<strong>China: STMA Urges Promotion of In-depth Integration between Innovation, Logistics</strong>

Source from:  TobaccoChina Online 06/28/2013

The State Tobacco Monopoly Administration (STMA) – the regulator of China's tobacco industry – has recently issued a set of opinions urging the tobacco industry to further promote in-depth integration between scientific-technological innovation and the business of logistics, to develop a modern logistics system meeting advanced world levels.

The issuing of the opinions is intended to promote development by the tobacco industry of China of "a precision logistics system based on science and technology that puts people first", and give full play to the leading and supporting role of logistics based on science and technology.

The opinions specifies a package of major tasks of the tobacco industry to develop the business of logistics based on science and technology:

Firstly, strengthening of management and innovation:

Efforts shall be made to actively make explorations for operation means and management models for practicing logistics by enterprises, and keep strengthening precision management of logistics and application of the Sigma approach.

Secondly, deepening of technological innovation:

Efforts shall be made to actively make explorations for innovation and application of new technologies including the Internet of things, and realize total awareness, whole-process controllability and intelligent processing.

Thirdly, strengthening of technological innovation:

Efforts shall be made to actively make explorations for applying new materials and new technologies, accelerating the promotion of development of low-carbon, "green" and efficient logistics, and actively establishing the idea of technological transformation for logistics.

Fourthly, enhancement of service innovation:

Efforts shall be made to actively make explorations for developing models of operation of logistics with integration between the manufacturing and commercial sectors of the tobacco industry and with integration among commercial retailers, and promote logistics customer service to higher levels.

Fifthly, promotion of informatization to higher levels:

Efforts shall be made to establish an information application system covering all processes of the supply chain of logistics of the tobacco industry in accordance with the general planning and technological requirement for informatization by the tobacco industry.

And sixthly, efforts shall be made to promote the development of standardization.

On the work over a next period of time, the opinions emphasizes that efforts shall be made to enhance awareness, strengthen leadership, bring the work of developing logistics based on science and technology under overall consideration, and establish and improve the relevant support management systems; to establish the relevant mechanisms, encourage innovation, and establish and improve working mechanisms and management mechanisms for innovation of logistics based on science and technology; and to develop relevant human resources, realize full staff participation, and enhance the capacity of independent innovation, innovation for improvement and integral innovation on the part of staffers for logistics. Enditem