Dairy · Case study
A cold chain designed for the despatch pattern that actually existed
A chilled distribution business losing 9% of despatched value to shrinkage, returns and temperature excursions it could not locate.
- Client
- Nandini Cold Chain
- Location
- Belagavi, Karnataka
- Duration
- 15 months
- Engagement
- Turnkey project management
Headline result
9.0% → 1.8%
Value loss
Shrinkage, returns and excursions
The situation
What we walked into
Nandini distributed chilled dairy across 340 retail points in two districts, with a route structure that had grown by accretion rather than design.
Shrinkage was known in aggregate and unattributable in detail. There was no temperature logging between the plant gate and the retailer's chiller.
A PMKSY cold chain grant application had been prepared and abandoned twice for want of a technically defensible project configuration.
What we did
The engagement, phase by phase
Including the phase the client least enjoyed, which in most of our case studies is the second one.
Phase 1 · Weeks 1–4
Find the losses
Temperature loggers on twelve routes for four weeks, plus a returns teardown by SKU, route and retailer. 71% of the loss traced to two route legs and a retailer segment whose own chillers were failing overnight.
Phase 2 · Weeks 4–9
Redesign the network
A hub-and-spoke structure with one new 400 MT cold store, revised route legs under a hard time-to-first-drop limit, and a segmented service model for the retailers whose infrastructure could not hold temperature.
Phase 3 · Weeks 8–14
Fund it properly
A DPR and PMKSY cold chain grant application with the technical configuration the earlier attempts lacked. Grant of ₹2.9 crore sanctioned against an eligible project cost of ₹7.4 crore.
Phase 4 · Months 4–15
Build, instrument, hand over
Cold store commissioned, reefer fleet specified and tendered independently, IoT temperature telemetry to a live dashboard with exception alerts, and route SOPs with a daily cold-chain compliance report.
Measured outcome
The numbers, with their baselines
These are the metrics written into the engagement letter before work started.
₹7.4 Cr
Project funded
Including ₹2.9 Cr PMKSY grant
340 → 610
Retail points served
Same fleet, redesigned routes
-94%
Temperature excursions
Logged incidents per month
₹2.6 Cr
Annual value recovered
From reduced loss
4.5 → 2.1 hrs
Time to first drop
Median across routes
82% → 97%
Fill rate
Retailer order fulfilment
Engagement visual
We had applied for the same grant twice and given up twice. The difference was not the paperwork — it was that this time the project design could be defended.
Dairy
Bring us the version of this problem you have
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- Response
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