China's Small And Medium-sized Shipping Companies Logistics Virtual Management Studies And Research

Virtual Enterprise (VE), an enterprise or an ally based on virtual business strategy, focuses on integration and utilization of out sources to satisfy customers and extend its business. Nowadays, virtual business is prevailing in western countries and proving itself one of main enterprise forms.Chinese medium and small-sized shipping companies are now weak in competition with big companies in integrated logistics service due to insufficient resource while some other enormous logistics resource seeking its way for business. This paper put forward a feasible way for medium and small-sized shipping companies to integrated logistics service utilizing the resource outside.Summarizing relevant VE and virtual business theory and exploiting Michael Porter's 5 Forces model, this paper analyses mid- and small-size shipping companies' situation and proposes logistics virtual business.This paper forms the framework of a VE, studying the scope of logistics service, the cooperation with customers and cooperators, the process of virtual business and the organization.This paper puts emphasis on the detailed transaction process of a VE as follows.Firstly, two basic preparations, which are mandatory for virtual logistics business strategy, are deeply analyzed. One is the reforms of internal management system, involved with reforms of enterprise management idea and method, enterprise culture and organization. The other is the construction of the information platform, including analysis of function requirements, according to which function models are designed.Secondly, with the combination of project management, logistics management and VE management, a total solution of virtual logistics business management and process is designed, covering the market opportunity analysis, the solution design, methodology of choosing cooperators, complete logisticsmanagement system and etc. Especially, the main points in each stage of a virtual logistics project are highlighted and discussed.Based upon above, a real company, Jiangsu Ocean Shipping Company, which is a medium-sized shipping company, is analyzed in this paper and some suggests are put forward on the reform and construction.