Research on the Application of Warehouse - Distribution Integration under Vendor Managed Inventory Strategy

The advent of globalization and technological advances has driven the logistics industry into a period of rapid transformation, bringing new challenges and opportunities in the area of supply chain dynamics and operational procedures. In this evolving scenario, the Warehouse-Distribution Integration (WDI) through strategies such as the Vendor Managed Inventory (VMI), has emerged as a key factor in enhancing efficiency and competitiveness. Therefore, the paper explores the integration of WDI into VMI strategies, emphasizing their implementation and the potential for enhancing logistics efficiency. Existing studies related to VMI and WDI are reviewed, focusing primarily on the operational procedures, impacts, and benefits associated with such integration. And the logistics operations and challenges faced by a particular company, Yonghui Superstore, are examined to illustrate the necessity for efficacious warehouse and distribution integration under a VMI strategy. Through VMI cost modeling, it provides strategic insights for improving logistics efficiency and reducing costs. The results indicate that logistics strategies must be aligned with the changing global environment and provide avenues for future research into the benefits of VMI integration.