Development strategy of third-party logistics enterprises

So far, there are not many successful third-party logistics enterprises in the domestic market, and most of them are still in their infancy. With the gradual fulfillment of China's commitment to join the WTO, the logistics industry will face an all-round and open macro environment, and how domestic third-party logistics enterprises cope with the fierce competition in the international market has become a very urgent issue. The author hopes that through the SWOT analysis of the third-party logistics enterprises in China, it can help enterprises to clearly understand their own strengths, weaknesses, opportunities and threats, so as to choose strategies suitable for their own development.

SWOT Analysis of Third Party Logistics Enterprises in China

1。 superiority

In recent years, a number of enterprise groups have emerged in China's third-party logistics market, such as COSCO Group, Sinotrans Group, China Shipping Logistics, etc. They are both large-scale and profitable, and can effectively provide third-party logistics services. They are familiar with the characteristics of the domestic logistics market, have a nationwide network system, have low operating costs, have good relations with the government and related enterprises, and have incomparable advantages over some foreign enterprises.

At present, China's third-party logistics enterprises mainly include the following categories, each of which has different advantages: the first category is logistics enterprises transformed from large and medium-sized state-owned enterprises, such as China Shipping Logistics Company. Their main advantages are a large number of ready-made logistics infrastructure and special equipment, large reservoir park area, perfect management mechanism and familiarity with the local market, so they develop rapidly. The second is the transformation of traditional warehousing and transportation enterprises, such as China Foreign Trade and Transportation (Group) Company, COSCO International Freight Company and China Storage and Transportation Company. They have national network, transportation and storage assets, and have strong core competitiveness by virtue of their original logistics business foundation, market and operation network, facilities and enterprise scale. The third is the monopoly group companies directly managed by the state in the past, such as China Railway Logistics and China Post. Their main advantages are extensive transportation and storage network, many outlets, and a deep customer base formed by years of operation. The fourth is private logistics enterprises, such as Baogong and Datong International. Their main advantages are flexible mechanism, low management cost and providing feasible logistics solutions for specific industries. Therefore, it has developed rapidly and is the most dynamic third-party logistics enterprise in China logistics industry. Of course, these advantages can only work for a period of time. If the third-party logistics enterprises in China want to occupy a place in the international logistics market, they need to constantly improve their management, service and informatization level, and vigorously cultivate professional talents.

2。 Disadvantaged

(1) Single service project. At present, most third-party logistics enterprises in China can only provide single or segmented logistics services, and the logistics functions mainly stay in warehousing, transportation and urban distribution, and there are not many related value-added services such as packaging, processing and distribution, which cannot form a complete logistics supply chain.

(2) The level of information technology is backward. The backwardness of information technology is mainly manifested in the lack of modern logistics facilities and equipment, the low degree of mechanization, and the insufficient application of modern scientific and technological means such as GPS global positioning system, electronic data exchange and automatic warehousing system (automatic inventory positioning and goods sorting, etc.). ), computer-aided transportation line design and vehicle stowage. The backward level of information technology makes it difficult to meet the needs of customers in timeliness, accuracy, reliability and diversity, which makes enterprises and customers unable to fully enjoy information resources and form an interdependent partnership, which seriously restricts the development of third-party logistics enterprises.

(3) Lack of modern logistics knowledge and professional logistics management talents.

Although some experts in China have been studying the third-party logistics, and some colleges and universities have also offered some courses related to logistics, logistics knowledge, especially modern comprehensive logistics knowledge, is far from being popularized. Many people only know that logistics can provide transportation and warehousing services, but they don't know that it is a new integration of these traditional businesses. In addition, some logistics enterprises do not pay enough attention to talents, lack professional logistics management talents, and fail to train employees on relevant business knowledge and skills, so that enterprises cannot be effectively managed.

3。 chance

(1) huge potential market demand. Judging from the market demand, China is currently one of the most economically dynamic countries in the world and the largest consumer market in the world. Many multinational companies are moving more business to China and reducing supply chain costs by outsourcing logistics. For example, in Beijing, Shanghai, Tianjin, Guangzhou, Shenzhen, Shenyang, Wuhan and other central cities, many multinational companies such as IBM, Lenovo and Samsung have entered the third-party logistics service market in China. In addition, as the 2008 Olympic Games will be held in Beijing, the demand of its logistics market is expected to exceed 40 billion yuan. This will undoubtedly bring great opportunities and huge profits to the logistics industry in China.

(2) the government's attention.

In March of 20001year, seven departments, including the State Economic and Trade Commission and the Ministry of Railways, jointly issued Several Opinions on Accelerating the Development of Modern Logistics in China. In the latest catalogue of industries, products and technologies encouraged by the State Planning Commission and the State Economic and Trade Commission, the development of logistics distribution centers is also listed as the key content to encourage development. After the National Logistics Standardization Committee was formally established in Beijing in September 2003, it began to comprehensively promote logistics standardization. The Ministry of Science and Technology has listed "e-commerce and modern logistics demonstration project" as one of the scientific and technological priorities of the Tenth Five-Year Plan. Up to now, more than 30 central cities in more than 20 provinces and cities across the country are making or have issued logistics development plans for various provinces and cities. The attention of governments at all levels has created a good macro environment for the development of third-party logistics enterprises in China.

(3) Opportunities after China's entry into WTO. After China's entry into WTO, with the gradual opening of the domestic market, the demand for logistics outsourcing will increase under the pressure of reducing costs and enhancing core competitiveness of China enterprises. The influx of foreign logistics companies will also encourage local enterprises to learn advanced business concepts and seek new development space.

4。 threaten

(1) Challenges of foreign logistics enterprises. After China's entry into WTO, foreign logistics enterprises are optimistic about China's logistics market. Not only some world-renowned third-party logistics enterprises have entered the China market in advance, but more foreign third-party logistics enterprises will also enter the China logistics market one after another. China logistics enterprises are facing great challenges from foreign logistics enterprises.

(2) The fourth-party logistics enterprises are on the rise. When people are still confused about the understanding of the third party logistics, the fourth party logistics has jumped out of the water and become another focus of the logistics industry. The emergence of the fourth party logistics will inevitably bring some impact to the business philosophy of the third party logistics enterprises. Whether to keep the existing management mode unchanged, or to seek new system innovation, or to seek the coordinated development of the two will be an urgent problem for enterprise managers to solve.

Development Strategy of Third Party Logistics Enterprises in China

Through SWOT analysis of China's third-party logistics enterprises, enterprises should make strategic choices and adjustments in cost control, business development and rational competition.

(1) cost leadership strategy.

Cost leadership strategy refers to that when enterprises and competitors provide the same products and services, only by making efforts to make the costs of products and services lower than those of competitors for a long time can they finally win in the market competition. For third-party logistics enterprises, it is necessary to share the cost of management and information system by establishing an efficient logistics operation platform. On an efficient logistics operation platform, adding a customer with the same demand has almost negligible impact on fixed costs, and naturally has a cost competitive advantage. Generally speaking, the logistics operation platform consists of the following parts: a stable business volume formed by a considerable customer group, a stable and practical logistics information system, and a network covering a wide range of business fields.

(2) Centralized strategy.

According to its own advantages and external environment, determine one or several key areas, concentrate enterprise resources and start business breakthroughs. Centralized strategy not only refers to the concentration of business development direction, but also requires enterprises to concentrate on the recruitment and training of human resources, the establishment of organizational structure and the acquisition of relevant working capital. Fully grasp the market opportunities and effectively use the existing resources of enterprises.

(3) enterprise alliance strategy

On the one hand, enterprise alliance refers to the alliance between third-party logistics enterprises in China; On the other hand, it refers to the strategic partnership with logistics enterprises and shippers. Some experts believe that "small", "little", "weak" and "scattered" are common problems of most traditional logistics enterprises in China. Therefore, it is an ideal way for China's third-party logistics enterprises to achieve a win-win situation by establishing logistics alliance, building an information sharing platform, integrating the core competence of enterprises, fostering strengths and avoiding weaknesses, and complementing each other's advantages.