Case StudiesInnovation & Incubation Cell at Stellar
Innovation LeadershipSupply ChainLogistics3PL

Innovation & Incubation Cell at Stellar

Building India's first Customer Experience Centers for 3PL

Stellar Value Chain Solutions

Organization

Stellar Value Chain Solutions

Role

EVP & Group CIO

Duration

2016 - 2021 (5 years)

Executive Summary

Established Stellar's Innovation and Incubation Cell, driving transformational initiatives across solar power (8M+ sq ft warehouse coverage), electric mobility (19,000 pin codes), business intelligence platforms, and India's first Customer Experience Centers for 3PL logistics. Created competitive differentiation through sustainability, technology innovation, and customer-centric solutions across 60M+ sq ft warehouse network serving 150+ enterprise clients.

Quantitative Impact

8M+ sq ft
Solar Power Coverage

Warehouse rooftops with solar panels installed

19,000
Electric Mobility Reach

Pin codes served by electric vehicle fleet

60M+ sq ft
Warehouse Network

Total managed warehouse space across India

30%+
Energy Cost Reduction

Annual savings from solar power generation

15,000+ tons
Carbon Emissions Reduced

Annual CO2 reduction from solar + EV initiatives

35%+
Client Satisfaction Improvement

NPS improvement with BI platforms and experience centers

The Challenge

Situation

Stellar Value Chain Solutions was India's leading third-party logistics provider managing 60M+ sq ft of warehouse space, but faced increasing pressure from clients for sustainability, digital visibility, and differentiated services beyond traditional warehousing and distribution.

Key Problems

  • Clients demanding carbon-neutral logistics and sustainability reporting
  • Lack of real-time visibility and analytics for customers on inventory and shipments
  • Undifferentiated 3PL services in highly competitive market
  • Rising energy costs impacting operational margins
  • Limited innovation culture in traditional logistics industry
  • Customer expectation for last-mile visibility across 19,000+ pin codes

Stakes: Without innovation and differentiation, Stellar risked commoditization, client churn to digitally advanced competitors, and inability to command premium pricing. Sustainability mandates from global clients threatened existing contracts worth hundreds of crores.

The Solution

Created dedicated Innovation and Incubation Cell reporting directly to Group CEO, with mandate to pilot and scale transformational initiatives across sustainability, digital platforms, and customer experience. Built business cases, secured investment, and executed phased rollouts with measurable ROI tracking.

Solar Power Implementation

Deployed solar panels across 8M+ sq ft of warehouse rooftops, creating India's largest solar-powered 3PL network with significant cost savings and carbon reduction

Electric Mobility Network

Launched electric vehicle fleet for last-mile delivery across 19,000 pin codes, partnering with EV manufacturers and building charging infrastructure

Business Intelligence Platforms

Built customer-facing BI dashboards providing real-time visibility into inventory, shipments, and performance metrics with predictive analytics

Customer Experience Centers

Established India's first 3PL Customer Experience Centers - physical and virtual command centers giving clients immersive visibility into operations

Technology Partnerships

Forged strategic partnerships with technology vendors for warehouse automation, IoT sensors, and AI-driven optimization

Technologies Deployed

Solar Power Infrastructure

Renewable energy generation across warehouse network

Electric Vehicle Fleet & Charging Stations

Sustainable last-mile delivery operations

Custom BI Dashboards

Real-time customer visibility and analytics

Customer Experience Centers

Immersive client engagement and operational transparency

IoT Sensors & Warehouse Automation

Real-time tracking and operational efficiency

Additional Impact

Qualitative Impact

  • Created India's first Customer Experience Centers for 3PL logistics industry
  • Positioned Stellar as sustainability and innovation leader in logistics
  • Established competitive moat through proprietary technology platforms
  • Won multiple industry awards for sustainability and innovation
  • Attracted premium clients seeking differentiated 3PL services

Business Impact

  • Enabled premium pricing model - 15-20% above market rates for value-added services
  • Reduced client churn by 40% through improved visibility and engagement
  • Created new revenue stream through technology platform licensing
  • Improved operational margins by 8-10% through energy cost savings
  • Won INR 500+ Crore contracts citing innovation capabilities

Lessons Learned

What Worked

  • Strong executive sponsorship enabled risk-taking and investment in unproven initiatives
  • Phased pilot approach allowed learning and course correction before scaling
  • Customer Experience Centers created emotional connection beyond transactional relationships
  • Sustainability initiatives became competitive differentiator and client mandates

Challenges

  • Managing capital investment approval for solar and EV infrastructure
  • Change management across traditional logistics workforce unfamiliar with technology
  • Integrating multiple technology platforms with legacy warehouse systems
  • Proving ROI on innovation initiatives to skeptical finance stakeholders

Key Takeaways

  • Innovation requires dedicated resources and cannot be 'side of desk' activity
  • Sustainability is business imperative, not CSR - drives both top and bottom line
  • Customer experience differentiation is as critical as operational efficiency
  • Technology platforms create scalable, high-margin revenue opportunities

Board-Level Value Demonstrated

strategic

Demonstrated ability to drive innovation culture and create competitive differentiation through technology and sustainability

operational

Proven expertise scaling transformational initiatives across large, complex operations (60M+ sq ft network)

financial

Delivered measurable ROI through cost reduction (30% energy savings) and revenue growth (premium pricing model)

sustainability

Led industry-leading ESG initiatives with quantifiable impact (15,000+ tons CO2 reduction annually)

customer

Created innovative customer engagement models (Experience Centers) driving loyalty and premium positioning

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