The logistics sector in India is proactively scaling up and innovating to meet the festive season's high demands. From leveraging cutting-edge technology and expanding infrastructure to hiring temporary staff and enhancing operational efficiency, companies are leaving no stone unturned to ensure a seamless and efficient supply chain
As India approaches its festive season, marked by celebrations such as Ganpati festival, Diwali, Durga Puja, and Christmas, the logistics sector is preparing for a significant surge in demand. Ecommerce platforms, FMCG companies, and retail businesses anticipate a sharp increase in consumer purchases, leading to an exponential rise in logistics activities. Industry leaders are pulling out all the stops to ensure timely deliveries and efficient supply chain management.
Scaling Up For Peak Season
Sandeep Kulkarni, Chief Operating Officer (COO) of Allcargo Gati, shared insights on how the company is gearing up for the festive season. “We expect the festive season demand to reach higher peaks this year on the back of positive consumer sentiment. To meet the growing demand, we have enhanced our operational capabilities with an outlook to further bolster it in line with the demand growth. We have also deployed new-age technologies to build operational resilience. We will continue to expand our order fulfilment, processing, and delivery network across the country to serve more ecommerce and online marketplace players.”
Allcargo Gati has already launched last-mile delivery operations for ecommerce giants in key locations in Maharashtra and West Bengal. With 15 mother hub sorting centres, the company is capable of handling more than the usual capacity during the festive season. Additionally, Allcargo Gati has boosted its manpower supply by partnering with six more staffing solutions providers and plans to hire over 3,000 people in operational roles. To optimise efficiency, the company has incorporated double-deep racking, conveyors, and advanced hand-held terminals, alongside digitising operations and adopting data-driven route optimisation solutions.
Expanding Infrastructure To Meet Festive Demand
Anshul Singhal, Managing Director of Welspun One and Chairperson of Assocham National Council on Logistics & Warehousing, emphasised the strategic expansion of their warehousing capabilities to cater to both urban and non-urban centres. "At Welspun One, we have observed a substantial rise in demand from our clients in the FMCG, e-commerce, and quick commerce sectors as they prepare for the festive season. This demand is driven from the urban centres as well as tier 2 and 3 cities that seem to celebrate festivities with equal fervour. We are very well positioned to meet this demand, with the largest Grade A warehousing in Bhiwandi along with facilities in cities like Lucknow, Farukhnagar, Bagalur, and Chinnambedu to cater to the increased festive requirement for metros and non-metro cities. These well-placed warehouses ensure faster turnaround times and offer seamless connectivity, allowing our clients to meet the festive rush and rising consumer demand."
Welspun One’s scalable warehousing solutions allow clients to expand their operations vertically without significant investments, maintaining cost efficiency and high operational standards. This adaptability is crucial for businesses looking to manage the festive rush effectively.
Leveraging Technology And Government Initiatives
Pushpank Kaushik, CEO of Jassper Shipping, highlighted the role of technology and government initiatives in streamlining operations during the festive season. "In the festive season, timely deliveries and fast turnaround become crucial. And to meet heightened demand, we are leveraging technology for better transparency and efficiency, utilising online processes to cut down time, and taking advantage of government initiatives like ULIP and logistics parks for warehousing. This helps us manage the increased demand and streamline operations. With the surge in e-commerce and international trade, technological advancements and infrastructure improvements, such as GST and the National Logistics Policy (NLP), are transforming the sector. These changes aim to minimise delays and reduce lead times, ensuring a smooth and efficient supply chain during this peak season."
Role Of Temporary Workforce And Skilled Labor
Sonal Arora, Country Manager at GI Group Holding, pointed out the increasing reliance on temporary workers to handle peak workloads. "In recent years, within the Logistics Industry, job roles for customer service, last-mile delivery, and warehousing have seen consistent demand, particularly as logistics companies expand their reach to tier 2 and tier 3 cities. Further, with the upcoming festival season, there is a huge demand for the above roles in Logistics and E-commerce industries, with a growing emphasis on the need for skilled labour to ensure smooth operations during peak times. This has led to these companies engaging Temporary Workers to fulfil their staffing requirements. While technology remains a cornerstone of the logistics industry, companies now also rely on temporary workforce, equipping them with the necessary training to be productive and handle peak workload during the festival season."
Infrastructure Expansion In Tier-2 And Tier-3 Cities
Aditi Kumar, Executive Director of TVS Industrial and Logistics Parks, shared insights on the importance of infrastructure expansion in non-metro areas. “Over the past few years, we have observed that consumer spending tends to increase as the festive season approaches, leading to a surge in demand. Consequently, the industrial parks or warehousing industry is also experiencing significant growth. This increase is driven by the rapid expansion of e-commerce and increased demand in sectors such as FMCG, home appliances, automobiles, and electronics. We at TVS ILP have also seen this rise in demand during the festive season, especially in Tier 2 & 3 cities. Hence, we have strategically expanded our presence in key Tier-2 and Tier-3 cities, such as Vijayawada, Cuttack, Coimbatore, and Siliguri to help companies efficiently meet consumers' demands."
TVS ILP’s focus on tailored solutions ensures that logistics operations remain optimised, even during the busiest times of the year. The company is scaling its capabilities to meet the expected 18-20 per cent growth in the ecommerce sector during the festive season, implementing advanced automation and ensuring safety protocols are in place.
Ensuring Efficiency And Reliability
Samvid Gupta, Joint Managing Director of Gateway Distriparks, emphasised the importance of reliability and efficient logistics management. "In volume and growth-driven periods such as the festive season, a reliable logistics partner is crucial for both consumers and businesses. As a leading logistics provider, Gateway Distriparks and group company, Snowman Logistics, are prepared to handle the surge in demand during this time. We've been forecasting trends and enhancing our operations to ensure seamless transportation across our operational regions. We've upgraded our systems with real-time tracking and automated solutions, optimizing distribution routes for efficiency and ensuring smooth cargo movement within our network. Our transport teams work diligently to maintain uninterrupted service, allowing our partners to keep their shelves stocked."
Customised Solutions For Retail, Manufacturing
Raghav Singhal, Executive Director of Om Logistics, highlighted the company's tailored solutions for retail and manufacturing clients during festive seasons. "As a trusted B2B logistics partner, Om Logistics supports clients in retail and manufacturing during festive seasons. We understand that this period brings increased demand for our clients in these sectors. At Om Logistics, we rise to the challenge by delivering tailored supply chain solutions that ensure seamless operations and exceptional service. Our commitment to efficiency and reliability empowers our clients to focus on capitalising on festive opportunities, confident that their logistics are expertly managed and fully optimised by us."
AI, Automation In Retail Logistics
Nishith Rastogi, Founder & CEO of Locus.sh, discussed the transformative role of AI in retail logistics. "Retail businesses are in preparation mode as we approach the festive season of 2024. Artificial Intelligence (AI) is making waves, promising to shake up the industry like nothing since online shopping burst onto the scene. For retail logistics, this tech revolution couldn't come at a better time, especially when tackling the constant demand of meeting sky-high consumer demands during peak seasons. Consider virtual assistants, for instance. AI-powered agents and chatbots are set to turn customer service on its head, offering non-stop, personalised support, dishing out real-time shipment updates, and even handling returns. It's not just about keeping customers happy (though that's a big win); it's also about slashing operational costs and keeping everything running like a well-oiled machine."
Meeting Festive Rush With Advanced Solutions
Raju Sinha, Chief Business Officer (CBO) of Fship Logistics, highlighted the company's approach to managing the festive rush. "As the festive season approaches, excitement and anticipation are building across every corner, and the logistics industry braces for the festive rush. This vibrant ecosystem creates a significant surge in order volumes and heightened customer expectations, which brings both challenges and opportunities for the logistics sector. Fship, as a leading shipping aggregator, leverages cutting-edge technology to streamline the logistics process for its users. The influx of orders requires logistics providers to quickly adapt by expanding their capacities and improving operational efficiency. With our advanced AI-driven platform that optimises order allocation across 15 courier partners, Fship ensures efficient and seamless management of high order volumes, particularly during peak festive seasons."
The logistics sector in India is proactively scaling up and innovating to meet the festive season's high demands. From leveraging cutting-edge technology and expanding infrastructure to hiring temporary staff and enhancing operational efficiency, companies are leaving no stone unturned to ensure a seamless and efficient supply chain. As consumer expectations continue to rise, the logistics industry’s role in ensuring timely deliveries and customer satisfaction will be more crucial than ever.
