Lining, Founder Of The Company, Revived The Company's Revival.

Being oppressed by inventory and public opinion for nearly three years.

After the founder Lining himself took charge of the company, there are some signs of revival.

1, according to the recent 2016 annual performance report, Lining group's annual revenue is 8 billion 15 million yuan, net profit of 643 million yuan, an increase of 4395.5% over the same period.

2. From the operational situation, the Lining brand product orders of the franchisee at the order meeting have been growing year by year for 14 consecutive years at the price of the tag.

An obvious sign is that Li Ningzheng, the founder of the company, has led the company out of the haze and sports brand Lining has begun to recover.

In fact, since the listing of the group in 2004, Lining has gradually delegated power to professional managers, while the company's performance has been landing like a roller coaster.

Especially after the winter of the industry, the group lost three consecutive years and accumulated more than 3 billion 100 million yuan in 2012-2014 years.

It was not until the end of 2014 that Lining, who was over half a hundred years old, took over the company to make it better.

It can not be denied that a year from loss 3 billion 100 million to net profit of 643 million yuan, this increase is described as "huge".

So how did Lining achieve "self salvation" this year?

To some extent, supply chain management plays a decisive role in the Li Ning Co. It can be said that the success or failure of its pformation lies in the pformation of supply chain management.

All along, Li Ning Co has outsourced logistics and distribution business to third parties. In terms of production, apart from retaining a factory's main development and production of sponsorship products and products with high security requirements, Lining basically withdrew from manufacturing and became an integrator in the value chain and supply chain.

Because Li Ning Co believes that the management of supply chain is the management of demand.

In fact, Li Ning Co's business model is very much like futures: after the product is designed, the order will be opened first, and the dealer will place an order.

After the order has arrived, Lining sends the processing factory, the processing factory carries on the statistics, the merger, the numbering, the computation cost, then sends the material supplier, the excipient merchant, then flows the supplier to cooperate the circulation work.

At present,

The goal of supply chain management is to set up a sensitive integrated supply chain from the maximization of the overall value of the supply chain, that is, to acutely capture changes in the market demand and respond quickly, and continuously improve the efficiency of the entire supply chain.

(Li Ning Co supply chain flow chart)

In this mode, Lining realized the strategic pformation from "light company" to "fast company". It effectively organized the brand design center, raw material suppliers, manufacturers, warehouses, distribution centers and channel traders to optimize the supply chain management, and achieved the following results:

First, form interest sharing body.

Starting from the maximization of the overall value of the supply chain, Lining joined hands with a group of suppliers who agreed with Lining's development strategy and believed that he could "bind" with Lining to achieve greater development and jointly set up industrial parks.

At the same time, it will promote the development of interest partners, integrate upstream and downstream resources effectively, and create a demand oriented supply chain management mode.

From another perspective, the rapid supply chain formed by industrial parks will also closely link Lining and his suppliers to form a strategic alliance and a shared interest body to ensure future development.

Second, seize the market opportunities.

Through effective integration of industrial supply chain, Lining can acutely capture changes in market demand and respond quickly to obtain valuable market opportunities.

The centralization of supply chain will shorten the average stock days of Lining and improve the utilization ratio of funds.

It is understood that after the pformation of the Lining supply chain, the average stock days are about 70 days, the efficiency has greatly changed, which has become a strong support factor for Li Ning Co's high gross margin.

Third, improve the efficiency of logistics operation.

The centralization of the supply chain and the matching logistics environment will facilitate Lining's direct logistics project operation, and adopt differentiated logistics distribution mode for retail demand and product attributes, integrate logistics resources, effectively reduce the logistics cost and shorten the storage and pportation time.

Before, Lining set up several large warehouses in the whole country to store and pfer goods supplied to factories and distributors; and after the supply chain was concentrated, the abolition of big warehouse became a trend, which would effectively reduce logistics links, reduce storage costs and increase the reaction speed of supply chain links.

Complete the overall upgrading of the supply chain.

The brand operators take the lead, take order as a guarantee, and cooperate interest risk sharing as the principle. In the production process, they engage in "zero distance contact" with the cooperative suppliers, making the brand partners and their partners form a cooperative alliance from the early simple trade relationship and the competitive extrusion relationship, and comprehensively accomplish the overall upgrading of the industrial supply chain from the aspects of production capacity and equipment.

In short, the sensitive supply chain mode not only guarantees the order of suppliers, but also makes the layout of the supply chain of the brand more responsive to the market and makes a faster response to the market. At the same time, it also resolves the pressure of rising costs under the financial crisis and creates a win-win situation.

First, build intelligent warehouse management.

In order to improve the efficiency of supply chain, Li Ning Co has deployed Infor WMS warehouse management solution in its newly built large logistics center, and coordinated with the company's shoes / clothing industrial park to meet the needs of garment logistics, improve logistics response time, improve overall efficiency and accuracy, and achieve the integration of supply chain.

The reason why the Infor WMS warehouse management system has gained the favor of Li Ning Co is mainly attributed to the rich and flexible system functions of Infor solutions, especially its flexible inventory management rules and distribution strategies, the handling rules of changing season products, the unique code management function and so on, which can support a variety of business modes of Li Ning Co's large logistics centers.

In addition, Infor has conducted in-depth research on the logistics system of Li Ning Co, and has closely communicated with its management, logistics operation team, independent consultant and automation equipment provider, trying to provide a customized warehouse management solution.

Second, improve the level of meticulous management.

Li Ning Co has built an advanced integrated ERP system internally, and has been promoting its own R & D MIS/POS system to dealers all over the country, thus making up for the lack of ERP retail data and downloading the retail system.

By selecting logistics distribution management system to make up for the short board of logistics data in SAP system, we first build a logistics information center linking 63 stores in Beijing, improve the distribution efficiency of various types of stores, reduce inventory and optimize pportation capacity resources, and then connect the logistics centers of nearly 3000 distribution points and companies with ERP of enterprises, so as to achieve the cost reduction and efficient operation of the entire company in logistics.

In short, the modern enterprise competition is not a competition between a single enterprise and a single enterprise, but a competition between an enterprise supply chain and another enterprise supply chain.

Li Ning Co's ERP system has realized the management of the entire enterprise supply chain, adapted to the needs of the market competition in the era of knowledge economy, and helped to improve the response speed of enterprises to market dynamic changes.

Third, build a digital operation system.

Internet terminals directly connect consumers, and e-commerce capabilities will ultimately affect the structure of Li Ning Co's digital business model in the future.

For Lining, the meaning of the electricity supplier is not just the scale of revenue and gross profit margin, but to build a set of operation system to tap consumer demand.

In order to get more data directly, since 2014, Lining electric business has begun to adjust the proportion of self occupied business, from the former 40% to 80%, and will still maintain a large proportion in the future.

It is understood that Lining self run Tmall flagship store 85% of the SKU is the same online and offline.

For online dealers, Lining electric business requires all distributors' key commodities to be retailing according to the price policy issued by Lining brand, not only protecting the interests of dealers under the line, but also for the healthy development of the market. Meanwhile, the online business lines adjust the replenishment rhythm immediately according to the sales data.

As a result, the entire electricity supplier looks like the advance force of the Li Ning Co.

But self run is very challenging, which involves the whole process of commodity planning, design, pricing and sales, which requires reasonable control of cost and profit calculation.

The life and death of sports brands depends largely on whether young people agree with your brand.

As a 50 year old uncle, Lining began to integrate into the activities of young people and interact with young people after returning to the forefront.

First, sell micro-blog.

First of all, Lining opened micro-blog and worked hard to improve exposure.

Brush micro-blog, sell Meng, write chicken soup, this Chao uncle does not lose young people at all.

By the end of April 16th, Lining's number of fans of micro-blog had reached 2 million 640 thousand, which is very good for an entrepreneur.

In this regard, Xiaobian just want to say, the father to save the company is really broken heart!

(2) frequent participation in activities.

In addition to micro-blog, Lining has recently participated in activities and entertainment that he did not like.

For example, the 2015-2016 season of China's men's basketball professional league (CBA) kick-off for the company's sponsorship season, appeared at the Tencent Guardian baby charity program, and even took her daughter to the Shenzhen marathon.

Third, joint efforts to pform millet.

After Lining took charge of the company, Lining spared no effort in R & D and promotion in technology and Internet.

For example, the strategic cooperation between Li Ning Co and millet ecological chain enterprises and millet Bracelet builder Hua Mi technology will build a new generation of smart running shoes together and explore the health field of big data, which marks Li Ning Co from traditional sports.

Turn to the field of intelligent sports.

In short, after the development of the above three main strategies, Lining finally ushered in the dawn of rapid development after continuous losses.

In the future, whether Lining can return to the glory of the past, let us wait and see.

For more information, please pay attention to the world clothing shoe and hat net information report.