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What Is a Parcel Management System & Why You Need It?

Contributed By:
Sanket Patil 1
Published Date:
November 27, 2025

Introduction

The entire viewpoint of business has changed in recent years. Businesses are more focused on delivering their goods as quickly as possible. As per statistics, the e-commerce growth in India will reach more than USD 11.48 billion. As a result, more stress is placed on the Parcel Management System, and this article will demonstrate how Godamwale fulfills this role.

What Is a Parcel Management System?

The Parcel Management System, or PMS, is a software and operational ecosystem that allows the third-party logistics company to make sure that all activities, from receiving at the warehouse to dispatching to the customer's doorstep, are accurate and error-free.

Key Features & Functions

The PMS is an important feature โ€” below are the main benefits and functions to expect from a professional warehouse/fulfilment PMS.

Real-time Inventory Management

Ensure inventories are accurately tracked across warehouses so stock levels stay optimal โ€” not overstocked or understocked. Get real-time visibility of on-hand quantities and locations.

Order & Shipment Management

Centralise incoming orders, automate picking & packing, and dispatch by cost, speed or region. Automation reduces manual errors and speeds fulfilment.

Tracking & Analytics

Full transparency from receipt to dispatch โ€” monitor movement, delivery status and delays in real time with alerts and actionable dashboards.

Billing & Consolidated Invoicing

Replace multiple vendor bills with a single, clear invoice covering storage, add-ons, transport and courier charges for faster, simpler payments.

Dashboard & Control Tower

A central command view to monitor inventory, orders, deliveries, returns and courier performance โ€” enabling real-time adjustments and decisions.

Integration

Combine automation and AI across sales, warehousing and logistics to simplify workflows, reduce manual tasks and improve accuracy.

Challenges & Considerations When Choosing a System

Integration complexity: Combining the system with various channels in your business can be challenging. It requires technical alignment, custom mapping, and stable data flow to allow for smooth order syncing, tracking updates, and automated workflows without disruptions.

Upfront cost vs ROI: Initially, you will find that it is expensive to set up this system. But ROI can justify this cost. Once the system is in place, errors are reduced, you can expect faster fulfillment, allows for lower labor costs, and allows for a greater degree of over all transparency. Thus, from a long-term perspective, it is better and cost-effective.

Data security & access control: The system requires good security. Such measures help prevent hacking of sensitive information.

Flexibility of contract: It is wise to look out for those companies that offer on-demand, flexible, and pay-as-you-store inventory space for short-term or long-term lease. Thus, it is important to find a company that does not stick to hard-binding commitments.

Support and SLA from the provider: The service provider must make sure of minimal downtime, quick issue resolution, and consistent system performance.

Scalability: The service provider must allow for a smooth scaling in storage space and also ensure the expansion of a new market in a new location as per your business needs.


Top 10 Parcel Management / 3PL Companies

1. Godamwale

Godamwale

Established: 2017

Founders: Ranbir Nandan, Vivek Tiwari, Anand Aryamane

Core Services: On-demand Warehousing, 3PL, Inventory Management, Last-mile Delivery

Godamwale is one of the fastest-growing logistics and warehouse management companies in India. It offers a complete packaging and delivery system solution that is focused on technology and adaptability. Its internal platform, Inciflo, offers real-time visibility, QR code-based dispatch, automated manufacturing, and end-to-end tracking. For D2C, FMCG, manufacturing, and distribution brands, Godamwale is a transparent and eco-friendly partner since businesses can discover, explore, and manage these places without long-term commitment.

2. Delhivery

Established: 2011

Founders: Sahil Barua, Mohit Tandon, Bhavesh Manglani, Kapil Bharati, Suraj Saharan

Core Services: Express Parcel, Warehousing, Freight, Supply Chain Services

Delhivery is a warehouse management and logistics support company in India. It has combined technology in its operations. It has a strong network across the country. It is ideal for big businesses.

3. Xpressbees

Established: 2015

Founders: Amitava Saha, Supam Maheshwari

Core Services: Express Logistics, Reverse Logistics, Warehousing, Cross-border Services

Scalable logistics operations and quick package delivery are Xpressbees' areas of strength. It allows for the entire smooth parcel movement. They have huge nationwide network of strong and automated hubs.

4. Mahindra Logistics

Mahindra Logistics

Established: 2000

Founders: Mahindra Group

Core Services: 3PL, Warehouse Management, Transportation, Fulfillment

Strong WMS and TMS platforms help Mahindra Logistics' enterprise-grade parcel and supply chain solutions. Their multi-modal transportation and tech-enabled warehouses make them an excellent option for the consumer, FMCG, and automotive industries.

 5. TVS Supply Chain Solutions

Established: 1995

Founders: TVS Group

Core Services: Contract Logistics, Warehousing, Transportation, Freight Management

TVS SCS offers modern logistical solutions to businesses of all sizes. They also offer parcel and logistical services across the globe. They offer their scalable distribution systems, operational skills, and dependability.

6. Allcargo Gati

Established: 1989

Founders: Gati Limited, now part of Allcargo Group

Core Services: Express Distribution, Warehousing, Supply Chain Management

Allcargo Gati is a leading express logistics provider. They offer last-mile delivery with the use of digital tracking. They have automated hubs that are spread across the country.

7. Safexpress

Safeexpress logistics

Established: 1997

Founders: Pawan Jain

Core Services: Express Logistics, 3PL, Warehousing, Surface Transport

One of its biggest delivery networks in India is owned by Safexpress. Strong hub-and-spoke operations, GPS-enabled trucks, and temperature-controlled logistics when needed complement their parcel handling.

8. DHL Supply Chain India

Established: 2007 (India operations)

Founders: Deutsche Post DHL Group

Core Services: Contract Logistics, Warehousing, Distribution, Parcel Management

DHL Supply Chain offers global-standard parcel management with automation, robotics, RFID tracking, and deep supply chain visibility. Ideal for multinational and enterprise customers.

9. Ecom Express

Established: 2012

Founders: T. A. Krishnan, K. Satyanarayana, Manju Dhawan, Late Sanjeev Saxena

Core Services: Parcel Delivery, Reverse Logistics, Warehousing

Ecom Express is an expert in e-commerce package transportation that has a huge network and excellent delivery accuracy. They excel in industries that rely heavily on returns and COD.

10. Shadowfax

Established: 2015

Founders: Abhishek Bansal, Vaibhav Khandelwal

Core Services: Hyperlocal Delivery, Last-Mile, Micro-Fulfillment

Shadowfax offers parcel distribution and micro-fulfillment services, particularly for grocery, food, and online retailers. Real-time parcel routing and rider allocation are automated by its technologically advanced platform.


Comparison Table

CompanyWhy Choose?Why Not
GodamwaleTech-driven platform (Inciflo), on-demand warehousing, real-time visibility, flexible contracts, strong parcel management workflows.Limited global presence compared to multinational 3PLs.
DelhiveryLargest parcel network in India, automated hubs, strong tracking, reliable e-commerce expertise.Can be costlier for small-volume or early-stage businesses.
XpressbeesFast parcel delivery, strong return logistics, scalable for e-commerce brands.Limited enterprise-focused solutions compared to bigger 3PLs.
Mahindra LogisticsEnterprise-grade 3PL, nationwide warehousing, strong compliance and process quality.May not be ideal for small brands due to higher pricing.
TVS Supply Chain SolutionsGlobal capabilities, strong automation, multi-industry expertise.Processes may feel complex for small and mid-sized companies.
Allcargo GatiPan-India express distribution, strong surface transport, reliable parcel movement.Tech adoption slower than new-age logistics players.
SafexpressHuge delivery network, reliable surface transport, strong B2B logistics.Limited advanced automation compared to digital-first 3PLs.
DHL Supply ChainGlobal network, high-end automation, excellent compliance and reliability.Premium pricing; not suitable for cost-sensitive operations.
Ecom ExpressStrong in e-commerce parcel handling, extensive PIN-code coverage, robust COD handling.Less focused on large-scale warehousing operations.
ShadowfaxHyperlocal delivery strength, fast city-level distribution, great for food/grocery.Not ideal for heavy B2B or large warehouse-based operations.

Godamwale, the Ideal Choice.

Godamwale is a third-party logistics company that has a strong network of warehouses and fulfillment centers spread across the country. It has been actively aligning with the government guidelines. It offers smart solutions that are suitable for the current market conditions.

It has an in-house state-of-the-art software called Inciflo. This software allows total transparency from the time the product reaches the warehouse for storing and is dispatched to the intended customer based on order fulfillment.

Choosing Godamwale as the Parcel Management System is the best choice, as you can be sure that you will never go wrong.  

The PMS has yet to show its full potential. The rate of Return-to-Origin for Indian e-commerce for 2025 was 20-26%. However, there are several companies that are in the process of combining automation and AI-driven software to reduce this.

With the help of these techs, they provide total transparency for you, as a business head, to monitor the entire operation. With real-time tracking, you can be sure that your products reach their destination within the given time frame. You can track the parcel in real-time with the help of IoT & RFID Tracking.

You can not only track your inventories from the time they reach a warehouse till the time they are dispatched after order fulfillment, but you can also view the total number of products that are being stored in the warehouse.

By combining blockchain technology within the entire process, the process is transparent and cannot be manipulated. Thus, you can be sure that the parcel has reached its intended destination, and this data cannot be manipulated.

In recent years, the government has taken positive initiatives to reduce its carbon footprint. With so many incentives, these warehouse and logistics offering companies are in the process of relying on green and sustainable energy rather than depending upon traditional energy.


Conclusion

The Parcel Management System, or PMS, is no longer an add-on feature but a necessity in these modern times. It has several benefits; it not only improves the transparency in an operation by reducing cost but also improves customer satisfaction and allows you to scale your business as per your business requirements. Thus, partnering with the correct third-party logistics solutions offering company is important.

Frequently Asked Questions (FAQs)


Q.1) Is PMS only for big companies?

No, regardless of the scale of a business operation, several third-party logistics companies offer these services to start-ups or emerging brands.

Q.2) Can I integrate PMS with my current inventory system?

Yes. Most PMS can be combined with your existing operations and software.

Q.3How much does it cost?

It can be expensive while setting it up. But the cost is justified, as you are not looking for a short-term operation. In the long term, this cost will be very cheap.

Q.4) How secure is my data?

Most of the leading third-party logistics companies invest heavily in security measures. Thus, it is difficult to breach this security to access sensitive data.

Q.5) Can PMS handle returns / reverse logistics?

Yes. Modern PMS are created in such a way that they allow for a greater degree of transparency. As a result, you can even track returns or reverse logistics in real time.

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