Strengthening Australia’s Healthcare Supply Chain: Lessons Learned

Everyone talks about the stories of success during the pandemic, with companies seizing opportunities and thriving despite the chaos. But not many can actually point to concrete examples here down under. We know one, and it’s truly inspiring.

Everyone talks about the stories of success during the pandemic, with companies seizing opportunities and thriving despite the chaos. But not many can actually point to concrete examples here in Australia. We know one, and it’s truly inspiring.

Amidst the global supply chain disruptions that left many scrambling, SpaceLogic, Australia’s premier supplier of healthcare storage solutions, not only survived but thrived. Their story shows how innovation and resilience can turn challenges into opportunities.

The State of Manufacturing in Australia

Historically, Australia was a manufacturing powerhouse, but in recent decades, much of our production moved offshore. This shift has left us vulnerable, as the pandemic made painfully clear. Our ranking on the Economic Complexity Index (ECI) reflects this reality, sitting at a lowly 59th place. Contrast this with countries like Japan and Germany, which maintain strong manufacturing sectors despite high labour costs.

As Dr Jens Goennemann of the Advanced Manufacturing Growth Centre aptly put it, “The lucky country needs to become the smart country.”

Lloyd Scott, Managing Director at SpaceLogic, echoes this sentiment. He believes the future of Australian manufacturing lies in innovation and technology. “Australia will have a bright future on the world stage if we use innovation and technologies to create customised solutions that replace mass-produced products,” he says.

The lucky country needs to become the smart country.

Jens Goennemann
Advanced Manufacturing Growth Centre

SpaceLogic: Leading by Example

SpaceLogic decided to take control of their manufacturing processes in response to the supply chain disruptions caused by the pandemic. They invested in a new manufacturing hub at their Orange, NSW, head office. This move was not just about mitigating supply chain issues but about creating high-quality, bespoke products quickly and efficiently.

A notable example is their work with Royal North Shore Hospital. The hospital presented SpaceLogic with a challenge: install a whole rehaul of their clinical storage system in just ten days. Thanks to the modular and versatile design of SpaceLogic’s products they met this challenge with ease, helping North Shore to have an innovative, reconfigurable solution that maximises the available space, improves infection control and increases patient care time.

SpaceLogic is an example of how innovative Australian solutions can meet urgent healthcare needs efficiently, and they proved they can deliver under pressure.

Investing in Technology and People

SpaceLogic’s success isn’t just about taking a risk and having the right equipment; it’s about having the right team. They have invested heavily in technology, but they also recognise that technology alone isn’t enough. “It’s the people who make the difference,” says Lloyd. By empowering their staff with the skills and knowledge they need, SpaceLogic ensures they can fully leverage the latest technologies.

We’ve had the privilege of working closely with Lloyd and the SpaceLogic team, helping them simplify and centralise their operations. Every project they launch, every milestone they achieve, is a source of pride for us because we know the effort that goes into making it happen.

We’ve worked with their sales teams, marketing, production, and finances, gaining a deep appreciation of their business for the people behind it. SpaceLogic’s approach is a blueprint for other businesses in the healthcare supply chain. By integrating their operations with a robust system, they can respond quickly to disruptions, foster innovation, and provide exceptional customer service in an extremely difficult industry that is healthcare.

It’s the people who make the difference.

Lloyd Scott
SpaceLogic Director

The Role of Onshoring in Australia’s Future

If you have a company like SpaceLogic that serves the healthcare industry, take a page from their book. Invest in your people, embrace technology, and focus on creating high-value, customised solutions.

SpaceLogic’s success highlights the power of collaboration, innovation, and quick adaptation to changing market demands. By bringing production back home, companies can gain control over supply chains, reduce dependencies on overseas suppliers, and create high-quality, customised products, strengthening our manufacturing sector and contributing to a more resilient economy.

Lloyd’s vision for Australian manufacturing emphasises innovation and technology, focusing on customisation and high-value products to compete globally. Today, technology offers great opportunities for bold people willing to invest in manufacturing. With the rise of robotics, AI, and 3D printers, it’s time for medical suppliers to seize the opportunity.

At Klugo, we’re proud to have played a part in SpaceLogic’s journey. Their success is our medal. For us, it’s more than just technology; it’s about empowering people to connect and work smarter.

In the healthcare supply industry, this means driving Australia’s growth and ensuring sustainability.

Interested? We’re looking to partner with businesses keen on generating wealth and value. Drop us a line. Let’s explore how we can simplify your work.

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