物流经济学ppt课件

INTEGRATEDDISTRIBUTIONSERVICESGROUP IDS THEASIADISTRIBUTIONLANDSCAPE REDEFINING CONTENT ONE IntroductionBackground ThecomplexityoftheAsiadistributionlandscapeandtheriseoftheconsumermarketinAsiainspiredthecreationofIntegratedDistributionServicesGroup IDS Keyfield ThemissionofIDSwastoprovidebrandownersandretailerswithacustomizedend to endsupplychainmanagementsolution frommanufacturingallthewaythroughtodeliveryoffinishedgoodstoretailstores TWO LiteraturereviewInthiscase wewillfocusontheanalysisofthefirst9yearsofIDS sbusinessstrategy respectivelyfrom1999to2001 2002to2004 and2005to2007 Hereisthesimpleintroductionofthestrategy detailsbelow A 1999 2001 OneofthefirstprioritiesforIDSwastobreakdowncountry basedstructuresandreorganizeasaregionalcompanywiththreebusinessstreamsandkeysupportfunctionsacrossAsia ByfarthemostimportantoutcomeofthischangewasestablishinglogisticsasaleadingcorebusinessoftheIDSGroup 1 Reorganization 2 TechnologyInvestment B 2002 2004 IDSdevelopedanewbusinessmodelbasedontheconceptofamenuofservices 1 Logistics ship store deliver 2 Distribution Sales Marketing promote sell bill collect 3 Manufacturing make test package C 2005 2007 Rewardedinthecapitalmarket THREE Majorchallengesthecompanyfaced 1 LackofdatatransparencyEssentially everypartofthedistributionsystemwasopaqueandeachpartyinthesystemworkedintheirownsilotomaximizeindividualprofits Thesedynamicscreatedenormoussysteminefficienciesandlostsalesandprofits 2 RiseofthemoderntradeModerntradechannels suchashypermarketsandcategorykillerretailchains werebecomingincreasinglypopularamongstAsianconsumers Consumerslikedthewideselection latestproducts andeverydaylowprices 3 Multi tieredlogisticssystemInmanypartsofAsia thephysicalinfrastructurelimitationsmeantchaosindealingwithmultiplelogisticsproviders Theinconsistencyofqualityamongsttheselogisticsprovidersledtodamagedproductsalongtheway orseveredelaysindeliverytimeduetobadplanningandcoordination THREE Majorchallengesthecompanyfaced 4 DiverseproductandregulatoryrequirementsAsiaasamarketisenormouslycomplexgivenitsdiverselanguages cultures currencies governmentregulations taxes tariffs andlevelofeconomicdevelopment tonamejustafewelements Inadditiontoindividualcountries differences significantvariationsalsoexistedwithineachcountry 5 Non dynamicpricingmodelBrandownerseitherdemandedasignificantlylowerservicefeeorwouldjustnotusethedistributoratall Theconsequencesoftheoutdated supply drivensupplychainofAsiaweremanifoldanddebilitatingforretailers brandownersanddistributors Thesecostsof uncoordination stemmedfromhugeinventories highcostsofservices andprocessinefficiencies CONTENT FOUR Majorstrategiesandapproachesemployedandimplemented Three YearStrategicPlansfrom1999to2001Inthefirstthree yearstrategicplan thechallengesweretomanagechangeandcreateanewculture OneofthefirstprioritiesforIDSwastobreakdowncountry basedstructuresandreorganizeasaregionalcompanywiththreebusinessstreamsandkeysupportfunctionsacrossAsia ThesecondprioritywasforIDStoinvestheavilyintechnology Majorstrategiesandapproachesemployedandimplemented 1 ReorganizationThestrategicpriorityforthecompanywastodevelopthecorepieces logistics distributionandmanufacturing 2 TechnologyInvestmentInadditiontoreorganization seniormanagementatIDSalsotookanotherimportantstrategicdecisiontoinvestheavilyintechnology initiallywithabest in classwarehousemanagementsystem WMS andsubsequentlyasoftwareapplicationfordistributionandfinancialreportingcalledOracleE 1 FOUR Majorstrategiesandapproachesemployedandimplemented Three YearStrategicPlansfrom2002to20041 Logistics ship store deliver InLogistics IDSprovidedcustomizedlogisticssolutionstohelpbringfinishedgoodsfromproductionlinesintothehandsofconsumersinAsia IDSbuiltextensivein countrydistributionanddeliverynetworksacrossAsiawithkeydistributioncentersunderitsmanagement andpartneredwiththemostreliablelocaltransportersandserviceprovidersineachofthecountries Majorstrategiesandapproachesemployedandimplemented 2 Distribution Sales Marketing promote sell bill collectInordertodevelopbroadgeographiccoverage similartoitslogisticsbusiness IDSworkedwithanumberofcarefullyselectedwholesalersandsub distributorswhowerepartoftheIDSdistributionnetwork 3 Manufacturing make test package Firstpartycontractmanufacturingindicatedresponsibilityforallaspectsofthemanufacturingprocess Inthirdpartycontract manufacturing clientsprovidedtherawmaterialsandIDSonlyperformedthemanufacturingtocreatethefinishedgoods collectingaservicefeefromtheclients FOUR Majorstrategiesandapproachesemployedandimplemented Three YearStrategicPlansfrom2005to2007 REWARDEDINTHECAPITALMARKET1 WhenIDSacquiredIMSin1999 themanagementteamhadplanstolistIDSattheHongKongStockExchangewithinfiveyearsoftheacquisition ThecompanydidsoinDecember2004 Majorstrategiesandapproachesemployedandimplemented 2 IDS uniquebusinessmodelenabledthecompanytoachieveimpressiveresults fromUS 466millionin2002toalmostUS 1billionby2006acompoundedannualgrowthrateofover48percentinthesameperiodIndex7by3 5times 3 IDS focusedstrategyandcarefullyplannedadjacenciesworkedoutwellandtheheavyinvestmentswerebeginningtopayoff By2007 IDSoperatedinnineeconomiesinAsia aswellasintheU S andU K IDSalsoachieveditsgoalsofbuildingitscorecapabilitiesandmenuofservices FIVE Majorsuccessfactors 1 PartnershipwithaleadinginfantnutritionbrandinChina1998 itsbusinesswasmainlyconcentratedalongthewealthycoastalcitiesofChina Itcertainlydidnothaveanationalpresence buthavingbeeninChinaforsometimethecompanybelieveditwasreadyfornationalexpansioninthenextfewyears IDStookonthechallengeanddevisedatailoredsetofmarketdistributionservicestoachievethisgoal 1 Nationwidesalesanddistributionnetwork 2 Directsalescapabilities 3 Real timesalesandinventoryinformation FIVE Majorsuccessfactors 2 CapturingOpportunitiesinAsiaInadditiontoIDS strengthinChina itsdeepexperienceinAsia throughacquisitionofInchcapeassetsandinvestmentsinvariousAsiancountries wasanotherimportantfactorindevisinganoptimalsupplychainservingthisregion IDS spartnershipwiththeworld sleadingpremiumalcoholicbeveragecompanyandamouthwashbrandweretwoexamplesofhowIDSwasabletohelpoptimizeapan Asiasupplychainforglobalbrandowners FIVE Majorsuccessfactors 1 Globalpremiumbeveragealcoholcompany RegionalHubSolution8andLogisticsServicesLocationselectionCustomizedwarehousingsolutionValue addedservices 2 ContractmanufacturingforglobalmouthwashbrandThailandwaseventuallyselectedbecauseitwasgeographicallycentraltomanyAsiaandSoutheastAsiamarkets thegovernmenthadcreatedincentivesandpoliciestoencourageinvestmentinthepharmaceuticalsector andthesuppliersforpharmaceuticalandbodycareproductswerealsoabundantinThailand Whenthefactorystartedproduction IDSwasabletoleverageitsexperienceindoingmanufacturingforotherFMCGproductsatanearbysite whichallowedIDStodrivecostsdownquicklyforclients CONTENT 2 Experiences lessonslearntinthecase 3 Alltheoperationsontheproductionlinehastheadvancedinformationtechnologysupportsystem andthemanufacturingprocessofeachstepcompletelyvisible makingcustomereasytomonitorthequalityoftheproduct andtheattitudeofthehonestopenandwillingtoinvestintheproductionmadethecustomershavemoreconfidenceinit Distributionservicesgroupdoesnothaveitsownbrand alsodonotproducetheirownproducts customerscanfullytrustDistributionservicesgroupwillusealltheresourcesandknowledgetoimprovecustomer sinterests Distributionservicesgroupalsopromisedtokeepsecrettothecustomerproductdata suchasformulation sales packagingdesign andpromotionstrategy etc socustomersareassuredtocontractproductionofDistributionservicesgroup Itwasthebestoftimes itwastheworstoftimes itwastheageofwisdom itwastheageoffoolishness Itwastheepochofbelief 1 Distributionservicesgroupprovidecomprehensiveintegrateddistributionservice thepracticalneedofserviceforeachcustomerandvalue addedservices includingproductdevelopment production coordinatewithsuppliersandproductsdevelopment etc Distributionservicesgroupisinaccordancewiththeneedofeachcustomer inshort toworkaccurately SIX 4 Experiences lessonslearntinthecase Foreignbrandproductstoenteranewmarket notonlytohaveaneffectivewaytoenterthemarketandcanmeetthedemandofthemarketdistributionnetwork butalsoneedamarketmanagementsystemcanmaintainandoptimizethemodernizationofbusinessinnewmarketsales DistributionservicesgroupuseditsextensivedistributionnetworkinmainlandChinaandrichproductknowledgetoprovideaquickwaytoenteranewmarket andcaninaveryshortperiodoftimewithinthescopeoftheproductintoawiderangeofdistribution 5 SIX Distributionservicesgroupprovidedavarietyofvalue addedservicesintheprocessofproductdistribution suchasthemanagementandthelogisticslinktoassistthemajorretailersincategorymanagementservices canmakethesalesdistributionnetworkhavebettereffect SEVEN Applicabilitytosimilarcompaniesinthesector Todevelopthestrategy anenterprisemustmeetthefollowingconditions 1 Withtheexperienceofbusinessprocessmanagementandoutsourcing 2 Withglobalorregionalcoverageandtechnicalsupport 3 Haveprofessionalintegratedsupplychainandprocesstechnology 4 Withemployeeshavedifferentprofessionalknowledge especiallyhaveap