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VX'S BUSINESS
ENSURING FOOD SAFETY
SAFEGUARD BETTER LIFE
HOMEVX'S BUSINESSSolutions and Digital ServicesIntegrated Supply Chain

Driving Business Growth

Business Scenarios

As a world-renowned meat production supplier, their products sell well in over 100 countries and regions. Since the establishment of the first factory in China in 2001, their business has developed rapidly, covering 23 provinces, 5 autonomous regions, 4 municipalities. The fresh, frozen and processed meat products and other series of products have been sold via various channels, such as the catering industry, shopping malls, e-commerce platforms and chain convenience stores.

How can the supply chain support the customers' strategic goal of increasing the business scale from 6 billion to 30 billion in the next five years with "the lowest cost + the best service"?

Business Challenges

Challenge 1:

There is a lack of systematic planning in the network structure. In the process of rapid business expansion, the lack of overall consideration and due adjustments have led to many unreasonable factors in the customers' production capacity and warehousing locations, causing a large number of cross-regional long-distance distribution.

Challenge 2:

Logistics resources are extremely dispersed. The customer business covers the whole country with numerous terminal outlets, and most of the terminal distribution is made by local regional logistics service providers. The scattered distribution volume has led to a large number of less-than-truckload shipments with limited bargaining power, so the overall logistics cost is relatively high.

Challenge 3:

There is an insufficient coordination in the operating system. With the rapid growth of business, customers have put forward higher requirements for demand forecasting, inventory carrying cost control, and the construction of a collaborative sales and operations planning system.

Challenge 4:

The phenomenon of information silos is prominent. Customers are required to contact with multiple logistics service providers during execution, and due to the difference in the level of informatization, there is a lack of transparency in the whole life cycle management of orders, as well as visual tracking and rapid response to order fulfillment.

Countermeasures

Countermeasure 1:

By using the "Hetu" product, the optimization and simulation of network planning scenarios can be completed in several minutes. With a comprehensive consideration of the business layout, production, procurement, and logistics network distribution in the next five years, we help the client design an optimal supply chain network plan for the enterprise, reducing logistics costs while guaranteeing service quality.

Countermeasure 2:

As a comprehensive logistics service provider, VX can provide customers with a nationwide network layout, which reduces logistics costs and management costs through the integration of transportation resources and intensive management.

Countermeasure 3:

VX is not only a logistics service provider, but also a 4PL provider. Furthermore, VX's supply chain digital product matrix can assist customers in achieving demand forecasting, inventory optimization, production plan optimization, etc., and provide integrated solutions for sales and operations planning.

Countermeasure 4:

VX develops a mature OTWB system that can cover diversified business scenarios. Building an order-based supply chain control tower, while conducting EDI integration with upstream and downstream, so as to help customers improve the visibility and controllability of the whole process of the supply chain.

Value Gains

Through supply chain optimization and logistics business undertaking, we provide customers with a three-in-one supply chain solution of "strategic planning + tactical scheme + operation implementation", and an over 10% logistics cost reduction is expected under the premise of supporting the strategic growth of customers' business.