Supply chain planning and management method:the fruit purchasing company case

Nakatani, Julio Kyosen; Neves, Marcos Fava

doi:10.1590/0100-29452018506

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Brasil

Revista Brasileira de Fruticultura

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Sumário

Ecomonia • Rev. Bras. Frutic. 40 (3) • 2018 • https://doi.org/10.1590/0100-29452018506 copy

Supply chain planning and management method:the fruit purchasing company case

Método de planejamento e gestão da cadeia de suprimentos:o caso de uma empresa compradora de frutas

Authorship SCIMAGO INSTITUTIONS RANKINGS

Abstract

On the world stage, Brazil is the third largest world fruit producer. However, purchasing fruit companies are suffering from the effects of fluctuations in production and demand, inefficiency in production and information trade, lack of understanding of the dynamics of supply and reduction in profitability for all members of the fruit production chain. The supply chain management has been touted as one of the ways to reduce this volatility and improve outcomes for all involved with the supply chain. However, results of recent researches do not relate it directly to the fruit industry. To solve this problem, the present research aimed to analyze the planning and management of the supply chain of a fruit purchasing company and identify contributions and improvements to the theories and methods related to supply chain management to propose a method for planning and management the supply chain of fruit purchasing companies. It was conducted a case study from a mango fruit purchasing company using interviews with industry experts to assess the applicability, functionality and usefulness from the managerial point of view of the proposed method. Data analysis was done through the cross analysis of the methods of the supply chain management and the description of the case. The results of the study allowed the development of a method for planning and management the supply chain of fruit purchasing company. With the proposition of this method is expected to contribute with a sequence of steps to assist in planning and management of supply chain managers and specialists from a fruit purchasing company.

Index terms
Planning; Supply Management; Methods; Fruits; Case Study

Sociedade Brasileira de Fruticultura Via de acesso Prof. Paulo Donato Castellane, s/n , 14884-900 Jaboticabal SP Brazil, Tel.: +55 16 3209-7188/3209-7609 - Jaboticabal - SP - Brazil
E-mail: rbf@fcav.unesp.br

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Sample	Criteria
Producers and / or producers' association of mango	The producer and / or association should be nominated through experts from pulp-producing companies and research and technical assistance entities.
Research and technical assistance agencies	The entity should focus on the development of mango production.
Companies producing pulp fruit	The company should produce pulp for the supply of other companies (B2B), and should meet specifications of production capacity, soluble solids content (° Brix) and way of preserving the raw material

Phases	Questions and actions
1 - Understand the structure of the chain whether company supplies	What are the main inputs (products or services) acquired or produced internally? What are the costs involved (acquisition, handling, transaction, storage, etc.)? What are the involved processes in production? What are the productive cycles?
2 - Conduct market research on the main inputs purchased by the company	Description of market characteristics and the operation of the main inputs. How many suppliers, products, brands, channels, prices? What services are offered to suppliers? What are the risks involved on location and macro-environmental?
3 - Conduct the diagnosis of each input in the company supply chain	What is the ratio of resources used X benefits? Choose from single supplier X multiple suppliers. What is the degree of sophistication on the relationships? What is the dependence degree on specific suppliers? What are the involved vulnerabilities and risks? Establishment of a priorities list for intervention in the chain. What are the global goals and the tradition of the company in the chain? Is there internal resistance to changes in the organization (cultural aspects and barriers)?
4 - Propose the structuring of the governance on each input in the company supplies chain	Analyze the economic margins of each agent in the supply chain. Identify and describe possible forms of capture value. Measure the gains of specialization. Build barriers to entry of new competitors. Promote development and inclusion using government credit lines
5 - Elaborate the contract (relationship)	Negotiate a "win-win" agreement within the supply chain. Describe the flow of products, services, communication, payment and information. Analyze the specificities of investments and the risks of these investments. Promote incentives and share the results of the chain's competitive gains.
6 - Conduct relationship management	Establish forms of governance with Council. Go through the evaluation of external commissions. Constantly seek reduction in transaction costs. Explore the innovation gains and share them in the supply chain. Benefit from the experience curve Continue with the benchmark process and the evaluation of alternatives (e.g. exportation). Seek innovation and avoid the risks of accommodation. Improve services and support. Share the open communication platforms. Be flexible and responsive. Promote collaboration and cooperation between different suppliers. Permanently increase confidence in the chain.

State	Market information
BA and PE	Concentrated production at Polo Petrolina / Juazeiro and focused on the foreign market and table consumption. At the peak of the harvest, which coincides with production in the State of São Paulo occurs a supply surplus that is not absorbed by the market and is directed to the industry.
SP	Production focused on the domestic market and industry. The fruit is perceived as of poorer quality than in the Northeast, mainly due to postharvest problems, due to the high incidence of anthracnose resulted to the higher rainfall at harvest time.
MG	Production concentrated in the region of Janaúba and focused on the domestic market. The main variety offered in the State is Palmer. The mango from the state is produced in the offseason of the mango from the Northeastern Brazil and the State of Sao Paulo with the aid of irrigation. The State is also the main producer of Ubá mango, variety widely appreciated for industrialization.
ES	Production focused on the industry. The main variety produced in the State is Ubá. Production through small producers and low technology use.

Items	BA and PE	BA	SP	ES
Average operating cost	R$ 10,000 to R$ 12,000	R$ 5,000 to R$ 7,000	R$ 5,000 to R$ 7,000	R$ 1,000 to R$ 2,000
Average Productivity	35-45 t/ha	10-20 t/ha	10-20 t/ha	5-10 t/ha

Factory	Local	Main input	Concentrator	Processing capacity.	Other fruits of interest
Factory A	Aracati (CE)	Cashew	Yes	29 thousand t / year	Pineapple, guava and mango
Factory A	Araguari(MG)	Passion fruit	Yes	27 thousand t / year	Pineapple, guava and mango
Factory B	João Pessoa (PB)	Pineapple	Yes	100 thousand t / year	Cashew, guava, mango and passion fruit
Factory C	Petrolina (PE)	Multi fruits	No	40 thousand t / year	Pineapple, cashew, guava, mango and passion fruit
Factory D	Petrolina (PE)	Acerola	Yes	21 thousand t / year	Cashew, guava, mango and passion fruit
Factory E	Petrolina (PE)	Mango	Yes	24 thousand t / year	Pineapple, cashew, guava, mango and passion fruit
Factory F	Vista Alegre do Alto (SP)	Guava	Yes	12 thousand t / year	Mango
Factory G	Matão (SP)	Guava	Yes	80 thousand t / year	Mango
Factory H	Uberlândia (MG)	Multi fruits	No	5 thousand t / year	Pineapple, cashew, guava, mango and passion fruit
Factory I	Cabreúva (SP)	Strawberry	No	5 thousand t / year	Pineapple, cashew, guava, mango and passion fruit
Factory J	Jaíba (MG)	Multi fruits	Yes	15 thousand t / year	Pineapple, guava, mango and passion fruit
Factory K	Nova Soure (BA)	Multi fruits	Yes	20 thousand t / year	Cashew, guava, mango and passion fruit
Factory L	Linhares (ES)	Mango	Yes	16 thousand t / year	Guava, mango and passion fruit
Factory M	Petrolina (PE)	Grape	Yes	70 thousand t / year	Mango

Source	Factory 1 - SP	Factory 2 - ES	Factory - BA
Aracati - CE	5,000-6,000	5,000-6,000	3,000-4,000
João Pessoa - PB	6,000-7,000	4,500-5,500	4,500-5,500
Petrolina - PE	6,500-7,500	4,500-5,500	4,000-5,000
Itaberaba - BA	5,000-6,000	4,000-5,000	2,000-3,000
Livramento de Brumado - BA	4,500-5,500	3,000-4,000	2,000-3,000
Linhares - ES	4,000-5,000	0-1,000	4,500-5,500
Jaíba - MG	3,000-4,000	3,000-4,000	3,000-4,000
Araguari - MG	1,000-2,000	5,000-6,000	6,500-7,500
Frutal - MG	1,000-2,000	5,000-6,000	5,000-6,000
Jaboticabal - SP	2,000-3,000	5,000-6,000	6,500-7,500
Campinas - SP	1,000-2,000	6,500-7,500	6,000-7,000

Variables	Petrolina and Juazeiro - PE/BA	Livramento - BA	Jaboticabal - SP	Colatina - ES
Agricultural	22	16	18	13
- Operational production cost per kilo	2	1	3	3
- Productivity	3	2	3	1
- Irrigation	3	3	1	1
- Satisfaction with technical assistance	3	1	2	1
- Harvest length	3	2	2	1
- Conviviality with pests and diseases	3	3	3	3
- Existence of a minimum portfolio of registered pesticide	2	2	2	2
- Production volume	3	2	2	1
Industry	4	5	5	5
- Governance (contracts and assistance)	1	1	1	1
- Destination of production for industry	2	1	2	3
- Freight cost	1	1	2	1
Continuity of the culture	4	4	3	3
- Historical analysis of production	1	3	1	2
- Expectations of local agents	3	1	2	1
Final grade	30	25	26	21