Aadyam Infotech

Pune

Location 1

101/102, Crystal Premier,
Survey# 22/7/2, Plot# 6,
Behind D-Mart, Near Nandan Prospera,
Balewadi,
Pune - 411045
+91-020-67198881

Location 2

Venkateshwara Nest,
Gajanan Maharaj Nagar,
Katraj - Gangadham Road,
Kondhwa (BK),
Pune - 411048
+91-20-67198888

Mumbai

Location 1

305/6 Everest Heights,
Lake homes compound,
Near Powai Vihar Complex,
Powai,
Mumbai - 4000076
+917798930003

Smart Deliver System – A case study

  • Case Brief

    HP Gas, the HPCL brand of LPG, is what keeps the fire burning in millions of Indian homes.

    Bottled at 50 LPG Bottling Plants throughout the country with a total capacity of nearly 5,582 TMTPA(thousand metric tons per annum) HP Gas today (As of March 2020) has over 85 million domestic LPG consumers catered through a network of over 6,110 distributors.

    Here are the key issues that this OMC (Oil marketing company) & it’s distributors were facing earlier:

    • Uncertainty in LPG delivery to consumers
    • Mandate to deliver cylinders in >=2 days
    • HPCL business is dependent on LPG distributor’s performance
    • High infrastructure and increasing fuel costs trimming Distributor’s profit margins
    • Delivery planning is haphazard and distributor has nearly zero visibility & control

  • Target Market / Customers

    • Customer looking for portability & Multiple connections due to high delivery backlog
    • Domestic customers using 5 Kg FTL
    • Commercial segment of LPG market
  • We provide a robust delivery system which will provide you with:

    • Automated real-time resource allocation
    • Comprehensive analytics dashboard for visibility of your complete field movements
    • Automated delivery route optimization
    • Highly predictive ETA calculation with real-time change consideration
    • Automated capacity and volume tracking
    • Geo-coding and geo-fencing, for hub in and hub out transperancy
    • Seamless Integration With Api
    • Real time tracking of a delivery personnel
    • EPOD (electronic proof of delivery) and increased transparency & instant feedback
  • This will result in

    Increase trust

    91%

    Minimize cylinder inventory

    55%

    Shortest delivery time of cylinder

    67%

    Service Excellence

    73%

  • Resource Management

    This process is used to manage the delivery performance of a delivery boy. We take into consideration the no. of vehicles available with Distributor and the no. of delivery boys available for deliveries.

    A specific area and vehicles are assigned to each delivery boy. The performance is measured based on the no. of delivery bookings available and actual deliveries made by him in a particular area.

    A daily sales average is taken into consideration to calculate the performance output. A cluster wise resource performance is monitored based on the active users, the average refill sale and the gap associated with the deliveries. Since the performance of the delivery boy can be monitored by the dealer he can take corrective measures to fix the issues & improves his efficiency.

  • Route Optimisation

    In the current system the bookings are registered with the office and deliveries receipts are generated by them. However, once these receipts are handed over to delivery boys the deliveries are prioritized by them.

    For a business, controlling delivery time and mileage of a vehicle are essential for profits. By designing the optimum set of treatment routes, reductions in repetitive routes can be achieved with Route Optimization technique. The bookings can be made available on delivery boys hand held device. Based on the delivery area and vehicle assigned to the delivery boy, AI system will determine which location and customer to be served.

    The vehicles are re-routed from one delivery boy (Cluster A) to another (Cluster B) based on the demand and supply efficiency. We take into consideration the current resources available with the dealer, such as no. of delivery boys, no. of vehicles available for delivery and based on AI it determines how, when and where the delivery boy should visit to reduce the backlog.

  • Innovative Features

    • Population of consumer’s Geo-Location by the Application
    • Inbuilt Route Optimisation – Traffic/Pending Booking/Vehicle
    • Automatic Notification of Delivery Man in vicinity during booking Cycle
    • Area wise Identification of bottlenecks in Delivery Infrastructure
    • Area wise Delivery Performance of Distributor
    • Creation of Delivery Metrics per Area / Consumer – SLA
    • Consumer to receive estimated Delivery time
  • Commercial Strategy & Impact for OMCs

    • Dynamic transfer of Customer bookings across distributorship to contain backlog areas within inter distributorship across delivery boys and intra booking transfers across distributorship.
    • Improve customer satisfaction
    • Improve brand loyalty

    Increased route optimization

    45%

    30% increased route visibility

    30%

    Increased no. of deliveries

    45%

    Decreased turnaround time

    40%

    Increased ETA accuracy

    30%

    Decreased in delays

    12%

    Increased location intelligence

    25%

    Decreased extra resource costs

    25%

    Decreased vehicle maintenance

    19%

    Decreased loading/unloading time

    30%

    Increased vehicle fleet utilization

    25%

    Increased operational span

    30%

  • Business Scalability

    • Addressable market size is ~6100 HPCL distributors, ~7.2Cr. Domestic customers & 15-20% Non Domestic volume of total LPG sales
    • The App can be further leveraged to increase sales of Non Domestic , 5Kg FTL consumers
    • Estimated YOY growth rate is 5-10% LPG sales
      • In rural market prospect for conversion from alternate fuel – 10%
      • In urban market – Multiple connections, Customer portability – 15-20%
  • Risks

    • Dependency on Distributor
      • Area cluster formation
      • Mapping of distributor delivery Infrastructure
      • Updation of Consumer Address / Mobile no
    • Future Govt. restriction on Tracking Geo location or technology licencing
    • Change in Business Process
    • Training of Delivery Men / Distributor Staff