WAL-MART Plans To Invest 8 Billion To Upgrade Logistics Supply Chain

Recently, WAL-MART Southern China fresh distribution center has passed the global standard certification of BRC warehousing and distribution, which is the first distribution center in China's retail industry. Myn, senior vice president of WAL-MART supply chain in China (Ryan McDaniel), said WAL-MART continued to increase investment in the logistics supply chain. In addition to the first customized Southern China fresh distribution center that has just been put into operation, it plans to increase about 8 billion yuan to upgrade the logistics supply chain in China in the next ten years, and will set up or upgrade more than 10 logistics distribution centers throughout the country.

It is understood that Southern China fresh distribution center investment of more than 700 million yuan, is also WAL-MART's entry into China for 23 years, a large single investment, since March this year, smooth operation, the reservoir area of about 33700 square meters, can handle more than 4000 kinds of refrigerated, frozen or constant temperature storage products, currently serving WAL-MART in Guangdong and Guangxi more than 100 stores, daily processing capacity up to 165 thousand boxes.

In addition, the Southern China fresh distribution center has the hardware configuration of temperature control. Centralized refrigeration is adopted on the refrigeration system, mainly with ammonia refrigeration, and different refrigerants combined with different temperature zones, which are highly efficient and environmental friendly. In the cold storage design of the reservoir area, the building of the distribution center adopts the construction method of "external insulation inner structure". The door and seal design of the receiving and delivering platform with highly sealed door is used to control the indoor and outdoor cold and heat convection, and the temperature control between the reservoir areas is carried out through fast thermal door or rolling door. By effectively controlling the temperature in the reservoir area, ensuring the quality of goods and saving energy, the design of electricity saving in the reservoir area exceeds 330 thousand degrees per year.

In the cold chain transportation section, WAL-MART requires that all vehicles be pre cooled before loading the goods, and the pre cooling temperature is checked through the "in transit monitoring system", and the operation is started after the temperature reaches the standard. All the services of WAL-MART's distribution vehicles are equipped with vehicle mounted devices to monitor vehicle temperature and distribution routes throughout the process, to ensure that the temperature of the fresh products reaches the standard and to arrive at the store on time.

WAL-MART China supply chain enhances data storage and analysis capabilities through the use of big data platforms, data lakes and new mobile applications. The application of PACE and other digital management platform enables supply chain managers to manage their performance in a mobile and visual way. In addition, the WAL-MART China supply chain draws on international standards to develop standard operating procedures and staff training programs, and continuously improves operational efficiency through digitalization.

Meanwhile, in order to ensure food safety and quality, WAL-MART sets up quality inspectors in the distribution center for quality and compliance inspection. In the fresh distribution center, quality inspection laboratories were also set up, and the food legal compliance, pesticide residue and sensory quality of agricultural products were rapidly tested, and the results were shared to all stores in the country.

Not only that, WAL-MART's supply chain team also innovating the logistics service needs in the development of China's diversified formats, such as the zero sorting scheme designed for the flexible distribution of the community stores. During the trial operation, it helps the business side simplify the process, reduce the inventory, save about 50% of the space, and increase the efficiency by nearly 300%.