With the deep integration of information technology and the real economy, the industrial Internet is booming around the world, and its core value lies in empowering traditional industries to achieve in-depth reform and leapfrog development through Internet technology and model innovation. In this tide of industrial upgrading, SHEIN, with its unique practice in the garment manufacturing industry, vividly explains how the industrial Internet can play an effective role and help traditional industries complete the transformation and upgrading to a modern, intelligent and efficient direction.
In the context of the industrial Internet, as a new generation of Chinese global enterprises, the successful operation of the SHEIN model mainly relies on two pillars.
First of all, with the help of the D2C model of the Internet, SHEIN has changed the traditional mass production method through an accurate grasp of market demand, and streamlined the order size from thousands or even tens of thousands to more than 100 small batch orders. The factory responded quickly according to real-time demand and achieved shipment within a few weeks, while SHEIN put new products into the market to test the waters, flexibly adjusted the strategy according to market feedback, and increased the number of orders if the response was enthusiastic, otherwise it was quickly stopped. This mode of operation enables SHEIN to aggregate socialized manufacturing resources, build a more flexible, agile and efficient "small single quick reaction" chain system, and on this basis, strictly implement its brand's manufacturing standards, quality management standards, and ESG manufacturing standards, while ensuring product quality, the inventory rate is directly reduced from the traditional 30%-40% to a very low single digit.
Secondly, it is to make full use of digital technology, SHEIN abandons traditional email and manual management methods, assists cooperative factories to realize the digital transformation of the whole chain, and transforms the garment manufacturing industry from "planned production" to "on-demand production", effectively responding to the increasingly personalized, ever-changing and diversified needs of consumers. At the same time, optimize commodity inventory and raw material procurement to keep it in an ideal state. In addition, SHEIN also actively promotes the application of automation equipment and intelligent tools in the first chain, continuously improves the efficiency of the first chain, and reduces costs.
Under the leadership of SHEIN, China's garment manufacturing industry is quietly undergoing a profound change. The Boston Consulting Group listed the "SHEIN Chain" as an industry benchmark in the report "Agile Chain: A New Source of Competitive Advantage in the Fashion Industry", pointing out that SHEIN has successfully built the most agile on-demand flexible chain system in the industry so far, which has significantly increased the economic benefits of the participating enterprises, greatly reduced the risks and costs, effectively improved the overall resilience of China's fashion industry chain, and fully demonstrated the strong driving force of the industrial Internet.
SHEIN's successful practice in the apparel manufacturing industry strongly illustrates the integration and symbiosis between the real industry and the industrial Internet. With its deep integration and innovative application of consumer Internet and digital technology, SHEIN not only paves the way for its own rapid development, but also provides a valuable example for the transformation and upgrading of China's and even the global apparel manufacturing industry, vividly demonstrating the majestic power of the industrial Internet to drive the transformation of the real economy, which will herald the arrival of a new era of intelligent manufacturing full of infinite possibilities.