Customized logistics solutions, your logistics expert in China

Tel:+8613424475220      Email:info@viputrans.com      


What are the main factors for the location of

by:VIPUTRANS     2020-02-22
A distribution center is not equal to a warehouse. The main function of the distribution center is to provide distribution services. In the logistics supply chain, it is a logistics node that performs distribution processes for downstream logistics distributors, retailers, and customers. Purpose To save transportation costs and ensure customer satisfaction. At present, well-known domestic logistics companies have their own distribution centers, coordinated management, and centralized scheduling. For enterprises, strengthen their control over materials, control their production costs, and ensure that their production and operations maximize their utility. China Ocean Shipping Co., Ltd. (cosco logistic) China Railway Express Co., Ltd. China Post Logistics Co., Ltd. COSCO International Freight Co., Ltd. China Railway Container Transport Co., Ltd. China National Petroleum Corporation China Railway Modern Logistics Technology Co., Ltd. VIPU Supply Chain Logistics Co., Ltd ... Location of distribution center: The main factors that should be considered when selecting the location of a distribution center are: the distribution of customers, the distribution of suppliers, the conditions of transportation, the conditions of land, the conditions of nature, and the conditions of administration. These points are explained below: 1) Distribution of customers The first consideration when choosing the location of a distribution center is the distribution of the customers it serves. For retail distribution centers, the main customers are supermarkets and retail stores. Most of these customers are located in densely populated areas or large In order to improve service standards and reduce distribution costs in cities and distribution centers, distribution centers are mostly built in areas close to customers on the edge of the city. 2) Distribution of suppliers Another factor that should be considered when selecting the location of a distribution center is the distribution area of ??the supplier. Because the goods of the logistics are all supplied by the supplier, if the logistics is closer to the supplier, the safety stock of the goods can be controlled at a lower level. However, because the transportation cost of general domestic purchases is borne by the supplier, this factor is sometimes not taken seriously. 3) Traffic conditions Traffic conditions are one of the important factors affecting the cost and efficiency of logistics distribution. The inconvenience of transportation will directly affect the delivery of vehicles. Therefore, it is necessary to take into account factors such as external transport routes, and future traffic and the development of neighboring areas. The address should be close to important transportation lines to facilitate distribution and transportation operations. The conditions for assessing the convenience of transportation are: highways, national highways, railways, expressways, ports, and traffic restrictions. Generally, the distribution center should try to choose near convenient highways, national roads and expressways. If railways and ships are used as transportation means, it should consider being close to train marshalling stations and ports. 4) Land conditions The restrictions on land and topography. For the use of land, it must meet the restrictions of relevant laws and regulations and urban planning. As far as possible, choose the logistics park or economic development zone. The shape, length, width, and area of ??construction land and the possibility of future expansion are closely related to the planning content. Therefore, when choosing an address, it is necessary to refer to the design content of the warehouse in the planning scheme. In the case of incomplete coordination, the content of the planning scheme needs to be modified if necessary. In addition, the size and price of the land must also be considered. Considering the existing land price and future value-added conditions, and in accordance with the degree of demand that may be expanded in the future, the most appropriate area is determined. 5) Natural conditions In the assessment of logistics land, natural conditions must also be considered. Knowing the local natural environment in advance helps reduce the risk of construction. For example, in the natural environment, there are several natural phenomena such as humidity, salinity, rainfall, typhoons, earthquakes, and rivers. Some places have high humidity near the mountains, some have low humidity, and some have high salins near the sea. These will affect the storage quality of goods, especially clothing products or 3C products ... etc. are very sensitive to humidity and salinity. In addition, natural disasters such as rainfall, typhoons, earthquakes, and rivers have a great impact on distribution centers. You must pay special attention and avoid being infringed. 6) Human resource conditions In the warehouse distribution operation, the most important resource requirement is human resources. Because general logistics operations are still labor-intensive operations, sufficient operating manpower must be available inside the distribution center. Therefore, when determining the location of the distribution center, factors such as labor sources, technical standards, working habits, and wage levels must be considered. Human resources assessment conditions include the nearby population, traffic conditions at work, and salary levels. If the population near the location of logistics is not large and the transportation is inconvenient, it is not easy to recruit the operators at the grassroots level; if the salary level in the nearby area is too high, it will also affect the recruitment of the operators at the grassroots level. It is therefore necessary to investigate the manpower, work traffic and salary levels in the area. Policy and environmental conditions are also one of the focuses of logistics location assessment. Especially now that logistics land is difficult to obtain, if supported by government policies, it will be more conducive to the development of logistics operators.
Custom message
Chat Online
Chat Online
Chat Online inputting...
Dear customer, Good day, Welcome to VIPUTRANS, please describe the cargo information and demand in advance if urgent case please contact Email:info@viputrans.com/Mobile phone/Whatsapp :+8613424475220/Skype:narrynisha