Archit Agarwal, Director, MR Shah Logistics (P) Ltd., shares insights into how their partnership with Eicher and the OEM’s modern trucks and outstanding service support have helped them acquire a competitive advantage in the bulk liquid and chemical transportation industry. Rajesh Rajgor and N. Balasubramanian have the details.
OEMs and, to an extent, dealerships have historically focused on selling new automobiles, which is their core business. To be honest, until even 5-10 years ago, aftersales service support was often overlooked or given secondary importance because it was seen to be of less significance. As a result, after the vehicle warranty expired, it was not uncommon for individuals and corporations to abandon the brand’s network and take care of the maintenance of the vehicles at their own workshops or roadside garages. Things changed, however, almost as quickly as the BS IV and later the almost immediate BS VI emission rules were implemented in India.
Fast forward to the present day, CV OEMs in India have proven that they can deliver trucks that are uncompromising in quality, reliability and performance while also ensuring all-encompassing aftersales service support to ensure their customers’ vehicles are always on the job. The Eicher-MR Shah partnership is one such shining success story in the Indian CV industry.
Bhikhulal Agarwal, Director, started MR Shah Logistics in 1989 and just over three decades later, the company is today one of the largest players in the tanker segment in India. MR Shah Logistics transports key commodities such as petroleum goods, LPG and other gases, edible and non-edible oil, ACN, organic and inorganic chemicals and other hazardous and non-hazardous products across India. With a large fleet of specialised liquid tankers to transport such unique chemicals, the company has expanded into shipping specialized items, carving a niche for itself as a reliable transport solution-provider for customers across the country.
Sharing his views, Archit Agarwal, Director, MR Shah Logistics, says, “Over the years we have moved to handling specialised products like ammonia nitrate and acetic acid since they offer a little better margin over other products. Since 2015-16 we have added close to 300 vehicles to our fleet of which around 240 are from Eicher’s stable.”
The Eicher Connect
A friend of Archit Agarwal who was also looking for bolstering his fleet discussed the possibility of a vehicle that guarantees operational efficiency, driver comfort and robust aftersales service in the BS VI regime. It was this time when Eicher too had introduced its new heavy-duty trucks, taking its vision of modernising commercial transportation further. Riding on the success of its ‘Pro’ series, Eicher was on a launch spree of new technologically superior trucks. This appealed to the business sense of Agarwal and he ventured into buying Eicher trucks.
“Eicher trucks promise class-leading fuel efficiency and technology that enhances acceleration via a multi-mode system,” he says. “The vehicles are equipped with the Volvo Engine Management System, which provides precise fuel injection, as well as a powerful and dependable driveline. We were confident that a new fleet of Eicher Heavy Duty vehicles with such a storied brand history would improve all critical transportation metrics for us, including fuel efficiency, productivity, uptime and safety,” he adds.
In order to guarantee safe, prompt and complete delivery to any location in India, MR Shah Logistics has a large human network, cutting-edge infrastructure with respect to tankers and a fleet of 1,100 vehicles. “Our segment requires credible in-house vehicles and hence we have invested in bolstering our own fleets. This gives us an advantage over our competitors. Additionally, our headquarters at Gandhidham in Gujarat is outfitted with a sophisticated and up-to-date information and communication system that keeps the management aware at all times,” Agarwal states.
Committed to Lifecycle of Vehicle
The value-addition from Eicher that attracted MR Shah Logistics towards them was the aftersales and service. Eicher promises and delivers to provide unmatched customer service, reliability and repair quality through their nationwide dealer network. This appealed to MR Shah Logistics at a time when they were expanding pan-India.
“The transition to BS IV and then the BS VI emission norms was quick and that left many mechanics and drivers unable to handle newer vehicles in terms of maintenance and service. It so happened that due to some mistake they would trigger some sensor or code that would lead to a vehicle being off-road. At such a time, we rely on the quick service and maintenance offered by the OEMs.”
While Eicher’s workshop crew are trained and certified in order to maintain the best service quality standards, Volvo’s global technology expertise comes as a significant added advantage. Agarwal elaborates: “We were amazed with Eicher’s commitment towards the uptime of the vehicles. They could return the vehicle back on road from their dealership within a day. Their dealerships boast of diagnostic abilities and a thorough understanding of on-road problems. The service bays are outfitted with the most up-to-date equipment in order to provide speedy service and diagnostic system that is state-of-the-art.”
Notably, Eicher is equipped with support aggregates that will assist customers with a ‘fit first, fix later’ approach to ensure improved vehicle uptime. Eicher’s parts distributors ensure that parts are delivered quickly and with minimal delay to their clients. Eicher offers a warranty and genuine parts through its distributors in order to achieve 100% customer satisfaction.
A Time to Sow and a Time to Reap
MR Shah Logistics has been in the transportation of liquid materials since 1966. They have made a name for themselves on back of their quality tankers, be it SS tankers, hydrogen tankers, ammonia tankers or any other make. As the vehicle cost along with the niche tanker cost rose, the company expanded its operations all over India. Shares Agarwal: “We are looking at locations where there are opportunities for us to showcase our competencies. We have the right fleet, the right experience and years of legacy to prove that we are worth relying on. Recently, we won a large tender in North East and have a dedicated fleet running for the project.”
“There are many energy companies being established across the north-eastern and southern regions of India for ethanol as well as at several places for methanol blending. We look forward to have such relationships with companies where we can handle their inbound and outbound chemical and material requirements,” he adds. On the expansion note, Agarwal is quite vocal about the opportunities made available by the current government for the logistics players. Voicing praise for the work done on infrastructure and project approvals, he points out: “Unlike the previous governments, this government and its officials are highly dynamic and result-oriented. Be it the transition from BS IV to BS VI, approvals and developments of state and national highways or clearing a certain area for building a plant, the current government has ensured that ease of business prevails across the segments and projects get completed within the stipulated timeline.”
Building on the Bond
As MR Shah Logistics looks on the positives and aims to build on their current Rs 450 crore turnover, they would also want to firm up their fleet augmentation plan with Eicher. In return, Eicher too has upped its game plan to build a strong relationship with their customers by responding quickly in times of crisis. Another element that led MR Shah Logistics to choose the Eicher brand is driver comfort and brand acceptance. “Eicher understands how to make the transportation profession more comfortable and appealing to drivers,” Agarwal points out.
“The corporation has made a concerted effort to put driver comfort up front and centre as a primary buying factor for clients. This is a win-win situation for both the transporter and the driver, who benefit from a more productive investment and a more comfortable driving experience. Finally, this is an important factor that will attract aspiring drivers to the profession,” he claims.
Driver comfort is of utmost importance for any transporter. Eicher understands this well and hence emphasizes focus on drivers through its vehicle’s design, be it the driver-friendly cabins, or the industry-first features like fuel coaching and cruise control in its trucks. The OEM also focuses heavily on driver training to ensure the drivers are fully prepared to get the best out of the vehicles.
“Eicher’s brand promise has always been to offer better fuel efficiency compared to competitors; total cost of ownership is another prime differentiating factor. The company has always ensured the same with all their new products, aftersales service and involvement with drivers. We also tell them to guide the drivers who accompany the vehicles to servicing and maintenance appointments. It will make a significant difference in Eicher’s ability to get a competitive advantage. Their team instructs the drivers to improve mileage and this helps us commercially. On the whole, we are delighted with our partnership with Eicher and look forward to growing together with them in the years to come”, Agarwal sums up.