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CEO Update: A Message from George Yammouni

14 April

Headland Admin

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April 2022

Colleagues,

I hope everyone had a chance to rest and recharge over the Easter holidays, regardless of faith. It’s a special time of celebration in our family and a great opportunity to reconnect with loved ones. Especially after a hugely busy and somewhat remarkable start to the 2022 with continuing business confidence across both Australian and NZ.

Now onto market indicators …

Australian PMI

The month of March saw an increase of over 2.5 points to 55.7, up from 53.2. Sub industries to benefit are the machinery and equipment, building materials, paper and printing and also Textile Clothing and Footwear.

BusinessNZ Performance of Manufacturing Index 

The month of March in New Zealand also saw an increase of one point up from 52.3 to 53.6. Production levels increased for the month new orders and employment. Craig Ebert, Senior Economist at BNZ is expected this to contract for the coming months as the impact of the Ukraine war comes to fruition.

At Headland

There is a lot of excitement currently at Headland with two new service team members who started last month and 2 more Senior Laser technicians due to arrive next week into Melbourne. We are also adding talent into our spare parts and warehouse team, as well as a hugely talented Engineering graduate as part of our program to attract and develop youth and newcomers to our industry.

Machine sales in the first quarter of 2022 have also been exciting. It has been another record quarter on the back of a record previous financial year. It would appear that Australian Manufacturing is leading some aspects of the economic recovery and it’s absolutely delightful to see the ingenuity and agility of Australian and NZ manufacturing businesses to scale fast in order to take advantage of new opportunities.

Spare Parts … Our deep analysis of the spare parts markets overall has led us to benchmarking ourselves against others. This project is making excellent progress, and some revised strategies for sourcing, stocking and logistics are taking good shape. We have already implemented changes within the WaterJet line of products (parts/consumables) and will be doing similar across other solutions in the coming weeks/months.

Whilst lack of predictability and control in shipping and the global supply chain have persisted to challenge us (as well as many others in the industry) we are very proud of the efforts of our Project Management Office and the determination to find a way to overcome many obstacles. Over the last nine months, the newly formed Project Management Office, has planned for  the installation of more than 72 projects, delivered more than 40 of them already, and established world best practices to scale up (or down) very efficiently. I’m very proud of the team and the persistence shown to reduce the impact of these shipping issues on client business. I am also extremely appreciative of the patience and understanding of so many of you, as our clients, to work with us as we manage through the uncertainties that are outside of our control.

On the OEM front … I’m pleased to report that some very exciting innovations are now in “release” planning mode or have been released, from most of our key OEM partners (TRUMPF, Makino, Omax, Hänel, STOPA + others).  With the opening of international borders we are looking forward to welcoming more Subject Matter Experts (SMEs) to our shores (as we did recently from STOPA). We’re also looking forward to travelling internationally with client delegations to explore and evaluate the best manufacturing innovations the world has to offer. In fact, Richard Kloe has just returned from Germany and a very successful visit to TRUMPF HQ. We are now very much looking forward to accelerating our EuroBLECH plans to host a strong NZ/Australian delegation. Please consider joining us and express interest directly with Samantha Kloe on samanthak@headland.com.au. Certainly look out for an invitation from Samantha and our marketing team, on the same topic to “save the date”.

Stay well. Keeping innovating.

George Yammouni
CEO