KNOWN more for his epigrams than for his political career, Winston Churchill once remarked that the empires of the future are the empires of the mind.
Despite the ravages of the current economic climate, innovative Australian manufacturers are building their futures on the convictions of their mindsets.
Two outstanding examples are Perth-headquartered Hofmann Engineering and Tobago, NSW based TW Woods.
The family-owned Woods Group which manufactures materials handling technology, such as transfer chutes and loading gates for many of Australia's biggest mining and energy companies has defied the downturn by undertaking a major expansion of its Hunter Valley facility and launched itself into export markets as far afield as Canada and China.
The company says its success is based on its comprehensively equipped facility which enables it to handle complete projects on-site.
"We don't have to send work out all over the place, so we can meet tight deadlines and maintain high quality control," said Tom Woods, who heads the company with his brother and fellow director, Glenn.
The Woods Group has also become a supplier to the water treatment and materials handling industry based on its expanded capacity to process specialised metals and manufacture complex shapes required for special-purpose tanks, silos and pressure vessels.
It recently completed a multi-million dollar upgrade of its capabilities which includes a 400m3 new plate processing facility including a 300A CAD/CAM profile plasma cutting bed capable of cutting 13m x 3.5m plates up to 60mm thick with plasma, and more than 150mm with oxy.
In addition, an 800m3 paint and blasting facility incorporates a sand blast chamber feeding directly to a state-of-the-art 720m3 industrial paint shop with 12m entry door to handle major projects.
The company designs its own smooth flowing underground and surface transfer chutes that overcome space, spillage and conveyor bulking problems which are common in coal handling facilities.
Woods stressed the need for today's multi-product manufacturers to promote their entire output line to their customer base.
"Even the most valued customers sometimes may not appreciate how much your capabilities have expanded.
"Some who are accustomed to obtaining one product or one service from you can be surprised to find out how much other expertise is available on the one site," Woods told Manufacturers' Monthly.
More expansion plans
A similar management philosophy has driven Hofmann Engineering over the past three decades.
One of Australia's largest privately owned heavy engineering companies employing 400 people, the Perth-based manufacturer of gearing, mills and kilns, wind turbines and slew bearings is defying the downturn by recently opening a branch in Victoria where it plans to expand an initial 20-strong workforce into a manufacturing base with up to 150 employees over the next five years.
The company plans to invest $10m to upgrade and computerise the machinery at its Bendigo plant to enable it to design and manufacture complete mining equipment and green wind energy components for the Australian and export markets.
Initially, grinding mill shells and heads and ultimately large dragline, shovel and bucket wheel excavator components will be completely manufactured at this facility, according to Managing Director, Erich Hofmann.
Recently the company won a large maintenance contract with a European wind turbine manufacturer, one of many international contracts as a result of its ongoing emphasis on overseas benchmarking and business relations.
Its move last year to Lean Manufacturing has seen supervisors from all sections currently working on an employee Six Sigma Skills Matrix which is designed to enable supervisors to see at a glance what skills each employee has and what skills they may still need.
Plans are also under way to implement the 5s workplace organisation system involving a series of activities designed to improve workplace organisation.
Hofmann told Manufacturers' Monthly the company's axiom through many boom and bust cycles has been that "one product range does not a company make, and diversity of both product range and markets ensures continuity of business even during the worst of economic times".
The company also has a steadfast belief in the role of R&D in every facet of the company's undertakings, from products, machinery and manufacturing processes.
Underlying this principle Hofmann's says rarely will companies invest all profits back into the business continually to attain the next pinnacle of manufacturing excellence, "but Hofmann Engineering has done this not once, but throughout its 40 year history".
Currently, the company has set it sights on being in the forefront of tomorrow's renewable energy areas.
These are set to include wind and wave, to position itself for the growing social demands for green alternatives and sustainable living.