HomePublicationsInsightsWhat if your supply chain was evaluated as a samba school?

What if your supply chain was evaluated as a samba school?

The schools are evaluated by harmony, drums, costume, master room and flag holder, samba, plot and evolution, among others, in a judicious way and in several moments of the parade, therefore it must be perfect from beginning to end.

To this end, schools start preparing months in advance, with hours of rehearsal, factory rhythm for making costumes and props and planning for the samba plot to excite the revelers. All this to make it a perfect show of exactly 70 minutes (and you can't run out of time!).

Imagine then that the operation of a company, regardless of the sector, was evaluated with equal criteria and rigidity by customers?

Starting with the “parade” time, what was the lead time agreed with the customer? Delivery on d+1, d+2? Companies, especially e-commerce, have proposed different ways to meet increasingly challenging deadlines. It is increasingly common to use lockers, hiring freight through delivery apps, even drones are already being tested.

If you didn't meet the agreed lead time, beware! Already lost precious tenths!

Another very important criterion evaluated by the judges is evolution. In this, it is verified that the progress of the wards was uniform and everyone was in the place and time that they should. In the case of a company, we might think that if we had an efficient “evolution”, there were no “holes” in our product flow and we had no stock out. Depending on the sector, the cost of this hole, the famous cost of lack, is very high and goes beyond the financial loss. In 2018, with the truck drivers' strike, several establishments were out of stock, including hospitals and clinics that were temporarily without receiving medicines and anesthetic material.

Was there a stock out somewhere in the chain? A few more tenths off.

The fantasy of school members is another evaluated criterion. Jurors seek to verify the making, finishing and condition of the clothes. Are our products preserved throughout the supply chain? How much is lost along the way due to cargo or packaging damage? Is part of the stock lost due to obsolescence or expiration? How does the company deal with the shelf life issue? This issue is clearer when talking about food and drinks. In some cases, poor conservation of products can compromise their consumption and become a loss for the company, in addition to raising a serious issue regarding food waste along the supply chain.

Have your products been damaged during the storage process? A few more tenths going away…

And what would a Carnival parade be without its drums? Considered by many to be the “heart of the school”, the drums are responsible for dictating the rhythm of the parade, involving the public and working in harmony with all the wings. It is through the “battery” of the supply chain that companies are able to follow the pace of demand and carry out their planning at the pace that suits the customer. We can make a parallel with the concept of S&OP/IBP and collaborative planning. When suppliers work together with their customers, in a mature forecasting and demand planning process, with use of artificial intelligence and machine learning, there is a cadenced chain, with more agility of response and efficiency.

Is your company's S&OP process not setting a harmonious pace for your company? Look at a few more lost tenths.

Finally, behind it all, there is the samba-enredo. He is the one who tells the audience the story of the parade, which tells the theme of the school and aims to involve the audience (who resists singing “Explode Coração…”). The message that is passed on to the customer, the communication that is made with him, providing transparency about the entire operation and personalizing services is fundamental for logistics. In a previous post, the use of artificial intelligence at Starbucks was discussed to improve the customer experience and minimize frustrations with outages, in addition to having more information about demand.

Does your company communicate with the customer? Does he know what the “samba lyrics” are?

These are just some of the dimensions that operations have to meet on a day-to-day basis. Every delivery, production and planning is a daily Carnival parade. What would your company score be? Would you be a Carnival champion?

5 years of experience in training, consulting and market research projects in Supply Chain for companies from different sectors such as Coca-Cola, LASA, Silimed, O Boticário, Monsanto, among others. Worked on inventory planning projects, logistical master plan, transportation and indicator management. He also participated in the development of the ILOS online courses on Logistics and Supply Chain, Procurement Processes and Industrial Management, in addition to research in the pharmaceutical sector.

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