CAPITAL EQUIPMENT NEWS
FEBRUARY 2016
35
the acquisition endorsed the economic val-
ue of the move which enabled the company
to meet and exceed its targets for the year.
The production at Kanu/Act is not totally de-
voted to Isuzu Truck and also supplies the
general market where necessary.
“Kanu/ACT is doing well and so far is filled
to capacity. This acquisition has enabled us
to get the solution to the market in the most
effective manner possible. As we grow in
volume, Kanu/ACT grows with us. This has
meant great savings for the dealer who re-
ceives a complete vehicle from the factory
and eliminates the need to move the vehicle
around for the fitting of the various acces-
sories thereby eliminating unnecessary ex-
penses and shortening the turnaround time
once the sale has been concluded. As far as
the specialized market is concerned, Isuzu
Truck continues to maintain a high level of
activity in the tipper and dominate in com-
pactor business as well”, explained Uren.
“For Isuzu, Africa is a huge market oppor-
tunity. Around the world Isuzu does well but
Africa needs a lot more work to entrench
the product. We have established a good
customer base in Zimbabwe and in 2015
we exported more vehicles there than we
had done in the last five years. Generally
Isuzu Trucks footprint in Africa is expanding
especially now that at the assembly facili-
ties in Egypt, Kenya and South Africa. Isuzu
Motors Japan shipped more than 20 000
vehicles into Africa last year and it is antic-
ipated that this number will grow consider-
ably in the next five years”, said Uren.
The increase in market share and the ex-
pansion of the variants in the Isuzu Truck
range have brought a new dimension to
the support structure for the product. The
parts and service backup has been sim-
plified with the introduction of common
components that fit the range of vehicles.
There are only four engine derivatives and
four transmission models used in the en-
tire range. Also common components have
been incorporated in the cab design, simpli-
fying the replacement of body parts.
“Looking ahead we have not changed the
game plan but require mastering the plan to
build on the base that has been set to support
the client, from body building, parts and ser-
vice and warranties. Our results are there but
we require extending the journey further. Ex-
tending the journey for our customers means
also extending the economic life of their ve-
hicles. For this purpose we have a compo-
nent replacement exchange programme in
place called “ISUZU DRIVETRAIN” for dealers
to utilise. The product range will not undergo
any major changes except for some minor
cosmetic adjustments so the emphasis will
be on extending the value of the brand ‘For
the Long Run’, said Craig Uren.
In 2015 Isuzu Trucks achieved another
milestone in the next phase of their South-
ern Africa strategy when they moved from a
commercial OEM to an entrepreneurial-type
business entity on acquiring a 100% stake
in two Port Elizabeth-based entities, Kanu
Commercial Body Construction (Pty) Ltd
and Automotive Chassis Technologies
(ACT). These acquisitions will enable ITSA
to initiate and build products according to
client specification, enabling them to have
a more integrated relationship with current
and future customers in the life cycle of
their trucks.
“The acquisition completes our growth
strategy as we believe that Kanu and ACT
will definitely enhance our business struc-
ture. The move to acquire these entities will
centralise the process of buying our trucks,
where everything will be processed from one
central point of contact,” said Craig Uren.
“The next few years will be even better for
us as the platform we have created with the
new strategies in the pipeline, which is one
of the consolidation and enhancement. We
can now focus on people skills development
and concentrate on attaining leadership in
aftermarket support factors for Southern
Africa. Isuzu Trucks will also expand its
footprint in the Sub-Saharan African mar-
ket,” concluded Uren.
❂
Craig Uren, chief operating officer
TRANSPORT