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Businessman Today
Channel Publishing Group Vol 19 Jan/Feb 2006 by Kim Triegaardt |
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Dean Worner, general manager, (left) and Hans Schuitman, managing director, of Shape Technology
If you thought sheet metal was flat, boring and well, just plain unsexy, you haven’t met the guys from Shape Technology. They have a passion for what they do. For them, sheet metal technology is not just a mass-production process stamping out components, but a challenge to create the most effi cient, functional design from concept to fi nish that will leave their customers, not only smiling, but more importantly, coming back for more. “We don’t want to be involved in boring things,” says Hans Schuitman, the entrepreneurial spirit behind Shape Technology and its sister companies that make up the Schuitman Group. “Once life isn’t challenging then it just becomes dull and what you are doing becomes just a job.” It’s a philosophy that has seen Shape Technology grow from just a handful of people to one of the region’s leading sheet manufacturing companies with a staff of 100, and a factory that runs 24/7, producing over 2000 products or parts annually. “We trade under the radar,” says general manager, Dean Worner, “because we believe what we do is not just commercially driven.” Shape Technology is into adding value, and for Worner the end result of that value is not just fi scal. “By adding value to a product you can create employment, wealth, benefi ts to the community and everything else that comes with that – that’s what commerce is really all about.” The Christchurch-based company has been quietly going about its business since 1990, producing a huge range of electronic enclosures, component-style products and anything else that can be mass-produced with sheet metal. It also has a special interest in security door design and manufactures the security doors for most of the prisons around the country. The team at Shape Technology has earned itself a reputation for innovation and prides itself on being a one-stop, high-tech engineering facility for its customers. “Some of these earthy ideas can be pretty crude at the point of conception,” says Schuitman, “but it’s very exciting to take that to a viable project that the whole of the community now has benefi t from.” Spoken like a true manufacturer, which, in essence, is what the Dutchborn businessman is all about. “My core is very much manufacturing. I love the process of manufacturing where you start from nothing and, acting innovatively and creatively, you give birth to something that a whole bunch of people can benefi t from, and that creates employment and wealth.”

The senior staff members at Shape Technology Ltd
Although Schuitman is not involved much in the day-to-day running of the business any longer – he leaves that to the very capable management team headed by Worner – his passion for the business is shared by all who work there. It’s that genuine passion to solve a client’s problem with the most effi cient solution that saw Shape Technology earn one of its bigger projects, and one in which they take great pleasure in admitting to having enticed from the Auckland region. The work was for the Auckland-based company, Cash Handling Systems, and the project was their new, Ezipark Global Pay and Display parking meters. Shape Technology now produces 120 machines a week, each comprising 650 parts, and has seen them become one of the most widely used parking meters in Australasia. Four years on and Cash Handling Systems’ technical director, Mark Oliver, says the good relationship will soon extend to a new product set to launch on to the United States and Canadian markets. “They [Shape Technology Ltd] started out just metal bending but have grown to accommodate our requirements. They’ve always been quick to respond in an innovative way and their approach to manufacturing has always been to add value.” But while big schemes may be attractive, the company’s philosophy of commitment to value and the building of loyal relationships have caused it to turn down million-dollar projects. “We had a project offered to us some years ago, which was worth $16 million, but decided to walk away from it because we wanted to preserve the well-being of our existing client base. Whilst this project was very good for us, potentially we could also see that it could do an enormous amount of damage to our sanity and to the hand that was feeding us,” says Worner. Even though the client upped his price, the management team made a decision to trade on loyalty and the pay-off has been huge with the company seeing 50 per cent compound growth annually since its inception. Fast growth comes with its own set of challenges, however. “We do feel that pain every time we have our annual growth spurt,” admits Schuitman, “and we know that there are issues to contend with and that we have to come out the other end with all the wheels intact. It’s all part of the exciting process.” The irony for both Schuitman and Worner is that these growth spurts always seem to happen in times of general economic downturn. Once again, it’s their creativity that reaps the rewards. “We are fi rm believers that we need to re-invent ourselves on an ongoing basis – every three years we need to be totally different and amazingly better,” says Worner. “We are a very balanced company and while the base stays the same, our capabilities have increased. We are always looking at new technology and at new, innovative ways of doing things in ways we can add value.” For Worner, that means establishing a new-look assembly division at Shape Technology. “We see a lot of future growth in that area, adding value to electronic-style products. So, where a company may have sheet metal enclosures but they have electronics fi tted out in it as well, we will work with contract manufacturers and others alike to take some of that product and assemble it with our componentry and send it out direct to the end user.” Developing these niche markets means the company is not intimidated in the slightest by the looming threat of manufacturing giants in China, and India. “Our competitors are no longer down the road, they are now offshore, but we still intend to meet them head on,” says Worner. “We actually accept that some of the projects we design will end up being manufactured in China, but we take pride in being there at the conception phase, which is really the most exciting.”
Schuitman agrees: “In New Zealand, we just don’t have the capacity for the volumes needed so we can’t compete on a one-to-one basis. But we are well equipped to create and to generate and to be part of the actual early part of the cycle and that can be the most lucrative part as well.” With creativity, of course, comes the need for a wellresourced design, engineering and R&D department that can put form to ideas, and Shape Technology Ltd prides itself on the mix of talents within their R&D team at the organisation. “We’ve got a mix of tradespeople that have a long experience of working in the fi eld and we also have recent engineering graduates,” says Worner. “A lot of products or prototyping stages also come from design, research and development companies in Christchurch, nationally, and from overseas sources, so we have a happy mix of outside designers and engineers who we’ve developed healthy partnerships with.” When he thinks about his design and engineering team, it’s probably the only time Schuitman, always the positive thinker, shows some frustration. Shape Technology Ltd’s R&D department could be three times the size, he says, if it wasn’t for some thoughtless government policies. “We still have no tax breaks on research and development in this great country, which is a complete mystery. If the politicians could see what amazing energy lies there untapped, ready to be realised by some good, encouraging policies... There is nothing magic about it, wealth needs to be generated to have a good welfare system. The whole welfare system is funded from the generation of wealth. There is no welfare unless we add value and create true wealth. The fi rst duty of any government should always be to do whatever is needed to make the wealth-generating machine lean, mean and effective, but…” So, while he’s resigned to the fact not much is going to change on that front any time soon, Schuitman keeps busy with his growing business, which has changed considerably from the early days in 1990 when there were just four people on the factory fl oor. He believes, however, that doing business now is easier than it was years ago. “I think we are living in a more honest environment now. There was a lot of distortion in relationships those days, deals done on golf courses and so on. Today, I’ve got to say, this is no longer the issue. We don’t do deals any more on the basis of whose back we pat and whose back we scratch, it’s all on quality performance and the end product. He adds, “We should never be intimidated by the environment. If you are, then you’ve lost already; the opportunities are as big as your vision.” Worner agrees that you have to change with the times but keep your focus on the direction you really want to go achieve and to keep your energies positive, even when you’re thinking of your competitors. “Actually, there is nobody we really view as a competitor or obstacles to projects we want to work on. We actually work with some of our competitors and will often contract out work to them; it brings everyone together.

The CNC (Computer Numerical Control) production shop
The company’s reputation for innovative work means it has a wide range of opportunities coming its way. “People actually see us as potentially the only solution there is to take their dream to reality.” Shape Technology trades heavily on loyalty with suppliers, clients and staff, thereby building up a dedicated team. Schuitman is also working hard on succession planning. “That’s what I’ve got Dean here for. I believe in passing on the torch to young people with energy, passion and motivation. We’ve also built the success of our staff through careful employment. Sure, we have made some mistakes, but on the whole we’ve now got the best staff we’ve ever had.” He had planned on handing on the torch fi ve years after he started the business. “The aim was to build it up, not into the biggest, but the most unique, and then move on to something else.” He’s been having such fun, however, he forgot to leave. At Shape Technology Ltd there is a management team with a combined 250 years of trade and management experience leading a design team familiar with the latest technology, including 3D modelling software and CNC programming. On the production fl oor, the company utilises the latest in laser technology with a CNC laser that dramatically expands its ability to produce quick turnaround prototypes and short runs and high-quality production parts. There is also the ability to use an extensive range of material types and gauges, allowing the processing of an enormous variety of parts without sacrifi cing productivity. And, according to Worner, that’s just a fraction of what they can do. “Our press brake department utilises the latest 3D forming software to minimise set-up times and increase product throughput with a CNC Folding capacity up to three metres long. In our fabrication department, our highly skilled fabricators and sheet metal tradespeople utilise all forms of welding and fabrication techniques, and the department also includes a full dressing service for a high-quality fi nish. “As well as a wide range of other fi nishes, such as chemical etching, anodising, zinc and tin plating, we also run a sophisticated powdercoating plant, incorporating unique, enclosed multiple booths, which allows substantially reduced turnaround times. “But, we are not just sheet metal engineers, we also operate a range of CNC machining and turning machines, and it is this complete service of engineering processes and facilities that provides the ‘one-stop-shop’ solution to our clients.” Under its policy of continued selfimprovement, Worner says the factory is about to undergo a major plant upgrade, but it won’t interfere with the company’s mission. “Doing things right, the fi rst time. To deliver error-free product and service at the right price, the right time and the right place.”
The Ezipark Global Pay and Display parking meter
Dean Worner, general manager, (left) and Hans Schuitman, managing director, of Shape Technology THE PRESS Feb 2006
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