Automotive supply chain where it hurt?

As the world's most complex supply chain management system, the integration of the automotive supply chain will be more difficult.

With the accession to the future of automobiles and spare part tariff, lowers the "internationalization of the domestic market in the future, the international market and domestic" is the inevitable trend. Automotive supply chain management as an integrated management ideas and methods, focusing on core business, the implementation of the supply chain from supplier to end users of logistics and information flow, business flow, capital flow of planning and control functions, in the entire automotive industry plays a very important role, are also increasingly affected by automobile production operator attention.

However, the automotive supply chain is recognized as the world's most complex supply chain management system, in our country and in the start-up phase, thus in practice revealed many of the questions that deserve our attention.

Misunderstanding: the supply chain as a whole was insufficient knowledge of the concept of

Supply chain is the implementation of the procurement of raw materials, convert them to intermediate products and finished products, and product sales to the user's function. Its core idea is the supply chain, information integration, vertical integration. United Kingdom Economist Kelisiduofu said so: "market only supply chain without enterprise". The future of competition must be supply-chain and supply chain management between competition, instead of enterprise and Enterprise competition.

However, in reality, although the Manager took note of the supply chain in the automotive industry in the development of significant role, but on their global understanding also exist in different degrees, the actual operation of the downstream Enterprise pursuing their own profit, not a win-win situation. On the one hand, the Centre for automotive assembly plant in the automotive supply chain is in a central location, in general have a great voice, often in the automotive supply chain process in order to maximize their own interests to the detriment of upstream and downstream partners. For example, the current domestic numerous car manufacturers with JIT and other more advanced management mode, compared to traditional management methods, most of the automobile Center plant way using this management can more easily achieve their zero inventory management, greatly improving their inventory turns, save a lot of inventory management costs. However, the JIT mode in the arrangements for long-term production and procurement scheme in which enough side, in order to prevent the planned changes in the risk, the main depot often habitually requires its supporting manufacturers pad high safety stock, or ask around to build storage warehouse, in case of need, instead of using supply chain advantage, making the entire car production plan for the reduction of production fluctuation which reduces supply chain inventory, and achieve a win-win situation. This practice to this part of the management costs indirect transfer to upstream; on the other hand, vulnerable supporting manufacturers fear to much to say about it to the center of manufacturers, price negotiation, and the interests involved in the automotive supply chain system of reservations.

The pursuit of a single individual in the supply chain to maximize the benefits of and cannot bring the overall supply chain for a competitive advantage, not to the point, the economic interests of the community far from true true established, the overall competitiveness of the automotive supply chain is also no way to play.

Implementation difficulty: supply chain management in the internal members of the DMV

Supply chain operation will involve the participation of many members of the enterprise, members of the management level of the normal operation of the supply chain to become one of the key factors. Automotive supply chain as a typical one of supply chain management system involving upstream suppliers and downstream resellers more, the relationship between supply and demand is also more closely. Especially as the core of the automotive supply chain Center factory, and the upstream businesses interact very frequently, local mismanagement will rapidly affect the overall operation of the supply chain.

Most of the domestic automobile manufacturers with foreign advanced management technology, internal relative perfection of system processes, the high degree of information, as the core of the automotive supply chain has played a key role. But many downstream of dealers, parts, suppliers of management level are often overlooked. Because the parts supplier management system is not perfect and supply chain operation problems are common. In my personal experience of an automobile city's supply chain project, on the opening as many involved in supporting plant, its universal scale is small, relatively poor quality of personnel, the most used information system voluntary, funding is limited, the entire automotive supply chain implementation difficulty relatively large, causing significant project risks. Therefore, if no prior internal management system, not vendors for its support center works day-to-day management attention and to cooperate with professional counselling, supply chain manufacturers supply chain project cannot be achieved phasic success on-line.

Information Foundation: supply chain information asymmetry

Supply chain management as a new operation and management mode, if no information network technology for support is incredible. Digital China CEO Kuo has the enterprise e-commerce road is divided into four phases: the first is the network infrastructure; the second is the enterprise internal information; the third is one-to-one or B2B or B2C interconnected; the fourth is the formation of a network community. Automotive supply chain building and similar previous third stage. The first stage is relatively easy to reach, the second stage is the basis for the third stage is key to the greatest degree of difficulty.

In-country automotive supply chain system, information interaction of serious obstacles hindering the development of the automotive supply chain. Now some advanced automobile enterprises have not met the system generates the butt, orders directly, but also need to know about supply manufacturers in the production of information, such as critical parts inventory information, to schedule the production plan. On the other hand, the automotive supply chain, there is a rather weak information base of manufacturers, information interaction prone to faults. To the above mentioned in the automotive supply chain project, for example, in the Centre of a high degree of information, also have considerable management Foundation. But its downstream of cooperation, the situation is not optimistic. Many vendors also remain in the hand management phase, use of information tools are limited to a spreadsheet, or just some departments use a portion of the information system. Internal integration is also a big problem, and external supply chain information interactive other enterprises is difficult.

> Environmental constraints: external automotive supply chain

United States supply chain expert Robert · Isla have noted in the article: "China's supply chain management today face several major challenges: infrastructure, distribution system fragmented mess, serious local protectionism, the lack of third-party capacity". Third party logistics development, along with the continuous refinement of the social division of labor, the enterprise more focus on their core competencies, the supply chain not only the suppliers, manufacturers, distributors, logistics providers, including 3rd party logistics enterprises has become indispensable in the supply chain. However in the country, on the one hand because of the "great and all," and "small and self-contained" business impact of the mode of operation, the insufficient demand for logistics needs. But on the other hand, because the third party logistics enterprises, information technology infrastructure is weak, the integration services features, effective supply also inadequate. These are serious constraints on the development of the automotive supply chain.

However, we can see that the accession of China to the end of 2001, these problems are gradually improving. Enterprises should focus on practicing good internal strength.

Prospect

As China's rapid economic development, automotive supply chain will be more and more people's attention. From the perspective of now, there are four points is looking inevitable trend. First, the supply chain of all enterprises will gradually get used to stand in the global point of view of automotive supply chain, recognizing the supply chain is the integration of people and process, focusing on supply chain stuff itself at the same importance to people's ideas of the Reformation; second, to build adequate competitive supply chain system, the enterprise internal management system upgrade is the Foundation, this point will become the consensus of the business community. Third, in the automotive supply chain technology base, namely the construction of information inside and outside the enterprise, and Internet technology will be more widely applied. With advanced management information system and network technology, the resources can be more widely shared, the information is faster communication, supply chain advantage for further play. Fourth, with the deepening of China's reform and opening up, the automotive supply chain of the external environment will gradually improve, as its development to create more favorable conditions.