Why a Perth company has committed to local manufacturing
A Perth based electrical contracting firm has enjoyed a spectacular increase in sales and productivity, thanks to a simple shift in business strategy.
A deliberate shift to local manufacturing has provided Avid EPG Group with new opportunities in the energy sector and helped increase its workforce.
The company’s strategy means it can provide products to the local market as much as 10 weeks faster than if customers ordered products from Asian markets.
Instead of looking to overseas suppliers, the company has concentrated on assembling more products in Western Australia.
The flow on effect for Avid is that it has kept business in the local economy, as well as created jobs for local workers.
The companies Forrestfield workshop, near Perth Airport, has become a hive of activity. Staff numbers have jumped by around 15 per cent because of the opportunities the business strategy has provided.
Business Development Manager Aaron Teo said the jobs and productivity boost was part of the company’s deliberate shift in thinking globally and acting locally.
“Avid EPG Group is very much part of the global economy and has partnerships with some of the world’s leading electrical manufacturing companies,” Mr Teo said.
“But as a business based in Perth, we also have a responsibility to the local Western Australian economy.
“Where possible, we design, engineer and assemble our own high and low voltage equipment rather than simply buying finished products directly from overseas.
“We are certified to provide one of the world’s safest and reliable modular switchboards system, which is customised to our local Australian standards right here in our Perth workshop.
“It’s meant we have had to expand our operations and take on more staff, including electricians, specialist engineers, project managers and apprentices. It’s an exciting time to be in our industry.”
By keeping manufacturing local Avid’s approach allows for customers to benefit immensely. Not only is the product received faster, but clients also have the ability to be more involved in the design process and save money on local drafting and engineering.
It also ensures Avid’s customers do not have to travel internationally for testing of equipment.
Avid Group serves the mining, oil and gas, defence and government sector clients and in recent years the company has worked on the Woodside Pluto Onshore Project, with mining clients in the Goldfields and Pilbara region and on the Christmas Island high voltage network.
“The majority of our work involves improving our clients’ safety requirements by remote switching and digital communications through internet of things,” Mr Teo said.
The company has also completed critical infrastructure work at Onslow Power Station, Karratha Airport, Curtin University, West Africa Gold Mine and the WA Public Transport Authority’s Communications Centre.
Mr Teo said Avid Group’s commitment to local manufacturing and jobs creation benefitted the company’s client through:
• Faster delivery: industrial and commercial electrical equipment assembled locally can be delivered in around 20 weeks, instead of the 30 weeks it takes for complete equipment to arrive from overseas. • Cost savings: clients save money having local drafting, engineering and aren’t required to travel overseas for factory acceptance testing of their equipment. • Design Control: equipment is custom-designed and made to suit industry-specific needs • Quality: equipment assembled locally must abide by Australian Standards • Support: any issues are dealt with quickly by local staff
“There’s no reason why Australian companies can’t have one eye on the global market and another in our own backyard,” Mr Teo said.
“Australian manufacturing has had its setbacks, but there’s still a lot of life left in it.”