Australian Manufacturing Increasing Trend

Australian Manufacturing PMI

The Australian Manufacturing PMI is a measure of the manufacturing economy in Australia. A score above 50 means it is growing and a score below 50 means it is shrinking. I recently reported in the post about out new location that we had been in growth for the past 17 months but according to one data source we missed out for a couple of months during that time. For the history see:

 

 

So I thought I would double check the data. I went to the Trading Economies Australian Manufacturing PMI and looked at the trend since 2012. Here is what I saw.

 

Australia Manufacturing PMI 2016

Australia Manufacturing PMI 2016

 

So my understanding of this graph is that after the Global Financial Crisis we saw Australian Manufacturing decline but since 2012 the decline has slowed and this past year it has grown.

 

As a result, I continue to be encouraged that Australian Manufacturing is Growing and we will continue to support that by developing modern electronics based products that are Made in Australia.

 

Successful Endeavours specialise in Electronics Design and Embedded Software Development, focusing on products that are intended to be Made In Australia. Ray Keefe has developed market leading electronics products in Australia for more than 30 years. This post is Copyright © 2016 Successful Endeavours Pty Ltd.

Australian Manufacturing is Growing

Australian Manufacturing Grows

This month we have the interesting statistic that Australian Manufacturing has grown every single month for the past 12 months. That is a whole year of positive growth. Australian Manufacturing Expansion is a good in my opinion. I know we have been led to believe that Australian Manufacturing is gone with the exit of the car assemblers being the final straw, but the truth is very different. The Automotive Sector only accounts for 5% of Australia’s Manufacturing.

 

Innovation, technology and business expert

Professor Goran Roos

 

In my post on Modern Economies Need Manufacturing I cited some of the work by Professor Goran Roos who has both academic and business experience in making Innovation, Technology and Business work together. His Scandinavian background also means he is familiar with the benefits of collaboration and partnering for commercialisation, something we desperately need to do better here.

 

So Manufacturing Growth is a very good thing. It creates more jobs around it than an other industry and creates that fundamental value the service industry need to lever off. Let’s face it, someone has to do it.

 

Australian Exports Expand

And in addition, Australia has 300 More Exporters. That right, more companies are exporting now that a year ago. The lower Australian Dollar is responsible for some of this, and the better rhetoric at the Federal politics level has certainly helped.

 

AIG

AIG

Here is the Australian Industry Group report on Leading Performance Indicators: AiG-PMI-2016.

 

The average Australian Manufacturing PMI performance over the past 12 months is 52.3 where 50 = staying the same and more than 50 = growing. So measurably growing.

 

Australian Manufacturing PMI June 2016

Australian Manufacturing PMI June 2016

 

So another good month for Australian Manufacturing. And a good thing that is.

 

Successful Endeavours specialise in Electronics Design and Embedded Software Development, focusing on products that are intended to be Made In Australia. Ray Keefe has developed market leading electronics products in Australia for more than 30 years. This post is Copyright © 2016 Successful Endeavours Pty Ltd.

Electronics Design: Component Selection

Component Selection

We have worked our way through Requirements Capture and Technology Selection. After doing some initial design work and deciding on how the circuit will work, you have to find components that you can buy on a reasonable lead time and at a reasonable price. This depends a lot on the expected production volume because if the volumes are low then you might not be able to secure the components you prefer.

 

For products Made in Australia, the typical production volumes are less than 5000 units per annum. Products in this category are niche or low volume products and are generally defensible internationally because of the special and targeted nature of the products. But it does introduce a complication. You don’t have much of a bargaining position with suppliers. In this circumstance you often have to look at what you can buy and from who. This will involve looking at both local distributors and international sellers of components. An example from Element 14 is shown below for options for a 22uF 350V radial leaded capacitor:

 

Component Selection

Component Selection

And once selected, you might have to go through this exercise for each subsequent production run. Whereas much higher volume products can negotiate forward schedule orders and secure components in advance of their being required. So each product and production run needs to be handled according to your specific circumstances.

 

External events can also influence component availability. As an example,after the 2011 earthquake in Japan there were many components that were in short supply for up to 6 months.

 

This is one of the things you look for in a Niche Electronics Manufacture supplier, the ability to handle the component selection not only for the first production run but for subsequent runs.

 

Successful Endeavours specialise in Electronics Design and Embedded Software Development. Ray Keefe has developed market leading electronics products in Australia for nearly 30 years. This post is Copyright © 2014 Successful Endeavours Pty Ltd

AMTIL Magazine Article On Successful Endeavours

AMTIL, Australian Manufacturing Technology Institute Limited, have included an article on Successful Endeavours win as Casey Business Of The Year in the October edition of their Australian Manufacturing Technology Magazine distributed to manufacturing businesses throughout Australia.

 

AMTIL Australian Manufacturing Technology Magazine October 2010 page 16

AMTIL Australian Manufacturing Technology Magazine October 2010 page 16

Successful Endeavours is proud to be a member of AMTIL and encourages other manufacturing sector businesses in Australia to consider membership as well. We support Australian Electronics Manufacturers through our technology service offerings of Electronics Design and Embedded Software Development coupled with Contract Electronics Manufacturing Services for those clients who want to outsource some of that process but still Made In Australia.

 

Ray Keefe has been developing high quality and market leading electronics and embedded software products in Australia for nearly 30 years. For more information go to his LinkedIn profile. This post is Copyright © Successful Endeavours Pty Ltd.

From Engineer to Entrepreneur

This week I was the recipient of an Exponential Entrepreneur of the Year award. Last year we were received two awards for technical excellence when we won two of the 15 EDN Innovation awards handed out in Australia in 2009.

 

So I was very pleased to be receiving an award recognising the business side of Successful Endeavours. The award was presented by Dr Marc Dussault of Exponential Programs and recognises entrepreneurs and business people who have demonstrated excellence deploying exponential strategies in their business by profitably creating exceptional value for their clients in a manner that is both measurable and sustainable. The award received was in the category of Engineering Consultant and was one of only 6 handed out in 2010 and the only one in that category.

Entrepreneur of the Year 2010 Ray Keefe

Exponential Entrepreneur of the Year 2010 Ray Keefe receives his award from Dr Marc Dussault.

You can read more about the awards at Exponential Programs Entrepreneur of the Year Awards page.

 

The main reason for this post is to touch on the most significant aspect of this award for me. I once said that as a Business Owner I made a pretty good Engineer. The past 18 months has a seen a transition away from that to the point now where I can say that I am an Entrepreneur who is also an Engineer. Engineering is a Profession and so it isn’t something that suddenly stops being relevant. Our education and mindset is all based on practical problem solving through the use of technology while balancing performance, risk and cost. And we apply this skillset and mindset to most aspects of our lives, even when it isn’t the only way to go about it. So I am very pleased to be making this transition. Not only is our business better for it but our clients are as well.

 

And I also thank our clients for the trust they have placed in us to deliver Electronics Design and Embedded Software Development for their next generation of market leading products, the vast majority of which are still made in Australia at a profit.

 

Here is a picture of the Exponential Entrepreneur of the Year award certificate.

Exponential Entrepreneur of the Year Certificate

Exponential Entrepreneur of the Year Certificate

The initial nomination was published on PRWeb at 2010 Exponential Entrepreneur Award Winners Announced.

 

Ray Keefe has been developing high quality and market leading electronics products in Australia for nearly 30 years. For more information go to his LinkedIn profile. This post is Copyright © 2010 Successful Endeavours Pty Ltd.