The Informatization Development Of Clothing Industry Breaks Through Logistics Supply Chain Management

The clothing industry, because it is very close to people's daily life, and the market demand is uninterrupted every moment, has been called the "never declining industry", and has a very broad development prospect. As the "factory of the world", China opened up the Silk Road more than 2000 years ago, with a very long history of garment export. Up to now, China has an annual output of 10 billion pieces of clothing, and holds more than 60% of the market share of the global clothing industry. It is truly a "clothing country". "With the rapid development of information technology at the end of the 20th century and in the 21st century, modern society has moved from industrialization to informatization, which has promoted all walks of life to embark on the road of informatization management, especially in the clothing industry," said Shen Guokang, chairman and president of Boke Information Company.

The current situation of informatization development in China's garment industry is not optimistic

In the middle of the 20th century, the clothing industry experienced competition from product output, product quality to production cost. In the 21st century, the market competition of the clothing industry has changed into the competition of clothing enterprises' response speed to the market, clothing product brands and clothing enterprises' technological innovation ability, thus promoting whether the development of informatization can catch up with the pace of the times, It has become an important support for the success of garment enterprises.

In western developed countries, automated management systems, intelligent decision support, and e-commerce have been widely used, and the development and application of information management software have been very mature. Some well-known enterprises in the clothing industry have long built a series of more advanced information management systems based on ERP, such as advanced logistics supply chain management, business intelligence, and comprehensive budget management. However, there is still a big gap in this regard in China.

According to statistics, the application of financial software, CAD design software and ERP software has been quite common in large garment enterprises in China, but it is not enough to cope with today's fierce market competition. For large garment manufacturing enterprises, procurement, production, distribution and other processes have more and more dependence and higher requirements on supply chain management and logistics. Enterprises can no longer meet the needs of enterprise development and competition only with ERP system. Therefore, most garment enterprises in China choose to pursue their own development path. At the beginning, it is often because of the urgent need to manage the high inventory, so we have to spend a long time to develop the inventory management system. Next, when there is a problem with the purchase, we start to write the purchase system... More and more independent modules form an island of information, and the operation of the entire enterprise is hindered by various obstacles. How can these isolated and immature systems help enterprises face the huge market competition in the 21st century?

And for those small garment enterprises with a larger number, some even don't know what financial software is, let alone other management software!

Logistics Supply Chain Management Becomes the Breakthrough of China's Clothing Industry Informatization

According to the prediction of the National Garment Science and Technology Information Center, as the government vigorously promotes the informatization of large and medium-sized state-owned enterprises, especially after China's accession to the WTO, the informatization level of China's clothing industry has been greatly improved compared with that before. In order to meet the global challenges, Chinese garment enterprises must further reduce their own operating costs, so as to ensure that "Made in China" can improve its quality on the basis of low prices. How to reduce operating costs? Some foreign institutions have pointed out the way for us. Comprehensive analysis shows that the non production cost of a commodity in the whole supply chain system has exceeded 80%. Among them, the logistics cost of goods accounts for more than 40%, and the time cost accounts for more than 90% of the whole supply chain. It can be seen that logistics supply chain has become the best way out for Chinese garment enterprises!

The garment enterprises in China are mostly labor-intensive enterprises, and the degree of automation is relatively low, which brings great difficulty to the realization of informatization in the garment industry. The business process of garment enterprises is very complex and tedious. Many garment enterprises need to process hundreds of inventory units every day, and manage countless styles, structures, customer identification and even more data. In this highly complex business management, supply chain management characterized by accurate prediction, procurement management, production planning and distribution management is particularly important.

At the same time, China's garment industry mostly takes OEM as the main business. On time delivery according to orders has become an essential element for clothing manufacturers in China. If delivery is not timely or delivery is promised when no goods are available, customer satisfaction will be lost and customer loss will result. The establishment of an efficient and integrated supply chain system is just like the establishment of a smooth highway between enterprises and suppliers, distributors and customers, which can reduce the time between each step and compress the transition time to nearly zero.

Shen Guokang, president of Boke Information, the largest logistics supply chain management software supplier in China, pointed out that: "Brand building is very important for an enterprise to become stronger and larger. Although there have been more and more private brand enterprises in China's clothing industry in recent years, there is still a big gap between China and the clothing manufacturers in western developed countries. Four factors are essential for clothing enterprises to operate their brands: price, product quality, marketing and channels. Most of these four factors include The first three of the installation enterprises have no problems, and the last channel management needs the support of information technology, especially the supply chain management. Purchasing and inventory control are very important for the channel management of garment enterprises. Supply chain management can effectively reduce the phenomenon that on the one hand, monopoly stores are out of stock, and on the other hand, branches and factory warehouses are overstocked with inventory. Practice has proved that effective control of market demand and supply chain can help enterprises simplify complexity, monitor cash flow, avoid excessive expansion and underoperation, and thus achieve high return on assets. "

In order to cope with the fierce market competition, both the large and medium-sized clothing enterprises with a certain informatization foundation and the small clothing enterprises still in the initial stage of informatization construction have almost reached the limit of their manufacturing cost reduction, and the increase of sales is difficult to break through. Optimizing and refining the logistics supply chain has become a new way for enterprises. More importantly, the optimization and refinement of the logistics supply chain is not just a topic related to efficiency and cost. For those companies who want to speed up their market response and better meet customer needs, choosing a suitable supply chain is tantamount to choosing a new opportunity to take off. Only with the help of logistics supply chain management software, the enterprise itself, its back-end suppliers and front-end customers can be organically linked to form a complete supply chain, and clothing enterprises can break out of the tight encirclement and create glory again.