Research on VMI Operation Mode Based on TPL

Abstract

Vendor Management Inventory (VMI) is an integrated supply chain inventory management mode, as the intermediary of suppliers and customers, TPL provider's participation with VMI inventory management functions in resources integration, costs reduction, service levels improvement and risk reduction. Based on the thought of the existing Vendor Management Inventory, this article further discusses the VMI operation mechanism and flow. It uses the related supply chain and logistics management theories to analyze the characteristics of TPL (Third-Party Logistics) providerpsilas participation in VMI operation and further offers VMI operational mode based on TPL.