Kuehne + Nagel has partnered with JD.com to design a supply chain solution for the Chinese online retailer.

According Kuehne + Nagel, the technology-driven solution includes quality control checks at origin, and provides JD.com with stock-keeping unit visibility over its inbound supply chain before products are imported to China. The solution was implemented within twelve months in an origin warehouse in Japan.

“Within a challenging environment we were able to develop a blueprint for JD.com’s Transfer Centre approach and implement this project in Japan,” said Wong Siew Loong, president of North Asia Pacific at Kuehne + Nagel. “This collaboration is in line with Kuehne + Nagel’s focus on supporting the supply chain needs of China’s e-commerce leaders. We look forward to working on the establishment of other transfer centres across the globe in the near future.”

Goods were previously shipped directly from the brand manufacturers and inspected at destination warehouses in mainland China, but products would often arrive damaged, expired or in incorrect quantities. Kuehne + Nagel’s new approach incorporates quality control checks at the consolidation warehouse at origin, prior to shipment to China. All information systems are integrated with JD.com’s warehouse management systems.

This new approach has also allowed JD.com to maintain closer relationships with brands, benefitting JD.com’s own consumers with improved product availability and guaranteed quality.

“We are pleased with the new Transfer Centre Kuehne + Nagel has designed for JD.com and the successful implementation of the project in Japan,” said Han Liu, general manager of international supply chain at JD Logistics. “We are confident that the improved supply chain will provide our brand partners with an even more reliable e-commerce channel to market while further assuring that our users always receive goods of the highest quality when shopping on JD.com.”