Jingdong Industrial Products and Zijin Mining Co., LTD. The world's top 500 companies have joined hands to accelerate the intelligent supply chain

2022-08-25 14:17 0
Guangzhou, August 24, 2022 -- The 2022 Fortune Global 500 list has been released. Zijin Mining, the world's No. 9 and China's No. 1 non-ferrous metals company, was again ranked 407th, up 79 places from last year. Zijin Mining has been ranked among the World's top 500 companies for many years, thanks to its continuous "quality and efficiency improvement" in all aspects of operation and management.

In 2021, Zijin Mining issued the Outline of the Five-Year (2+3) Plan and 2030 Development Goals, which proposed to comprehensively promote and apply the mining engineering management mode of "the five rings of ore Flow normalization", build a global information system, and realize digitalization and platformization of all production, operation and management activities. In terms of the most basic procurement supply chain management, Zijin Mining has vigorously promoted the digital intelligent transformation of supply chain through cooperation with Jingdong Industrial Products, leading the industry.

In fact, as early as 2012, Zijin Mining took the lead in carrying out the digital transformation of procurement in the industry. However, with the deepening of supply chain management, Zijin Mining found that it was increasingly difficult to meet the management needs of MRO materials with digitalization only at the level of transaction. Zhang Qinghao, general manager of Zijin Zhixin Management Software Division, said that there are many non-standard and long-tail products in industrial products, and the purchase order often involves a large number of products of different categories and brands. It is difficult for a single supplier to meet the demand, so a large number of industry resources must be integrated. As a result, even if the transaction digitization is realized, a large number of manpower still needs to be invested in the selection and coordination of the performance and delivery process, which does not fundamentally reduce the decision-making burden of enterprise procurement.

In order to improve this situation, Zijin Mining and Jingdong Industrial Products set up a digital purchasing mall covering the whole process of purchasing management -- Zijin Mall. It can not only provide commodity sourcing, payment and settlement, logistics and distribution, credit evaluation and other services, but also realize real-time flow of purchasing data, helping Zijin Mining to realize digital and visual management of the whole process of covering demand collection, approval, execution and subsequent delivery, performance and distribution. For example, in the link of purchasing plan, the purchase list can be automatically matched with the purchase plan; In the order distribution link, complete the real-time synchronization of delivery information, delivery information and signing information; In the link of reconciliation and payment, provide automatic reconciliation, automatic electronic invoice issuing functions, online one-click reconciliation and billing; In the performance and delivery link, get through JD logistics system and third-party logistics data, and check the performance progress in real time.

At present, all kinds of low-value and consumable products such as chemical products, labor protection products, hardware tools and spare parts in the procurement catalog of Zijin Mining have been put on Zijin Mall. The purchaser only needs to select the corresponding category and input specifications, models and parameters, and the system will weigh the cost, inventory, delivery time and other decision factors based on the needs. Select the most suitable products for accurate recommendation, upgrade the past "human searching" mode to "system searching".

On the basis of cooperation at the system level, the two sides also carried out in-depth cooperation on the implementation of the agreement and delivery of services. As a typical mining enterprise, Zijin Mining has a large number of mines and smelters, widely distributed in Inner Mongolia, Heilongjiang and other places, with inconvenient transportation. In the procurement process, it is difficult to reach the conventional logistics network directly, and a large number of links need to be transferred to complete the delivery. For example, a batch of purchase orders containing dozens of commodities are often distributed by multiple companies, and the delivery time is not fixed, which brings a lot of extra burden for supply chain management. In order to effectively improve the management ability of performance and delivery, Zijin Mining and Jingdong Industrial Products set up a new generation of infrastructure -- enterprise distribution center in Bayannur, Inner Mongolia, Qiqihar, Heilongjiang and many other places. These enterprise distribution centers can integrate dispersed parcels of multiple categories, orders and logistics channels in advance, and deliver them to the warehouse designated by Zijin Mining by special person and car at a fixed time every week, realizing "integration of 10,000 orders" and effectively reducing the management cost of fulfilling the contract.

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Chen Esheng, general manager of Jingdong Industry South China Region, said: As a system, the enterprise supply chain does not pursue the minimum cost of a single link, but to optimize the overall efficiency and cost of the supply chain through coordination of all links. Therefore, in the process of supply chain digital intelligence, we should not only consider matchmaking transactions, but start from the whole link of commodities, procurement, contract performance, operation, etc., to realize the global digitalization, which is also the service logic that Jingdong Industrial Products has always adhered to. In the future, Jingdong Industrial also hopes to further deepen cooperation with Zijin Mining and jointly build the supply chain management of Zijin Mining into a "benchmark project" for the digital transformation of the mining industry.

Source: Corporate press release
Keywords: Zijin Mining JD.com
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