AMT AUG/SEPT 2016

Australian Manufacturing Technology

Your Industry. Your Magazine.

aug sep

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Contents

Volume 16 Number 04 August/September ISSN 1832-6080

42

FEATURES Medical Additive manufacturing – The new medical frontier Innovations in miniature – Iscar & medical manufacturing Medical manufacturers need change control plans Seamless cylinder tracking Cook Medical’s vision for the future Breathing life into veterinary clinics Helping foot orthotics specialist go global 3D printing to improve dental health Sky’s the limit for BJP Laboratories Digital evolution of cranial surgery

42 46 48 50 51 52 53 54 55 56

MATERIAL REMOVAL Perfect machining through PC simulation Tough talk from KMP

58 60

ROBOTICS Enhancing machining of aluminium profiles Supply Chain Automation The why and how of automation

62 64 66

CUTTING TOOLS Sandvik – Silence means success Mathematical models effectively calculate tool life

68 72

CONSTRUCTION University galvanized to face the future Adelaide – “The Detroit of Australia

76 78

FORMING & FABRICATION Technology that’s driving growth and innovation Hare & Forbes helps manufacturer reach great heights Behind the facade of counterfeit consumables

82 84 86

WORKHOLDING Dimac Tooling – New premises to boost service

88

SOFTWARE Field service management vs automation Brennan IT takes Tieman Tankers to the cloud

90 93

Additive manufacturing – The new medical frontier Biofabrication – the fabrication of patient-specific replacement tissue and organs - is becoming a reality, as innovative Australian companies collaborate with universities and scientific organisations to develop custom-designed 3D-printed products for patients The development of the world’s first biofabrication institution in Brisbane in one of several Australian initiatives spotlighted in this article.

74 Waren McGregor - CEO of PrefabAUS PrefabAUS is Australia’s peak body for the prefabricated building industry - supporting collaboration, innovation and information-sharing. Membership is diverse and growing solidly - reflecting the multi-disciplinary – and expanding - interest in this sector. With Australian manufacturing undergoing transition, the prefab industry is offering many opportunities to Australian manufacturers.

80

REGULARS From the Editor From the CEO From the Industry From the Union

8 10 12 14

INDUSTRY NEWS Current news from the industry

18

VOICEBOX Opinions from across the manufacturing industry

28

74

COMPANY FOCUS Watkins Steel – Winning through innovation

80

AMTIL FORUM Forum Law Forum OHS Forum Tax Forum Finance

94 95 96 97

MANUFACTURERS’ PAVILION

98

AMTIL INSIDE The latest news from AMTIL

106

MANUFACTURING HISTORY – A look back in time

114

AMT Aug/Sep 2016

Your IndustrY. Your

MagazIne.

aug sep

technology

34

ONE ON ONE Waren McGregor - CEO of PrefabAUS

Following domestic challenges, Watkins Steel sought to adapt and innovate in order to establish a significant point of difference in an increasingly competitive marketplace. The company recently won an international award for its ability to develop “out-of-thebox” strategies to overcome common limitations in the building and construction industry.

AustrAliAn MAnufActuring

PRODUCT NEWS Our selection of new and interesting products

Watkins Steel – Winning through innovation

MEDICAL

re

Construction & Infrastructu

Material removal robotics & automation Cutting tools Forming & Fabrication Workholding software

Cover “Biofabulous”: Custom-designed 3D-printed products for medical applications is the aim of an increasing number of innovative Australian biofabrication companies. One exciting vision is for every Australian hospital to have 3D printers alongside its imaging equipment. Page 42

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008

From the Editor William Poole

Access denied

Some of you might be reading this edition of AMT online. If so, are you reading it at work?

And if so, have you ever gone online at work to – say – check footy scores? Or look for cheap holiday deals? Or glance at a photo posted on Facebook by someone you haven’t seen since you were at school together? Be honest now.

I mention it because of an interesting survey on productivity released in June by Bankwest.

It revealed, among other things, that of 500 Australian small and medium-sized businesses surveyed, more than half were blocking, or planned to block employees from accessing certain websites, such as social media channels, entertainment streaming services, or gaming, gambling and dating sites. To improve productivity, some 54.6% of small and mid-sized firms are controlling, or have plans to restrict access to sites like Facebook, Twitter, YouTube or eBay. Employers have grappled with this issue since the internet first began changing how we do business. It was the late 1990s, when my then-workplace introduced email, and not long afterwards we all received a stern directive from management on non-work-related communications. This was understandable, of course – back then bandwidth was limited, people were still getting to grips with the medium, and servers really could get stuffed up by people sending out two-minute video attachments.

But on the other hand, few employers would object to people making personal calls on the office telephone. When that message can be conveyed more efficiently via a quick email, isn’t that more practical?

In the end, common sense prevailed. Most employers accepted a degree of personal use, provided the system wasn’t abused. But the problem is still with us, it’s just evolved.

Internet speeds have increased exponentially, so those bandwidth problems of the past have eased. But with this increased connection speed, opportunities for distraction have proliferated. Social media, video streaming and 24/7 content generation mean the internet often seems like a black hole, sucking in employees for hours on end, and eating up productivity.

But is blocking access the answer? For a start, those same websites that can indeed keep us from our work can also help us work more effectively. Many of us get business-critical information from social media channels, or turn to Youtube for video tutorials on certain processes. And many businesses today – AMTIL included – are increasingly active on Facebook, Twitter, LinkedIn and so on. That becomes pretty futile if the people you hope to reach can’t get to those sites.

Besides, everyone needs a break from time to time. If staff can’t access a site through their work computer, how many will just reach for their phones?

And the nature of work – in our industry in particular – is changing. It’s less about punching the clock and performing repetitious tasks, and more about implementing specific projects.

Provided the right outcome is reached, does it matter if the employee had one eye on Twitter while delivering it? In this context, keeping people motivated becomes more crucial, and a key part of that is trusting them with the autonomy to act appropriately. (Tellingly, nearly a quarter of the companies Bankwest surveyed were excluding management from the restrictions.)

In the end, perhaps it all comes down to professionalism. Yes, your mouse may occasionally be drawn to that eye-catching, non-work-related headline in the sidebar. But it’s down to you to say enough is enough, and get back to work.

Your Industry. Your Magazine.

Australian Manufacturing Technology

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

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

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

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

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

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

Contact AMTIL on 03 9800 3666 for further information.

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010

From the CEO Shane Infanti – Chief Executive Officer AMTIL

Fast-track the Fast Rail Project

Since 1984, when Bob Hawke showed some initial interest in a CSIRO proposal linking Melbourne, Canberra and Sydney, we have been discussing a high-speed rail network of various sorts. Even in 2000, when John Howard said he “rather liked the idea of a very fast train” the Government backed down because they couldn’t justify the expenditure.

It seems every time we open this idea up for debate we have a Government that conducts a feasibility study that knocks it on the head.

It happened again in 2008 when Kevin Rudd announced a $25bn high-speed rail network connecting Melbourne and Sydney that never got over the line. Julia Gillard then spent time analysing a feasibility study on a network connecting Melbourne, Sydney and Brisbane budgeted at $114bn before rejecting the proposal. And in 2013 Tony Abbott showed his hand by winding up the High Speed Rail Advisory Group.

That is why we now need to take some decisive action. The latest proposal by the private equity firm Consolidated Land and Rail Australia Pty Ltd (CLARA) claims it can deliver a high-speed rail network from Melbourne to Sydney via Canberra with no government funding required. The cost of the project would be funded by the land sales from eight regional cities to be built along the rail’s corridor.

Sydney and Melbourne combined house 46% of our nation’s population and growing. Clearly this is not a sustainable model given that Australia’s population is forecast to grow by more than 14m by 2050. The concept of developing new regional compact, sustainable, smart cities that are connected by the world’s most advanced high-speed rail has to be appealing. So on face value, decentralising our population by building new city centres that will fund a rail network we have been talking about for more than 30 years must be given the green light by the current Government.

This is a 50-year project that will be a quantum leap forward in the development and infrastructure for our nation. It will also drive our manufacturing sector for decades. Imagine the work and jobs that will be created by building this rail network and the “smart”

“This is a 50-year project that will be a quantum leap forward in the development and infrastructure for our nation.

It will also drive our manufacturing sector for decades.

Imagine the work and jobs that will be created”

AMT Aug/Sep 2016

cities along the way. Imagine the design of these cities – advanced, sustainable and green, all connected by a high-speed rail link that can put citizens in our capital cities in less time than a morning commute. Let us remember, Australia is the only continent, with the exception of Antarctica, without fast trains of our own.

This will be the most significant infrastructure project we have ever undertaken in this country. Phase One of the project would involve a $13bn high-speed rail platform into northern Victoria including the development of two satellite cities. CLARA has stated that the planning alone will take up to five years before any construction starts and it will be a decade before the first stage of Phase One is complete. We are talking massive timeframes, which to me just means we need to get on with things now. CLARA has a bold vision and looks like it has the venture capital funding and backing.

Members of the company’s advisory board include the former premiers of Victoria and NSW, Steve Bracks and Barry O’Farrell respectively, as well as the former Minister for Trade and Investment Andrew Robb.

What is missing is the firm commitment from government. Prime Minister Malcolm Turnbull had already announced prior to the election that he supports the concept of high-speed rail links.

The words ringing out of CLARA’s video pitch were Imagination, Courage, and Perseverance. Isn’t that also what we look for from our leaders? Will Turnbull finally be the Prime Minister to introduce high-speed rail to Australia?

So Mr Turnbull, it’s over to you…

012

From the industry Innes Willox – Chief Executive Australian Industry Group

The race for Australia’s digital competitiveness

We are now less than a month away from the Olympics in Brazil. There’s a high national expectation that Australia should finish the medal count in the top 10 at these Games – as we have at each Summer Games since 1992.

Our achievements are even more significant if you think about our relatively small population, geographical isolation and short colonial history. Some of us credit our Olympic achievements to large and sustained investments in elite sporting excellence. Others point to our Aussie punching above our weight spirit. Either way, most of us hold our underdog status as a badge of honour.

The time has come to bring the same kind of focus and determination to outperform larger and longer-established nations to Australia’s global digital competitiveness. Our workforce is currently facing an age of reformation to meet the challenges and opportunities of a digitally enabled economy – most recently associated with the fourth industrial revolution. Our future is digital. Racing ahead of the pack will help us build a prosperous future for our economy and society.

However, the latest data shows Australia is instead slipping behind. The World Economic Forum (WEF)’s 2016 Global Information Technology Report assesses the factors, policies and institutions that enable a country to fully leverage information and communications technology (ICT) for increased competitiveness and well-being. These are boiled down into a single number: the Networked Readiness Index. Australia’s Index ranking has fallen from 16th place in 2015 to 18th in 2016. The top ten are pulling away from us.

Some have responded by asking: Shouldn’t we be content with being in the top 20? Surely there are only marginal differences that separate us from the others in the top 10?

This is not the way we treat the Olympics! And unlike the Olympics medal count, the complex WEF ranking is based on a wide range of factors that have direct impacts on Australia’s wealth and wellbeing – from the quality of our infrastructure to the ease of doing business.

The gap in real-world impacts between a WEF ranking in the top 10 and one outside of the top 10 can be quite significant.

So should Australia give up and settle for 18th place? No. If anything, our digital ambitions should be even higher than our sporting achievements. The disadvantages that stack the odds against us in the world of sport – small population, physical isolation – are significantly diminished in the world of digital.

Look at smaller countries like Luxembourg (population: 600K) and Singapore (population: 5.5m). Our population is almost four times larger than these two countries put together. And yet these two countries are in the top 10. Clearly size does not guarantee success, as we’ll see below. And a top 10 goal for Australia isn’t just possible: we’ve actually done it before, in 2004 when we ranked 9th in the world.

While Australia cannot match some of the advantages other nations enjoy, such as Luxembourg’s better access to international bandwidth, there is much that we can learn from other countries to get into competitive shape.

For example, the following are some of the features of the top 10 countries that the WEF identified in its report:

1. Singapore: “Strong government commitment to the digital agenda”.

2. Finland: “Extremely good access to the latest technologies as well as venture capital, and its businesses are highly connected”.

3. Sweden: “Businesses are taking advantage of the fact that their consumer base is highly connected”.

4. Norway: “Firms are capitalising on the high ICT literacy among the general population and workforce by using digital technologies heavily in their interactions with consumers as well as among each other”.

5. US: “Extremely favourable business and innovation environment, which has given rise to one of the most agile and digitised business sectors globally”.

6. Netherlands: “Businesses are extensively deploying digital technologies to reshape their business and organizational models”.

7. Switzerland: “High business technology absorption and innovation capacity, and high levels of digital B2B interaction”.

8. UK: “Business adoption [of ICT] is high, and UK businesses are top in the world in making use of the internet to interact with their consumers as well as with their production network”.

9. Luxembourg: “Government is perceived to play an important role in supporting Luxembourg’s digital economy, with business executives attesting to a high importance of ICTs in the government’s vision and its success in ICT promotion”.

10. Japan: “Business and government [ICT] usage already among the highest globally”.

As can be seen, both Government and industry have roles to play to advance the digitally enabled economy. And six of these top 10 countries are already seeing significant economic benefit from high levels of business ICT adoption.

For Australia to climb up the overall rankings, there are clear priorities for business and government. Businesses need to lift their ICT usage (currently 24th place) and uptake of new ICT into their operations (ranked 22nd). Governments can also increase ICT usage (ranked 22nd), increase the efficiency of public services through ICT (currently 42nd), and encourage ICT as a means to enhance Australia’s growth prospects (ranked 47th).

Not surprisingly, the broad economic benefits of ICT are yet to be fully felt in Australia – we are ranked 23rd on economic impact.

Interestingly though, we are closer to leadership in the use of ICT-related government social services to deliver a positive social impact (ranked 9th). The rankings are further analysed in Ai Group’s Australian summary.

Our Olympic performance is put to the test every four years. Our digital competitiveness is tested every day. As the WEF says, “new technologies are driving winner-takes-all dynamics for an increasing number of industries, getting there first matters.”

After years of half-hearted competition, Australia needs to rise to the digital challenge – and go for gold.

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014

From The Union Paul Bastian – National Secretary Australian Manufacturing Workers Union

Electoral trends highlight need for coherent manufacturing policy

Many Australians initially watched in amusement as Donald Trump’s bid for the US presidency has played out.

Trump’s rise baffled political experts, but worldwide we are seeing seismic political shifts, whether it be Trump, Brexit, or at home, the re-emergence of Pauline Hanson. A Washington Post article in March by Jeff Guo found the US areas where Trump had the most support had higher death rates, higher unemployment, lower educational attainment, and substantial manufacturing decline.

In July, we saw similar trends in our own elections. The decline in the vote of the Coalition and the rise of independents have been attributed to alienation among voters who feel their leaders aren’t listening or are hell-bent on an agenda that doesn’t connect with their constituents’ working lives and family needs.

Most parties that increased their vote or gained MPs expressed explicit pro-manufacturing sentiments, outstripping Malcolm Turnbull’s shallow “jobs and growth” mantra, which even some Government members have since described as “trite”.

Labor and Nick Xenophon Team gained votes in areas most at risk from the destruction of manufacturing jobs, particularly western Sydney, north and south-east Queensland, South Australia, and northern Tasmania. I would argue the success of independents Hanson, Bob Katter and Jacqui Lambie also reflected this concern, along with deep discontent over the impact of free-trade agreements and the lax administration of our skilled work visa system. These have been core issues for AMWU members.

Clearly, the AMWU has no sympathy with many policies of minor parties (particularly racial or religious-based discrimination), but these candidates drew on legitimate concerns among community members, thousands of whom face job uncertainty and insecurity.

Turnbull’s honeymoon period last year emphasised an “exciting time” for Australia through “innovation” – with “volatility as an opportunity” another easy motherhood statement. But workers in mining and manufacturing – respectively facing the end of the resources boom and the loss of car manufacturing – need specific, careful policies to help them adapt and find new work.

The Prime Minister’s Innovation Statement in late 2015 focused on start-ups, fostering new technology and forging links for fledgling firms and entrepreneurs. That’s fine, but the Government’s actions and policies ignored much of the existing workforce employed in small-to-medium enterprises. For example, it doggedly refuses to reallocate the $800m in the Automotive Transformation Scheme to helping small supply-chain businesses adapt, while both major parties support cutting $900m to R&D tax concessions.

Little wonder that many workers take Turnbull’s blue-sky enthusiasm for the new economy and disruptive technology as a threat rather than an opportunity. They know a third of workers who lost jobs in the Mitsubishi closure in Adelaide didn’t work again, and that the Committee for Economic Development estimates 40% of existing jobs may be replaced by automation within a few decades.

Vocational Education and Training (VET) is core to this nation adapting, yet the Turnbull Government failed to provide answers for workers needing to retrain and enhance their skills. To its credit, Labor sought to address the catastrophic decline of 122,000 apprenticeships since 2012 with a policy to guarantee 10% of jobs on new government infrastructure would be apprentices. It also proposed a pre-apprentice program for 10,000 places with

AMT Aug/Sep 2016

guaranteed (unspecified) funding of the TAFE system. Labor also gave incentives to employers for rehiring experienced, retrained workers with a pilot for 5,000 places.

Turnbull’s planned tax cut for the largest companies (many of which pay negligible tax) is not an incentive to hire. It’s an unguided missile compared to careful programs showing true leadership on skills and technical development, worked out by Government in partnership with industry.

Nowhere is the economic imperative more urgent than in the Coalition’s supposed strength in national security, and the defence supply chain we’ll need to build and maintain ADF equipment. The AMWU was part of the team that submitted the Future Submarine Industry Skills Plan in 2013. The report read in part: “The outcome portrayed to this study is a national naval shipbuilding industry whose workforce needs to develop particular skills, increase experience levels, adapt to new projects and improve productivity…”

Note the dual emphases on skills and experience. The tragedy is that too often policy and practice pull in the wrong directions.

Since the early 1990s, the focus of industrial relations in Australia has narrowed. It is no accident that we rarely hear the phrase ‘industrial relations’ any more. Instead, we hear of ‘workplace relations’. It’s now a stated object of the Fair Work Act to achieve “productivity and fairness through an emphasis on enterprise-level collective bargaining”.

Industrial relations have become atomised, with companies not only encouraged but required to consider their own needs in isolation of those of their sector or industry. Meanwhile, Government has outsourced many core engineering functions, and companies competing for defence maintenance work have put an emphasis on cost-cutting in framing their bids.

The combined effects have been particularly devastating for the development of skills and experience. Critical decisions about skills formation are being devolved to individuals making decisions in isolation. In aggregate, their decisions are unlikely to meet the current, and more particularly, future needs of industry. These developments are the enemy of a highly integrated industry that builds and maintains state-of-the-art technology for the defence sector with its extended supply chains. They breed monocultures and inhibit the exchanges of ideas that true innovation demands.

Rather than competition at enterprise level, Australia needs cooperation at a sectoral level. Before that, it needs a strong, explicit commitment to manufacturing. The election results show that.

The message for any new Government is that adapting to change cannot succeed without carefully integrating trades experience and enhancing the legacy skills relevant to the new era of manufacturing. This requires a strong, fully-resourced VET policy and a broader rethink on how our industry structure integrates, particularly in defence. It requires leadership from both Government and Opposition, and an ability to articulate a clear vision of how we manage change, so voters can be confident their futures are the priority.

We can only hope this new Parliament acts with more co-operation and cohesion than the last.

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018

industry news

Greg Hunt takes over as Industry Minister following Coalition re-election Greg Hunt MP was sworn in as Minister for Industry, Innovation and Science on 19 July, as Prime Minister Malcolm Turnbull reshuffled his front bench after securing re-election in the 2 July general election.

Hunt’s appointment led a complete shakeup of the ministerial team at the Department of Industry, Innovation and Science. Senator Matt Canavan was sworn in as Minister for Resources and Northern Australia, while Craig Laundy MP was appointed as Assistant Minister for Industry, Innovation and Science. Hunt’s predecessor as Industry Minister, Christopher Pyne, was moved into the role of Minister for Defence Industry, and reappointed Leader of the House.

Minister Hunt said it was a “great honour” to be appointed to the role, commenting: “I look forward to continuing the implementation of the Prime Minister’s National Innovation and Science Agenda. I would also like to congratulate my ministerial colleague Christopher Pyne for the leadership and energy he brought to this portfolio – they will certainly be big shoes to fill.’

Industry leaders were welcoming of the reshuffle and of Hunt’s appointment. AMTIL CEO Shane Infanti expressed his support for the ministerial appointments and optimism at the prospect of working with Minister Hunt.

“Firstly, we would like to congratulate the Coalition regarding the election result,” said Infanti. “Australian manufacturing needs a period of stability and certainty over government policy, and hopefully with the re-election of the Turnbull Government we can now see that. AMTIL believes Greg Hunt will make an excellent Industry Minister, and we look forward to being able to work with and support him going forward.” Ai Group CEO Innes Willox praised Hunt’s work in his previous role as Environment Minister. He also

endorsed the renewed ministerial focus on the defence industry.

“Innovation is crucial to the future of industry and it is understandably central to the Government’s agenda,” said Willox. “We look forward to working with Mr Hunt in his new role.

“The elevation of Defence Industry to the Cabinet table with the appointment of Christopher Pyne underpins the importance of the defence industry sector to our economy and the huge pipeline of work underway. This includes the largest investment in local naval shipbuilding seen in more than 30 years and the acquisition of a new fleet of armoured vehicles estimated to amount to more than $10bn.”

The Australian Chamber of Commerce and Industry (ACCI) also voiced its approval of the reshuffle. However, it added that it was disappointed that that the post of Minister for Small Business had been removed from Cabinet “We welcome Greg Hunt’s appointment as Minister for Industry, Innovation and Science,” said James Pearson, CEO of the ACCI. “Innovation is essential to Australia’s economic future and I encourage Minister Hunt to develop policies that open up new opportunities for Australian businesses.

“It is disappointing that Prime Minister Turnbull has chosen to place the portfolio outside of Cabinet. However we look forward to working with Small Business Minister Michael McCormack to ensure the concerns of small business are heard so those enterprises can continue to grow, invest and employ staff.”

Moderate Australian hiring intentions reflect employer resilience The latest Manpower Employment Outlook Survey has shown that the steady increase in hiring intentions in Australia will continue into the third quarter of 2016.

Of 1,500 public and private employers surveyed, 13% indicated they are looking to hire over the July to September timeframe, while the majority (78%) intend to make no change to their current headcount. Both figures remain unchanged since last quarter. The resulting national Net Employment Outlook (NEO) of +8% is up three percentage points from both last quarter and the same time last year.

Richard Fischer, Managing Director, ManpowerGroup Australia and New Zealand, said the latest survey results points to employers seeing positive signs ahead despite some broader macro challenges and less upbeat economic indicators.

“The uptick in hiring intentions for the next quarter presents a picture of national resilience among businesses,” said Fischer.

“Companies are largely looking to bolster their talent or maintain

AMT Aug/Sep 2016

headcount – and this is in the context of some broader challenges such as stagnant wage growth, an uncertain national political landscape, and record low interest rates.

“It would appear businesses are blocking out the noise around economic and political uncertainty and getting on with executing their business plans. This is true of both large corporations as well as small to medium enterprises, which have been coined as the driving force of our economy.

Employers in medium-sized businesses are expecting the strongest hiring environment in the July-September time frame, and the NEO of +11% represents a seven percentage point jump from the last quarter. Micro and smaller employers are also showing encouraging signs and reported NEOs of +2% and +9%, respectively.

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Australia falls in global digital competitiveness rankings

Australia’s digital competitiveness slipped last year, with our Networked Readiness Index rank falling from 16th to 18th place according to the latest World Economic Forum’s (WEF) Global Information Technology Report 2016.

The annual Global Information Technology Report is based on extensive research conducted by the WEF and its network of over 160 partner Institutes. The Australian Industry Group Chief Executive Innes Willox said Australia clearly still has some way to go to return to the world’s top ten despite the roll-out of the National Broadband Network and efforts from across the political spectrum to improve our digital readiness.

The Ai Group is the WEF’s Partner Institute in Australia “As an advanced economy, Australia ranks relatively poorly compared to its peers,” said Willox. “Indeed, there is a clear gap between the top seven ranked economies and other advanced economies. These countries (dominated by Singapore, northern Europe and the US) currently lead the way in embedding and leveraging digital technologies. Critically, they are characterised by a business sector that is embracing new digital technologies and innovations as core parts of operations.

“For Australia, the 2016 result is disappointing especially at a time of economic and political uncertainty when we should be doing all we can to improve our productive performance at all levels and through all means. It comes off a small improvement in 2015 (from 18th to 16th) and steers us further away from our top nine ranking in 2004.”

The report saw Australia performing well on aspects of infrastructure, use of Information and Communications Technology (ICT) by individuals, and general ICT readiness.

However, use of ICT and digital innovation by businesses were lagging. The report also found that Iceland and New Zealand have edged ahead of Australia in terms of digital competitiveness.

“This serves as a reminder that if we do not work harder to continue to improve our competitiveness, we will be further left behind by other advanced economies,” Willox added. “Australian businesses need to better embrace ICT and improve their capacity to innovate. Central to

improving digital competitiveness will be development of effective policies to encourage business innovation and use of ICT and the development of the science, technology, engineering and maths (STEM) skills needed to leverage new technologies.

This is all the more important in the context of Australia’s transition from the resourcerelated investment boom towards new drivers of growth.

“We note that initiatives over the last year, including the National Innovation & Science Agenda and the Industry 4.0 Taskforce, are important to support our participation in the fourth industrial revolution and to lift our overall global competitiveness. We encourage bipartisan support in these types of productivity-boosting initiatives.”

Other key findings from the Global Information Technology Report 2016 include the complementary roles of competition policy; policies to alleviate labour market polarisation; and an effective research and innovation framework.

Quickstep links up with DCNS

Quickstep Holdings, has signed a memorandum of understanding (MoU) with DCNS Group, the French naval shipbuilding company recently selected by the Federal Government as its preferred international partner for the design of 12 submarines for the Royal Australian Navy. participation in the new SEA 100 submarine program complements its involvement in the Joint Strike Fighter (JSF) F-35 Program.

These are both long-term programs which will allow new technologies to be developed.

The MoU between Quickstep and DCNS covers the companies’ joint co-operation in the manufacturing of components and assemblies using advanced composite materials.

David Marino, CEO and Managing Director of Quickstep said: “The application of Quickstep’s carbon fibre composites expertise for the marine defence industry is a natural extension of our technology. We are delighted to commence this partnership with DCNS, which is an acknowledged world leader in naval defence systems. The MoU provides opportunities for Quickstep to participate in DCNS’s supply chain and for the potential use of our technology in submarine platforms in Australia and overseas.”

Sean Costello, Managing Director of DCNS Australia said: “DCNS has commenced building a supply chain in Australia that will support the submarine

AMT Aug/Sep 2016

capability on a sustainable basis. Ultimately this supply chain will comprise several hundred companies across Australia and form the Future Submarine Enterprise.”

A Quickstep/DCNS committee will consider the parts and projects most relevant to implementation of Quickstep’s technology and during the next 12 months Quickstep expects to develop and manufacture a number of demonstration parts. Testing of Quickstep’s process technologies for naval applications may lead to production of components for DCNS’ submarine program for Australia and export markets.

Use of composite materials is increasing in surface ships and submarines, reflecting reduced material costs and shipbuilders’ focus on weight reduction. Quickstep’s innovative technologies for the aerospace, defence and automotive sectors are also suitable for naval defence, and its potential

Composites provide advantages including high strength for weight, weight reduction, thermal insulation and the absence of magnetic signatures. They are already used in naval and commercial ships for purposes such as superstructures, bulkheads, propellers and interior panels.

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industry news

Shoddy welding ‘will lead to deaths’

Public safety is at risk unless Australian politicians legislate to enforce compliance with Australian standards for fabricated steel, Welding Technology Institute of Australia (WTIA) CEO Geoff Crittenden has warned.

“All fabricated steel being erected in Australia must be certified as compliant with the standards and the standards must be enforced,” Crittenden said.

Crittenden added that he had received copies of documentation that show a grain silo under construction in a rural Australian location, which he would not identify, is being built from imported fabricated steel modules that are not compliant. Crittenden said a WTIA-certified senior welding inspector’s report showed ten separate items tested did not comply. Problems identified included undersize, missing and incomplete welds. A separate qualified consultant’s visual weld inspection of the imported silo support structure found none of the welds inspected was compliant with the Australian standard, AS/NZS 1554.1:2014. According to the report, the welds are “deemed unacceptable”.

Both reports include photographs that clearly show the sub-standard welds.

“Despite the serious safety issues raised in these reports, my understanding is construction is proceeding with no rectification of the non-compliant welds,” Crittenden said.

“Compliance with Australian standards is not mandatory and there is no way anyone can legally force the owner to rectify the shoddy workmanship.

The standard is a toothless tiger. We need a law that says no fabricated steel structure can be erected in Australia without being inspected and certified as compliant.”

Crittenden called for a bi-partisan approach from all politicians to support such legislation.

“This silo is just one example of a problem that is rampant across the nation,” he said. “About 85% of imported fabricated steel is non-compliant. My colleagues and I in the steel supply chain have provided details of dangerous structures, including a footbridge between two schools, to government agencies but our warnings have been ignored.

Crittenden gave evidence in April to the Senate Economics References

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Welding Technology Institute of Australia (WTIA) CEO Geoff Crittenden.

Committee’s inquiry into the future of Australia’s steel industry and explained there was no law requiring fabricated steel to be inspected by a qualified welding inspector to ensure it met Australian welding standards. He suggested a twotiered scheme with audited self-certification permitted for some fabricated products, but compulsory third-party certification for fabricated steel used in high-risk projects, including road, rail, mining and energy infrastructure.

WTIA, as the welding industry’s peak body, could manage the scheme at no cost to the Federal Government, including facilitating independent, third-party qualified inspectors to ensure welds on imported steel were safe.

“We need commitments from all sides of politics to legislate,” Crittenden said. “Must we wait for deaths to occur? We need action now.”

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“We’ve got a watchdog, the Australian Competition & Consumer Commission, that protects children from unsafe imported toys, but there is no regulation to protect the Australian public from imported, fabricated steel that poses serious safety risks to all Australians.”

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industry news

Supersonic tech to deliver low-cost magnesium In a move that could help reinvigorate the metal production industry in Australia, CSIRO and Enirgi Group have joined forces to develop and commercialise an affordable and low-emission technology for producing magnesium metal.

The CSIRO-developed technology, known as MagSonic, produces magnesium using up to 80% less energy and up to 60% less carbon dioxide emissions thanks to a supersonic nozzle. Magnesium is the lightest of all metals and is in rising demand from car manufacturers who are turning to the metal as a solution for making lightweight, low-emission vehicles.

CSIRO and Enirgi Group’s Innovation Division will work together to further develop and validate the MagSonic technology. Once the technology is proven ready for commercialisation, Enirgi Group has the option to take up an exclusive global license that would see the company initially build a commercial-scale magnesium production facility in Australia.

Dr Mark Cooksey, who leads CSIRO’s sustainable process engineering group, said commercialisation of MagSonic would help take advantage of Australia’s abundant reserves of magnesite ore that remain largely untapped.

“The growth of magnesium use has been limited because it’s been too expensive and labour-intensive to produce the metal from ore using traditional processes,” Dr Cooksey said. “Our MagSonic technology offers an economically-viable solution to overcome these issues and make clean magnesium more available and affordable to manufacturers.

“We are pleased to be working with CSIRO on this exciting opportunity to bring reliable supply of magnesium metal to the global market in an environmentally sustainable way,” Enirgi Group’s Vice President of Corporate Development, Anthony Deal said. “We are confident that this process is capable of commercial production.

“We’re delighted to be working with Enirgi Group as our technology and commercial partners, with their experience in developing new processes to disrupt and change industry dynamics.”

“The flow-through benefits to emerging industries like electric vehicle manufacturing are enormous, not to mention a substantial reduction in carbon emissions when compared to current magnesium production processes.”

MagSonic uses carbothermal reduction and a supersonic nozzle to efficiently produce high quality magnesium. It involves heating magnesia with carbon to extreme temperatures to produce magnesium vapour and carbon monoxide. The vapour and carbon monoxide are passed through a supersonic nozzle – similar to a rocket engine – at four times the speed of sound to cool the gases in milliseconds, condensing and solidifying the magnesium vapour to magnesium metal.

In recent years, CSIRO has been developing new sustainable technologies to help the Australian metal production industry compete in an increasingly environmentally-conscious and globalised world. MagSonic complements a suite of CSIROdeveloped magnesium technologies, including T-mag, twin roll strip casting and high pressure die casting.

KPMG – Global survey shows CEOs confident of growth KPMG’s 2016 Global CEO Outlook reveals that CEOs are increasingly confident in achieving growth in the next three years. Despite concerns over their readiness to face emerging challenges, CEOs are confident they can transform their companies for the future.

The force and speed with which technological innovation is moving through the economy is creating an inflection point for the business sector, say the vast majority of CEOs surveyed. So great will be the impact, that 41% of CEOs expect to be running significantly transformed companies in three years’ time. That response rate is up from 29% who felt that way a year ago. In addition, 82% of those surveyed are concerned whether their company’s current products or services will even be relevant to customers three years from now.

A significant majority of CEOs recognise the important need to foster a culture of innovation, respond quickly to technological opportunities and invest in new processes. But most CEOs recognise that they are now handling issues that they have never grappled with before.

AMT Aug/Sep 2016

Global CEOs of the largest corporations have indicated they are prepared to handle this period of unprecedented change with realistic expectations and a healthy dose of confidence. They are increasingly optimistic that they can transform their organisation to enable it to capture the opportunity that the future holds. This confidence is apparent in their hiring plans and projected top-line growth over the next three years.

The survey targeted 1,268 CEOs in 10 key markets (Australia, China, France, Germany, India, Italy, Japan, Spain, UK and US) and 11 key industry sectors (automotive, banking, infrastructure, insurance, investment management, life sciences, manufacturing, technology, telecommunications, retail/consumer markets and energy/utilities).

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Industry news

Accolades for Victorian manufacturing leaders The individuals and businesses who are raising the bar in Victorian manufacturing were recognised on 9 June at the 2016 Manufacturing Hall of Fame Gala Dinner.

Broadmeadows-based CSL Behring was named Large Manufacturer of the Year, Coburg North-based Thycon Industrial took the Medium Manufacturer of the Year prize, while Campbellfield-based H&H Machine Tools Australia received the Small Manufacturer of the Year award. A number of companies were also recognised for their excellence in sectors driving Victoria’s economic growth and jobs.

Stuart Payne, from Mount Waverley-based food processing company GP Graders, was announced as this year’s Honouree. Under Payne’s direction, GP Graders has become a global market leader in research and development, design, quality assurance, marketing and sales.

The Young Manufacturer of the Year prize was awarded to Dr Ashley Denmead from Carbon Revolution. Denmead is one of the inventors of the technology that led to the world’s first commercialised carbon fibre wheel. Paz Group (construction), Morgan Advanced Ceramics (advanced material), RF Industries (technology), Close the Loop (recycling), EBM Papst (refrigeration, heating and IT), Cablex (aerospace, defence, transportation, electronics and telecommunications) were all inducted into the Hall of Fame.

The winners in the Growth Sector Awards category were: • Medical technology and pharmaceuticals – MSD Animal Health, Bendigo East • New energy technology – Mil Systems, West Footscray • Food and fibre processing – Andrew Peace Wines, Piangil

AMT Aug/Sep 2016

• Transport, defence and construction technology – MHG Asia Pacific, North Geelong • International education – Swinburne University, Hawthorn • Professional services – Cobalt Design Pty Ltd, North Melbourne The Labor Government of Premier Daniel Andrews is supporting companies in these growth sectors to create jobs and stimulate industry investment through our Future Industries Fund.

“Manufacturing has a bright future in Victoria and these awards celebrate those businesses and individuals who are shaping the future of this important sector,” said Victorian State Minister for Industry and Employment, Wade Noonan. “We are investing in high growth sectors to create jobs and grow the economy and these awards recognise forward thinking businesses that are driving this economic growth. This year’s winners are all outstanding local businesses and individuals that are at the forefront of Victorian manufacturing and should be commended for their accomplishments.”

In December 2015, a five-year construction and development project at Broadmeadows culminated with the first shipment of a state-of-the-art, highly engineered immunoglobulin product, ‘Privigen’, exported to patients in the US. CSL Behring is a subsidiary of CSL Limited, an ASX top 10 company and the only advanced manufacturer in the ASX top 20.

Manufacturer of the Year Large Business

Manufacturer of the Year Medium Business

CSL Behring CSL Behring is a global leader in therapies derived from human plasma. More than 700 employees work at the company’s purpose-built advanced manufacturing facility in Broadmeadows. CSL Behring manufactures 15 plasma products from blood donors in Australia and the Asia Pacific.

Thycon Industrial Thycon is Australia’s leading manufacturer of power quality and conversion solutions for the industrial, resource and commercial sectors. Since the company’s foundation in 1968, its dedication to R&D innovation has enabled the product line to grow steadily in response to technical advances and market needs. Today, it encompasses airfield

industry news Ash progressed his studies in the form of a PhD based around composite materials at the Centre for Materials and Fibre Innovation at Deakin University. In conjunction with these studies the development of carbonfibre wheels was progressed and Carbon Revolution was founded as a company in 2007. Now the Engineering and Design Director for Carbon Revolution, Ash has contributed to all aspects of the design of the product and process through the last eight years with Carbon Revolution and has inventor status on all patents in the Carbon Revolution IP portfolio.

2016 Honour Roll Recipient Stuart Payne, Directo GP Graders

lighting regulators, high-current rectifiers, inverters, UPS, static frequency converters, power factor correctors, transformers, fault current limiters, and more recently, energy storage and micro-grids.

Thycon’s dedicated customer services include preventive maintenance, 24/7 remedial service, smart monitoring, customer training programs and engineering advisory services. Thycon’s reputation for robust, long life, quality equipment is well established, with many products still in operation after more than 25 years of service. Its enduring philosophy of state-of-the-art, rugged design has provided the foundation for recent growth into international markets.

Manufacturer of the Year Small Business H&H Machine Tools Australia H&H is a small, innovative engineering company in Melbourne’s north that specialises in the design, engineering, manufacturing and marketing internationally of five-axis gantry milling machines.

Unique in Australia, H&H has developed processes that represent an optimal solution for industries in mould/die, defence, aerospace, medical, transport and precision engineering, with their high quality standards.

2016 Young Manufacturer of the Year Dr Ashley Denmead Carbon Revolution Dr Ashley Denmead is one of the original inventors of the technology that led to the world’s first commercialised carbon-fibre wheel. During the final years of study in his mechanical engineering degree at Deakin University, Ashley was also team leader and then chief engineer of the university’s Formula SAE-A program. This experience shaped his future – the competition, the people involved and the challenge it represented sowed the seed for his career direction and the reason that Carbon Revolution now exists. The drive to produce the highest performing Formula SAE-A race car was the reason one-piece carbonfibre wheels were conceived, developed and manufactured within the team and its supporters.

Manufacturing in this country is heading in a new direction – Australia can no longer compete for low-skill manufacturing and must focus on advanced manufacturing.

Stuart Payne understands and represents this change. Payne has steered GP Graders to focus on supplying a global market, where demand for automation in fruit-sorting using vision technology is at an all-time high.

Stuart has helped establish GP Graders’ innovative culture and reputation for excellence, including informing the market of what it needs to be more successful.

Stuart has made it a priority that the company’s value-add lies in design and innovation, and assembly, ensuring greater control over quality assurance (something the company believes should never be outsourced). Stuart has helped the company evolve from an original equipment manufacturer (OEM) of component parts to an assembler of parts, and concentrates his effort on R&D, design, quality assurance, marketing and sales. Stuart has driven the company’s export focus from having 100% of sales in Australia to now having 80% export sales while retaining GP Graders’ Australian sales and revenue figures.

H&H’s focus on customer requirements and working to customer specification has resulted in it winning several export contracts for turn-key machining systems used for machining of diverse components such as CAT-scan systems in medical, to composite wings for aircraft. H&H milling machines are now installed in multiple international locations including Malaysia, China and the US.

AMT Aug/Sep 2016

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government news

Macfarlane to chair IM CRC

Former Federal Industry Minister Ian Macfarlane, appointed as the new Chair of the Innovative Manufacturing Cooperative Research Centre (IM CRC).

Macfarlane succeeds Phil Butler, who stepped down as Chair of the CRC in May. The IM CRC integrates technological and business innovation to improve Australia’s manufacturing competitiveness.

The CRC’s objective is to help accelerate diversification of Australian manufacturing into ‘new manufacturing’ opportunities and value chains. Macfarlane was elected to Federal Parliament as the Federal Member for Groom in October 1998 and retired from the Federal Parliament this May. He held the portfolio of Small Business (2001) before being promoted to the Cabinet role of Industry, Tourism and Resources (2001-2007) in the Howard Government.

In Opposition, he was the Coalition’s spokesperson for the portfolios of Trade; Infrastructure and Water; and Energy and Resources.

With the election of the Abbott Government in 2013, he was appointed Minister for Industry and Science, again with responsibility for Energy and Resources, thereby becoming Australia’s longest serving Resources Minister. Macfarlane used his extensive experience and pragmatic approach to policy in these important economic sectors to build stronger links between business and research institutions.

Before entering federal politics, Macfarlane was one of the country’s most active agripoliticians. He previously farmed

The Andrews Labor Government has announced $243,000 in funding to help supply chain businesses impacted by the impending closure of Ford, Holden and Toyota’s car manufacturing in Victoria.

Visiting auto supply business Belmatic Industries in Heidelberg West on 20 July, State Minister for Industry and Employment Wade Noonan announced the new funding grants for 11 supply chain companies to provide intensive support to diversify their businesses. Supply chain companies that will receive assistance under our Automotive Supply Chain Transition Program (ASCTP) include: • Precision Plating, Burwood • ACE Wire Works, Hallam • Premcar, Campbellfield • Guhring, Oakleigh South • Aunde Australia, Stawell • Palm Products, Moorabbin

peanuts, sorghum and wheat, and ran cattle in Queensland’s Burnett region. He was President of the Queensland Graingrowers Association for seven years, President of the Grains Council of Australia for two years, and simultaneously held executive positions on the Queensland and National Farmers’ Federations. www.imcrc.org

Tasmania opens Manufacturing Centre of Excellence Jeremy Rockliff, Tasmanian Minister for Education and Training, opened the Tasmanian Manufacturing Centre of Excellence in Burnie on 18 July.

An initiative by the State Government in collaboration with the Tasmanian Minerals and Energy Council (TMEC), the Centre is an industry-led, manufacturing hub focused on innovation, research, collaboration and continuous improvement. It will strive to support the transition of the Tasmanian manufacturing industry to an advanced and globally competitive sector.

TMEC will operate from, and manage, the Centre, having received $400,000 in support from the Tasmanian Government through the Caterpillar Transition Taskforce. The new Centre of Excellence is to be housed in the former TasTAFE building in South Burnie for a period of three years.

The building will incorporate organisations that have expressed an interest in co-locating and utilising the facility including the CSIRO, Ai Group, UTAS and the Collab Lab. Local manufacturing giant the Elphinstone Group will own and operate the simulated work environment (SWE), the largest in the Southern Hemisphere. This will be available for industry and the community to undertake LEAN and continuous improvement training “The opening of the Tasmanian Manufacturing Centre of Excellence delivers on the Tasmanian Government’s commitment in the recently released Tasmanian Advanced Manufacturing Action Plan for greater representation, collaboration and support to the manufacturing sector in the state,” said Rockliff.

AMT Aug/Sep 2016

Funding boost for Vic auto industry

• GTS Industries, Dandenong • Ceramet, Delacombe • Perroplas Australia, Braeside • Belmatic Industries, Heidelberg West • OzPress, Wendouree This round of ASCTP funding builds on $222,000 previously provided to a further nine automotive supply chain companies.

The ASCTP was established to help businesses identify future opportunities and new markets, and highlight the capabilities needed to enter that market.

This program is part of the Labor Government’s $46.5m Automotive Transition Plan to help Victorian automotive businesses transition into new markets, retrain and find new work for automotive workers, and attract investment into the communities most impacted by the closure of automotive manufacturing.

“The Andrews Labor Government is targeting our assistance towards the many businesses in the auto supply chain who will be impacted by the closure of Ford, Holden and Toyota’s car manufacturing in Victoria,” said Noonan. “Funding is provided to support businesses to develop a transition plan and discover new opportunities to diversify and grow.”

Companies wishing to apply for ASTCP assistance, or specialist companies seeking to deliver transition projects for the program, are advised to visit www. business.vic.gov.au/asctp or call Business Victoria on 13 22 15.

Commonwealth Government Entrepreneurs’ Programme partnering with AMTIL

It’s all about you.

Accelerating Commercialisation

The Entrepreneurs’ Programme (EP) is a Commonwealth Government flagship initiative focused on raising the competitiveness and productivity of eligible companies at an individual level. AMTIL is a partner organisation working with the Department of Industry in the delivery of the EP. The Programme forms a part of the Australian Government’s Economic Action Strategy and will deploy over 100 experienced Advisers and Facilitators, offering support to businesses through three key elements: 1. Business Management 2. Innovation Connections 3. Accelerating Commercialisation Accelerating Commercialisation helps entrepreneurs, businesses and researchers to address the challenges of bringing their products, processes and services to market.

Without the right advice and support this can be a very difficult, frustrating and challenging fraught with many dangers. It gives you access to expert advice, contacts, networks and exposure opportunities to put you on the fast-track to commercial success. Investors, technology entrepreneurs and strategic partners can forge links with high-calibre, high-potential Australian start-up tech companies through the Accelerating Commercialisation Portfolio and Expert Network.

Accelerating Commercialisation offers: • Matched grants of up to $1 million to support entrepreneurs on their commercialisation journey.

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voice box Opinions from across the manufacturing industry

Let’s compete on complexity, not on cost

The public has heard quite a lot about manufacturing over these past few months. Convincingly, manufacturing remains a touchstone in the electorate with parties of all persuasions pointing to our industry as a key sector that must continue to receive attention. By Dr Jens Goennemann.

Complementary to this, the Australian Industry Group announced that the manufacturing sector recorded its longest period of growth since 2006. And over a 10-year period, our exports have grown by 40% despite long cycles of currency fluctuations.

Our defence industry is gearing up to build the next fleet of submarines, offshore patrol vessels and frigates. This in itself presents enormous opportunities to showcase and nurture our world-class, yet way too thin layer of advanced manufacturing capabilities.

While we can cheer and welcome this current focus and opportunity, we should keep a steady eye on our future. Our achievements to date show what we can do, but do not necessarily show what we must do tomorrow and how. Fortunately, the political debate has moved on from the question of whether we should have manufacturing in the first place. However, what is not being sufficiently debated is what type of manufacturing we need in order to be and to remain competitive – globally competitive.

When we speak about manufacturing competitiveness we tend to overemphasise something tangible: cost. However, Australia’s strong point is usually not cost-competitiveness, and betting our manufacturing future on an unpredictable currency exchange rate would be ill-advised. It is evident that Australia cannot compete by offering the lowest price, even when our low dollar may help us at this present time.

The feedback the Advanced Manufacturing Growth Centre (AMGC) consistently receives from large multinational firms emphasises other sources of less tangible value than price-only purchasing.

Key drivers of procurement decisions are often motivated by differentiated value, for instance, technology leadership, reputation and reliability of the offerings. Here is where Australia has a lot to show and where our sustainable manufacturing future begins. In short: give customers something that excites them, and they will pay.

We believe Australian manufacturing can distinguish itself by increasing the level of complexity of our outputs. Today, we find ourselves at an interesting crossroad. We are still one of the richest developed countries in terms of GDP per capita, but we are placed only mid-range in our ‘economic complexity’ – an indicator of society’s productive knowledge. Plus, our trajectory is unclear as our income per capita continues to move away from productivity gains justifying that level of income. Only an economy that has and sustains its ability to manufacture complex things is an economy that is well positioned to resiliently preserve its wellbeing. Otherwise we are just lucky, and luck can change, as can commodity prices and exchange rates.

If we attempt the short-sighted view of maintaining the status-quo approach rather than focusing on mastering higher complexity that makes us globally competitive, then we greatly risk sliding further down the rankings. In a globalised economy it is simply not good enough to be domestically competitive and protective since we cannot immunise ourselves against global competition.

Focusing on complexity, not on cost-competitiveness, is the key to our future prosperity. This means re-evaluating our entire value chains of manufacturing, transforming our sector from relatively lowvalue production that is less skill-intense to higher-skill activities.

AMT Aug/Sep 2016

© Göran Roos 2016. Extracted from: Hausmann, R., & Hidalgo, C. A. (2014). The atlas of economic complexity: Mapping paths to prosperity.

MIT Press.

Let’s start with research, development and design, where a manufacturer incorporates a customer’s needs from the beginning as a way of design-led thinking, deliberately targeting valuable R&D funding for specific customer-centric commercial outcomes. We have evidence that leading manufacturing countries guide up to 100% of their government R&D business investment directly into commercial opportunities. Australia is an outlier in this category, we only spend around 10% of our R&D in this way.

Complexity in our manufacturing sector means greater export success. Almost half of global trade is in intermediate goods, not in commodities, not in finished products. This presents Australian manufacturing firms both a challenge and a chance to become part of a much bigger global supply chain contributor. Providing complex niche solutions to globally operating system integrators, which usually source globally as well, offers access into valuable supply chains. Australian manufacturers have proven to be effective problem-solvers – adding complexity into this mix is essential in order to retain our innovative edge.

It is by no coincidence that shipbuilding, policy intention and digital disruption seem to converge almost simultaneously on our manufacturing sector. That we are seeing a buoyant outlook from manufacturers and our national accounts reflects this optimism.

There is a sense that change is afoot in ways that may leave some in our sector uneasy, but many more excited.

Having a plan on how to successfully steer through this period of adjustment requires confronting global realities and taking bold steps. To become and remain a nation of advanced manufacturers is a prerequisite for the promises of Industry 4.0. We must look beyond today’s achievements and guide our industry on a globally, hence sustainable competitive path. Insights from our Sector Competitiveness Plan show what our industry can do to offer differentiated value in the international marketplace, and complexity is key.

Dr Jens Goennemann is Managing Director of the Advanced Manufacturing Growth Centre. www.amgc.org.au

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voice box Opinions from across the manufacturing industry

Industry 4.0 is powering the rise of smart manufacturing

A wave of technology-driven innovation is ushering in a fourth industrial revolution, with profound implications for manufacturing, writes Professor Lisa De Propris.

Technology is all around us, and sometimes in us. We experience it daily in the way we stream music, in how we use an app to navigate a museum or a shopping centre, or to check our calorie burning and heart rate. This technology is changing our lifestyle and consumption. There is, of course, a lot more technology around us that we don’t see or touch at source. A wave of technological innovation has started to fundamentally alter how we make stuff.

And it signals an era of huge change.

In the 1920s, Russian economist Nikolai Kondratiev linked waves of technological change occurring every 50 years or so with cycles in global GDP growth. He suggested that radical inventions could profoundly revolutionise the techno-economic nature of economies. Indeed, the subsequent spawning of countless minor and incremental innovations could penetrate every aspect of the economy.

The idea of Kondratiev waves is that as old technologies exhaust their potential for new ideas to boost the economy, they slow down until a critical mass of new technologies comes to fruition all at once. That then kicks off a new technological wave that is able to trigger a spate of new applications in new processes, new products and new services. You can see this in the cellphone-to-smartphone shift. This was made possible by digital technology, which created a common platform across a number of functions: communications and internet, imaging, video, GPS, the digital camera, and of course apps. This is radical innovation and from it, subsequent hardware and software variants have added marginal value.

And so, each wave fundamentally changes which resources are used and how they are used, as well as reshaping the organisation of production. New sectors are created while others become obsolete. This dynamism resets the economy and sparks growth again.

There is some consensus that four industrial revolutions can be associated with new technological waves. Innovations related to steam power, cotton, steel, and railways helped to give us the first industrial revolution of mass production and mechanisation.

The second was triggered by the introduction of electricity, heavy and mechanical engineering and synthetic chemistry. The third was triggered by innovations in electronics and computers, petrochemicals and aerospace.

And what about the fourth? Right now, a host of new technologies are driving a wave of innovation that takes us into a new age. Think of the internet, nanotechnology, bioscience, electronics, photonics, advanced materials and renewable energies. Changes to our own techno-economic system started in the mid-1980s, but we had to wait the turn of the century to witness their impact on our production methods. Smart manufacturing may enable the upgrading and anchoring of manufacturing activities, even in advanced and highcost economies. We can identify some key characteristics. First, we see new technologies initiating new sectors or upgrading old ones.

Core to this is the symbiosis between traditional manufacturing and services, through processes of “servitisation”. Take Rolls-Royce, which of course produces engines, but also sells them within a “power-by-the-hour” maintenance package that restructures its offering as a service that delivers the ability to fly planes rather than simply selling a one-off product.

AMT Aug/Sep 2016

There are also untapped market niches for personalised and customised products. These need to be produced in small batches or even as unique pieces. Such niche markets require customers to co-innovate or even co-produce with the manufacturer. Digital communications enable manufacturers to manage small-scale businesses that have design and produce locally while connecting with global customers.

Local Motors is a small US manufacturer focused on low-volume, open-source designs which are assembled in microfactories.

Products have included cars and motorbikes as well as electric bicycles, children’s ride-in toy cars, and remote-controlled toy cars and skateboards. It 3D prints some of the components used in making its products. Its Rally Fighters cars have involved “cocreation”, where the product is designed cooperatively with the customer.

3D printing enables innovators and inventors to become manufacturers and to connect directly with markets both locally and globally. One company, Shapeways, was spun out of the Dutch electronics giant Phillips in 2007. Now based in New York, it offers a 3D printing marketplace and service. You can design and upload 3D printable files, which are then made for you or a client from materials including acrylics, stainless steel, food-safe ceramics, and silver. Alternatively consumers and designers can work together in “co-creator platforms” to design unique things which Shapeways prints.

Products like this tend to have a high content of technology, innovation, customised design and servicing. Moreover, their consumers tend not to be as price sensitive, so technology, knowledge and innovation are the key elements which shape the competitiveness contest.

Another prediction for smart manufacturing is that it will redesign product supply chains by integrating the local and the global more strategically. Some hands-on innovators in the so-called “makers movement” are making the most of a trend towards linking innovating and making. They choose suppliers nearer to home, but connect with demand both close and far from home.

It promises a more efficient form of production, which we can also see in the increased use of more sustainable processes, where resources are re-manufactured and components re-used, or where bio, waste or natural products are used as feedstocks. There are echoes here of the circular economy, where waste is fed back into the production process, where alternative energy changes business models, or food production and consumption is “relocalised”. And it is this kind of efficiency at the heart of smart manufacturing that presents a real opportunity for advanced economies to pursue more distributed and sustainable socio-economic growth.

Lisa De Propris is a Professor of Regional Economic Development at the University of Birmingham, UK. This article was originally published in The Conversation. www.birmingham.ac.uk

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Tech News

Sweden/US: Water-guided laser for turbine industry

Netherlands/Germany: Plastic oscillates in sunlight

Synova’s Laser MicroJet (LMJ) M-series, originally developed for the diamond industry, features a unique water-guided laser beam that cuts and drills parallel and clean kerfs or precise holes with virtually no heat impact. A GE engineer spent three years perfecting it for use in the turbine industry. The result – being used in GE Power’s new Advanced Manufacturing Works - combines the laser with GE’s software and machining. Workers at GE now use the LMJ to drill teardroplike holes running at sharp angles that distribute the cooling flow better and reduce the need for outside air. The machine will alleviate the former labour-intensive drilling of holes where workers drill first, apply coatings and then reopen the holes – estimated to save as many as seven hours of labour per part when it’s production-ready later this year. The LMJ is also being used to machine a new heat-resistant supermaterial designed to replace metal inside turbines.

A thin layer of pliable plastic, when placed in the sun, oscillates irregularly by itself. The phenomenon of materials moving under the influence of light has been known for years. However, since the source tends to be UV light, the required intensity can damage the material. The challenge was to find a material that behaves this way in visible light. Researchers have now succeeded in producing a thin polymer layer containing light-sensitive molecules (azo-dyes).

Lying in sunlight, the thin film begins to oscillate spontaneously and irregularly. Self-cleaning solar panels in the desert is one possible application because a surface that vibrates in the sun makes it difficult for sand and dust to stick to it. However there will be many more possible uses.

GE

Australia: Milestone in solar cell efficiency A new solar cell configuration has pushed sunlight-to-electricity conversion efficiency to 34.5% – establishing a new world record for unfocused sunlight and nudging closer to the theoretical limits for such a device. The record was set by using a four-junction minimodule – embedded in a prism – that extracts the maximum energy from sunlight. It splits the incoming rays into four bands to squeeze even more electricity from each beam of sunlight. The result is almost 44% better than the previous record. The new result was achieved using normal sunlight with no concentrators.

Eindhoven University of Technology

Spain/France/Denmark: World’s longest wind turbine blade Adwen and LM Wind Power have partnered towards lowering the cost of offshore energy to present the world’s longest wind turbine blade – at 88.4m. With the largest rotor in the industry (180m), the AD 8-180 wind turbine has the highest annual energy production of all wind turbines. The 88.4m blade-length is the best compromise between swept area, energy production, and weight as well as the loads transferred to the wind turbine.

Adwen

University of New South Wales

South Korea: Octopus-inspired smart adhesive pads Germany: Strength and ductility for alloys Scientists have presented a new type of metallic material that is extremely strong, but simultaneously ductile - contributing to the future design of metallic components with thinner sheets. To date, extremely ductile metallic materials were not particularly strong and vice versa. A search was conducted for a material that is as strong as a high-entropy alloy, but, like particularly ductile steels, has two coexisting crystal structures. The search produced an alloy made from 50% iron, 30% manganese and 10% respectively of cobalt and chrome. By further improving the microstructure and composition, strength and ductility, enhancements will be achieved; thereby solving the metal-processing industry’s dilemma of having to choose between strong or ductile materials.

Max-Planck-Gesellschaft

AMT Aug/Sep 2016

Researchers have recently found a way to make building flexible pressure sensors easier, by mimicking the suction cups on octopus’ tentacles. Although flexible pressure sensors might give future prosthetics and robots a better sense of touch, building them requires laborious transferring of nano- and microribbons of inorganic semiconductor materials onto polymer sheets. Each suction cup of an octopus contains a cavity whose pressure is controlled by surrounding muscles. By mimicking muscle actuation to control cavity-pressure-induced adhesion of octopus suckers, the team engineered smart adhesive pads. They used the rubbery material - PDMS - to create an array of microscale suckers, which included pores that are coated with a thermally responsive polymer to create sucker-like walls. The best way to replicate muscle contractions is through applied heat (accordingly, the adhesive strength spiked from .32 kilopascals to 94 kilopascals at high temperature).

Ulsan National Institute of Science and Technology (UNIST).

Tech News

USA/Sweden: ‘RoboGlove’ The RoboGlove – originally developed out of a partnership between GM and NASA for use on the ISS – has used leading-edge sensors, actuators and tendons to augment human tendons. This will help astronauts and factory workers with grasping tasks to potentially minimise hand fatigue and the risk of RSI. To augment the glove, Swedish medtech company Bioservo will develop a new grasp assist device for industrial use that could increase human operator efficiency while reducing hand-muscle fatigue. “Combining the best of three worlds – space technology from NASA, engineering from GM and medtech from Bioservo – in a new industrial glove -could lead to industrial scale use of the technology,” said Tomas Ward, CEO of Bioservo. GM intends to be the first US manufacturing customer for the refined robotic glove.

General Motors/NASA

electric motorcycle (30% lighter than conventionally manufactured e-motorcycles). Leveraging the benefits of 3D-printing, APWorks designed frame parts that were hollow instead of solid - allowing integrated cables, pipes etc.

Airbus Group

Germany: Gentle strength for robots Robots with soft actuators that cannot harm humans, are tethered by pneumatic hoses and so their radius of motion is restricted.

This may be about to change via a soft so-called elastic actuator using electrically controllable membranes which can be integrated in robots. The actuator works with hyperelastic membranes that surround air-filled chambers. The volume of the chambers can be controlled by an electric field at the membrane. To date, elastic actuators that exert a force by stretching air-filled chambers have always required an external supply of compressed air. A soft actuator means that such bulky payloads or tethers may now be superfluous.

Max-Planck-Gesellschaft

USA: Generating electricity from low-temp. heat waste

USA: 3D-printing metal in midair As though suspended in mid-air, a new way of 3D-printing complex metallic architectures has been developed. This laser-assisted direct ink writing method allows microscopic metallic, free-standing 3D structures to be printed in one step without auxiliary support material. The team used an ink composed of silver nanoparticles, sending it through a printing nozzle and then annealing it using a precisely programmed laser that applies just the right amount of energy to drive the ink’s solidification. In this way, tiny hemispherical shapes, spiral motifs, even a butterfly made of silver wires less than the width of a hair can be printed in free space within seconds.

Wyss Institute for Biologically Inspired Engineering at Harvard

Germany: World’s first 3D-printed e-motorcycle Pictured is an Airbus exec lifting this motorbike with one hand.

The 35kg “Light Rider” - with a 6kW electric motor powering it from zero to 80kph in seconds - is the world’s first 3D-printed

Researchers have developed a new technology that could make energy from low-temperature wasted heat from industrial sources, tapping into a mostly unused resource. Although existing technologies can reuse high-temperature heat, it is difficult to efficiently extract energy from low-temperature heat waste. The key is a “nanobubble membrane” that traps tiny air bubbles within its pores when immersed in water. Heating one side of the membrane causes water to evaporate, travel across the air gap, and condense on the opposite side of the membrane. This temperature-driven flow of water is then directed to a turbine to generate electricity. Power can be generated even with heat fluctuations and temperature differences as small as 20deg.C. “The process also only uses water.

Yale University

UK: Indestructible bridges could be a reality A new generation of indestructible bridges could be possible due to a design process called “form-finding”, inspired by the natural world. In nature, various objects develop simple stress patterns.

Prof. Wanda Lewis - observing forms and shapes in nature – has developed mathematical models that implement nature’s design principles and produce simple stress patterns in structures. A piece of fabric is suspended, and allowed to relax into its natural, gravitational, minimum energy shape; then that shape is frozen into a rigid object and inverted. She finds the coordinates of this shape through computation by simulating the gravitational forces applied to the structure. This produces a shape (a natural form) that can withstand the load with ease. Prof. Lewis argues that “nature’s design principles cannot be matched by conventional engineering design.” While classical architectural designs are appealing to the eye, they aren’t necessarily structurally sound.

University of Warwick.

“When you are building the largest wind turbine in the world, almost everything you do is an unprecedented challenge. We are going where no one else has ever gone before, pushing all the known frontiers in the industry” - Luis Álvarez, Adwen General Manager, on the creation of the world’s longest wind turbine blade. At 88.4m long, the blade is longer than a Boeing 747-8 jet airliner - the world’s longest passenger airliner.

AMT Aug/Sep 2016

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product news

Laserdyne 606D – New dual workstation multi-axis laser

Prima Power Laserdyne has introduced its new dual workstation Laserdyne 606D multi-axis laser processing system.

This new system features two completely independent work stations in a single unitised structure.

The dual workstation design of the 606D is one of the ways that the system fulfils a main design goal of maximising the work envelope and throughput per unit of manufacturing floor space. The new 606D consists of four main components: two six-axis motion systems, an integral Class 1 enclosure with dual automated doors, two S94P laser process controls for motion and laser co-ordination, and two fibre lasers. The two lasers can be of the same or different type and average power depending upon the applications for the system.

Users can expect greater throughput than earlier Laserdyne systems when using the same laser power. The two work stations are fast and accurate with an X-Y-Z speed of 50m/min), 2g acceleration, and bi-directional accuracy of 20µm. High throughput is enabled through linear motors for the X and Y axes. Graphite fibre composite structures for the linear axes contribute to the system’s high dynamic accuracy.

Because of their close proximity, both workstations can be operated by a single person. Both workstations have easy load position and height with convenient access to the motion system.

The 606D builds on a wide range of standard hardware and software features available on other Laserdyne models. These features are designed to address the needs for precision 3D laser cutting, welding, drilling, and texturing of a wide range of materials.

The two Laserdyne S94P controllers provide integrated control of the laser, motion, process gases, and process sensors in order to produce smart solutions for cutting, welding and drilling. The newest of these capabilities, called Smart Techniques, include: SmartStop, to reduce backwall damage during drilling; SmartShield, to provide protection against excessive oxidation in the weld area; SmartPierce, to minimise spatter and pierce time; and SmartRamp, to eliminate

the weld indentation at the end of laser welds.

Also included are two of the latest generation of Laserdyne BeamDirector for positioning the laser beam in rotary and tilt axes. The BeamDirector provides the fourth and fifth axes of beam motion for processing three dimensional components. Rotary (or C axis) travel is ±450 degrees about the Z axis.

Tilt (or D axis) travel is ± 150 degrees about the C axis. The optional patented OFC Optical Focus Control or OFC2 ABSOLUTE Precision Measurement for Laser Processing sensors are available for a variety of workpiece mapping and sensing applications.

An important consideration in saving machine floor space is the cast, unitised machine base that supports both 606D work stations. Each workstation has a volumetric accuracy throughout the full work envelope (610mm x 610mm x 610mm), as well as for longterm reliability in the industrial environment. The high-mass synthetic granite composite base provides a stable motion system platform with high dynamic accuracy during laser processing. The composite base provides significant dampening of external vibrations so they are not transmitted to the laser, optical beam delivery, or to the motion axes.

The Class 1 safety enclosure includes two automatic vertical doors with safety interlocks and viewing windows. Each of the two workstations includes its own exhaust port.

“The aerospace industry is adopting this technology now because of its benefits for precision and throughput in a floor space efficient package,” says Terry VanderWert, president of Prima Power Laserdyne. “Other industries including medical, fine mechanics and electronics are expected to follow soon as well.” www.imts.com.au

Modern Tools launches new welding table to NZ market Melbourne-based Modern Tools, a long-established supplier of high-quality machine tools and equipment, has been selling the German-made Siegmund brand welding tables for over 12 years in Australia.

Now Modern Tools has started to expand internationally and exhibited for the first time at EMEX2016. EMEX is New Zealand’s largest engineering, manufacturing and electronics expo, held every two years in Auckland in late May-early June and attended by over 5,000 industry professionals.

The new line of Siegmund precision welding tables are made of 25mm thick through-hardened tool steel, and then plasma nitrided to give a tough, scratch and weld-spatter-resistant surface. This black surface finish also protects the table from rust, and combined with the hardening process, increases the expected service life of the table tenfold vs other tables on the market. The table features a precise grid layout with 28mm holes for the attachment of clamps, squares, angles and other jigging fixtures.

AMT Aug/Sep 2016

These tables have been very popular and proven time and time again in applications all over Australia to save time, money and materials compared with any other jigging method for fabrication, maintenance and heavy industry. They have also been used in other ways, such as an alternative to a granite slab for precision measuring arms used in quality control, or as a stable base for test equipment such as hydraulic load testers.

According to Modern Tools, the response from everyone who visited their display at EMEX was overwhelmingly positive, with many people instantly seeing the benefits. In times of economic uncertainty, it is encouraging to see a local company thriving and gearing up to bring their products to our nearest neighbours. www.moderntools.com.au

Product news

Smarton – Flexibility and adaptability for growing companies Konecranes’ Smarton ‘crane with a brain’ is a module-based system of crane technology that provides customers great flexibility in adapting their equipment to the evolving needs of their operations.

Smarton’s evolutionary design is based on significant improvements in crane technology in proven modular components and features.

This means that the crane can easily be updated with smart solutions, such as automated positioning, extended speed range, defined working areas, maintenance monitoring or remote diagnostics, to meet changes in the customer’s business and process needs.

“Modularity is particularly important for growing companies, where changes in workforce, workshop size or workshop layout may be significant and require the crane to be highly adaptable,” says John Bailey, General Manager, Service Development, Konecranes Australasia. “Modularity is also important to us as a crane manufacturer, because customer needs vary considerably from industry to industry, as well as from one location to another, so there is a clear need for a product that adapts to these different requirements.”

Industries that use Smarton cranes – in capacities from 6.3 to 250 tons with single trolley and 500 tons with two trolleys – include general manufacturing, workshops, automotive, power, steel, paper, storage systems and mining. Another advantage of the Smarton crane is that it monitors its own condition and recommends when and what kinds of inspection or preventive maintenance should be performed. This way, the customer can better plan and minimise

maintenance shutdowns, thereby maximising uptime and saving costs.

“Smarton presents an evolution in crane technology, designed to maximise customer productivity and minimise total lifecycle costs,” says Bailey. “Smarton is a robust crane that is compact in size. This enables new industrial spaces to be smaller than before, reducing construction costs and heating expenses. The user can put the load down much closer to the wall, freeing up valuable floor space for other operations.”

Konecranes recently introduced a range of new high-tech features to its proven Smarton crane, to further enhance safety and efficiency by focusing on improving the user interface for crane operators, customer service crews and customer management.

The new Smarton includes, for example, a tablet, which makes crane operation easier and more productive as the operator receives crane and process-related information directly to the tablet and is able to make adjustments to the crane. Optional camera views for safer and more effective load handling are also available.

The Smarton tablet is connected wirelessly to the crane control system providing advanced crane condition data in real-time for the maintenance personnel. www.konecranes.com

AMT Aug/Sep 2016

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product news

Onshape introduces full-cloud CAD to Australia Onshape, the only company in the world 100% focused on cloud and mobile CAD, is formally expanding into the Australian market following the recent openings of Asia-Pacific regional offices in Pune, India and Singapore.

“Even though Onshape is only a few months out of beta, engineers and designers in more than 150 countries are already experiencing the benefits of full-cloud CAD,” says Onshape CEO John McEleney. “The design and manufacturing world has dramatically changed. More often than not, design teams are spread across multiple countries and time zones – and Onshape is the first and only CAD system specifically built for distributed teams.”

Built from scratch using a cloud-based technical architecture, Onshape runs on any computer, completely within a web browser (on PC, Mac, Linux, and Chromebook). It also delivers full CAD functionality on phones and tablets (Apple iOS and Android), rather than just through a mobile viewer.

The software provides instant and controlled collaboration and sharing, enabling multiple people to simultaneously work on the same model. It also includes built­ in version control, eliminating the need for a PDM system. Moreover it requires absolutely zero IT support, with no installation, no licenses, and no updates to manage.

Onshape will soon allow users to customise their CAD system with FeatureScript, a new programming language that allows you to create your own built-in features for Onshape and modify existing ones. It offers multiple choices of fully-integrated, cloud-based CAM, Rendering and Simulation tools.

Onshape customers report that the benefits of full-cloud CAD include: faster production; improved collaboration; increased innovation; time savings; improved security of your IP; and financial savings on software and hardware.

“Because there are no files to copy – your CAD data and CAD system lives in one central place in the cloud – your intellectual property is now far more secure,” says McEleney. “You can easily grant and withdraw permission to access your models in Onshape, in contrast to files shared by email or Dropbox which can never be retrieved after you click ‘send.’”

With automatic upgrades in the cloud every few weeks, Onshape has also eliminated the software incompatibility problem slowing down many design and manufacturing partners who share files.

Every Onshape user in the world is always on the same version of Onshape – the latest one.

Over the last year, Onshape has released 20 major product updates with more than 175 new features and enhancements. Users don’t need to download anything; they just refresh their browsers.

As a complete engineering solution, Onshape now offers integrated cloud-based CAM, Rendering and Simulation tools through the Onshape App Store. With the convenience of using the Apple App Store or Google Play, Onshape users can try and compare solutions for free and only buy what they need. Additional technology partners will be introducing new products in the App Store soon.

Onshape’s pricing, which includes a Free Plan and a $100 monthly Professional Plan, lowers the economic barriers for entrepreneurs and startups to succeed. But established companies of all sizes are also discovering Onshape’s benefits alongside their existing CAD systems. They find tremendous value in true simultaneous editing, branching with intelligent merging, version control, and having a complete edit history of all activity. www.onshape.com

HBM load cells designed for potentially explosive areas

Potentially explosive atmospheres are a reality for many industries. HBM has a range of standard load cells that are specially designed for use in hazardous areas where there are flammable gases, liquids or combustible dusts, and which comply with the IECEx directive for hazardous Zones* 1 + 21 and Zone 2 + 21.

“HBM products are required wherever the results of weighing determine recipes, inventory control or how to proceed with an operation,” says Reiner Schrod, Product Manager at HBM. “Our load cells are recognised in many countries around the world, including all those participating in the IECEx system. They meet the most stringent demands and are specially designed for hazardous environments while maintaining the required level of safety. Numerous certificates are testament to this.”

HBM‘s load cells guarantee maximum service life and reliability, even in harsh environments such as mining, chemical, pharmaceutical and food industries. Their hermetically encapsulated stainless

AMT Aug/Sep 2016

steel measuring bodies and electropolished surfaces mean they are ideally protected from adverse conditions and eliminating the need for Zener (safety) barriers.

IECEx complying load cells include single-point, pendulum, ring torsion, bending and shear beam, tension and compression cells. The group’s weighing, batching and filling load cells and components offer a myriad of other advantages including good setting value reproducibility (zero signal, full scale, value), and easy integration into plant and process sequences. All current interfaces are available, with no mechanical clamping elements that are subject to wear. www.hbm.com

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product news

Sydney set for Safety in Action

More than 5,000 decision makers in Workplace Health & Safety (WHS) across manufacturing, government, construction, healthcare, transport, distribution, cleaning and engineering will gather in Sydney on 6-8 September 2016 for Safety in Action.

The largest workplace health and safety event in Australia will feature over 20 free seminars on insights and priorities for employee safety.

“It’s estimated that over 2,000 workers die from a work-related illness each year, highlighting the urgent need for national improvements to prevent and reduce the number and severity of injuries and illnesses in the future,” says Keith Barks, General Manager at Informa Australia, which is jointly presenting the event with the Safety Institute of Australia (SIA).

Running parallel to Safety in Action will be the Safety Institute of Australia’s National Convention, a two-day conference featuring global and Australian safety leaders who will address the theme of ‘Disruptive Safety’. The convention program will include the SIA Annual General Meeting, OHS education awards, OHS leaders and CEO’s breakfast, and a Women in Leadership forum.

Mental health and physical wellbeing will be a key focus of the free Safety in Action seminar series, which will hear from leading industry professionals discussing this year’s theme ‘Keep Your Workplace Safe’. Presentations include: Beyondblue, SafeWork NSW, Myosh,

Mayo Hardware, Aframes Safety and full details will be released shortly.

There will also be a broad range of exhibitors showcasing the latest safety developments, and these include: major sponsor Myosh, show bag sponsor ATOM, Mix Telematics, Chemical Safety International, Royal Life Saving, Safety Institute of Australia, and SAI Global. A full list of exhibitors can be found at the Safety in Action website. Exclusive to Safety in Action Sydney will be Australia’s largest cleaning and hygiene show CleanScene, presented by the National Cleaning Suppliers Association (NCSA).

Attendance at Safety in Action Sydney and CleanScene is free and open to any business with a safety and hygiene interest. People can register their interest in attending at the Safety in Action website.

Safety in Action Sydney will be held over three days at the Sydney Showground Olympic Park, from Tuesday 6 September to Thursday 8 September, open each day from 10am to 4pm. www.safetyinaction.net.au/sydney

FARO releases high-res 3D ScanArm for reverse engineering, CAD-based design FARO Technologies has launched the FARO Design ScanArm, a portable 3D scanning solution tailored for 3D modelling, reverse engineering, and CAD-based design applications across the product lifecycle management (PLM) process.

As a limited-time promotional offer, the FARO Design ScanArm will be bundled with 3D Systems’ Geomagic software at a reduced launch price. The available software options have capabilities that range from an automatic meshing software that delivers readyto-use files without any post-processing to a full-featured reverse engineering software that combines history-based CAD with 3D scan data to create feature-based, editable solid models compatible with all major CAD platforms.

“The FARO Design ScanArm was purposefullyengineered to meet the needs of the Product Design market,” stated Dr Simon Raab, President and CEO of FARO Technologies. “By combining FARO’s bestin-class 3D scanning technology with 3D System’s Geomagic software offerings, the Design ScanArm provides a turnkey solution that allows users to quickly digitise any part or object, easily design or modify reverse engineered models, create manufacturing-ready CAD models, and verify design intent of prototype products.”

The FARO Design ScanArm features opticallysuperior blue laser technology with fast scanning speed to deliver high-resolution point cloud data and the ability to seamlessly scan challenging materials without the need for spray or targets. The device is lightweight and manoeuvrable for

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convenient desktop mounting in the design studio or engineering lab. The Design ScanArm features a simplified user interface that makes it easy to operate regardless of skill level or 3D scanning experience.

Dr Raab added: “Through a deep understanding of our customers’ workflows we can ensure that FARO’s solutions are optimised for application-specific demands and, as such, our customers are not forced to pay for features that do not add value to their processes. It is this engineering philosophy that allows the Design ScanArm to be aggressively priced for rapid return on investment without sacrificing any required technical capability.”

The FARO Design ScanArm is a 3D scanning solution designed for any organisation that may have the need to manufacture parts without existing CAD models, develop aftermarket products that need to fit tightly with existing products, reverse engineer legacy parts for design changes or replacement, create digital libraries to decrease inventory and warehouse costs, design aesthetically pleasing, freeform surfaces, or leverage the power of rapid prototyping. www.faro.com

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product news

Dexion launches high-density pallet storage system in Australia

Leading global storage solutions company Dexion has announced the launch of its latest high-density pallet storage system, the Dexion Auto Shuttle, in Australia.

The Dexion Auto Shuttle system offers high-density pallet storage without the need for forklifts to drive into the racking system and provides an effective and reliable solution for those looking to make the most of limited space. The Auto Shuttle solution provides significant productivity and storage advantages compared to typical ‘block stack and ‘drive in’ storage applications.

A safer way to manage high-density pallet storage, the Dexion Auto Shuttle travels below the pallet, then elevates the pallet from the support rails and carries it back and forth within the system as required. The Dexion Auto Shuttle uses patented mechanical lifting motions and has no hydraulics and few moving parts, ensuring low noise, high reliability, and low energy consumption. It comes in a high-end eight wheel design with a lithium ion battery and a lifting capacity of 2,000kg and an entry level four-wheel design with a lead acid battery and a 1,500kg lifting capacity.

“Other than being a cost-effective way to manage product from a workplace safety point of view, the Dexion Auto Shuttle also minimises the risks that can come from driving forklifts into racking, which is a win for both employees and employers,” says Stuart Macnab, Regional General Manager Australia & Hong Kong. “With forklifts no longer entering the racks, the Dexion Auto Shuttle also helps guarantee the longevity of the racks and products as well.

“In an industry where space is money, the Auto Shuttle helps customers make their existing warehouse work harder. It’s incredibly simple to use and comes with a Dexion guarantee.”

The Auto Shuttle is controlled via a handheld remote, with an auto battery changeover function available for the eight-wheel Auto Shuttle. It features collision protection for the front and rear pallets to ensure safe handling and consideration for pallets with overhang, with the additional feature to set the correct flue space to meet all fire safety standards.

A status indicator on the front face provides vital information to the operator in regard to the operational mode of the unit, while the unique lifting function allows pallets to be densely packed along

the rail. It offers the ability to count pallets in a lane for stocktake in real time. The distance between pallets is adjustable between 0mm to 200mm, with the capability of moving up to 70 pallets per hour. The Auto Shuttle is equipped for operating temperatures of between -30 degrees and 40 degrees Celsius for the eight-wheel shuttle and 5 degrees and 40 degrees for the four-wheel shuttle.

There is a lithium battery in the eight-wheel and lead acid battery in the four-wheel option Macnab adds: “Dexion is in the business of long-term customer partnerships and we know this product will meet the needs of those looking to maximise their warehouse space and efficiency. Our goal is to always create the right solution for the job. Pulling on our 70year heritage of innovation and creativity, we provide customers with options that meet all levels of storage and material handling needs.

“We’re incredibly excited to bring this innovative solution to market in Australia.” www.dexion.com.au

A first for Walter’s Perform line

Walter is expanding its most cost-efficient segment with the new MC232 Perform milling cutter line.

With the MC232 Perform product line, Walter is adding to its range of solid carbide milling cutters. Three new cutter types, with two, three or four teeth, in a diameter range of 2mm to 20mm (from a 6mm shank diameter with a Weldon shank). It is the first time that solid carbide milling cutters have been included in the Perform line.

The Perform line is designed to be highly economical and suitable for use in a wide range of applications, which is what makes it so advantageous – particularly when machining small and medium quantities. The properties of the new MC232 Perform milling cutters are particularly beneficial for those users whose top priority is the universal applicability of their tools, not tool life – as a long tool life is often not measurable or exploitable when machining small quantities anyway.

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Universal applicability is also mirrored in the MC232 Perform milling cutters’ technical features. Thanks to their geometry with centre cutting edge and 35-degree spiral, as well as the WJ30ED grade, the new corner/slot milling cutters are suitable for all common milling operations such as lateral milling, full slotting, pocket milling, ramping and helical plunging. They can be used in industries ranging from mechanical engineering, mould and die, to the automotive and energy industries. The milling cutters are universally applicable in all steel materials, stainless steels and cast iron (ISO P, M and K). www.walter-tools.com

Complete Machine Tools Pty Ltd

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Medical

Additive manufacturing – The new medical frontier

Biofabrication is becoming a reality, as innovative Australian companies collaborate with universities and scientific organisations to develop custom-designed 3D-printed products for medical applications.

By Carole Goldsmith.

Dr Mia Woodruff’s exciting vision of ‘hospitals of the future’ is for every Australian hospital to have 3D printers sitting beside its imaging equipment. She also sees a future where patient’s cells will be stored at hospitals, early in the patient’s life, until the cells are needed to custom-make sterile on-the-spot implants. These implants can take the form of bones, organs, cartilage, blood vessels, breast implants and multiple tissues.

As Associate Professor and Group Leader of Queensland University of Technology’s (QUT) Biofabrication and Tissue Morphology Group in Brisbane, Woodruff and her team are working together to achieve this vision by researching the high-tech sciences of tissue engineering and biofabrication. She explains that biofabrication is the production of organs and tissues using 3D printing to address health challenges in medicine.

In a 2014 TEDxQUT video, “Absolutely Biofabulous”, Woodruff explained how fabrication of patient-specific replacement tissue and organs is safe, cost-effective and routine: “3D printing is used to build complete houses in China and create clothing for Paris catwalks. So we are now researching how to use 3D printing for the inside of our body.”

Speaking from her QUT office, Woodruff explains: “Every year thousands of people suffer a large amount of tissue loss through cancer, congenital birth defects, or road accidents. If we can custombuild tissue replacement for these people, as opposed to grafting tissue from another part of their body, this will greatly increase their recovery times after surgery and reduce their suffering.”

Woodruff works with a team of chemists, biologists, physicists, mathematicians, engineers and medical doctors. She says proudly: “My team is already building our own 3D printers specifically to address research challenges in tissue and cell regeneration. We are using these machines to build a 3D structure from dissolvable polymers. In the future, this will provide a platform to grow the patient’s tissues on. We are getting very close to having enough research data to apply for a grant to do clinical trials.”

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Medical

Dr Mia Woodruff, Associate Professor and Group Leader of Queensland University of Technology’s Biofabrication and Tissue Morphology Group.

Woodruff mentions two current projects: “We are working closely with the charity, Hear and Say, on building customised polymer ear prosthetics for children, who suffer from Microtia and may have no ear or no ear canal or underdeveloped ears.

“We have also had discussions with Anatomics (a Melbourne-based 3D printing medical implant company) about jointly developing customised 3D scanning and printing technologies to create patient specific implants.”

Woodruff and her team recognise the importance of multidisciplinary collaboration and already conduct biofabrication research with surgeons and hospitals across Brisbane. She speaks of one initiative in the pipeline – the development of the world’s first biofabrication institution in Brisbane.

“We all need to work together at a hospital campus to achieve success in biofabrication,” says Woodruff. “Now is an exciting time for researchers, educators, clinicians and industry to bring all our skills together to create the hospital of the future. This will deliver innovative and cost-effective solutions to a range of health issues and the first step towards this is to create a biofabrication hub on a hospital campus.”

Oventus – 3D-printed oral medical devices Dr Chris Hart first developed an oral medical device to treat his own sleep apnoea around five years ago. Then he made customised devices for around 50 of his dental patients. Little did he know then that his invention would lead to the O2Vent oral device, which his company Oventus developed in collaboration with CSIRO. These devices are now custom-made by Oventus at leased facilities at CSIRO in Melbourne, for patients Australia wide.

Speaking from Oventus’ Brisbane head office, Hart explains that the O2Vent provides relief to people with sleep-disordered breathing, from snorers to those with more severe problems including nasal obstruction. As well as being the company’s founder, Hart is its Clinical Director. He says that the O2Vent’s design is the world’s first and only sleep therapy that directs the user’s air flow through the back of the throat. It bypasses nasal and soft palate obstructions and prevents tongue blockage.

“The device incorporates a ‘duckbill’ which extends from the mouth like a whistle and creates a separate airway that allows the air to flow directly to the back of the mouth,” says Hart.

Continued next page

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Medical The O2Vent oral device

Dr Mia Woodruff (right), with research associate Dr Sean Powell and research assistant Maureen Ross in the Biofabrication and Tissue Morphology Group lab.

we had 350 USA dentists and sleep physicians register their interest in being involved in our USA expansion.

Contiuned from previous page

“Following the USA launch, we will be expanding to the EU and Asia progressively. We are also developing some new oral devices and they will be brought to the market over the next two-to-three years.”

Using proprietary CAD software to create a 3D drawing of the patient’s mouth and bite, Oventus then uses 3D printing technology to manufacture medical-grade mouthguards from titanium.

“When we were developing the device, our patent attorney introduced me to Neil Anderson, a biomaterial scientist and a specialist in medical devices,” says Hart. “Neil, who is now our CEO, suggested that we speak to CSIRO about further developing and commercialising our device. We then worked alongside CSIRO scientists at Lab 22, developing the proprietary 3D printing software and technology, then building a prototype device.”

Dr Chris Hart, Lab 22, at CSIRO in Clayton founder of Oventus.

Victoria, provides Australian companies with access to metal additive manufacturing machines and technologies. Since the device prototype was developed two years ago, Oventus has been renting space at Lab 18 (an adjoining work space of Lab 22) to print the titanium mouthguards, using an Arcam Q10 printer

“The patient’s mouth data is captured by the dentist or sleep specialist, digitalised and then uploaded to the proprietary software,” says Hart. “Then the patient’s design file is exported to the 3D printer, printed in titanium and polished in the lab. Each custommade device is printed with its patient’s identifier number.”

The devices are then shipped to Oventus’ Brisbane dental labs where polymer insets are made, which go between the titanium and the mouth. Once completed, they are sent to the customer’s clinicians Australia-wide. Later this year, Oventus aims to be printing the polymer mouth parts also.

Oventus has 26 employees, with 21 based in Brisbane, three at the CSIRO site in Melbourne, and two in Sydney. The company is launching in the USA later this year.

“After the success of our clinical trials, the Oventus O2Vent device was registered with the Therapeutic Goods Administration (TGA),” says Hart. We have recently received FDA clearance for the device, as required for our USA marketing and sales commencing later this year.

“We attended and exhibited at the American Academy of Dental Sleep Medicine conference this year. Our clinical trial results’ abstract was also displayed on our poster. Overall it was a great success as

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Lab 22 – Printing patient’s bones Stefan Gulizia, Research Team Leader at CSIRO, provided AMT with a tour of the Lab 22 additive manufacturing facility and the adjoining Lab 18, where the titanium part of the Oventus O2Vent device is printed. At the Lab 22 entrance, Gulizia shows a model of a replacement heel bone, 3D-printed in titanium alloy. This was created by CSIRO in association with St Vincent’s Hospital and Anatomics. He also shows a sternum plate that CSIRO 3D-printed for an Anatomics patient in Spain who had chest cancer.

“We’re creating customised parts for patients here at Lab 22 and as we are at an advanced stage in 3D printing, we can now replace any bone,” Gulizia explains.

He adds that for manufacturers wanting to find out more about additive manufacturing and see the 3D printers in action, Lab 22 provides regular tours and networking for industry. Manufacturers can also contact CSIRO Manufacturing Research Group Leader Leon Prentice (leon.prentice@csiro.au) to discuss their company’s 3D printing needs.

Speaking on the Oventus project, Gulizia says: “Chris and Neil from Oventus approached me two-and-a-half years ago to see if we could develop a 3D printed design for their oral device. We worked on the device’s unique features, then Oventus and CSIRO jointly patented the design and technology. CSIRO’s proprietary software is licenced out to Oventus who is the device’s owner.

“As part of the development, we created an STL file format for the powder bed 3D printer. This file can be sent globally.”

In Lab 18, Oventus’ Production Supervisor Dr Afshin Hosseini opens the Arcam Q10 printer to reveal the nest of 3D-printed O2Vent titanium parts. Prior to taking on the Oventus position, Hosseini completed a PhD in additive manufacturing at CSIRO, and was After the 3D printing process, the 3D printed O2Vent devices lie within a block of titanium powder.

Medical Oventus’ Production Supervisor Dr Afshin Hosseini places the titanium block into the powder recovery system (PRS).

An air gun is used in the powder recovery system (PRS) to reveal the hidden O2Vent devices within the titanium block. Surplus powder is recovered for further use.

The VRP 2.0 helps wrist fractures heal faster and relies on 3D metal printing for part of its manufacture.

with our designs and ensure clinical leads are involved.”

The company has an efficient team based at its Adelaide head office responsible for Austofix’s core work. This is supplemented with a range of strategic international and domestic partners to grow its business. Like other medical device manufacturers, Austofix is required to hold current quality certification to ISO 13485 and CE approval. This system is regularly audited by a notified body such as the TGA. “The Ezy-Aim Distal Targeting System is a unique innovation used by the orthopaedic surgeon to locate the holes of the nail that is implanted in the bone,” says Henry. “Screws are then inserted in these holes, fixing the nail in place.

trained on the Arcam Q10 printer in Sweden, where the machine is made.

“Without the Ezy-Aim, multiple X-rays would need to be taken exposing the patient and surgical team to radiation. The Ezy- Aim System reduces the need for these X-rays and provides the surgeon with accurate targeting to insert the screws.”

He transports the nest of devices to an Arcam powder recovery system (PRS) machine, and uses a spray gun to remove the titanium dust. The powder disperses and all 15 devices appear, each with their own patient number. Anna Walsh, who worked with 3D printers in the Netherlands, assists Hosseini in production. She shows the four-step process of polishing the devices on special grinding machines.

Austofix manufactures a range other products all of which are used to treat bone fractures. Henry explains that orthopaedic surgeons determine whether nails, plates or screws should be used to treat a fracture. These fixation devices are used to stabilise fractures and support bones to heal, and Austofix designs and manufactures instruments that support the surgeon in safe, efficient surgical procedures.

Austofix – Orthopaedic innovation

“We are fortunate to have strong partnerships with leading providers of 3D printing in Australia,” says Henry. “The University of Adelaide’s Institute for Photonics and Advanced Sensing (IPAS) is at the forefront of this sector and we have established a successful collaboration with this team during the development of the VRP 2.0 system.”

An innovative medical device that removes the need for X-rays during orthopaedic surgery is helping South Australian manufacturer Austofix expand into the Middle East and China. The company utilises 3D printing for both rapid prototyping and in selected products, including the soon-to-be released VRP 2.0 wrist system.

Austofix launched its Ezy-Aim electronic digital targeting system last year and it is driving sales of its stainless steel and titanium surgical nails. The device, developed at the company’s facility in Adelaide, allows the surgeon to accurately locate the implant inside the bone without the use of X-rays. The Ezy Aim System and associated nails are used to repair fractures of the femur, tibia and humerus bones.

Austofix General Manager Chris Henry says the device was key to the company’s recent success in the Middle East. “The Ezy-Aim has been a catalyst for our growth in the Middle East. We have experienced double digit growth in a number of countries and we expect this to continue.”

Austofix has been designing and manufacturing medical devices for over 25 years. Its world-class R&D team work with surgeons to design effective, innovative products for patients requiring orthopaedic surgical treatment. These products are then distributed world-wide by international partners.

“Dr Anthony Ingman was the founder of Austofix,” says Henry. “As an orthopaedic surgeon, and with his interest in engineering, he was perfectly placed to design and produce our initial range. Following on from this success we understand the need to ensure clinical input

The VRP 2.0 (Volar Radius Plate) relies on 3D metal printing for part of its manufacture and can also be fitted more easily by surgeons. The design includes an improved locking mechanism for the plate and an increased variable angle for the screws, which means surgeons can get a better hold on the wrist bone, leading to quicker healing.

When asked what the company’s plans are for the future and its challenges, Henry emphasises a focus on investing in R&D to create a platform of innovative devices targeting the upper limb.

“Advanced manufacturing plays a key component of our R&D programme and we are keen to see future research and investment in improving this growing sector,” he says. “The company’s current markets are Australia, Asia and the Middle East. We are now targeting both North and South America as well as strengthening South-East Asia and India.

“We face many challenges through competing in a highly competitive and regulated global market. We are also faced with challenges at a macro-level through our international expansion. As a specialised company we believe we are well placed to respond to these challenges to grow our business.” www.qut.edu.au www.woodruffgroup.org www.oventus.com.au www.csiro.au/lab22 www.austofix.com.au

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Medical

Innovations in miniature – Iscar and medical manufacturing

The global medical manufacturing industry is one of the world’s fastest growing industrial sectors, accounting for more than 10% of the gross volume of metalworking activities recorded in 2015. The medical industry continues to demand ever smaller, more intricate and more accurate parts, often manufactured from difficult-to-machine materials.

When referring to medical industry machining, the term encompasses all machining related to surgical implants, orthopaedic devices and medical instruments.

The expression also includes small-scale machining and micromachining, as today’s implanted devices often consist of or include minute components. Among other difficult to machine advanced materials, titanium is often used in medical devices, due to its non-reactivity characteristics associated with the human body.

Small metalworking shops wishing to compete in the challenge of producing medical parts must develop a range of advanced capabilities to meet the specialised demands of the medical industry, especially when involved in small batches and prototype work.

Mindful of the specific requirements of this challenging sector, the creative work and exhaustive field trials undertaken by Iscar’s advanced R&D department have resulted in the significant expansion of the company’s range of cutting tools associated with the medical industry. In addition to innovative new products, Iscar’s R&D team has applied a series of ingenious modifications to existing popular tools to enable the efficient and economical machining of smaller parts.

Iscar’s expanded range of optimum machining solutions for highly efficient, small-scale cutting tools has been made possible by technical progress in several important areas: • The use of the most suitable base materials.

• The application of advanced metallurgical coatings.

• The development of unique tool geometries.

• The upgrading of ultra-secure clamping systems.

Iscar’s new GEHSR/L-SL tool family, designed for Swiss-type and screw machines, are an improved version of the previous, popular GEHSR/L screwclamped tools. The newly developed, userfriendly insert clamping system enables the secure fastening of inserts by the use of a key from either side of the tool. Following the rapid clamping procedure, the torx screw can be used from either side of the

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competitors’ equivalents, different tools and inserts are used for back- and frontclamping orientations, whereas in the new improved SwissCut Innoval line, the same tool and insert can be used in both clamping orientations.

tool, while a specially designed plastic screw blocks the opposite side of the tool, preventing chip entry. If indexing is required from the opposite side, the screw can be switched to the opposite side of the tool.

The GEHSR/L-SL tools are now available in 10, 12 and 16 mm shank sizes, which house GEPI and GEMI inserts bearing different chipformer geometries. The inserts range between 2.2 to 3.2mm widths.

When turning small parts, light cutting parameters are applied. Rather than making use of large inserts, small-sized economical inserts are much more appropriate for this kind of machining. The shorter head design of GEHSR\L tools provides higher rigidity and improved machining stability, which enables the application of higher cutting conditions and by doing so, assures enhanced surface finish results.

When using Iscar’s older-generation toolholders, or other currently available toolholder types, the tool needs to be removed from the tool gang for insert indexing on small Swiss-type machines. A major advantage is that Iscar’s inventive new tools enable insert indexing without removing the tool from the turret.

In addition to the above, and available in the same size range, Iscar also provides the GHSR\L-JHP-SL variant with high-pressure coolant capabilities. The new tools feature three independent coolant inlet ports providing suitable machining solutions for different machine configurations.

Iscar has also upgraded its SwissCut line.

The new inserts feature an advanced ovalshaped hole that enables the inclusion of two major improvements. Within the existing Iscar range and in all major

The imaginative new SwissCut Innoval clamping design uses a special screw that can be accessed and operated from both sides of the tool, enabling inserts to be indexed without the need to fully remove the screw. When comparing Iscar’s SwissCut, there are similar systems available in the market, in which the clamping screw has to be fully removed for insert indexing. When using these products, the screw can easily fall and be lost. The advanced new range of SwissCut Innoval tools reduce the amount of items needed by half and slashes users’ inventory costs.

The growing demand for high accuracy and increased flexibility in clamping orientation has inspired Iscar to develop an advanced new range of Picco holders.

The innovative PiccoAce series features a unique patented clamping system that sets new standards in three highly important areas – accuracy, rigidity and flexibility of clamping orientation. PiccoAce’s fast action and very secure clamping system increases machining efficiency by saving time when replacing an insert, it ensures rapid indexing and guarantees extremely high clamping repeatability of 0.005mm.

The wide variety of Swiss-type machines currently available has increased the demand for multi-orientated clamping.

Most of the existing available tools provide a single clamping orientation. In contrast, Iscar’s PiccoAce offers a high-quality, universal solution that is suitable for all

Medical

8-8-SRK is a new solid carbide boring bar with 8mm shank size that offers high rigidity and can also be used on the MG PCO-6-8 bar holders used for Picco inserts.

Swiss-type machines, enabling operators to install and remove an insert from any desired direction.

The new PiccoCut face grooving range is intended mainly for external/internal and grooving along a shaft. PiccoCut has a reinforced geometry that aids efficient deep face grooving and is available in 3, 4 and 5mm widths, for depths of up to 40mm and a minimal grooving diameter of 16mm.

The system’s solid carbide bars have two holes that enable precise coolant delivery to the cutting edge and the frontal flank.

When high-pressure coolant (of up to 100 bar) is introduced through the coolant holes, the resulting chips are small and easily pushed out of the groove. Other advantages provided by PiccoCut’s efficient cooling configuration are a substantial increase in tool life and improved surface finish characteristics. The new Picco bars are available in Iscar’s IC1008 PVD coated grade, which is suitable for machining across a wide range of cutting speeds and on a variety of workpiece materials.

Following the global success of Iscar’s MinCut face grooving family, Iscar has further expanded its application range with the introduction of inserts for internal grooving, undercutting and threading and solid carbide boring bars.

MIGR 8 internal shallow grooving inserts are available in 0.5 to 2mm grooving widths, in straight and full radius configurations.

MIUR 8 internal, 45-degree full radius undercutting inserts are available in 1-2mm grooving widths. MITR 8-MT internal, partial profile, ISO metric threading inserts are available for 0.75-2mm pitch sizes, for 10mm minimum thread diameter.

Turning efficiency into profitability To accommodate small boring diameters, Iscar has expanded its internal turning application range by introducing new ranges of positive and negative boring tools with steel and solid carbide shank options and new small sized inserts. Each of the new tools feature coolant channels directed precisely to the insert’s cutting edges.

The tools carry new positive (single-sided) ground EPGT and CCGT inserts. EPGT has a 75-degree geometry for a minimum bore diameter of 4.5mm and CCGT features an 80-degree geometry for minimum bore diameter of 5.0mm. Shank sizes are available in a diameter range of 4-7mm.

Tools for negative (double-sided) inserts Dmin=12 mm carry ground WNGP and DNGP inserts. WNGP has an 80-degree geometry for a minimum bore diameter of 12mm and DNGP features a 55-degree geometry for minimum bore diameter of 13mm. Shank sizes are available in a diameter range of 10-20mm for forward and back turning operations.

The new positive, single-sided ground inserts can accommodate a 4.5mm minimum bore diameter EPGT 03X1, and a 5mm minimum bore diameter for bars that carry the CCGT 04T1 inserts. Both insert geometries are available with a new F1P chipformer specially designed for super finishing applications.

New negative, double-sided ground inserts for Dmin=12 mm, WNGP 0403 and DNGP 0703, include F2P and F2M chipformers for steel and stainless steel respectively, were designed for medium range boring diameters.

Finally, Iscar has further expanded its popular SumoCham drilling head options by introducing two major new innovations.

The first revolutionary drilling head geometry features concave cutting edges that substantially enhance the self-centring ability of the drill. The new HPC-IQ drilling heads using up to 12xD long drills, negate the need for a pilot-hole operation and are available in 8–25.7mm diameters, in 0.5mm increments. The advanced, new drilling heads provide a substantial cost reduction by cutting machining cycle times and reducing the number of tools required for drilling operations.

The second SumoCham innovation is the extension of the line’s application range by adding flat face drilling heads. The new flat face drilling heads are designated FCP and are designed for drilling steel components (ISO P material group). Drilling with the FCP inserts provides a nearly flat bottom in the drilled hole, a feature required across a variety of applications.

Made from IC908 TiAIN PVD coated grade, the FCP drill heads can be mounted on any SumoCham drill that features the appropriate pocket size and the recommended cutting conditions. The FCP drilling heads have the same features and are the same as those recommended for ICP drilling heads. www.iscar.com.au

All of the new inserts are made from Iscar’s IC908 PVD coated grade which can be used on a very wide variety of materials and across a range of machining conditions.

The MR8 inserts are screw-clamped into a long pocket of the MIFHR bars, with very rigid clamping (patent pending). Chip flow on the insert rake is uninterrupted and the tools feature internal coolant holes that are directed to the cutting edge. MIFHR 8SC-

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Don’t lose control – Why medical manufacturers need engineering change control plans

Medical device manufacturers face unique challenges that other manufacturers simply do not have to face. Lou Washington reviews the impact of these market realities in terms of engineering changes over time.

By their very nature, medical devices face a much higher regulatory bar. Also, their useful life span is highly volatile due to technological advances, changing treatment protocols, market conditions, social convention or changes within the biology of a given disease.

Almost all manufacturers will modify products over time to address changing needs or all sorts. Medical devices, meaning those devices that either diagnosis or mitigate illness, are no exception.

This article will review how engineering changes must be documented over time to assure that any device in use is properly equipped to address the application it is addressing. Specially, it will look at how technologies such as engineering change control systems and product lifecycle management (PLM) are used to make sure products in the field are kept current.

Products evolve. They change over time in response to the environments in which they’re being used and in the operational demands they are subject to. For simple, lowcomplexity products, this doesn’t present an issue. But for long-lived products, especially those with complex designs, large numbers of parts, configurations and other variability such as being subject to strict regulations, engineering changes can become tough to track.

Furthermore, the longer a product is in service the more important it becomes to understand the history of that product to differentiate it from other iterations deployed in the field. This has major implications for field maintenance and product support.

In the medical manufacturing industry in particular, auditability is a major requirement. Effective systems and technology to manage and document engineering change are crucial. Here are the top four reasons that medical manufacturers should have an engineering change control plan or system in their business:

1. Engineering change control systems can be essential to avoiding unnecessary product recalls.

Product defects that manifest themselves years after production may be limited to a small lot or percentage of the overall production run, or they may be universal to the entire product line. Well documented engineering change histories over the life of the product may determine the extent of the defect and hopefully limit the scope of the recall.

2. New products frequently require change because of unforeseen usage complications encountered in the field.

Older products’ requirements may change because of conditions in the field such as medical research developments, new diseases and procedures required or even unprecedented reactions and outcomes of use. Additionally, regulatory changes may affect products in the field as well as new production. Medical research is ongoing, never ending and always driving change in treatment protocols and

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device specifications. Engineering change control systems allow manufacturers to modify bills of material, change design, part or assembly specifications, and specify alternate or optional configurations to reflect changes driven by market, regulation or research.

3. The regulatory environment.

In Australia the Therapeutic Goods Administration (TGA) publishes a manual on regulations affecting medical devices built, sold and used in Australia. These regulations can affect the specification, configuration and other parameters related to design, composition and use of any product. These drive change at least as much as market forces or market driven improvements in design. In this case engineering change control allows medical manufacturers to reflect needed changes in design as specified by the changed regulatory requirement. Of equal importance, documentation related to the change is disseminated and tracked and stored to provide evidence of compliance on the part of the manufacturer as well as the deliverer of services.

4. Staying competitive in a globalised market.

Engineering change control supports the whole notion of mass customisation in terms of maximising the utilisation of common parts and assemblies and minimising the need for one off designs that are either wholly useful or wholly obsolete. Economies of scale associated with volume discounts are not lost when a machine design changes. This means significant improvements or changes can be engineered into existing models without the need for a ground up re-design or build. Existing part inventory can be utilised and even existing assembly inventory can be modified and brought to current.

The change process covers: the initial requirement determination; problem analysis; a specific change request; a record of the specific changes suggested and documentation concerning the suitability of the change; costs involved; impact analysis of implementing the change; planning the change implementation; reporting and documenting the change; releasing the change; and finally reporting on its effect. When you consider all of those steps repeated many times throughout the life of a product, you can understand the challenge involved in doing this well.

Medical device manufacturing is doubtless one of the most demanding manufacturing sectors a company can participate in.

Engineering change control facilitates economies for manufacturers and provides documented history of products in the field. The manufacturer that is able to exploit this level of dynamic requirement and still thrive will bring a clear advantage to market.

Lou Washington is a manufactutring expert at Cincom Systems. www.cincom.com.au

Creating the world’s first 3D printed metal bike frame

Unlock the potential of additive manufacturing The bike frame has been additively manufactured from titanium alloy powder using an AM250 laser melting system. This project highlights the benefits of Renishaw’s technology: • Rapid design iterations - shorter development times • Weight reduction - use material only where required • No investment in tooling • Complex, thin walled, and internal features • Choice of high performance alloys What can Renishaw do for your products?

For more information visit www.renishaw.com/bike

Renishaw Oceania Pty Ltd Unit 4, 6 – 7 Gilda Court, Mulgrave, VIC 3170 Australia T +61 3 9521 0922 F +61 3 9521 0932 E australia@renishaw.com

www.renishaw.com

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Seamless cylinder tracking and support gives Lady Cilento the edge

Opened in 2014, Brisbane’s Lady Cilento Children’s Hospital is the largest, most advanced paediatric hospital in Australia, following a merger between the Royal Children’s Hospital and Mater Children’s Hospital into a single facility.

The medical gas supplier for the hospital is BOC Healthcare, delivering hundreds of full medical gas cylinders each month to 49 hospital departments that support 359 beds across 12 floors. Christopher Collie, Facilities Coordinator at Lady Cilento Children’s Hospital, says: “Both previous hospitals had longstanding partnerships with BOC and this has continued at our new facility. Their team has been working with us to meet our gas needs including a new cylinder management solution that is already making a huge difference.”

Bringing together medical professionals from two separate hospitals naturally meant staff had slightly different approaches for certain tasks. One area was in the way that clinicians and medical staff were projecting their gas usage.

“After opening we noticed an over-projection of gas cylinders right across the hospital with some wards ordering up to three more medical cylinders than what they actually needed,” says Collie. “There didn’t seem to be an established confidence in ordering so the result was a large oversupply of gas in our storage cage and a lot of unnecessary cylinder rental fees.”

With days of stock at 76 days, well above the hospital industry average of 35-45 days, the Facilities team was keen to explore options for improving its ordering efficiency and ensuring greater traceability of cylinders throughout the hospital.

“We knew with the size of the new hospital that more accurate ordering was needed, along with the ability to pinpoint the location of each cylinder at specific departments.”

As the hospital’s medical gas supplier, BOC implemented Qi Tracking (Quality Improvement), a cylinder management solution that allowed the hospital to obtain accurate data about the location, availability and supply of all its medical gas cylinders through a barcode identification system.

After analysing the entire structure of the hospital, BOC set up 49 individual department accounts in the system with unique codes to ensure internal traceability between locations within the hospital and to accurately assess stock usage for each location moving forward.

As part of the implementation, BOC and hospital staff worked together to locate and scan all cylinders into the new barcode tracking system. They then discussed suitable safety stocks starting with the high-

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utilisation departments such as theatre, emergency and PICU departments.

To support the hospital staff in the transition, a BOC Qi Tracking Manager was placed in-house for an initial six month period to manage the ordering, stock keeping, internal transport and tracking of medical cylinders within the hospital. The Qi Tracking Manager worked closely to educate key people such as Medirest, clinicians and nurse unit managers about the new system and determine the actual safety stock levels for each ward.

Every morning and afternoon, the Qi Tracking Manager reconciles cylinders being used at each ward to ensure continuous supply. Cylinders and transactions are tracked through a smartphone app, BOC MyAgent Mobile, which allows barcodes to be scanned in and out of the gas storage cage to individual departments. If a cylinder is required when the Qi Tracking Manager is not on site, Medirest is able to assist.

However, since the hospital has accurate safety stock levels, this will happen rarely – for example when an emergency case requires large amounts of portable gas cylinders.

Whenever a cylinder has been scanned out of the main gas cylinder storeroom and into an individual department, it is automatically reordered and replenished by BOC. Lady Cilento can then log in to MyAgent Mobile to view every transaction that took place within the hospital and in addition all transactions are itemised on a monthly invoice supplied

by BOC.

“Senior management saw immediate value in this solution,” says Collie. “It was approved because it offered better stock management and dedicated onsite support from BOC.” Three months after the Qi Tracking solution was implemented, Lady Cilento was able to reduce its days of gas cylinder stock by 36% and more accurately forecast the gas requirements of each department. Being able to work collaboratively with Qi Tracking Manager during the transition was a key factor in getting Qi Tracking successfully implemented across the hospital’s complex environment.

“The Qi Tracking Manager has been marvellous and was the critical element we needed to make this work,” says Collie.

One factor that has been particularly helpful was the deployment of an in-house BOC person in a role dedicated to medical gas, according to Collie: “She has been able to accommodate the needs of nurse unit managers and department managers, and has been very tactful in the way she has helped clinicians and staff reduce the amount of gas ordered. The vital part has been helping change behaviour and ensuring everyone understands how it is used – the education part has been important. She has kept the lines of communication open and sat down to discuss any issues with stakeholders.

“Feedback has been positive with BOC ensuring a seamless supply of gas which is essential for us. We are also getting positive feedback from Medirest who have

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Cook Medical’s vision for the future

Founded in 1963, Cook Medical’s first products were wire guides, needles and catheters. Today it makes 16,000 products that serve 13 hospital lines providing products to 135 countries.

commented on the support and training provided to ensure they understand the new system.”

The Qi Tracking Manager has also identified ways to make the overall cylinder management set-up more efficient. One benefit was reallocating partially used cylinders to other areas of the hospital. Due to hospital protocol, as an example when a patient moves from ICU, a full cylinder is required for each patient. In some instances to avoid almost-full cylinders being returned and marked as empty, BOC now reallocates them to other areas of the hospital such as the wards, where a full bottle is not always required for patient transportation.

Lady Cilento improved its inventory management through a reduction in the number of gas cylinders that each department has in their stockpile. Empty cylinders can now be scanned and removed off each ward’s account daily, helping to reduce cylinder rental fees.

“Since Qi Tracking has been implemented, our stocks have reduced significantly and BOC’s team has always delivered our gas in time – everything runs like clockwork,” says Collie. “Ordering used to be really cumbersome especially with lots of demands in my working day – I look after cleaning, porterage, pest control and many other areas, not just gas. I used to closely monitor the gas storage everyday but having a person dedicated to managing the gas usage has now freed me up for other important activities.”

Since the Qi Tracking solution was implemented, Lady Cilento has also seen improved safety in its gas storage area and processes within the hospital.

“Cylinders are now stored appropriately in the main gas storage area,” says Collie. “Our in-house BOC person has been proactive with safety and continuously monitors the gas cage and provides advice for the safe storage of gas in the wards.” www.boc-limited.com.au

Cook Medical Australia was founded in 1979 to manufacture and distribute medical products for customers in markets located around the Pacific Rim and South-East Asia. Originally focused on angiographic and interventional devices, Cook Medical Australia is at the forefront of the development of technology needed to perform in-vitro fertilisation and assisted reproduction procedures. Cook Medical Australia is the only manufacturing site in the world that produces custom-made stent grafts for the treatment of abdominal aortic aneurysms. The Brisbane-based manufacturing facility is Cook Medical’s Asia-Pacific headquarters, employing over 500 people locally and over 1,200 across the Asia Pacific region with approximately 12,000 personnel globally. Recently Cook Medical undertook a project to improve processing efficiency, accuracy and repeatability and to ensure raw material components continued to meet the requirements for the finished medical devices.

The goal was to automate the process for measurement of raw material and in process components. Without a new method, components would continue to be measured and checked by hand (using rulers, micrometers and Vernier callipers).

Manual measurements were proving to be slow and prone to human error, while consuming human resources that could be used elsewhere in the company. To realise these goals, Cook Medical’s Will Williams started contacting various vision system suppliers. It became obvious quite quickly that Hi-Tech Metrology was proactive in responding, maintaining close communications throughout the presale processes.

A practical demonstration was organised in Brisbane, which Williams stated gave the entire inwards goods team an intimate insight into the function and capabilities of the Micro-Vu Vertex Vision system. The team was able to ask pertinent questions whilst some of their very own products were undergoing measurement.

This interactive process provided a lot of clarity around unanswered questions and gave the Cook Medical team a better overall appreciation of what was possible in its manufacturing environment. Shortly thereafter they were able to draw up a list

of advantages, expediting the final decision to buy the Micro-Vu Vertex 312. According to Williams, Hi-Tech Metrology’s customer service and follow-up support was detailed, providing outstanding ongoing value. Since commissioning the Micro-Vu Vertex 312, measuring efficiency at Cook Medical has dramatically improved, with less handwritten paperwork, as well as the ability to monitor tolerances and understand process capability over a given time. Cook Medical is achieving better accuracy and reliability in determining the compliance or non-compliance of incoming goods.

Williams reports that a reduction in time for testing means the production department will receive components more quickly and expeditiously. This gives related departments and processes greater flexibility, because the lead time between receiving the components and having them tested will be greatly reduced, resulting in increased production efficiency. An overall reduction of the cost of goods will be realised with the time savings made for the production process.

The Micro-Vu Vertex 312 technology offers extremely simplified processing of components. Users can just choose a program and press the go button rather than following complex instructions.

It enables the complex to become simple. www.cookmedical.com www. hitechmetrology.com.au

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Kaeser and Mediquip breathes life into veterinary clinics

Queensland-based biomedical equipment company Mediquip opts for the Kaeser Aircenter to complement its oxygen supply systems, which are assisting numerous veterinary clinics nationwide to efficiently and economically manufacture their oxygen requirements on site.

It is sometimes surprising when you stop and consider all of the places where compressed air is used. Typically we think about manufacturing, processing and engineering applications. However, compressed air serves a very important function in numerous other industry sectors, not least the veterinary industry where it is used to manufacture oxygen.

From small veterinary clinics to large animal hospitals, oxygen generation plays a key role in healing pets and animals. And, with one of the highest rates of pet ownership in the world and over 33m pets, Australia certainly has a demand for the lifesaving services they provide! The traditional method of obtaining the oxygen would be to purchase it in cylinders. However, this method is costly and comes with the added inconvenience of having to move and change heavy and dangerous oxygen cylinders. Mediquip offers the Australian veterinary industry with a highly economical, convenient, safe and compact alternative: oxygen supply plants.

Powered by a compressor, an oxygen supply plant generates near-pure oxygen from the air we breathe using a method called pressure swing adsorption. Air is forced under pressure by a compressor into a cylinder. The cylinder contains a material that effectively separates the oxygen from the other gases in the air. Once the material has adsorbed these gases, a valve is opened for the almost pure oxygen to exit into a holding reservoir. An exhaust valve is then opened, allowing the other gases to escape. This system employs two cylinders running in opposite cycles to produce a continuous flow of oxygen.

Mediquip has over 30 years of experience in providing biomedical and medical gas solutions to the Australian healthcare, aged care, emergency and veterinary industries.

The company chose to partner with Kaeser to present a complete oxygen supply plant solution to its customers several years ago.

“Kaeser was originally recommended to us by a supplier in America that was already successfully installing the oxygen supply plants with Kaeser compressors,” explains Kurt Hogan, General Manager at Mediquip.

“With a reputation for manufacturing German-made and top-quality compressors and accessibility to nationwide service support, Kaeser was the right choice to complement our oxygen supply systems.’

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The oxygen supply plants from Mediquip come with a Kaeser Aircenter, a complete and compact turnkey system for the production of dry compressed air, which incorporates a compressor, dryer and air receiver all within a single housing.

At the heart of each Aircenter lies a proven Kaeser rotary screw compressor featuring a premium-quality screw compressor block with Kaeser Sigma Profile rotors that have been designed for maximum energy efficiency. The inclusion of a thermally shielded refrigeration dryer further ensures a dependable supply of dry and clean air – a feature that was key in Mediquip’s decision in selecting the Kaeser Aircenter for this application.

“The air must be clean to adhere to the same quality standards expected of breathing air and as the oxygen generation process uses a material molecular structure which is susceptible to moisture and contaminants, choosing a compressor from a manufacturer that we could trust to meet these high quality air standards was paramount,” adds Hogan.

The RSPCA Victoria’s veterinary clinic in Burwood East, Melbourne, is one customer that has realised the benefits of the Mediquip oxygen supply plant. Providing care to animals seven days a week, 365 days a year, the clinic needs oxygen to be readily available for a number of uses including the anaesthetic machines and humidicribs used in intensive care.

“We were previously obtaining the oxygen we required in cylinders,” says Andrew Byrne, Chief Veterinarian at the RSPCA Victoria clinic. “This was proving to be costly and required a lot of attention to ensure that we always had enough oxygen on hand.

The oxygen supply plant from Mediquip solved these issues, allowing us to make our own oxygen as and when required.

Compactly installed, the system generates the oxygen we need on demand, which is then available via a piping system in all of our surgery rooms.”

Simple to install and easy to maintain, the compact and all-in-one Kaeser Aircenter delivers a reliable and cost-effective supply of quality compressed air, available with drive motors 2.2kW to 22kW, working pressure of 8 to 15 bar, and with free air deliveries from 0.26 to 3.5 cubic metres/ min. www.kaeser.com.au

Medical

Okuma helps local foot orthotics specialist go global Dissatisfied with working around the clock seven days a week covered in plaster dust and unhappy with the products on the market at the time, podiatrist Artur Maliszewski had the vision to see a niche where he could create the highest-quality foot orthotics with much enhanced speed, accuracy and efficiency.

Starting as a small boutique laboratory servicing a limited number of podiatrists in and around Melbourne, the reputation of Footwork Podiatric Laboratory was soon recognised by others in the profession.

Today the company is recognised as one of the leading suppliers of orthotics not only in Australia but around the world.

“One of the keys to our success is our heavy investment in technology and in the design and development of our very own software,” sys Maliszewski. “We support podiatrists in optimising their clients’ health outcomes by creating the highestquality orthotics engineered to precise specifications each and every time using only the finest of materials.

“Orthotics are inserts placed into the shoe to control or correct abnormal lower limb gait and alignment. The aim of a correctly prescribed orthotic is to modify how a client’s foot makes contact with the ground, thereby reducing stress and relieving pain. Today these are an essential part of podiatry in helping to correct muscular and bone alignment to maximise health and reduce pain.”

The path to a highly efficient operation commenced with a referral to Okuma by a colleague of Maliszewski, who had observed his friend working 18-hour days almost seven days a week, with his output was limited to his personal input. With a manufacturing concept to change what was a very manual process, a series of discussions were held with Okuma Australia’s technical team who, having studied the processes, drew in the expertise of laser-scanning company Hitech and other key outside suppliers.

High-level meetings involving experts in scanning, CAD-CAM systems, tooling and engineering result in the evolution of a new method. Plaster-casts sent to Footwork are laser-scanned using a hand-held unit supplied by Hitech, and the data collected is transferred to a CAD-CAM system. This data can then be fine-tuned by an expert podiatrist, with the new form electronically converted to a tool path and forwarded on to an Okuma vertical machining centre where the plaster form can be used to mould the required orthotic blank.

Footwork purchased its first Okuma CNC vertical machining centre in 2008, and it has since commissioned a further two machines. Although not traditionally used for machining material such as the 100%-recyclable polypropylene used to create Footwork’s latest orthotics, the Okuma machines and this material provide a high level of accuracy, with excellent shape retention as well as strong memory retention.

The transition from early manual handmade foot orthotics to precision production has been made using the latest CAD/CAM technology, modern scanning and a heavy investment in precision CNC vertical machining centres, with Okuma’s OPS-P200MA control along with custom software. This has enabled Footwork to deliver specific customer requirements with the highest levels of precision in angles and sizes not previously seen in the industry. Specification files for all clients are retained electronically so that personalised orthotics can be reproduced to the highest levels of accuracy at short notice well into the future.

The technology has now moved on with podiatrists able to transfer scanned data directly to Footwork Podiatric Laboratory for production. Okuma’s ability to support the various disciplines and expertise involved to bring a successful outcome for Footwork has enabled this client to become highly competitive internationally with quality orthotics. www.footwork.com.au www.okumaaustralia.com.au

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Using 3D printing to improve dental health Medical innovations involving the use of 3D printing in cutting-edge surgical processes have been making the headlines a lot recently. Less heralded, but equally exciting are some of the groundbreaking new applications of additive manufacturing in the dental field.

Additive manufacturing or 3D printing is an exciting new technology whose benefits are already being embraced in real-life applications, and nowhere more so than in the field of medicine. Success stories involving 3D-printed titanium implants such as vertebral cages and heel joints have received widespread coverage in the popular media. However, in the dental arena, less ‘earth-shattering’ applications of 3D printing may not have found their way into the media. Nonetheless, they are already delivering significant reductions in costs and increases in the speed and accuracy of production of crowns, bridges and orthodontic appliances.

Dutch medical design company Xilloc Medical is one business already making a name for itself through its medical breakthroughs. Already famed for printing a titanium jaw-bone using complex algorithms to create a design that gives blood vessels, nerves and muscles a better opportunity to grow into the implant, Xilloc is now pushing the envelope with its most recent development in the field of skeletal augmentation in facial reconstruction for patients following trauma or congenital defect. Working with Japanese company Next21, the company has devised a new biomedical approach to 3D printing bone implants. Instead of titanium, the process uses calcium phosphate, the primary constituent of natural bone, called CTBone. As with all implants cell behaviour in patients is a critical consideration that CTBone seeks to conquer.

biomedical engineers provides the path for 3D printing. Appropriately termed ‘digital healthcare’ by one US journal, the uptake across the industry is revolutionary. As a senior clinical maxillofacial prosthetist from Kings College Hospital in London, recently confirmed, 3D printers are now essential in hospitals treating serious head, neck and jaw injuries.

The benefits lie in surgeons now being able to create implants for reconstructive surgery beforehand from scans taken of the patient. These 3D parts are then used to ‘rehearse’ the surgery, gaining familiarity with any intricacies and complexities, thus ensuring the most appropriate procedure is established well before any actual surgery occurs on the patient. This allows for faster and more precise operations, which obviously result in tremendous benefits to both surgeon and patient.

Encompassing a variety of aeronautical, automation and defence applications, SLM Solutions from Lúbeck, Germany, has developed a range of selective laser melting systems with different laser configurations, build-window specifications and production speeds. These metal 3D-printing systems also provide the capability for the manufacture of medical and dental parts.

The benefits that these capabilities offer to the manufacturer are enhanced by SLM Solutions’ ability to supply metal powders appropriate for a range of manufacturing purposes, including titanium, stainless steel, and cobalt-chrome.

Customised medical/dental 3D-printed solutions rely on already available scanning and imaging technology – CT, MRI and ultrasound.

Then, CAD-CAM design of the specific part by

The properties of titanium and titanium alloy include high strength and low density, a key factor in surgical implants. Additionally it is corrosive-resistant and biocompatible, making titanium highly suitable for medical and dental purposes. While stainless steel is used for the manufacture of medical instruments, cobalt-chrome has replaced this material in the manufacture

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of hip replacement parts. Aware of the requirements associated with biomedical products implanted in a human body, SLM Solutions provides a nickel-free cobaltchrome (CoCr) powder. Not only is it suitable for implants such as hip joints, but Co-Cr is particularly useful in dentistry.

As in medical applications, successful dentistry applications of 3D printing rely on oral CT scans to gain patient information as the basis for a digital design. A biomedical engineer then develops the CAD/CAM design and the production process that controls the 3D printing.

Design-controlled, layer-by-layer 3D printing capability removes many of the constraints in traditional manufacturing processes, such as casting, fabrication and milling, which don’t always address the fine detail or complexities required. The advantages of using customised products rather than off-the-shelf implants is a superior degree of comfort for the patient, leading in turn to faster recovery and better functionality.

Reports from dental prosthetists indicate additive manufacturing of crown and bridgework has the opportunity to improve industrial production of modern tooth replacement. Operating with high precision and flexibility, the 3D printing process ensures part accuracy, with none of the potential for human error seen with milling, resulting in a higher-quality final product and reduced costs. Once set up, CAD/ CAM data can be modified to suit differing individual requirements with minimal effort, making the system a cost-effective investment over time. Dental implants have seen consistent growth due to an aging population requiring restorative dentistry.

As Australians age and seek to maintain their health and wellbeing, this demand should continue. Additionally as anatomical changes occur over time, patients will require new dentures or removable partial dentures (RPDs), and have been shown to happily wear CoCr dentures.

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Contrary to the growth in restorative dentistry through caps and crowns, RPDs or partial dentures are still in demand, particularly where cost is an issue. CoCr provides an appropriate metal for this purpose, having been tested through material science analysis of cross-sectional images that confirms the outstanding quality of the end product. Moreover, testing of finished products using the selective laser melting process offered by SLM Solutions has been shown to achieve even better metallurgical characteristics than conventional casting, strengthening the case for the use of 3D printing in the dental health sector.

Already in use, SLM Solutions 280HL system can generate 400 tooth caps within a few hours. Part accuracy and a perfect fit, look and feel can all be produced with reproduced precision, along with fulfilling the required accuracy and tolerance range during 3D printing. Models may also be directly produced in multiple versions, as a control model or sample, which are breakresistant, unlike common plaster models.

As with medical uses, 3D printing provides dentists with opportunities to provide more accurate and intricate solutions that not only make patient outcomes safe, but offer long-lasting comfort. Research and development in both dental and medical areas to identify and test new additive manufacturing opportunities is occurring in a number of universities across Australia.

As recently as March this year, Griffith University’s Menzies Institute pioneered work that could revolutionise dentistry with the development of 3D-printed tissue. These advances in the use of 3D printing technology can not only improve the health and wellbeing of Australians, but open the doors to medical and dental part manufacturing, where individual customisation or small runs can be carried out with efficiency and confidence using reliable technology such as SLM Solutions range of selective laser melting systems.

Sky’s the limit for BJP Laboratories

Queensland-based contract manufacturer of conventional and alternative medicines BJP Laboratories, has enjoyed considerable growth by targeting export markets. By Andrew Watson, Executive Director – Export Finance at Efic.

Medical manufacturing is an innovative sector that continues to show positive growth against the backdrop of a turbulent global market. While some questions remain on the future of the Australian manufacturing industry due to recent highprofile changes in the market, evidence shows that innovative manufacturers are taking advantage of the opportunities in international markets and growing their businesses. Against this uncertain future, BJP Laboratories has experienced significant growth by exporting its products to new markets. The company specialises in manufacturing and packaging organic and non-organic complementary medicinal products, such as tablets and capsules.

Among its extensive range of products, BJP specialises in the production of probiotics, which it undertakes in its purpose-built, humidity-controlled facility located in Yatala, between Brisbane and the Gold Coast.

agency, for a solution. This scenario is not new to the manufacturing industry. Efic has assisted small businesses across Australia with access to export finance.

BJP has experienced exponential business growth as a result of increasing demand for listed medicines in overseas markets. On the back of this success, one of its existing clients, Blackmores, required increased production capacity to meet the growing demand for glucosamine tablets in Asia.

Despite having the technical capability to manufacture the tablets, BJP was unable to secure sufficient finance to purchase the raw materials required for production.

In recent years, Australia has signed a number of free-trade agreements with countries such as China, South Korea and Japan. These agreements have opened up the Australian economy to these markets by reducing trade barriers such as tariffs on Australian goods and services – and opportunities still exist in Europe, the Middle East and New Zealand.

Overcoming barriers to export With BJP’s bank unable to provide additional funding to support its rapid business growth without more tangible security, the business faced the possibility of being unable to fulfil a contract with one of the world’s most reputable vitamins, minerals and supplement companies.

On the recommendation of its bank, BJP approached Efic, Australia’s export credit

In the case of BJP, Efic was able to provide funding in the form of an $823,000 Export Contract Loan. BJP is continuing to expand, with its staff growing from 38 to 117. It now operates on a 24-hour basis and manufactures 12m tablets and 4.5m capsules per day.

Future opportunities for manufacturers As we start a new financial year, many manufacturers will be thinking about their business plans for the year ahead. Against the backdrop of volatile financial markets and uncertain global growth, there remain significant opportunities for Australia’s manufacturing industries, including medical manufacturing.

Australia’s manufacturing industries should tap into their ability to innovate, and think not only about how they can innovate their goods, but also how they identify and take advantage of opportunities in international markets. BJP is just one example of an Australian manufacturer that has been innovative in its thinking, overcome barriers to export finance, and continued its growth journey overseas. www.bjplaboratories.com.au www.efic.gov.au

Raymax Applications is the Australian distributor of SLM Solutions laser systems and metal powders. www.raymax.com.au

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Digital evolution of cranial surgery

From complex reconstructive facial surgery to orthopaedic and trauma surgery, advances in additive manufacturing have inspired a growing number of progressive surgeons to commission metal 3D-printed patient-specific implants (PSIs) and cutting guides for both complex and straightforward procedures.

Case studies are emerging that provide compelling evidence that the surgeons embracing this technology over standard implants or traditionally manufactured implants are consistently delivering better and more predictable outcomes in terms of patient safety and satisfaction, and hospital efficiencies and economies. Hospitals in the UK, in their quest for better quality and efficiency, have used 3D-printed anatomical models, guides and implants to improve the predictability, accuracy, safety and speed of operations. Meanwhile, a hospital in Spain has proved that the technology can also be used across international borders in a classic example of global technology transfer with UK experts.

Neurosurgeon Bartolomé Oliver, MD, PhD, practises at the Teknon Medical Center in Barcelona, Spain, and has trained internationally, including in Canada, the USA and Sweden. A 68-year-old female patient presented to his department with a benign growth from the left side of her cranium, caused by a meningioma, a tumour that arises from the meninges – the membranes surrounding brain and spinal cord. The computerised tomography (CT) scan revealed the growth was expanding outwards into the skull-bone. The patient required a craniotomy to remove the growth and a cranioplasty to rebuild her skull.

Dr Oliver planned for the combined craniotomy and cranioplasty operation to allow the patient to be treated in a single procedure. He knew the operation should not present any challenging problems, but Comparison of before and after surgery.

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his priority was to ensure it gave the best results to both patient and hospital. He chose to partner with UK experts in 3D design and printing who had repeatedly shown evidence of supporting predictable outcomes in complex facial reconstructive surgery.

Design Dr Oliver briefed PDR, a world-leading design consultancy and applied research centre based in Cardiff, UK, to design both a PSI cranial plate for the cranioplasty and a custom surgical cutting guide for the craniotomy. The partner for 3D printing in metal was Renishaw, a leading engineering and scientific technology company with expertise in precision measurement and healthcare.

The hospital’s CT scans were transferred from Spain to the UK, imported into MIMICS software program at PDR’s offices, and then converted into an STL file for modelling by PDR. PDR created a 3D virtual model of the cranial plate by mirroring the healthy side of the cranium using Geomagic Freeform Plus software to deliver a good aesthetic design.

PDR also modelled the cutting guide which would be placed on the cranium to help mark the perimeter or limit of the craniotomy and act as an aid in freehand work during surgery. The initial designs were sent back to Dr Oliver for first review.

It then only took a 40-minute Skype session with Dr Oliver, PDR and Renishaw’s Spanish representative, for the surgeon to share his design modifications.

Manufacturing the parts Renishaw received the files of the approved designs for both the implant and cutting guide and 3D-printed them at its central manufacturing unit in Stonehouse, UK, despatching the components to Barcelona within two weeks of receiving the files. The parts were manufactured on a Renishaw AM250 metal 3D printing machine in titanium with a satin finish as per Dr Oliver’s specification. The material used was Ti MG1, tested to ISO 10993 part 1, which was then treated with Renishaw’s X-flex technology. This ensures high ductility, which is important to prevent the risk of breakages in surgery should the implant need to be adjusted, for example due to unexpected hard tissue changes.

Ensuring an excellent aesthetic outcome meant that the contoured cranial plate needed to match the patient’s cranial contours accurately. While the virtual modelling enabled precision design, the plate needed to be thin enough to maintain aesthetics, but resilient enough to handle all of the other necessary requirements: additional screw holes to give Dr Oliver flexibility to fix the implant and perforations to allow fluid transfer and tissue to grow through it.

The implant extended 8mm past the cut margin – giving an 8mm offset allowed for cutting tool radius and standard screw diameter – and was designed for 1.55mm diameter screws. This design freedom enabled by the additive manufacturing

Medical

Devices delivered to Dr Oliver (l to r); model of defect, cutting guide, model of defect removed, cranial plate.

process meant that the material was thicker around the screw holes but 0.5mm overall, to fit Dr Oliver’s precise specification.

Conducting the operation Dr Oliver had specified that a “pan-handle” be designed into the cutting guide to help position it during the craniotomy, aiding stability and improving the ergonomic performance of the device. An arrow was added onto the guide to indicate the orientation.

The decision was taken to use the cutting guide to mark the perimeter of the craniotomy. Dr Oliver executed a freehand incision following the markings, after the guide was removed. This approach enabled an easier way to handle the complex skull geometry around the temporal area, which curved to a tight radius.

With additional redundant screw holes, Dr Oliver was able to operate with maximum discretion due to his design. He had specified more fixation options in the event that he needed to adapt at short notice.

The operating theatre is a characteristically changeable environment and it pays to guard against possible mishaps. The implant gave him that additional safety factor. The operation was successful and incident-free with the cranial plate being fitted safely and accurately.

Damaged meninges, after craniotomy.

Post-surgery The patient was discharged after four days in hospital and examined in follow-up appointments after 15 days and at monthly intervals. She was free from complications.

Post-operative CT scans showed good implant performance. Describing the main benefits for the patient, Dr Oliver mentioned “the excellent aesthetics offered by this implant” adding that “the patient is very happy with it”.

A relatively routine operation to remove a tumour has proven three main benefits of being able to make a PSI to the surgeon’s design: safety, patient satisfaction and savings in surgery time. With safety being the paramount priority, supplying a predefined cutting guide and the corresponding implant helped eliminate all the risk that might come from the freehand work of the procedure. Dr Oliver’s own verdict: “It ensured an absolutely safe operation with no risk to the patient.”

Patient satisfaction was also a priority and the precision of the PSI enabled the surgeon to provide the aesthetic quality needed. As with more complex facial reconstruction procedures, the power of patient-specific design provided added dimensions of consistency and predictability.

As Dr Oliver noted: “Parts were delivered to us according to plan, which allowed us to prepare them for the surgery. No adjustment was needed during surgery. Using the 3D-printed cutting guide and implant saved us approximately 30% of the time required for this kind of surgery.”

For his worldwide peers Dr Oliver believes his approach offers a good model. He comments: “Working with precise products and good planning is very positive and recommendable.”

The 30% time saving has huge significance for hospital management and health economists where theatre time is costed by the minute. Therefore every minute saved can offer substantial cost savings for healthcare providers. Additionally, shorter surgery times can help reduce infection risk, accelerate the patient’s recovery and allow for higher theatre throughput.

The digitised workflow connecting design experts, surgeons and manufacturing illustrates the power of global technology transfer and international co-operation. It has the potential to democratise technology by giving any hospital, in any corner of the world, access to precision technology, products and materials. www.renishaw.com

A 30% saving in theatre time was the third benefit of this streamlined method.

Placing the cutting guide.

Implant placed prior to closure.

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Perfect machining through PC simulation

With the DMG MORI Virtual Machine, Airbus Defence and Space increases process reliability and manufacturing quality on a DMC 125 FD duoBLOCK. Established in the 2014 restructuring of the European Aeronautic Defence and Space Company (EADS), Airbus Defence and Space is responsible for the areas of defence and space as a subsidiary of the Airbus Group. With headquarters in Ottobrunn, Germany, the company focuses on the development and construction of engines for the Ariane 5 launch vehicle, among other activities.

Airbus Defence and Space meets the high demands on quality with long-standing experience in machining and state-of-the-art CNC technology. Among its recent acquisitions are two DMU 70 eVo linear machines and one DMC 125 FD duoBLOCK. The company also uses the DMG MORI machines in an exact 1:1 simulation on the PC, in the form of the DMG MORI Virtual Machine.

The software can be used in a preliminary PC simulation to safely check the complex machining of the highly expensive workpieces.

This makes manufacturing completely safe and enables process optimisations already at a preliminary stage to increase efficiency in machining.

A fully loaded Airbus A380, at a weight of approximately 590 tons, launches with a thrust of around 1,200kN. These figures convey some idea of what it means to send an Ariane 5 launch vehicle weighing 775 tons into orbit – admittedly vertically – with almost 12,000kN thrust. The latest version of the European launch system has been launched regularly and above all completely reliably from the Kourou Space Centre in French Guiana since 2005. This reliability is crucial, as the Ariane 5 always carries expensive cargo like geostationary satellites, unmanned cargo crafts for the ISS, or comet probes like Rosetta. A launch failure would often be synonymous with financial losses running into billions.

Airbus Defence and Space is crucially involved in the development and construction of Ariane 5. The main engine as well as the upper stage are manufactured in Ottobrunn, as well as other components for the aerospace industry. What all applications have in common is the uncompromising quality.

“The value of the blanks alone can run up to several thousand Euro,” says Wolfgang Simon, head of mechanical production, with regard to the pure material value of some components. In view of such figures, the same rule in production applies as it presumably does in Kourou: “The first shot must be a winner.”

The Ariane 5 launch vehicle.

Top level machining The range of materials includes aluminium as well as titanium, but also high-strength stainless steels and nickel-based alloys like Inconel, probably one of the most complex materials at Airbus Defence and Space.

“The interaction of stability and weight is crucial here”, says Simon. Every additional kilo costs a lot of money at the launch.

So it is understandable that every gram counts for the complex components. The Production Manager gives an example: “If we are at the upper limit within the tolerance range and not at the lower, this might already be too much.”

Naturally he is speaking of hundredths, not tenths of millimetres.

The high demands placed on precision and complexity are only one part of the challenge in manufacturing, as Simon explains: “Competition is extremely high, which means that we must produce as cost-effectively as possible and above all adhere to deadlines.”

The Airbus Defence and Space workshop includes a DMC 125 FD duoBLOCK and two DMU 70 eVo linear milling machines.

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What is ideal is a balanced ratio between quality, costs and adherence to schedules. Airbus Defence and Space ensures the specialist know-how required for this with consistent training and induction of junior employees. On the production technology side, the company regularly invests in state-of-the-art machine tool technology, most recently in three machining centres from DMG MORI: two DMU 70 eVo linear machines, and one DMC 125 FD duoBLOCK.

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DMG MORI Virtual Machine software simulates the complete machine geometry and kinematics as well as the actual Siemens control.

Furthermore, the DMG MORI Virtual Machine was acquired for all three, to further optimise manufacturing processes and quality. With this software, DMG MORI enables exact simulation of machining on the PC, in an exact 1:1 image of the real machines.

“The high quality standard in production requires machine tools that consistently work precisely,” says Simon when explaining the decision for DMG MORI. Versatility is another factor: “The five-axis simultaneous machining and milling-turning technology enables applications that could otherwise never be resolved economically.”

In order to gain additional process reliability and optimise production, Airbus Defence and Space relies on an extensive simulation of the NC programs for complex manufacturing tasks.

“After all, we need to guarantee collision-free production of the expensive components”, says Simon. “When an NC program is installed on the machine, it has to work.”

Discharge cap of the Vulcain engine of the Ariane rocket

A suitable simulation software was found with the DMG MORI Virtual Machine, as it already produces a very realistic simulation of the programs on the PC in the preliminary stage.

A support component of a satellite.

Virtual machining Airbus Defence and Space currently makes great advances in production with the DMG MORI Virtual Machine. The software is able to display the DMG MORI machine tools one-to-one on the computer, including the actual machine geometry and kinematics as well as the original control and the real PLC. Gerhard Engelhardt, who is responsible for NC programming, sees enormous benefits in this virtual solution: “We can exactly simulate machining of the expensive components completely safely on the PC, and check the program for general machining feasibility or possible collisions.”

Engelhardt also uses simulation of the CAM software, but adds: “We still simulate the final NC code on the DMG MORI Virtual Machine to achieve optimum process reliability.”

A measuring probe is also integrated in simulation, which performs real-time measurements like on the real machines. The measured results are also acknowledged in the virtual machine.

“Accuracy here is sufficiently high, so that we can already see on the PC whether machining meets our expectations”, says Engelhardt.

Another feature of the DMG MORI Virtual Machine is shop floor programming. As the actual Siemens control software forms the basis, users can also take full advantage of the ShopMill functionality.

This also enables further optimisation of the programs based on the simulation, increasing the quality of the finished parts in turn.

The process reliability is an important aspect for Simon, also from the operators’ perspective: “For particularly sophisticated components, you can first of all familiarise yourself with the machining on the virtual machine before working on the valuable workpiece.”

New skilled personnel can also be trained in this virtual environment.

“Production is much more relaxed for each operator when he can rely on the process already having been tested.”

In addition to process reliability and enhanced quality, Simon as head of mechanical production also regards the complete production processes as an advantage of the DMG MORI Virtual Machine: “We can organise and accelerate our processes completely differently.

On the one hand, we already know exact machining times in the preliminary stage, on the other, verification of the programs on the PC is much faster than on the machine. Furthermore, the lengthy running in of programs can largely be omitted, and setup times are minimised.”

Consequently, significantly higher machine running times can be realised and productivity can be markedly increased.

Continuous modernisation of production with innovative solutions like the DMG MORI Virtual Machine has a high priority for Airbus Defence and Space. Simon expects the complexity of products and their quality requirements to increase further. The cost pressure is also expected to grow independent of this.

Simon sees things very clearly: “We can only stay competitive if we not only develop the products that we manufacture further, but also ourselves and our production. A crucial step in this direction is the use of the DMG MORI Virtual Machine.” www.airbusdefenceandspace.com www.dmgmori.com

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Tough talk from KMP

Machine shops that are looking for a cost-effective solution to the challenge of cutting tough, difficult-to-machine materials around the clock are finding the answer in the UMC-750 universal machining centre. One company willing to testify to the Haas machine’s ruggedness and dependability is French aerospace contractor KMP, who runs an automated UMC-750 night and day machining complex components in titanium for Airbus.

The Airbus Group dominates the industrial landscape in south-west France. Along with an extensive supply chain in the Toulouse area, the European aerospace giant is single-handedly responsible for a good deal of the region’s economy. In fact, in 2011, when word got out that Airbus was planning a major manufacturing programme, husband and wife entrepreneurs Sébastien and Sonia Korczak decided to establish their own subcontract machining facility, KMP, with the intention of servicing the large number of tier-2 and tier-3 aerospace companies in the area.

“Before we opted for Haas, we were told by other machine tool suppliers that they weren’t up to the job of cutting hard materials,” says Sébastien. “In fact, it turns out they didn’t want us to know that Haas machines can be pushed day and night cutting tough materials, and will not let you down. What’s more, they’re so easy to use that one of my operators learnt the control in just a day; even my eleven-year-old son can run the machines!”

With no established contacts in the aerospace supply sector, KMP’s first six months were far from plain sailing. However, knocking on the doors of large aerospace supply chain companies eventually led to a handful of orders, which the company machined using a pre-owned Haas VF-2 vertical machining centre with a Haas TR160 two-axis (rotating/tilting) trunnion table.

“At the start, we wanted a five-axis machine to differentiate ourselves from three main competitors we had identified in the market,” says Sébastien. “But, we needed to find a good machine

Sébastien Korczak with the Haas UMC-750 universal machining centre.

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at a good price, and we couldn’t afford to buy a new one. The pre-owned Haas VF-2 proved to be the ideal solution. It has a very big program storage capacity, which allows us to use sophisticated machining strategies.”

Such was KMP’s initial success that within six months, the company had swapped the VF-2 for a Haas VM-2 vertical machining centre complete with a more powerful spindle, followed shortly by a Haas DT-1 drill/tap centre. “Haas has a big brand presence in the market in Europe, and because we’d had a very good experience with our used VF-2, we felt compelled to find out more about their machines,” adds Sébastien. “Other machine tool suppliers said Haas machines were only good for aluminium and plastics, but to me, their derisory comments hinted that there was a hidden truth they didn’t want us to know about.”

The most recent purchases at KMP are two Haas UMC-750 fiveaxis machining centres, one of which is robot-loaded and typically runs all night. KMP was, in fact, the first company in France to install a UMC-750.

“We shopped around, but with a weight of eight tons, the UMC750 appeared to us to have the mass we were going to need to cut tough materials,” states Sébastien. “We had the opportunity to see the UMC-750 without the cover and were reassured by the sturdy, rigid machine frame. Also, we have great confidence in the Haas control. In fact, the UMC-750 is supplied as standard with some essential macros for five-axis machining, specifically for the dynamic repositioning of parts.”

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According to Sébastien, the machine’s precision is another differentiating feature that has helped overcome many component issues at KMP. For instance, one particular part required holes drilled to a tolerance of plus or minus 3µm. The holes were generated using helical interpolation on the UMC-750, and the customer approved the parts when they were delivered as “right first time.”

well as rivals operating in lower-cost economies such as Romania and Tunisia.

Around 80% of the components that KMP makes are produced from titanium – a notoriously tough and difficult-to-machine alloy – mostly for the aerospace industry, but also for motorsport. Many of the components are highly complex, featuring freeform surfaces, inclined faces, angled through-holes and irregularly shaped bosses. Sometimes between 80% and 90% of the original billet is machined away.

“We now feel confident enough to hire more employees and buy more Haas machine tools, especially universal machines. I’m very glad we didn’t listen to the stories we were told by other machine tool companies. We wouldn’t be where we are today. It’s always worth finding out for yourself.”

“We have to be well organised and structured, with an attractive hourly rate, in order to compete,” concludes Sébastien. “Which means the price and running costs of Haas machines are a huge advantage, and we can build on that.

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All-night automation Titanium has proved to be no problem for the Haas machines.

Indeed, thanks to automation, one of the UMC-750 machines runs around the clock cutting titanium workpieces.

The Eco-Tower 60 from Lang Technik offers a simple and advantageous introduction to automation, typically for batch sizes up to 60 off. An operator at KMP loads the tower with billets, presses the button, and walks away, returning to find a completed batch of precision parts.

“Communication with the UMC-750 is very straightforward, and was facilitated by a Haas technician in no time,” says Sébastien.

KMP aims to continue growing by finding customers who need precise parts made in tough materials and larger volumes. However, the company is operating in competition with local companies, as

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KMP owners Sébastien and Sonia Korczak.

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Latest technology enhances machining of aluminium profiles

Technical Plant Services delivers a world-first, automated, robotic solution for machining long-length aluminium extruded profiles utilising the Rockwell Automation motion control and drives product portfolio.

Founded in 2007 and based in Melbourne, Technical Plant Services (TPS) has serviced various industries, focusing on automation, electrical engineering, safety system design and technical support.

In 2015, TPS was contracted to design and deliver a machining cell solution for a client in the aluminium extrusion industry who required a new long-length computer numerical control (CNC) system.

The solution developed encompasses an industry-first robotic CNC system that delivers the flexibility to efficiently process small batch orders without compromising on quality. This system ultimately results in improved productivity and performance, increased flexibility, decreased machining time and cost benefits.

Robotic machining of aluminium profiles The added-value department of the aluminium extrusion client required more flexible access to machine around a profile.

Historically the CNC operator was required to manually machine separate faces and realign a work piece after repositioning. After extensive brainstorming, simulation and proof-of-concept testing, TPS advocated a robotic CNC system as a more cost-effective and flexible machining solution.

Successfully designing, engineering and delivering this highly advanced machine required the combined knowledge, expertise and technologies from leading solution providers. NHP Electrical Engineering (NHP), a Rockwell Automation authorised distributor, was commissioned to provide product selection assistance, engineering design and technical support. TPS’s Senior System Engineer Daniel Orchard worked with NHP’s Automation Application Engineers, David Kenney and Paul Jones, to select the appropriate hardware, which offered the integration capability required to meet the application.

This particular project required specialised velocity control and positional requirements, which set the parameters for the brief given to NHP motion experts.

“NHP’s calculation software for correct gear ratio, servo and drive specified for us exactly what we needed and the end result is very good,” said Orchard.

Based on this, the Allen-Bradley Kinetix 5500 Servo Drive with the suitable accessories was implemented to optimise space. The AllenBradley CompactLogix was specified as an integrating standard and motion controller for the final cut-to-length saw system, acting as a gateway and supervisory control system for multi-peripheral devices. A key feature of this controller is that it offers a common control engine in a development environment for a scalable solution.

Seamless integration The workpiece geometry is designed within a CAD/CAM software application. It is then fed directly into the assimilation program to calculate the locations of the handling and cut-off positions.

The world-first robotic CNC system delivers all applicationspecific requirements without compromising on quality.

“For safe entry into the work cell, the blade was required to stop as quickly as possible when requested,” said Klassen. “The fact that TPS was using the Allen-Bradley drive made it easy to select the appropriate breaking resistor.”

To assist, NHP engineered a breaking resistor cabinet. They also helped prototype finger safe enclosures for inside the clamping door area to keep products at the correct IP rating and maintain easy accessibility to pneumatics while restricting access to electrical items.

“Since TPS had experienced the Drives and Motion Accelerator Toolkit in the past and was familiar with our VSD and motion offering, we were able to keep the time required to integrate the saw system to the minimum, providing more time to focus on software development for the CNC part of the application,” explained Klassen.

One of the main challenges in a project is the communication and integration of the various products used. This project was tasked with managing five communication protocols, which were addressed by using protocol converters that were designed specifically by Rockwell Automation or their Encompass Partners. These protocol converters made it easy to integrate all the required devices to communicate with the central CompactLogix controller.

“The Drives and Motion Accelerator toolkit by Rockwell Automation made it very easy to program the motion components of the system,” explained Anatoli Klassen, Application Engineer – OEM at NHP.

As demonstrated by the value that these software and productivity toolkits delivered, TPS has joined the Rockwell Automation OEM Program at the Developer Level – an ideal stepping stone for companies looking to take advantage of Rockwell Automation software and competency development tools.

The toolkit uses a modular format that greatly simplifies the work needed from selecting components and developing drawings, to writing code, laying out HMI screens and commissioning. This provided seamless integration and commissioning. To meet the requirements of the cut-off saw, the Allen-Bradley PowerFlex 753 provided premier integration into the CompactLogix controller.

“The OEM program provides the opportunity for participants to benefit from global support, marketing opportunities and solutions and services that align with their business objectives,” said Michael Vlahos, OEM sales lead at Rockwell Automation. “We help customers lower the total cost to design, develop and deliver machines that meet their end users’ requirements.”

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The Rockwell Automation motion control and drives product portfolio provides advanced motion control while optimising space.

A world-first solution The advanced technology and engineering of the project was not only an effective solution, but also improved manufacturing flexibility and has the ability to reduce cycle times and cost for the client. As a result of quality automation and motion control products, alongside solutions and service support, TPS was able to successfully deliver the fully functional and operating robotic CNC machining system to the customer within only 11 months.

“Support for multiple communication protocols and the successful implementation of translation gateways was a big part of this project’s success and one of the main reasons we will continue to use NHP in the future,” said Orchard. “It was a mixed bag that unfortunately we could not simplify during our design phase, even though a lot of effort was put into it. NHP assisted us through every step, providing us with solutions to trial and lots of experience to help us configure some of the more complex devices properly.”

“The automated solution provided additional machining reach, a larger envelope, faster idle movements and 3D machining capabilities,” said Klassen. “TPS has engineered a very impressive machine and we were proud to be part of it.” www.technicalplantservices.com.au www.rockwellautomation.com

The Allen-Bradley CompactLogix integrates standard and motion control for the system.

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Supply Chain Automation – A secret weapon or futuristic ideology?

To remain competitive, organisations must take advantage of the latest technology. Automation of material handling is one area of innovation that has proven to be vital in mitigating operational risk, improving efficiencies and remaining competitive. By Amit Asthana and Charles Edwards.

Over the last few years an increasing number of companies have chosen to automate their operations. The $152bn global industrial automation market has grown at 6% per year for more than a decade, which is nearly twice as fast as the overall industrial production growth rate. Automation technologies can significantly reduce reliance on intensive and repetitive labour, leading to safer workplaces, increased throughput volumes and reduced expenses.

Due to these benefits, and the lowered costs of implementation, more manufacturing, warehousing, distribution and storage companies are turning to automation technologies to innovate their organisations.

The key consideration is what automation processes are applicable to your organisation. What are the potential benefits, the limitations and critically, the investment requirements?

Safer workplaces through automation The implications of improved safety under automation are significant.

Some of the most common OH&S risks in the manufacturing workplace include: • Accidents by mobile plant equipment.

• Falling objects.

• Lifting and repetitive bending (manual picking and put-away).

• Slips, trips & falls.

Although enhanced processes and procedures can reduce the likelihood and impact of some of these risks, they cannot eliminate the risks altogether. However, automation technologies can reengineer operations to eliminate entire categories of workplace risks. Automated systems are typically capable of determining when there is an obstacle in their path and alter their course. Unlike humans, they never get tired, never get distracted and provide the same reliable service 24 hours a day, 365 days a year.

Four predominant categories of manufacturing and warehousing automation technology today are: automated guided vehicles (AGVs); automated storage and retrieval systems (AS/RS); automated truck loading systems (ATLS); and in-line conveyor systems. All categories offer the same benefits but to varying degrees of magnitude. They all deliver improvements in safety by reducing human physical interaction and mobile plant usage, they improve production throughput and reduce operating costs.

1. Automated Guided Vehicles (AGVs) AGVs can transfer stock between defined locations within a facility, effectively replacing manually driven forklifts. AGVs can be small – delivering mail around the office – or they can be enormous and invisible to the public eye – moving aeroplane wings between hangers. Often they appear not dissimilar to a tradition forklift. AGV technology has been around for some time but has developed rapidly over the last decade. Today AGVs are entirely autonomous, capable of taking alternative paths when obstructed, providing automated put-away and unloading trucks.

Research by GRA indicates that during operating times, one AGV is approximately equivalent to one forklift driver. Together with a well-integrated warehouse management system (WMS), AGVs can completely automate the warehousing process.

Organisations with warehouses that are already running on three

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Amit Asthana

Charles Edwards

shifts, handling high volumes with low-margin products have the most to gain from AGVs, which can improve operational efficiencies and drive down costs. AGVs are already used to manage pallets at Coca-Cola, massive shipping containers at the Port of Hamburg, assembly parts at Tesla, and millions of dollars in the US Mint. The potential applications are endless as AGVs are only restricted to what they are programmed to do. Any application of AGVs needs to also consider the requirement to recharge or ‘swap-out’ AGV batteries every 12 hours, this procedure can also be automated.

2. Automated storage and retrieval system An AS/RS can autonomously store pallets and packs using automated gantry cranes. These systems are more commonly seen in quick turnaround distribution centres. Compared to facilities with traditional racking systems, an AS/RS is capable of improving space utilisation by at least 60%. These systems eliminate any potential safety hazards from within the storage facility and provide enhanced visibility of pallet locations. Long-term benefits include reduced site costs from facility consolidation. However, an AS/RS can unfortunately be quite expensive. A case study by GRA found that positive ROI does not occur for at least five years. Additionally, these systems are not entirely suitable for bulky and odd-shaped products. Further customisations may be required to suit your product range, which can pile on to investment costs. Nonetheless, constructing a warehouse from scratch together with an integrated AS/RS significantly reduces overall installation costs.

Given the expensive investment costs, AS/RSs are more feasible for high-stock-turnover distribution centres where throughput can be significantly improved with automation that works 24/7.

3. Automated truck loading systems (ATLS) ATLS are a recent technology, which stacks and arranges pallets to resemble a full truckload. When the pallets are ready for shipment, they are transferred ‘as is’ into a truck through a mechanical platform that either rolls or pulls the load into the trailer via a chain-driven conveyor system. This system is obviously limited to only enhancing the truck loading and unloading process, though its benefits in this area are noteworthy. Trucks only need show up when a load is ready to be taken (“Just-in-Time”) and truck loading time is significantly reduced. GRA research indicates that an ATLS is capable of reducing the truck turnaround period for some organisations from over one hour to just a few minutes, cutting this process by 95%.

Robotics & Automation

These systems give the manufacturer greater flexibility, improved space utilisation by reducing the number of loading bays and reduced safety risks in loading areas.

ongoing maintenance and engineering running costs. Specialised technologies will also often require skilled operators and maintenance personnel to minimise system downtime.

4. In-line conveyor systems

The impact of automation of jobs

Conveyor systems remain the most common and are generally the cheapest automation systems to implement today. Using fundamental industrial engineering concepts of pull manufacturing, in-line conveyors can be implemented to automatically deliver stock downstream as and where required. These systems eliminate the requirement to store excessive stock in WIP areas, which take up expensive real estate and negatively impact working capital.

Debate is often sparked that automation takes jobs away from those within the manufacturing industry, and this argument can prove a road-block for major organisations. Although it is clear that a number of manual jobs will be replaced by machines, a disruptive manufacturing innovations survey conducted in 2014 demonstrated that approximately 70% of respondents believe robotic automation will actually provide more jobs on the whole from organisation growth and demand for skilled operators and engineers. Indeed, following the release of Kiva Systems, Amazon actually hired 61,000 additional employees. Automation technologies improve safety, reduce costs and increase throughput. These technologies are not a futuristic ideology, they are here today and with a medium-term outlook the purchase price is justifiable. It is very likely that at least one of these automation technologies can enhance the way you operate your business and drive new-found profits and competitive advantage within three-to-five years.

In-line conveyor systems reduce flexibility and do not provide an automation solution regarding storage or despatch. These systems often require at least some human interaction to complete storage functions. Previous GRA research indicates that in-line automated routing conveyors can provide a positive return on investment in less than two years.

Automation is here and it’s feasible!

GRA recently completed a feasibility study assessing the potential of the four automation concepts for a timber company that produces construction timber in bulky pack sizes. The client’s internal production flow was assessed to develop an ideal solution that would help them reduce safety hazards across their warehouse operations. The study found that AGVs provided the best value for money, delivering a positive ROI within three years. AGVs alone were the most cost-effective solution capable of running transfers within internal WIP workflows, completing put-aways and delivering loads to the dispatch area.

The outlook for automation is positive, with the key technologies rapidly advancing, costs of implementation reducing, and scales of application growing. Nonetheless, there remain some constraints to automation in 2016, including the hefty initial investment outlays and

AGV Case Study – Amazon “Kiva Robots”

Amazon’s revolutionary “Kiva Robots” provide great flexibility and boast autonomous routing algorithms that allow quicker picking processes in their distribution centres. Since acquiring Kiva Systems in 2012, Amazon has already installed 30,000 Kiva Robots in its facilities. Kiva Robots are a form of AGV capable of picking up entire shelves, they take the shelves to packing stations where humans simply select the book required at arm’s reach, the robot then takes the shelf back to its original position without any human command or interaction.

Amit Asthana is a management consultant at GRA supply chain consultants. Charles Edwards is a consultant with GRA based in Melbourne. www.gra.net.au

Multi-Application Case Study – Coca-Cola’s Northmead facility

Coca Cola Australia’s Northmead facility is a case in point of competitive advantage established by implementing three automation technologies: AS/RS, ATLS, and in-line conveyor systems. The facility now has one of the highest-throughput handling capabilities in the world. The Northmead facility runs 24/7. Since implementation, its inventory accuracy and ontime delivery have improved dramatically.

Key facts: • Storage Hub (AS/RS) – 32m tall capable of holding 158m cans.

• Staging Hub (ATLS) – Six ATLS systems, allowing a standard trailer to be loaded and ready for despatch in under four minutes.

• Transportation Hub (In-Line Conveyor System) – A monorail conveyor allows pallets to be shuffled between production and storage locations at 720 pallets/hour.

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The why and how of automation in the manufacturing industry

As the technological landscape continues to grow and develop, manufacturers want to better understand the role of automation software and how to apply modern technologies to their factory floor, supply chain management, product design, and quality control activities. They want to reap the benefits of automation, whilst feeling confident that critical processes aren’t being jeopardised. By Helen Masters.

When the term ‘automation’ is mentioned, many people first think of robots, drones, and machinery becoming self-aware and taking over the plant – and the world. This is one of the greatest misconceptions associated with these modern technologies.

Rather, a range of automation tools are available, which can streamline tasks, predict outcomes, suggest best practices, initiate action, monitor progress, and alert managers when there is an incident that demands attention.

While there are many, enterprise resource planning (ERP) solutions are one of the most basic forms of automation. These modern solutions streamline processes by directly rerouting incidents to the relevant department using event and workflow management. They are also able to automatically issue standard communications such as a daily inventory reports or shop floor schedules, to the right people at designated times.

Other built-in automation tactics can help personnel stay on track by following prescribed company policies. For example, if a customer’s account goes past 90 days, the account can be locked so additional orders aren’t started until payment is received. Such rules-based events can help managers feel confident that company policies are being followed – even when several locations are dispersed over a wide geography.

Built-in automation can also help by pushing relevant contextual information to personnel, such as alerting the Operations Manager if delivery of a critical component is late. Such tools can also notify a person if the inventories drops below certain points, or even go a step further to automatically send an order to a preapproved supplier. Although these may seem like small examples of automation, this eliminates the necessity of a person executing a routine step; it leads to tight controls, speeds response times and frees individuals to focus on more critical roles However, for all manufacturers and metalworkers alike, the time and efforts invested in the implementation of automation solutions needs to be justified by sufficient ROI. Quality control is one of the most important benefits of automation in manufacturing.

In an earlier era, a final quality check could be made late in the process after final assembly. Today, it is more cost-effective to proactively identify defects and make necessary changes early in the work cycle.

In automation, sensors can be set to microns and nanoseconds and monitor specifications and quality conditions more precisely and objectively than a human.

The early detection and correction of equipment performance issues is another benefit of automatic monitoring, and can have mechanical failures attended to at the first sign of trouble. This can minimise operational delays by automatically

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scheduling a technician, ordering a replacement part, rerouting scheduled work to a different machine, notifying customers of a potential delay, or adjusting projections for completing orders.

Incorporating automation Once you’ve made the decision to incorporate automation into your factory – where do you start?

One of the first places to deploy automation is on the shop floor.

This can include help in scheduling and routing work orders through the operations process, eliminating idle machines and cutting unnecessary movement of goods through the plant. Automating workflows takes advantage of calculated cycle times, production capacity and demand to get the most efficient combination of jobs on the floor at a given time.

Other shop floor automation steps can include inspections, routing work orders, assigning relevant personnel to jobs, and tracking KPIs for different roles and departments so those regularly falling below or above standards can trigger alerts to managers.

Automatic response to order changes is another basic step that manufacturers should consider. If order changes are frequent, they can cause major complications. Each change affects multiple steps or departments. This chain reaction can be automated so that no step is overlooked or no department fails to get the new specifications. The account history, product order, inventory, quote, and invoicing can be adjusted as well. Controlling this process saves lost income from extra parts or engineering time.

Compliance with strict government regulation can also be monitored by IT solutions. Deadlines, percentage of completion, project tracking, specifications, and reporting requirements can be tracked with IT, and reports can be generated automatically.

Although some processes and critical decisions within metalworking simply cannot be relinquished to the IT system, many more can benefit from automation. For managers, the goal must be to become familiar with the automation tools available and which of those offer significant savings and improvement.

As competition continues to place pressure on manufacturers to cut waste and control costs, automation becomes increasingly important. Now manufacturers should be asking when, rather than why, they should move away from manual solutions and embrace a more agile, reliable and automated work model.

Helen Masters is Vice-President & Managing Director of Infor South Asia – Pacific and ASEAN. www.infor.com

Bosch Australia Manufacturing Solutions Your partner in automation and robotics

APAS assistant collaborative robot

The APAS assistant is a versatile automatic production assistant. As an intelligent and intrinsically safe robot system, the APAS assistant allows direct collaboration with people without expensive additional shielding. This is made possible by the unique sensor skin, which covers the robot arm of the APAS assistant and which reacts, as soon as somebody approaches.

With a breadth of industries and products that extend from the automotive industry, to medical, pharmaceutical, healthcare, food, energy, power tools, household appliances and whitegoods. With a strong history in supplying equipment to the automotive supply chain, Bosch Manufacturing Solutions now delivers into a diverse range of Industries.

Automation

Assembly Line, Assembly Equipment, Material Handling, Axis /Robotics & Jigs & Fixtures

Test & Measurement

Product Test Systems, Communication Interfaces, Data Analysis & Data Acquisition

Process Technology

Dispensing Systems, Riveting, Tightening Systems & Vision Systems

Engineering Services

Feasibility studies, Lean equipment design, Project Management, System Integrators

The standardized production assistants APAS assistant, APAS inspector and APAS flexpress, as a stand-alone solution or in a manufacturing island, are designed for: ad-hoc small series production, semi-automation, pilot production for safeguarding a process, agile engineering with early interim results and quality tests.

To find out more contact John Croft (61) (0) 434 185 329 M (03)9541 5086 T john.croft@au.bosch.com E bosch-manufacturingsolutions.com.au W

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Cutting Tools

Sandvik – Silence means success

Noise from vibration usually indicates some compromising of the machining operation, and can lead to componentquality issues, poor tool-life and even scrapped components and tools. These are dramatic shortcomings in machining.

In some cases, operations may seem impossible to perform, but as such they also provide a potential for being transformed to processes that are efficient and secure. This potential has been the driving force behind the development of vibration-dampened tooling – from initially being a problem solver to today’s position as a recognised productivity booster.

Research into the causes and possible remedies of vibration tendencies was started as early as in the 1960s. With vibrations having been a problem in machining as long as cutting metal has existed, a closer look was warranted into the nature of the problem, originating at the cutting edge – especially when related to tool overhang. It was established that a vibration could be seen as a variable deflection of the cutting tool and that with no or minute deflection there was no vibration that would affect machining to any consequence.

In cutting tools, vibrations are triggered and maintained by dynamic cutting forces.

Even during continuous cuts, forces will have minute, rapid changes that affect the harmony of the cut. The main ways to eliminate vibrations from this source are to increase the static-stiffness of the set-up, to reduce cutting forces acting on the tool, and to increase dynamic stiffness.

Thus, once it was correctly established how chatter in machining comes from vibrations that originate in the dynamic interaction of the cutting process, cuttingtool, holding-tool and machine research could be commenced using devices for passive dynamic vibration-absorption. With a cutting force generated between the tool and workpiece, the magnitude will depend largely on the extent of engagement of the cutting edge.

The force strains the structure elastically and causes displacement of tool and workpiece, thus altering the engagement of tool and work: the undeformed chipthickness. Any disturbance in the flow in the cutting process, such as that caused by irregularity, such as a hard spot, causes a deflection that, however small, alters the undeformed chip-thickness, with variation of the cutting force leading to vibrations.

If left unchecked, the initial vibration can be self-sustaining and build up with the machine to oscillate in its natural mode of vibration.

Silent Tools make it possible to maintain high metal removal rates and close tolerances by addressing the challenges of long overhangs and vibration typically associated with tubing hanger manufacture.

have a mass suspended by springs in a fluid inside the tool’s shank. At the beginning, the tool was in most cases a boring bar but it was later found to be fully applicable in other types of tools that may be susceptible to vibrations. The extra mass was designed to vibrate at a different frequency to that generated in the cutting process, causing a neutralising (dampening) effect. Vibration tendencies in machining cannot, of course, be entirely eradicated, but may be minimised to a safe level with the right dampening facilities in the tool.

When the pioneering TNS-type dampened boring bars were introduced in the 1970s, it was a revolution for internal turning of deep holes. The bars were made available in three diameters, designed for overhangs of up to 10 times the diameter. These bars had exchangeable cutting heads that were radially adjustable and allowed different holder-types and indexable inserts to be used. In accordance with the original idea, the design included a slug of heavy moderating-mass, spring-suspended in a special type of oil. The oil took up the energy from any vibrations generated during machining and turned this into heat, which was absorbed by the oil. The inertness of the slug, and thus the frequency of vibration tackled, could be set with an adjustment screw on the bar. This setting altered the tension of the suspension to achieve optimum dampening. The boring bars also had a built-in system for coolant flow to help evacuate chips.

While rather primitive by today’s standards, the improvement in internal turning with

this design was dramatic: material removal capacity could be doubled. Machining not possible before could be performed and operations that were painstaking bottlenecks were made more efficient. The surface finish at a bar-overhang of eight times the diameter, with the higher cutting data, was reduced to Ra 1.3 microns with the tuned bar as opposed to Ra 8.8 microns with a conventional solid boringbar – a breakthrough in finishing holes.

In time, a short, standard boring-bar – for use up to overhangs of seven times the diameter – was introduced, having the advantage of not needing any setting to tune the bar to optimise dampening. This was a substantial improvement in the development of tuned boring bars, in that the vibration frequencies within the overhang area of the bar could be completely covered by the design of the dampening arrangement. It was an innovation that made the application and use of dampened tools easier and cut down-time in machines.

The next step was to make use of the tool material properties: that of cemented carbide. It was not only to be used as the material for the best cutting edge but also to increase the static stiffness of the tool.

Cemented carbide has an average stiffness 2.5 times that of steel and was employed in the form of sleeves secured round the boring bar. In this way, the overhang of dampened boring bars could be increased to 12 times the diameter. It also meant that there was scope for tools to be used as rotating tools and for using the full potential of the cutting data possible with cemented carbide

Countering vibrations The basic idea to counter vibrations originating from the cutting process was to

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CoroTurn SL is a universal modular system of adaptors with exchangeable cutting heads that has been widely used for demanding internal and external turning, grooving and threading operations.

Cutting Tools

Coroturn SL.

Coromant Capto can be combined with various machine spindle interfaces, including Coromant Capto.

indexable inserts. With this development, dampened tools took on a much wider role as an important problem solver.

Demanding dampening Components within several manufacturing industries have evolved to include deep and sometimes complicated bores that need machining. Aerospace, energy and die-andmould industries are examples of some with very demanding holes or compartments.

But also many manufacturers in general engineering, automotive and machinemaking have scope to apply dampened tools to solve problems. The unique antivibration concept has been available in standard tools as well as lending itself well to engineered tools, designed to suit specific machines, components and operations.

Examples included cylindrical, tapered, bent and elliptical boring-bar sections – the aim being to maximise rigidity to dampen vibrations when deep tool-accessibility is needed.

The expansion of the oil and gas industry means a number of deep-bore components have to be machined efficiently and securely, with no incorrect cuts. Flat-bed lathes have for some time now experienced a rebirth partly as oil-country lathes, being more rigid and better equipped to machine the long bores needed in the oil-exploration parts. A range of dedicated dampened boring-bars were developed early in a diameter range of 80-300 mm, ideal for roughing and finishing when bars capable of 10 times the diameter are needed – with specials that can cope with tool-overhangs of fifteen times the diameter. The first of these were manually tuned, through a radial tuning screw and had exchangeable cutting-heads.

Examples of carbide-reinforced bars that have been applied to cope with the largest diameters weigh almost three tons. These bars provide a solution for many demanding operations and save delivery times of parts needed at short notice in oil fields.

For the masses of slant-bed CNC-lathes, used widely in all walks of manufacturing, a standard range of pre-tuned dampened bars was also an early development,

typically for a diameter range of 16-100mm.

Equipped with small, light cutting units, mounted through a serration-type coupling, set-ups are easy, quick and secure to change.

A short and long version of boring bars was initially available for up to seven and 10 times the diameter, respectively. These tools pioneered an efficient, easy-to-apply solution to many varied internal-turning operations for many different applications in different industries.

This range can be said to be the forerunners to the Silent Tools of today, where cylindrical clamping, Coromant Capto, CoroTurn SL and QC are employed for internal turning, grooving and threading. Quick changing of tools in turning machines have increasingly been seen as an important route to better machining economy and dampened boring bars have been a vital part of today’s options in turning centres where quick change of tools is a priority for green-light machining. Tuned tooling has moved on from being just a problem solver to being a qualified, proven operational optimiser.

advantage w h e n boring bars stick out so far that it is hard for other operations to be carried out with the bar in the turret. Instead of setting-up the large boring bar every time, which takes an average of 40 minutes, the quick-change option takes only five minutes. Automatic tool change has also been installed for some machines, such as when a robot, which also changes components, typically changes a 100mm boring bar capable of machining with an overhang of 14 times the diameter.

Tools with vibration-dampening facilities, available in different size and reach, are also an important part of tooling in multitask and mill-turn machines. Separately today, dampening units have been developed to be incorporated in Serration Locking blades, engineered particularly for the aerospace and energy industry to make deep and complex grooves, often in demanding materials.

Regarding examples of solutions, the application of large dampened boring bars was recently developed with a well-known maker of large mill-turn machines for the internal turning of long titanium-titanium components. The engineered bars have to have a reach of 13 times the diameter – 176mm diameter with an unsupported reach of 2300mm. They also have to have automatic tool change at the front of the bar. Furthermore, to provide easily evacuated chips for operational security, the bar was equipped with an ultra-highpressure coolant supply of 350 bars, with modern nozzle-technology for jet-assisted chipbreaking at the cutting edge to form satisfactory chips for evacuation, ensure the right surface finish, and improve tool-life and process security.

Today’s programme of Silent Tools includes standard tools with diameters up to 250mm. The largest boring bar delivered up to now is with a 450mm diameter intended for an overhang of 10 times the diameter and weighing seven tons. Dampened tools are also on the increase for rotating-tool applications within the boring tool range for machining centres.

This form of state-of-the art vibrationdampening tooling with high-pressure coolant assisted machining has meant a lot more than problem-solving – it took its place as part of the planned solution where it was instrumental in boosting the productivity and material removal rate, along with the process security to eliminate any scrapped parts.

In large machines, for example when ISOstandard Coromant Capto C10 couplings are used, the quick-change facility is an

www.sandvik.coromant.com

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Cutting Tools

When the grade gets tough

Pramet has launched a new milling grade and also expanded its face milling range for stainless steels.

The M6330 grade has been developed specifically to achieve longer cutting edge durability and reliability in a range of difficult-to-machine materials with and without coolant. Particularly suited to adverse cutting conditions, including interrupted cutting, the grade is now available with many of Pramet’s most popular inserts, including the ADMX, HNGX, LNGX, LNMU, OEHT and numerous other ranges.

It promotes greater operational reliability and tool life, with a high resistance to heat-related cracks. This is due to improved abrasion resistance from a new substrate and PVD coating.

The new grade is the latest of many new products recently launched by Pramet for machining stainless steels. Meanwhile, Pramet has also added to its face milling range for stainless steel with new, larger diameter cutters and inserts for greater depths of cut and more powerful machines. These latest tools include the octagonal OEHT 09 inserts, suitable for unstable conditions and machining fragile components in stainless steels and soft steels up to depths of 5mm. The versatile tool can be used for both roughing and finishing operations, providing increased tooling economy and significant savings on machine time.

In a recent product test, machining a piece of steel (3,900mm x 3,200mm) with coolant, the OEHT performed the roughing and finishing operation in 52 minutes. A competitor tool performed the same task in the same conditions in 252 minutes with roughing and finishing operations done separately.

A new range of round inserts, REHT 24, for face and copy milling and the XEHT 09 wiper inserts add to the options available. All can be clamped into the same milling cutter, further increasing versatility and cost efficiency. A wide assortment of new milling cutters, ranging from 80mm to 315mm diameter, is also available. Internal coolant delivery is supported by each cutter, including for large diameters. www.dormerpramet.com

Diamonds are a machinist’s best friend

Amid increasing application of composite, TaeguTec’s new range of PCD milling inserts, diamond-coated solid carbide end mills and drills are designed for effective machining of these advanced materials.

In recent years, the demand for strong, lightweight materials from industries ranging from aerospace, motorsport to power generation, has led to the development and implementation of composite materials. Composites, such as CFRP (carbon fibre reinforced plastic) are 70% lighter than steel and 40% less than aluminium alloy. For aerospace, in particular, CFRP is a very popular material because of its reduced weight, which equates to higher fuel efficiency. In various industrial fields such as automotive, wind power energy and recreation industries, the advantages of using composite materials are more effective due to the material’s lighter weight and superior stability over conventional counterparts.

TaeguTec’s new tooling solutions satisfy the unique cutting conditions of difficult materials as they have been designed to combine the specific grade, required geometry and high technology diamond coating for processing composite materials. Polycrystalline diamond (PCD) inserts allow for faster speeds and feeds compared to other conventional cutting tool materials. TaeguTec specifically designed its PCD inserts to prevent surface delamination of composite materials.

To offer a wider range of options while machining CFRP, TaeguTec’s diamond coated solid carbide end mills come in four different types.

Ideal for splitter routers, the RRFE type eliminates delamination, offers low cutting force and less vibration and is a high productivity tool for roughing applications. Another diamond-coated solid

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carbide end mill for machining CFRP is the RCFE type, which like the RRFE, eliminates delamination, offers low cutting force with less vibration, and is a high-productivity tool for roughing applications – the difference being that it is used on multi flute routers.

For finishing applications, TaeguTec recommends the diamond-coated solid carbide end mill RCOM which eliminates delamination and comes in a left and right-handed helix type. The fourth offering by TaeguTec to machine CFRP, which is also for finishing applications and eliminates delamination and splintering, is the low-helix RDCF type.

As for diamond-coated solid carbide drills, TaeguTec’s CFRP drills are a perfect choice when looking for a tool that eliminates delamination during through hole machining. To ensure the tools last longer while increasing productivity, TaeguTec has made available two new grades for the CFRP line.

The TD830, with its ultra-fine diamond grit size PCD grade, has excellent wear resistance, edge strength and quality and has exceptional abrasion resistance and good thermal stability. The other recommended grade for the CFRP line is the TTD610. With its advanced nano diamond coating, this outstanding grade provides longer tool life and machining stability, has excellent abrasive wear resistance (hardness is over Hv 8,000) and has one of the highest thermal conductivity, impact resistance and processing stability in the entire line. www.taegutec.com

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Cutting Tools

Mathematical models effectively calculate tool life

Accurate prediction of tool life enables a manufacturer to precisely plan metalworking processes according to tool wear, and thereby control costs while avoiding downtimes due to unexpected tool behaviour or unacceptable workpiece quality. By Patrick de Vos, Corporate Technical Education Manager, Seco Tools.

In a metal cutting operation, a tool deforms workpiece material and causes it to shear away in the form of chips. The deformation process requires a significant amount of force, and the tool endures a variety of mechanical, thermal, chemical and tribological loads. Over a period of time, these loads eventually cause the tool to wear to the point that it must be replaced.

Accordingly, for more than a century, scientists and engineers have created and tested mathematical models that factor in the forces upon a tool to provide estimates of expected tool life. Many of these models focus on a specific tool’s performance in a certain material and operation, and simple formulas and repetitive testing produce valid tool wear projections. However, generalised models that can be applied across a wide range of workpiece materials and tools are more useful in industrial applications. Because these models take into account a variety of tool wear factors, their mathematical complexity increases in accordance with the number of factors considered – the more factors, the more complex the calculation.

While simple tool life equations can be solved via handwritten mathematics and manual calculation, today’s computerexecuted analysis is necessary to solve equations of complex models in an amount of time that is practical within a production environment. Digital calculations are very reliable, but manufacturers should maintain a critical attitude towards the results, especially when machining advanced workpiece materials and employing extreme machining parameters. Overall, progress in tool life model development has brought academic theory and practical application into close alignment.

The Archard model Modelling of wear processes is not limited to metal cutting applications. In the 1950s, British engineer John F Archard developed an empirical model for the rate of abrasive wear between sliding surfaces based on deformation of the asperity, or roughness, of the surfaces. His equation is:

Here, Q is the wear rate, K is a constant wear coefficient, W is the total normal load, L is the sliding distance of the surfaces, and H is the hardness of the softer of the two surfaces. The model basically states that the volume of material removed due to abrasive wear is proportional to friction forces.

However, the Archard model does not describe tool wear phenomena, but rather predicts the progression rate of wear over time. The model includes the influences of the speed with which the two surfaces interfere with each other, mechanical load, surface strength, material properties and wear coefficient.

Nonetheless, it should be noted that the Archard model was not developed for application at the high speeds common in metalworking, and it does not include the effect of temperature on the wear processes. Both surface strength and wear coefficient will change in response to the 900 deg. Celsius temperatures generated in metal cutting. As result, the Archard model alone does not sufficiently describe tool life in metal cutting.

The Taylor model In the early 1900s American engineer FW Taylor developed a tool life model that included factors relevant to metal cutting.

Taylor observed that increasing depth of cut had minimal effect on tool life. Increasing feed rate had somewhat more effect, while higher cutting speeds influenced tool life the most. This prompted Taylor to develop a model focused on the effect of varying cutting speeds. The equation for Taylor’s basic model is vC * Tm = CT, where vC is cutting speed, T is tool life, and m and CT are constants with CT representing the cutting speed that would result in a tool life of one minute.

Taylor also observed that tool wear typically accelerates at the beginning of an operation, settles into a steady but slower rise in a second phase, and finally enters a third and final phase of rapid wear until the end of tool life. He designed his model to represent the length of time between phases two and three.

As a result, Taylor’s model does not apply at lower cutting speeds in which workpiece material adheres to and builds up on the cutting edge, affecting the quality of the

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cut and damaging the tool. Also outside the model’s scope are cutting speeds high enough to promote chemical wear. The low- and high-speed wear modes share the characteristics of unpredictability – wear resulting from adhesive or chemical mechanisms can occur either quickly or slowly. The Taylor model is based on the second phase of tool life, namely steady and predictable abrasive wear.

The original Taylor model concentrates on the effects of cutting speed and is valid if depth of cut and feed do not change. After depth of cut and feed are established, speed is manipulated to modify tool life.

Further experiments led to development of an extended Taylor tool life model equation that included more variables and consequently was more complex:

Here, T= tool life in minutes, vc is cutting speed, h is chip thickness and b is width of the chip. The equation also includes a variable that accounts for the rake angle of the tool, as well as constants for various workpiece materials. Despite the additional factors, this model is most accurate when changing one cutting condition at a time.

Altering several conditions simultaneously can produce inconsistent results.

Also, the original Taylor model was unable to fully account for the geometric relationship of the cutting tool to the workpiece. A cutting edge can be engaged in a workpiece in an orthogonal orientation (perpendicular to the direction of feed), or obliquely (at a rake angle relative to the feed direction). And, a cutting edge is considered “free” if its corners are not involved in cutting and “non-free” when the tool’s corner is engaged in the workpiece.

Free orthogonal or free oblique cuts are rarely present in modern metal cutting, so their relevance is limited. Taylor’s extended equation added a variable for cutting edge rake angle, but no allowance was made for corner engagement of the tool.

The Taylor model has shortcomings when viewed in hindsight from today’s level of metal cutting technology and complexity.

However, over its long history the Taylor

Cutting Tools model has been an excellent basis for tool life predictions and under certain conditions still provides valid tool life data.

Role of chip thickness As engineers developed and studied tool life models, it became clear that the generated chip thickness is closely related to tool life.

Chip thickness is a function of depth of cut and feed measured perpendicular to the cutting edge and in the plane perpendicular to the direction of cutting. If the cutting edge angle is 90 degrees (0 degrees lead angle in the US), depth of cut and chip width are the same, and feed and chip thickness are as well.

The extent that the tool’s corner is engaged in the workpiece adds another variable to determination of chip thickness. A way to account for the involvement of a tool’s nose radius was developed by Swedish engineer Ragnar Woxén in the early 1960s.

He provided a formula for equivalent chip thickness in turning operations that calculates theoretical chip thickness along the tool nose. The result essentially straightens out the nose radius and enables the chip area to be described with a rectangle. Use of that description enables a model to reflect the engagement of the tool’s rounded nose.

The Colding model A tool life model developed by Swedish professor Bertil Colding in the late 1950s describes the relationship between tool life, cutting speed and the equivalent chip thickness as well as incorporates additional factors in the cutting process. These factors include tool material and geometry, temperature and workpiece machinability.

This model and the complex equation related to it enables accurate evaluation of the effect of combined changes in multiple cutting conditions.

Colding recognised that changing the equivalent chip thickness (feed rate) changes the relationship between cutting speed and tool life. If equivalent chip thickness increases, cutting speed must be lowered to maintain the same tool life.

The more that chip thickness increases, the greater the impact of changing cutting speeds.

On the other hand, if the equivalent chip thickness decreases, tool life increases and the effect of higher cutter speeds decreases as well. Many combinations of feed, depth of cut, lead angle and nose radius can produce the same equivalent chip thickness value. And if a constant equivalent chip thickness is maintained at constant cutting speed, tool life will remain constant as well, despite variations in depth of cut, feed and lead angle.

The graph illustrates the relationship of changing equivalent chip thickness

(represented by he) to tool life (T) and cutting speed (vc)when machining within the steady abrasive wear conditions of the Taylor model. That straight-line relationship is also shown on the graph on the right.

However, because the Colding model takes into account other wear factors, its predictions are indicated by the additional curve.

The estimates from the curve are of minimal importance when machining routine materials such as steels that produce steady abrasive wear. However, the model’s projections outside the Taylor range become crucial when working with materials such as superalloys and titanium that have a tendency to strain harden. That is because at low equivalent chip thicknesses, the tool cuts through strain-hardened material, raising cutting temperatures and requiring lower cutting speeds to reduce temperature and maintain tool life.

However, the curve indicates that – through a portion of the cutting range – a combination of greater chip thickness and higher cutting speed, or more productive cutting conditions, will result in longer tool life. When the concept of increasing two cutting parameters and increasing metal removal rate at the same time was introduced in the 1960s and 1970s, it was a breakthrough idea and contrary to thencurrent experience and intuition.

The development of models that include multiple factors in the metal cutting process, such as the Colding model, in combination with concepts of the Taylor and Archard models, has served to bring theory and reality in line with each other.

Nonetheless, even the extended Taylor model can require extensive time to calculate by hand, and manual calculation of factors in the Colding equation is impractical in a production environment.

To take full advantage of these advanced models’ predictive abilities, manufacturers should utilise computerised calculation programs. These programs can resolve complex equations in seconds or less and provide useful machining guidance.

However, the electronic calculation aids do not remove a machinist’s responsibility to think critically and compare the results with common sense and experience gained in practical work on the shop floor.

In the end, tool life modelling is not a purely academic pursuit; it exists to enable manufacturers to increase productivity and control costs. The key considerations in manufacturing are how long it will take and how expensive it will be to produce a certain number of acceptable workpieces.

It is important to know how long a tool can cut accurately and productively before replacement is necessary. Process reliability and controlling the cost of tools and downtime depend on accurate predictions of tool life. The models also enable processes to be altered to maximise speed, quality or reliability. The further development of cutting tool life models will continue to enable manufacturers to fine-tune their processes and meet their production goals. www.secotools.com

Practical application of increasingly complex tool life models requires computer-executed analysis of the multiple factors they employ.

Simple models dedicated to a certain tool, workpiece material and cutting conditions can be calculated manually in a short time.

The basic Taylor model can provide results relatively quickly when calculated manually, for instance.

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one-on-one

Warren McGregor is the CEO of PrefabAUS. He spoke to William Poole.

AMT: Tell us about PrefabAUS, how it was established, and what its objectives are.

Warren McGregor: PrefabAUS is Australia’s peak body for offsite construction. I understand it came about as a result of a Future Proofing Schools Round Table Session in June 2012 when 54 delegates from manufacturing, architecture, government infrastructure, and university research teams explored the future of prefabrication for the education sector. The round table was part of an Australian Research Council Linkage Grant. One core resolution that emerged from the Round Table Session was the need for a peak body for Australia’s prefabricated building industry to support collaboration, innovation and quality information sharing.

PrefabAUS came into being in 2013.

Enshrined in the PrefabAUS constitution is the primary objective to represent, showcase and advance Australia’s prefabricated building industry through collaboration, innovation and education.

As part of this, PrefabAUS seeks to explore and address barriers to the uptake of building prefabrication, encourage research, increase Government and wider community awareness and understanding of offsite construction, and facilitate industry networking.

AMT: What is your membership made up of?

WM: In just our third year, membership is now well over 200 and continues to grow solidly. PrefabAUS members include manufacturers of prefabricated buildings and modules, flat packs, bathroom pods and sub-assemblies, as well as component suppliers, architects, engineers and other technical consultants, project managers, builders, clients, allied industry associations, government and academic researchers. That breadth of membership reflects the multi-disciplinary interest in prefabrication.

It is also vital to achieving meaningful take-up of offsite construction, since all the elements of the project team need to be on-board with the decision to adopt prefabrication as well as in its execution so that the potential benefits on offer can be realised on the project.

Offsite construction can range from traditional materials and trades with the final destination being different to the work site right through to highly sophisticated manufacturing lines. Increasingly we are seeing a wider range of prefabricated components and subassemblies being offered. These include wiring systems, services shafts and automated manufacturing of precision building panels, which can be readily assembled on site into the complete building.

AMT: What kind of activities does PrefabAUS engage in on behalf of its members?

WM: Providing forums for our members to connect, such as networking events around Australia, often with a series of quick-fire presentations from members and others on different topics. Last year PrefabAUS hosted a national speaking tour for Amy Marks, a prefabrication expert from the US. We have also been successful in increasing government awareness and interest in prefabrication and offsite construction, for example in the lead-up discussions to the Victorian Government’s Construction Technologies Sector Strategy, released earlier this year.

PrefabAUS also seeks to foster research and education relevant to the industry. At present PrefabAUS is an industry partner to two Australian Research Council programs. One is the Innovative Manufacturing Cooperative Research Council (IMCRC), for which AMTIL is also an industry partner organisation. The other is the Centre for Advanced Manufacturing of Prefabricated Housing (CAMP.H) being co-ordinated by the University of Melbourne.

AMT Aug/Sep 2016

Our feature event each year is the PrefabAUS annual conference, which is held over three days including a site visit day. We’re very pleased that this conference has become Australasia’s premier conference for the prefabrication and offsite construction industry.

This year our conference will be held in Sydney from 10-12 October and will feature international and local speakers, site visits and workshops and discussion panels. Our Conference theme this year is “Delivering Next Generation Buildings”. We are fortunate to have secured Ryan Smith from the University of Utah as our international keynote speaker.

AMT: Prefabricated construction seems to be enjoying real growth at the moment. What factors are driving that trend?

WM: There is a mixture of factors at play that together are creating real momentum. Reducing the construction time on site can be a major factor, and is particularly relevant for remote sites or those with difficult access or sensitive activities nearby such as a hospital. Enabling technologies such as BIM (building informational modelling or management), digital collaboration platforms to handle all the detailed digital project drawings, design for manufacturing and assembly (DfMA) and Lean construction have been important facilitators by streamlining processes and providing greater assurance that elements of a project constructed at different locations come together on site as intended.

Restrictions around design for offsite construction are being rapidly broken down, with very impressive design outcomes now being achieved in residential, educational and healthcare applications.

The growing installed base of projects has been important in building awareness and understanding of what offsite construction can offer and expanding the number of project teams becoming experienced in undertaking these projects. Large builders like Lend Lease and Frasers Property (previously Australand) are adopting offsite construction. And Mirvac has been the builder partner for the CSR Velocity closed panel system.

On the government side, the UK government has committed £22m to seed fund a manufacturing hub to produce 10,000 prefabricated homes, while Singapore is promoting prefabrication and bathroom pods as part of its national construction productivity strategy, including mandating bathroom pods in apartment projects.

Heightened awareness of the importance of sustainability through reduced waste overall and especially at site has been a motivator for many of our members, especially from the architectural fraternity.

More broadly, commonly cited advantages of prefabrication include: shorter program times; increased construction precision; reduced defects/rectification works; reduced site disruption; factory not affected by adverse weather; reduced materials wastage; and improved worker safety.

AMT: With Australian manufacturing undergoing a period of transition, what sort of opportunities does prefab offer for manufacturing companies seeking to diversify?

WM: We have seen instances of manufacturing skills being successfully transitioned into construction where firms are adopting manufacturing processes and thinking for volume production of building modules and bathroom pods – fully-fitted bathrooms manufactured in a factory and delivered to site as a complete unit ready for rapid installation and connection to services. For example, a student accommodation project can require 600 bathrooms pods. In Europe it is now commonplace for all the major hotel chains to have their bathrooms factory-built for quality, adherence to corporate brand standards and faster project completion on site.

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With the demise of Australia’s automotive manufacturing industry, I am aware of two well established Australian auto component manufacturers who have specifically identified building products as an area of opportunity (and there may well be more). One has already utilised its extensive materials knowledge and manufacturing skills to develop some new products for the construction sector to demonstrate its capabilities.

AMT: What would your advice be to an Australian manufacturing company hoping to seize those opportunities?

WM: Like any new endeavour, the most important thing to my mind is to access practical expertise in the target field (in this case construction) to become familiar with the issues, practices, help identify the opportunities, and then to work through the (usually) not insignificant obstacles to the introduction of new products and processes. Collaboration is a PrefabAUS catchcry for players within our industry and I think it applies at least as much to those looking to engage with the industry from outside.

I would also suggest interested firms explore the Victorian Government’s Construction Technologies Sector Strategy and the companion co-funding packages available as part of the Victorian government’s Future Industries Fund as they apply to the construction sector. While Victorian firms must be involved, these initiatives do not preclude the involvement of non-Victorian businesses.

AMT: What’s your professional background, and how did you come to your role with the PrefabAUS?

AMT: What might an ordinary working day entail?

WM: Being a small, not-for-profit organisation, my role encompasses the behind-the-scenes operation of a membership organisation (such as new members, accounting and communications) as well as the more interesting member engagement aspects. Fielding enquiries from prospective and existing members is another part of my role and is a valuable way to hear about developments and new players in the industry. Another element involves liaising with the non-executive board directors, especially around the time of our board meetings, as well as my Kiwi counterpart at PrefabNZ and the Modular Building Institute in the USA with whom we formed a strategic alliance this year. And like all of us, there seems to be an ever-increasing number of emails to attend to. I am also a contributor to the Sourceable.net digital publishing platform for construction.

Reflecting the growing awareness and interest in prefabrication and offsite construction, I take up invitations to present at conferences arranged by other organisations as they provide excellent opportunities to increase awareness and interest outside of our immediate industry and to promote PrefabAUS. Right now I’m in full swing with our conference team organising our third annual conference which will be in October in Sydney, as well as drafting the PrefabAUS financial statements for 2015-16. www.prefabaus.org.au

WM: Property has been my focus for the past 10 years or so, in a variety of forms including development projects, advisory roles, property funds management, and as research director with a major national valuation and advisory firm. Prior to that I worked in investment banking/treasury and with KPMG’s management consulting businesses in Australia and Indonesia. I was fortunate to have 10 very interesting years living and working in SouthEast Asia, mainly Indonesia. During that time I was also a partner in an international executive search firm, at time when demand for country head and regional executives was very strong as the South-east Asia regional economies experienced exciting growth and new industries sprouted up.

My interest in prefabrication dates back to 2010 when I first considered modular options for an apartment development, and was reignited in 2014 when I undertook a review of the many advances being made in offsite construction. This introduced me to the leading players in the industry and led to me attending the inaugural PrefabAUS Conference in 2014.

My role with PrefabAUS stems from that exposure to the industry and the PrefabAUS directors – my ‘reward’ for my demonstrated interest in the prefabrication and offsite construction area. To round out my answer, I should mention that review was on behalf of Thinc Projects – now Turner & Townsend Thinc – where I was part of the project advisory team. Like me, the firm believes it is important that clients are aware of the state of play with offsite construction in order to make the most informed decisions about their projects.

This advisory role is ongoing as my position with PrefabAUS is a part-time one. This pair of roles provides me with a nice mix of exposure to the offsite construction industry and the PrefabAUS organisation as well as very practical, project-specific involvement.

I have Economics (Honours), Accounting, and Applied Finance qualifications.

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Construction & Infrastructure

University galvanized to face the future

As part of the Arts West Redevelopment project, the University of Melbourne has renovated its Arts faculty building on Macleod Road in the main Parkville campus. A stunning visual feature of the new building is the louvered façade on three sides. To protect the steel from corrosion and add visual appeal, the project team opted to galvanize the louvres.

The steel sections of each louvre have been shaped so that they form part of a series of 3D images that can be viewed from different angles as people walk around the building.

Industrial Galvanizers (IG), a member of the Galvanizers Association of Australia (GAA), was engaged to take the more than 480 individual steel sections and coat them in zinc prior to delivery to the construction site.

Some of the stylised figures embedded in the panels of the redeveloped University of Melbourne Arts faculty building.

The IG factory in suburban Campbellfield, north of the Melbourne CBD, returned each batch of the completed galvanization project to the steel fabricators, Fabmetal Specialists, with an average turnaround of 2-3 working days in plant. According to David Reilly, Sales Manager at IG, galvanization provides a long-lasting, tough, durable coating that provides complete corrosion protection both inside and out in addition to enhancing the appearance.

Galvanization has been used for nearly two centuries and is a very effective method of protecting steel structures. Items to be coated are dipped into a bath containing a solution of molten zinc. The process provides three types of protection in the one coating: barrier protection, cathodic protection, and a zinc patina providing longlasting protection.

A GAA datasheet explains that a galvanized coating completely encapsulates all surfaces of a steel structure and acts as a barrier to the surrounding environment. The coating has a natural electrical potential which cathodically protects the steel from coating imperfections caused by accidental abrasion, cutting, drilling, or bending. The last critical component is the zinc patina itself, which is relatively insoluble and passive thus greatly reducing the corrosion rate.

“Galvanizing has a similar initial cost as any other surface protective coating, in many cases it is lower,” says Peter Golding, CEO of GAA. “It is a myth that the process increases the cost of a project.”

The stability of a galvanized surface means that the time between maintenance inspections is much longer which greatly reduces the life-cycle costs of the structure.

Galvanizing advantages In today’s environmentally conscious world, galvanization is a very sustainable process.

“Both the metal substrate and the zinc coating can be repeatedly recycled forever,” Golding adds.

Galvanizing is carried out to Australian and New Zealand Standard AS/NZS 4680,

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ensuring minimum coating thicknesses are applied and making coating life and performance reliable and predictable. The hot dip baths at IG can accommodate pieces up to 12m in length, 1.8m wide and 2.7m deep.

“We can work with larger structures if they have been designed in sections that can be bolted together after galvanizing,” says Reilly. “Alternatively, if an object exceeds the dimensions of our zinc bath, it is possible to progressively or ‘double’ dip larger single pieces.”

Safety is always of utmost importance when IG staff are working in proximity to the hot zinc solution.

“We spend the majority of the time checking that the item delivered for galvanizing meets the design and fabrication specifications,” says Reilly. “We have to ensure that there are vents and holes in the appropriate places to make sure that excess hot liquids drain fully from the structure.”

On-site challenges While the iconic façade on the Arts faculty building was being installed, Reilly had to contend with the constraints of restricted site access for the trucks delivering the oversize galvanized sections. The University of Melbourne is located in a leafy area

north of Melbourne’s CBD, but most of the buildings are nestled close together with narrow laneways between them making it difficult to manoeuvre large vehicles. “All the façade sections were numbered as they had to be installed in a very precise sequence,” Reilly added. “It was a challenge to get the semi-trailers in and unload the steel because they had to be taken off in such a way that they could be lifted up the building without double-handling.”

The panels were packed with spacers and carpet so that the coating would not be damaged as the client wanted to maintain an “architectural” look and finish.

The sequencing was a critical aspect of the project to ensure the shaped sections correctly formed the embedded image.

Built to last The durability of the galvanizing process meant stacks of panels could be stored on site with exposure to the elements and a construction environment. The coating has a unique metallurgical structure that gives outstanding resistance to mechanical damage in transport, erection and service.

Different environments are classified on a scale of C1 to C5, with C1 being a very benign location to C5 being extremely severe in terms of temperature extremes,

Construction & Infrastructure A long view of one of the sides of the redeveloped Arts building.

humidity and corrosive components such as salt or chemicals. Average suburban areas—such as where the University of Melbourne is located—are mostly classified as C2.

The standard AS/NZS 4680 calls for minimum zinc deposition thickness of 85 microns for the items galvanised in this project. The estimated life-span and performance of a galvanized structure is calculated using the thickness of the zinc coating and the severity of the operating environment. Combining the results— Parkville being C2 and the zinc thickness meeting the requirements of the standard— gives the new façade an expected life-span of more than 99 years.

A galvanized structure lasts longer and requires less frequent inspections, so in the vast majority of cases is the cheapest process in the longer term. Every part of a galvanized article is protected, even recesses, sharp corners and inaccessible areas. No coating applied to a structure or fabrication after completion can provide the same protection. Maintenance requirements add to the life-cycle costs of any facility or structure, especially when plant shutdown or disruption to production is involved.

The majority of the steel that IG processes comes in fairly regular shapes, but the company also occasionally galvanizes sculptures and art installations.

“The unusual shapes break up the monotony of I-beams and girders that come through,” says Reilly. “Some of the stranger pieces get a raised eyebrow from a few of our staff though.”

According to Reilly the choice of coating depends on what the client is after. Asset owners need to consider initial cost, life cycle costs, aesthetics and the environment when choosing a coating system. It is important to also remember that galvanization is not appropriate for every situation.

“However, if it is made of steel we will do our best to galvanize it,” he adds. “While the metal was too thin to survive the process, a customer once even asked us to hot dip some standard coil bedsprings as part of an art installation.”

The cramped construction site drop zone that had to be negotiated by the semi-trailers delivering the galvanized sections.

Sections of the galvanized façade being lifted into place by crane.

The Galvanizers Association of Australia represents many of the leading galvanizing companies throughout Australia, New Zealand and Asia. Established in 1963, the Association works with companies like IG to ensure the highest standards in design and quality of galvanized products.

GAA’s objectives are to provide technical consulting services on a not for profit basis and to assist consumers achieve the economic benefits inherent in the correct design and application of the galvanization process. www.unimelb.edu.au www.gaa.com.au

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Construction & Infrastructure

Adelaide – “The Detroit of Australia”

Architects have praised the redevelopment of a former car manufacturing plant into an innovation hub for high-value industries, but it is the resident manufacturers who have the most adulation for the concept.

The Tonsley Innovation Hub in southern suburbs of Adelaide, South Australia recently dominated the Australian Institute of Architects’ 2016 South Australian Architecture Awards, collecting seven awards across education, heritage, commercial, sustainability and urban design. It is another milestone for Tonsley, which has undergone a major revamp in recent years.

The last Mitsubishi 380 rolled off the production line at Tonsley in 2008. Now the Main Assembly Building is home to innovative Advanced Manufacturers including medical technologies company Micro-X and is bookended by the Flinders University at Tonsley building and community college TAFE SA. Other major tenants in the hub include Siemens, ZEN Energy and the South Australian Drill Core Library. The innovation hub has been specifically designed to enable businesses, industries and companies to collaborate with researchers and tertiary students.

Hydroflex relocated from San Diego in the US to Tonsley in April.

Chief Technology Officer and inventor Richard Connors said he had searched the world for the best place to manufacture his hydrogenbased fuel reduction systems, and that “Tonsley kept bubbling up to the top”.

“Tonsley is a wonderland for someone like myself because it has all the ingredients in the petri dish that I need to be successful and I’ve not found that anywhere else,” he said. “Adelaide is the Detroit of Australia. You’ve got the talent pool of mechanics, the heavy manufacturing, the plastics, the computers, all these talents are within a rock’s throw of our building.”

The Tonsley projects awarded at the 2 July event were Thomson Rossi’s South Australia’s Drill Core Reference Library (Colorbond Award for Steel Architecture, Architecture Award for Commercial Architecture), the Main Assembly Building by Woods Bagot and Tridente (Awards for Heritage and Sustainable Architecture),

HASSELL’s Flinders University Building (The Dr John Mayfield Award for Educational Architecture) and Oxigen (Award for Sustainable Architecture, Commendation for Urban Design).

The judges said recognising Renewal SA’s transformation of the former Mitsubishi plant cemented the site as “a unique place with a strong identity for South Australia to celebrate its manufacturing history”.

Renewal SA General Manager for Project Delivery Mark Devine said Tonsley’s physical development supported the broad economic vision for the site. He said the South Australian Government was transforming Tonsley into a collaborative and high-value industry, education and residential precinct.

“Quality architecture and design have always been primary considerations in the plans for Tonsley, so it’s wonderful to have all the work that went into these projects acknowledged by the peak body for the profession,” Devine said. www.tonsley.com.au

Transforming advanced manufacturing piece by piece

Speedpanel Australia has been awarded $3m to undertake a Cooperative Research Centre (CRC) project in collaboration with the University of Melbourne to research and develop innovative pre-fabricated building systems.

The aim of the collaboration is to unlock the potential growth of Australia’s prefabricated building industry by creating a co-operative knowledge exchange between Speedpanel Australia, Speedpanel International and the University. Lead researcher, Associate Professor Tuan Ngo, from the Department of Infrastructure Engineering said the iBuildCRC project will develop an innovative building system using advanced manufacturing techniques for faster and cheaper construction.

“This new panelised system will be a significant advancement on traditional building products because it will be lightweight, easy to construct, reusable, recyclable and have better load resistance,” he said. “It also promises a much lower carbon footprint.”

Speedpanel has a manufacturing facility in Bayswater, Victoria and also one in Hamilton, New Zealand under a licence agreement.

Managing Director David Visser said that funding from the CRC programme will enable the establishment of a world-class collaborative research platform with the University of Melbourne.

“This will lead to more efficient, sustainable construction in Australia

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and greater export opportunities,” said Visser. “Prefabricated construction is ideal for affordable inner city developments and this technology will help close the gap with reduced construction costs and increased fire protection qualities which are pressing issues for the Government.”

Professor James McCluskey, Deputy Vice-Chancellor (Research) said the University of Melbourne is proud to work closely with industry to lead the delivery of innovation and excellence through the CRC project.

“The project could secure a competitive advantage for Australian industry, leading to local employment growth and increased exports of prefabricated products and services,” he said.

CRC projects aim to improve the competitiveness, productivity and sustainability of Australian industries by fostering high quality research to solve industry-identified problems through industry-led and outcome-focused collaborative research partnerships between industry and research organisations. www.speedpanel.com.au

Hotspots is proudly owned and managed

by AMTIL

We’re all about teamwork •

You need a specific component made, but don’t have the capabilities in house.

•

Your company has landed a major project, but your workshop or your workforce just aren’t big enough to handle the volume required.

•

Your business is diversifying into an area where the expertise available within the company is not sufficient.

HotSpots is a service designed to connect AMTIL members with opportunities to help their businesses grow. That piece of work that you need done might be just the sort of opportunity they’re looking for. And by featuring that opportunity as a HotSpot, you gain access to a wealth of Australian manufacturing capability and expertise.

Our regular AMTIL HotSpots email goes out to over 1,000 people every month, making HotSpots an incredibly powerful way to reach large numbers of key decision-makers from across the manufacturing sector.

Provided your opportunity meets our criteria for listing, inclusion in AMTIL HotSpots is free. If you have something you feel will meet our criteria, please forward it to AMTIL for assessment by emailing info@amtil.com.au with the subject line HOTSPOT. www.amtil.com.au/Membership/Hotspots

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Company Focus

Watkins Steel – Winning through innovation In New York this May, Brisbane-based steel fabrication company Watkins Steel was named as the inaugural recipient of the Tommy Award as part of YPO Innovation Week.

The YPO (Young Presidents Organisation) is a global peer network of chief executives and business leaders. The YPO awards recognise members of pioneering business innovations. YPO announced the winners during its inaugural YPO Innovation Week - a series of more than 50 in-person and virtual events around the world focusing on the latest trends in innovation. Watkins Steel beat applicants from around the world to be recognised for the ability to develop “out-ofthe-box” strategies to overcome common limitations in the building and construction industry. For Watkins Steel, this award was the end result of interviewing clients in the construction industry about their biggest pain points, limitations, and challenges. During the process, the senior management team learned that they were primarily judged on how they reacted to on-site construction problems.

“The building and construction industry is time-critical and unexpected challenges arise,” explains Des Watkins, Director of Watkins Steel. “More often than not, these challenges are the result of human error. After talking to clients we realised that creating and delivering innovative solutions to on-site problems would set us apart.

So we started to think, what if we could eliminate these problems before they even occur? To do this, we had to completely eradicate the human error that resulted in the bulk of on-site challenges.”

Shifting towards innovation Established in 1968 as a family-owned business specialising in metal work, Watkins Steel has grown from humble beginnings to employ over 50 staff across estimating, steel detailing, fabrication and installation. Over the course of Watkins Steel’s history, the company has expanded the range of services on offer, and now specialises in small structural steel, metal works, urban artscapes, architectural structures, and refurbishment projects.

Prior to 2014, Watkins Steel operated as a standard steel fabrication and installation company, employing traditional approaches to site measurement, steel detailing, steel processing and fabrication, and steel erection and installation. However, following the rise in steel import penetration rates and the decline in mining construction activity in 2012-13, Watkins Steel sought to adapt and innovate in order to establish a significant point of difference in an increasingly competitive marketplace.

The starting point for change came by looking at the company’s existing capabilities and resources; chiefly the inimitable skills of staff

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with years of experience, and the Tekla Structures Software package for steel detailing that had been used by the draftsmen since 2009.

As Des says: “After years of seeking outside help from consultants, we realised that we had been ignoring our single biggest resource – our own people.”

After recognising the opportunity to build on the company’s existing resources and capabilities, Watkins Steel sought to digitally link all processes throughout the steel value chain. This represented a shift for the company from labour-based operations to technology-based processes. The first step was researching CNC plasma cutting equipment that could create fabricated steelwork straight from Tekla software models. After working in collaboration with Voortman and investing in the Voortman V808 coping machine for steel fabrication, the benefits of shifting to technology-based processes were clear when the company saved 500-800 man hours per month in steel fabrication in the first few months.

From there, Watkins Steel began investigating 3D scanning technology that could digitally re-create 3D models of any structure or environment scanned. This resulted in the procurement of a 3D laser scanner that digitally re-creates 3D models that can be imported directly into Tekla Structures Software during the steel detailing phase. By cross-referencing shop drawings completed in Tekla Structures Software with 3D point cloud models of the scanned site, Watkins Steel can now ensure that shop drawings carried out in Tekla are 100% accurate before moving to the steel processing and fabrication phase.

081 Most recently, Watkins Steel has also invested in a Total Robotic Station and Field Link software for onsite steel installation. This latest piece of technology completes a four-step process, as information fed to the Robotic Station during mark-out tasks comes directly from Tekla Structures Software, allowing for 0.5mm-1.5mm accuracy of site layouts. Altogether, the benefits of this innovative four-step process are:

Des Watkins accepting the Tommy Award as part of YPO Innovation Week.

• Near 100% accuracy of site measurements using 3D scanning.

• Near 100% accuracy of shop drawings in Tekla Structures Modelling Software.

• Approximately 500-800 man hours per month saved in steel fabrication.

• Near 100% accuracy of on-site layout using the Total Robotic Station.

“Since we implemented the four-step process, we are no longer on site for hours taking potentially inaccurate measurements, fabricating on site when re-work is required, and making costly errors when performing site layout tasks,” says Tony Dickinson, Business Development Manager at Watkins Steel. “Instead, we’ve been able to successfully leverage client insights and existing resources to create an innovative solution that eliminates human error and significantly reduces the number of construction problems we encounter.”

Furthermore, the four-step process developed by Watkins Steel means that consistent and reliable data collected by the initial scan can be shared with architects and structural engineers to increase collaboration between all parties during the design and construction phases. As Ben Yu, Building Information Modeling (BIM) Manager at Watkins Steel, says: “The use of the scan data through our design, production, and site processes means that we have consistent information that adds real value to our clients.”

Changing business models Since Watkins Steel embedded an end-to-end digital workflow into the steel fabrication and installation process, the company’s traditional business model has changed as a consequence of the new value adding services that can be offered to clients. While the business remains a steel fabrication and installation company at its core, the value-added benefits afforded to clients through the application of 3D scanning technology and BIM software has seen Watkins Steel take on an increased share of design and 3D laser scanning services. In addition to steel fabrication and installation services, the company now offers clients 3D laser scanning and drafting as stand-alone services (no steel fabrication or installation is required). Recently, the company was contracted to scan the historic Albert Street Church in Brisbane CBD for a construction company that required detailed measurements of the entire building.

With the laser scanner in tow, this job only took a couple of hours to create 100% accurate 3D ‘point cloud’ models of the intricate structures inside the church.

Another example of how Watkins Steel is optimising technological capabilities to create new business opportunities is via a “tender disruption process”. Traditionally, steel sub-contractors supply commercial contractors with quotes but have no real influence on which contractor is eventually awarded the tender by the end customer. Recognising an opportunity to apply 3D scanning technology and BIM software to “disrupt” this traditional tender process, Watkins Steel has begun supplying building contractors with 3D ‘point cloud’ models of scanned sites that have been imported into Tekla shop drawings to use in their tender submissions.

More recently, Watkins Steel has also been able to supply building contractors with digital 3D animations of construction processes, which enable their clients to visualise the sequential construction process and workplace health and safety considerations before construction commences. In one instance, by utilising 3D scanning technology to create a ‘point cloud’ model of a Brisbane hospital, Watkins Steel was able to digitally recreate a 3D animation of a crane (dimensions specified by contractor) lifting steel onto the hospital’s roof. In doing so, the Watkins Steel team were able to show that the dimensions of the specified crane would clash with the existing environment, due to the fact that the diameter of the crane’s swing would be too wide for the built up area.

By presenting this data to the building contractors before construction even commenced, the contractors were able to justify the modification of their construction methodology to their clients.

Consequently, the contractors won the job by demonstrating a deep understanding of the parameters of the project via the application of 3D scanning technology and BIM. “With our four-step process, we now have the technological capabilities to create strategic partnerships with our clients and help them win projects during the highly competitive tendering process,” says Des. “By helping our clients win jobs, it helps us win more work as a consequence.”

Watkins Steel is now bucking the current trend in the Australian structural steel fabrication industry where technological product advances and production processes appear to be stagnating. The opportunity to attend the YPO Innovation Week in New York and meet with like-minded thought leaders has spurred Des Watkins to keep innovating to further improve Watkins Steel operations.

“Winning this award has motivated the entire team to keep generating new ideas that add significant value to our customers,” says Des. “We are now looking into new technology to create the fifth and sixth steps in our digital workflow.

“For us, innovation is not just a buzzword but a real business capability that we can successfully leverage to improve our customer’s satisfaction and our bottom line.” www.watkinssteel.com.au

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Forming & Fabrication

Technology that’s driving growth and innovation

Amid growing signs of recovery across Australian manufacturing, and renewed investment in technology, Daniel Fisher of Applied Machinery discusses some of the products generating excitement within his company’s showroom and the industry trends that they reflect.

Market conditions in Australia are changing, though at the core of it all, Australian companies are amongst the most innovative and resourceful in the world. At Applied Machinery, we began seeing signs of renewed optimism from our customers towards the back end of 2015, and it’s with this in mind that the following Top 10 will be where our customers are, and will be continuing to invest their capital.

Pro-Plas CNC plasma cutting systems With the Pro-Plas series plasma cutting systems from Applied Machinery, we have managed to put together a quality CNC machine, with Hypertherm plasma source and Fastcam software for under $27,000 plus GST. With an edge finish that has to be seen to be believed for a system at this price point, in-house sheetmetal profiling just became accessible to companies where in the past it was just not financially viable. We saw record sales of these machines prior to Christmas 2015 and orders in early 2016 have been looking good.

Yawei PBH Series CNC press-brakes Yawei CNC press-brakes are going from strength to strength in the Australian market. With a proven track record from over 10 years of sales and well in excess of 150 machines across Australia and New Zealand, including two 1,200-ton, 8,000mm machines, along with 500-ton, 6,100mm and 500-ton, 5,100mm machines, there is a strong, happy customer base for Yawei and it’s not hard to see why. This year, the introduction of the new PBH series machines will represent even better value for money and include all of the premium features that you would expect from Yawei and Applied Machinery, including Lazersafe guarding, Rolleri tooling and Delem DA-66T or DA-52S CNC controllers (Cybelec Modeva CNC controllers are also available on request).

Mitsubishi eX Series CNC laser cutting systems Over the last 18 months, the Applied Machinery and Mitsubishi Laser partnership has gone from strength to strength. Off the back of a successful Mitsubishi Open Day Event in 2015, Applied has supplied six machines to the Australian and New Zealand market and has a happy customer base who understand the benefits that come with investing in Mitsubishi. Class-leading cutting performance, along with exceptional energy efficiency and an easy-to-use controller, make Mitsubishi a natural fit for top-line manufacturers and sheetmetal shops.

Hans GS fibre laser cutting systems Applied Machinery, in conjunction with Hans GS, is now supplying one of Australia’s best-value-for-money fibre laser cutting systems.

No stone has been left unturned when designing this machine to best meet the need of the Australian market. IPG is the world leader in fibre laser technology, and as such, all Hans GS fibre lasers from Applied Machinery are fitted with an IPG fibre source as standard.

The cutting head is by Raytools from Switzerland, another leader in the field. However, it’s really the CNC system that sets the Hans GS series fibre lasers apart from the competition.

All machines come with a Beckoff system, which has a massive set of in-built material cutting conditions, allowing you to get to work with precision fibre laser cutting in next to no time. Looking at some of the samples we have cut, featuring perfect 1mm holes, customers can’t believe they were cut on a machine at this price point. Both a 1kW and a 2kW machine have been sold prior to Christmas 2015 and things are looking good for 2016 and beyond.

Cosen NC automatic bandsaws Whilst Applied Machinery stocks a wide range of Cosen bandsaws here in our Dandenong factory, we have seen a marked increase in enquiries and sales for the range of NC bandsaws including the C-300NC, C-320NC and C-520NC. Customers are seeing the benefits in having automatic NC saws on their shopfloor, which will free up manpower for more productive tasks, rather than manually feeding a bandsaw, or running single cuts instead of more efficient bundle cutting.

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Forming & Fabrication

Yawei HPE series CNC turret punch presses Yawei, through a technology partnership with Japanese powerhouse Nisshinbo, has developed a range of turret punch presses that are exceptionally fast, accurate and low cost to operate. The HPE series of servo-drive, energy-saving punch presses has seen solid sales throughout 2014-15, and in 2016 we are seeing them becoming even more popular as more and more organisations in Australia begin looking for more cost-efficient options to replace their existing machinery as it ages.

forward to sharing more details over the course of the year. Add to this increased sales for our range of Jetmaster and Supermaster energy-saving machines, and we can see a strong future for Chen Hsong in the ever-changing Australian marketplace.

Genox Vision series shredders The Vision series shredders from Genox Recycling Technology and Applied Machinery have well and truly become Australia’s preferred solution for all manner of material and waste reduction tasks.

Hurco CNC machining centres & lathes Applied Machinery is only a few years into its relationship with Hurco, and we couldn’t be happier. Hurco CNC machining centres and lathes are proving a hit with businesses who demand precision machining, while understanding the benefits of the unique Hurco conversational controller. After record sales in 2015 across the country, including a five-axis machine, things are looking good for continued growth in 2016. As a commitment to the brand and our local customers, we have a fiveaxis VMX 42SRTi here in stock in Dandenong ready for immediate sale and delivery.

Chen Hsong Easymaster, Supermaster and Jetmaster plastic injection moulding machines It’s no secret that plastic injection moulding in Australia is becoming less and less prevalent in a contracting market. However we are seeing strong sales in certain sectors of the plastics industry all across the country. Applied has been commissioned to install the largest injection-moulding machine ever in Australia and we look

Typical applications have included plastics, timber, paper, copper, aluminium, textiles, security destruction and foam, though by no means is that all a Vision series shredder can handle.

Genox plastic washing & drying plants Dirty plastics are a big problem for manufacturers in the food and beverage space as heavily contaminated material is often not accepted by recyclers. In the previous 2-3 years, we have seen companies of all sizes start to tackle this problem head-on with a range of plastic washing and drying plants from Applied Machinery and Genox. Recent installations at numerous sites for a massive multi-national company in the beverage industry is proof that these plastics washing plants can stand up to the most stringent of check and balances – not only meeting, but exceeding all expectations.

There is a lot of momentum in this space and we can’t see it slowing in 2016.

Whilst this selection gives a feel for where things may be heading throughout 2016 and beyond, we’d love any feedback from our customers regarding your thoughts on the equipment listed above.

What do you like? What don’t you like, and what you’d like to see more of? www.appliedmachinery.com.au

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Forming & Fabrication

Hare & Forbes helps manufacturer reach great heights

Precision Metal Group is the classic Australian manufacturing success story. Since its establishment nearly 16 years ago, the company has defied a downward trend and grown to become an industry leader.

Precision Metal Group offers a broad range of services including metal fabrication, profile cutting, workshop machining, machinery repairs and maintenance, mechanical and electrical engineering services. It prides itself on the ability to be a one-stop shop, offering 24/7 support for a growing band of loyal customers.

Precision Metal Group’s premises in Wetherill Park, NSW.

Company founder Jason Elias is the driving force behind this innovative operation.

Jason set up the business in 2000 at Yennora in western Sydney after finishing a highly successful apprenticeship as a boilermaker – he was named Apprentice of the Year three years running. After operating the business successfully for eight years as a sole trader Elias decided to form a company after moving to bigger premises at Wetherill Park. After four years, the company boasted 16 full-time employees, including Elias – the archetypal hands-on boss.

“We then managed to land a couple of big contracts and the company grew from 16 employees to 42 in a six-month period,” he adds.

Precision Metal Group now has 51 full-time employees on the books at its 2,000sqm Wetherill Park complex – and the company is already looking at further expansion.

Major clients include BlueScope, OneSteel, Arrium, CSR, James Hardie, BOC and Patrick Stevedores. The main reasons for the company’s rapid growth are simple, according to Elias: innovation and state-ofthe-art equipment.

“Nearly all of our machinery has been sourced from Hare & Forbes (Machinery House),” he says. “We’ve been buying equipment from them since Day One.” Equipment supplied by Hare & Forbes to Precision Metal Group have encompassed bandsaws, rolling machines, milling machines and lathes. The most recent purchases have included: • A Swift-cut CNC plasma cutter with a 3,000mm x 1,500mm table.

• A Metalmaster guillotine, with a capacity of 3,200mm x 12mm.

• A Metalmaster pressbrake, with a capacity of 4,000mm and 220 tons.

• A Doosan CNC lathe with Y-axis milling.

• A Hartford vertical machining centre.

“Their equipment has helped us to not only increase productivity,” Elias says. “It has

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given our staff an opportunity to improve their skills and gain greater knowledge and experience in the workshop. We are constantly updating our technology and capacity.”

Mark Camilleri, Marketing Executive with Hare & Forbes, says his company has always enjoyed a good working relationship with Elias and the team at Precision Metal Group.

“It’s a partnership,” Camilleri says. “It’s all about building relationships – it’s not just about selling a machine. It’s about choosing the right machinery for a client and looking toward the future.”

As part of the service, Hare & Forbes provides extensive training for staff to operate specialised machinery.

“We don’t just sell a machine and say ‘see you later’,” says Camilleri. “We provide behind the scenes support and service.”

Elias says that is what first attracted him to Hare & Forbes: “We have made a major investment in their machinery knowing we will get the kind of support we need.”

The new machinery has meant the business has been able to diversify and service a broad number of industry sectors.

In particular, the decision to purchase the Swift-cut CNC plasma in the past year has been a real coup, according to Elias.

“This machine has been the biggest money-saver.”

This cost-effective profile cutting machine has saved the company thousands of dollars as there is no longer a need to outsource cutting jobs.

“Previously, we outsourced 100% of our profile cutting jobs,” says Elias. “We now outsource only about 10% if we need bigger sizes. And the quality is almost the equal of high-definition machines, which are significantly more expensive.”

Forming & Fabrication

Hare & Forbes Marketing Executive Mark Camilleri and Precision Metal Group founder Jason Elias.

Has the new machinery resulted in any job losses?

“Not at all,” says Elias. “The guys on the floor are now multi-skilled to operate a broad variety of machinery. They can now do multiple jobs. And they are not only producing better quality, they are a lot happier because they have better equipment to work with. The new machinery has kept them excited and motivated.”

Elias has ambitious plans to further expand his portfolio of specialised machinery in the year ahead. His expansion plans include

Among the equipment recently supplied by Hare & Forbes to Precision Metal Group was a Metalmaster guillotine with a capacity of 3,200mm x 12mm.

the addition of another 2,500sqm factory – depending on future work demand. Much of that future growth is expected to come through the supply and repair of cryogenic vessels. These vessels are sold to major gas suppliers including BOC and Coregas.

“As far as I am aware we are the only facility left in Australia manufacturing, refurbishing and certifying sub-temperature cryogenic equipment,” says Elias. “This is a highly specialised job and previously nearly all of these vessels were imported.”

Precision Metal Group has been able to offer a better quality product at a more competitive price. Moreover, the bulk of these vessels are manufactured using equipment supplied by Hare & Forbes.

“There is always close consultation between our two companies before we choose any new equipment,” says Jason.

“This is probably why both companies have worked so well together over the years – we’re both on the same path.” www.precisionmetalgroup.com www.machineryhouse.com.au

AMT Aug/Sep 2016

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Forming & Fabrication

Behind the facade of counterfeit consumables What do manufacturers need to know when purchasing plasma torch consumables? By Lester Lee, Mary Allen and Sanjay Kumar.

Ask any original equipment manufacturer (OEM) to share their critical business challenges, and they are likely to raise common issues such as quality control, efficiency levels, budgeting, and inventory management. However, with the advent of technology and globalisation, modern OEMs are now faced with yet another area of concern – the proliferation of counterfeit products.

Counterfeiting has evolved over the years, from being largely localised operations into highly profitable global businesses with mass production facilities, international sales, and complex global distribution networks. According to the International Chamber of Commerce (ICC), the value of global counterfeit goods is expected to exceed US$1.7 trillion.

In the past, counterfeiting used to be more prevalent in consumer goods, but counterfeiters have started to target highly sophisticated and engineered products in recent years, and B2B companies are similarly at risk to product piracy. One such example is in the consumables of plasma cutting systems, such as nozzles, electrodes, and swirl rings.

Counterfeiting in plasma cutting consumables Plasma cutting makes use of an electrically conductive gas, such as nitrogen and oxygen, to cut through conductive materials. A typical plasma cutting system consists of the power supply, an arc starting circuit, and a torch. The torch serves as the holder for the consumable nozzle and electrode, and provides cooling (either gas or liquid coolant) to the consumables, while the nozzle and electrode constrict and maintain the plasma arc. Today’s high-precision plasma cutting systems are capable of producing cut parts of higher

A counterfeit consumable manufacturing facility that was shut down in 2014. The factory is unkempt and appears to be poorly maintained, with a noticeable lack of quality and safety testing equipment.

AMT Aug/Sep 2016

quality at faster speeds, with little or no post-production processes.

Yet, a plasma system is only as good as the consumable parts in the torch. Even with the latest advances in technology and torch design, a high-performance plasma system can become mediocre when inferior consumables are used.

So what constitutes a counterfeit? Counterfeits are products made in exact imitation of something valuable or important, with the intention to deceive or defraud a customer into thinking that the product is an original. There are various reasons as to why an end user would unknowingly purchase counterfeit consumables. More often than not, the relatively lower price is what attracts them, as counterfeit consumables are known to sell for minimally 30% less than the original. As counterfeits are usually close copies of the genuine product in appearance, at times, end users may actually be unaware of their counterfeit purchase, and are misled to think that they are getting a good bargain instead.

Why go original?

Unlike the OEMs, most customers are probably unaware of the dangers and consequences of using counterfeit consumables.

It may also be a challenge for them to identify the counterfeits.

Poor equipment performance that is directly due to the counterfeit consumable is mistakenly attributed to the product’s brand instead.

In turn, this creates the false impression that the original equipment is unreliable, which negatively impacts the company’s branding, credibility, and reputation.

Here, we highlight five reasons why the use of counterfeit consumables can be more counterproductive than beneficial.

In comparison, Hypertherm’s factory is well organised with clearly segmented work areas, and well-maintained equipment.

Forming & Fabrication

#1 Quality

#4 After-sales support

Non-genuine consumables are manufactured only with quick profit in mind. Often, they are manufactured with techniques that focus primarily on rapid mass production instead of quality. Counterfeit suppliers lack the stringent manufacturing processes found in original products, and they simply replicate the parts used in the most popular manufacturing equipment with no proper quality control and checks. They also tend to use the lowest-cost materials that are more prone to wear and tear.

Most OEMs provide post-sales technical support for their products.

Unfortunately, troubleshooting may not be possible if unknown parts were used in the lead up to a damaged torch or plasma system.

Some manufacturers do not provide warranty for torches if the damage was caused by the use of counterfeit consumables, while some OEMs may even revoke the warranty for the entire system. Companies who choose to purchase counterfeit products will inevitably find themselves at the losing end in such situations.

As a result, the copies may look the same but they lack the quality and durability that original consumables offer, often resulting in poor cutting capabilities. In most cases, the performance of the counterfeit consumable is inconsistent and unreliable, which significantly increases downtime.

#5 Overall costs Counterfeit consumables may cost a fraction of the price, but they typically also last only for a fraction of the cutting lifespan when compared to the genuine products. As such, frequent replacement becomes a necessity. Additional post-cutting processes like edge reworking may also be necessary due to the poor and inconsistent cut quality rendered by the cheap copies. Irrevocable damage may also occur from the use of counterfeit consumables, causing impairment to a valuable piece of equipment, which could result in irreplaceable production downtime and loss of business.

#2 Performance Plasma torches are precision devices and the corresponding consumables are manufactured to extremely tight tolerances with critical dimensions.

Any deviations from the original measurements will have an impact on the overall cutting performance of the plasma system. While these counterfeit consumables still allow end users to cut metal, there are clear differences or inconsistencies in cut part quality, cutting speed, and consumable life when compared to the originals. Incorrect manufacturing of the consumables may cause internal torch damage or failure.

The true cost of cutting metal is multifactorial and it includes: the quantity of consumables used over An original Hypertherm consumable (left) and a a period of time; the time and labour corresponding counterfeit product (right). To the untrained spent on changing the consumables, eye, the packaging looks almost identical. and on fixing poor or inconsistent cuts; the cost of lost production (during changeovers), lowered productivity, as well as business loss In addition, OEMs often utilise patented or proprietary technologies associated with the use of counterfeit products. Factoring in these in the design of their consumables. For instance, Hypertherm’s costs, the initial savings at the time of sale becomes insignificant CopperPlus electrode that doubles the consumable life of standard when compared to the additional expenses in the long run. electrodes, and CoolFlow nozzle technology that improves cooling to help maintain the size and shape of the nozzle orifice for longer life. Counterfeit consumables lack the enhanced performance and features associated with these proprietary technologies, which means that customers end up not enjoying the benefits conferred by these technologies, and not realizing the full potential of the plasma system. Hence, the use of counterfeit consumables significantly impacts the overall cutting performance of the system.

#3 Safety During cutting, a large amount of energy is required to generate the plasma arc, and temperatures can go up to 25,000 degrees Celsius.

To reduce costs, counterfeiters manufacture their consumables with low-quality metals. Unlike the originals, the counterfeits may not be able to withstand the high temperatures emitted during plasma cutting, and the torch could possibly overheat as a result. Apart from the choice of materials, consumables that are out of tolerances may also be prone to overheating. Consequently, this might cause the torch or plasma system to malfunction or breakdown, which will significantly increase downtime.

Conclusion For all the perceived costs savings, counterfeit consumables are, in fact, a huge liability to businesses and are more trouble than what they’re worth. Using genuine torches and consumables for your original plasma cutting system is the only way to ensure optimal performance. Not only do the original products last longer and perform better, they are also machined to the highest quality standards and offer superior results with the latest performanceenhancing technologies. Purchasing a plasma cutting system is a significant investment in itself so why risk it for something that offers so few benefits? The only way to protect your investment is to only use genuine consumables.

Lester Lee is Regional Marketing Manager at Hypertherm Asia Pacific. Mary Allen is IP Protection Manager at Hypertherm Inc. Sanjay Kumar is Consumables Sales Manager, Hypertherm India. www.hypertherm.com

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Workholding

Dimac Tooling – New premises to boost service

Having recently moved to new premises at Dandenong South, Victoria, Dimac Tooling continues to unveil new products and services as it consolidates its position as a leading supplier of accessories and workholding solutions for CNC milling and CNC turning machine tools in Australia and New Zealand.

With more than 30 years of experience in CNC machine tool accessories, Dimac is the agent for many highly respected brands such as Kitagawa, Cooljet, Reven and Eron. The company also manufactures soft and hard jaws in its own CNC-equipped machine shop. After 30 years at its manufacturing facility in nearby Mulgrave, the move to the site in Dandenong South will, according to Managing Director Paul Fowler, further enhance Dimac’s ability to service its clients’ needs.

The new Modular XYZ Xpansion Pins from Mitee-Bite.

“These new premises will allow us to operate more efficiently, provide even greater levels of customer service and of course maintain our local manufacturing of soft jaws,” says Fowler. “It will also allow us to develop and expand our product offering of CNC accessories that improve our customers’ bottom line, enhance their productivity and improve machining safety and efficiency.”

More options from Mitee-Bite Dimac is the exclusive agent for Mitee-Bite products and its latest offering, Modular XYZ Xpansion Pins. The new Modular XYZ Xpansion Pins are designed for tombstone, grid plate and fixture plate applications. The unique, patent-pending design provides accurate location, repeatability and high holding forces for securing parts on the inside diameter.

Two types of pins are available: press fit and threaded. Press fit pins are available in 1/4, 3/8, 1/2, 5/8, M6, M10, M12 and M16 diameters for custom applications, while the threaded version comes in standard sizes of 1/2, 5/8, M12 and M16 for tombstones and grid plates.

Manufactured from heat-treatable 174PH stainless steel, the pins expand up to 0.7mm and the diameter can be machined for specific applications. The top of the pins have a slight taper creating maximum line contact in bore and provides clearance during load/unload. The pins are designed for quick set-ups on secondary operations such as material coming off CNC lathes, prep stations, water-jets or applications outside machining centres.

Press fit pins are intended for press fit or close-tolerance removable slide fit applications installed in a precision bore or a bushing with the centre threaded for the tapered screw. If precise location is

AMT Aug/Sep 2016

not necessary, the pin can be used on top of the fixture plate. Mitee-Bite provides a simple tool to make installation and removal of the XYZ Pins quick and easy.

Threaded pins incorporate an internal rotary broached hex for simple installation and removal from a tombstone, grid plate or fixture plate. Threaded pins may be installed in a drilled and reamed hole for precise location or set in a hardened drill bushing for fixture strength and wear resistance.

“The Xyz Pin provides ‘out of the way’ workholding and accessibility to all work surfaces with absolutely no external clamping,” says Fowler. “This enables access to the entire face and sides of the workpiece without clamping interference.

The other key benefit is that because there is no external clamping there is no chance of distorting the workpiece.”

Fowler expects the new XYZ Xpansion Pins to be of interest to a number of different industries including aerospace, medical and general engineering.

“Like all the products we sell, Mitee-Bite XYZ Xpansion Pins will be supported by the full back-up and support of Dimac technical personnel to ensure the right product is specified and operates at optimum performance,” he adds.

Search engine simplifies selection Dimac has also recently unveiled a new soft jaws search engine, designed to take the hard work out of selecting and ordering the right soft jaw.

“It’s a big claim, but I believe we now have the simplest, easiest to use and most intuitive soft jaws search facility in the entire world,” says Fowler. “It couldn’t be easier to use. For those that already know a part number they can simply put this into the search facility and the appropriate soft jaw will be displayed. Alternatively, if you are unsure of the correct soft jaw, the search can be conducted either pictorially or via a tree format.

“The first step is to select the appropriate jaw type - either a soft jaw or a cross tennon.

The next step is to select one of the four standard serration types. If any of the key dimensions are known at this stage they can also be included to aid in narrowing the search. Once this information is provided, a range of available soft jaws is listed along with relevant information such as the part number and all key dimensions. These can then be short listed according to personal preferences.”

workholding Dimac’s new soft jaws search engine.

Future planned enhancements include the ability to search for either pie or pinch jaws.

Soft jaws have a number of benefits over hard jaws, primarily the ability to grip preturned bars as they leave no clamping mark.

They also provide flexibility for awkward-togrip parts where irregular surfaces may be present. After forming, the soft jaws can then be flame-hardened to minimise wear.

Additionally, custom soft jaws can be made to wrap around the work piece to minimise deflection or distortion.

Manufactured at the company’s facility at Dandenong South, Dimac soft jaws are precision engineered and made from 1040 or K1144 carbon steel. Accurate control of slot width ensures minimum runout when refitting soft jaws that have been previously machined. Another Dimac feature is that the jaws are safely packed into a convenient and robust storage box for maximum protection. Dimac soft jaws are available in a large selection of sizes covering all brands of chucks and custom sizing to suit any application or workholding.

“We have a huge range that will suit all commonly available power chucks and a big range of sizes for each chuck – in fact for any chuck on the market we’ll have a set of jaws for it!” says Fowler. “We believe our soft jaws are the best on the market,

offering outstanding long life and durability in addition to representing excellent value.

Due to growth in the market and economies of scale, we haven’t increased our prices for 15 years, and because we manufacture locally we can deliver anywhere in Australia quickly.” www.dimac.com.au

Kurt Caged ToolBlox – Lightweight, quick repeatability

The Kurt ToolBlox tombstone features an open-cage design weighing 30% less than a solid tombstone with aluminium sub-plates, making easier handling for the CNC machine table and shuttle systems.

The ToolBlox class 30 Grey Iron, iron construction continues to provide impressive vibration dampening for a rigid setup even compared to much heavier tombstone alternatives. Each Toolblox face features pre-machined bolt holes and dowel pattern for quick change of all components with repeatability to 0.0002”. Optional hole patterns and keyways can be specified at time of order. Kurt PinLock mounting system can also be used in combination with ToolBlox to secure to machine tables or with Kurt fixture plates and workholding devices to make mounting even faster, and in less than a minute.

The Kurt ToolBlox comes in either two-face or four-face configuration and available in standard base sizes of 400mm or 500mm. ToolBlox can be purchased separately or with a wide variety of vises, workholding systems, subplates and quick change mounting systems.

For powered clamping applications, ToolBlox open-cage design provides a convenient internal location for mounting hydraulic and pneumatic plumbing and components. Kurt has a variety of hydraulic pumps for both single-acting or double-acting systems. www.kurtworkholding.com

AMT Aug/Sep 2016

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Software

Changing perceptions: Old-fashioned field service management vs automation Field service is an increasingly vital part of the after-sales care that customers have come to expect after purchasing a product. And as with many other industries, it is going through a period of radical disruption as a result of digital technologies. By Richard Kloé.

One of the key success factors of a successful business is its employees. For me, as the Managing Director of Headland Machinery, with a team of more than 25 service engineers operating throughout Australia, ensuring that their day runs as smoothly and productively as possible will not only benefit the company, but also our customers.

We all know, pleasing a customer doesn’t end once you have sold them your product.

The customer lifecycle is a continual process and field service is a part of that process.

For the last five to 10 years, companies like Headland Machinery have been harnessing the power of mobile technology to improve efficiencies and the day-to-day running of the service team. But, what happens to those companies with field service staff who are still operating manually and continue to ignore the need for an automated solution?

They get left behind.

We have seen in recent times how businesses have been affected by digital disruption. Take Uber or Airbnb – these companies have disrupted the way the taxi industry and the travel industry operate.

Both organisations have taken advantage of the technology available to them and have used it to their advantage to get ahead of the competition, leaving their competitors asking questions.

Mobile technology is having a similar impact on the field service industry, with businesses taking advantage of cloudbased solutions and smartphones. Mobile devices have allowed technicians to bring the office out into the field. Gone are the days when technicians would have to carry books, schematics, diagrams or laptops to a job. They are now able to access the most important information straight from their device.

Our field service team makes up a large part of Headland, and mobile devices are essential for our engineers as they need to be able to view all of their jobs, machine history, spare parts and customer details in real time. Our engineers use a field service software product called NextService, and the newest release of the software is integrated with a Google Maps view.

Google Maps have become a routine in the lives of every smartphone user, and for our engineers this technology has made it easier for them to track their next job.

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From a despatch-scheduling standpoint, you are able to see all the different area breakdowns so you can potentially have one engineer responsible for a cluster of suburbs allowing for greater productivity.

This is also beneficial for our customers as we can ensure that they see the same service engineer each time, which improves the customer experience and builds a degree of continuity of work.

to continue to work directly from the field, reducing their hours driving to and from the office. After six years of using mobile-based field service software, we have greatly increased our productivity in the field, which wouldn’t have been possible if we were continuing along a manual track.

After speaking with my field service team, they have all acknowledged that being able to use the latest in mobile technology alongside NextService has enabled them

Richard Kloé is the Managing Director of Headland Machinery www.headland.com.au www.nextservicesoftware.com

I’m looking forward to seeing how the next wave of digital technology benefits the field service industry.

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Software

Simple apps transform advanced manufacturing

Researchers in Europe have developed a new model for collecting data across the manufacturing lifecycle and storing it all in one place. Accessing this data, prototype apps have helped to improve metrics by nearly 90% in SME advanced manufacturing trials, hinting at how apps could transform the sector.

Although consumers will pull out their phones and use apps for banking, shopping or planning a journey, businesses have tended to head in the opposite direction. They favour complex software, such as enterprise resource planning tools, to optimise their activity using the wealth of data at their disposal.

A group of EU researchers and SMEs decided it was time for a rethink. Why not embrace the advantages offered by apps and simplify monitoring, control and decision-making? The team decided to concentrate on apps for advanced manufacturing and engineering companies, especially SMEs. “We are now in an age of mass personalisation,” explains APPS4AME Project Co-ordinator Jonathan Oesterle. “We are not looking at mass production anymore but on-demand and just-intime manufacturing. Each customer can now order bespoke, tailormade products. How you optimise this kind of work and deal with the growing amount of data is a real challenge.

“SMEs already struggle to handle and analyse all this data; the arrival of the Internet of Things will only make it harder. But if SMEs can’t find ways to optimise their operations they will lose competitive advantage.” Over the course of three years, APPS4AME created a suite of more than 20 apps to support a wide range of SME manufacturing processes and factory operations. Partner SMEs have trialled the apps and evaluated how they improve business.

Before the partners could create apps, however, they needed to get all the business data into shape. The APPS4AME researchers analysed the data within the partner SMEs and compared real-world scenarios to theoretical data frameworks and models. Together, they developed an overriding data model.

“Our model is a significant breakthrough,” Oesterle claims, “because it can be applied to any advanced manufacturing or engineering firm. With only the most basic IT, any SME can now store all its data in a single, app-accessible data hub.”

With the data hub in place, the researchers were ready to build and test some apps. Four companies took part in the trials: meat processor CarmOlimp in Romania; Volkswagen parts manufacturer VW Autoeuropa in Portugal; Greek mould manufacturer Bazigos; and electrical engineering giant Siemens. These companies all reported impressive operational improvements following the introduction of pilot mobile apps. In CarmOlimp, a new monitoring app displays data from a simple temperature sensor in the centre of a shipping pallet.

Lorry drivers can check the temperature of their loads, and prove to customers that their delivery stayed chilled. Since introducing the sensor and app, CarmOlimp is able to monitor all products through to delivery. Even more impressive is the amount of time saved by CarmOlimp’s warehouse pickers. Now armed with an app rather than paper pick sheets, average picking time has dropped by 88%.

The logistics planning app has cut the number of trucks and driving distances by about half.

With excellent results from all four of the pilot trials, Oesterle says no SME should be afraid to use apps of their own: “We carried out a survey of SMEs which shows they are ready to use apps for advanced manufacturing activities. We’ve shown just how powerful they can be, offering potentially huge performance improvements.

Once you have a central data hub in place any IT company can develop whatever apps you need. It really is that simple. We expect apps to transform quickly how advanced SMEs in Europe do business.” www.apps4ame.eu

Digital disruption divides SME sector

While many people have easily incorporated technology in their everyday lives, Australia’s small-to-medium enterprises (SMEs) are still testing the waters when it comes to digital technologies.

According to ‘The Voice of Australian Business’, a bi-annual survey of SMEs across all industries and regions by accounting firm Bentleys, businesses were evenly divided with respect to seeing digital disruption as a threat or opportunity – 25% saw it as an opportunity and 29% as a threat. Michael Ruggiero, Managing Partner at Bentleys SA, said the split could signal a lack of understanding around how to embrace these technologies in a practical way, causing a reluctance to engage. “We are seeing that SMEs that are proactively embracing digital technologies, particularly in the manufacturing and agribusiness sectors, are reaping the opportunities in how it can effectively improve or even change their business model and operations completely,” said Ruggiero. “However, according to our research, that is only a quarter of businesses. Given the rate of development of digital technologies, it’s somewhat surprising this figure isn’t higher.

“The ones who are seeing it as threat are worried it will disrupt their traditional way of approaching their business – essentially upsetting the applecart. However, when integrated properly, digital technologies should create efficiencies that not only improve the bottom line but free up time for business owners to spend on more important activities.”

AMT Aug/Sep 2016

Ruggiero believes SME owners should review their situation and consider how digital technologies can provide improvement. He recommends: Seek professional advice: Only 26% of SME owners currently use external consultants to make business decisions, but in reality, accountants and external advisors are an extremely valuable source of information when it comes to new technologies and implementing them practically. Asking for help can offer peace of mind.

Tap into professional networks: Find out first-hand from other SME owners the types of technologies they use, what they like or don’t like, what challenges they encountered and how they overcame them. Peer-to-peer learning can be one of the best sources of information.

Do your due diligence: Every business has different needs. Think about areas of your operations where you spend most time and how digital technologies may help. Take time to undertake proper research – there is an abundance of useful information available online, so look at reviews and if possible ask technology providers for a run-through of the product or an outline of its features. www.bentleys.com.au

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Software

Brennan IT takes Tieman Tankers to the cloud

Tieman Tankers has taken its business into the cloud – and into the future – with leading managed services provider Brennan IT. Tieman is a family-owned business that has been operating for more than 60 years, designing and manufacturing bulk road tankers in Campbellfield in Victoria. After a major restructure, the company decided to focus its business on one core product, the road transport tanker manufacture business.

While Tieman had operated its own internal network and IT department for years, Brennan IT had been working with the company as a strategic managed services provider. When the time came for the upgrade, Tieman asked Brennan IT to create an endto-end managed infrastructure solution that would streamline its IT and take the business into the cloud.

“With this new direction we needed an effective IT system that would take the company forward with our new vision,” said Barry Grieg, COO from Tieman Tankers. “The current system didn’t match with our new business model so we decided to undertake the journey to update our systems.

“When we turned our attention to our IT systems we found we had a number of legacy issues to deal with. Over the years we’d be running different programs and adding on products with no clear structure, and while we’d moved some of our business into the cloud, we had only really dipped our toe into the technology.”

A change in strategic direction for the organisation meant a complete redesign of its IT infrastructure. The whole-of-business project involved Brennan IT designing a solution that would support the head office and a mobile workforce, and it also needed to be scalable to meet the client’s growth targets. Brennan IT provided Tieman with a comprehensive and integration solution across all ICT services, including a network and infrastructure that could scale up as the business expanded. It also recommended external DR and backup management and proactive all-inclusive managed IT support.

Stephen Sims from Brennan IT said more businesses are turning to managed services and the cloud in a bid to reduce total cost of ownership and adopt a more flexible and agile system, which is vital in today’s business environment.

“When Tieman came to us we knew that moving them from a traditional model to a cloud-based solution would give them the flexibility to scale and support their remote workforce,” said Sims.

“The cloud solution provides the best of both worlds, offering the ability to retain control over many of the business’ critical systems while also having the flexibility to tap into external infrastructure to scale up these systems on demand.”

Since the transition, Tieman has seen an increase in productivity and the updated system has created greater flexibility and stability for their mobile workforce.

“We wanted to provide our employees with the latest tools, applications and resources to bring our company forward and deliver some consistency across the board,” said Grieg. “Previously there was a lot of different software and different versions - making it a nightmare for staff.

“The benefits for our employees have been massive, we’re seeing increased productivity and satisfaction and from a business perspective we’ve reduced the cost of IT administration by about 50%.” Both companies are keen to build upon their established relationship to create a seamless partnership that fosters greater efficiency and collaboration.

“Having worked with Brennan IT previously, we knew that they were an agile and experienced company that understood our business and our needs,” concluded Grieg. “They worked with us every step of the way and the team were extremely supportive and responsive.” www.tieman.com.au www.brennanit.com.au

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AMT Aug/Sep 2016

94

Forum Law

Recent trends - the high stakes of patent disputes

When releasing an exciting new product, no manufacturing company wants to end up in a patent dispute over it.

The cost of litigation is a major deterrent for both sides (patentee and defendant), as explained by Stephen Worthley.

What can manufacturing companies do to avoid litigation, or at least improve their prospects if a dispute arises? Recent trends in patent litigation provide some important lessons.

Any litigation comes with the major risk of, ultimately, ending up on the losing side. However, even if a party ends up being successful, there are other risks: • the patentee faces the challenge of ensuring the compensation they ultimately recover is worth the cost and risk of litigation; • the defendant needs to assess whether the profits from sale of the product justify the litigation cost, particularly when they will often be selling the product at a lower margin than the patentee.

The current strategy of Australian patentees has been to try to maximise the benefits of a successful outcome, to skew the risk/ reward equation in their favour. That is, they have been trying to increase the potential award of compensation, and to decrease the likelihood that they won’t recover the full amount from the defendant (for example, if the defendant goes into liquidation). This raises the stakes of litigation, for everyone involved.

Putting company directors personally at risk One notable trend in Australian patent litigation is for patentees to not only sue a competitor company for infringement, but to also sue the company’s directors in their personal capacity.

This has an obvious benefit from the patentee’s perspective: a personal judgment against a director sidesteps the risk of the infringing company entering liquidation, and stops the director from continuing the infringing activity using a new corporate entity.

From a director’s perspective, the risk increases dramatically. If they lose the infringement case, the director will be personally liable for the patentee’s loss and some legal costs, and will suffer any consequences arising from an inability to pay. Directors have recently been found personally liable in numerous cases where the director had sole or substantial control over the day-to-day activities of the infringing companies. In other cases, directors have been able to successfully defend themselves, generally where they could show that they did not have sole control over the company’s activities and did not do anything outside their role as a director.

Remedies – raising the potential reward Historically, once a court finds that a defendant infringes a patent, the parties have usually been able to negotiate an amount of compensation. Recently, however, patentees have started to press for more significant compensation, forcing the court to make a determination of damages or other remedies that might be appropriate. One option has been to seek a “springboard injunction” (and/or “springboard damages”). The aim is to not only stop the defendant from supplying the infringing products (and

AMT Aug/Sep 2016

pay compensation for past sales), but also to stop the sale of noninfringing products. The legal justification is that the defendant might have gained a commercial advantage by supplying infringing products, which has helped them to also sell non-infringing products. As yet, no springboard injunctions have been granted, but the courts have left the option open for future patentees.

Additional damages Another strategy has been to try to ramp up the damages award. The first award of additional damages for flagrant patent infringement in Australia was made in December 2014. The key point was that the defendant copied the original product exactly, right down to the marking which notified them of existing patent protection! At least one pending court case looks like following suit – the defendant has been found to be flagrantly infringing a patent, but the amount of any additional compensation is yet to be determined.

Lessons to be learnt So what can we learn from these trends?

The major lesson for any company director is to avoid situations where they have sole control over the company’s activities. Even small companies should install a company reporting structure with clearly defined individual responsibilities.

For companies bringing out new products, who may be at risk of infringement, there is extra incentive to do more due diligence. Full patent searching on every new product development may not be feasible, but it’s prudent to search for patents in the name of major competitors. If the search does turn up patents of concern, they can be considered in more detail and their status should be monitored carefully.

For patentees, they can put themselves in the best position to recover sufficient compensation by marking their patented products. This puts competitors on notice, so they can’t plead ignorance of the patent rights down the track.

Product marking has its own difficulties, particularly where products are manufactured on an international scale – the state of patent protection may differ between countries, and may change on a regular basis, requiring the product marking to change as well. However, one convenient option is to use ‘virtual patent marking’. This involves marking products with a web address, where information can be regularly updated to reflect the current state of patent protection.

Stephen Worthley is a solicitor, registered patent attorney (Australia and New Zealand) and registered trade marks attorney at Macpherson Kelley. He has significant experience throughout the intellectual property lifecycle, both in obtaining IP rights and in defending and enforcing those rights before IP Australia and in the Federal Court.

Ph: 03 8615 9986 Email: stephen.worthley@mk.com.au www.mk.com.au

95

Forum OHS

Asbestos – independent testing the key The use of asbestos products in Australia came to a halt more than a decade ago, but the threat of asbestos exposure continues to thrive, as explained by Brendan Torazzi.

The danger remains real. An estimated 700 Australians are still dying annually from malignant mesothelioma, the rare and aggressive cancer caused by exposure to toxic asbestos fibres.

The National Strategic Plan for Asbestos Management and Awareness was a step in the right direction. Its goal is the elimination of all asbestos-related disease, but it will require increased vigilance and many, many more years before that goal is reached.

Australia once had the highest reported per capita rate of mesothelioma in the world. Although it no longer has that distinction, it takes decades to significantly change course with asbestos.

Experts estimate a third of the homes and commercial structures in Australia — most of those built before 1980 — still contain asbestos products. Any work done on those structures sends the asbestos fibres airborne, where they can unknowingly be inhaled or ingested.

The long latency periods (20-50 years) between exposure and diagnosis also means those who worked in various industries many years ago could still be threatened today.

Experts are expecting as many as 25,000 more Australians to die from mesothelioma in the next 40 years, despite the clean-up efforts being made today.

Asbestos is no longer mined here. Consumption peaked in the 1970’s, although its use remained strong in the manufacturing industry for another decade. Most states and territories banned it in the 1980s, but the national ban of the product did not begin until 2003.

The clean-up has been an arduous process. Many asbestoscontaining products, including gaskets and friction materials, millboard, cord, yard and cement articles were imported until the early 2000s. They remain in place today.

If Mesothelioma is diagnosed early, the prognosis is considerably better because of advancements in therapy. There are now immunotherapy and gene therapy drugs being tested in clinical trials. They have shown tremendous progress, encouraging doctors to believe that mesothelioma will one day be treated as a chronic disease that someone can live with, instead of a death sentence.

The key to treatment is finding a specialty centre with experience in treating it. The Bernie Banton Centre at Concord Hospital (Sydney, New South Wales), the Sir Charles Gairdner Hospital (Western Australia) and the Peter MacCallum Cancer Centre (Melbourne, Victoria) are three of the top specialty facilities.

The National Strategic Plan wants to eliminate all risks of asbestos disease in Australia by 2030. The plan includes improvement in research, identification, removal, awareness and international leadership as it pushes for a worldwide ban of asbestos.

Until then, staying safe from asbestos disease is the goal. Vigilance is the key.

Brendan Torazzi is CEO of AlertForce, a registered training organisation. AlertForce specialises in compliance training for workplace health and safety by offering quality online, face-toface and/or blended training approaches.

Ph: 1800 900 222 www.alertforce.com.au www.mesotheliomaprognosis.com/finding-treatment

“How the hell can asbestos wind up at a children’s hospital project?”

The chief executive of the Asbestos Safety and Eradication Agency, Peter Tighe, said it was now impossible to guarantee the safety of workers using any prefabricated building material importe¬d directly from China. “People all across the country assume it’s safe then penetrate it, drill it and cut it, releasing asbestos fibres,” he warned. Of particular concern were Chinesemade high-density cement boards, flooring and sandwich panelling. “The material is significantly cheaper than in Australia.

“The importation of asbestos-laden building material from Asia was growing at such a rapid rate that it had increased from just a drip over the past few years to the detection in December of an entire Chinese cargo of killer EPS sandwich boards.

Last November a South Australian builder was found to have inadvertently installed high-density prefabricated cement flooring riddled with asbestos in 64 construction sites across the country.

In June this year, SA-based company Australian Portable Camps was being investigated over imports from China and early this year, Adelaide contractor Robin Johnson Engineering unknowingly imported from China building products containing asbestos. The company said the materials had been certified as asbestos-free at the time of purchase. Last month, asbestos was found in roof panels used to construct the new Perth Children’s

Hospital, after a worker cutting a hole in the roof to install a smoke exhaust fan noticed an unusual white substance. The material was supplied by Chinese subcontractor Yuanda to lead contractor John Holland. Samples were certified three years ago, and found to be asbestos-free so this news is very disappointing, as hundreds of workers may have been exposed and the roof will need to be replaced. “In 2016 how the hell can we have asbestos material wind up at a children’s hospital project?” exclaimed CFMEU WA State Secretary Mick Buchan. The material could have gone through the whole building.”

“Twelve months ago we saw a smattering of material containing asbestos from Asia coming into Australia,” commented Peter Tighe. “Now, we’ve got whole container loads.”

There were concerns that local Chinese agents who sourced the material for Australian orders had questionable links with manufacturers, local product testers and those who provided asbestos-free guarantees. The problem stems in many cases from provincial factories ignoring local regulations. “It has got to the stage where the only way for importers to now be sure that their product is free of asbestos is to import a sample and have that tested by Australia’s independent testers,” Tighe advised.

AMT Aug/Sep 2016

96

Forum Tax

Benefit from your investment into Research & Development

David Mumford of Watermark explains the importance of capturing, substantiating and benefiting from your investment into Research and Development (R&D) within your business via the R&D Tax Incentive. An important point to consider is that engineers’ project work may form part of a wider program of eligible R&D activities.

What is the R&D Tax Incentive?

Integrity Provisions

The R&D Tax Incentive is a self-assessment program designed to encourage industry to conduct R&D. AusIndustry (on behalf of Innovation Australia) and the Australian Tax Office (ATO) jointly administer the program. The program provides a tax incentive to companies who conduct experimental activities, in a scientific way, for the purpose of generating new knowledge.

In order for the incentive to be provided to the correct R&D applicant, there are integrity provisions that prevent two claimants seeking an R&D Tax benefit against the same R&D activities and expenditure.

Depending on the aggregated turnover of your business, eligible R&D entities incurring eligible expenditure on core and supporting R&D activities can claim a tax offset as follows: • a 45% refundable tax offset where your turnover is less than $20m; or • a 40% non-refundable tax offset where your turnover is $20m or over.

Companies in tax losses with less then $20m turnover in the income year, and undertaking R&D activities, may have the ability to cash out tax losses providing a direct refund of up to 45% of the eligible R&D expenditure claimed. The R&D tax benefit is taken up within the claimant entity’s income tax return following registration of the eligible R&D activities undertaken with AusIndustry.

Eligible company structures Before you commence your R&D activities, ensure your company structure allows you to access the R&D Tax Incentive. The following types of companies are eligible for the R&D Tax Incentive: • a company incorporated under an Australian law; • a company incorporated under foreign law that is an Australian resident for tax purposes; or • a company incorporated under a foreign law that is a resident of a foreign country with a double tax agreement with Australia that carries on a business in Australia through a permanent establishment of the body corporate in Australia.

If you are a Trust entity, you may still be eligible to claim the R&D Tax Incentive. With this in mind, it is most important to assess your particular company structure and under what contractural arrangents you are likely to be performing the R&D, prior to commencing any eligible R&D activities or incurring R&D expenditure.

To assist in determining if you are eligible for the R&D Tax Incentive, the following things must be considered:

Eligible Activities Generally, only R&D activities conducted in Australia qualify for the R&D Tax Incentive. However, R&D activities conducted overseas may also qualify if Innovation Australia makes a finding that your activities meet certain conditions.

Eligible Expenditure Your R&D expenditure incurred must have a direct nexus to the eligible R&D activities undertaken in the year of concern. There are specific expenditure categories which may be attributable to an eligible R&D project e.g. salary and wages, contractor costs, overheads and depreciation.

AMT Aug/Sep 2016

Potential areas of R&D activity Engineers are renowned for solving technical problems though they often see their work only as ‘getting on with business’. However, when viewed from a tax perspective, their project work may form part of a wider program of eligible R&D activities and be well worth assessing for the business.

Under the R&D Tax Incentive, the significant purpose of your eligible activities is for the generation of new knowledge. This includes new knowledge in the form of new and improved materials, products, devices, processes or services, the outcome of which cannot be known or determined in advance on the basis of current knowledge, information or experience.

Your R&D tax advisor should be able to assist you in the identification, capture and substantiation of the eligible R&D activities being conducted by the business.

Administration Companies wishing to access the R&D Tax Incentive for R&D activities conducted, must first register with AusIndustry. Registration takes place post the activities having been undertaken. Annual registrations are required and must occur within 10 months of the end of the company’s income year in which the activities were conducted. In terms of lodging an R&D application with AusIndustry, there can be distinct advantages in the timing so talk to your advisor about your specific situation as this may lead to the freeing up of much needed cash flow within your business.

Contemporaneous documentation of the R&D activities undertaken and the associated eligible expenditure must be maintained by the registrant entity for future audit and substantiation purposes.

Talk to a trusted advisor Discussing your R&D activities with a trusted advisor that speaks your language and understands how integral R&D is to the furthering of your business, is paramount.

David Mumford is an Associate Director at Watermark Advisory Services. With the benefits of first-hand experience in innovation and R&D tax, Watermark Advisory Services is well positioned to provide valuable assistance to companies conducting R&D to gain their maximum entitlements under the Government’s R&D Tax Incentive program. Their R&D tax advisors are both industry and accounting-qualified and work under the guidance of a registered tax agent.

Watermark has a proud 157 year history in Intellectual Asset Management (IAM). It is Australian owned and employs over 100 people nationally. Services include: Patents and Designs, Trade Marks, IP Lawyers, IP Strategy & Management, R&D Tax, Competitor Business Intelligence.

Email: d.mumford@watermark.com.au Phone: (02) 8874 0405 www.watermark.com.au

97

Forum Finance

Will interest rates fall further?

Ken Richards provides insights into the current financial climate where there are increasing enquiries for imported machinery financing, especially from clients exposed to export markets.

Over the last couple of years, we have seen decreasing interest rates and a fall in the Australian dollar, which has reinvigorated manufacturers with large export markets on the bank of working capital improvements. Despite the relative increase in cost for imported machine tools since the Australian dollar has fallen in value against other currencies, the benefits of export sales have outweighed these costs, continuing to make decisions regarding plant and equipment upgrades and adding automation attractive.

The RBA did not drop rates at their July meeting, primarily as the quarter one GDP numbers were stronger than expected.

This is consistent with the general run of economic data, and whilst there has been an increase in iron ore prices, growth in domestic demand and exports were growing at above trend rates, with the exception of business investment.

Despite this trend data, Interlease has seen increasing enquiries for financing of imported machinery, particularly from clients with exposure to export markets, which have been subdued in recent years.

So whilst Interest rates are at an alltime low and this may help with the home mortgage, is it a good sign for the economy?

In a recent Reuters survey, over 80% of economists expect a further rate cut by the end of September and financial markets are already pricing in a 50% chance of a cut at the August meeting.

The downward pressure on rates is being largely driven by two key factors: lower than expected inflation within Australia and pressure on the value of the Australian dollar, which is being driven by decisions made overseas.

The key factor for the May rate cut by the RBA was that inflation was well under the RBA’s forecast, and they felt they needed to reduce interest rates to move inflation back towards their 2-3% inflation target zone. “Inflation has been quite low for some time and recent data was unexpectedly low,” RBA governor Glenn Stevens said in a statement. But despite the rate cut, the RBA is still only forecasting that underlying inflation will reach the bottom of its inflation zone in two years’ time. So the clear risk is that another rate cut will be needed.

Further to this, decisions made internationally around interest rates in major economies have a direct impact on the value of the A$ and rate reductions overseas see upward pressure on the $A, putting further pressure on the Australian economy as improving export markets will likely be impacted.

For example, if central banks globally are cutting rates, and the RBA does nothing, this would mean that Australian interest rates would rise in relative terms and this would likely result in an increase in the $A towards the high 70c range, in the view of Peter Munckton,

Chief Economist at Bank of Queensland, and “a currency at this level might be fine if the economy is firing on all cylinders. But a $A of that level would currently be more difficult to absorb, given the uncertain global outlook and too-low inflation”.

Peter’s view is that there will be another rate cut, but not in August.

The economic data up to that meeting is likely to still be decent, and it will be too early to get a better understanding of the fallout from Brexit. Inflation will be the key, although at this stage he believes that the number will not be low enough to justify lower rates.

Lower rates can be a double edged sword. Invariably, some companies will experience growth and strong sales in the current climate and will be considering capital expenditure. Whilst new plant and equipment may assist these companies increasing productivity and lowering costs, banks and finance companies continue to become more and more risk-averse as rates fall. The fundamental issue with very low interest rates, is that it is much harder to recover capital lost to bad loans. This issue is continuously making it harder for companies to borrow, particularly for new technology or imported machinery requiring a letter of credit or structured payments.

Lower rates, together with increased credit reporting, can make financing equipment and machinery a minefield for businesses. For almost all SME businesses, their primary bank looks at equity in land and property in assessing credit worthiness and nearly always ignores equity in existing plant and equipment and business goodwill. For many businesses, their primary bank is a concentration risk, just like having one customer for a product! Invariably, banks look at their customers and aim to manage them to manage their risk and generate returns for their shareholders, and businesses should take the same focus on identifying and managing the risks they have in relation to their banking.

Managing banking relationships and understanding the detail between different finance structures can be difficult and large reputable finance brokers, who are members of recognised industry bodies are best placed to manage diversifying borrowings, as they will be aware of differences within the market between financiers and products and which option is likely to provide the best outcome for the particular transaction.

Interlease has over 40 years’ specialist experience in commercial financing, working with clients, accountants and suppliers to structure finance to meet almost any requirement, as well as extensive expertise in structuring transactions, whether it’s another forklift or large imported machinery, which requires managing currency, interest rate and supplier risk.

Please contact Ken Richards on 03 9420 0000 or krichards@ interlease.com.au www.interlease.com.au

AMT Aug/Sep 2016

98 Manufacturing matters in Australia.

Our manufacturers lead the world in numerous products and industries.

Australia’s manufacturing industry is a major contributor to our economy each year, and our manufacturers employ large numbers of people, offering them challenging, rewarding work, and providing the basis for stable, diverse communities.

Welcome to the Manufacturers’ Pavilion, the section of AMT Magazine dedicated to celebrating some of the best, most dynamic, most innovative manufacturing companies working in Australia today.

AMT Aug/Sep 2016

The Manufacturers’ Pavilion highlights the capabilities of Australia’s precision engineering and advanced manufacturing industry. Over the following pages, we will look at companies delivering products and services across a variety of industrial sectors, and employing a diverse array of processes.

It builds on the successful Manufacturers’ Pavilion exhibition area within the Austech trade show and is sure to enhance the profile of the leading edge manufacturers in our sector.

If you feel your company should be featured in a future edition of the Manufacturers’ Pavilion, please contact AMTIL Sales Manager Anne Samuelsson, on 03 9800 3666, or by emailing asamuelsson@amtil.com.au

Manufacturers Pavilion

Australia’s largest manufacturer of soft jaws offers customised solutions Dimac Tooling’s success in a very competitive marketplace is aligned to a high quality product range and a strong focus on customisation.

Dimac’s focus is to develop and deliver productivity-enhancing accessories by combining in-house design and manufacture with products sourced from quality suppliers worldwide, tailored to customers’ needs. As well as being Australia’s largest manufacturer of soft jaws for CNC turning, Dimac also exclusively imports machine tool accessories from around the world and is a full-service support distributor for those brands. The company’s success in a very competitive marketplace is aligned to a high-quality product range and a strong focus on customisation. As a significant part of business includes imports from overseas, Dimac’s strategy to remain competitive and relevant to the Australian and New Zealand market is to couple these products with expertise for designing and in-house manufacture of customised solutions; much of this around workholding. One of the biggest challenges the company regularly sees for its customers is dealing with small batch quantities and this characteristic of the market drives solutions aimed at reducing setup times and setup complexity. Dimac

regularly attends overseas tradeshows to work with international suppliers and partners and to look for emerging trends and technologies and bring them to CNC users who are seeking to stay competitive and ahead in the market. The company frequently supplies customers with a turnkey package by not only offering them products, but more importantly a finished solution, tailored to their needs. A significant area where customers can see productivity and quality benefits is with custom workholding for CNC turning and milling (mill/turn). Dimac’s history and experience in this area is extensive. By providing a solution that safely anchors the workpiece (even if irregular in profile), with consideration for balance and tooling access, they have found many parts that might have been previously only considered for CNC milling can be processed in one setup on a mill/ turn lathe with clever and innovative workholding. This reduces WIP, improves quality through reduced setups and overall reduces manufacturing costs, leading to a more productive and profitable outcome.

Dimac Tooling Pty Ltd 69-71 Williams Rd Dandenong South VIC 3175 T: 03 9771 6121 W: dimac.com.au E: sales@dimac.com.au Paul Fowler Managing Director T: 03 9771 6121 E: paulf@dimac.com.au Dimac Tooling is a provider of CNC machine tool accessories and workholding systems for the Australian & New Zealand markets. A strong focus is given to productivity-enhancing accessories and in-house manufacture of its own products as well as offering solutions tailored to customers’ needs.

Over 30 years of innovation designed to improve your bottom line, enhance productivity and improve machining safety and efficiency.

NEW PREMISES 69-71 Williams Road, Dandenong South VIC 3175 sales@dimac.com.au • www.dimac.com.au

AMT Aug/Sep 2016

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100

Manufacturers Pavilion

Integra Systems - Make your vision real Empowering you to ‘Make Your Vision Real’ is what drives Integra Systems.

Breakthrough product and engineering design, followed by world-class execution is the method.

Since 1991, Integra Systems has worked with hundreds of Australian businesses and helped them enjoy prosperity in both local and export markets with product designs that blow their competition out of contention. Integra Systems is proud to be a 100% Australian-owned family business, supporting customers globally.

With innovation as the cornerstone of Integra’s culture, Integra enables and empowers clients in key areas of industrial design, product design engineering and mechanical engineering, followed by empowerment through highly efficient inhouse advanced manufacturing systems and project management expertise.

The company focuses on working collaboratively with clients to enable them to secure new market opportunities and overcome complex design challenges in a highly diverse range of industries. Overlaying a unique design process across a diverse range of industries is what distinguishes Integra, and provides you with the ultimate solution. Industry recognition for this is supported by the many awards Integra has received.

Enhanced business outcomes are the key focus of solutions that are driven by: • User centric design, utilising deep knowledge and insights.

• Improved productivity and reduced labour on-costs, resulting in total cost savings.

• Enhanced product appeal and sales turnover.

• Agile and flexible production processes.

• Design for manufacture which achieves bottom line results.

• Reduced cost of deployment.

Integra Systems 197 Northcorp Blvd Broadmeadows, Vic, 3047 T: 03 9359 3133 F: 03 9359 3166 W: www.integrasystems.com.au E: enquiries@integrasystems.com.au Paul Hughes Managing Director T: 03 9359 3133 E: paul@integrasystems.com.au For over 25 years, Integra has empowered clients to achieve their aspirations through integrated solutions – innovative, creative and break-through product design engineering and advanced manufacturing from ideation to delivery.

• Attention to production precision.

• Increased speed to market.

• Enjoyable product experience.

Business relationships are centred around Integra’s ability to ‘Make Your Vision Real’.

AGILE. PROGRESSIVE. REVOLUTIONARY. Empowering you to Make Your Vision Real is what drives us.

Break-through product design, followed by world-class execution is how we make it happen. We work with you to collaboratively deliver an integrated solution from ideation through to production and delivery, which creatively solves your challenge.

The result of this is revolutionary, award winning products that will enhance your business outcomes.

www.integrasystems.com.au Integra is proudly a multi-award winning company

AMT Aug/Sep 2016

Manufacturers Pavilion

Ultimate Laser – What can they cut for you?

What can we

LASER or WATERJET CUT three for Laser commenced operations Approximately years you? ago, with the

With eight laser machines and two waterjet machines, Ultimate Laser can cut most materials up to 150mm thick, to a maximum bed size of 9m x 4m.

Ultimate in March 2004, in one factory with one advent of a new waterjet machine, Ultimate Ultimate Laser run 8 Laser machines & Ultimate Cutting Services run laser machine and three employees. acquired another factory in Dandenong, 2 Waterjet machines.

Most materials can be cut up to 150mm thick, Experiencing rapid growth, it now runs dedicated to waterjet cutting, creating maximum cutting size 9000mm x 4000mm. three factories in Dandenong, employs a new company called Ultimate Cutting approximately 45 staff and operates seven inServices.

Currently employing Approximately 3 years ago, with seven the addition Ultimate Laser commenced operations of aUltimate new waterjet machine to our March 2004.

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Dandenong which would be dedicated to

Theout company’s largestin laser is a 6kw waterjet machine a cold We cutting waterjet cuttinguses operations. created a of 3 factories Dandenong, employThe the new without company the process called Ultimate approximately 45 staff operate 7 Swissprocess machine with a 4m x 2mand bed.

Ultimate theineffects of heat, which Cutting Services currently employing 7 made Bystronic laser machines and one canItalian laser cut mild steel up to 20mm thick, prevents hardening, warping, dripping slag people. Ultimate Cutting Services has also made Adige Lasertube machine. bisalloy up to 20mm, aluminium up to or amalgamation.

Cutting Services achieved ISO Ultimate accreditation.

Our largest laser is a 6kw machine with a 12mm, and high-tensile steel upWe to 20mm, runs waterjet two Water Jet Sweden machine cuts machines: material with a 4000mm x 2000mm bed size. can laser cutnow The as well galvanised steel,thick, zinc, Stainless annealed Steelone has 6.3m xprocess 3m cutting size; the while a cold acutting without effects of Mildas Steel up to 20mm heat,commissioned which prevents hardening, warping, up to 16mm Bisalloy up to 20mm thick,recently or alume steel tothick, all available thicknesses. second machine slag or amalgamation. to 12mm thick,can High Tensilehas adripping Flat Aluminium bars, pipes,upRHS and angles also huge cutting size of 9m x 4m. Both Steel up to 20mm thick, Galvanised Steel Ultimate Cutting Services run 2 Water be all processed.

For pipe, the maximum can cut most materials up now to 150mm available thicknesses, Zinc / Annealed Jet Sweden machines, one has a 6300mm diameter is 120mm, 100mm x thick,x including steel, aluminium, titanium, / Alume Steel all SHS available thicknesses, 3000mm cutting size, and our recently Flat Bars, Pipes,pipe RHS & Angles can alsostainless 100mm, minimum diameter 12mm, steel, copper, brass, rubber, commissioned 2nd machine has a huge be processed. For pipe, the maximum pipe cutting size of 9000mm x 4000mm, both with SHSdiameter 15mm xis15mm. foam, ceramics, wood and much more.

120mm, SHS 100mm x 100mm, the ability to cut most materials up to 150mm

pipe diameter 12mm, SHS 15mm xNo jobs To minimum complement its modern machines, areincluding too large Steel, or too Aluminium, small. Ultimate thick, Titanium, 15mm. uses advanced CAD/CAM Ultimate quotes accurate lead Copper, times and will be Stainless Steel, Brass, Rubber, Foam, Ceramics, more.

To complement thedrawings modern machines, we usepleased software to generate or develop to provide youWood with aand nomuch obligation advanced CAD/CAM software to generate jobs are too large or toowithin small. one We quote customer files for cutting. The programming quoteNo normally responding drawings or develop customer supplied accurate lead times and will be pleased system simplifies preparatory work as well working day. files for cutting. The programming system to provide you with a no obligation quote we use and simplifies workpart as well as nesting, enablespreparatory simple, flexible normally responding within one working day. as nesting Ultimate and enables flexible development. has simple, achieved ISO part development. Ultimate Laser has achieved accreditation.

ISO accreditation.

WATERJET CUTTING

For laser cutting

For LASER Ultimate Laser Cutting!

36-40 Micro Circuit Dandenong Vic 3175 T: 03 9799 8788 F: 03 8768 7965 36-40 Micro Circuit W: ultimatelaser.com.au Dandenong Vic 3175 E: sales@ultimatelaser.com.au

P 03 9799 8788 F 03 8768 7965 E sales@ultimatelaser.com.au ultimatelaser.com.au

For water cutting

ForCutting WATERJET Ultimate Services Cutting!

138-140 Williams Road Dandenong Vic 3175 T: 03 9238 9400 F: 03 9238 9488 W: waterjetcuttingmelbourne.com.au E: sales@ultimatecuttingservices.com.au

138-140 Williams Road Dandenong Vic 3175 P 03 9238 9400 F 03 9238 9488 E sales@ultimatecuttingservices.com.au waterjetcuttingmelbourne.com.au

LASERTUBE

LASER

CUTTING

CUTTING

AMT Aug/Sep 2016

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Manufacturers Pavilion

Precision forging dies, gauges and componentry Australia-wide since 1990 Waddell Engineering is a quality manufacturer of precision components dedicated to customer service, exceptional and consistent quality and advancements in technology, equipment and infrastructure.

Based in Melbourne’s south-eastern suburbs, Waddell specialises in dies and tooling for the brass forging industry, and componentry and precision gauges for the packing/can manufacturing, prototype medical and aftermarket automotive industries. The Waddell team has more than 25 years of experience in the manufacturing of highly complex parts, aided by state-of-the-art CNC equipment, CAD/CAM software and co-ordinate measuring machinery. From simple to complex five-axis machining, Waddell Engineering has the team, the systems and the infrastructure to create the precision components required by businesses, and has invested in the best technology to provide highly precise, high-speed machining, with extremely tight tolerances.

The company was founded by David Waddell in 1990, with its roots in the design and manufacture of special purpose machinery for the LPG gas cylinder industry. Eventually the company moved into forging dies and peripheral tooling for the manufacture of

brass fittings and door hardware, and more recently acquired a precision grinding business specialising in gauges and tooling for the packaging and canning industries.

Waddell Engineering is a company that prides itself on a quick response time to any question proposed and efficient delivery for all the parts needed. Recently Waddell Engineering became ISO 9001 accredited, ensuring the company always delivers more than what clients expect. Whether at the tail-end of the design process, or just about to commence production, Waddell Engineering will help turn your concept into reality. Waddell Engineering’s qualifications include: • • • • • • • •

CNC milling – Three, four and five axes CNC high-speed machining CNC mill-turn CNC wire electrical discharge machining (EDM) Cylindrical grinding Surface grinding Co-ordinate measuring (CMM) Low-volume production.

Best Technology High Precision High Speed Machining

Waddell Engineering is a precision CNC machining company, specializing in dies and tooling for the brass forging industry, precision componentry and gauges for the Packaging/Can manufacturing industry, prototype Medical and aftermarket Automotive.

2 Commercial Road, Highett, Victoria, Australia 3190

AMT Aug/Sep 2016

T: +61 3 9555 8971

Fax: +61 3 9555 9637

Waddell Engineering 2 Commercial Road Highett, Victoria 3190 T: 03 9555 8971 F: 03 9555 9637 W: www.waddellengineering.com.au E: enquiries@waddellengineering.com.au David Waddell Managing Director T: 03 9555 8971 E: david@waddellengineering.com.au Established in 1990, Waddell Engineering is a quality manufacturer of precision components situated in south-east Melbourne. Currently with eight employees, it is expanding to accommodate new customers. Waddell offers highly sought after workmanship at competitive prices, building a business around strong, long-term relationships and a loyal, experienced and dedicated team.

Manufacturers Pavilion

Heavy-duty industrial shelving and hybrid drawer storage for flexible layouts BAC Systems is best known for its award-winning range of drawer storage cabinets and workbenches, but a lesser known fact is that BAC Systems has a very dynamic range of heavy-duty industrial shelving for all applications.

The BAC 77 system combines different types of shelving with BAC’s worldfamous drawers to create what is likely the world’s most flexible hybrid shelf storage system. The BAC 77 starts as a racking system and can be fitted with a quality pallet rack, a long span shelf or a mesh shelf with mesh separators. The shelves can be either the width of a single pallet or of two pallets in order to get best use out of your floor space.

What is unique about the BAC 77 is that the BAC Pallet Rack, the BAC Mesh Shelves and the BAC Long Span can be fitted into a single bay using one structure! This means flexible warehouse layouts may be created, perhaps placing hand-loaded items on the bottom and pallets up high, or whatever suits the particular application.

BAC has a range of drawer options to enhance the BAC 77 system. BAC’s design award-winning high-density drawers are a key element of the BAC 77, providing a solution for storing small or medium-sized

parts with minimal space wastage. These drawers can be integrated among the racking, forming an allpurpose storage system.

Another drawer system that is part of the BAC 77 structure is the BAC Heavy-Duty Drawer. Available in two different sizes, the larger of which will accommodate a full-sized pallet, the BAC Heavy Duty Drawer can hold up to 500kg. It can be loaded with a forklift or an overhead crane and is popular in manufacturing facilities for this flexibility.

The BAC 77 system does not stop with racking and drawers. The system also incorporates a Vertical Drawer, which is a pull-out shelving system, and a long pullout rail, fitted with hooks or a large mesh frame, that can be used for storing large and irregularly shaped items. This modular system is so flexible, and can be assembled in so many different combinations, that a storage solution can be configured for nearly every application.

BAC Systems 193-195 Power Street Glendenning, NSW 2761 T: 02 9832 2777 F: 02 9675 3645 W: www.bacsystems.com.au E: bacsales@bacsystems.com.au Robert Griffin BAC Technical Sales T: 02 9832 2777 E: Robert.griffin@bacsystems.com.au BAC Systems is an Australian manufacturer of quality workshop and storage equipment. For nearly 40 years it has been providing customised warehouse storage, industrial workbenches and high-strength storage solutions to industry in Australia and world-wide. Contact BAC’s Technical Sales team to arrange a complimentary site visit where we can survey your storage requirements or workshop layout needs.

BAC Drawer Storage & Industrial Workbenches World-Leading Warehouse Drawers & Workplace Systems

Support AUSTRALIA N Innovation and manufactu ring

Fully Modular Systems customised to suit your space and Inventory

BAC Systems Pty Limited 193-195 Power Street, Glendenning NSW 2761 Tel: (02) 9832 2777 www.bacsystems.com.au AMT Aug/Sep 2016

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Manufacturers Pavilion

High-volume, precision, custom-machined

Successful repetition engineering company manufacturing custom-machined components to a wide range of customers in diverse fields worldwide.

One of the biggest component manufacturers in their field, Jodek has been operating for over 20 years. That timespan has seen the development of a dedicated team with complementary skillsets which has grown to cover all aspects of the industry. The ISO 9001-accredited company boasts well over 3,000,000 components produced per annum, machining more than 120 tonnes of steel per month.

The company has invested considerably in equipment, tooling, processes and people, enabling it to run 24/7 with up to 8 hours per night running unattended. Its positive outlook is evidenced by the company’s recent investment over the past three years.

Relocation to a larger premises – almost double the size of the previous one – and the installation of another eight CNC machines, an extra bandsaw, various special-purpose machinery, inventory management systems and the hiring of 10 new staff.

Jodek’s acquisitions include 21 late-model CNC machines (including Mori Seiki, Mazak, Miyano, Star and Hardinge.) Many machines are multi-spindle, multi-turret lathes with milling capability. Material types

that can be machined include steel, hightensile steel, stainless steels, brass, plastic, aluminium, copper and castings. Machinery is continually updated, with at least 1-2 new machines purchased per year.

When Jodek commenced operations 20 years ago, there were 100 or more companies in Australia performing highvolume machining work – now there is only a handful left. The company’s consistent investments have resulted in extreme flexibility, with the ability to react quickly to market needs – swapping from high-volume jobs on all machines to low-volume work very quickly when required.

At present, around 60% of Jodek’s components are supplied into major projects worldwide. A recent project involved the dispatch of almost 50 tons of finished components to Hong Kong for the construction of the Hong Kong–Zhuhai– Macau Bridge.

Jodek 17 Mills Road Braeside, Victoria 3195 T: 03 9587 4677 F: 03 9587 4977 W: www.jodek.com.au E: info@jodek.com.au Derek Hyde Managing Director T: 03 9587 4677 E: derek@jodek.com.au Jodek is a leading manufacturer of precision machined components situated in the south-eastern suburbs of Melbourne. The company is a familyowned husband and wife team who have each spent more than 25 years in the industry. Jodek currently has 21 machines in a manufacturing operation of 2,400sqm with 20 employees.

“You would be hard pressed to find a major project completed within Australia during the past 20 years that does not contain something manufactured at Jodek,” concludes Managing Director Derek Hyde.

Precision CNC Machining Jodek has forged a reputation that can be truly envied. Our attention to detail and innovative approach enables us to deliver precision componentry reliably, within budget and on time – getting it done right first time.

• CNC Turning & Milling • Multi Axis Machining • CAD CAM • Finished Product Assembly • All industries serviced 17 Mills Road, Braeside, Victoria 3195 • T: 03 9587 4677 • F: 03 9587 4977 E: info@jodek.com.au • www.jodek.com.au

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Manufacturers Pavilion

Avtech Engineering – Upgraded accreditation Avtech Engineering knows the value of good client relationships, considering customers to be an integral part of its team, and achieving results together.

Recent upgrades have improved its ability to meet customers’ needs.

Avtech recently received ISO 9001:2015 and OHSAS18001:2007 accreditation, with all its systems and processes approved.

This gives customers the assurance that components will be made under the system and that all certification of materials and as built measurements, can be supplied as required. Avtech uses up-to-date, quality CNC machines and tooling, with features that provide customers flexibility and efficiency for the manufacture of their components.

The company continually invests in the latest CNC machining technology, including a large selection of high-tech machine tools for precision component manufacturing.

Industries served by Avtech include: Oil & Gas: Components for subsea, exploration, production and recovery tools, all requiring specific materials used with full traceability.

Mining: Tools to support exploration and drilling areas from ‘down the hole’ equipment to surveying tools. Hydraulics: Cylinders, rams, manifolds and valve blocks.

Mechatronics/Electronics: Cases, standoffs, brackets, chassis and electro-mechanical components.Materials: Avtech has extensive experience in machining high-strength alloy

steels, aluminium, brass/bronze, cast iron, inconel, hi-nickel alloys, plastics, stainless steels, exotic materials, steel and titanium for local and overseas industries that need high-quality components manufactured on time, every time.

Avtech manufactures precision components for local and international manufacturers of CNC machinery and industrial safety switch components, in batches of one or 100. The majority of its CNC lathes have live tooling with Y-axis ability and bar feeds.

Avtech’s five-axis Integrex gives customers the utmost freedom for design, performing a lot of prototype and complex work on this machine that would otherwise take several operations or not be possible at all.

Avtech Engineering 6 Wildon Street Bellevue, Western Australia 6056 T: 08 9274 4122 F: 08 9274 5012 W: avtech-eng.com.au Steve Delfos Managing Director T: 0418 900 406 E: steve@avtech-eng.com.au Avtech has been in the precision manufacturing business since 1979, specialising in machining precision components for a diverse range of industries. Avtech pays particular attention to identifying what the customer requires prior to manufacture, assisting with design, producing quality parts efficiently and by the agreed delivery date.

Avtech’s CNC milling department has fourand five-axis ability, supported by the Solid Works-based Camworks software, which has significantly improved the company’s ability to turn customers’ models into reality.

To further support the design department, the company has also introduced a Faro arm for the reverse engineering of complex shapes as well as checking of finished parts.

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A new financial year brings optimism Some good machine tool orders have been reported and a positive vibe has been exuded from the conversations I have had with members over the past few months.

As far as AMTIL is concerned, we have a number of key activities to focus on over this financial year.

We recently launched Austech 2017, which is running from 9-12 May in Melbourne next year. Now that Austech only runs every two years, it is apparent that exhibitors are keen to promote the latest technology available to our manufacturing sector and this should allow visitors an excellent opportunity to view and discuss what difference these technologies can bring to their business. The majority of our Technology Suppliers have booked space through our ballot process and this means Austech is already shaping up to be another bumper show.

Within Austech will be the Manufacturers Pavilion, a dedicated area for Australian manufacturers to showcase their capabilities to an audience expected to top 10,000.

This area will also feature OEMs and multinationals that are keen to identify local manufacturers that can enter their supply chain. We are very focused on delivering opportunities to our local engineering and manufacturing firms and the Manufacturers Pavilion aims to do exactly that.

We are also continuing our relationship with Rising Media (previously Meckler Media), the organisers of the worldwide series of 3D Printing events and they will be running the 3D Printing Conference alongside Austech next year. Of course, Austech is still co-located with National Manufacturing Week, with which we have had an excellent partnership with for the past 17 years.

Another key activity for AMTIL this year is to provide a greater suite of services to our growing membership. Our motto of Connect, Inform, Grow reinforces what we want to achieve for our members. Connect them with relevant people depending on the need. Whether it is a need around technology, research, management, training or business opportunities - we will continue to connect people via events, networking, email communication or direct introduction. Informing our members on topical issues, government mechanisms, relevant opportunities and activities that will assist them will continue through the AMT magazine and a number of communication methods.

Helping our members grow through major project opportunities, local supply chains, overseas trade missions and providing marketing and promotional services will also continue to be services we focus attention on.

Providing a voice to Government is also a key priority for AMTIL. We are already a key Partner Organisation to the Federal Government in the delivery of its Entrepreneurs’ Programme and a Portal Partner to the Innovative Manufacturing CRC. We are also involved with the Advanced Manufacturing Industry Growth Centre, and this consultation process with Government has enabled stronger relationships to be built.

We will continue to lobby AMTIL’s three key undertakings with Governments at all levels in order to gain assistance where possible. These undertakings are - to encourage investment in technology, boost education and knowledge transfer to improve capability and increase business growth through new markets and opportunities.

For more information on AMTIL membership, or to register your interest in exhibiting at Austech or the Manufacturers Pavilion, please visit www.amtil.com.au or email sinfanti@amtil.com.au

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Making financial ratios work for your business When it comes to understanding trends or issues within your business, there’s no simpler or more valuable method than tracking financial ratios. By Damian Sutherland.

Using your business’ historical trends, manufacturing industry data or simply applying against budgeted comparisons, financial ratio analysis can be extremely useful in understanding business performance. While calculating the most commonly used ratios is relatively straightforward, to get ahead you should challenge your finance team to go beyond basic computation of data and uncover insights that lead to strategic action.

A typical monthly trend analysis for a manufacturing organisation will include key ratios on liquidity, profitability, efficiency and solvency.

But arriving at the figures is just the beginning; there are two further steps that every finance team should undertake to ensure they’re getting to the meaning behind the numbers.

Measures that matter Key Performance Indicators (KPIs) assist businesses to define and measure progress towards management-agreed goals. Meaningful performance measurement is crucial to providing useful information to stakeholders, which include boards, investors, potential purchasers and lending institutions. Common KPIs to consider include: Financial Liquidity (quick asset ratio)

Inventory turnover

Gross Profit Margin

Accounts receivable days

Net Profit Margin

Accounts payable days

Return on Total Assets (ROTA) Debt to Equity Internal Business Controls Inventory ageing

Production cost of % total cost

Other lead times

Lost time

Number of orders in system

Quality Control

Delve deeper Firstly, ask your finance team to dive deeper, providing analysis or interpretation of the data and explaining any relevant or unexpected movements in the ratios. Simply stating that gross margin has reduced by a certain percentage is not sufficient. Liaising with other divisions across the organisation should allow your team to substantiate changes with non-financial data where possible.

As an example, when looking at your gross margin analysis, your finance team may discover from talking with the Operations Manager that a particular machine was not operating at full capacity due to maintenance issues. This certainly has contributed to the decline in gross margin and can explain the movement. You might ask them to look more closely at the hours of downtime verified to

maintenance records and also report on the cost incurred to repair the equipment. Depending on the timing of the repair, you might expect your gross margin to be down for some time, together with ongoing repair costs.

A report on your business’ financial ratios rarely has any meaning in isolation. Your financial team should be well versed in identifying trends in the data recorded. Using the above example, peaks and falls in gross margin may lead to the determination that every second month there are maintenance issues on a particular piece of equipment. The figures might prompt you to meet with the Maintenance Manager to understand the reason for this systemic issue and identify options to address the issue.

Aside from the typical monthly analysis of results to budget, trends in financial data can be useful when setting strategy. Historical financial data can demonstrate trends that may need to be addressed. For example, have margins changed on specific goods or services, and why? To answer these types of questions, you need the ability to look at the ratios over time and consider the broader industry and economic conditions.

Have you been impacted by digital disruption, innovation, competition or new markets? Are there opportunities arising from this? The robust analysis on longer-term trends is the perfect place to start when setting strategy.

In a world of ‘Big Data’, it’s important to focus only on the core drivers and ratios that impact your business. It’s better to understand the key factors as opposed to risking information overload or using ratios that essentially report the same figures. As the leaders of the business, you should provide guidance for your finance team on what the core drivers are. As a guide, you would expect your typical monthly report to include five key ratios accompanied by robust analysis.

On a periodic basis, it’s useful to complete a high-level benchmarking exercise against other organisations in your industry. This can provide you with some insight, or at least understanding, on areas of opportunity or weakness.

Whatever ratios you choose to monitor, it’s important to remember that they are only as good as the analysis supporting them, and the quality and consistency of information used to generate them.

Damian Sutherland is a Director of William Buck (Vic) Pty Ltd Chartered Accountants. AMTIL has a service partnership with William Buck as an exclusive benefit to our members. For more information, contact AMTIL’s Corporate Services Manager Greg Chalker at gchalker@amtil.com.au. Damian Sutherland can be contacted on 9824 8555 or damian.sutherland@williambuck.com

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AMTIL supports its members through its select range of AMTIL Service Partners.

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Austech 2017 – Don’t miss the ballot Austech 2017 is getting closer and closer, and one of the first major milestones will be reached on 16 August when AMTIL holds the ballot to decide the order in which exhibitors get to choose the location of their stands. The ballot is your chance to make sure your company is in the running for the best spots on the exhibition floor.

Australia’s premier advanced manufacturing and machine tool exhibition, Austech 2017 will take place at Melbourne Convention and Exhibition Centre from 9-12 May 2017. As always, Austech will include an exciting range of special features, including specialised areas such as the Additive and Digital Manufacturing Pavilion and Manufacturer’s Pavilion. Preparations for the show are already in full swing, and a number of companies have already signed up as exhibitors.

To ensure that the floor space is allocated fairly, AMTIL has always held a ballot among the companies who register early. There is still time to register as an Austech exhibitor and be included in the ballot. It pays to book early and maximise your pre-show exposure.

The Austech ballot is divided into groups: the first ballot includes exhibitors applying for 144sqm or more; the second is for exhibitors applying for 54-143sqm; and the third is for exhibitors applying for less than 54sqm. Exhibitors are encouraged to book stands of an appropriate size for their entire display.

The ballot will be conducted via a supervised draw on 16 August.

The names of all ballot participants will be placed into groups depending on the stand size required. Exhibitors from the 2015 exhibition who fell into the bottom 25% of each ballot, will be elevated into a priority draw for the 2017 event. Six draws will then take place including the priority draws.

The company names will be recorded in the order that they are drawn out and the companies will be contacted in that order. They will select the stand they require and the master floor plan will then be sent to the next company on the list. Once all companies participating in the ballot have chosen their space, the floor plan will be issued to the remainder of the membership and other prospective exhibitors. Bookings will then be taken on a first come, first served basis if there is any remaining space available.

The Austech exhibition covers strict product categories. Contact AMTIL Events Manager Kim Warren to confirm your eligibility and apply for participation in the ballot process. To take part in the ballot process, a signed contract and booking form together with a 10% deposit must be received at AMTIL by Friday 12 August 2016.

More events for your diary While Austech is still the best part of a year away, AMTIL has a number of other events lined up over the coming months. Keep an eye on the Events page on AMTIL’s website as fresh details are confirmed all the time. Upcoming events include: Business Master Breakfast Seminar “The Importance of leadership in a high-performing manufacturing company” Wednesday 17 August, 7.30-9.30am Riversdale Golf Club, Mount Waverley, VIC Speaker: Linsey Siede, Automotive Supplier Excellence Australia The management and leadership of any company affects everything they do, and their importance to the business’ performance cannot be ignored. Business strategy, customer focus, operational excellence and company culture are just some factors that determine success. This presentation will look at the data, results and outcomes of working with 150 companies over an eight-year period, and provide key information to help companies focus on achieving greater success.

AMT Aug/Sep 2016

Amaero Site Tour 5 October Notting Hill, VIC Details coming soon to www.amtil.com.au/events. Bookings are essential as places are strictly limited.

AMTIL AGM – Save the date Thursday 20th October 7:30am for Breakfast Riversdale Golf Club, Mount Waverley, VIC Aviation Aerospace Australia/AMTIL Joint Site Tour 27 October, 8.30am-10.30am Advanced Manufacturing and Design Centre John St, Hawthorn, VIC AMTIL has teamed up with Aviation/Aerospace Australia (A/ AA) to present a joint site tour of the Factory of the Future at Swinburne University and Technology. Located in the Advanced Manufacturing and Design Centre at Swinburne, the Factory of the Future showcases unique and integrated value-adding capabilities for advanced design, manufacturing and materials engineering.

The facility is a platform for research and teaching in future manufacturing and design-led innovation, and provides a portal for business, industry and the community to engage with Swinburne and potential collaborative partners.

AMTIL 2016 Corporate Golf Day & Christmas Lunch 2 December – Golf commences at 7.30am Riversdale Golf Club, Mount Waverley, VIC Join us for a relaxed social event to kick off the festive season.

AMTIL’s Corporate Golf Day includes a four-ball Ambrose event with participants invited to nominate teams of four, as well as a light breakfast, lunch and drinks, plus trophies, prizes and giveaways.

AMTIL NSW Members Christmas Function 6 December (dinner) – Save the date.

AMTIL QLD Members Christmas Function 9 December (lunch) – Save the date.

For more information on Austech or any of AMTIL’s upcoming events, please call 03 9800 3666, or email Events Manager Kim Warren on kwarren@amtil.com.au. www.amtil.com.au/Events

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Nurturing good teachers – The Margaret Clark Memorial Award

AMTIL FOOTY TIPPING 2016

As an AMTIL business adviser working on the Federal Government’s Entrepreneurs’ Programme, Mal Clark spends his days advising companies on how to improve their operations. But he is also active in bringing forward the next generation of engineers and entrepreneurs, as founder and presenter of the Margaret Clark Memorial Award.

Look carefully and you’ll find stories not dissimilar to the thread of a tapestry woven throughout the fabric of one’s life.

Occasionally that thread disappears only to reappear, more prominent and more meaningful. Monash University Emeritus Professor Richard Gunstone is such a thread throughout Mal Clark’s life.

“How would I describe Richard as a teacher?

That’s a difficult question!” laughs Mal. “You can say ‘very odd’ or ‘not very good’ and I’ll be comfortable with that,” offers Professor Gunstone.

Their good-natured rapport can be traced back to Dandenong High in the late 1960s, when Professor Gunstone taught Mal physics in year 11 and 12. Both would eventually make their way to Monash University, Mal as a physics undergraduate, and Professor Gunstone as an academic in science education.

It was not until Margaret Clark, Mal’s wife and a Monash University geography and biological sciences graduate, began her Diploma in Education with Professor Gunstone, that the former teacher and pupil would reconnect.

“Margaret would go on to do her Masters of Education with Richard as her thesis supervisor,” remembers Mal. “But shortly after beginning her thesis she was diagnosed with breast cancer.”

Margaret passed away three years later, only a few months after graduating.

In recognition of Margaret’s achievements and her attachment to Monash University, her ashes were scattered by the garden on Chancellor’s Walk, and each year the Margaret Clark Award recognises an outstanding Master of Education mathematics and science student.

“The award symbolises the emotional linkage it has for all the people involved with Margaret and Mal and his family”,

AMT Aug/Sep 2016

says Professor Gunstone. “It also recognises an aspect of the university’s work that is special. This is the only named masters coursework award we have in the education faculty.”

In addition to honouring his wife, the award represents Mal’s firm belief in philanthropy and the importance of great teachers.

And as the STEM (science, technology, engineering and maths) stream is one of the education faculty’s research and teaching strengths, its importance works on many levels.

“Good teachers don’t just pop out of the woodwork,” says Mal. “They need to be trained and nurtured. We need to recognise the really good ones. This is key and why I want to recognise master’s students with this award. This award is also for women because Margaret, obviously, was a woman and because they get shouldered out of science.”

Professor Gunstone agrees: “There are still remarkably few female physics academics and there are remarkably few female role models [in science].”

Mal’s generosity and the Margaret Clark Award are one step closer to fixing this.

Mal Clark is a Business Adviser with the Commonwealth Government’s Entrepreneurs’ Programme (EP). AMTIL is a partner organisation working with the Department of Industry in the delivery of the EP. www.business.gov.au/EP www.monash.edu/education/events/ stem-talks

L-R: Mal Clark, Heather Clark, Suzanne Emerton (recipient of the 2016 Margaret Clark Award) and Professor John Loughran.

Starting to get a little serious now folks, especially when after 17 rounds our top of the table is headed by ‘The Axe’. Looks like someone has taken it to the Kangaroos tree and chopped it down as they are tumbling down and possibly out the finals after an incredible start to the season. The usual suspects are shaping the top 8 but all positions are up for grabs which makes for an exciting finish.

Can we dare to dream as see the Pies sneak in from the depths of disaster to grab a spot by season’s end? Stay tuned. Sanchez ROUND 17 1 The Axe 109 (403) 2 Mal 108 (391) 3 Matthew Ferguson 108 (468) 4 Vineet Ahuja 107 (595) 5 Raff - (Parish Eng) 106 (353) 6 Zigi Barrett 106 (482) 7 Brendon Stephens 106 (591) 8 Daniel Fisher 105 (364) 9 Kweenslanda 105 (409) 10 Brendan Smith 105 (458)

Australian Manufacturing Technology Institute Limited

Keeping it Simple.

One Membership, Many Benefits.

connect.inform.grow.

MeMbershIp pAckAges AvAILAbLe AMTIL membership for companies, individuals and supporters within the precision engineering and advanced manufacturing sector.

For more information visit www.amtil.com.au or contact corporate services Manager greg chalker on 03 9800 3666 or gchalker@amtil.com.au

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Industry Calendar

Please Note: It is recommended to contact the exhibition organiser to confirm before attending event

INTERNATIONAL Euromold Brazil Brazil, Joinville 16-19 August 2016 Mould-making, tooling, design and application development. Co-located with Interplast www.euromoldbrasil.com.br

Metaltech Central Asia Kazakhstan, Almaty 14-16 September 2016 International metalwork technologies and equipment exhibition. http://kazmetexpo.kz/en

Industrial & Tool Show USA 5-6 October 2016, Kansas 26-27 October 2016, Missouri Showcase of industrial products and services. www.expoindustrialshows.com

Automation Expo India, Bombay 22-25 August 2016 Automation technologies. Includes industrial & process automation; control systems, robotics, pumps/valves, hydraulics www.iedcommunications.com

CeMAT Russia, Moscow 20-22 September 2016 Materials handling, warehousing equipment and logistics. Divided into five sections: Pick & Pack; Logistics; Store & Load; Move & Load; Manage & Service. www.cemat-russia.ru/en-GB

CIMIF Cambodia, Phnom Penh 26-29 August 2016 Wide profile from various sectors including textile & garment, agriculture, plastics, printing, packaging, food processing, automation, building materials, tools & hardware, auto parts and medical. www.camboexpo.com/CIMIF

Asiamold China, Guangzhou 20-22 September 2016 Mould-making services, tooling and machinery. Includes machine & cutting tools, pattern-making and prototyping equipment, hot-stamping machinery. 3D printing, die casting and metal processing & accessories. www.asiamold-china.com

India Essen Welding & Cutting India, Bombay 5-7 October 2016.

Trade fair for joining, cutting and surfacing technology. Presenting latest products, services and technologies relating to manual and machine welding. www.india-essen-welding-cutting. com/iewc

Taipei International Mold & Die Industry Fair Taiwan, Taipei 31 August – 3 September 2106 Area for ODM for product design & development. Concurrent show: Taipei Industrial Automation Exhibition www.odm-dmi.com/en www.autotaiwan. com.tw/en

Metalform China China, Beijing 21-24 September 2016 Features the whole industry chain of metal stamping, fabricating and forging. www.chinaforge.com.cn/en

IMTS USA, Chicago 12-17 September 2016 Over 2000 exhibitors and more than 15,000 new machine tools, controls, computers, software, components, systems and processes. www.imts.com Expo Logisti-K Argentina, Buenos Aires 13-16 September 2016 International exhibition of equipment, technology and solutions for logistics, flow of information and supply chain www.expologisti-k.com.ar Metalurgia Brazil, Joinville 13-16 September 2016 Welding equipment, forgings; furnaces; castings (steel, cast iron & non-ferrous metals); foundry machinery & equipment; raw materials and input materials; moulding resources. http://metalurgia.com.br AMB Germany, Stuttgart 13-17 September 2016 Intemational exhibitition for metalworking.

Includes latest developments in metal-cutting, machine tools, precision tools and relevant peripherals for metal machining . www.messe-stuttgart.de/en/amb

AMT Aug/Sep 2016

Manufacturing Myanmar 2016 Myanmar, Yangon.

22-24 September 2016 Myanmar’s only dedicated manufacturing trade exhibition, a wide range of machinery, equipment, technologies and solutions from around the world Germany and Myanmar have enjoyed a relationship spanning 60 years . German brands such as Guehring and Trumpf, will be showcasing machinery and equipment for the local market. http://manufacturingmyanmar.com Pune Machine Tool Expo India, Pune 29 September – 2 October 2016 Metal working machine tools for both metal cutting and metal forming including automation and robotics, tooling systems, CAD/CAM. www.mtx.co.in 30.BI-MU Italy, Milan 4-8 October 2016 Celebrating its 60th anniversary, includes metal forming & cutting machines, robots, automation and auxiliary technologies.

Includes special event: “Fluid Power”, dedicated to components for oil-hydraulic and pneumatic systems . www.bimu.it/en/home Expo Silesia Poland, Sosnowiec 4 -6 October 2016 International machine tools, tools and processing technology exhibition. www.exposilesia.pl/uk

Metalex Vietnam, Saigon 6-8 October 2016 International machine tools & metalworking exhibition. Includes: machine tools & machining centers, EDM machines; sheet metalworking; welding technology; automation; material handling; mould & die; metrology; surface treatment www.metalexvietnam.com Global Manufacturing & Industrialization Summit (GMIS) UAE, Abu Dhabi 10-12 October 2016 This global initiative - the world’s first GMIS - brings together leaders of both the public and private sectors. Identify fundamental challenges in the manufacturing sector and provide transformational ideas supporting and benefitting the private and public sectors and advance inclusive and sustainable industrial development. http://g-mis.com AMTS USA, Ohio 12-13 October 2016 Advanced Manufacturing Technology Show. The latest manufacturing solutions, technology, and machinery www.daytonamts.com Mining & Engineering Indonesia, Indonesia, Jakarta 12-14 October 2016 International mining expo which delivers significant opportunities for local and international suppliers to launch latest products, technologies and services and network with mining professionals from Indonesia and the surrounding region www.miningandengineeringindo.com Euroblech Germany, Hanover 25-29 October 2016 Presents the entire sheet metal working technology chain on future production processes. Includes sheet metal, semifinished and finished products, handling, separation, forming, flexible sheet metal working, joining, welding and surface treatment, processing of hybrid structures, tools, quality control, CAD/CAM systems & R&D. www.euroblech.com

Industry Calendar local

Advertiser Index

Sydney International Boat Show Sydney, Darling Harbour & Glebe Island 28 July – 1 August Claimed to be the largest recreational marine event in the southern hemisphere. www.sydneyboatshow.com.au Australasian Waste & Recycling Expo Sydney 10-11 August 2016 Categories include: waste services companies, landfill owners/operators, independent contractors, government, compost professionals, organics recycling, waste generators, recycling firms, trucks, machinery and equipment manufacturers, healthcare distributers, legal, insurance, financial firms. www.awre.com.au Townsville Technology Expo 17 August 2016 Jupiters Townsville Products related to the Instrumentation, Control and Automation Industry. www.iica.org.au/info/events Melbourne Home Show Melbourne Exhibition Centre 18-21 August 2016 Melbourne’s longest running Home Show for all the latest products, services and innovations for home improvement. www.melbournehomeshow.com.au Brisbane Boat Show Brisbane, Southbank 19-21 August 2016 Includes the latest products and services that the boating industry and new releases from Queensland’s major boating manufacturers. http://brisbaneboatshow.com.au Albury Technology Expo Commercial Club Albury 31 August 2016 Products related to the Instrumentation, Control and Automation Industry. www.iica.org.au/info/events Out of Hand: Materialising the Digital NSW, Ultimo, Powerhouse Museum 3 September 2016 – 25 June 2017 Museum of Applied Arts & Sciences showcasing over 90 artworks and objects materialised using new digital technologies and the world’s best design practices. https://maas.museum/event/out-of-handmaterialising-the-digital Land Forces 2016 Adelaide Convention Centre 6-8 September 2016 Australia’s premier land defence exhibition and a leading land defence forum for Australia, Asia and the Indo-Pacific region.

An international industry exposition to showcase equipment, technology and services for this region. Includes conferences and seminars. Showcase for manufacturers, systems integrators, maintenance and logistics specialists. www.landforces.com.au Safety in Action Sydney Showground 6-8 September 2016 Dedicated workplace safety event. Includes comprehensive range of products and services, interactive live demonstrations, dedicated feature areas and free seminars.

Co-located with Advanced Logistics & Materials Handling. www.safetyinaction.net.au/sydney All-Energy Australia Melbourne Exhibition & Conference Centre 4-5 October 2016 Australian Sustainability Conference. Includes solar, alternative technologies, energy efficiency and storage. Comprehensive coverage to all sectors of the clean and renewable energy industry. www.all-energy.com.au PrefabAUS 2016 Annual Conference Sydney, University of Sydney 10-12 October 2016 Theme: Delivering Next Generation Buildings.

Showcasing the best in prefabricated and offsite technology and design; exploring the future of the built environment. Features some of the industry’s most highly regarded leaders, showcasing ground-breaking projects, exploring innovative technology and host tours to some of Sydney’s most exciting locations for the offsite construction industry. www.prefabaus.org.au/conference Perth Technology Expo Process & Instrumentation Trade Show Perth Convention Exhibition Centre 13 October 2016 Products related to the Instrumentation, Control and Automation Industry. www.iica.org.au/info/events

3D Systems Asia Pacific

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114

history

Big wheels & little wheels – the story of Sir Laurence John Hartnett (1898 – 1986)

Part 14

From ugly duckling to eagle

UK-born Sir Laurence Hartnett arrived in Australia in 1934. The visionary Sir Laurence became known as Australia’s ‘Father of the Holden’ – and much more. Before he arrives in Australia, another adventure awaits Laurence – this time involving the transformation of an ugly duckling into a £30m+ success. The year is 1929.

A

mong GM’s range of gleaming makes on display in our Swedish showrooms were two plain “ugly duckling” English Vauxhall 14/40s. The only reason they were on our floor was that Vauxhall had been taken over by GM, and these British models were now part of GM’s range. Jim Mooney – President of GM’s Overseas division - had bought into Vauxhall and in doing so, created a lot of trouble for himself with other GM vice-presidents. “I think it’s the goddam worst looking piece of automobile I’ve ever seen. What made you think you could ever sell a thing like this in Sweden?” said one of the visiting US VIPs. What drove Jim to takeover Vauxhall was that the Overseas Division of GM had a lot of money invested in Sterling – ie India, New Zealand, Australia, South Africa and Britain - and it was logical that Jim should want GM to have an insurance policy in the form of a British product if people could not afford American GM cars. Jim could foresee the economic troubles ahead, and had the courage to take bold action to counter them before they arose. I supported Jim despite the personal attacks on myself and on “Limey” (slang for British) cars.

Vauxhall was in a sorry financial mess when Jim acquired it. The company was producing only 17 cars a week and was almost drowned in red ink.

Only a man with Jim’s foresight could have seen its great potential to GM. Others thought Jim was crazy and their reaction was sometimes violent. They were used to assembly lines which churned out thousands of cars a week. They could see no benefit in a rundown “Limey” outfit living on its reputation and making a handful of ugly automobiles that wouldn’t sell. It was a waste of good American dollars-and they gave Jim a hard time.

I was invited to England to build up Vauxhall’s exports. This would not be easy. The company was very rundown, the plant old-fashioned, the product poor and GM refused to pour any money into it for reequipping. It was frustrating and disappointing.

Twenty miles away from Vauxhall’s UK factory was the assembly plant of GM Ltd. which assembled and sold a very nice volume of about 20,000 Chevrolet trucks each year. The trucks came in from the US and Canada in CKD (completely knocked down) form for assembly and sale in Britain. But that was about to come to an end when the British Government suddenly brought in a very heavy import duty on imported motor-vehicles - the McKenna Duties.

The Bedford was GM Europe’s most profitable venture for several years.

This clamped a 32% Customs duty on all imported vehicles. Overnight Chevrolet trucks were priced out of the reach of the British buyer. This was just the kind of contingency that Jim had foreseen when he bought Vauxhall.

Vauxhall Motors may have been sick, but with financial help it could be saved. GM Ltd, however, faced disaster. It had no manufacturing business to fall back on: it was purely an assembly plant.

But we could see a way out of the problem which would not only keep GM Ltd alive but would give new life to Vauxhall. If Vauxhall could make some of the components for the Chevrolet truck, then GM Ltd might be able to bring the other parts in at a lower rate of duty. So Vauxhall started making parts for the Chevrolet. For the first time in months the plant became really busy. It was great while it lasted, but it didn’t last long. The president of Chevrolet came to England for a visit: “I won’t have Chevrolet parts made in another factory without my permission, and I won’t give permission!” He ordered the production of Vauxhallmade Chevrolet components to cease immediately. That meant the end of Chevrolet trucks on the British market.

It also meant that Vauxhall was back in trouble again. But by now Vauxhall had had a taste of truck manufacture. The disappearance of the Chevrolet, killed by Customs duties, had left a vacuum in the English truck market. So we designed a truck to replace the Chevrolet - a truck that was to become world-famous as the Bedford.

It was predicted the Bedford truck might reach 20 sales a month, but within three months, sales reached 500 a month, with 50% of output for export. And how we got those exports rolling!

The success of the Bedford truck silenced Jim’s critics and brought Vauxhall back into its former position as one of Britain’s automotive leaders, with British Bedford trucks and Vauxhall cars streaming out all over the world. In the first four years after the GM takeover, Vauxhall exports contributed more than 30 million pounds to British earnings overseas. In that time we sent 80,000 cars and trucks out of the country. What an extraordinary achievement it was when at the time of the takeover, Vauxhall was making only 17 vehicles a week!

This is an extract from ‘Big Wheels & Little Wheels’, by Sir Laurence Hartnett as told to John Veitch, 1964. © Deirdre Barnett.

AMT Aug/Sep 2016

To be continued…

lean

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