TXO Systems (Chepstow)

Origins

The founder of the company, Alan Ockenden, in his previous role in the telecommunications sector, identified a clear gap and opportunity in the market hitherto not addressed by other companies. There was increasing pressure on customers to meet green legislation whilst being challenged by the overall economic situation and downturn in the market. His motivation was to address the problems experienced by customers, many of whom he had worked with for years so understood intimately their challenges, whilst maximising the commercial opportunity. The major challenges in supporting this fast growing business were identifying and recruiting the right key individuals with the right skill set required to solve these customer needs; access to working capital; and moving back to Wales, especially in terms of access to a flexible and skilled workforce who clearly understands what the business is trying to achieve.

Success Factor

Surprisingly, the economic downturn in every market provided TXO with an opportunity to help customers look at their investment strategy in a different way. When the economy was tight, businesses looked to lengthen the life of their technology assets for the first time, or if they were already end of life, tried to realise some value from them. This is what TXO brought to the market. Green legislation also meant that customers could no longer easily (and without high cost) dispose of their excess aged inventory. TXO now acts as the trusted advisor to many customers on green issues, making sure that all of their technology assets are either resold or recycled and that they meet environmental targets and comply with legislation. Finally, with the move to Wales, the extra space available to the company has paid back its investment many times over. Using proprietary tools based on TXO Systems’ unique market intelligence, there is an ability to look ahead to what the market could potentially need in the future and demand plan space requirements accordingly. This could not have been done this TXO had stayed near London.

The Future

TXO has grown very quickly but fundamentally remain a tight managerial team focused on meeting the changing needs of customers. TXO needs to continue to develop and enhance its managerial skills at the same time as transitioning to a service-led organisation, the most profitable part of the business. It will stay abreast of changes in the technological and environmental landscape, but customers’ changing needs will fundamentally drive what TXO does differently.