Informatization Opens Up The Supply Chain -- The Next Ten Years: Is Garment Enterprise IT?

Through powerful information system, upstream suppliers and downstream agent franchisees can achieve collaborative management to help enterprises obtain unique competitive advantages in supply chain.

For a processing enterprise, intelligent equipment can help to alleviate "labor shortage" and improve work efficiency, but in order to truly enhance the competitiveness of enterprises, it is also necessary to use information technology.

Because the real time information on the production workshop is like the battlefield newspaper provided by the marshal of the armed forces, so that the managers of the enterprise can quickly understand the order progress, production efficiency, employee performance, parking status, work in process quantity, defective product ratio, etc., so as to provide a strong basis for the management to make the right decision, and provide strong data support for the objective assessment of employees, the rational adjustment of production and the solution of on-site problems.

Through RFID (RFID) technology, real-time collection of data on the production site such as quantity, time, quality, delivery and non standard data is stored in the central database. At the same time, the data are analyzed and processed at high speed. The production status and problems are presented to managers in real time, and early warning and guidance are provided in combination with production plan and delivery period, so that the factory can realize the intelligent management of production balance, progress satisfaction, quality improvement and clear flow of goods.

But for brand enterprises, competition in twenty-first Century is no longer a competition between enterprises and enterprises, but between supply chain and supply chain.

Chen Guoqiang, deputy director of the China Clothing Industry Economic Research Institute, said that in the first ten years of twenty-first Century, the quality of an enterprise supply chain will determine whether the enterprise will succeed or lose in the market competition.

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To win quickly and respond quickly to the market, the introduction of supply chain information system integration has become the dominant position of clothing enterprises.

Chen Guoqiang said: "in this supply chain, there are three link layers, one is the logistics chain, the other is the information chain, and there is a value chain. The logistics chain is the circulation of goods in the best way. The value chain is the continuous increase in the value of the product in the logistics process, and the information chain is the guarantee for the realization of the first two chains."

"What kind of information can be obtained to whom?"

This is a problem that all garment enterprises must face.

If the information is not smooth, or the information pmission does not meet the market demand, it will cause the whole supply chain stagnation of the garment enterprises.

"Through the powerful information system, we can integrate various departments' informatization to realize the collaborative management of upstream suppliers and downstream agent franchisees, and help garment enterprises improve customer service level, enhance market responsiveness and reduce the cost of supply chain, thus achieving a unique competitive advantage of supply chain."

Zhang Daili, chairman of Qingdao red collar Group Co., Ltd.

Lin Hong, chairman of Fu Cheng (China) Limited, also believes that the degree of informatization will affect the outcome of future duel.

Without information, there will be no development.

In his view, before the advent of information technology, the whole upstream and downstream of the textile and garment industry is "fault". The so-called industry speed and efficiency can not be realized at all. The biggest cost is often exchanged for the least profit return, but after entering the "information age", the whole industry's upstream and downstream links and supply chain links are all opened up.

As Zhou Shaoxiong, chairman of the seven wolves industrial Limited by Share Ltd, said, "Informationization changes the form of operation of the industry."

Informatization opens up supply chain

The surge in crude oil prices this year has led to a substantial increase in the cost of raw materials such as cloth and feather, while the cost of supply chain of Metersbonwe group has dropped by more than 40%.

Wang Quangeng, vice president of Metersbonwe company, said: "the price of raw materials and the increase of employee benefits are increasing year by year. For most garment enterprises, the cost increase of 10% this year is very normal."

But Metersbonwe has been able to sharply reduce costs in a "boom". The trick is to extend its information system to fabric manufacturers.

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Before, according to Metersbonwe's "virtual operation" model, the company's purchase is directly under the order of the garment factory, and the purchase and management of the fabric is almost no matter. Now, the company extends a IT system to the fabric manufacturer, in Wang Quangeng's words, "the value chain is extended to the field of raw material supply."

"Fabric is the focus of competition in the clothing industry. To seize the fabric link is to control the key links of the supply chain 70-80%. These links include quality, cost, production and supply speed to get orders, so we must extend the value chain to the field of raw materials supply and enhance our competitiveness."

Wang Quangeng said.

At present, Metersbonwe has adopted a unified management information system from upstream suppliers to downstream agents.

The system is developed by Metersbonwe headquarter, and the supplier can follow up the whole process from the raw materials to the semi finished products from the factory to the whole process. Besides the internal business process, the agent can follow up all the pactions in all terminal retail stores, and each paction can be analyzed from 4 angles, namely, products, consumers, climate and employees, which greatly improves the information pparency and Information turnover efficiency of the supply chain.

It can be said that using information system to connect upstream and downstream, forming "virtual operation" is one of the core competitiveness that Metersbonwe has successfully increased 300 times in 8 years. The inventory of the entire supply chain is managed by information system and reasonable logistics system, so that Metersbonwe avoids the huge market risk.

As a representative of the domestic garment industry, YOUNGOR can develop from twenty thousand yuan assets in 1979 to more than 10 small towns with educated youth, becoming the first in the domestic textile and garment industry.

As in reviewing YOUNGOR's ten years of information construction, Li Rucheng, the group president, said: "clothing city and store are hardware and human body.

Information is the software and brain that ensure the normal functioning of hardware or body, and play an extremely important role.

In 2001, YOUNGOR put forward the strategy of "decisive battle in the terminal", set up 162 branches in the whole country, invested more than ten billion yuan, opened more than 400 self operated stores and more than 2000 commercial outlets, and formed a huge terminal sales network.

In order to better manage and operate the network, YOUNGOR and the Chinese Academy of Sciences cooperate to launch and implement the YOUNGOR digital project.

YOUNGOR hopes to establish a supply chain management system which integrates logistics, information flow and capital flow to link up and down the group's internal and external links, so as to enhance the economic efficiency of enterprises and the comprehensive competitiveness of domestic and foreign markets.

After ten years of construction, YOUNGOR's information technology already has an integrated information system that integrates procurement, production, distribution and retailing. The management system for ERP and OA represented by textile fabrics, as well as the communication system represented by 263 enterprise mailboxes.

"The construction and application of information platform not only plays a huge role in YOUNGOR's production and operation, but also provides strong management support for rapid, low-cost and large-scale expansion of enterprises."

A department head of YOUNGOR said.

In the implementation of the first phase of the 2001-2006 year plan, the benefits brought about by information technology have been very significant.

At that time, YOUNGOR invested 120 million yuan in information technology, and its product inventory dropped by more than 30% before implementation, saving 250 million yuan in inventory cost, enhancing the ability of quick response and controlling the cost of the enterprise, complicate order processing and procurement management automation, improving the efficiency of capital operation, improving communication between departments and overseas, reducing the losses caused by human errors by about 20%, increasing the responsiveness of the company to orders, shortening the production cycle from 45 days to 45 days in the past 90 days, and customizing the system to achieve zero inventory production, and only added 200 million yuan to YOUNGOR in 2003 alone.

"In the next ten years, YOUNGOR will further enhance the level of information based on industry trends and needs."

YOUNGOR Group Information Center said to the manager.

Today, different garment enterprises in China have different choices in the industrial chain. Some of them put core competitiveness in production, some in sales, others in brand marketing, others in "big" development, and some in "fine" development.

Although the choice is different, but the idea of using information technology to closely integrate the upstream and downstream of the supply chain is the same. If you use an old advertising phrase, do you have IT?