Research on the third-party logistics operation mode and its application in Chin

Abstract. The third-party logistics enterprise engaged in the production of the main focus on providing convenience, not only can greatly improve the production and management of enterprise logistics efficiency, but compared with enterprise self-conducting logistics, third-party logistics can also save a lot of cost for the production and operation of enterprises, which is widely welcomed by the Chinese manufacturing enterprises. This study starts from the concept and connotation of the mode of third-party logistics, analyzes the mode and the advantage of third-party logistics operation, discusses the feasibility of third-party applying in Chinese manufacturing enterprises and advantages, and puts forward the strategies and suggestions on the development of the third-party logistics enterprise.

Key words: Third-party logistics, Operation mode, Manufacturing enterprises

1. Introduction

What is third-party logistics ?More and more organizations worldwide want to develop products for global markets. At the same time , they need to source materials globally to be competitive. One of today ’ s trends to solve this problem is outsourcing logistics or using third-party- logistics (third-party logistics ) to manage complex distribution requirement. Compared with traditional logistics, third-party logistics more professional, comprehensive and lower cost, higher efficiency of distribution, has become the trend of international logistics, socialization and the development of modern logistics in the direction of. So the Chinese manufacturing enterprises pay more and more attention to the use of third-party logistics .

2. The connotation of the third-party logistics

The third-party logistics refers to the production and operation of enterprises focus on the main business, originally belonging to deal with their own logistics activities, in order to contractually delegated to the professional logistics service enterprises, through information systems and logistics enterprises to maintain close contact, so as to achieve the purpose of a logistics operation and management mode to control the whole logistics management.

The third-party logistics as the integration of enterprise cooperation, operation management of logistics services and logistics outsourcing contracts, is increasingly becoming the mainstream of modern logistics service mode. A country of third-party logistics development level represents the development process of domestic logistics. In the new situation of fast development of national economy, vigorously develop modern logistics service is not only to the third-party logistics for the characteristics of the drive is an important channel for upgrading the quality of China's economic, but also the inevitable demand of China's traditional logistics enterprise transformation.

The third-party logistics service providers face the challenge is to provide higher than the customer's own logistics operation value. They not only consider the similar service provider competition, must consider to potential customers, internal operation. Third-party logistics provider from the general need to improve the efficiency of logistics operation, and customer integration, development of customer operation three aspects to create operation value.

3. The Obstacles of traditional logistics Into Third-party logistics in China

Traditional logistics transformation to meet the requirements of modern logistics third-party logistics there are the following obstacles:First, the concept of barriers. Theory of logistics, value-added services do not understand or know very little to satisfy the partition function of providing services，For manufacturing enterprises, it is difficult to meet the enterprise logistics outsourcing business needs, to a certain extent, will increase the manufacturing enterprise logistics cost;Second, barriers to logistics information services. Logistics enterprises in the traditional information management systems used in the small, many businesses within the information processing or manual operation, can not provide value-added services, logistics information，It is agile logistics demand manufacturing enterprises need to create a lot of obstacles, in the information highly developed today, information is an important problem for manufacturing enterprises to solve, so is the logistics information;Third, specialized personnel and equipment obstacles. With specialized knowledge of logistics, management and marketing management of a serious lack of personnel, logistics facilities do not meet service requirements，The third-party logistics compared with the traditional logistics, highlights the high requirements of talents in a certain extent, especially a series of logistics knowledge, service of manufacturing enterprises, therefore, the third-party logistics personnel training is also very urgent.Fourth, the backward mode of service, Compared with the traditional logistics and third-party logistics service mode, there is a gap in the management, operation, thinking it will be a long time. Therefore, the traditional logistics to third-party logistics changes have to overcome these obstacles, the condition of our country to take appropriate mode of operation of third-party logistics.

4. Improper mode of operation of third-party logistics negative impact

Improper mode of operation of third-party logistics will give rise to many negative effects: First, some logistics enterprises in operation in the positioning mode, tend to exaggerate the service capacity, resulting in business can not do meticulous precision, can not form the core competitiveness, and ultimately as a result of the lower level of service, it is difficult to retain customers，for example, Logistics service contract timely commitment manufacturing enterprises difficult to achieve the requirements, which may delay the manufacturing enterprise parts delivered on time, and even lead to shut down some production lines for a short time, to bring some loss of manufacturing enterprises; Secondly, the logistics of the different characteristics suitable for their own clientele and services, the macro level, the logistics of inter-firm division of labor should be both competing and collaborating together to form a rational and healthy market of logistics services. If the logistics and content of the services not explicitly targeted, the market will result in the same mode of operation of the logistics enterprises identical, blind competition. For example,The industrial park, logistics park, the current rise of, without considering the service in the process of the layout of the layout, similar phenomenon is relatively common, similar business caused by the regional competition, is not conducive to the third-party logistics to become bigger and stronger.

5. The Mode of operation of third-party logistics enterprises

As the third-party logistics company is a professional logistics service providers, some scholars have been from the perspective of service to third-party logistics companies have been classified, the classification is based on two-dimensional. This article holds that, for logistics service providers is how to provide services is the focus of its strategy, but how to integrate more resources should be the primary consideration.Resources and logistics services to co-determine the mode of operation of the logistics business and a key to distinguish it from competitors. After the breakdown, this article from the resources, services, scope of services defined by three aspects of third-party logistics company mode of operation. And to explore its application in Chinese manufacturing enterprises.

5.1 Resource Integration

Way from the resources, the third-party logistics enterprises in two ways.One is the fixed assets does not possess and rely on external resources to organize and coordinate the operation of the "non-asset-based" third-party logistics enterprises. As a result of any large amount of capital investment, operation with less risk. This mode of operation can be better is a prerequisite for the operation of the logistics requirements of the underlying market is mature, easy access to social resources and a greater choice.The other is to invest in various types of equipment and logistics to establish its own network of "asset-based" third-party logistics enterprises.Although this mode of operation the need for greater input, but have their own networks, and equipment to better control the process of logistics services, and its flexible capacity and overall service quality be assured, strong asset a company can demonstrate the strength, is conducive to building a relationship of trust with customers, the brand promotion and market development are important.What is there is no absolute standard way depends largely on the background of enterprises, investment capacity, strategic planning as well as the macroeconomic environment. However, for manufacturing enterprises, take the"asset-based" of the third-party logistics enterprise more common pattern, because the manufacturing enterprise material flow, outsourcing business needs security, so the equipment requirements of the enterprise is higher, but the quality of service and time control to do relevant work, improve the efficiency of the the service of third-party logistics enterprises, and strive to reduce cost.

5.2 Services Content

In the service content, third-party logistics companies to provide logistics services to four levels: the lower the function of integrated logistics services and value-added logistics services, as well as higher integration services and systems integration consulting design services.Integration is a function of the lowest type of logistics services provided by such enterprises, such as freight forwarding, transportation, warehousing, distribution in one or more of service.Their competitiveness is the full and effective use of own resources based on the function of logistics services to improve operating efficiency, achieve more efficient than the self-logistics, but also low-cost operation, the traditional transportation, warehousing companies actually provide such services . Value-added logistics services to ensure a high level of functionality to provide logistics services on the basis of a number of additional value-added services for customers to share more of the non-core businesses. There is no fixed value-added services elements of the industry's need for a different value-added services are not the same.To provide integrated logistics services to the section of the supply chain (such as distribution logistics) or the whole supply chain logistics activities in a highly integrated and effective convergence, for the operation, management and optimization, they provide customers with a long-term, professional and efficient logistics services.Provide system consulting and design of logistics enterprises have not only the operation and management capacity of the whole supply chain, and the head to take advantage of professional, scientific knowledge of the logistics for clients tailored logistics system for the planning, design, integration and improved operational efficiency and enhance efficiency, enhance customer service levels and rapid response capabilities, and better customer support and service in the sustainable development strategy. Therefore, for manufacturing enterprises, the manufacturing enterprise choose what level of logistics services, Depending on the size and manufacturing enterprise logistics service demand characteristics, for example, the third-party logistics selecting engineering machinery industry enterprises generally choose high integrated level integration services, because the engineering machinery industry enterprise production of products special, large volume, transportation process requires the corresponding project design, the third-party logistics enterprises to carry out targeted services, support in the service content and service design.

5.3 Services Range

Range of services mainly refers to third-party logistics enterprises in the scope of service industries. Some relatively narrow range of business services, a higher concentration, only a single or a small number of businesses providing services, others a wide range of business services can provide services to multiple industries.Logistics in a mature market, third-party logistics companies to establish their own competitive advantage, the general will be the main business location in one or a few specific industries, because of different mode of operation of its logistics industry is different, focusing on specific industries can be advantage of the formation of the industry to strengthen its competitiveness. At present, Manufacturing enterprises increased, brought the third-party logistics enterprises increased, in recent years, with China's manufacturing and become the world's manufacturing power, whether domestic or export volume is growing, manufacturing enterprise products constantly Sinotrans, creating huge demand space for the third-party logistics , based on meeting the needs of manufacturing enterprises logistics, but also create more opportunities for the development of the third-party logistics .

6. To improve the efficiency of third-party logistics service for manufacturing enterprises

Have outstanding management. Management is often what separates outstanding companies from the also-rans. It requires a leadership who has a sustainable vision, its processes, goals and methodology. They have an entrepreneurial mindset. These people are proactive, not reactive. These leaders see the logistics service, not the freight, warehouse or other assets employed. They see the supply chain process, not the transactions. All this separates them from executive caretakers who can flip-flop with management de jour approaches, indifference or quick fixes to growth, positioning and profits. Investors realize how critical outstanding management is to a company's success and so should the third-party logistics . These executives can break the company from its commodity service origins into being a value service provider.

Research the market. For your marketing plan, you need to understand your market. Depending on your market position you may be looking for general or specific information as to opportunities or issues, with the market or with you. Define the market; define your customer. Look at the market you compete in. See its composition, size, trends and needs. Use internal and external data and additional research as needed. Find customers; who are they; who makes decisions; what decisions are made; how are they made, why are they made, what external factors exist for customers; and how are you perceived as compared to competitors. Learn if you are visible in this market. And remember, customers are both new and existing, with changing needs.

With the application of information technology as the core, strengthen network construction. Informatization is one of the important sign of modern logistics, third-party logistics to establish and perfect order information flow, global supply chain network resources, the global resource network users, computer information network.

The third-party logistics enterprises must break the limitation of scope of business, industry, region, ownership, take the whole country into account, establish the thought, integration of logistics enterprises, encourage powerful alliances, regional planning of the logistics industry, the rational allocation of resources and improve the sales network, to promote the logistics enterprises to extend the tentacles to overseas, to participate in international market competition.

7. Conclusion

In conclusion, although there are a variety of third-party logistics operation mode, but the third-party logistics enterprises need according to the different requirements of different logistics consumers in the corporate image, service process, service operations, logistics demand, competition and other aspects, to provide targeted personalized logistics services and value-added services. Continue to strengthen the individuality and characteristics of logistics service provided by third-party logistics , to enhance the market competition ability.

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