Cost-Per-Kilometre (CPK) Tyre Solutions
Central Trading Company, in partnership with Michelin, delivers a performance-based tyre solution built around the Cost-Per-Kilometre model. Instead of traditional purchase-and-maintain contracts, CPK aligns costs to actual distance travelled, improving budget control, uptime, and lifecycle efficiency for large public transport fleets.
How CPK Works
Under CPK, compensation is tied to kilometres covered. This shifts focus to measurable performance, requiring tyres, service, and monitoring to work together to maximise mileage, safety, and availability while reducing total cost of ownership.
What the Solution Includes
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Performance-Based Tyre Programs
Michelin tyre selection and fitment calibrated to route profiles, load patterns, and operating conditions to optimise mileage and fuel efficiency. -
Advanced Retreading and Regrooving
Factory-standard processes that extend tyre life, reduce raw material consumption, and lower cost per kilometre while maintaining safety and ride quality. -
Proactive Monitoring and Management
On-site inspections, pressure and tread-depth controls, rotation planning, predictive maintenance, and scrap-tyre analysis to prevent premature failure and maximise usable life. -
Sustainability by Design
Longer tyre life cycles, fewer casings discarded, and lower raw material inputs support waste reduction and resource conservation across the fleet. -
Uptime-Focused Service Model
Service level definitions, response times, and KPIs aligned to fleet schedules to keep vehicles in service and reduce unplanned downtime.
Engagement Model
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Assessment: Fleet study covering routes, loads, depots, and historical tyre performance
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Program Design: Tyre mix, service scope, KPI and CPK baselines
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Deployment: Installation, technician onboarding, and data collection set-up
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Optimization: Monthly reviews on mileage, scrap analysis, incidents, and improvement actions
Operational Benefits
The CPK model delivers tangible operational benefits across fleet performance and sustainability. It enables lower and more predictable cost per kilometre, improving budget efficiency and financial control. Fleet availability and schedule adherence are enhanced through proactive maintenance and optimised service planning. Tyre life is extended through professional retreading and maintenance practices, while continuous monitoring ensures improved safety and compliance. By extending tyre lifecycles and reducing waste, the solution also supports a lower environmental footprint and more sustainable fleet operations.
Why Central Trading Company + Michelin