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Interpretation of the mode of "light"

Author: XuTianShu From: www.yourpaper.net Posted: 2009-05-01 12:24:37 Read:
Abstract: Nowadays, the competition to increase international trade, domestic labor costs and rising production costs, capital market financing is difficult, hindered the development of Chinese enterprises. But in the context of this environment, in the past two years, the number of new enterprises in China in the wave of market success. As these enterprises are the body small force single, funds and enterprises are small-scale, known as "light". "Light" in the Chinese market in 2007 were particularly impressive, a lot of "light" speed of business development and profit levels even meet or exceed the level of some big companies. Based on this successful business model to interpret.
Keywords: light core value of the supply chain

China in recent two years, the birth of a number of new enterprises, of them small force single, money, and a very small scale, but the speed of business development and profit levels is quite eye-catching, this kind of enterprise we call "light . " "Light" The biggest feature is the secret of their success, is the business of non-principal activities of "outsourcing", to retain only the most core part of the business enterprise. Successful "light" companies will be separated on the traditional business process design, production, sales and other business sectors, the non-primary business "outsourced" to other professional enterprise, "light" to ensure that he can concentrate on the most important part of the business.
The increasing competition forced the industry chain been broken down, "light" advantage of the opportunity to seize this opportunity to make their business become "small but excellent", but more likely to enable enterprises to form the core competitiveness; "light" strategy to enable enterprises to more enterprises to focus on their core competencies, and "outsourcing" relationship with the chain has a business partnership and has received more than its own independent operating the entire business more energy.

The advantages of the "light" mode

(A) to increase the vitality of the business
"Outsourcing" also allows more flexible. Market changes quickly, "light" because of the scale lean, low operating costs, "small boat U-turn". The same time, in the context of today's competitive pressures increase, the weaknesses of China's traditional business processes gradually revealed, becomes the lack of flexibility or even prevent the development of enterprises.
Situation of China's clothing market "light" PPG in 2007, established two years, only 500 employees, not a plant, pipeline or stores, all sales alone call centers and the Internet, easily one of the top three domestic shirt market in 2007, Japan sales of men's shirt was $ 10,000, and the industry leader Younger day sales, but 13000. Younger clothing city and textile city has a total area of ??700 acres of its business penetration of the garment industry the most upstream cotton fields, weaving and spinning, and then to design and manufacture has been on all aspects of the entire supply chain to the final sale terminals, Obviously much more heavy.
Shocked at the rapid development of enterprises of the "light", many traditional industries are also ready to change. Haier Group has shown that the transition to a "light"; Younger also begun to shrink the size of traditional channels, test the water of e-commerce to improve channel efficiency, it is clear that much more heavy.
(B) help build a strong supply chain
Who in the world has a strong supply chain. In order to build an efficient supply chain, the Youngor investment of a billion dollars establish a logistics center; PPG success in a very short period of time, it has benefited from an efficient supply chain system, but all aspects of the supply chain all pinch Younger in the hands of the practice, PPG take full advantage of modern networks, information systems and other IT technology to integrate all the resources of the upstream and downstream in the supply chain, to abandon the Younger and other traditional enterprise supply chain practice capital controls.
Most of the business sectors in the supply chain "outsourcing", PPG taking the effort to create a powerful and efficient supply chain integration and control system. PPG supply chain upstream and downstream procurement, production, sales, warehousing, logistics and other aspects of interoperability. The system supports PPG fabric suppliers in the procurement sector production order is issued within 24 hours of direct raw materials transported to the clothing factory, clothing factory batch processing within 96 hours, and then the garments are sent to the PPG warehouse waiting to be packaged issued; when PPG warehouse shirt stock issued out of alarm, the system will be information passed for the first time to the purchasing department, purchasing department calculated cloth demand, real-time information is passed to the fabric suppliers, organizational fabric procurement and production.
PPG IT systems integration of upstream and downstream resources, the rapid flow of information and control in closed-loop supply chain, PPG's inventory turnover reduced to seven days, well below the industry average of 90 days. For saving money stock funds, transfer of funds and procurement costs.
PPG supply chain system, there is a powerful analytical prediction function, the PPG can more accurately capture the market trends. "Just In Time" highly collaborative supply chain upstream and downstream business units share the most direct data PPG from the market. This win-win cooperation, enhance the efficiency of joint ventures in the supply chain, the supply chain to achieve maximum economies of scale, PPG per shirt cost an average of only about $ 30. The ultra-low-cost PPG sells for less than half the price of similar shirts, higher than the industry was able to get a lot of profit.
(C) in favor of providing personalized service
"Light" believe in "the Dell concept": eliminating the need for the intermediate channel links, direct customer demand to supply. Traditional enterprise marketing a common problem is a lot of value to be deposited in the channel link, so go through the the layers flow channels to the consumer commodity prices will increase 6-7 times; chain length, many links too difficult to manage, and many traditional businesses both too busy explore consumer demand, energy and conditions for effective communication with consumers, reflecting the slow to respond to changing customer requirements, allowing customers to purchase low sense of worth, a sense of satisfaction.
"Light" in its target consumer group was able to produce good popularity. In fact, China FMCG years ago emerged in many types of "light"; For example, the use of traditional physical store sales famous casual wear brand "Metersbonwe" is a typical "light", it is very early the "outsourcing" of production and most of the channels, is only responsible for their own independent design, brand management, direct sales business core of the city, resulting in lower cost, rapid response to the market, innovative design, affordable, good customer edge.
Again, as "light" and garment enterprises, due to the fast supply chain system, do not have to worry about inventory risk, PPG, Bono and other enterprises can not only take full advantage of the unlimited and low-cost virtual network space, offer customers more than the store counter many models and colors, effectively promote sales; but also by means of the website and call center, but also to provide customers with tailor-made services to increase customer satisfaction.
Also, the early years of mail-order catalog started now developed into a mail order catalog and network sales McCaw Lin "," well-off family, in recent years, with the the page network phone rapid development "red children", these retail-type "light" use of IT technology and Internet integration of large and small suppliers, do not have a physical store, made their own information intermediaries, who is also the consumer goods, shopping authority staff, sales platform identity to help consumers to find the products they need in a convenient, fast. These "light" generally provide more home delivery or mailed home, cash on delivery service has a clear price advantage; goods sold by the absence of intermediate links; their sales depend Call Center and networks so that enterprises can directly with the consumer communication, all of which greatly reduces the cost of money to consumers shopping, time costs, energy costs, and psychological costs, so as to enhance the customer shopping overall sense of interest and satisfaction, and maintain a lasting preference of consumers.

The problems of "light" mode

(A) The organization and management more difficult
Most of its business "outsource", "light" internal organizational structure becomes lean and simple, but it is this due to the organizational characteristics of the "outsourcing" cooperation, so that the management functions from the previous purely internal management, control changes to the internal and external, on this point, "light" difficult to manage but will improve.
"Light" to face the biggest challenge is: to enhance the ability to manage the supply chain alliance, strong control every aspect of the entire supply chain. Involves many difficult problems, such as, "Who manages" itself is a major problem and the lack of traditional enterprise accumulation of years of running and experience of the kind and suppliers; most of the "light".
Though it was difficult, but "light" in the use of modern IT technologies integrate and enhance the leadership and control of networked organization, do the full control of every detail, straighten and securely with partners, especially When the rapid development of enterprises, to help the upstream and downstream joint ventures carding process, so that they always maintain coordination synchronization with "light", "light" quality control and supply chain collaboration has become more mature.
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