Supply of OTR Tyres

The tight supply conditions for OTR tyres exposed a Bowen Basin Coal mining operation to considerable risk. The site had expiring supply contracts, so it was critical that long-term supply arrangement was in place as a matter of urgency.

Services

Strategic Sourcing of OTR Tyres

  • Defining requirements.
  • Developing a tender strategy.
  • Managing tender & negotiations.
  • Developing supply contracts.

Outcome

The project delivered the following outcome:

  • Strategic supply agreements signed with two Tier 1 tyre manufacturers to cover 100% of the site’s requirements.
  • Achieved a saving in tyre costs compared to their current pricing.
  • Pricing adjustments in line with market indices during the contract term.