Imported timber logistics cost control strategy

According to World Bank data, China's current logistics costs account for about 25% of GDP. In 2008, China's GDP was about 4 trillion US dollars, and China's total annual expenditure related to logistics was 100 billion yuan. Every 1% reduction in logistics costs in China will bring about 10 billion yuan in social benefits. According to customs statistics, from January to November 2008, China's timber imports of logs and sawn timber totaled 669.81 million US dollars, and wood logistics costs accounted for 30-70% of trade costs. As long as 1% savings, it could save 20 to 50 million US dollars of logistics. cost. The control of logistics costs has become a "third source of profit."

China's timber demand is mainly imported. In Guangdong, the amount of imported wood accounts for one-fifth of the country's imports. There are tens of thousands of companies engaged in wood raw materials and sawn timber. However, many companies have long been in meager profit, small profits and even no Under the circumstance of profit, it is hard to support. The industry can't help but think: Is there a mistake in the marketing process, or is it wrong to choose the wood variety? The author believes that it is not, but the logistics supply chain has a problem, and the problem of poor logistics cost control.

To control logistics costs, we must start from these three main links and refine them to each node. According to the author's years of experience in importing timber logistics, I would like to talk about some experiences.

1. Pay attention to the control of logistics costs
In the eyes of the layman, logistics is a simple handling, and its expenses are basically negligible compared to the lucrative profits. In fact, the real practitioners will not turn a blind eye to the proportion of logistics costs in the total cost of the enterprise, because In the modern cost accounting system, logistics costs account for 30 to 70% of imported wood. If all links can be standardized and seamlessly connected, the logistics cost of the enterprise will be greatly reduced. Therefore, enterprises should fully realize the importance of controlling logistics costs from the ideological perspective, and then actively control the logistics costs from the action, and ultimately achieve the goal of reducing the operating costs of the entire enterprise.

2. Standardize logistics management systems and models
At present, the logistics mode and management level of the timber industry are relatively backward compared with the electronic products and food industries. Basically, they still stay at the level of booking, customs declaration and trailers. It is impossible to use information technology to design the overall logistics solution. Contour level mode. Timber companies need to establish a logistics operation model that suits them. The first is to develop scientific and precise management standards and service systems. Through the implementation of standardized management, each process of cutting, processing, transportation, warehousing, distribution, and service is set under a scientific and strict system model to optimize processes and clarify business. Division of labor, standardizing service standards, improving operational efficiency, and controlling logistics management costs. Secondly, promoting the flattening of management systems, it is well known that flat management helps to improve efficiency, make everyone's responsibilities clearer, save management costs, and streamline management. The deployment of departments, management positions and management personnel to promote the application of modern network information technology in logistics management can not only reduce unnecessary intersections between various links, but also help to uniformly allocate resources in a larger market space. Effectively save management costs and improve logistics efficiency; the other is to build an excellent and efficient management team to increase management's cost awareness.

3. Optimize and integrate logistics links
Philosophically: the optimization of the various parts of things can promote the overall improvement, this principle is also applicable in the imported timber logistics industry. As we have already mentioned, since the imported timber logistics system is a comprehensive work integrating cutting, processing, transportation, warehousing, distribution and service, and the logistics system involves many departments, it integrates each through modern information technology. The specific links focus on horizontal and vertical communication, strengthen coordination and convergence between various links, and optimize overall on the basis of partial optimization. It is not only necessary but also feasible to make full use of resources to reduce logistics costs. But how to optimize and integrate logistics links and reduce logistics costs? We can at least do the following: First, we must achieve the full control of wood logistics costs according to our actual situation, especially to do a good job before delivery. The cost budget and plan for each link of logistics, shipping and destination port logistics; the detailed analysis of logistics mode and cost in the event; the feedback and decision on logistics cost afterwards to minimize the total cost of enterprise logistics; Control of trailer costs. Now many companies have a vague concept of the cost of this piece. Take the South Green Heart as an example. The customs price is USD270~320/CBM, and each cabinet is 21CBM. If it is declared according to USD320/CBM, the value-added tax is 5984 yuan/cabinet. If the declaration is based on USD270/CBM, the value-added tax is 5049 yuan/cabinet, which can save 935 yuan, and the saving ratio is about 19%. However, if it is declared at a lower price, it will lead to customs check-in, check the name of the product, etc. Uncontrollable expenses may be much greater than underreported expenses. Third, the control of shipping costs, shipping costs account for a large proportion of logistics costs, according to experience, usually shipping costs account for nearly 40% of the total cost of logistics, shipping costs are first and foremost reasonable choice of shipping companies, such as Suriname, Guyana shipping options ZIM shipping company is better than Maersk and CMA. Africa Mozambique chooses CMA and Maersk for better shipping. In addition, the choice of shipping method is bulk shipping or container transportation. It is also an important factor related to shipping cost. We need to choose carefully.

4. Improve the timber logistics supply chain
The famous British economist Christopher said that the real competition is not the competition between enterprises and enterprises, but the competition between supply chain and supply chain. The key to increasing the competitiveness of timber companies is to reduce overall costs and increase profits. The key to reducing overall costs and increasing profits is to improve the timber supply chain. In order to explain this truth more clearly, we try to illustrate the following:

A certain wood industry company in Guangzhou imports more than 100 cabinets of iron wire, South American teak and Yibei from Guyana and Suriname every month. It has set up a logistics department consisting of four people, but there is always a slow loading in the shipping port. Problems such as less cubic loading, high logistics costs, and untimely feedback. According to the actual situation of the company, Shenzhen Qingyuan Supply Chain Management Co., Ltd. redesigned the logistics supply chain solution, and started from the procurement link to the whole link of the goods to the warehouse (Figure 1), so that the company's logistics cost starts from the beginning. The monthly decrease of 1,234,500 yuan to 1,075,500 yuan, the rate of decline is 14.5%, and the monthly direct economic savings of 157,000 yuan / month. Since Shenzhen Qingyuan Supply Chain Management Co., Ltd. began to integrate with the wood industry company in terms of business flow, logistics, information flow and capital flow, the company's logistics department has also been reduced from the original 4 to 2 people, which has reduced logistics. The cost has increased the efficiency of logistics.

5. Scientific design of the overall logistics program

The function of logistics is to scientifically design the logistics path and reduce the overall logistics cost. The same is true for wood logistics. We should scientifically design the logistics plan according to our own needs, so as to reduce the logistics cost. The same example is as follows:

For example, a furniture company in Shunde imported 3000CBM wood from Syracuse in Africa to Shunde. We can design several options for selection: (1) bulk carriers to Shekou, (2) bulk carriers to Huangpu, (3) containers to Shekou, (4) containers to Huangpu, and (5) containers to Shunde. If bulk carrier is used, the shipping cost is USD52/CBM, the unloading cost is about USD10/CBM, and the cost of transportation to Shunde is about USD10/CMB, so the total cost is about USD72/CMB (excluding the risk of demurrage and other risks). From container to Shekou, the cost of shipping is USD60/CBM, the cost of shipping to Shunde is about USD16/CBM, the total cost is USD76/CBM. If the container is to Shunde, the shipping cost is USD75/CBM, and the cost of trailer is USD5/CMB. The cost is USD80/CBM. After listing various options, the best solution is determined according to your actual needs. If some customers need to arrive as soon as possible, the container can be used to the Shekou program. Some customers do not have time requirements. , you can choose the bulk ship program. In terms of shipping containers, it is also necessary to consider how to choose the shipowner and other issues. The design of the overall logistics plan needs to consider the specific situation of the enterprise to do personalized analysis and design, and needs specific analysis of specific issues, and will not elaborate on it here.

American management guru Peter Dulac has a very incisive statement on cost in "New Reality". He said: "In the enterprise, there is only cost."

Imported timber enterprises should strengthen cost control and management, establish a comprehensive cost awareness, and enhance the competitiveness of enterprises, so that they can stand in an invincible position in the fierce market competition.

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