What Are the Best Tips for Supply Chain Outsourcing?

The supply chain cooperation relationship is a cooperation relationship among companies in the supply chain within a certain period of time to share information, share risks, and jointly profit. Can improve and improve the financial status, quality, output, user satisfaction and performance of supply chain companies. Its development has shifted supply chain management from product / logistics to integration / cooperation as the core. ^[1]

Supply chain partnership

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The supply chain cooperation relationship is a cooperation relationship among companies in the supply chain within a certain period of time to share information, share risks, and jointly profit. Can improve and improve the financial status, quality, output, user satisfaction and performance of supply chain companies. Its development has shifted supply chain management from product / logistics to integration / cooperation as the core. ^[1]

1. Reduce uncertainty and inventory

The uncertainties in the supply-demand relationship can be eliminated through mutual cooperation. Through cooperation and sharing of demand and supply information, many uncertainties can be made clear.

2.Quick response to the market

Concentrating on its core competitive advantages, it can give full play to the advantages of all parties, and can quickly carry out the design and manufacture of new products, thereby significantly reducing the response time of new products to the market.

3. Strengthen the core competitiveness of enterprises

Based on strategic partnerships

1. High-level attitude. Good supply chain relationships must first be supported and negotiated by top management. Only when the top leaders approve of the partners can companies maintain good communication and build a relationship of mutual trust.

2,

Supply chain partnership

Chinese industrial enterprises born out of the planned economy, in the process of transition from the planned economy to the market economy, for a considerable period of time, the enterprise mechanism and management ideas have lagged behind the requirements of the development of the market economy.

1. Lack of motivation and initiative to attack the market. The actual survey results show that the use of external resources of the company is low, and the cooperation between the company and the supplier has not yet formed a strategic alliance relationship such as a strategic partner. The mountaintopism under the traditional planned economic system still exists in many enterprises, across regions and borders Of global supply chains are few.

2. Although many state-owned enterprises have a certain degree of market competitiveness, they are still accustomed to acting in accordance with the planned economic model in terms of cooperation with other enterprises. They have not conducted scientific negotiation and decision-making and research on cooperation countermeasures, and lack scientific awareness of market competition. .

3. Due to the special principal-agent model of state-owned enterprises, the incentive cost of principal-agent is far greater than the incentive cost of free competition in the market, and the act of defeat in the agency problem is quite serious.

4. The typical characteristics of the principal of a state-owned enterprise are the dual identity and dual role of the principal (both the principal and the agent). The agency problem is more complicated than other types of conventional agency problems.

5. Short- and medium-term behaviors in corporate partnerships are also common. Due to the special nature of the agency problem, short-term behaviors are common in state-owned enterprises. The negotiation process of enterprises has strong non-economic factors and personal preferences.

6. Due to the existence of the Ratchet Effect under the planned economy system, the enthusiasm and initiative of enterprises in cooperative competition are not high; in addition, the structure allocation mechanism of Chinese market resources does not conform to the standardized Pareto allocation model The efficiency of resource allocation is low, transaction costs are high, and the problem of loss of state-owned assets due to information asymmetry in the process of principal-agent implementation is very difficult.

7. The Internet / Intranet-based supply chain model is the future development direction of supply chain companies' cooperation methods and entrusted agents, but many Chinese companies have not fully taken advantage of advanced information communication means such as EDI / Internet, and tools for information transfer between enterprises. behind. At the same time, in the process of using Internet / Intranet to conduct business activities, there is a lack of scientific cooperation countermeasures and entrusted implementation mechanisms, an incomplete legal system and an imperfect credit system. In 1998, China's first e-commerce fraud case occurred when a company in Hainan and a company in Hong Kong conducted online e-commerce, which fully illustrates the importance of Chinese companies' research on cooperation countermeasures and commission implementation mechanisms in global supply chain activities.

Because of these problems, the application of supply chain management thinking in Chinese enterprises is much more resistant than expected, and the deepening of corporate reforms urgently needs to change the existing enterprise operating mechanisms and management models. Therefore, improving the supply chain management thinking and operation methods, and solving the corporate cooperation countermeasures and principal-agent implementation mechanisms that Chinese enterprises urgently need to solve during the implementation of supply chain management are the keys to whether the supply chain management model can be well implemented in China. .