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MALAYSIA
Australia’s Tyres4U Wins State Contract
Tyres4U, Australia's leading independent tyre distributor, was recently awarded a three year contract to supply bus tyres and associated services to the State Transit Authority of New South Wales (STA). The contract was based on a two year trial of bus tyres and services at selected STA bus depots.
The STA use over 5,000 new bus tyres plus 10,000 retreaded bus tyres annually within its fleet of just over 2,000 buses across 12 bus depots.
New bus tyres and bus tyre retreads were supplied and monitored at each depot with the best results and service being considered as the leading factor contributing to the tender award.
Tyres4U was able to demonstrate savings from selecting the optimal bus tyres and retreads on a CPK (cost per kilometre) basis but also provided savings by streamlining the administration and invoicing system for bus tyre procurement whilst providing transparency for all stakeholders.
This is why Tyres4U designed a new web-based software system to record, track and monitor all the bus tyres and retreads supplied to the STA. The system helps reduces the carbon footprint as it is paperless and is available online anywhere, anytime to be viewed by all parties and is
easily controlled by staff with a PDA (personal digital assistant).
Tyres4U supplies new Double Coin RT606 steer tyres for each bus complemented with VIPAL and Recamic bus tyre retread rubber according to the nature of the transport routes. Double Coin RT606 is a purpose built bus tyre with reinforced side walls to protect against curb damage and provides greater safety with enhanced traction and grip.
By using a controlled system of tyre supply, applicable to the nature of the tyre use and monitoring the performance of these tyres, Tyres4U then ascertains the best tyre for each STA bus. Tyres4U provides ongoing services to ensure the STA maximises their return on their tyre investment.:
• Regular tyre inflation inspections optimising tyre performance and reducing STA fuel costs.
• Tyre performance history records for effective tyre management.
• Data registration to track all used bus tyre cases for inventory and quality control. • CPK (cost per kilometre), PSI (inflation pressures) and tyre projections monthly reports.
• Auto-emailing of invoices and statements to lower administration costs.
Tai Qisheng
GIIB Reacts to Market Challenges
cheap and often sub standard tyres remain a challenge in other markets.
GIIB’s stronghold in South East Asia is a booming market for retreading, as we have seen from recent articles in Retreading Business, but throughout the region the industry is under pressure from low quality retreads in almost every market, from a growing interest in the market by the larger tyre manufacturers and from cheap Chinese imports.
From West Africa to the Pacific
Rim there is huge potential for retreading to have a positive impact upon trade and upon local employment and the environment. Whilst quality manufacturers such as GIIB can do all they can to develop trade, perhaps there is also a need for improved standards requirements and enforcement of quality standards across these regions to assist in creating the right environment for quality retreading to grow.
In an increasingly competitive market where retreaders are faced with pressures from all sides GIIB has taken steps to re-align its business model to better take on the challenges presented by cheap Chinese tyres and the lack of casings suitable for retreading. Tai Qisheng, GIIB’s Head of Marketing & Sales, outlined the company’s global commercial direction for 2014 so that its partners will be able to work along with the company on the same journey. “When we expand and grow, so too will they, and vice versa” Said Tai.
“New made-in-China tyres are being sold as cheaply as stock retreads,” he said, “and the lack of good retreadable casings is
also making it difficult for retreaders to operate. To face these increased challenges in the retread market, GIIB’s business direction will take a three- pronged approach: We will redesign our business, repackage our offerings, and look for the right customers with whom to work.
“This year, we turn the spotlight on all our SBPs, Supercool Authorised Dealers and fleet operators across the world to ensure that they supply our entire value-chain of consistent
quality products, assurance of safe retreading processes, tyre management and the right professional advice. “Our retreaders, our main distribution channel, are the reason that our exclusive Supercool Business Partner (SBP) programme was created: to recruit key retreaders who have
the potential to grow and a long- term vision of going into the premium high-end market. For SBPs and dealers, the key pillars for running a sustainable and profitable retreading business are still service, product performance, reliability and, most importantly, safety. The draw to fleet operators remains the fact that GIIB Supercool retreads are highly safe and also present the fleets with the best cost-saving solution for their tyres.
“To help sell GIIB Supercool, all our distribution channels can expect dynamic commercial support from us, and this will include identifying and solving key critical needs, developing programmes and continuous monitoring to ensure the success of our SBPs. We are in the business of offering the right solutions, not just the right products” Concluded Tai Qisheng.
This move by GIIB is a recognition that whilst in Western markets the threat from the cheap Chinese tyre has abated due to increased transport costs and to an extent a recognition, at least in the commercial sector, of quality and performance issues with some of the lower end products, these
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