Wal-Mart created in the 1960s, in the 1990s became the first major U.S. retailer. In just a few years time, Wal-Mart's stores almost all over the world, and its quality and efficient service, amazing sales profits, advanced management system, known around the world. Now, in "cheap day" atmosphere every day, hundreds of thousands of people out of the blue army filled with a variety of merchandise big house to pick items they need, most of them hard to believe that such a supply of daily necessities hypermarkets, is the legendary leader of the world top 500. ; Magical distribution center 

 Wal-Mart's huge success, with its excellent logistics management thinking and practice are closely related. 

 A part of the traditional industries of retail business, how can exceed the sales revenue of the "King of the manufacturing sector," the auto industry, more than all the world's banks, insurance companies and other financial institutions, the former president of Wal-Mart's David Glass • summed up: "Wal-Mart's distribution facilities is one of the keys to success, if what we have done better than others, it is the distribution center. "flexible and efficient distribution system to reach the core of the largest Wal-Mart sales and cost of inventory turnover. Distribution center is set up in the logistics base of more than 100 retail stores, Wal-Mart central location. Usually 320 kilometers to establish a distribution center for a business district, near the same time to meet more than 100 sales outlets around the city needs. One end of the distribution center for loading platform, the other end unloading platforms, 800 employees 24 hours shifts Handling and distribution. Wal-Mart's wages are not high, because these workers are basically junior high and high school, but after a special training Wal-Mart. Meanwhile, Wal-Mart pioneered a unique cross-distribution practices, no warehousing storage and sorting operations, direct loading shipping when purchasing. Delivery time competitor in each of five days the case of goods, Wal-Mart sent a substandard day, at least once a day means you can reduce the shipping store or retail store inventory, making retail space and manpower management costs are greatly reduced. All of these separate handling, cross-docking, delivery day unique details, just to help Wal-Mart increase the velocity of circulation, reducing operating costs. 

 Around the efficient distribution centers, Wal-Mart and gradually establish a "seamless point" logistics system. Logistics costs account for the proportion of the sales are generally up to about 10%, some even up to 20% in the food industry, or 30 percent, while Wal-Mart's distribution costs accounted for only 2% of its sales are up 50 percent of its competitors cost Wal-Mart consistently thought the best thing is to take the lowest price to consumers, which is the key to its success. IT into the core competitiveness 

Now, almost all people in the world know that Wal-Mart's success comes from the success of its logistics model, however, is what sustains the Wal-Mart's logistics model to practice the concept of distribution centers and superior logistics into its unparalleled competitive force? The answer is that the logistics IT. 

1970s, Wal-Mart established a logistics management information system, is responsible for handling the system reports to speed up the operation of the speed; 1983, Wal-Mart uses the POS, sales starting point data systems established to achieve the synchronization sharing various departments of logistics information; 1985 established EDI, namely electronic data interchange system for paperless operations, all the information of all operations on the computer. 1986, when it established a QR rapid response mechanism to quickly pull the market demand. With including logistics barcodes, radio frequency technology and portable data terminal equipment, including IT, Wal-Mart even more powerful, has been considerable development. 

 

Wal-Mart Group 24 hours to achieve internal computer network monitoring logistics in the world's first, to establish the first global logistics data processing center, so purchasing, inventory, ordering, distribution and sales integration, for example, the customer to Wal-Mart store shopping, then through POS machines to print invoices, at the same time responsible for production planning, it will display information on the procurement plan while the person as well as computer vendors, all aspects of their work will be completed by the information in a timely manner, so as to reduce a lot of unnecessary waste of time, speed up the logistics cycle. In real-time response logistics information network conditions, the logistics members to support various aspects of mutual co-ordination in order to adapt to the highly competitive market environment, it is IT, a modern logistics enterprise's core competitiveness model. 

Wal-Mart from the perspective of affordable pricing, and pricing are not the same every day. A large number of procurement it has enough bargaining power, so that their products more competitive pricing, and convert this advantage into the benefit of consumers. Compared to other retailers, Wal-Mart offer higher discounts at the same time, they also gained considerable business benefits from the "puerile" business philosophy. 

 

To be sure, the logistics are not as direct as the producers make a profit, but to cut costs from the inside, on the whole to achieve the goal to improve profits. Wal-Mart's practice has fully proved the logistics become after raw material resources, human resources, the third profit source of business. Details determine success or failure of efficient logistics information management 

More and more large companies noted that the authority of the logistics cost researchers propose Mr. Nishizawa repair "the third profit source" says become after Wal-Mart, the successful application of logistics management technology to local conditions excellence practitioners. 1990s investment in Shanghai's Songjiang district of Pepsi plant, in order to reduce logistics costs, improve market competitiveness, abandoned from Shanghai Songjiang area to other parts of the shuttle transport and logistics, daring its logistics outsourcing to a third party logistics company - Shanghai all-party logistics Limited. 

 The key elements in the development of many local third-party logistics companies struggling today, Shanghai whole party logistics outsourcing logistics to get the favor of PepsiCo, is still its professional food logistics management and operation of information systems, the logistics management system by domestic logistics supply chain management software vendor Brocade information tailored. Brocade information in accordance with the requirements of Pepsi Food Logistics for its tailored, modify, debug and improve the entire logistics information system, to achieve the digital management, warehousing and distribution, and truly a library, storage is automatically assigned by the rules to achieve food inventory and expiration warning function on the terminal server PepsiCo offers the whole party logistics, to achieve a real-time query, the whole party logistics into, out of and storage of all in the hands of PepsiCo, Pepsi and logistics costs business loss is greatly decreased. 

 With information technology logistics management system, not only reduces the cost of the supply side, its production provides a rational expectations, but also makes the seller and distribution side to achieve a "zero inventory" to reduce inventory and maximize corporate earnings. "Seamless link" throughout the entire process of logistics cycle, so optimized system reduces the pernicious effects of the "bullwhip effect" on market fluctuations. In the pursuit of profit maximization journey, Wal-Mart chose to self-sufficiency logistics companies, Pepsi chose the third-party logistics outsourcing, eventually responded perfectly logistics information obtained lucrative business income returns.