this year, "supply chain" to liven up the topic in the industry, on the one hand from the Internet and the rise of a self-contained home improvement, companies starting to focus on the tremendous value downstream integration.
On the other hand, big home, a one-stop shopping but also to domestic enterprises start thinking about how to get through building materials, furniture and soft loading and other sectors, a better experience for consumers.
(source: Internet, invasion deleted)
Let us first understand a concept, what is the supply chain? It means around the core business, from the procurement of raw materials, intermediate products are made to the final product, and finally by the sales network and deliver products to consumers, so as to suppliers, manufacturers, distributors and end users together into a whole function network chain structure.
As can be seen from the definition, it contains a series of economic chain material from the upstream to the manufacture and sale terminals. For most home businesses, the management of the channel distributors down maturing, and up management of suppliers still in its infancy. Between the downstream production enterprises with upstream suppliers, it was more "purchasing and procurement is" relationship, but very few domestic enterprises to actively manage the upstream supply chain, and access to value-added part of the supply chain.
This could also be extremely difficult to shake the status of IKEA, while domestic enterprises rarely do at home partly because the market share of over 1 percent.
scale, communication and trust problems
When asked if there are a number of household enterprises or co-management programs for upstream suppliers, most of them have answers to these types: Our size is still relatively small, spot now end, not to mention managing the supply chain; we have suppliers, but limited supply management, product development does not require them to participate; and even business and supplier relationship is not good, lack of trust, and of course " "or" off the big bullying situations shop "Diandaqike.
why our home business relationships with upstream suppliers is so loose?
for many reasons. It is undeniable that many upstream suppliers over the years has been "cheap" as the core advantage of the lack of research on the product and market consumer habits, it can not be coordinated with the depth of business. For example, many domestic hardware accessories or old style, or follow suit to imitate fashions, few systems consider matching products.
On the other hand, for most home businesses, the type of raw material production needs of its limited product range and variety not many, according to the end customer (or dealer) can supply the needs of the order. Thus, marketing is crucial for home businesses, and even determine a companys life and death, with the degree of efficiency or upstream supply can meet the basic requirements can be.
And even this requirement, it may not be smooth because of lack of communication or trust, bringing the friction between the upstream and downstream. Faced with fierce market competition, either upstream bear the heavy cost Loaning, or assume the potential downstream products and after-sales costs.
perhaps fundamentally, home business never really had a complete industrial chain grasp the initiative, because never directly to end consumers, it is difficult to do from the perspective of the consumer experience to improve the entire supply efficiency of the chain.
(source: Internet, invasion deleted)
the great potential value of the supply chain where to dig?
Although the overall situation is somewhat unsatisfactory, we also see some domestic enterprises began to take the initiative to supply chain collaboration management, some suppliers companies began to actively cooperate even participate in the value-added supply chain were to go. For example, research with fabric trends, Guangdong Province-Darboux Arts and downstream enterprises, under the cloth-based professional market research solutions.
mining supply chain value potential is not a "big company" of the patent, SMEs can do the same, and may get greater benefits. Excellent supply chain management which may give home business benefits? Only the management of upstream suppliers point of view, it is very obvious advantages:
screening and reduce communication costs. Upstream suppliers to find the right for any business is to spend a lot of effort, from the contact, communication, to discuss all aspects of the docking, running, etc. often need some time to adapt. Especially for large home businesses, changes in technology affect the situation as a whole, household consistency of product quality is also very important.
and actively seek and manage upstream suppliers, while greatly reducing the interference of useless information, on the other hand it is also to communicate more smoothly, because the supply and demand sides are relatively matched.
help companies reduce costs, reduce market risk. For the HomeEnterprises, especially the wooden furniture industry, production is generally seasonal differences and differences in peak seasons, such as general September and October as well as a few months ago dual 11 stocking factories to step up production at full capacity in general.
At this time, good upstream supply chain management not only enables companies to have sufficient raw materials at full capacity, you can take advantage of upstream warehousing, logistics and other convenience, to help businesses reduce costs. Meet special market environment changes, such as sharp ups and downs in raw material prices, the upstream companies can also be a good buffer, to help companies minimize market risk, a smooth transition.
improve R & D efficiency, more personalized service and product competitiveness. Upstream suppliers of raw materials providers not just home business, it is the final part of enterprise products and services.
In the initial stages of product design upstream companies can participate, especially the use of the expertise to help companies in terms of product appearance, refining and marketing value of the production process, etc., to give a lot of help.
through the close collaboration downstream businesses also received a personalized service, to create a more unique product competitiveness. In a sense, whether it is hardware, leather cloth, paint or lumber, machinery, etc., you can implement your own unique value to the final product.
Rome was not built in a day, a blessing for the mountain nine yards in a day. As part of our vision for more than an ideal situation upstream supply chain management of home, and reality may have a certain distance. However, from now on, regardless of size, home businesses can focus on their supply chain, from the initiative to communicate, collaborate initiative began, gradually moving towards the downstream "symbiotic value" targets.
Fun supply chain, IKEA tell us what?
advocates "democratic design" IKEA is actually quite focused on the supply chain and even said "centralization" of. On the one hand, IKEAs product design from peoples lives, promote beautiful, practical, high-quality, low-cost and sustainable perfect combination. On the other hand, in order to achieve these goals, IKEA in every link of the supply chain and strive to make the lowest cost while maximizing value.
due directly to consumers, starting from the design IKEA products will take into account arranging the production process, ease of transportation, installation complexity, etc., and the price is determined at the outset. ThisBut also to product design at the outset there is a clear market positioning, to avoid the greatest degree of market failure. On the other hand, in order to gradually reduce prices, between IKEA and suppliers are competing at the same time cooperative relationship. The IKEA suppliers offer is divided into several parts: material costs, manufacturing costs, overhead and profit.
where manufacturing costs through industrialization transform and improve efficiency to reduce (this part will help IKEA factory together to complete); administrative expenses to increase by IKEA diluted orders, material costs include market objective factors, both agreed . As for profits, in addition to the provisions of IKEAs profits, companies need to innovate and optimize the cost structure reform.
for domestic household enterprises, IKEA not only be proactive model of supply chain management, supply chain management is to extend from top to bottom, one by one outstanding case the value of mining potential.
Under the "product that advertising, marketing service that is" Internet environment, domestic enterprises need to understand the real consumer experience, the more necessary from the perspective of the entire supply chain downstream, and improve the consumer experience.
On the other hand, upstream suppliers can actively participate in the value creation of the product, but also on the openness of the enterprise. Only when companies take the initiative to make a change, whether upstream suppliers and downstream partners, will it be possible to participate in the whole process. In this perspective, domestic enterprises should first liberation, is the idea, followed by action.
(Source: USA TODAY furniture)
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