Mahindra Logistics


Mahindra Logistics actively works to reduce the impact of the Green House Gases (GHS) on the environment as a part of its sustainability initiatives. As most of the activities of MLL involve transportation in some form or the other, GHG reduction is one of the key focus areas for MLL in the next few years to come.  


As part of this program, some of the initiatives that have been kicked off are:

Green Supply Chain

  • Network Optimization

By aggregating the loads across its network, MLL is able to deploy the right type of vehicle to  meet this aggregated loads without compromising on the service levels  ensuring no delivery and damage free deliveries. 

After studying the volumes and frequencies of each of the transport locations, an optimal transport network solution is arrived at.  Accordingly, Cross Docks (Consolidation / De consolidation centres) are established. The outcome of this network Optimization exercise is in the form of a vehicle that achieve its full capacity utilization to its destination plants thereby optimizing the per unit consumption of fuel. This results in meaningful GHG reduction leading to a significant saving of fossil fuel per annum.

MLL is working closely with all its customers, to extend its Network Optimization concept thereby achieving greater GHG reduction. 

A similar concept of network optimization for people transportation is also in the development.  

  • Load & Vehicle Optimization

Besides Network Optimization, the redesigning various fixtures / packing /  carrying fixture of the transport vehicle also help in optimizing the capacity utilization. This directly results in lowering of fuel consumption thereby reducing the GHG emissions. Activities like these help to accommodate more number of units in the vehicle thereby reducing the number of trips. The load is also optimized by taking into account the minimum idle time and dead runs of the vehicle leading to lower GHG emission for same activity.

Similar activities for reducing dead runs and idle time are being built into the people transportation vertical as well.

  • Some other initiatives for Green Supply Chain include
    1. Waste Recycling: E.g. recycling of oil, tyres and batteries
    2. Energy efficiency in warehouses and office premises
    3. Paper usage reduction

Responsible Product Development

  • Alternative mode of Transportation

In order to reduce the GHG emissions further, MLL is also working on alternative modes of transportation with reduced GHG emissions. As a result, we have started using rail roads to far off locations where the emission levels are relatively lower.   

  • Alternative fuel

Wherever possible, MLL deploys vehicles that work on alternate fuels which are environmentally friendly. As part of this initiative, MLL uses Reva vehicles (electrically powered) in some of its customer premises.

In addition, MLL also deploys CNG commercial vehicles in some of its routes. 

  • New Fleet Induction

One of the newest initiatives taken up by MLL, this aims at replacing the older vehicles with higher emissions and lower fuel efficiencies with newer vehicles that are fuel efficient and low on emissions. Since we do not own any fleet ourselves, the message of sustainability coupled with business logic is being explained to all its vendors to upgrade their fleet to newer technology vehicles.  

Case Study of Falcon

MLL launched an ambitious program to have better control over operations and improve profitability. The project was named FALCON – Freight And Logistics Control. The key areas covered in this project were:

  • Influenced the behavior of the operator 

In order to influence the behavior of the operators who are on 3rd party contract, MLL launched a series of engagement programs for drivers and supervisors at the operating sites.

Under the driver engagement program the following areas were covered:

  1. Safe / Soft / Efficient driving skills
  2. Vehicle Maintenance Tips
  3. Health & Finance Management tips
  4. Loyalty based Insurance Coverage – Life insurance coverage after 6 months of service and medical insurance after one year in MLL operations
  5. Performance Based Rewards & Recognition program

Under Supervisor engagement program the following areas were covered:

  1. Career Progression Path – This involved gradation of people and chalking out a clear career 
  2. progression path onto MLL Roles based on performance
  3. MLL Uniforms were issued to instill a sense of team and ownership
  4. Training – to upgrade their skill sets that would help take up bigger and higher roles
  5. Performance Based Rewards & Recognition program
  • Asset Quality Maintenance
  1. Scheduled Maintenance - Under this program, a vehicle database is being created in the system that will provide details of the scheduled service date and send out alerts for the operations team to schedule maintenance. This would help minimize road breakdowns of the vehicle and increase customer satisfaction as well as fuel efficiency.
  2. Daily Quality Checks - Under this program the vehicles will be checked for physical quality parameters like cleanliness, accessories as required, air pressure in the wheels, fuel and oil checks and other documentation requirements.
  • Asset Productivity

In order to achieve Asset Productivity, MLL has deployed best of breed technology to optimize the vehicle capacity utilization and route optimization. This is being deployed in selective cities and sites which would enable increase in productivity of MLL’s operations. This would be possible by increasing the fill factor of the vehicles as well as reducing dead runs. 

  • Establishing CO2E Baseline

As part of this exercise, MLL measures and tracks the carbon foot print per transported person kilometre or per transported vehicle kilometre or per transported unit kilometre – across its supply chain management and people transport solutions operations to arrive at the average fuel consumption across India. 

The enormity of data collection is overcome by the use of technology - MILES solution is deployed for operational data collection and collation.

Benefits of Project Falcon

Some of the estimated benefits of project FALCON are listed below:

  1. Vehicle Utilization – In the pilots that have been taken up, it has been observed that the vehicle utilization went up by 15 – 20%. The vehicle fill factor increased and idle runs reduced on account of deployment of technology for running optimization programs
  2. Driver & Supervisor Retention – MLL has noticed a reduction in attrition rates of drivers and supervisors, leading to a better SLA adherence and customer experience. The Supervisors Career Progression Path has been rolled out to all Supervisors.

MLL has noticed in pilots that the mileage has improved and on-road breakdowns reduced on account of vehicle maintenance.