyle

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

Autodesk Inventor 2017 unveiled.

8 EMEX 2016

Bringing manufacturing home.

9 PROFILE: MANUFACTURING TECHNOLOGY CNC Design: Bringing cutting-edge automation to New Zealand.

10 EMEX 2016

Catherine Beard

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

RPM and Alma CAM software. Intercad to demonstrate new design paradigm at EMEX. NZMEA to showcase “Manufacturing in New Zealand.”

Dieter Adam

15 REGIONAL MANUFACTURING

Screw Productions of Rotorua describes their unique process. Functional Wholesale Products of Geraldine high quality manufacturer.

Chief Executive, New Zealand Manufacturers and Exporters Association has a Ph.D. in plant biotechnology, consulting and senior management roles in R&D, innovation and international business development.

Lewis Woodward

17 SMART MANUFACTURING

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.

Transparent metal touchscreens.

Industry 4.0: Over $US900 million invested worldwide.

20 ANALYSIS

Instrument supports environmental safeguards.

21 SMART MANUFACTURING

Is the meaning of work about to change?

22 WORKSHOP TOOLS

Chlorine analyser requires no maintenance.

Dr Wolfgang Scholz

Is HERA Director and a Fellow of the Institute of Professional Engineers NZ.

Novel system recovers energy lost in industrial processes. Turning stainless steel from start to finish.

24 FOOD MANUFACTURING

Garth Wyllie

Is EMA’s Executive Officer, Manufacturing & Industry Groups. He is a strong advocate for the manufacturing sector. In his 20-plus years with the organisation Garth has managed a range of sector groups, with manufacturing being a key focus.

Redefining the science of better.

26 THE FUTURE OF MANUFACTURING The fourth industrial revolution needs Wi-Fi in everything.

Saab’s to bring LEGO simplicity to advanced manufacturing. Distributed design is now the norm. Red Stag still buzzing from ANZAC spirit.

31 REAR VIEW

Why don’t governments implement growth-maximising fiscal policies?

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NZ Manufacturer October 2015

SMEs -The future for New Zealand

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

Dieter Adam, Holly Green, Tony Glockler, Jon Marwick, Paul Adlam, Eve Johnson, Arthur Grimes www.mscnewswire.co.nz

ADVERTISING

Doug Green T: + 64 6 870 9029 E: publisher@xtra.co.nz Kim Alves, KA Design T: + 64 6 879 5815 E: kim.alves@xtra.co.nz

WEB MASTER

Jason Bowerman E: jason.bowerman@gmail.com

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.7 No.3 April 2016 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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MANUFACTURING NEWS

NZ Manufacturer April 2016

Through an ‘awareness campaign” regional manufacturers are coming forward telling us their stories and about their challenges in today’s manufacturing environment. Companies like Screw Productions of Rotorua, a manufacturer of industrial screws for the past 38 years using a unique Cold Forging process.

DESIGN & PRODUCTION

NZ Manufacturer is taking a long look at manufacturing in the regions, as you probably gathered from last issue’s editorial.

www.nzmanufacturer.co.nz

Paul Udall told us how important quality manufacturing is to his company and that substantial effort is put into insuring that product that reaches the market complies with the British Standard, which has been adopted as the New Zealand Standard. Screw Production’s range of fasteners may well be better than some that are imported because many importers do not have testing equipment to test the product they import.

cold pressed flax seed oil and seed meal. Eve Johnson, Development Manager, says the company is exploring new avenues in Japan where there is a lucrative market for Flax Seed Oil. FWF would like to see more support with funding opportunities. “As an SME, we are the future of New Zealand.” Eve wants to see more support for manufacturing. Of new technologies, opportunities to see, trial and adopt new ways to work. Now you have read a bit about Screw Productions and Functional Wholesale Foods – full stories on Page 25 -how is it for your company? Talk to us, let us share your story with fellow manufacturers.

Success Through Innovation

EDITORIAL

Conditions are tough for manufacturers and Screw Productions is slowly growing the market for specialty manufactured products. Functional Wholesale Foods of Geraldine specialises in the production of high quality,

Doug Green

Motivation will almost always beat mere talent. - Norman Ralph Augustine

MANUFACTURING TECHNOLOGY

The Internet of Drones has landed H3 Dynamics unveiled DRONEBOX,a revolutionary system that converges professional drone-enabled service activities with the Industrial Internet of Things. Welcome to the Internet of Drones. DRONEBOX is an all-inclusive, self-powered system that can be deployed anywhere, including in remote areas where industrial assets, borders, or sensitive installations require constant monitoring. Designed as an evolution over todayâ&#x20AC;&#x2122;s many unattended sensors and CCTV cameras installed in cities, borders, or large industrial estates, DRONEBOX innovates by giving sensors freedom of movement using drones as their

Commercial & industrial growth

vehicles. End-users can now deploy flying sensor systems at different locations, and measure just about anything, anywhere, anytime. They offer 24/7 reactivity, providing critical information to operators - even to those located thousands of miles away. Besides innovating in the world of unattended sensors, DRONEBOX eases the scalability challenges for drone service operators. Such service providers use professional drones to provide their customers with detailed aerial land surveys in mining or agriculture, perform infrastructure inspections, or monitor the progress of construction sites. However,

some

remote locations need regular or prolonged visits, which increase travel costs and risks to drone service providers. From an end-user perspective, despite providing powerful new insights within an industrial context, the mass-adoption of professional

UAVs is slowed by the special skills required to operate them. Conversely, by pre-deploying DRONEBOX systems at the right locations, travel to remote areas is no longer required, charging or handling drone batteries is eliminated, and sensor data is simply sent through a network for easy access and processing. DRONEBOXES can be installed anywhere so that drones can perform pre-programmed scheduled routines, deploy on demand, or be woken up by other drones or sensors as part of a much wider network of â&#x20AC;&#x153;thingsâ&#x20AC;?. As a network, DRONEBOXES can increase their effectiveness and mission times using collaborative technologies. Such deployments could offer first responder support in crisis events before sending humans into dangerous environments, such as nuclear power plant meltdowns, chemical spills, or natural disasters. DRONEBOX can charge drone batteries automatically within its shelter system.

Off-grid power is provided primarily by a solar-battery installation. For more advanced requirements, system capabilities can be extended using REMOBOX, an accessory that provides more advanced communications and hosts a small back-up fuel cell system for year long availability in mission critical locations. The use of mobile sensors hosted in networked DRONEBOXES could revolutionize precision agriculture, border and perimeter security, wildlife protection, critical infrastructure maintenance, telecom tower and wind turbine maintenance, oil & gas asset inspection, building and facilities management, just to name a few.

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

getba.org.nz

Greater East Tamaki Business Association Inc.

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NZ Manufacturer April 2016

MANUFACTURING TECHNOLOGY

The harder the conflict, the more glorious the triumph. - Thomas Paine

The Future of Manufacturing -Tony Glockler People love to predict the future: whether they will score a 100 on a test, receive a promotion, or win the lottery. Humans make predictions because it gives them a sense of hope and feeling of control over their future. Predictions also free people from fear and prepare them for the unknown. With the rapid speed of technological advancements, many ponder how this will affect the future of manufacturing. Robots, the Internet of Things, and technological obsolescence are a few technological factors that will shape the future of manufacturing. Understanding how these will affect the manufacturing industry will allow one to properly prepare for the future.

Robots The number of robots being used today for industrial work is close to one million. Robots are highly sought after by manufacturers due to their productivity, efficiency, and quality. Manufacturing robots are typically utilized for assembly line work at automotive plants, energy plants, and hospitals. T hey are useful for their ability to do a variety of repetitive tasks effectively and tasks that are dangerous to humans including heavy lifting, handling chemicals, and cutting and polishing objects.

Because of their usefulness, robots will only become more and more common, shaping the future of manufacturing. Many may wonder if robots will replace human factory workers. While this is inevitable, it will also create new professions that work alongside these robots. Robots are still imperfect and their abilities will never be sufficient to replace humans. Though it may change with the increased use of robotics, human labor will continue to be important, regardless of how mechanized industry becomes.

Internet of Things The Internet of Things, or IoT, is a network of physical objects including devices, buildings, vehicles, and other items becoming embedded with electronics, software, sensors, and network connectivity that enables the objects to collect and exchange data. Some examples include self-driving cars, room temperature control technologies, virtual reality, drones, and wearables. Many wonder how this will affect the future of manufacturing. IoT will improve the productivity of the manufacturing supply chain. Data generated by connected equipment can be used to improve processes, including changing design scales and models and maintenance decisions. Imagine, for example, smart products

that take corrective action to avoid manufacturing errors. With the Internet of Things, the future of manufacturing will revolutionize business applications and business models.

Technological Obsolescence Technological obsolescence is when objects become outdated in terms of utility. New technologies replace older technologies because they no longer meet the needs of current standards. Technological obsolescence leads to high waste levels because most products take time to decompose.

become obsolete faster and faster, the future manufacturer job will increasingly revolve around disposal of technological waste.

For example, you may buy the latest iPhone, which has the most storage and best qualities of any iPhone. However, two years later that same iPhone is outdated because the newest model has the most storage and best qualities. This product then becomes waste.

As technology improves, so will the processes of manufacturing. The future manufacturer will have to stay up to date with the latest trends of technology to make their work more efficient. Knowledge of the different possibilities of the future will allow manufactures to have to upper hand. It is imperative for workers in the manufacturing industry to understand how technological advancements may affect their work. Are you prepared for the future of manufacturing?

The future manufacturer will be aware of this problem and seek ways to engineer more eco-friendly products. Waste management will be a major concern. Manufacturers will have to come up with processes and materials that will lead to the smallest carbon footprint. As products

*Tony Glockler is the CEO of SolidProfessor, which provides online learning experiences for engineers and designers. Courses include concept-based video lessons, hands-on exercises, and progress tracking and cover engineering software and technologies. Members either learn through a linear experience or use SolidProfessor as an on demand reference tool.

options but sometimes through our quality we can make the products that make the difference.

of the year award. They performed… they were quality…they were the difference.

The world found that out recently with the All Blacks winning the world team

-Doug Green, Publisher, NZ Manufacturer

continued from page 1

The song remains the same It comes down to: the right staff making the right product for the right market on a quality basis, at the right price. It also comes down to the (potential)

New Zealand client buying New Zealand made. And when it comes to export markets locating the client, ‘sealing the deal’ is a real challenge. The world is full of

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I attribute my success to this: I never gave or took any excuse. - Florence Nightingale

MANUFACTURING TECHNOLOGY

Autodesk Inventor 2017 unveiled Autodesk has unveiled Inventor 2017, one of the most advanced 3D modelling solutions for manufacturing industry professionals. The latest version in innovative software for designers and engineers, Inventor 2017 delivers new professional-grade design, interoperability and communication tools aimed at supporting customers ever-expanding needs. “The manufacturing industry is witnessing an evolution of the role of the mechanical engineer. They are no longer solely responsible for the design of complex mechanical systems, but are often also tasked with complete product definition, design and delivery,” said Derrek Cooper, director of the Inventor product line. “With this latest version of Inventor, Autodesk is delivering new capabilities aimed at supporting all aspects of this expanding role.” Based on the requests of Inventor’s more than 11,000 alpha and beta testers and IdeaStation community, the company built Inventor 2017 to serve the expanding role of the modern professional engineer and provide customers with features aimed at simplifying the new aspects of their jobs: Professional-grade Design Tools help users design faster and optimize performance from the outset and include: • Enhanced sketching, part modelling, assembly management, surfacing and sheet metal capabilities

so users can capture and develop design ideas quickly and easily. • Additional Shape Generator capabilities such as symmetry and member size controls that help users explore lightweight designs and improve product performance. New Interoperability Tools help to pull disparate aspects of a project together, regardless of the discipline or software that was originally used and include: Expanded AnyCAD tools allow users to easily integrate non-native mechanical design data into Inventor models without translation, now including associative connections with the industry standard STEP format. Inventor’s latest update includes hundreds of enhancements including several customer-requested modelling tools. Shape Generator, an integrated design optimization tool powered by Autodesk’s Nastran technology, guides users in the design of structurally efficient parts. Other enhancements facilitate data and process management, ranging from improved mesh handling to new connections with Vault for customers using Inventor for factory design. “We work with suppliers and other partners who use all kinds of design tools and Inventor’s AnyCAD capabilities help us bring all this data together seamlessly,” said Tim Evans, Design & Engineering Manager from

Kalitta Motorsports. “It’s not just able to bring the data in, but as designs change it keeps everything up to date and avoids re-work, saving us a lot of time and money.” E n h a n c e d Communication Tools help customers share information with anyone on a project team, regardless of their role, company, location or software package: Design Shares on A360 accelerate feedback and approvals on designs in progress. They enable users to lift the 3D graphics off the screen and instantly deliver them to anyone in the world and on any device so collaborators can easily collect design feedback in a single secure location. • Enhanced animation capabilities to show assembly sequences and 3D PDF publishing to document designs. Design Shares on A360 help distributed teams get quick feedback on designs as they evolve. Recent enhancements now allow users to manage collaborators, review comments, and archive Design Shares directly from Inventor. 3D PDF enables customers to augment traditional documentation with high quality 3D content viewable directly in Adobe Acrobat Reader. New mesh handling capabilities enable uses to integrate mesh data into native

Inventor assemblies, easily constrain and pattern mesh objects, and detect interferences Simplified Subscription Choices Inventor standalone product subscribers will also see a simplification of editions with the 2017 release. Beginning today, the standard-level Inventor product is no longer available as subscription, and it is being consolidated with Inventor Professional to create just one subscription offering. New subscribers will now get the Inventor Professional product at a lower price that matches the old price of Inventor standard. This simplifies choices and provides greater value for subscribers, while making sure they have continuous access to the most up-to-date features and tools. This change does not affect maintenance plan or Suites customers. Current Inventor standard and Inventor Professional subscribers will receive more information about this change in an email communication from Autodesk.

u Visit

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NZ Manufacturer April 2016

We herd sheep, we drive cattle, we lead people. Lead me, follow me, or get out of my way. - George S. Patton

EMEX 2016 - Bringing manufacturing home Bringing Manufacturing Home will be a key theme at EMEX 2016 when the country’s leading engineering, manufacturing, innovation and technology trade event comes to Auckland from 31 May to 2 June.

inspires so many of New Zealand’s manufacturing, engineering and technology companies to not only remain competitive but to produce products and services that are up there with the very best in the world.

Celebrating local NZ manufacturers has always been core to the EMEX brand and this year will be no exception. Bringing Manufacturing Home is about recognising the manufacturing and innovation excellence that

One such example, and a special feature at EMEX 2016, is from Lower Hutt based company Fraser Engineering. Their Fire Engine manufacturing business is going from strength to strength as they begin the process of doubling the size of business on the back of moving into more markets. Fraser Engineering a l r e a d y manufactures about 90 per cent of the New Zealand Fire Service fleet as well as trucks for Australia, Pacific Islands, Fiji, Cook Islands, New Guinea and

NZ Manufacturer April 2016

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Asia. The future looks exciting as they expand production through investment in equipment upgrades and new technology to make the business more smart and efficient not to mention the need to hire an additional 20 staff to meet demand! Organisers XPO Exhibitions are excited to confirm that visitors will be able to get up close and personal on site with one of Fraser Engineering’s state of the art Fire trucks as a key feature at EMEX 2016. In addition, this year’s event features a dedicated and extended seminar session focussing on the ever popular topic ‘Additive Manufacturing ’ which, as you will be aware, is the term to describe the technologies that build 3D objects by adding layer-upon-layer of material, whether the material is plastic, metal, concrete or one day….. human tissue. Key stakeholders from ‘NZ Product Accelerator’ (www.nzproductaccelerator.co.nz) a government funded partnership between nine research organisations and Callaghan Innovation, will have a mix of

presentations summarising their R&D work and showcasing a number of recent commercial success stories through work done with a number of NZ companies. With over 155 leading exhibitors showcasing the very latest innovations and technologies, 3 days of industry lead seminars, special features, visitor prizes, including the chance to win a brand new Ford and exclusive VIP networking events EMEX 2016 is guaranteed to inform, educate and excite all those who visit. With support from leading industry organisations and educational institutions including NZMEA, Metals NZ, MESNZ, Callaghan Innovation and Auckland University, EMEX 2016 will be the industry’s highlight of the year. It attracts not only thousands of visitors, but hundreds of the most significant industry suppliers and specialists from all over the world. EMEX 2016 runs from 31 May to 2 June at the ASB Showgrounds in Auckland. Industry professionals can register to attend for free at www.emex.co.nz

It’s not about having the right opportunities. It’s about handling the opportunities right. - Mark Hunter

MANUFACTURING TECHNOLOGY

Bringing cutting-edge automation to New Zealand “Robots don’t get tired; they don’t lose concentration; and you don’t run the risk that they’ll develop a repetitive strain injury”, says Jon. CNC Design has been working with New Zealand machine builders since 1989, with one major goal: setting up their customers with the same knowledge and capability that they would get overseas. “Europe, particularly Germany, is at the forefront of machine building, and obviously, we are quite a long way away”, says Jon Marwick, Managing Director. “New Zealand machine builders suffer from a lack of access to that technology, and we’re here to provide them with the technology, expertise and support that will allow them to compete at an international level.” To do that, CNC Design has developed a close partnership with German firm Siemens and Swiss company Stäubli, world leaders in the field of automation and robotics. CNC specialises in service for the manufacturing, logistics and forestry industries, and has also recently developed into the food industry, where robotics are becoming increasingly important. One of CNC’s customers is a leader in the development of automation solutions for lamb processing floors, traditionally an area that relies on manual labour. “In the meat processing industry, the wash-down requirements are very high, and they use very strong caustic chemicals, so it was not an ideal environment for robots – they

had to be covered during operation”, explains Jon. “But Stäubli has developed machines that have the capability to operate without covers, which means they are more hygienic, faster, and have more freedom to move.” According to Jon, robots can help decrease health and safety risks on the plant floor. “Automated machines can provide a safer working environment – simply because operators are not involved in machinery as much, so we decrease the risk of industrial accidents”. Introducing robots into a chain work environment also means more reliability, as they are able to repeat the exact same task with no variations. “Robots don’t get tired; they don’t lose concentration; and you don’t run the risk that they’ll develop a repetitive strain injury”, says Jon. Finally, using automation improves productivity and eliminates the trouble of finding a reliable workforce – a particularly challenging task in the meat processing industry. “People generally don’t want to work in slaughter floors: it’s cold, wet, unpleasant… It’s very difficult to keep good staff, so improving automation in that industry is a major advantage.” Since the early establishment of CNC Design, the company has witnessed major shifts in technology trends, from the development of computer technology to the rise of Asia in the machine building market. “Retrofitting or upgrading used to be very competitive, relative to the cost of replacing the machine with a new one”, explains Jon. “But Asian manufacturing countries have had a big impact on the price of machines being imported to New Zealand, and now, new machines are significantly cheaper, whereas labour costs are still high. So it’s a much more difficult market for us.” The increased globalisation of communications also mean additional challenges for local suppliers like CNC: “In the early days of automation in New Zealand, we were involved in a lot of plant improvements in the manufacturing industry”, recalls Jon. “These days, because technology can be supported remotely via the

web, manufacturers turn more to the original European machine suppliers for support.” To remain competitive, local industries like CNC need to keep up to date with all the changes in their industry. This is a challenge that requires investment in research and training, which is why CNC have chosen some specific market segments to develop their competencies and be able to supply high-quality expertise. Jon believes that, even in the age of global support, local experts are not to be underestimated: “There’s a big drive to buy products over the Internet and import them at a lower price, but for international trading houses, these products are just a part number; for us, it’s a product we understand and can service and support.” CNC has spent time monitoring the trends in future technology and their possible applications in New Zealand manufacturing processes. The next big move in technology revolves around the Internet of Things, and is known as “Industry 4.0” (or “the fourth industrial revolution”) – following the previous industrial revolutions brought on by steam power, electric power and computing power. Jon says manufacturing trends are shifting towards more flexibility: “It’s all about integrating web technology into the manufacturing process; so an

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individual consumer could go online and order, for instance, a new car, and customise it completely to suit their needs. Then the plan could be automatically downloaded into the automation process of the factory.” It has been acknowledged that consumers nowadays want more choice, but the manufacturing process needs to adapt to reflect this trend. “That means short runs and fast product changeovers, and this is where automation and the Internet of Things become useful.” CNC Design is now investing into new technologies, such as renewable energy generation – they are currently working on developing small hydro generation systems for isolated communities in areas where access to the national grid is not available. The company is also getting more involved in energy savings and improvements in plants by helping clients reduce costs through smarter energy consumption, particularly by using adjustable-speed drive technology. “Our plan is to keep providing the best support and expertise we can to our clients, concludes Jon. “And learning all the new technology improvements and developments from our European partners, so we can bring that knowledge back to our customers in New Zealand.”

NZ Manufacturer April 2016

Looking forward to seeing you at EMEX EMEX Stand No 3026

Hi-Q Electronics Limited

sales@hiq.co.nz 0800 800 293 www.hiq.co.nz

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NZ Manufacturer April 2016

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Human beings have an innate inner drive to be autonomous, self-determined, and connected to one another. And when that drive is liberated, people achieve more and live richer lives.- Daniel Pink

Alma CAM software – Robot single cycle boiler welding The challenge: to weld an entire boiler in a single cycle COMPTE.R started looking into production line automation in 2013. After discarding conventional ideas, the concept of welding an entire boiler in a single cycle appeared viable. The final product: a 3-axis gantry entirely synched with the welding cell, based on a 12.5 m (41 ft) longitudinal axis, a 6.5 m (21.3 ft) Y axis and a 3.5 m (11.5 ft) Z axis. The cell enables weld

beads to be applied to the inner and outer edges of the boiler, which lies directly on the ground. This configuration should allow the robot to weld at least 80% of the beads after tack welding of the entire boiler.

The programming solution: act/weld software Off-line programming was the only solution for the unique system, due to its size and the difficulty of accessing

the welding zones. Teaching programming would have been too complicated and would have brought the production line to a standstill for too long. Alma’s act/weld software was one of the only software able to define weld beads, simulate the robot’s trajectories and generate the welding programs from an off-line computer. As an added bonus, act/weld comes with a “Duplication” function which enables the quick programming of a high number of weld beads. It is especially relevant in the case of a boiler to which hundreds of pipes must be welded. COMPTE.R’s robotic welding cell presented yet another challenge: how to ensure the absolute tightness of each seal in less-than-ideal configurations (vertical up, vertical down, overhead position, etc.).

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Alma helped solve the problem by adding new functionality to the already flexible act/weld. The software now recognizes slot welds. A boiler can hold more than 500 of them, yet the software’s programming time is less than 15 minutes. Bottom line: only 2 to 3 programming days are needed to set up the entire welding program.

For more information on Alma Sheetmetal Software Solutions contact: Revolution Precision Machinery Phone: 022 653 4817 Email: sales@rpmcnc.co.nz Web: www.rpmcnc.co.nz

NZ Manufacturer April 2016

Lean in, speak out, have a voice in your organisation, and never use the word ‘sorry. -Trish Bertuzzi

www.intercad.co.nz Intercad provide designers and manufacturers with leading design technology and technical services so they can develop products more quickly, productively, accurately and to budget.

Intercad to demonstrate the new design paradigm at EMEX

CNC mandrel bending is accurate and cost-effective with less waste. We operate 7 × tube benders with precision tool sets from 6 mm to 101 mm OD for mild steel tube, alloy and stainless — no humps, wrinkles or wall collapse. PRECISION TOOLING

REVERSE ENGINEERING

Our wide range of tool sets, from 6 mm to 101 mm, are specific to tube OD, material, shape, bend CLR and wall thickness.

Our two tube co-ordinate measuring tables allow us to reverse engineer your sample and provide accurate QA checks too.

MILD STEEL STAINLESS ALUMINIUM

VISIT US AT THE EMEX SHOW AT STAND 4036

15 Vulcan Pl. Christchurch

NZ Manufacturer April 2016

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The manufacturing process has traditionally been a linear one needing each stage to be completed before moving on to, for example, testing, redesign, retesting and then documentation.

One of the main drivers of the evolution in design toolsets is the rise of the Internet of Things (IoT), due in large part to the need to design sensors and circuit boards for products that previously never had them.

Competitive pressures and new technologies, such as the Internet of Things, are forcing many of these stages to be carried out in parallel so the products can ultimately get to market faster and more cost effectively. This pressure to complete and compete has seen the development of new software tools to support this shortened process.

“Let’s take the example of a fridge. In this new IoT era, the fridge of the future will have sensors installed that can tell when milk is running low. The sensor will then alert the app on the homeowner’s smartphone, telling them to pick up more milk on the way home,” said Gannon.

“There are products in the market now that effectively sit on top of SOLIDWORKS and enable manufacturing businesses to undertake parts of that process simultaneously with others,” said Jason Gannon, New Zealand Country Manager for Intercad, the leading reseller of SOLIDWORKS in the region.

“Normally, the circuit board required for the fridge to connect to the internet would have to be designed in a siloed scenario, separate from the design of the fridge itself. Once both were designed, they’d then be tested together to see if they were compatible.

“The product can be designed and tested at the same time with solutions such as SOLIDWORKS Simulation. This reduces the time needed, and the hassle for that matter, of designing, then testing, then going back and fixing the design before retesting.

“This additional step can add months to the timeline for getting a product to market, and with the IoT era starting to take off, being second to launch a product could prove a death knell – especially given things such as fridges are bought with a 10 year life cycle in mind.”

“Both of these can now be done in real time, as can other parts of the process. It’s no longer linear, and that is significantly reducing expense and time-to-market.”

However, new software such as SOLIDWORKS PCB enables the designs to be tested in real time, with errors detected as they happen and, most importantly, separate design teams can

Do you want to know who you are? Don’t ask. Act! Action will delineate and define you. -Thomas Jefferson

www.intercad.co.nz now collaborate on the same project at the same time. “SOLIDWORKS PCB enables teams to synch real-time, bi-directional updates between schematics and 3D models throughout the design phase,” said Gannon. “The time-to-market is reduced markedly as the step towards product manufacture is much faster

to get to. It’s a more competitive market than ever before, and the first to production is well on the way to winning market share.”

also be joined on its stand by PGE Injection Moulding, an innovative New Zealand manufacturer that promises to revolutionise the industry globally.

Intercad will showcase SOLIDWORKS PCB and other software tools at the upcoming EMEX event, to be held at Auckland’s ASB Showgrounds from May 31 – June 2. The company will

“PGE Injection Moulding’s technology is unique; it’s streamlined a way to mass produce titanium products using an injection moulding process,” said Gannon. “It uses SOLIDWORKS

software to significantly shorten the design process and reduce the expense of mould design. This, combined with the company’s unique offering, means it is revolutionising titanium product manufacturing.” Jason Gannon will be available at Intercad’s stand at EMEX (Stand number 2026/6) throughout the event.

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31 May - 2 June 2016

ASB Showgrounds, Greenlane, Auckland

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NZ Manufacturer April 2016

Winning isn’t everything, but wanting to win is. - Vince Lombardi

Visit the NZMEA at EMEX The New Zealand Manufacturers and Exporters Association (NZMEA) will be showcasing “Manufacturing in New Zealand” at EMEX this year. On the NZMEA stand, we want to show why manufacturing is indispensable to the New Zealand economy, how innovation is key to this and why it is important to connect your R&D and production. We will also highlight examples of products from our manufacturing member companies to show some of the exciting and innovative work that is being done nationally. We invite manufacturers to visit us to discuss your views on manufacturing as well as what we could do to help your business succeed. This could be access to knowledge and experience of other manufacturers, advocacy, or a variety of services and support tailored to suit your needs. The NZMEA supports and represents New Zealand’s vibrant manufacturing and exporting sectors. We have a single focus on manufacturing in New Zealand - promoting, supporting and advocating for the sector and our members. Our membership, made up only of manufacturers and exporters, allows us to have this focus. We believe a thriving manufacturing sector is vital to New Zealand’s economy, and is a key component to building a more prosperous,

productive and sustainable economy, with better jobs and living standards for all New Zealanders. To achieve this, we need successful manufacturing businesses, like yours, to generate export income, growth and employment.

Manufacturing is indispensable to the New Zealand economy. We Support Your Business – by circulating information, providing relevant events and training and other tailored services. We Connect You - to other manufacturer’s knowledge and provide networking and peer-learning with manufacturers like you. We Speak Up - on your behalf by actively engaging with the media and government to represent the views and concerns of our members, while promoting the achievements and importance of manufacturing. Come and talk with us on stand 2017. Contact us on 0800 353 2540 and www.nzmea.org.nz.

Ricks Trucking company provides services in the follow areas: • Extraction and installation of industrial plant and machinery • Floor to floor factory extraction / re-location • Container packing and devanning • Printing machinery specialists • Cranage and transport • Overdimensionl Silo / Tank Transport • Trade Fair Transport

See us on Stand 4054 Physical Address 55 Hunua Road, Papakura • Postal Address 840 Linwood Road, Papakura Phone 09 296 6910 • Fax 09 296 7312 • Rick 021 972 253 www.rickstrucking.co.nz • rickranger@xtra.co.nz

NZ Manufacturer April 2016

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A goal is a dream with a deadline. - Napolean Hill

REGIONAL MANUFACTURING

Screw Productions, Rotorua Paul Adlam tells NZ Manufacturer of the unique process used in the business and where the company wants to be in five year’s time.

Screw Productions of Rotorua manufactures screws and has done so for 36 years. The process used is unique in New Zealand as it is a Cold Forging process which produces a strong, good quality fastener. The standard Self Tapping, Woodscrew and Machine screw are the main products made but Solid Rivets can also be produced. A wide range of product is held in stock. What area(s) of the business are currently being developed? Manufacturing of special (custom made) screws is made easier by the company, as to obtain special screws off shore can be difficult, mainly because of the quantities of 1 to 200,000 minimum quantities required, whereas we require much smaller quantities. So a special Custom Made Screw can include any of the following: It may be Dimensional • Head Diameter made smaller to fit in a specific space • Head Diameter increased for greater under head contact • Head Height reduced to give a low profile • Length made to suit applications where length is critical • Thread Diameters may need to be adjusted slightly, particularly in Self

Tapping applications It may be the Recess

have developed over the years.

• Product being exported may require a Phillips recess, not Pozidriv (NZ Standard) • To prevent people easily dismantling a Product, like electrical, Security Recess required • Really positive Driving recess needed such as Squaredriv • Many other types of Recess’s are available It may be to Enhance a Product

Where do you export to and where are future Paul Adlam (right) and the team at a recent EMEX trade fair. opportunities? not have testing equipment to be able Export does not feature a lot in the to test the product they import. business. We only export a very small The government should be involved percentage of our production. in making sure these safety aspects How do you find current business of buying fasteners off shore are conditions? met. While many of the fasteners Conditions are tough and it is difficult coming into New Zealand are meeting to work out how to change that. With appropriate Standards, there is no the concentration on making special way of knowing how many don’t. It is products for manufacturing companies fortunate that there does not appear we are finding that this part of our to have been any serious accidents caused by faulty screws, bolts etc. business is growing but ever so slowly.

• Head shape altered to suit; say a raised countersunk head • Head marked with customers’ name or initials • More decorative, or unusual, Recess’s such as; 6-Lobe (Torx), Triwing, Phillips Other Combinations • Unusual combinations of head, thread, recess • Apply a “Shank Slot” to a thread to give cutting action during insertion • Unusual design of solid rivet We can help design a special screw which may include any of the above. Does the company place much emphasis on R & D? This is not something the company is involved in. The products manufactured follow a common pattern which we

What assistance would be beneficial to your company’s growth? The company’s quality is important and a lot of effort is put into insuring the product, that reaches the market, complies with the British Standard, which has been adopted as the New Zealand Standard. Rigorous testing is done to protect our quality. Fastenings coming into New Zealand are manufactured in areas of the world where testing, to see if a product complies with the accepted world Standards, may not be done. Fasteners that don’t reach the required Standards become a safety risk. Many of the people that import fasteners do

Staff. Is it challenging getting the right staff? This is a specialised industry so obtaining experienced staff is impossible. They can be sourced from overseas, or we train them. The future. What is the 5 year plan for the company? Where to from here? The company needs to concentrate more on obtaining special business. The biggest problem is locating that business. So we need to continue to put faith in our quality and the support of companies who want to be sure of the quality they buy and get more companies to “Buy New Zealand Made”.

FDF after lucrative Japanese market Eve Johnson sits on the board of Functional Wholesale Products and has come back into the company as Development Manager. Eve has worked with FWF for 11 years now and was formally CEO. She shares with NZ Manufacturer plans for the future. Functional Whole Foods Limited, based in Geraldine, South Canterbury, New Zealand specialises in the production of high quality, cold pressed flax seed oil and seed meal. The Company formulates these products with other natural extracts to produce and market a range of products with particular health benefits. The products are sold widely throughout New Zealand and a number of countries overseas. All products are made from New Zealand raw materials that are certified organic and are from sustainable production. The Company has established and built the flax seed oil market over the past 20 years and remains the market leader in New Zealand. Functional Wholesale Products is in partnership with The Herb Farm

developing and producing a range of healing cosmetics that are building momentum. What area(s) of the business are currently being developed? A.Our partnership with Japan – we are exploring new avenues and revenue streams in this lucrative market for Flax Seed Oil. B.New routes to market in New Zealand with opportunities to expand the concept overseas. Does the company place much emphasis on R & D? Yes we do and have worked extensively in the past with Massey University and Crop and Food, Canterbury. More recently with Lincoln University through Charles Brennon. We have found the use of students an excellent R&D find! Where do you export to and where are future opportunities? Japan, Australia, Malaysia, Thailand, Vietnam and the Czech Republic. Future opportunities in the UK and Europe, Hong Kong and China.

How do you find current business conditions? Business is always challenging as you have to drive the market rather than lead it. We would like more surety around the Therapeutic Bill proposals and more honesty from our government. We would like for HEMP to become legal to grow and sell so that we can compete with the rest of the world. New Zealand is known for our clean green imagine with food and cosmetics and we are in grave danger of ruining that with the use of poisons and our current lack of plan around organics and natural products. What assistance would be beneficial to your company’s growth? A. Support with funding opportunities – we fall in the SME category and can fall under the radar. We are the future for New Zealand. B. Support for Manufacturing – new technologies, opportunities to see, trail and adopt new ways to work.

www.nzmanufacturer.co.nz

David Musgrave, Managing Director.

Staff. Is it challenging getting the right staff? No not necessarily as we are a unique industry and in Geraldine have been lucky with the caliber we attract. It is about treating your staff with respect, paying fairly and valuing their input and skills. The future. What is the 5 year plan for the company? Where to from here? Innovation and change. Doing business, the same way we have for the last 20 years won’t necessarily change the next 20, so we believe that you have to challenge yourself, your business, your staff, your customers and their perception of your product in order to grow and innovate. We plan to stay firmly in the wellness industry ensuring that everybody we touch changes their health for the better.

NZ Manufacturer April 2016

Big shots are only little shots who keep shooting. - Christopher Morle

continued from page 1

A more useful model of tertiary education countering what appears to be a major PR campaign by the university system that feels it has its back against the wall financially. New Zealand is full of talented people with potential – the challenge is to create an education system that effectively enhances ability and channels skills into areas of need and opportunity. While the education system plays a huge part in filling skills gaps and continuously lifting the skills levels to keep New Zealand manufacturing globally competitive – the challenge extends to our manufacturers. We can take the initiative to develop skills of our people, through on- and off-the-job education. Retention of staff is another factor – improving working conditions,

By Dieter Adam, CEO of the NZMEA

providing opportunities for personal growth through training and other factors such as work flexibility, can all help retention, and improve productivity at work. What works will vary depending on business activities, but there are a lot of ideas worth exploring, many of which are already being done by NZMEA members. The NZMEA is working with the Productivity Commission on their research and we have already made an oral submission. We encourage any interested manufacturers to look at the questions asked by the Commission and contact the NZMEA to provide comments and feedback that can be included in our written submission – nzmea@nzmea. org.nz or call on 0800 353 2540. Manufacturing

businesses

should

have their say at this early stage to help ensure the Commission can best understand their skill needs, now, and

Many people will be better suited to a well-paid and rewarding career in manufacturing, but simply never see it as an option. into the future. It is widely believed that skills shortages can be addressed by importing people,

while training and upskilling our own people takes a long time – if it can be done at all. There is no doubt about the benefits of bringing talented and skilled people into the country, especially in the short term, where business needs are immediate. We believe, however, that, while this is important, it should be a complement, not a substitute for effectively training and educating our own people. A recent MBIE paper also shows that current high levels of immigration is largely driven by foreign students. “A relatively small proportion of migrants enter through policies for which the main objective is to supply skills and labour into the labour market”, the paper says. If the primary purpose of our immigration policy is to alleviate skills shortages in the short term, it’s not achieving its goals.

New Zealand distributor for Harting GmbH

Harting, leading the market with modular connectors to fit all applications, signal, data, control, data, pneumatic, USB, Check out the range at EMEX. Visit our stand - No.3076. We look forward to meeting you.

Connection Technologies Ltd, P O Box 39340, Wellington Mail Centre, Lower Hutt T: 04 566 5345 Lewis@connectors.co.nz www.connectors.co.nz

NZ Manufacturer April 2016

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SMART MANUFACTURING

If you’re offered a seat on a rocket ship, don’t ask what seat! Just get on. - Sheryl Sandberg

Transparent metal touchscreens A touchscreen is an essential feature of many modern devices, but the material that gives most screens their touch sensitivity is in short supply. By adapting newspaper printing technology, researchers have developed a low-cost alternative capable of printing conductive metal ink in lines so thin that they are invisible to the naked eye. A film of this fine metal mesh could potentially form the touch-sensing layer of future smartphone screens. Most touchscreens rely on an electrically conductive material called indium tin oxide (ITO). As skin is conductive, touching the screen alters its electric field, which is detected as a tap. Crucially for a surface layer of a screen, ITO is also optically transparent. Very few materials possess this combination of properties. Industry has responded to the spike in indium prices accompanying the rising demand for ITO by intensifying the search for alternative transparent conductive materials.

Gravure printing traditionally uses an etched mould to transfer ink on to paper. Here, the etched cylindrical mould instead transfers a precise pattern of conductive metal ink on to the touch-sensing substrate. Light from the screen passes through the holes in the printed mesh. Before this study, the finest lines that could be printed this way were approximately 50 micrometres wide, which blocked more than a third of the screen’s light. Zhang and his co-workers have overcome this limitation through

diamond micro engraving. Instead of using a laser to etch the grid-like pattern of tiny inkwells into the printer’s cylindrical mould, Zhang uses a tiny diamond-tipped cutting tool to pattern the roller using ultraprecision machining technology. Originally developed to manufacture lenses and optical components, “ultraprecision machining has never been used for gravure printing,” Zhang says. His team successfully adapted the machine to cut tiny inkwells on the roller, two and a half times smaller

than a laser could etch. Using this roller, the team printed a mesh of metal lines just 19 micrometres across. More than 80 per cent of visible light passed through this mesh, matching ITO’s optical performance. Although ultraprecision machining can produce very finely patterned rollers, the process is slow, says Zhang. “This is one disadvantage compared to lasers,” he says. Next the team will “improve the process of ultraprecision machining to make it faster, so the roller mould will be affordable to industry.”

XinQuan Zhang from the Singapore Institute of Manufacturing Technology and his co-workers are working on a promising alternative touch-sensitive film: a printed, mesh-like pattern of ultra-fine metal lines, created using roll-to-roll gravure printing.

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SMART MANUFACTURING

Outstanding people have one thing in common: An absolute sense of mission. - Zig Ziglar

Industry 4.0: companies worldwide investing over $US 900 billion per year Industrial companies from all sectors across the globe are getting down to business with Industry 4.0. The project’s implementation is in full swing all around the world: about one third of companies already rate their level of digitisation as high, and this value is expected to rise on average from 33% to 72% within the next five years. Industrial company’s leaders are digitising essential functions within their internal vertical value chain, as well as with their horizontal partners along the supply chain. In addition, they are enhancing their product portfolio with digital functionalities and introducing innovative, data based services. Companies worldwide want to invest approximately 5% of their digital revenue annually on digitisation. Based on the industry sectors surveyed, 5% of digital revenue corresponds to a total investment of $US 907 billion. A major focus of these investments will be on digital technologies like sensors or connectivity devices, and on software and applications like manufacturing execution systems. In addition, companies are investing in training employees and driving required organisational change. More than half of these companies (55%) assume they will amortise this expenditure within two years. These are the results of PwC’s global study “Industry 4.0: Building the digital enterprise” which surveyed over 2,000 companies from nine industry sectors in 26 countries. In the course of this transition, the managers surveyed estimate a cost reduction of on average 3.6% per year and additional revenues of on average 2.9% annually. In absolute terms, this corresponds to $US 421 billion in cost savings and a simultaneous revenue increase of $US 493 billion. “Companies expect digitisation to deliver huge benefits and are investing correspondingly large amounts. Our study shows that this transition is taking place in all the countries surveyed in equal measure, not only in industrialised countries,” says Reinhard Geissbauer, Partner at Strategy&, part of the PwC network in Germany and Head of Industry 4.0. “Even if only half of the expectations associated with Industry 4.0 are

NZ Manufacturer April 2016

fulfilled, it will fundamentally change the competitive environment in the coming five years.” At the end of this transformation process, successful industrial companies will become truly digital enterprises, with physical products at the core, augmented by digital interfaces and data-based, innovative services. These digital enterprises will work together with customers and suppliers in industrial digital ecosystems.

Data analytics is the driver for Industry 4.0 Over 80% of companies expect data analytics will have a significant influence on their decision-making processes in five years’ time. “Preparing data professionally provides a valuable insight into the use of products and makes a long-term customer relationship possible,” says Jesper Vedso, Partner at PwC in Denmark and Global Industrial Products Industry 4.0 Champion “Data analytics enables products to develop further and companies to add to services and offers aligned precisely with the needs of the clients.”

Lack of expertise: a barrier on the way to Industry 4.0 The companies surveyed see the problems in implementing Industry 4.0 less in acquiring the necessary technology, but more in the lack of internal digital culture, vision and training, as well as in a lack of specialists. For example, almost 40% of the companies surveyed rely on the analytics expertise of individual employees, but do not have dedicated data analytics departments. “It is prudent to build up sound expertise in data analytics and digitisation in one’s own company. The use of individual experts in collecting and evaluating data is not sufficient to implement Industry 4.0 strategies successfully,” declares Reinhard Geissbauer. “To be able to use them as a basis for decision-making, companies require data pools, algorithms and actionable recommendations prepared professionally.” The study outlines a further pre-requisite for successful digitisation in the provision of data security. “Digital ecosystems can only function if all participants can rely on

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the fact that their data will not fall into the wrong hands. This requires considerable efforts from companies, substantial investment in the security of their systems and clear standards for protecting their data,” says Reinhard Geissbauer. Digitisation impacts horizontally and vertically along the value chain. This means that on the one hand, companies need to better integrate processes and digitise their data flow vertically, from product development and procurement all the way to manufacturing and transport logistics. On the other hand, it means horizontal networking with key suppliers, customers and other partners in the value chain, e.g. by using track and trace solutions to follow product flows. For companies this means creating complex digital solutions. In addition, companies are developing new products and services with digital features, which span the entire product life cycle and therefore enable closer contact to end consumers. They also invest in digital services and create complete solutions for their customer’s relevant ecosystem, often in collaboration with value chain partners.

The objectives of digitisation differ from country to country Although companies worldwide are pressing ahead with Industry 4.0, the study shows regional emphases in their objectives: corporate groups in Japan or Germany are using digitisation above all to increase their efficiency and product quality. In the United States, the tendency is emerging to develop new business models with the aid of digital offers and services, and to provide these products and services digitally as quickly as possible. Manufacturing companies in China are focusing on holding up better against international competitors by reducing costs. “Our study shows that the level of digital integration will be broadly comparable in the regions in five years, with some countries like Japan, Germany or the US at the forefront. Instead of dividing the regions, we expect Industry 4.0 to bind companies and countries together more tightly and therefore even promote globalisation,” declares Jesper Vedso. Industry 4.0 focuses on the end-to-end digitisation of all physical assets and processes as well as integration into digital ecosystems with value chain partners. Data & Analytics is a core capability for Industry 4.0. Industry 4.0 applications are fuelled by key enabling technologies.

You can’t build a reputation on what you are going to do. - Henry Ford

SMART MANUFACTURING

Revolutionary camera helps prevent road accidents A unique, new dash-mounted camera not only records what’s happening on the road ahead, it can also prevent an accident and even help avoid being ticketed for speeding or running a red light. The revolutionary Thinkware Dash Cam’s special technology incorporates a Front Collision Warning System which can alert the driver when approaching too closely to a vehicle ahead. It also has a Lane Departure Warning System to warn of straying from a marked lane on highways or motorways. The warning technology on the Thinkware Dash Cam is currently only available on some brand new cars and this is the first time drivers have been able to obtain a product that fits any vehicle. Dash Cams are not new, but the Thinkware models take the technology and usability to a whole new level, according to Mr Paterson. Drivers who spend a lot of time on the road are using dash-mounted cameras as a record should they require it for insurance purposes and to catch incidents and near misses that occur all too frequently. With the Thinkware

Dash Cam they can also get the added benefit of Front Collision Warning and Lane Departure systems to help avoid a crash situation. That’s a very positive safety move. There’s also a safety camera alert that tells you if you are approaching a fixed speed camera or red light camera at junctions. The technology employed in the Thinkware Dash Cam reads the images to discern the distance between the owner’s vehicle and those on the road ahead. When it picks up significant changes it sounds an alert to the driver. Likewise, the sensors also pick up the white lines marking out lanes and will alert the driver if the vehicle strays outside them. Clever stuff. Its manufacturer describes it as a “premium” dash cam because of the high quality built into the unit. For instance, it comes with an anti-vibration mounting that cancels out vibration and ensures blur-free images, whilst also incorporating technology that eliminates windscreen glare. In the event of a power loss, the camera’s fail-safe recording uses a super capacitor to ensure that any

recordings in progress are stored securely, to keep data safe. The unit also has a built in GPS system that enables the camera to embed speed, time and location data to the recorded videos to p r o v i d e the driver with crucial information following an incident or crash, displayed in Google maps. While it may employ space-age technology, the Thinkware Dash Cam is simple to understand and operate and can be played back through a PC or Apple Mac computer in 1080P full HD. All these features are available on the X500 model.

For those who want even more technology, the F750 model has Wi-Fi, which enables the information to be relayed wirelessly to most modern phones. An App allows the owner to set the camera up via a smart device and adjust sensitivity of the safety warnings to suit the owner. This also results in a compact unit as it does not require a screen.

Smart Sinks unclog industry Disposal of liquid waste from a range of industries—especially waste containing solid residues—is difficult, costly and can sometimes cause unexpected damage. Craig Hanson, the inventor of the Smart Sinks filtration system, noticed that when he was working as a carpenter/builder, he was often called on to repair or replace cupboards around sinks, particularly those used with filters such as plaster traps in dental laboratories. “Dental nurses and lab technicians would regularly complain to me that emptying plaster traps was a smelly, messy job,” Hanson said. “I also saw a lot of incorrectly fitted traps which would leak over the cabinets.” Hanson developed a patented solution to remove particulate waste from cleaning water so that the solids can be disposed of in a bin or skip, leaving clean, potable water that can be released to the drainage system. As part of his demonstration of the effectiveness of Smart Sinks™, Hanson fills a glass with water from the final filtration stage and drinks it. The company’s multi-stage filtration and collection system completely eliminates fine matter from entering normal liquid waste disposal areas.

The Smart Sinks system is a versatile and flexible system designed and manufactured in Australia. The latest version is the Smart Sinks Filtration Bin, a fully mobile system suitable for both indoor and outdoor applications. This unit is ideal for tradespeople needing to clean equipment when working in high-rise construction sites or remote locations. Based on a standard ‘wheelie bin’, it comes with its own water supply that is recirculated back through the unit making it very environmentally friendly. They can also be used in conjunction with a ‘wet vac’ when cutting concrete or using a hole saw; the wet vac is emptied into the Smart Sinks Filtration Bin and solid waste is separated from the waste water.

ensuring that all waste is removed. Smart Sinks can be used to dispose of trade waste from professions such as plastering, tiling, concreting and rendering, and other industries that potentially release pipe blocking solid waste into the environment through our waterways, sewerage and drainage systems. In addition to helping protect the environment, Smart Sinks can also save money. Blocked pipes are

expensive to maintain and can cause lost productivity and costly repairs when associated cabinetry is damaged. Failure to comply with local government waste disposal laws and water authority guidelines can lead to large fines being imposed. Other models available range from a standard 450 mm built-in bench top unit through to various stand alone modules for use in laboratory applications and workplace situations.

In order for the Smart Sinks sediment filtration system to be patented, the design incorporates three disposable bags, a valve and visual indicators that simplify the use of the system. The filtration bags concentrate the solid material so that the bags from each of the three stages of filtrations can be simply lifted out and disposed of as standard rubbish. The primary filter collects up to 92 per cent of waste material, with subsequent filters

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NZ Manufacturer April 2016

ANALYSIS

Trying is winning in the moment. - Dan Waldschmidt

Instruments support environmental safeguards Industrialisation has left much of the urban environment contaminated with a variety of heavy metals, chemicals and pesticide residue. Research by a team from Macquarie University has produced a series of maps that plot the concentrations of metal pollutants across cities like Sydney and Darwin, and towns such as Mount Isa and Port Pirie. Director of the Macquarie team is Professor Mark Taylor, an academic and former Commissioner of the NSW Land and Environment Court. Senior researcher, Marek Rouillon, and the rest of the group, investigate environmental pollution and risks to human health from aerosols, dusts, sediments, soil and water. The team works in a range of locations across Australia, including Broken Hill, Mount Isa, Newcastle, Port Pirie, Sydney and Townsville. Professor Taylor also provides expert evidence and advice to government, industry, lawyers and community groups on a range of environmental matters, particularly environmental pollution. He has also written more than 100 research papers and reports that have been published in peer reviewed journals, in addition to articles for magazines and newspapers. Results of the survey indicate the spread of contamination in many ways reflected the growth of major cities, with the highest concentrations in older suburbs. The contaminant of

most concern across Sydney backyards is lead. According to Professor Taylor, it would be expected that there would be contamination in a major city. “We live in an industrial environment,” he said. “We have used lead-based petrol and paint for most of the 20th Century.” One technique that is key to the work being conducted by the Macquarie team is X-ray fluorescence spectrometry (XRF) analysis for measuring levels of contaminant metals. Simple screening for toxic metals is performed by placing an analyser—such as the Delta Premium from Olympus—directly onto soil or dust. The analyser provides detection of metals for site characterisation, contamination tracking, remediation monitoring and property evaluations. Andrew Saliba, Regional Sales Specialist with Olympus, said the latest portable X-ray fluorescence (pXRF) analysers, such as the Delta Premium, have been developed specifically for complete environmental investigations of metal contaminants in a wide range of industrial and domestic materials. The high-power, high-performance, incredibly rugged Delta allows in-situ analysis in a wide range of harsh environments from remote mining and exploration sites to backyards in major urban centres. The latest model Delta unit offers increased speed and improved sensitivity. It also lowers the limit of detection (LOD) for challenging

elements such as cadmium, barium, lead, mercury and tin. An ability that is unique to the Olympus product. According to Saliba, the traditional use of pXRF has been for alloy identification, grading ore, mineral exploration, metallurgy and mine site remediation. “The technology has been refined and is now often used by environmental consultancies specialising in contaminated land remediation and recycling companies needing to determine what materials are in waste products,” he said. Macquarie researcher Marek Rouillon has been working to evaluate the reliability and repeatability of XRF analysis on environmental samples. Professor Taylor and Rouillon regularly present their findings at seminars, outlining the spread of heavy metal contamination in suburban gardens in addition to explaining the application and relevance of the pXRF instrument for this project. Typical ‘natural’ or ‘background’ concentrations of lead for the Sydney region are in the range 20 - 30 mg/kg or parts per million (ppm). However, due to the intense use of lead containing products, much of Greater Sydney has been contaminated with the metal. Their results indicate Sydney residences have a mean soil lead concentration of 220 mg/kg which is approximately 10 times the typical natural background for Sydney’s soils and rocks. In 2012, the Centres for Disease Control

and Prevention in the USA stated that there is no safe blood lead level for young children. Prior to this, health authorities around the world had issued guidelines for ‘acceptable’ levels of lead contamination, but surveys and reports have shown that even at the lowest levels there were health effects in children, including impaired brain development and behavioural disorders. In conjunction with the contamination mapping, Macquarie researchers also run the community orientated VegeSafe program. This is the largest study of its kind in the country and has provided information about metal contamination levels to more than 500 households across Sydney, and over 1000 households across Australia. VegeSafe seeks to inform people about metals and metalloids in their garden soils and provides a free sampling program for domestic and community garden soils. Participants submit soil samples from private or community gardens and receive a formal report and links to information and advice about “what to do next” if the soils contain elevated concentrations of metals and metalloids. “The VegeSafe motto is ‘Carry on Gardening’,” Professor Taylor said, “because this is exactly what we want people to do knowing that their soils are metal free as is the produce from their gardens.” According to Rouillon, the simplest mitigation technique for householders would be to cover the contaminated soil with either grass or mulch, to effectively reduce the potential generation of dust if the soil is dry and gets picked up by wind. In contaminated suburbs where vegetables will be grown, the Macquarie team recommends growing produce in above ground Vegetable plots, using fresh clean topsoil. “Typically, undisturbed soil in urban areas accumulates contaminants over long periods of time and should be avoided when growing home produce” Rouillon stated. “Our recommendations are determined by different scenarios and contaminant concentrations,” Rouillon said. “VegeSafe provides specific recommendations and advice to a gardener for their particular situation.” Other uses of pXRF analysis include extreme-weather debris migration studies, agriculture soil inspections and construction and demolition waste sorting. A further use is as part of hazardous waste screening for disposal classification.

NZ Manufacturer April 2016

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SMART MANUFACTURING

Fall down seven times and stand up eight. - Proverb

Is the meaning of work about to change? Our world is facing a crisis cubed: jobs are disappearing faster than they are being created; companies are struggling to attract people with the right skills; and people rightly worry how new technology will threaten their livelihood. These global challenges affect developing countries as much as highly industrialized economies. It’s increasingly clear that creating more jobs is not enough, nor is it the real solution. This solution is based on a big misunderstanding. To tackle this crisis cubed, we need to focus on not just jobs but on people earning incomes. This requires us to develop a new model of work. What is clear is that the transformations that are now taking place worldwide, resulting in the loss of jobs, are caused by forces we cannot alter. The disruption of our world of work is the result of a tectonic shift just as dramatic as industrialisation and urbanisation and it occurs along three fault lines: 1. Technology: The speed and breadth of today’s innovation affect every single job and skillset. Automation, artificial intelligence, Big Data analytics, the Internet of Things and mobile technologies are levelling the playing field – not only geographically but also across the spectrum of businesses from big to small. Not all of this disruption is positive. New technologies could result in a net loss of more than 5 million jobs by 2020, warns a recent World Economic Forum report. 2. Talent: We are facing a massive skills gap. Today’s education systems simply can’t keep up with the rapid pace of change. Too many of today’s graduates

are merely not business-ready for the jobs that now exist. For the rest who may not have the academic credentials and special skills, they face barriers as well, as the non-cognitive skills they might possess are often discounted. 3. Millennials: In 10 years, the millennial generation will make up 75% of the global workforce. They are different, very different. Not only are they digital natives, they also have a different set of values; they want purpose in their lives, flexibility with their time and a healthy work-life balance. More than half don’t even want a job but want instead to do something on their own. What did people do before there were jobs? Neither governments nor companies can become sustainable engines of job creation. But then this crisis is not actually about “jobs”. Let’s go to the early 19th century: what did people do before there were jobs? Well, certainly they worked - usually for themselves - in agriculture, as craftspeople, as tradespeople or in other ways as part of their local economy. This “cottage industry” work lacked scale; it was local by necessity. When corporations came along in the 19th century, they simply took these workers, organised them and with the aid of steam-powered factories and early industrializing technology, created focus, efficiency and scale. They brought us the big corporations we now have today and that worked for a long time. Yet this model is fast becoming obsolete. Today’s most valuable companies, like Apple, employ a proportionally small number of people. At the same time

the job market is shrinking almost everywhere because of the forces mentioned above. We simply must change our model of work and look beyond traditional jobs, beyond governments, beyond corporations. We must develop concepts that provide the flexibility and resilience needed for people to thrive amidst this massive disruption. The whole world can’t be Bill Gates Rolling out the alternative to a job with the government or with a corporation requires focusing on start-ups, self-employment, self-made work, entrepreneurship. Yet, for most people many of these notions conjure up images of larger-than-life figures, of a Bill Gates or Mark Zuckerberg or, perhaps, some teenagers who - fuelled by take-away pizza - burn the midnight oil coding new apps. When we hear terms like these, we think of a path that’s risky, requiring top education and out-sized intelligence and ambition to succeed. Company minus hierarchy equals collaboration Take away the hierarchies of today’s corporations and what are we left with? At their core, companies are a collection of people engaged in collaborative efforts. It is this collaboration that is at the heart of our new model of work. Let’s look at it from the perspective of individuals. What they need for success are business templates that leverage their skills, match their interests and - most importantly - nurture the right mindset that will allow them to be collaborators in this emerging new economy.

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They should not just be trained with cognitive skills or STEM smarts, but also non-cognitive skills such as creativity, self-discipline, resourcefulness, endurance – none of which are measured by tests and few of which are taught in school. People with those non-cognitive skills may not feel comfortable calling themselves entrepreneurs … but from a mindset perspective they are! And with the right tested templates, models and tools, they will be able to generate an income that allows them to be independent and stand on their own two feet. Just last week I used my Uber app and was picked up by an older middle-aged woman who told me she previously had been cleaning houses a few days a week. Now, she proudly reported, she was making much more money and with the flexibility the work offered, was able to drop off and pick up her granddaughter from school each day. I asked what new skills she had to learn. “None,” she said. She already knew how to drive, she knew the area, and always loved meeting new people. Lessons from the world’s most valuable companies Corporations, meanwhile, will have to abandon their traditional hierarchies and structures. Take the world’s two most valuable companies, Apple and Google: their strength does not come from making things but from the collaboration within the huge ecosystems they have created. Think Nike, too. They are designers and marketers supported by collaborative companies and individuals.

NZ Manufacturer April 2016

WORKSHOP TOOLS

If you aren’t going all the way, why go at all? - Joe Namath

Chlorine analyser requires no maintenance Leading Australian instrumentation supplier, ProDetec, has announced that SIGRIST has released a new free-chlorine analyser that self-cleans to ensure a consistent accurate reading of chlorine levels every time in seconds. Perfect for the treatment of drinking water, water in beverage and food production and process water in various industries, the Sigrist AquaDMS Disinfection Measuring System helps technicians effectively optimise the chlorination of water. The Sigrist AquaDMS Disinfection Measuring System can precisely measure chlorine levels over long periods of time because all sensors are equipped with an automatic sensor cleaning function called ASR.

This function ensures that all the Sigrist AquaDMS’s sensors are automatically cleaned at least once within a 24 hour cycle to deliver a precise reading of chlorine levels every time. The process removes coatings of organic and inorganic material from the sensors to provide zero point stability and no drift.

Fast, efficient and highly reliable, the Sigrist AquaDMS analyser allows you to directly measure chlorine levels within the water in real time. This removes the need to send water samples to a lab and gives the technician precise and immediate control over chlorine levels so that they can be adjusted if necessary.

Plus, the automatic cleaning function eliminates the need for the Sigrist AquaDMS to be manually cleaned and the use of chemical additives. This saves both money and valuable time that can be directed elsewhere.

Compact and easy to install, the Sigrist AquaDMS Disinfection Measuring System is all encompassing. It includes an intelligent control system and flow regulator. The operator touch screen, sensor, assembly and wiring are pre-mounted on a panel.

Further, the system’s self-cleaning mechanism also allows installations to benefit from the convenience of longer calibration cycles.

status messages. The flow regulator ensures a stable flow of water through the system for the continuous accurate measurement of disinfectants. The measuring system is also flexible. As free chlorine measurements are affected by pH and temperature, an optional pH electrode can be integrated into the Sigrist AquaDMS. An input is also available for temperature as well as digital in and out.

The control system features an easy to use touch screen and colour display that clearly illustrates values, alarm and

Versatile barcode reader for harsh industrial use With the new Industrial Handheld Reader BVS HS-P Balluff expands their offering of optical identification:

the portable reader with intuitive operation reliably reads high-resolution barcodes as well as codes over a wide range at a read distance of up to 110 centimetres. Direct Part Marking (DPM) codes can also be read. The ruggedly constructed device offers IP 65 protection and withstands drops from up to two meters without any damage. The wireless version features Bluetooth to give the user the greatest possible freedom of movement within a range of up to 100 meters around

the base station. This flexible portable reader is ideal for a variety of applications including traceability, automated replenishment and logistics. The ergonomically designed Industrial Handheld Reader BVS HS-P decodes all common 1D, 2D and stacked barcodes on objects moving at up to 0.8 meters per second. Even tilts of up to 40° and rotation angles of up to 180° do not affect the read reliability. The optical aiming system with a highly visible laser marking border

makes handling and target acquisition simple. Acoustic and optical LED signals including a projected LED spot on the code ensure reliable read confirmation in loud or bright surroundings. The wireless version with its high-capacity rechargeable battery increases the flexibility and enables a variety of portable situations. The Industrial Handheld Reader BVS HS-P is simple to integrate via USB, Bluetooth or RS 232 interface. The ergonomic design and low weight ensure comfortable and fatigue-free work.

Novel system recovers energy normally lost in industrial processes Each year, energy that equates to billions of barrels of oil is wasted as heat lost from machines and industrial

processes. Recovering this energy could reduce energy costs. Scientists from Australia and Malaysia have developed a novel system that is designed to maximise such recovery. Heat can be converted to electricity by devices called thermoelectric power generators (TEGs), which are made of thermoelectric materials that generate electricity when heat passes through them.

Previous studies have attempted to use TEGs to recover energy from the heat generated by, for example, car engines, woodstoves and refrigerators. However, When two kilowatts of energy were supplied under normal TEGs can only convert a circumstances to the novel system, the researchers recovered small amount of the heat approximately 1.35 kilowatts of heat: over 67% of the supplied to them, and energy supplied.

NZ Manufacturer April 2016

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the rest is emitted as heat from their “cold” side. No previous studies have attempted to recover energy from the waste heat that has already passed through TEGs. Researchers from Malaysia’s Universiti Teknologi MARA and RMIT University in Australia set out to develop a system that can do this. The researchers designed a novel system in which a TEG was sandwiched between two heat pipes, which are devices that can efficiently transfer heat. One pipe delivered heat to the TEG and the other collected heat emitted from the other side. The team built a small-scale version of their system to test in the lab before larger scale versions are made for real-world applications. In this test system, the energy source was not heat wasted by machinery, but an electrical heater. Using a controlled heat source in this

way ensured that the researchers knew how much energy entered the system. The supplied heat was transferred to eight TEGs via heat pipes. The researchers measured the amount of electricity produced by the TEGs and the amount of energy recovered from their cold side. When two kilowatts of energy were supplied under normal circumstances to the novel system, they recovered approximately 1.35 kilowatts of heat: over 67% of the energy supplied. In addition, the TEGs generated 10.39 watts of electricity during the heat recovery process. Both heat pipes and TEGs are passive devices that require no energy input besides the waste energy, and the findings demonstrate that these simple devices can be used to generate electricity and make energy recovery more efficient. The work could provide the basis for future development of larger scale energy recovery systems.

WORKSHOP TOOLS

Act as if what you do makes a difference. It does. - William James

Turning stainless steel from start to finish Pramet’s range of turning tools for stainless steel has been further extended with the launch of a new chip breaker and wiper inserts. The NMR chip breaker provides a reliable option for longitudinal and face turning with high stock removal in medium and roughing operations. This new geometry further enhances Pramet’s range of double-sided chip breakers for all turning stainless steel applications, which already includes NM for medium turning and NF for finishing to medium turning. NMR’s positive geometry offers increased reliability through its

strong cutting edge, which features a protective peripheral land. It is ideal for heavy machining and less stable conditions, with higher metal removal rates and predictable insert behavior providing increased tool life and productivity. The NMR chip breaker is available for many types of Pramet inserts, including CNMG, DNMG, SNMG and TNMG. Meanwhile, Pramet has also launched a new range of wiper inserts for turning. Compared with standard inserts, the W-FM and W-NM wipers promote increased productivity by supporting higher feeds, as well as high quality

machined surface, due to its new wiper edge. In straight turning and facing operations, the smoothing effect of the wiper results in improved quality of surface roughness. If used properly, it can prevent the need for additional grinding operations, saving further costs.

low carbon steels. Both feature a positive front land which further promotes smooth machining.

Single-sided positive inserts with the W-FM positive geometry are suited to machining stainless steel and steels. The double-sided negative inserts with the W-NM highly positive geometry are ideal for machining stainless steel and

Couplings provide accurate measuring results Essential components for torque measuring flanges in test benches are shaft couplings, which reliably compensate for any shaft misalignments. In this way, they ensure accurate measuring results and also protect the bearings installed into the shaft train against wear. Based on the tried and tested, backlash-free and torsionally rigid ROBA-DS construction series, mayr power transmission offers compensating couplings which are specially tailored to the high

requirements placed on them in measuring flanges. The measuring result is always only as good as the shaft misalignment compensation coupling used, as shaft couplings are of decisive importance in order to minimise the disturbance variables affecting the measuring flange. Such disturbance variables frequently occur due to alignment errors in the drive line. Therefore, radial, angular and axial shaft misalignments occur in almost

all applications between the input and output sides. Even a high-precision alignment of the shaft train with state of the art laser alignment devices can only assist to a certain extent. In addition, misalignments cannot be completely eliminated due to the existing tolerances in the measurements of the components used and the external influences such as temperature. Therefore, torsionally rigid shaft misalignment compensation couplings

are used together with the measuring flange. mayr power transmission offers ROBA-DS compensating couplings, which are especially tailored to the requirements placed upon them by modern measuring flanges.

Taking the heat out of energy conversion An improved method to track and control heat generation in electric motors for cars, or power generators, such as those in wind turbines, has been developed. The scientists devised a numerical model that can predict the thermal properties of these energy conversion machines which includes heat transfer across multiple device components. For permanent magnet electric machines, a precise knowledge of the temperature distribution is important, as excessively high temperatures can degrade their magnets and electrical windings, and can even lead to a complete failure of the machine. A detailed understanding of heat creation and distribution is crucial for

their design, says Jonathan Hey, from SIMTech who conducted the study along with colleagues from the Imperial College, London. “These machines are often constructed from an assembly of multiple components, and complex heat transfer mechanisms between the components make it difficult to model the process accurately.” Previous models either have modelled heat conduction within individual components, or studied heat convection on a larger device scale, but failed to consider the specifics of heat transfer across individual component parts. To solve the issue of simulating the heat transfer between components, the model added a virtual thin

material between the simulated parts. A mathematical optimization process was used to determine the thermal properties of the virtual thin material such that it best describes the heat transfer across the interface. Other components of the machines, such as the heat generated by the permanent magnet, are modelled using a similar inverse modelling method. The computations reveal that the imperfect contacts between components contribute considerably to the thermal properties of the entire machine. However, by including the modelled interfaces into the simulation, and by using experimentally determined parameters, the numerical modelling technique achieves a realistic model of the heat distribution.

The model is so accurate that it differs to the measured one by a mere 2.4 per cent. In future research, the goal is to apply this model to machines of different size and configuration, adds Hey. “Part of the development is to translate the modelling technique into a software tool that can be used by a machine designer. Such a software tool could improve the power density and reliability of next-generation high-performance electric machines.” Using these computer models, the software tool could reliably model the properties of a broad range of devices, and therefore help develop prototypes of more efficient energy generation machines.

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FOOD MANUFACTURING

You just can’t beat the person who never gives up.

- Babe Ruth

Redefining the science of better If you are a grower contemplating how much land to allocate between two crops — say, grapes and kiwifruit— what factors will you consider? An important point to think about will be the revenue each can earn. You will plant more grapes if it earns you more money than kiwifruit. However, by the time the two crops are ready for harvest, their revenues may have swapped positions – a phenomenon that is commonly observed in practice owing to the commodity nature of these crops. There are well-known benefits of growing a different crop in the same land, such as crop rotations, which improve the soil structure and break the pests’ reproductive cycles. Professor Boyabatli works on analytical models that take into account variables to answer the grower’s questions about land allocation. But models like these do not apply to growers alone. “My main research is on Operational Decision-Making in Commoditisied Industries, with the special interest in the agri-business,” he elaborates. “What I do is to look at different supply chain agents in agricultural industries, such as a farmer, a processor, a refinery. Then I examine the operational problems among these agents, for instance, capacity investment, procurement or product pricing. These are all operational areas

that require decisions.” Professor Boyabatli has also applied his analytical models to optimise the procurement process for processors (i.e., meatpackers) in the beef industry, as in the case of Integrating Long-Term and Short-Term Contracting in Beef Supply Chains.

Building the model Professor Boyabatli’s main task starts with understanding the business processes, deciding on the important variables, and then developing a quantitative model that considers all these facets to answer particular questions. “By using applied mathematics and probabilistic analysis, my goal is to come up with some managerial insights,” he explains. With his analytical model, he can advise a grower on what actions to take should a particular event occur. “Let’s say the price of corn increases. What adjustments should the farmer make?” he questions. “How much are the crop rotation benefits? Is it really significant and should the farmer consider them?” Using the model, I can say, “Look, in your case, rotating crops increases your profit by 20%. That’s really important.”

So what factors need to be considered when setting up an analytical model?

NZ Manufacturer April 2016

“If your corn prices are expected to increase more significantly than your soybean prices, then you should plant more corn.” Hence, it is important to establish a hierarchy of factors to consider in the model. “Ask the grower to prioritise,” Professor Boyabatli suggests. He also shares that he is not the only person working in this area. “There is a big community of academics studying economics of agriculture. I look at

what other people have developed and build on what they have done. That also helps me determine which factors are important and which ones are not so important.”

Calibrating with real-world data Once Professor Boyabatli comes up with an analytical model, he calibrates it using real-world data to represent a typical decision-maker in practice. Quoting the example on crop allocation, he says, “By keying in crop prices, crop yields, rotation benefits for a typical farmer in, say, Iowa, my model gives a recipe. That recipe, however, may not be suitable for a farmer in Minnesota because the environment is different.” To make sure that his findings are robust, Professor Boyabatli solves his models without making any assumptions on parameters. Calibrating these models using real-world data enables him to generate additional managerial insights. Model calibration is not as easy as it sounds. “It is made difficult because you need to find the data,” says Professor Boyabatli. However, such data are regarded as trade secrets in numerous other sectors, thus making calibration difficult, if not impossible. Another difficulty is the extra analyses required for generating insights after calibration. “In many fields, this is called numerical analyses,” he discloses. “So when you build the analytical model, you need to conduct simulations to explain them.” These analyses require complex tools to fit the model components to data and to simulate the calibrated model. The farmer does not need to understand the complex tools involved in the analysis. “All they need to know is what they are supposed to do; I’ll be the one explaining to them why,” he says. “If your corn prices are expected to increase more significantly than your soybean prices, then you should plant more corn. But how much more? Well, I’m going to tell you exactly how, based on the model.”

Professor Onur Boyabatli.

“There is always a trade-off,” Professor Boyabatli says. “Ideally, we want to put every factor in the model to make it more realistic, but this increases its complexity, making it harder to solve.” And even if the complex model is solved, he adds that it will still be hard to extract managerial insights, “because there are so many moving parts.”

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FOOD MANUFACTURING

Whatever you are, be a good one. - Abraham Lincoln

NSF International acquires Burwater Pacific Group Strengthens food safety and quality services Trans-Tasman NSF International, a global organisation with over 70 years’ experience in food safety auditing, training and consulting, has acquired the Burwater Pacific Group, a leading food safety training, auditing and consulting business based in New Zealand. Through this acquisition, NSF International will expand food safety and quality services to a wider New Zealand and Australia food manufacturer and retail market. The Burwater Pacific Group has worked closely with NSF International for several years, providing food safety auditing and training services for NSF International clients in New Zealand. The Burwater Pacific Group, led by Nigel Burrows, will be renamed NSF Burwater and become part of NSF International’s Food Safety and Quality Division, reporting to Peter Bracher, Managing Director, NSF International Asia Pacific. NSF Burwater will continue to run the New Zealand School of Hygiene Ltd, the Food Auditor Ltd, and Shoppers Anon Ltd., a leading mystery shopping service. Both NSF International and the Burwater Pacific Group share a similar commitment to food safety, training and auditing services. With over 100 years of combined food safety experience, the NSF Burwater team will continue to lead food safety operations throughout New Zealand and Australia, supported by the added strength of NSF International’s technical experts in the US, Asia, Europe and Latin America. Benefit of acquisition to NSF International food safety clients.

Existing NSF Burwater clients will now have access to NSF International’s extensive suite of services, helping food businesses to protect their customers and their brands.

Group to the NSF International Global Food Safety and Quality Division enables us to provide global auditing, certification, training and consulting services to the New Zealand and Australian food industry for our multinational retail customers and complements our current operations in the Asia-Pacific region, where we have offices in Korea, China, Thailand and India,” said Tom Chestnut, Senior Vice President, Food Safety and Quality, NSF International.

“The addition of the Burwater Pacific

“We welcome the expertise, strong

Consultation, coaching and formal training in all areas from basic food handling to food safety program development and allergen management. Benefit of acquisition to NSF Burwater clients.

Introducing

reputation and shared commitment to food safety that the Burwater Pacific Group brings to NSF International’s food safety and quality business.” “Burwater has already forged a strong working relationship with NSF International,” said Nigel Burrows, now Regional Director for NSF International in New Zealand and Australia. “The opportunity to have access to the technical expertise of NSF’s Food Safety and Quality services will benefit New Zealand and Australian Food businesses on a local and global level.”

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

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Environmental sustainability Social and ethical concerns Nutritional information Safety and quality Origin

As a result of the acquisition, multinational food businesses will have their food safety auditing, certification, training and consulting needs supported throughout New Zealand and Australia. Services offered via NSF Burwater include: • Technical Consulting – Services for new product launches including product development, label review and development, food control plans and HACCP development, micro and chemical sampling, internal auditing, training and product development. • Auditing services – Franchise compliance and operational standards review and audits as well as global standards and third-party regulatory audits including high risk food categories. • Training

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Why the Need for inSight™? inSight™ takes product assurances into the 21st century inSight™ is a new brand developed by New Zealand Government owned AsureQuality, global experts in food safety and quality. We know how important food safety and quality is to you. We wanted a way that you could get independently verified information about a product, that would give you confidence in it before paying for it. inSight™ makes sense because: • You want to know more about the food you are eating

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NZ Manufacturer April 2016

THE FUTURE OF MANUFACTURING

The road to Easy Street goes through the sewer. - John Madden

The fourth industrial revolution needs wi-fi in everything The upside of Wi-Fi is that it’s everywhere - invisibly connecting laptops to printers, allowing smartphones to make calls or stream movies without cell service, and letting online gamers battle it out. The downside is that using Wi-Fi consumes a significant amount of energy, draining the batteries on all those connected devices. Now, a team of computer scientists and electrical engineers has demonstrated that it’s possible to generate Wi-Fi transmissions using 10,000 times less power than conventional methods. The new Passive Wi-Fi system also consumes 1,000 times less power than existing energy-efficient wireless communication platforms, such as Bluetooth Low Energy and Zigbee. A paper describing those results was presented in March at the 13th USENIX Symposium on Networked Systems Design and Implementation. The technology has also been named one of the 10 breakthrough technologies of 2016 by MIT Technology Review. “We wanted to see if we could achieve Wi-Fi transmissions using almost no power at all,” said co-author Shyam Gollakota, a UW assistant professor of computer science and engineering. “That’s basically what Passive Wi-Fi delivers. We can get Wi-Fi for 10,000

NZ Manufacturer April 2016

times less power than the best thing that’s out there.”

frequency -- to a single device in the network that is plugged into the wall.

Passive Wi-Fi can for the first time transmit Wi-Fi signals at bit rates of up to 11 megabits per second that can be decoded on any of the billions of devices with Wi-Fi connectivity. These speeds are lower than the maximum Wi-Fi speeds but 11 times higher than Bluetooth.

An array of sensors produces Wi-Fi packets of information using very little power by simply reflecting and absorbing that signal using a digital switch. In real-world conditions on the UW campus, the team found the passive Wi-Fi sensors and a smartphone can communicate even at distances of 100 feet between them.

Aside from saving battery life on today’s devices, wireless communication that uses almost no power will help enable an “Internet of Things” reality where household devices and wearable sensors can communicate using Wi-Fi without worrying about power. To achieve such low-power Wi-Fi transmissions, the team essentially decoupled the digital and analog operations involved in radio transmissions. In the last 20 years, the digital side of that equation has become extremely energy efficient, but the analog components still consume a lot of power. The Passive Wi-Fi architecture assigns the analog, power-intensive functions - like producing a signal at a specific

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“All the networking, heavy-lifting and power-consuming pieces are done by the one plugged-in device,” said co-author Vamsi Talla, an electrical engineering doctoral student. “The passive devices are only reflecting to generate the Wi-Fi packets, which is a really energy-efficient way to communicate.” Because the sensors are creating actual Wi-Fi packets, they can communicate with any Wi-Fi enabled device right out of the box. “Our sensors can talk to any router, smartphone, tablet or other electronic device with a Wi-Fi chipset,” said co-author and electrical engineering doctoral student Bryce Kellogg. “The

cool thing is that all these devices can decode the Wi-Fi packets we created using reflections so you don’t need specialized equipment.” The technology could enable entirely new types of communication that haven’t been possible because energy demands have outstripped available power supplies. It could also simplify our data-intensive worlds. For instance, smart home applications that use sensors to track everything from which doors are open to whether kids have gotten home from school have typically used their own communication platforms because Wi-Fi is so power-hungry. “Even though so many homes already have Wi-Fi, it hasn’t been the best choice for that,” said co-author Joshua Smith, UW associate professor of computer science and engineering and of electrical engineering. “Now that we can achieve Wi-Fi for tens of microwatts of power and can do much better than both Bluetooth and ZigBee, you could now imagine using Wi-Fi for everything.”

THE FUTURE OF MANUFACTURING

Fortune favours the bold. - Virgil

Saab’s to bring LEGO simplicity to advanced manufacturing Work is underway on software that aims to use hologram technology and LEGO-inspired assembly to help manufacture some of the world’s most complex machines. The Australian arm of global defence and security company Saab has partnered with Microsoft to build a range of ground breaking training, education and other complex 3D Holographic applications. Worn as goggles by users, the Microsoft HoloLens Platform is the first fully untethered, holographic computer, enabling interaction with high definition holograms. Based in the South Australian capital Adelaide, Saab Australia is a defence, security and traffic management solutions provider specialising in computer-based command and control systems. Saab Australia Head of Training and Simulation Inger Lawes said the company had identified three initial markets: its traditional defence and security market, the enterprise market – primarily large corporations wanting bespoke applications to address a specific need – and internal applications for the company’s own development. “We want to stay within our business of defence and security but we also want to explore applied markets such as using HoloLens to support sophisticated manufacturing,” he said. “Most design work these days is done on a computer and is called model-based design. What we want to do is support model-based assembly where the models that are designed on a computer are represented holographically.

Saab Australia will use a model of its Gripen fighter jet to prove the value of HoloLens technology.

Lawes said, as an internal test, the company would use a LEGO model of the company’s Gripen fighter jet as a starting point to prove the value of the technology to its assembly team in Sweden. “We’re going to use model-based assembly software as the background but we’re going to use LEGO components,” he said. “Everyone understands LEGO so it is a fantastic vehicle to demonstrate this sort of thing and get people as enthusiastic as we are and prove to them that you can build things in this environment and if we can build it with LEGO we can do it with everything else.” Lawes said the company would initially focus on internal applications for HoloLens but would deliver something for its first external customer in

September. “We expect very quickly to be able to look at this technology to support any highly complex assembly or design work, it just happens that we are in that business ourselves so the logical thing is to start doing it internally,” he said. Lawes said the way to think of HoloLens was as a self-contained high-end computer with standard features such as Wi-Fi, Bluetooth and USB. Holographic images are projected onto the goggles’ optical lens and appear in the field of vision about a metre from the user’s eye. “Most of the really complicated things will rely on having some sort of server or access to a database and streaming it to the device rather than loading it up with a packaged application,” Lawes said.

“It just opens up an almost infinite number of possibilities to draw on information and have that information rendered as a model and just work with it. “I’m extremely confident that this is going to be a significant business for us but it’s also a significant opportunity to create some work in South Australia.” Lawes said the leading-edge technology would explore “uncharted waters”. “The way we will chart that direction is people will come to us and say ‘we’ve got this idea and we’d like to use the technology in this particular way’ and we’ll have a discussion about that and more than likely, out of that will pop something quite spectacular,” he said. “It’ll be the users by and large who come up with the ideas.”

Hypertherm introduces gouging shield for Powermax air plasma systems Hypertherm, a manufacturer of plasma, laser, and waterjet cutting systems, is now offering a new gouging shield for people wanting even greater control when gouging with Powermax air plasma systems. This new Max Control Gouging shield is designed for jobs in which the operator needs to remove a very precise amount of metal. The tip of the shield is engineered and machined in a way that allows the operator to create a very shallow gouging profile.

The introduction of the Max Control gouging shield expands the offerings of Powermax gouging consumables which includes the existing Max Removal Gouging shield and HyAccess extended gouging consumables. Max Removal shields are designed to remove a large amount of metal and leave a deeper gouging profile while HyAccess provides the extra reach needed when gouging in hard to reach or confined spaces. Max

Control,

Max

Removal

and

HyAccess Gouging consumables are available for Powermax systems using a Duramax or Duramax Hyamp torch. This includes the Powermax65 through the Powermax125 and older systems with Duramax retrofit torches such as the Powermax600, Powermax900 and Powermax1650. Hypertherm is seeing a steady increase in the use of plasma for gouging as more companies realize the many advantages of plasma instead of alternative methods such as carbon

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arc. Plasma gouging allows for cleaner gouges with no carbon contamination, easier clean-up, and a safer work environment for the operator since it produces fewer fumes, creates less noise, and does not blow metal shavings back into the operator’s face.

NZ Manufacturer April 2016

THE FUTURE OF MANUFACTURING

Success is never final. Failure is never fatal. It is courage that counts. - Winston Churchill

Distributed design is now the norm: Why CAD must evolve to support it By Jon Hirschtick What’s particularly fascinating to me is that this quantum shift to distributed design is happening for both the world’s largest companies and also the smallest companies starting out in somebody’s kitchen. Check out this Kickstarter page for Formlabs, now a booming 3D Printing company, from when they were just a tiny startup:

Even though they had a shoestring budget back then, the cloud enabled them to have an engineering team distributed across three countries. This scenario was unimaginable only a few years before.

The wide-bodied Boeing 787 Dreamliner is a long-range passenger plane designed for comfort. The celebrated aircraft’s unique features include: more headroom (higher ceilings and overhead luggage bins), more legroom, a “comfier recline,” 21% more fuel efficiency, bigger windows and “infinity mood lighting.” When the first Dreamliner came off the production line on July 8, 2007 (not coincidentally “07-08-07”), there was much industry fanfare. Boeing hired former NBC News anchor Tom Brokaw to host a red carpet affair for 15,000 employees and even commissioned a Dreamliner theme song. Chief rival Airbus graciously sent a congratulatory letter to Boeing, declaring it “a great day in aviation history.” But beyond the funky mood lighting and more comfortable coach experience, the Dreamliner represented a landmark moment in distributed design. Instead of building a complete aircraft under one roof, the 787 would have its major components designed and built in many different factories spread across the globe. The cargo doors, for example, would come from Saab in Sweden; engine parts from Rolls-Royce in England; and wing sections from Mitsubishi in Japan. In total, 17 design teams in 10 countries would play a major role.

NZ Manufacturer April 2016

See “Birthday Girl,” a Boeing 787-9, be assembled quickly in a time lapse video. (Source: Virgin Atlantic/YouTube) https://www.youtube.com/watch?v=rKQQHfquBa8#t=32

On a varying scale, Boeing’s distributed design and manufacturing chain shift has become the norm rather than the exception. As the lead founder of SolidWorks and now as the lead founder of Onshape, I’ve spent a tremendous amount of time visiting CAD customers and have witnessed some dramatic changes in the way product ideas become a reality. Three profound things have happened to design teams, most noticeably over the past decade: 1. Teams have become highly fragmented. There used to be a team in one location for design and another location for manufacturing. That same product might now be built by 20 different fragments of teams.

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2. Teams have become global. Your industrial designer could be in the UK and your circuit board could done by a guy in Canada, who used to work for you, but is now a contractor. Your molds might be made in Mexico, but the molding could be done in China – except for the European models. For those, you get a tax credit so you’ve set up a shop in Spain. 3. Team members change all the time – and quickly. We’re living in a world where the lines between employees and freelance contractors are increasingly blurred. According to the nonprofit Freelancers Union, one out of every three people in the American workforce today is an independent contractor or temp. The career website Truelancer also cites a freelancing “surge” in Asian Pacific countries, claiming contract employees are more than 10 percent of the Singapore workforce and more than 25 percent of the Indian marketplace.

Companies of all sizes are now betting their futures on distributed design and manufacturing. This new process puts new demands on CAD. File-based PDM systems have tried to address this issue, but they are too complex and force users to deal with the frustrating process of checking out and copying files. Traditional 3D CAD just wasn’t built for distributed design. How do we know this? Because we are the ones who originally built it. (All of Onshape’s founders played significant and early roles in building SolidWorks.) Onshape is a cloud-based 3D CAD system built from scratch for distributed design, allowing multiple users to work on the same designs at the same time without the confusion of multiple versions. All the version control and collaboration is built into our core system, so there’s no copying, no files and no need for a PDM system in the first place. It’s almost as if your team is gathered under one roof again. Jon Hirschtick is the founder of Onshape, the first professional 3D CAD system to run on a web browser, phone or tablet. He previously founded SolidWorks, was the director of engineering at Computervision, and began his career as an intern at the MIT CADLab. His hobbies include magic, golf, blackjack, 3D printing, tennis and yoga.

HEADING

If you want to live a happy life, tie it to a goal, not to people or things. - Albert Einstein

THE SAFER FARMS PROGRAMME WHY A FARM SAFETY PROGRAMME? Farming kills more people than any other sector in New Zealand – 41 people have died working on farms in the last two years. That’s four times the number of fatalities in either forestry or construction. There are also thousands of serious injuries that lead to a loss of productivity and income for farmers. Farmers, their families and farming communities are directly affected, and bear the emotional and financial cost of deaths and injuries on the farm. This is why WorkSafe New Zealand is partnering with farmers and their families, sector organisations, and the rural community as a whole on Safer Farms, a comprehensive farm safety information and education campaign. WHAT IS SAFER FARMS? Safer Farms is a new way of working. It is a multi-year programme jointly funded by ACC. It aims to increase farmer awareness and understanding of their risks, support farmers to manage their safety, and build local and sector farm safety leadership. It will achieve this by: > Providing an easy-to-use toolkit and a comprehensive online resource - www.saferfarms.org.nz – so that farmers have clear health and safety advice and information. > A widespread media campaign in newspapers, magazines, on radio and online helping farmers identify and manage risks. > A seasonal information and education campaign highlighting the risks and how to manage them when they arise through the year (e.g. calving, shearing, picking). > Working with rural retailers to help them incorporate safety messages when dealings with farmers. > Training programmes to be delivered alongside rural stakeholder groups. > Education and information for rural kids delivered through school programmes and Dairy NZ’s Rosie’s World website. Safer Farms was not developed in isolation. It was built with extensive input from farmers, their

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communities and the sector to ensure the focus was on helping farmers to take ownership of their health and safety. WHERE CAN I GET MORE INFORMATION? Visit www.saferfarms.org.nz or call 0800 030 040.

KEEP SAFE, KEEP FARMING

SAFERFARMS.ORG.NZ www.nzmanufacturer.co.nz

NZ Manufacturer April 2016

CASE STUDY

Don’t be afraid to give up the good to go for the great.

- John D. Rockefeller

Red Stag still buzzing from ANZAC spirit The Australasian Bonfiglioli industrial motors and drives team recently combined with New Zealand’s largest sawmiller, Red Stag Timber, to show true ANZAC spirit, keeping its old mill thriving while a new $NZ120 million super mill is built to serve major housing and manufacturing markets. Bonfiglioli designed and assembled a compact and powerful custom-engineered HDP 150 drive specified by Red Stag in consultation with Bonfiglioli New Zealand Sales Manager, Mr Paul Savage. The engineering team at the Red Stag mill near Rotorua slotted their rugged

new generation HDP design into log carriage drive space occupied by the old carriage drive, which was losing efficiency and reliability and the vital plant was being run at much less than its original capacity. “It is a critical drive,” said Mr Savage. “Without it the mill comes to a complete stop and the cost of downtime is substantial. This particular mill is New Zealand’s largest sawmill, with a lot of customers depending on it for high-quality timber products for the residential construction markets in New Zealand, Australia and the Pacific Islands,” he said. Red Stag produces framing timber for construction, non-structural timber for interior and exterior finishing, outdoor landscaping timber for fences, decks, and retaining walls, and furniture and packaging grades for manufacturers of timber products.

Trans-Tasman co-operation kept the heart of industry buzzing as this Bonfiglioli drive was installed in New Zealand’s largest sawmilling operation.

“Delivery was critical as the window given to complete the installation was tight. With downtime out of the question, airfreight was

a must. Bonfiglioli’s Design Service Centre (DSC) in Sydney worked rapidly to complete the special extended shaft design and drawings for the custom build. The unit was assembled and shipped on time, meeting the extremely tight and critical delivery schedule, which is a huge credit to Bonfiglioli team,” said Mr Savage. Consisting of two sawmill lines, with associated timber processing operations for kiln drying, planning, treating and remanufacturing, Red Stag Timber currently produces over 450,000m³ of Radiata Pine and Douglas-fir lumber per annum and employs over 300 people. The drive installed at Red Stag was manufactured with a special extended output shaft of 926mm to accommodate the large winch drum. Large spherical rollers were also installed, designed to withstand the high radial and shock loadings exerted by the mechanism. The unit, which produces 400 installed horse power, has a 10:1 gear ratio and a mechanical rating of 1587 kW (at 1500 rpm). It comes with a cooling fan on its high speed input shaft, for optimum performance and reliability.

but it is more powerful than the drive it was replacing while remaining dimensionally favourable and with a superior mechanical rating compared with modern alternatives,” he said. “Everything has gone to plan and Red Stag is impressed with the unit that has been running perfectly since installation,’ said Mr Savage. “ Bonfiglioli’s HD Series drives are particularly suited for compact, heavy duty applications such as conveyors and feeders on major materials handling, resources plant and quarries. The drives – assembled in Australia from sizes HDO and HDP 100-160 – offer outstanding torque per dollar, high casing strength, long-life bearing technology and quieter, trouble-free operation. The HDO130 produces torque of up to 69,500 Nm. Also available is the range-topping HDO 180 – with outputs of 194,000 Nm torque – which is used for major installations requiring high performance combined with flexible mounting options to meet specific application requirements.

Bonfiglioli HDP 150 drives are engineered for challenging applications, such as a saw mill which experiences high levels of stop start operation, directional changes and shock loading.

Durability and versatility is further enhanced by options such as fan cooling coil cooling, independent cooling systems and optional features such as non-contacting seals, forced lubrication, temperature and oil level sensors and drywell for vertical shaft installations.

“To cope with extreme applications like this, our drives need to be robust, durable and reliable. Not only does the new drive meet all these criteria,

The HD series is a totally new modular design from the ground up, which produces outstanding reliability and torque densities to record values.

Solution simplifies lead times for safety instrumented Rockwell Automation has introduced its new OptiSIS solution, giving industrial operators a pre-engineered safety instrumented system that can help ease deployment and reduce lead times for small and midsized process applications. The OptiSIS solution is ideal for oil and gas, chemical and petrochemical producers with aging process-safety systems that are either noncompliant or can no longer be maintained. “Replacing or upgrading a process-safety system using a custom-engineered approach can be costly and time-consuming,” said Sean McGinity, proposals manager – global solutions for Rockwell Automation South Pacific. “The OptiSIS solution can reduce lead time by more than 30 percent, leading to faster and more cost-effective safety instrumented

NZ Manufacturer April 2016

system deployments.” The OptiSIS solution is designed for safety instrumented system applications of 50 or 100 I/O points, including emergency shutdown (ESD) systems, burner-management systems (BMS) and high-integrity pressure protection systems (HIPPS). The version for applications of up to 100 I/O points will be available in the fourth quarter of 2015. The pre-engineered OptiSIS solution is delivered ready to install, wire and configure, shortening the overall engineering time and eliminating the need for any programming. Users need only enter their logic scenarios into the system’s cause-and-effect graphical interface. The configurations are tested and can then be stored for verification against original safety function requirements – or used at a

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later date to restore the system to a known state. Flexible inputs and outputs help confirm that the system accommodates a varying mix of digital and analog I/O types. Additionally, simplex I/O and fault-tolerant (dual) I/O versions are available to address different

redundancy needs. The system meets requirements up to Safety Integrity Level 3 (SIL 3) and is compliant with IEC 61511/ISA 84.00.01. It uses ready-to-install, TUV-certified hardware and validated application software.

REAR VIEW

No one can make you feel inferior without your consent. - Eleanor Roosevelt

Why don’t Governments implement growth-maximising fiscal policies? For years, research has told us that income taxes are worse for economic growth than GST. Governments still, however, raise more money from taxes on personal income than from indirect taxes such as GST. A new study from Motu Economic and Public Policy Research helps explain why governments may follow this lower growth path. “For years GDP has been the measure used by most economists for measuring how well a country’s economy is faring,” said Arthur Grimes, Senior Fellow at Motu Economic and Public Policy Research Trust. “Now however, there is another useful option for tracking different policy options – subjective wellbeing – or how satisfied people feel with their lives.”

for the effects of individual personal circumstances and country background.” “For example, if a country ranked 15th in the OECD for subjective wellbeing adjusted 10 percent of its GDP by reducing GST and increasing income tax, its ranking would rise to around 5th. In fact, changing the country’s fiscal makeup like this seems to be even more effective than getting married in making people happy,” said Dr Grimes. “Richer people are affected more negatively by distortionary taxes and less by non-distortionary taxes than poorer people. They also benefit less than poorer people from expenditure on things such as education, health, housing, transport, defence and general public services,” said Dr Grimes.

In contrast, social welfare spending has most benefit for the middle class and least benefit for poorer people. This possibly reflects that many such expenditures (such as support for tertiary students) in fact benefit the middle-class the most, a phenomenon known as ‘middle-class capture’.

central and regional government. This is consistent with economies of scale being important for revenue raising, and with local knowledge being important for expenditure.

The research also indicates that taxation is best done centrally, while expenditure is best done by a combination of

The study Subjective wellbeing impacts of national and sub-national fiscal policies by Arthur Grimes, Judd Ormsby, Anna Robinson, and Siu Yuat Wong was funded by Marsden Fund grant MEP1201 from the Royal Society of New Zealand.

NZ MANUFACTURER • MAY 2016 Issue • Features

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Dr Grimes and three co-authors have just released a paper reporting on more than 30 years of fiscal data from 35 countries, cross-referenced with subjective wellbeing scores from more than 170,000 people. The research explores how people react to various fiscal decisions. “We found that ‘distortionary’ taxes, like income tax are associated with better subjective wellbeing outcomes than ‘non-distortionary’ taxes such as GST, particularly for the poor,” said Dr Grimes. “This was the case even after controlling

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NZ Manufacturer April 2016

HEADING

The shortest way to do many things is to do only one thing at once. -Samuel Smiles

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