Research on the implementation of e-commerce strategy in steel trade enterprises

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According to statistics, 2011 China's domestic crude steel production of 695.5 million tons, an increase of 8.9% per cent, significantly higher than the apparent consumption of 610 million tons, oversupply of market contradictions further intensified. And there are nearly 200,000 iron and steel traders in China, the market competition is increasingly fierce, and the trading model tends to diversify and complicate. Among them, the electronic commerce has become more and more the development direction of the iron and steel trade enterprise with its open, transparent, fast and convenient characteristics.

So, how to implement E-commerce strategy in traditional iron and steel trade enterprises with weak foundation of e-commerce awareness and technology? The author tries to discuss the following five steps:

The first step is to establish the correct concept of e-business. To enable enterprises to fully establish the concept of e-commerce, to enable the leadership to fully understand the connotation of E-commerce, E-commerce is not only on the internet to see quotes, hair resources, advertising, but the entire steel trade flow of information flow, business flows, capital flows and logistics in the E-commerce platform to integrate and implement the process. We have to understand that through the E-commerce platform we can complete such as procurement, sales, tendering, auction, and even contract, payment, tax, logistics and so on a series of all trade business processes.

The second step is to establish an enterprise complete information management database. At present, most of our steel trading enterprises have invoicing management system, but most is not perfect and complete, just for the procurement, sales and inventory, such as electronic data management. In fact, a relatively complete steel trade enterprise information management database should contain 4 modules, supply chain Management (SCM), Product data Management (PDM), Enterprise Resource Planning (ERP) and customer Relationship Management (CRM), and these 4 modules require unicom and integration, data sharing, to achieve decision support, Transaction processing, procurement, sales, inventory management, risk control, fund management, tax administration and customer management, and so on.

The third step, actively participate in the steel E-commerce platform. Generally speaking, our country's iron and steel E-commerce platform is mainly divided into second-party E-commerce platform and Third-party E-commerce platform two, e-commerce transaction mode is divided into listing transactions, bidding transactions, special transactions, bidding and so on. Steel trade enterprises should be based on their own characteristics, analysis of advantages and disadvantages, choose the right E-commerce platform, active participation. Through practice, we can find that e-commerce compared to traditional steel trade transactions, can greatly save time costs, human costs, capital costs and channel costs, improve economic efficiency, to a faster, deeper, more extensive development of consumer markets, but also to close contact with suppliers, buyers, Service providers and so on all aspects of the industrial chain, and constantly expand the development of enterprises space.

The fourth step, strengthens the enterprise electronic Commerce security management. Participate in E-commerce, supply and demand both sides through e-commerce platform for iron and steel transactions, traders may not know each other, and no matter how tight and perfect e-commerce trading system, there will always be unexpected security vulnerabilities and hidden dangers. At the same time, the internal personnel due to improper operation caused by data loss, document damage and so on the security of traders is also a constant threat to the iron and steel trading enterprises e-commerce security.

The fifth step is to perfect the training mechanism of enterprise e-commerce personnel. E-commerce as a new business model from the real rise, development, but only a short period of more than 10 years, its basic connotation, concepts, mechanisms, models, rules and so on are constantly updated, steel trade enterprises need to improve the enterprise E-commerce personnel training mechanism, emphasizing continuous learning, So that the implementation of E-commerce enterprises can continue to update, extend and evolve, always keep the latest and best state.

Because of the influence of the historical factors, each enterprise has its own different characteristics and problems, the implementation of the enterprise e-commerce strategy cannot be exactly the same. Enterprises should develop and implement their own e-commerce strategy according to their own development, in order to optimize the allocation of resources, strengthen supply chain management, refine organizational structure and integrate business processes to enhance the core competitiveness of steel trade enterprises. (Mei 570360590@qq.com July 6, 2012)