Research On The Mode Of Automotive Spare Parts Logistics

With the rapid growth of holding quantity of automobiles in China, the routine maintenance service has become a huge market. Automotive spare parts logistics as an important part of the after-sale service has directly influences the cost and quality of the service, which makes most automotive OEMs and dealers begin to focus on this market.In this paper, we focus on the spare parts logistics for after-sale service and analyze the impact of different logistics modes on the logistics costs. By comparing the two different logistics modes, i.e., direct distribution and milk-run distribution, we illustrate the different costs components of these two modes. In specific, we first analyze the process, cost components and characters in management of traditional direct distribution, and then we also analyze the process, cost components and characters in management for milk-run distribution mode; after that we compare the two modes. Finally, we use the case of D company to illustrate the two different modes.Our conclusions suggest that direct distribution mode yields higher logistics costs and more difficulties in implementing which makes the enterprises uncompetitive in the service market. On contrary, the milk-run distribution mode has a comparative advantage in management and cost, which can effectively guarantee the quality of automotive spare parts, and control the whole car spare parts logistics chain at the lowest cost.