DHL to revolutionize logistics industry with SmarTrucking

In an effort to promote technology-driven logistics in India, Deutsche Post DHL Group (DPDHL) has launched DHL SmarTrucking aimed at fast and consistent transportation. We spoke to Mr. Neeraj Bansal, CEO, DHL SmarTrucking, to understand more about the initiative.

Mr. Neeraj Bansal, CEO, DHL SmarTrucking

Excerpts:

Give us an insight into the genesis of DHL SmarTrucking? How do you plan to champion the cause of Technology for Logistics (TechLog) in India, while the parent company DHL, with its existing footprint in the country, is more or less in the same line?

The Indian logistics sector is at a very interesting stage right now. On the one hand, there are some great initiatives that are creating immense growth potential in the sector, while, on the other, constraints continue to exist that are putting the brakes on this growth. At DHL SmarTrucking, we are determined to bridge this gap and increase the trust quotient in the logistics industry in India.

The DPDHL Group has been in the logistics space for a very long time, and we are amply supported by a global skilled and knowledgeable team that we are able to leverage to enhance our offerings to our customers. This heritage as one of the world’s leading logistics providers with around four decades of India experience gives us an advantage when it comes to understanding the Indian customer and the logistics landscape.

Our vision is to become leaders in the TechLog – technology-enabled logistics space – and to be agile in our offerings. DHL SmarTrucking is committed to pioneering TechLog, or technology-driven logistics in India. With this launch, we aim to revolutionize the Indian trucking industry by bringing together technology with global and local expertise.

Take us through the company’s differentiated offerings that establishes it into a reliable player in the Indian Logistics Space.

DHL SmarTrucking offers the fastest transit times with 95% reliability, and up to 50% reduction in transit times compared to traditional trucking, along with ease of use, end-to-end consignment visibility, temperature-controlled capabilities and real-time tracking that beats industry standards. Our solutions will benefit players from all verticals, as our offerings translate into real savings for all of them. At the moment we are running pan-India operations using a network of 16 Smart Hubs spread across the country. In addition, DHL SmarTrucking’s IoT-enabled fleet of vehicles ensure consistent and continuous environment control and monitoring to prevent spoilage in transit, with regular tracking updates and alerts that help businesses plan their inventory effectively. All these factors ensure best turnaround time, damage-free deliveries and temperature vigilance of the consignment transported

Please spell out the company’s infrastructure (fleet size, warehouses, technology available currently or aim to acquire), in order to cater to the ocean of varied transportation needs of customers in the country, both dry and cold-chain cargo.

We aim to build a 10,000-strong, IoT-enabled and temperature-controlled, fully-owned fleet and hire 20,000 drivers by 2028. DHL SmarTrucking and DHL SmarTrucking Coldchain provide road freight solutions for all sectors, including the automotive, dairy, e-commerce, packaged foods, pharmaceuticals and Quick Service Restaurants (QSR) industries.

DHL SmarTrucking Coldchain provides reliable and fast temperature-controlled logistics with 100% regulatory compliance and end-to-end visibility to facilitate businesses in leveraging this changing customer trend. The self-powered reefer units ensure temperature compliance in case of breakdowns or other emergencies. In all, we expect to ferry 100,000 tonnes of cargo every day.

What are the steps taken to acquire and build a pool of dedicated drivers, in order to enable you to offer pan-India services, while also ensuring that drivers do not end up over-working, leading to a dissatisfied and shortage of the important community?

At DHL SmarTrucking, each driver is recruited through professional recruitment agencies after a thorough process of recruitment – profile check, background verification, on-road test – and undergoes 4 different types of training, followed by regular refresher sessions. On the other hand, drivers’ driving behavior is captured using telematics and each driver is coached based on his specific requirement. Mobile apps further help drivers monitor their driving by giving real time alerts for harsh braking, etc.

Our innovative and agile driver relay model helps reduce fatigue among drivers who spend less time on the road, empowering them to avoid over-working and go home to their families every two or three days.

What is the average age of the fleet (make, model, GVW) and what do you do to manage maintenance and breakdown?

We announced the launch of DHL SmarTrucking in May 2018, and this was our first investment in an asset heavy fleet. Our dedicated fleet managers across India maintain quality standards, plan for contingencies, and do proactive maintenance checks on fleet.

What is DHL SmarTrucking India growth strategy?

Our aim is to disrupt the logistics industry in India through judicious and progressive use of technology, customized to the industries we serve. This is a long-term commitment and we will continue to invest as much as needed, as India is a key market for DHL.

We plan to own and put 10,000 SmarTrucks on the road and hire 20,000 drivers in the next 10 years. These trucks will be IoT-enabled and temperature-controlled which will enhance customers’ inventory management and enable them to reach customers and markets faster.