Powering ABB’s supplies

Allcargo manages ABB India’s mother-warehouse in Bengaluru A 70,000-square feet facility, split into four different warehouses, each dedicated to specific products and specific business units of the same company, with one clear focus — on-time delivery. “Every normal order is taken more seriously here than a rush order in any other industry. And we collectively handle millions of units every month. That is the kind of excellence we maintain to ensure the client’s, and their customers’ satisfaction, through timely delivery,” says Kailasam Mahidar – AGM – solutions design (auto), in-charge of Allcargo’s Warehouse Management services at ABB India’s mother-warehouse in Bengaluru.

Perfect delivery

It’s the fusion of ABB’s culture of precision and Allcargo’s persistence for perfection that goes into the power major’s flawless supply operations, catering to customers across the country. The moment any distributor or end-user punches an order into the system, based on the availability of the product, the system will respond with an exact date of delivery. It is team Allcargo’s responsibility to make sure that the delivery is made on precisely that day. On-time delivery is the key deliverable. The Allcargo team brings its global expertise and local experience to maintain the fine balance between inventory costs and on-time delivery, giving ABB a distinct edge in the time-sensitive market. In an intensely competitive market, delay in delivery can deal a big blow to any company and on-time delivery is sacrosanct.

With ABB’s stringent processes and practices in place, the onus is on Allcargo to ensure complete compliance. ABB being in the energy sector, the level of compliance is very high and pre-determined. The marking on every product should be accurate and the packaging should be perfect.

Even within the tightly defined roles, the Allcargo team displays its brilliance in people and process management from time to time. “For instance, the standard time for unloading a truck is one hour, but we do it in 45 minutes. Our turnaround time is good and this extends to every function undertaken by our team. And this comes with our years of experience in the logistics space,” says Mr Mahidar.

Value addition

The sprawling ABB facility houses the four units in different partitions, each with its own revenue model and a separate billing system. ABB is a power company of scale, and this extends to the range of products handled at the Bengaluru warehouse — from small switches and circuit breakers to big inverters and solar panels. There are four different functions under one roof, and Allcargo’s market-leading capabilities are put to the fore in ensuring that each of the units function smoothly. The products come from the factory or are imported in uniform batches and the Allcargo team does the local assembly for the market. From giving laser marks with all the details of the product to putting stickers, there is a lot of value addition that is done by Allcargo.

“Our expertise goes beyond just managing the facility. We have deployed the best resources to create a hallmark of transparency and efficiency best suited for ABB,” said V Balaji, CEO, Avvashya CCI.

Products like fuses are grouped with the accessories supplied from sub-vendors and then repacked. It is Allcargo’s responsibility to keep an eye on the inventories and ensure that materials are available.

Client delight

Allcargo’s robust mix of functional and operational knowledge goes a long way in the smooth management of the ABB warehouse. Operating on a per-line basis, the Allcargo team is responsible for all the functions in each of the units at the warehouse. From handling and packaging to billing and dispatching, every role is assigned to the extensively-trained team members, with dedicated supervisors and managers monitoring every aspect of the contract. They follow cut-off time for the day’s orders, and even the last order downloaded from the system is dispatched on the very same day.

“Efficient operations are the landmark of any warehouse. Team Allcargo has successfully brought that,” said a spokesperson in ABB.

Allcargo’s outstanding performance in managing the warehouse has given such confidence to ABB, that it has reduced the deployment of its own managers from seven to just one now. The expanding of engagement with ABB is a testimony to Allcargo’s efficiency and expertise at managing the MNC’s warehouse. ABB has now partnered with Allcargo for a second warehouse — in Gurgaon — to effectively service the North Indian market, which is too distant from the Bengaluru warehouse.