Nov 25, 2020|
JDD Series: Advanced Technology Will Drive Intelligent Supply Chain Digitalization
by Hui Zhang
“What we are most certain of is that the industrial transformation will be promoted through emerging technologies, such as AI and cloud computing,” said Dr. Bowen Zhou, Chair of JD Technology Committee, at the fourth annual tech summit JD Discovery (JDD) held on November 25th in Beijing.
Dr. Zhou predicted that by 2030, all companies worldwide will have been transformed into technology companies, and cited data from IDC (International Data Corporation) projecting that 65% of global GDP will be driven by digitalization by 2022, and 75% of company leaders will apply digitalization to enhance their business capabilities by 2025.
Bowen Zhou, Chair of JD Technology Committee addresses audience during JDD
Why do we need to digitize the industrial chain? In Dr. Zhou’s view, it is the direction of the dynamic development of the industry, and where the opportunities of the next decade lie. Looking back at the changes in the domestic industrial chain, in the early days, the direct delivery of natural products to consumers was mostly regional. After upgrades to the supply chain, the next stage was primary processing, with raw materials processed by processors and retailers before being delivered to consumers.
After joining the WTO in 2001, Chinese people could buy products not only domestically, but also internationally, and the industrial chain underwent significant changes, with manufacturers and brand owners emerging between processors and retailers. With the industrial configuration becoming more complex and refined after 2008, intelligent and efficient mobilization of the industrial chain, which will be the 4.0 phase, will become a necessity for the whole society in the next ten to twenty years, Zhou said.
“The digital and intelligent supply chain phase 4.0 will bring a highly reliable, responsive and digital supply chain network to the whole society in the future,” said Dr. Zhou.
Promoting supply chain digitalization is also the ultimate goal of JD, which has its own unique advantages in building a digital intelligent social supply chain, according to Dr. Zhou. JD is an enterprise connecting both economic entity and internet, both supply and demand, and is able to gain in-depth insight into industry highlights and pain points. JD has strong capability in supply chain management; additionally, as a leading internet platform, JD has also accumulated vast experiences in advanced technology and business operation.
At the same time, JD has opened up its capabilities to the public, from optimizing merchant supply chains to working together with merchants in C2M customization. JD has fully leveraged its own value to promote the digital and intelligent supply chain.
In Dr. Zhou’s view, JD will continue to open its digital and intelligent supply chain capabilities to the public and explore cutting-edge technology to contribute in the promotion of social supply chain digitalization.
“We will open up AI, big data, IoT and cutting-edge technologies to provide a unified cloud base, data intelligence platform, technology platform and collaborative management platform so that the ecosystem partners can achieve long-term win-win in mutual synergy,” said Dr. Zhou.