Manifesting the Future of Mobility

Mahindra has always built new businesses that meet India’s evolving needs. The Group, time and again, has launched new companies that have helped transform the country by accelerating its development and providing crucial employment opportunities for the masses. It has a long history of propagating innovations and remaining a steadfast partner in India’s growth story. Some examples of this business philosophy are-

  • Mahindra Logistics, which is India's largest 3PL solutions provider specialising in supply chain management and enterprise mobility.
  • Mahindra First Choice Wheels and Mahindra First Choice Services are India’s first and largest organized players in multi-brand resale and vehicle services.
  • Mahindra also has investments in Porter, Zoomcar and Meru, disruptors and game changers in the mobility segment.

Bringing together these pioneering businesses, the Mobility Services Sector (MSS) was created to enhance focus, synergize, and grow exponentially.

“The Mobility Services Sector has a huge potential for growth in India, especially logistics. We believe that along with Auto, Farm, IT and Finance which have become strong businesses today, MSS will grow to become the fifth largest business in the next five years,” said Dr Anish Shah, Deputy Managing Director and Group CFO, Mahindra Group, at this week’s GCO Townhall which had a focus on the MSS.

The purpose of the sector is: ‘Transforming India by connecting people, places and assets’ with a ’20 by 25’ aspiration to become a Rs 20,000 crore business (by value) by 2025. The sector comprises three key verticals – Transport as a Solution (TaaS), Vehicles as a Solution (VaaS) and Mobility as a Solution (MaaS).

“MSS in a way mirrors the philosophy of Atmanirbhar Bharat and predates it. It aims to create mobility businesses in a futuristic landscape,” stated Mr V S Parthasarathy, President, Mobility Services Sector, Mahindra Group. “Our sunrise sector houses two of the nine potential billion-dollar businesses identified by the Mahindra Group. The sector has tremendous potential for growth and will play a critical role in Mahindra’s growth story.”

MSS includes a range of businesses that provide innovative, technology-driven solutions for the efficient movement of people and goods across India. In addition, MSS is the incubation platform and growth driver for future investments by the Mahindra Group in technology-driven mobility companies, with the vision of co-creating the ‘Future of Mobility’.

Though MSS, like other businesses, faced challenges due to the Covid-19 pandemic, two of the MSS businesses – Logistics and First Choice Wheels – have regained their pre COVID-19 performance levels. “We have come out ahead despite these COVID-19 times,” Mr Parthasarathy added.

Mahindra Logistics also played a vital part in the Mahindra Group’s COVID-19 relief efforts. Alyte deployed 300 vehicles that provided free emergency cab services to over 1,000 people affected by the COVID-19 pandemic across 8 cities.

Mahindra is a World of Opportunities, if you have the Will to Explore and Grow with it

From rural business to international ones, from legacy companies and industry leaders to garage startups across 11 sectors, 22 industries, and spread over 100 countries, the Mahindra Group offers infinite avenues for growth and career expansion. And Mr Parthasarathy’s story is an example of how you can drive success if you have the inclination and fire to explore, enhance and excel. Here are the key takeaways from his talk at this week’s GCO Townhall.

The potential for growth and development at the Mahindra Group

I am a CA by training but joined the Mahindra Group in the HR function in 2000. I then headed a business function and thereafter was in the role of Group CFO and Group CIO. I am now back to heading a business as the President of the MSS. One thing I have learnt through this journey is that if you are ready to push the envelope and go beyond your comfort zone, then the sky is the limit.

Being part of industry and professional bodies

I have been associated with the Bombay Chamber of Commerce and Industry (BCCI), FICCI, AFPI, OECD and many other national and international bodies. These associations have been a big learning for me. Earlier, I used to think it was a sheer waste of time. However, these bodies do play a great role. They not only act as a catalyst for industry development but also play a critical role in policy advocacy and in establishing best practices.

By being a part of these bodies, we are able to demonstrate the depth and breadth of the Mahindra Group and the systems and processes which make us strong. It has helped amplify the voice of the Mahindra Group and what it stands for.

For instance, CFO100 has time and again identified finance professionals from Mahindra as leaders in the industry, and appreciated Mahindra’s industry-best financial processes and systems.

Nanhi Kali

Women’s empowerment and fitness are my two key passions. Kyuki fit hai to hit hai. Aur fitness ke sath cause hai to superhit hai! I have been lucky to have had the opportunity to bring both together through my ‘Run for Nanhi Kali’ marathon campaign where last year I was judged the highest fundraiser in the history of the Mumbai Marathon.

In line with my ‘Corporates for Change’ mission at BCCI, we approached numerous organizations and appealed to their employees to join this noble cause. This resulted in many corporates contributing funds which has been key to the success of this initiative, with SAP even pledging Rs. 4.3 crores this year!

It’s a great testament to Mahindra’s philosophy of ‘We Rise by lifting Others’. The Spirit of Seva platform launched as part of Mahindra’s 75th year celebrations can make great strides in furthering the cause of girl child education. Remember, we can’t help everyone, but everyone can help someone.

We Are The World's Most Sustainable Automobile Company!

Sustainability is one of the core pillars of business at the Mahindra Group and its efforts are being increasingly recognized and validated on the global stage. Mahindra & Mahindra recently ranked 17th among the ‘100 Most Sustainably Managed Companies’ in the world – the highest for an automobile company and for any Indian company, according to the new Wall Street Journal (WSJ) Global Sustainability Ranking.

“The Mahindra Group strongly believes that it is possible to do good and do well at the same time. This simple philosophy guides our decision making particularly in terms of our sustainability initiatives”, said Anand Mahindra, Chairman, Mahindra Group, commenting on this global recognition. “It’s very clear that every business needs to step up its sustainability game if it expects to remain relevant in the future.”

Globally, Mahindra was the first company to commit to doubling its energy productivity through the EP 100 initiative. It is also the first company to introduce an internal carbon price of US$10 per ton of carbon emitted. The funds collected are invested in renewable energy projects including solar and wind, heat recovery systems and energy-efficient motors.

WSJ assessed more than 5,500 publicly traded businesses across the globe, based on sustainability metrics in such areas as business model and innovation, external social and product issues, employee and workplace issues, and the environment.

The ranking reflects a company’s management of financially material issues in key areas such as the environment, human capital, social capital and innovation. Instead of measuring the company’s overall impact on people and the planet; the scores focus on policies, initiatives and tracking metrics which are potentially leading indicators of performance.

Mahindra & Mahindra scored especially well on the human and social capitals metric. The ranking recognized the company’s business model and its innovations in this sector, as well as the work done on the environmental front. Fourteen of the company’s manufacturing plants are already certified as ‘Zero Waste to Landfill’. Already committed to becoming carbon neutral by 2040, this recognition spurs on Mahindra’s long-term sustainability initiatives.

Winning ‘Global Free Zones of the Year’

Mahindra World Cities have earned another feather in their well-decorated caps. Both MWCs at Chennai and Jaipur have been recognised as ‘Global Free Zones of the Year’ in three categories by the fDi Magazine (a bi-monthly news and Foreign Direct Investment publication from the Financial Times).

A joint venture between the Mahindra Group and the Tamil Nadu Industrial Development Corporation, Mahindra World City Chennai is ranked 6th overall in the top ten free zones globally, and was highly commended among the Asia-Pacific zones as part of the overall regional and SME results. Mahindra World City Chennai has been recognised in the Sustainability and Thought Leadership categories.

Mahindra World City Jaipur won a Bespoke Award for the incentives it offers clients including an investment subsidy of 75% of state tax due and deposited for seven years, 100% exemption from payment of stamp duty, 100% exemption from payment of electricity duty and land tax for seven years, as well as exemption from inspections under state laws for three years. The project also aims to be carbon positive by 2025.

Embarking upon a critical sustainability initiative, Mahindra World City Chennai has also undertaken one of the largest urban forest projects in India using the Miyawaki Method developed by Japanese botanist, Akira Miyawaki, planting over 400,000 tree saplings in 60.7 hectares. Upon completion, the life space with its focus on environmental harmony and sustainability, will not only be completely carbon neutral but also ensure higher productivity and health benefits for the people working and living inside or nearby.

fDi recognises the most promising free zones across the world every year – free zones that offer the best investment environment, and prospects for business expansion and economic development. The well-deserved recognition awarded to Mahindra World Cities is proof that urbanisation can be sustainable and still attract investment.

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