Research on the present situation and countermeasures of company distribution management

With China's entry into WTO, the pace of economic globalization and informatization is accelerating, and the competition among enterprises is becoming increasingly fierce. The vigorous development of various new retail formats urgently needs the all-round cooperation of a perfect management system, but the biggest bottleneck restricting the development of retail industry at present is the imperfection of logistics distribution system. This paper will analyze the development characteristics of retail industry in China and the present situation of retail distribution management, and put forward some countermeasures for domestic retail enterprises in China to improve their own logistics distribution management in the transitional period, so as to meet the needs of consumers, reduce operating costs, improve their core competitiveness and win in the competition. Keywords: [Retail Enterprise] [Distribution Management] [Status Analysis] [Countermeasure Research] At present, with the acceleration of marketization, the competition between China's retail industry and foreign retail industry is becoming increasingly fierce, forming a situation in which various formats compete with each other. The original commercial forms, such as department stores and specialty stores, are constantly developing towards standardization in order to seek greater development space; New formats such as food supermarkets, large-scale comprehensive supermarkets, convenience chain stores and specialty stores are also growing rapidly, vying for bigger cakes. The number of retail enterprises in China has not only increased sharply, but also expanded. Take Shanghai and Guangzhou as examples. In 2005 alone, the number of supermarket chains increased by more than 40. The rapid development of retail enterprises reflects the vigorous development of the market, but it also brings many problems, such as irregular retail management, customer diversion, logistics and distribution lag. First, the characteristics of China's retail development 1, the rapid expansion of retail scale. By the beginning of 2005, there were nearly 900,000 wholesale and retail legal entities in China (including 353,000 retail legal entities), with13.825 million employees. 2. Modern retail formats are booming. At present, the retail format of China retail market includes almost all the retail formats in the world. Such as: department stores, supermarkets, convenience stores, specialty stores, specialty stores, shopping centers, large comprehensive supermarkets and warehouse shopping malls. Among them, specialty stores, large-scale comprehensive supermarkets and warehouse-type shopping malls are new retail formats that have developed rapidly in recent years. At present, they are realizing the transformation from traditional department stores to modern department stores, from comprehensive department stores to theme department stores, and from single operation to chain operation, showing the coexistence of various formats. 3. Chain operation has become the mainstream mode of retail development. By the end of June 2005, there were 79,428 chain retail enterprises above designated size in China, an increase of 44.7% over the end of 2004. The retail sales amounted to 325.8 billion yuan, up 29.3% year-on-year, and the business area was 53.985 million square meters, up 53.5% year-on-year. With the continuous expansion of retail scale, the rapid development of retail format and the continuous formation of the mainstream mode of chain operation, it is increasingly necessary to tap new "sources" for development. As we all know, in the operation of retail enterprises, logistics costs account for a large proportion of the whole circulation costs. As far as the average level of domestic circulation field is concerned, logistics costs account for 40% of commodity prices. The average logistics cost in the United States accounts for 10%-32% of the commodity price. Compared with the two, China's logistics costs still have a lot of room for decline, that is, the logistics management level of China's retail enterprises still has a lot of room for improvement. Retail enterprises will make maximum use of their own distribution system, inventory management system and information system, so that enterprises can operate in a state of low or zero inventory, but in the third profit source of logistics, distribution is the main source of the third profit source. That is, distribution management is the key link for large retail enterprises to improve the efficiency of logistics management, which determines the efficiency, cost and output of logistics management of domestic retail enterprises in China. Because the chain stores of retail enterprises are distributed in various regions, the distribution system mode and the operation efficiency under this mode largely determine the efficiency of enterprise logistics system. Therefore, it is the key for retail enterprises to formulate a logistics distribution system suitable for retail enterprises. However, there are some hidden problems in the distribution management of retail enterprises in China. Second, the present situation and existing problems of distribution management in retail enterprises 1, the traditional management concept is restricted, and the modern distribution system is affected. In the survey, it is found that more than 58% of the commercial enterprises that carry out logistics distribution in China have never used information technology or information systems to carry out logistics operations, while 72% of the enterprises that use information technology for logistics management still rely mainly on traditional manual operations, and information technology is only used as its auxiliary management means. Due to the late appearance of the new retail format, there are still many traditional business forms such as department stores and shops in China, especially in slow-developing areas and towns, where traditional management ideas and concepts exist. The business model of "big and complete, small and complete" makes the standardization and organization of retail formats generally low. 2. The government support is unbalanced, and the infrastructure construction is obviously lagging behind. The government has increased its investment in railway and highway construction; The increase in the number and scale of logistics parks across the country; The growth of production and sales of medium and heavy trucks; The gradual adoption of modern logistics equipment indicates that China's logistics distribution industry has entered a period of rapid development, but compared with the development requirements of China's commercial logistics distribution centers, the construction of these infrastructures is still relatively backward. 3. Lack of distribution management personnel makes it difficult to implement the distribution system. While doing theoretical research on the distribution system of retail enterprises, we should also realize that any management can not be separated from people, and the logistics management of retail enterprises is no exception. Distribution center, information system is important, but it is impossible without management. If the designed process is not strictly implemented, it will get twice the result with half the effort. Only by cultivating logistics talents can China's retail enterprises make great progress in hardware and process reengineering. 4. The distribution system is imperfect and the information feedback is blocked. From the internal operation of logistics distribution management, most domestic enterprises still rely on traditional distribution methods because they have not established a relatively perfect distribution management information system, which leads to the untimely information feedback, thus affecting the flexibility of various forms of retail industry to adapt to changes in customer needs. Logistics distribution ultimately serves customers, but fails to satisfy customers, weakening social effects. 5. The optimization degree of distribution mode is low, and it is difficult to improve the distribution efficiency. Judging from the actual operation of China's existing commercial logistics distribution centers, it is rare for enterprises to systematically use distribution skills to improve distribution efficiency. At present, the usual practice is that chain stores send purchasing instructions to chain headquarters or logistics distribution centers through certain communication methods (such as network, internal information system, fax or telephone). ). Most commercial retail enterprises start with full goods or start on time. As for what kind of distribution cycle and route to take, there is no complete consideration and planning. The lack of these distribution skills also affects the improvement of distribution efficiency to a certain extent. 6. The distribution ratio of distribution center is low, and the advantages of commercial chain have not been brought into play. Judging from the existing commercial retail enterprises in China, except for some large and well-known commercial enterprises, most general commercial "chain" enterprises have not established their own logistics distribution centers or used third-party logistics centers. Although these enterprises have also established their own "chain stores", in fact, the goods operated by stores have not achieved "unified procurement, unified distribution and unified settlement", which makes the "chain operation" of some commercial retail enterprises exist in name only, while the efficiency of distribution centers has not been effectively exerted in other commercial enterprises that have established their own logistics distribution centers or used third-party logistics centers to realize commodity distribution. This in turn affects the advantages of chain enterprises' comprehensive procurement costs. Third, the retail enterprise distribution management countermeasures (a) macro countermeasures 1. The government plans to build logistics infrastructure to ensure the effective operation of the retail market economy. China is in a transitional period. Compared with mature market economy countries, the government should play a role in more fields, especially in commercial retail enterprises and other industries. Facing the present situation of small-scale domestic retail enterprises and low industrial concentration, the government must follow up the policies and measures, especially the formulation of new policies, focus on policies and measures to encourage chain enterprises to become bigger and stronger and develop across regions and industries, strengthen the construction of national logistics facilities, and create a more relaxed policy and macroeconomic environment for the development of logistics management of retail enterprises. Strengthen macro-control and coordinate the construction of logistics infrastructure. China's logistics facilities, especially infrastructure, are weak and scattered among regions, industries and enterprises. Due to the division of regions and departments, as well as the fragmentation of many industrial and commercial enterprises and logistics enterprises, the market is extremely dispersed, and the repeated construction of "logistics centers" and "logistics bases" in various places has caused the vacancy and waste of social resources. The utilization rate of many docks, warehouses and special lines is very low. At present, the average utilization rate of warehouse area in China is less than 40%. Because the reasonable layout of logistics facilities will greatly affect the planning of distribution center of retail enterprises and the efficiency of enterprise logistics system, the government should make overall planning for logistics infrastructure construction, with emphasis on node construction, that is, to realize the close connection of ports, railways, highways and airports, and create conditions for the cross-regional development of retail enterprises and the planning of distribution centers. 2. Strengthen the construction of logistics-related laws and regulations to create a good external environment for the development of retail distribution. First of all, to solve the problem of the lack of national logistics laws and regulations, according to the existing regional and departmental laws and regulations, study and formulate unified national logistics laws and regulations, clearly define the qualifications, rights and obligations of both parties to logistics distribution transactions and logistics distribution enterprises, and provide legal basis for solving logistics distribution disputes. Secondly, set up a special logistics distribution management organization, or assign the management power of logistics distribution to a special organization, play a coordinating and coordinating role, solve the problem of chaotic management, and ensure the healthy and orderly development of logistics distribution. Third, formulate industry self-discipline norms among logistics distribution enterprises, restrain the operation and behavior of logistics distribution enterprises, avoid conflicts and vicious competition among logistics distribution enterprises, ensure the integrity and professional ethics of logistics distribution enterprises, and safeguard the interests of buyers. Fourth, logistics and distribution enterprises should be large-scale, strengthen communication and unity with each other, promote the development of * * * and safeguard the interests of * * *. Because retail enterprises are a special industry, with small entry barriers and driven by interests, it is easy to cause excessive competition, leading to deterioration of the competitive environment and waste of social resources. Therefore, the government and its competent departments should also recognize the importance of urban planning and implement planned management for enterprise access to prevent vicious competition. (2) Micro-countermeasures 1. Strengthen the construction of logistics and distribution talent team to ensure the smooth progress of distribution system. With the rapid development of information technology, more and more enterprises in international and domestic commercial logistics distribution centers use information technology to improve their management level. For example, many information management technologies are currently used, including product identification barcode (BC), enterprise resource planning system (ERP), management information system (MIS), electronic data interchange system (EDI), geographic information system (GIS), automatic sorting system (ASS), flexible logistics system (AGV), global positioning system (GPS) and warehouse management system (WMS). The use and operation of these new technologies need people, but the technicians who implement traditional methods can no longer meet the needs of the use of emerging technologies. Therefore, on the one hand, society should cultivate a large number of professionals needed by logistics and distribution, especially senior management talents with rich professional level that are urgently needed for the development of logistics and distribution. On the other hand, logistics and distribution enterprises should also be willing to invest in training employees to improve their professional level and business ability. Second, logistics and distribution enterprises should strengthen the publicity and training of employees' "service" concept. Firmly establishing the consciousness that "distribution is a kind of service" is the fundamental guarantee to continuously improve the level of logistics service. 2. Improve the distribution system reengineering project and improve the efficiency of retail logistics distribution. The establishment of enterprise distribution system is a systematic project. When considering the structure of a distribution system, we should first consider whether the system is centralized (with few and concentrated logistics outlets and large coverage) or decentralized (with many and scattered logistics outlets and small coverage). Because of the advantages and disadvantages of centralized and decentralized distribution systems, enterprises must choose between the cost and benefit balance of centralized and decentralized systems. The biggest disadvantage of decentralized distribution system is that many outlets can provide high-quality services to customers. The advantages of centralized distribution system are centralized and large-scale logistics outlets, wide coverage and greatly reduced operating costs. 3. Formulate logistics strategy and implement intensive distribution mode. China's retail enterprises must realize that logistics distribution strategy is not only a matter of logistics distribution departments or distribution centers, but also a strategic decision that enterprise decision makers need to make according to the long-term sustainable development plan of enterprises. There are basically two modes for retail industry to choose distribution services: one is self-built distribution center, that is, all or most of the goods operated by enterprises are distributed by their own distribution centers, which is suitable for companies with a large number of stores and strong purchasing ability, such as Wal-Mart's famous logistics distribution system; Another mode is * * * the same distribution system, that is, a specific manufacturer or wholesaler invests in the construction of a distribution center to provide services for a retailer, who participates in guiding the operation of the distribution center and invests in the information system of the distribution center, which is suitable for the implementation of "small batch and multi-variety" distribution. However, these two methods are the most effective intensive distribution methods. 4. Committed to the implementation of real-time distribution, and improve the supply guarantee capacity of the retail industry. Through instant delivery, you can deliver on demand. Instant delivery is the concrete embodiment of the rapid response ability of distribution enterprises and an important guarantee means. Of course, instant delivery requires enterprises to have a high degree of informationization and share information with suppliers, and enterprises can only achieve it with certain strength. However, domestic large-scale retail enterprises should aim at real-time distribution when formulating logistics strategies and designing distribution centers. Even if it can't be realized at present, it will prompt the retail industry to speed up distribution and improve distribution efficiency. In the increasingly competitive market environment, the fundamental guarantee for the success of China retail industry is an efficient logistics distribution management system. An efficient and reasonable logistics distribution system established on the basis of large-scale operation can ensure the timely and accurate arrival of goods, ensure the operation of enterprises with low inventory, low cost and high customer satisfaction, find new profit growth points for retail enterprises and enhance their core competitiveness. References: 1. Design and Operation of Efficient Distribution Center, edited by Sun Hongling, China Materials Publishing House, 2002,2. China retail logistics management status and countermeasures, Tenzin, scientific and technological progress and countermeasures 3. Wal-Mart in America-Retail Number One in the World, Lu Yilin, Renmin University of China Press 4. The present situation and problems of the development of commercial logistics distribution centers in China.