\'Drone delivery system can herald a new era for logistics companies\'
\'Drone delivery system can herald a new era for logistics companies\'

Distribution network, warehousing operations and multi-mode transportation is most critical to logistic companies. Where do you stand on these parameters?

As far as distribution is concerned, we have reach in over 100 cities and we are continuously expanding. Our teams are present across all locations in India covering all metro cities as well as Tier 1 and Tier 2 cities. We are covering more than 2200 pincodes and touching close to 50,000 customers on daily basis. We are operating a warehouse on pilot phase for one of our client and will expand in future. We use multi modal transport network and have tie-ups with multiple service providers for the same. Air is our primary mode of transport to ensure 24-hour delivery for our customer as far as possible. We also use surface for delivery in nearby locations.

How much do you rely on local partners in supply chain relationships?

Most of our service partners like manpower supplier and transport providers are locally based. We have developed preferred relationship with them which is mutually beneficial.

Any plans to integrate them into centralized operations and scale? Or do you think decentralized operations are better in India?

In my view, we need to have a mix of centralized and decentralized model for India. Planning and forecasting can be centralized and supply chain can operate on a decentralized network.

How much localisation of supply chain help logistic companies?

Localization of supply chain can definitely lead to lower cost and better delivery times. In order to expand reach to Tier 3-4 cites and specific locations like North East, we need to have local players who can help us in reaching customers in remote areas.

On the advent of Drone delivery system, do you think this technology will herald a new era for logistic companies?

This technology is still in evolution stage and it will take time to scale up. It can herald a new era for logistics but we still need to check its feasibility for a market like India. We also need to look at cost for use of drone for deliveries since India is very price sensitive market. But it is good that companies are investing in technology in logistics domain.

You have long clientele list with some well known names. Why big ticket companies are not featuring on the list as likes of Flipkart and Amazon?

We are either in active discussion or already working with most of the top e-commerce companies. As good business practice and having signed a confidentiality clause with our clients, we are not in position to make those names public.

Are you looking for any investment? If yes, then which type of investment and from where?

We have been supporting our current expansion through internal funds. But at same time, we are definitely open for strategic tie-ups with someone who can bring much more to the table apart from funds like domain expertise, technology or help us expand internationally.

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