Advancing manufacturing

by Jim Walker, CEO - QMI Solutions

QMI Solutions has a history of aligning itself with world leaders and experts on manufacturing. This is how we are able to transfer proven practices and technology for the benefit of local industry - the primary reason for the establishment of QMI Solutions.

Most recently, we have been fortunate enough to work with Professor Goran Roos, a leading thinker on manufacturing and a world-renown academic and strategic advisor to industry around the world. It was great to see Professor Roos as one of our keynote speakers on “The future of Australian Manufacturing” at our Manufacturing Skills Conference held in May.

 

In 2008, Australia moved from being a low cost environment to a high cost environment and is ranked the third most expensive country in which to conduct business. Professor Roos says because the shift to a high cost environment has occurred relatively quickly, many support businesses and systems have not been able to make the change required to compete successfully.

 

Compounding this, over the past decade, Australia has experienced a flattening trend in productivity. Although the Australian economy has experienced average annual GDP growth rates ahead of many other developed economies, ours dropped over the past decade and is only now showing signs of relative improvement. Sometime around 2002, Australian productivity went from growing substantially faster to growing substantially slower than the OECD average. Added to this, Australia’s innovation performance over the past eight years slipped from 5th to 15th according to the World Economic Forum’s Global Competitiveness Index.

 

Click here to read the full article.

Manufacturer curbs electricity costs

Woven fabric manufacturer Beaulieu Pacific Pty Ltd spent two years trying to find ways to reduce carbon emissions and electricity consumption, but with little success.

General Manager Steve Bamford said the Acacia Ridge, Queensland-based manufacturer wanted to implement more sustainable processes. “We knew electricity costs needed to be reduced, but couldn’t identify what was causing the high costs. We didn’t know where to start.”

Fortunately, Beaulieu Pacific was introduced to QMI Solutions, which conducted a very thorough study of its electricity usage and were able to reduce consumption such as:

• peak costs by up to $1000 p/m
• supplier demand costs by 22%, or $34K annually, after renegotiating its contract
• peak kilowatts per hour (kWh) charge from 10.517c to 5.335c
• off-peak kWh rate by about 40%, from 4.024 cents to 2.471c
• average peak demand from 335 kWh to 280 kWh

Click here to read the full article.

Food for Thought - Transforming avocado/mango production with process innovation

Knowing that productivity can be improved is one thing, but where to start is another.

Based on the findings of a process benchmark tool, Simpson Farms identified areas for improvement within their manufacturing processes, enabling the reduction of lead times by 15% and increasing productivity by 10%.

Within a year, Simpson Farms implemented a range of process improvement tools such as Value Stream Mapping, Visual Performance Measurement, 5S, Leading & Managing Change and Standardised Work.

Click here to read the full article.

Roma company sharpens up for CSG work

After learning of the assistance available to manufacturers through QMI Solutions, Sharpe Engineering first used the QMI team to conduct a Benchmark exercise, then an enterprise resource planning (ERP) selection process and, most recently, to implement the 5S system. “We knew what we had to do to improve the business, but QMI Solutions prompted it,” says CEO Peter Sharpe.

As a result, Sharpe Engineering benefited by increasing its business by 50% and selected an ERP system specific to the business's needs.

Click here to read the full article.

Redmond Gary Elevates its Performance

Redmond Gary initially worked with QMI Solutions for six months, focusing specifically on introducing Lean Manufacturing practices. “We did a benchmarking exercise to see where the business sat compared to the rest of the industry,” says Managing Director Andrew Danks.

Profitability increased by 20%, productivity by 25%, production has risen from three vehicles a month to one a week and the accident rate has significantly reduced.
Click here to read the full article.

Does manufacturing have a future in Australia?

Following is an article taken from The Conversation - http://www.theconversation.edu.au/ and provides some great insights into the importance of the industry as a generator of R&D and expertise and a key enabler for other industries.

* * * *

Does manufacturing have a future in Australia?

This question has now been brought sharply into focus, as industry leaders and unions pressure the Federal Government to consider new measures to safeguard Australia’s struggling manufacturers, and a pessimistic outlook takes hold.

In addition, recent downsizing and closures of major facilities such as BlueScope’s export operations at Port Kembla raise the further question of whether a amanufacturing decline matters to us anymore.
The current squeeze on manufacturing is seen by the Productivity Commission, Reserve Bank and financial market commentators as inevitable “structural change” by which productive inputs are reallocated to the resource sector to achieve a higher return.

Read the full article by clicking here.

The Conversation is an independent source of information, analysis and commentary from the university and research sector – written by acknowledged experts and delivered directly to the public. As professional journalists, we aim to make this wealth of knowledge and expertise accessible to all.