PLNT03_2010

$5.50

Return undeliverable items to Plant Circulation Dept., 8th Floor, One Mount Pleasant Road, Toronto ON M4Y 2Y5 PM 40070230

Volume 69, No. 03 April 2010

www.plant.ca

PLASMA POWER Nautel’s RF technology hits pre-warp speed HIGHLIGHTS Seven principles for IFRS conversion RCM improves productivity and cuts costs Ontario gets tough on workplace violence Add predictability to machine tool life

12 15 17 20

er 1,000 ducts in ov

o manage pr    “We 

stores…

   keep the most popular items in stock

  make sure our orders are filled on time

nage a  m o t  r  t easie i e k a m low

cash f

  automate our p

aper processes a

t on dat c a o t e l be ab ime in real t





re efficiently and Microsoft Dynamics® ERP helps us work mo provide better customer service.”

Microsoft Dynamics® ERP fits your company and business processes, not the other way around.

It gives your people easier access to real-time actionable information for better decision-making, which can help improve ROI. To learn more about the efficiencies Microsoft Dynamics® ERP can create for your business, go to microsoft.ca/dynamics/manufacturing

Editorial 12

A bigger bang from our buck

10

A

bout 10 years ago when the loonie was paddling about with the US buck in a 64-cent pond, experienced and successful plant executives announced collective dissatisfaction with the trade punditry’s admonishments concerning Canadian manufacturers’ lax investment in new, productivity boosting technology.

It doesn’t make sense to invest all that money in capital when the dollar is so low, they said. Better to hire the labour you need and adjust accordingly.

Fast-forward to today as the dollar flirts with parity, many manufacturers have continued to “adjust accordingly” through good times and bad, rather than make any significant capital investments in technology, machinery or equipment.

This is not a sustainable strategy.

Canada does not impress with its labour productivity, which is proving to be an ongoing drag on our standard of living. Organisation for Economic Co-operation and Development (OECD) statistics show our purchasing power modestly trails other developed nations, and this poor performance should be of particular concern to manufacturers who face huge challenges in post-recession, hyper-competitive world markets.

If you go to the Conference Board of Canada’s web site (www.conferenceboard. ca) and search productivity, you will see some very nice diagrams showing countries that make higher investments in machinery and equipment enjoy higher productivity growth. You will also see that Canada’s investments are among the lowest compared to its peers.

Yes, we saw a bit of a productivity boost in the final quarter of 2009. Business turned in a 1.4% improvement while manufacturing was up 2.1%, which was pretty good considering Canada lost ground in 2008 with a -0.9% performance.

But the big picture shows we have advanced a paltry 0.7% over the past decade, half the rate of the US, our chief rival and biggest customer. Indeed, the US has been tooting along very nicely since the mid-1990s when manufacturers made massive investments in machinery, equipment and information and communication (IC) technologies.

Bank of Canada governor Mark Carney has warned that if our pokey productivity improvements continue, we are going to have a problem over the longer term. Manufacturers will find it even more difficult to compete, and over the next decade Canadians will be short $30,000 in real income.

It’s not going to be easy to catch up to the US. The Conference Board notes if US productivity grows at its 2000 to 2008 rate of 1.67%, Canada’s growth will have to be 3.22 per cent.

Oddly enough, an at-par loonie may help narrow the gap. Although a more robust dollar will make life difficult for manufacturers that export (especially those with US customers), investments in the machinery, equipment and technology needed to improve productivity will hurt a little less since much of it is sold in US currency. And the gains that follow will be key to improving competitiveness.

That’s how Clearwater Seafoods is dealing with parity. Much of the Halifax-based company’s business is beyond our shores, so it’s using an at-par dollar to make its operations more efficient. Laptops and software will help its captains scoop up choice fish, scallops and lobsters in minutes rather than the half hour it takes to drag the sea bottom.

Improved productivity means economic growth, more jobs and a bigger bang for our buck. That’s worth the investment businesses must make.

Joe Terrett, Editor

15

18

Features

>> INNOVATION

10 DIVERSIFICATION Nautel expands its export market for radio frequency technology to galactic markets.

>> MANAGEMENT

12 FINANCIAL REPORTING Seven principles for a cost-effective conversion to International Financial Reporting Standards.

>> OPERATIONS

15 MAINTENANCE Make your plant more reliable, productive and cost-effective with RCM.

THINK LEAN Build a culture based on visible and present values.

16 TECH TIPS How to keep motor movement under control.

17 SAFETY Bill 168 gets tougher on violence in Ontario’s workplaces.

>> SUSTAINABILITY

18 MATERIALS HANDLING Hydrogen-driven Plug Power in lift trucks lowers carbon dioxide emissions while increasing productivity.

19 CLEAN TECH HySTAT electrolyzers heading for Germany; Solar energy systems for 11 school boards; RAM hybrids to test Eletrovaya batteries.

GREEN MANUFACTURING What’s in it for your employees?

>> TECHNOLOGY

20 IT FOR INDUSTRY ToolMon makes tool life more predictable with real-time status productivity reports.

PLANTWARE Visualize defects with VisionPro; FastPic5 ensures more accurate inventory tracking.

Departments

4 Industry View 6 Events 7 Labour Relations 8 PLANT Pulse 21 Product Showcase 22 Postscript

20

Comments? E-mail joe.terrett@plant.rogers.com.

Vol. 69, No. 03, April, 2010 Editor: Joe Terrett 416-764-1546 joe.terrett@plant.rogers.com Features Editor: Noelle Stapinsky 416-764-1449 noelle.stapinsky@rci.rogers.com Contributing Editors: Ron Richardson, Steve Gahbauer Art Director: Kathy Smith 416-764-1542 kathy.smith@rci.rogers.com Junior Web Producer: Jessica Mirabelli 416-764-1316 jessica.mirabelli@rci.rogers.com Director of Sales, Marketing and Customer Service: Laura Goodwin 416-764-1492 laura.goodwin@rci.rogers.com District Sales Manager: Dean Walter 416-764-1776 dean.walter@rci.rogers.com Advertising Representative: Jason Lofkrantz 416-764-1521 jason.lofkrantz@rci.rogers.com

www.plant.ca

Canadian PLANT Fax: 416-764-1742 Circulation Manager: Celia Ramnarine 416-764-1451 deokie.ramnarine@rci.rogers.com Production Manager: Jennifer Reinhardt 416-764-3919 jennifer.reinhardt@rci.rogers.com Executive Publisher of the Industrial Group, BPPG: Tim Dimopoulos 416-764-1499 tim.dimopoulos@rci.rogers.com Rogers Media Inc. President and CEO: Anthony P. Viner Rogers Publishing Limited President and CEO: Brian Segal Senior Vice-President Business & Professional Publishing: John Milne Senior Vice-Presidents: Marc Blondeau, Michael Fox Vice-Presidents: Immee Chee Wah, Patrick Renard Editorial Advisory Board: Robert Hattin, Edson Packaging Machinery • Ron Harper, Cogent Power • Greg MacDonald, Wentworth International Services • Roy Verstraete, Anchor Danly Subscription Department: For subscriptions services e-mail: rogers@cstonecanada.com 416-932-5071 Fax 416-932-1620 Outside Toronto 1-866-236-0608

Mail: Canadian PLANT, Circulation Dept. 7th Floor, One Mount Pleasant Road, Toronto ON M4Y 2Y5 Subscriber Services: To subscribe, renew your subscription or to change your address or information, please visit us at www.rogersb2bmedia.com/plnt. Mail Preferences: Occasionally we make our subscriber list available to reputable companies whose products or services may be of interest to you. If you do not want your name to be made available, please contact us at rogers@cstonecanada.com or update your profile at www. rogersb2bmedia.com/plnt.

Canadian PLANT—established 1941, is published by Rogers Publishing Limited, a division of Rogers Media Inc., One Mount Pleasant Road, Toronto, Ontario, M4Y 2Y5. Montreal Office: 1200 avenue McGill College, Bureau 800, Montreal, Quebec, H3B 4G7.

Subscription Price: Canada $69.00 per year, Outside Canada $141.00 US per year, Single Copy Canada $5.50. Plant is published 8 times per year except for occasional combined, expanded or premium issues, which count as two subscription issues. Printed in Canada, contents of this publication are protected by copyright and must not be reprinted in whole or in part without permission of the publisher.

Publications Mail Agreement #40070230. Return undeliverable items to: Canadian PLANT Circulation department., 8th Floor, One Mount Pleasant Road, Toronto ON M4Y 2Y5. U.S. periodicals registration no. 0010-881 at Lewiston, N.Y. US Postmaster: Send address changes to Rogers Media, PO Box 4541,

Buffalo, New York, 14240, USA Performance claims for products listed in this issue are made by contributing manufacturers and agencies.

No responsibility for the accuracy of these performance claims can be assumed on the part of Canadian PLANT or Rogers Media and its agents or distributors. Contents copyright© 2010 by Rogers Publishing Limited, may not be reprinted without permission.

Canadian PLANT receives unsolicited materials (including letters to the editor, press releases, promotional items and images) from time to time. Canadian PLANT, its affiliates and assignees may use, reproduce, publish, re-publish, distribute, store and archive such unsolicited submissions in whole or in part in any form or medium whatsoever, without compensation of any sort. This statement does not apply to materials/pitches submitted by freelance writers, photographers or illustrators in accordance with known industry practices. Our environmental policy is available at www. rogerspublishing.ca/environment. We acknowledge the financial support of the Government of Canada through the Canada Periodical Fund (CPF) for our publishing activities.

TM

ISSN 0845-4213

Canadian PLANT 3

Departments

>> Industry View

>> PLANT Online

Magna joint venture to supply VW seats

Click on Community The PLANT web site (www. plant.ca) is your go-to for research and reports. Click on Research and download this report: • Small is Different: A Science Perspective on the Regulatory Challenges of the Nanoscale.

Manufacturers’ concerns Respondents to PLANT’s Canadian Manufacturing Outlook: 2010 survey are iffy on risk management. More than half the companies surveyed (57%) don’t have or aren’t sure they have a formal risk management process.

Yet there are plenty of risks out there. They cited some obvious ones: competition and outsourcing (24%), market downturn (13%), and financial/fiscal and currency fluctuations (each 11%).

For a pdf of the survey results go to COMMUNITY/Research.

News updates Subscribe to Canadian PLANT’s weekly e-newsletter.

• Go to www.plant.ca • ABOUT US/Print Subscription • Scroll down to the PLANT logo • Click on the mouse icon • Select register/check Online Access Find news you missed. Click on NEWS at www.plant.ca.

• Natcore to expand solar capabilities with Vanguard • ATS acquiring global healthcare systems manufacturer • Project expands gas capacity in Saskatchewan

AURORA, Ont.: Magna Seating and Hollingsworth Logistics Management, an industrial supply chain management firm, have formed a joint venture company. It will supply the Volkswagen Group of America with complete seating systems for the mid-size sedan to be built at Volkswagen’s new Chattanooga, Tenn. assembly facility.

Ownership of Chattanooga Seating Systems will be split between Hollingsworth Logistics, based in Dearborn, Mich., with 51%, and Magna Seating, an operating group of global parts supplier Magna International in Aurora, Ont., with 49 per cent.

Because Hollingsworth is a Native American-owned company, Chattanooga Seating Systems qualifies as a minority supplier to Volkswagen.

The new company will create 120 jobs in Tennessee.

CAE lands contracts worth $288M MONTREAL: CAE Inc. has racked up another $288 million worth of contracts.

The Montreal-based manufacturer of simulation and modelling technologies for the aerospace industry sold three CAE 7000 Series full-flight simulators to Lion Air, Indonesian domestic airline in a deal worth more than $38 million and it has also announced a $250 million contract for a comprehensive CH147F Chinook helicopter aircrew training solution from the federal government.

The Canadian contract was awarded under the Operational

been awarded an initial $2.8 million contract, which is expected to lead to additional business worth more than $14 million.

Another customer, not identified, has awarded COM DEV a $1.2 million contract to provide switches, filters and multiplexers for a commercial communications satellite. A subsequent full contract would be worth more than $8 million.

COM DEV has started work on the design phase of the Canadian Space Agency’s RADARSAT Constellation Mission, which includes the development of key payload subsystems.

The mission will provide surveillance coverage of Canada’s territory and waterways as well as contribute to global disaster management. Three satellites are scheduled for launch in 2014 and 2015, but the mission is scalable to six satellites.

A CAE Series 7000 flight simulator.

PHOTO: CAE

Training Systems Provider program and is in support of Canada’s new fleet of 15 CH147F Chinook medium-toheavy lift helicopters.

During the acquisition phase, CAE will lead the design and development of a CH147F military training suite. The second phase kicks in with delivery in early 2014 and CAE leading the aircrew-training program.

In the Lion Air deal, one full-flight simulator is for the ATR72-500 aircraft and the other two are for the Boeing 737-900ER. CAE will also deliver two CAE Simfinity integrated procedures trainers.

>> bulletins Ontario researchers with the AUTO21 Network of Centres of Excellence in Windsor, Ont. will soon be gathering critical technical data for the new Toyota Prius Plug-in Hybrid vehicle (PHV). Toyota is running global trials to assess the vehicle’s performance in a variety of driving and climate conditions.

More satellite deals for COM DEV CAMBRIDGE, Ont.: European satellite builder EADS Astrium has selected COM DEV International Ltd. to provide passive microwave equipment for four commercial communications satellites that will deliver nextgeneration broadcast, VSAT and broadband services in Europe and Africa.

COM DEV, a manufacturer of space hardware subsystems in Cambridge, Ont., said it has

Mitec Telecom Inc., a manufacturer of mobile wireless, fixed wireless, broadcast and satellite components in Lachine, Que., has received a major order for its dual band Distributed Antenna System (DAS) network for an unnamed customer. A DAS network allows wireless opera-

The unique radial constructioshape (PFR) offers a superior solutiofor this commotask.

■ Tough and aggressive - removes scale and bead from all metals: steel, stainless steel, aluminum and alloys.

■ Works faster thagrinding wheels without the risk of undercutting the workpiece.

■ Precise grinding out of fillet welds provides a superior surface finish.

Steel/Stainless steel (INOX) Type SGP-ZIRKON-CURVE

Wolverine Tube (Canada) Inc. in London, Ont. has a new name and new owners, including members of the management team. The manufacturer of copper tube products for the industrial, wholesale and refrigeration markets is now called Great Lakes Copper Inc., and features a broader range of products. The name was chosen from 150 submitted by employees.

Tech-Con Automation Inc., a Burlington, Ont.-based automation integrator, has signed an exclusive agreement with Flow International Corp. to offer the Kent, Wash. manufacturer’s ultra-high pressure waterjet cutting and cleaning technology to the automotive market. The agreement covers new robotic waterjet cells and includes service contracts and retrofits on any installed base within Canada, the US and Mexico.

Nova Scotia Power Inc. and NewPage Port Hawkesbury Corp. will develop a new 60-megawatt biomass cogeneration facility. Nova Scotia Power will invest $200 million in the project, while NewPage will be responsible for the construction and operation of the facility, and the stem wood fuel supply. The plant will be capable of supplying up to 400 gigawatt hours of power annually, representing almost 3% of the province’s total electricity requirement.

>> PLANT Off-Site

POLIFAN®-CURVE Flap Discs Special Line SGP POLIFAN®-CURVE is a new PFERD innovatiodesigned to quickly achieve a smooth, consistent surface finish ofillet welds.

tors to deploy very compact cell sites in areas where towers can’t be installed due to space or regulatory zoning restrictions.

■ Smooth finish allows easy visual inspectiofor defects, such as porosity and inclusions.

■ Ideal for repair applications to remove defects without damage to adjacent areas. Leaves ample room for new weld bead.

■ Excellent tool life, including the radius edge of the disc.

■ Multi-purpose – may be used as a conventional flap disc, and also for underhand applications using the top of the disc.

Recommendatiofor use: The best results are achieved ohigh-performance angle grinders Medium for fillet weld widths > 3/16”(5 mm) Large for fillet weld widths > 5/16” (8 mm)

The POLIFAN® SGP ZIRKON-CURVE is a high-power tool for demanding grinding work with particularly high machining capacity.

Abrasive: Zirconia alumina Z: Grit size: 40

Ken Smith, winery manager at Andrew Peller Ltd. in Truro, NS, pauses with PLANT in front of the Il Gigante Rock carving in Monterosso, near Cinque Terra, Italy.

Workpiece materials: Steel, stainless steel (INOX) Application: Fillet weld grinding, chamfering, deburring Diameter (inches)

Disc Thickness (inches)

Fillet Weld Width (inches)

Grit size

4-1/2

9/16

Medium > 3/16

40

Unthreaded Arbor Hole Bore (inches) EDP No.

Threaded Arbor Hole Thread EDP No.

Max. RPM

7/8

67192

5/8-11

67212

10

13,300

4-1/2

5/8

Large > 5/16

40

7/8

67339

5/8-11

67359

10

13,300

5

9/16

Medium > 3/16

40

7/8

67196

5/8-11

67216

10

12,200

5

5/8

Large> 5/6

40

7/8

6743

5/8-11

6763

10

12,200

PFERD CANADA INC. • 5570 McAdam Road • Mississauga, Ontario L4Z 1P1 • tel: (905)501-1555 • toll-free:(866)245-1555 • fax: (905) 501-1554

PFERD1.indd 1

4 Canadian PLANT

Appear in PLANT Off-Site and win $50! Have a photo taken of you reading PLANT in a remote, interesting or exotic location. Send photos with name, title, company, address and phone number to Off-Site, Canadian PLANT, One Mount Pleasant Rd., Toronto, Ont. M4Y 2Y5. Sorry, we can’t return them. Digital photos should be 5x7 inches and 300 dpi. Send them to joe.terrett@plant.rogers.com.

4/6/10 1:40:04 PM

April 2010

The Truth About Compressed Air! If you think compressed air is too expensive and noisy - read this. The facts will surprise you!

Compare these Blowoffs

Facts about Blowers

There are a variety of ways to blow the water from the bottles shown in the photo below, but which method is best? To decide, we ran a comparison test on the same application using four different blowoff methods: drilled pipe, flat air nozzles, Super Air Knife (each using compressed air as a power source), and a blower supplied air knife (using an electric motor as a power source). Each system consisted of two twelve inch long air knives. The following comparison proves that the EXAIR Super Air Knife is the best choice for your blowoff, cooling or drying application.

Energy conscious plants might think a blower to be a better choice due to its slightly lower electrical consumption compared to a compressor. In reality, a blower is an expensive capital expenditure that requires frequent downtime and costly maintenance of filters, belts and bearings.

Here are some important facts:

The goal for each of the blowoff choices was to use the least amount of air possible to get the job done (lowest energy and noise level). The compressed air pressure required was 60 PSIG which provided adequate velocity to blow the water off. The blower used had a ten horsepower motor and was a centrifugal type blower at 18,000 RPM. The table at the bottom of the page summarizes the overall performance. Since your actual part may have an odd configuration, holes or sharp edges, we took sound level measurements in free air (no impinging surface).

Filters must be replaced every one to three months.

Belts must be replaced every three to six months.

Typical bearing replacement is at least once a year at a cost near $1000.

Drilled Pipe

Blower Air Knife

This common blowoff is very inexpensive and easy to make. For this test, we used (2) drilled pipes, each with (25) 1/16" diameter holes on 1/2" centers.

As shown in the test results below, the drilled pipe performed poorly. The initial cost of the drilled pipe is overshadowed by its high energy use. The holes are easily blocked and the noise level is excessive - both of which violate OSHA requirements. Velocity across the entire length was very inconsistent with spikes of air and numerous dead spots.

The blower proved to be an expensive, noisy option. As noted below, the purchase price is high. Operating cost was considerably lower than the drilled pipe and flat air nozzle, but was comparable to EXAIR’s Super Air Knife. The large blower with its two 3" (8cm) diameter hoses requires significant mounting space compared to the others. Noise level was high at 90 dBA. There was no option for cycling it on and off to conserve energy like the other blowoffs. Costly bearing and filter maintenance along with downtime were also negative factors.

Flat Air Nozzles

EXAIR Super Air Knife

As shown below, this inexpensive air nozzle was the worst performer. It is available in plastic, aluminum and stainless steel from several manufacturers.

The flat air nozzle provides some entrainment, but suffers from many of the same problems as the drilled pipe. Operating cost and noise level are both high. Some manufacturers offer flat air nozzles where the holes can be blocked - an OSHA violation. Velocity was inconsistent with spikes of air.

The Super Air Knife did an exceptional job of removing the moisture on one pass due to the uniformity of the laminar airflow. The sound level was extremely low. For this application, energy use was slightly higher than the blower but can be less than the blower if cycling on and off is possible. Safe operation is not an issue since the Super Air Knife can not be deadended. Maintenance costs are low since there are no moving parts to wear out.

• Blower bearings wear out quickly due to the high speeds (17-20,000 RPM) required to generate effective airflows.

• Poorly designed seals that allow dirt and moisture infiltration and environments above 125°F decrease the one year bearing life.

• Many bearings can not be replaced in the field, resulting in downtime to send the assembly back to the manufacturer.

Blowers take up a lot of space and often produce sound levels that exceed OSHA noise level exposure requirements. Air volume and velocity are often difficult to control since mechanical adjustments are required.

To discuss an application, contact:

EXAIR Corporation 11510 Goldcoast Drive Cincinnati, Ohio 45249-1621 (800) 903-9247 Fax: (513) 671-3363 email: techelp@exair.com www.exair.com/18/423.htm

The Super Air Knife is the low cost way to blowoff, dry, clean and cool.

Blowoff Comparison Comp. Air

Sound Level dBA

Annual Purchase Approx. Annual First Year Electrical Price Cost Maintenance Cost Cost*

Type of blowoff

PSIG

BAR

SCFM

SLPM

Horsepower Required

Drilled Pipes

60

4.1

174

4,924

35

91

$50

$4,508

$920

$5,478

Flat Air Nozzles

60

4.1

257

7,273

51

102

$168

$6,569

$1,450

$8,187

Blower Air Knife

3

0.2

N/A

N/A

10

90

$5,500

$1,288

$1,500

$8,288

Super Air Knife

60

4.1

55

1,557

11

69

$480

$1,417

$300

$2,197

*Based on national average electricity cost of 8.3 cents per kWh. Annual cost reflects 40 hours per week, 52 weeks per year. Prices shown are U.S. Dollars.

Departments

>> Industry View

>> Careers NSK Canada Inc., part of NSK Americas, has a new general manager. Michael St. Jacques comes to the Mississauga, Ont. operations of the Japanese global bearing company from Latham International, a manufacturer of pressure filtration systems in England. His career includes progressive management roles at multi-nationals Karcher, Interactive Media, Orkin/PCO-Quebec and Group Service France.

Former Chrysler CEO Tom LaSorda joins Electrovaya Inc.’s board as a special advisor. The

Michael St. Jacques Tom LaSorda

Toronto-based company manufactures proprietary lithium ion SuperPolymer battery systems. LaSorda will focus on Electrovaya’s growth strategy, including business development and global alliances.

Hy-Drive Technologies Ltd. has promoted Fred Florence to COO. Florence joined Hy-Drive, developer of the patented

Hydrogen Generating System (HGS) in Mississauga, Ont., as vice-president and CFO in December 2008. Prior to joining Hy-Drive, he was COO of Expert Customs Brokers, a division of Trans-X, one of Canada’s largest private fleet trucking companies.

Hugo Sorensen, president and CEO, is retiring June 1. Dan Doucette, Hy-Drive’s chairman, assumes the responsibilities of the executive chairman.

Solarvest Bioenergy Inc. has appointed Joseph Heng CFO. The chartered accountant has more than 36 years of industry experience in public account-

ing. Solarvest is a Vancouverbased developer of sustainable and renewable energy sources.

There have been major changes in the executive suite of LGC Skyrota Wind Energy Corp.

Richard Hogg, managing director of the Limavady Gear Co. (LCG) in the UK is now president and CEO of the Vancouver company that develops and maintains wind turbines. He replaces Thomas Braun. Pamela McLean replaces Ralph Braun as CFO and Ian Kinstrie is now COO. Both Brauns resigned as officers and directors of the company; no reason was

given. The company operates two business divisions: LGC, which rebuilds gearboxes for large wind turbines, and Skyrota, which manufactures a 5-kilowatt, small vertical-axis wind turbine.

Louis Potvin, the CFO of steel fabricator ADF Group Inc. will be stepping down in late April to become CEO of Les Metaux Tremblay, a Saint-Hubert, Que. manufacturer of doors, frames and architectural hardware.

Potvin had been with the Terrebonne, Que.-based steel fabricator for the past eight years.

>> Events MMTS

IT WORKS!!!

Join the thousands of companies that are saving thousands by having their oil purified.

Don’t pay for those used oils to be taken away. There’s a good chance they can be purified, re-additized and reused many times over. Chem-Ecol Ltd. Has been successfully purifying industrial oils for over 35 years.

Oils we can purify include: • Hydraulic Oils • Gear Oils • Stamping Oils • Refrigeration Oils • Cutting Oils • Quenching Oils • Fire Resistant Oils • Dielectric Oils

SAVE 30% TO 70% CALL 1-800-263-3939 www.chem-ecol.com

SME May 18-20, Montreal Check out the latest equipment, accessories and supplies from machine tool suppliers, automation technology and test/ inspection instruments at the Montreal Manufacturing Technology Show (MMTS), presented by the Society of Manufacturing Engineers (SME). Visit www.mmts.ca.

13th National FITT Conference FITT June 2-3, Ottawa FITT (Forum for International Trade Training) hosts this event focused on international trade that features roundtables, keynote speakers and plenty of opportunities to network. Visit http://www.fitt.ca.

CANDU In-Service-Inspection and NDT in Canada COG/CINDE June 14-17, Markham, Ont. The third international 2010 conference, jointly presented by the CANDU Owners Group (COG) and the Canadian Institute for NDE (CINDE), will focus on the accuracy of non destructive testing (NDT) in Canada.

Visit http://events.cinde.ca.

World Tooling & Machining Conference ISTMA June 20-24, Windsor, Ont. This meeting of the International Special Tooling and Machinery Association (ISTMA) hosted by the Canadian Tooling and Machining Association (CMTA) and the National Tooling and Machining Association (NTMA) , will explore global market opportunities. Visit www.istma.org/istma-world.

ISA Automation Week ISA Oct. 4-7, Houston The International Society of Automation’s (ISA’s) technical automation conference will present techniques and solutions for creating more efficient, productive and economical manufacturing processes. ISA training courses and standards meetings will also be held concurrently. Visit www. isa.org.

6 Canadian PLANT

April 2010

Labour Relations << Departments

Looking for leadership on plant closings

By Ken Lewenza

T

he shocking closure of the Siemens Energy plant in Hamilton has left more than 500 workers, their families and the entire community reeling.

Work done at the gas turbine plant is heading to a Siemens operation in North Carolina. Unfortunately, this kind of devastating news is all too common in Canada’s manufacturing heartland. We have already lost more than 500,000 manufacturing jobs across Canada. Between 2002 and 2008 we lost an average of 260 jobs every day. More recently that daily toll jumped to a staggering 550 jobs.

With so many jobs lost and so many plants closing, the pain can be numbing.

But it’s important to recognize the negative impact each and every closure has on our communities.

The Siemens plant has an annual payroll of more than $33 million, much of it spent in the community, and its 350 CAW Local 504 members contribute to more than 30 community groups and events every year. Their jobs generate important spinoffs: we know that for every dollar in manufacturing activity more than $3 is generated elsewhere.

Over the last six years, Hamilton has lost an incredible 33,000 manufacturing jobs, yet it’s just one of many communities suffering because of the national manufacturing jobs crisis.

We need to fight back and challenge these corporate decisions while continuing to raise awareness of the need for government leadership.

Fight back Siemens puts much effort into portraying itself as a good corporate citizen. It talks about its priority value as, “a commitment to ethical and responsible actions.”

How does anyone square that commitment with the actions Siemens is taking in Hamilton?

Six months ago Siemens declared that it was “committed to Ontario and to the Hamilton manufacturing facility.”

For all of its size, power and public posturing, Siemens depends on taxpayers and all levels of government for a lot of its business. For example, it was awarded a major contract from GO Transit to upgrade the entire signalling and communications system in and around Toronto.

It was the largest single contract ever awarded by GO and Siemens sees it as an important marketing milestone.

Siemens also brags about how the federal government’s electronic directory services is a Siemens product. And more than 18 months ago Ontario premier Dalton McGuinty was on hand for the official opening ceremonies of the Port Alma Wind Power Project located in Chatham. The project uses 44 Siemens wind turbines.

Public purchasing and government contracts provide our elected leaders with a lot of leverage to influence decisions. Government should announce

www.plant.ca

Canadian PLANT 7

Public purchasing and government contracts provide our “elected leaders with a lot of leverage... ” workers will be protected by introducing long overdue plant-closing legislation that requires companies to plan alternatives to closings, provide more income support for workers and make it more difficult financially to arbitrarily shutter their operations. A full suite of support measures should include stronger severance legislation as well as greater investment in worker retraining programs.

But governments must also play an ac-

tive role in maintaining a strong and vibrant manufacturing sector by demanding strong domestic content rules for public purchases. Targeted investments that leverage strong job and economic development commitments are critical but they require strict government oversight and administration.

Without active government involvement in the development of the manufacturing sector there will be more stories

of devastation and hardship for communities and the Canadian economy. The agonizing question for workers is how many more plants have to close before our elected leaders to get the message?

Ken Lewenza is the president of the Canadian Auto Workers Union, which represents 225,000 workers across the country. E-mail cawcomm@caw.ca.

Comments? E-mail joe.terrett@plant. rogers.com.

Departments

>> Economy JANUARY EI CLAIMS number 350,000

300,000

SOURCE: STATISTICS CANADA

250,000

200000

ECONOMIC DEVELOPMENTS AND TREND

150,000

J

J 2007

Trade balance slides into the red Imports

gross domestic product in billions of chained (2002) dollars Current dollars

180

Mexico

Japan

Japan

Mexico

Germany

All other countries

All other countries

Total

Total

-30

-25

-20

-15

-10

-5

per cent change

0

5

10

175 170 165

-20

-15

-10

-5

0

SOURCE: STATISTICS CANADA

China

2002 Constant dollars

160 150 150 145

J

Exports to all of Canada’s trade partners were down except to China, where demand for canola, iron ore, coal and other bituminous substances helped Source: Statistics Canada drive up the value of exports to $11.2 billion, an increase of 6.6 per cent. Imports from countries other than the US fell for the first time in eight years but their share rose to 48.8% in 2009 from 43.5% in 2005.

US exports were down 28.2% to $269.5 billion thanks to falling energy product prices and lower demand for automotive products. Weakness in automotive products also ere’s a big surprise: Canada’s international trade Current dollars eroded imports, which dropped by 17.8% to $186.7 billion. took quite a hit during the global economic con2002 Constant dollars However, Statistics Canada noted that for the first time, traction in 2009. A post-mortem of the year by Stacountries other than the US accounted for 25% of Canada’s tistics Canada shows imports and exports were down, exports, up from 16.2% in 2005, and despite exports to and our trade balance with other nations is in deficit for these countries declining 16.9% last year. the first time since 1975.

In other economic reports from the federal agency, Canada’s merchandise exports to the world were real gross domestic product (GDP) edged up by 0.6% in $369.7 billion for the year, down 24.5% from 2008, and January, a fifth consecutive monthly increase. imports dropped 15.5% to $374.2 billion. The greatest Goods-producing industries increased 1.3%, largely on decreases occurred in the first quarter. These declines the strength of manufacturing and construction. Mining turned a $46.9 billion trade surplus in 2008 into a deficit and oil and gas extraction also increased. of $4.5 billion last year.

February’s industrial product price index was unOur surplus with the US fell from $89.1 billion to $34.8 changed from January while higher prices for mineral billion, the lowest level since 1997, according to the fuels pushed up the raw materials index by 0.4 per cent.

Statistics Canada report, which notes Canada’s trade On the jobs front, unemployment appears to be easbalance with the world has been declining since 2004. ing. In January 698,800 people received regular employLast year the US represented 63% of Canada’s total ment insurance (EI) benefits, down 47,700 from Decemmerchandise trade, down from 65.7% in 2008 and 71.1% ber, the fourth consecutive monthly decline. in 2005.

J

J

2008

J 2009

2010

Source: Statistics Canada Manufacturing increased 1.9% with advances from 17 of the 21 major groups, notably fabricated and primary metal products, chemicals, plastics and rubber products. But motor vehicle production fell 2.4 per cent.

Industrial product price index (IPPI) IPPI excluding petroleum and coal products FEBRUARY INDUSTRIAL PRODUCT PRICE INDEX (IPPI)

BY PLANT STAFF

H

J

per cent change

index

(1997=100)

130 125 120 115

SOURCE: STATISTICS CANADA

China

SOURCE: STATISTICS CANADA

UK

2010

JANUARY MANUFACTURING GDP

Exports

US

J 2009

The number of beneficiaries fell in every province, with the greatest Source: Statistics Canada declines in Ontario, Alberta, BC and Quebec. More than a third of the job losses from October 2008 to June 2009 have been offset.

MERCHANDISE TRADE

US

J 2008

110 105 100

Industrial product price index IPPI excluding petroleum and coal products J

J 2007

J 2008

JF 2009

2010

Statistics Canada A Source: 1.3% increase in the Canadian dollar contributed to rising industrial prices for transportation products (0.9%), lumber and wood products (1.7%) and pulp and paper products (1%).

.

8 Canadian PLANT

April 2010

Our lifestyle approach to sustainability

1 Product Design We strive to design products that reduce consumption across the whole lifecycle.

2 2

6 Final Disposal

Raw Materials

Innovative products combined with reliable dispensing mean you can reduce how much gets used, wasted and thrown away.

We are committed to responsible sourcing of raw materials and ensuring the sustainability of the fiber we use.

We strive to use less of the world’s resources so there’s more left for the future.

5

3 Use

Manufacturing

Our high performance products and systems aim to help customers reduce their usage.

We invest in new technology and process improvements to reduce the use of natural resources and waste from manufacturing.

4 Transport We continue to develop more efficient ways of packing, handling and transporting our products to reduce the impact of their distribution.

Thanks for reminding us that every day should be earth day.

Reduce Today, Respect Tomorrow* is our approach to sustainability. It begins with the understanding that the way we use resources today shapes the world of tomorrow. And it has led us to focus on reducing consumption at every stage of the product lifecycle – from design and manufacture to distribution and disposal. Reduction is the key to lowering the environmental impact of our activities as well as those of customers. To learn more about Reduce Today, Respect Tomorrow* and how we can reduce consumption in your business, visit www.kcpreducetoday.com/us/ca ®/*Trademarks of Kimberly-Clark Worldwide, Inc. or its affiliates. Marques deposees de Kimberly-Clark Worldwide, Inc. ou de ses filiales. ©2010 KCWW. K01773 K3996-10-01

Innovations

>> Diversification

Nautel’s space

oddity

Radio frequency is no longer just for connecting ground control to Major Tom

By Noelle Stapinsky, Features Editor

Radio frequency waves power Ad Astra's VASIMR VX-200 plasma rocket engine.

PHOTO: NAUTEL

A

n Atlantic company that specializes in manufacturing broadcast radio frequency (RF) amplifier technologies is applying its sound wave expertise to develop generators for a plasma propulsion rocket engine.

This may seem like a galactic leap for Nautel, a 40-year-old company with an international reputation for its high power solid-state radio broadcast transmitters, but it’s not. Nautel is applying robust R&D capabilities to expand its technology to diversify into non-communication applications, and this led to a partnership with Webster, Tex.-based Ad Astra Rocket Co. to build RF generators that power a Variable Specific Impulse Magnetoplasma Rocket (VASIMR VX-200) concept. This pre-warp speed propulsion, invented by Dr. Franklin Chang Diaz, founder of Ad Astra, would cut a lot of time off a typical space jaunt.

The technology, in development since 1979, would conceivably shorten a trip to Mars from up to two years (using existing rocket engine technology that costs millions of dollars) to about 40 days.

Electric rocket engine technologies supply about 10 kilowatts of power and currently available generators are large, primitive and impractical systems for space applications.

Ad Astra needed a small, light power generator capable of 200 kilowatts to power its plasma technology.

“They needed a device that simply didn’t exist,” says Tim Hardy, Nautel’s head of engineering. “First they needed the fundamental technology to power the engine and then they needed to take that technology and put it in a space environment.”

Nautel develops radio transmitters that drive big antennas by amplifying small radio signals to a much higher power, so it applied the same expertise to develop two generators—one that is 50 kilowatts and another that’s 180 kilowatts.

“The technology is very much the same,” says Hardy.

“In the radio business we would put information on the signal. But in the generator application it’s just a continuous signal with no information.”

Traditional generators are typically installed in 1.8- by 1.5-metre racks and, depending on the power demand, there could be several of them. Nautel’s power units are the size of a golf bag.

The technology uses radio waves from the generator to heat argon gas.

“If you put enough energy into it [gas], the electrons separate away from the nuclei of the atoms and start to float around,” says Hardy. “As soon as that happens the gas becomes plasma.”

The plasma, which is a forced solid-state matter as hot as the sun’s surface, is then constrained and propelled by an intense magnetic field that forms a pipe, preventing the plasma from touching any physical matter as it flows down and expands outward.

NASA’s International Space Station—where the technology will be tested sometime next year—requires an

MAY 17 Ð 19, 2010 PLACE BONAVENTURE

YOUR INDUSTRY EVENT

REGiStER nOw and SAVE $20.

Visit mmts.ca and click i want tO REGiStER, or call 1-888-322-7333 ext. 220 for more details.

mmts.ca ORGANIZED BY:

MONTREAL

MMTS 2010: YOUR INDUSTRY EVENT IS BACK with thE LatESt ManUFaCtURinG tEChnOLOGY and KnOwLEdGE YOU nEEd tO SUCCEEd QuebecÕs largest and most comprehensive manufacturing event, MMtS 2010 is packed with the new technology, live equipment, premium networking and education that deliver the solutions you need! » NETWORK with over 6000 professionals and decision makers in aerospace, transportation, Medical, Energy, agri-food, Mining, Utilities and more » LEARN about industry trends and discover how your business can innovate and Þnd new opportunities

EVENT PARTNERS:

» SOURCE with 200 exhibitors representing over 500 suppliers ready to do business » COMPARE live equipment sideby-side including machine tools, automation, fabricating, cutting and bending, design engineering and more

annual reboost to keep it in orbit.

It was deliberately positioned in a low orbit for easier access and to reduce costs, but it deteriorates by about one metre a day.

The annual cost of boosting it back into position is about $100 million. Plasma technology could reduce the cost to less than $10 million.

The project’s first phase demonstrated the technology is feasible and meets the power, size and weight specifications required by Ad Astra. The next step is to harden the generators to withstand the space environment.

Rare engineering capability The company spends more than 10% of its annual revenue (about $30 million) on R&D and it has almost 40 engineers and technicians at its 70,000-square-foot integrated production facility, which is capable of rapid prototyping.

“Nautel holds a rare engineering capability that combines the specialized knowledge of efficient, compact high power RF amplifier design with modern digital control and signal processing,” says John Whyte, Nautel’s head of marketing and sales. “As a company we continuously review opportunities to apply this expertise in new application areas.”

Plasma propulsion is just one of Nautel’s new projects.

It’s also developing industrial RF energy for drying and heating applications and exploring sonar system design.

“There are a lot of industrial processes that require heating and often there are different techniques to do that,” says Hardy. “The most basic system would be to use hot air, which is just heated by resistors or by burning something, or there’s microwave systems used in some applications.”

But he says microwave systems have limitations because they omit short wave lengths that aren’t as good at heating large structures uniformly.

Nautel is developing an application for drying wood.

“Imagine 10 cubic metres of wood… RF will dry it evenly and uniformly throughout,” explains Hardy.

“This can speed up the process and produce a higher quality product.”

Involvement with the plasma rocket engine has put Nautel in a global spotlight, which is highlighting the company’s innovation capabilities.

Whyte calls the plasma project it’s Honda Racing program, and Hardy concurs. “Because we’re a company that’s trying to innovate and diversify into new markets, attention like this has people asking us what else we can do.”

To quote Captain Picard on the Starship Enterprise, Nautel is demonstrating it can “make it so.”

Noelle Stapinsky is the features editor of Canadian PLANT and Canadian Manufacturing.com. E-mail noelle.stapinsky@rci.rogers.com.

Comments? E-mail joe.terrett@plant.rogers.com.

10 Canadian PLANT

April 2010

Hard Working.

Easy Cleaning.

Our NEW stainless steel gear unit

New Food Industry Solutions from SEW-EURODRIVE TorqLOC’s corrosion-resistant, stainless steel design makes it the perfect choice for production line wash-down environments.

In harsh, wet and demanding processing environments, only the tough survive.

Maintaining 24/7 productivity and stringent hygenic standards is critical.

That’s why SEW-EURODRIVE offers a rugged and reliable range of products and integrated solutions that stand up to the rigorous uptime demands and high washdown pressures of the food industry. From bakeries and bottling to meat and poultry processing, SEW has solutions that are tailored to meet your specific application challenges in hygiene, performance and price.

Driving the world

TorqLoc®

Toronto (905) 791-1553

Montreal (514) 367-1124

Vancouver (604) 946-5535

www.sew-eurodrive.ca

Management

>> Financial Reporting

New accounting standards are coming. Areyou ready?

Seven principles for a costeffective IFRS conversion PHO

By Marshall Platt

A

s world markets inch toward economic recovery, Canada’s publicly accountable enterprises (PAEs) face an added bump in the road: mandatory conversion to International Financial Reporting Standards (IFRS).

Although the switch from Canada’s Generally Accepted Accounting Principles (GAAP) to IFRS doesn’t officially change over until 2011, PAEs will need to provide comparative IFRS statements for 2010 when they issue their 2011 financial statements. Private companies have a choice to make between IFRS and private company GAAP, with the same deadline.

This means organizations with a Dec. 31 year-end should essentially have strived to be IFRS-ready as of Jan. 1, 2010—unlikely, given the recent economic challenges most companies are dealing with.

Since virtually every Canadian manufacturer is looking for ways to reduce costs, that timeline may have tempted firms to scale back their IFRS conversion plans. But that could prove risky.

Enterprises can reduce the costs of conversion striking the right balance of internal and external resources to minimize potential conversion errors. So, what’s the optimal mix that won’t expose your organization to financial reporting-related risks?

Input costs will arise from three categories: internal human resources; external advisors, legal counsel and valuation experts; and information technology resources.

The key to minimizing these costs is careful planning and strong project management. Start early and maximize the use of internal resources by following these principles:

1.

Consider costs and benefits. Develop a plan that focuses on resources, costs and benefits, as well as deadlines.

Consider both the long-run and short-run costs. Prioritize the specific areas—including disclosure matters—that need attention. Obtain commitments for external assistance, such as engineering, valuations, IT and tax resources, and include collateral matters, such as loan agreements, compensation arrangements, treasury plans and budgets.

Set realistic deadlines. They should allow enough time to develop internal resources. Be realistic by providing buffers and time for quality assurance, and consider there may be deadlines earlier than the statutory requirements. Consider the options under IFRS 1 (first-time adoption of IFRS), and build relevant activities into your conversion plan.

Focus on the important changes. Consider the adoption of IFRS as a separate decision from major systems changes and avoid making unnecessary changes to financial reporting systems at the same time. If you plan to use temporary workarounds, identify what additional controls are needed to ensure there are no adverse implications. Distinguish between changes in estimates that are necessary, and those that aren’t. Address any anomalies in GAAP financial statements prior to 2010 to avoid conversion issues and focus on areas where differences in assets, liabilities, revenues and expenses related to future cash flows may be significant.

Use external resources strategically. Focus on areas where internal expertise is unavailable. Use external resources that deliver maximum long-term benefits for a given activity. Consider the benefit of using advisors as cold reviewers or internal control reviewers.

2.

3.

4.

TO:

iSTO

CK

PHO Reduce or share costs TO by using industry groups to source external advice in generic areas. Joint venture the development of templates for common applications, such as impairment, provisions and new IFRS standards.

Don’t reinvent the wheel. Access publicly available tools, templates and examples to support internal efforts. Use previously published IFRS-compliant financial statements to illustrate issues. Employ model financial statements to assist with drafting and consult the websites of professional accounting firms and the Canadian Institute of Chartered Accountants (CICA) for guidance.

Anticipate change. Build in the ability to react to expected and unexpected changes. Monitor known or proposed changes in IFRS and International Financial Reporting Interpretations Committee (IFRIC) publications. These may materially affect the financial statements at the changeover date. Plan on changes in IFRS standards when developing model financial statements and pro forma models. Use key performance indicators to assess the effects of significant changes in IFRS without creating the entire set of financial statements.

Document compliance. Document controls along with principles and include internal controls necessary to certify the changeover process. Establish documented reviews of policy choices under IFRS as part of the initial plan, not as a later add-on. Prepare investor materials, particularly guidance for the first year of IFRS, and obtain explanations for differences from Canadian GAAP. Prepare for all accounts a quantitative analysis of variance and conduct reviews with the CEO and CFO. Part of laying a framework for a cost-effective IFRS plan is understanding and anticipating the significant accounting issues that are likely to arise. Manufacturing companies in particular will need to carefully consider the impacts of IFRS standards related to: • Goodwill and business combination options for firsttime adopters, under IFRS 1 • Recalculating the costs of property, plant, and equipment assets (determination of significance) • Fair value option under IFRS 1 • Translation adjustments • Componentization of property, plant and equipment • Determination of cash generating units • Impairment-value in use calculations • Provisions • Hedging • Functional currency determination (for exporters) • Development costs • Employee benefits, including defined-benefit pension plans • De-recognition of financial assets Download the Deloitte publication: 20 Things to do before 2010 for a checklist at www.plant.ca, Community/Research.

5.

6.

7.

Marshall Platt is an audit partner with Deloitte in Toronto and leads the GTA Manufacturing Industry Program. E-mail mplatt@deloitte.ca.

Comments? E-mail joe.terrett@plant.rogers.com.

12 Canadian PLANT

April 2010

®

We offer more so you can do more.

As a small business owner, do you ever feel you're spread too thin and wish you could be in two - or more - places at once? That's why we created the Get Growing for Business Program.

We go above and beyond the financial services you'd expect. We're committed to helping you grow your business by offering more tools, resources and advice to help you.

It's our promise. No other bank does that.

Come in and talk to a Scotia Small Business advisor today or visit getgrowingforbusiness.com ®

®

Registered trademarks of The Bank of Nova Scotia.

Our shipping policies make it easier than ever to order direct from the U.S.!

Free standard shipping is available for orders totaling over $300 U.S. (except for items which require LTL shipping, see Web site for details). Also, save on brokerage fees when shipping standard ground to Canada - you can choose to allow AutomationDirect to nominate a broker for your shipment for parts shipping via standard ground. This can save you big on brokerage fees. See Web site for details and restrictions -

www.automationdirect.com/canada

STEPPERS Advanced microstepping drives and high-torque stepping motors

The SureServo family of brushless servo systems from AutomationDirect is fully digital and offers a rich set of features at dynamite prices. Beginners to experienced users can take advantage of this easy-to-use family for as little as $965* Agency Approvals (100W system). for Systems: * All components sold separately.

Bi-polar Stepping Motors start at $17 • Sizes from 61 oz-in to 1,291 oz-in • Multiple stack lengths in NEMA sizes 17, 23 & 34 Advanced Microstepping Drives start at $199 • Software configurable • 200 - 51,200 microsteps (software selectable) Linear Power Supplies start at $109 • 32V @ 4A, 48V @ 5A, 48V @ 10A, 70V @ 5A • Onboard input and output fuses included www.automationdirect.com/stepper-systems

DC MOTORS IronHorse® Permanent Magnet DC motors are available from 1/3 to 2 hp.

SureServo drives accept a wide range of command sources:

CHECK OUT OUR PRICES

Rolled steel frame / cast aluminum end bells Electrically reversible Compatible with SCR (thyristor) DC drives Large brushes for longer brush life, with easy access for replacement www.automationdirect.com/dc-motors

PNEUMATICS NITRA™ Pneumatics A-Series non-repairable stainless steel round body cylinders.

Allen-Bradley

Price/Part Number

$

Digital Servo Drive

• Position commands with “pulse/direction” or “count up/down” format • Encoder follower • Analog voltage Velocity or Torque command

Note: All components sold separately.

AutomationDirect

Servo Systems

• Built-in motion controller with preset position, velocity or torque select presets with switch inputs and/or the multi-drop Modbus serial interface

• • • •

Agency Approvals for Drives:

Agency Approvals for Motors:

479.00 319.00

$

89.00

$

49.00

$

29.00

$

SVA-2040

100W Servo Motor with connectorized Leads

$

Breakout Board Kit for CN1 Control Interface

$

10’ Motor Feedback Cable

$

10’ Motor Power Cable

$

SVL-201

ASD-BM-50A

SVC-EFL-010

Configuration Software

Price/Part Number

$

970.00

2098-DSD-005

972.00

Y-1003-2-H00AA

195.00

2090-U3BK-D4401

141.00

2090-UXNFBY-S03

82.00

SVC-PFL-010

2090-XXNPY-16S03

FREE SV-PRO*

$

75.00

2098-UWCPRG

*SureServo Pro software is FREE when downloaded and is also available for $9 on a CD

Complete 1-axis 100W System

Features:

$

965.00

$

2,435.00

All prices are U.S. list prices, AutomationDirect prices are March 2010 prices. The Allen-Bradley 100W system consists of part numbers shown in table above with prices from http://shop.rockwellautomation.com 9/18/09.

• Eight standard systems from 100 W to 3 kW • Use with DirectLOGIC PLCs or any other host control • Drives feature on-board indexer and adaptive tuning modes • Free set-up software • 2 year warranty

For configuration, tuning and diagnostics, use the drive’s integrated keypad/display or take advantage of the free SureServo Pro™ PC-based software.

www.automationdirect.com • Interchangeable with other common brands of round body cylinders • Single-acting (spring return) and double-acting models • Nose, pivot and double-end mounting options • Models available with magnetic piston for position indication • 3-year warranty

www.automationdirect.com/pneumatic-parts

For complete information or to order our free catalog, visit: www.automationdirect.com/servos or www.sureservo.com

1-800-633-0405

Maintenance << Operations

Make your plant more reliable USe RCM to improve productivity and lower costs

By Steve Gahbauer

I

n today’s competitive and cost-averse manufacturing environment, unexpected production downtime is the last thing you want to deal with, but you can secure greater machinery and equipment reliability through improved maintenance processes, which brings us to “reliability-centred maintenance” or RCM. Ed Stanek, a consultant and strategic work systems expert with LAI Reliable Systems in Chicago, proposes this need can be met doing the right work, at the right time, with the right skills, and at minimal cost.

Stanek, who was a featured speaker at last year’s International Maintenance Excellence Conference in Toronto, suggested considering several choices: developing a preventive maintenance program that focuses on correct tasks and frequencies; optimizing resources; filling CMMS gaps; maximizing analysis of collected data; and looking for opportunities to leverage.

There are obviously several ways of doing that, but as Paul Barringer, a Texas-based reliability, manufacturing and engineering consultant, pointed out: availability is not necessarily equal to reliability.

He says management sees reliability as a means of keeping the plant running and reducing the cost of maintenance. Let reliability maintenance drive the analysis but simplify the results and translate them into time and money terms for a quick grasp of the issues.

That requires clear and early communication—often the missing link in the process. What maintenance professionals say about reliability may not be what management hears or understands. It’s necessary to define reliability in terms of time, money and important events.

And for that you need a reliability policy and a cul-

Maintenance workers replace filters in a water purification plant.

ture of reliability and profitability.

A reliability policy must consist of a deliberate action plan or policy to guide decisions and achieve rational outcomes, says Bob Williamson of Strategic Work Systems in Columbus, NC, who has been involved in the development of reliability and maintenance systems for 25 years.

He says policy communicates how a company expects its employees to respond to equipment maintenance and reliability problems and to opportunities for improvement. Reliability is the result of a carefully constructed environment and must be the fabric of the organization, not part of the fabric. Everyone must be involved in the process and take the time to do it right.

Maintenance alone won’t make machines, systems and processes reliable because most causes of poor performance and equipment-related losses are outside the direct control of maintenance. As Williamson says, there’s

>> Think Lean

Values build culture

By Richard Kunst

L

ean seeks the perfect process through the elimination of waste. Its success relies on respect for people, but what does that actually mean? We talk about creating relationships where personal values are aligned with the organization’s values, but typically these values are not articulated in a way that can be followed.

I recently attended the Ethical Leadership Summit at the Soderquist Center (www.soderquist.org) where Don Soderquist spent considerable time discussing the power of having articulated values present and visible within the organization.

During his tenure with Wal-Mart the organization marched to the following values: • A vision that was more than financial • A culture based on its values • A genuine dedication to its people • A commitment to customers • A partnership with suppliers • A proactive approach to change • A passion for excellence

www.plant.ca

Create values based on intregrity, respect for individuals and communication.

PHOTO: iSTOCK • A continuing strategic focus • A committed leadership • Execution Wal-Mart’s current tag line is “Spend Less, Live Better,” which is an extension of Sam Walton’s original vision to improve the standard of living for people that shopped at his stores. He saw Wal-Mart as the purchasing agent for its customers. As it negotiated better prices, savings were equally shared with 30% benefiting Wal-Mart, 30% the supplier and

PHOTO: iSTOCKPHOTO

a need for overhauling traditional maintenance approaches, changing work cultures, and using focused teamwork and leadership to achieve gains in equipment and process reliability. He recommends turning to your existing RCM system, a gold mine of hidden opportunities.

What does excellence look like, and what do best performers do better? Those are questions Christer Idhammar, the founder and executive vice-president of IDCON Inc. in Raleigh, NC and the developer of “Results-oriented Reliability and Maintenance Management” attempted to answer in a technical presentation.

He said too many plants manage maintenance by cost instead of by improving things that drive costs.

According to a 2009 survey conducted by IDCON, 63% of planners spend less than 30% of their time on planning because they’re burdened with other priorities and attenContinued on page 16

30% applied to roll-back prices.

Soderquist mentioned he needed to know the name of the janitor, since this person more than others was tagged to preserve the image of the values of the organization. He was also very proud to note that 70% of current Wal-Mart managers started as hourly managers.

Other leadership secrets he shared include the following: • Leaders set the course, people do the work.

• Progression planning versus succession planning.

• If the organization is growing by 30% how is your personal growth growing?

• Dream big.

• Faith sometimes can be more important than data.

• As a leader you are always on the clock.

• Life is a mosaic not a puzzle.

Create non-negotiable values based on integrity, respect for individuals and communication, because we are working to create authentic leaders, not karaoke managers.

Richard Kunst is president and CEO of Kunst Solutions Corp., which publishes the “Lean Thoughts” e-newsletter.

E-mail rkunst@kunstartofsolutions.com.

Comments? E-mail joe.terrett@plant.rogers.com.

Canadian PLANT 15

Operations

>> Maintenance What best performers do

Access Trend data for timely maintenance

B

Continued from page 15

osch Rexroth raises the bar on reliability with its “Trended” internet-based data tracking service. It determines operating trends by recording variables that influence the operating life span of components, or parameters that have a detrimental effect on performance over the long term.

Information is acquired from the machine’s data acquisition system and transmitted at regular intervals to the base station where it’s automatically processed, interrogated for abnormal behaviour and posted.

Data is secured with a http link and a Secure Login page with user-specific roles. System features incude: • continuous monitoring of important system parameters; • 24/7 access from any internet access point; • early detection of deteriorating conditions; • early detection of changing operating patterns and behaviours; • systematic and timely planning of maintenance activities; • and optimization of operating costs.

Visit www.trended.com.

tion to breakdowns; planners have not been sufficiently trained; and that neither operations nor management really support planning. That means the maintenance crews have to deal with inherited poor practices. They’re also hampered by union agreements that undermine survival, working relationships that are counterproductive and performance indicators that drive the wrong behaviour. Best performers, on the other hand: • keep simple concepts simple; • execute best practices better; • do not let management changes impede continued execution of best practices; • support the front-line organization through plant leadership; • make sure clear leadership expectations exist; • focus on drivers of results, not cost only; and • practice reliability as a partnership between operations, maintenance and engineering.

This is what Idhammar said makes the difference between how good a plant is and how good it can become.

People can’t be more effective than the system allows

them to be, and cost reduction jeopardizes reliability.

Reliability improvement is an ongoing, long-term process with a distinct beginning but with no end. Integrating asset management with the real-time enterprise to start a successful reliability process requires a standards-based framework, standard-supporting models, an implementation standard, a functional and functioning strategic fit, and interoperability between condition-based operations and condition-based maintenance.

Idhammar said the biggest threats to success are often created by management when it says reliability is a top priority, but then adds “we must cut costs first;” when it doesn’t give clear current best practices directions; and it appoints the wrong people to drive implementation.

When everything is done right, sustainable reliability and best maintenance practices performance is not only achievable, it reduces costs.

Steve Gahbauer is an engineer, a Toronto-based freelance writer, and the former engineering editor of PLANT. E-mail gahbauer@rogers.com.

Comments? E-mail joe.terrett@plant.rogers.com.

>> Tech Tips

Control motor coil movement

An inside look at the rotor of an electric motor.

PHOTO: iSTOCKPHOTO

D

7PLNT15928.indd 1

3/20/07 12:32:48 PM

Find your way to the NEW Canadian Manufacturing Week.

New Technologies. New Location. New Format.

Attend or exhibit: www.cmwshow.ca or 888.322.7333 October 5-7, 2010 | Toronto Congress Centre | Toronto, Ontario

uring start-up and operation, the forces on electric motor coils move upwards, downwards and sideways, and they’re pushed and pulled in and out of the slots. This movement must be controlled to avoid fractures in the insulation system.

In low-voltage, mush-wound machines, paper insulation, tying tape and varnish are used to reduce the coil movement.

In form-wound coils, tapes, blocking, surge rings and varnish are used.

When machines are not properly secured, the movement of the conductors and coils eventually wears away the turn insulation. Additional stresses and contaminants such as abrasives and chemicals, or surges and partial discharge, will eventually short the windings between conductors.

As poorly secured windings become brittle, small fractures will form in the insulation that allow in moisture and other contaminants, putting pressure on the electrical and magnetic fields in the fractured areas. Eventually the insulation system will either fail between conductors or fail to ground.

Coil movement can be detected with electrical signature analysis and monitored during operation. When the machine is running, coil movement signatures—speed (in Hertz) times the number of slots in the stator, plus or minus the line frequency—will indicate a poorly secured winding.

Signs of coil movement do not necessarily indicate the winding will fail in the near future, but they show the winding is weak. In some cases, this may be an issue in the original design of the machine. However, if the signature did not exist before a machine repair, it indicates repair defects due to either a misunderstanding of the forces within the machine, or a lack of insulation material.

Source: Dreisilker Electric Motors Inc., an electric motor repair company in Glen Ellyn, Ill. Visit www.dreisilker.com.

16 Canadian PLANT

April 2010

Safety << Operations

By Noelle Stapinsky, Features Editor

O

ntario manufacturers have only a couple months to put policies in place that are in compliance with new Occupational Health and Safety Act (OHSA) amendments, but many are unsure what they need to do. One thing is for certain; it will involve a lot more than putting a policy notice on the bulletin board.

The Bill 168 amendments to the OHSA come into effect on June 15 and require employers to conduct risk assessments, draft new policies, educate staff and warn employees if they may come into contact with someone that has a history of violence. It also gives employees the right to refuse work if they feel at risk.

Andrew Harkness, the Industrial Accident Prevention Association’s (IAPA’s) senior strategy advisor, says employers should look at this as an extension of existing health and safety programs, rather than something new.

“What’s quite surprising is that the ministry chose to make an amendment to the statute rather than a separate regulation,” says Harkness. “What they didn’t do is give employers the ‘how to’ stuff.”

Most provinces across the country have similar legislation, but Torontobased labour and employment law firm Sherrard Kuzz agrees there are issues arising from the broad definitions outlined in the new rules.

The Ministry of Labour has defined workplace violence as “the exercise of physical force by a person against a worker in a workplace that causes or could cause physical injury; an attempt to use physical force against a worker; and a statement or behaviour that a worker could interpret as a threat...”

But the new definition doesn’t make clear employers are also obligated to ensure each worker is safe from any person that may come into contact with an employee while on site at the workplace or, as with sales staff, offsite. This “person” could be a supplier, client or someone who has a personal relationship with an employee.

In Ontario more than 17% of selfreported incidents of violence happened in the workplace, and 66% of these incidents were committed by someone the victim knew, but who wasn’t a coworker.

“Keep those risk sources in mind when doing risk assessments,” says Erin Kuzz, a founder of Sherrard Kuzz.

Bill 168 assessment toolkit • Form a risk assessment committee with representatives from all levels of the company • Develop inspection checklists • Conduct employee surveys and interviews • Review existing policies and procedures • Collect incident records • Conduct industry research • Prepare procedures for advising employees about someone with a history of violence • Publish notices to inform employees of the amendments, new company policies and procedures • Make sure follow up reporting procedures are in place

www.plant.ca

Canadian PLANT 17

Time to get tough on

violence Bill 168 deadline looming for Ontario employers Harassment, which was limited to racist, sexist or other comments covered under the Human Rights Code, is now defined as “a course of vexatious

comment or conduct against a worker in a workplace that is known or ought reasonably be known to be unwelcome.”

These amendments extend an employ-

er’s obligation beyond the workplace and blurs the lines of privacy laws. If, for example, a male employee was in a bar brawl and charged with assault, that doesn’t necessarily mean he is a risk to coworkers. Just the same, if an employee comes to work with bruises or injuries, it may be more than a simple accident.

Under the new regulation, such incidents should be investigated and documented in case there are future conflicts. But deciding what information about employees needs to be shared in the workplace can be tricky.

If an employee was involved in a bar fight, which has nothing to do with the workplace, coworkers don’t need to know about it. But if an employee is a Continued on page 18

Sustainability Maintaining control Continued from page 17

victim of domestic violence, that should be considered a risk since it could carry over into the workplace.

To start, companies must first elect a “workplace coordinator” to oversee and administer the policies.

“We recommend choosing someone at a high level in the organization,” says Kuzz. “You want someone with some teeth that can get the job done.”

The content of the policies needs to be customized to the workplace, and if there is a unionized workforce, the policies must also be consistent with the union’s collective agreement.

The new law states that policies must be in writing, posted in the workplace and reviewed annually. Employers should clearly state in these documents: there is zero tolerance for violence and harassment; where the policy applies (company property, events, etc.); definitions of workplace violence and harassment; safety measures; a process for filing and investigating complaints; and the consequences for violating the policy.

Of course, new obligations tend to generate costs related to time, resources and training.

“Companies may be looking at upgrading security or changing the layout of a facility according to the risk assessment,” says Harkness. “But an employer that’s currently working towards compliance will have greater control over what those costs would be.”

Harkness says there are already costs for employers who have ignored workplace violence and harassment issues, including low morale, absenteeism, turnover, sabotage, violent incidents among staff, which leads to disciplinary action and legal action.

Policies and procedures have to be finalized by June. But companies that aren’t working on a compliance plan should take heed: if an incident occurs after the due date, the ministry will be eager to make an example out of you.

Under the OHSA, corporations in violation of the legislation can be fined up to $500,000 per offense.

Noelle Stapinsky is the features editor of Canadian PLANT and Canadian Manufacturing.com. E-mail noelle. stapinsky@rci.rogers.com.

Comments? E-mail joe.terrett@plant. rogers.com.

Plug into hydrogen

forklift power fuel cell systems save time,

By Noelle Stapinsky, Features Editor

T

he need for improved energy efficiency and productivity in materials handling operations are making fuel cells look like an awfully good way to power lift trucks. This has inspired Raymond Corp., a manufacturer of electric lift trucks, to become an independent North American distributor of Plug Power GenDrive fuel-cell technology.

The Latham, NY company’s lift truck units use low-temperature (60 to 160 degrees C) proton exchange membrane (PEM) fuel cells. Raymond, based in Greene, NY, will sell, rent or lease the technology; provide warranty and maintenance service; and distribute service parts across North America.

Why fuel cells? Materials handling operations need battery storage and charging rooms that take up a lot of valuable floor space and consume a great deal of electrical power. Many of them run multi-shift fleets 24-hours a day, which require multiple batteries and battery changeovers that take up to 20 minutes, potentially leading to production downtime.

Fuel-cell technology doesn’t need that much space. You do need refueling stations and the hydrogen that powers the fuel cells is typically stored in a large, outdoor tank.

“With a fuel cell, you never have to change it. You leave it in the dedicated truck and refuel it, which takes anywhere from one to five minutes,” says Warren Brower, product marketing manager for Plug Power. “There are a lot of productivity gains just by keeping the truck on the floor.”

Brower says Plug Power’s fuel cell units reduce CO2 emissions by 80% compared to lead acid batteries, and

Reduce Water Consumption New handbook from Spraying Systems Co. addresses how to conserve water in spray operations without compromising performance.

More than two dozen easy-toimplement suggestions are provided along with several case studies showing how simple changes can lead to saving millions of gallons of water per year.

Spraying Systems Co. 1-800-95-SPRAY www.spray.com info@spray.com

IN THE TOUGHEST ENVIRONMENTS To find out how Littelfuse Startco ground-fault relays can prevent equipment damage, visit www.startco.ca or call 306.373.5505.

18 Canadian PLANT

by Burnaby, BC-based Ballard Power Systems Inc. These stacks are designed to produce the appropriate amount of power for specific applications.

Brower says Plug Power chose Ballard because it’s a worldrenowned stack supplier, which gives them an advantage over competitors who develop their own stacks. But it’s the water management system that lifts the fuel-cell power train above others.

Some water management systems try to evaporate the water into the environment, but dissipating water on-the-go creates a potential safety issue if water pools on the shop floor.

“Our systems collect the water in a reservoir system and siphons it off during the refueling,” says Brower.

Other fuel cell technologies use direct methanol systems, but Brower says there are handling challenges, such as needing to move big methanol drums and Plug Power hydrogen fuel-cell technology is an almost seamless there are costs associated with retrofit to existing fleets of lift trucks.

PHOTO: RAYMOND that.

The GenDrive units have already been tested and approved for Raymond’s model 8400 pallet trucks, potentially improve productivity by 20 4100 and 4200 stand-up counterbalanced per cent. trucks, and various 7400 model ReachRaymond has had an advanced Fork trucks. research team exploring alternative energy options for several years. In 2006, it received a grant from New York State Fuel-cell compatibility Energy and Research Development “Eventually we would like fuel cells to authority to create a research facility to be compatible across all three classes focus on marrying fuel cell technology of our products,” says Pascarelli. “Our to its lift trucks. vision is to give our customers a choice.

“When you look at alternative energy Whether they want a battery or a fuel sources, certainly one has to think of cell, we’d like to make it transparent to fuel cells,” says Chuck Pascarelli, Raythem in the ordering process.” mond’s executive vice-president of sales Brower says retrofitting the GenDrive and marketing. “And with the advances system is almost seamless for materials that have been made with hydrogen fuel handling operations with existing fleets. cells, it made a nice marriage [for our Of course, it’s easier to retrofit newer offerings].” trucks because the GenDrive is the same The GenDrive hydrogen units combine dimension and weight of the battery, and multiple fuel cells in stacks supplied they have the same software interface.

space and cash

RELIABLE GROUND-FAULT PROTECTION...

plant_ad_march.indd 1

>> Materials Handling

Plastic Pallets

Size 40 x 48 inches, Nestable, 4 way entry, Lightweight design, 5,000 lb. static load, 2,000 lb. dynamic load, Low cost, 1,500 per truckload. Best pricing anywhere !!

April 2010

2/26/10 5:12:27 PM MAR-2010-LIT.indd 1

33 Glencameron Rd. Unit 8, Thornhill Ont. L3T 1N9 Ph. 905 889-5245 Fx. 905 889-4818 Email info@casemaker.ca

2/22/10LIT1.indd 1:07:22 PM CASEMAKER 1

1/29/10 3:42

“Older model trucks may need some changes to the software from a speed standpoint so that braking distances are met,” says Brower. “We work directly with the OEMs to ensure our product fits, we meet braking distances and centre of gravity requirements.”

For companies with a battery infrastructure in place, justifying the cost of a new technology would be challenging. In addition to the shop floor space dedicated to battery racking and changeovers, there are watering systems and maintenance personnel.

“Where our focus has been is on new construction and expansion,” says Brower.

The return on investment (ROI) for greenfield facilities or expansions can be anywhere from an instant payback to a return in less than three years. Operations with large fleets running 100 to 300 pieces of equipment at any given time will see the greatest cost savings.

“The more hydrogen you consume, the lower the cost of the hydrogen becomes,” says Brower. “If you consume 100 to 200 kilograms per day, the cost is more justified than if you only use 20 kilograms a day.”

Plug Power has been supplying the North American market with its commercial fuel cell products since 2007, but from a distribution standpoint Brower says it will work with any and all OEMs to integrate the technology further into the marketplace.

As more manufacturers seek alternatives to reduce emissions, the time may be right to plug into hydrogen power for forklift fleets.

Noelle Stapinsky is the features editor of Canadian PLANT and Canadian Manufacturing.com. E-mail noelle. stapinsky@rci.rogers.com.

Comments? E-mail joe.terrett@plant. rogers.com.

>> Clean Tech

>> Green Manufacturing What’s in it for me?

ered hydrogen as needed.

Commissioning of the completed station is planned for 2011.

By Brett Wills

I

Solar energy systems for 11 school boards

Hydrogenics electrolyzers will be used in an industrial park fuelling station in Hamburg.

PHOTO: HYDROGENICS

HySTAT electrolyzers heading for Germany MISSISSAUGA, Ont.: Hydrogenics Corp. has been awarded a contract for two HySTAT-60 electrolyzers by The Linde Group for installation as part of a fuelling station in HafenCity, Hamburg.

Hydrogenics, a developer and manufacturer of hydrogen generation and fuel cell products based in Mississauga, Ont., said the fuelling station will be integrated and managed by Vattenfall, the Swedish power conglomerate and one of Europe’s leading energy producers.

The HafenCity fuelling station is expected to supply hydrogen for both cars and buses, including the new Mercedes Citaro zero-emission fuel cell bus.

The project is part of the Clean Energy Partnership in Hamburg and Berlin, supported by the German government as part of the National Innovation Program for hydrogen and fuel cell technology.

The combined Hydrogenics HySTAT-60 units will produce about 260 kilograms of fuel daily, and Linde, a global gases and engineering firm based in Germany, will supplement this capacity with deliv-

Rousseau Modular Drawer and Cabinet Flyer Rousseau offers products with premium quality, reliability and a

WATERLOO, Ont.: ARISE Technologies Corp. will be providing 11 Ontario school boards with specialized solar energy systems for one school in each board as part of the Ontario Green Schools Pilot Initiative.

The $2-million contract will provide the schools with 10 kilowatts of solar rooftop power and each school board will get a solar-specific curriculum and specialized software and tools, including a real-time, live learning portal.

Installation is to be complete by August.

The two-year initiative gives school boards the ability to purchase, test and showcase new and innovative green products and technologies, then report quarterly on performance.

ARISE, based in Waterloo, Ont., develops and manufactures photo voltaic solar power cells at its plant in Bischofswerda, Germany. It plans to expand its systems business in Ontario under the Ontario Feed-In Tariff program.

Ram hybrids to test Electrovaya batteries TORONTO: Electrovaya Inc. has been chosen by Chrysler Group LLC to supply 12-kilowatt hour lithium ion batteries for the 140 Ram plug-in hybrid electric vehicles currently in demonstration.

The Ram PHEV program runs for three years and involves 21 Chrysler partners in various geographic and climatic locations across the US. Electrovaya said the utility companies, government agencies and universities will independently test the Ram PHEV and provide data “for the advancement of the technology.”

t’s no secret that employees must be engaged and motivated if continuous improvement programs are to be successful and sustainable.

One great way to get buy-in for green continuous improvement programs is to answer a simple question: What’s in it for me?

Although green initiatives do result in increased productivity, the main benefits come from higher revenues and the cost savings realized from saving energy and water. Here’s ”what’s in it” for employees: 1. Making a difference. For people who want to make their daily work more meaningful, involvement in green programs at work helps them make an exponentially larger impact than they could ever accomplish in their personal lives. For example, helping to cut energy use by 5% at work results in a much greater impact than a 5% cut at home.

2. Job security. Employees with experience in green transformations can help realize cost savings and increase revenue, making them much more valuable to employers.

3. Transferability to personal lives.

Knowledge and experience they gain at work transfers to their personal lives, helping them to cut costs and save money at home.

4. It’s fun. Let’s be honest, work can get boring. A green transformation provides a break from the stress of mundane daily activities.

A successful green program is a critical part of competing and winning in today’s economy. Companies that are most successful will achieve high levels of employee engagement.

Brett Wills is the director of the Green Enterprise Movement and a senior consultant with High Performance Solutions in Cambridge, Ont. E-mail bwills@hpsinc.ca.

Literature review / Product showcase

Lifetime Warranty on their drawer rolling mechanism! Innovative

Experts in Chemical Feed and Water Treatment

design, flexibility of dimensions and accessories, allows for total organization. Reclaim workspace with Rousseau Drawers in Shelving with a 400 lb capacity and fit into over 35 brands of shelving.

CONTACT INFORMATION:

Carolyn Cuke Marketing Communications Agent Toll Free: 866-463-4270 Email: info@rousseaumetal.com www.rousseaumetal.com

push OR puLL hEAVY LOADs WITh TOTAL CONTROL INFRA-RED HEATING: RE-VERBER-RAY TECHNOLOGY

JAN10 LIT.indd 1

Free trial 1/18/10 10:54:49 AM

The DX-2 Series single input tube-type infra-red heaters offer standard control of a heated space while the HL-2 Series two-stage may offer additional control and savings. Contact us today for information on the complete Re-Verber-Ray line.

Call 1-800-387-4778 or visit www.brantradiant.com

w w w. b r a n t r a d i a n t . c o m

Award-Winning German Engineering 7.5 Lph @ 362 PSI up to 75 Lph @ 29 PSI Continuous or Pulsed Chemical Dosing Available Auto-Degassing Option Airlock Auto-Detection & Auto-Correction

Power Pusher Canada, the Push or Pull Specialists provides a range of self propelled battery-operated machines to move bins, carts, dies, moulds, heavy machinery, modular homes, railroad cars and much, much, more – not only for safety but also to improve ergonomics or efficiency.

ONE PERSON CAN MOVE 500 – 150,000 LBS BENEFITS: Cut Costs • Prevent InjurIes • InCrease ProduCtIvIty

www.prominent.ca /delta toll-free: 1-866-709-9933

For additional information visit www.pushorpull.com

Canadian PLANT 19

www.plant.ca

2:02 10-LIT.indd PM PRIL 1

Back problems are one of the most frequent causes of absence from work. Statistics show that more than one-third of all back injuries are caused by moving heavy loads.

4/1/10 12:26:25 PM

Technology

>> IT for Industry

>> Plantware

Avoid machining downtime ToolMon takes

Identify potential surface defects.

unpredictability out of tool life

Visualize defects Cognex Corp.’s VisionPro Surface software combines a new visual defect detection and classification technology with a simple user interface.

The Natick, Mass.-based vision systems manufacturer says the software uses statistical analysis to automatically identify potential defects on the material’s surface, and classifies them into groups based on similarity in contrast, texture and/or geometry.

During the training phase operators simply adjust the system’s sensitivity for defect detection, and assign names or values for defects to distinguish between different types.

The software comes with: • Easy-to-use, self-learning inspection software • Point-and-click application configuration • Visual self-learning defect classification tools • Automatic web-based reporting tools that enable users to map, list, and view defects with just the push of a button. www.cognex.com/vprosurface

Track all inventory activity.

More accurate inventory FastPic5 software from FastPic Systems creates detailed real time reports that provide a record of all your inventory transactions.

FastPic, a developer of software for automated storage and retrieval systems based in Westbrook, Me., says the software is designed to manage manual and automated storage and retrieval systems and configures to manage single workstations and multiple work zones. Its advanced cubing algorithms maximize the use of both floor space and storage space.

Parameters include user information, order number, material identification, date and type of transaction. The software also handles item serial numbers, expiration dates, release dates and production dates. This traceability function documents the items removed from inventory and when they were retrieved.

For improved picking accuracy, configure the software to enforce barcode verification of key inventory data such as item number, location and lot number. FastPic5 also allows for the location of items to be specifically designated or assigned as random to improve the accessibility and overall management of inventory. www.fastpicsystems.com

By Corinne Lynds

I

t’s certainly annoying and costly when production is interrupted because a machine tool unexpectedly gives up the ghost, or quality issues arise because the tool is past its best before date. DataRealm Inc.’s ToolMon makes tool life more predictable by giving production technicians, engineers and operators real-time status productivity reports.

The web-based monitoring system eliminates limits or restrictions on access: in other words, any computer in-plant or off-site with access to the company intranet, can connect. It also sends data to pagers, cell phones, marquees and e-mail.

“ToolMon allows managers to predict upcoming tool changes by hourly increments, provides immediate tool breakage analysis, connects directly to cutting machines and compares tool life across machines, departments and plants,” explains president Dave Fortin, from the company’s headquarters in Windsor, Ont. The system uses OPC (OLE for process control) software on the company’s server to tunnel down into a PLC’s memory and grab data.

“Once we get into the PLC memory we can grab tool life, tool counts and various other key data,” Predict tool changes by hourly increments.

PHOTO: iSTOCKPHOTO explains Fortin. “From there, the pertinent information is pulled out into the server. Once you ment tool ready to go.” have that, you can slice it and dice it in many different ways to Some of these tools cost in the range of $20,000 to $50,000 produce meaningful reports.” each, so keeping piles of them in stock is very expensive, and Launched originally in 2003/2004, ToolMon was the result of many of them take between four and eight hours to set up. a project with one of North America’s largest automakers that had installed a fully automated cylinder head line with hunSpreading the word dreds of CNCs in place, plus a hundred or more gantries.

After creating ToolMon for the automaker, it made sense to “You couldn’t even see parts going by, it was all up in the air,” begin commercializing it for other large manufacturers. Today, says Fortin. “It was a very large department and they had spent metal cutting operations, engine plants, transmission plants and millions in tooling, and we basically developed this system for other parts producers or heavy equipment companies make up them.” the bulk of DataRealm’s customers.

The first challenge was keeping track of the sheer volume Although scalable, ToolMon makes the most sense for large of tooling. Beyond that was extracting the factual data so the production operations with lots of tooling. Pricing, which has a automaker could analyze its tool life, make necessary modificalot to do with how sophisticated (or unsophisticated) the curtions and run trials of new tools, reamers and inserts. rent infrastructure is, ranges from $10,000 to $100,000.

“The other big component that wasn’t part of the initial stratDataRealm has recently ramped up its marketing efforts on egy but generated huge cost savings, was significantly reduced the ToolMon product, redesigning the system in .Net. The iminventory,” says Fortin. “They had to keep a lot of spare parts mediate target market for this product will be North America, on hand, because if you don’t know what tool challenge is going but Fortin notes it could easily go international. to come up and something breaks, you better have a replaceThere are other real-time data systems, including an energy management system that’s now part of the line up. This product pulls in utility, electricity, compressed air, temperature, humidity or environmental data to trend and understand where Other DataRealm products potential cost savings can be found.

DataRealm offers a range of other systems that extract real-time data ToolMon goes beyond monitoring tools. It’s expandable to for manufacturers. Products include: collect data from other critical operations such as production sys• quality information systems tems, vibration, gauging or birth history. And the more you know, • building management systems the more likely you’ll avoid the dreaded “D” word—downtime.

• production and scrap counts • downtime analysis • part tracking/birth history • custom applications • Palm and Windows CE applications • web-based applications

Corinne Lynds is the editorial director of the Construction Group and editor of On-Site magazine, a Rogers Media publication. E-mail corinne.lynds@rci.rogers.com.

Comments? E-mail joe.terrett@plant.rogers.com.

20 Canadian PLANT

April 2010

Product Showcase << Departments

Machining systems

Reduce cutting time, lengthen tool life

Designed for production of large parts.

Abrasive waterjets get down to basics OMAX Corp. will debut a new line of basic, productive Maxiem abrasive waterjets in June.

The 1530MX, which is designed for the production of large parts or multiple parts from large stock, will be the first in the series to be released by the Kent, Wash. manufacturer.

The machine cuts a variety of materials, including metal, plastic, glass, ceramics, stone and composites. A 50,000-psi pump is available in 20 and 30 hp options, and all Maxiem waterjets will feature Intelli-MAX Basic, a control containing the core functionality of OMAX’s software. www.maxiemwaterjets.com

Machining centre delivers high performance The F-Series vertical machining centre cuts out the chatter and provides high performance contour machining for the die/mould markets.

The F3 and F5 models from Makino, a manufacturer of advanced machinery based in Mason, Ohio, are designed to provide stiffness and rigidity for chatter-free cutting, agility for high-speed/hard-milling and accuracies for tight tolerance blends and matches typical of complex 3D contoured geometry associated with die/mould and medical production.

The axis configuration has no overhangs and the machine centre incorporates large castings that provide a robust cutting platform.

Eight-millimetre fine pitch ball screws and 0.05 micron scale feedback are standard.

The smaller F3 features an X, Y, and Z axis that travels at 25.6, 19.7 and 17.7 in., a 33.5- x 19.7-in. table with a maximum workpiece size of 33.5 x 19.7 x 17.7 in.

The X, Y, and Z axis on the larger F5 travels 35.4, 19.7 and 17.7 in. and features a 39.4- x 19.7-in. table with a maximum workpiece size of 39.4 x 19.7 x 17.7 in.

Both machines have a table load capacity of 1,432-lb. and a 30-tool magazine provides capacity for a wide array of tooling. www.makino.com

Makino's F-Series machining centre.

www.plant.ca

Dynamic Machining X4, CNC Software Inc.’s latest Mastercam machining software, creates a constantly adapting toolpath that delivers more consistent cutting conditions and uses the entire tool flute length, often eliminating the need for multiple depth cuts. This can reduce cutting time by as much as 50% and contributes to longer tool life.

The Tolland, Conn.-based CAD/CAM software developer notes flexible retract More consistent cutting conditions. options keep the tool down in smaller flexibility regardless of the material or cutter parts, and there’s rapid retract for larger parts. A style being used. The software’s specialized special “micro lift” option retracts the tool slightly motion works equally well with both closed and off the bottom when moving to the next cut. This open parts. decreases the amount of heat generated in the Other features include toolpath refinement, part and also helps with chip evacuation.

Mastercam for SolidWorks and multithreading.

Highly efficient entry methods along with www.mastercam.com customizable entry speeds and feeds provide

CNC updates in real time Looking for more accurate CNC machine data, anytime or anywhere? Get it in real time from the factory floor direct to a laptop or cell phone via a web interface with Toyoda Machinery’s new CNC Monitoring System.

It provides customizable lists of the total number of parts produced on the shop floor during a specified date range, with CNC machine comparison lists to help identify potential inconsistencies in production efficiency.

Machine tool manufacturer Toyoda Machinery, based in Arlington, Ill., says CNC productivity reports can be modified by a variety of elements: machine, number of parts produced per machine, specified date range, alarms, and other recorded events. The report is generated daily, compiling the total number of parts produced on each CNC machine with the completed cycle times.

A low-bandwidth version is also available for cell phones. www.toyoda.com

NO NEED TO GET A LOAN TO BUY OUR CASES! Over 20,000 cases in stock in our Edmonton warehouse. Over 60 different sizes ready to go.

The VEC system corrects positioning errors.

Reduce error compensation MAG IAS Canada Inc.’s new 5-axis volumetric error compensation (VEC) system reduces the time to determine needed error compensations from days to hours, and integrates both linear and rotary axes into the tool point compensation process.

The machine tool and systems company, with offices in Mississauga, Ont., claims its VEC system analyzes and corrects positioning errors in all machine-tool axes simultaneously to achieve machining accuracies that weren’t possible on large parts.

An NC program positions the active target to a cloud of some 200 points representing a series of statistically randomized multi-axis “poses” within the work envelope.

Measurements are automated within a single coordinate system using laser tracker technology, and calibration is performed in just a few hours in a single setup.

VEC is offered as a standard option on new MAG machines but it’s also available for field upgrades of legacy machines. www.mag-ias.com

Canadian PLANT 21

Water tight and extremely tough. Check our prices…….

• Cases empty or with foam • Panel frame kits available • Large cases available with wheels • Large selection of colours, Black • Corporate Blue, Gray, Orange, Red, Yellow • Many sizes to choose from • Lifetime warranty • Same day shipping • Call for nearest dealer, sizes & price list.

Underwater Kinetics Canada Inc. 16652-117 Ave, Edmonton, AB. T5M 3W2 Tel (780) 484-2350 Fax (780) 444-3989 www.underwaterkineticscanada.com

Departments

>> Postscript

Enhance your competitiveness

By Nitin Khare

M

helps determine which features, capabilities and controls “ofBPE each entity will best achieve consistency... ”

anufacturing executives want BPE optimizes performance by redetheir companies to be more signing and aligning workflow processes competitive and profitable, yet to more efficiently realize business goals, many of them overlook a simple and such as improving quality, increasing cost-effective way of doing so. Business productivity, reducing costs, enhancing process enhancement (BPE) is one of customer satisfaction, reducing risks and the most powerful tools available to increasing profitability. improve operational performance. SoluIt can be applied to overall operations tions are typically targeted to the short or to specific components. Purchasing, term, therefore improvements are often inventory management and materials realized within only a few weeks and 7620_GTC_April_CP_Layout 1 10-04-05 5:34 PM Pagehandling 1 are often the focus of enhancecosts are recovered within months.

ments for manufacturers who typically make significant investments in these areas. BPE also helps to prevent problems. For instance, before integrating new information technology or financial systems, a business process assessment will aid efficient, successful implementation.

Manufacturers also benefit when considering a merger of a division, plant or other company. BPE helps determine

GREEN TO THE CORE From our recycled products and packaging, to being one of the largest recyclers in North America, green thinking is an integral part of all we do at Kruger. No matter which of our GreenQuality™ products you choose, you can be confident that they were produced with a strong commitment to the environment, made with the quality you’ve come to expect.

1-800-665-5610 www.krugerproducts.com/afh © 2010, ® Registered and ™ Trademark of Kruger Products L.P.

which features, capabilities and controls of each entity will best achieve consistency and efficiency.

BPE projects include five phases: 1. Identification. The BPE team reviews relevant documentation including organizational charts, policies and procedures. They also interview the executive team as well as key personnel to acquire an understanding of current processes and areas of concern. For example, there may be a challenge with parts procurement, or problems with the accuracy of production data.

By the end of this phase, the team will have documented current processes, including: a detailed diagram of the current state of operations; the individuals who perform key functions; the amount of time dedicated to each activity; the activities that add value and those that don’t; and the risks involved, such as production downtime or insufficient or excessive inventory.

This phase also defines the project scope, including the specific areas of focus, and sets out a project plan with milestones and timelines.

2. Analysis. Documented processes are reviewed to identify pressure points, gaps, bottlenecks and/or areas of inefficiency, along with the objectives for future processes. Potential cost and efficiency improvements, along with alternative solutions and results, are identified and quantified.

3. Recommendations. Preliminary recommendations are developed that may include changes to work processes, policies, standards, procedures, controls, people, training or support systems and infrastructure. These recommendations include a detailed diagram of the proposed processes as well as objectives, controls required to manage risks, specific measures to drive success and the projected impact on the business. The BPE team meets with the executive team to discuss the recommendations and to determine the most practical actions.

4. Implementation. Once management has provided feedback and approved the implementation plan, the recommendations are integrated into a detailed plan. This serves as a map for the executive team and as a baseline to evaluate results.

5. Follow up. The BPE team monitors progress and assists with any problems that may arise to ensure that implementation is successful.

At this point, improvements will already be evident and recovery of BPE investment costs will be underway as your company optimizes its performance.

Nitin Khare, based in Vancouver, is in charge of the western region Risk Advisory Services practice of BDO Canada LLP. E-mail nkhare@bdo.ca.

Comments? E-mail joe.terrett@plant. rogers.com.

22 Canadian PLANT

April 2010

Experts in Spray Technology

Spray Nozzles

Spray Control

Spray Analysis

Spray Fabrication

Change the Way You Spray To Clean Tanks Faster We have dozens of ways to get tanks cleaner in less time.

Our full range of solutions can:

Replacing manual cleaning with our motorized tank washers eliminated ongoing contamination problems and lowered operating costs for one manufacturer. Annual savings of $30,000 were reported on labor and downtime.

• Reduce labor, water, chemical and wastewater disposal costs • Minimize downtime and improve worker safety • Ensure process integrity for compliance Choose from fixed or fluid-driven tank wash nozzles, high impact motorized units, retractable tank washers and fully automated systems.

Learn more at spray.com/tankwash Request these helpful publications or visit our web site for more information on automated tank cleaning.

• A Guide to Safe and Effective Tank Cleaning, Catalog 15 • Tank Cleaning Automation White Paper, Bulletin 526

Now Buy Direct!

Call 1-800-95-SPRAY Purchase directly from Spraying Systems Co.

AutoJet® Tank Cleaning System provides automated timing control and chemical injection Tank wash lances can be customized for any tank wash nozzle

• Factory-direct pricing on the same quality products you already know • Spray nozzles, showers, headers, lances, automated systems and testing services

New TankJet™ 4 fluid-driven tank washers provide high-impact cleaning of large tanks – up to 98' (30 m) in dia.

• Buy online 24/7 at spray.com/ispray

1-800-95-SPRAY

|

spray.com

|

Threadless design on fluid-driven 28500 nozzles prevents build-up

SprayCheck® TW detects pressure loss, clogging and rotation for cleaning validation

Specify and order standard nozzles spray.com/ispray

From Montréal to Miami. Check.

Purolator now offers guaranteed *, time-definite U.S. shipping.

The network that gives you all the flexibility, reliability and choice you depend on now introduces new time-definite options for your U.S. and international shipping needs. That means when you ship with Purolator, you’ll be able to choose from guaranteed* delivery times of 9 a.m., 10:30 a.m. and end of day to the U.S. and to more than 215 countries worldwide.

So now more than ever you can count on Purolator to help take your business wherever it needs to go. For more details, visit purolator.com/usinternational today.

*Certain terms, conditions and geographic restrictions apply. See Purolator’s Terms and Conditions for full details, available at purolator.com or call 1 888 SHIP-123.