As someone who had a very close view of this business, I would like add to Saran’s pov.
Culture:
They have an extremely bad culture internally. 90% of their employees don’t even have something as basic as a company email id. Most of their workforce is at the client location and treated worse than a vendor.
Tech & Analytics:
One of the most important drivers for global logistic players (think Maersk) is their strength in analytics. Most logistic problems are at the core, an optimization problem. You might recall the traveling salesman problem that many of us would have learnt in school during math / statistics classes. Which also means that data science & analytics can be a key differentiator for a logistics company. Sometimes the difference between a double digit margin and a single digit margin.
Jockey:
Given this background, the management is extremely old fashioned with no willingness to embrace newer technologies / methods. In contrast, Delhivery leadership has shown its willingness to think differently, whether embracing reverse logistics for ecommerce or investing in tech platforms.
Summary & Disc:
Someone who has a good ringside view of how some of the global major logistics players are thinking today. I dont own any stocks in this space neither do I intend to in the foreseeable future.
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