汽车制造行业的物流和供应链管理.ppt

1、1,Auto Logistics and Supply Chain Management Summit 2003,The Practice of VMI in China,陈 晖 中国物流公司 执行总裁,2,Agenda,Our understanding of the automotive logistics needs What is VMI definition, procedures and benefits Challenges of VMI in China Case study Brief introduction to China Logistics Company,3,An

2、automotive OEMs logistics needs cover both inbound and outbound operations of parts and finished vehicles,Plant,Suppliers,Consolidation and Loading Center,Service Parts Distribution Center,Logistics for Production Parts,Logistics for Service Parts,Logistics for Complete Vehicles,Dealer,Dealer/ Servi

3、ce Station,Bonded Warehouse for Import Parts,Our understanding of the automotive logistics needs,4,Supply chain management (SCM) is the strategic management tool that coordinates the material and information flows across the value chain to support adaptiveness,5,“Demand-pull” value chain requires th

4、e companies to be flexible and able to “control” a large part or the entire supply chain,Suppliers,Manufacturing,Demand indirectly drives manufacturing volume through forecasts,Warehouse,Wholesale/Retail,“Supply-push” Logistics Chain,Suppliers,B2B Exchange,Manufacturing,Direct Delivery,“Demand-pull”

5、 Logistics Chain,Manufacturing driven by actual demand,The rate of supply was set by the manufacturer in advance, based on expected demand It was the role of the logistics providers to ensure a just-in-time supply of components,The rate of manufacture is determined on a real-time basis by the rate o

6、f demand While this model is more efficient, it requires perfect integration of all logistics operations within one process,Source: Lehman Brothers, A.T. Kearney Analysis,6,Third-party logistics providers (3PLs) can directly, or through a partner network, provide a range of services,Procurement Paya

7、bles management Supplier payment and consolidated invoicing Vendor performance monitoring and exception reporting Joint process improvement with vendors,Overall freight coordination Full load truck carrying Less-than-load truck carrying Small lot (less than 150 pounds) carrying Order consolidation D

8、elivery scheduling Expediting special / rush orders Returning and reprocessing undeliverable orders Delivery tracing Performance and exception monitoring and reporting,Overall inventory management Optimizing supplier order schedules Optimizing dealer order schedules Certification of incoming shipmen

9、ts Bar coding Performance and exception monitoring and reporting Tracking and Reporting Systems accessible via Internet Material Resource Planning,Order preparation / assembly / consolidation Sourcing of packaging materials Printing of corrugate and/or linerboard materials Labeling Shrink wrapping o

10、f cases and pallets,Freight and Distribution Coordination,Warehousing and Inventory Management,Minor Assembly and Packaging,Procurement,7,Difference between traditional business model and VMI model,8,Simplest VMI workflow,Manufacturer,Suppliers,2,3,4,1,The manufacturer approves the purchasing terms

11、with suppliers, including the commonly agreed inventory responsibility and maintenance scheme. The manufacturer sends product activity data to the supplier. This product activity is based on warehouse movement of product consumed at the assembly line level. Based on the agreed inventory maintenance

12、scheme, the supplier edits, approves and releases the suggested purchase order. The manufacturer approves this purchase order and send it to the supplier.,9,Consolidation and Loading Center is commonly used to reduce the complexity in coordinating multiple vendors,Quality of delivery services from v

13、endors to line-side might be different Vendors shipping volume might be very small given more frequent “demand-pull” orders Vendors might need a large line-side buffer to comprise a full-truck load and make-up a safety stock Large line-side area is needed to accomplish unpacking, kitting, and possib

14、ly sequencing of parts before feeding to assembly line Individual vendors might rent warehouses for themselves, with limited scale to share with other vendors,Consistent delivery service to line-side Optimal shipping volume to reduce transportation cost and inventory cost Reduced requirement on line

15、-side warehouse space Coordination between suppliers and production line possible to promote synchronization and JIT,How Consolidation and Loading Center Approach Helps,Potential Issues in Simplest VMI Model,10,Win-win situation can be achieved for both manufacturers ,Planning and ordering costs for

16、 the manufacturer go down due to the responsibility being shifted to the vendor Improved customer service vendors can better respond to customers inventory needs in terms of both quantity and location Reduced demand uncertainty by constantly monitoring customers inventory and demand stream, the numb

17、er of large, unexpected customer orders will dwindle, or disappear The manufacturer is more focused than ever in providing good service and the overall service level is improved by having the right product at the right time Speed and accuracy of data processing are improved due to computer-to-comput

18、er communications Reduced total logistics cost and improved cash-flow,11, and vendors,Smoothing demand the supplier is able to smooth the peaks and valleys in the flow of goods, and therefore to keep smaller buffers of capacity and inventory. Better coordination the supplier has better opportunities

19、 to co-ordinate the shipments to different customers, such as scheduling - either postponing or advancing - shipments according to production schedules, customer inventory situations and transportation capacity Reduced inventory requirements by knowing exactly how much inventory the customer is carr

20、ying, a vendors own inventory requirements are reduced since the need for excess stock to buffer against uncertainty is reduced or eliminated Speed and accuracy of data processing are improved due to computer-to-computer communications Reduced total logistics cost and improved cash-flow,The binding

21、of customers to vendors once relationship is established, customers will be reluctant to endure the amount of work needed to switch vendors,12,Currently, most automotive manufacturers in China consider Consignment Inventory as VMI,VMI are usually used as a method to realize “zero inventory” while th

22、e parts are sitting in manufacturers warehouse, vendors are forced to finish the transfer if parts ownership until assembly is done Consignment Inventory, on the other hand, are the exact practice of most vendors and manufacturers vendors are not involved in inventory and logistics decisions,Challen

23、ges of VMI in China,13,This concept/belief reveals the transactional relation between suppliers and manufacturers,Price-driven sourcing decision without in-depth understanding of cost structure Logistics cost and material cost are commonly added up as a lump-sum “CIF price” Few suppliers are willing

24、 to “open cost” to their customers unless margin is very thin Supply chain management targets forcefully drive suppliers to reduce price to maintain business relation Payment terms and payment situation constrain suppliers from getting inventory information under consignment inventory Inventory move

25、ment means actual consumption of products, immediately starting the manufacturer payment cycle Neither manufacturers and suppliers make significant investment in building EDI to facilitate data sharing,Without transparent data sharing and collaborative supply chain planning, lose-lose situation aris

26、es due to higher operation (transaction) cost,14,To avoid the potential conflict between manufacturers and suppliers, an independent third party can be employed to help manage the VMI initiative,Third-party consolidates the shipment from various suppliers Third party facilitate the information excha

27、nge between manufacturer, consolidation and loading center, and the suppliers Information is neutral to both suppliers and manufacturers, signaling transfer of ownership according to pre-agreed terms Third-party can help manage inventory, unpacking, kitting, sequencing and delivery to line, milk-run

28、ning the inbound parts and potentially placing purchase order on manufacturers and suppliers behalf Ownership remains unchanged before or after VMI is implemented,15,However, internal resistance against outsourcing the VMI service remains generally very strong,No common understanding of how third-pa

29、rty can help smooth the VMI operation Staff currently in charge of inbound logistics are afraid of losing jobs General belief to hold potential “profit” within the company No cost benchmark to compare the overall cost under third-party management Resistance to share inventory data with third-party A

30、 cultural adjustment as well as a significant reorganization of everyday job duties is required to accomplish a major change of company operations,VMI will achieve its acceptance gradually, especially after the anticipated competitive environment in 2-3 years,16,A Chinese OEM outsourced its inbound

31、logistics to China Logistics for operating assets, skills and better management,OEM Inbound Logistics,The OEM was preparing for mass production of a new passenger car model on a totally new plant In the past, the suppliers were asked to deliver all components to the line side warehouse There are not

32、 enough in-house operation staff and space to cope with expansion of production The management of the OEM would like to focus on manufacturing of vehicles, while outsource most of its logistics to third party,China Logistics refurbished a 4,500 Sq. M. warehouse situated 8 km from the assembly line I

33、n addition, emergency orders can be dispatched within ten minutes of notification and delivered to line side within 30 minutes Parts are stored, picked and marshalled according to where they are used on the assembly line, with loads configured in direct-to-line order Scale ramped up from 40 units pe

34、r day in November 2002 to 180 units in March 2003 In a typical week, the China Logistics team handles more than 3,000 different product lines and makes some 250 just-in-time deliveries to lineside receiving points,China Logistics Approach,Situation,Selected Case Studies,17,There are several differen

35、t factors to consider in designing an appropriate inventory level,Orderto-delivery lead time Order size and frequency,Annual throughput Per SKU demand Complete vehicle sales volume Car parc (penetration rate),Total number of SKUs Kitting or other needs,Purchasing lead time Transportation lead time P

36、urchasing order size and frequency,Customer Needs,Volume Forecast,SKU Complexity,Inbound Process,Solution Selection,Total Cost,Transportation cost Warehousing cost Labor cost,Level of Integration,Source of materials (external suppliers or OEM factory) Location of suppliers,OEM Inbound Logistics,18,C

37、urrent Operational Characteristics related to Materials Management,20+ domestic and 50 +overseas suppliers,Supplier,1,Customer involving:,Logistics Dept,Quality Dept,Planning Dept,Supplier,X,Supplier,2,Supplier,3,Supplier,22,Operational characteristics:,Component Supplier Inbound Logistics,At presen

38、t, Customer X directly contact a multitude of suppliers, to Place P/O; Monitor P/O status, change P/O if necessary; Receive and unpack parts, store and picking Inspect and sort parts; Deliver to assembly line; Check documentation and finally pay invoice. It involves functions across the customer: Pr

39、oduction Planning Quality Control Logistics and Materials Management IT Finance,19,Major capacity and quality issues arises when 50% annual growth is anticipated,Under-capacity for warehousing space There are constraints as production capacity needs to be boomed to meet increasing customer demands Manufacturing flexibility is low When parts ordered before are already on their way while prod