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            The impact of American logistics on China

            Source: Feidu Logistics (Thailand) Co., Ltd. Release time: April 24, 2017

            Driven by technological progress and management innovation, the development of the global logistics industry has gone through a process from quantitative change to qualitative change, and global logistics has entered the era of supply chain. The development of the logistics industry in the United States has broadened the path of logistics development trends. How much impact does this have on China's logistics? The reporter interviewed Dr. Wang Guowen, Chief Representative of the China Representative Office of the Logistics Management Association (CLM) in the United States, on this issue.

            The development of logistics is full of hope; Entering the 21st century, the most influential transformation in the logistics industry is the changes brought by e-commerce models to logistics. " Wang Guowen believes that the development of e-commerce has redefined the entire logistics industry and had a revolutionary impact on all aspects of logistics. Due to the fact that no enterprise can exhaust the geographical scope of logistics, and logistics companies and customers must also be interdependent, emphasizing the establishment of strategic partnerships in change has become the theme of the 21st century.

            How to understand strategic partnerships? Wang Guowen believes that the first is to establish a stable relationship between logistics service providers and supply chain service demanders in an unstable economy; The second refers to establishing strategic partnerships between logistics suppliers. Establishing stable relationships with supply chain partners in an unstable economy, acquiring sufficient knowledge and skills to develop these relationships in this technology driven and rapidly developing field, is crucial for them. He emphasized that the changing world has brought challenges to supply chain management, third-party logistics, transportation, warehousing, international logistics, and commercial logistics. The logistics industry must achieve self transformation in order to cope with these challenges.

            Entering the era of supply chain, from the perspective of logistics development history, logistics has undergone a continuous process of change. Professor Balsox, an authoritative logistics scholar, has summarized the evolution process of logistics thinking.

            Before the 1950s, emphasis was placed on transportation efficiency, logistics costs and customer service in the 1950s, comprehensive outsourcing in the 1960s, operational integration and quality in the 1970s, financial performance and operational optimization in the 1980s, customer relationships and enterprise extension in the 1990s, and supply chain integration management today.

            Wang Guowen believes that the two name changes of the American Logistics Association reflect two qualitative leaps. When established in 1963, the name of the association was "; Physical Delivery Association; In 1985, it was renamed as "; Logistics Management Association; Because transportation and distribution have added more and more content, this profession has evolved from narrow definition of transportation and warehousing to a broader field of logistics. The situation in the 21st century is very similar to that of the time, and logistics is in an environment of significant changes similar to the one in which CLM was renamed in the early 1980s. In the past 10 or even 5 years, the scope of professionals in the logistics profession has been expanding, and their roles in enterprises have become increasingly crucial. Logistics professionals are dealing with an increasing number of people both internally and externally within organizations. The role of logistics professionals has evolved, including not only the content of logistics, but also the functions of procurement, production operations, and marketing. The logistics industry has expanded and deepened beyond the original transportation and warehousing, paying more attention to the transformation and upgrading of traditional industries through management technology. In 2005, it was renamed as; Supply Chain Management Professional Association; This indicates a logical evolution from logistics to supply chain.

            According to logistics experts, the American Logistics Association has released the latest concept of supply chain management. According to the CLM supply chain management definition (SCM definition), supply chain management includes all planning and management activities for procurement, outsourcing, conversion, and all logistics management activities. More importantly, it includes coordination and collaboration with channel partners, involving suppliers, intermediaries, third-party service providers, and customers. Essentially, supply chain management is the integration of supply and demand management within and between enterprises. $page$

            The purpose of implementing a supply chain to enhance core competitiveness is to enable enterprises to strengthen their core competitiveness. The latest development in logistics in the United States is to connect supply chain management with corporate finance, linking supply chain management with the main driving factors of financial performance, and considering the performance achieved by the supply chain. The main financial indicators include revenue, profit, and the utilization rate of enterprise funds. The main method is to use the gap between the main financial indicators as a roadmap to find improvements in the supply chain process, activities, and tasks, and correspond it with the main operational performance indicators to explore the true value of supply chain solutions through case studies. The total cost of the supply chain (operating expenses+capital expenses) is studied, and financial indicators are used to establish targets for measuring supply chain performance and effectiveness.

            Wang Guowen said that supply chain is an extension of logistics management in terms of depth and breadth. Manufacturing and logistics enterprises should attach great importance to the supply chain. He emphasized that the replacement of logistics by supply chain is not only a theoretical development, but also a change of the times. The role of the supply chain in the manufacturing industry should be given sufficient attention by Chinese production enterprises. At the same time, third-party logistics companies need to master supply chain technology in order to have competitiveness in the market.

            Wang Guowen said that the competitiveness of a region or a city directly depends on industrial competitiveness, therefore, the supply chain is related to regional competitiveness. Studying the development trends of the supply chain, analyzing the supply chain structure of the region, and building a supply chain service base are not only related to the development of the logistics industry, but also involve deep-seated issues of future regional competitive advantages and sustainable development. Therefore, the government should organize efforts to carry out supply chain strategic research.

            Be fully prepared for the development of new technologies. Wang Guowen believes that RFID is the latest application technology in the global logistics field. RFID Becomes Logistics and Supply Chain; Speed "; And "; Value "; The most advanced means of implementation make this technology have broad application prospects in the logistics field. Therefore, he suggested that the government should increase investment and conduct fundamental research on new logistics technologies. Simultaneously carry out extensive cooperation, introduce more logistics enterprises and institutions, and establish a logistics external cooperation network.

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