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The £5 million is being invested through the combination of £1.6 million from Finance Wales and the remainder from private or privately-owned investors, including Dickinson and fellow Cardiff Aviation founder, Mario Fulgoni.

The business’ Twin Peaks HQ forms part of the Welsh government’s St Athan-Cardiff Airport Enterprise Zone and is already home to a number of the world’s biggest aerospace and defence companies.

Cardiff Aviation was established in 2012 by the veteran rocker and aviation entrepreneur, who himself is a certified 7,000 hour Boeing 757 pilot, and Fulgoni, an experienced senior aviation manager and former airline captain.

It has hanger space in excess of 132,000 sqft, capable of accommodating aircraft up to the size of a Boeing 767-300 and parking for up to 20 narrow bodied commercial airliners.

Joint Chief Executive of Cardiff Aviation, Mario Fulgoni commented:

“This is a key investment which will allow us to expand the senior management team and enable us to establish European Aviation Safety Agency (EASA) Part 21 Design Approval to join the list of maintenance and operational approvals and certification we already possess.

“This means Cardiff Aviation will be permitted to manufacture and certify aircraft parts alongside our maintenance and training operations, thereby providing us with a full opportunity to exploit the range of technical equipment and expertise we acquired in taking over Twin Peaks from the RAF, and in establishing Cardiff Aviation.”

By securing the investment, the business aims to target the $2 billion European MRO (maintenance, repair & operations) market, which is currently growing at around three percent a year as an increasing number of commercial airlines look to outsource fleet MRO. 

Joint CEO and currently on tour with the band in Europe, Bruce Dickinson added:

“The Welsh government has played a fantastic role in a difficult economic environment in providing tremendous support and enthusiasm. Finance Wales’ long-term backing is the fuel not just to put St Athan on the map, but has the potential to create a consequentially much wider impact across the entire South Wales aerospace industry.  

“As for Cardiff Aviation, the first key role we plan to fill is that of Commercial Director. We will follow up with expansion of the operational and technical teams to address our current growth trend and increasingly lucrative contracts with both UK and international aviation businesses.

“We also plan to invest in more engineering equipment to supplement and enhance (our) already excellent technical capability.”

Deputy Minister for Skills & Technology, Jeff Cuthbert said:

“This latest development is excellent news and will open up exciting new growth opportunities for Cardiff Aviation and expand its capability. The aerospace industry operates within one of our key economic sectors so I am delighted to hear of this latest investment which also sends out a strong message of confidence in the St Athan-Cardiff Airport Enterprise Zone."

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Two major companies, one from India and the other from Spain, involved in the production of auto parts supplies are joining forces to create a new billion dollar global business.

India’s largest automotive component manufacturer Mahindra Systech, part of the Mahindra Group, and Spanish auto parts supplier CIE Automotive S.A. have agreed to pool resources to form a new business which is predicted to achieve $3 billion in annual billings.

The new group will be an umbrella for a wide range of production technologies from both partners including metal casting, plastic injection moulding, stamping gear cutting and other precision machining processes as well as composite parts production and fabrication.

CIE Automotive will invest $116 million to hold a 51 percent stake in the new company, and Mahindra Group will acquire a 13.5 percent  share in CIE for a reported $126 million. That will make it the second-largest stakeholder in CIE, with two directors on the corporate board.

The remaining shares of the new business will be held by institutional investors and stockholders.To execute the combination, Mahindra will consolidate all of its auto parts businesses into the Mahindra Forgings Ltd. unit, and this will be renamed Mahindra CIE Automotive.

Mahindra Group chairman Anand Mahindra said: "Eight years ago, we at Mahindra set out to build an Indian automotive supplier with a global footprint and this drove a series of acquisitions in India and Europe for us.

“We have been listening closely to our customers who have asked to step up our globalisation efforts and follow them around the world.

“This ‘grand alliance’ with CIE enables us to ‘rise’ above competition, quickly extends our reach into new geographies, and grow our collective product portfolio in the coming years.”

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Asking to not be named as he wasn’t sanctioned to speak to the media, the Chinese source has direct knowledge of the matter and said the move was an effort to open up an import market that takes two-thirds of world’s international iron ore trade.

As well as cutting costs for domestic steel mills by eliminating licensed middlemen charging commissions for imports; it could also mark the end of China struggle, alarmed by its growing dependence on imports and the dominant role played by the likes of Rio Tinto and Vale, to wrest pricing power away from the big miners by strictly regulating trade.

The source commented:

“China will open up its iron ore trade from the second half of the year. Import qualification licenses will no longer be required in order to make the industry more market-oriented and give steel mills more choices."

China imported a record 743 million tonnes of the commodity in 2012, up 8 percent from the prior year.

Under the new more streamlined process, iron ore traders will only require the same routine licenses issued to other importers and will no longer need approval by government-backed industry bodies like the China Iron and Steel Association (CISA).

The previous licensing system was part of China's efforts to provide the iron ore industry a universal voice when dealing with major foreign suppliers.

It was also aimed at stamping out unlicensed traders, blamed for driving up prices through speculative buying. A campaign which proved counterproductive as it created an unclear market where middlemen could rent out their permits.

CISA and the China Chamber of Commerce of Metals Minerals and Chemicals Importers and Exporters (CCCMC), which helps regulate iron ore trade on behalf of the Ministry of Commerce, worked together to issue licenses to importers.

China has been trying to reduce government interference in the workings of the market, with its new leaders seeking also to streamline approval procedures to rejuvenate the country's slowing economy and promote economic reform.

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Radio-Frequency Identification chips can be either passive or active; passive ones hold data that’s permanently burned onto the chip and can’t be edited or changed in any way. Active tags are more expensive to produce, but allow data contained within to be read, written or changed; including anything from test results and product characteristics to even customer or vendor specific data.

Previously, the cost of RFID tags was a prohibitive barrier to their widespread adoption, but now chips and readers are reaching cost-effective levels. From a software perspective, some Warehouse Management Systems (WMS) such as SAP’s WM and Extended WM solutions have been capable of RFID integration for quite some time, with implementation no longer requiring a total system overhaul.

These factors are leading warehouse managers and manufacturers to view RFID as an attractive option when looking to identify and track goods.

Inventory and production management

RFID tags can hold more information than labels holding 1D, 2D or QR codes. They are also more accurate than any other tracking method, virtually eliminating user error, and can be programmed with an algorithm to protect against counterfeiting.

In conjunction with a fully-integrated software solution, this means that managers can rely on accurate stock levels, allowing for the identification of potential shortfalls in stock which would impact production. Real-time information can also be used by WMS to optimise production through the streamlining of the supply chain process, for instance forecasting demand for raw materials or improving production scheduling based on current stock levels.

The burden on manufacturers can be further reduced if vendors pre-apply tags populated with stock data before parts are sent on to assembly, saving the time of having to enter data such as item details.

Easy access and enhanced traceability

Assembly lines can be a challenging environment for components. Tagging raw materials correctly can ensure a seamless process, where the correct stock is issued at the right time to the right place on the production line.

Once a finished product is manufactured, tags on finished goods can help with track and trace. For instance, large and bulky parts must be housed outdoors and are subject to adverse weather conditions. This means that serial numbers have needed to be etched onto parts, or waterproof labels used.  Neither solution has been optimal, with serial numbers linked with minimal information which has traditionally been manually recorded, and waterproof labels being relatively expensive and not completely reliable, being easily damaged.

RFID chips avoid these difficulties and mean that there doesn’t have to be a direct line of sight when scanning information - incredibly useful when receiving and working with large, unwieldy or high volumes of parts. Smaller components can also contain RFID tags; if a case containing 150 items comes into the warehouse, each individual item can be scanned simultaneously, with records accurately updated accordingly.

Farther down the line

The accuracy and amount of data storage made possible by RFID benefits everyone involved in the manufacturing supply chain. With the data contained within an RFID tag, a WMS can utilise Advanced Ship Notices (ASNs), allowing warehouse operatives to receive order and shipment information in one simple, electronic transaction prior to goods receipt.

Even after undergoing partial or full assembly, an item’s status will be updated, meaning that at each stage of the supply chain, the receiver will know ahead of time exactly what it is being delivered. When operating a fixed-line supply chain, this will inevitably lead to enhanced visibility and greater efficiency, a must in the increasingly automated manufacturing business where the biggest hold-up is processing of stock.

Perhaps most exciting for a manufacturer is the potential RFID technology affords for innovation. The ramifications of dynamic data attached to parts and raw materials, information which can be written, re-written and added to, are enormous for the industry.

Companies could begin using such dynamic data to create dynamic supply chains, where for instance information was updated until the moment it passed to the customer without the need to change a label. Customers themselves could then exploit the power of RFID, using the data to accelerate goods receipt and know its origin and content.

RFID is playing a more important role than ever in the industry, but in reality its full potential is yet to be realised. It will be those innovative manufacturers at the leading edge, those maximising the capabilities of RFID, who will gain a significant competitive advantage through the emerging technology.

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Microsoft Corp is demonstrating its ongoing commitment to education by giving 10,000 of its latest tablet device to attendees, supported by workshops and sessions to showcasing how to integrate its use into the classroom.

The recent announcement forms part of Microsoft’s initiative Windows in the Classroom Surface Experience Project - providing an opportunity for educators to experience how a Windows 8 touch device makes learning come to life.  

CEO of the International Society for Technology in Education (ISTE), Brian Lewis commented:

“Access to meaningful technology for all learners is at the core of ISTE’s mission, so there’s tremendous synergy between our goals and Microsoft’s generous investment in our 213 conference attendees. This bold move is illustrative of Microsoft’s commitment to the effective use of technology in education.

“It’ll be fantastic to watch attendees take their conference learning experience to the next level through the power of their new Surfaces and to hear about the ways they use them with their students.”

Now in its 34th year, ISTE’s annual conference and expo features an impressive array of professional learning and collaborative networking opportunities from across the globe. Recognised as one of largest and most interactive educational technology events in the world, more than 500 exhibitors and 4,500 industry representatives are on hand to offer solutions to help better prepare students in this digital age.

Vice President of US Education, Microsoft, Margo Day said:

“Educators using Surface RT have the best of both worlds: the wonderful experience of a tablet combined with a no-compromise experience of a fully-functioning laptop that includes Office and allows for creation and collaboration, not just consumption.

“Educators already using Windows 8 tell us they are able to get grading and planning done more quickly because they can multi-task and they can imagine new and personalised learning experiences for their students.”

To participate in the Windows in the Classroom Surface Experience Project, registered ISTE 2013 attendees may go to here to learn more on how to qualify. Educators must have a school official and/or ethics officer sign a gift acknowledgement letter provided by Microsoft and bring it to the ISTE conference in order to receive a free Surface RT device for their school.

ITSE 2013 takes place at the San Antonio Convention Center between June 23 and 26.

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Manufacturers are facing increasing cost pressures at a time when demand is fluctuating due to the faltering global economy.

In a recent industry survey, the Chartered Institute of Purchasing & Supply announced that the UK manufacturing had contracted for a second successive month in March. Weak demand from domestic and European companies was cited as a factor, but also the increasing cost of raw materials, fuel, utilities and food products were weighing heavily on profit margins.

Weak demand is a symptom of the global economic situation, with France, Italy and Spain also experiencing contractions in their manufacturing sectors despite being some of the largest European economies.

Forward-thinking Manufacturers, looking to improve their bottom line and reduce costs have started turning to e-procurement.

The roots of e-procurement

The technology is not an entirely new concept. During the 1990s, many businesses automated their supplier relations processes through the implementation of Electronic Data Interchange (EDI) systems.

Internet-usage becoming more widespread within businesses ushered in an era of rapid growth in the adoption of online tools which promised to automate purchasing processes, leading to the appearance of a number of online B2B e-commerce sites.

However, the constraints on internet bandwidth available at the time and the questions of security related to e-commerce both served to cool initial enthusiasm for these solutions.

Since then the growing sophistication of web-based technology, particularly zero-footprint solutions sitting in the cloud, coupled with increases in available bandwidth, have been responsible for a renewed interest in e-procurement solutions.

For example, the EU has mandated that by 2016 all European public bodies should have implemented this type of solution to facilitate any public purchases. Estimates suggest that member states could cut purchasing costs by as much as 30 percent as a result.

E-procurement and manufacturing

In the face of such striking figures, plenty of industries are examining how e-procurement could benefit them. For manufacturers the main goal of the procurement team is to reliably facilitate the purchase of materials at the specified quality and the best possible price. E-procurement technology can be employed to support both of these goals.

Cost reductions in raw materials translate directly into increased profit, which is one of the key reasons why this is seen as the Holy Grail of manufacturing procurement. Manufacturers need to make informed purchasing decisions and the key to this is the provision of complete and relevant data on expenditure.

Spend analysis features within e-procurement platforms enable manufacturers to quickly analyse all purchasing data to show top suppliers, exact spend on specific components, which departments are spending most and what are the most purchased products. Having a clear, overarching view of accurate data enables cost reductions by providing intelligence on exact spending levels in a fast and efficient manner.

A major part of the procurement process is ensuring that lower costs do not mean lower quality or standards. One consequence of this quest for quality is the need to track supplier accreditations, such as ISO standards.

E-procurement platforms can provide a foolproof method of ensuring quality and compliance by showing at a glance which suppliers meet the required standard, and even the required renewal date for any expiring qualifications. This information can be used to rank suppliers and to select which companies to invite to tender.

Large manufacturers might have thousands of contracts on their books, all of which need careful management. Attempting this process manually is a painstaking and expensive task, and can lead to the lapse of contracts with suppliers and purchasers.

E-procurement solutions avoid that risk and enable manufacturers to keep tabs on all of their contracts, even offering alerts to ensure that contracts can be renegotiated in good time before they expire.

E-procurement solutions can even score suppliers on their performance to flag issues or underperformance. Typically companies which use a supplier assessment see a 20 percent improvement in supplier performance metrics such as on-time delivery, quality and cost benefits.

Manufacturers should be managing all supplier relationships to ensure compliance with agreed standards and to reduce risks, but for large companies in particular this can be a full-time job without the necessary technology.

Because of its reliance on purchasing raw materials, arguably manufacturing has even more to gain from e-procurement solutions than service industries. With costs of production increasing and demand static, manufacturers need to get creative if they are to maintain a competitive edge.

By focusing more on procurement savings manufacturers can boost the bottom line without sacrificing quality, and using e-procurement technology is a powerful enabler to unlock these benefits.

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At $372.50 million, total manufacturing technology orders in the US was down 26.6 percent from March and down 12.6 percent when compare with the $426.44 million reported for April 2012. The year so far is also down 7.0 percent compared to the same time period for last year.

Compiled by the Association for Manufacturing Technology (AMT), the report represents the production and distribution of manufacturing technology, provides regional and national US orders data of domestic and imported machine tools and related equipment.

Analysis of manufacturing technology orders provides a reliable leading economic indicator as manufacturing industries invest in capital metalworking equipment to increase capacity and improve productivity.

AMT President, Douglas Woods commented:

“Order totals levelled off to the averages we’ve seen so far this year, but they aren’t out of line with analyst predication. Likewise, the Purchasing Manager’s Index recently dropped below 50 – indicating contraction within manufacturing – but hiring continued to expand throughout the industry.

“With auto-sales strong, the housing industry showing signs of a true rebound and consumer confidence on the rise, we expect to continue seeing stead but slower activity.”

The breakdown of US manufacturing technology orders was also reported by region:

Northeast– totalled $72.29 million, unchanged from March but up 4.4 percent compared with April 2012. At $251.08 million, 2013-to-date is down 4.0 percent compared with the same period in 2012.

Southeast– totalled $35.16 million, down 3.3 percent from March but up 1.0 percent compared with April 2012. At $139.10 million, 2013-to-date is down 16.3 percent compared with the same period in 2012.

North Central-East– totalled $71.30 million, down 50.9 percent from March and down 34.6 percent compared with April 2012. At $434.94 million, 2013-to-date is down 2.8 percent compared with the same period in 2012.

North Central-West– totalled $69.88 million, 10.8 percent lower than March but up 30.0 percent compared with April 2012. At $238.30 million, 2013-to-date is 9.1 percent higher than the same period in 2012.

South Central– totalled $59.60 million, 10.8 percent lower than March and 30.7 percent lower than April 2012. At $257.42 million, 2013-to-date is 28.3 percent less than the same period in 2012.

West– totalled $64.27 million, down 19.6 percent from March but up 30.0 percent compared with April 2012. At $238.30 million, 2013-to-date is down 9.1 percent above the same period in 2012.

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While traditionally, access to real-time data has been the preserve of senior management, through   weaving analytics into workspaces and ensuring the entire organisation has access to real-time data, a proactive company culture focused on identifying new opportunities and risks can be created.

Embedded analytics enable personnel—from financial directors to warehouse managers, to continually monitor issues, predict customer needs and make well informed decisions; critical for strategic problem-solving and proactive response to pending market changes.

Ongoing, timely data capture is integral to achieving this culture. Working with real-time data, rather than a snapshot of historical data allows companies to stay on top of potential problems. The use of automatic notification, alerts and escalation rules keeps managers informed of warning signs.

Thanks to smartphones and tablet devices, even those who travel can maintain connectivity and monitor dashboards whenever desired.

In fact, all users can track role-relevant critical information on an ongoing basis with workspaces that keep contextual data, forms and collaborative groups on the home screen. Goals can be set, and automatic alerts can be sent to the appropriate person when action should be taken.

Utilising these types of warning systems helps companies stay alert to potential problems. Most importantly – further research can be conducted to find the cause of the problem so it can be prevented from occurring again.

By incorporating role-based analytics, personnel can monitor the critical drivers to success. Potential issues can be identified and remedied before they cascade into problems which threaten profitability.

Processes for capturing data, generating reports and alerting individuals can be largely automated. Today’s advanced software solutions with flexible workflow design allow reports to be automatically generated and delivered to personnel at predetermined intervals. 

Automating data capture processes, whenever possible, increases consistency and removes much of the risk associated with human error, distraction or noncompliance. Automating simple tasks also frees up employees’ time so they can be working on more high-level tasks – such as building relationships with customers.

Four key benefits of role-based analytics:

Attaining New Business

Today’s highly flexible and advanced business intelligence tools also allow data to help drive all critical decisions. Facts can provide the powerful ammunition necessary to make well-calculated strategic moves.

Confidence in decision-making abilities will allow senior management greater confidence in exploiting new opportunities. New target markets can be identified for sales growth, and managers can also look internally at new techniques for streamlining operations and conserving resources.

Deploying an advanced business intelligence strategy, therefore, is one of the most critical actions a forward-thinking manufacturer can take, one that will certainly lead to increases in profitability, improved customer satisfaction and claims on merging market opportunities.

Setting Goals

Using performance management tools also allows annual goal-setting to be fact-based and tied to realistic abilities. Gone are the vague generalities that were more hope and dream than policy. Now, a step-by-step battle plan for improvement can lead the troops forward.

One of the most subtle, but significant areas of transformation is the change of attitude that is seen in a company that embraces proactive strategies.

Access to shared, integrated data reinforces a company culture of cooperation and common objectives. It empowers individuals – irrespective of their role – to see beyond a singular workstation or primary job description. Each person, from the contact centre representative to the schedule/dispatch manager, plays a role in the big-picture profitability of the manufacturer.

Spotting Problems

Employees can make confident contributions to an initiative for process improvement. Armed with report-writing tools and access to relevant data, personnel, no matter their department, can help spot impending issues with long-range repercussions.

Data makes it easier for employees to do their job effectively. Personnel can monitor relevant critical numbers and performance status with vested interest. Employees want to achieve goals, rather than vague remits focused on ‘success’ specific goals can be expressed based on concrete numbers.

Most importantly, data can be monitored by the people who have the most potential to take hands-on corrective steps and preemptive actions. The business intelligence data is actually used, rather than sitting in reports collecting dust on the corner of desk.

Being Proactive

Giving personnel access to decision-making tools, contextual data and strategic planning resources also builds the company culture that supports being proactive-rather than reactive. Personnel learn to make decisions independently, thoroughly researching cause-and-effect data and making fact-based decisions.

Employees learn that slow response is no longer acceptable and teams understand that there is no longer an excuse for guessing at historical data. Accuracy, demand planning and forecasting improve, company-wide.

Access to data through the use of technology allows personnel to take an active part in ongoing process improvement. Recent surveys indicate that engaged employees are the most productive and make the greatest contribution.

 An engaged employee will be alert to ways of improving efficiency, quality performance or customer satisfaction anywhere in the manufacturing process. Access to performance data helps the employee recognise opportunities, research cause-and effect theories and uncover opportunities where changes can be made to streamline activities, speed delivery time, conserve use of resources or anticipate a customer need.

Personnel must be trained to look for such opportunities, feel motivated to utilise the software capabilities to their fullest advantage and receive positive feedback for taking above-and-beyond actions.

A new attitude and therefore culture is able to flourish within companies, one that isn’t willing to settle for so-so performance. Role-based analytics enables a proactive mindset for the company and fosters a sense of priority on fast, agile attention to new ideas.

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Around a quarter (23 percent) of the businesses listed on the 2013 list are involved with manufacturing, engineering and construction, opposed to just the 15 who made last year’s list.

IT, Software & Telecoms (16) and Financial & Professional (15) companies occupy the top two slots, but Manufacturing & Engineering (13) and Construction, Property and related services (10) are just behind them.

Chief Economist at Investec, Philip Shaw commented:

“It is reassuring to see that firms in sectors such as manufacturing and construction are so well represented in the Hot 100. It should destroy the myth that the UK has little expertise in these areas, which in reality are capable of contributing strongly towards economic growth, jobs and prosperity.”

Now in its fifteenth year, the Hot 100 is an established and rigorous analysis of the UK’s fastest-growing mid-sized private companies. Devised using compound annual growth rates measures over a four-year period; it is an important source of insight into the UK heartland economy.

Head of Investec’s Growth & Acquisition Finance Team, Ed Cottrell said:

“This year’s Investec Hot 100 clearly demonstrates the strength and breadth of entrepreneurial activity and business growth from companies that will continue to be the growth engine of the UK economy for many years to come. It is hugely encouraging to see growth coming from all corners of the UK.”

Outlook for growth

Research conducted companies included on the list indicates a more optimistic outlook for their businesses and the overall economic climate over the coming year. 83 percent expect the fortunes of the UK economic climate to improve, while 83 percent and 75 percent respectively believe their revenues and operating profit will grow over the same period.

This is partly attributed to international expansion – with 54 percent of companies targeting entry into new emerging markets such as Latin America, Eastern Europe, Middle East and Asia; while 67 percent are already operating internationally.

Employment

75 percent are expecting to increase the number of full-time employees that they have, while half believe that access to a better skilled workforce would help them to grow over the next 12 months. A number of those surveyed attributed the recruitment of high-skilled workers and sales teams as crucial to their success of the past year.

Support

79 percent believe that government policies to support UK growth companies are more than acceptable, although early access to financing, support in expansion of trading overseas and simplification of employment law were all highlighted as areas where more could be done.

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This month MD highlights a number of the available options to better guide your future technology investments.

Scanning the horizon with RFID

Kicking things off is logistics specialist Andrew Moses’ puts RFID tags in the spotlight, discussing how manufacturers can better apply them to drive down costs and improve efficiencies

 Taking stock of e-procurement

Every business needs procurement at some level, but arguably for manufacturers the discipline takes on an additional importance; in simple terms – without the purchase of raw materials, there is no manufacturing. Pedro Paulo, CEO of leading B2B solutions provider Gatewit, discusses e-procurement’s rise to prominence. 

Empowering workforce performance with role-based analytics

Software expert,Phil Lewis reveals how role-based analytics are helping businesses to empower their workforce performance, both now and in the future.

Letting fly with six sigma

James Wright & Suresh Thalange, manufacturing experts at PA Consulting Group, put six sigma in the frame with a snapshot of the continuous improvement strategy.

Improving mobility, connectivity and productivity – Top Ten  

Rounding things off, with the proliferation of technology embedded with internet communication heralding the start of a third industrial revolution; what better time to count down the coolest hardware, software and innovations driving workplace collaboration and this new digital age forward.

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Six sigma is a continuous improvement approach and toolset – developed in the manufacturing sector by Motorola in the 1980’s – used to reduce the number of deviations or errors created from a process.

The name six sigma derives from a term used in statistical mathematics called standard deviation, a measure of the deviation of a data set from its mean (represented by the symbol σ, sigma). The term six sigma generally refers to a defect rate in the single digit range of parts per million, which was the original target set by Motorola.

The concept

Once the number of defects in a process has been measured, it can be worked on to reduce it to as close as possible to zero. The value this provides to organisations means that products sold are robust with zero defects. This enables the generation of high levels of customer satisfaction and low cost of warranties, rejects and returns.

Since it was developed six sigma has become well known for:

1)      Being adopted by Jack Welch at GE in the 1990’s as a core driver of continuous improvement, and is now a fundamental part of GE’s culture

2)      Adopting the black belt system of certification which accredits practitioners depending on their level of learning and quality of six sigma projects undertaken

3)      The Define, Measure, Analyse, Improve & Control approach (DMAIC). This is a derivative of Deming’s Continuous Improvement Cycle PDCA – Plan, Do, Check Act – and is used to bring structure to the continuous improvement of a process

The top tips:

Get going – while a level of theoretical training is important, many people learn better by doing. It is a practical tool so use it this way.

It’s often better to get the approach 70 percent correct and make a difference quickly, rather than labouring to get the approach 100 percent correct and never get to an implemented solution. You need to establish a real drum beat for continuous improvement.

To apply or not to apply that is the question– there is often a challenge between the advocates of six sigma and lean approaches as to the right approach to follow.

This apparent conflict can be distracting to those just concerned with trying to improve the performance of their business, to the extent that within large organisations advocates of different methodologies often compete to resolve the same problems, wasting time and resource.

Neither approach is the curer of all ills; all continuous improvement tools should be applied subject to the problem you’re trying to solve. They are all part of the broad continuous improvement toolset and it’s the understanding of what each tool can give you that is important. The way forward is to collaborate to solve problems in the best way possible.

Six sigma’s primary use is to reduce the variation of processes with statistically significant outputs. It’s best applied when these process outputs are critical to quality and critical to business performance.

Link to business performance – the six sigma toolset is without a doubt powerful; however this will not be seen when applied to problems that have no bearing on business performance.

To gain most value there needs to be an exercise up front linking the application of tools, effort and energy with the highest priorities for business performance; whether through the use of balanced scorecards, policy deployment, business strategy or other means.

Innovate – often the biggest barrier to driving significant performance improvement and value using six sigma is being restricted by conventional thinking.

The problem is common, cultural and often hard to see and resolve. Unconstrained thinking is the key, which can be encouraged by internal collaboration with multi-functional teams; external collaboration through the involvement of customers, partners and suppliers; open innovation and building a culture where people can challenge the norm freely.

Warning, experts only! – while the certification systems associated with six sigma are great in acknowledging excellence and achievement in the field, it can feel like six sigma is the reserve of experts.

Our experience this is certainly not the case. Experts have an important role to play with respect to coaching and facilitation, but heavy involvement by experts or projects resourced only with experts can be counter-productive.

Six sigma usually benefits from a variety of different viewpoints, experts in the tool-set, those who know the process well and those who are new to the process. Continuous improvement works well when everyone is encouraged to contribute rather than feel excluded from it.

For more information visit  www.paconsulting.com/manufacturing or follow PA on twitter @PA_Consulting

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Supplying innovative technology such as injection-based drug delivery systems and blood sampling equipment to the world’s major diagnostic and pharmaceutical companies, Owen Mumford’s products must comply with the strictest regulations and quality standards.

Its Metrology Engineers are the ones who must ensure those high standards are continuously met. Barrie Hanson is one such engineer, a man who was keen to further his knowledge of the machinery and components he worked with every day.

He was recommended for National Physical Laboratory training and was put through NPL’s Level 1 Dimension Training course.

“I had been picking up bits of knowledge from our engineers, but this course brought it all together. It gave me a thorough understanding of how measurement works that I could take back to the work place and immediately start applying,” Hanson said.

“NPL training has given me more confidence to make informed decisions and empowered me to take on more responsibility. Thanks to this course, I’m 50 percent more productive than I was.”

Hanson now constructs routines rather than just running them, contributing vital data used for setting up new tools.

“After this course I was able to look at drawings and understand why things are drawn the way they are. We learned to apply geometric tolerancing and understand why certain levels of accuracy were required.

“With every job, I now question what the best approach is and choose the best way to measure, rather than relying on pre-defined routines; making everything more efficient.”     

The engineer is currently in talks to advance even further by completing NPL’s Level 2 Dimension Training course.

Owen Mumford has offices in the US, Europe, Asia Pacific and the Middle East, with customers ranging from individual consumers, to hospitals and international medical device and pharmaceutical businesses.

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10. Open Source

Put simply, open source is a culture promoting and distributing universal access to a product’s design or template. Commonly in the form of software code; it allows anyone to take it, improve it and personalise it. An innovative success borne out of the movement is the Raspberry Pi, an inexpensive credit-card sized PC designed to get children, among others, engaged with computer programming through the use of open source software.

9. Social Media

Though some would argue manufacturers have arrived slightly late to the social media buffet, an increasing number of companies are joining networks such as Facebook, Google+ and the recently launched Businessfriend, keen to take advantage of the business-to-business, business-to-consumer and organisational connectivity they provide.

8. Unified Communications

The process of integrating real-time instant messages, standard and IP telephony, video conferencing and data sharing with non-real time communications such as voicemail, e-mail, fax and text messages, unified communications allows access to a variety of sources through different mediums, i.e. emails via a smartphone, enabling seamless connectivity and the optimisation of business processes.

7. Big Data Analytics

As a greater amount of business functions become digitised, the amount of data being gathered is rising exponentially. The difficulty lies in not only storing and sharing this data, but its effective analysis to swiftly gather meaningful insights, track patterns and anticipate trends, leading to a rise in related investment, data management companies and services such as the popular Google Analytics.  

6. ERP

Integrating every facet of an organisation’s activity, from accounting and sales, to production and distribution, Enterprise Resource Planning automates the various processes through an integrated software application. With many now considering the backbone of a company to be ERP, the cloud is allowing even greater visibility, connectivity, control and customisation for the next generation. 

5. Industrial Intelligence

By converging and sharing the data generated by traditional manufacturing systems, such as Product Lifecycle Management and RFID across the different stages of a company, Industrial Intelligence is helping to further connectivity and responsiveness. Extending beyond plant floor systems to connect designers through to supply partners and even customers, a beneficial, accessible ecosystem is created for all.

4. BYOD

With ever-increasing and more powerful smartphones, tablets and laptops, the less time managers, supervisors, engineers and technicians have to spend in offices tied to desktop computers. The technology in our hands now allow us to monitor and access information and data from any location, at any time; giving rise to the escalating Bring-Your-Own-Device trend currently booming.

3. Cloud

Thanks to virtualisation –removing the need for a physical infrastructure – having applications hosted in the cloud and varying accessible by all, speeds up decision-making, raises efficiency, increases productivity and reduces costs. Supporting unified communications, Industrial Intelligence, ERP and big data analytics, among others, and buoyed by BYOD, the cloud is playing a crucial role in both mobility and connectivity.

2. 3D Printing

Though not a new idea, recent years have seen the cost of 3D printing fall as much as its applications have increased. Quickly and accurately adding successive layers of material to build a shape, 3D printing has the potential to radically transform the way manufacturers interact with consumers and suppliers across all sectors, through rapid prototyping, rapid manufacturing and mass personalisation.

1. Internet of Things

The basic idea lies in equipping objects with minute identifying devices and internet connectivity, allowing various objects to communicate with each other. Sometimes referred to as the Internet of Everything, it has the potential to transform not only the world of manufacturing, but the whole world around us. 

Already paying dividends thanks to RFID and smart sensors, things such as vending machines, printers, fridges, stock rooms and production lines aren’t running out of supplies thanks to the things themselves making the relevant people aware when inventory runs low.

And this is just the beginning. Similar devices are being placed in homes, offices, vehicles, livestock and even people, allowing physicians to monitor health issues and remotely perform check-ups.

As an increasing number of things have the ability to communicate with each other, and utilising many of the innovations discussed through numbers 10 to two, there’s no limit to the possibilities of what can be achieved.  

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The Institution of Engineering & Technology (IET) has once again opened up its annual free-to-enter, international awards scheme, providing a unique platform for engineering innovators to showcase their best and brightest designs.

Through its awards programme – the IET Innovation Awards, the Institution recognises excellence across 15 categories spanning the breadth of science, engineering and technology. The recognition bestowed on past winners has resulted in the awards becoming synonymous with garnering the attention of a global audience.

The scheme is open to any individual, company or organisation involved in doing something innovative, pioneering and contributing to the development of processes, products, performance or value.

Chief Executive of the IET, Nigel Fine commented:

“These awards recognise the most outstanding innovations across science, engineering and technology, celebrating the contribution made by engineers and technicians to enhance people’s lives everywhere.

“The IET is passionate about promoting excellence and the Innovation Awards are a great opportunity to showcase some of the very best work taking place around the world.”

The 15 categories include:

Asset Management; Built Environment; Communications; Consumer Electronics Technology; Emerging Technology Design; Healthcare Technologies; Intelligent Systems (sponsored by Altran); IT (sponsored by Accenture); Measurement in Action (sponsored by NPL); Model-based Engineering (sponsored by MathWorks); Navigation and Surveillance Communications; Power/Energy (sponsored by National Grid); Start-up (sponsored by the ERA Foundation); Sustainability (sponsored by ABB); Vehicle Technologies

Each category of the Innovation Awards is independently judged by a panel of experts in that field, with the shortlist announced in October. The winners will be revealed at a celebrity-hosted awards ceremony and gala dinner at The Brewery, London on 20 November.

You can find out more about the awards, sponsorship opportunities and entry details here, the deadline for entries is 26 July.

The IET is one of the world’s leading professional societies for the engineering and technology community, with an extensive network of more than 150,000 members in 127 countries and offices in Europe, North America and Asia-Pacific.

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The Secretary of State for Business, Innovation & Skills, the Rt Hon Vince Cable MP has announced plans to invest £14.7 million in new projects involved in the UK’s cutting-edge 3D printing industry – also known as ‘additive manufacturing’.  

Cable made the announcement while visiting the Manufacturing Technology Centre to meet representatives from the 18 successful projects chosen to receive the funding under the recent Technology Strategy Board initiative, “Inspiring Design Freedoms in Additive Manufacturing/3D Printing”. He commented:

“Investing in tomorrow’s technology will bring jobs and economic growth throughout the UK. That’s why last month the government announced the biggest ever investment in the work of the Technology Strategy Board. With £440 million of funding, they will support new manufacturing techniques to maintain the UK’s position as a world leader in technology and design.

“This joint investment (£8.4 from public bodies and £6.3 million from private) highlights the commitment from across the sector to boost manufacturing in the UK.”

The Secretary of State was shown around the centre by MTC Technology Director Ken Young, who commented:

“As well as the technology on show, we were able to emphasise that the MTC is already hitting targets from 2018 and 2020 business plans. In addition we have been able to recruit more than 160 employees in the last two years, while at the same time establishing a graduate recruitment and development programme and a fast-growing apprenticeship programme.

“Our growth in memberships to the current level of 52 members is a testament to our success, with major international companies keen to work with our own engineers and partner universities.”

The Manufacturing Technology Centre opened in 2011 following a £40 million investment. It is a partnership between some of the UK’s major global manufacturers and three forward-thinking universities – Birmingham, Nottingham and Loughborough – as well as TWI Ltd, the operating division of The Welding Institute.

The MTC aims to provide a competitive environment to bridge the gap between university-based research and the development of innovative manufacturing solutions, with a focus appropriate to both large and small companies and applicable across industry sectors. 

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Companies within A&D are looking to invest in ways to preserve their market position and reduce supply chain risk, says KPMG’s 2013 Global Aerospace & Defence Outlook released today.

The primary finding is that a combination of low supply chain visibility and poor response times to fluctuating demand indicate a lack of collaboration between suppliers and partners.

Transaction key to maintaining market position with increased efficiency

Creating efficiency savings continues to be the main priority for A&D executives, with more than half (53 percent) citing reducing costs as their primary business goal; more important than both increasing speed to market (40 percent) and sales growth (23 percent).

Over one in three cited ‘sharing functions/facilities with other organisations’ as a way of increasing efficiency, while worryingly, 33 percent indicated that they would cut overall expenditure by reducing labour costs.

More than half of the A&D OEM respondents said that investment would allow them to preserve critical mass or increase their market share; with 40 percent of A&D suppliers stating that limiting their exposure to input price volatility and lower-tier supplier dependence would reduce supply chain risk.  

UK Head of Aerospace at KPMG, Glynn Bellamy commented:

“These findings highlight the resurgence of mergers and acquisitions in the A&D sector and the conflicting challenges facing the Defence and Civil sector. While the former is driven by declining markets and a need to drive down cost in the face of budgetary constraints; the latter is experiencing a degree of increased vertical integration.

“This is being propelled by the OEM’s desire to take greater control over their supply chain in light of the looming ramp up in civil production rates by B787, A350 and the upgraded single aisle aircraft. Additionally, vertical integration may reduce the risks posed by the operational capacity of many of the lower tier suppliers and concerns over their financial stability...demonstrated recently with the acquisition of Avio by GE.”

Lack of supply chain agility is a major concern

A worrying 63 percent of A&D executives said they had no visibility beyond their Tier 1 suppliers, versus 41 percent of non-A&D manufacturers – one in ten A&D respondents admitted to having no supplier visibility at all.

Nearly half of all senior executives singled out their lack of supply chain agility as an issue, compared to poor supplier performance (35 percent) or insufficient skilled talent to manage the supply chain (16 percent).

According to senior executives, the largest obstacle to innovation is the complexity of collaborating with suppliers and partners; 37 percent believe that this makes their R&D activities less effective, while two percent said lack of funding was an issue.

One in three is seeing resurgence in innovation activity, with over half saying that their R&D initiatives would contribute 10-15 percent of revenues in the next two years.

Bellamy said:

“These findings resonate in the UK supply chain, which remains highly fragmented compared to many industries and where many SMEs face the challenge of financing and resourcing the expected ramp up in end-customer demand.

“There is therefore a need for increased collaboration across the supply chain. This has been recognised, in part, through the establishment of the Aerospace Growth Partnerships.”

Research universities drive R&D destination choice

While the survey suggests that effective collaboration is at the heart of all R&D activity, the value gained from joining forces with higher education institutions is particularly valuable. When asked which factors would determine where they would set up their R&D function, the most important factor was the potential to collaborate with research universities.

Nearly half of senior A&D executives cited the importance of working with their education institutions, compared to only 27 percent for other manufacturing executives. Establishing a strong relationship with research universities was more important than financing options (33 percent), IP protection (25 percent) or government tax incentives (17 percent).

Bellamy commented:

“These findings support the invaluable contribution the jointly government and industry-funded UK Aerospace Technology Institute (ATI) can make to the UK Aerospace sector. The institute should form a clear strategy between academia and industry focused on the applied technology required to ensure that the UK maintains and grows its work share on future aircraft programmes.

“UK Aerospace PLC must now promote this and associated initiatives on the global stage, so that we are able to increase our share of inward investment from the global aerospace industry.”

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The world’s leading aerospace company and the largest manufacturer of commercial jetliners and military aircraft will have one 787 performing daily flying displays or the duration of the event, while the other will be on static display.

The Boeing ScanEagle low-cost, long-endurance unmanned aircraft system will also appear as part of the US Corral display throughout the show.

Due to run from 17 to 23 June 2013 at the Le Bourget Exhibition Center – and now in its 50th year – Boeing will be sponsoring the International Paris Air Show’s Engineering Student of the Year Award for the eighth year.

The world’s leading competition to recognize students whose work shows the greatest promise, aptitude and dedication in the field of aerospace technology, this year’s recipient will be awarded their prize at the Musee de l’Air et de l’Espace, Le Bourget on the Tuesday evening.

Boeing will be highlighting its air show activities via a dedicated website, with regular updates of briefings and videos from the show, as well as through its various Twitter feeds - @Boeing, @BoeingAirplanes and @BoeingDefense

Boeing’s presentations of note include:

Monday 17 June – 10.00am (Paris local time):Boeing Commercial Airplanes President & CEO, Ray Conner will assess current industry and market conditions and provide an update on Boeing commercial airplane products and services, development programs and product investments

Monday 17 June – 01.00pm:US Marine Corps Col. Greg Masiello, Joint V-22 Program Manager, US Naval Air Systems Command, will provide an update on the Bell Boeing V-22 Osprey tiltrotor and discuss recent operational deployments

Tuesday 18 June – 10.00am: Scott Fancher, Vice President and General Manager of Airplane Development for Boeing Commercial Airplanes, will offer an overview of Boeing’s twin-aisle strategy to meet future market requirements, as well as an update of development progress on the 787-9, 787-10X and 777X

Wednesday 19 June – 09.45am: Scott Fancher will be joined by Joe Ozimek, Vice President of Product Marketing, 737 MAX at Boeing Commercial Airplanes to, provide an update on the 737 MAX’s progress towards Firm Configuration in July and an update on the airplane’s advanced performance features

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The results from an exclusive survey of senior buyers and executives who attended this year’s CWIEME Berlin have shown that 49 percent believe their business will perform better in the year ahead.

However, one of the biggest issues identified is the need for European manufacturers to confront growing competition from emerging economics, principally in areas such as price, speed of innovation and time to market.

Three of the strongest business areas acknowledged by survey participants are the automotive sector, consumer electronics and renewable energy, where European companies are developing, manufacturing and supplying world-leading technologies for wind turbines, tidal power and hydro-electricity.

Industry veteran and Head of Expert Pool at electrical sector experts SCO Consulting, Roger Schwander commented:

“Europe has been caught napping. For many years European sellers of electrical rotating machines and coil winding components have enjoyed sustained growth and secure markets. However, new market entrants from countries such as China, India and Brazil mean they are now facing much stiffer competition on price.

“Unless European manufacturers innovate quicker and bring products to market faster, they will suffer in the years to come.”

Organised by i2i Events, the Group’s Portfolio Director, Haf Cennydd added:

“Europe in particular is seeing a major focus on renewable energy technology in order to meet the EU Renewable Energy Directive targets for 2020.

“We are pleased with the industry response to this year’s exhibition and the record number of visitors at the biggest ever CWIEME. It is clear from our survey that the industry has a positive outlook on future prospects, but is also very realistic about the challenges it has to face up to in order to remain competitive.”

CWIEME Berlinwas established in 1996 and rapidly grew to become the world’s largest international exhibition for its industry. The CWIEME portfolio was acquired by i2i Events Group in September 2012, and currently comprises CWIEME Berlin, CWIEME Bangalore, CWIEME Chicago and CWIEME shanghai.

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Developed at the Georgia Institute of Technology and taking advantage of the ‘Lotus Effect’, by creating surface patterns at two difference size scales and applying a chemical coating the new material is now able to repel most liquids – including oil and water.

The material uses nanometer and micron-scales structures, plus a surface fluorocarbon and could be sued as the foundation for a new generation of inexpensive biomedical diagnostics or an improved, less expensive packaging material, while still being both recyclable and sustainable.  

Professor in the Georgia Tech School of Chemical & Bimolecular Engineering, Dennis Hess said:

“Paper is a very heterogeneous material composed of fibres with different sizes, different lengths and a non-circular cross-section. We believe this is the first time that a superamphiphobic surface – one that repels all fluids – has been created on a flexible, traditional and heterogeneous material like paper.”

The new paper, which is both superhydrophobic (water-repelling) and super oleophobic (oil-repelling), can be made from standard softwood and hardwood fibres using a modified paper process including breaking up cellulose into even smaller structures by using a mechanical grinder.

The researchers have printed patterns onto the material using a hydrophobic ink and a desktop printer. Droplets applied to the pattern remain on the ink pattern, repelled by the adjacent superamphiphobic surface.

That capability could facilitate development of inexpensive biomedical diagnostic tests in which a droplet containing antigens could be rolled along a printed surface where it would encounter diagnostic chemicals.

If appropriate reagents are used, the specific color or color intensity of the patterns could indicate the presence of a disease and, because the droplets adhere tightly to the printed lines or dots, the samples can be sent for additional laboratory testing.

Hess added:

 “We have shown that we can do the operations necessary for a microfluidic device. We can move the droplet along a pattern, split the droplet and transfer the droplet from one piece of paper to another. We can do all of these operations on a two-dimensional surface.

“Working with heterogeneous materials is fascinating, but it’s very difficult not just to control them, because there is no inherent consistent structure, but also to change the processing conditions so you can get something that, on average, is what you need. It’s been a real learning experience for us.”

The new paper has so far been made in samples about four inches on a side, but Hess and his team see no reason why the process couldn’t be scaled up. Though long-term testing of the new paper hasn’t been done, what’s been seen so far is encouraging. 

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Having recently introduced two stripped-down versions of its flagship Galaxy S4 mobile, the South Korean multinational electronics company has sparked worries of margin decline and slowing growth momentum for its high-end S4 model.

Following the footsteps of its global competitors, such as Apple and HTC, Samsung is trying to expand its offering to the more popular low-to mid segment to better compete with the Chinese manufacturers currently dominating the sector.  

Analyst at Korean brokerage and investment banking company Shinhan Investment Corp, Kim Young-Chan commented:

“Sales of high-end handsets are lagging behind expectations, while low-to mid-end handsets are selling briskly worldwide. As the portion of low-to mid-range handsets is expected to increase in Samsung’s overall mobile phone business, this has also sparked concerns about thinning margins and lower growth.”

The slide in Samsung shares comes after Woori Securities; Korea’s leading securities firm reduced its price target for Samsung by 4.8 percent to 2.0 million SK won this week, citing weakening profit growth of is mobile business – which generate around 70 percent of Samsung’s total profit.

The securities firm also cut 2013 and 2014 earnings per share forecasts by 9.2 percent and 11.7 percent respectively.  

Head of tech-sector research at KDB Daewoo Studies, Song Jong-Ho said:

“After market talk of Galaxy S4 sell-ins being worse-than-excepted, third-quarter sales forecasts are seen revised down from 30 million to 25 million handsets sold (globally).

The leading global financial services firm, JP Morgan also slashed its earnings estimates and said monthly orders for the S4 have been cut by 20-30 percent to between seven and eight million from July due to weak demand in Europe and south Korea.

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