Risks existing in logistics and their preventive strategies

Risks existing in logistics and their preventive strategies

At present, there are still many risks in China's logistics industry. Only by establishing a perfect risk prevention system, enhancing legal awareness and insurance awareness, introducing modern physical information technology and innovating risk management system can logistics enterprises reduce economic losses and remain invincible in the increasingly fierce competition environment. The following are the logistics risks and preventive strategies I brought to you, hoping to help you!

Risks in logistics industry

The risks of logistics enterprise management come from many aspects, including force majeure natural disasters and human factors, such as the problem of exclusive suppliers. There are exclusive logistics suppliers in the supply chain. Due to the limited service area and management ability of suppliers, the exclusive logistics supplier policy may bring risks to services in some areas. In order to put forward an effective risk prevention strategy in logistics management, we must first make clear the risks existing in the current logistics industry and be targeted. If due to information asymmetry and incomplete information, the enterprise partners are not properly selected, which will not only reduce the profit of the enterprise, but also make the enterprise lose other opportunities, thus invisibly inhibiting the improvement of the competitiveness of the enterprise and increasing the operating cost of the whole supply chain. According to long-term investigation and years of experience, I think the risks existing in China's logistics enterprises mainly include the following points:

First, natural environmental risks. Natural environmental risks are not controlled by human factors and have strong unpredictability. This risk is generally caused by the impact of climate change, such as sudden rain and snow, typhoon attacks, earthquakes, mudslides and wars. It mainly includes the interruption of the delivery process of the goods, or the loss, damage, delay in arrival at the port, inability to unload the goods at the port, etc. This situation will inevitably lead to the loss of logistics enterprises.

Second, credit risk. Logistics enterprises sometimes can't maintain the operation of the whole logistics process because of their limited strength or complex logistics process and long cycle, so they have to choose partners. At this time, the reputation and strength of partners have become an important factor affecting logistics operation. If the selected partner has poor strength and low reputation, and deliberately fails to abide by the commitments already reached, the logistics enterprise will not be able to realize the services of unloading, reprinting, receiving and delivering goods according to the contract. This situation will also cause economic losses of logistics enterprises, and their reputation will be greatly affected.

Third, there are risks in the management of logistics enterprises. This kind of risk includes a wide range of contents, the core of which is the risk in logistics operation, which is caused by the lack of effective management of logistics enterprises themselves, mainly including the risk in logistics contracts and the risk in logistics process. Among them, the risks in logistics contracts mainly include the following three aspects:

(1) gave in to the customer and gave up the exemption clause that he should automatically enjoy.

(2) When signing contracts with customers, we set extremely high service standards and promised extremely demanding quality accuracy.

(3) In the process of cooperation with subcontractors and partners, the responsibilities are not clearly defined. The above three problems, namely, the compromise of logistics enterprises, the lack of contract rigor, the high and difficult service commitment, and the unclear responsibility in risk prevention, will all cause contract risks. Risks in the process of logistics involve a wide range of contents, including risks in supply chain management, risks caused by improper investment of logistics enterprises themselves, risks caused by loopholes in logistics scheme design, risks caused by the lack of necessary sense of responsibility of staff in the process of logistics distribution, risks caused by unreasonable system management, lax management and irregular workflow setting of logistics enterprises. Among them, risk in supply chain management is an important part of risk in logistics process. Supply chain management has the characteristics of complexity and uncertainty, which makes supply chain management have many risks:

(1) Due to the long logistics cycle and many turnover links, it is easy to lose goods or bills, and it is difficult to find out the exact information of the lost goods. In this case, logistics enterprises can't shirk their responsibilities.

(2) When the goods are delivered, due to various reasons, such as weather and human factors. It is easy to cause delivery delay. When this kind of risk occurs, customers will claim compensation from the relevant logistics enterprises, and the logistics enterprises are hard to blame and must bear the liability for breach of contract.

(3) When the goods are delivered, they are often damaged. In this case, logistics enterprises must also make corresponding compensation.

(4) Risks arising from business cooperation. Many logistics enterprises can't complete the normal operation of the whole supply chain because of their limited strength, so they have to choose partners to complete the distribution of goods. At this time, the reputation and strength of partners will become an important factor affecting the supply chain. If the selected partners have poor strength and low reputation, the supply chain will be damaged. In this case, it is difficult to divide the responsibilities between logistics enterprises and partners only by a small waybill.

In a word, there are still many risks in modern logistics enterprises, and management must be strengthened.

Content of logistics risk management

As a service industry, the logistics industry has great risks in its own operation. Moreover, the ultimate goal of logistics enterprises is to meet the logistics needs of all customers. Accordingly, the risk of logistics enterprises can be divided into two aspects: one is the probability of adverse events, and the other is the consequences of such adverse events to meet the ultimate goal of customer logistics needs, which are generally divided into positive and negative. According to the logistics risk management process model proposed in China, risk management can be summarized into three important steps: risk factor identification, risk assessment and risk control. In these three steps, the identification of risk factors is the basis of risk management, and risk management refers to determining potential adverse events, that is, identifying the source of risks; Risk assessment is a quantitative analysis of risk management, which refers to predicting the probability and consequences of adverse events; Risk control includes two aspects, one is risk assessment, through which the best measures to implement risk control can be determined. The second is to act in time after the measures are determined and feed back the results of risk control in time.

According to the above analysis, we can see that logistics risk management mainly includes the identification of logistics risk factors, risk assessment and risk control.

Risk prevention strategy of logistics management

In view of the risks existing in the current logistics industry and the contents of logistics risk management, I think that strengthening the risk prevention of logistics management can start from the following aspects:

First, establish a dynamic and perfect risk management organization. The risk management organization is the executor of logistics risk management and the maker of risk prevention measures or schemes. The identification, evaluation and control of risk factors depend on this institution, so the establishment of risk management institution is of great significance to risk management. Regarding the establishment of this institution, we must choose people with high quality and certain professional ability. Generally speaking, the staff of risk management institutions mainly include financial, legal and employee representatives of major business departments of enterprises. In addition, it is also very important to clarify the relevant responsibilities of managers for the efficient operation of management institutions. If the responsibilities of managers are not clear, they will be neglected in their work, which will lead to the reduction of work efficiency and even the loss of property and life. Therefore, the responsibilities of managers of risk management institutions must be clear and put in place. In addition, as the representative of the enterprise, the enterprise legal person is also the first responsible person of enterprise risk management, and takes full responsibility for enterprise risk management; The leaders in charge of risk management of enterprises have specific responsibilities and are responsible for specific risk management affairs; Leaders in charge of other work are mainly responsible for the risk management in their charge. Such a clear responsibility can form a situation of * * * management, so that the probability of risks in logistics enterprises will be greatly reduced.

Second, establish strict rules and regulations and implement standardized management. As the saying goes, "Fiona Fang can't be made without rules". Strict and perfect rules and regulations are the basis and guarantee for the normal development of risk management in logistics enterprises. Only by establishing strict and good rules and regulations can we establish a good working order and thus form standardized management. So how should perfect rules and regulations be established? First of all, logistics enterprises should formulate rules and regulations according to national laws and regulations in this regard, such as fire protection law, safety production law, consumer protection law and so on. We should establish the rules and regulations of our own enterprises within the framework permitted by national laws and on the principle of not violating national laws. Secondly, national laws and regulations are the basis for enterprises to formulate their own rules and regulations, and the actual situation of enterprises is the key to formulate rules and regulations. Therefore, when making rules and regulations, logistics enterprises must consider the actual situation of their own enterprises, such as their own operating conditions and service methods. Only a system that conforms to the actual situation of its own enterprise is a good system and can play its greatest role. In short, only the standardized and institutionalized management of logistics risks can ensure the normal operation of the logistics system and reduce unnecessary risks caused by human factors.

Third, improve information analysis ability and guard against risks. Modern society is already an information society, and the use of the Internet has brought us a lot of convenience. Today's logistics industry is different from the traditional logistics industry and has become a new service industry supported by informationization. In this industry, the more perfect the information means, the more comprehensive the information feedback, the stronger the prevention of uncertain factors and unfavorable events, and the smaller the risks faced by the logistics industry. Therefore, logistics enterprises must always pay attention to all kinds of information related to the industry, make corresponding strategic adjustments according to the latest information, and effectively prevent various potential logistics risks.

Fourth, innovate the risk management system and explore risk coping strategies. Logistics risk has the characteristics of uncertainty, stage, complexity and relativity. At the same time, logistics risks exist objectively and cannot be completely avoided. Therefore, we can only take corresponding measures to minimize risks and reduce the incidence of risks. It is particularly important to innovate the risk management system. As for how to innovate, I personally think there are mainly the following points: (1) Introducing modern logistics information technology and establishing a dynamic logistics safety monitoring system. According to the above analysis, we know that logistics risk management is divided into three aspects: risk factor identification, risk assessment and risk control. Therefore, in order to effectively avoid risks, we must first identify risks. Modern logistics new technology can effectively identify logistics risk factors, and establish an effective risk assessment system according to the identified factors, and put forward scientific and practical decisions. In addition, through modern logistics technology, an abnormal alarm system can be established, which can effectively reduce the probability of risk. (2) Establish and improve the risk response mechanism. The occurrence of risks is inevitable, so when risks occur, it is necessary to ensure that enterprises have enough ability to cope with the risks encountered. This requires the establishment of corresponding risk response measures and risk response procedures in daily work, so as to make the risk response system more perfect, and thus have the ability to minimize the losses caused by risks in the face of risks.

Fifth, find suitable partners and establish good cooperative relations with them. Choosing a good partner and establishing a good cooperative relationship with it is also an important part of logistics management risk prevention. On how to establish a good cooperative relationship with partners and realize the success of logistics outsourcing, I personally think that we can start from the following aspects: establishing a win-win cooperation concept, establishing an efficient communication feedback system and effective information communication channels, and integrating with the interests of partners. Through the above methods, we can not only realize the strong alliance, but also improve the trust and tacit understanding of both parties, thus effectively reducing the probability of risks.

Sixth, enhance legal awareness. Law plays an important role in enterprise management, and the logistics industry is no exception. Therefore, the logistics industry must repeatedly demonstrate every business to ensure its legal feasibility. Especially when signing a contract, because the contract is an important part of preventing logistics risks, if the contract is signed improperly and the division of responsibilities is not clear, it will cause unnecessary losses. Therefore, logistics enterprises must attach importance to the signing of contracts, and in the whole process of contract drafting and signing, they must send personnel with certain experience and rich legal knowledge to participate in it, so as to ensure the legality of contracts and clarify the responsibilities of the company. In the execution stage of the contract, it is also necessary to strengthen the intervention and supervision of the legal person on the execution of the contract.

Seventh, strengthen insurance awareness and actively participate in insurance. The uncertainty and diversity of logistics risks determine that logistics enterprises will inevitably encounter risks. Since it is inevitable, besides taking corresponding measures to reduce it, we should also find corresponding methods to transfer risks. Participating in insurance is the most common way to transfer risks at present. For modern logistics enterprises, insurance is an excellent way to transfer risks. At present, some logistics enterprises still have the idea of insurance uselessness, and refuse to insure in order to save money. These misconceptions must be abandoned. In order to ensure the stable development of enterprises and reduce the economic losses of logistics enterprises when they encounter risks, insurance is very necessary. On the issue of how to insure, I personally think that we should choose suitable insurance companies and products on the basis of considering our own business situation and economic strength of enterprises.

Self-operated Logistics and Modern Logistics

What is self-operated logistics?

Modern enterprise self-supporting logistics is not the self-service of traditional enterprise logistics operation function, but a new management concept based on supply chain logistics management with manufacturing enterprises as the core. According to the definition of logistics given by American Logistics Management Association in 1990s, logistics is a process of planning, implementing and controlling the efficient and effective flow and storage of raw materials, semi-finished products, final products and related information from the place of origin to the place of consumption. Specifically, it includes transportation, warehousing, packaging, material handling and so on.

Self-operated logistics mainly refers to the logistics operated by industrial enterprises themselves, and its main economic source is not logistics.

For example, Haier: it is self-operated logistics. But its biggest profit source is not logistics. But it has the ability to undertake logistics business by itself and profit from it. Self-supporting logistics is a kind of enterprise logistics mode. At present, the trend is that enterprises that cannot undertake logistics business outsource logistics business to professional third-party logistics companies. Because the logistics system in China is not perfect, the third-party logistics is not a good solution after analysis. So many manufacturers are in a dilemma and don't know what to do.

This is also one of the important contradictions of the logistics industry in China at present.

1. Grasp business control and strive for market initiative.

2. Revitalize enterprise resources and open up the third profit source.

3. Reduce the transposition cost and reduce the risk of outsourcing transactions.

4. Avoid confidential disclosure and protect the safety of business operations.

5. Reduce the operating cost of the system and realize the integrated management of enterprise logistics.

6. Improve customer satisfaction and corporate brand value.

According to the principle of economies of scale, the larger the logistics scale, the higher the degree of logistics intensification and the more economical the logistics operation. Therefore, when the production and operation of enterprises reach a certain scale, that is, their own logistics has a certain scale, self-management can play its systematic management role. Otherwise, it will be difficult to achieve the goal of reducing the total cost of logistics system, and the scale benefit will naturally become the bottleneck of self-operated logistics. Especially in today's diversified and personalized consumer market, rapid changes in social needs and rapid changes in technology, the mass production of manufacturing enterprises can no longer meet the needs of market development. Differentiated marketing and flexible production have become the future development trend of enterprises. Therefore, enterprises must adopt multi-variety, small batch and multi-batch logistics strategies. If the enterprise wants to implement the logistics management goal with service improvement as the goal, the dispersion of its logistics operations will be further expanded, and the dispersed logistics operations will offset the benefits of system management. Therefore, combined with the scale advantage of logistics outsourcing and the self-management value of logistics system, the mixed logistics mode of "activity function outsourcing+system self-management" should be the main mode of logistics development in the future.

What is modern logistics?

Modern logistics should not only consider the distribution of goods from producers to consumers, but also consider the procurement of raw materials from suppliers to producers, as well as the transportation, storage and information of producers themselves in the process of product manufacturing, so as to comprehensively improve economic benefits and efficiency. Therefore, modern logistics is a strategic measure to meet the needs of consumers and unify the market conditions such as manufacturing, transportation and sales. Compared with traditional logistics, it only regards it as a concept of "logistics support system" and "acting as a bridge in sales activities", which has further meaning in depth and breadth.

In today's e-commerce era, the global logistics industry has a new development trend. The core goal of modern logistics service is to meet the needs of customers with the minimum comprehensive cost in the whole logistics process.

Modern logistics has the following characteristics:

Close combination of e-commerce and logistics;

Modern logistics is the unity of logistics, information flow, capital flow and talent flow;

E-commerce logistics is a combination of informationization, automation, networking, intelligence and flexibility;

Standardization of logistics facilities and commodity packaging, socialization and assimilation of logistics are also new characteristics of logistics mode under e-commerce.

The continuous development of e-commerce makes the logistics industry rise again. At present, the services provided by the logistics industry in the United States have far exceeded those provided by warehousing, distribution and transportation. Logistics companies provide more and more warehousing, distribution facilities, maintenance services, electronic tracking and other value-added services. Logistics service providers are becoming customer service centers, processing and maintenance centers, information processing centers and financial centers. Adding new services according to customers' needs is an evolving concept.

Compared with the logistics industry in developed countries, the logistics industry in China is still in the primary stage of development. The main features of its development are:

First, enterprise logistics is still the focus of logistics activities in the whole society, and the demand for specialized logistics services has begun to appear, indicating that the development level of logistics activities in China is still relatively low, and strengthening internal logistics management is still the focus of logistics activities in the whole society;

Second, specialized logistics enterprises began to appear, and diversified logistics services developed to a certain extent. It is an urgent task for the development of China's logistics industry to step out of the logistics activity mode based on enterprise self-service and develop third-party logistics.

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