Mahindra Logistics Limited (MLL) – An Overview

Started in 2001 One Stop Solution for all Transportation Needs

1 Customer
Sector End to End Solutions Expertise. RELIABILITY

TO 450+ Customers
5 + Sectors Building Platform for Make in India to Move in India

BEST 3PL COMPANY IN INDIA

Our Vision Truly Hedged Our Business Our Purpose

Company Model
Be a Rs. 6,000cr Logistics We cater to Multiple We work on Asset Light Accelerating
service provider by 2021 Industries such as Auto, Model and by the virtue of Commerce,
delivering consistent Engineering, Consumer, our network of partnerships
presence and solution based Empowering
customer experience in Pharma, Ecommerce and
defined industry verticals Bulk approach, have been one of Communities to RISE'.
through customised, the fastest growing 3PL
technology-driven solutions. company’s in India
 We are an End to End Supply Chain Solutions Company

People Transport
Supply Chain Management (SCM)
Solutions (PTS)

Transportation Warehousing Value-added BFSI + IT

Driven

Core Business with 1.5-2x Transportation High ROCE + Solution Fulfilling People
improving efficiencies Margins Driven Transportation needs

• Legacy Volume based • Manage 15.7mn sq. ft. at • VAS services help the • Cater to the daily pick-up
Business multiple locations across customer eliminate need and drop requirements of
India to depute dedicated enterprises
• Scale of operations and manpower
the technologies deployed • Mix of built-to-suit, • IT enabled solution offers
ensure that solutions dedicated and multi-user • Allows customers to focus in-house and customized
offered are economically warehousesSpecial focus on ‘their core’ solutions
efficient and time bound on SMB and midmarket • Solution based approach;
works with customers to • Our asset-light model gives
space
• Focus on Higher Return us flexibility and scalability
ensure that the desired
Loads ensuring better • Taking Strategic positions whilst allowing us to focus
effect with the goods is
on integrating resources
utilization and margin via Multi Tenanted achieved upon reaching its and providing a one-stop
uptick warehouses consumption destination solution

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 With our Strengths…we are redefining Logistics in India
Integrated End-to-
Asset Light Model End Solution Across Industry
which brings in • Transportation Verticals
• Scalability • Warehousing • Auto & Engineering
• Flexibility • In-Factory Logistics • Consumer & Pharma
• Capital Efficient • Other Value-Added • E-Commerce
Services • Bulk

Technology Driven
Customized Solution Strong Clientele Base • Model, Design & Optimize Supply
driving • Industry Leaders Chain
• Efficiency • Long Term Relationships • Manage Inventory & Supply Chain gaps
• Enhanced Productivity • Associated with Strong • Optimize Transportation Routes,
Networks & Consignment Loads for
• Suit to Business Solutions MAHINDRA Brand
Cost Optimization

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 Our Journey So Far
 Acquired strategic stake in Transtech Logistics (ShipX)
FY’19  Increased stakes in Lords from 60% to 82.92%

 Successfully completed the IPO  Acquisition of Lords and formed 2X2

of the company – largest ever Logistics as a JV
IPO in the Indian logistics sector FY’18 FY’15  Global strategic consultancy firm assisted
 Consolidated revenues crossed with business transformation
INR 3,400 Cr, and PBT crossed
INR 100 Cr

New Management team focused

Attracted PE investment from Kedaara^

FY’14 FY’11 on building 3PL and logistics
capabilities

Mahindra Logistics Limited (MLL) founded and FY’09 ……….. Previously a part of Mahindra & Mahindra
logistics\ business of M&M transferred to MLL

^ Normandy and Kedaara AIF

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Awards & Recognitions
NITIE Awards: MLL won 3 silver awards
CII SCALE Award for overall excellence
Nagpur team won a Gold medal at the Chapter Convention on Quality Concepts
FY19
Mahindra Innovation Awards: Gold award for Mobile Dock Leveler
Nagpur team won the Gold award for ‘Best Safety Practices’ at the Glow Care Awards
MLL General Motors team won an award for excellence at the National Convention on Quality Concepts

SCALE Award for Overall Excellence

FY18 “The Best Indian 3PL company of the year” at the Global Logistics Show
MLL wins “3PL Achiever of the Year” Award at the Global Logistics Excellence awards

‘3PL Achiever of the Year’ award, Global Logistics Excellence Awards

Logistics Company of the Year, SCALE Awards
FY17 ‘3PL Company of the Year’, Logistics Asia Awards
Customer Award: Honda Motorcycle & Scooter

Best Warehousing Practices, IIMM

FY16
Excellent Position in Supply Chain & Logistics 3PL, SCALE awards

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 3PL Logistics
Industry Overview

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 3PL Logistics Industry & Growth Drivers
USD bn

Room To Expand# 11%

CAGR 18% Industry Growth*
17.8
Globally the 3PL market 5.9 3PL Industry is estimated
6%
is ~11% of overall to grow from 5.6 Bn in
logistics market. In India 5.6
11.9
FY18 USD to 17.8 Bn USD
2.1
it is ~6% 3.5
in FY25
3PL FY18 FY25E
India Global Warehousing Transportation

Economic
3PL Growth Drivers
GST E-Way Bill Infrastructure
Implementation Implementation Creation
Customer

Focus on Core Technology

Value Added Flexibility &
Business Driven
Services Scalability
(Outsourcing) Solutions

Source: *Edelweiss Securities Report on Logistics Sector

#Equirus Securities Report on Logistics Sector 9
 3PL Business Model
Benefits Advantages
Vendor Customer
Flexibility & Scalability
Higher Utilization
Customization

Strong Relationships Quality Assurance

Visibility
Accountability
Third Party Logistics (3PL)
One Point Dealing One Stop Solution

Geographical Reach

Year-Round Business Professionally Managed

Services

Raw material In-Bound /Out- In-Factory Technological Inventory

Warehousing Packaging After Sales Advancements like
Sourcing Bound Logistics Logistics Management
tracking & Control

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 Draft National Logistic Policy : Boom for Logistic Industry
To drive economic growth and trade competitiveness of the country through a truly integrated, seamless, efficient,
Vision reliable and cost-effective logistics network, leveraging best in class technology, processes and skilled manpower

Reducing Logistics Cost

Promoting Green & Optimizing Model Mix;

Sustainable Logistics First & Last mile Connectivity

Key
Strengthening of
Enhancing Skilling in Focus
Warehouse Sector
Logistics Sector Areas

Promoting E-Commerce Trade Development of Multi

Model Logistic Park

Improving Road Transportation

Given the pivotal role of the logistics sector in the development of the economy and the need to incorporate learnings
Objective from global best practices, the policy outlines an ambitious set of objectives
Source: KPMG Discussion Note on National Logistics Policy 2019; June 2019
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Mahindra Logistics Ltd
Our Business

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 1. Supply Chain Management
National Transport In-Factory Stores & Line Feed Warehousing & Consolidation

at 50+ Manufacturing locations

24 350+ 20+ across India
16.4* 50+
Operating Network Hub Mn. Sq. Ft
Offices Stockyards
Locations Locations Under management

Supply Chain Warehousing - inventory

Consulting & order management

Freight VAS (e.g, Packing,

Forwarding labelling, kitting)

Transportation Distribution
In-factory stores & line
feed

*As on H1FY20
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 1.a. Transportation
Odd Dimension Cargo
Route Planning
(ODC)

Customized network optimization Tailored transportation services to

that ensures safety, security and on- handle oversized cargo safely and
time delivery effectively

Reverse Logistics Transport Desk Model

One-stop solution for FMCG returns. Taking up transport management of

Pick-up from distributor, organizations on "as-is" basis and re-
engineering operations as well optimizing
consolidation, dispatch to
processes ensuring the most efficient
destruction site and certification solution

Consolidation and
Long-haul, inbound, Finished goods yard
distribution through Last Mile Distribution
outbound, milk-run management
cross docks
End-to-end management: From collection, More than 1000 vehicles catering to 50+
Hassle-free transportation with our Extensive network for express inspection, storage, maintenance, supervision cities with three models as per customer
end-to-end solutions ranging from service with 20+ cross-docks serving and hand-over along with value added services
for quality control, damage repair, efficient
requirements viz. local distribution model,
milk-run, long haul and last mile 14,000+ pin codes space utilization, effective cost management service provider model and unique
deliveries amongst others. distribution model

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 1.b. Warehousing & In Factory Logistics

Warehousing In-Factory Logistics

 Storage Management: Space optimization, In-store movement  Stock Receipt, Stacking and Tracking
optimization and configurable load setting
 Re-order Quantities
 Inventory Control: Item-wise / Location-wise inventory control with
Traceability, Recall capability, Ageing Analysis and Perpetual cycle, count  Inventory aging process and High value inventory maintenance
 Order Management: Bar code-based location & item management to
deliver on time  Production plan: Pull out, Sequencing, Kit loading, Trolley loading,
 Smart Packaging solutions / Article Tagging/ Quality Check Double binning and Trolley line up
 State of the art multi-user warehouses with latest and proprietary  Replenishment and Returns tracking
technology enabling higher efficiency
 Strategically located stockyards pan-India to include large format multi-  High value tracking: Kit tracking and Bin tracking
brand stockyards in key locations, ensuring flexibility and scalability  Process to Minimize line disruptions

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1.c. Value Added Services
Kitting is the process of grouping, packing, storing and transporting individually separate items which are
related to each other, as one unit. Kitting is one of the most availed VAS by auto OEMs and Consumer
Kitting product companies. All MLL warehouses are well adept to provide kitting services to its customers at a
very short notice.

The process of removing something smaller (in large quantities) from a larger package is termed as bulk
breaking. This is one of the most availed services of Consumer product companies. Goods that are either
Bulk Breaking imported or made locally are transported to the nearest MLL warehouse. Here, depending on the
dispatch requirements, the respective quantities are removed from the bulk and further transported.

The advent of technology has made the use of bar codes prevalent in all walks of life including
movement of goods across points. As the name suggests, labeling is a VAS availed by all customers on a
Labelling frequent basis at MLL. It is used while kitting or bulk breaking activity when the original label is deemed
ineffective if the goods are intended to be transported further.

Bundling Generally, bundling is considered as the opposite of bulk breaking. Again one of the most sought after
VAS from MLL, the consumer product companies are regulars to avail this service.

Customized This VAS is generally availed if any of the above services are used. Essentially, the resultant packages are
very different than the original if in such cases. Due to its different sizes, special packaging needs to be
Packaging
devised so as to achieve optimum costs of logistics.

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 2. People Transport Solutions
Offering

13 200+ Corporate
Offices Operating Sites People
On Call Events
Pan-India Service Transportation
Transport

4500+ Drivers Sectors

4000+ &
Vehicles Deployed
Everyday
500+ Business
Partners
Manufacturing &
IT & ITES BFSI Consulting

Services Provided to
100+ One of India’s largest organized Asset Light
80,000
People Everyday Customers player offering technology enabled
People Transport Solutions (PTS)

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Map not to scale. All data, information and maps are provided “as is” without warranty or any representation of accuracy, timeliness or completeness.
 MLL is a Differentiated Play in Logistics

3 PL 2 PL
Asset-light / Low capital outlay Asset-heavy / Capital intensive
• One Stop Shop for
End-to-End logistics
logistics end-users Limited transportation and warehousing services

Provides value added services

No value-added services
• Pursues a unique ‘Asset-
Offers scalable, flexible & customized solutions
light’ business model to Limited scope to scale-up & provide flexible &
customized solutions
Vast resource network
provide customized
Restricted resource network
High return ratios logistics solutions across a
diverse set of industries
Operates with latest IT software’s and Apps Relatively low return ratios

MLL is one of the Pioneers of 3PL model in India

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We are Technology driven in our Approach
TRANSPORT MANAGEMENT SYSTEMS

 Mahindra Integrated Logistics Execution System (MILES):

Exclusively for the transportation of finished automobiles
 MyCargo360: a flexible and scalable TMS  Service Quality  Training
 PTS platform: end-to-end operations  Operational Excellence  Awards
 Lean Six Sigma  Audits
 Safety
WAREHOUSE MANAGEMENT SYSTEMS

 Configurable based on complexity, and specific needs of

clients
 Mahindra WMS: designed and developed by MLL
 Also implementing the Oracle Logfire WMS

DIGITIZATION

 Digital and transformation office established

 Digital roadmap covering internal operations, interface with
business partners and customers under implementation
 Capability building to support the above underway

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 Our Digital and Analytics journey at MLL
One Touch portal for Business Partners
Analytics One-stop shop for Business Partners from identification and onboarding
Using advanced analytics to improve planning, tracking and overall to complaint management and invoicing; to improve experience, track
service efficiency and visibility
efficiency through route-optimization, route-stitching, business
intelligence dashboards, smart pricing tools etc. IOT Enabled warehousing
Develop new age warehousing for Manpower productivity
Telematics tracking, Machine mapping and Utilization tracking,
Advanced Telematic based solutions to enhance efficiency and inventory tracking and management
visibility for end customers: • Safety solutions • Vehicle
performance and tracking • Driver performance
Digital Proof of Delivery
Presence Management Intervention to digitize proof of delivery to
reduce billing cycle significantly
App based system for our contract workforce to improve
compliance, safety, track productivity and efficiency

We use Digital and Analytics to impact Business Outcomes

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Our Sectors of
Expertise

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 Our Diversified Sectors
• 15 Consolidation and De-Consolidation Centers in India
Auto & • Provision on Mapping routes for Time efficiency
Engineering
• Strong Partner network of Transporters for local and long-haul routes

• Strong Pan India Distribution network to ensure capabilities in Stores and Line
Consumer & feed

Pharmaceutical • High delivery reliability at 97%

• Over 35+ in-plant logistics for different customers
Our Sectors
of Expertise • 52 cities, 700+vehicles and 150,000+ shipments per day under the alternate
distribution model
E-Commerce • Last mile delivery for 44 centers and 30,000 units per day
• Sort Centers, Hubs across cities, Line haul – 60 routes, 17 cities, 1800+ trips a
month

• Specialized in Steel, Cement, Polymers and other bulk movement project

Bulk cargo and ODC shipments
• 22 Consolidation and De-Consolidation Centers in India

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