The Trend of Logistics Development in China

Topics: Logistics, Supply chain management, Sociology Pages: 6 (1801 words) Published: May 12, 2013


Development of Logistics Industry in China

Development trend of China's logistics industry

More competitions in further from the foreign investment and private enterprise in China

The Corning of the integration Storm in China




With China’s entering WTO and the coming of the economic globalization, modern logistics has stepped into a far increased stage. In 2003, the logistics in China occupied RMB 240 billion dollars, compared with that in 2002, which increased by 26%, it is also estimated that during 2000 – 2005 the increasing rate of the 3PL marketing will reach 25% in China. Logistics industry, which is related to the producing manufacturing industry and commodity circulation industry, not only can help the enterprises optimize the resource configuration, lower the product costs, but also improve their competition capability. Logistics is also a systematic project that includes manufacturing, purchasing, storage, transportation, forward, distribution and sale. Now days, logistics and the supply chain management is becoming the core issue in world business field. Facing the immature logistics market in China, as far as the manufacturing, producing industry and the circulation industry are concerned, it is most important and urgent to positively evaluate the development tendency and meet the international requirements on the logistics as soon as possible.

Development of Logistics Industry in China

The larger of China's logistics, but the rationalization of logistics gaps. China's logistics industry has yet to establish a statistical system based on, cannot accurately reflect the overall size of logistics. The performance of the logistics organization is not quite reasonable, subject to resource distribution, circulation system, the industrial layout and organization of production, materials far away, circuitous flow is serious; a large number of logistics activities, the lack of specialized logistics services organization, logistics and high cost. Other logistics companies generally low level of Information technology, as a constraint to the development of logistics enterprises in China the biggest bottleneck and obstacles. Current logistics enterprises in the Computer software applications, most still at the point-type application and the application of a sector, individual enterprises of the enterprise information Management, with customers to achieve some or all of the information between the shared computer network is only a few very small number of home. Logistics information technology has become mandatory access developed countries eligible for logistics enterprises, such as Just In Time(JIT), Material Requirements Planning 1(MRP1), Material Requirements Planning 2(MRP2) and so improve logistics efficiency and reduce logistics cost of modern management model is built on the information to adapt its technology to support the premise developed the China's logistics market is fiercely competitive low-end but high-end logistics market, but few people interested in the phenomenon exists, the overall low level of information, it cannot be implemented as JIT, MRP1, MRP2 and so improve logistics efficiency and reduce logistics cost of modern management model, naturally only in the low-end logistics market flame. Quality of personnel logistics enterprises, in particular the quality of leadership is difficult to adapt to the requirements of modern logistics operations. China's abundant human resources, labor costs are low, employment or logistics enterprises in the selection of mechanical equipment with modern, often choose to replace some of the modern employment of machinery and equipment more economical, because it has certain substitutability between. But man is no substitute for modern information technology to bring the efficiency of the logistics enterprises, the current leadership of the state-owned...
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