Previously we looked at the elaborated SWOT analysis of Kesoram Industries, One Of The Pioneer Companies In India. Now, let us hop over and look at the elaborated SWOT Analysis of Transport Corporation of India.
The Transport Corporation of India is one of India’s leading integrated multimodal logistics and supply chain solutions providers. Transport Corporation of India was set up in 1958 to modify the cargo transportation market in India. They’ve been operating in Gurugram, Haryana, India. Transport Corporation of India currently is one of the top transport companies in India with a fleet of vehicles that can be customised.
Another aspect that has made the Transport Corporation of India a giant today is marketing. Marketing changes as the world goes online, and when you want to stay up to date – check out our Free MasterClass on Digital Marketing 101 by the CEO and Founder of IIDE, Karan Shah.
Want to see how Transport Corporation of India has succeeded in the downstream logistics industry? In this blog, you will learn about the SWOT analysis of Transport Corporation of India. Before we get started, learn more about the Transport Corporation of India company, how it was established, its products, financial position, and its competitors.
About Transport Corporation of India,
The founder of the Transport Corporation of India is Mr Prabhu Dayal Agarwal. The company was founded in 1958. The headquarters of the company is in Gurugram, Haryana, India.
It has 1400+ offices all over India with 6000+ employees. The whole corporation is composed of 8th divisions, namely: TCI Freight, TCI Express (formerly TCI XPS), TCI Supply Chain Solution, TCI Global, TCI Seaways, and TCI Foundation.
Transport Corporation of India freight provides the basic transportation facility like full truckload, less than truckload, small consignment, and over-dimensional cargo all over India. Apart from roads, the division also provides rail transportation using bulk rakes, containers, and wagons. TCI also provides courier services and e-commerce delivery services in India and internationally.
TCI business is global and trades across all major Southeast Asian countries. The company has been working in the areas of health, education, women’s development, disability and disaster relief assistance.
|Chairman||Prabhu Dayal Agarwal|
|No. of Employees||6000+|
|Market Cap||Rs 5,433.83 Crore (2022)|
|Annual Revenue||Rs 621.46 Crore (2021)|
|Net Income/ Profit||Rs 81.93 Crore (2021)|
Products & Services by Transport Corporation of India
The services that the Transport Corporation of India gives are listed below
- TCI Seaways
- TCI Supply Chain Solutions
- TCI Global logistics
- TCI XPS
Competitors of Transport Corporation of India
The top 3 competitors of Transport Corporation of India are
- Legacy Supply Chain Service Inc
- ABC India Ltd
- Allcargo Logistics Ltd
- Apollo tri-coat Tubes Ltd
- Asis Logistics Ltd
As now we have a better understanding of Transport Corporation of India, let’s look into the SWOT Analysis of Transport Corporation of India.
SWOT Analysis of Transport Corporation of India
A SWOT analysis identifies a company’s strengths, weaknesses, opportunities, and threats. A proven and true management paradigm allows Transport Corporation of India to compare its business and performance with competitors and the industry as a whole.
So let us go ahead and first have a glance at the strengths of Transport Corporation of India from the SWOT analysis of Transport Corporation of India.
Strengths of Transport Corporation of India
Your organisation’s strength is something that makes it stand out from the rest. It can be a competitive advantage that sets it apart from its competitors. Some of the strengths of Transport Corporation of India are as follows –
- The Advantage of Business Alliance: In an ever-increasingly crowded market Transport Corporation of India’s market share in the integrated multimodal logistics industry is quickly expanding as a result of the new partnerships such as the business alliance with Mitsui & Co Ltd and business agreement with CONCOR for bulk transport by rail and road in India.
- 24×7 Availability: A 24/7 Customer Cell ensures continuous improvement in services and products through customer engagement. The company leads the way in providing robust customised solutions.
- Cutting-edge Technologies: Introducing and applying innovations to their entire gamut of supply chain services ensures speedy distribution. Cutting-edge technology, a wide range of innovative, vertical-specific products and value-added services delivers unmatched standards of service quality to its customers.
- Diverse Portfolio: Transport Corporation of India has a diverse portfolio containing clients from industries like retail, pharmaceuticals, auto, hi-tech, cold chain, e-commerce, heavy machinery and manufacturing, food and groceries, automotive and auto parts and consumer goods.
- Wide Network: With expertise spanning over six decades and infrastructure comprising an extensive network of 1400+ company-owned offices, 12 million sq. ft. of warehousing space, a strong team of 6000+ trained employees and a strong foundation.
Weaknesses of Transport Corporation of India
Weaknesses refer to the characteristics of a brand or an organisation that needs to be improved. The weaknesses of Transport Corporation of India are stated as below:
- Market Share is Decreasing: Transport Corporation of India is boosting its revenues, but the air courier industry is outpacing the company. In this situation, the Transport Corporation of India must carefully examine the numerous trends in the transportation business and determine what it has to do to generate future growth.
- Insufficient Training: Lack of training for courier and delivery personnel that interact directly with customers is an issue because they represent the company’s face.
- Huge Operational Costs: Operating a business in the logistics industry requires big amounts of operational costs from time to time to keep the business process going.
- Changes in Technology: It requires frequent changes in technology as new and better technology comes up now and then. It gets both difficult to train people and an expensive affair to bring in changes in the technology used frequently.
- Minimal Expenditure on CFS: Transport Corporation of India has made minimal expenditures on its customer-focused services – soon, rivals may acquire an advantage as a result of this. Transport Corporation of India needs to invest more in research and development, particularly in programs that are focused on customer care.
- Labour-Intensive Industry: The logistics industry is dependent on people and is, therefore, a labour-intensive industry. This dependence on people makes it exhausting for the company to manage regular training of delivery partners and performance-based appraisals.
- Establishing New SCM: The internet and AI have substantially impacted the economic model in the transportation industry, and given the diminishing importance of the dealer network, if Transport Corporation of India creates a new more resilient supply chain network, it will be highly costly for Transport Corporation of India.
- Damage in Transportation: It is the major possibility in transportation and delivery services that the products may get damaged some time which is commonly seen. It also directly affects the reputation of the company which is not good.
Opportunities for Transport Corporation of India
Opportunities refer to the areas where the organisation can use its full potential to increase sales and maximise profits shortly.
- Diversification: The majority of India’s population still lives in the rural parts making it a huge and untapped market as there are not many international logistic players that have entered it. The rural areas of India are having an increase in logistics, the company can expand its services to villages and rural areas.
- Increase in Trade: Rise in trade around the globe in manufacturing goods will lead to an increase in the transportation of goods leading to an increase in business for Transport Corporation of India. Transport Corporation of India can expand on a global level and aim for better penetration.
- Investment in Technology: Investing in good and modern technology provides many opportunities for a brand. Machine learning and data science are booming, brands can utilise them to back their product development and enhancement process. Transport Corporation of India can develop software that enables faster goods clearance saving time.
- Acquisition Synergies: Acquisitions are a good way of expanding an ongoing business with the help of another one by utilising its resources.
- Consolidate Position in the Market: The company should look forward to consolidating its position in warehousing and cross-border logistics by providing end-to-end cross-border supply chain solutions.
- Use Digital Marketing: Transport Corporation of India has to use digital media for its promotion and advertisement. Digital marketing has created a boom nowadays and has been very cost-effective and targeted which should help the company to generate more revenue and show its presence everywhere.
You should also start building your career in digital marketing because it will benefit you now and in future in terms of opportunities and career growth. We are not recommending you to directly enrol in a long term course just like what other institutes are doing, we advise you to first start establishing your interest in the field of digital marketing. But how to do that? Well, we at IIDE have launched several short-term courses in digital marketing where you can pick the area in which you are interested and start seeking expertise in the same. The selected area will surely construct a zeal inside you to learn digital marketing more broadly.
- Increase in Cross-border Trade: The rise in the global manufacturing of goods will lead to a rise in the transportation of goods. This will provide more and more opportunities to the logistics industry and the companies dealing in that industry.
- Making System Faster: The company has to make their system faster than they are having and try to reduce the time of delivery and have to try to give the best services in less time.
Threats to Transport Corporation of India
Threats refer to the external factors outside of an organisation that affects the performance of the brand or the organisation. Possible threats to Transport Corporation of India are as follows:
- Political Unrest: Political unrest like riots and protests lead to injuries to delivery partners and cause damage to the goods that are to be delivered.
- International Competition: Many companies originated before Transport Corporation of India and are performing well in the market which is also a big drawback for Transport Corporation of India to maintain its position in the market as the company was before some time.
- Country-specific Regulations: Each country has a different set of rules and regulations regarding the transportation of goods. Some goods have very strict restrictions in some countries making it difficult to transport them.
- Currency Fluctuations: A company dealing in multiple countries has to constantly deal with currency conversations. Constant fluctuations in these make it difficult for calculations.
- Increasing Fuel Rates: The increasing fuel rates are also a weakness for Transport Corporation of India because as the fuel rate increases the company has to make changes in its delivery prices to survive in the market.
This ends our extensive SWOT analysis of Transport Corporation of India. Let us conclude our learning below.
Transport Corporation of India is a globally growing company with a great distribution network all over the world. The company has an advanced technology system to properly function its services. It needs to work on its visibility and expansion in rural areas to become a leader in the logistics industry.
Its services have reached countries across borders which is due to its efficient functioning and great marketing skills. Marketing has evolved a lot with time, and in today’s world digital marketing is the new trend that is helping the company level up its marketing game. If this interests you, you should learn how to create impactful and targeted digital marketing campaigns by learning the up and coming field that is taking the world by storm.
All you have to do is be a part of IIDE’s Online Digital Marketing Course which will upskill you in all aspects of the rising digital marketing field.
We hope this blog on the SWOT analysis of Transport Corporation of India has given you a good insight into the company’s strengths, weaknesses, opportunities and threats.
If you enjoy in-depth company research just like the SWOT analysis of Transport Corporation of India, check out our IIDE Knowledge portal for more fascinating case studies.
Thank you for taking the time to read this, and do share your thoughts on this case study of the SWOT analysis of Transport Corporation of India in the comments section below.