May 9, 2020|
JD Logistics Head of Strategy: Epidemic Situation Further Promotes Omnichannel
by Ling Cao
Bing Fu, JD Logistics Head of Strategy shared his insights on global supply chain trends. Bearing COVID-19 and the post-pandemic challenges in mind as well as his extensive industry experience, Fu said, “As the global supply chain is facing unprecedented challenges, omnichannel sales trends are appearing. New consumption demands are constantly emerging, and product lifecycles are shortening. Increased uncertainties caused by emergencies like natural disasters and pandemics even leads to supply chain disruptions.” Fu outlined his opinions at a Webinar held on April 24. Following are his major points.
In recent years, the line between online and offline has become increasingly blurred. In fact, many new channels such as WeChat’s mini programs can’t be considered exclusively online or offline; omnichannel is the future trend.
During the coronavirus, customers would buy products in any way available. They would immediately turn to online if offline markets cannot meet their demand. “While COVID-19 is not welcomed, it promotes digitization of consumption, which concurrently drives supply chain upgrade. Only by shortening and digitizing the fulﬁllment process can we increase efﬁciency and access customers faster with increased precision.” Fu added.
Fu summarized the following five supply trend trends for the future:
First, take an integrated inventory approach to manage all sales channels. This is essential to reducing inventory costs.
Second, integrated supply chain planning and optimization.
Third, leverage consumption data to help enterprises design a more efficient supply chain, helping products reach customers faster.
Fourth, leverage big data and smart algorithms to drive supply chain optimization.
Last, use a transparent parcel tracking system to satisfy customers’ demands for fast, precise delivery.
Fu also mentioned that JD is partnering with industry leading companies such as LLamasoft and Blue Yonder to provide merchants with end-to-end supply chain optimization services, covering fashion, consumer goods and high-tech.