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Upgrading of logistics informatization under the change of supply chain network structure

With the development of the logistics industry, especially the "digital" and "Internet plus" power, and promote the new retail, great changes have taken place in the whole supply chain network architecture, such as the distribution chain is shortened, the end of the distribution become challenges. Under these changes, the demand for information in every link of supply chain has also been raised correspondingly.
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The Limited by Share Ltd (Shanghai) Limited by Share Ltd (hereinafter referred to as "Zhi Zhi"), founded in 2001, is one of the earliest professional logistics information suppliers in China. It is the first to put forward and deploy the logistics mixed cloud strategy in China, and introduces a set of OMS (Logistics order management system), TMS (transportation management system), and W MS (warehousing management system), BMS (logistics financial control system), ROS (path optimization system), LRCS (multi type logistics robot control system), TCS (vehicle and cargo trading system) and logistics chain cloud platform are a complete product line based on Logistics 4, and become a comprehensive supply chain solution for intelligent and mobile interconnection. Provider. With professional software and high quality product service, intellectual help manufacturing, automobile, fast elimination, medicine, e-commerce, cold chain and other industries leading enterprises and services to small and medium-sized enterprises have entered the new era of interconnection, transparent coordination, large data driven information, highly recognized by the customers.

With the development of big data and cloud computing technology, and the "Internet plus" strategy in enterprise landing, in recent years, more and more enterprises to adjust their business models. What impact do these changes have on supply chain and logistics? What are the new demands of enterprises for logistics information service? What are the developing trends of logistics information technology? Ms. Chen Menghuai, President of intellectual information technology (Shanghai) Limited by Share Ltd, as a leading figure in China's logistics industry and an expert in logistics information, has deeply shared these issues in this topic.
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Reporter: first of all, please analyze what changes have taken place in the supply chain, such as the development of Internet technology, and the transformation of business models. What kind of demand do these changes bring to the construction of logistics informatization?
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Chen Menghuai: with the development of the logistics industry, especially the "digital" and "Internet plus" power, and promote the new retail, great changes have taken place in the whole supply chain network architecture.
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First, the distribution chain is shortened, and the trend of intermediation is obvious. B2B orders flow to large platforms, and small and medium dealers face unprecedented challenges and pressures.
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Second, the last one kilometre distribution is a bottleneck. The "de intermediation" brought about by the Internet makes the logistics network need to sink further, and even need to realize the direct allocation of terminal users from manufacturers. However, at present, the terminal distribution ability of the major distributors has not been established. How to realize the lower cost distribution has become the biggest challenge after the change of the supply chain network architecture.
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Under these changes, the demand for information in every link of supply chain has also been raised correspondingly.

First of all, from the warehouse operation, under the new supply chain network architecture, the distributors are faced with the needs of more direct terminal users; some distributors extend the logistics services to provide special logistics services, and the unified warehouse integration has become a trend. This means that the warehouse operation of the dealer is more complicated -- from the whole box operation to the zero picking. There is no need for very complicated information system for the whole box operation, but the zero picking method undoubtedly has higher requirements for WMS.
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Secondly, from the point of view of transportation, due to the increase of distributor's terminal distribution business, it is necessary to perform more decentralized and fragmented orders, which also means that the distribution path and order of multiple delivery points need to be optimized. This requires TMS to establish an optimization model to achieve path optimization and management.
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Reporter: in view of the new changes and demands, how does wisdom provide logistics information system services to customers? How does the hybrid cloud strategy advocated by wisdom promote the interconnection of supply chain information?
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Chen Menghuai: all the time, the main service object of intellect is the big brand business such as Foxconn and Haier. But with the change of the network structure of the supply chain, intellectual has also carried out a comprehensive transformation and upgrading to meet the information needs of the distributors at the same time. However, most distributors are small and medium-sized enterprises, and have no capability to sell millions of millions of dollars on expensive information systems like big brands. Under such circumstances, cloud services are becoming a common market demand.
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It is important to emphasize that large enterprises are not able to use the public cloud because of the high demand for data security, but small and medium-sized enterprises are limited, but they hope that the enterprises can develop rapidly. It is the best choice for them to rent a more economical Gong Youyun. The demand for the two is distinctly different. To this end, intellectually, through the public cloud and private cloud, will connect large enterprises with small and medium enterprises serving it, which is a mixed cloud strategy advocated by wisdom. Last March, wit officially launched a mixed cloud strategy of "public cloud + Private Cloud" and helped enterprises to achieve "interoperability" through the following aspects:

First, based on the wisdom of the rich operation experience, the first to deploy all products to the cloud, to achieve product cloud.
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The two is to open up private cloud and public cloud, so that information can be quickly shared in the upstream and downstream of the entire supply chain. The owner of the supply chain chain deploys the Private Cloud Architecture, the upstream and downstream suppliers use the public cloud service through renting mode, through the information effectively through and multi database running architecture, opening the functional services for the users, allowing the small and medium enterprises to enjoy the same information of the big enterprises at lower cost. Increase the operating efficiency of the whole chain chain.
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The three is intelligence, such as path optimization, which enables small and medium-sized enterprises to use cloud based intelligent algorithm through rule engine. The products of information service providers can be deployed on the cloud base, and can provide services and support in the cloud. This is a very obvious trend in the current industry, and the logistics information field is only intelligent to provide this service.
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It is hoped that through the mix of five levels of architecture, process, service, API and data, it brings the transparency of the whole supply chain and the information of the whole industry, so that the whole supply chain, whether large enterprises, small and medium enterprises, and even the smallest enterprises are all in the same horizontal line, makes the operation efficiency and the operation standard. Consistency must be maintained so as to enhance the efficiency of the entire supply chain.
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Reporter: what bottlenecks do you think are needed to achieve interconnection and informatization of the entire supply chain?
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Chen Menghuai: as we all know, the supply chain includes the suppliers of raw materials, manufacturers, distributors and platforms at all levels, terminal users and other participants. The chain is long and the role is many. Therefore, the interconnection of information between enterprises and enterprises is very important and difficult to achieve. This requires the construction of the standard information and the help of new technology. Power。 For example, the intelligent EDI linking the upstream and downstream businesses of the supply chain connects cloud services technology to help enterprises solve the problem of end-to-end transparency in the supply chain.

In wisdom, it is the logistics that can really connect the upstream and downstream of the supply chain, and the logistics platform company, or the logistics system, is most likely to help the industry to achieve interoperability. The logistics chain cloud platform under the banner of wisdom is based on the SaaS model, through the upstream docking enterprise ERP, WMS, OMS and other systems, downstream docking carrier, express company's information system, connecting the shipper, carrier, driver and consignee, breaking information barrier, speeding up response speed, improving logistics efficiency and realizing cloud transport management The functions such as rationale, cloud path optimization, cargo tracking management and so on.
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Not only that, intelligent use of the Internet, large data technology, through the supply chain upstream and downstream of the interconnected and interconnected data to build data from the internal and external data in the supply chain, that is, all the data of the supply chain decision-making together, quickly make analysis and decision. The supply chain decision plus the supply chain in the data platform is also the most important platform for enterprises to do supply chain management.
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Reporter: what other trends do we need to pay attention to in logistics information technology? What do you think of the value of block chain technology and container cloud technology?
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Chen Menghuai: while constantly improving his own technology, he is also very concerned about the development of information technology and its application in the field of logistics.
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For example, we think the block chain technology is very good. It ensures the authenticity of information from Party A to Party B, and solves the trust problem of multi party transactions. At present, block chain technology has developed rapidly in the field of supply chain finance. In the field of logistics, because each family has its own information system, data exchange can not be carried out without the common standard language, and the block chain just defines a standard to achieve cross regional and cross enterprise information exchange, thus improving the efficiency of the supply chain.

AI is also very concerned about the application of container cloud. First, as one of the important carriers of logistics unit and information, more and more logistics containers carry chips as intelligent containers. In the whole logistics process, their position and state can be captured to track the goods in the way. Second, with the application and promotion of the Internet of things technology, every logistics container will have its own unique code in the future, such as the identity card number of the same person, wherver it flows, it knows its ownership and other information. Third, the logistics container can be shared in circulation at the same time, which is the most standard convective service we see, that is, let the pallet and other logistics containers can be circulate and circulate, and the demand of this kind of circulation is becoming more and more vigorous. Therefore, it is also necessary for containers to be managed by means of data, Internet, Internet of things, and so on, and intelligence has already begun to use the platform management container.
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Reporter: only wisdom from last year formally put forward the mixed cloud strategy has been a whole year now. What kind of market feedback do you have in this process? What is the experience about it? Are there any new ideas for further development of the company?
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Chen Menghuai: because the mixed cloud strategy meets the information needs of large enterprises and small and medium-sized enterprises at the same time, its rationality has been recognized by the market, so intelligence has achieved good performance in both ends of the market. In 2017, the growth of cloud business is expected to exceed 200%. As the first professional cloud service provider in the industry, especially in the large public cloud platform, we are very sensitive.

On the one hand, intellectual products help customers to achieve rapid development; on the other hand, more and more customers are benefiting from the use of more and more customers, and intellectual public cloud products are becoming more and more perfect. That is to say, there is a positive cycle between wisdom and customers, and the two are mutually beneficial and mutually reinforcing. This is crucial to the SaaS platform. Because SaaS services usually do not charge enough, customers will not renew their services if they do not have enough service to the existing community or ecosystem. But it is because of the mutual promotion relationship between wisdom and customers, the number of customers and the growth of the demand for new functions of the platform, so that wit keeps the continuous updating ability of the product, and the strong service guarantee ability, so that the competitive advantage of the smart cloud platform is becoming more and more obvious, and the proportion of the renewal customers is very high.
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With the development of new retail and Internet, we also clearly see that the development and transformation of enterprises, technological innovation and upgrading need two engines to promote. In the past, enterprises mainly rely on their own business departments to lead or lead to innovate, carry out enterprise reform and improve enterprise income; but at the moment of the Internet transformation, we have more and more see the importance of the information department, which can help the business department to solidify the innovative process, and let the IT be supported fast to the ground. New business development. In other words, we clearly see the role of the CIO (Chief Information Officer). In a sense, he needs a lot of capabilities, such as business, technology, operation, and so on, so the challenge is very big.
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What is interesting is that we are also pleased to see that those who can take the initiative to embrace change can throw away their burden, tap their potential and achieve rapid progress. Just as the situation makes heroes, the industry has been baptized and sublimated by actively embracing change.
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Reporter: what opportunities and challenges will the logistics industry have in the rapid development of new demands such as new retail and intelligent manufacturing? What are your suggestions for the upgrading of enterprise logistics informatization?

Chen Menghuai: I think that although new retail has brought impact to regional distributors, it also brings unprecedented opportunities. On the one hand, the distributors at the next level are gradually centralization. If regional dealers can embrace the Internet actively, the traffic can be further extended to the upper reaches after the increase of traffic; on the other hand, the logistics services of regional distributors can be separated into independent services. As mentioned earlier, the supply chain structure change brought by the new retail mode has increased the demand of distributors' unified warehouse allocation. Therefore, the independent logistics business not only increases the income of enterprises, but also enhances the core competitiveness of enterprises.
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In the information field, I think that when the regional distributors are independent of logistics, their original ERP system and the logistics information system will face the need to improve because of the business transformation. The intellectual SaaS logistics cloud platform is very eager to discuss with you how to adapt to this trend of change, so as to help people to deal with more and more. Complex warehouse operation and supply chain interconnection. At the same time, we also see that in the era of supply chain competition, some big brand enterprises with forward-looking vision are embracing this change and even low posture in a more open pattern to help the upstream and downstream enterprises in the supply chain to improve the management level. Such a leap out of the corporate sector is a great admiration for the entire supply chain. In the background of the rapid development of logistics information, only more open can see more opportunities to avoid the loss of the mouth, in order to seize the new opportunities in the trend, and even become a new era.
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Source: logistics technology and Application
Reporter: Ren Fang

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