As a world-renowned fashion e-commerce platform, SHEIN has become an industry leader with its excellent warehousing and logistics management model. Its unique supply chain strategy and innovative logistics and distribution model enable products to be delivered to customers at a faster speed, providing users with an excellent shopping experience.
First, SHEIN has established three different types of warehouses around the world, including domestic central warehouses, overseas transit warehouses and overseas operation warehouses. The purpose of this distribution strategy is to improve delivery efficiency and deliver products to customers as soon as possible. The domestic central warehouse is mainly used to meet domestic market demand, the overseas transit warehouse is used as a transnational distribution transit station, and the overseas operation warehouse is used to serve specific overseas markets. Through effective warehouse distribution, SHEIN has achieved global logistics network coverage and provided users with fast and reliable logistics services.
Secondly, SHEIN pays attention to the partnership of the supply chain and requires suppliers to actively cooperate with its high-quality service requirements. Close cooperation with suppliers is one of the core contents of SHEIN’s supply chain model. In return, SHEIN supports and promotes the sustainable development of suppliers. Suppliers need to complete order delivery within 7 to 11 days and have highly flexible small batch order processing capabilities. To ensure product quality and customer satisfaction, SHEIN has very strict service and quality requirements for suppliers, including detailed regulations and audit standards for delivery speed, product quality, etc.
In order to efficiently manage factories and workers, SHEIN introduced the supply chain MES (Manufacturing Execution System) management system in supply chain management. The system realizes comprehensive management and monitoring of the production process, ensuring the dual improvement of production efficiency and product quality. The supply chain MES management system can achieve digital transformation from data collection to supply chain management, and improve the visualization and transparency of the production process. Through the supply chain MES management system, SHEIN can better coordinate and optimize production resources, reduce time and resource waste, and improve production efficiency and flexibility.
In terms of supply chain cooperation methods, SHEIN innovatively adopted the FOB model (Free On Board), that is, designers and buyers participate in sample design, and then the supplier completes the production. Through SHEIN’s self-developed tracking system, designers and buyers can capture product pictures from various clothing retail websites around the world, and refer to hot searches and trends in different countries to predict popular elements and design new styles. Through front-end data collection and the intervention of the design team, SHEIN meets market demand in a more efficient way, launches new styles in a timely manner, and improves market competitiveness.
In general, the success of SHEIN’s warehousing and logistics management model lies in its global logistics network, close supply chain cooperation, the use of supply chain MES management system and innovative cooperation methods. These factors have jointly contributed to the rapid delivery and sustainable development of SHEIN products. In the future, SHEIN will continue to focus on optimizing logistics routes, improving supply chain efficiency, and continuously improving and innovating through data-driven methods to provide users with a better and faster shopping experience.