JD Logistics, a business group under JD.com  China’s largest retailer, and Blue Yonder, Inc. (formerly JDA Software, Inc.), the leading provider of artificial intelligence (AI) and machine learning (ML)-powered supply chain solutions, have formed a strategic cooperation agreement. Both parties will work together to provide supply chain transformation solutions for merchants in China to solve a series of business pain points in order to improve efficiency and end-to-end supply chain collaborative management.

Operating excellence via empowering local enterprises

A global company with headquarters in the United States, Blue Yonder now has more than 3,300 customers, including 73 of the top 100 retailers, 77 of the top 100 consumer goods companies and 8 of the top 10 global third-party logistics providers. Blue Yonder is the industry’s first and only digital fulfillment platform provider, powered by AI/ML. Taking advantage of cloud-based SaaS solutions and advanced technologies such as IoT, AI, ML and 5G, Blue Yonder is dedicated to improving the automation and efficiency of the supply chain.

JD Logistics’ value supply chain team has served hundreds of merchants, helping its biggest client save approximately RMB 40 million each year in logistics costs.

Using AI and ML, Blue Yonder can create simulations based on forecast data. JD Logistics can complement this theoretical data, known as “planning data,” with its real experience and insights regarding front-line execution. Empowered by the joint efforts of JD Logistics and Blue Yonder, JD Logistics’ partners and merchants can achieve operational excellence.

JD Logistics has been sharing its in-house technologies and systems with its partners and merchants for several years, as well as customizing algorithms and models based on its partners’ different channels and business scenarios. JD Logistics has developed more than 1,000 mature models to support the supply chain optimization for different industries, categories, and scenarios. By integrating Blue Yonder’s capabilities, JD Logistics will be able to help its partners and merchants increase their ability to monitor and respond to ever-changing customer needs while predicting and preventing potential supply chain disruptions.

Sustainable development and mutual benefit strategy

Both companies are committed to furthering their contributions to combating environmental pollution and resource waste, and to collectively helping clients reduce waste and achieve mutual benefit.

“Supply chain optimization, more so with AI and ML, reduces waste, increases utilization, and improves margins (no trade-off or compromise is necessary). Consumers now more than ever are requiring companies to take up more social responsibilities, leadership, sustainability, company culture, vision, innovation, customer relationship and community participation,” said Antonio Boccalandro, President of APAC, Blue Yonder. “This is another milestone in our cooperation in these areas, and it will facilitate the supply chain transformation of Chinese companies.”

“We are honored to have the opportunity to form an alliance with JD Logistics to explore the China market,” said Nitin Gangla, VP of APAC, Blue Yonder. “I have visited JD Logistics many times and was really impressed by their forward-thinking ideas and down-to-earth professionalism. We expect to expand our cooperation with JD Logistics to lead the next-generation supply chain transformation.”

“As leading global supply chain service providers, JD Logistics and Blue Yonder share important common ground. We both focus on creating value in the supply chain industry, as well as the exploration and application of smart digital devices and innovative technologies,” commented Bing Fu, Head of strategy at JD Logistics and VP at JD Group. “The resource sharing enabled by this strategic partnership will enable a brighter future.”