The Significance Of Improving Supply Chain Competition In Clothing Industry From Multiple Perspectives

"The production and manufacturing process is based on the control of costs. The supply and demand will be stable if the cost is well controlled. However, we should not always fight for the cost. Instead, we should consider how to create customer demand through product innovation and break through the cost bottleneck. In the commercial circulation process, how to create value for consumers with a better business model is a problem that enterprises should now care about." 2012 Global Conference held in Ningbo, Zhejiang Province on June 19-20 Textile clothing Sun Ruizhe, Vice President of China Textile Industry Federation, said at the supply chain conference.

At present, after experiencing two stages of production factor driven and investment driven, how to rely on the design of business model to rethink and judge the "business direction" of enterprises, rebuild the supply chain structure of enterprises, balance the supply chain relationship, and maximize the value by using the synergy of supply chain are the issues to be deeply considered at this conference, At the same time, it is also the value of solving supply chain related problems in the future development of the industry.

　　 Integrated innovation from the establishment of supply chain alliance "ice breaking"

China's textile and clothing industry has the longest single chain supply chain in the world, from spinning, weaving, dyeing, mass production, to brand marketing management, channel management, logistics distribution and retail terminals. In this long chain, all enterprises pursue the maximization of interests in the common market, resulting in asymmetric information in the competition, forming the bullwhip effect, which actually results in the minimization of the interests of the entire supply chain and restricts the development of the industry.

In this regard, Fu Guangwei, deputy director of China Textile Information Center, has been seeking solutions. After a period of thinking and research, Fu Guangwei believes that it should be an effective means to establish a textile and clothing supply chain alliance and create a cooperation platform based on supply chain management by relying on the Global Textile and Clothing Supply Chain Conference, which has formed considerable influence in the industry.

Fu Guangwei said in an interview that after the 2008 financial crisis, China's textile industry has undergone profound changes, which is reflected in the gradual development from processing trade between single enterprises in the past to the synergy between upstream and downstream of the industrial chain, which will be the major trend of the development of the textile clothing industry. However, due to the existence of the current "hidden rules" of business and the bullwhip effect, the competitiveness of our textile and clothing supply chain has been greatly restricted. "The purpose of launching this textile and clothing supply chain alliance with upstream and downstream enterprises is to break the 'hidden rules' and eliminate the bullwhip effect."

It is reported that the alliance will organize and implement a series of projects and cooperation based on the cooperation of supply chain management and the core members, clusters and excellent enterprises of the alliance, so as to realize the knowledge sharing, information sharing, experience inheritance, resource integration, industry signage establishment, business model exploration and final strategic cooperation of the alliance members, So as to achieve the "win-win" or "multi win" purpose of the supply chain cooperation mode.

On the occasion of the 2012 Global Textile and Garment Supply Chain Conference, the Down Supply Chain Branch of the Textile and Garment Supply Chain Alliance was first established. Its members include down clothing brands, down processing, design service providers, as well as down upstream surface accessories, down suppliers, etc., and all links in the down industry chain are included, which is conducive to joint development between enterprises, Realize integrated innovation. As for why he chose down jacket first to realize the "ice breaking journey", Fu Guangwei said that Down Jackets The supply chain is independent and systematic, relatively complete, with large brand coverage and representativeness.

Fu Guangwei said that the supply chain alliance does not have the Secretariat and other departments like other conventional alliances, but it seems loose in form, but in fact it is scattered in form and concentrated in spirit. The Alliance organizes regular meetings, where members talk about the difficulties they encounter in production, design, R&D and sales, and work together to solve them. "I hope we can work together in the direction of supply chain to maximize the benefits of each enterprise in the supply chain, put design concepts, quality management and other ideas into the whole supply chain, carry out integrated innovation on the whole supply chain, improve the competitiveness of the domestic textile and clothing supply chain, and let the value of the supply chain pass from fiber to clothing." Fu Guangwei said.

The initiative to establish a textile and clothing supply chain alliance has received positive responses from many enterprises. Zhang Changjian, the general manager of Wujiang Fuhua Weaving Co., Ltd., has deep feelings about the supply chain. Based on years of practical operation experience, he believes that the supply chain should first stabilize the upstream, and enterprises should not change easily after selecting excellent suppliers. "Only with a stable supply chain can enterprises survive."

It is worth mentioning that Zhang Changjian talked about the problem of marketing surplus existing in enterprises. He believes that enterprises should still rely on products to win, rather than relying on marketing. In this regard, Sun Ruizhe, vice president of China Textile Industry Federation, believes that there are two meanings of marketing surplus. One is that enterprises have taken unreasonable, unfair and illegal competitive behaviors, such as commercial bribery; The other is the extravagance and waste of enterprises, such as holding a lot of order meetings. "Therefore, it is also very important to advocate healthy business concepts, business ethics and business environment on the supply chain."

　　 Establish a supply chain management model that can create value

With the further development of global economy and international division of labor, China's manufacturing industry is facing new opportunities and challenges. In fact, the value of a product is created by the whole supply chain. The competitiveness of a product reflects the overall competitiveness of all links in the supply chain. The future competition in the textile and clothing industry will be more reflected in Supply chain Management competition. In terms of supply chain management, some excellent domestic enterprises have experience worth learning.

As a leading enterprise in the domestic clothing industry, Youngor has established its own supply chain management model with its own characteristics after more than 30 years of development since its inception. According to Xu Qigang, general manager of Youngor Group Co., Ltd., the construction of Youngor's supply chain has gone through four stages:

In the first stage, in the 1980s, it expanded sales and expanded the scale of enterprise assets by means of horizontal joint venture and establishment (Beilun Port brand). At this stage, the expansion of production scale is the core content of supply chain construction.

In the second stage, the Youngor brand was founded in the 1990s, the marketing company was established, and the national marketing network was initially formed. The enterprise began to develop from a processing and manufacturing enterprise to a production and marketing enterprise. In this stage, the core work was to expand the marketing network.

In the third stage, at the beginning of the 21st century, the construction of the International Garment City and the Textile City was completed, and the vertical industrial chain from the upstream textile garment fabric garment manufacturing to the retail terminal was controlled, forming the core competitiveness of the enterprise.

In the fourth stage, since 2009, the strategic transfer from production and marketing enterprises to brand management enterprises has been implemented, and five brands have been created. The development of the internal industrial chain has also shifted from internal and external integration, from internal enterprises to internal and external integration of the supply chain.

In general, since the 1990s, Youngor has spent nearly 20 years to build a vertical internal supply chain. According to the needs of multi brand development, Youngor has put forward the strategy of building a sustainable supply chain. In this regard, Youngor started from three aspects: first, it reconstructed the supply chain system, expanded the domestic leading edge and accelerated the global resource allocation by relying on multi-directional innovation; Second, Youngor's foreign procurement volume will grow from 1/3 now to 1/2 in 5 years and 2/3 in 10 years. Supply chain enterprises gradually shift from domestic to overseas; Third, in terms of supplier selection, cultivation and assessment, Youngor classifies suppliers into strategic partners, general suppliers and selective suppliers. For strategic suppliers, Youngor shares information, incorporates its information into Youngor's management system, and jointly develops with us to improve Youngor's development capability.

As a leading brand in the domestic sports field, Li Ning has begun to establish an overseas supply chain. In this regard, Lei Lizhao, Manager of the Finished Garment Production Management Department of Li Ning (China) Sporting Goods Co., Ltd., said that the establishment of an overseas supply chain is to upgrade the professional capabilities of the supply chain. "First of all, enterprises must have a stable supply guarantee, which is the most basic guarantee for brand owners to continue to make profits and move forward. Second, product quality is the life of brands. But at present, China is facing so many problems, such as rising labor costs, and the new generation is unwilling to join the industry, leading to instability in the whole industry. At this time, product quality is going down Second, domestic costs continue to rise. To control product costs, I think it will be a very difficult thing in China in the next five years. " Lei Lizhao gave this explanation to Li Ning for establishing an overseas supply chain.

Although the establishment of overseas supply chain by brand has many advantages, Lei Lizhao reminds that this practice also has certain risks. The first is the political risk. Countries such as Vietnam, Cambodia, Thailand, Myanmar, Bangladesh and Malaysia have unstable political situations. The labor unions in Cambodia, Vietnam and other countries are very strong.

The second is that the delivery time will be prolonged. For example, in Vietnam, it will take at least one week for materials to be transported to Vietnam by sea. In total, it takes 20 days to one month more than in China. This delivery period will change the existing mode.

The third is the risk of resources, because international sports brands, such as Nike and Adidas, have been in Southeast Asian countries for a long time, and high-quality resources have been controlled by them. Domestic sports brands must pay some price if they want to grab resources.

For Li Ning, Lei Lizhao said that when Li Ning chose Southeast Asian producers, the big problem was that its raw materials were from home, which lengthened the production time. Therefore, Li Ning must promote the construction of material integration to shorten this time; The quality problems involving the brand life must be strictly controlled and well solved overseas.

As a leader in the field of down jacket in China, Bosiden also has its own set of supply chain management. Dai Jianguo, Deputy Director of Supply Chain Management Center of Bosiden International Holdings Co., Ltd., said that for enterprises, supply chain management must be able to create value, and the key is the level of supply chain management, which requires strong resource integration capabilities and cost control capabilities. Now, Bosiden has developed from a pure production factory to a little more than 10% of its own production, most of which are outsourced production. Bosiden has upgraded supply chain management to one of the core strategies of the Group.

According to Dai Jianguo, Bosiden's supply chain management focuses on quick response. "At present, Bosiden's ordering mode is unique. We maintain a 15 day ordering cycle. After ordering, we place orders every 15 days and deliver goods every 13 days. In fact, this is a great pressure on the supply chain. Bosiden has delivered goods every 13 days for seven or eight consecutive years."

Dai Jianguo also introduced that at present, Bosiden's supply chain management has a model that is a circle, and it revolves around consumers from beginning to end. "First, from brand positioning and brand management to market research, then to commodity planning, design and research, then to procurement and supply, production management, quality management, product acceptance, and finally to return to the market through logistics, it is a complete supply chain management model. Our supply chain management center is a very key department within the group. Bosiden's supply chain management The theory has already involved terminal retailers. For many enterprises, they are more likely to be raw material suppliers and processing plants in the supply chain. "

It is not difficult to see that domestic excellent clothing brand enterprises have their own characteristics in supply chain management. Although this feature may not be replicated to some extent, their experience in supply chain construction and management can still inspire and reflect on other domestic garment enterprises.