SMART TECHNOLOGY  IN TYRES – THE BONGO EDITION

Six currencies, with an estimated population of 184 million - the East African community exists around the Great Lakes Region. “The Cradle of Mankind” is what it is called. This region lies in the heart of Africa and is home to both flora and fauna as it may have existed in the primordial times, undisturbed – SMART.

Mobility has changed considerably in this region by the way the tyres here have found their way into this market. In 1998, Truck Tubeless Tyre Conversions began in Kenya and quickly spread out to the neighboring regions. Presently 95% of the tyres found in fleets are tubeless and there is 100% conversion rate on Passenger and 4x4 range of vehicles. It was the SMART thing to do. The millennium saw an influx of Fleet Management softwares, Tyre Management Contracts, with the help of Budini Tyre Management Software. Unprecedented tyre training, growing investments in tyre machinery, tools and accessories investments. Technology and processes peaked and the bubble burst.

On the tyre spectrum 12.00R20, which was the predominant tyre size, was replaced by the low profile 315/80R22.5 (not the 13R22.5) which continues to hog 60% of the truck tyre market. The 8.25R16 was replaced by the 265/70R19.5 and 295/80R22.5 (together with 12R22.5) replaced 11.00R20. On the tyre spectrum and front we were ahead of developed, space (nuclear) age countries like India and the Gulf where tubeless conversions were less and the predominant sizes remained to be 10.00R20 and 12.00R24 respectively.

Tubeless rims became the order of the day and even when Trilex Split rims (80 years technology) are still in use in the Gulf. For a market that churns out approximately 600,000 trucks tyre casings per year, tyre retreading is the environmentally SMART thing to do. The cold procured tread process replaced the hot casing damaging process.  East Africa has not been left  SMARTing in this field either.

What went wrong:

  1.  Intelligent Organisations. Any intelligent system must be data-driven

The primary objective of any successful organisation is to analyse large pools of data accumulated over long periods of time in their areas of operations (This includes transporters, tyre importers and distributors and tyre manufacturers). Increasingly organisational decisions are NOT taken by managers’ intuition and common sense but algorithms and data derived electronically from recording of our interactions and experiences with customers. Selling tyres has ceased to be a contact sport it has degenerated in some quarters into a Nintendo like encounter.

Intelligent organisations normally SCALE (Sense, Comprehend, Act, Learn and Explain) their environment with managers/ owners / directors ceding authority over certain decisions while acquiring new capabilities and roles for themselves. As conjoined twins, SMART (Specific, Measurable, Achievable, Realistic, Timely) and SCALE goals must be matched.

Let me give illustration with a story. In Africa we love to do so. Reader’s discretion is advised!

A (SMART) priest arrived late at the foot of Mt. Kilimanjaro, Africa’s tallest mountain, for a climbing expedition the following day. Exhausted, he searched for a room in the nearest inn. Only one room was available which he was requested by the motel owner to share with a beautiful lady wearing a stunning fishy (SCALEy) dress who had arrived late for the same expedition. To make matters worse, there was only one mattress. The exhausted lady prepared and slept on one side of the mattress, while the honorable  priest laid the sheet and slept on the cold floor two meters away. The following morning at the breakfast table the priest formally introduced himself to the beautiful lady as asked her where she was from. She on the other hand enquired of the priest as to his mission at the Kilimanjaro. “ I have come to climb and conquer this greatest mountain in Mother Africa,” he said proudly trying to impress her. She paused and after a sigh said to  the priest in a low voice, “Tell me exactly how you intend to climb this mountain when you cannot SCALE up a six-inch mattress?!”  Moral of the story: No matter how good your SMART goals are, you must act on SCALE-ing the heights.

  1. Smart Technologies portend a smart working force

Tony Nicolini – Founder of the Budini Tyre Software and Systems, puts it beautifully when he says “Technology is only as smart as the users want it to be.”  The exponential growth of data capturing capability has not been matched by its harnessing and channeling into useful avenues largely because investments are low in the field of tyre education and  tyre infrastructure. Having experience Tyre related trainings in different parts of the world, our region receives but a trickle of the much-needed skill laced training that would sharpen their senses in order to tyre SCALE better.

The three aspects related to Smart Tyre Technology are:

Smart transporters

Zul is a transporter who runs a successful bus company. Operating from the heart of Nairobi, to most parts of Kenya. He keeps meticulous records on all his tyre records. These records were the basis for decision making for a transport company that has had the least number of fatalities in the country. Zul represents about 5% of transporters in this region who have scrupulous, readily available  data that is open to scrutiny not only by his own company but can be used by suppliers.

In 2012 I had a chance to visit Tyre Heaven, a company in Sao Paulo. They invited Nicolini (Budini) and me to visit their premises. With over 700 trucks and trailers, there were there only three persons working in the tyre department. Cradle-to-Grave tyre data is maintained for all tyres. Once or twice a year, like a pilgrimage, representatives major tyre suppliers congregate in the transport premises to tender openly for 8,000 tyres.

Smart processes

Special Sales approaches to the market determine the success or failure or a sales person. Many transporters, tyre importers or dealers approach to own products with little comprehension on the conditions of use. Mismatch between tyres and vehicles, tyre and routes, have only added to the chagrin on the end-user. Professional ethics prohibit me from dwelling too much into these sales processes to end-users and dealers, but to say the least, these methodical approaches have no substitute. As a result of tyres being treated as a commodity, where price is the only point of discussion, SMART tyres with lipstick and high-heels have found their way into a hostile market that has unpaved roads, untrained staff and uncaring drivers in some instances.

The readers of this article may have had access to better tyre optimisation processes than the ones I will mention below. Yet I can say without a doubt now will match the dedication and follow-up that is offered by the Budini Tyre Management Systems.

  • The Tyre Optimisation Process is a non-patented process that was arrived at by a team of tyre experts on casing (yet not tyre optimisation) in order to achieve the lowest cost per Kilometer in a particular fleet. Pocket Suit, Survey Web and TMS are worth a glance.

Feature Benefits and Evidence (FABEs) is the way tyres were sold, sadly price has over-shadowed all three since both  the purchaser nor the seller are reluctant to discuss the matters relating to performance. Benchmarking of tyre mileages across fleets is more often than not misleading.

Smart sales people

Ajay, Yves, Mick and Tony belong to a fading rare breed of people who were tyre  fleet problem solvers. These gate-keepers and well-trained mentors in process described above played and continued to give solutions and on-site training in the harsh environments. What is common about this people in how  SMART or wise they are. It is the extremely long span of attention they dedicate in their line of duty. It is therefore worrying that today when the tyre is being treated as a commodity and not a Safety Engineering piece of equipment, Africa and Africans without secure gate keepers and anti-dumping laws will fall prey to fast talking sales persons with tik-tok attention spans. If I were to be the Chief Tyre General –  Certain Tyres would only be sold on prescriptions.

In  South Africa, it was uncommon for representatives of different companies to meet at a major transporter and conduct a joint scrap and claim analysis. Just like doctors conducting a post-mortem, sample casings from each brand would be analysed and reported before they would rest back for a Friday  Brae and Beer. SMART. I know this may be happening in other parts of the word any it is the reason we now have the Radial Tyre Damage Book.

RFID, push alerts, Translogic tools, TPMS (Tire Pressure Monitoring Systems) are all example of Smart technologies that many sales persons, managers, owners and directors are aware of but are not capable of implementing just yet. However, training might be that essential key that unlocks the thirst for the much-needed necessities.

I end this article with the SMARTest thing I have heard this year and maybe for a long time. It comes from a great mind in Tyre Management “It does not matter how you record (label) tyres in whatever system you have….what matters is what you do with that tyre after that. A basic tyre system understood by all is the best way to involve others and come out with shining success. It beats even the tyre RFID systems - Marcio Olievera (Budini Systems – SMARTyre SCALER).

Apollo Tyres Expands Industry-Academia Collaboration

Apollo Tyres Expands Industry-Academia Collaboration

Apollo Tyres’ Chennai Plant has formalised a multi-institutional partnership through a Memorandum of Understanding (MoU) with five esteemed engineering colleges from Kerala, Odisha and Tamil Nadu. This strategic alliance is designed to fortify the nexus between industry and academia, with a focused objective of developing a robust, industry-ready talent pool to meet future sector demands. The collaboration represents a significant investment in the human capital pipeline, directly linking academic output with corporate needs.

The collaborating institutions in this forward-looking initiative are SASTRA University, SRM TRP Engineering College, JJ College Of Engineering & Technology, Ma'din Academy and Nilachal Polytechnic. The partnership’s framework encompasses a comprehensive suite of initiatives aimed at mutual development. For students, it provides a structured pathway to employment, including placement assurances during their final year and enhanced campus hiring opportunities. To bridge theoretical knowledge with practical application, the programme will facilitate organised industry visits to Apollo’s manufacturing facility, offering students firsthand exposure to modern production processes. Complementing this, a series of expert-led sessions, technical lectures and seminars will be delivered by in-house professionals from Apollo Tyres, ensuring the curriculum remains aligned with evolving industry practices.

This symbiotic engagement yields significant strategic benefits for all stakeholders. Students gain invaluable industry awareness and confidence, while academic institutions enhance their curriculum's practical relevance. For Apollo Tyres, the initiative enables the early identification and nurturing of prospective talent, effectively streamlining recruitment and fostering a positive perception of manufacturing careers.

Wacker Chemie Cuts Outlook As Weak Demand Hits Q3 Earnings

Wacker Chemie Cuts Outlook As Weak Demand Hits Q3 Earnings

German chemicals group Wacker Chemie lowered its full-year outlook after third-quarter profit fell by nearly a quarter, hit by weak demand and intense competition from China.

The Munich-based company, which makes silicones and polysilicon for semiconductors and solar panels, reported earnings before interest, tax, depreciation and amortisation (EBITDA) of 112 million euros ($121.6 million) for the July-September period, down 23 percent from 145 million euros a year earlier.

Sales fell 6 percent to 1.34 billion euros from 1.43 billion euros, weighed down by lower prices and unfavourable currency effects.

The results were broadly in line with analyst expectations, which had forecast sales of 1.37 billion euros and EBITDA of 101 million euros, according to Vara Research.

Wacker swung to an operating loss of 20 million euros in the quarter, from a profit of 30 million euros a year ago, whilst net income turned negative to 82 million euros, compared with a profit of 34 million euros.

“The chemical industry is under pressure – worldwide, but in Europe in particular. The economic situation is tense, and market demand is weak. At the same time, the market environment is changing, and competitive pressure is high – especially from China. And this is something that we are experiencing at WACKER as well,” Chief Executive Christian Hartel said.

“Like many other companies, we had to lower our full-year forecast in the middle of this year. Even though we closed Q3 in line with market expectations, sales and earnings were again down year on year in almost all business divisions,” he said.

Wacker launched a comprehensive cost-cutting programme in October aimed at achieving significant savings in production and administration, with implementation planned to begin in the first quarter of 2026.

The company now expects full-year sales at the lower end of its previously forecast range of 5.5 billion to 5.9 billion euros, with EBITDA in the lower half of its 500 million to 700 million euro range. It also anticipates a negative net result for the year, significantly below the previous year.

The company’s silicones division, its most significant business, saw sales decline 7 percent to 673 million euros, whilst EBITDA fell 19 percent to 86 million euros. The polysilicon unit, which serves both solar and semiconductor markets, reported a 40 percent drop in EBITDA to 18 million euros, as low prices and exchange-rate effects offset strong hyperpure polysilicon performance in semiconductors.

Wacker’s workforce declined to 16,616 employees at the end of September from 16,724 three months earlier.

Nokian Tyres To Cut 80 Jobs, Lay Off 650 Workers Temporarily In Restructuring

Nokian Tyres To Cut 80 Jobs, Lay Off 650 Workers Temporarily In Restructuring

Finnish tyre manufacturer Nokian Tyres said it would cut 80 permanent positions and temporarily lay off about 650 workers as part of measures to improve financial performance and operational efficiency.

The company has begun personnel negotiations affecting roughly 1,700 permanent white-collar positions across its global operations, including group functions and all business units.

The temporary layoffs will affect blue-collar and white-collar staff at passenger car and heavy tyre production facilities in Nokia, Finland, for up to 90 days per person. These measures could be implemented by the end of 2026.

The permanent job cuts, targeting white-collar roles, may take effect by late 2025, the company said.

Nokian Tyres employed approximately 4,400 people worldwide at the end of September, with 2,045 staff based in Finland.

The negotiations will commence immediately in line with local labour legislation in each country where the company operates.

The announcement comes as tyre manufacturers face pressure from volatile raw material costs and shifting demand patterns in key markets.

Nokian Tyres, known for its winter tyres and premium products, has been restructuring its operations following geopolitical challenges that affected its Russian production and sales.

Nexen Tire Stages Two-Phase Launch For Flagship N’Priz S And N’Fera Sport Tyres

Nexen Tire Stages Two-Phase Launch For Flagship N’Priz S And N’Fera Sport Tyres

Capitalising on a period of significant growth, Nexen Tire is strategically introducing two new passenger tyres, the N’Priz S and the N’Fera Sport, through a comprehensive two-stage launch. This initiative represents one of the company's most substantial product introductions, designed to engage key audiences from media to consumers through immersive, hands-on experiences.

The launch commenced earlier this fall with an exclusive Ride N’ Drive event at the Illinois Autobahn Country Club. There, participants had the opportunity to personally evaluate the new tyres across a variety of driving conditions, including autocross challenges and highway simulations. This direct testing allowed them to assess critical performance attributes such as handling and comfort while also facilitating valuable interaction with Nexen’s own engineering and product development teams.

The campaign now advances to a broader stage, moving to the 2025 SEMA Show in Las Vegas. Nexen Tire America will host an extensive activation featuring a 240-foot booth where the N’Priz S and N’Fera Sport will be prominently displayed. The exhibit will include original equipment vehicles, motorsports trucks competing on Nexen tires and a dynamic schedule of live discussions with company leadership, technical experts and brand partners on the specially created Nexen Live stage. This platform will also serve to showcase the brand's latest progress in areas like tyre design simulation and electric vehicle development.

These two tyres are engineered to meet the distinct needs of different drivers, thereby broadening Nexen’s market reach. The N’Priz S is a grand-touring all-season tyre that is also EV-compatible, focusing on delivering a quiet, comfortable ride and reliable traction for daily commuting and long-distance travel. It incorporates advanced AI performance prediction and virtual simulation technology to optimise tread design and reduce cabin noise, alongside a specialised rubber compound aimed at enhancing tread longevity and overall efficiency.

In contrast, the N’Fera Sport is an ultra-high-performance summer tyre built for drivers seeking precision steering response and superior control in warm conditions. Its design prioritises direct feedback, confident wet-road braking and stability while still maintaining usability for spirited street driving. The N’Fera Sport is scheduled to arrive at dealers this fall, with the N’Priz S following in early 2026. Together, these launches underscore Nexen’s commitment to technological innovation and creating meaningful connections with the driving public.

Brian YoonSeok Han, CEO, Nexen Tire America, said, “Nexen Tire’s growth in the US is being fuelled by innovation and experience. We wanted people to feel what sets these new tyres apart, including how they handle, how they perform and how they represent our continued commitment to excellence. Ride N’ Drive gave us that direct connection with our partners, and now SEMA allows us to share that story on a global stage.”

Theresa Kapper, Director of Marketing for Nexen Tire America, said, “Launching the N’Priz S and N’Fera Sport through both Ride N' Drive and SEMA us to connect every piece of our story, from innovation and testing to excitement and scale. It’s about showing not only what these products can do, but what Nexen stands for as a brand. This rollout reflects the growth, energy and ambition driving Nexen Tire forward in the US market.”