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Post-Olympic Logistics Imagined by Olympic Logistics

"Without successful logistics, there will be no successful Olympics." This is one of the most honorable and stressful phrases for the logistics industry.

Since the Beijing Olympic Games began preparations, the beautiful imagination and action about the Olympic logistics feast has been unfolding at all levels. Now, the feast has begun, the flowers have their own masters. The dust has settled, examining the Olympic logistics battle, all parties have what gains and losses, which triggered the post-Olympic logistics imagination has begun.

Logistics feast

2008 Beijing Olympic Games, countries sent athletes, delegation members and media reporters about 200,000 people, the need to transport, storage of self-provided game equipment up to more than 1 million pieces; only nearly 20,000 athletes and referees from various countries on the team there are 80,000 pieces of baggage need to be transported and placed; in the huge delegation, the media corps and the competition team, there are as many as millions of people, and even more than a million people. There are also up to millions of people, and even larger groups of sightseers and cheerleaders.

Professor Ru Yihong of the School of Economics and Management at Northern Jiaotong University and others predicted that the logistics costs associated with the 2008 Beijing Olympics would be about 43.3 billion yuan, with direct logistics spending costs expected to reach 41.72 billion yuan, in addition to indirect logistics spending. Indirectly related to the Olympic Games in the catering and retail industry, tourism and other industries in the logistics needs of about 4.9 billion yuan, and the Olympic Games directly related to the scale of waste logistics also has 1.08 billion yuan of business opportunities.

And the China Federation of Logistics and Purchasing chief consultant Ding Junfa believes that "the Olympic Games and the Olympic logistics economy should not be viewed in isolation, because the Olympic Games is short-lived, but the impact of the long term, to the host country, the host city to bring great opportunities to help achieve the overall level of the city to improve."

This statement is true. It is reported that the Beijing Olympic Games logistics direct investment totaled more than 150 billion yuan, pulling the total magnitude of Beijing's GDP will reach 3 to 4 percentage points, pulling the national GDP will reach 0.3 percentage points.

Beijing airport logistics base can be said to change radically. With a complete service system, many well-known enterprises and rapid development momentum, through the relevant departments and domestic and foreign experts over a period of half a year for a number of demonstration, it was identified as the site of the Olympic Logistics Center. It is predicted that during the "11th Five-Year Plan" period, as the most important platform for the development of the logistics industry in the capital's airside economic zone, the Beijing Airport Logistics Base (including the Capital Airport Air Cargo Customs Clearance Base and Bonded Logistics Center) will complete the overall development of the 9.07 square kilometers of the current planned scope, introduce modern third-party logistics and related enterprises, and form an aviation logistics industry cluster of 1,000 companies. The airport logistics base (including the capital airport air cargo customs clearance base and bonded logistics center) will complete the overall development of the currently planned area of 9.07 square kilometers, introduce modern third-party logistics and related enterprises and form an aviation logistics industry cluster.

The Olympic Games held in Beijing also attracted more domestic and foreign capital investment in the transportation and logistics industry, especially international capital investment. After the success of Beijing's Olympic bid, foreign capital has entered the Beijing transportation and logistics industry. In addition, some well-known international enterprises have also entered the Beijing market to seek development, such as the world's retail giant Wal-Mart, Europe's three major home furnishing supermarkets B&Q, Obeid, Donghua Meilan and so on. The entry of a large number of foreign capital, to the domestic transportation and logistics industry to bring challenges at the same time, but also to make the domestic transportation and logistics enterprises in the business format, business philosophy and marketing model and other aspects of the fundamental changes.

Chinese and foreign competition

July 27, 2005 with the UPS was selected as the Beijing 2008 Olympic Games logistics and express service sponsors, Chinese logistics companies Olympic dream announced broken. The Beijing Olympic Logistics Center from the construction to the operation of foreign-funded logistics companies, but also exposed the urgency of China's local logistics companies need to grow.

The Beijing Organizing Committee of the Olympic Games ultimately chose the U.S. UPS is responsible for the unified management of the operation of the Beijing Olympic Logistics Center, the domestic logistics enterprises outside the door, there are outstanding reasons: after a century of growth UPS has developed into a multinational company worth more than 40 billion U.S. dollars, is the world's largest parcel delivery company to provide a wide range of services to enable synchronization of the flow of goods, information flow and capital flow In 1988, UPS entered China, and has experienced nearly 20 years of rapid development in China, with the successful experience of hosting the Olympic Games logistics, the ability to organize comprehensive logistics, as well as a high level of business operations and perfect international logistics system, which are beyond the reach of domestic enterprises, and is the fundamental reason for UPS to be finally selected. The fundamental reason why UPS was finally selected.

So, according to industry insiders, the current Olympic Games, Chinese logistics companies should learn more from the Olympic Games logistics providers to improve their logistics service level, and save up with others to compete or cooperate with the qualification.

And the efforts of local enterprises are well underway. In 2001, Sinotrans became the only senior sponsor of the Chinese Olympic Committee and the Chinese sports delegation in the transportation and logistics industry during the Athens Olympics, and fully assumed the Chinese sports delegation in the Athens Olympics and other large international games on the task of cargo transportation and logistics services.

A survey report from Beijing Jiaotong University shows that 92.1% of enterprises are willing to participate in Olympic logistics.

Post-Olympic direction

Professor Ru Yihong recently sent a proposal to the relevant departments of the Beijing Municipal Government, she said: During the Olympic Games, Beijing's international logistics capabilities, comprehensive logistics capabilities and emergency logistics capabilities have been a special, all-round test and exercise, showing a leapfrog development trend. However, since many of Beijing's logistics base facilities construction inputs and logistics policy making in recent years have been mostly centered around the Olympic Games, it is necessary for Beijing to re-examine and re-examine how to build a logistics system and logistics market that suits the future needs of Beijing's urban economic and social development after the Olympic Games. Among them, the development direction of harmonious urban logistics, comprehensive logistics hub, headquarters of logistics enterprises, internationalization of logistics services, and innovation of logistics research and development should be included in the vision of the Beijing municipal authorities in formulating the post-Olympics logistics development plan for Beijing.

She also suggested that the formulation of the post-Olympics logistics development plan for Beijing needs to focus on the planning of the construction of large-scale logistics bases, the cultivation of large-scale integrated logistics enterprises, the cultivation of international and composite logistics talents, the standardization of the logistics market regulation and the innovative logistics management and technological research and development.

Li Yanling, deputy minister of the logistics department of the Beijing Organizing Committee for the Olympic Games (BOCOG), provided a development direction for the post-Olympic logistics from the practical level, "Beijing's planning for the post-Olympic economic development and the comprehensive utilization of the facilities of the Olympic stadiums will make the exhibition industry a vigorously developed industry, and the conference and exhibition logistics industry will also gain significant development."

Convention and exhibition logistics refers to the industry that provides logistics services for conferences, exhibitions, fairs, sports and other kinds of activities. Since China's accession to the WTO, the convention and exhibition industry has developed very rapidly, with a current annual growth rate of 20%. As an emerging field, this industry requires logistics enterprises to be able to provide logistics and distribution solutions, and it also involves environmental protection, reverse logistics, bonded and other aspects of work. Due to the non-repeatability of exhibition activities, exhibition logistics requires enterprises to have accurate implementation programs. It can be said that conference & exhibition logistics is a form of high-end logistics. At present, enterprises engaged in exhibition logistics are mainly foreign companies such as UPS and DHL and larger domestic logistics companies such as COSCO. Dai Dingyi, vice president of China Federation of Logistics and Purchasing, said, "Convention and exhibition logistics has a very good development prospect, and its profit reaches 30%-40%, while the general logistics industry only has about 10% profit space."