Advancing the Australian Rail Industry
Transcription
Advancing the Australian Rail Industry
Advancing the Australian Rail Industry Advancing the Australian Rail Industry 2014 NSW Briefing Session Paul Hogan – Director, Business Advisory and Industry Development Investment Services, NSW Trade and Investment 1:30pm Monday 26th May, NSW Trade & Investment Centre, L47 / 19 Martin Place (MLC Centre), Sydney NSW 2000 Advancing the Australian Rail Industry 2014 NSW Briefing Session Tony Carney - National Sector Manager, Rail Industry Capability Network (ICN) Agenda – NSW Briefing Sessions Official Welcome: Paul Hogan - Director, Business Advisory and Industry Development Introduction and Overview: Tony Carney - National Sector Manager – Rail Developing a Sustainable & Global Competitive Australian Rail Industry: Bruce Griffiths, Rail Supplier Advocate InnoTrans 2014 & Austrade: Naomi Frauenfelder, General Manager, Australasian Railway Association and Peter Ironmonger, Trade Manager – Infrastructure, Austrade Keeping the Rail Industry on Track to 2040: The Rail Manufacturing CRC Barrie Finnin, Theme Leader, Manufacturing Technologies for Transport and Mining Agenda – NSW Briefing Sessions Official Welcome: Paul Hogan - Director, Business Advisory and Industry Development Introduction and Overview: Tony Carney - National Sector Manager – Rail Developing a Sustainable & Global Competitive Australian Rail Industry: Bruce Griffiths, Rail Supplier Advocate InnoTrans 2014 & Austrade: Naomi Frauenfelder, General Manager, Australasian Railway Association and Peter Ironmonger, Trade Manager – Infrastructure, Austrade Keeping the Rail Industry on Track to 2040: The Rail Manufacturing CRC Barrie Finnin, Theme Leader, Manufacturing Technologies for Transport and Mining Agenda – NSW Briefing Sessions NSW Future Opportunities for Rail Suppliers and Manufacturers: Gary McGregor, Principle Manager Rail Transport, Transport for NSW Break: Speed Networking Update on the Rail Supply Chain Continuous Improvement Program: Sam McNaughton, Enterprise Connect and Steve Facer, Chess Industries Panel Discussion: The Future of Rail Manufacturing in Australia Wrap-up and Next Steps: Bruce Griffiths OAM, Rail Supplier Advocate Close & Informal Networking Role of the National Sector Manager, Rail • Facilitate a national approach to all ICN rail activities • Identify rail opportunities locally and internationally • Maximise ANZ content for local and International opportunities • Promote ANZ rail capabilities • Rail Industry Development Strategy ICN Australia & New Zealand Rail Team Industry Capability Network (ICN) • National organisation • Team technical business consultants (Rail specialist) • Match opportunity with local capability • ICN Gateway – Rail Directory • Company profile – must be comprehensively populated Australian Rail Sector Statistics • Annual turnover – more than $4 billion • People working in the industry – approx. 110,000 • Rail directory contains – 3,000 plus companies • Over 1,800 locomotives & 32,0000 wagons & carriages • One of largest rail infrastructure networks – 44,262 Km’s of track • Melbourne has worlds largest tram network • Increase in demand for major rail projects Australian Rail Industry Opportunities - NSW North West Rail Link Project 1. Tunnels and Station Civil Works: $1.15b Thiess John Holland Dragados JV 2. Viaduct & Bridges (SkyTrain): $340m Impregilo-Salini 3. Operations, Trains and Systems (OTS): PPP closed December 2013 a) Northwest Rapid Transit: MTR Corporation; John Holland; Leighton Contractors; UGL Rail Services, and Plenary Group; b) TransForm: Serco Australia, Bombardier Transportation Australia; SNC-Lavalin Capital, McConnell Dowell Constructors; John Laing Investments, Macquarie Capital Group. Sydney Light Rail CBD and South East Light Rail Early Works (Design & Construct Shortlist) 1. 2. 3. Laing O’Rourke Australia Construction Leighton Contractors Downer and Parsons Brinckerhoff Australia Australian Rail Industry Opportunities - NSW Sydney Light Rail CBD and South East Light Rail Finance, Design, Construct, Operate and Maintain (PPP Shortlist) 1. SydneyConnect: Serco; John Holland; and Plenary Group 2. iLinQ Sydney: Keolis Downer; Balfour Beatty; McConnell Dowell, Bombardier and Macquarie Capital 3. Connecting Sydney: Transdev Sydney; Alstom Transport Australia; Acciona Infrastructure Australia; and Capella Capital 65 New Intercity Trains (circa $2.8 b) Industry briefing around end-May 2014 on potential opportunities associated with potential 520 brand new carriages for Central Coast, Newcastle, the Blue Mountains, and the Illawarra. Australian Rail Industry Opportunities - QLD Morton Bay Rail Link 1. $650m TrackStar: Thiess, Aurecon, AECOM, HASSELL, and Golder Associates New Generation Rolling Stock (circa $4.4b) 1. 75 New six-car trains: Bombardier Transportation India - Bombardier Transportation Australia JV 2. Wulkuraka (Ipswich) Maintenance Centre: Bombardier Transportation Australia - Laing O'Rourke JV Bus and Train Project (circa $5b) Proposed 5km NS Rail and Bus Tunnel, world-first, single, double-decked, 15mwide tunnel beneath the Brisbane River and Brisbane CBD. Australian Rail Industry Opportunities - VIC May 2014 VIC Budget Announcements 1. 2. 3. 4. 5. Melbourne Rail Link (circa $8.5b) New Tunnel South Yarra-Southern Cross, new stations South Yarra, Domain & Montague, incorporates the Melbourne Airport Rail Link. Pakenham Cranbourne Rail Corridor Project (circa $2.5b) Refer to next slide Removal of Level Crossings ($685m) Removal of Level Crossings in Blackburn, Glen Iris & Ormond Murray Basin Rail Project ($220m) Mildura-Geelong Standardisation: Stage 1 Hopetoun-Mildura $41m Melbourne Underground Rail Loop Upgrade ($44m) Upgrade of Fire & Emergency equipment Australian Rail Industry Opportunities - VIC Pakenham Cranbourne Rail Corridor Project (circa $2.5b) 1. Unsolicited Proposal: exclusive negotiation phase between VIC DTPLI & Rail Transformation Consortium (PPP) on potential project incorporating : – High Capacity Metro Trains (30% Local Content Target) – High Capacity Signalling – Level Crossing Removals [Murrumbeena, Carnegie & Clayton (x2)] – East Pakenham Train Maintenance Facility 2. Rail Transformation Consortium exclusive, invitation only, Request For Proposal closes mid-June 2014 3. Decision to proceed from DTPLI mid-September 2014 Australian Rail Industry Opportunities - WA May 2014 WA Budget Announcements 1. Forrestfield-Airport Link (circa $2.0b) New suburban stations at Forrestfield, the Airport Consolidated Terminal and Airport West (Domestic Airport precinct) starting 2016. 2. Metro Area Express MAX Light Rail Project (circa $1.9b) Proposed Greenfields 22km of Light Rail from Mirrabooka to the Perth CBD before splitting into two branches to the QEII Medical Centre and the other to the Causeway commences in mid 2017. 3. B-Series Train Sets (circa $55m) Five Additional three-car B-series EMU train sets for TransPerth. ICN State Rail Team Contacts For further project information: Steve Van der lit - Victoria m: +61 447 888 005 e: svanderlit@icnvic.org.au Thuy Ho – New South Wales m: +61 412 526 605 e: tho@icnnsw.org.au Gerhard Klooster – Queensland m: +61 447 200 499 e: g.klooster@icnqld.org.au ICN National Sector Manager, Rail For further information: Tony Carney – National Sector Manager Rail m: +61 418 353 718 e: tony.carney@icn.org.au Visit the ICN Australian Rail Directory: www.rail.icn.org.au Developing a Sustainable and Globally Competitive Australian Rail Industry Bruce Griffiths OAM, Rail Supplier Advocate Rail Industry Briefing Sydney 26 May 2014 Australian rail manufacturing Annual turnover of more than $4 billion Approximately 330 firms employing over 15,000 people, with over 150 years of both rail design and manufacturing capability National rolling stock fleet projected to grow from 4,000 cars to 11,000 cars (average growth rate of 3.2% per annum nationwide) and cost $30 billion over the next 30 years Largest tram network in the world (Melbourne, Victoria) World’s 6th largest rail infrastructure network, spanning the continent with 44,262 kilometres of track Industry Development Strategy Supplier Continuous Improvement Program (SCIP) – to be covered later Forecasting domestic demand for passenger rolling stock Rail Industry Technology Roadmap Harmonisation of rolling stock specifications Rail industry statistics project Promoting capability and business matching Increasing international business opportunities Future Rolling Stock Needs Benefits of Better Coordinated Rail Procurement ARA and Department of Industry comissioned Deloitte Access Economics to identify benefits of a more coordinated and harmonised approach to rail procurement. ‘Opportunities for Greater Passenger Rolling Stock Procurement Efficiency’ report launched by Minister Truss, Deputy Prime Minister and Minister for Infrastructure and Regional Development at AusRAIL 2013. Findings of the report: Over the next 30 years, state governments could spend $30 billion on procuring rolling stock. More efficient planning around purchases can save governments nearly $6 billion on their upcoming rail projects. Could retain nearly $15.5 billion in economic activity in Australia over the next 30 years. Benefits of Better Coordinated Rail Procurement The industry benefits: Increased foresight and ability to plan for upcoming orders. More functional and well-coordinated supply chain. Increased innovation for the industry. Future growth and sustainability of the Australian rail industry. Support Australian jobs and regional development. Higher productivity. ARA are now pursuing these issues with the states. On Track to 2040 – Tech Roadmap 210 participants from over 110 different organisations. Started June 2011. Launched in June 2012. 3 Technological Priority Areas– Materials and Manufacturing, Monitoring and Management, and Power and Propulsion. 18 Priority Opportunities: Advanced design Low cost manufacturing systems High performance materials for heavy haul Advanced manufacturing Advanced, lightweight materials Simulation for materials and manufacturing Automated health monitoring for infrastructure Automated control and operations Low cost manufacturing systems Safety threat detection, intervention Advanced data analysis and information systems Advanced operation management systems Energy regeneration Advanced braking systems Energy use management tools Electric motors and systems Emissions reduction technologies Gaseous fuels What’s Next? - Rail Manufacturing CRC Rail Manufacturing CRC to pursue the Roadmap’s identified priority areas and implement recommendations. Minister Macfarlane announced $31 million in funding funding for this CRC on 21 February 2014 to increase Australia’s rail industry capability and global competitive position. $ to $ funding leverage. 6 Year Term. Strong support from industry, government, and R&D providers. Details will be covered by CSIRO. Increasing International Business Opportunities Trade mission – InnoTrans 2014, Berlin Australian delegation to largest global rail trade show – 23-26 September. Over 30 companies already signed up. Access customers; export business; and leverage networking events to raise company profile. At InnoTrans 2012, 33 rail suppliers reported over $50 million in business opportunities. Cost = $2,500 per company Details will be covered by ARA and Austrade. Australian Rail Industry Stand, InnoTrans 2014, Berlin NEW Entrepreneurs’ Infrastructure Programme $484.2 million over five years Commences on 1 July 2014 Delivered through a Single Business Service initiative - new streamlined model for industry to interact with government Provide market and industry information Offer business management & commercialisation advice and skills Supply access to researchers and innovators to help to re-engineer business operations, products and services Help industry connect with supply chains and potential markets Increasing Global Competitiveness Technology Roadmap – identified future opportunity areas for Australia’s manufacturing future – important lessons learned! Rail Manufacturing CRC – global collaboration platform with funding available to invest in areas of Australia’s competitive manufacturing strengths – important opportunity to be involved. Trade missions – InnoTrans 2014 – increase exposure to international customers and understand opportunities that might exist in the global market. Better coordinated rail procurement – harmonised and coordinated procurement to increase integration with global supply chains. Entrepreneurs’ Infrastructure Programme –help boost international competitiveness and improve connections with supply chains and markets Email: RailAdvocate@industry.gov.au DEPARTMENT OF INDUSTRY Industry House 10 Binara Street Canberra City, ACT 2601, Australia Telephone +61 2 6213 6000 INNOTRANS 2014 Naomi Frauenfelder, General Manager Industry Development ARA 26 May 2014 www.ara.net.au ABN 64 217 302 489 InnoTrans InnoTrans: 23 – 26 September 2014, Berlin Pre-InnoTrans trade mission: Middle East, Alstom, Bombardier and Rail Operators. Structured meetings an opportunity to meet with strategic buyers. 16-19 September 2014 28 companies attending The cost is $2,500 which includes: • access to the Australian Railway Industry Pavilion at InnoTrans • your logo and company information on the Pavilion • participation in relevant networking events • your company’s profile in the mission capability directory • participation in group trade mission activities, such as site visits and round tables with potential customers If you would like register speak to myself or Tony Carney from ICN www.ara.net.au Australian Pavilion www.ara.net.au Supporting the Australian Rail Sector’s International Success Advancing the Australian Rail Industry briefings Sydney, Melbourne, Brisbane May & June 2014 Australia. Economic strength and resilience. Austrade • Federal Government agency • promoting and assisting Australian business to be successful in overseas markets at government to government and commercial levels • facilitating productive foreign direct investment in Australia • promoting Australian education and training internationally • Commercially focused, highly diverse team with local contacts, cultural, business, industry and language understanding in approximately 60 countries worldwide • Able to support all types and sizes of Australian business in a variety of ways Australia Unlimited Austrade’s global network of offices Australia Unlimited Austrade in rail – accessing global opportunities Our global network can support you in opportunities across: Sectors: Passenger (including metro and light rail), heavy haul, infrastructure, education & training; and Services R&D, technology and manufacture Markets/regions Growth and emerging markets (e.g. Middle East, ASEAN, Mongolia, Kazakhstan, India, Latin America, Eastern Europe) - Mature markets (e.g. Western Europe, Japan) - Third country cooperation – e.g. With companies from Japan, Korea, Europe, Turkey, etc in Asia, Middle East, South America And use our networks and ‘badge of government’ to facilitate introductions to key influencers and decision makers, including for third market opportunities. Australia Unlimited Global Opportunities Some examples: • Abu Dhabi, Dubai & Doha Metro – planning, systems, operations and maintenance • Etihad Rail, Saudi Rail – niche technologies and equipment, consulting, operations and maintenance, training and education • Singapore & Hong Kong – mid-life upgrades and maintenance • Thailand – double tracking, training, safety, reliability, maintenance • India – Dedicated Freight Corridor consultancies, training, rail depot environmental management, urban transit • Latin America – pit to port and metro development, operations, regulations and training • Africa – pit to port development and operations, capacity building, training, upgrades and expansion of passenger rail • China – technology and equipment partnerships, need for heavy haul operations expertise • Indonesia – PPPs, coal infrastructure • Vietnam – Metro, etc Australia Unlimited What makes them Opportunities for Australian Rail? Australia’s long experience and “Brand” in: Resources, Heavy Haul • Feasibility and design, simulation modelling • EPCM • Operation and asset management • Training & Education • Environmental sustainability, safety • Innovation, R&D, niche equipment and technologies • Making things work reliably, efficiently in extreme conditions, high temperatures, remote locations, with longest and heaviest trains Metro, light rail • Planning, simulation and modelling • Engineering, operation, asset management, training • Tunnelling, bridges and other infrastructure • Innovative technologies, equipment • solutions to complex problems Intermodal facilities, transport interchanges And several successful cases – so we should have some confidence!! Australia Unlimited Branding, perceptions and promotion • Leveraging the Australian “brand” to influence and position Australia’s rail capability favourably overseas • Joint promotions, national pavilions, missions • MOUs – e.g. ARA/RISSB and Indonesia on safety • ‘Australia Unlimited’ national brand, “Badge of govt” • Roundtables, briefings, industry showcases, technical seminars • Capability marketing documents – e.g. Heavy Haul – now available in softcopy online and to be translated into foreign languages in future http://www.austrade.gov.au/ArticleDocuments/2814/Heavy-Haul-Intermodal-and-Freight-Rail2013-10.pdf.aspx • Rail industry market and opportunity profiles – India, GCC, Brazil, Thailand Australia Unlimited Australia Unlimited Investigating and pursuing opportunities – some options • International trade shows • Individual business trips with tailored business matching • Sharing information and engaging with existing local partners re international opportunities • Initial business with international player in domestic market then partner offshore • Clustering / partnering with non-competing companies • Engaging consultants / Austrade for market research and partner identification • Opportunities and relationships delivered by Austrade, State Governments and industry partners Australia Unlimited Investigating and pursuing opportunities – pitfalls • High costs of international travel and trade show participation • Reactive vs proactive • Transactional rather than relationship based, lack of management commitment • Lack of research, due diligence, cross checking – not being able to get accurate, reliable information • Lack of understanding of foreign business environment, protocols, culture • Little or no assessment of risks, drain on resources • Not focusing on own areas of true global competitiveness, not selling effectively Australia Unlimited What Austrade can offer you: • • • • • • • in-depth briefings on markets and target companies opportunity identification and qualification assistance video/teleconferencing for relationship building with o/s customers Chance for involvement in inwards and outwards missions linkages to global supply chains and third country partners and customers interpret business culture and local commercial practice, language support Business meeting program arrangement and accompaniment using our relationships and badge of government • • • Being your “eyes and ears” and provide practical on the ground support Export Market Development Grants (EMDG) assistance to qualified exporters. Introduction to others who can assist you – e.g. the Federal Govt. agency - Export Finance and Insurance Corporation (EFIC) who support Australian exporters with buyer finance and advance payment, performance and warranty bonds – www.efic.gov.au Australia Unlimited Export Market Development Grants Scheme What is EMDG? •A key Australian Government financial assistance program for aspiring and current exporters. •Designed to encourage small and medium sized Australian businesses to develop export markets. •For applicants that have incurred $15,000 eligible export promotion expenses, EMDG reimburses 50% of those expenses above a $5,000 threshold •Provides up to eight grants to each eligible applicant Who can apply? Australian-based businesses, individuals, partnerships, companies, statutory corporations, co-ops and trusts that have: • carried on an export business in Australia during the grant year • annual income not more than $50m • exported or promoted for export eligible goods, most services, intellectual property or know how; or promoted events held in Australia • spent at least $15,000 on eligible export promotion activities over the last financial year (or the last two financial years for first grant) • no disqualifying convictions • can satisfy the Grants Entry Requirements (First-time applicants only) How to apply for EMDG? Step One • Learn about EMDG • Email us your questions at emdg.help@austrade.gov.au • Visit www.austrade.gov.au/exportgrants • Call Austrade on 13 28 78 and ask for your local EMDG office Step Two - Check your eligibility to apply for EMDG and join mailing list: www.austrade.gov.au/exportgrants/howtoapply Step Three - Complete an application form and supporting schedules - available shortly www.austrade.gov.au/exportgrants How you can help us to help you • Let us know your capabilities, interests and experience • Help us to understand your competitive strengths and reference projects • Ask about utilising our VC facilities and support for meetings with overseas contacts • Let us know when you are visiting overseas markets and meet with our offshore colleagues • Feel free to seek our views re offshore queries and companies • Keep us in the loop – not only when you encounter difficulties!! Australia Unlimited Next steps and events • Let us know if you’re interested in international business • Join events organised / supported by Austrade, State Government, ARA and others. • Here are some examples of events to consider: – Heavy Haul Conference and Exhibition, (Newcastle) 27-28 Aug 2014 – ADB, World Bank and Australian Aid program briefings (Brisbane, Sydney and Melbourne), October 2014 (details and timing TBC) – Pre-Innotrans Middle East Stopover program, Dubai & Abu Dhabi, 15-17 Sept 2014 (TBC) – Innotrans, (Berlin) , 23 – 26 Sept 2014 – AusRail, (Perth), 11-12 Nov 2014 – Middle East Rail , (Dubai) 17-18 March 2015 – International Heavy Haul Association Conference, (Perth) 21-24 June 2015 Australia Unlimited Let’s talk further For more information, please email or call: Peter Ironmonger, Trade Manager - Infrastructure Contact: 02 9392 2784 Mobile: 0434 650 404 Email: peter.ironmonger@austrade.gov.au Australia. A Wealth of Opportunities . Rail Manufacturing CRC Rail Manufacturing CRC Making Connections Australia. A Wealth of Opportunities . 2013| 51 13 Nov Road Map Priority Areas and Projects NEW RAIL MANUFACTURING CRC BID Powertrain and Propulsion •Energy regeneration •Advanced braking systems •Energy use management tools •Electric motors and systems •Emissions reduction technologies •Gaseous fuels DELIVERING ENERGY and COST EFFICENCY AND COMPETITIVE PERFORMANCE Materials and Manufacturing •Advanced Design •Low Cost manufacturing systems •High performance materials for heavy haul •Advanced Manufacturing •Advanced materials for light weighting •Simulation capability for design, manufacturing and materials DELIVERING COMPETITIVE COST, DURABILTY AND PERFORMANCE CURRENT RAIL CRC Monitoring and Management •Automated health monitoring for Infrastructure •Automated control and operations •Advanced asset management systems •Safety threat detection, intervention •Advanced data analysis and information systems •Advanced operations management systems DELIVERING SAFETY AND EFFICIENCY Australia. A Wealth of Opportunities . Manufacturing Technologies for Transport and Mining | Barrie Our Participants Founding Rail Manufacturing CRC New Making Connections Australia. A Wealth of Opportunities 13 Nov.2013| 53 Progress Secure Grant (December 2013) – actually February Appoint Interim Team to set up the Company Confirm Financial Model (March 2014 on advice on funding) Negotiate Core Agreements and establish structure (March to June 2014) Select Board (June 2014) Signoff Initial Projects (June 2014) Incorporate Company(June 2014) Execute Core Agreements (June 2014) Rail Manufacturing CRC Making Connections Australia. A Wealth of Opportunities 13 Nov.2013| 54 Rail Manufacturing CRC Exec Committee Interim leadership Interim Chair Interim CEO Bruce Griffiths Rail Supplier Advocate Mark Trigg CSIRO Interim Research Manager Barrie Finnin CSIRO Industry David Wynd David Ellul Amanda Bywater Andy Spink Managing Director Managing Director Mgr Mktg Whyalla Steelworks Faiveley Transport Marand OneSteel Director Sales & Marketing Bombardier Research & education Colin Cole CQ University Rail Manufacturing CRC Making Connections David Lyster Monash University Australia. A Wealth of Opportunities 13 Nov.2013| 55 Governance and Structure High level organisation chart Board Committees: • Strategic Oversight • Utilisation and Commercialisation • Research, Education and Training • Finance, Risk and Audit • Remuneration and Appointments Skills- Based Board Appointed by Essential Participants Independent Chair Independent Industry Participants (2) Research Participant CEO CEO Research Manager Rail Manufacturing CRC Ltd Deputy CEO/ Business Development Manager Finance Manager Communications/ Education Manager Program Leader RP1 Power and Propulsion Program Leader RP2 Materials and Manufacturing Program Leader RP3 Design, Simulation and Software Rail Manufacturing CRC Making Connections Australia. A Wealth of Opportunities 13 Nov.2013| 56 CRC Gaining Momentum Draft Timeline Elapsed Time (Weeks) Tasks Due Date Action By Progress Identify Initial Projects and Project Leaders/Champions 4 21/03/2014 Participants Completed Select Program Leaders 4 21/03/2014 RMCRC Completed Send out Draft of Participants Agreement Ver 1 4 21/03/2014 RMCRC Waiting on law firm Send out Draft of Constitution Ver 1 4 21/03/2014 RMCRC Waiting on law firm Deadline for comments Participants Ver 1 7 11/04/2014 Participants Deadline for comments Constitution Ver 1 7 11/04/2014 Participants Deadline for Confirmation of Contributions 7 11/04/2014 Participants Send out Draft of Participants Agreement Ver 2 8 18/04/2014 RMCRC Send out Draft of Constitution Ver 2 8 18/04/2014 RMCRC Send out Draft of Project Agreement Ver 1 8 18/04/2014 RMCRC Deadline for comments Draft Project Rail Manufacturing CRC Agreement Ver 1 Making Connections 14 30/05/2014 Participants Australia. A Wealth of Opportunities 13 Nov.2013| 57 Thank you Rail Manufacturing CRC Questions? Rail Manufacturing CRC Making Connections Australia. A Wealth of Opportunities . 2013| 59 13 Nov Supplier Continuous Improvement Program Rail Industry Updates Sam McNaughton May/June Business Review • A holistic review of a business • Uses analytical and benchmarking tools • Business Adviser will work with a firm to: – – – – – Understand its strategy and business operations Identify strengths and opportunities Identify problems and the root cause Assess potential for innovation, improvement and growth Assist firms to access world-class business tools, processes and technology – Agree specific action plans • Business Adviser maintains an ongoing relationship with the firm Supplier Continuous Improvement Program • Customers/Primes require their suppliers to: – – – – Measure and meet Quality, Cost and Delivery Standards Implement mature sustainable business processes Adopt efficient, LEAN manufacturing processes Demonstrate a commitment to and culture of continuous improvement • The SCIP encapsulates these into a three year internationally recognised framework for continuous improvement; with each year – Comparing Quality and Delivery KPIs with Key Customers – Undertaking Business and Manufacturing (LEAN) diagnostics and identifying areas for improvement – Evaluating progress against previous years AFIs – Undertake supplier/customer relationship development SME SCIP Participants Completed cycle 1 Completed cycle 2 Entrepreneurs’ Infrastructure Programme From 1 July 2014, the new Entrepreneurs’ Infrastructure Programme will provide: • Market and industry information and advice; • Business management skills for small and medium enterprises including global supply chain engagement services; • Support for businesses to collaborate with the research sector to reengineer business operations and develop new ideas with commercial potential; • Commercialisation advice and brokering services for businesses to gain access to private sector capital; and • Support for businesses to help them access specialist expertise, such as expertise on intellectual property protection, as well the commercialisation of their new ideas. Contact Details Sam McNaughton Sam.McNaughton@industry.gov.au Ph: 0420 960 934 Broad range, mechanical engineering May14 Outline Chess introduction Why SCIP Process so far Results Observations 18/06/2014 RailSolutionsAsia • > 8,000 m2 • <100 staff • Commenced 1967 18/06/2014 RailSolutionsAsia 18/06/2014 RailSolutionsAsia Key areas • Rail rolling stock • Rail track machines • Food industry • Infrastructure • Flameproofing Flame Proofing Why SCIP? • Quest for improvement & • Fear We need the ability to continually progress & compete 18/06/2014 Process to date SCIP survey ONE & TWO completed Gaps formally noted and corrected each time New accreditation provider with ISO re-accredited (JASANZ) (Chess) Re-calculated predicted score as of 22/5/14 Safety added to HSEQ accreditation (end June, ‘14) And very importantly………………………………………………………. 18/06/2014 SCIP has morphed: SCIP = LEAN = CHIP ChessImprovementProgramme 18/06/2014 System management LEAN + Quality + Safety = (simplification) …...….......One continuous system……………. 18/06/2014 Results……….. Overdue deliveries; March ’13 >200 18/06/2014 22/5/14 7 Measuring growth in business excellence Enablers Results Leadership People Processes, Products & Services People Results Key Results Strategy Customer Results Partnerships & Resources Society Results Learning, Creativity & Innovation Classification Band Benchmark >500 Contender 376-500 Performer 251-375 Developer 126-250 Learner 0-125 Actual Cycle 1 Actual Cycle 2 Target Cycle 3 490 367 245 % Change between cycles *Source of Data (BusEx) Report 2014 by external reviewer The Australian Industry Group 50% ® Measuring growth in manufacturing excellence People Materials Processes 5 ‘s’ Housekeeping Job Standardisation Kanban enablers: results: approach trends deployment Set-up Reduction comparisons assessment & review Visual Controls targets improvement causes 7 Wastes and SPC / Quality Tools Classification scope Band Benchmark >500 Contender 376-500 Performer 251-375 Developer 126-250 Learner 0-125 Actual Cycle 1 Actual Cycle 2 Target Cycle 3 493 373 108 % Change between cycles *Source of Data (ManEx) Report 2014 by external reviewer The Australian Industry Group 245% 5. CHIP Issues Closed Out 1st Quarter 2014 Level 1 Level 2 Level 3 6. CHIP Issue categories all levels QTR 1 2014 By Team By Issue Area Observations SCIP leads to progress Choose a good training methodology / consultant / provider Understand costs / engagement level Create your own ways for idea capture Managers are the hardest to engage CEO must never back down 18/06/2014 Thanks 18/06/2014 RailSolutionsAsia The Future of Rail Manufacturing in Australia Chaired by Tony Carney, National Sector Manager – Rail, ICNL Featuring: ARA Austrade Rail Supplier Advocate Panel topics How do you view the current state of the Australian rail industry? How do you think we can work together to ensure a sustainable and competitive future for the Australian rail industry? What else do you think we can do to improve the competitiveness of the rail industry? Do you think a clustering approach would be useful? The Forward Plan for the Australian Rail Industry: Wrap-up and Next Steps Bruce Griffiths OAM, Rail Supplier Advocate Rail Industry Briefing Sydney 26 May 2014 The Forward Plan The key stakeholders of the rail industry are now collaborating Need to work together to take advantage of upcoming opportunities – domestic and international Working with state purchasing authorities to take initiatives forward Existing support mechanisms to pursue opportunities: Rail Manufacturing CRC Austrade – EMDG ARA and InnoTrans New measure – Entrepreneurs’ Infrastructure Programme Importance of industry-driven activities going forward