French 3PL company, FM Logistic, aims to double its revenue to €3 billion in 2030 with a strategy centered on omnichannel supply chain services, urban logistics, sustainability, distribution and customer experience. The company has outlined its strategy, “Powering 2030”, recently in Pune. FM Logistic aims to become a reference partner in the field of sustainable, omnichannel supply chains. Earlier this year, the company introduced its new tagline, “Supply Change”. The new tagline acknowledges that supply chains must transform to foster a more responsible consumption and sustainable economy.
To achieve these objectives, FM Logistic is ready to cater to the rising demand for omnichannel commerce, especially in urban centres, which is driving demand for outsourced logistics services. “FM Logistic has a comprehensive strategy to drive profitable growth. In a time of rapid change, our priority is to help our customers build sustainable omnichannel supply chains. Therefore, our 9-year plan puts customer experience and sustainability at the core of everything we do”, said FM Logistic CEO Jean-Christophe Machet.
In India, FM Logistic is one of the top 3 contract logistics service providers. Last year, despite the pandemic FM Logistic India added 10 lakh sq. ft. of warehousing space under its operations. This amounts to a 20% growth in its footprint.
Alexandre Amine SOUFIANI, MD, FM Logistic India, asserts: “Despite the economic turmoil caused by the COVID-19 pandemic, FM Logistic in India has proved its resilience. We recorded a growth of 58% in turnover during the first half of this financial year and we aim to finish the year at 35-40% growth. In our endeavour to become the reference partner in the field of sustainable omnichannel supply chains in India, we continue to carry out our expansion plans and reinforcing our offer of end-to-end supply chain services. We are focussed on developing Grade A Multi-client Facilities (MCFs), dedicated warehouses near our customers’ manufacturing centers, and modern urban logistic hubs – all interconnected with an agile and dense transportation and last mile delivery network. We continue strengthening our value added services like co-packing, automated labelling and last stage customisation for digital marketplace readiness.”
FM Logistic India is already making significant progress in executing Powering 2030. This year, they have been awarded new contracts in the FMCG, retail, omni-channel, e-commerce and engineering sectors. The most significant contracts being:
● A leading international e-commerce company has awarded FM Logistic India with a contract to manage its dry grocery hub in Bengaluru spread across 1 lakh sq. ft. This is an extension to the grocery hub being managed by the 3PL service provider in Gurugram.
● FM Logistic has entered into a contract to manage the end-to-end logistics activities for a leading beverage manufacturer. As part of the agreement, the company will manage customs clearance, secondary distribution, warehousing & handling and packaging of fragile items.
● FM Logistic has started managing the in-store logistics operations for a leading international home furnisher. On a daily basis, 300+ orders are processed through various sales channels like click & collect, home deliveries and walkin orders.
● A leading kids wear brand has boarded FM Logistic to carry out warehousing operations for their e-commerce fulfillment, processing approximately 2, 000 orders per day at FM’s multi-client facility in Bhiwandi.
● FM Logistic will be carrying out end-to-end supply chain services for a leading food manufacturer at its Bhiwandi MCF. Value added services and distribution activities are part of the agreement.
● On the distribution front, the company has signed contracts with leading players in the FMCG and engineering sectors.
The main impetus for this growth has been on account of great focus on developing the omnichannel and e-commerce service offerings for customers in the FMCG, FMCD, pharma, auto and engineering sectors.
Supply chains today need to be tailored to the needs of each and every channel. Sustainable Omni channel services are the need of the hour. To further strengthen its omnichannel fulfillment capacity, FM Logistic will be expanding its network of large MCFs, supported by investments in automation connected to a full network of urban logistic hubs. To cater to the growing demands of customers in urban areas, the company is developing a network of technology-driven, sustainable and compliant urban logistic hubs. These in-city hubs are designed to offer a full range of sustainable omnichannel services. These services include order fulfillment, last stage packaging customisations, digital marketplace, last stage readiness and cross docking. Green last mile delivery, too, is part of the offer thanks to its EV charging points enabled infrastructure. These in-city hubs are connected to FM Logistic’s large MCFs located outside city limits thus, enabling the offer of a complete portfolio of supply chain services. FM Logistic will also cater to Tier 2 & 3 cities by setting up warehousing infrastructure there.
With sustainable development at its core, FM Logistic’s sustainability strategy revolves around three priorities: employee wellbeing, the environment and eco-efficient services. The 3PL player has ramped up initiatives to include specially abled collaborators in its operations. Through the FM Academy, collaborators are groomed in best practices followed in the supply chain industry. This grooming through regular training helps them to move up the corporate ladder within the organisation. The company recently launched the “Young Talent Acquisition” program through which young professionals are recruited. FM Logistic India is aiming for a LEED Certification for its Farrukhnagar MCF – a first-of-its-kind certification for a 3PL service provider in India. Solar panels for energy generation, rainwater harvesting, sewage treatment plant, fully insulated for energy efficiency, drivers’ relaxations quarters, creche, training centres and medical room are now standard offerings at FM facilities.