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Copyright Manufacturers’ Monthly is owned by Prime Creative Media and published by John Murphy. All material in Manufacturers’ Monthly is copyright and no part may be reproduced or copied in any form or by any means (graphic, electronic or mechanical including information and retrieval systems) without written permission of the publisher. The Editor welcomes contributions but reserves the right to accept or reject

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Behind the cover Excellence in manufacturing comes in all forms. This has been highlighted in this year’s IBISWorld top 100 manufacturers list for 2019.

Companies in the list range from food and beverage manufacturers, to refineries and industrial gas manufacturers. Companies that top the list in 2019 include Caltex, Fonterra Co-Op group, Perth Mint, BP Australia and Viva Energy.

Manufacturers’ Monthly caught up with some of the high-ranking companies to find out what makes a top manufacturer. The responses were mixed, with some saying being strategically placed to serve customers’ needs is key, while others said being well-located to have resources at their doorstep is important. Others say robotics and automation has helped drive

their business to success. Having a focus on staff development and ensuring all employees are educated and challenged in their fields also motivates them and reflects well on company growth. The list varies with talent coming from all corners of manufacturing in Australia. In this edition of Manufacturers’ Monthly, the Endeavour Awards 2019 winners have also been announced and we find out why Lean manufacturing can be beneficial to many businesses.

There is also a focus on training staff so they are well aware of Australia’s safety standards in the workplace.

Pilz hosts workshops for workers within the manufacturing sector who are wanting to learn about correct safety practices or who want to brush up on what they learned about safety years ago.

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Comment

SYED SHAH – Managing Editor, Manufacturers’ Monthly

Getting to be the best

A

T the mid-point of 2019, Australia’s manufacturing industry has moved towards higher-value processes like research and development, and product design and marketing. This was projected sometime last year by the Department of Industry Innovation and Science called the Globalising Australia report.

Indeed, this is the short and long-term future of the industry.

The Ai Group’s Performance of Manufacturing Index (PMI) has indicated a good start for the first few months of the year for manufacturing, as compared to last year. As heard by some of the guests at this year’s Endeavour Awards, while the growth has not been in great proportions, it has always been growing steadily.

In the last 12 months, Australia has had quite a few highlights.

Last year around this time, the Ai Group’s PMI readings stated that the PMI was 57.4 points – then, a record 21-month straight expansion

6 JUNE 2019 Manufacturers’ Monthly

of the economy. It was, according to the Ai Group, the longest run of expansion in a decade.

Now, it has been more than 30 months of continuous growth above 50 points on the PMI (anything above 50 is positive). Let’s see how much longer this will continue its run.

The government’s report then mentioned that in order to stay competitive, Australian manufacturing businesses needed to innovate and take on technologies and engage in activities that boost their market value. It also stated that it was impossible to avoid the eventuality of globalisation, which is why the need to innovate processes was more urgent than ever.

It stated that as of now, many Australian manufacturers have already shifted investment towards research and development as well as marketing, and in doing so, are opening up new domestic and international business opportunities.

At the same time, the industry has recognised there is a need to bridge the skills gap between learning institutions and the workforce.

Companies are exploring methods in which they can quickly get new entrants to the workforce quickly upskilled to the specific skill sets. Hence, we are seeing things like an increase in STEMbased internships and partnerships between these institutions and companies.

Another important factor to consider is the standard of manufacturing of these products.

There needs to be a certain standard that has to be met for all products.

In this issue, CEO of Weld Australia, Geoff Crittenden, talks about the organisations’ calls to the federal government to mandate compliance to Australian Standards of fabrication.

Besides the underlying costing factor, he said that the complete

lack of regulation puts Australian lives at risk. This is because if there is no proper fabrication standards, then there is no guarantee that the structures will not fail. This is certainly a scenario that we want to avoid on all fronts given the huge spend on the infrastructure by the government.

Also, in this issue, we take a snapshot of some of the top 100 manufacturers so far in 2019 as compiled by IBIS World. They are worth in total a staggering $382.2 billion and employ more than 791,000 Australians. Despite still having familiar names occupy top spots, there are quite a few smaller up-and-coming ones, too.

This is because, with the availability of new technologies in the market, the limiters for growth and innovation are a few.

With this, the potential for smaller companies to grow and reach the next stage has become greater.

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Comment

GEOFF CRITTENDEN – CEO, Weld Australia

Weld Australia calls on Federal government to mandate compliance to Australian Standards

I

T is Weld Australia’s position that it does not matter where our steel infrastructure is made, as long as the fabricator is certified to AS/NZS ISO 3834, and the steel is manufactured and welded to all specified Australian or international standards. Our rationale is, that given a level playing field, Australian welding is internationally price competitive and can deliver world class quality. We have developed this view after acting as advising welding engineers on many large-scale projects fabricated in Australia and overseas.

However, it appears that this is not immediately obvious to those charged with procuring multimillion-dollar projects. As reported in The West Australian, in a recent speech to the West Australian Mining Club, Orica chief executive, Alberto Calderon, explained their billion dollar-plus Pilbara explosives 10 JUNE 2019 Manufacturers’ Monthly

plant was shut down after a “terminal cancer of leaks” caused by faulty welding done in China.

Calderon said the 330,000 tonnesa-year plant, which began operating in 2016, made quality technical ammonium nitrate, “but after producing about 70,000 tonnes the leaks became unsustainable”. He went on to explain that components operating at very high temperatures, including the heat exchangers, “become absolutely useless” as they “suffered this terminal cancer of leaks”. In his view, joint venture partner Yara (who was responsible for the construction and ongoing operation the plant) did not sufficiently manage the quality of the welding completed in China.

Orica marked down the value of its 45 per cent share of the plant by $155 million in April 2019, indicating a total direct cost of the defective equipment of about

$340m. In 2012, the plant was expected to cost $US800 million and start production in 2015. According to Calderon, the delay is “costing us millions of dollars every month”.

Regrettably, this is an all too common story.

Weld Australia congratulates Calderon for his openness and honesty in raising the issue of weld quality. In most cases, the large multinationals and governments who suffer the same fate do everything to cover up their problems.

I recently met with a senior engineer from a large mining company who had procured substantial amounts of fabricated steel infrastructure from offshore suppliers during the mining boom.

He reported that their maintenance bills were off the scale and that production was limited by the poor quality of the welding. In line with

Calderon’s point on supervision, the senior engineer explained that the mining company had spent so much on production oversite and fault rectification that there was almost no cost benefit to offshoring the work. In fact, once you included the maintenance costs, it was more expensive than locally procured fabricated steel. And yet, that same mining company has just announced that 20,000 tonnes of structural steel work is to be procured from China for a new mine.

It would be easy to fill this entire publication with similar examples from mining, oil and gas, civil works, rail car and infrastructure procurement. It’s certainly no secret, and to be fair, not limited to Chinese fabricators. So why is the same mistake being repeated time after time? From an outsider’s perspective, it appears that clients are taking a very narrow view of manmonthly.com.au

Weld Australia said it does not matter where steel infrastructure is made, as long as the fabricator meets specified Australian or international standards.

project costs, allowing “cost to buy” to dominate the procurement process rather than whole of life (cost to commission and to operate). If this is the case, then they are not demonstrating value for their shareholders or tax payers – merely concealing the true cost of the project.

There are no doubt geo-political and financial considerations to be weighed but it is hard to see how either can offset higher overall costs. However, if that is the case what about local social and economic consequences of offshoring?

Since the beginning of the last mining boom, the Australian steel fabrication industry has shrunk by 30 per cent because of exactly this type of shortsighted procurement decision.

Not surprisingly, a huge number of Australian fabrication companies have gone broke and closed their doors, resulting in thousands of welders leaving the trade.

However, in some industries there are real signs of resurgence, mostly thanks to public money.

The $150 billion investment by the Federal government in the defence industry has revitalised many small-to-medium enterprises within the Australian manufacturing supply chain, and brought in new investment from overseas.

Despite the award of a $2.3b contract to South Korea from the New South Wales Government, new rail car projects in Victoria, Western Australia and Queensland are breathing life back into the rail industry.

Plus, it is estimated that Australian governments will spend upwards of $70 billion on infrastructure over the next decade. Just some of the projects announced by the Federal Government over the last few years include: the $16b WestConnex project in Sydney; the $12 billion Sydney Metro project; and the $11b Melbourne Metro Tunnel.

However, without regulations that mandate compliance to Australian Standards for the manufacture, fabrication and erection of steel, procurement decisions will continue to focus on the lowest common denominator: cost.

Apart from increasing overall costs for public and private infrastructure projects, this complete lack of regulation is putting Australian lives at risk. The problem is that, if structures and components are not fabricated in accordance to Australian Standards, there is simply no way to guarantee that they will not fail.

Whether fabricated steel is manufactured in Australia or overseas, it is critical that the work is undertaken according to Australian Standards. As such, Weld Australia is currently lobbying both sides of government to amend the necessary regulations to mandate compliance to Australian Standards, or wear the consequential loss of life.

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Manufacturers’ Monthly JUNE 2019 11

Inspiring Building for Life

CSR are pleased to sponsor the Excellence in Manufacturing category, Women in Industry Awards.

ALLISON BASFORD, CSR LIMITED PROPERTY DEVELOPMENT MANAGER, RISING STAR OF THE YEAR 2018 WITH TIM GRABHAM, PROJECT MANAGER, PROCESS ENGINEERING, HEBEL. ALLISON PARTNERED WITH THE HEBEL ENGINEERING TEAM TO BUILD THE NEW PLANT.

The awards recognise women making their mark in the manufacturing, mining, logistics and engineering industries.

Hebel’s new $75 million manufacturing facility in Somersby, NSW was completed in April 2019 which is one of CSR’s most significant expansion projects completed for several years.

This landmark project provides new capacity to meet the growing demand of the Australian and New Zealand housing market for Hebel’s innovative and quality autoclaved aerated concrete (AAC) products. This new facility is utilising the best technology from around the world combined with decades of local manufacturing expertise. The plant showcases the best practices in automation and environmental and waste management.

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News @MM Researchers give awareness and sight to medical robots QUT researchers are developing a new class of surgical robots and designing a multimodal imaging system using ultrasound technology to guide robotic vision for keyhole operations.

Researchers identified a gap in the technology for robots to autonomously identify different tissue types instantly.

Dr Ajay Pandey is a senior lecturer in Robotics and Autonomous Systems at QUT’s School of Electrical Engineering and Computer Science and is also among a team of robotics and health researchers testing the new technology.

He said combining advancements in miniature camera technology, 3D ultrasound and machine learning, the project can provide unparalleled situational awareness to medical robots.

“Procedures such as meniscal repair and anterior cruciate ligament (ACL) in knee arthroscopy require extreme care.

“Advancing the medical imaging technology will greatly enhance surgeons’ clinical abilities and drastically lower the physical footprint and the cost of surgical procedures,” said Pandey.

Researchers identified a gap in the technology for robots to autonomously identify different tissue types instantly.

Dr Davide Fontanarosa, senior lecturer in medical radiation sciences from the Faculty of Health, said ultrasound had many benefits and was the only real-time modality compatible with operating theatres or radiotherapy bunkers.

“Tendons and ligaments, despite their many structural similarities, and several other soft tissues can be

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distinguished in ultrasound images.

“Ultrasound imaging is portable, completely harmless to patients and avoids side-effects such as claustrophobia but requires lengthy training to be able to interpret and use it,” said Fontanarosa.

Previous published research revealed a survey of Australian surgeons acknowledged

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The team includes chair in Orthopaedic Research and director of Medical Engineering Research at QUT Professor Ross Crawford and chief investigator for the Australian Centre for Robotic Vision Professor Jonathan Roberts.

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Manufacturers’ Monthly JUNE 2019 13

News @MM Australian made products get export support from federal government The federal government is supporting Australian manufacturers by allocating funds to organisations such as the Australia Made Campaign, which pushes for Aussie products to be recognised internationally.

The commitment will see Australia Made receive up to $5 million to promote the Australian Made, Australian Grown (AMAG) logo in key export markets, as well as establishing trade mark registrations in the United Kingdom, European Union and Canada.

The announcement details the establishment of a Manufacturing Modernisation Fund aimed at assisting manufacturers access new

technologies to expand and thrive into the future.

Australia Made chief executive Ben Lazzaro said it’s encouraging to see this level of commitment to Australian manufacturers.

“It’s important that we foster a manufacturing environment that encourages and assists manufacturers to innovate and build on their success, as well as providing pathways to new markets.

“The end result being a healthy manufacturing sector, job creation and better access to markets,” he said.

Lazzaro said the Australia Made logo has a proven 33-year track record in making the “Australian connection” here and overseas.

“It makes real sense to enhance its effectiveness as export markets continue to open up for Aussie manufacturers,” said Lazzaro.

While much work has been done in extending the reach of the logo domestically and into Asia, with the government’s support, Australia Made will be able to further strengthen Australia’s reputation for high-quality, clean, green products further afield, he explained.

The logo is currently used by nearly three thousand businesses across thousands of products sold all over the world.

It is also a central element of the government’s recently introduced food labelling laws in Australia; it will therefore be featured on the

The federal government is supporting Australian manufacturers by allocating funds to organisations such as the Australia Made Campaign. labels of thousands of food products exported from Australia (in addition to the thousands of non-food Australian exports).

It is also a registered trade mark in the US, China, South Korea, Singapore and India, with legal proceedings having commenced to register it in seven other Asian countries – Hong Kong, Indonesia, Japan, Malaysia, Taiwan, Thailand and Vietnam.

US trip to drive growth in South Australia’s space, defence and cyber security sectors

Marshall met with NASA officials to discuss future collaborations between Australia and the US within the space sector.

South Australian Premier, Steven Marshall travelled to the United States to attend the Sea Air Space, expo in the US, and to meet with leaders in the space, defence and cyber security industries in Washington DC and Maryland.

Marshall delivered the keynote address at the United States, Australia Dialogue on Defence Industries in Washington DC. The SA government saw the visit as an 14 JUNE 2019 Manufacturers’ Monthly

opportunity to brief US officials and leading defence industry experts on the opportunities in South Australia.

“South Australia is now driving the growth of Australia’s space sector and defence industry, creating high-tech jobs and generating interest from interstate and overseas,” said Marshall.

“We need to ensure that everything taking place at Lot Fourteen is being showcased on an international scale,

to attract investment from major companies, create more jobs and drive growth across South Australia’s burgeoning space and defence sectors moving forward.

While in Washington, Marshall met with NASA officials to discuss future collaborations between Australia and the US within the space sector.

“The headquarters of the Australian Space Agency, the SmartSat CRC, Mission Control and the Space Discovery Centre are all major drawcards for prominent players in the space industry to seriously consider South Australia as one of the best places to do business,” said Marshall.

He explained that currently there are hundreds of companies, including Raytheon, Lockheed Martin and Boeing Defence, from the US that are already operating in South Australia.

He sees that as crucial to growing SA’s economy and creating local jobs.

“We need to make the most of these investments, which are

now presenting unprecedented opportunities to our current and future generations.”

Marshall also visited the National Cyber Security Centre of Excellence in Maryland, a US state with international cyber security capabilities.

“By forging connections with Maryland and learning from their success, we’re seeking to grow this rapidly expanding sector right here in South Australia,” said Marshall.

“We are working to bring together these fast-moving sectors in SA, by providing companies with unparalleled collaborative opportunities, and bringing them within proximity of other major players in their fields.

“Driving growth across these sectors means we can stop the brain drain we’ve seen from SA in recent years and create jobs for our young people right here in our state,” said Marshall. manmonthly.com.au

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News @MM Sydney Nano and RAAF partner to develop sensing tech The University of Sydney’s Nano Institute has partnered with the Royal Australian Air Force (RAAF), to launch scientific sensing technology for Australia’s defence sector.

New sensing technology is being created for the defence sector.

A statement from the university explained that researchers at the Jericho Smart Sensing Laboratory are developing a nanoscale device that assesses physical, chemical, biological, acoustic, and electromagnetic environments. This technology will monitor electromagnetic, space, and underwater domains as they become more contested and congested.

Air Force air vice-marshal, Gavin Turnbull, said advanced sensors give a clearer picture of what is happening against difficult targets in challenging environments. The RAAF’s project, Plan Jericho, will see the development of augmented intelligence capabilities to protect Australia from technologically

sophisticated and rapidly changing threats. The Jericho Lab at Sydney Nano will form a critical part of the plan’s scientific infrastructure.

“We need to think differently to achieve and maintain our competitive edge in a rapidly changing world, and this is something we cannot do alone.

Our academic and other partners are helping us to disrupt ourselves in a controlled way, which is a far better proposition that unwillingly being disrupted by our competitors,” said Turnbull.

Associate professor, Cara Wrigley, from the Sydney School of Architecture, Design and Planning, has been appointed the Jericho chair of design innovation.

The technology developed at the Jericho Smart Sensing Lab will optimise Australia’s conditions, including humidity, foliage, and other environmental factors that currently pose challenges for airborne sensors.

Professor Benjamin Eggleton, director of Sydney Nano, said that the smart-sensing technology enables photonic platforms, which are miniaturised on to thumbnail-sized chips and cannot be affected by electromagnetic fields.

“These compact, power-efficient, rugged and reliable sensors will provide information that will enable smart, time decision-making,” said Eggleton.

Victorian government protects workers from silica dust with new measures The Victorian government will launch a compliance and enforcement blitz targeting more than 300 high-risk workplaces, focussing on stonemasonry workshops, to prevent silicosis.

Many common construction materials contain silica, including asphalt, brick, concrete, and grout, which can be a risk to people’s health when enhailed.

Miners, manufacturers, and construction workers are often prone to risks associated with working with materials containing silica.

The action plan, unveiled by Premier Daniel Andrews and Minister for Workplace Safety, Jill Hennessy, includes a state-wide ban on uncontrolled dry cutting of materials that contain crystalline silica dust, a free health screening for Victoria’s 1400 stonemasons, a new compliance code for businesses working with silica, and an awareness campaign to highlight the risks of working with engineered stone.

Andrews said Victorians have a right to expect their work won’t kill them. “We’re doing all we can to make 16 JUNE 2019 Manufacturers’ Monthly

sure workers go home safe to their families.”

Banning dry cutting of materials containing crystalline silica will reduce the risk of workers developing silicosis as wet cutting reduces the likelihood of harmful exposure to silica dust, according to the government.

Hennessy said silicosis has had a debilitating effect on too many tradies.

WorkSafe has received more than 28 claims for silica-related conditions in 2018, and 15 workers have died from the disease since 1985.

WorkSafe is set to review the list of proclaimed diseases for stonemasons and those working with engineered stone.

Minister for Health, Jenny Mikakos, said accelerated silicosis can have significant health implications and can be fatal. “Nobody should have their health put at risk just by going to work.”

In August, the Victorian government will hold a summit for general practitioners and medical specialists, as well as

education seminars for those in the stonemasonry industry and health sector.

With cutting of materials, and cleaning of products and surfaces, exposure to silica can be heightened.

This is why companies such as Kärcher Australia ensure its sweepers help keep workers safe.

Kärcher Australia sales and marketing director Lucas Paris highlights the importance of

implementing a cleaning process that is thorough, but does not necessarily cost employees more time or effort.

He previously spoke to Manufacturers’ Monthly about the issue.

“Cleaning is integral,” he explained. “But most importantly, it is necessary from a safety perspective.

“There’s a lot of talk now around silica dust and health issues that weren’t as prevalent 10-15 years ago,” said Paris.

Silica dust can be harmful to workers.

manmonthly.com.au

News @MM Research grants drive growth of smart cars in Australia Three RMIT research projects have been awarded grants totalling more than $780,000 to modernise the Australian automotive industry.

The Commonwealth governmentfunded Automotive Engineering Graduate Program supports PhD students to work on research projects, together with a car industry partner, with students receiving industryrelevant training.

The projects will focus on developing modern technology around autonomous vehicles and smart monitoring systems.

Autonomous vehicles rely on inherently knowing where they are going and where they are at any point in time.

Current location information obtained via GPS and trajectory is not fast or accurate enough to avoid collisions, and therefore the car must rely on sensing road markings and other cues.

This means cars are dependent on well-maintained markings and may become confused by obstacles

such as road works.

With the support of industry partner Advanced Navigation, researchers will explore the use of high-precision optical gyroscopes, like those used to create Google street view maps. These will be integrated onto photonic microchips – small and cheap enough to be used in every self-driving car.

It is hoped smart self-driving cars will reduce traffic backups by reducing stop-and-go waves that cause road congestion.

This could mean fewer traffic jams and less emissions to lessen environmental impact.

In partnership with Forum 8 AU, researchers will project the intended and unintended effects of emerging autonomous vehicle technology.

A new computer model will calculate likely issues in road safety, cyber security and privacy, shared mobility, ethical issues, and fuel consumption.

Many impacts are likely to be positive. With Australian government

data identifying driver error as a cause in 94 per cent of crashes, selfdriving cars can help mitigate risk.

Fewer crashes caused by driver error may reduce costs of insurance and financial impact of crashes and medical bills.

Self-driving cars could also offer increased levels of freedom to people with disabilities, helping them to live a more mobile life. It could also enhance independence for seniors and regain lost time for drivers who will be able to pursue more productive or entertaining activities whilst in transit.

But significant security, privacy and ethical issues also require consideration and planning.

The use of the new computer tool will enable government agencies, road authorities and manufacturers to develop technology and policies that support a sustainable mobility future.

Four PhD scholarships will become available to investigate key areas where wireless technologies can impact user experience and well-being

of both automobile occupants and other road users.

In partnership with Robert Bosch Australia, new techniques will be explored to enable drivers to use their smart phones to automatically enter and start their car, as well as to enable vehicle sharing, security and other safety and user comfort functions.

Innovative new systems to help protect vulnerable road users, such as pedestrians, cyclists and road workers will also be developed.

Self driving cars can offer increased levels of freedom to people with disabilities.

China seeks Australia’s help in CAV sector Chinese companies, universities and governments are looking for opportunities to invest in and partner with Australian organisations in the connected and automated vehicles (CAV) sector.

This was a key takeaway from a recent Austrade Future Transport Mission to China.

The mission visited strategic sites in Beijing, Shanghai and Shenzhen where delegates met with and introduced their solutions, services and expertise to key CAV figures in government, industry and research.

Australia and New Zealand Driverless Vehicle Initiative executive director, Rita Excell, said one of the aims of the visit was to investigate opportunities for investment and collaboration with Chinese organisations. It was also a chance manmonthly.com.au

to see what Australia’s Chinese counterparts are doing, she said.

“We had a fantastic response.

All our round tables were fully subscribed and we met with senior representatives at major companies in the CAV space including BYD, Baidu and BAIC. We generated serious leads in Shanghai and Shenzhen.”

Other delegates included representatives from Appen, Baraja, Nova Systems, Level 5 Design, the University of Melbourne – AIMES, the Department of Industry, Innovation and Science and the Department of Infrastructure, Regional Development and Cities.

Several delegates are now in discussions with Chinese organisations.

Excell said there was a proactive desire to work with Australian

experts and “cross-pollinate” ideas, drawing on Australia’s leading capabilities in CAV. These include artificial intelligence, machine learning, Light Detection and Ranging (LiDAR), system integration, testing and certification.

“The interest in Australian CAV technologies opens up opportunities for Australia to collaborate with China on R&D and testing,” said Excell.

“For example, Chinese companies are very interested in the use of autonomous vehicles in the resources industry, after seeing autonomous trucks at mine sites operated by BHP, Rio Tinto and Fortescue.

“Equally, Chinese organisations have also done excellent work inserting CAV technology into buses and heavy goods vehicles, and they

were keen to explore how that might work in Australia.”

Australian delegates received a first-hand look at the structured way in which the Chinese government is introducing CAV technology onto roads, including large-scale, dedicated test sites where staged assessments take place. Austrade’s trade commissioner in Beijing, Matthew Brent, said China’s future transport sector is one of the fastest growing and dynamic globally, in no small part due to high levels of investment in R&D and supportive government policy.

“Australia’s CAV expertise and technologies can play a major role in helping China meet its aim of introducing on-demand travel, the widespread use of autonomous vehicles and integrated rail roads by 2045,” said Brent.

Manufacturers’ Monthly JUNE 2019 17

Industry Focus Golden position for manufacturing companies Australia’s top 100 manufacturers have been announced for 2019. Manufacturers’ Monthly found out why some companies triumph over others in consumers’ minds.

Automation is helping boost businesses’ capabilities.

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ALTEX Australia sits on the top of the podium as Australia’s top manufacturer for 2019, based on a list compiled

by IBISWorld. The company’s rank is followed by the Fonterra Co-Op group, Perth Mint, BP Australia and Viva Energy.

The compilation of Australia’s Top 100 Manufacturers is based on data gathered through primary research of ASIC-lodged company reports for the previous financial year, submitted by manufacturers operating in Australia.

Based on the list, large companies with a global presence are valued by consumers in the $383.2 billion manufacturing industry, which employs more than 791,000 Australians. With a projected growth rate of 1.2 per cent over the next 18 JUNE 2019 Manufacturers’ Monthly

five years to $405.8b in 2023-24, companies strive to stay highranking on this list. Part of staying ahead of the rest is recognising which location is best suited to a company and making use of the opportunities and resources available in Australia.

A Viva Energy spokesman said it differentiates itself from similar companies by being purposely located at the Geelong Refinery, which is the second largest and most complex refinery in Australia. He explained that the refinery supplies more than 11 per cent of Australia’s total fuel requirements. It also owns or has access to 23 import terminals with pumpable capacity in excess of 1.2 billion litres, five inland depots and more than 290 kilometres of key pipelines across Melbourne,

Sydney and Brisbane.

“Our main competition in our refining business comes from larger modern international refining complexes who are manufacturing fuel and importing it into Australia.

These have the advantage of larger scale, more flexibility, modern technology, and often operating in jurisdictions with lower cost bases and occasionally direct government support,” he said.

“Although this competition presents some challenges, our refinery has some unique advantages which differentiate us. Our refinery is strategically located in one of Australia’s largest and fastest growing markets, and through associated pipeline and terminal infrastructure, it supplies around 50 per cent of

Victoria’s fuel requirements,” the spokesperson explained.

With a strong focus on safety and sustainability, Viva Energy’s commitments give it the fifth spot on the top 100 list. “Our number-one commitment remains to the safety of our people and the communities in which we operate. We continue to pursue ‘Goal Zero’ – Viva Energy’s objective to cause no harm to people or the environment,” he said.

As the company that operates Australia’s largest refinery, BP Australia competes with Viva Energy – trumping them for the fourth spot on the top 100 list for 2019. The company accredits some of its success to providing continued secure, reliable and competitively priced fuels. When speaking to Manufacturers’ Monthly a BP manmonthly.com.au

Industry Focus spokesperson highlighted fuel costs, safety and teamwork as key points in helping the company succeed.

“At maximum capacity, BP’s Kwinana Refinery can process up to 152,000 barrels of crude oil per day, producing a range of products including LPG, petrol, diesel, kerosene, jet fuel and heating oil. With this volume, we provide about 80 per cent of fuel to Western Australia, and supply refined products to South Australia and Tasmania. We do it with safety, respect, excellence, courage and one team, at the fore,” the spokesperson said.

“In 2019, BP celebrates its centenary of operations in Australia.

We have a proud local history with origins in refining. Our first joint venture with the Commonwealth government paved the way for Australia’s first ever oil refinery, built in Laverton in 1924, and we’ve played a key role in fuelling the country ever since.”

But, while the company has helped pave the way for oil refineries in Australia, it is faced with struggles such as competition from new market entrants and external market conditions. The BP spokesperson said this puts pressure on the industry.

“Operators, including BP, are constantly analysing the market, modifying and transforming the way we work and, more recently, adopting leading-edge technology to optimise operations.

“In the current landscape, we are competing with new, larger and highly cost-effective refineries across Asia. In order to remain relevant and competitive for the future we are leveraging our global strength to employ best-in-class systems, processes and digital innovations,” the spokesperson explained.

Digital solutions drive success Digital innovation and modern technology is helping companies across the sector including, BOC South Pacific, which ranked 61 on the top 100 list – up one from the previous IBISWorld list. The industrial gas manufacturing manmonthly.com.au

BOC’s John Evans said having good communication will help SMEs increase their performance.

company is investing heavily in robotics and automation technology and developing digital solutions to make it easier for customers to interact with BOC. BOC South Pacific managing director John Evans told Manufacturers’ Monthly that by introducing these strategies, the company is able to help customers monitor gas levels in realtime, provide virtual reality for engineering services, and offer apps for quick re-ordering from devices.

“We are also collaborating with education institutions and industry associations to support the development of new emerging technologies and industries including hydrogen – as well as with Weld Australia and TAFE on the new virtual-based welder education and training systems,” he said.

“When we talk gas, this could be improving weld quality by using different mixtures of welding gases, extending the shelf life of a food product by changing the gas mixture for modified atmosphere packaging – or creating more space on the factory floor by switching gas storage options,” said Evans.

The Viva Energy spokesman said there are always factors out of a company’s control that impact performance – no matter if they are SMEs of large companies, so keeping that in mind is paramount.

“To grow a successful business, it is important to focus on the things that are within your control, such as tight cost control, so that your

business is well positioned for when it experiences more challenging operating environments.

“The other area that often gets overlooked when growing a business, is investing in your company’s culture. We empower our teams to stretch themselves and for individuals to act as if this business was their own, demonstrating creative thinking and accountability,” he said.

Additionally, companies, no matter what size they are, can experience the challenge of finding suitable people that not only feel empowered to work at a company, but that are in fact qualified to do so.

The Viva Energy spokesman said that access to both skilled and unskilled labour is an increasing issue for manufacturing companies across Australia. Just like the rest of the manufacturing industry, these large enterprises are battling against a decrease in skilled labourers and dwindling interest in the manufacturing industry by generations entering the workforce now. According to data from the 2016 Census, the number of manufacturing workers in Australia fell 24 per cent over the five years to 2016. The data shows a decline in the manufacturing workforce from 902,829 in 2011 to 683,688 in 2016.

To address this, Viva Energy

Advice for smaller companies Education also comes in other forms as Evans explains that talking to suppliers and communicating the needs of a business will help Small to Medium Enterprises (SMEs) increase their performance. While the IBISWorld list of top 100 manufacturers features many large companies, he indicated that there is scope for all companies to engage in new technologies and products that will build capacity for growth.

“Start with what you are trying to achieve or solve, to ensure you get the right solution for your business – everyone’s journey is different.

Caltex Australia took out the top spot on the IBISWorld top 100 manufacturers list.

Manufacturers’ Monthly JUNE 2019 19

IndustryFocus invests heavily in its people through customised, internal training programmes that can often take several years to complete. “We have also adapted our recruitment and employment practices to reflect the changing labour market conditions.

That means offering more part time working options and flexible contracts, to attract and retain the best talent,” he said.

To foster the next generation of employees, each year Viva Energy recruits a team of interns to spend 12 weeks working across different parts of the business.

“Apprenticeships provide opportunities for young people to follow their passion and develop their skills, setting them up for a rewarding career in manufacturing.

“The apprenticeship model has been around for a long time and Viva Energy is a strong supporter, currently employing nine young apprentices from the Geelong region at the refinery,” the

Viva Energy spokesman said.

Similarly, Evans said BOC provides training to employees to help them grow within the company. He said building a workforce for the future is important. “[It’s] understanding what skills are required, then hiring and upskilling accordingly, while building new skills into our engineering and service teams.”

BOC’s core values are safety, integrity, community, inclusion and accountability, which help develop employees. “We have been in the industrial gas business for over 80 years in Australia, with safety at the heart of everything we do, for our staff, partners, customers and communities that we work in,” said Evans.

Exports focus strengthens business While education and technology are some factors helping these companies gain spots on the top 100 list, IBISWorld senior industry

analyst Liam Harrison highlighted that the leading industries of this year’s list are also reflective of Australia’s largest contributors to trade and exports.

“Australia is renowned for its strong agricultural exports and mining, energy and resources industry.

“Australia is a large exporter of commodities, with the nation benefiting from coal and iron ore prices staying relatively high year-on-year. While there is a large propensity for volatility amongst Australia food product manufacturers, the demand from China for products, such as infant formula, does provide opportunities for Australian manufacturers, who are able to capitalise on this demand and expand their international offering,” said Harrison.

“Despite the ongoing uncertainty of global trade partnerships and relations, manufacturers who

respond quickly and export their products to new markets will do well if they open up to markets, where tariffs on other nations’ products exist or are introduced,” he said.

In forecasting where the largest changes to Australia’s leading manufacturers could occur over the next 12 months, Harrison highlighted the ongoing trade uncertainty globally, China’s demand for Australian agricultural produce and commodity prices as having the largest impacts for the country’s manufacturing companies.

Despite these challenges, these 100 companies, and many others in Australia, have proven their success nationally and overseas. The list of Australia’s Top 100 Manufacturers 2019, powered by National Manufacturing Week, highlight just a few of the companies overcoming challenges and celebrating successes in manufacturing sectors that span from food and beverage, to pharmaceuticals.

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Financial Manageable electricity bills Realistic energy management solutions can help save money.

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OMPANIES in Australia have experienced price spikes in energy costs in the past decade that seem to just keep rising. So giving them the opportunity to manage these increases is a vital step the Federal government and state governments are taking through grants and programs. But experts in the Australian energy sector say more should be done to support businesses such as manufacturers who need to be well-equipped to deal with surges in the market that are changing quicker than they can adapt.

Energy Efficiency Council CEO, Luke Menzel, said electricity prices and gas prices went up rapidly a few years ago and many manufacturers found themselves caught up in those increasing costs. “It happened very suddenly from the perspective on energy users, and much of these price rises occurred because of policy failures at a political level. All of a sudden energy prices ramped up,” said Menzel. A 2017 report by the Australian Competition and Consumer Commission, Retail Electricity Pricing Inquiry, indicated that retail electricity prices increased by 80 to 90 per cent in the past decade. Menzel said in order to manage these price hikes, and a spike in gas prices, governments need to step up.

“Manufacturers shouldn’t be suffering. Governments should play a larger role to ensure manufacturers are supported through this transition.”

“The government in Australia that is really leading the way on this is the NSW government. They established a support program for NSW companies to upgrade their operations so they can deal with higher energy prices. We think that’s an opportunity for state governments, and ideally a Federal government, to look at what NSW is doing and scale it manmonthly.com.au

up,” said Menzel.

The NSW government implemented a manufacturing efficiency funding program, which offers more than $16 million in funding to help manufacturing businesses save energy and money.

The funding helps manufacturers upgrade energy monitoring systems, replace or retrofit old, inefficient equipment, install new energy efficient equipment, and improve manufacturing processes.

Successful applicants get up to $120,000 in matched funding per site, to implement a project that saves gas or electricity.

Adopting renewable energy The Federal government has energy initiatives in place such as one that helps small business owners and households. Under the Small-scale Renewable Energy Scheme program, candidates that install a small-scale renewable energy system – such as solar, wind or hydro – or an eligible hot water system, may receive help with the purchase cost.

The Ecoeffiency Group director, Penny Prasad, said businesses and governments need to have stronger focus on renewable energy and the importance of this. “For businesses, all they can do is be really on top of where their energy is coming from now and what they can do to be more efficient.

“There’s a transition going on and there needs to be a bit of vision and more strategy so that it’s not hitting business as hard,” she said. Many companies are getting behind renewable energy to benefit their business and the environment. For example, organics recycling, composting and renewable energy manufacturer Peats Group, opened a fourth compost and renewable energy manufacturing site in May. Located in South Australia, the opening of the site comes about 12 months

after the Australian government funded its $222.3m Regional Jobs and Investment Packages program – awarding Peats with one of nine grants for an advanced composting and renewable energy facility. It is projected to create 60 part-time jobs over the next two years. The renewable energy plant will be fully operational by mid-2020.

While some companies have access to grants and programs, Prasad said companies need to take action regardless for the cost and environmental benefits avaliable now. “Things need to settle down with the energy market. It’s going to be a really bumpy ride.

But meanwhile, there’s so much that can be done with energy efficiency,” said Prasad. She highlights solar energy as one source of energy businesses can take on.

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Prices slowly declining While experts agree there is scope for companies to benefit from renewable energy and government initiatives that will help lower costs, there is also some light at the end of the tunnel for businesses regardless of what they do.

According to the Australian Minister for Energy, Angus Taylor, government pressure on retailers resulted in lower power bills from January 2019 for residents in NSW, Victoria, South East Queensland and South Australia.

He said energy retailers including Origin, Energy Australia and AGL lowered their standing offer price in the new year. The government estimated that with this pressure on energy retailers, households and small businesses are paying up to 15 per cent less on their electricity bill.

The Clean Energy Council of Australia estimated that prices are expected to fall by an average of 6.2 per cent over the 2018-19 and 2019-20 financial years.

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Manufacturers’ Monthly JUNE 2019 21

Events @MM Indulge in Queensland’s food manufacturing expo Brisbane’s triennial food and beverage manufacturing exhibition, FoodTech Qld, will focus on the best conferences and innovations trending in Australia.

The FoodTech expo is being held across three days from July 28.

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OODTECH Qld, a triennial trade exhibition, was launched in 2016 to support the burgeoning food and beverage manufacturing industry in the northern state. For the second time, the event will bring about 140 exhibitors and hundreds of visitors together across three days from July 28.

Event director, Jonathan Wilczek, said the event will feature exhibitors’ best range of processing and packaging machinery, science and technology applications, ingredients, industrial services, the latest equipment, and trending developments in advanced manufacturing.

This year, FoodTech Qld will also host several workshops and seminars on topics ranging from food industry

Event director Jonathan Wilczek said seminars include talks on sustainability and supply chain.

22 JUNE 2019 Manufacturers’ Monthly

supply chain, sustainability, and health and safety. The event is being managed by the organisers of Foodpro, a successful show that has been running since the 1960s.

Exhibitors range from large manufacturers to small and medium enterprises (SMEs). Multivac, SMC Pneumatics, Nord Drivesystems and Sick Australia will all be displaying their latest in technology and innovation. Chocolate connoisseurs and biscuit lovers will also have a chance to chat to Mondelez International and Nestle Australia employees as these companies are also expected to return.

The event will not only allow visitors to see new products and innovative technologies, but it will also help them keep up-to-date with market trends.

Conferences galore In between discovering the best on offer from exhibitors, visitors can also take a seat and relax while listening to engaging speakers who are covering topics such as a business health check, succeeding on an international scale, and infrastructure and planning.

Wilczek said speakers will provide valuable insights into key topics affecting the food and beverage manufacturing industry. Queensland Minister for State Development, Manufacturing, Infrastructure and Planning, Cameron Dick, will feature as a keynote speaker and the Australian Institute of Packaging will offer a sustainable packaging training course.

The Australian Institute of Food Science and Technology (AIFST) is also holding two workshops on food regulations and food recalls.

AIFST managing director, Fiona Fleming, said the institute will run a comprehensive workshop to help food and beverage manufacturers develop the skills necessary to implement a program to evaluate and test the recall

policies and procedures in place in their business.

“The workshop will help them understand how even the simplest oversights can derail an otherwise sound procedure. They will learn to evaluate the who, what, where, when and why of recalls and how a properly handled recall not only effectively protects the consumer, but also allows for the public image of a company to improve,” said Fleming.

Attendees can also participate in a mock recall scenario at the workshop where they will get to work through an example and role-play on how they will respond.

As for the food regulation workshop, it will help manufacturers understand how to find out if the ingredients they are using in their products are approved and safe.

Visitors can also learn more about the regulations that can protect their products and consumers, Fleming explained.

Keeping it green Sustainability, waste management and keeping a clean, green image are key topics at FoodTech Qld. Wilczek said one of the highlights around sustainability will be a panel discussion on the issues food and beverage manufacturers face in this space. “We will try to bring in exhibitors and speakers who can provide new wisdom around the sustainability issues in the food and beverage industry and also shed light on best practices in the market,” he said.

Realising that sustainability and other key topics are relevant to all manufacturers, small and large, the expo is catering to companies that employ one person or even thousands.

The event will not only host big names in the food industry, but it will also bring several SMEs into the mix.

Hydro Innovations’ Garry Grant said these types of events allow

Fiona Fleming said workshops on food regulations and recalls will be held at FoodTech. delegates to see a whole range of products they may use for their businesses, all at the same time and under one roof.

Benefits for exhibitors Grant said the event allows exhibitors to demonstrate the effectiveness of their various products and technologies.

“Our reason for attending is to introduce technologies to the sector that may have been overlooked. We would like to find users that value operator safety and convenience, and those looking for products with the lowest life cycle costs,” he said.

Hydro Innovations will showcase self-priming wastewater pumps and Venturi-Aerators that are safer to use than other technologies and have a low maintenance cost.

Wilczek said the event in 2016 generated high value and large volume sales for exhibitors. He said more than 90 per cent of the exhibitors indicated they were satisfied with the FoodTech Qld expo and on average, each exhibitor was able to generate $430,468 in sales.

Wilczek expects this year’s expo to be just as satisfying for exhibitors and visitors. FoodTech Qld 2019 will be held at Brisbane Convention and Exhibition Centre. manmonthly.com.au

Events @MM Advanced manufacturing takes precedence at exhibition National Manufacturing Week (NMW) 2019 had many layers, catering to various attendees’ interests – including advance manufacturing. Manufacturers’ Monthly explains.

National Manufacturing Week was held on May 14-17.

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MW had a lot to show, with companies revealing integrated solutions and services, the latest in robotics and automation, and the role the Industrial Internet of Things (IIoT) plays in manufacturing. The exhibition, held at the Melbourne Convention and Exhibition Centre from May 14-17, gave attendees the opportunity to see the many technology-driven steps companies had taken in Australia and abroad, including in advanced manufacturing.

NMW exhibition director, Robby Clark, said the shift of Industry 4.0 from being a buzzword to the next industrial revolution has meant across many sectors and companies there’s been a change whereby adopting new technologies and strategies for success has been the focus.

“In manufacturing, we’ve seen huge uplift in the demand for advanced manufacturing

manmonthly.com.au

technology, high-tech or highly integrated solutions and services.

“Advanced manufacturing is largely dependent on leveraging the benefits offered by automation and robotics technology, additive manufacturing and IIoT,” said Clark.

“Research from the Advanced Manufacturing Growth Centre (AMGC) shows that being advanced is not what a manufacturing business creates, but how it operates. To support manufacturers integration of advanced technologies into manufacturing operations and production, we’ve also seen a strong demand for engineering expertise and skills, which are crucial to their successful deployment,” he explained.

Having followed manufacturing’s evolution and adoption of Industry 4.0, the exhibition had a lot to offer attendees wanting to learn more

about advanced manufacturing.

Clark said this was evident in the specialised product zones of automation and robotics, and IIoT, as well as in the conference program with its dedicated Industry 4.0 content stream.

“We know businesses within the industry are actively improving their operational practices and refining their approach or strategies for continued success. Manufacturing is undergoing a significant revolution,” said Clark.

To give visitors a thorough insight into Industry 4.0 and how it can help their businesses, NMW’s conference featured experts within this field.

Australia’s chief scientist Dr Alan Finkel was the keynote speaker in the Industry 4.0 theatre, and AMGC managing director Dr Jens Goennemann was the chair for the innovation stories series.

Topics within the Industry 4.0 theatre included a discussion led by Australian Industry Group (Ai Group) New South Wales director, Mark Goodsell, on Australian manufacturing in 2019 and beyond, and a discussion led by Swinburne University Factory of the Future director, Dr Nico Adams, on operationalising Industry 4.0 in manufacturing.

The conference also included a connected manufacturing theatre that featured subjects such as energy solutions for manufacturers, achieving a single source of performance truth, and optimising B2B packaging to reduce business costs.

Manufacturers’ Monthly JUNE 2019 23

ManufacturingStrategies Giving employees more autonomy to grow a business Growing individuals helps grow businesses, yet often companies lack the communication between top management and the shop floor. Manufacturers’ Monthly speaks to business leaders to find out the importance of empowering employees.

AME National Treasurer Barry McCarthy shared his thoughts on Lean manufacturing.

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EAN manufacturing is more than focussing on minimising waste while maintaining high productivity levels. It’s about employee empowerment – allowing workers to have a say in their company’s processes and being accountable for certain aspects of that process. This is a clear message that ran through the discussions led by Lean experts at the Association for Manufacturing Excellence (AME) Leading Through Excellence and Innovation Conference in Melbourne.

Speakers from Australia and around the world gave their take on Lean manufacturing – sharing their experiences as managers and the hurdles they have encountered along the way to improving sectors within the companies they work for.

Goodyear Tire and Rubber Company director of manufacturing, Billy Taylor, gave an insight into his

24 JUNE 2019 Manufacturers’ Monthly

experiences of running operations in the United States. He gave examples of allowing employees to hold more responsibility no matter what role they’re in.

“It’s about creating an environment where your team will take action,” said Taylor.

He said often the people on the shop floor who know what’s happening aren’t the ones that are asked. In order to learn more about a business as a manager, Taylor reiterates the importance of communicating with all sectors and people at all levels in a business.

“You can lose an entire plant by not saying hello. Make people visible to make them valuable.

“Leadership is also about having the courage to say when you are wrong,” he said.

Taylor gave one example of a Goodyear tire plant that wasn’t performing as well as the others.

New processes were implemented, such as installing boards in the factory that showed when staff were meeting their targets and when they weren’t. This was done to hold them accountable, but to also celebrate the wins.

Because the tyres are handmade, each employee leaves a label on each tyre they build. When this was implemented, employees expressed pride and a responsibility in the work they were doing, Taylor explained. “We need to make it obvious what people own. If they don’t have ownership the people don’t know what they are doing,” he said.

Taylor explained that when people are given more ownership their productivity lifts.

AME National Treasurer Barry McCarthy said that KPIs need to evolve as business grows and develops. These goals need to be changing at all levels, from top management, to middle management, to the shop floor, he said. “If the company doesn’t change their KPIs, there’s nothing changing in their processes.

McCarthy talked about having clear goals and coaching managers to be able to communicate these visions with their teams while supporting them to achieve these.

“Any time process comes into play, you should be coaching at the different levels. Results can’t come with stress – they should come with ease. We should be training our managers and leaders to coach people all the time.”

McCarthy explained that goals should challenge employees, but they need to be within their skillset and strengths, so it is achievable.

“They’ve also got to have a five-year plan and we’ve got to try to coach them to achieve that five-year plan.

You never want to set them up for

failure. You want to understand their capabilities.

“You can then start to find out how you can place people to fill particular roles,” said McCarthy.

Boeing Phantom Works chief of staff, Jamie Gooding, said it is important to give employees regular feedback. “It’s so basic, yet how often do we fail to tell people how they are doing?

“We all want that feedback.

We all want to know how we are going. We need to give credit where it’s due.”

Gooding explained that often people don’t like giving others feedback, despite wanting feedback themselves, and when feedback is given, it’s often in a team environment rather than letting individuals know.

By communicating with employees, Gooding reiterates McCarthy’s point that managers can find out where employees are best suited to benefit their needs and to grow the company. “Make best use of each person’s ability. Make use of your team’s ability and make sure that what each person brings measures up to the team.”

Gooding gives an example of a time that he identified each person’s strengths and implemented simple changes to improve personal performance as well as productivity within the company.

“What I wanted to do was help people learn and develop,” he said.

The Leading Through Excellence and Innovation Conference featured many more themes around Lean manufacturing, such as taking advantage of technology to introduce Lean strategies, and helping first-time managers learn as well as teach Lean within their companies.

The conference was held on May 7-8. manmonthly.com.au

Manufacturing Strategies Setting high standards Adhering to a certain level of professionalism can be as simple as ensuring a website is well-functioning. Manufacturers’ Monthly finds out what one automation solutions provider deems as important in setting a company apart from others.

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HERE’S nothing you sell or do that can’t be done by another organisation,” Andrew Godber from Bunbury Industrial Controls (BIC) said. He is a sales manager who believes that being the best at a trade also means providing the best service to customers in order to make sure they don’t jump ship to a competitor.

“It’s how well you do it, how quick you respond and how competitive you are that makes the difference.”

BIC, based in Western Australia, is an automation company that provides instrumentation and electrical services to heavy industrial and mining companies.

Ensuring clients get the best repairs and value for products is key to the company when serving its customers, but Godber explained that this also means he and his team look for suppliers that serve them in the best possible way. “ifm plays a big part in that.”

He said ifm supports BIC by having knowledgeable sales people that are always available and by having a well-functioning website, which is something that Godber highlights several times when speaking to

ifm’s range of products are quick and easy to purchase online.

manmonthly.com.au

Bunbury Industrial Controls uses ifm products in its projects.

Manufacturers’ Monthly.

“Their people are excellent. Their website is also awesome. I can go on there and do whatever pricing and checking I need.”

Godber said a good website can be hard to find, but in a place that is regional, such as Bunbury in

Western Australia, it gives companies the freedom to research the best products for their business.

“We are a small company and we have a couple of salespeople. We do our own research. The information is all on their website. It just means I can get something in a couple of minutes.

“It’s a strong point when the websites are really good. There are plenty of bad ones out there. If you are just looking for a price or the product’s ability and you are just after one item and you’ve got to spend 5-7 minutes for a website to load, that’s a pain.” Where Godber can, he prefers to purchase ifm products such as the company’s range of sensors and IO Link products.

“We still buy products from other companies that don’t have as well functioning websites.

That’s because we are governed by choosing products that are in the customer’s best interest.

“In a lot of places, companies are

cutting down the number of sales people.

Because companies are cutting down on those people, a well-functioning website is really important.

“Before I make a product sale, I have to let the customer know what the pricing and the ability is. With the ifm website, I can do that,” said Godber. Where possible, Godber also connects with ifm staff over the phone or when they visit Western Australia.

“Occasionally, I might also take someone from ifm out to a customer to provide a bit more advice.

“We are a system integrator for ifm. We know a lot about a selection of their products, but the ifm team know a lot more about all of their products.”

Working in collaboration with ifm, BIC is able to deliver on its values to provide a holistic approach to its customers through a combination of customer and automation services.

Manufacturers’ Monthly JUNE 2019 25

Manufacturing Strategies Customisation to suit the individual Modular workbenches come in all shapes and sizes to cater to a company’s specific requirements. Manufacturers’ Monthly explains.

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HETHER a workbench is needed for an existing facility or it is planned in from the design phase of a new one, there are ways to customise it to suit each unique space and need.

BAC Systems creates modular workbenches that have a purpose in every nook and cranny. The company’s Australian marketing manager, Bob Griffin, said BAC recognises that each company works with products of different shapes and sizes. While a mechanic may have tools in the hundreds, others may have larger equipment that needs to be stored for ease of access.

“You give mechanics cabinets that are deeper so the tools they don’t use often are at the back, and the ones they use every day are at the front.

“If you need somewhere to store every single tool, we have a huge possibility of integrated modular workbenches to meet everyone’s needs,” said Griffin.

“If you are looking at a lean

BAC Systems creates modular workbenches.

26 JUNE 2019 Manufacturers’ Monthly

manufacturing scenario, you only want to have a location for what you need to have there,” he said.

Not only does the right workbench make it easy to find items, which saves time, but it also declutters a space – making it a safer environment.

Often in a manufacturing scenario where sharpe objects, electronics and heavy items are used daily, it can be beneficial to store them safely and securely.

“Having everything where you need it is sufficient and saves space. There’s no confusion or guessing where things are, there’s no mess and it’s safer. It works a lot better when you have a definable location,” said Griffin.

“The idea behind our modular systems is that we can create that bench that suits the space. We can structure it the way you want it,” he said.

BAC does site visits to ensure it can offer the right solution to customers.

They’ll survey a company’s space and survey your inventory. Then, they

BAC benchtops come in stainless steel, wood timber and many other materials. will put all that data together and combine that into a solution.

“We can set it up for exactly how you want to work,” said Griffin.

There are a variety of options including fixed or mobile benches and a range of materials to create a suitable benchtop. The benchtops come in stainless steel, galvanised, wood timber, chemically resistant

laminate, vinyl and various other materials. Griffin said drawers and shelves can be added to suit individual needs.

“They are very strong, they come with adjustable partitions in the drawers. We’ve had them shock tested, because we put them in naval ships and into mines. They passed really well and they are quite resilient,” he said.

“All the time we are coming up with new ways of reconfiguring the benches.”

Griffin explained that while many industries wanted benchtop fit-outs to suit a newly built facility, many manufacturers liked to wait and see where and how a workbench will fit in. BAC is able to cater to both companies wanting workbenches before a facility is up and running, as well as fitting one in an existing building.

“Often, once a facility is up and running, they identify what their needs are,” Griffin said.

“We deal with everyone from someone’s garage up into the massive defence complexes with 5000 employees.”

BAC will find out what a company is after and by understanding their needs, BAC is able to provide the most suitable solution. manmonthly.com.au

Software & Systems Taking up technology trends Bob Martin explains Mouser Electronics’ role in improving manufacturing processes.

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HE number of technology makers – that is, people using basic electromechanical components to build something new – is increasing, and that increase influences professional electrical design engineers. These innovators are now incorporating products an amateur maker might use, such as a single-board computer or a module, into their innovation process.

At the same time, the quality of the tools available to amateur makers is increasing, making it even easier and more cost-effective for professional electrical design engineers to incorporate these tools into their own work. The costs of iteration are lower, and iteration can happen more quickly. It’s also easier than ever before to add sensors and take advantage of code examples to build relatively complex systems without investing a lot of time. Going from an idea to a successful product has always presented multiple business and technical challenges for innovators.

Today, three developing trends have the potential to ease some those challenges even while they create new ones. To clear the path from innovation to productisation, electrical design engineers need to know how those trends will affect them in 2019.

Trend one – speed Speed is one key trend changing the way innovations become products. Thanks to 3D printing, rapid prototyping, and hardware accelerators, electrical design engineers can now turn their ideas into prototypes incredibly quickly and get feedback fast. That acceleration makes it easy to iterate, which benefits designers, their companies, and even their customers. It can also create the illusion that the entire innovation-to-productisation process can and should speed up. Take a pair of electrical design engineers with a brilliant idea for a product. They’ve built a version that works – at least under the right conditions – and manmonthly.com.au

they take it to a maker faire. After attracting positive attention, they go to a hardware accelerator with the goal of radically shrinking their prototype from, say, the size of a lunchbox, to the size of a deck of playing cards.

Unless the system is very simple, there are so many changes happening all at once that the new, much smaller version is unlikely to work the first time. To complicate matters, with a complex system crammed onto a small board, it’s difficult to test and debug the design. An incremental approach is slower but more effective. Reducing the product size in stages gives people the chance to debug interim boards and optimize the layout. The incremental approach pays for itself because problems can be isolated and solved throughout the process.

Trend two – access to customers Easy access to customers is another trend that affects the innovationto-productisation cycle. In fact, it can lead to the valley of death. To understand what that means, let’s revisit the pair of engineers. They’ve made it to the stage where they have a viable product and have even sold a few hundred units online. A major retailer has noticed and places an order for a few thousand units.

Fulfilling that order requires a big upfront investment in everything from material to equipment. Our engineers assume that they’ll be able to fund that investment with the money from the retail sales, but retailers often pay out slowly. Now, the pair is at risk of falling into the valley of death – the time gap between when money goes out to pay for upfront costs and when revenues come in. The valley of death can destroy a young company, no matter how great the new product.

To avoid it, innovators must secure sufficient capital before they try to fulfil a big order. Design engineers face another, similar risk when turning innovations into products – death by crowdfunding. In this case, our pair of

engineers decide to ask for $25,000 to build 500 units but end up receiving more than $1 million in pledges. Now, they have to build 20,000 units. They simply can’t do it because they’ll need years to scale up to that level of production, and few customers will wait that long.

Trend three – the impact of sensors A third trend that design engineers need to consider when going from innovation to product is the impact of using sensors. So many devices are now equipped with sensors that interference can become a problem.

For example, radio-frequency interference, such as from antennas, can cause inaccurate sensor readings.

Engineers should test sensor results to ensure that they’re accurate and repeatable. Another sensor-related challenge is durability. Just because a sensor-equipped product worked well for a few days in an indoor, climatecontrolled environment doesn’t mean the product is ready to ship. Again, engineers should test the sensors under various conditions and for varying periods to ensure that they’ll last in real-world usage situations. In fact, even if the product isn’t equipped with sensors, it’s an excellent idea to give the product to other people and dare them to find problems with it.

Getting help Fortunately, design engineers don’t have to cope alone with the potential challenges these trends present.

Hardware accelerators and product development companies offer many ways to connect with helpful resources. They host events that are usually low-cost or free, with the chance to network. Meeting people in that space is invaluable because they can offer feedback that could save a lot of time.

Some design engineers worry that telling other people about their innovations creates the risk of idea theft, but they can always ask for

Mouser Electronics helps improve processes used in adopting the latest technology. someone to sign a nondisclosure agreement. Professionals running hardware accelerators also have to preserve their reputations to remain successful. Hardware accelerators can also offer insights into the specific needs of individual markets.

After all, consumers want products with different characteristics than business users.

Consumers want intuitive user interfaces, with easy-to-understand menus and clearly labelled buttons.

Business users want products that work reliably and won’t disrupt their processes.

An electronic cash register, for example, has to have a quick error-recovery process. Otherwise, cashiers could spend valuable time trying – and failing – to restart it while customers grow frustrated with long lines and may even decide to go elsewhere to make their purchases. Industrial users want products with robust designs. When industrial products are distributed at scale, they’re often treated roughly, subjecting them to vibration or shock that could damage key components. Connections made through a hardware accelerator can help anticipate and prevent these kinds of problems.

More stories like this one can be found at https://au.mouser.com/blog.

Manufacturers’ Monthly JUNE 2019 27

Issues & Insights Overcoming fears associated with introducing new technology Adopting new technology shouldn’t be avoided over worries that a security system will be breached. Miri Schroeter finds out how companies can benefit from upgrading their systems while staying away from hackers.

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ITH more manufacturers looking to improve the software systems and connectivity of their factories, there is an increase in information for the public and staff to get their hands on. In a world where “all organisations in all sectors can become prey to cyber security incidents”, companies need to ensure their information isn’t being used for anything more than to benefit them. University of New South Wales (UNSW) Canberra cyber director Nigel Phair said that any company can become prey to these incidents, which can range from phishing scams targeting key staff, denial of service attacks against organisational IT infrastructure, or ransomware

Taking a risk-based approach can save businesses from being victim of a cyber-attack.

28 JUNE 2019 Manufacturers’ Monthly

attacks using crypto-locker.

Because of this, Phair said that all manufacturers must take a risk-based approach. “They need to identify key information resources and invest an appropriate amount of time and money in protecting the most important data assets.

“They need to focus on how valuable this information is and why a criminal would be interested in gaining access to it.

They need to look at where data is held and who and how, people access it,” said Phair.

“Criminals have different motivations. [While] statesponsored attacks may be seeking intellectual property to replicate a manufacturing process, criminals

may be seeking money by encrypting data and seeking a ransom demand, or phishing staff to divulge log-in credentials.”

While these motivations are real, rather than not updating a software system, or connecting machinery, Phair re-iterated that steering clear of these attacks comes back to a riskbased approach.

“Any technology purchase decision should be based on this,” he said.

While this could mean implementing an ERP software system that allows information to be stored securely, other measures such as taking advice from the Australian Cyber Security Centre (ACSC) can also be beneficial.

A well-thought out approach In implementing a risk-based approach, the ACSC advises businesses to understand their threat environment. They must understand who might target their organisation, what particular infrastructure they may target and how bad the impact of an attack could be.

“Threat modelling your organisation will help answer some of these questions to identify what systems are critical for delivering essential services, and will allow you to appropriately set priorities and budget for cyber-hardening activities,” the ACSC explains.

Essential mitigation strategies that businesses can implement to protect their industrial control systems from a range of cyber threats include: - Tightly controlling or preventing external access to the control system network – segregating it from other networks such as the corporate network and the internet, - Implementing two-factor authentication for privileged accounts and access originating from corporate or external networks, - Disable unused external ports on control system devices, - Visibly mark authorised devices inside the control system environment with organisationunique anti-tamper stickers, - Make regular backups of system configurations and keep them isolated. Test the restoration procedure and validate the backup integrity periodically, - Regularly review firewall settings are in an expected state, - Prevent devices inside the control system network from making connections to the corporate manmonthly.com.au

Issues & Insights network or the internet, - E nable logging on control system devices and store logs in a centralised location. Institute regular monitoring and incident response practices to ensure that anomalies are identified, investigated and managed in a timely fashion, - Define a process for introducing external software and patches into the control system. Where necessary (on exceptionally critical components), review code and whitelist approved binaries, - Use vendor-supported applications and operating systems, and patch associated security vulnerabilities in a timely manner.

Taking daunting, but necessary steps SEW-Eurodrive marketing officer Michael Kitanovski said for manufacturers going digital and using cloud-based software, to connect their devices may be a daunting step on the security side (cyberattacks), risk side (requirements, flexibility and complexity) and in costs (such as upgrading systems and software, and outsourcing IT).

“For some manufacturers, a properly planned agenda to go digital and use cloud based software makes companies aware of the need to handle their data more responsibly and securely. Thus, making a cyberattack less likely.

“Analysing your ‘big data’ from your connected devices opens many doors for improving your factory and/or products by enabling faster recognition of procedures. For some manufacturers, their products and systems can now detect faults, maintain themselves and adapt to new situations,” said Kitanovski.

Kitanovski said a network can always expose easy targets, but there are security solutions on the market that provide effective protection for corporate and customer data in the cloud.

“The problem doesn’t necessarily fall back on technology, but a greater risk factor is how humans handle that data. Outsourcing IT for small and mid-size companies, who cannot manmonthly.com.au

One wrong click by a staff member could destroy networks, the Australian Cyber Security Centre warns. afford in-house IT security experts is essential to keep data safe.

“Companies should not start on a large scale right away, focusing on manageable and closed private clouds makes perfect sense. Think big, start small – have a clear strategy. Even start off with a small pilot project – if this proves a success, it can be implemented into the long-term,” he said.

SEW-Eurodrive is implementing complete smart factories. In its Graben-Neudorf plant for example, real customer orders meet smart processes, intelligent assistance systems and mobile robots. “Our production is based on lean principles, made only achievable by smart cyber physical systems and autonomous assistants which are error free,” said Kitanovski.

He explained that by not implementing these changes, a company may be held back from taking those necessary steps forward.

ZI-Argus operations manager Richard Roberts said when engaging with companies that provide these security services or paths to implementation, businesses must be

diligent and ensure the necessary security measures for their company are being considered, handled and implemented.

“Ask providers for documentation and evidence of what measures they take. Look for depth within their policies – security should be applied at all levels,” said Roberts.

Educating employees in riskapproach implementation The ACSC explains that staff will always be an organisation’s greatest asset and greatest risk – especially when it comes to cybersecurity.

“One wrong click by a staff member, whether intentional or not, can destroy networks.”

Improving staff awareness of cybersecurity issues and threats, including the risk environment for an organisaiton, needs to be a priority for all businesses, and there are some easy and effective ways to do it, according to the ACSC. Documenting and training staff in an organisation’s cybersecurity systems and plans helps drive a clear and shared understanding of expectations and culture. The ACSC explains that cybersecurity

documentation loses its value if staff are not made aware of its existence and use. Businesses should also design a program to be delivered over the next year or two, based around the current awareness level and goals for improvement.

Basic components should include: - Training for new starters, - Refresher training for existing staff members, - Regular communication to staff about cyber threats, - Reminders about safe online behaviour, both at work and at home.

Many staff members are cyberweary, hearing constant messages about password safety, clicking only on safe links and so on, so the ACSC explains that awareness programs need to be fresh and empowering, not repetitive and arduous. Developing training and information that is interesting to staff, highlights the value for them as well as the organisation. The ACSC also suggests using examples of cyber breaches to illustrate risks and ensuring messages are current and relevant to the industry and a business’s specific needs.

Manufacturers’ Monthly JUNE 2019 29

Nitrogen Generation

Atlas Copco Compressors has a range of nitrogen generators that companies can easily and quickly use on-site.

Taking nitrogen on-site Nitrogen generators can be used onsite in order to save a company money and time.

Manufacturers’ Monthly explains.

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OMPRESSED air is considered the fourth utility being used in many industries after water, gas and electricity, according to Atlas Copco Compressors. The company has nitrogen generator solutions that can help manufacturers produce nitrogen on-site.

Salena Estate Wines, based in South Australia’s Riverland district, invested in an Atlas Copco nitrogen generator in 2012. The winery’s operations manager, Claude Sarti, said once he had shown Bob Franchitto, the managing director of the winery, the potential cost savings of investing in an Atlas Copco nitrogen generator, it was an easy decision for him to make.

“Once he saw the figures he did not hesitate.”

Before having the nitrogen generator, the winery used the G-sized Nitrogen cylinders, which 30 JUNE 2019 Manufacturers’ Monthly

Sarti said made life very difficult and often dangerous for the workers.

“We had to wheel each cylinder on a trolley to the bottling line, dragging it over hoses and other obstacles. It was very difficult to man-handle them into place. And then the problem was they would only last an hour and a half on the bottling line, when we were in full production,” he said.

Sarti also mentioned it was important to be aware when the cylinder was going to run out, as the machine doesn’t operate unless there is a certain amount of pressure in the cylinder.

“Often the bottling line would just stop until someone went to change the bottle. On top of that, on a couple of occasions, someone had forgotten to re order the nitrogen gas bottles for the week, creating a significant amount of costly downtime.

“While the gas was quite

economical to buy, when you include the delivery charges and the cylinder rental charges, it starts getting expensive, especially when you have to buy in 30-40 cylinders in any given period, depending on the time of the year,” he said.

Saving time and money For Salena Estate Wines, the investment in a nitrogen generator helped save the company money and employees time, whereas previously the company was making a loss.

“If we had to stop the bottling line for just a half an hour, to change gas bottles or whatever, and we had six people on the bottling line that day, that’s three man hours lost that we had to pay for.

“If that happens on a regular basis, those costs soon add up, let alone the loss of production, which sometimes had to continue on to the next day because we haven’t

finished the run,” he said.

The nitrogen is used on the winery’s bottling line for gas blanket cover and for flushing the bottling line.

“The system pre-evacuates the bottle with a jet of nitrogen to eliminate the oxygen, and the same on the exit of the filler, so that we have the nitrogen protecting the wine, making it last a little bit longer.

“We also use the nitrogen to empty our filters when we need to change product. Basically we use nitrogen to blow all the previous wine out of the system; the hoses, the filter cartridges, and the filler,” said Sarti.

He said the nitrogen is also used in the winery’s cellar operations, replacing the labour intensive dry ice system. “Carrying the dry ice in buckets up the stairs to the top of the 60-70-foot high tanks was not only a manual handling issue, but a very hard task. manmonthly.com.au

Nitrogen Generation “When all the tanks get hooked up properly to the nitrogen plant, all that will be eliminated. So rather than having two people working all day on a Friday, hauling buckets of dry ice up all those stairs, the nitrogen plant will eliminate all those costs and safety risks,” he said.

A robust, reliable solution Atlas Copco Compressors product manager for oil-free ZH centrifugal turbo and high-pressure air and gas compressors, Sonik Barot, said Atlas Copco nitrogen generators are extremely robust in design.

“We offer a fully integrated complete scope-of-supply package and the life of the equipment is more than 20 years,” he said. Having a robust systems on site as well as access to services provided by Atlas Copco Compressors allows companies to think less about breakdowns and more about productivity.

The company offers both PSA NGP/NGP+ and Membrane type NGM/NGM+ nitrogen generators with a flow rate from 1 Nm³/hour, up to 3,000 Nm³/hour. Oxygen, CO2, water vapour and other gases are adsorbed,

and generate a continuous flow of nitrogen and a guaranteed nitrogen purity between 95 per cent to 99.9 per cent (10ppm Oxygen).

“The result is virtually pure nitrogen at the outlet of the generator,” said Barot. “The NGP/ NGP+ series is a very cost-efficient source of nitrogen used in various industries such as food and beverage, minerals and metal product manufacturing, metal processing, and electronics.”

NGM/NGM+ Membrane type nitrogen generators work on the “permeation” principle – using proprietary membrane separation technology. The membrane fibres separate compressed air into component gases bypassing inexpensive compressed air through semipermeable membranes consisting of bundles of individual hollow fibres, and generate a continuous flow of nitrogen. Barot explained that Atlas Copco’s membrane nitrogen generators are flexible enough to adapt to customer specific applications in various industries like type filling, inserting, fire prevention and blanketing.

By having nitrogen generators onsite eliminates limitations that companies may otherwise encounter.

manmonthly.com.au

In the owner’s control By having a nitrogen generator onsite, Atlas Copco Compressors helps its customers take control of their products. “It allows customers to generate their own nitrogen gas onsite, at the pressure, purity and flow they required, all for a fraction of the cost of conventional bottled or bulk nitrogen supplies,” said Barot.

“Further, Atlas Copco’s variable speed drive compressors allow automatic adjustment of flow and pressure to match the demands of the nitrogen generator unit and it dramatically increases customers’ productivity and lowers their energy consumption,” he said.

Barot explained that the energy savings for the nitrogen generator, when combined with an Atlas Copco compressor, offers up to 50 per cent energy savings. “It gives customers freedom from fluctuating nitrogen and delivery costs – allowing them to establish more accurate operational costs.”

He also highlighted that having a nitrogen generator onsite eliminates limitations that companies may otherwise encounter.

“The physical properties of the industrial gases limit the distances over which products can be economically transported. Having static installation gives customers a continuous source of nitrogen at the required purity and pressure, with price stability,” said Barot.

“With 24/7 availability to pure nitrogen gas, this also means there is no production downtime.”

He also said that having a nitrogen generator on site reduces energy use and lowers a facility’s carbon footprint. “Consider the absence of diesel fuel and associated carbon emissions from truck delivery of nitrogen. Additionally, there is also a reduced risk of employee injuries from storage tanks or exposure to delivered liquid nitrogen. It also eliminates truck deliveries and movement on-site including bottled banks movements,” said Barot.

Iproved Return on Investment (ROI) The NGP/NGP+ PSA type nitrogen generators work on the pressure swing absorption technology principle, which Barot explained helps ROI. “The Atlas Copco PSA type NGP+ nitrogen generator has the highest quality carbon molecules sieves and it has the highest process benefits. Due to that, it uses very little compressed air to generate the nitrogen. It requires compressors that are one or two sizes smaller than their competition,” said Barot.

“Therefore, it offers less capital investment right at the front and ongoing energy savings. NGP+ has the ultimate energy saver purge control algorithm, which senses if the nitrogen demand is less than NGP+. It will adjust the cycle time and reduce feed air consumption,” he said.

Barot also explained that the generators are tried and tested in-house to ensure customers are getting longevity and efficiency from their equipment. “All the components needed to generate on-site nitrogen are built to Atlas Copco Compressors’ quality and energy efficiency standards and tested for optimal performance and reliability.”

Manufacturers’ Monthly JUNE 2019 31

Weighing Solutions Solutions for all bagging requirements A bagging machine that can retrofit into existing plant floor space and integrate with automated bag palletising systems was created at Active Weighing Solutions with SMC’s help.

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CTIVE Weighing Solutions, with its expertise in weighing in-motion bulk materials, is involved in the design, manufacture and servicing of weighing equipment and complete weighing systems.

Building machinery for weighing bulk materials in a broad range of industries, Active Weighing Solutions weighing equipment can be found in mining, quarries, chemicals, plastics, recycling, food and grains industries.

The latest development from this company comes in the form of its fully automatic bagging machine.

Already implemented in three states, the company has its sights on another three orders with a goal of having at least one running in each state by 2020.

The machine is also particularly suited for export and the modular design and “plug and play” solution makes this a relatively easy and quick install. The design was developed with transport in mind and the machine is designed in three parts which will suit most freight forward size restrictions.

With the electronics and mechanics

Active Weighing Solutions manufactures complete weighing systems.

32 JUNE 2019 Manufacturers’ Monthly

individually wired up in the bulk head of the machine, the footprint remains small and tidy and the automatic bagging machine is ready for play on the other side.

The compact and robust GR90015 Automatic Bagging Machine will reliably fill and close open mouth bags to a market ready finish.

Taking up less than 12 square metres floor space, the bagging machine can retrofit into existing plant floor space and integrate with automated bag palletising systems.

Featuring an intuitive touch screen with clear graphics, bagging runs are easily programmed by operators who are then free to attend to other tasks.

Created by Active Weighing Solutions engineers to meet local bagging requirements, the GR90015 Automatic Bagging Machine is designed to fill and close a variety of bags at rates up to 15 bpm.

With its unique design, the machine offers minimal operator involvement. Designed with the bag loading magazine separate, operators can safely load bags while the machine

SMC was the chosen pneumatics partner to help with this bagging system. is in operation. The bagging machine will reliably pick, place and fill a wide range of bag types and sizes, and will implement self-recovery action when poor quality bags are encountered.

Built in sensors and detectors allow the machine to self-correct. Avoiding downtime, the sensors allow for a bag to be picked up up to three times – before a faulty bag is dropped and the next bag in the magazine selected.

Production bagging targets can be reliably met while plant personnel attend to other tasks.

Other unique features are the detection sensors, which allow the machine to automatically adjust to the bag size. Various bagging materials such as laminated woven polypropylene, plastic and paper can be packed. The elegant construction of the machine also means that gussets are held neat and in place to ensure beautifully packaged shelf ready products.

Active Weighing Solutions managing director, Nigel Saul, said the company’s engineers have the knowledge and depth of experience to design bagging lines – from simple manual systems through to fully automated systems with robotic assistance.

“We will work with you to implement the bagging solution that meets your production need,” he said.

The Australian designed and built, the GR900-15 Automatic Bagging Machine makes available the best features of any comparable imported machine, with the added benefit of local maintenance expertise and locally sourced consumables and maintenance spares.

SMC was the chosen pneumatics partner and a natural fit for the company. SMC developed a special manifold which has valves facing both ways (into the machine and out) to accommodate the special installation requirements of Active Weighing Solutions. The range of manifolds is IP67K, which is the most flexible option with ability to install valves outside of the protective panel and closer to actuators for better control.

The energy efficient ZL212 multistage vacuum ejectors are extremely air efficient, but create high vacuum flow. These intelligent ejectors have a suction flow rate, which is increased by the three-stage diffuser construction and functions such as a digital vacuum switch or vacuum pressure gauge can be selected.

The easy bag and product change over and intuitive touch screen HMI means that high operator and skills set is not required. Furthermore, it is developed with the Australian temperatures and climate in mind. manmonthly.com.au

Manufacturing Excellence Innovative solutions drive 111-year success for BOGE Compressors More than a century of achieving excellence is plenty of reason to celebrate for a company that offers compressor solutions by thinking outside the box.

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OGE Compressors sees innovation as the key to driving continued success and it recognises this innovation is one of the main reasons that BOGE can celebrate 111 years.

The BOGE company and its selected distributor partners offer tailored compressed air solutions for all applications including comprehensive after sales service.

Founded in Germany in 1907

by Otto Boge the company has expanded its reach globally to many different countries and more than 100, 000 customers.

The BOGE brand is focussed on first-class engineering made in Germany and the company delivers its extensive product portfolio at a realistic price. As a privately owned company BOGE can make its own inhouse decisions to channel resources into research and development leading to innovative products and cost-efficient solutions for the customer.

This innovation and intelligence by BOGE is demonstrated in the range of products and solutions it has designed. This includes oil injected screw compressors, oil free screw

The BOGE brand is focussed on first-class engineering made in Germany and the company delivers its extensive product portfolio at a realistic price. compressors, specialised piston compressors including smaller oil free units, and an extensive range of scroll compressors and a huge compliment of dryers and filters.

It also includes a comprehensive product range for medical applications.

Boosters, desiccant dryers, aluminium pipe and fittings and all of the above products are stocked in large quantity at the BOGE warehouse in Melbourne ready to support the growing demand for these innovative products.

BOGE staff worldwide celebrated the company’s 111th anniversary. manmonthly.com.au

BOGE Compressors has been around for more than a century.

The BOGE team is also regarded as a valuable resource within the business and everyone is encouraged to contribute to the innovation and most importantly the best possible customer experience.

BOGE Compressors Australia was established in 2006 and the company distributes throughout Australia, New Zealand, Papua New Guinea and Fiji. Distributors for the brand are carefully selected and receive regular extensive training on the BOGE products. All BOGE distributors are required to have the technical expertise to support the product and enhance the brand reputation. The business in Australia has expanded to the point where the company is now relocating to a larger facility to keep pace with demand for the product and continue to provide a high standard of customer support.

To celebrate the 111th anniversary, BOGE featured a special edition of its new series-4 screw compressors at the 2019 Hanover Trade Fair. Called S111-4, the celebratory product shows the high functionality and efficiency level of today’s BOGE screw compressors. All of the S-4 models, from 55 to 160 kW, rely on BOGE’s

The BOGE team is also regarded as a valuable resource within the business and everyone is encouraged to contribute to the innovation and most importantly the best possible customer experience. premium air-end, whose integrated, fully enclosed gears reduce the internal pressure losses and energy consumption as well as reducing noise levels.

The new S-4 series and other innovative new products ensure the continued global success of the BOGE business going forward.

To celebrate the milestone of 111 years, every subsidiary globally, as well as BOGE in Germany, cut a cake to salute the achievements of the BOGE family.

Manufacturers’ Monthly JUNE 2019 33

Development Staying loyal to customers Helping customers meet their needs time and time again is key for Blesbok Enterprises as the company sees value in forging long-term bonds.

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LESBOK Enterprises has been engaged in sourcing for companies worldwide for more than 15 years. Starting with sourcing a lock for its first, and still loyal, customer, the business has shown growth throughout this period.

The Blesbok team assists businesses that are under increased operational pressure to see a way forward in how to competitively manufacture and attend to the marketing of their product.

Rising costs set against static or falling market pricing for products, cheaper overseas products, using cheaper overseas labour and trade conditions, have been key to Blesbok’s success in making its customers more competitive.

Blesbok offers a complete B2B process. From initial engineering drawings and quoting, to a fully qualified manufacturing program to final logistics of delivery. The Blesbok team has engineering and manufacturing personnel on staff to assist with drawing control as well as English-speaking engineers on staff based in China to ensure all manufacturing is quality controlled.

Blesbok takes quality control seriously, therefore every delivery comes with a unique Blesbok guarantee.

This means that mass production will always be the same as approved samples.

The company puts value on procedures and systems that ensure there are never unexpected surprises.

Blesbok Enterprises CEO, Nevil Lazarus, said things can go wrong in any business, but Blesbok’s tight systems mean that issues are predominantly rectified before shipping.

“We are always on the side of our customers – offering our absolute guarantee at all times.”

Lazarus said that Blesbok’s 34 JUNE 2019 Manufacturers’ Monthly

Blesbok takes quality control extremely seriously, therefore every delivery comes with a unique Blesbok guarantee.

Blesbok Enterprises CEO Nevil Lazarus said Blesbok’s tight systems mean that issues are predominantly rectified before shipping. growth has come at a time when changes within the manufacturing environment has seen a reduction in practical technical skilled personnel in the Australian manufacturing arena.

With the loss of the big car industries, which drove apprenticeships and the many layers of local suppliers, practical engineering at grass roots levels

has diminished and is often being taught in overseas facilities.

Blesbok has a team of engineers on staff, headed by Matthew Phillips, a fitter and turner with more than 30 years’ manufacturing experience, and Shane Koopman, a toolmaker with more than 30 years’ experience in the manufacturing area.

Systems are now in place for ambitious expansion plans. The Blesbok team work to ensure a smooth transition from its current facility to one of the many facilities they have in China or Vietnam.

The wide Blesbok portfolio has expanded from the initial lock sourced to now cover product bases including metal components, fibreglass products, composite material expertise and glass products.

“Our team is engaged fully in the commitment of personnel, technical engineers and logistics to ensure your transition is smooth and seamless,” said Lazarus.

“Our knowledge of China sourcing is second to none. We have a large portfolio of clients who benefit from dealing with us.”

Blesbok assists manufacturers that are under increased operational pressure to see a way forward.

manmonthly.com.au

Safety @MM Safety, the key ingredient A company that specialises in hoists and chains remains focussed on keeping the industry safe after almost a century in the business. Manufacturers’ Monthly explains.

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HEN it comes to safety standards that give employees peace of mind that they are out of harm’s way as much as possible, KITO PWB ensures it does its part. The company has been manufacturing a broad range of chains for 95 years to Australian Standards in accordance with the ISO 9001:2008 approved quality management system.

KITO PWB has also been distributing the Japanese manufactured KITO range of manual and electric hoists and chain blocks throughout Australia and New Zealand since 1986. The relationship has only grown stronger since KITO’s acquisition of PWB in 2016.

The company’s ISO9001:2008 and ISO14001:2004 accredited manufacturing facility in Yamanashi, Japan, produces and distributes the single and dual speed three-phase ER2 and EQ electric chain hoists and motorised beam trolleys. These hoists are suitable for a range of lifting applications, with capacities ranging from 250kg to 20 tonnes.

Keeping manufacturers safe is important to KITO PWB

manmonthly.com.au

KITO PWB has a range of manual and electric hoists and chain blocks.

The compact EQ range come with a series of features designed to drive productivity and ensure safety in business operations. Features include: • Safe and reliable brakes that prevent a load from falling in the event of a sudden loss of power, • A motor-cooling fan that feeds cool

air to the aluminum die-cast body, • A motor cover and regenerative resistors, which prevent excessive temperatures during operations, • Helical gears that reduce noise, allowing quiet operation and a long life, • Nickel-plated chain manufactured in Japan, which provides corrosion and wear resistance, • Bottom hook, which is designed to open gradually and not break under excessive overload, • A counter and hour meter function that allows the user to check the number the hoist’s total hours of operation to carry out routine maintenance and inspection according to the frequency of use, • A friction clutch, which disengages the motor in the event of an overload, • A triple safety mechanism that shuts off the device in the event of excessive lifting or lowering, and • All hoists come with a thin, lightweight pendant control with an emergency stop button.

KITO PWB’s range of lifting products has safety in mind from

KITO PWB has also been distributing the Japanese manufactured KITO range of manual and electric hoists and chain blocks throughout Australia and New Zealand since 1986. start to finish, so manufacturers can feel at ease when using the company’s hoists and chains.

The range is available through the company’s network of approved distributors. The company is also a member of the Lifting Equipment Engineers Association, and Lifting Equipment Engineers New Zealand.

Manufacturers’ Monthly JUNE 2019 35

Safety@MM Safety’s role in image and reputation Company image, cost savings and employee satisfaction are just some of the reasons stringent safety standards are upheld by companies. Manufacturers’ Monthly finds out why teaching businesses about safety is so important.

H

ERE’S a scenario to think about – a company has just opened a new facility that is bigger than any other one it owns.

The press around the facility has been nothing but positive as it will help employ hundreds of people in that state. But within two days of opening, the company’s reputation has plummeted as an employee has been left unable to walk due to a machinery malfunction that should never have happened.

This is the worst-case scenario, but for many companies, similar scenarios are likely. Not only can this leave management red-faced, it can also result in severe fines or a valued employees leaving on bad terms.

WorkSafe statistics reveal that almost 450 body parts have been amputated from workers in the state of Victoria by common types of machinery over the past five years. The amputations, together with cuts, crushing and other injuries to nearly 11,000 workers, have led to a $220 million bill for medical treatment, rehabilitation and income support during the same period. These injuries were caused by machines that cut, mix or convey materials and by common power tools.

Information based on recent prosecutions by WorkSafe Victoria show the cost comparison between preventing an injury versus the cost of a fine. In one example, a worker’s finger was crushed and another’s fingertip was amputated, which happened in part due to bypassed machine guards and poor supervision of work. The fine incurred was $124,000, whereas the cost to prevent the injury was $5000.

In another example, a worker’s hand was crushed and burned due to a lack of procedures to electrically isolate unguarded

36 JUNE 2019 Manufacturers’ Monthly

Pilz offers safety training courses for manufacturers worldwide.

moving parts. The fine incurred was $50,000 and the cost to prevent the injury would have been $2000.

While the number of workrelated injuries has dropped by 49 per cent from the peak in 2007, according to Safe Work Australia’s Key Work Health and Safety Statistics 2017, some companies urge more measures to be taken to educate employees and to ensure machinery is safe to use.

Pilz, an automation technology company, is driven by its value, “the spirit of safety”. The company offers automation solutions that are committed to ensuring safety is always prioritised. As part of its safety-driven approach, Pilz offers courses worldwide.

Manufacturer’s Monthly attended one of these safety courses, seeing first-hand how employees from companies such as Orora were learning new skills that would become integral in introducing higher safety standards in their workplaces.

Pilz safety services engineer, Serg Ivkovic, who conducted the two-day course in Sydney, gave insights into possible implications of not adhering to safety standards.

He went through statistics that show which industries face the most fatalities per year and many relate to manufacturing. Ivkovic referred to Safe Work Australia’s fatality statistics, which indicates fatalities by industry between 2003 to 2016.

Worker fatalities in 2016 were

the most in agriculture, forestry and fishing at 14 per 100,000 workers.

This was followed by transport, postal and warehousing at 7.5 per 100,000 workers, and electricity, gas, water and waste services at 5.8 per 100,000 workers.

From January 1, 2019, to March 2, there have been 30 Australian workers killed at work. In the same period, there have been 10 workers killed in the agriculture, forestry and fishing industry and 10 killed in transport, postal and warehousing.

The construction industry has also seen four deaths, and the public administration and safety sector, mining and electricity, gas, water and waste services sector have experienced two deaths each. manmonthly.com.au

Safety @MM Ivkovic said often safety isn’t taught or drilled into people enough in courses that require people to manage worksites. “It’s very hard for people to get their head around how to make machinery safer when that’s not in our education.

“Mostly, what you come across is that the operator received training once and then it’s rarely followed up.

Whatever the first guy was applying, will most likely be transferred onto the next guy,” said Ivkovic.

Doing refresher courses or sending new employees to learn from experts in the field are some ways companies can boost their safety measures. Pilz safety training course cover a comprehensive range of topics relevant to machinery and staff safety. The courses include a four-day certified machinery safety expert course, a risk assessment workshop, and robot safety training, among others.

The courses teach attendees to think about the safety of people, costs incurred when injury occurs, corporate image and laws around safety. “Corporate image is important. Companies don’t want to see their name being screened on TV or the newspaper for the wrong reasons,” said Ivkovic.

“If something goes wrong nowadays it is plastered on social media,” he said.

Ivkovic highlighted the penalties that not only corporations, but individuals face if they do not adhere to Australia’s Work Health and Safety Act. If for example, there is a breach of health and safety involving recklessness as to the risk of death or serious injury or illness, without reasonable excuse, a corporation can incur a maximum penalty of $3m. A worker can incur a maximum penalty of $300,000 or five years’ imprisonment – or even both. For an officer, there is a maximum penalty of $600,000, five years’ imprisonment or both.

In order to minimise risk, Ivkovic suggests that companies think of safety from the beginning of a facility’s life rather than considering it later on. “It’s much easier to get rid of hazards when the machine is in its design stage. If safety is not manmonthly.com.au

Safety courses help remind employees of safe practices when working with a variety of technology.

Corporate image is important. Companies don’t want to see their name being screened on TV or the newspaper for the wrong reasons... If something goes wrong nowadays it plastered on social media. considered from the beginning of a machine’s life, then the cost will at some point spike up.

“You shouldn’t be looking at just one particular safety measure. It’s a case of having a combination of control measures,” he said.

Safety includes looking at aspects such as the noise limit for a machine and whether that is being adhered to. Ivkovic explained that people can also keep safe by installing safer versions of products, for example, a wheel with spokes could cause more harm than a solid wheel, as objects and hands could get caught in the spokes.

“You need to also make sure that when you risk assess the machine it’s through the full life cycle.” He

said from design to disposing of a machine, there need to be safety measures in place.

Ivkovic, kept the course attendees engaged by making them think critically about how they can implement safety measures and by testing their knowledge. He went through the requirements for companies to meet certain safety standards for their factories as well as the importance of implementing best practice solutions to ensure staff are knowledgeable and are kept safe from hazards.

Attendees of the courses include electricians, machine operators and site managers from companies that range from the pharmaceutical sector to manufacturing and

automotive industries.

Casey Stephens, who works as an electrical and automation engineer for the Orora Group, attended the course as he deals with machine design and maintenance.

“The course gives a foundation of the requirements for development and safety. It’s a good stepping stone to the TÜV certificate.” Following on from the MachineSAFE Advance course, attendees can participate in a four-day course that will allow them to receive an internationally valid TÜV certificate.

Orora Group graduate process engineer, Muzaffar Goolam, works for a production site as a manager.

“I’ve recently stepped into the role and I’m in charge of a quarter of the plant. I’m trying to make sure that systems that are in place are meeting government standards and that we are making sure safety standards are the best they can be.

“We are making sure that we are doing all that we can,” said Goolam.

The courses are available throughout the year in locations across Australia including in Melbourne and Sydney.

Manufacturers’ Monthly JUNE 2019 37

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Lubricants Safety in lubricants – why it matters Manufacturers’ Monthly spoke to Mitch Connelly, business development manager, Auschem about the need for a safe lubricant in manufacturing applications.

F

OR industries such as wire drawing, aluminium extrusion and smelting, glass packaging, flat glass, glasswool, cardboard manufacturing, petrochemical, metalworking, mining, drilling and quarrying, etc Condat has a great range of lubricants. Specialising in difficult applications like very high temperatures, fire risk areas, environmentally sensitive and food production.

Local agent for the range, Australian Chemicals and Coatings (Auschem), take into account all the essential parameters for quality when supplying these products to its customers.

Auschem is an Australian-owned company who primarily manufactures chemicals for metal finishing like powder coating, spray-painting and anodising industries. PVC plastisol, paint removal and waste treatment are also in the mix.

The company is the sole distributor for Condat lubricants. They supply chemicals to the wire industry, various glass industries, the fabricating industry, but the primary focus is their fire-resistant, biodegradable hydraulic fluids – Condat D, which is also their flagship product.

“Condat D is one of the best lubricant products available in the Australian market. Condat is a global market leader in this area,” said Mitch Connelly, Auschem’s business development manager.

Auschem is the main distributor for Condat lubricants.

This is definitely one of Condat’s bestperforming, most renowned products and certainly a product we like to promote.

“This is definitely one of Condat’s best-performing, most renowned products and certainly a product we like to promote,” he said.

Connelly also told Manufacturers’ Monthly that Condat is a manufacturer of specialty products in a sense that the products are industry and application specific. “We (Auschem) focus on quality solutions. For example, the only compressor oils that we promote are food-grade and the only hydraulic fluids that we promote are either biodegradable or fire-resistant. In addition, we have managed to improve bearing life for customers drastically by specifying

the right grease for each job - we sell on technical requirements, not like for like.

By world-standards, Connelly mentioned that Condat is quite a small company in the lubricant market.

However, when it comes to wire drawing lubricants, they are a world leader.

“We are focussing on the fireresistant, biodegradable hydraulic fluids. And now, food-grade range of compressor oils and greases. We also do a lot of very high temperature products; we sell into the smelting industry, the aluminium extrusion industry, hot glass, hot steel – all very difficult, heavy duty applications,” said Connelly.

The Condat difference

Condat D’s major advantage is that its products are Factory Mutual (FM) approved.

manmonthly.com.au

Condat D’s major advantage in the market is that its products are Factory Mutual (FM) approved. If a product comes with FM approval, it means that the manufacturer’s facility has been approved, and it proves that the product’s quality is consistent.

“Being FM approved is what’s

really important when you’re trying to reduce your insurance premiums (you wouldn’t put in a fire-resistant product if you weren’t trying to reduce insurance premiums), because the insurer will ask for FM approval,” said Connelly.

The other feature of the Condat D is that it has a premium chemistry that does not utilise any cost cutting thickeners in the formulation.

“Those kinds of products can be fine when they’re brand new off the shelf, but actually severely reduce the service life of the product, because the shear forces from the pumps will take down the polymers and drastically reduce the life of the product.

“Compared to some other products in the market, it’s safe to say that the service life of our product is 20 to 30 per cent better,” said Connelly.

Applications Condat D is good for any application or industry that is at risk of fire.

Connelly mentioned that even people baling hay could use the application.

“Anything that is a high fire risk or is being used at an elevated temperature which creates a fire risk would find good use for the product.

This includes even bridgeworks; if you’re doing works in quarries or works over rivers and bridges, all the hydraulics should be biodegradable, and that is where the features of the Condat come into play,” said Connelly.

It is important to have a really highquality lubricant because the main purpose for this sort of a lubricant or any sort of quality lubrication is tool life and machine life.

“If you can reduce your fire risk, if you can keep all of your pumps and your system well-lubricated and well-cooled, you’re going to get much, much longer lifespans out of your equipment,” said Connelly.

Visit Auschem’s website at auschem. com.au Manufacturers’ Monthly JUNE 2019 39

EndeavourAWARDS 2019 Endeavour Awards winners for 2019 announced Manufacturers’ Monthly would like to congratulate all of the Endeavour Awards winners for 2019. They show the variety of talented companies in Australia making it nationally and internationally.

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HIS year’s Endeavour Awards saw a high-calibre of companies sharing their innovative ideas, technologies and products. The awards evening on May 16 at the Arts Centre Melbourne, was

an evening dedicated to celebrating all entrants, finalists and winners of Australia’s most prestigious manufacturing awards ceremony.

This year’s awards once again saw a jump in the number of quality

nominations for the individual categories – something which continues to impress the judges every year.

Below are the winners of each category for the Endeavour Awards

2019, powered by sponsors – Weld Australia, Bestech Australia, Vega Australia, SEW Eurodrive, IBSA Manufacturing, Beckhoff, B&R Industrial Automation, BULK2020, COG Advertising and Safe to Work.

Best Industrial IOT Application – Proudly sponsored by B&R Automation Winner: Vivid Technology

Australian Industrial Product of The Year – Proudly sponsored by Vega Australia Winner: Redarc Electronics

Safety Solution of The Year – Proudly sponsored

by Safe to Work Winner: HMS Group

Most Innovative Manufacturing Company Award – Proudly sponsored

by SEW-Eurodrive Winner: Andrew Donald Design Engineering

The Endeavour Awards 2019 featured a sold out crowd that celebrated the best in manufacturing.

HERE’S THE LIST OF THE ENDEAVOUR 2019 WINNERS: Manufacturer of the Year – Proudly sponsored

by Bestech Australia Winner: Australian Munitions (Thales Australia) Technology Application Award – Proudly sponsored

by Beckhoff Winner: RMIT University, Advanced Manufacturing Precinct

40 JUNE 2019 Manufacturers’ Monthly

Environmental Solution of The Year – Proudly sponsored by COG Advertising Winner: Australian Munitions (Thales Australia) Outstanding Start-up Award – Proudly sponsored

by Weld Australia Winner: Persistent Aerospace Global Supply Chain Integration of the Year – Proudly sponsored by BULK2020 Winner: iOrthotics

Excellence in Manufacturing Skills Development - Proudly sponsored by IBSA Manufacturing Winner: Ai Group and Swinburne University

manmonthly.com.au

| PC11-48E |

Minimised size withEndeavour maximised AWARDS 2019 application flexibility.

The ultra-compact C6015 IPC.

www.beckhoff.com.au/C6015 With the ultra-compact C6015 Industrial PC, Beckhoff is again expanding the application possibilities of PC-based control. Wherever space or cost limitations previously prevented the use of a PC-based control solution, this new IPC generation offers an excellent price-performance ratio in an extremely compact housing. With up to 4 CPU cores, low weight and unprecedented installation flexibility, the C6015 is universally applicable in automation, visualisation and communication tasks. It also makes an ideal IoT gateway.

Processor: Intel® Atom™, 1, 2 or 4 cores Interfaces: 2 Ethernet, 1 DisplayPort, 2 USB Main memory: up to 4 GB DDR3L RAM Housing: Die-cast aluminium-zinc alloy Dimensions (W x H x D): 82 x 82 x 40 mm

Flexible installation with rear or side panel mounting.

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Manufacturers’ Monthly SEPTEMBER 2018 41

EndeavourAWARDS 2019 Sponsor:

ENDEAVOUR AWARDS WINNER ENVIRONMENTAL SOLUTION OF THE YEAR

COG Sponsor:

ENDEAVOUR AWARDS WINNER MANUFACTURER OF THE YEAR

Thales Australia: Safety and the environment first

O

NE trailblazer stands out for outstanding innovation in the areas of technology, management and product development. This year that standout is Thales Australia.

In addition, the company also won the Environmental Solution of the Year award.

The company has created a formula that treats and disposes energetic (nitrocellulose) waste in an environmentally compliant manner, manner, using a safe and costeffective process The solution has avoided the disposal of 170 tonnes of energetic waste, the environmental impact of burning that waste, and the reduction of up to $4.5 million of offsite disposal costs.

The facility support team conducted the initial trial using an alkaline solution and nitrocellulose waste. Full decomposition of the energetic waste requires a strong alkali, such as a sodium hydroxide solution, to produce soluble smaller nitrate and nitrite products.

In this case, the reaction can occur in a single step at regulated elevated temperatures.

The work was completed successfully and was then scaled up with the Industrial Waste Treatment team in 2018.

The team was able to show on a production scale that the waste could be treated effectively, safely and economically using current onsite capability.

In less than 12 months, the solution was able to treat 170 tonnes of energetic waste.

The energetic waste is both treated and disposed of efficiently and environmentally, onsite

42 JUNE 2019 Manufacturers’ Monthly

at minimal cost. It also meets environmental compliance with odour levels at the site’s evaporation ponds.

The solution aims to provide a long term, environmentally friendly and cost-effective option for energetic waste disposal.

Thales Australia is part of a leading international electronics and systems group serving the defence, aerospace and space, security, and transport markets in Australia and throughout the world.

The company traces its origins back to the 1890s and are a premier provider of systems, products and services in both commercial and defence areas.

Thales also captured the Environmental Solution of the Year award for their solution that disposes nitrocellulose in a compliant manner.

Sam Bhasin, managing director of Bestech Australia presents the Manufacturer of the Year award to Thales Australia.

manmonthly.com.au

w

Congratulations to all the Endeavour Award finalists and winners We are proud to have created the Excellence in Manufacturing Skills Development category to recognise the exceptional work by many organisations to raise skill levels in the industry.

IBSA continues to help bridge the skills gap between industry needs and vocational qualifications to shape workforce skills for the future.

The Skills Service Organisation for the manufacturing industry

www.ibsa.org.au

EndeavourAWARDS 2019 Sponsor:

ENDEAVOUR AWARDS WINNER TECHNOLOGY APPLICATION AWARD

RMIT University: Additive manufacturing, the way forward

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MIT University research project provides new tooling solutions by applying additive manufacturing technology to the fabrication of custom, complex, cutting tools.

The creation of cutting tools using additive manufacturing technology allows for significant productivity increases facilitated by complex and specialised cutting tool geometries and internally through coolant channels.

The head research for the project, Jimmy Toton, said many cutting tool manufacturers have a specials department or a customs department for low batch complex designs. “There the customer only requires very small batches and there are sometimes issues with the supply chain, sourcing the materials and also high material wastage, which increases costs and lead times,” said Toton.

3D printing of steel tools overcomes

supply chain issues, reduces inventory needs and gives wider freedom of through coolant design channels.

“3D printing can optimise the through coolant channel design to increase flow rates, optimise the location of the exit hole, improve chip breaking and chip evacuation, and reduce the temperature at the cutting zone,” said Toton.

Additive manufacturing technologies can have fewer constraints compared with normal manufacturing methods. The layer-by-layer process of additive manufacturing technology allows complex external and internal designs to be fabricated.

“Productivity is what it is all about and through that you will significantly reduce final product costs,” said Toton.

The next step for the research is to offer the manufacture of cutting tools that can work harder, faster and increase the productivity of machine

operations to Australians.

“By developing this technology and offering it to Australian manufacturers we can make them potentially more cost effective so they can win more

tenders in global supply chains. By offering them cutting tools that are custom and offer high productivity it gives them that edge that is the ultimate goal,” he said.

RMIT believes strongly in its research efforts into additive manufacturing technologies.

ENDEAVOUR AWARDS WINNER EXCELLENCE IN MANUFACTURING SKILLS DEVELOPMENT

Sponsor:

Swinburne Uni and Ai Group: Skills for tomorrow

I

N collaboration Siemens, Swinburne University and the Australian Industry Group (Ai Group) have established the first Industry 4.0 Higher Apprentice Program.

The idea for the program stemmed from the recommendations of the Prime Minister’s Industry 4.0 task force.

Swinburne University professor Aleksandar Subic said the future of jobs, the economy or the manufacturing industry is a dynamic piece. “It’s evolving, so that is why we have to be adaptable and flexible to learn and adjust as we test different projects and programs and as we engage with

44 JUNE 2019 Manufacturers’ Monthly

industry,” he said.

Ai Group head of workforce development Megan Lilly said the group is committed to developing the skills for the digitised world. “Instead of letting digitisation happen without parallel skill development, we are committed to actually getting the skill development in place and keeping people connected into the future.”

“I think what is unique about the program is that it is very future facing, the skills that are developed can be applied now but they have got a very future orientation. It’s a very adaptable and agile model that we have put in place,” Lilly said.

In the program, students are

encouraged to work in teams to spark technological solutions from freshthinking approaches.

Subic said developing new cohorts

and generations of workers, graduates, people with advanced digital and technological capabilities on scale, is essential for Australia’s economy.

Swinburne and the Ai Group receiving the award from IBSA Manufacturing.

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EndeavourAWARDS 2019 Sponsor:

ENDEAVOUR AWARDS WINNER BEST INDUSTRIAL IOT APPLICATION

Vivid Technology: A clearer picture in the cloud

V

IVID Technology has created a cloud-connected system for the Internet of Things (IoT) to deliver the future of lighting with its MATRIXX system.

The lighting system delivers up to 90 per cent efficiency savings and carbon reductions by capturing and converting smart data. Vivid Technology chief marketing officer Nadya KrienkeBecker said the MATRIXX system provides site-specific data. “If you have a site where you’ve got five warehouses and a manufacturing component, we can actually measure in each of those individual parts of that business the lighting energy they are using and

how they use these spaces,” said Krienke-Becker.

The data captured from Vivid is then interpreted and used to advise the business. “We can then go back to the business and say, in one warehouse you are only using 25 per cent of the space, but you are lighting 100 per cent, so why don’t you move stock up into that 25 per cent space in order to save lighting energy?

“We actually look for productivity enhancements and operational efficiencies for customers,” said Krienke-Becker.

Depending on business needs, the MATRIXX system helps deliver clients

with insights on energy consumption, carbon reduction, motion, humidity, vibration, time, pollution, heat, daylight and trigger events. This is all based on information from the system in the ceiling.

“What the technical team and engineers saw, was every building already has a network in the ceiling and therefore, there is the capacity for an enabled network in nearly every ceiling. Yes, it may need either data cables or sensors and a smart site control unit installed, but every ceiling with lights in a building has a network already,” Krienke-Becker explained.

Clients get intelligent sensor

communication that creates genuine two-way control to maximise the system life and minimise operating costs.

“What clients actually get, is an intelligent smart system, because of the data cables and sensors involved in this system, the system intuitively reads its environment and can communicate. In fact, each light point receives about 3.5 million bits of data annually. The best thing we have done, is enabled clients to reduce the lighting, significantly reduce the light energy consumption and provide site intelligence reporting – all of which reduces energy, improves productivity and saves them money,” she said.

Vivid Technology bags the Best Industrial IoT Application award for its MATRIXX system.

46 JUNE 2019 Manufacturers’ Monthly

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Securing the Future of Australia’s Welding Industry

weldaustralia.com.au

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office@weldaustralia.com.au

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+61 (0)2 8748 0100

EndeavourAWARDS 2019 Sponsor:

ENDEAVOUR AWARDS WINNER OUTSTANDING STARTUP AWARD

Weld Australia

Persistent Aerospace: Keeping manufacturing in Australia

P

ERSISTENT Aerospace make drones in Perth, Western Australia. The two types of drones produced are the Unmanned Aerial Vehicle Tethered (UAVT) and the UAV ICE (I), which is currently under development.

The UAVT is able to remain airborne and carry up to 45 kilograms of product, receiving power from the ground.

The UAV(I), which is powered by an internal combustion engine, is able to transport heavy cargo from point-to-point. A goal is for the UAV(I) to be capable of transporting up to 180 kilograms by mid-2019.

Persistent Aerospace’s main goal is to make its place in the industry as Australia’s front running UAV manufacturer by remaining 100 per

Persistent Aerospace believes in keeping manufacturing based in Australia.

ENDEAVOUR AWARDS WINNER AUSTRALIAN INDUSTRIAL PRODUCT OF THE YEAR

cent Australian-owned and retaining its manufacturing base in Australia.

So far, Persistent Aerospace has sold equipment to the Defence Science Technology group in South Australia and the company has signed a partnership with the Australian Maritime Services Group Defence. This partnership is hoped to bring Persistent Aerospace to the forefront of defence in Australia.

The company aims to achieve market penetration with highly unique products that have genuine capability for business and defence.

Persistent Aerospace plans to innovate in Australia and bring the best people in the UAV industry together to work on unique products and positive outcomes because it wants to keep jobs locally based.

Sponsor:

Redarc: Smart system on the road

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EDVISION was born from an idea to make motorhomes feel as luxurious and comforting as conventional homes.

Redarc recognised people are used to having luxuries and they expect the same when they’re on the road.

So, Redarc created a smart system to help keep track of and control of those features in motorhomes.

As the winner of the Australian Industrial Product of the Year, RedVision is a central hub that connects electrical devices and displays vital information for a motorhome and all of its onboard accessories.

Customers can access RedVision via an app, but it is also available on a failsafe control screen installed in the motorhome. Should anything go wrong with a customer’s phone in the remote Australian outback, the tool 48 JUNE 2019 Manufacturers’ Monthly

ensures they are still able to keep track of power usage.

Due to Redarc’s expertise in battery management, not only are people able to keep track of electrical devices, but clients can also see the amount of power left in their motorhome.

John Leadbetter, senior managing director, Vega Australia presents the award to Redarc.

Redarc CEO, Anthony Kittel, said the information lets customers know that based on how much energy they are using, they could stay camping at a location for two more days and have sufficient power.

Effectively the idea for RedVision

came from stepping out of the motorhome industry and looking for inspiration in other areas.

“We looked at treating the caravan or the motorhome as a home. We thought we would look at smart systems you can get in houses with either voice control or an app and we could translate that to something similar for a motorhome,” said Kittel.

RedVision was built and tested in Australia to withstand the harshest conditions. It maintains a focus on ease of use and forward thinking for the end-users changing needs, to give customers the luxury of feeling at home while on the road.

“One of the key things for us is that we are an Australian manufacturer, an Australian designer, this is 100 per cent designed and manufactured here in Adelaide and it is built for Australian conditions,” said Kittel. manmonthly.com.au

Dust and buildup on the antenna? No problem!

The future is 80 GHz: a new generation of radar level sensors

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EndeavourAWARDS 2019 Sponsor:

ENDEAVOUR AWARDS WINNER MOST INNOVATIVE MANUFACTURING COMPANY AWARD

Andrew Donald Design Engineering (ADDE): Building to improve patient health outcomes

A

DDE specialises in bespoke industrial automation solutions. Integrating robotics, custom machinery, tooling, sensors and control systems, it provides companies with unique manufacturing solutions.

ADDE business development manager Greg Perry said there is a whole range of projects ADDE has completed and industries it serves where they need to manufacture efficiently, safely and economically.

“If there isn’t an off-the-shelf solution to complete the task, you need customised equipment from people like us to be able to succeed and compete in manufacturing.”

ADDE finds highly complex manufacturing solutions to suit the customers exact needs. A recent

project implemented by the company, helped a small goods manufacturer that packs hot dogs. ADDE created a custom machine that packs 88 hot dogs per minute.

“When there isn’t necessarily a solution to meet a customer’s needs or processes our team of engineers come together and actually create something that doesn’t exist, that’s where our strength in innovation comes from,” said Perry.

The company’s breadth of experience plays to its strength in creating innovative solutions. “We tend to take on the more challenging [projects] so innovation is inherent in what we do. We have to innovate to find a unique customised solution for a customer,” he said.

ADDE’s breadth of experience plays to its strength in creating innovative solutions.

“The nature of what we do defines our innovation. Every project we do either hasn’t been done before or

has a unique requirement and we are tasked with finding a solution where there isn’t one available.”

Sponsor:

ENDEAVOUR AWARDS WINNER SAFETY SOLUTION OF THE YEAR

HMS Group: Safety first before anything

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HE HMS Mini Loader, created

by HMS Group, has won the award for Safety Solution of the Year at the Endeavour awards, by eliminating risk to clean in and around low height areas such as conveyor belts.

The Mini Loader allows operations to continue while it is cleaning an area – saving money by minimising work done by cleaning personnel and allowing for production to continue.

The HMS Mini Loader was developed by HMS Group managing director Jamie Howard. It is primarily used to collect coal that drops from conveyor belts in mine sites.

“In using the HMS Mini Loader, you could save $100,000-$180,000 an hour simply by not stopping your main trunk belt for example,” said Howard.

The HMS Mini Loader is remotecontrolled and therefore allows the

50 JUNE 2019 Manufacturers’ Monthly

Managing director, Jamie Howard, receving the award on the night. operator to stay in a safe location and maintain productivity.

“With a man or person working underneath the conveyor belt with a shovel, it’s extremely low so the idea of

the HMS Mini Loader was to remove that risk,” he said.

Proximity detection is a vital safety feature of the HMS Mini Loader. If a person walks within the red zone of the

machine it will instantly stop moving.

The only way to start the machine again is to walk out of that zone. The Mini Loader has a capacity of 350kg and has a low height and width.

“There are competitors out there, but the height of our machine is extremely low and it’s a mining machine, not a construction machine. It was actually made specifically for the mining industry,” said Howard.

HMS manufactures the machine in both Australia and the US. “It’s an Australian innovation that really works and it is now a worldwide product.

“From a small idea to where it is now, it’s been a massive challenge but we need to be three steps ahead of the game at all times.

This is where we have to thrive on innovation,” said Howard.

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iOrthotics’ additive manufacturing processes to its supply chain saves more than 40 tonnes of plastic landfill waste.

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IORTHOTICS, the winner of the Global Supply Chain Integration of the Year award, created an integrated digital platform for advanced manufacturing. iOrthotics allows all prescriptions to be uniquely tracked across the supply chain from clinician to patient.

The company adopted 3D printing for mass production of end-use parts and it distributes to the United States, United Kingdom, New Zealand, Canada and China. iOrthotics chief information officer Dean Hartley said people have been looking at iOrthotics for the past several years to see if what the company is doing is working and if they can replace some of the old manufacturing methods with iOrthotics’ new methods.

“That is what is making us successful internationally not just here in Australia,” he said. iOrthotics uses the latest digital foot/cast scanning, computer aided 52 JUNE 2019 Manufacturers’ Monthly

design (CAD), and computer aided manufacturing (CAM), to create products that are unique to each patient’s foot. Each year due to implementing additive manufacturing processes to the supply chain, the company saves more than 40 tonnes of plastic landfill waste.

The company is exploring opportunities to set up an additional manufacturing hub in the United States.

“It is the ability to innovate here in Australia and then deploy that technology across into other markets.

This has opened another avenue in our business where now we can expand internationally from Australia. We are also looking to set up hubs or distribution facilities in other markets globally,” said Hartley.

“A lot of technology is actually revolved around just getting better patient care and outcomes. By implementing this technology, we are making healthcare more accessible and

more affordable in a lot of cases.” iOrthotics is also looking at undeveloped markets through Asia and countries where health services around orthotics are starting to be considered.

The company has grown off the back of podiatry practices and health

professionals and were recommended by their industry peers to nominate for the awards.

“By innovating in the orthotics space, the end game is to improve patient health outcomes around the world,” said Hartley.

iOrthotics representative giving the acceptance speech on the night.

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Women in Industry High calibre of finalists represent manufacturing industry The Women in Industry Awards highlight the best performers in industries such as manufacturing.

T

HE finalists for the 2019 Women in Industry Awards have been announced, with an impressive range of women vying for the title of the winner of Excellence in Manufacturing. The award, sponsored by CSR Limited, recognises an individual who has thought outside the box to implement an outstanding personal contribution to their manufacturing business and the wider manufacturing community.

The range of finalists for 2019 include employees from Robert Bosch Australia, Downer, Varley Group, Vesco Foods and GM Holden. Given the array of talent for this year’s awards, judges had the hard task of narrowing it down to five finalists. The finalists for Excellence in Manufacturing are:

Amber Burdett-Dow has worked for BOC Limited since 2004.

Amber Burdett-Dow – BOC Limited customer experience program manager In 2004, Burdett-Dow started her career with BOC on the resourcing team where she led the internal recruitment division. After two years in resourcing, she transitioned into the customer service division where she led 70 customer service professionals and was accountable for delivering more than $100 million per annum sales and multiple service targets across four teams.

In 2010, she was promoted 54 JUNE 2019 Manufacturers’ Monthly

to national customer service manager where she led 120 call centre operators supporting more than 800,000 customers and 1,000 distributor partners throughout Australia.

After four years in this role, Burdett-Dow was appointed the customer experience program manager – a position she has held ever since.

A significant career highlight was establishing and leading BOC’s customer experience program across Australia and New Zealand. This involved creating and implementing a voice of the customer platform based on customer feedback and customer experience methodologies. BurdettDow spearheaded this program and is responsible for designing and embedding a customer focused culture for 2,500 employees.

Burdett-Dow ensures that her team is ahead of the latest trends in technology and she is focussed on upskilling them to use that technology to support them in their roles to ultimately enhance customer experience.

Burdett-Dow has 13 years’ experience working in customer service and her nominee recognised that her passion for high quality customer service filters through the entire team and motivates other employees to excel in their roles.

Natalie Bond – Downer deputy general manager for systems integration Bond is described as a person that goes far beyond being an average engineer. Beyond her technical competence, Bond’s intellectual capability, appetite to solve challenges and ability to effectively translate technical information into coherent messages relevant to her audience, is what earns her respect

Natalie Bond is a deputy general manager for systems integration at Downer. from her peers.

Bringing to Downer decades of experience in engineering and manufacturing, the company acknowledges that Bond demonstrates exemplary leadership, and technical and emotional intelligence every day.

She has a Bachelor of Aerospace Engineering, obtained more than 20 years ago, and she has worked across the automotive and rolling-stock industries.

In her five years at GM Holden, Bond held various leadership roles including as a systems implementation manager where she successfully rolled out a global IT platform for the company. It was when Bond took on a role to lead the GM configuration team, that she became the youngest manager within Holden Engineering. In these leadership roles, she has skilfully exhibited leadership in engineering, technological excellence and innovation.

Having made valuable contributions to the automotive manufacturing industry, Bond transitioned into rolling-stock manufacturing with Downer, joining the Millennium Train Project team.

Her approach to overcoming adversity and challenges within transport and infrastructure engineering and manufacturing is through challenging the status quo,

remaining agile and outcome focused, and excelling in communication.

Bond enjoys the challenge of designing, manufacturing, testing and commissioning new rolling-stock.

For her, it’s the contribution she makes to the community, delivering safe, reliable and accessible trains that operate year-round for decades.

Her transition from the automotive manufacturing industry was described as seamless, due to the similar engineering and design principles.

When Bond commenced work on the Millennium Trains Project, Downer recognised her as playing an instrumental role in managing the reliability of the fleet, which at the time was a significant challenge for Downer in terms of reputation and credibility with the customer and passengers.

In 2002, the Millennium fleet was the most complex rolling-stock fleet Downer had manufactured and the delivery team have since been commended for their unsurpassed capability in issues management, agility and commitment to resolving challenges.

Adele Gross – Robert Bosch Australia operations specialist Gross has achieved success in numerous roles within the Robert Bosch Australia. Highlights of her career include the implementation of a new training database for manufacturing operations, which replaced a paper-based documentation system. The database captures the training requirements for more than 125 personnel across the entire operations value stream.

Training requirements can be allocated individually or by assigning a role to employees. The database has been linked to the operator planning board, which indicates training status when assigning manmonthly.com.au

Women in Industry employees to a workstation.

It is an electronic system that Robert Bosch Australia recognises as having significantly improved the transparency of its training. The training database supports continuous improvement through cross-training, quality and efficiency.

Gross also spent three years as a quality assurance manager for the company. Her achievements have included the successful transfer of products and processes during a major relocation of manufacturing lines from Australia to China, Portugal and India. She led an eight-person team during the manufacturing relocation and successfully redeployed all personnel following the closure of activities at the plant.

Robert Bosch Australia recognises that as a leader, Gross always puts her team ahead of herself. Ensuring her team was redeployed during the relocation of manufacturing was her priority. She transitioned from leading a team of eight, to becoming a member of an operations team in a new division. The new role wasn’t a leadership role but Gross took the same attributes that made her a great leader into her new role by motivating, challenging and inspiring her new colleagues to improve performance.

Melanie Pollock – GM Holden director of product quality and operational excellence Pollock is responsible for ensuring Australians find Holden’s products highly desirable and of exceptional quality. She is also the executive sponsor for Holden’s operational excellence movement – providing governance for critical transformation projects across the entire business.

She has 19 years of engineering and business experience. Pollock is not only passionate about helping grow Holden in Australia, but she is also invested in boosting the role science, technology, engineering, and mathematics (STEM) plays in the industry. She actively works to increase the number of students continuing in STEM subjects in their senior high school years.

Pollock is part of the STEM manmonthly.com.au

Professionals in Schools program, which facilitates partnerships between schools and industry to bring STEM learning into the classroom.

The program partners teachers with STEM professionals to enhance STEM teaching practices and deliver engaging STEM education in Australian schools.

Pollock has also led a pilot data project, connecting data across survey, warranty, service and CRM systems.

She has an engineering degree and MBA, which she believes enabled her to secure her current position.

She said the MBA helped her to relate to people from the commercial part of the business. Pollock became fluent in the commercial terms, started to understand the cross functional complexity, and she could relate better to issues and challenges that her colleagues were facing. She tries to see things as both a supplier and a partner.

Rebecca Stringfellow – Vesco Foods quality manager Stringfellow has spent her working career within the manufacturing environment and has worked across multiple industries including pharmaceutical, neutraceutical, veterinary and food manufacturing.

Her exposure to multiple industries has meant that she is easily able to adapt to new industries regulatory body requirements and implement them in a manner which is congruent with lean manufacturing.

Vesco Foods recognised her as having developed and maintained quality systems within multiple manufacturing businesses.

Stringfellow’s ability to build strong relationships and influence all levels of the business has allowed her successful integration into multiple businesses. She has a proven track record for delivering on continuous improvements with strong ties to multiple environments. She has a process, analytical and data driven approach to problem solving, utilising all available resources, systems and processes.

Stringfellow is a systems-based thinker and she can identify lean opportunities as well as implement

and maintain them effectively. She is a people person who is able to effectively build strong working relationships and communicate with all levels of the business.

She shares information and knowledge freely with others to facilitate positive outcomes and alignment for all involved while providing direction and guidance.

Stringfellow displays a passion for improving the productivity of herself, her team and to some effect the business. She possesses strong communication and training skills and excellent analytical and problem solving skills. The person who nominated Stringfellow said she implements “fix it forever” solutions to daily activities to “lean” the systems and processes. She strives for best practices and continuously improves performance and standards.

Melissa Murray – Varley Group project manager Murray has a background is in quality assurance, process improvement, estimating, sub contract management, which aid her in her current role.

Prior to this, she took leave from her career as a special projects officer in local government to start a family.

But, during a 15-year period, she had to overcome some hurdles that she said came from a misdiagnosis that lead to some “horrific treatments” and to symptoms virtually equivalent to that of a stroke victim. Murray was losing her sight, which she said turned out to be the best thing to happen as brain scans revealed Intercranial Hypertension (fluid on the brain). Once this diagnosis was made, she said it was discovered that none of the previous treatments needed to happen.

After two brain surgeries in 2012, Murray is now walking and talking with the help of a programmable microchip regulating the fluid pressure inside her brain. A long 18 months’ post-surgery rehab, she stabilised and improved to where she is today.

Murray was determined to regain her place in the manufacturing and engineering and so she embarked on a path to studying defence and

aerospace project management with Varley Group.

She said, “challenges and adversity can make you think hard about your choices, which I did”.

“Don’t ever give up. I hope that my story can give someone inspiration to tackle your challenges and keep striving,” said Murray.

Stefanie King – Varley Group general manager for engineering in vehicles King is described as a project management professional with 15 years’ experience. She studied law and chemical engineering in Germany and completed a Master of Project Management with a major in Business Administration in 2008 in Australia.

She completed a six-month work placement with Varley in 2001 as part of her engineering degree, where she developed a passion for specialised vehicles.

In January 2005, King was offered an engineering position at Varley and she worked for the company for six years as a project manager in the specialised vehicles industry.

After seven years in local government, she re-joined the Varley team in 2018 in the vehicles division.

King listens to ideas, improvement opportunities and personal challenges without judging or passing on confidential information.

King tries to provide constructive feedback where needed, which has earned her the trust and respect of her colleagues.

King also supports STEM programs at schools and she has a Mental Health First Aid Certificate, which she believes improved her ability to practice empathy and assist team members to better cope with difficult situations.

The sponsors for the Women in Industry Awards have helped bring the awards night to fruition for another year by supporting women in industries such as manufacturing, mining and road transport.

These sponsors, who play an integral part in the success of the awards, are Atlas Copco Compressors, BOC Limited, CSR Limited and Rockwell Automation.

Manufacturers’ Monthly JUNE 2019 55

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Whisper quiet, modular cleanroom solutions for small installation spaces In the production of microchips, OLEDs, LCDs, implants, and semiconductors there are very high demands in a pure manufacturing environment. Every type of contamination has a direct effect on the product and can lead to serious damage for the manufacturer. Therefore, the conditions on the used machine elements as well as on energy supply systems are particularly high. As a result, Treotham stocked the igus e-skin, an enclosed corrugated tube, four years ago.

It has the seal of approval Fraunhofer Tested Device of the ISO class 1 and in 2018 it received the 2nd prize of the Fraunhofer clean technology award “Clean! 2018”.

The e-skin is made of tribologically optimised, abrasion-resistant plastic, it has a modular structure, and it can be filled quickly. To make the e-skin suitable for use in compact rooms, it has now been fitted with a new soft material. For very flat installation spaces, Treotham offers a new solution with a chamber design: the e-skin flat. Both energy chains were convincing in the noise test in the movement.

The e-skin soft has a value of 32.4 dBA and the e-skin flat, 29 dBA. This means that the new energy supply systems for cleanrooms are significantly quieter than alternative solutions on the market.

The new e-skin soft is based entirely on the modular principle of the proven e-skin. The separable upper and lower shells of the energy chain can be easily put together by a “zipper” to a fully enclosed tube, which is highly dustproof and water-resistant. This guarantees both cleanroom compatibility, quick filling and maintenance of the cables. igus has now developed the e-skin flat especially for very tight installation spaces, for example in semiconductor manufacturing. The new energy supply consists of

a profile with three cable chambers, which are extruded from high-performance plastics. Therefore, it is very flat and allows a very small bend radius and a low clearance height. The profiles can be connected to wider systems. In contrast to alternative solutions, the cables in the e-skin flat are not shrink-wrapped but are inserted into the chambers. In the event of a need for maintenance, the cables can simply be pulled in without having to install a new energy supply system. The user reduces the costs and improves their technology.

In a second expansion stage, the individual chambers are openable from the outside. The user has the option to use more than 918 highly flexible cables with IPA class 1, which are specifically developed for use in the energy chain. All cables were tested under real conditions in igus’ 3,800 square metre laboratory.

This makes igus the only manufacturer in the world to offer a 36-month guarantee on its range of cables.

Company: Treotham Phone: (02) 9907 1788 Web: www.treotham.com.au

Concrete strength measurement on construction sites The concreting services industry is integral to the construction of most types of buildings and structures. Industry contractors pour, lay, place and shape concrete to form foundations, roads, structures and panels. Hylec Controls explains that it is a common requirement on construction sites to measure the strength of concrete.

This is accomplished by taking samples from the concrete being poured and casting them in a 100mm diameter sample mould. After 24-hours the samples are removed from the mould and stored in water until set. Then after a specified time, the samples are removed and to ensure the top-end-face is flat, which is done by grinding prior to the sample being tested – using a compression test machine. Alternatively, the tensile strength of the concrete is measured by casting beams and testing these in a flexural test machine.

Hylec Controls is a quality test equipment supplier and with expertise in system integration, since 1979. The company offers industry-proven, single-piece, plastic moulds for making the samples which are light, dimensionally stable and from which sample removal is made easy, prior to curing in water.

For sample grinding, Hylec offers the Marui Concrete Grinder, which is an end grinder that suits all types of cylinders between 100mm and 150mm in diameter, with optional fixtures down to 50mm. Hylec also offers a recirculating water supply system for use with this grinder.

For compression testing, Hylec offers a premium fully-automatic 4-column or welded frame compression machine rated at 3mN with double-ball-seat that meets the most demanding European test standards and is found to be highly reliably under Australian conditions. Suitable for testing both high and low strength concrete. Also available is a combined flex and compression machine or a separate flex frame.

Hylec also makes it possible for small concrete testing laboratories to achieve the

manmonthly.com.au

same testing accuracy and repeatability as achieved by large laboratories using Hylec’s precision four-column machines.

The Marui Concrete Grinder can be supplied by Hylec Controls complete with a water recirculation system. The latest model water recirculation and solids separation system for Marui concrete end sample grinder saves time, water and money.

The company has developed a preventive maintenance and refurbishment program that has tripled the life of Marui Concrete Test Cylinder End Face Grinders to more than one-million samples.

Hylec’s program includes recommended maintenance procedures, which are carried out by the customer and scheduled machine refurbishment by Hylec prior to the loss of machine grinding accuracy or reliability.

The complete concrete testing machines can be installed either in a fixed or portable lab or could be mounted on a skid for movement between sites.

Company: Hylec Controls Phone: (02) 9645 4777 Web: www.hyleccontrols.com.au

Manufacturers’ Monthly JUNE 2019 57

The Last Word Australian manufacturing in 2019 What’s next for Australian manufacturing? Ai Group’s annual Business Prospects Survey has offered insights into what Australian CEOs are expecting. Innes Willox explains.

A

UTRALIAN Industry Group (Ai Group) has released a report examining the expectations and experiences reported

by CEOs. Data supports how vital manufacturing is to our economy. It is Australia’s seventh largest industry for employment, and sixth largest for output, it accounts for 11 per cent of annual export earnings and has the highest business expenditure in R&D (BERD) of any industry. It employs close to one million people.

We’ve survived many challenges over the past decade, including the Global Financial Crisis, unfavourably high exchange rates, the end of local automotive assembly operations in 2017 and large increases in local energy costs, all shadowed by the rapid rise of China as ‘the world’s factory’ and Australia’s largest trading partner. As of 2019, Australian manufacturing appears to have come through the worst of these shocks, with recovery evident in output, employment and exports through 2017 and 2018. Manufacturing has also undertaken some important rebalancing in terms of its sectors, products, technologies and supply chains in response to long-term local and global structural shifts.

Ai Group’s own Performance of Manufacturing Index (Australian PMI) has shown manufacturing in expansion since August 2016, with solid growth in food, beverages and groceries manufacturing and in sectors connected to their supply chains, plus a resurgence in locally manufactured building materials.

Manufacturers surveyed in Ai Group’s annual Business Prospects Survey highlighted the challenges and opportunities the sector is expected to face in the year to come.

Challenges in 2019 Electricity input prices for manufacturers are at a new high in 2019, averaging 91 per cent higher than the prices they paid at the 58 JUNE 2019 Manufacturers’ Monthly

start of the decade. Gas prices have increased by 48 per cent over the same period. This compares to price increases for all manufacturing inputs of 22 per cent over the same period and price rises for manufacturing outputs (i.e. their selling prices) of 19 per cent over the same period.

This has caused a serious and sustained squeeze on manufacturers’ margins and cash flow, reducing the funding they can direct into other inputs or into investment.

When asked to identify the factors that would provide the largest threats to growth in 2019, 25 per cent of manufacturing CEOs, identified a “lack of customer demand” as their most significant constraint (down from 31 per cent of manufacturing CEOs in 2018 and more than half in 2015). In contrast, 21 per cent of manufacturing CEOs reported competition from imports and online sources as their primary constraint for 2019. This factor has steadily increased as an inhibitor to growth since 2013. With the Australian dollar within the relatively safe range of USD 0.700.80 cents (more than $1 AUD) over the past year, respondents appear to be focusing more on online sources of competition rather than physical imports as their key threat.

Workforce development concerns feature prominently for manufacturing businesses in 2019. Second only to “lack of customer demand” as a source of constraint for manufacturing CEOs in 2019 is “skill shortages”, with 21 per cent of businesses nominating this as their top concern, up from 16 per cent of manufacturing CEOs just one year earlier. This area of concern has been rising steadily since 2013, reflecting an increasing focus on business capabilities, workforce development, innovation and digitalisation. In response, almost half of manufacturers surveyed in the latest Ai Group Workforce Development Survey (conducted in 2018) said they intended to increase

their number of apprentices and trainees over the next 12 months.

And to gain work-ready entrants for the workforce, companies are looking to new modes of engagement with local schools and with vocational and university level education.

Opportunities in 2019 In 2019, the top-ranking strategies outlined by Australian manufacturing CEOs for 2019 were more diverse than in previous years, indicating a greater spread of strategy in response to rapidly evolving conditions. The most popular strategy for 2019 was introducing new products/services, with 30 per cent of CEOs ranking this as their first response. This overtook “improving sales of current products”, which was the top-ranking strategy in 2018 but fell from 35 per cent of CEOs ranking it as their first choice in 2018 to 23 per cent in 2019.

Together, these two strategies focussed on product development and innovation account for about half of the growth plans for manufacturers in 2019, compared to about two-thirds of growth plans since 2016. In 2019, the other half of growth plans included a diverse range of other strategies including “downsizing/reducing operational costs”, “increasing advertising”, “developing new overseas markets” and “increasing online presence”. These all increased in popularity as a top business strategy in 2019, albeit from relatively low numbers in previous years.

Industry 4.0 is the integration of digital technology, manufacturing and consumer life. It is the latest (of many) Australian industry responses to the global opportunities arising from digital technologies and the “Fourth Industrial Revolution”. According the World Economic Forum’s Readiness for the Future of Production Report 2018, Australia is a “high potential” country for this type of future production.

Key opportunities are arising for Australian manufacturing from

Ai Group’s Innes Willox. increasing amounts of investment in digital technologies but also from the integration of these new technologies into an increasing range of the manufacturing process and supply chains. Manufacturing workplaces increasingly rely on complex operational and organisational structures relating to design, decisionmaking, coordination, stock control, quality control, distribution, sales and support services. Significantly higher demands are being placed on the workforce in terms of managing high-level complexity, abstraction, connectivity and problem solving.

Australian manufacturing sales, employment and value-added output have all contracted in aggregate over the past five and 10 years, in response to the events and trends outlined above. In contrast, export earnings from the manufacturing industry have increased by $23.9 billion since 2008, despite total sales falling by $46.1 billion, indicating a growing reliance on export markets as a share of total sales. High-skill and technology-intensive goods exports have more than doubled over the past two decades. Across a range of sectors and product categories, Australian manufacturers continue to be nimble and flexible when selling into global supply chains and onto a global stage. manmonthly.com.au

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