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JD to Provide Transportation Support for Global Aid to Hebei

by Yuchuan Wang

To fully support Hebei province in fighting against COVID-19 and ensure the supply of people’s daily needs, JD Logistics announced today that it will launch a special channel for the transportation of global aid to Hebei, starting from 8 AM on Jan. 16. The details are as following:

1. The channel is open for the transportation needs of anti-pandemic materials to Hebei from governments, public welfare organizations, enterprises and medical apparatus and instruments manufacturers. It is not open to individual donations as of now.

2.Institutions and organizations may contact JD by calling +86 950616. JD will verify and act as soon as possible.

3.JD will release the details of aid materials and organizations regularly for public supervision.

JD also call on all of its partners to contribute to the fight against the pandemic.

 

(yuchuan.wang@jd.com)

Posted in ESG

JD.com Selected as a Franz Edelman Award Finalist by INFORMS

by Yuchuan Wang

JD.com was selected as a finalist for the 50th annual Franz Edelman Awards, the world’s most prestigious honor for achievements in analytics and operations research (O.R.), by INFORMS. JD has been recognized for its advanced research and application of analytics in automated or “unmanned” warehouses.

JD.com was selected as a finalist for the 50th annual Franz Edelman Awards,

“The company pioneered same-day delivery as a standard service in China’s B2C e-commerce sector 10 years ago. To balance the urgent need to meet growing demands while maintaining high-quality logistics services, JD.com builds ‘unmanned warehouses’ that use analytics to significantly improve warehouse operating efficiency by as much as five times. It also reduces the average storage cost by 50% and has led to an estimated hundreds of millions of dollars in savings,” stated INFORMS in its press release.

JD.com builds ‘unmanned warehouses’ that use analytics to significantly improve warehouse operating efficiency by as much as five times.

China’s express parcel volume has skyrocketed nearly 30 times over the past decade, leading to unprecedented physical labor pressure for logistics workers. JD seeks to use automation and robotics to achieve a balance between alleviating pressure on workers and maintaining high-quality logistics services. Operations research is crucial to the development of JD’s unmanned warehouses, and powers an intelligent and economical robot scheduling system.

“The system has been proved to alleviate physical pressure on employees while also resulting in higher efficiency, revenue, lower costs, and a better customer experience,” said Hengle Qin, head of unmanned warehouse projects at JD Logistics.

Over 5,000 robots have been deployed in 100 of JD’s 800 total warehouses. The company announced in October in 2020 that it will increase its fleet of logistics robots to 100,000 in the next five years.

Named after Franz Edelman (who established one of the earliest industrial operations research and management science groups) shortly after his death in 1982, the award aims to recognize and reward global outstanding examples of operations research, management science, and advanced analytics in practice.

The final winner of the award will be announced at a later date.

 

(yuchuan.wang@jd.com)

Three Trends of 2020 Business Service Market Reflected by JD Business

by Vivian Yang

China’s leading economic and industry website JRJ.com published an article on January 14, highlighting three key trends of the B2B markets in 2020 and examined JD Business’ growth to reflect the major changes in the business service sector.

Fast-paced implementation of digitalization is the first main trend, accelerated by the need to withstand the risk of COVID-19. Statistics from International Data Corporation (IDC) showed that 67% of the top 1,000 global companies and 50% of the top 1,000 Chinese companies have planning digital transformation since 2018, but their actual implementation was slow due to various barriers in the process.

By disrupting the supply chain of many manufacturing companies, the outbreak of COVID-19 became an abrupt impetus for them to accelerate the execution of their digitalization plans. Quickly adopting a digital procurement management system is one among the plans to maintain continued production and operation efficiency.

JD Business’ smart procurement solution provided timely support for factories as they started to resume consumption after the lockdowns. Take the GreaterBio case as an example: The disinfectant manufacturer from Dalian of Liaoning province faced a shortage of containers when they planned to restart their work. They asked for JD Business’ help and it only took less than two hours for the JD team to complete a SaaS installation for the company, which enabled them to immediately connect with more than 30,000 partnership resources. During the production resumption period, GreaterBio procured about 100,000 pieces of industrial products in total on JD, which supported the production of over 800 tons of disinfectant at the most needed time.

Providing extensive services along the whole process of business cooperation is in rising demand from many business clients. Making a business deal only marks the beginning of a business service, with plenty of room to expand the services scope.

In light of this trend, JD Business introduced integrated technology service solutions for enterprises in October 2020, extending solutions from a single procurement management area to many other areas including pre-sale research and consultancy, top-level system design, integration with financial and assets management systems and more. Such long-chain technology service solutions fit the need of many large-sized companies, which are seeking more intensive and integrated procurement management solutions.

At the same time, JD Business is also leveraging its strong MRO e-commerce platform to offer more diversified service categories, especially in providing goods for factories, such as tools and equipment for protection, electricity distribution, cleaning and more. Through deepening cooperation with partners like Honeywell, 3M, ABB and more, JD Business will continue to improve its level of professional services in manufacturing scenarios.

In addition to the scope of services, business services are also developing towards deeper levels, from product delivery to operational services. As companies are confronted with a more complicated external environment in 2020, they prefer “marathoner-like” providers who can ensure long-term and devoted operational support.

In the collaboration with Sichuan Road & Bridge Co., Ltd. on a road construction project, JD Business, after delivering the technological solutions, went further to build a front distribution center on the construction site, given the mountainous area would be difficult for transportation and warehousing. The center, with 300 square meters and around 200 SKUs, was equipped with dedicated staff and vehicles to ensure smooth procurement and delivery of the frequently needed MROs for the project, shortening the fulfilment process from the previously needed nearly two weeks to only 24 hours.

JD Business continues to explore ways to enrich and deepen its services solutions to improve its clients’ operation efficiency. Examples include an intelligent settlement system that can help enterprises to realize information integration of budget, procurement, invoices and write-offs, as well as one-click auditing of project expenses, which helps improve the efficiency and accuracy of financial work.

 

(vivian.yang@jd.com)

JD Delivers Teaching Materials to Kids in Shijiazhuang

by Ling Cao

JD has delivered over 2,000 teaching materials to 650 kids in Shijiazhuang from Jan. 11 to 13, an area that is now under quarantine because of COVID-19.

The request came from one education institution, which planned to hold online classes and faced the challenge of delivering materials in time.

Ziyuan Zheng

JD’s courier Ziyuan Zheng picked up the call from the institution, and then quickly coordinated the packaging and disinfection of the materials before directly delivering to those kids.

Zheng shared that these materials were spread across three office buildings in Shijiazhuang, which staff from the institution were unable to access onsite. He organized video calls with them and helped select and package the materials remotely.

Zheng said, “I was encouraging others for their anti-epidemic efforts over the last year, and now I am joining them this year, which is unexpected. I felt a sense of pride to make a contribution to my hometown.”

In addition to the teaching materials, orders of daily necessities and disinfection materials increased multiple times in Shijiazhuang, with JD couriers including Zheng working on the frontline to ensure these materials will reach customers safely and smoothly.

 

(ling.cao@jd.com)

Photo Gallery: This Week at JD (January 9 – January 15)

JD couriers Zhou Yan (left) and Wu Yachan (right)

Chinese National TV reported that while many enterprises have suspended production in Shijiazhuang, Hebei province, the current epicenter of COVID-19, delivery and express industry remain operational, ensuring people’s livelihoods. Zhou Yan and Wu Yachan are JD couriers in Shijiazhuang, who remained at their posts delivering daily necessities to customers since the spike in COVID-19 cases. Read their stories here: Zhou Yan, Wu Yachan.

 

On Jan. 10, JD helped National Food and Strategic Reserves Administration deliver 3,000 tents to Shijiazhuang. JD will deliver more tents to other places in Hebei, such as Dingzhou, Xinji and Xingtai.

 

On Jan. 9, Xu Qin, governor of Hebei province, went to one of JD’s delivery station in Shijiazhuang. He stressed that couriers should disinfect all the goods and protect themselves, so that to provide safe and fast delivery services for all the families. JD has prepared sufficient masks, disinfectant and other protective materials, as well as food to secure the safety of frontline workers in Shijiazhuang. All of the JD couriers in the city have been nucleic acid tested twice to ensure safe delivery to communities.

 

JD Super Rolls Out Recommendation Lists for New Year Food Shopping

by Vivian Yang

In preparation for the upcoming Chinese New Year, a.k.a. Spring Festival, which falls on February 12 this year, JD’s online supermarket JD Super released a shopping list with delicious and convenient new year food and drink recommendations in a series titled “One Hundred Tastes for the New Year” (百味年货) on Jan. 14.

In Chinese tradition, the celebration of a new year starts with the twelfth lunar month of the previous year, which lands on Jan. 13 to Feb. 11 this year. Therefore, many Chinese people have begun to do their new year shopping now in observing the historical and cultural customs which specify the necessary delicacies.

JD Super’s food recommendation lists are made based on opinions from a dozen food and drink experts. The list series will be rolled out one by one in the coming days. covering a wide range of categories including candies, alcohols, non-staple food, condiments, snacks, time-honored Chinese food brands and more must-have products for the new year celebration.

JD Super’s food recommendation lists are made based on opinions from a dozen food and drink experts

On the list of candies and chocolates, many famous brands can be found, such as Fujiya, Hershey, Xu Fu Ji, Alps, Ferrero, Dove, Nestle and White Rabbit.

Chinese New Year liquors and wines are included, of course. Judges recommended several best sellers from the Moutai, Wuliangye and Jiannanchun liquor brands, as well as trendy beers including Tsingtao, Yanjing, Heineken, Würenbacher and more. For wine recommendations, Chinese brands such as Great Wall and Zhangyu performed well in terms of ranking.

It is also a peak time for the sales of roasted seeds and nuts. JD Super found that mixed nuts packs are the most popular customer choice in this category.

“Healthy and organic products are much welcomed during the new year shopping festival,” a JD Super spokesperson said. “Many new brands and products trending on the internet will also appear on people’s new year shopping lists.”

 

(vivian.yang@jd.com)

JD Cloud and AI Helps Miniso with Digital Transformation

by Rachel Liu

As Chinese New Year is around the corner, popular Chinese retailer and variety store chain Miniso(名创优品) is eying for a sales campaign for JD’s CNY themed promotion to be launched on Jan. 20th. During Miniso’s effort of moving online and achieve digital transformation, JD Cloud and AI has played an important part.

As digitalization becomes a trend for retailers, especially after the break of COVID-19, JD’s rich technology and customer service experience in retail, logistics, finance, cloud computing, IoT and big data has brought comprehensive intelligent solutions to retail enterprises.

Even during the epidemic, Miniso saw a sales increase of over two times and fast development on digitalization. Through working with JD Cloud and AI, Miniso has successfully moved its big data and supply chain platform onto the cloud. In the future, Miniso hopes to achieve digitalization on inventory management, store operations and product customization by leveraging JD’s digital platform.

“The digitalization in the retail industry in China began very early, and the epidemic accelerated it,” said Guofu Ye, founder of Miniso. “Now digitalization has become a more important portion in the business.”

“Miniso is developing very fast,” said a spokesperson for JD Cloud and AI. “Especially in this August and September, Miniso needed to expand its big data platform quickly. Its cloud host and cloud storage needed to be expanded by 125% and 300% respectively. We formed an emergent project team to help Miniso make an expansion plan and leveraged resources from different business departments to help Miniso achieve this goal.”

“By 2030, all companies will become technology companies. Technology will drive the revolution of the retail industry profoundly in the next 10 years,” said Bowen Zhou, Chair of JD Technology Committee. He hopes to help clients with over 80% of their digital transformation demands, and for the remaining 20%, JD Cloud and AI can provide customized capabilities for clients.

Miniso’s cooperation with JD on retail goes back to 2017, when Miniso opened the first flagship store on JD, and launched its first-party store in 2018. In 2019, Miniso opened an offline store in JD’s Beijing headquarters. From 2018 to 2020, sales of Miniso increased over 10 times on JD. During the 2020 Singles Day Grand Promotion, sales of Miniso surpassed RMB 10 million yuan. Miniso is looking to work deeper with JD on launching new products, developing customized products and joint marketing campaigns.

Miniso was founded in 2013, and soon became popular among Chinese consumers. In the 2020 fiscal year, its annual revenue achieved RMB 8.97 billion yuan. According to the Frost & Sullivan report in 2019, it had become the largest private label brand retailer around the world. As of Sep. 30, 2020, it owns 4330 stores in 85 countries and regions, including 2633 stores in China. Miniso listed on the New York Stock Exchange in 2020.

 

(liuchang61@jd.com)

JD Works with JDDJ to Provide One-hour Delivery on Mobile Phones

by Rachel Liu

JDDJ (JD Daojia, a local on-demand retail platform under Dada Group) published its 2020 White Paper, “On-demand Consumption of Mobile Phones”, which is the first O2O mobile phone industry report about on-demand consumption of mobile phones. The report pointed out that JD’s Omnichannel Fulfillment program has played an important role in JDDJ’s one-hour delivery service.

Through the program, JD and JDDJ jointly built an omnichannel ecosystem. When customers shop for mobile phones on JD, they are able to make orders from JDDJ, and enjoy one-hour delivery service provided by Dada Now.

Seeing that consumers, especially young consumers are demanding quicker fulfillment times, JDDJ worked with JD and over 6,000 stores in China to build the one-hour mobile phone delivery network. “One-hour delivery will not just be a demand, but a habit. We have seen many customers want to get the newly released mobile phones as soon as possible. What’s more, mobile phones have a mature offline store system and supply chain, which means there is a lot of potential for on-demand retail.” said Guangsen Mou, general manager of JDDJ’s Fashion and Digital Electronics Business Department.

“Dada group is an important omnichannel partner of JD Retail. The on-demand delivery service that we jointly create can provide better shopping experience for customers and improve the turnover rate for retailers. We want to leverage our advantages in logistics and supply chain to reach customers directly.” said Daniel Tan, president of JD Mobile Devices.

JD also opened its traffic and marketing resources and provided access to its over 440 million customers for JDDJ to achieve an omnichannel experience and provide more options for JD customers. The omnichannel program helped both JD and JDDJ improve sales of mobile devices – according to data of JDDJ, sales of mobile phones generated from JD’s Omnichannel Fulfillment program on Dec. 12 were twice the sales on Nov. 11.

 

(liuchang61@jd.com)