By Gerald Böse, President and CEO, Koelnmesse

The successful premiere of THE TIRE COLOGNE is a confirmation of our long and intensive preparations. After all, from the first announcement in 2014 until the trade fair in 2018, we worked for four years in cooperation with the industry on the concept, services on supporting events, initiated world-wide information and marketing campaigns and incorporated partners for many themes. We have convinced exhibitors and visitors to THE TIRE COLOGNE with our event concept and a new orientation, with the high quality of visitors, a generously dimensioned hall offering and a strong concept in terms of content, and received a unanimous vote from the international tyre and wheel industry: Cologne is the leading international meeting point of the industry right from the start!

However, this doesn't mean we can rest on our laurels. Our thinking and action are oriented to continuing further development: we see ourselves as part of the international tyre and wheel industry, and also want to provide impulses in terms of content that are of use to the industry for future development. Every industry requires perspectives on how the future orientation and potential for further growth can be developed and realised. In our concept we have defined clear strategic and conceptual goals that point out and realise these perspectives.

1. the independent and comprehensive reflection of the industry at all levels, at a glance and at the right time.

2. the internationalisation of all relevant industry segments.

3. the generation of new visitor target groups. In addition to the themes of online commerce and workshop services, we have in this way addressed important target groups like fleet managers and transport companies and attracted them to Cologne. We have also clearly emphasised the theme of recycling, which has to date only been treated inadequately – additional added value for industry and commerce. This has all worked very well, but there is still much more potential for further expansion. Accordingly, we analysed all areas and thematic focuses and verified development potential here and there. For example, we want to expand the Recycling/Retreading, Workshop and Services sections, but also the over arching theme of digitalisation. To this purpose, we are already involved in an intensive exchange with potential exhibitors, organisations and partners.

We have thus already achieved the most important goal of comprehensively reflecting the entire industry. I especially emphasise this because we are now in a two-year cycle. However, the premiere in 2018 had a run up period of nearly four years, extending from the announcement that the industry was switching to Cologne to the first event. Almost five months prior to the opening of the fair, more than 90 per cent of the planned exhibition areas have already been rented -in comparison to the final result of 2018, even almost 95 per cent in comparison with the original planning for 2018. More than 400 companies have already confirmed their participation in THE TIRE COLOGNE 2020, including nearly all well-known key accounts from the focus segments. THE TIRE COLOGNE is thus the world's only B2B platform to present the top brands of the international tyre world. We will be making smaller adjustments, for example, in the hall planning, in order to optimise further here. In concrete terms, this means that the big key players will not exclusively be placed in Halls 6 and 7, but some now also in Hall 8. This ensures even more optimal distribution of visitors to all halls of THE TIRE COLOGNE, and at the same time reinforces the segments of car services and workshop outfitting. Hall 9, with the focus on the themes of tyre remoulding and recycling, will also be made more attractive for exhibitors and visitors, in that the "Global Retreading Conference" and the Recycling Forum will also take place here. In addition, the "Future Mobility" special area will also be realised in Hall 9 for the first time.

With the "Future Mobility" special area, THE TIRE COLOGNE wants to take a look into the future and point to questions that affect the industry: how will mobility change in the future? What impact will changes have on people and society? What does changed mobility mean for the product tyres? And what effect will this have on the tyre industry? Answers to these questions will be provided by, among others, Dr Sascha Peters, one of the most renowned material and technology experts in Europe, who will discuss the theory and practice revolving around the product of tyres and possible changes in the future in the context of the special event. As a highlight and at the same time as a stimulus for active participation, a driving course is being planned for the "Future Mobility" special event, where autonomous or electrically powered vehicles will be in use.

The event programme is oriented to questions that currently affect the industry – whether this involves innovative further developments or a theme that affects every one against the background of climate change: sustainability. With the "Recycling Forum," we offer a complete overview of the decisive aspects in the field of tyre recycling and sustainability. And sustainability of course also plays an important role for the Global Retreading Conference. The conference is a one-time opportunity to take a global look at thedecisive trends and developments of the retreading industry. The focus this time is on "Retreading as Best Practise for the Circular Economy."

An important theme we are emphasising for THE TIRE COLOGNE in a targeted fashion is "digitalisation." Digitalisation affects us all and is causing a dramatic change in all areas of life. The digital transformation opens up big chances for more qualityof life, new business models and more efficient business economy. In the framework of the Digital Strategy, Koelnmesse deals with all aspects of digitalisation that are or might become relevant for the company and the trade fair business. And digitalisation has also long since arrived in the tyre industry. With various sessions on the stage of THE TIRE COLOGNE, we will show what digitalisation already means today for all participants of the tyre industry, and how it can be used for your business.

The digital transformation remains a definitive theme of decisive importance for the future focus at Koelnmesse, but surely also for the tyre and wheel industry. For us as Koelnmesse, digitalisation is the central development programme in the company, on which more than 100 of our own employees are working. The goal is the successful transfer of the core business of the trade fair into the digital world: through the development of digital services and business models, the improvement of internal processes, the digitalisation of the fair grounds and the expansion of the corresponding trade fair themes. The programme includes both projects that have already been in existence for a longer period of time, such as ticket and access systems, or a digital sales system introduced two years ago, but also new themes like the digitalisation of traffic management or digital signage, a joint project with Samsung. It unites route guidance, infotainment and advertising on more than 200 m² of digital area and is currently being further expanded upon – and is of course being used for THE TIRE COLOGNE.

Digitalisation influences markets and needs – as well as our exhibitors and visitors. Digitalisation is therefore a strong aspect for the tyre and wheel industry, because it permeates trends and changes. In order to intensify this understanding and be able to react to possible challenges "just in time," THE TIRE COLOGNE, together with the IFH, the Institut für Handelsforschung in Cologne, has carried out an extensive study and survey of the tyre trade in five core markets - in Germany, the United Kingdom, Italy, France and Poland. The goal of the study is to verify the themes of relevance to the trade in the respective countries, and how it reacts to challenges, whether with regard to digital transformation, digital tools, trends or recruiting staff. Very informative were the findings, and in some cases very different findings in the countries surveyed – also and in particular with regard to the theme of digitalisation and the use of digital tools to address and secure the loyalty of customers.

However, the study is only the first step of this project. We will soon also be offering the specialised trade the possibility to benchmark itself and its service profile against the European average at the website of THE TIRE COLOGNE. With the comparative result of the "Fit forthe Future" test, the participant also immediately receives a brief analysis and possible approaches to solutions, which could be of benefit for the further development of their own business.

The international tyre and wheel industry is strong and has great potential. However, it must at the same time invest in order to assure this potential. THE TIRE COLOGNE will contribute to this development as the leading international industry platform!

 ( Kindly Note:  THE TIRE COLOGNE has been postponed until 2021. The organisers yet to declare new dates)

Extensive study,  survey supplemented with Fit for Future test

As the leading platform for tyres and wheels, THE TIRE COLOGNE sees itself not only as a business hub that brings together all relevant players from industry and trade in one place. Much more than this, it sees its task in the presentation of themes and content that benefit the future development of the industry. "We see ourselves as part of the industry and want to point out solutions for the constant market changes, with the goal of setting sustainable impulses for the development of the industry. This is the bar we have set for ourselves. This year we initiated a study in five European core markets, the results of which will provide all market participants with a better understanding of the function of the respective markets and the challenges there. Building on the results of the study, each trader can now check themselves in our downstream "FitforFuture-Test" to find out where they stand and where there is room for improvement," according to Christoph Werner, Senior Vice President Trade Fair Management of Koelnmesse.

Markets are constantly changing and, as a consequence, also the needs of customers. In order to intensify this understanding and be able to react to possible challenges "just in time," THE TIRE COLOGNE, together with the Institut für Handelsforschung in Cologne (IFH Köln), has carried out an extensive study and survey of the tyre trade in five core markets - in Germany, the United Kingdom, Italy, France and Poland. Managing directors, owners and masters from companies in the specialist tyre trade from five countries were surveyed, and secondary research and interviews was carried out. The survey focused on the clusters of digitalisation and digital tools and automobile mega-trends, as well as personnel recruiting and continuing training of staff.
 

A short summary of the study results:

Digitalisation is bringing big challenges for tyre retailers: The European tyre trade is changing rapidly. This is being propelled by changing customer behaviour. The customers of the tyre trade have considerably higher expectations of service than in the past and expect communication on all channels with coordinated sales and service offerings. Digitalisation is also changing and is placing one sector after the other in question - the tyre trade must keep up with the general digital transformation. The challenges relating to this have for the most part been recognised and tend to be evaluated with reference to the chances. Nonetheless, there are sometimes shortcomings in implementation. The reason: the tyre trade isn't daring enough. The broad portfolio of digital tools has not yet been utilised consistently. In addition to this, mega-trends are classified as science fiction without looking for one's own advantages in the here and now.

Tyre trade will soon face a personnel problem: This is exacerbated by a massive personnel problem - at least in most European countries. The tyre trade is already facing problems recruiting new employees in the core area of the workshop, but also with the acute line of succession. And there are no effective remedies in sight.

What needs to be done?: The tyre trade must develop a certain amount of self-confidence. This must correspond with the core requirements of the digital age - meaning, be present on all channels and be based on smooth and rapid processes. Only then can one provide profitable offerings, products and services. In addition to this, the tyre trade requires a broader portfolio of digital instruments for internal and external use. More practice and continuity in the usage of these instruments is also required. In addition to this, the tyre trade requires creative solutions and must develop convincing arguments extending beyond the standard offerings, in order to find and bind more employees.

FitforFuture test and best practise

All results of the THE TIRE COLOGNE study - complete, as a management summary, but also the evaluations of the individual countries and core topics - are available for download on the website of THE TIRE Cologne at https://www.thetire-cologne.com/the-fair/tireresearch/tireresearch.php . Furthermore, on the website of THE TIRE COLOGNE the FitForFuture test can be used effective immediately to check how one's company is developing in terms of #DigitalTransformation, #DigitalToolbox, #Recruitment/ human resources development and #Trends.
Subsequent to this, he will immediately receive the test results and relevant best practice examples from the aftermarket, but also from other retail industries.

Of course, findings from the study will also play a role in the context of the congress and event programme of THE TIRE COLOGNE, where the four core themes will be discussed with industry participants and experts in special theme forums. Subsequent networking events provide exhibitors and visitors with additional added value while looking at the study and discussion results in greater depth.

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The tyre industry is entering one of the most transformative phases in its history. Manufacturing is no longer defined only by production capacity, compound formulation or tread design. The future will be shaped by how effectively manufacturers combine advanced engineering, intelligent manufacturing, sustainability, application-specific innovation, smart technologies and global competitiveness.

For us at Rubber King Tyre Pvt. Ltd., the direction is clear: the tyre of the future must perform reliably where conditions are most demanding. This philosophy is captured in our brand promise: ‘RULE THE TERRAIN – Tyres for the Untamed’.

It represents more than a tagline. It reflects how we see the future of tyre engineering – developing products capable of performing across challenging agricultural fields, construction sites, mining environments and demanding material-handling applications as per customer expectations.

Devin Gawarvala

FROM TYRE MANUFACTURING TO PERFORMANCE ENGINEERING

Customers today are increasingly evaluating tyres on total performance rather than purchase price alone. Tyre life, traction, load-carrying capability, resistance to cuts and wear, heat management, equipment uptime and overall cost per operating hour are becoming critical considerations.

This is particularly relevant in the OTR, agriculture and industrial segments, where operating conditions can vary dramatically.

The future, therefore, belongs to application-driven tyre engineering. Instead of developing products primarily around dimensions and specifications, manufacturers will increasingly engineer tyres around the machine, terrain, load cycle, operating hours and customer requirements.

At Rubber King, this approach aligns closely with our focus on pneumatic and solid tyre solutions across agriculture, construction, mining, OTR and industrial applications. The company currently operates four manufacturing facilities in Gujarat and has built its product philosophy around durability, performance and precision engineering.

SMART MANUFACTURING WILL REDEFINE CONSISTENCY

The next major transformation will take place inside tyre factories.

Automation, digital process monitoring, data analytics and increasingly intelligent manufacturing systems will enable manufacturers to achieve greater consistency while improving productivity and reducing process variations.

However, smart manufacturing should not simply mean installing more automated equipment. Its real value comes from connecting people, processes, machines, materials and data.

Data generated across mixing, component preparation, building, curing, inspection and testing can help manufacturers identify variations earlier, improve traceability and strengthen preventive quality systems.

For Indian manufacturers, this presents an important opportunity. Combining our manufacturing capabilities and engineering talent with greater automation and digitalisation can significantly strengthen India’s position as a global tyre manufacturing hub.

SUSTAINABILITY MUST WORK ALONGSIDE PERFORMANCE

Sustainability will also become fundamental to the future of tyre manufacturing.

The industry will need to examine the complete product lifecycle – from sourcing raw materials and improving manufacturing efficiency to extending tyre life and addressing end-of-life recovery. Recent industry research is already demonstrating the potential of bio-sourced materials, recycled inputs and recovered carbon black to reduce the environmental footprint of tyre production while maintaining required performance standards.

For manufacturers, the challenge is to ensure that sustainability does not come at the cost of durability or safety.

In demanding OTR and industrial applications, a tyre that lasts longer can itself contribute to resource efficiency. Extending service life, reducing premature replacement and improving operating efficiency should therefore form an important part of the sustainability conversation.

The future will require manufacturers to achieve both objectives: lower environmental impact and higher product performance.

R&D WILL BECOME THE COMPETITIVE DIFFERENTIATOR

As equipment becomes more powerful and applications become increasingly specialised, research and development will play an even greater role.

Compound technology, casing design, tread geometry, heat dissipation, rolling resistance, cut and chip resistance and load optimisation will continue to evolve. At the same time, faster testing and feedback from real-world applications will allow manufacturers to shorten development cycles.

Rubber King’s R&D approach includes product development, technology upgrades, process optimisation, material evaluation and testing procedures aligned with internationally recognised standards.

The objective must be simple: understand the application before engineering the tyre.

INDIA HAS AN OPPORTUNITY TO LEAD

India’s manufacturing ecosystem is moving from being viewed primarily as a cost-competitive production base towards becoming an engineering and innovation partner for global markets.

For Indian tyre manufacturers, this creates a significant opportunity.

To compete internationally, however, we must benchmark ourselves against global standards – not only on price but on product consistency, technology, service, innovation and application knowledge.

At Rubber King, our international presence across more than 90 countries reinforces our belief that Indian manufacturers can develop products in India while competing confidently across global markets.

The next decade of tyre manufacturing will ultimately be about engineering confidence – confidence that a tyre will perform when the terrain becomes difficult, the load becomes heavier and the operating environment becomes unpredictable.

That is where manufacturing technology, R&D and customer understanding must come together.

Because the future will not always operate on perfect roads or predictable surfaces.

It will be built for the untamed.

RULE THE TERRAIN – Tyres for the Untamed.

The author is Entrepreneurial Founder & Director, Rubber King Tyre Group

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The innovative, intelligent and integrated tyre manufacturing system marks a paradigm shift and is an indispensable tool for a fundamentally different vision of the future.

This model fosters a highly networked, data-driven and agile production environment and revolutionises traditional, labour-intensive manufacturing. This model must be combined and integrated with integrated product development, intelligent automation and data-driven optimisation.

In this model, tyre design, materials and manufacturing processes are controlled within a unified framework to achieve defined objectives. The model’s principle is based on a comprehensive and integrated development process, ensuring the achievement of consistent objectives tailored to the vehicle application, operating conditions and customer requirements.

The overall model digitally integrates and networks all phases of the tyre lifecycle, from the development and design of rubber compounds to product marketing. Data relating to design, manufacturing, testing and customer service are consolidated in a centralised and unified digital system.

This model resembles an autonomous system integrating AI and enabling the automation of repetitive tasks, predictive maintenance and real-time quality control without manual intervention. However, it already takes customer expectations into account from the design stage.

The ZC Rubber model represents a transition from theory to practice, requiring a top-down strategic approach that takes into account the product realisation architecture as well as the overall organisational culture.

ZC Rubber incorporates such a model, relying on platform-based strategies that directly leverage its proprietary X-Tech and Phecda Tech Systems. This provides an effective foundation for the continuous development of speciality tyres. The integrated system supports the development of original equipment and replacement tyres for the company’s three main brands.

ZC Rubber combines materials research, product development, manufacturing and validation within an integrated development process. This expertise enables faster product development, more consistent production and better alignment with the specific requirements of automotive platforms and markets. As a result, advancements in research and development generate measurable added value for automakers, suppliers, fleet managers, dealerships and drivers worldwide.

ZC Rubber’s model enables manufacturers to simulate production scenarios and identify bottlenecks at every stage of product realisation. It is not an isolated simulation environment but rather a deeply integrated, AI-powered development approach that directly links virtual design and testing with smart manufacturing.

AI models analyse data for predictive maintenance and for overall efficiency, detecting failures before they lead to costly production downtime requiring immediate intervention. With the emergence of trends such as AI-driven automation, latency is becoming an increasingly critical factor.

Since the 1990s, various shop floor management (SFM) systems have proven their worth and have been integrated into enterprise resource planning (ERP) systems. ERP is based on different manufacturing execution systems (MES), which utilise real-time information systems and embedded software, as well as programmable logic controllers (PLCs) and SCADA systems for control and data acquisition. For many years, SFM systems optimised production processes, minimised downtime and increased the productivity of tyre manufacturers. Today, however, the integration of all digital systems, including those involved in the product development phases, is essential.

For an integrated and efficient production model, latency – also known as ‘processing time’, i.e. the calculation or inference time of control systems – is of increasing importance in order to prevent malfunctions and ensure machine synchronisation. It must be virtually zero and is often measured in microseconds (μs) or milliseconds (ms) because industrial servers continuously monitor parameters such as vibration, temperature and pressure.

This is why the Chinese national standard for network architecture in tyre manufacturing mandates extremely low latency, less than or equal to 30 ms – a crucial factor for features such as remote monitoring and predictive maintenance.

Optical detection and image acquisition are playing an increasingly important role and are driven by AI-assisted feature extraction and deep learning systems. High-resolution cameras and laser monitoring systems control critical parameters in real time, such as tread and sidewall cross-section measurements, profiling and regularity, innerliner thickness mapping, bead geometry inspection and measurement of chafer thickness and width. The use of these models optimises the entire manufacturing process and ensures efficiency and precision.

Automated guided vehicles (AGVs) have been used for years in tyre factories to manage and ensure a smooth and efficient transport and flow of materials and tyres between workstations. More recently, autonomous mobile robots (AMRs) have emerged as intelligent tools capable of acting and moving independently, rather than simply being piloted. Their movements within the factory require minimal programming and intervention.

Tyre manufacturing systems are becoming more sophisticated and evolving with AI-powered automation. However, the overall production of the product is safer for long-lasting quality and for the benefit of customers…

For a long time, even a simple change in tyre size in factories required numerous manual interventions in different systems. Consequently, switching from one production plan to another, according to a given set of specifications, presents a classic challenge, as everything relies on the manual configuration of complex parameters, which generates a significant source of errors and scrap.

Following the successful integration of the intelligent and innovative production plan change management system, plan changes are facilitated by networking all systems via a Manufacturing Execution System (MES). Analysis of material consistency using Big Data enables automatic parameter adjustments. This simplifies processes, improves component stability and prevents material mixing errors during line changeovers.

Tyre manufacturing remains a traditional challenge; assembling dozens of components into a complete tyre is a labour-intensive process requiring numerous highly skilled workers. Autonomous tyre manufacturing machines operate without operators, utilising robots for material handling and positioning, thus ensuring high accuracy and repeatability.

The profile stabilisation time is crucial in the extrusion process for optimising the configuration and obtaining a stable, high-quality profile in just a few seconds. Artificial intelligence models analyse this stabilisation time with remarkable accuracy.

Dry cycle time (DCT) during tyre vulcanisation is crucial and a key area for continuous improvement. In a fully integrated, AI-driven tyre production system, vulcanisation parameters are optimised in seconds. This system ensures consistent production and prevents downtime through real-time alerts and near-instantaneous deviation correction. A powerful AI system simultaneously analyses data from over 250 vulcanising presses to identify the root causes of process variations.

A final tyre inspection system can use multiple high-speed laser sensors targeting key areas of the tyre. These sensors require microsecond-precise synchronisation to ensure simultaneous data acquisition from every point on the rotating tyre, creating a precise 3D map of the entire tyre. Intelligent 3D inspection sensors are equipped with integrated processors for instant quality control. They process high-resolution surface scans and determine conformity directly within the system.

The concrete and significant results achieved represent not just improvements but a true revolution in tyre manufacturing. Applying these principles, in line with industry averages, has increased productivity by up to 68 percent, reduced the defect rate by 57 percent and decreased inventory by 34 percent.

Integrated and automated quality control systems, which continuously monitor tyres, represent a true revolution in modern tyre factories. Manual quality control and material handling, which require significant human resources, can be replaced by up to 90 percent with intelligent systems in autonomous production systems. Finished tyres are transported to the warehouse by automated conveyors and software-controlled robotic handling systems.

A fully automated tyre manufacturing system allows for proactive intervention as soon as one parameter among thousands exceeds its control limits, thus preventing malfunctions before they even occur. In a networked system, real-time dashboards display live data to operators from mixers, timers and cutting machines, such as temperatures in temperature control unit (TCU) zones and dynamic pressure.

Automated production systems, combined with innovative, intelligent and integrated models, are particularly valuable for large production facilities. Modern tyre manufacturing goes far beyond mere ‘digitalisation’ or ‘Industry 4.0’, where even minor inefficiencies can lead to significant operational losses and customer dissatisfaction. Integration – from customer expectations to manufacturing control – enables the development and management of high-performing products with optimal overall equipment effectiveness (OEE).

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Most of us know the alleged Chinese curse: ‘May you live in interesting times…’. This term, in fact, is not of Chinese origin: it was first used by a British diplomat in the late 19th century and is a kind of upper-class British joke.

And yet, as we look at the world today, in political, economic, technological and environmental terms, most of us would agree that the times we live in are far too ‘interesting’ for comfort. Predicting even the near-term future is becoming more difficult, while making rational longer-term investment decisions often feels like a high-risk gamble.

Managing uncertainty requires a very special set of skills – and uncertainty is exactly what the tyre industry is being asked to deal with right now. We can all make a list of the individual challenges we face, but perhaps the best and simplest way to define this issue is by saying that the business model of the tyre industry is in question.

CHALLENGES TO THE BUSINESS MODEL

The modern tyre plant is a product of globalisation. It depends on relatively open supply chains, predictable logistics, ready access to materials, affordable energy and steady demand for products. Unfortunately, these factors can no longer be relied on.

Mike Norman

The vehicle market is changing, notably by the rapid rise in demand for electric vehicles, while the number of tyre variants is also growing fast. We are moving to a market reality in which volume may stay more or less the same, but the number of different tyre designs is rising and the volumes per SKU are going down.

Globalisation has gone into reverse, with a rise in protectionism and tariffs, leading to ‘reshoring’ and a trend to more local production, based closer to the markets being served, enabling more agile response to demand.

A technology revolution is taking place, with automation altering the cost base and leading to a levelling up in quality – a process that has been going on for a long time. Price premiums across a wide range of market segments are starting to disappear because quality standards are now so good across the market that it is becoming harder to justify higher prices for ‘premium brands’.

We can all agree therefore that the industry is changing – but it is not so easy to define where it is heading.

THE SHAPE OF THE FUTURE?

There is overwhelming evidence that the tyre industry of the future will look very different from the industry of today. It is tempting to present a single model of the future and invite all the different industry players to plan their own roadmap to that single future. That would be a mistake – the industry is diverse and we think it will remain so. There is a clear direction of travel (towards more comprehensive automation, greater agility, lower energy use, ability to manage a greater number of variants, use of new materials, reduced environmental impact…), but the options remain broad and the future is still unpredictable.

VMI not only has a vision of the future but works continuously to develop innovative solutions that support the industry and its development. In fact, we have even successfully built a true single cell production platform. This is UNIXX, which is designed to make tyres within a single process, from initial compound mixing to the finished product. You can manage as many variants as you wish, because each individual product can be made profitably – a true ‘market of one’ approach. The footprint is very small, compared with current plants, and environmentally it is far more responsible, using less energy and with much lower levels of pollution.

Surely, this is where we should be heading? Well, perhaps it is, but life is not that simple. Every business has to start from where it is right now, which is why we celebrate:

THE IMPORTANCE OF EVOLUTION

In evolutionary theory, there is an ecosystem, which is a common space inhabited by many different species. They sometimes compete for resources, sometimes complement and help each other, while they all have to deal with bigger forces from the outside. In the distant past, these might have been volcanoes and meteorites, but in our case, the external forces are probably wars and tariffs.

The key is not to focus on a single image of the ‘perfect’ future design but to have the ability to evolve as the environment changes – and keep evolving. You must start from where you are today and then follow the logic of the market, emerging technology and your own strategic priorities. The result will be – as with natural evolution – a lot of diversity but with every player moving in a common direction: towards a future that is more automated, more efficient, more flexible.

So what does the market look like right now?

There is still that familiar divide between Tier 1, Tier 2 and Tier 3, but the old definitions and distinctions are no longer as solid as they once were.

Most Tier 1s are losing their price advantage, at least in certain markets, because the Tier 2s have now reached a comparable quality level. Tier 3 businesses are exploiting their generally lower cost base, combined with advanced, highly automated factories to build advantage in the market through a highly competitive price point. Each type of business has its own operational realities and long-term goals. They are all moving through their own evolutionary journey. The big question we at VMI ask ourselves is this: How can we help them all to develop as successfully as possible?

KEY LESSONS OF EVOLUTION

When you start a journey of change, there are some basic priorities that apply to us all.

Simplify and take out costs. To make sure that business change projects deliver real benefits, the first task is to take out cost and reduce risk by simplifying and accelerating your existing processes. Simplification will lead to reduced energy and materials use (saving money at once), fewer human touch points (also saving money) and potentially could enable you to reduce the footprint of your plant (freeing capital for productive investment).

Every year, VMI brings out new refinements to existing systems, solutions and investments, designed to improve performance and take out cost. Here are some of the most recent of these:

• Smart Splice Ply fits to existing VMI TBMs already on site to reduce variations in play and splices. It raises quality, saves material and speeds the process.
• Then there is OEE (Overall Equipment Effectiveness) Reporter, a purely software solution that identifies areas for process improvement for reasons that range from downtime to operator issues, with the aim of moving towards 100 percent effective operation.
• Perhaps the most exciting of these new developments is the Autonomous Materials Delivery (AMD) solution, which combines automated handling of compound rolls, Smart Run Empty (designed to cut out compound wastage) and interface with Automated Guided Vehicles.

AMD summarises the ways in which the operation of existing machines, investments and solutions can be continuously improved to reduce the need for human intervention, reduce machine downtime, cut down wastage and drive higher operational efficiency – all without disruption to business as usual while maximising the potential of existing investments.

This is the very definition of stage one in the evolutionary change journey: improve what you have and bank the savings for reinvestment in the future.

Implement new technologies, one by one. We understand there can be no ‘big bang’ changes in the tyre industry, but we can start to profit from the most advanced new technologies today without the disruption that wholesale change would cause, adding new concepts alongside existing investments in the second stage of evolutionary change.

In some cases, this makes it possible to close down existing processes completely, making machines redundant and delivering significant savings. In others, we can eliminate specific stages in a process, again leading to simplification, higher quality and cost reductions. Here are two examples:

• UNIXX Beltmaker (now with hot gum strip feature) carries out most of the activities of a traditional calendering line but faster and more efficiently. Given the size and high energy use of calendering in tyre plants, the potential for reducing plant footprint and energy costs is enormous.
• VMI’s new Strip Winder, again developed for UNIXX, is now available for evaluation and review, with the potential for simplifying some aspects of production while offering a number of quality and design advantages.

This is a technique that many companies have struggled to master but which is fully operational right now. You can see it for yourselves, as well, because VMI’s mobile Strip Winding roadshow will make it possible to watch, test, examine, ask difficult questions and prove for yourselves that it works.

Extend the scope of automation. Industrial automation is what VMI stands for, so moving to the next stage is not a break from the past but an evolutionary move. As part of the TKH Group, VMI is now not just benefitting from its own in-house (but globally located) R&D activity but is also building on the AI capability inside the Group.

There are some aspects of AI that attract some scepticism (rightly), but industrial automation is the most natural development of AI – and VMI is driving it forward at speed. During the rest of this year, we will complete development work on a decision support GenAI-enabled system that will make it easy for operators to optimise machine performance while giving assurance to employers that the operators themselves will be able to work more efficiently.

This will be just the first step in a process of continual evolution, in which machine intelligence will be exploited in more intuitive ways to enable faster skills development, deeper insights and eventually lower requirements for human intervention at all. Current VMI solutions already include advanced sensor arrays, pattern recognition (for anomaly detection) and machine learning. Many of the key elements of true AI are in place, therefore, and development has started to accelerate!

Move towards the Dark Factory. The end point of industrial AI, as defined by industry leaders in other sectors, is the idea of Autonomous Production, sometimes known as the Dark Factory – not just hands off, eyes off, to use VMI’s familiar mantra, but lights off, too!

We think use of AI in this context is the most important of all evolutionary steps, as it enables tyre manufacturers to start gaining cost and agility benefits fast while closing down redundant processes and hardware in their own time. To be clear, there will remain major differences in scope, size and potential between different industry players in the age of AI, but implementing a governing intelligence, end to end, will be common to all.

STARTING THE JOURNEY

All of us have our own individual, evolutionary journey. The key objective for every business leader in this complex, global industry is how to build their own roadmap to the future. There is no longer any question about whether we need to change or not – we certainly do – but we have no choice about where we start from. Our starting position also defines our short-term objectives.

Our conclusions are simple but – we think – unavoidable.

• Change is coming for us all. We have the option of choosing our own path and our own priorities. But not of standing still.
• Change is not just about technology: it also covers the organisation, people, partners and customers. Technology might be powerful, but if you can’t find the skills and budget to implement it, then it remains theoretical.
• AI is not a magic bullet: this simple term covers a complex suite of capabilities and techniques that need to be understood in depth and implemented with care.
• All change processes follow the same basic rules and stages. Simplify and save money now; mitigate risk and be able to stop and go back if needed; test new concepts one by one and don’t go onto the next until you have mastered the first.

The journey is what matters, and you will need a map, guidance, partners and friends to make the journey both safe and productive. It’s not revolution but evolution: that is the word that defines both the challenge and the way to make change work for you. 

The author is the Chief Commercial Officer at VMI. 

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As a surviving member of the ‘baby boomer’ generation that commenced with the rapid economic growth following the World War II, I think we are, in a broad sense, privileged to have witnessed and experienced the happenings and consequences of about 50 years in the 20th Century and about 30 years in the 21st Century. When contemplating on the term literacy and its traditional meaning of being able to read and write from an educational perspective, I feel it fitting to cite a few real-life cases, from way back, which make me to wonder whether the above interpretation of literacy is all encompassing.

a) My maternal grandmother, who was born in 1900, did not know reading or writing, a typical feature about the female folk in that era, especially in the remote villages. Despite this apparent handicap, she successfully managed the day-to-day administration of the paddy fields and the rubber plantation, including finances, and raised three children to become worthy human beings.

b) Then there were these three young people who had migrated to Colombo with minimal formal education and started their business in humble ways to become well recognised icons of international fame in the healthcare, confectionary and rubber footwear and tyres, respectively, the latter being related to my own core field, the rubber industry.

c) Last but not the least, the late Martin Wickremasinghe, born in the late 19th century, who attended school only up to the 7th standard, wrote hundreds of books on diverse subjects such as history, anthropology, sociology, religion and literature and several novels (some of which were translated to several languages), which rightfully recognised him as a well-respected scholar and the greatest writer in Sri Lanka.

While it may be futile to compare apples with oranges, I feel that literacy has a utilitarian perspective, which can change with the social context and the circumstances. With my manufacturing background, I see a close parallel of literacy and quality. Out of the hundreds of definitions available of the latter, ‘fitness for use and the level to which requirements are fulfilled’ is applicable to literacy as well.

When going through the available information on the subject, it is noted that ‘literate’ can be traced back to the early 15th century from the Latin word literatus, meaning learned, educated and lettered. Initially, literate meant someone who was well educated, learned and acquainted with literature, and over time, as basic schooling became more widespread, the word was adapted to describe the foundational skill of reading and writing. The Oxford Advanced Learner’s Dictionary defines literacy primarily as ‘the ability to read and write’. Two core definitions for the term are identified as Basic Literacy, the fundamental ability to read and write, and Specialised Literacy, the competence, knowledge or skill in a specific subject area in which common modern applications include:

a) Computer literacy: The ability to use computers effectively.

b) Financial literacy: Understanding and effectively managing personal finances.

c) Health literacy: The capacity to obtain, process and understand basic health information and services.

It could be inferred that we, the ‘baby boomers’, currently at an advanced stage in life, cannot do without the above basic literacies, and as a minimum, the routine health check such as blood sugar, blood pressure, LDL and HDL etc. to survive and lead active lives.

It is said that writing originated primarily out of economic necessity as the early agricultural societies grew and needed to track goods, taxes and trade. The evolution of writing from rudimentary clay tokens in to the world’s first independent writing systems in Mesopotamia, Egypt, China and Mesoamerica around 3200 BC to 3000 BC is a story that requires a deeper elucidation at a different forum.

Literacy is considered as one of the most important foundations of civilisation and has played a crucial role in human survival and existence both evolutionary and historically. However, instead of going into a deliberation of these foundational perspectives, I intend to offer some of my personal insights and recollections on this important subject over the past 60-plus years. I can recollect how at preschool stage, we were initiated into the basics of reading and writing using slates and slate pencils (made out of a silicious material) and the ‘black boards’ in the class room where chalk was used for writing. Literacy mainly meant the ability to read and write and, in later classes, in performing basic arithmetic. In schools and workplace, literacy was closely connected to formal education and subject knowledge. A literate person was one who could understand written communications, reads books and newspapers, write letters and maintain records and perform effectively in society. It was directly connected to social respectability and economic progress.

Literacy in English was considered as a rare virtue in countries which were under the British colonial rule. It was confined only to a few ‘high level’ schools in Colombo and in some major towns. Hailing from a rural background and having attended a small primary school in a remote town, I have first-hand experience of the panic and inferiority when I started secondary education in Colombo. This was especially true when we started studying for the Government (Ordinary Level Exams) in the science stream which was all in English. It was a struggle to get adapted and face the challenge, which I would say, I managed fairly well.

In those days, literacy was essentially confined to formal education and subject knowledge. Students were expected to memorise facts, understand texts and reproduce the information during the examinations. Books and libraries were the main sources of knowledge. Teachers were well recognised and respected as the primary sources of knowledge. And learning was generally a disciplined and structured process. And information, though limited, was relatively organised. I do not consider this as a deficiency or a weakness at all, because it fitted well with the societal and business expectations of those days.

I can well remember the day of my first interview seeking a job, which happened to be in the rubber industry. Instead of asking about isoprene or how the RSS (Ribbed Smoked Sheet) is made, although I managed to cram some information about the latter, I was asked about Ohm’s Law and how steel is made from iron ore. I was lucky because in our Advanced Level class, we had studied the above, and this paved way for a lifelong career in the rubber industry.

Literacy seems to be directly proportional to the rate of percolation or trickling down of the technologies to countries in our part of the world, and this was a rather slow process until the early eighties. However, mankind is evolutionary geared for ‘adaptive radiation’, which in modern jargon can be interpreted as how quickly we learn and get used to the new situations and contingencies as we meet new frontiers. According to the modern theories of cognitive learning, we acquire new knowledge through assimilation of new concepts (schemas) or by accommodation of incoming concepts into our existing knowledge. As an example, I can relate with my personal experience how my literacy in rubber technology evolved, starting as young trainee with very little knowledge on rubber. With the rapid development of science, technology and globalisation and artificial intelligence, the meaning of literacy has expanded beyond the traditional horizons.

In contrast to the scenario of over 50 years ago, today’s literacy has grown to include cultural awareness, ethical understanding, workplace competence, computer literacy, digital communication and the ability to manage continually increasing volumes of information; some of them are very often recurring and sometimes redundant. Some key diversions are shown as follows:

a) Educational and subject literacy: While mathematical and scientific literacy, language proficiency and analytical thinking is essential, they go beyond memorising facts to effective application of the knowledge.

b) Cultural literacy: This has become increasingly important in this era of extending globalisation for respectful understanding and effective communications. This also includes awareness of history, religion, social values and traditions, which lamentably is declining amongst the younger generations.

c) Ethical literacy: This simply means the ability to distinguish the right and the wrong, social responsibility and taking morally sound decisions. Ethical failures can cause serious and disastrous consequences at the work place or the society.

d) Workplace literacy: Today’s workplace literacy includes communication skills, teamwork, time management, leadership, and most importantly, emotional intelligence and empathy.

Cognitive overload is another major challenge in this era of information wilderness where virtually every perceivable member of the community is inundated with vast volumes of information every moment, which often creates confusion. The human mind has limited capacity for attention and memory. Continuous digital distractions can weaken concertation, reduce reflective thinking and may affect mental wellbeing.

While the meaning of literacy has undergone a remarkable transformation over the past 60 years or so, the digital age has created opportunities as well as unpresented challenges. Modern literacy requires not only access to information but also the wisdom to evaluate, analyse and apply it effectively. Books, reading habits, reflective thinking and reliable sources of knowledge remain essential even in the era of artificial intelligence.

For many years, literacy and competency have been considered as different subjects. However, in the modern world, the demarcation between the two have been gradually getting blurred. Literacy does not simply mean how much one knows but more on how the knowledge is applied for value creation. This convergence is evident in all walks of life. Employers are increasingly seeking persons who can demonstrate competence rather than merely possessing qualifications. Competency-based education has entered the curricula of many private and governmental institutions in Sri Lanka. Conventionally, Sri Lanka is said to possess one of the highest literacy rates in the region. However, the progress achieved in many aspects of socio-economic, ethical and cultural fronts do not seem to have a matching congruence with competency.

As the American writer, futurist and businessman Alvin Tofler (1928-2016) once quoted,

“The illiterate of the 21st century will not be those who cannot read and write, but those who cannot learn, unlearn, and relearn.”

The meaning centres on the shift from static knowledge to the critical need for constant adaptability in a rapidly evolving world.

The author is a Management Counsellor from Sri Lanka.

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