India’s Hindustan Motors has outsourced a spare parts warehouse to TVS Logistics Services that serves the Mitsubishi models the carmaker produces for the Indian market. The logistics provider will take over Hindustan’s parts distribution centre (PDC) at its Tiruvallur plant near Chennai.
In a statement, TVS Logistics Services said that Hindustan, which is owned by the CK Birla Group, had outsourced the warehousing operations to focus more on its core business, as well as to reduce lead times and stock accuracy for spare parts.
TVS Logistics Services is the third party logistics arm of the Indian manufacturing and supplier conglomerate, TVS Group.
Hindustan, India’s oldest carmaker, builds a small commercial vehicle as well as the Ambassador, which was first manufactured in the country in 1948 and is recognisable today across the country as a taxi. At its Tiruvallur plant, it also assembles vehicles in collaboration with Japan’s Mitsubishi Motors. It is these models in which TVS Logistics will be responsible for supply and distribution across the country, including the Lancer, Pajero (pictured), Cedia, Montero, Outlander and Lancer Evolution.
"We consider this as a beginning of a new partnership that will go a long way in extending our value additions in the entire supply-chain business for [Hindustan]," said R Shankar, chief executive officer for India at TVS Logistics Services.
According to Hindustan, the Tiruvallur plant has capacity for about 12,000 vehicles each year, which serve around 45 dealerships and 50 customer touch points in India.
Hindustan has previously said it is planning to launch an updated version of the Ambassador.