# Transense Technologies plc Q&A with CEO Graham Storey: Further Contract Win with Glencore Plc (LON:TRT)

- Link: https://www.directorstalkinterviews.com/transense-technologies-plc-qa-ceo-graham-storey-contract-win-glencore-plc-lontrt/412731330
- Published: 2017-07-04T10:58:26+01:00
- Author: Amilia Stone

**Transense Technologies Plc** (LON:TRT) Chief Executive Officer Graham Storey caught
up with DirectorsTalk for an exclusive interview to discuss their third contract
with [Glencore Plc](https://www.directorstalkinterviews.com/ftse-company/glencore-plc/glen.l),
the benefits of using a structured rental & service basis and the improved appetite
in the mining sector for iTrack

 

**Q1: Now Graham, you’ve had some more good news this week with another contract
with Glencore Plc ([LON:GLEN](https://www.directorstalkinterviews.com/ftse-company/glencore-plc/glen.l)),
can you tell us a bit about what you’re going to be doing with them?**

**A1**: So, the last 2 orders are for combined 107 iTrack SYSTEMS, they are used
in the trucks measuring temperature and pressure in the tyres and from the information
that we’re able to give them, they are in a position to increase the productivity
by maximising the hours a truck is working so the trucks are on the road for longer
which goes directly to increasing productivity.

Using Transense Technologies’ data analytics, we have a 24/7 data analytics centre,
we’re also able to now give enhanced features such a g-force so by measuring the
actual g-force that is exerted on a tyre, again this is avoiding breakdowns, maximising
the hours that a truck is working and that really is the essence of what the system
is providing.

 

**Q2: This is your third contract with Glencore, can you talk us through how the
relationship’s developed with them?**

**A2**: We’ve been dealing with Glencore for a little over 2 years now and that’s
been quite a vigorous period of testing and validation of the system. I think it’s
fair to say we’ve jumped through those hoops and we’ve entered a new, more exciting,
phase of adoption and probably most relevant about the recent order was the fact
that it was an order that didn’t follow a trial. So, every order that we’ve had 
in the past has always followed trials and the fact that we’ve now started receiving
orders without trials I think is significant in terms of what the market perception
and value of the system, the acceptance of the system and of course, more importantly
for us, in terms of the speed of future orders.

 

**Q3: These deals, they’ve been structured on a rental and service basis, what are
the benefits of this?**

**A3**: I think for both side really you have clear stable budget visibility so 
no lumpy sales for us and no lumpy costs for the client so I think advantage is 
for both parties.

 

**Q4: Just moving back to iTrack, do you see an improved appetite for Transense 
Technologies’ iTrack systems in the mining sector?**

**A4**: Absolutely, I think that as the information that the system is becoming 
more widely accepted and validated by different companies then I think adoption 
rates will increase. BHP Billiton’s Spence mine in Chile published a paper where
they were talking about savings on tyres, so only tyres not the real big win is 
increasing production but just on tyres, savings on a mine of 40 odd trucks saving
over $1 million a year. So, I think as that sort of information percolates through
the marketplace and it’s our clients that are saying it rather than us, I think 
adoption rates will increase.

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