Comment
SYED SHAH – Managing Editor, Manufacturers’ Monthly
Seeing it to the end
L
IKE the rest of the world, Australia’s economy following the COVID-19 pandemic will never be the same. Roy Green, Emeritus Professor from UTS pointed out in an online article, Australia’s manufacturing future is not its past, that we should be realistic of our expectations when thinking of opportunities that present themselves. He explained how COVID-19 has exposed gaps in Australia’s manufacturing supply chains. While we should be proud of 30 years of continuous economic growth, there is a need to come to terms with the prospect of a deep recession – and how to get past that. In saying that, is good to be optimistic, but it pays to err on the side of caution. Business thinker, Jim Collins in his leadership book, Good to Great, examined what great organisations had in common – unwavering faith to prevail in adversity while accepting the brutal facts of reality. This is based off the memoirs of Vietnam War veteran, James Stockdale who survived the horrors of being a prisoner of
6 AUGUST 2020 Manufacturers’ Monthly
war during the conflict. He did so by processing the reality of the situation and turned the ordeal into “the defining event of his life that in retrospect he would not trade”. Australia needs to comes to terms with certain realities like the sole reliance on self-sufficiency as the economy becomes more committed to a more complex globalised economy, especially in Asia, according to Green. Among the many recommendations he gives are reminders – the renewed focus on local SMEs who have their tenders overlooked in favour of larger international companies and the contribution of entrepreneurial startups for an economic boost. The opportunity that Australia, and the world, faces when it comes to the introduction of robotics and automation is not one that is often understated. In Australia alone, there is the potential to unlock $315 billion dollars of value over the next decade through the application of digital technologies, according to the Digital Innovation report, prepared for CSIRO’s Data61.
Digital technologies have the potential to radically transform jobs that until now have been the exclusive domain of humans, for example, aged care, education, health, and financial services. While the economic potential, whether in improvements to productivity or cost savings, is measured in the billions, there are also the human side effects, which can be seen in layoffs, shortened hours, and reduced job satisfaction, as David Thodey highlighted at Data61’s recent D61+ Live event last year. More than 50 years on, when other industries raise their concerns of the replacement of humans with robots, they should perhaps talk to a local manufacturer and listen to their story. Although the number of people employed by manufacturing businesses in Australia has fallen since the late 1980s, the past three years have seen an increase, just as manufacturing enters Industry 4.0, its next phase of technological innovation. Now, with COVID-19 and with the same number of tasks and potentially a smaller workforce,
Industry 4.0 technologies naturally should come into play. In this edition of Manufacturers’ Monthly, we speak with Quickstep, an aerospace components manufacturer who used IMCRC’s futuremap business diagnostic tool to assess and identify Industry 4.0 innovations for the company. Launched by IMCRC, futuremap helps businesses map out the state of their company and their future aspirations against 13 key areas of industrial and advanced manufacturing competitiveness. With the tool, manufacturers are able to see weaknesses in their systems and areas to add advanced technologies to cope with current and projected industrial trends. Quickstep had aspirations to reach a milestone of creating 30 high-skilled jobs in the company but are only halfway through due to the current economic climate, yet they remain undaunted. Executive general manager of Quickstep, David Doral said that it’s all about proving its technology can do for the market and making the best of it to see its projects to fruition. manmonthly.com.au
