China Logistics Employment Status Report Stenden Hogeschool Emmen Oct/2011

Student name: Tingdong LU Student No. 21015988 Class: ILM2B

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Table of contents
Introduction .................................................................................................3 Chapter 1 Chapter 2 the current situation of domestic logistics market ................4 the category of the needed talents of logistics ......................5

purchasing personnel ............................................................................5 Retail expert ..........................................................................................5 Supply chain management experts .......................................................6 Human resource management experts ..................................................6 Chapter 3 the logistics in Wuhan city (china)........................................7

Logistic industry experts supply and demand situation .......................7 The problems of training the logistics experts......................................7 Chapter 4 the future of Wuhan logistics specialists ...............................9

Reference ..................................................................................................10

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Introduction
As the logistics students in the international university, we should know the national current situation about the logistics and the logistics employment status. Only in this way, we can direct our study and work plan in the future. As we known, china labor market is potential significant area. The labor force in china is abundant and cheap. It is increasing critical to the global market. At to logistics area, the market in china is immature and backward. They still keep their eyes on the basic transportation and warehouse. So, we need the different relevant professional logistics people to active the china logistics market. Only in this way, the logistics market in china could real become modern and strong, and push the whole china economic development. Because I was born in Wuhan city, I saw the development in the last 20 years by myself. I realize the city then others. So, I choose Wuhan as the target of my report. Wuhan as one of the critical transportation centers in the domestic, logistics industry also develops to the front; the human resource is the basic point of everything. One company will never have the initiative of the competition in the market without own the excellent professional talents. Now Wuhan city lacks of motivation of demand of the specialists, no aware of the significance of the experts of logistics. The current situation is the three fourths entrepreneurs lack of the planning for the human resource management. The scale of the logistics enterprises are too small, weak power, and lower benefit etc. If Wuhan city want to build the logistics industry to the high level of openness, marketization, internationalization logistic center, must put the point to build up the modern logistics talents team.

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Chapter 1

the current situation of

domestic logistics market

Currently, based on the related data statistics, as the china logistics industry developing, the shortage of the logistics talents has got to 500,000. Even until 2010, the need will keeping upper then 200,000. But the current situation is all kinds of colleges and technical schools can only foster 10,000 students approximately, and 100,000 people are educated during their work. The logistics need large numbers of people with abilities, besides, the need of the professional talents still keep increasing at 15%. From the official website of related department of labor, due to the proportion of the demand and supply, the salary also keep rise. it is hard to look for a specialist with a annual salary about 10,000 is not a news anymore. Today, the domestic logistics developing dramatically, and the demand for the specialists rise at the same time. However, the logistics specialists have already been evaluated as one to the top 12 short of experts. The relevant experts said: the companies need the modern logistics experts. As the experts introduced, the situation of the lack of the logistics talents currently, due to the logistics specialists education does not catch up with the demand of the economic development. And this urgent problem cannot be addressed at a short term. Different industries need different logistics person. For example: most of the manufacturing industries focus on the main products which whether can bring the benefit to the company, not the core logistics management and operation. If focusing much on it, must will influence the operation and development of the core business, moreover, the relevant cost also will increase. So, under this situation, the goal which the companys training might be how to integrate the supply chain and the strategic restructure: how to solve the warehousing, transportation problems by outsourcing; how to improve the customer service level and reduce the cost of transportation by cooperate with the strategic partners. And the training goal of the transportation company and the third part logistic industries are how to choose the optimal transport route, reduce the no load ratio, and location choice of the warehousing and distribution center etc.

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Chapter 2

the category of the needed

talents of logistics
Purchasing personnel
Now, during to the the 11th of five-year project by the government, the manufacturing industries over-move to the modern service and trade industries, foreign and domestic capital invest in building the purchasing and sale operation center, meanwhile, manufacturing industry, retail trade and construction business need the amount of purchasing people, especially good at the purchasing plan, purchasing item management, bid and tender, negotiation, material control, cost control etc. as the statue of purchasing mission increasingly rise in the companys strategy, cooperation become the important guideline of the team spirit, also the point which keep a foothold in the market where the supply chain being the key issue. The practice proved the employees under the supply chain system need to save the cost utmost during the operation of purchasing. Not only the price factor need to be considered, the operation of each segment should be realized, classify the different characteristics, functions and meanings in each purchasing segments. Nowadays, purchasing becomes more international, diversification, cross country and region. So, the person should have the abilities of foreign language communication skills, pay attention the fluctuation of the raw material price and atmosphere in the area of purchasing, and can find the problem immediately and predicted.

Retail expert
When come up the topic of retail specialist, lots of company will fell dizzy. As the entire open of the domestic retail trade in the end of 2004 and comprehensive use of the multiple chain form, the domestic commerce department recommends the country corporations and products as the state-owned-brand-strategy. In addition, the chain business and franchise etc. the disparity of between the demand and the retail experts who have the skills of technique, sale, management, law become more and more huge. As related documents illustrate, the percentage of the experts who have the education level higher than junior college only occupy 3% in the domestic retail business. Some companies rob the experts from other places. At the short term, they can solve the problem temporary. But take long views, it makes the cost of human resource increase, and may lead the company out of the right track of the develop direction. Only combine the real situation of the company own, cultivate and recruit experts could let the company runs smoothly on the experts chain.

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Supply chain management experts

It is well known that, on the contemporary society, the competition between companies with company actually is the strife of the supply chain. As the upsurge about build china to theglobal production base, lots of entrepreneurs recognize the supply chain management becomes the critical segment of becoming an excellent enterprise. The traditional logistics manager only face the segment of the corporation, cannot adjust to the conformable supply chain requirement. The SCM combine the information of the internal and external, so the manager must have the ability of practical operational experience of forecast sell, purchase, plan, and material delivery, import and export etc. but the situation is the experts we talked about now is hard to looking for. The experts tasks are to plan, cooperate, operate, control, and improve all set of activities to the whole enterprises supply chain system. Their goals are deliver the right good to the right place at the right time with the right quantity, right quality and right status, at the meantime, control the cost to be the lowest.

Human resource management experts

This kind of person should know the enterprise management, strategy management, financial management, human resource management. The experts thought, no matter in state owned cooperation or private and foreign-owned enterprises, the HRM play the part of integrate, explore, maintain the internal human resource. By optimize the collocation of human resource, to meet the needs of the development of the enterprise.

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Chapter 3 (China)

the logistics in Wuhan city

Logistic industry experts supply and demand situation1

As the relevant statistics illustrate, there are 1,500 approximately logistics industries in Wuhan. And research team picked up 465 industries which generally represent the total status of the logistics experts supply and demand situation in Wuhan. 1. The total amount of the logistics experts. There are 39116 all kinds of specialists in the 465 logistics industries, including 10180 intermediated experts, which occupying 26% of total team. Compare with other cities, is half of Shanghais, equal with Qingdao. 2. The structure analysis of logistics experts Traditional logistics play a dominant role in the market. Transportation and trade and commerce take 82% of the whole share of total companies and 78.9% of the experts amount. Unfortunately, the manufacturing and E-business as the pillar and modern industries, do not show the increase development. The private company develops dramatically. The transportation and cargo forwards as the support activities, which take 79.2% of the city logistics industries, but the percentage of the experts even lower than 30%. All different level logistics bases become the important areas to attract the experts. 21 logistics bases own 209 logistics enterprises. And have a variety of experts 14,158 which take 34.5% of total amount, including 5367 senior specialists who take 48.8% of all. The obvious lack of experts about the third party logistics. Based on the 1PL and 2PL of warehousing and delivery experts take the percentage of 77.4%. Although the number of 3PL is large, mainly they are working on the general goods agent, the experts number only take 22.6% of all.

The problems of training the logistics experts

1. The lack of motivation of demand of the specialists, no aware of the significance of the experts of logistics. 2. The current situation is the three fourths entrepreneurs lack of the planning for the human resource management in the next 5 years. As the researchers said, only 116 enterprises recruited the talents forwardly at last 3 years, and 135 companies ever trained the employees who working about logistics. Only 75 enterprises have the blueprint about the talent import in the future, which less than 20% of the
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researched companies. And the some reasons illustrate as following: The scale of the logistics enterprises are too small, weak power, and lower benefit. There are 58 logistics enterprises with A grade in the whole domestic, but there is no one company in Wuhan on the list. Due the current companies are changed from the prior transportation and warehouses industries, the public are short of the professional logistics theory and advanced management ideas. The method to attract the professional specialists is leg behind. In the domestic, the public has the ambiguous concept with logistics, low standard and treatment lead to low attraction to the relevant talents. Only with the large number of professional logistics experts, could develop the modern Wuhan logistics industry. We need the employee with the experience, know the modern logistics informatization management and SCM, and who and work on the develop plan, logistics strategy management, and agent.

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Chapter 4 specialists

the future of Wuhan logistics

As the remarkable develop of economy, the logistics modernization is the certain trend. So the tasks we should overcome are as following: Turn the passive service to customer to the active customer relationship management. In the past, the logistics management pays more attention to the integration between internal tasks with organization, and forgets the quality of service to the customers. The logistics experts should have the ability of the sensation between the demand of customer and the market development trend. Only in this way, can we keep the market, moreover, the customer. The enterprise should change the mind of self- centered and more for their own benefit. But now need to integrate the enterprises, through the combined plan and operation, become the high integrate supply chain system. So this need the logistics experts have the macro operation concept, can hold the whole development track on the high point. Under the SPM system, the companies must share the information with others, otherwise cannot form an efficient and effective SCM. The talents couldnt catch up some critical data by their limited theory to decide the efficiency of logistics management and development trend, they should based on the dynamic technology development to judge the direction, then get the optimal solution and plan.

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Reference
http://www.zhongsou.net/%E7%89%A9%E6%B5%81%E5%9C%A8%E7%BA%BF/ news/7673997.html http://blog.tianya.cn/blogger/post_show.asp?BlogID=327274&PostID=7813319 http://www.66163.com/lideedu/newsinfo.php?id=842&lanmu=rdxw http://www.21train.cn/frontaid/oneclassinfor.jsp?newsid=233

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