manufacturing industry

manufacturing industry

Logistics is an important part of production. Processing and manufacturing account for only 10% of the entire process, while logistics accounts for almost 90%.

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According to statistics, in the entire production and sales of commodities, only about 10% of the time is spent on processing and manufacturing, and almost 90% of the time is spent on the logistics process.

In the production of Chinese industrial enterprises, the direct labor cost accounts for less than 10% of the total cost, while the logistics cost accounts for about 40% of the total cost of goods in the book, and the logistics expenditure of the whole society accounts for about 20% of GDP.


Logistics has become a big burden for the production of enterprises, but from another perspective, logistics, as the third source of profit for enterprises, has great potential for development. At present, the production logistics status of Chinese manufacturing enterprises is mainly reflected in the following aspects:


The current state of logistics in manufacturing

The company's positioning in logistics has not changed, and neither warehousing nor in-plant distribution will generate new profits for the logistics process company. Therefore, for a long time, the high hat of "cost center" cannot be removed. At the same time, the improvement of the logistics link requires huge investment and the inability to achieve results in a short period also makes the managers of the enterprise seem to be at a loss, and the enterprise's positioning of the logistics in the entire production link needs to be changed urgently.


Logistics operation skills and management concepts are stagnant. In traditional manufacturing enterprises, the logistics department only serves the company or the group, and the solidified operation mode and response demand cannot drive the transformation and modernization of logistics. In addition, the age group of the operators is generally high, and the operation process that has been passed down from generation to generation for many years makes each step appear "just right". In actual operation, it is completely dependent on experienced old employees, which has become a hidden danger to the long-term development of the enterprise.


The logistics informatization technology is backward, the overall planning is insufficient, and the information island restricts the process of enterprise informatization. Under normal circumstances, ERP, MRP, and MES undertake the main functions of the production and operation information transmission of the enterprise, and the ERP warehouse management module is responsible for the daily management of warehouse inventory. Non-professional warehouse management software systems are a little cumbersome to adapt to modern logistics equipment and logistics needs, and cannot respond quickly in today's multi-variety and variable-volume market demand.


The physical facilities and equipment are outdated, and beam-type shelves, cage cars, etc. are mostly used for material storage. Some enterprises even directly use the large storage space management on the ground, resulting in low warehouse utilization; the material turnover temporary storage area is not clearly defined, which affects warehouse operations. Efficiency improvement.


Most of the materials involved in manufacturing enterprises are special-shaped and non-standard raw materials or auxiliary materials. In actual management, it is difficult to carry out unified planning and layout on the site, which also limits the process of logistics modernization to a certain extent.


Combining logistics technology with manufacturing

With the transformation and upgrading of the national manufacturing strategy, for the enterprise, the modernization of logistics saves production costs for the enterprise on the one hand, and also brings new profit growth points for the enterprise. Therefore, the integration of logistics technology and manufacturing will be one of the key development directions of enterprises in the next few years.


The advanced logistics management concept is one of the important factors contributing to the transformation of enterprise logistics. The methodology of physical management is not only applicable to a certain industry, such as EIQ analysis and ABC classification. Through the analysis of historical sales data, warehouse materials are turned into digital models, and then restored to each location or area of ​​the warehouse. in order to make the enterprise warehouse appear orderly. In addition, the system specification with clear process and clear boundary is the criterion for every employee to operate, perform work under unified standards, reduce communication costs and improve operational efficiency.


Logistics automation technology includes an automatic identification system, automatic detection system, automatic sorting system, automatic access system, automatic tracking system, etc. In on-site logistics, the AGV car can be driven to complete the distribution of materials from the warehouse to the production line through the integration of the system; in the process of warehouse management, the conveyor line can replace the manual transfer of materials to the designated location, and AS/RS can complete the delivery. Batch centralized storage of materials, efficient use of storage space.


Shanghai Realhong International Logistics Co., Ltd. is an international transportation company approved by the Commerce Department, with a large number served in first-class multinational logistics companies and more than 10 years of experience in professional, dedicated, efficient, high-quality personnel.

International maritime transport services as one of the company's core business, we can provide you with comprehensive and integrated international maritime transport services including land transport, packing, warehousing management, customs clearance, cargo tracking and port of destination, value-added services.


Sea freight delivery services are the most  convenient method to send heavy and out  of gauge freight orders overseas.

We can offer you a sea freight service  to every main port in the world, 100% guarantee space.

Our goal is always to provide the rate lower than market and deliver cargos to ultimate  destination in timely basis.

Sea freight services include:

Full container loads ( FCL)  Less container loads ( LCL)

If speed is a priority and you need  to get your goods to the destination  as quick as possible then you should  consider Air freight services

Almost everything can be sent by  air: big, small, heavy and light.

Air and express services are the  fastest growing freight service. At  today’s business pace other ways of  transport are often too slow.

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