Our digital innovations aim at enhancing efficiency, visibility and resilience in our logistics operations: Harvinder Singh Banga, CIO, CJ Darcl Logistics Ltd

In a recent conversation, Harvinder Singh Banga, CIO, CJ Darcl Logistics Ltd, highlights the company’s strategic digital transformation initiatives focused on boosting efficiency, visibility, and resilience. CJ Darcl is harnessing technology to reduce its carbon footprint and advance sustainability within its operations. With the increasing digitisation of logistics, ensuring cybersecurity across the supply chain is crucial for safeguarding sensitive data, ensuring operational continuity, and building client trust. As part of its security commitment, the company is progressively implementing a Zero Trust architecture—an approach that treats every entity, internal or external, as potentially untrusted. Operating globally, CJ Darcl places a high priority on international quality standards, including ISO certifications, to uphold reliability and instill confidence among clients worldwide.

Some edited excerpts from the interview:

What are the key digital innovations that have been implemented under your leadership, and how have they impacted CJ Darcl’s overall business operations? 
Under my leadership at CJ Darcl, several key digital innovations have been implemented, all aimed at enhancing efficiency, visibility, and resilience in our logistics operations. Here’s a breakdown of some of the major initiatives and their impacts on CJ Darcl’s business:

1. Transportation Management System (TMS) modernisation: Unnati, our strategic initiative, aims to enhance the Transportation Management System to improve scheduling, routing, and resource allocation. By introducing TMS,  we reduce the delays, optimise load distribution, and increase the operational transparency, which leads to improvements in customer satisfaction and productivity.
   
2. End to end digitisation of logistics processes: We are creating a fully digital ecosystem that not only includes not just your internal teams but also your external logistics network, including transporters, drivers, and other stakeholders. This initiative enables seamless communication, tracking, and monitoring, which significantly minimises manual intervention and errors. 
3. Advanced analytics for predictive maintenance: Leveraging data analytics, we’ve introduced predictive maintenance for our fleet, anticipating and addressing potential issues before they lead to breakdowns or service delays. 
4. Cybersecurity enhancements with GenAI: Cybersecurity is crucial, and we are implementing GenAI projects to address rising challenges, particularly in fraud detection and cybersecurity.
   
5. Employee-centric HRMS project ‘Harmony’: The Harmony project, our HRMS system, is intended to simplify HR services by making procedures such as payroll, leave management, and performance evaluations more open and accessible to our workers.
   
6. Digital control towers for enhanced visibility: We implemented digital control towers that provide real-time surveillance of all logistics activity across various hubs. This offers our staff a bird’s-eye perspective of the supply chain, allowing us to spot possible bottlenecks and respond swiftly. These control towers play an important role in maintaining service levels and providing our clients with correct ETAs.
   
7. Robotic Process Automation (RPA) in routine tasks: We lowered our workforce’s workload by using RPA for repetitive and time-consuming duties, allowing them to focus on strategic initiatives rather than administrative tasks. 
8. Customer portal and digital engagement: We created a customer portal that gives clients immediate access to tracking information, invoicing, and assistance. This transparency empowers our clients by allowing them to participate in the logistics process, which improves consumer engagement and satisfaction.
   

These digital innovations have together improved CJ Darcl’s operations by making them quicker, more transparent, and more robust. We’ve witnessed faster service delivery, lower operating expenses, more security, and a more engaged workforce. Each innovation coincides with our long-term aim of creating a future-ready, completely digitised supply chain that not only fulfils today’s logistical demands but also adapts to the industry’s changing needs.

How important is supply chain visibility for CJ Darcl, and what technologies are you using to enhance real-time tracking and transparency? 

Supply chain visibility is absolutely vital for CJ Darcl, as it directly influences operational efficiency, customer satisfaction, and overall business agility. In a logistics network as vast and complex as ours, visibility ensures we can monitor, manage, and respond to each movement within the supply chain, from pickup to delivery. It also builds trust with our clients, who increasingly expect real-time updates on their shipments, especially in an era where transparency is as crucial as timely delivery.

We’ve set up digital control towers that act as nerve centres for our logistics operations, providing centralised, real-time monitoring of all activities. IoT devices are embedded within our fleet to track assets throughout the journey. These sensors provide real-time data on the location, temperature (for sensitive goods), fuel usage, and vehicle conditions.  While we are still exploring blockchain’s full potential, it holds promise for improving transparency and data integrity within our supply chain.

Our customer portal allows clients to access real-time updates on their shipments, including live tracking, ETA adjustments, and delivery confirmations. Real-time dashboards, coupled with automated alert systems, allow our teams and clients to receive immediate updates if there are any significant deviations or potential disruptions.

These technologies have fundamentally transformed CJ Darcl’s supply chain by creating an agile, transparent, and data-driven system. With real-time visibility, we can minimise delays, optimise costs, and offer our clients a seamless experience. Moreover, by proactively addressing disruptions, we can better maintain delivery timelines and uphold service quality, ultimately making CJ Darcl a more trusted and efficient logistics partner. 

With increasing global focus on sustainability, how is CJ Darcl leveraging technology to reduce its carbon footprint?  

CJ Darcl Logistics is actively leveraging technology to reduce its carbon footprint and promote sustainability within its operations.  In August 2024, CJ Darcl pioneered the transportation of heavy construction equipment, such as excavators, via specialised rail rakes. By consolidating machines from various OEMs and utilising the Indian Railways network, the company minimised the carbon footprint associated with road transportation, aligning with its mission to incorporate eco-friendly practices. 

The company has also installed high-efficiency LED lighting and solar energy generation facilities on the roofs of distribution centers to reduce energy consumption. 

The company is exploring the use of alternative fuels for both short and long-haul cargo delivery. By integrating electric vehicles and considering other alternative fuel options, CJ Darcl demonstrates its commitment to expanding sustainability goals and leading the industry in embracing eco-friendly transportation solutions. 

What innovations are you working on to enhance customer engagement and satisfaction in the logistics sector?

To promote customer engagement and satisfaction, we are introducing a number of creative initiatives that combine technology and customer-centric solutions customised to our clients’ increasing logistical demands. We’ve established a customer portal that provides clients with instant, on-demand access to their shipments. The portal’s transparency increases confidence while reducing the need for manual updates, ensuring clients feel in control and informed at all times. Our automatic notification system provides personalised messages to consumers informing them of shipment status changes, delays, and estimated arrivals. These notifications may be adjusted to fit unique client preferences and provide a proactive approach.

Using AI, we may anticipate possible interruptions or delays based on historical and real-time data. By proactively addressing these concerns, we can communicate predicted consequences to customers ahead of time and provide alternate options when possible. This predictive skill helps manage expectations and minimises any negative impact on clients. We’ve included self-service features into our digital platforms so that customers can manage orders, request changes, and access support resources on their own. AI-powered chatbots and digital assistants are also available 24/7 support. 24/7 support, answering common queries instantly and guiding users through routine processes. Clients can access real-time data on vehicle location, route progress, and even environmental conditions for sensitive goods. This visibility reassures customers and offers them valuable insights into the logistics process, fostering a transparent and reliable relationship. We actively seek customer feedback through regular surveys and post-delivery follow-ups, allowing us to understand customer satisfaction levels and address any concerns promptly.

These innovations have led to a more collaborative, transparent, and responsive relationship with our customers. By providing real-time information, proactive communication, and self-service choices, we have empowered our clients and established ourselves as a reliable partner. This strategy not only boosts satisfaction and loyalty, but it also distinguishes CJ Darcl in a competitive market, establishing a benchmark for great client interaction in the logistics business.

With the increasing digitisation of logistics, what measures are you implementing to ensure cybersecurity across the supply chain? 

With the growing digitisation of logistics, ensuring cybersecurity across the supply chain is critical to protecting sensitive data, maintaining operational continuity, and fostering trust with clients. At CJ Darcl, we have implemented several robust measures to safeguard our digital landscape against potential cyber threats. We have established a cybersecurity framework that covers all aspects of our digital ecosystem, including data protection, network security, endpoint management, and identity and access management (IAM). This framework aligns with international security standards and industry best practices, ensuring that our operations are protected from end to end.

By adopting a multi-layered defense approach, we protect each segment of the supply chain individually while also strengthening overall security. This includes firewalls, intrusion detection and prevention systems (IDPS), anti-malware software, and email filtering to defend against a variety of cyber threats, such as phishing, malware, and ransomware attacks. This predictive approach helps us stay one step ahead of emerging cyber risks and mitigates vulnerabilities before they can be exploited. To protect data in transit and at rest, we employ end-to-end encryption across all digital platforms. This ensures that sensitive information, such as shipment details and client data, remains secure from unauthorised access throughout the logistics process. Encryption helps mitigate the risk of data breaches and is essential for maintaining client trust.

As part of our commitment to security, we’re gradually adopting a Zero Trust architecture. This approach assumes that no entity—whether inside or outside the organisation—is inherently trusted. Verification is required at every stage of digital interaction, from user identity to device security. By limiting implicit trust, Zero Trust reduces the risk of cyber threats moving laterally within our systems. We conduct regular security assessments of our suppliers and partners to ensure that our entire supply chain is secure.

By implementing these cybersecurity measures, CJ Darcl has built a resilient and secure digital supply chain ecosystem. These protocols not only protect our assets and client data but also enhance our reputation as a secure, trusted logistics provider. As digitisation accelerates, we are committed to adapting and strengthening our cybersecurity framework, ensuring that our digital operations remain secure, efficient, and reliable.

What are the biggest regulatory challenges you face as a CIO in India’s logistics sector, and how does technology help ensure compliance with local and global regulations?

As a CIO in India’s logistics business, regulatory hurdles are numerous and complicated, encompassing data privacy, environmental compliance, trade rules, and labour laws. Given CJ Darcl’s size and worldwide influence, compliance with both local and global regulations is crucial. With the advent of data privacy legislation in India, such as the Digital Personal Data Protection Act (DPDP) 2023, we must meet severe criteria for securing consumer and employee data. These standards require the secure handling, storage, and processing of data, as well as quick responses to breaches of data. To prevent unauthorised access to sensitive data, we deploy strong data encryption, identity and access management (IAM), and multi-layered cybersecurity systems. 

India’s logistics sector is under increased criticism for reducing emissions and implementing environmentally friendly methods. With global regulatory agencies striving for smaller carbon footprints, we must follow both domestic standards, such as the National Green Tribunal’s (NGT) laws, and global emissions targets. We monitor fuel use and emissions data in real time using IoT devices, guaranteeing that we meet environmental regulations. In India, labor regulations are also stringent, with mandates for fair wages, workplace safety, and working hours. Compliance with these laws, especially for our workforce of drivers, warehouse staff, and ground operators, is a top priority. Logistics companies often handle large transactions and high-value goods, making compliance with financial regulations, including anti-money laundering (AML) laws, crucial. These regulations require accurate reporting and stringent monitoring of financial transactions to prevent illegal activities.

Because CJ Darcl operates on a global scale, adherence to international quality standards, such as ISO certifications, is critical to maintaining confidence and demonstrating dependability to clients globally. These technologies not only help us adhere to regulatory requirements but also foster a compliance-first culture within the organisation. By automating compliance procedures, we reduce human error, boost operational efficiency, and improve transparency. As regulatory needs change, our digital infrastructure enables us to respond quickly, ensuring that we continue to operate responsibly and in full compliance with both local and worldwide rules. This approach enhances our reputation and establishes CJ Darcl as a reliable logistics partner in an increasingly regulated market.