Warehousing and Distribution Idea from E-commerce
As all we know E-commerce had a great win today, the development of electronic commerce in 2012 reached the pinnacle of the state. 2011 "double-October" the same day, Lynx mall daily trading volume reached 3.36 billion Yuan, 3.42 million in the first minute of the influx, 8 minutes to complete the first one hundred million Yuan turnover, 10 hours produced a one billion Yuan transactions places. As e-commerce has become very prosperous logistics are concerned, people will look at it more on logistics. Whether as e-commerce is high profits will bring more benefits to the logistics do? How we can make the more our profits base on E-commerce？
Increasing orders caused the illusion of rapid development of the logistics industry. With the increase in orders led to excessive backlog of goods to storage problems. How to reduce our costs to increase our profits is a big question for us. JIT & Joint distribution. JIT production model calls for supply, production, and marketing of all sectors to achieve zero defects and zero inventory, which requires coordination between various sectors of production and operation, run smoothly and ensure high quality.
1.1 our thought from "double-October" 1.1.1 Logistics test Lynx Mall sponsored by the "double eleven" online shopping festival, has become the end of the iconic promotional electricity supplier node. This year's "double-October" has entered the countdown, and vigorously promote the electronic business platform, while stationed in each platform businesses are logistics, stocking actively preparing. 1.1.2 Data changes that best describes the industry. 2011 "double-October" the same day, Lynx mall daily trading volume reached 3.36 billion Yuan, 3.42 million in the first minute of the influx, 8 minutes to complete the first one hundred million Yuan turnover, 10 hours produced a one billion Yuan transactions places. Another group of publicly available data, this year September 30 to October 7,
Shanghai 395 medium-sized commercial enterprises, more than 5,000 outlets in the "Eleventh" period to achieve a total revenue of 6.43 billion Yuan. 1.1.3Resolution 2012 Lynx double eleven several important innovations ? advance presale mode: Start day cat sale, customers can pay a deposit in advance orders, orders Lead Time stretched to achieve scientific supply chain planning (procurement, replenishment, logistics and other programs), the successful test the water Ma C2B model ?gamification experience, start meow planet, all brands and services into the game ? logistics comprehensively promote community service stations mentioned, the integration of end delivery improve operational efficiency 1.1.4Case: Two-eleven billions of dollars of brand marketing strategy GXG French British men's brand, sales of billions of dollars this year, double-eleven, ranked fourth Lynx Since last year, double eleven logistics problem is serious, comprehensive and innovative this year ? early March to upgrade the logistics system ? Order History Data Analysis ? multi-mode Orders Policy ? Picking Method Innovation ? collaboration with the courier ? adopt flexible replenishment strategies. Ultimately the successful protection of double eleven two days processing 100,000 single operator 1.1.5 Dual eleven logistics warehouse explosion how to do? Taobao logistics background has been started based on data-driven visualization warning system, nine large logistics companies real-time data sharing, to achieve the overall visual operation, when a company is on the verge warehouse explosion, the background early warning system will be fast scheduling , Taobao will be "strong" scheduling other logistics companies added capacity, to achieve coordinated operations ... Taobao logistics is the key to controlling the logistics cost of clearing
1.2 False prosperity With the popularity of the network and the rapid development of online shopping is not only fast and convenient which makes it become a trend and the trend. Increasing orders caused the illusion of rapid development of the logistics industry. Increase the number of orders and did not bring more benefits, however, reduced income. Many people can not understand why this is reason, but in many ways we
can find clues.
1.2.1Cost With the increase in orders led to excessive backlog of goods to storage problems and distribution problems. Then we will catch this problem what is our costs. As far as you concerned is the costs of storage and distribution are the higher in logistics. Especially stranded costs and storage costs. 1.2.2 a huge number of good must to distribution Double 11" courier companies by nearly 30,000 vehicles 6.5 million
Data show that, in response to the upcoming season courier services, express delivery companies in the original nine more than 150,000 vehicles on the basis of transport vehicles, has added 29,500 transport vehicles, adding 200,000 square meters sorting space, the new 65,000 Lanshou delivery personnel, to ensure that the "double 11." According to the Go Network data show that nearly a month nationwide courier jobs 26% increase in demand
Transportation, warehousing facilities, information communications and goods packaging, etc. logistics infrastructure aspects of is still relatively backward, a variety of of logistic infrastructure facilities planning and construction of lack the necessary co-ordination Xing, and thus of logistic infrastructure facilities supporting Xing and compatibility is poor, the lack of system functionality. Distribution center management, logistics management and operation optimization and so on are also needed to solve, coupled with network and information system is not perfect, seriously affecting the logistics and distribution
services to the accuracy and timeliness, and thus a large number of orders only a logistics company's burden
2 How to reduce our costs to increase our profits
2.1 JIT 2.1.1 Introduce JIT production is the Toyota Motor Corporation based on their characteristics, and gradually created a unique multi-variety, small batch, high quality and low consumption manufacturing model of production. The basic principle of JIT production comes from the supermarket in order to be set for the management, supply-side basis for ordering summons (Kanban) as requested in the stipulated time delivery of goods to the desired location. That is, only in "the time required to supply the required quality and quantity of products", specifically, at every stage of processing or supply of product quality, quantity and time determined by the needs of the next phase. Therefore, JIT production is the means of production organization at all levels, using the versatility, high degree of automation machinery and equipment in order to continuously reduce costs, non-waste and zero inventory as the objective of a production. In short, in the face of ever-changing market to the lowest possible cost, according to the quantity needed in order to perfect the required quality and to provide customers with products and services to maximize customer satisfaction. JIT manufacturing is the core of the elimination of all waste, its implementation means is through the realization of "zero inventory" goal. The essence of JIT production: it is a continuous improvement ideology, its focus is to eliminate all waste, it is at the lowest possible cost and highest possible quality of the customer to make the fastest possible response, so as to enhance business competitiveness. JIT implementation process is a never-ending process of production continues to improve, through increased resource utilization efficiency, eliminate all waste, reduce corporate costs and provide quality services to meet the market demand, to increase profits and enhance enterprise core competitiveness of the purpose of . JIT mode of production-related activities under the implementation of JIT production model of the conditions and principles of its related activities are divided into five levels, while at every level have different specific activities under the project (different in different enterprises). 2.1.2 Elimination of waste JIT production starting point is to minimize waste and continuous improvement. Can not create value-added waste refers to all activities. There are seven common business waste: excessive production of waste, downtime is expected to be a waste, the waste handling methods, processing its own waste, inventory waste,
waste and manufacturing waste movements defective waste. The fundamental way to eliminate waste is to make the number of production line and sales volume. If the processing sequence according to the traditional process from the front to the back to arrange the production process, then the higher the efficiency of production processes, if the rhythm and not suited to back process, then the excess waste generated by manufacturing is also more. Therefore, JIT production to the traditional transfer of parts from front to back manner reversed and replaced by ordering way to the front from behind the process make ordering process requirements, the previous process only when necessary according to the amount necessary to provide the necessary products. How many users need, how much the supply to achieve a "zero inventory", do not take liquidity; users do not need the goods, not production, to avoid the backlog of goods, outdated, bad, can also be removed fr Zero inventory production strategy om loading and unloading, handling, and inventory costs. 2.1.3 Zero inventory production strategy Zero inventory production strategy is the core of one of the JIT production model, only to ensure "zero defect" in order to achieve JIT production pursued the goal of zero defects and zero inventory. JIT production model calls for supply, production, and marketing of all sectors to achieve zero defects and zero inventory, which requires coordination between various sectors of production and operation, run smoothly and ensure high quality. Because of the production process has close links between the activities, it will enable the production of a chain defects cause confusion and cause a chain reaction, so that in-time production system, the collapse of its losses can not be measured. Therefore, enterprises should implement JIT production, that is to launch all employees to participate actively in the choice of starting from the supplier, to product design, manufacturing processes determine the production, sale, each phase must strengthen quality control, through the relevant personnel, self-control, to achieve real-time defect elimination in order to achieve zero-defect production and operation process. 2.1.4 Total Quality Management Total quality management is the focus of JIT production systems. As a result of JIT production model will lead to products and production enterprises in the dramatic decline in finished goods inventory levels, in this case, the emergence of a large number of defects is likely to halt production and delay product delivery times, causing unnecessary losses to the enterprise. Total quality management mainly includes the establishment of quality assurance system: in terms of resources, emphasis on raw materials and purchased parts quality assurance, carefully chosen suppliers; in terms of design, the use of JIT management systems to design products that are highly flexible; in personnel on the stressed that people's work quality and sense of responsibility for product
quality; in the processing process, the emphasis on quality process control. Only under the influence of total quality management can be in the JIT system, do a good job on every aspect of quality, so make every effort to achieve "zero defect" in order to achieve "zero inventory." 2.1.5 Staff involved in JIT theory suggests that the most valuable business asset is not a machine factory, nor is the product, but in the production of front-line employees. Employees are the business development of the source of wisdom. Only front-line staff to meet requirements for its operations, the system can truly achieve its functions; only when every employee to utilize their creative talents, the whole system in order to obtain the real dynamic response capabilities and ability to self-improvement. If employees do not understand the production of the JIT is not actively participate in productive activities, not to play its independent spirit, not to participate in the activities of the enterprise to improve production in the problems could not be exposed and resolved. JIT production model's success is "full participation", which is one of the important features to improve the open-ended. To this end, business-to improve staff training in all aspects of the quality of invested a lot of energy. Teamwork, a post more versatile, one multi-machine have become front-line employees the necessary skills. JIT production mode is through the operation of the organization and staff a high degree of ability to achieve the system's overall flexibility. So JIT is an important method in production ，is also an important way in warehouse management.
2.2 Joint distribution
2.2.1 the definition of Joint distribution Joint distribution is also called Shared third-party logistics service , refers to multiple customer unite together by a third party logistics service company to provide distribution services. It is in distribution center under the unified planning, unified scheduling. Joint distribution is combined by multiple enterprise to organize the implementation of distribution activities. The essence of joint distribution is through the activities of scale to reduce operating costs, improve the utilization efficiency of logistics resource. Joint distribution is refers to the enterprise, various ways of transverse joint, intensive coordination, seeking common ground while putting aside differences, and benefit sharing. 2.2.2 Express industry joint distribution 220.127.116.11the mode of joint distribution Joint distribution has two kinds of operation ways, this joint distribution of the
industry belongs to the second mode of operation in distribution terminal, consolidated distribution, and for the customer who is in a region without terminal distribution station . 18.104.22.168 the feature of joint distribution The following is the character description of Express industry joint distribution
22.214.171.124 the detail operation of Joint distribution In general, this new type of joint distribution mode is to improve the efficiency of replenish stock, by the small and medium-sized logistics enterprises, transport enterprises joint production enterprise in logistics channels integrating one or more functions, and establish joint distribution center and the joint distribution information platform, to manipulate the goods together in the joint distribution, it is a common .distribution core enterprise USES the networked computing machine technology and modern hardware equipment, software system and advanced management method, in view of the social demand, strictly, keep promise to order in the user's requirements, unified by small and medium-sized logistics enterprises or transport enterprises to each supplier to focus on common goods distribution center, a series of classification, orchestration, sorting, distribution, distribution and so on tally work, timing, fixed-point, quantitatively given no limit to the scope of all kinds of users, to satisfy their demand for goods. And joint distribution information platform based on Internet of small and medium-sized logistics enterprise in each of the suppliers, users, full information sharing between Banks and certification bodies and efficient security, make the enterprise internal and external resource to optimize configuration, and the rational flow of logistics, information flow and cash flow. 2.2.3 Specific example Specific instance, four periods in the college city joint distribution network, it integrates some in university does not have a network of express companies,
such as zhongtong, motion. It receives the logistics company delivery, and the logistics company, logistics information sharing, distribution for the logistics company in the end. Save the cargo flow in the university town is not big logistics company set up branches in the university of all kinds of costs (artificial, venue rental, information tools, etc.) 2.2.4From multi-to-point Now a lot of third-party logistics service companies offer joint distribution services, and with the ECR (Efficient Consumer Response) and continuous replenishment way linked more show its uniqueness. Especially in the retail joint distribution is very popular because retail is an important feature of many kinds of products, so a retailer by a number of suppliers to their suppliers. Joint distribution, while having many advantages, but it is also a very complex operation, it is not just the few goods are loaded into a car as simple as a lot of technical work needs to be done. It requires third-party logistics providers to provide more technical and management systems to multiple suppliers by providing goods to optimize the composition of orders to form a truckload. In addition, to achieve joint distribution is another prerequisite for third-party logistics service providers also have a large number of clients in the same industry. 2.2.5 You can do the minimum risk, maximum flexibility Joint distribution has become a trend, and it has gone beyond the breadth and depth of integration this simple form of transportation, along with the economic development, a lot of companies want to expand their business, expand into new markets, or into other product markets. However, before you invest in these companies are very cautious and want to minimize investment risks, based on the reasons, many companies adopted a common distribution mode of operation. Common distribution can help manufacturers on market needs made fast reaction, such as, drugs and health products company is shared distribution network of maximum customer one of, this is because to fast fulfill orders, they required to in main of sales points near save few of stock, because in these sales points relative for space is small, for guarantee in limited of space within exhibition more of product, on cannot tenure too more of inventory, therefore used common distribution for timely fill cargo is very for of. Other industries such as electronics and auto makers, when the short product life cycle and small inventory space allows the company to emphasize the perfection of logistics network, and save money when you occupying, joint distribution is also reducing risk as well. Due to the common distribution avoids manufacturers in warehouses and other buildings, material handling equipment, labor and information systems to support investments in these areas, and to meet customer needs in a timely manner, which was welcomed by manufacturers and other customers. Because the cost of joint distribution for manufacturers is the actual volume changes
brought about by cost, fixed cost savings, so they can use the savings to invest in their core business activities such as product development, marketing, and other income-generating activities. The flexible joint distribution itself is also an important reason for their favored by the majority of the company. Clients are generally in favor of long-term contracts with third-party logistics service providers, in contrast, shared by clients signed contracts tend to be short, typically one month contract. For example, a customer last month and the signing of third-party logistics is a warehouse of 1000 square meters of lease next month may is 800 square meters, this service is very flexible. If customers prefer to charge by the rates per unit of product, then the corresponding third-party logistics provider can follow them to the size of the actual cargo handling charges. 2.2.6 Implementation Difficulties The realization of joint distribution concept, from the microscopic point of view, businesses can get the following benefits: distribution operations to achieve economies of scale, improve work flow efficiency, reduce operating costs; without invest a lot of money, equipment, land, human etc., can save resources of the enterprise; companies can concentrate on core business operating accounts, and promote business growth and proliferation; expand the scope of the market, eliminate the original closed sales network, to build a coexistence environment. From the perspective of society as a whole, to achieve joint distribution has the following advantages: reducing the total amount of social traffic, reducing the traffic downtown discharge phenomenon, to improve transport conditions; through centralized processing, effectively improve the vehicle's loading rate, saving logistics management space and human resources, improve the business environment, thus improving the overall logistics and quality of social life. All in all, you can maximize the joint distribution of personnel, materials, money, time and other logistics resource use efficiency (reducing costs), to achieve maximum efficiency (to improve service), you can also remove excess staggered transportation and obtain ease traffic, protect the environment and other social benefits. Joint distribution is the general trend of the development of logistics and distribution, of course, involves a lot of joint distribution of specific details of the problems in the implementation process, there will be some difficult points. First, each different from the product by industry operators, there are daily necessities, food, alcoholic beverages, medicines, clothing and even kitchen supplies, sanitary ware, etc., are numerous, and so forth. Different characteristics of different commodities, on the distribution requirements are not the same, there are some difficulties common distribution. And, the size of the business, shopping district, customers, management awareness of gaps also exist, often difficult to coordinate.
There, leaking trade secrets concerns cost-sharing, and so on. Government in promoting the process of distribution of common measures to be taken in recent years, retailers are in succession toward the horizontal, vertical, industry, integration of different industries such as the direction, some channels with a total of integration, some products of consolidation. In the integration process, how to build consensus between industry, the establishment of efficient co-counseling its distribution system in order to implement the overall effect of business automation, at this stage the primary task of implementing joint distribution. In business automation integration phase is about to enter a critical period of the existing law and regulations, developing specific incentives to promote related enterprises to establish a common distribution system direction, has an important significance. Specifically, the government in promoting the process of distribution of common measures to be taken are as follows: to strengthen the concept of advocacy and technical guidance. Establishment of joint distribution technical guidance specialized agencies, selecting a few typical enterprise, the establishment of joint distribution model system to point, and play an exemplary role. Further strengthening modification and formulate relevant laws. Re-examine and modify existing laws and regulations concerning land acquisition, in the approval, taxes, etc. to give some incentives to reduce a firm's land acquisition costs; accelerate the development of the logistics industry standards, the establishment of a unified, scientific, standardized standard system. A fair and competitive business environment and promote the development of common distribution system; implementation of traffic law enforcement in order to improve traffic and parking conditions, and improved roads, sidewalks relevant norms, accelerate the construction of road works.
With the continuous development of e-commerce has brought many opportunities to the logistics, but it is more challenging and difficult problem. Especially in China's logistics industry level varies greatly, inadequate facilities, cost control difficult, there is no way to respond quickly and many other issues continue to plague us. Compared to the trend in e-commerce to benefit, it would be better to say in the information flow and capital flow well developed today, logistics has become the whole of China to trade a loss. How can I make use of their existing resources, through continuous integration and development through the establishment of efficient warehousing and distribution system, to achieve the maximization of benefits and efficiencies, improve service levels and resource utilization, and promote domestic logistics development.