January 2017 Edition

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BCDS Group has been appointed master distributor for Australia, New Zealand and the Pacific Rim region by labelling automation manufacturer FOX IV Technologies.

FOX IV systems will be offered through ALS (Auto ID Labelling Solutions), a BCDS company, which is headed up by Bill Boursianis who has had more than 10 years’ experience with both FOX IV products and other printing and labelling equipment.

BCDS Group was selected due to their technical expertise, regional sales and service coverage, as well their ability to provide complete solutions from supplies to installation.

“BCDS’s expertise in integrating barcode, auto-ID and RFID equipment made them an excellent fit for representing FOX IV,” said Rick Fox, President and CEO.

“It was clear that they share our commitment to our customers in Australia, New Zealand and the region. Through BCDS, FOX IV customers can continue to expect quality equipment as well as knowledgeable support and service.”

Ian Jefford, Managing Director of BCDS, concurred. “This new appointment by FOX IV comes with much excitement within the BCDS Group, allowing us to further succeed on our business purpose of making our clients lives easier,” he said.

Over the past 20 years, more than 1000 FOX IV print and apply systems have been installed in Australia. BCDS will provide parts and service for existing FOX IV equipment as well as supply new FOX IV equipment, including the 2010 Series and FOX IV’s innovative Zebra based print and apply systems.

|  A Ferret release  |  January 11, 2017  |

A worker checks on an i5 series model at the factory of Shenyang Machine Tool Company in Shenyang, Northeast China's Liaoning province, Jan 11, 2016. [Photo by Dai Tian/chinadaily.com.cn]

The company had everything an employee could wish for: A generous pay package, job security, excellent perks and a brand name that made it easy to get girlfriends.

The life at Shenyang Machine Tool Company (SMTCL), the country's biggest manufacturer of numerical controlled machine tools and machinery equipment, is a bit different now.

The Shenyang-based company in Northeast China's Liaoning province has gone through many twists and turns: From the first company in the nation to produce machine tool to becoming the number one machine-tool maker by sales in the world by 2011 to drop in sales.

Whereonce SMTCL, just like rest of the Northeast,grew at an astonishing pace, its bottom line took a hit with the development of market economy and China opening itself up to foreign investment and technologies.

A study by Lu Feng, professor at the School of Government, Peking University, said the number of employees dropped from 27,000 to 11,000 without any new workers joining between 1993 and 2002, according to a report carried earlier by China Daily.The labor force now stands at 14,000.

After the central government launched a major push to revitalize the Northeast, SMTC's sales revenue reached 18 billion yuan ($2.7 billion) in 2011. It topped the global industry in revenue for three straight years.

This fast-paced expansion, however, came at a price. SMTCL, famous for producing precision tools, began making mid- and low-end products that generated little revenue.

It knew it had to chart a new course to maintain its dominant position – and so it got down to work. It carried out massive restructuring in all areas – organizational, operational and technological, brought in experts from abroad, turned focus on innovation and started thinking out of the box.

The world's first integrated smart machine toolmaker, i5M8, manufactured by the company is a good example of its innovative approach. First launched in 2007, the i5 series broke the dominance of foreign companies and showed that Chinese firms were also capable of producing numerical controlled machine tools.

That was just a first step. In a move that was a complete break from its past practice, SMTCL decided to rent out the tool instead of just selling it. Any firm that wanted to use it could simply rent it. This step proved an ideal match for the country's entrepreneurship drive, as the company saw 17,000 lease orders by the end of last year.

With this decision, the decades-old company successfully transitioned from manufacturing to becoming a service provider. To complete the cycle, SMTCL then launched its own leasing unit to provide intelligent machine tools for use by other entities.

Only time will tell how successful the company will be in turning around its fortune, but it's a good start.

|  A ChinaDaily release  |  January 12, 2017  |

The significant labour costs and geographic isolation of the New Zealand manufacturing industry has meant that in order to compete with international players, local manufacturers must look to innovate with new technologies and automate their production processes.To compete with global manufacturing hubs, leading Auckland-based injection moulding company, TCI New Zealand (TCI) were looking for an automated solution that would offer a more cost-effective means of producing its customers’ products. TCI found the solution in Universal Robots (UR) - a global developer and manufacturer of six-axis industrial robots. TCI has now deployed two of Universal’s industrial robotic arms: the UR3 and UR5, to perform labelling and assembly tasks for the company’s EasiYo Yoghurt Maker line, as well as its storage bins.

With a UR robot assisting, several key processes in the manufacture of these products have been automated, relieving employees of repetitive assembly processes and ensuring smooth production flow. The UR3 was the first machine implemented by TCI, with the costs of the robot recouped six months after it was first purchased. Satisfied with this return on investment, TCI then decided to purchase the UR5, with the payback period expected to be under 12 months.

Finding a solutionTCI is one of the largest privately-owned plastic injection moulding companies in New Zealand, based in Avondale, Auckland. For more than 20 years, TCI has manufactured a vast array of products, including building products, components used in instrumentation, navigation, rescue and communications, as well as a range of retail products including homewares, garden products and outdoor furniture for companies across New Zealand and the rest of the world.

“Previously we were paying two employees to work in 12 hour shifts to ensure around-the-clock production of our EasiYo Yoghurt Maker,” said Quintin Fowler, Manager Director at TCI. “If one employee didn’t turn up for work it meant the entire production line would be halted. This wasn’t really financially sustainable for us so we were looking for an automated solution that would guarantee quality assurance and help us to reduce costs.”

During its search for an automation solution, TCI came across UR’s technology at a trade show and made contact via Design Energy, its New Zealand distributor.

“We developed the layout for the production cell and designed and built an appropriate gripper unit for each of the applications,” said Mike Shatford, Managing Director at Design Energy. “TCI then manufactured the machine frames and mounted the various operating units in the relativities we had laid out. Once the machines were completed our technician spent time at TCI writing the robot programs and getting each cell operating to the customers’ requirements.”

“Design Energy were fantastic,” said Fowler. “We were initially considering an off-the-shelf robot from overseas, but I’m glad we were able to find a customisable solution.”

Robots in actionThe UR3 is a compact table-top robot that weighs just 11kg and is capable of handling payloads up to 3kg. The robot has a reach radius of up to 500mm and features 360-degree rotation on all wrist joints and infinite rotation on the end joint. It is ideal for manufacturers such as TCI that have limited factory floor space and a number of intricate processes.

TCI uses the UR3 to help label and place rubber feet on its EasiYo Yoghurt Makers. After a product is moulded, the UR3 aligns and passes the product though a label printer, then it adheres the label to the base of the product. The UR3 then inverts and places the product onto a mandrel, then picks up rubber feet from a bowl feeder and places them on the base of the product.

A pneumatic press is then activated, which presses the feet firmly on the product. The UR3 picks up the finished assembly and places it on a conveyer belt for delivery to the next process. The UR3’s controller provides control for all ancillary equipment including the label printer, bowl feeder, pneumatic press and conveyor.

The success of UR3 gave TCI the confidence to implement a UR5 robot to help assemble several different sizes of storage bins, from 40L up to 112L. The UR5 helps manufacturers automate repetitive and dangerous tasks with payloads up to 5kg and a reach radius of up to 850mm. The UR5 is suitable for collaborative processes such as picking, placing and testing.

“We use the UR5 to put wheels on storage bins and we programmed the robots to be able to place wheels on multiple sized storage bins,” said Fowler. “The robots are so easy-to-program that we can quickly change from one size to the next by pressing just a few buttons.”

Flexible, easy to program and safe to use“Both the UR3 and UR5 went beyond our expectations in what we were looking for in a robot,” Fowler noted. “These robots have the ability to perform the tasks that we need without being overly expensive or difficult to program. They also offered a quick return on our investment.

“UR’s robots can easily move around and fold over on themselves in very tight spaces. The robot can also operate safely alongside our staff without the need for guarding.”

All UR robots can be completely reprogrammed and deployed for other tasks in a matter of minutes. A graphical user interface with a teach function enables an operator to simply grab the robot arm and show it how a movement should be performed. The user-friendly interface then allows staff to drag and drop the routines to do their programming.

“The UR3 and UR5 are very flexible robots. They are very easy to reprogram, which is why we use the UR5 to help assemble all of our storage bins. The robot can be reset to perform different jobs depending on the size of the bin,” said Fowler.

In contrast to traditional industrial robots in the market, UR’s small and lightweight robotic arms are able to work safely alongside staff (subject to prior risk assessment). The robots’ state-of-the-art force limit safety feature automatically stops the robot from operating when its movement is obstructed. The robot will not exert a force greater than the limit specified in the adjustable safety settings.

“One thing I loved about UR was that we didn’t have to worry about guarding,” said Fowler. “Whereas a lot of the other robots in the market guarding was an issue because you’d have to use safety barriers for all the machines which just complicates the situation.”

The pay-offAccording to TCI, the company has been able to significantly reduce expenditure by using robots at a time when labour costs can be 10 to 20 times higher that of other overseas markets.

“We paid off the UR3 within six months, which means we can reinvest in further product development and innovation,” said Fowler. “We also saved around 75% on yearly product assembly labour costs for the UR3 and UR5.”

When asked what appealed to him the most about the UR3 and UR5 robots, Fowler pointed to their simple programming and consistency.

“The robots are easy to set up and reprogramming can take just a few minutes. However one of the biggest selling points for us is having that guarantee that the robots aren’t going to call in sick – production can go on 24/7 without us worrying about human related factors that might stop production.”

|  An AMTIL release  |  January 11,2017  |

Craig Zoberis, 48, started his career at his father’s contract engineering business where he says he experienced a workplace culture he didn’t like.

So, in 2002, after getting an MBA from St. Xavier University in Chicago, he started Fusion OEM and focused not just on getting the product right but on creating a company where people want to work.

Today, the company, based in Burr Ridge, Ill., just west of Chicago, is a contract manufacturer of mechanical and electrical machines and components. It did $12 million in sales last year and made a profit. While lots of other manufacturers have moved operations to China or Mexico, Zoberis has kept his plant in the United States – and considers it a point of pride to pay his 55 workers above-market rates.

|  Continue to the full Forbes article |  January 8, 2017  |

YANGON - Myanmar's economy is slowly emerging from the crippling effects of decades of military rule, where a poorly-managed resources industry dominated much of the country's trade. The Aung San Suu Kyi-led government is encouraging foreign and local investment in job-creating export industries, with a strong focus on manufacturing. Boosted by U.S. President Barack Obama's recent removal of executive sanctions on Myanmar, the country's garment industry is on the rise, and aims to be the nation's largest employer.

The NLD-led government hopes new factories can provide employment for hundreds of thousands, whose education and work opportunities were stunted under 50 years of military rule.

Exports have almost doubled in the last five years, to $1.1 billion for the 2015 financial year when, according to the United Nations' International Labor Organization (ILO), the sector employed 380,000 people, mostly women.

The government recently passed an investment law that allows tax breaks for investment in the industry, while the U.S. dropped longstanding sanctions in September that will give international firms greater confidence in dealing with Myanmar.

The Myanmar Garment Manufacturing Association estimates the industry will employ up to 1.5 million workers by 2024.

"So with all these interests, the will of the government side, and the lifting of the sanctions, and the private sector also, the garment sector also the will grow," said Khine Khine New, secretary general of the association.

However, many problems persist.

An inexperienced government has been slow on detailing policies that give businesses the predictability they need, said factory owner Sai Maung.

While his company has benefited from foreign help to meet international labor and production standards, many factories are still coming to grips with Myanmar's transition.

"Before we are closed, but now we are moving to a democratic country and the people have no experience at all, I mean with how to deal with the issues," said Maung.

Industrial relations are struggling to keep up with pace of growth, according to ILO deputy liaison officer Piyamai Pichaiwongse.

"Myanmar was never a country that was operated by the rule of law. So therefore, the law does not have supremacy in anything that they do. There is not the reference for things that they do in the past," she said.

The ILO is working with the government to rewrite labor laws.

In the meantime, strikes have increased since a minimum wage of just $2.75 a day was introduced last year. Unions complain of increased persecution of their members, workers have little understanding of their rights and employers are struggling with compliance.

With an industry on the rise, these relations hold the key to improving the living standards of hundreds of thousands of workers and their families.

Nexans NZ is warning about non-compliant imported cables as its main competitor prepares to quit manufacturing early next year.

The New Plymouth-based company will be the largest manufacturer of electrical cable following General Cable's decision to close its Auckland sales centre and Christchurch factory with the loss of 170 jobs.

The closure was disappointing because local manufacturing provided certainty about standards, Nexans general manager Michael Pienaar​ said.

|  Continue to full article  |  Dec 21, 2016  |

Simpro Handling Equipment Ltd, a New Zealand manufacturer of specialised materials handling equipment, is pleased to announce the acquisition of a new head office and manufacturing facility at 66 Rangi Road, Takanini, South Auckland.

Managing Director Stephen Simmons founded Simpro in Auckland in 1986, manufacturing truck-mounted equipment for the waste industry. “This is an exciting step for us” says Stephen. “We’ve been looking for a chance to consolidate for some time, since we’re currently spread over several locations, with various issues, low stud height and so on. The Takanini facility is a big step up in size, with a clearspan structure, eight-metre stud height and a five-tonne gantry covering the entire facility” he adds. “We’ll be able to make real improvements to our manufacturing processes.”An important consideration was the five-tonne gantry crane, which provides coverage to the entire facility An important consideration was the five-tonne gantry crane, which provides coverage to the entire facility.

The Takanini facility is a big step up in size, with a clearspan structure, eight-metre stud height and a five-tonne gantry covering the entire facility. We’ll be able to make real improvements to our manufacturing processes.  Stephen Simmons - Managing Director 

The large open-plan office is another key feature, as the company has recently centralised sales, customer support, design and administration roles in Auckland. “We moved into [our current premises at] 52 Church Street sixteen years ago” explains Stephen. “We have simply outgrown it, and it will be a real boost for our team to have a modern, open, single-level office space.”

Stephen notes that, while the central Auckland suburb of Onehunga was once a premier location for Kiwi manufacturing firms thanks to its cluster of suppliers and transport links, the industrial landscape is changing. “Location is not so important anymore, with the huge improvements to the motorway network and new commercial areas developing in the outskirts. Ten years ago, we would not have relocated to Takanini, but it’s really not a problem anymore.”

The need for a new facility was largely driven by the Simpro’s expanding export business, which now generates over 80% of turnover. “We’re expanding in the UK, US and Europe, on top of our traditional market in Australasia” explains Stephen. “New Zealand manufacturers are typically innovative, but lack economies of scale. With this exciting move, we are working to achieve both.”About Simpro Handling Equipment Ltd

Simpro Handling Equipment is a market leader in specialised materials handling equipment, including bin tippers, pallet stackers and goods lifts. Founded in Auckland in 1986, the company soon built a reputation for innovation, safety and reliability – delivering unique products which have improved productivity for thousands of workplaces around the world. Today around 80% of production is destined for export.

Simpro's range of materials handling products is complemented by a custom design service for specialised industrial lifting solutions. The company operates a sophisticated CAD design environment, and most manufacturing is conducted at various facilities in Auckland, New Zealand.

Simpro is a family-owned company. More information is available on the company website simpro.world.

A Simpro release | Friday, 9 December 2016 | Daniel Currie |

According to a report in the Australian Financial Review (AFR), well-known Australian businessman Andrew Liveris has been recruited by Donald Trump to help bring back American manufacturing jobs.

The chief executive of US multinational giant Dow Chemical, Liveris was appointed chair of the President-elect’s American Manufacturing Council.

Liveris has led the manufacturing giant Dow for the past 12 years in Michigan, a so-called “rust belt” state where working class voters helped propel Trump to his presidential election win last month, noted the AFR.

Liveris is also a close acquaintance of Prime Minister Malcolm Turnbull and is a member of the Turnbull government’s Industry Growth Centres Advisory Committee.

He was described by Donald Trump as “one of the most respected businessmen in the world”, according to the AFR.

Darwin-born Liveris has gone on record to claim that US economic growth could rise to 4 per cent per year.

“If the US economy can hit 4 per cent growth, that’s not only good for America, it’s good for the world,” Liveris told the AFR.

The son of Greek migrants, 62-year old Liveris is currently finalising a $US130 billion merger and of Dow and DuPont, a deal that is expected to be executed early next year if European authorities approve it.

|  Manufacturers' Monthly  |  Dec 12, 2016  |