The Research Into Logistics Integration

Logistics is now widely regarded as the third profit source for the modern enterprises. With the development of logistics, modern society and enterprises attach more and more importance to it. The way to realize the potential is logistics integration. Modern logistics integration has rapidly become a strategic solution to develop the core competition power of the modem enterprises in the global area.Logistics integration means through the logistics cooperation among different function departments or different enterprises, the production, the supply and the sale of the raw materials and the products are united to reduce the cost and improve the efficiencies. From the systematic perspective logistics integration regards the logistics activities all through the course as a unity and creats the competition power from the strategic height. Logistics integration is developing from function integration phase to internal integration phase and external integration phase. Now logistics integration is breaking away from the single enterprise level and developing into the supply chain level. The supply chain is a network to provide products or service to the final consumers and creat values. Through the integration theory the key enterprises in the supply chain joins the supply logistics ,the production logistics with the transport together and realizes the supply chain integration with the support of information technology and information platform. On the basis of strategic cooperation the members in the supply chain creat large scale advantage through logistics integration management and improve the competition power of all the supply chain. Today the market competition is not the race between enterprises but the competition between the supply chains.Logistics integration holds important meaning to modern enterprises. Through the systematic management modern enterprises emphasize the service for the customers, the reduction of the currency fee, the speed-up of the capital circulation and so on. The modern enterprises put forward with advanced logistics working mode by reforming the operation course and establishing network systems. The purpose of logistics integration in enterprises is to manage all the logistics activities as an integrated system to strength the key competition power. With the development of the logistics integration the interest conflict among departments or enterprises gives way to cooperation.First of all this paper introduces the concepts of traditional logistics and modern logistics. It points out that one of the trends of modern logistics is logistics integration. So this paper begins the research of logistics integration. It discusses the concept, the hierarchy process, the characteristic, the aim and the realization of logistics integration. Then this paper comes to the highest phase of logistics integration development: supply chain management. It inquires about the theory system including the organizational parts and the cause of supply chain management. Thirdly this paper studies the integrated logistics management in modern enterprises. Through the case analysis it points out that the integrated logistics management can bring competition advantage to the enterprises. Then it talks about the current situations of logistics integration abroad and at home, specially the opportunities and challenges China is confronted with. Finally this paper puts forward the Countermeasures and suggestions for the development of logistics integration in China.The world economy can't grow without the development of logistics. For the enterprises the attainment of more profit and the reduction of cost can't work without the management of logistics integration.