Comparative analysis of the cosmetics supply chain imported from China to Thailand

Abstract

China's e-commerce has entered the Red Sea stage, and there are many cost-effective products. Due to the same cultural origin and fashion trends in Southeast Asia, Chinese products can have a certain market in Thailand, coupled with China's One Belt One Road policy, and the governments of the two countries have friendly relationship with China allowing Chinese to market it products much easier in Thailand. Through the literature review, we mainly focus on two supply chain models, one is using ERP system; the other is conducting with the traditional way. We will apply the Supply Chain Operations Reference (SCOR) model to analyse the integrity of the supply chain process and it’s performance indicator system so as to compare which is a better supply chain. According to the process definition of the SCOR model and the first-level performance indicator system, this research result shows that the process in company A's supply chain is incomplete, the division of department functions is unclear, and there is no complete performance indicator assessment system. Company B's supply chain process is much more complete and has coherent performance indicators, as well as a cost efficiency and asset management system within the company. Verification is carried out based on the research results, and the results obtained in the verification part are basically consistent with the direction of the research results. The performance level of the supply chain using ERP is higher, and the verification part also analyzes the situations that indicate that the ERP system should be introduced in the supply chain.