Jun 18, 2023|
JD.com Announces “35711 Vision” for the Next Twenty Years
by Yuchuan Wang
JD.com celebrates its 20th anniversary on June 18, 2023 by announcing ambitious goals for the future. In a letter addressed to its 560,000 employees, the company introduced its “35711 Vision,” which outlines a path for sustained growth and societal impact over the next two decades. These goals include establishing three enterprises with over RMB 1 trillion in revenue and RMB 70 billion in net profits, having five JD enterprises rank on the Fortune Global 500 list, and bringing seven publicly listed companies that started from zero obtain a market value of RMB 100 billion. JD.com also aims to contribute RMB 100 billion in taxes and create over 1 million jobs.
The company’s commitment extends beyond financial milestones. JD.com strives to deliver substantial societal value by providing over RMB 3 trillion in benefits to front-line employees, increasing the income of 100 million farmers, aiding 60 million small and medium-sized enterprises in their digital transformation, and building a global supply chain infrastructure covering economies that account for 80% of the world’s economic volume. JD.com also set a target to achieve carbon neutrality, reinforcing its commitment to environmental sustainability.
Implementing Three Strategies: Lower-Tier markets, Technology and Services, International Business
Sandy Xu, CEO of JD.com, outlined the strategic roadmap for the for the company’s 35711 Vision during a celebratory event for the 20th anniversary held at JD.com’s headquarters on June 18. She emphasized three key areas of focus: the development of lower-tier markets, advancements in technology and services, and the expansion of international business.
In the realm of lower-tier market development, JD aims to provide affordable products while enriching its product offerings. By leveraging its robust supply chain capabilities, the company plans to reach a broader user base through low-priced product options. JD.com’s commitment to lower prices stems from its efficient supply chain operations, which enable cost savings without compromising quality or service. Initiatives like the recent “10 billion yuan discount” program and the “Spring Dawn Initiative” have already attracted numerous new vendors, resulting in a significant increase in product diversity to meet consumer demands. In the first quarter alone, the number of new merchants on JD’s platform soared by 240% compared to the same period last year, improving the product offering diversity to match consumers’ demands.
Technology and services remain integral to JD.com’s growth strategy. The company has allocated RMB 100 billion yuan towards technological advancements since its comprehensive technology-driven transformation in 2017. JD.com’s cloud computing business, JD Cloud, now serves a wide range of prominent organizations and over two million micro, small, and medium-sized enterprises. The company continues to accelerate research and application of digital supply chain technologies across different scenarios.
JD.com’s global aspirations revolve around leveraging its robust supply chain infrastructure to enhance international business operations. With nearly 90 bonded warehouses, direct mail warehouses, and overseas warehouses with a total management area of nearly 900,000 square meters, JD Logistics plays a pivotal role in facilitating cross-border trade and supporting Chinese brands selling overseas. Notably, the company’s B2C retail brand, Ochama, offers an innovative retail model in Europe, integrating omni-channel shopping, intelligent supply chain management, automated warehousing, and efficient delivery services. Through partnerships, Ochama has established an extensive network of more than 400 pickup points in the Netherlands, Germany, and Belgium, and home delivery services cover more than 100 cities in Europe.
As JD.com embarks on the next chapter of its journey, the company remains committed to driving growth, promoting sustainability, and enriching the lives of its employees, customers, and society at large.
Apr 18, 2024|
JD.com Awarded 2024 INFORMS Prize for Excellence in Operations Research and Analytics
JD.com is honored to announce that it has been awarded the 2024 INFORMS Prize. This recognition makes JD.com the first Asia-based enterprise to receive the award, highlighting its pioneering use of advanced analytics and operations research/management sciences (OR/MS) within its business operations.
The INFORMS Prize is awarded an organization that has repeatedly applied the principles of advanced analytics and OR/MS in pioneering, varied, novel, and lasting ways. Previous recipients include Walmart, Wayfair, Amazon, UPS, Booz Allen Hamilton, BNSF Railway, Walt Disney Company, U.S. Air Force, General Motors, Intel, HP, IBM, Ford, Procter & Gamble and GE Research.
Speaking on behalf of the selection committee, Mehmet Gumus, 2024 INFORMS Prize committee chair, remarked: “JD.com is showcasing data science as a source of business success and a necessary element to achieve customer satisfaction with continuous and dedicated practice. JD.com is truly deserving of this prestigious prize, and the entire O.R. and analytics community joins INFORMS in thanking them for their priceless contributions to the field and the business world.”
JD.com’s commitment to enhancing operational efficiency and customer service through OR/MS has been integral to its success. The company has developed an independently managed intelligent supply chain system that utilizes cutting-edge operations research algorithms to optimize warehouse management and logistics operations. This includes the operation of hundreds of intelligent warehouses and dozens of “Asia No. 1” intelligent logistics parks.
“We are honored to accept the INFORMS Prize and will continue to be steadfast in our dedication to leveraging the transformative potential of operations research,” said Sandy Xu, CEO of JD.com. “Our company’s supply chain not only aims to lead the industry, but also enhance the efficiency and well-being of our entire ecosystem.”
By the end of the fourth quarter of 2023, JD’s supply chain infrastructure assets had grown to RMB 153.8 billion, an increase of 16% year-on-year. Managing over 10 million self-operated SKUs, JD has achieved a global leading average inventory turnover of 30.3 days. This operational prowess enables JD to fulfill 95% of retail orders within 24 hours, significantly enhancing customer satisfaction and setting new standards in the industry.
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JD Super’s Ninth Annual “Baby Party” Campaign: Supporting Families with Newborns
JD Super, JD.com’s omni-channel supermarket division, successfully concluded its ninth annual “Baby Party” campaign, which ran from April 1st to 14th. Collaborating with leading brands from home and abroad, the campaign introduced new products and services designed to improve the shopping experience and reduce expenses for families with newborns.
Pioneering services included the “Fresh Milk Powder Express,” guaranteeing delivery of farm-to-consumer baby formula within 28 days, and the “Free Diaper Offers for Newborns” initiative, set to distribute one million diaper packs annually. Moreover, the “Life’s First Bottle” project significantly reduces the costs of high-quality milk bottles by offering them exclusively online at a 50% discount.
JD Super’s specialized after-sales services extend to over 90% of the company’s self-operated products, offering services such as free returns or exchanges. Another highlight was the introduction of the Chun Rui milk formula, developed in partnership with Feihe, a leader in infant milk production. This collaboration ensures top-quality products at better value for families.
Additionally, JD Super launched an online portal dedicated to public welfare activities, which promotes cost-saving measures, shares knowledge on baby care, and supports charity initiatives.
As part of its commitment to philanthropy, JD Super donated essential baby supplies valued at over one million yuan to 1,000 families in the economically disadvantaged Liangshan Yi Autonomous Prefecture of Sichuan Province, supporting local parents in this region.
The 2024 Report on Cost of Childbearing and Childrearing in China shed light on the challenges faced by parents, including limited free time and growing anxiety over rising costs and product safety. JD Super aims to mitigate some of these concerns by providing support to families nationwide.
JD.com’s 20th 618 Grand Promotion Reaches New Heights, Sparking Rapid Growth for SME Merchants, with Numerous Brands Doubling Sales in Just 10 Minutes
