Research On The Logistics Cost Control Strategy Of Local Power Supply Company

As China’s economy continues to develop in recent years, the company’s growth continues to accelerate. The scale, profitability and management of the company are now gradually transforming into the modern enterprise. In open and competitive market environment, if the technology does not occur some transformative updates, the production cost of the company will meet some bottlenecks when declining due to the needs of business operations. While supplies as a new source of profits, its cost can be controlled through the development of policies or strategies. The strategy can significantly reduce the overall costs of logistics activities of enterprises, and also can ensure the supplies capacity.This papers reviewed the composition and the impact factors of M electricity supply company’s logistics cost, and based on which, it elaborated the logistics management tasks and organizational forms. On the nonprofit work characteristics, this paper showed the workflow and related content, revealing that the most basic management processes were plan management, procurement management and storage management. According to the analysis, this paper studied the current state and used the project data as quantitative analysis, designed the strategy of overall optimization by the implement of erp system. Also this paper constructed the procurement cost control strategy which would be done by the establishment of standardized system, a mixed purchase mode and multi-supplier cooperation model. As well as the paper build storage strategy from the measures of from strengthening the plan management, the development rational order quantity, reasonable storage amount and the storage structure. So that this paper can establish the cost control strategy which can fit in the need of M electricity supply company, making sure that the company have efficient material supply under the premise and showing that the method and basis to achieve the consumption and cost. The study can provide method and practice to transform the electricity supply company into modern logistics management.