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Spotlight
Automotive Logistics

much quicker. This helps in improving
efficiency and productivity and also plugs
the gap in areas of the supply chain."
It is not about the supply time
but newer technologies bring higher
visibility, and companies are able to plan
and visualise their production better,
adds Malbarwala.

Electric blues & solutions
As automakers electrify and
computerise with the giant
leap towards electric vehicles,
semiconductor is the engine oil
which fuels this automation in the
industry, says Abidi of cargo-partner. utilised for more productive use and
“With the pandemic wreaking havoc higher throughput.”
on the supply, we seem to have At Maersk, the ambition is to work
endured the worst of the crisis but with our customers, evaluate their pain
this is not the end of this challenge. points and design solutions that address
There may be reduced demand due those pain points, the spokesperson
to high inflation and that may be the added. “Different companies have
breather for the auto industry but different challenges - for some, it could
with the era of electric and connected be costs, and through our integrated
vehicles dawning, semiconductors solutions, the idea is to bring down
will be required in larger numbers. the inefficiencies in supply chains to
Manufacturing is still not up to the the maximum extent possible. As an
level it should be.. so we may still example, when our customer ships
be witnessing staggered supply. cargo with us end-to-end, we are able
With incentive packages by the Moving batteries to have much greater control over the
government to start a semiconductor around the world brings movement of the cargo through its
manufacturing in India and new its own complexities and journey. This eliminates delays, and in
factories across the globe, there may challenges as well as a lot of cases, that could save money.
be a silver lining to the cloud but till The visibility tools also help in a similar
the time these plans fructify, there is opportunities. way where the transparency helps both
still a semiconductor crisis lurking on Fardeen Malbarwala our partners and us effectively plan for
the auto industry ecosystem and the Galaxy Freight contingencies in time."
automakers will still be vulnerable to
the demands of this new ‘oil’.” Future/outlook
Semiconductor availability - the worst helps organisations reduce supply Abidi says an electrified future in the
pain point for the auto industry over the chain costs with networked multi-client auto industry is intensifying, and this
last couple of years - is improving but is warehousing for last-mile delivery. Our exponential growth is attracting a lot
yet to get back to the pre-Covid levels, MCFs provide proven savings and tech- of interests in the business along with
adds Birani. driven visibility to our customers and climate control measures. "This growth
Every country, including India, is partners with investment-free vendor is irreversible and it is here to stay. An
now making significant investments management inventory (VMI), and plug- electric vehicle offers a clean and better
in semiconductor factories, and the and-play storage solution options that way of transportation. EV will reduce
government is also trying to woo in offer flexibility and scalability. the elongated supply chain with lesser
foreign chipmakers, says Malbarwala. “Understanding of the components of parts and lean manufacturing. To tap
“From an automotive perspective, the a vehicle and best practices in storage into this potential, we have to overcome
suppliers are now better prepared to and transportation by our experts and a lot of infrastructure challenges like
face the supply chain shortages and experts of OEM helps design optimised charging stations, battery and chip
stock more at their warehouses.” CKD kits that maximise the number of local manufacturing, and need key
vehicles per container for both imports stakeholders' collaboration with critical
Supply chain companies' role in and exports. We also provide line feed policy support.”
reducing OEM costs capabilities to the OEM with electric It is a long way to mainstream EV
High input costs are a problem for vehicles, enabling sustainability, and adoption but with auto companies
everyone, whether you're an automaker the use of MCF helps JIT operations, investing heavily, the change is just
or any other industry, says Birani. "KSH thereby allowing factory space to be round the corner, concludes Abidi. 
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