JD.com joins hands with BYD to build digital smart supply chain JD.com Industrial continues to help the automotive industry reduce costs and increase efficiency

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On the afternoon of March 16, the signing ceremony of the strategic cooperation agreement between JD.com Group and BYD was held at JD.com’s headquarters in Beijing. Wang Chuanfu, Chairman and President of BYD, and Xu Ran, CEO of JD Group, attended the ceremony and witnessed the signing. According to the agreement, the two parties will, based on their respective resource endowments and business advantages, cooperate in the omni-channel marketing and after-sales service system of passenger cars, and the full-scenario cooperation of commercial vehicles. Comprehensive cooperation will be carried out in the fields of special scene customization, digital and intelligent supply chain services, centralized procurement of corporate business materials and comprehensive services. Among them, JD Industrial will carry out in-depth cooperation with BYD in the field of digital procurement through the “Taipu” digital intelligent supply chain solution based on its professional digital system capabilities, resource-rich industrial product supply chain and accompanying overseas service capabilities to jointly explore The construction and upgrading of digital procurement systems in the automotive industry helps enterprises increase procurement efficiency and reduce costs.

As a provider of industrial supply chain technology and service solutions under JD Group, JD Industrial has been deeply involved in the automotive industry for many years, constantly digging into industry needs, refining product solutions in various process scenarios of automobile production, and contract performance in various production environments. Delivery solutions, as well as procurement management solutions and operational support service solutions adapted to different enterprise sizes and organizational structures, provide full-link digital supply chain services for the automotive industry chain.

The century-old automobile manufacturing industry is the crown jewel of modern industry. The supply chain system is highly complex. To improve the cost and efficiency of the supply chain, it is difficult to achieve it through partial digitization alone. JD Industrial has always attached great importance to serving the automobile manufacturing industry. Through cooperation with well-known automobile companies such as BYD, Changan, Volkswagen (China), and Tesla, as well as upstream and downstream partners, it has continued to deepen its development with its digital intelligence supply chain infrastructure and technical capabilities. In the automotive industry, by optimizing the cost, efficiency and experience of the automotive industry supply chain, we will help the overall optimization and reconstruction of all links in the automotive industry chain, and promote the high-quality development of the automotive industry.

In 2023, JD Industrial Industry launched the “Taipu” digital intelligent supply chain solution to serve the digital transformation of the supply chain of manufacturing companies in different industry segments, different scales, and different digitalization processes, becoming the first in the industry to break the single-point service model. Traditional digital service providers. In terms of cost control, which is of greatest concern to car companies, JD’s industrial digital supply chain can achieve the shortest links, demand aggregation, and data interoperability, and reduce industrial transaction costs through efficient collaboration across the entire industry chain. Specifically, “the shortest link” means directly linking to the original factory, reducing the number of intermediate link transfers, reducing the purchase price of goods and the cost of intermediate links; “demand aggregation” means aggregating the needs of industry customers to obtain lower prices through economies of scale. Commodity purchase prices, and promote the growth of related enterprises based on industry needs, and promote the optimization of the overall cost of the industry; “data interoperability”, that is, through the digitization of commodities, procurement, contract fulfillment, and operation links, let data flow more and commodities move less , thereby achieving efficient collaboration in all aspects. According to statistics, the current JD industrial digital supply chain can reduce the entire social collaboration cost by 20%-30%.

In addition to cost reduction, JD’s industrial digital supply chain can also create greater value for companies related to the automotive industry chain in terms of efficiency improvement, supply guarantee, and compliance. In terms of efficiency improvement, JD Industrial can use technology to realize automatic data flow, thereby replacing a large number of manual operations and greatly improving the time efficiency of procurement, supplier management efficiency and supply chain operation efficiency. In terms of ensuring supply, JD Industrial’s strong commodity supply chain capabilities and “10,000 warehouses in one, 10,000 orders in one” supply chain network can effectively reduce the risk of “chain disconnection” for enterprises and significantly improve the resilience of the supply chain. In terms of compliance, JD Industry can not only systematically export the experience and best practices accumulated by JD Group in compliance for more than ten years, but also achieve “product-merchant segmentation” and “intelligent decision-making” through technology, effectively blocking procurement Communication channels between people and suppliers reduce compliance risks from the source.

The complexity of the automotive supply chain determines that the changes that any company can bring alone are extremely limited. As the relevant person in charge of JD Industry said, while continuously improving its technical solutions, JD Industrial will also open the digital and intelligent highway it has built to the entire industry for sharing, and hopes that more partners will join in the future. Jointly promote the improvement of industrial efficiency and contribute to the digital and intelligent upgrading of the automotive industry.

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