Supplier Distribution Center (DC Warehouse)

In order to obtain the lowest logistics cost, suppliers entrust third-party logistics to set up DC warehouse in areas where customers are concentrated. Suppliers manage parts inventory placed in third-party logistics warehouse. Suppliers issue operation instructions to third-party logistics warehouse. Third-party logistics implements such business as receiving, shelving, storage, subcontracting and barge distribution according to suppliers'instructions.

The inventory property right of the supplier distribution center belongs to the supplier. The third party logistics operates according to the supplier's instructions. The supplier sets the min/max value of the inventory. According to the actual consumption model of spare parts, the consumption trend and replenishment strategy are used to replenish the warehouse. Under DC mode, more than three manufacturing factories provide general service for the third party logistics warehouse. The warehouse realizes the whole process of information management through WMS information system, realizes standardized management from order outgoing, receiving, shelving, storage, conversion packaging, short barge transportation to operation performance.

Case

A well-known automobile parts manufacturer has many customers in East China. The geographical location of the customers receiving goods is centralized. Faced with the demand of multi-frequency, small batch and high efficiency of the customers, how to achieve the time limit of the customers'receiving goods, at the same time effectively reduce the logistics cost and organize the logistics service system with quick response, the cost of the enterprise needs to be solved urgently.

Achieve logistics to help suppliers integrate back-end supply chains, set up DC warehouses in areas where suppliers'customers are concentrated, receive suppliers' order information and requirements, select, process, assemble and distribute materials to the third-party logistics warehouses or direct customers of the consignees in the warehouse area. Under this mode, inventory property rights belong to suppliers and third-party logistics warehouses. The warehouse is operated according to the supplier's instructions. The supplier sets the min/max value of the material inventory, and replenishes the warehouse according to the actual consumption model of spare parts, consumption trend and replenishment strategy. Under DC mode, there are more than two manufacturing factories for the general service of the third party logistics warehouse.