- Under the partnership, Mahindra Logistics will provide a dedicated fleet of heavy commercial vehicles, assistance in route management and network operations, and advanced analytics for Flipkart’s pan India operations to enhance operational efficiency and consistency.
- Mahindra Logistics to scale up warehousing capacity in TN to 3.5 million sqft
R ARIVANANTHAM
CHENNAI, SEPT 1
Mahindra Logistics Limited, one of India’s largest integrated third-party logistics service providers from Mahindra Group, federation of companies on Friday announced collaboration with Flipkart for ‘Integrated Line Haul Solutions’ that will enhance operational efficiency and consistency as well as reinforce both companies’ shared commitment to innovation.
We are pleased to collaborate with @Flipkart for integrated line haul solutions that will enhance operational efficiency & consistency as well as reinforce both companies’ shared commitment to innovation.
Read more: https://t.co/cOBbL7fOhw#MahindraLogistics #Flipkart pic.twitter.com/b7V80MoxeA
— Mahindra Logistics Ltd. (@Mahindralog_MLL) September 1, 2023
Announcing the collaboration with Flipkart, Rampraveen Swaminathan, Managing Director and Chief Executive Officer, Mahindra Logistics said, “We are pleased to collaborate with Flipkart and provide these Pan-India dedicated line haul transportation solutions. These solutions expand our current line haul offerings for Flipkart enabling them to reduce their total cost of operations and improve service. Our enhanced fleet management standards, integrated with a focus on driver wellness and diversity, will serve to deliver higher standards of operational quality.”
“Tamil Nadu accounts for about 14 per cent of the country’s manufacturing GDP. Our perspective is that Tamil Nadu should contribute that much to our business as well. So, in the next 3-4 years, Tamil Nadu should get about 3.5 million square feet,” added Rampraveen Swaminathan.
He further said that Mahindra Logistics, an integrated third-party logistics (3PL) service provider, specializing in supply chain management and enterprise mobility has 4 per cent of market share in logistics business.
Mahindra Logistics will add 200 to 300 numbers of 32ft single axle heavy commercial vehicles for integrated Line Haul Solutions in another 2 to 3 years dedicated for providing end-to-end logistics solutions for Flipcart.
Replying to query, Rampraveen Swaminathan said that Mahindra Logistics generates 43 to 45 per cent of revenue from its federation companies. Out of its total logistics business automotive industries took the lion’s share of 60 per cent, 10 to 15 per cent from E-Commerce business.
As part of its Long Haul Solutions, Mahindra Logistics will provide a dedicated fleet of Heavy Commercial Vehicles, assistance in route management and network operations, and advanced analytics for Flipkart’s pan India operations. Mahindra Logistics will operate 32ft single axle heavy commercial vehicles for Flipkart in collaboration with Daimler India Commercial Vehicles, which will run on multiple national routes, across the country. In line with commitment to safety, all vehicles will have Advanced Driver-Assistance systems (ADAS), and various other vehicle security as well as driver safety & comfort related advance features.
The fleet deployed by Mahindra Logistics will primarily facilitate Flipkart’s e-commerce parcel movements through hub-to-hub operations. The improvement in Turn-Around-Time (TAT), higher safety levels, and fleet management underline Flipkart’s commitment to raising standards in the Indian e-commerce industry, he added.
He also said that the integration of connected vehicle technology empowers the ‘Mahindra Logistics Control Tower’ to monitor fleet efficiency. The solution helps improve turnaround times and service quality, reducing the Total Cost of Operations and customer service levels on real time basis.
Commenting on the collaboration, Hemant Badri, Senior Vice President and Head of Supply chain, Customer Experience, and ReCommerce, Flipkart Group, said, “As India’s homegrown e-commerce marketplace, we have always believed that our actions should resonate beyond operational excellence and benefit the larger supply chain and logistics ecosystem in India. This collaboration with Mahindra Logistics will help in enhanced reliability and efficiency in our long haul operations. Their dedicated fleet management, expert route management, and advanced analytics will enable an optimal way of load consolidation, route planning enabling efficient, faster, and sustainable deliveries.”
Flipkart has embarked on a transformative journey to enhance the efficiency and consistency of its Line Haul operations. This collaboration with Mahindra Logistics will help leverage company’s capabilities in integrated logistics.
