Huang Liurong Primary Author

According to relevant statistics, in the value-added process of the supply chain, only 10% of the activity time is value-added, and 90% of the time is wasted. Through a series of analysis, an important reason for these problems lies in the backward distribution and inventory management methods. Traditionally, each link of the supply chain has its own inventory control objectives and corresponding strategies, and there is a lack of information communication between each other. Monopolizing inventory information with each other inevitably produces "bullwhip effect", which makes suppliers unable to meet users' demands quickly and accurately. Gradually, a new supply chain inventory management method - VMI came into being, which broke the traditional separate inventory management mode, embodies the integrated supply chain management thought, and is a new representative inventory management thought. Aiming at the concepts of lean supply chain, inventory management, VMI and third-party logistics, this paper mainly tries to systematically study the implementation mode of VMI and analyze the comprehensive benefits of VMI mode, thus laying a foundation for establishing an open and transparent inventory management and supervision mode.