Managing the network, efficient systems
With the belief to achieve higher deployment of capital this financial year, Himanshu Meena, Founder & CEO, Parsel, talks to CARGOTALK about the start-up eco-system, importance of technology and achieving efficiency.
and making it under-utilised. This leads to inefficiencies in the overall supply chain. Using technology improves the supply chain management system by connecting the consumers directly to the service providers improving the overall operational efficiency. How many deliveries do you manage in a day?
Currently in the scope of our working capital we are completing 15,000 intra-city deliveries per day in Delhi-NCR, Mumbai and Pune collectively. Despite being operational only for eight months, we recently achieved gross margin positive at the end of March. This year we plan to launch the services of Parsel in nine other cities. How do you perceive technology in your business? What technology are you using to run your deliveries? Technology is the backbone of the company to empower different stakeholders of Parsel, including the drivers, the demand side (clients and customers) and the Parsel management team to interact with them. The seamless interaction of technology with all stakeholders creates a sense of secure business environment in which they can operate freely which is exceptionally important in this industry allowing them to open their network to infinite number of vendors and customers which was not accessible previously. Currently we give three softwares for the different stakeholders: 1) The PVR App-is the driver side app. The goal of this app is to track all the inventory and the business it does. This app complements Parsel when it comes to reconciling data for invoiving and payment processing.
2) Parsel One Touch app generates demand and keep a track of inventory under utilisation. Clients in need of an intra-city logistics network come on board Parsel’s software so to state their requirement. Our back-end processes ensure the relevant supply is exposed to the client and the job is executed without any human intervention.
3) The APIs bridge the communication gap between Parsel’s delivery network and our clients. Parsel merged with year- sometime back? Why did you opt this merger?
Accord Ecom Solutions had a strong presence for e-commerce deliveries in 19 tier I and II cities. Through the merger we simply plan to leverage this demand into our present scope of expansion plans. Would you like to talk about your clients?
Unlike other hyperlocal logistics providers in the market, our clients include three broad categories; e-commerce, retail and corporate. Some of the clients to name would be Flipkart, Amazon, ITC group, Bisleri,Pizza Hut, KFC, Subway, a few chain of pharmacies, Faasos, iChef, among 800 such clients and their chains. Our clients are across platform that helps us utilise resources running at all times completing deliveries continuously. What challenges are you
on the way to growth? Slow evolution of the industry in terms of technology uptake considering its been a pen and paper industry historically. In addition, there are constant telenetowrk infrastructure problems by the government which need to be sorted. Operationally, catering to on-demand business models and per packet business models is a new kind of model which the industry has been constantly working on.
Parsel is the only such infrastructure available in the market that delivers across segments and geography through bikes and LCVs both. This allows for a flexibility in delivery based on sizes and the kind of delivery clients, food, e-commerce, big corporate houses. Additionally, owing to our focus on capacity utilisation of resources, Parsel is able to accomplish services levels economically.
Catering to on-demand business models and per packet business models is a new kind of model which the industry has been constantly working on
What are your expansion plans?
Our immediate expansion plans are going to be to expand our portfolio through big data analysis of the customer and businesses information flow. We plan to utilise all the information generated over purchase patterns, customer location, logistics flow along with data generated from ERP and POS systems for targeted business and marketing. The value of this data and subsequent analysis would massively improve the value of Parsel.