Profiles In Mining - Glenn Wieczorek (Managing Director, Tsurumi Pumps) - March 2016

Skillings Mining Review Profiles In Mining - Glenn Wieczorek (Managing Director, Tsurumi Pumps) SMR: At the 2016 American Rental Association Rental Show in Atlanta, Georgia, USA, Tsurumi confirmed its entrance into the equipment rental market. What does this mean for Tsurumi's retail inventory and what was behind the decision to offer rental products?

GW: Actually Tsurumi America, Inc. (TAI) has been supplying products for the rental market since its establishment in 1979. We have become an industry leader in supplying quality electric submersible pumps at a competitive price. In addition we introduced engine driven pumps and generators in the 1980s to broaden our product offering. All of these products cross over to mining applications. We sell our pumps to thousands of rental stores across the US so our distribution footprint is very wide. There are some advantages of renting capital equipment. The whole cost of renting equipment can be expensed the same year as the cash outlay. This opposed to depreciating the cost over the life of the equipment can be an advantage for some companies.

Additionally the rental company is responsible for repairs due to normal use. Tsurumi has 8 inventory locations in the US and carries more inventory than any other manufacturer. This allows us to ensure quick delivery when customers need pumps.

SMR: Tsurumi America introduced its new FM Approved explosion proof pumps in 2015.

How will the company advance the pump in other markets, including mining and industrial markets that require strict safety standards?

GW: In 2015, TAI introduced the new explosion proof pumps for wastewater applications. The pumps will be ready for delivery in the second quarter of 2016. We are evaluating applications beyond the wastewater market such as mining to determine the optimal models for that environment. Moving forward we are developing additional products to be offered in an Exproof configuration in order to expand the coverage of applications.

SMR: Our last count shows Tsurumi is active in 45 countries and produces leading pumping technologies for various sectors from mining to scenery creation fields. What are Tsurumi's plans for market share growth and product expansion?

GW: Currently Tsurumi has a number of new products in development that should be ready for the market within the next two years. It is exciting to see the development of these products so we can continue to provide water handling solutions. Products such as our new line of 316 stainless steel pumps ranging up to 150HP will be stocked in our Chicago and Salt Lake City warehouses. This sets us apart from other suppliers. Our philosophy is to maximize great service to our customers and deliver pumps when they are needed.

Engineering can be the cause and the solution to many societal ills. What sort of engineering solution could a company like Tsurumi offer to the residents of Flint, Michigan USA to provide clean water?

GW: Competent engineering services are a must in the pump business. Daily our customers are contacting Tsurumi for help in solving their water problems. We recognize the importance of providing proper solutions for complicated issues. Tsurumi specializes in delivering proper equipment solutions to meet the pumping needs of our customers. We also recognize we are not experts in solving issues dealing with the delivery of clean water for human consumption. Our expertise lies in dealing with dirty water; waste water, ground water, and water containing solids.

We would never offer a solution unless we were confident we have the proper expertise to handle a given request for help. We are experts at what we do but understand our limitations in areas outside of this expertise.

SMR: In 2011, Tsurumi introduced its strongest ever pump cable to Europe, designed to work with pumping equipment in the construction, quarrying and mining sector. Are there plans to bring this technology to other markets like the US and Canada?

GW: TAI offers cable options that will stand up to the toughest applications. We have access to the cables offered in Europe as well as other cables designed for specific applications. We work with our customers to supply the best cable available for their applications at a reasonable cost.

SMR: You spent 8 years as an economist for the US Department of Labor serving through the administrations of Regan, Bush and Clinton. In your current capacity as managing director, how have your past talents merged to lead Tsurumi today?

GW: My experience in the pump business extends over 20 years in capacities ranging from sales, sales management, operations, and now as managing director. This experience added to my background with DOL gives me a unique insight when analyzing our position within markets as well as evaluating how the macro economy affects TAI. I would like to see all of our politicians recognize we need to work together in order to achieve our goals as a country. I believe most people are fed up with our elected officials playing political games with our lives to enhance their political positions. Instead of working together they are concentrating on competing against the other side. It looks like the main political parties are being greatly influenced by the extremes in their parties. The extremes can’t find a political middle ground therefore they dig in their heels and decide to simply not “give in� to the other side. I want our contemporary politicians to realize they will more effective in finding solutions if they work as a single team together rather than working as two teams with different agendas.

SMR: What makes Tsurumi the company to watch in 2016?

GW: I am proud to be a member of the Tsurumi organization! We are a group of very talented people working together to provide solutions for our customers. Our products are among the best in the industry with a reputation for quality and service. We have instituted many new processes that allow us to give even greater service and we are experiencing positive outcomes. In 2016 we have identified a number of new areas that we feel we can improve and the new solutions are exciting. In addition we believe we offer our team an environment where they can make a difference. We give them the latitude to take responsibility without micro-managing their

progress. We certainly are not perfect but together as team we are continuing to improve and it shows in the growth of our organization.