BUSINESS NEWS | COMING EVENTS | PEOPLE NEWS | MERGERS CLEAR VISION, VALUES KEY TO QUALITY RESULTS: ASQ, FORBES RESEARCH MILWAUKEE, WI — Clearly-stated quality vision, values and unequivocal leadership are key components to a successful culture of quality that can help organizations drive results, according to new research from ASQ and Forbes Insights. But only about 60 percent of all respondents say management unequivocally supports their organization’s quality vision and values, of which about 60 percent say are clearly stated. In Europe and Asia, about 50 percent of respondents say their organizations have clear quality visions and values, according to the research. “Culture of Quality: Accelerating Growth and Performance in the Enterprise” explores organizations’ support of quality and the key components of a successful culture of quality. This study offers — from organizations like Samsung, FedEx, and Tata — actionable insight into how a quality-driven culture can accelerate business performance. The research draws on the responses of 1,010 senior leaders and 1,281 quality professionals worldwide from a multitude of industries. The survey was conducted online in April. “In order to be effective, a culture of quality must permeate an entire organization,” said ASQ Chair Stephen Hacker. “This research provides firsthand and real-world examples from industry leaders of how to strengthen and sustain a high-impact quality culture — which can have dramatic and positive effects on an organization’s bottom line.” “Organizations range from those where quality is just a slogan to those where quality is a deep focus for everyone from the CEO on down,” said Bruce Rogers, Chief Insights Officer at Forbes Media. “This study shows which elements are vital for a strong culture of quality.” The survey results also reveal gaps between senior leaders’ and quality professionals’ views on culture of quality. According to the research, 72 percent of senior leaders rate their quality programs as world class — the strongest in the world — or advanced. In comparison, 40 percent of midlevel, quality-focused respondents view their programs as world class or advanced. Sixty percent of qualityfocused respondents instead rank their quality program as average or below average. The disparity is likely due to “filtered, big-picture material that has been ‘prettied up’ for management,” according to Elizabeth Keim, a managing partner at Integrated Quality Resources, and project advisor. “I think the deeper you dive into an organization’s chart, the closer those people are to the detail of what is happening,” according to Dan Afseth, software development leader at Intuit and project advisor. “If you’re close to the challenge, you see the precise changes still needing to be made; whereas from the top, you see great progress.” Other findings include: • 59 percent of respondents say their organization has a comprehensive, group wide culture of quality. • 48 percent say customer needs are the key driver of their quality programs. • 24 percent of respondents strongly agree that they actively involve customers in quality discussions. • 53 percent say their organization plans to increase investment in quality programs in the next 18 months. HUGE MANUFACTURING INCREASE EXPECTED IN SUBSAHARAN AFRICA JOHANNESBURG, South Africa — Global capital project and infrastructure spending is expected to grow to more than $9 trillion annually by 2025, up from $4 trillion in 2012, according to a new report issued by PwC: “Capital project and infrastructure spending: Outlook to 2025.” The report, for which Oxfords Economics provided research support, analyzes infrastructure spending across 49 of the world’s largest economies, which account for 90 percent of global economic output. It covers five industry sectors — extraction, utilities, manufacturing, transport and social — and forecasts their impact on seven major world economic regions: Western Europe, Latin America, Asia-Pacific, Middle East, sub-Saharan Africa, Former Soviet Union and Central and Eastern Europe. It estimates the scale of current infrastructure investment and assesses the prospects for future investment from now to 2025. Overall, close to $78 trillion is expected to be spent globally between now and 2025 on capital projects and infrastructure. Jonathan Cawood, PwC Head of Capital Projects and Infrastructure for Africa, said, “Emerging markets, especially China and other countries in Asia, without the burden of recovering from a financial crisis, will see much faster growth in infrastructure spending. The pace of urbanization is also on the increase, with the biggest shift in urbanized populations, likely in China, India, Ghana, Nigeria and the Philippines. Urbanization drives the demand for water, power, transportation and technology infrastructure.” Overall infrastructure spending in the sub-Saharan region is projected to grow by 10 percent a year over the next decade — exceeding $180 billion by 2025 — while maintaining its two percent share of the global infrastructure market. Nigeria and South Africa dominate the infrastructure market, but Other countries like Ethiopia, Ghana, Kenya, Mozambique and Tanzania also are poised for growth. Growth prospects in most of the region’s economies look promising, as they were not affected as much by the global financial crisis of 2008. In addition, climate-related disasters are driving growth in preventative infrastructure spending and in post-disaster recovery. Climate change also is spurring investments in water resources, renewable energy and clean technologies. NAM: NEW EPA OZONE REGULATIONS COULD BE COSTLIEST IN U.S. HISTORY WASHINGTON D.C. — A new study by NERA Economic Consulting and commissioned by the National Association of Manufacturers (NAM) reveals that a more stringent ozone standard from the Obama Administration could reduce GDP by $270 billion per year and carry a compliance price tag of $2.2 trillion from 2017 to 2040, increasing energy costs and placing millions of jobs at risk. At this price, the NAM estimates that it would be the most expensive regulation the U.S. government has ever issued. In total, the study finds that revising the ozone standard from 75 parts per billion (ppb) to 60 ppb could: • Reduce U.S. GDP by $270 billion per year and $3.4 trillion from 2017 to 2040; • Result in 2.9 million fewer job equivalents per year on average through 2040; • Cost the average U.S. household $1,570 per year in the form of lost consumption; and • Increase natural gas and electricity costs for manufacturers and households across the country. “Manufacturing in the United States is making a comeback, and we’re reducing emissions at the same time, but tightening the current ozone standard to near unachievable levels would serve as a self-inflicted wound to the U.S. economy at the worst possible time,” said NAM President and CEO Jay Timmons. “This rule would undermine our work to expand manufacturing in the United States, making it almost impossible to increase operations, create new jobs or keep pace internationally.” “We are rapidly approaching a point where we are requiring manufacturers to do the impossible,” added NAM Vice President of Energy and Resources Policy Ross Eisenberg. “The EPA is considering setting ozone levels below what exists at national parks, such as Yellowstone and Denali. It is vital that the Obama Administration allow existing ozone standards to be implemented rather than move the goalposts with another set of requirements for manufacturers. Trillions of dollars are at stake.” “This study uses the most up-todate available EPA information and a state-of-the-art model of the economy to assess the compliance costs and economic impacts of a stricter ozone standard, concluding, as the EPA did in 2010, that the costs would be enormous,” said NERA Economic Consulting Senior Vice President and Environment Practice Co-Chair Dr. David Harrison. “The EPA needs to greatly expand the scope of its analyses if it is to thoroughly assess the cost and impacts of a revised ozone standard.” President Obama halted the EPA’s most recent proposal to modify the federal ozone standard in 2011, citing “regulatory burdens and uncertainty.” With so much at stake for the manufacturing sector with new regulatory requirements on greenhouse gas rules and planned ozone rules, the NAM will conduct a broad education campaign in key states during the August congressional recess and throughout the fall to increase understanding of the issue and its impacts on states and municipalities. MANUFACTURING TECHNOLOGY ORDERS RISE IN JUNE MCLEAN, VA — June U.S. manufacturing technology orders totaled $405.73 million according to The Association for Manufacturing Technology (AMT). This total, as reported by companies participating in the USMTO program, was up 12.6 percent from May, but down 2.1 percent when compared with the total of $414.26 million reported for June 2013. With a year-to-date total of $2,349.38 million, 2014 is down 2.7 percent compared with 2013. These numbers and all data in this report are based on the totals of actual data reported by companies participating in the USMTO program. “Order gains in June were driven by two factors – the end of the quarter and continued strength in key customer industries, especially automotive, aerospace, medical and energy,” said Douglas K. Woods, AMT President. “What really warrants attention, however, is a rise in the average value of orders, as this suggests manufacturers are making investments in greater productivity as well as capacity. Our Forecasts suggest continued moderate growth throughout the rest of the year and going into 2015.” U. S. TOOL CUTTING CONSUMPTION UP 7.3 PERCENT IN JUNE MCLEAN, VA — June U.S. cutting tool consumption totaled $181 million, according to the U.S. Cutting Tool Institute and The Association For Manufacturing Technology (AMT). This total, as reported by companies participating in the Cutting Tool Market Report (CTMR) collaboration, was up 7.3 percent from May’s total and up 9.9 percent from June 2013. These numbers and all data in this report are based on the totals actually reported by the companies participating in the CTMR program. The totals here represent about 80 percent of the U. S. market for cutting tools. “June represents the strongest sales numbers in 2014 which projects optimism for the remainder of the year,” said Tom Haag, President of USCTI. “This strong month has continued to gain ground versus 2013 sales for the 5th consecutive month and sets the stage for surpassing last year’s totals.” U. S. MANUFACTURING GROWS AT FASTEST PACE IN THREE YEARS WASHINGTON, DC — Gains in manufacturing boosted the U.S. expansion in August, led by a surge in orders for plastics and metals that powered the world’s largest economy past a global slowdown. The Institute for Supply Management’s index unexpectedly climbed to 59, the highest level since March 2011, from July’s 57.1, beating all forecasts in a Bloomberg survey of economists. The orders gauge was the strongest in a decade, the Tempe, Arizona-based group reported today. American factories are benefiting from a rebound in auto sales and stronger business spending on new Plants and equipment that are helping industries rise above the political tensions weighing on Europe. Faster wage growth is now needed to sustain the advance and broaden household purchases beyond automobiles. “The manufacturing sector is just on fire right now,” said Brian Jones, a senior U. S. economist at Societe Generale in New York, whose ISM forecast at 58.5 was the highest in the Bloomberg survey. “You’ve got increased demand for workers, and the more people working, and the more money they are making, the more money they’ll spend.” Stocks fell, after the Standard & Poor’s 500 Index had its best month since February, as energy producers sank with the price of crude. The S&P 500 dropped 0.1 percent to 2,002.28 at the close in New York. Manufacturing Overseas The news on manufacturing was less positive overseas. U.K. factory growth slowed more than forecast last month and Italian manufacturing shrank as Europe suffered the fallout from weakening demand and mounting geopolitical risks in Ukraine and the Middle East, other reports showed this week. “We’ve been dealing with the fragile European recovery for years now, and we seem to be moving right through it,” Bradley Holcomb, the ISM survey chairman, said in an interview. There’s a chance the U.S. won’t see a “discernible impact,” though if things escalate, that could change, he said. The median forecast in a Bloomberg survey of 78 economists was 57 for the U. S. ISM index. Estimates ranged from 55 to 58.5. Readings greater than 50 indicate growth. 17 of 18 industries surveyed by the purchasing managers’ group grew last month, led by plastics, furniture and metals. To read the full report, visit www.Bloomberg.com/news/2014-09-02/manufacturing- in-u-s-expands-at-fastestpace- in-three-years.html. COORDINATE METROLOGY SYSTEMS CONFERENCE MAKES HISTORY IN CHARLESTON, SC WEATHERFORD, TX — The Coordinate Metrology Systems Conference (CMSC) made history this summer in Charleston, SC. Celebrating its 30th anniversary, the premier event for portable 3D measurement professionals attracted metrologists from around the world, including a record breaking number of new attendees. Hosted by the Coordinate Metrology Society (CMS), the organization prides itself on the open, educational atmosphere found at the CMSC. The weeklong event draws the top brass in the industry, as well as novices in the field, including manufacturers, engineers, scientists, quality control specialists, metrologists, educators, and students. Attendees are encouraged to discuss problems, find solutions, and explore the newest technology advancements from service providers and OEM manufacturers of close-tolerance, industrial coordinate measurement systems, software, and peripherals. Mr. William Gressler’s keynote address officially kicked-off the CMSC and its unrivaled schedule of original, expert technical presentations. Gressler is the Telescope and Site Manager for the LSST (Large Synoptic Survey Telescope) Project. His presentation entitled “Metrology Systems Enable Big Science” covered how telescopes were among the first key metrology systems to help scientists to understand the Universe and provide a glimpse of the future of our planet. Twenty-four metrology professionals covered subject matter such as the application of photogrammetry for antenna measurement, the absolute positioning of robots, automated production measurement of an auto welding line, comparing optical vision systems and much more. For more information on the Coordinate Metrology Society and 2014 conference, visit www.CMSC.org. PEOPLE NEWS ASQ has awarded its Richard A. Freund International Scholarship to SALAH HARIDY, a research associate at Northeastern University in Boston, and doctoral student at Nanyang Technological University in Singapore. Haridy, of Egypt, was awarded the $5,000 scholarship, which is named after a past ASQ president, and supports a quality professional’s graduate studies. Haridy’s research interests include quality control and process improvement in manufacturing and service sectors, with a special interest in statistical process control. Haridy’s doctoral thesis is focused on developing new statistical process control charts that help practitioners make correct and timely decisions while facing critical problems — substantially reducing or avoiding costly damages and losses. “Salah Haridy’s passion for quality is evident in his dedication to research designed to improve quality processes,” said Chuck Aubrey, Freund Scholarship chair and ASQ past chair. “Salah impressed us with his academic achievements, continued education and ability to deploy research findings in real-world applications.” Vision Engineering Inc. is pleased to announce that SIMON COSHAM has joined the company as North American Metrology Manager. Mr. Cosham brings with him over 27 years of experience selling metrology products into all markets. Prior to joining Vision Engineering Inc., Simon held a field position with the noncontact Metrology Division of the L.S. Starrett Co. As Vision Engineering’s North American Metrology Manager, Simon will be responsible for developing new opportunities and supporting existing ones. Mr. Cosham is originally from England, where he attended school and university. He moved with his family to the U.S. in 2005. Simon will be based out of our Corporate Headquarters in New Milford, CT. BUSINESS NEWS MEADOWLARK OPTICS (Meadowlark) has acquired the Commercial Products Group of Boulder Nonlinear Systems (BNS). The Commercial Products Group, including equipment and staff, has been moved to Meadowlark in Frederick, Colorado. Products include the Spatial Light Modulators (SLMs), Optical Shutters, Polarization Rotators, Variable Waveplates and the CUBE optical tweezing systems. “We are very excited about the prospects ahead as we blend the considerable talents and technology of the BNS SLM group with Meadowlark’s existing precision optical components business. The quality and technical innovation of the BNS commercial product is a natural fit for our company,” said Garry Gorsuch, President & CEO of Meadowlark. “We will support and enhance the product line so that you continue to enjoy the same quality and performance that you have come to expect as a dedicated user.” Meadowlark will continue to work with the R&D team at BNS in Lafayette, Colorado to make the improvements requested in future products. RENISHAW has announced that its Chinese headquarters has moved to a new state-of-the-art facility in Shanghai. The new office for Renishaw (Shanghai) Trading Company Ltd is located in the Shibei High Tech Park in the Zhabei District, a rapidly developing area which is well connected with Shanghai’s public transportation network. The new headquarters building covers over 3,200 square metres, of which an initial phase of 1,860 square metres has been developed, with the 2nd phase due be completed in early 2015. A new demonstration facility offers comprehensive technical support to OEM customers, distributors and end-users for the full range of Renishaw’s market leading metrology products, plus Raman spectroscopy systems and additive manufacturing (metal 3D printing) systems. AMETEK INC. has announced that it has completed two acquisitions: • AMPTEK Inc., a privately held provider of x-ray detectors used to identify the composition of materials using x-ray fluorescence (XRF) within the metal, environmental monitoring, petrochemical, semiconductor and research markets. • Luphos GmbH, a highly strategic technology acquisition which provides key non-contact metrology technology used in the measurement of complex aspherical lenses and optical surface. “Both AMPTEK and Luphos are excellent acquisitions and highly strategic additions to our Electronic Instruments Group.” commented Frank S. Hermance, AMETEK Chairman and Chief Executive Officer. INVOLVE TEST & CONTROL INC. (ITC), a Shelby Township, Michiganbased designer and builder of leak test systems, recently introduced a “Tryout Program” for their VICATS-LTS leak test unit that ultimately won them the opportunity to provide leak test systems for battery systems maker A123 both in the U.S. and in China. Said Al Pike, vice president and general manager of ITC: “In a lot of industries, getting a potential customer to take a look at a new piece of leak testing equipment is difficult. Leak testing is really a science, with different leak testing methods, and once a customer gets comfortable with a supplier it is hard to get-your-foot-in-the-door. Our solution to that situation was to develop a leak test tryout program for one of our standard products and let the customer put it right to work in their plant and experience the results first hand…at no initial cost to the customer.” “We had previously designed and built leak test systems for automotive battery trays, assemblies and covers so we targeted A123 as a high potential user for our equipment. They were amenable to having us set up Our system in their Livonia, Michigan plant and it proved itself. The unit is currently being shipped to China for testing in plants there as well.” ZEISS INDUSTRIAL METROLOGY has announced it will feature several new products at IMTS 2014 (International Manufacturing Technology Show) that enhance customer productivity, increase accuracy and reduce energy consumption. The new ZEISS CONTURA coordinate measuring machines with navigator technology for active sensors allow faster scanning of circular features while also increasing accuracy. Navigator will automatically calculate the optimal scanning speed based on tolerances, feature size, probe stiffness and probe weight. The new ZEISS CALYPSO 2014 software contains dozens of new commands that shorten the time it takes to create a measurement program. Some key highlights include touch-enabled functionality allowing faster modification of 3D models and measurements, 100 percent measurement run simulation, and the ability for a user to adapt the interface to their own personal needs. Vision metrology company QUALITY VISION INTERNATIONAL (QVI) will offer a series of daily Metrology Insights sessions at IMTS 2014, September 8-13, in Booth E-5602. Experts from QVI and its divisions will present a series of live talks about key technologies for dimensional measurement and inspection. These sessions are provided to enhance attendees understanding of multisensor metrology, what can be done with video measurement, what sensors are available and what they do best, 3D scanning, volumetric calibration, GD&T, and more. ASSOCIATION NEWS ASQ is offering its redesigned Lean Six Sigma Green Belt and Black Belt course starting in September to teach participants to improve workflow, increase efficiency and maximize profitability. The ASQ Learning Institute redesigned its Lean Six Sigma Green Belt and Black Belt courses to better address the primary objectives in today’s competitive business environment using lean and Six Sigma tools. Lean Six Sigma is a management approach focused on reducing costs and optimizing productivity while maintaining or enhancing quality through process improvement and waste reduction. Upcoming courses — designed to be applicable to all sectors and industries — will be held in Phoenix, Arizona, beginning Sept. 8, 2014, and in Orlando, Florida, beginning Jan. 26, 2015. The newly designed curriculum brings together Green Belt and Black Belt participants for two weeks to learn and build consistency as a team. Black Belt students then continue skill-building for an additional two weeks. Participants will have the opportunity to apply the skills through exercises and individual business improvement projects. A two-week Lean Six Sigma Black Belt transition course helps elevate a practicing or certified Green Belt to the Black Belt level. These peer-reviewed courses were created and are taught by Master Black Belt experts with more than 25 years in industry. The courses include instructor-led classroom training and one-on-one coaching. ASQ experts will be available for continued coaching up to six months after course completion, and participants earn valuable continuing education units (CEUs). At a roundtable discussion convened today by the NATIONAL ASSOCIATION OF MANUFACTURERS (NAM) and featuring Westinghouse Electric Co. And Holtec International Corp., business leaders urged Congress to reauthorize the U.S. Export-Import (Ex-Im) Bank, which is critical to hundreds of Pennsylvania companies and thousands of workers to grow sales overseas in a highly competitive global economy. NAM President and CEO Jay Timmons, Westinghouse President and CEO Danny Roderick and Holtec Senior Vice President and Chief Nuclear Officer Pierre Paul Oneid agreed that companies of all sizes— and their suppliers—will be adversely affected if Congress fails to reauthorize the bank’s charter, which will expire unless Congress acts by September 30. “The Ex-Im Bank is limited in scope but crucial for thousands of companies like Westinghouse in hundreds of congressional districts as well as suppliers like Holtec that otherwise would not be able to compete on a level playing field,” said Timmons. “In today’s global economy, manufacturers in the United States must compete on quality, price, reliability and on-time delivery. These companies should not be left without vital Ex-Im services and lose business because foreign countries provide official export financing to support their companies.” “This is not a partisan issue; this is an American competitiveness issue,” said Roderick. “From the energy industry perspective, the Ex-Im Bank is an absolute necessity in order to compete globally against state-funded and state-subsidized companies. The Ex-Im Bank is essential as Westinghouse pursues global market opportunities, which the Department of Commerce values up to $740 billion and which can create and sustain tens of thousands of high-paying U.S. jobs.” The ASSOCIATION FOR ADVANCING AUTOMATION (A3), the umbrella group for Robotic Industries Association (RIA), Advancing Vision + Imaging (AIA) and Motion Control Association (MCA), announced that Its three associations have reached all-time highs for membership. As of the end of July, RIA now has 334 company members, AIA is also at 334 members and MCA consists of 111 members. “We are gratified that so many companies around the world place their confidence in A3 and its member associations to help them achieve their goals,” said Jeff Burnstein, President of A3. “Across the three associations we are now 779 company memberships strong. It’s a great time to be in the robotics, vision and motion control industries as more companies realize how important it is to automate their operations in order to compete globally.”
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