Haier: Zero zero zero inventory working capital ?Haier Group, is today&#39;s performance, and implementation of a comprehensive information management are inseparable. With advanced information technology, Haier launched a management revolution: a market chain as a link to order information flow as the center, driving goods and capital movement. Through the integration of global supply chain resources and user resources, gradually to the &quot;zero inventory, zero working capital and (with users) Zero,&quot; the ultimate goal. Reconstruction of the market chain to link the business process Haier products available more than 10,800 species, an average of 1.3 daily development of new products, daily products, 5 million out of libraries; year reached 99.6 billion yuan of funds operating out of an average of 276 million settlement to be done every day, 1800 multiple accounts; in the world with nearly 1,000 suppliers (including 44 Fortune 500 companies), marketing network more than 53,000; has 15 design centers and more than 3,000 overseas managers. Such a large business system, relying on the traditional pyramid-style management structure, or matrix model, it is difficult to maintain the normal operation of business process reengineering imperative. Sum up years of management experience, Haier explore a set of market chain management model. Simply put, the market chain is to internalize the external market benefits. In the past, enterprises and the gap between the market, within the enterprise, the relationship between staff only on the lower level or work colleagues. If the product is market complaints, or poor sales, the most worried about is that business leaders. The following staff may also be very worried, but so do not be put into effect. Haier not only the face of the whole enterprise market, and allow enterprises in the face of every employee to market successfully to the market mechanism into the enterprise&#39;s internal management, the staff between the staff and the superior-subordinate relationship into a market relationship mechanism for the formation of the internal market chain. Among staff to implement sst, which claims, claims paid, trip: If your products and good service, you pay the next procedure, or will you claim, or &quot;bright red.&quot; Of the market chain model, Haier Group Zuzhi institutional and operational processes have been adjusted to the original each for finances, procurement, sales operations Quanbufenli Chu Lai, Zheng He into Shangliutuijin headquarters, Wu Liu advance headquarters, cash flow advance headquarters, to implement All groups unified marketing, purchasing, billing; to the original functions of management resources to support integration into the innovation process orders 3r (R &amp; D, human resources, customer management) and infrastructure support processes 3t (full budget, a comprehensive device management, total quality management), 3r and 3t corresponding independent business process services company. Integration, the Haier Group headquarters and overseas business flow Promotion Headquarters Responsible for building a global marketing network users from the resources available in the global order; products 3r support the Department in support of processes continuously create new products to meet customer needs; Products Business Unit will business flow for the orders and orders for products created by the implementation of the implementation of this Part; Logistics Division resources to build global supply chains using global sourcing distribution network to realize jit order Jiasu flow; cash flow structures Quanmian budget system; it is formed directly face the market, and complete system and core processes 3r, 3t and other support systems. Business Flow Division, Overseas Division from the global marketing network to promote access to the order form order information flow, is passed to the Products Division, Division and logistics headquarters, logistics, procurement and distribution headquarters in accordance with the order arrangement, the product division organization of production; produced by Logistics distribution system to the users, while in the user&#39;s money also flows in turn passed through to the business flow, product headquarters, logistics and supply-side hand. This will form a horizontal network synchronization of business processes. erp + crm: quick response to customer demand Business process reengineering based on Haier formed a &quot;front a network, the background of a chain&quot; (front of a net is a Haier customer relationship management web site (haiercrm.com), the background of a chain of Haier&#39;s market chain) and closed-loop system, built within the enterprise supply chain systems, erp system, logistics and distribution systems, cash flow management throughout the country clearing systems and distribution management systems and customer service to respond to call-center system, and formed the core of order information flow seamless connection between the various subsystems of system integration. Haier crm system erp system and the purpose is the same, is to respond quickly to market and customer needs. Front of the crm web site as a bridge of communication with customers quickly, the customer needs and rapid collection, feedback, and customers to achieve the zero; background erp system can be triggered quickly to customer demand supply chain, logistics and distribution systems, financial clearing system , customer service systems, process system, to achieve the synergy of customer needs service, greatly reducing response time to customer needs. Haier Group on March 10, 2000 investment in e-commerce set up Haier Co., Ltd., a comprehensive b2b suppliers to carry out the face of business and individual needs for consumer b2c business. Procurement through e-commerce platform and custom platform and terminal suppliers and sales to establish a close relationship between the Internet and establish a dynamic enterprise alliance, to achieve a win-win goal of raising the competitiveness of both markets. Haier built in e-commerce platform, businesses and suppliers, consumers realize interactive communication, so that the information value. The face of individual consumers, Haier can achieve online sales nationwide. Consumers can browse the website of Hale, purchase, payment, and then wait for Haier in home fast delivery and installation services. cims + jit: Haier e manufacturing Haier e-manufacturing is carried out under the orders of mass customization. Haier erp system automatically generates a daily accurate delivery of materials to the production line bom, wireless scanning, infrared transmission technology, modern logistics support, to achieve time, quantitative, fixed the Sanding distribution; Haier original than stop logistics, achieved From mass production to mass customization of conversion. E manufacturers need to achieve flexible manufacturing system. To meet the individual needs of users in the process, Haier using computer-aided design and manufacturing (cad / cam), the establishment of computer integrated manufacturing system (cims). In the development of decision support systems (dss), based on man-machine dialogue through the implementation of planning and control, from material resource planning (mrp) development to manufacturing resource planning (mrp-ⅱ) and enterprise resource planning (erp). Still in development, production and physical distribution in one-time production (jit), supply chain management in fast response and flexible manufacturing (agile manufacturing), and coordinate design and production through the network of CE (concurrent engineering) and so on. These new methods of production management of the information technology revolution and progress in integration. Haier now has been implemented within the whole group cims (Computer Integrated Manufacturing System), production lines can be mixed to achieve the production of different types of products. In order to make the production line more flexible modes of production, Haier has developed eos targeted business systems, erp system, jit Sanding six distribution systems, auxiliary systems. It is due to the adoption of flexible manufacturing systems such fims, Haier will not only be able to achieve a single computer customization, can also produce more than a thousand kinds of configurations of the computer, but also to achieve 36-hour fast delivery. Order information flow-driven: Synchronous Concurrent Engineering Haier&#39;s corporate information management is a comprehensive order information flow as the center, promoting the logistics, cash flow of movement, so in Haier&#39;s information management, concurrent engineering is very important. Haier sales companies such as the United States issued 10,000 units in the online orders. Order online publishing the same time, all departments can see, and also began to prepare the related work in parallel advance. Not meeting with each department as long as that order-related data, well they should do on the trip. If the purchasing department will make a purchase order for a look at planning, design departments are good orders require the design drawings. March 24, Hebei Hualian site e-commerce platform by Haier issued five orders for Taiwan with air conditioning, order No. 5000541, Haier logistics purchasing and manufacturing sectors also received the order information, the computer system immediately shows out for the Haier commercial air-conditioning manufacturing division of the lack of material conditions, the purchasing department and compressor supplier on the Internet to achieve bidding, online distribution department of the Peisongqingdan four hours Xian Shi Yi Nei Gong position expected delivery time. March 31, Haier commercial air conditioning has been completed customized products, Taiwanese air conditioner outdoor unit 5 has storage. Haier Electronics Division of the U.S. high-America Haier TV is the implementation of information management, using a typical case of concurrent engineering. The traditional development process is a serial process, departments isolated from each other, work is clearly marked stages of product development according to the order, resulting in the development cycle, high costs, this process takes 4 to 6 months. Haier Electronics Division to ensure that the U.S. high-America National Day in 2000, before color TV market, according to market requirements, the original six month development cycle to be compressed into two months. At 2 months of the total target, the U.S. development projects with high U.S. color TV set up development and market chain, according to information management ideas, set up two networks, one is the participation of each department to the main line of multi-functional integrated product product development team; the other is the main line from the procurement supply chain network of external cooperation. In product design, high-America TV is the U.S. technical personnel to the market through access to user demand information, and to the concept of information into product development. In the process design, through internal processes of reconstruction and optimization of the advantages of integrating external resources in the network, in the shortest possible time, to order the lowest cost to meet the demand. In the design process, a component designed, the logistics can be organized procurement and logistics involved in the design, improve product quality. Haier America finally received orders from the high to the U.S. color TV market only 2 and a half months to create the product development of a miracle. Zero, zero inventory - zero working capital Haier believes that competition among enterprises has a direct competition from the past turned to the customer competition. Haier crm-end network system is to achieve the zero sales. Haier has implemented erp crm system and the system being implemented, is to remove the impact of synchronous communication and accurate transmission of information barrier. erp is the removal of various departments within the enterprise the &quot;wall&quot;, crm business and customers is the removal of the &quot;wall&quot;, so as to achieve rapid access to customer order, quick to meet customer needs. Under the traditional management of enterprise procurement under the production plan, the market because they do not know where it is for the stock purchase, there are many enterprises, &quot;Reservoir.&quot; Haier is now the implementation of information management, through three jit get through the reservoir, turn it into a flowing river, constantly mobile. jit purchasing a computer system that is in accordance with the procurement plan, how much, how many purchases. jit feeding refers to the various components being stored in the Haier-dimensional database, and then by the computer matching, the configured parts directly to the production line. Haier built a logistics center in the national system, no matter where in the country, Haier fast delivery can achieve jit distribution. Stock funds take up the issue only, the most important is that a lot of bad debts will form. Electronic products are now updated soon, once the new generation of products, raw materials and finished goods price declines are larger backlog of finished products only the last way out for lower prices, it will rise to the present market price war. No matter how much corporate speak nicely, the pressure to lower prices from the inventory. Haier with the timely delivery of time to meet user requirements, the ultimate elimination of inventory space. Working capital, the domestic call it liquid assets, called the operation of foreign capital. Current assets minus current liabilities equal to zero, is zero working capital. Simply put, that is, the spot should be cash. To achieve the spot cash must-order. Haier has an idea: &quot;cash flow first, profit second.&quot; &quot;Cash flow first&quot; is that companies must have a cash flow of support, because profit is seen from the profit and loss account, but the preparation of the balance sheet and income statement are the principles of accrual. Produced out after product sales, but the money did not come back. While can be calculated as sales revenue, profit, or you can calculate taxes, but no cash support. Therefore, the relevant state departments suggested that listed companies must prepare the third table: cash flow statement. After accession to wto, Chinese enterprises will face more intense competition. Will maintain the spirit of Haier crm, scm effect optimization, promotion erp application support for third-party provider of Haier flow and the development of third party logistics requirements, as third-party information application platform, so that Haier into the &quot;globalization&quot; trend of the economy.
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