IDS International A Premier Supply Chain Management Service Company

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IDS InternationalA Premier Supply Chain
Management Service Company
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Moving Towards Virtual SCMSCM Challenges in a
Global Trading Company Li and Fung Experience

• IDS Logistics International a virtual global
  SCM business model
• Core Capabilities
• Integrated Flow Services DDP Program
• Export DC Inventory Management
• Case Studies
• Import supply chain integration
• Export supply chain re-modeling
• Our China Advantages
• About IDS Group

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- A true Asian multinational

• The IDS Group is a member of the Li Fung family
• Founded 1906
• First Chinese-owned company to engage in foreign
  trade
• Turnover in excess of US5 billion. 13,000
  employees
• Recognised as a leader in supply chain management

Li Fung Trading Sourcing and export-trading in
soft and hard goods. A supply chain management
company serving Fortune 500 clients
Li Fung Retailing Retail operator and license
holder of Toys'R'Us in Asean Circle K
convenience stores in Greater China
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Three companies working hand-in-hand
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IDS Logistics operates an extensive Pan Asian
logistics network, driving an uninterrupted flow
of goods at maximum efficiency for the lowest
cost.
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• 40 distribution centres and depots of over 3
  million sq ft
• Common warehouse management system EXceed 4000
  and proprietary web-based application to provide
  real time visibility of inventory, delivery
  status and KPIs
• IDS Logistics International integrates global
  supply chains and optimizes product flows

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IDS Marketing is intimately familiar with the
fine details of Asian markets, and distributes
hundreds of consumer FMCG healthcare
pharmaceutical, medical and dental brands.
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The IDS Manufacturing is built on over 40 years
of Asian in-market expertise producing thousands
of world-renowned product lines.
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IDS LogisticsInternational- global logistics
network and services

• Specializes in managing global supply chains
  based on dynamic supply and demand changes
• Provides valued logistics services from
  manufacturers to distribution centres or retail
  points
• Aggregated buying of services from
  best-in-class providers
• End-to-end information pipeline to drive supply
  chain visibility and velocity
• Virtual global logistics network not restricted
  to any specific facility or service provider
• Innovative solutions to achieve cost
  competitiveness and inventory reduction

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What is Your Supply Chain Competitive Edge? of
Company Revenue Spent on Supply Chain Activities
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IDS Logistics International focuses on
improvement of landed costs and working capital.
Core Capabilities
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Supply Chain Integration
Management Co-ordination of the Global Supply
Chains between Manufacturers and Regional DC/
Retail Outlets
Drayage
Customs
Insurance
Financing
Port Services
Shipping Lines
Frt. Fwd
Asia Export DC
International Suppliers
Destination Markets
International Freight
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Information Platform for Integrated Solutions
Import Direct Trigantic Extranets
Global Supply Chain Center
Transaction platform, product catalogue,
suppliers, procedures, self-help manual, query,
reports, customer service
supply chain analysis, inventory management
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Information Pipeline ViTAL
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Visibility Intelligence
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Case Studies
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Import Supply Chain Integration
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Import Supply Chain Integration
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Import Supply Chain Integration

• Reduce Leadtime
• 35 days leadtime cut to 5 days
• Reduce Inventory Holding
• 4 month inventory coverage cut to less than 1
  month
• MOQ to 1 case
• Lower pricing, higher margin, faster response
• Market share from distant 2 to prominent leader
  in less than a year
• Supply Chain model impacts business results
  significantly

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Export Supply Chain Modeling- Leveraging our
Asia Pacifics infrastructure
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Export Supply Chain Modeling

• Before IDS

Factories in China
vendor shipments
inter-DC transfer
international shipment
DCs in UK
retail delivery
Markets
Germany DC
Australia DC
Japan DC
South Africa DC
U.S. DCs
Wholesalers or Retails
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Export Supply Chain Modeling

• After IDS

Factories in China
vendor shipments
international shipment
China hub
retail delivery
Markets
Germany DC
Australia DC
Japan DC
South Africa DC
U.S. DCs
UK DC
Wholesalers or Retails
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Key Export Supply Chain Initiatives

• Import Direct, Buy Local - low landed cost, high
  inventory turn, maintain service level
• Global sourcing and procurement
• Centralized inventory holding and replenishment
  at Global Export DC (Hub)
• Optimized consolidation
• Continuous replenishment (Buy less, more often)
• Collaborative global/regional promotion and new
  product introduction
• Move costs upstream improve bottomline and
  balance sheet
• Lower warehousing handling and storage costs
• Reduce working capital
• Minimize capital expenditure on distribution
  centres

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Our China Advantage

• Central Hub at China inventory holding,
  consolidation, labelling, packaging and
  palletization
• Destination DC cross-docking and bypass
• Distribute in China via 34 IDS DCs/depots

China Global Hub
US hub
Europe hub
International freight
Vendor delivery
Retail delivery
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Thank You!
Tommy Lui General Manager IDS Logistics
International Phone [phone] Fax
(852)2645-5813 Mobile [phone] Email
tommy.lui_at_idsgroup.com 14/F, LiFung Centre, 2
On Ping Street Shatin, NT, Hong Kong