Understand what supply chain is, what is supply chain management and supply chain management services.

Generally speaking, iron ore and coal are dug out of mines and transferred to steel mills through a series of activities such as processing, transportation and trade. Steel mills use iron ore and coke as raw materials to produce steel, which is transferred to power plants through a series of processing, transportation and trade. A power plant uses steel, plastic, glass and other raw materials to produce household appliances, which are transferred to consumers through a series of transportation and trade. This is the product supply chain, and products are transferred from upstream suppliers to downstream through various activities such as production, processing, transportation, warehousing and trade.

In the process of products flowing in the supply chain, upstream suppliers and suppliers of upstream suppliers are linked forward ... while downstream customers and customers of downstream customers are linked backwards, interlocking. Steel will be sold not only to power plants, but also to automobile factories. Automobile supply chain and home appliance supply chain are intertwined, that is, multiple supply chains will be intertwined to form a chain network. It should be noted that the supply chain flows not only products/objects, but also various information such as supply and demand information and capital flow (products must be exchanged in currency).

So the supply chain is not only a product chain, but also an information chain and a capital chain.

In addition to the supply chain of products, the service industry also has a supply chain. For example, in the logistics industry, shippers place orders for transportation services from the car-free carrier platform, and the car-free carrier platform can purchase transportation services from fleets or individual car owners. The motorcade or car owner buys insurance services from insurance companies and maintenance services from repair shops. This chain is the service supply chain.

Supply chain management is developed on the basis of purchasing management, operation management and logistics management. It is the integrated management of product flow, capital flow and information flow to maximize the value to customers and minimize the cost of supply chain.

In fact, for a person who does not understand supply chain management, the purpose of supply chain management is to reduce costs and speed up, and its possible problems are generally reflected by inventory. However, in fact, supply chain management is like a blind man touching an elephant, and people with different backgrounds will have different understandings of it.

Here we mainly talk about supply chain management related to procurement. In fact, for many procurement personnel, supply chain management is procurement and supplier management, that is, ensuring suppliers to provide products or services with reasonable prices on time, with good quality and quantity.

In practice, supply chain management can be divided into three parts: sourcing, processing and delivery. These three parts are all driven by "planning", so planning is the engine of supply chain, above procurement, operation and logistics.

Pay attention to supplier management and make suppliers an organic extension of the company. From the perspective of supply chain management, procurement is the combination point inside and outside the company and the ideal choice for managing the supply chain. Purchasing manages internal demand (such as purchasing new products) and external suppliers (such as supplier selection and performance management), and rationalizes supply by rationalizing demand.

Strive to complete the value-added process of products and services in the most effective way. Operation management is a trivial and complicated matter, but it is not difficult to do it once because of triviality, and it is difficult to keep it unchanged for thousands of times. Only by raising trivial and complicated things in daily operations to the essential problems of processes and systems and improving them can operation managers stand out.

Strive to move the goods from point A to point B in the most economical and efficient way. The object of logistics management is the flow and storage of products, services and information, that is, moving products from place A to place B, and handling services and information in this process. In addition, it not only manages the forward flow of products, services and information (from suppliers to customers), but also manages its reverse flow (from customers to suppliers-after-sales).

For the sake of understanding, let's take the supply chain service of Yi Yatong as an example.

Through its powerful resource integration capability, Yiyatong Procurement Platform accurately grasps customers' needs, formulates customized service plans, connects customers' upstream manufacturers and downstream customers according to customers' instructions, and provides procurement, procurement execution, procurement resource integration services, procurement, customs clearance, international and domestic logistics, goods delivery and other actions by integrating capital flow, information flow, business flow and supporting financial services.

Procurement execution service refers to helping enterprises to purchase sunshine, improve the efficiency of procurement execution and avoid the cost out of control caused by various problems in the procurement process. VMI helps enterprises to strengthen the collaborative management of suppliers and their inventory, realize zero inventory management, improve the turnover efficiency of suppliers' production inventory, and solve the huge inventory backlog caused by the gap between planned production and actual sales. Procurement resource integration service refers to the integration of product resources to help domestic and foreign businesses achieve global product procurement. Through the above overall collaborative services, we can help customers save costs, reduce human input, and pay more attention to the construction of core competitiveness in the whole procurement operation.

For example, H Company is a world-renowned manufacturer of household appliances and equipment. Due to the variety of raw materials to be purchased, it is necessary to dock with multiple suppliers at the same time, which leads to a slow order processing cycle. At the same time, supplier delivery, international and domestic transportation, warehousing, customs clearance, foreign exchange payment and other links are not unified, which leads to low delivery time, complicated settlement and high cost, and the whole supply chain is difficult to control. Through in-depth investigation, analysis and demonstration of H company's supply chain system, Yi Yatong provides innovative supply chain services such as purchasing execution+supplier management inventory +JIT for H company. Through the supply chain service, H company can query the order execution information, inventory entry and exit records and on-hand status in the VMI system of Yiyatong in real time. Cancel the raw material warehouse and switch to Yi Yatong to provide warehousing management and goods distribution services, thus reducing warehousing costs, optimizing the purchase order management link and greatly shortening the purchase order processing cycle of H company.

Through the cooperation with Yi Yatong, customers have achieved comprehensive supply chain management results:

First, the suppliers of H Company from all over the country were successfully introduced into VMI project, and the suppliers could check the inventory status in real time according to the ERP system of Yi Yatong, and replenish the goods quickly, which improved the response speed of raw material delivery. Yi Yatong's fast and efficient local logistics service has realized the JIT supply of raw materials, thus ensuring the benign operation of H company's production line.

Second, most of the inventory is transferred to Yi Yatong management, and the original warehouse can be converted into a production line conditionally, which can effectively expand the production scale, promote sales and occupy the market.

Thirdly, after the delivery of Yi Yatong to H company, the ownership of the goods was transferred to H company, realizing zero occupation of inventory and funds.

Fourthly, the transportation of suppliers is changed from single transportation after the goods are collected by Yi Yatong to unified transportation, and measures such as integrated customs declaration and carpooling transportation are taken to reduce the cost of supply chain links.

Fifth, Yi Yatong provides financial services in the procurement process to meet customers' capital needs, ease capital pressure and improve capital turnover rate.

Yi Yatong tries to establish a sales platform between manufacturers and distributors, with a service network covering cities at all levels in China, creating a value-added distribution supply chain operation mode, providing services such as sales execution, distribution, channel management, marketing and supply chain finance, helping enterprises to flatten channels, improve competitiveness and open up a broader market.

Sales execution +DC service: help enterprises to realize the buffer between production and sales and enhance the flexibility of enterprise supply chain; Help enterprises to serve national distributors and realize the unification of business flow, logistics, capital flow and information flow.

Distribution service: the sales platform links brand manufacturers and downstream channel providers, establishes a supply chain network covering cities at all levels in China, establishes and uses an e-commerce platform, provides full-process supply chain management services, creates a value-added distribution supply chain operation mode, and helps partners break through the channel management problems and improve market competitiveness.

Value-added services: Yi Yatong can provide customized services such as channel management, channel expansion, marketing, media promotion and supply chain finance. According to customer needs, help enterprises to upgrade their brands and develop incremental business.

For example, R company is a world-renowned international brand manufacturer, and its agents pick up goods at R company's overseas pick-up points, and handle international transportation, customs clearance and foreign exchange payment. It is difficult to control the timeliness, cost and transportation information of the supply chain after shipment, and it is difficult to supervise the business operation of agents and the market price of products. It also needs to face the troubles brought by the huge agent system, such as the delivery and settlement of goods, complex operation and management, weak control and bargaining power of e-commerce platform, and slow expansion of diversified channels. Through the investigation and analysis of the supply chain, in order to solve the above problems, Yi Yatong issued a solution. R company focused on product research and development, and all the supply chain links of products entering the China market were outsourced to Yi Yatong. Yi Yatong provided customized supply chain services for R company, such as overseas goods collection and customs clearance services, sales execution services, channel expansion management, market price management, promotion planning and product after-sales service.

Uniformly arrange import customs clearance, standardize product prices, shorten customs clearance time to 1 day, advance the time when products enter the market, and seize market opportunities; Facing the problems of commodity delivery and settlement, complex operation and management, and high operating cost brought by the huge agent system, Yi Yatong flattened channels and directly settled with agents to reduce the total cost of commodity circulation; In addition, Yi Yatong carefully manages the channel providers and unifies the supply price and bar code management, effectively avoiding the dilemma of price war among dealers and the declining profit rate of each link, and the annual business volume of traditional agents of R Company has achieved multiple growth. At the same time, Yi Yatong uses three-dimensional channel resources to assist R company to develop e-commerce channels, develop new channels and increase customer channels and product sales. In the same year, the new business volume of R Company increased by 30%.

According to the analysis of the industry researcher of New Esprit, the development trend of the supply chain industry in China in the short term will be mainly reflected in the following aspects.