India’s rapidly expanding fleet ecosystem faces a persistent paradox with rising logistics demand alongside shrinking profit margins.

As operators grapple with fuel costs, compliance burdens and operational inefficiencies, tyres, often the second-largest fleet expense, are emerging as a critical lever for efficiency. Integrated tyre management solutions backed by data analytics and vendor-led lifecycle management are increasingly being viewed as a potential turning point to improve uptime, extend tyre life and stabilise operating costs across fleets.

India’s fleet ecosystem broadly includes long-haul commercial truck, last-mile delivery, urban distribution, passenger transport fleets and emerging electric vehicle fleets.

Growth in e-commerce, logistics modernisation and digital technologies such as telematics and AI-based route optimisation are reshaping fleet operations. Last-mile delivery fleets, often using small commercial vehicles, two-wheelers and EVs, are expanding rapidly to support online retail and quick-commerce models.

Amidst these growth drivers, integrated tyre management solutions and educating fleet owners might just be the hail Mary as the sector consistently grapples with the challenge of increasing profit margins and reducing operational costs.

The Asia-Pacific tyre fleet management solutions market was valued at USD 2.2 billion in 2024, riding at a compound annual growth rate of 9.2 percent as per data by Strategic Revenue Insights.

Speaking exclusively to Tyre Trends on avenues that can increase cost and operational efficiency for fleets, Reema Kothari Jogani, Director, Reema Transport, noted, “The sector requires education on different aspects of operations and fleet tyre management solutions powered by new-age technology. The more we grow on education, the more we can streamline operations and reap the most of current market trends and demand.”

According to Jogani, tyres are the second most costly investment for fleets and companies require tyre management solutions that can increase its entire service life. “We currently operate on a cost-per-kilometre (CPK) model with a vendor. Under this arrangement, we provide them with the kilometre requirement per month and they manage the entire tyre lifecycle,” she said.

This approach has simplified operations for the company as the executive claimed that tyres can run for more distances but fleets often don’t achieve it because performance depends heavily on factors such as driving behaviour and road conditions.

She noted that engagement with tyre industry vendors has recently increased, improving access to data and making tyre management easier. Earlier, there was little structured support despite tyres being the second-largest fleet cost after fuel, so tyres were managed in-house. Later, the company partnered with specialised vendors for professional management.

“Today, detailed data helps analyse tyre wear, identify whether damage is caused by driver behaviour, road conditions or manufacturing issues and determine optimal replacement timing. Such insights also create learning opportunities for fleet operators,” said Jogani.

She believes that technology combined with skilled manpower to interpret data is the future, though priorities differ by company. “Some focus on AI for vehicle utilisation, while others prioritise tyre management. Overall, the evolution from basic GPS tracking to advanced tyre and fleet analytics has improved driver education, fuel efficiency, mileage and safety,” she said.

HURDLES REDUCING

Tyre management solutions have historically remained a largely manual and reactive process. Kothari suggested that the industry is now gradually moving towards digital tyre health management systems, but the transition is still uneven.   

“While technologies such as telematics, RFID tagging and Bluetooth-enabled sensors are becoming more common, their effectiveness ultimately depends on three factors viz-a-viz driver awareness, reliable data and integrated management platforms,” she noted.

One of the most widely acknowledged benefits of tyre management systems is improved fuel efficiency through lower rolling resistance. Poorly inflated or poorly maintained tyres increase resistance against the road surface, forcing vehicles to consume more fuel.

“Fleet operators recognise this link, but many say it remains difficult to translate tyre performance improvements into clear financial gains within their profit-and-loss statements,” noted Jogani.

In theory, telematics platforms can track parameters such as tyre pressure, temperature and kilometres travelled. However, tyre monitoring systems often operate separately from fuel management software.

This makes it challenging for fleet operators to directly correlate tyre condition with fuel consumption. As a result, the financial benefits of tyre management tend to appear indirectly through longer tyre life, reduced breakdowns and fewer vehicle stoppages rather than through clearly quantified fuel savings.

“Another key pillar of tyre management is driver participation. Despite the growing use of sensors and digital monitoring systems, fleet owners emphasise that drivers remain the first line of defence when it comes to tyre safety and performance,” informed Jogani.

She added that many companies have begun investing in structured driver education programmes, encouraging drivers to conduct daily visual inspections and basic checks before starting a trip.

Training typically focuses on recognising abnormal tyre wear, maintaining correct pressure and avoiding harsh driving behaviour that accelerates tyre degradation.

“However, implementing such training across large fleets can be difficult. Indian transport networks often involve drivers operating across multiple states, languages and levels of formal education. This makes consistent driver training programmes a challenge,” she noted.

Some fleets are experimenting with simplified training modules and incentive schemes that reward drivers for maintaining tyre health and reducing wear.

HELPING HAND

Tyre manufacturers are also playing a more active role in supporting fleet operators. Several companies now provide tyre health audits, driver training workshops and digital tyre management tools as part of their service offerings.

In some cases, dedicated engineers visit fleet depots to analyse tyre wear patterns and recommend corrective measures. Yet Jogani noted that these services often remain focused on tyre performance rather than offering a fully integrated operational view that connects tyres with fuel usage, driver behaviour and route conditions.

“One of the most persistent challenges in tyre fleet management today is the disparity between driver-reported information and digital platform data. Fleet owners frequently encounter differences between kilometres logged by drivers and those recorded by telematics or tyre management systems. These discrepancies complicate tyre lifecycle analysis and make it difficult to accurately calculate cost-per-kilometre metrics,” she explained.

The problem is often compounded by the use of multiple independent software systems that do not communicate with each other seamlessly.

This shift is gradually transforming workshop practices from scheduled inspections to predictive maintenance. Instead of identifying tyre issues only during routine checks, fleets can intervene earlier when digital alerts signal potential problems.

COST CENTRE TO STRATEGIC ASSET

When Jogani began her company’s operational portfolios, one gap stood out. Tyres were being managed without a dedicated system.

“Vendors frequently claimed their tyres could run beyond 100,000 kilometres. In practice, however, the fleet was seeing lifespans closer to 70,000–80,000 kilometres. The discrepancy prompted a deeper operational review,” she said.

Even before adopting a formal tyre management programme, the company had implemented a checklist-based inspection system. The shift came when tyre suppliers began introducing CPK model, under which vendors assume responsibility for tyre performance and lifecycle management.

Under the arrangement, the vendor becomes responsible for ensuring tyre performance. The model also exposed Jogani to practices that were previously unfamiliar, such as checking tyre pressure, tyre condition, oil levels and coolant status.

“Professional management of these processes, from rotation schedules to monitoring, significantly reduced operational complexity for us,” she added.

“When someone manages all these aspects professionally, life becomes much easier for a transporter,” Jogani said. “Of course, such services come at a cost because vendors invest manpower and technology into the process.”

Still, she believes adoption will expand as transporters better understand the financial and operational benefits.

In terms of fleet downtime, however, tyres are rarely the primary cause of breakdowns when properly maintained.

“In my experience, breakdowns rarely happen purely because of tyres, provided they are well maintained and drivers are trained properly,” she said. “Most tyre-related problems occur due to poor road conditions, which may cause punctures.” 

For Jogani, tyres have evolved from a consumable to a strategic asset.

VENDOR-LED ECOSYSTEMS

Today, most tyres in the company’s fleet are managed by vendors.

However, new vehicles initially run on the tyres supplied by the manufacturer before being gradually integrated into the vendor programme.

“For new vehicles that we add to the fleet, they initially operate with the tyres supplied by the manufacturer and are not immediately part of the vendor programme,” Jogani said.

The system has been in place for roughly two to two-and-a-half years and has already improved tyre productivity.

While the company now pays a slightly higher premium, the operational benefits outweigh the cost.

“The entire tyre management responsibility now lies with the vendor,” she said. “They ensure that tyres are maintained properly and perform according to the agreed parameters.”

Previously, the fleet often lost value because tyres did not reach their expected lifespan.

Isolating the precise financial impact remains difficult, however, because other costs have also risen.

“Vehicle prices have gone up, compliance requirements like AIS-140 have added costs and operational expenses have increased overall,” she said. “Because of these multiple factors, it becomes difficult to isolate the exact savings purely from tyre management.”

DIGITAL ADOPTION

Adoption of digital tyre management tools such as tyre pressure monitoring systems (TPMS) remains uneven across the logistics sector.

“If you ask me honestly, some companies are adopting these systems, especially larger fleets,” Jogani said. “A few mid-sized companies also have in-house maintenance teams that manage tyre monitoring.”

Cost considerations remain a major barrier. “Fuel is a major cost component and tyres are the second major cost. At the same time, safety requirements are increasing,” she said.

From a transporter’s perspective, the return on investment can appear uncertain.

“Another challenge is behavioural,” Jogani said. “Even if technology like TPMS helps drivers save fuel or improve efficiency, not all drivers may be willing to openly share that benefit with fleet owners.”

Integration is another concern. If every tyre supplier operates its own digital platform, complexity rises rapidly.

“If I have a fleet of 100 vehicles and they are managed by one vendor who provides a single dashboard with analytics for all tyre data, it makes sense,” she said. “But if I have to deal with multiple vendors and multiple platforms, the cost and complexity increase significantly.”

An integrated tyre management platform, she added, would provide the most effective solution.

Transporters also need clearer demonstrations of value. Moreover, affordable pricing models could accelerate adoption, particularly among mid-sized operators.

DELEGATING PROCUREMENT

Operating across western, central and southern India exposes fleets to widely varying road conditions and temperatures. Earlier, the company tailored tyre procurement to specific routes.

“Because our operations involve life-saving logistics, safety has always been the top priority,” Jogani said. “For that reason, we rarely opted for retreading or remoulding.”

“Since the vendor is responsible for tyre performance and lifecycle management, we have largely left these decisions to them,” she added.

Under the current arrangement, retreaded tyres are generally not used in the fleet.

“For our operations, factors such as durability, heat resistance, load-carrying capacity and tread design are extremely important,” Jogani said.

Vendor representatives are stationed at company branches to monitor vehicles continuously. Monthly billing is based on usage data, while inspections track tyre condition, alignment and kilometres covered.

“Because of this constant monitoring, tyre management has become much easier for us,” she said.

The vendor also plays an advisory role, analysing operational data and providing feedback on driving patterns.

Furthermore, comparing performance data between drivers operating similar vehicles helps improve training and accountability.

On the other hand, small fleet operators often struggle to adopt tyre management technologies due to cost constraints, making collaboration with larger logistics ecosystems crucial.

According to Jogani, smaller fleet owners attached to networks like Reema Transport can access systems they might not afford independently. For these operators, keeping vehicles running is critical because downtime directly halts income and affects their ability to service loans.

As a result, adoption of tyre management solutions is likely to be gradual, supported by education on long-term cost benefits and collaborative industry models.

Dow Inc. said its chief executive Jim Fitterling will become executive chair of the board from 1 July , 2026, with chief operating officer Karen S Carter appointed as chief executive.

Carter will also join the board on the same date, while Richard Davis will continue as independent lead director.

The company said the changes follow a multi-year succession planning process and are intended to ensure continuity as it advances its strategy as a materials science group.

“On behalf of the Board, I want to thank Jim for his exceptional leadership and continued contributions to Dow,” Davis said. “Jim has led the company through a period of significant transformation while strengthening Dow's strategy, culture and long-term positioning. We are equally pleased to congratulate Karen on her appointment as CEO. She is a disciplined, highly respected leader with a deep understanding of Dow's businesses and customers. This appointment reflects our confidence in her ability to lead Dow forward into its next chapter of growth and value creation for customers, employees and shareholders.”

Fitterling, who has been chief executive since 2018 and chair since 2020, oversaw the company’s separation from DowDuPont and led its repositioning towards higher-growth, consumer-led markets. He also guided the group through broader macroeconomic and geopolitical challenges, while advancing its sustainability ambitions and corporate culture.

“Serving as CEO of Dow has been the privilege of a lifetime,” Fitterling said. “Together with our employees and leadership team, we have transformed Dow into a stronger, more focused company with the right strategy, capabilities and culture for the future. I look forward to continuing to support Dow as Executive Chair and working closely with Karen to help ensure continuity and strong execution.”

As executive chair, Fitterling will continue to lead the board, focusing on long-term strategy, governance and external relationships.

Carter, who has spent more than three decades at Dow, currently oversees business and operational performance across the company as chief operating officer. She previously led the packaging and specialty plastics division, the group’s largest operating segment, where she focused on capacity expansion, asset upgrades and operational reliability, alongside efforts linked to circular economy initiatives.

“I am deeply honored to assume the role of CEO and lead Dow into our next chapter,” Carter said. “Dow has extraordinary people, world-class assets and leading positions in the markets we serve. Our focus remains unwavering: delivering reliable and innovative solutions for our customers, and long-term value for our employees and our shareholders, while accelerating our transformation to set a new competitive standard for best-in-class performance. I look forward to continuing my partnership with Jim in his new role as Executive Chair, and to working with the Board and all of Team Dow to advance our strategy and deliver on our priorities.”

Nokian Tyres plc is expanding its partnership with Tata Consultancy Services (TCS) to strengthen IT operations and support ongoing transformation.

The companies will focus their expanded partnership on maintaining and developing IT applications to meet Nokian Tyres’ future needs and to increase the efficiency of its IT operations.

TCS has already handled Nokian Tyres’ service desk support, end-user services like device deliveries, and network and data centre operations. Starting June 1, 2026, TCS will also take over maintenance and development of IT applications, as well as on-site support for internal processes.

This change is part of a larger restructuring of Nokian Tyres’ IT organisation to keep up with changing business needs.

“A more extensive partnership with TCS will enable Nokian Tyres to have a globally unified, agile, and efficient operating model that supports business needs. In addition, it creates a sustainable foundation for the increasing adoption of next-generation technologies such as automation, data-driven solutions and artificial intelligence,” said Timmy McLellan, vice-president, IT and processes, and chief information officer at Nokian Tyres.

JK Tyre & Industries, one of the leading tyre manufacturers in the country, has appointed Mandar V Deo as President – India, effective immediately.

Based in Delhi, Deo will report to the Chairman and Managing Director, Dr Raghupati Singhania, and the Managing Director, Anshuman Singhania. He joins the tyre manufacturer with more than two decades of experience in senior leadership positions, having previously served at Exide Energy Solutions, Cummins India and Cummins Inc.

He holds a bachelor’s degree in mechanical engineering from Pune University, alongside a Master’s degree and a PhD from Pennsylvania State University. He also holds an MBA from the Kelly School of Business at Indiana University.

Deo’s appointment comes as JK Tyre continues to expand its global footprint, which currently spans 105 countries and includes 11 manufacturing facilities in India and Mexico with an annual production capacity of 35 million tyres.

The company maintains a focus on technical innovation through its Raghupati Singhania Centre of Excellence in Mysore and was the first in India to introduce 'Smart Tyre' technology featuring integrated Tyre Pressure Monitoring Systems (TPMS). Additionally, JK Tyre has committed to the global RE100 initiative, aiming to transition to 100% renewable electricity by 2050.

Dr Raghupati Singhania, Chairman & Managing Director, JK Tyre, said, “I am confident that Mr. Deo will provide strong and adept leadership and steer JK Tyre on a new growth trajectory.”

The research and development team of any tyre maker decides whether the final product will be a success or a failure. And it is prudent to say that a lot of research hours and developmental cash go into making one of the most critical components of the automobile sector. In an exclusive tete-a-tete with Tyre Trends, Vice President and Global Head of Research and Development at Omni United, Olli Seppala, shares insights into the demanding and complex world of tyre research illuminating how markets and other factors dictate team operations.

“Omni United has an experienced team and we understand the needs of different markets very well. We constantly track trends in each region because legislation and approval requirements change all the time. In Europe, for instance, there are evolving regulations and strong influence from testing. In United States, the market is also changing very quickly as it is no longer only about mileage and comfort. Performance has become equally important,” he stated.

The company sells extensively in North America and Europe as well as in countries like South Africa, Australia and several markets across Asia.

However, every market doesn’t necessarily have similar demands, and the onus falls on the research and development team to derive market-ready products.

“Every market is equally demanding in different ways. Europe requires extremely high-performance levels, but customers are also willing to pay for that performance. In Asian markets, however, you still need a certain level of performance, but you must also keep prices under control. That creates additional pressure on the research and development side,” noted Seppala.

In the tyre industry, research and development quietly determines whether a product succeeds or disappears from the market. Behind every tyre lies years of testing, complex material science and constant adaptation to changing global demands. In an exclusive interaction with Tyre Trends, Vice President and Global Head of Research and Development at Omni United, Olli Seppala, explains how the company’s development teams navigate shifting regulations, regional market expectations and sustainability pressures while striving to deliver premium performance tyres at accessible prices across diverse international markets.

He added that European developers sometimes struggle when developing tyres for US or Asian markets because they may still carry the old perception that the US market is only about comfort and mileage.

Currently, the US market is now strongly performance-oriented. Tyre makers must understand specific requirements such as wet grip, correct handling balance, rubber compound characteristics and special durability properties like resistance to cuts and chips.

Asian markets are also highly complex. Conditions can vary dramatically by region. For example, southern China is very different from northern China, so specialised approaches are necessary.

The Japanese market is another example, said Seppala, as Japanese winter tyres are a category of their own and one really has to understand the specific expectations there. In addition, tyres must be durable and resistant to environmental factors such as ozone and pollutants.

WORKING THE WORKS

“When we talk about all-season tyres with the snowflake symbol, European all-season or North American all-weather tyres pose a significant challenge,” noted Seppala.

“Such tyres must balance strong wet grip, stable dry handling in high temperatures and reliable performance in snow and cold conditions. The main challenge is developing a rubber compound that remains flexible in freezing temperatures while maintaining handling stability at around 30 degrees Celsius,” he added.

On the other hand, working with different manufacturing partners also raises certain concerns, which the executive describes as ‘complex situation’. “The process is complex and involves several challenges. When developing a new product, we carry out the design work internally including building the construction and conducting in-house testing. Most of the development work is completed within the company before moving forward to the production stage. However, the advantages generally outweigh the challenges,” noted Seppala.

The company develops its own tyre compounds in-house and is now entering a deeper phase of rubber compounding through a new materials development initiative focused specifically on compounding.

“The goal is to deliver premium tyre performance at accessible prices. Key research and development priorities include improving wet grip, increasing mileage and reducing rolling resistance to balance the tyre industry’s ‘magic triangle’. Sustainability is also becoming essential with growing work on recycled and bio-based materials. Currently, development efforts are focused mainly on passenger car and 4x4 tyres, although we also produce truck and commercial tyres,” he added.

Nonetheless, he noted that shorter development timelines are an everyday challenge for research and developmental teams. While Omni United already has one of the shortest development cycles in the industry, efforts are ongoing to make the process even faster.

However, Seppala averred that the approach depends on the situation. Completely new concepts can be developed quickly, but when replacing a product at the end of its lifecycle, it is often better to allow more time for testing and gradual improvements. In such cases, the focus is not just speed but improving the overall efficiency of the development process.

TECHNOLOGICAL ADVENT

Seppala noted that digital tools and artificial intelligence (AI) are expected to play a very significant role in tyre research and development, particularly in construction design and compound development.

Machine learning can help improve compound recipes by analysing large datasets generated from continuous testing. Using non-linear analysis and specialised software, the company processes accumulated testing data to refine and optimise compound formulations over time.

Seppala also noted that tyre development today must address broader environmental challenges, including noise pollution. With electric vehicles becoming quieter, tyre noise is becoming more noticeable.

At the same time, regulations such as Euro 7 are increasing attention on particle emissions. He explained that noise is an important factor in tyre design. While the European tyre label mainly measures external pass-by noise, the company also focuses on reducing noise inside the cabin to improve driver and passenger comfort, alongside minimising environmental noise pollution.

Over the next three years, one of the main priorities of the company will be taking materials development to the next level, making it a major focus for the research and development team.

Another key area will be expanding the company’s testing operations. While he did not disclose detailed strategic plans, he noted that testing capabilities will increase significantly, covering outdoor track testing, indoor tyre testing and laboratory testing of materials. All three areas will play an important role in future development.

Alluding to the areas pertaining to tyre performance that the company plans to focus on in the future, he said, “Tyre performance involves many factors, making it difficult to rank them strictly, but improving safety will remain a key focus in the coming years. While current products already perform at a high level, we aim to further enhance safety performance.”

Seppala also highlighted ongoing work on replacing 6PPD, noting that progress has been promising. The goal is to become the best-performing tyre brand in ozone resistance, addressing ozone cracking issues seen in many manufacturers globally, while developing a solution that is both sustainable and effective.

Commenting on key trends that will influence the company’s future, Seppala said, “Three major trends will shape the company’s research and development work going forward. First, market expectations in Europe and US are gradually converging. The US market is placing greater emphasis on safety and wet grip, while Europe is increasingly focusing on abrasion resistance and tyre mileage, creating pressure to improve durability. Secondly, sustainability will remain a constant industry priority. Thirdly, the key challenge will be developing tyres with advanced materials that deliver premium performance while keeping prices accessible for customers.”

For Omni United, the future of tyre development lies in balancing performance, durability and affordability amid tightening regulations and sustainability demands. As markets converge and technologies like AI reshape research and development, the company’s challenge will be clear as it harnesses advanced materials and faster development cycles to deliver safer, longer-lasting tyres without compromising accessibility.