Photo Gallery: This Week at JD (Feb. 27 – Mar. 5)

Starbucks launched a flagship store on JD.com

Starbucks launched a flagship store on JD.com on March 3. The online store brings Chinese consumers the brand’s new spring mugs, such as the Sakura Blossom Collection, together with its classic series, including the core classic series, and Starbucks Heritage.

 

IEEE and ACM fellow Dr. He Tian joined JD.com as vice president and the head of JD Logistics AI and Data Science

IEEE and ACM fellow Dr. He Tian joined JD.com as vice president and the head of JD Logistics AI and Data Science. Dr. He’s team will build dedicated, intelligent algorithms and systems for supply chain and logistics scenarios, which will further digitalize JD Logistics’ current businesses and open up commercial applications for more external clients. Dr. He received a Ph.D. degree from the University of Virginia. He is the recipient of the National Science Foundation (NSF) CAREER Award and China NSF Outstanding Overseas Young Researcher.

 

JD Health announced to establish the rare diseases care project

The band “8772” formed by rare disease patients performed at JD’s rare diseases project care press conference on Feb. 27. “8772” is the transformation of BTTZ, the initial letters of the Chinese pronunciation of “illness challenges”.

JD Health announced to establish the rare diseases care project on Feb. 27, ahead of the World Rare Disease Day which will fall on the last day of February each year. The project will first focus on the building of a Rare Disease Care Center under JD Pharmacy and the establishment of a dedicated fund for patients with rare diseases.

 

China Railway Express Co., Ltd. (CRE) and JD Logistics (JDL) announced the establishment of a joint stock company, China Railway JD Logistics Ltd.

China Railway Express Co., Ltd. (CRE) and JD Logistics (JDL) announced the establishment of a joint stock company, China Railway JD Logistics Ltd. (中铁京东物流有限公司), on Mar. 5. The company will focus on the areas of railway express, e-commerce logistics, logistics equipment and facilities and information service, and promoting technological innovations.

 

JD Cloud to Release Self-developed Server

by Ling Cao

JD Cloud released the new generation of its self-developed server on Mar 2, which will be officially put into use in April. As the important cloud based infrastructure for the industry, JD aims to continuously upgrade the product to support and drive business development.

The new server will not only help with JD’s internal applications, but also serve clients externally, which require high stability and flexibility at scale, as well as cost-effectiveness.

New generation of JD’s self-developed server

To achieve this goal, JD has adapted the product for multiple sectors, incorporating the latest processor technologies, solid-state storage, non-volatile memory and heterogeneous computing. For example, by cooperating deeply with chip manufacturers, the server’s application carrying capability has improved by over two times compared with standard servers at the same price.

In addition, the new server uses an integrated design for its cabinet, IT device and cables, which can reduce the tedious installation process associated with a traditional server, resulting in narrowed layout cost, as well as saving preparation time for enterprises.

A representative for JD Cloud shared, “JD Cloud is always exploring how to improve performance of the product, in order to achieve the optimized cost and efficiency. Going forward, JD will open these capabilities to outside partners, helping with the industry development as a whole.”

JD continues to do R&D in cloud computing, which has over 870,000 registered users, and over 40,000 enterprise clients. JD also holds one of world’s largest scale docker clusters and CPU clusters. It was also one of the technology providers to support the smooth operation for the Spring Festival Gala’s red envelope initiative. In February, JD released Jing Gang(京刚), which is a self-developed virtual and integrated software and hardware cloud based structure, allowing manufacturers to output cloud computing ability based on clients’ demands more efficiently.

 

(ling.cao@jd.com)

CRE and JDL Jointly Establish a Logistics Company in Beijing

by Yuchuan Wang

China Railway Express Co., Ltd. (CRE) and JD Logistics (JDL) announced the establishment of a joint stock company, China Railway JD Logistics Ltd. (中铁京东物流有限公司), on Mar. 5. The company will focus on the areas of railway express, e-commerce logistics, logistics equipment and facilities and information service, and promoting technological innovations.

The joint stock company will leverage CRE’s advantages in railway resources and JDL’s nationwide logistics network to increase the efficiency and lower the cost of logistics in society, and enrich railway express-related service offerings to provide the timely integrated logistics services.

A representative from JDL said that the industry’s potential will be further stimulated with the continuous innovation and integration of e-commerce, logistics and high-speed railway networks. CRE and JDL will collaborate to facilitate the convergence, and intelligent and digital transformation of the logistics industry, and enhance the service capability of integrated supply chain.

 

(yuchuan.wang@jd.com)

JD Survey Demonstrates Value of E-Commerce in Agricultural Products Boom

by Ella Kidron

JD.com kicked off its rural e-commerce strategy in 2015. Up to now, JD’s platform has realized RMB 580 billion in transaction volume of agricultural products. A JD survey published on Mar. 4 shows that procurement volume of agricultural product merchants has seen explosive growth with the help of e-commerce, growing 51% and 82% YOY in 2019 and 2020 respectively.

Furthermore, the survey also indicates that all types of JD agricultural products’ upstream merchants have driven an RMB 47,800 yuan average increase in local farmers’ income. The role of e-commerce in promoting rural growth has become increasingly prominent, increasing local employment in addition to incomes of farmers. Another important factor is the improvement of e-commerce related logistics infrastructure, something JD began talking about as a priority investment area early in 2014 ahead of its IPO on the Nasdaq on May 23 that year.

Promoting rural revitalization (乡村振兴) is not merely about bringing e-commerce to villages and enabling farmers to buy high quality products at an affordable price. It also doesn’t stop at livestream e-commerce for local products. Rather, it is a focus on enabling agricultural industry production and improvement in way of life through digitalization and information that brings real value. In essence, moving from “living” to “making popular”. Online retailers help address the problem that people living in poor areas often cannot sell their products at a favorable price, and that people in urban areas sometimes struggle to find environmentally friendly sustainable produce.

JD CEO Richard Liu previously said of JD’s support of poor farmers: “We want to provide a sustainable way to help people in poor areas… We’d rather teach them how to fish than give them fish.” This philosophy has guided the company’s approach. One representative example of this in action is JD’s “Flying Pigeon” project. JD launched the project in Fuping county, Shaanxi province and supported the breeding, marketing and promotion, and technology-driven traceability of the bird at every step. With the help of JD, a standardized brand and method that could be replicated in other areas was born. JD’s “Flying Pigeon” has a breeding cycle of over 60 days, which far exceeds the average 20-day breeding cycle ordinary pigeons. Its fresh and tender meat has made it highly popular among consumers. “Flying Pigeon” is part of a family of such projects which also include “Running Chicken” (which was selected as a World Economic Forum Lighthouse Project in 2020), “Swimming Duck” and “Running Mountain Pig”.

As of Sept. 30, JD has supported more than three million types of products, achieving poverty alleviation-related sales of over RMB 100 billion yuan, and directly led more than one million poor households to increase their income. In the field of logistics, JD Logistics will focus on distribution from 530 production areas to create a new logistics infrastructure that links agricultural products to last mile delivery. JD Logistics has covered more than 500,000 administrative villages across the country.

In a ceremony on Feb. 25, over 100 of JD’s partners in e-commerce poverty alleviation programs were honored for their contribution to China’s national poverty alleviation efforts.

 

 

(ella@jd.com)

STARBUCKS Launches Flagship Store on JD.com

by Hui Zhang

Starbucks, the world’s largest coffeehouse chain, launched a flagship store on JD.com on March 3.

The online store is bringing Chinese consumers the brand’s new spring mugs, such as the Sakura Blossom Collection, together with its classic series, including the core classic series, and Starbucks Heritage. In addition to physical products such as mugs, the store also sells physical gift cards, seasonal foods (such as rice dumplings and mooncakes) and their corresponding gift certificates, bringing more quality choices to JD’s  customers. A Super Brand Day will kick off on the store’s opening day to help promote sales for the newly opened Starbucks store.

Starbucks, the world’s largest coffeehouse chain, launched a flagship store on JD.com

JD’s consumers are a strong match with Starbucks’ target consumers, and JD’s nationwide logistics network will ensure high efficiency and speed of deliveries for consumers who purchase Starbucks products on JD.

“JD’s years of experience and good reputation in authentic products, logistics and after-sales services will also attract more international brands to cooperate with JD,” said a spokesperson from JD Fashion and Lifestyle.

 

(zhanghui36@jd.com)

IEEE & ACM Fellow Dr. He Tian Joins JD Logistics

by Yuchuan Wang

Dr. He Tian has joined JD.com as vice president and the head of JD Logistics AI and Data Science, in charge of smart logistics algorithms, data products, and map services. 

 

Dr. Hes team will build dedicated, intelligent algorithms and systems for supply chain and logistics scenarios, which will further digitalize JDLs current businesses and open up commercial applications for more external clients. 

Dr. He is a veteran in IoT (Internet of Things), an ACM (Association of Computing Machinery) Fellow, and an IEEE Fellow. He received a Ph.D. degree from the University of Virginia and a masters degree from the Institute of Computing Technology of the Chinese Academy of Sciences. He is the recipient of the National Science Foundation (NSF) CAREER Award and China NSF Outstanding Overseas Young Researcher. 

 

Dr. He has made pioneering contributions in the research areas of wireless networks, networked sensing systems, IoT, smart transportation, and logistics big data. He has published over 300 papers in premier journals/conferences and won seven best paper awards in seven international academic conferences. 

 

JD Logistics is entitled to over 4,400 patents and computer software copyrights, of which those related to AI span from warehousing to sorting and delivery. After joining JD Logistics, Dr. He will lead the team to explore the research and application of AI, focusing on the core technological breakthroughs in the fields of product digitalization, algorithm operation, time-series forecasting, large-scale scheduling, low-cost measuring, intelligent positioning, and more.

 

(yuchuan.wang@jd.com)

In-depth Report: The Developing Cold Chain Capabilities of JD Logistics

by Yuchuan Wang

As China’s homegrown COVID-19 vaccines require two to three doses per person, the country has seen a demand for transporting 2.8 to 4.2 billion doses on the market.

The enormous demand for the vaccine is accelerating the development of global cold chain logistics, especially in China where the infrastructure has relatively lagged behind developed countries. This development has acted as the catalyst to arm third-party logistics providers that previously played a smaller role when the industry was led by only a few vertical players.

JD Logistics (JDL), the logistics arm of JD.com, is currently transporting COVID-19 vaccines voluntarily in Beijing, with cold chain vans packed with domestic vaccines handling the last-mile delivery to designated vaccination points on a daily basis.

JDL was among the first batch of companies approved by China’s Ministry of Transport to ship COVID-19 vaccines across China, announced on Jan. 27, 2021. The company is expected to dispatch the vaccine to more regions nationwide.

 

The Last-Mile Transportation by JDL

Unlike genetic-modified mRNA vaccines which need to be stored at -20 or even -70 degrees Celsius, Chinese inactivated ones can be kept in a standard refrigerator at 2 to 8 degrees Celsius.

“But the transportation of vaccines still has one of the most strict requirements among all kinds of medical products,” said JDL’s Jinhua Zhao, who is responsible for the vaccine transportation project in Beijing.

In China, the government has required that all vehicles for COVID-19 vaccine transportation cannot transport any other products, even other type of vaccines or pharmaceutical products, out of safety considerations.

According to Yuming Qin, secretary-general of the Cold Chain Logistics Committee of China Federation of Logistics & Purchasing (CFLP), it is vital to make the whole process traceable and the temperature controllable.

 

Fully traceable process

Each of the 4.2-meter long JD cold chain trucks is equipped with six cameras, transmitting real-time video to the control-center in JD’s Northern China cold chain logistics park in Beijing.

“One camera is placed in the front of the van, one on the back, two inside the cab, and two in the refrigerator,” described Zhao.

JD cold chain trucks is equipped with six cameras, transmitting real time video to the control center

“One driver and one safety supervisor, who is also the operator, will be responsible for the delivery. They are bundled with the plate number, which means they cannot switch to drive other trucks,” Zhao adds. “There is a double-lock in the back of the truck that cannot be unlocked by only one staff.”

“We select staff from those who have worked at JD for at least one year with good performance track record.”

We select staff from those who have worked at JD for at least one year with good performance track record.”

To prevent the vaccines from contamination, operators must wear gloves when packing the vaccine. The cold chain vehicles will also be conducted with thorough disinfection before each transportation. Upon arrival, staff will need to print the full process temperature curve through a Bluetooth printer installed on the truck.

 

Full-procedure temperature control

The accuracy of the thermometer for the transportation of COVID-19 vaccines is required to be within ±0.5 degrees Celsius. To monitor the real-time temperatures, the trucks are equipped with three systems, namely the GPS, temperature monitoring and alarm system respectively.

Apart from the GPS which records location information, the temperature monitoring system records the refrigerator’s temperature every five minutes. If an abnormal temperature that is outside the programmed norms is detected, the checking frequency will be raised to every two minutes.

The alarm system consists of a sound alarm, system alarm and message alarm. “If an emergency such as temperature excursions occurs, not only the driver and the driver’s leader, but also JD’s quality control personnel and the transportation project leader will receive the message,” said Zhao.

In fact, the chance for such emergencies to happen is quite small.

First, each of the cold chain trucks is customized to be equipped with double refrigerators. When one of them happens to shutdown, the other is able to keep running even when the vehicle stalls.

Second, coolers, the insulated containers, form an additional temperature control layer for vaccines. JD has customized three different sizes of coolers: 56L, 70L and 97L. Taking the 56L one as an example, a cooler can be loaded with more than 400 doses of vaccines.

“Compared with ordinary coolers for fresh produce, the customized container can maintain its inside temperature between the range of 2-8 degrees Celsius in as long as 96 hours, while the ordinary packaging can endure only 48 hours,” Zhao explains. “In other words, the cooler can store vaccines for periods of up to four days when there is no external refrigerator.”

Each of the coolers has four layers: the outer box, the ice layer, the vacuum layer and the shipping packaging layer. A temperature probe is placed inside to monitor the real time temperature and display the degree information on the screen outside the cooler.

Each of the coolers has four layers: the outer box, the ice layer, the vacuum layer and the shipping packaging layer. A temperature probe is placed inside to monitor the real time temperature and display the degree information on the screen outside the cooler.

The vacuum has almost non thermal conductivity, and it is one of the best methods of insulating a system.

Coolers are key to the temperature control when the external environment shifts. “No matter if it is to load from the warehouse to vehicles, or unload from vehicles to vaccination points, vaccines are required to be carried by coolers, even it is just a few meters’ walk,” said Guiping Xu from JDL’s pharmaceutical cold chain team.

 

From Cold Chain to Pharmaceutical Warehousing and Transportation

Since 2014, JDL started building out its extensive cold chain logistics network and launched JD Cold Chain in 2018. As a leading F2B2C (Factory-to-Business-to-Consumer) service platform for cold chain warehousing, transportation and delivery, it aims to provide safe, secure and optimized logistics service that is time- and temperature- sensitive.

As of the start of 2021, JD’s cold chain logistics infrastructure for fresh produce and perishable products consists of 87 temperature-controlled warehouses and approximately 2,000 specialized vehicles with a network covering 31 provinces, municipalities and autonomous regions, serving both individual and corporate customers.

The company has also applied blockchain technology to trace the origin, production date, circulation information and even nucleic acid test result and disinfection information of fresh produce by scanning a QR code attached to products. Dedicated cold chain warehousing areas for imported products were also established to execute thorough disinfection and COVID-19 tests to secure food safety and increase warehouse efficiency in receiving imported produce.

As the demand for integrated supply chain logistics services in the pharmaceutical industry is expected to grow rapidly, JDL has been enhancing its pharmaceutical warehousing capabilities to meet the requirements brought by the wider use of biological materials.

According to the China Pharmaceutical Logistics Development Report released by the China Federation of Logistics & Purchasing (CFLP), the market for pharmaceutical products circulation is growing at an annual rate of 8% and is believed to have surpassed RMB 4,000 billion yuan in 2020.

So far, there are 20 JD warehouses designated for pharmaceutical products and medical instruments in China. Most recently in January, JD added a pharmaceutical warehouse in Shenyang, Liaoning province and is building cold chain sorting centers for pharmaceuticals in Beijing, Shanghai, Guangzhou, Chengdu, Wuhan, Xi’an and Shenyang.

JDL’s pharmaceutical warehouse in Shenyang

JDL’s pharmaceutical warehouse in Shenyang

Since the outbreak of COVID-19, JD has consistently transported nucleic acid testing kits, insulin and other medical supplies from medical institutions to cities in China. Last October, the company also inked a partnership with Hubei province based Humanwell Healthcare Group to help the healthcare solutions provider build an integrated smart medical supply chain management system.

In the future, JDL will further leverage its advantages in logistics infrastructure, network and capacity, apply advanced technologies and continue investment to drive innovation in this area.

 

(yuchuan.wang@jd.com)

JD Worldwide Holds Super Category Day for Imported Products

by Rachel Liu

JD Worldwide, JD’s platform for imported products, held a Super Category Day on Mar. 3. Imported products covering health supplements, electronics and digital products, food, fashion, skincare and more joined the promotion.

Hot-selling products including nuts from Kirkland (brand under Costco), chocolate from Lindt, infant milk powder from Mead Johnson, speakers from JBL, and health supplements from Swisse and GNC. On the evening of Mar. 3, Chinese rock star Wang Feng, who is also the Chief Livestreaming Officer of JD, joined a livestream show to recommend popular imported products to Chinese consumers.

“Besides the Super Category Day, we also held a series of activities for customers who like international products at the beginning of March,” said a spokesperson from JD Worldwide. “This March our theme is ‘Shining Season’. Besides sales promotions, we will work with ELLE to hold an online photography exhibition on Mar. 8, International Women’s day, to encourage customers to show their ‘shining moments’ and send surprising gifts.”

JD Worldwide, JD’s platform for imported products, held a Super Category Day on Mar. 3

Since launching in 2015, JD Worldwide has attracted over 20,000 brands and over 10 million SKUs to join its platform, covering maternal and baby products, fashion, sales supplements, personal care and skincare, electronics, food and home furnishing products. Customers can find products from over 100 countries on JD Worldwide including the U.S., Canada, South Korea, Japan, Australia, New Zealand, France, Germany, etc. JD has over 1,000 international transportation routes, over 110 overseas warehouses and over 10 bonded warehouse to provide cross-border logistics service for customers.

JD Worldwide hopes to provide customers with imported products from all over the world and become the gateway for international brands to enter China. To achieve this, JD Worldwide launched projects including the “World Fair” program to invite overseas companies to open National Pavilions for products from their countries; the direct-sourcing program which allows JD Worldwide orders to be sent directly to overseas retailers and the celebrity store program that invites celebrities to open stores on JD Worldwide. Any brands interested in building their business with JD in China can apply via https://www.jd.hk/cooperation_en, by emailing worldwide_BD@jd.com or by adding the “JDworldwideBD” account via WeChat.

 

(liuchang61@jd.com)