1- Introduction

Companies and institutions in general have been tirelessly seeking the

Excellence in your processes, such a pursuit aims to offer increasingly better products and services.

better at competitive prices; reduce costs without compromising quality; generate

benefits to shareholders and employees; offer customers quality products and
affordable price; to make a profit, which is what everyone aims for, with this guaranteed

survival of organizations.
This continuous improvement process is not just another option that the
companies have to outline their management guidelines, but rather an issue of
survival in a highly competitive environment.
Hold stock at adequate levels, analyze, plan, and control the various
variables that stocks suffer from have become one of the survival issues,
primarily in the beverage factory sector, which will be the focus of the work.
Stocks represent idle capital, capital that could be used in
another investment, but without them companies cannot meet the uncertainties of
market. In this context, it is inevitable to have a stock management that ensures the
customer service and also that it does not impact the business, maintaining capital
employees in stocks at levels that do not compromise the final result of
organization.

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 2- Importance
One of the challenges to remain competitive, profitable, and to adapt to uncertainties of
The market and seeking ways to minimize costs is to have an inventory management system.
suitable for the distribution needs of the products produced.
The stock policy has a very large influence on the profitability of companies. The
stocks absorb capital that could be invested in other ways, diverting
funds for other potential uses and have the same cost of capital as any other project
of the company's investment.
Stocks help to maximize customer service, protecting the company.
the uncertainties of the market" (ARNOLD, 1999, p.271).
Currently, the method used by the logistics department to schedule and control the
stocks have been finding great difficulty, as due to the large number of variables,
external and internal, there are significant changes throughout the month, changes that
directly interfere with stock levels, often resulting in unavailability of
finished product or surplus, consequently burdening the capital employed in the company.

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 3 - Justification
A constant concern in any factory is the stock levels, therefore, it remains
an effective control in the management of finished product stocks is essential. In light of this,
an efficient and permanently controlled logistics chain becomes essential to achieve
a competitive advantage that will ensure power over competitors.
The beverage market suffers greatly from climate change due to periods of
cold, therefore, demand uncertainties are greater, and in order to minimize them
effects, a much more effective control of the stocks is necessary, and if it does not guarantee, to
reduces the costs generated by stock or the lack of product in the market.
This work provided a survey of information focused on the system of
Stock management in a particular way, so that you can identify how the factory can
manage and compose your stock levels.

4 - Problems

How can the Soba Catumbela Factory maintain a policy of

finished product stocks suitable for market needs?

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 5 - Objectives

General objective:
Analyze the existing finished goods stock management system.
Hello Catumbela.

Specific Objectives:
Identify the challenges faced in the logistics process;
Propose actions that may be suitable to improve management.
of stocks in Soba Catumbela.

6 - Theoretical Framework

6.1 Inventory Management

In the face of a reality where demands in terms of productivity are increasing and
of the quality of service provided to customers, logistics plays a fundamental role among
the various activities of the company, to achieve its objectives and stay alive and
competitive.
The competitive environment, coupled with the increasingly widespread phenomenon of globalization

two markets, requires companies to be more agile, better performances and constant
"search for cost reduction" (CHING, 1999, P.16).
One of the points that could make a difference if well managed is stock management.
once the organization that has total control over management will have advantages over its
competitors, as it will be able to remain competitive by meeting market needs,
without overloading the company's capital.

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 6.2 Logistics Management
In the beginning of the development of commodity trade, people needed
thinking about where and how they would produce the products for personal and social consumption, how they would

store and how they would distribute the produced goods, as the long distances between
the cities hindered trade. Due to seasonality, not all products were available.
available at any time, and consumption often should be immediate.
With the evolution of knowledge and the consequent technological development,
including means of production, the logistics process has also evolved, which made it possible for the
consumers had access to goods they previously did not have and also realized
that the distance between the distribution points could be increased. Organizations, for
their turn, they started to focus on the distribution of their goods to the end consumer and,
Gradually, competitive advantages involved in this process were recognized.
The skills required for modern business logistics management are not
but restricted to the understanding of how to operate a warehouse or how to reduce costs
operational. The new management must know how to adapt and enable the processes of the chain of
supply as a whole, with concern for waste and management
of returns inherent to the company's sales process.

6.3 Definition of Logistics

Novaes and Alvarenga (2000) do not explicitly define their concept of logistics.
but divided into; supply logistics, logistics in the industrial system, and logistics of
distribution and marketing, making it clear that it deals with the identification of needs of
client, through marketing and their satisfaction, sourcing raw materials from
suppliers, processing materials through industrial production, until meeting the customers
for the distribution of finished products.
Logistics is the process that integrates, coordinates, and controls the movement of
materials, finished goods inventory and related information; suppliers through
from the company; to meet the needs of the customers.
Logistics integrates the management of the physical flow that starts with the source of

supply and ends at the point of consumption.

According to Ballou (1997, p. 1): Business logistics deals with all activities of
movement and storage that facilitate the flow of products from the point of acquisition
from the raw material to the final point of consumption, as well as the flows of information that

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they place the products in motion, with the purpose of providing levels and services
suitable for clients at a reasonable cost.
Logistics is an area of utmost importance and essential in customer service.
and in the competitive strategy of organizations. Among the activities developed by logistics
inventory management, if well planned and controlled, is the key element for success of
any organization.

6.4 General Stock Data

Stocks are materials and supplies that the company or institution keeps, whether for
to sell or to supply inputs or supplies for the production process.
Stocks often constitute a substantial part of companies' assets.
According to Arnold (1999), inventory management is responsible for planning and
stock control, from the stage of raw material to the finished product delivered to
customers. Since stock results from production and distribution, the two cannot be
administered separately.
"The formulation of stock policies requires knowledge of the role of stocks in
production and marketing areas should have a view of the magnitude of the assets in it
"invested". (BOWERSOX, 2001, p.224).
According to Bowersox (2001), there are many opportunities to improve the
productivity of stocks. They derive from the capacity that the integrated supply chain
with the exchange of information and managerial effort to reduce uncertainties in
demand and in the processing cycle times.

6.5 Basic Characteristics of Stock Control

“1Stock control involves the tasks of coordinating suppliers,
physical conditions, storage, distribution, and recording of the inventories of all
merchandise.

GURGEL, 2000, p.67 - Industrial Logistics; São Paulo: Atlas

1

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 According to Ching (1999), there are characteristics that are common to all problems.
of stock control, regardless of whether they are raw materials, work in progress, or
finished products.

6.5.1 Stock costs

Any company that wants to have proper inventory management has control.
At all levels, from raw material to finished product, costs must be well defined.
what stocks represent. According to Arnold (1999), the related costs below are
used in decisions regarding stock management:

Cost per item: it is the price paid for a purchased item, it consists of
the cost of this item and any other direct costs associated with it can be
includes transportation, insurance, and storage;

Maintenance cost: this cost consists of all expenses that the

The company incurs costs based on the volume of stock maintained. It can be divided into three.

distinct categories: capital cost, storage cost, and risk cost;

Order costs: the order costs in a factory include: cost

production control, setup and teardown costs, capacity cost
loss and costs of purchase orders;

Cost of stock clearance: when the demand during the lead time
exceeds the forecast, one can expect a stock shortage, becoming expensive due to the
costs of unfulfilled orders;

Costs related to capacity: this factor appears when it is

It is necessary to change the production levels, which may lead to an increase in overtime.
hiring, training, and layoffs.

According to Ballou (2001), the three important classes of costs to determine the
Stock policy involves: acquisition cost, maintenance cost, and costs due to shortages.
stock.

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 6.5.2 Stock objectives
The main objective of inventory management is to ensure that the product is
available in time and in the desired quantities, according to Ballou (2001).
According to Arnold (1999), a company that wishes to maximize its profit must have
a minimum investment in stock.

Ballou describes:
Stocks serve a number of purposes. That is, they improve the level of
service, encourage economies in production, allow for economies of scale in purchases and in
transport, act as protection against price increases, protect the company from uncertainties
in demand and in the replenishment time and serve as security against contingencies.
(BALLOU, 1995, p.205).

6.6 Functions of stocks

According to Arnold, the purpose of stocks is to separate supply from demand. The stock
serves as an intermediate storage between:
a) Supply and demand;
b) Customer demand and finished products;
Finished products and the availability of components;
d) Requirements of an operation and the result of the previous operation.

Although keeping stock has a cost, inventory can indirectly reduce costs.
operational in other activities and can still offset the cost of its maintenance.
Maintaining stocks can be an incentive for production economies by allowing rounds of
broader, longer, and higher-level production, thereby increasing productivity
of equipment due to the reduction of set-ups (product change on the production line),
according to Ballou (2001).

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 According to Bowersox (2001), there are four main functions performed by
stocks, which are represented in this way: geographical specialization, stocks
intermediaries, balance between supply and demand, and management of uncertainties.

6.7 Production planning and control - PPC

The PCP area (production planning and control) is responsible for planning
and control of the flow of materials through the production process.
According to Arnold, his main activities performed are:

1) Production planning has some basic priority criteria:

Forecast;
Master plan;
Planning of the need for supplies;
Capacity planning.

2) Implementation and control;

3) Stock management.

The planning of production, the implementation, the control, and the management of stock
they are activities that should be developed together.
In the production planning system, the PCP is responsible for determining
some basic points in companies must be identified and managed in such a way that
through the control of them, it is possible to achieve standardization of the entire process. The
basic points are: the technical list of materials, the process specifications, the time
necessary to carry out the operations, the available equipment and the quantities
necessary.
In order to have a good production planning system, it must
answer four questions:
1. What is intended to be manufactured?

2. What is necessary to manufacture what is intended?

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 3. What does the factory have?
4. What does the factory need?

The PCP (production planning and control) is indispensable in administration.

of the company, assumes functions of the highest importance for the operation of the company. May
it seems excessive to focus on one department or sector of the company, all
activities related to the provision of information for production and purchase
provision of forecasts and elements for control. This, however, is a consequence
inevitable from the specialization of work, as jobs of the same nature would remain
grouped and would have impartiality in their controls.

6.8 Inventory Management

Stocks are inactive resources that hold economic value, which represent
an investment aimed at developing production activities and serving customers.
Stock formation consumes working capital; however, it is necessary, which is why
companies must have a management that projects adequate levels, which aims to
The objective is to maintain the balance between stock and consumption.

According to Viana:2modern management evaluates and conveniently measures the

stocks in scientific bases, replacing empiricism with solutions.
Thus, the levels must be reviewed and updated periodically and constantly to
avoid problems caused by the increase in consumption or sales and changes in times
to redo.

6.8.1 Stock planning

One of the fundamental objectives of logistics is to minimize the costs of holding inventory, by
at the same time maximizing availability (service and client). The intended success
often depends on an improved forecast, which leads to planning
summarized needs.
There are essential parameters and procedures in stock planning, but
according to Bowersox (2001), the aspects that cannot be overlooked are: when to do
the replenishment request, how much to ask for and define the control procedures.
VIANA, João José, Materials Administration: A Practical Approach; São Paulo: Atlas, 2000, P.144
2

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 The reorder point must be considered under conditions of demand certainty
and activity cycle.
The stock activity cycle is defined as the combination of the time spent
in events related to communication, processing, and transportation. The integrated cycle of
activities are the basis for planning stock policies.
The determination of the purchase lot, (when to order), is the principle that governs the

determination of purchase lots aimed at balancing the cost of stock maintenance and
the cost of issuing and placing orders with suppliers.

[Link] Uncertainties
The formulation of stock policy must always take uncertainties into account. For this reason
the reason, it is important to understand that one of the main functions of inventory management is
avoid occurrences of product shortages.
There are two types of uncertainties that directly influence stock policies:
the demand uncertainties and the uncertainties related to the activity cycle. The uncertainties of
Demand is what gives rise to fluctuations in sales quantities during the cycle.
of activities. As for the uncertainties related to the duration of the activity cycle, they give
originates variations in the stock replenishment cycle.

6.8.2 Stock Policies

Managing stocks economically essentially consists of the search for rationality and
balance with consumption" (VIANA, 2000, p.118), with this balance the organizations
they will be able to meet the needs of their consumers, with minimal cost and less
risk of shortage.

Inventory management is the integrated process by which are followed

company and value chain policies regarding stocks.
A stock policy should have the following approaches:
Stock control: routine procedure necessary for compliance
of a stock policy;
Reactive methods: responds to inventory control needs of
a company, along the distribution channel;

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 Planning methods: use common databases to
coordinate stock needs in various locations;
Principle of adaptation: combined management system of
stocks that can be used to circumvent some inherent problems to any
planning method.
The central administration of companies is the one that must determine the control sector.
stock the program of objectives to be achieved, that is, to establish the standards that
I serve as a guide for programmers and also as criteria to measure the performance of the policy.
in stock.

6.8.3 Stock levels

Exaggerated forecasts due to excess imply unnecessary immobilization of
financial resources, in addition to the congestion of storage areas and the overload
of stock handling work. Reduced restocking leads to repeated purchases and
urgent, which are generally unfavorable.
In order to minimize these problems, stocks are optimized through
replenishment parameters, which aim to maintain stock levels
permanently adjusted based on distribution, production, and replenishment time.

[Link] Minimum Stock

The minimum stock, also known as safety stock, is the minimum quantity.
possible able to withstand a resupply time longer than scheduled or with a
unequal consumption.
Reaching the minimum stock, the product reaches its critical point, triggering
measures that should be taken, such as: new purchase, production scheduling or
activation of orders, with the aim of avoiding stock shortages. The quantity to
the response is calculated according to the level of service determined by the company, in
function of the operational importance and the values of each material, in addition to the estimated deviations

made and the average refund period.

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 The minimum stock or safety stock is the minimum quantity that must exist in
stock, which is intended to cover any delays in supply, with the guarantee of
constant and efficient operation of the production process, without the risks of shortage
stock.

[Link] Maximum Stock

It is the maximum stock quantity allowed for each material, calculated according to
with the policy determined by the company's management.

[Link] Stock Reorder Point

The reorder point stock is the quantity that, when reached by the virtual stock in
decline, it is indicated that the moment of providing a new production or restocking is necessary
sold. This quantity should ensure the material's consumption over time
replenishment, in such a way that sales do not reach the safety stock.
This stock is also known as replacement level or target stock.
depending on the classification adopted by each company.

6.9 Warehouse Management

In a logistics system, there are flows of goods, that is, point of transition.
between production and physical distribution, this creates the need to maintain stocks
stored for a certain period of time. Even though it is a short period, there is a need
of having a deposit or warehouse.
Stocks can be held for long or short periods. When the periods are
short deposits serve as a distribution center, as the stocks are consumed
quickly.
Deposits are generally considered a place where materials are stored and
products. However, in many logistics projects, the warehouse is considered more of a
processing installation of a goods location.
Warehouses are necessary spaces for storing and managing stocks, therefore, it is
it is essential to have management over the entire complex, from the
dimensioning of the area, physical layout, management of incoming and outgoing goods and
control systems that ensure the availability of stocks.

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 6.9.1 Functions of a deposit or Warehouse
The deposits or warehouse may have two specific characteristics:
1- Consider the effect of market price variation, which leads certain
types of companies to stock up, waiting for better price levels, only then
market their product.
2- It is considered only from a logistical standpoint, that is, storage.
of products waiting for sale or keeping their stock levels adequate due to
demand fluctuations in the market.
A company must maintain a suitable location to reduce transportation costs, to
coordinate the supply and demand, to assist the production process and to help with
marketing process.
All storage must have strategic importance; they should not be designed
with a view to maintaining excessive periods, only on occasions when such periods are
justify.

[Link] Stock Strategies

The improvements in storage efficiency, information technologies
advanced meet the stock strategy, as they allow warehouse managers a
quick response to changes, and a constant evaluation of control methods,
achieving a reduction in stocks.
No deposit should be part of logistical systems unless the inclusion is
fully justify through a cost-benefit analysis. The advantages of
Strategic storage is of an economic and service nature.
The stock strategy is of great importance, as neglecting controls,
may compromise the expected results, thus affecting all processes in the chain,
such as: transportation, stock maintenance and the flow of information.

6.9.2 Stock storage

Technological evolution has expanded its multiple benefits to the storage area,
both in the introduction of rationalization methods and in the distribution flows of products,
as per the adequacy of installations and equipment for physical movement and control of

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loads. By storing stocks, a company can often reduce costs.
production through the production of economical batches in size and sequence. The storage
it becomes an economic convenience more than a necessity.
The main objective of storage is to use space in the most efficient way.
possible. Any installation that includes storage must provide
fast and efficient movement of supplies from receipt to shipping.

There are some basic precautions to choose the appropriate storage location for
each type of product:
Determination of the location, indoors or outdoors;
Definition of a preservation policy, with packaging
fully suitable for the materials;
Order, organization, and cleanliness;

Asset security, against theft, fire, etc.

[Link] Location of stocks

The location of the stocks inside the warehouse or storage facility requires attention.

special, as it is through location that the entire handling process can be optimized
of materials, which includes everything from the movement of production to the warehouse, shipping
and loading of the finished product.
In the deposits, there are more accessible points, and others that are not so much, which characterize

slower movements, resulting in higher costs.

To minimize these distances, products should be classified according to
average number of movements expected for the month or year. Thus, the more
movements were made of a certain product, closer and more easily accessible
the same should remain.
The best-selling products from the warehouses should be stored in pre-defined locations.
determined, that is, in the vicinity of the exit or dispatch, in order to facilitate the restocking and the
loading.
A stock location system should establish the necessary means for perfecting
identification of the location of the stored materials, as well as it should indicate

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precisely, the positioning of each material, facilitating the movement operations and
inventory.

[Link] Stock Techniques

The dimension and characteristics of products may require the installation of a
simple shelves to complex storage systems. The most common ways are: in
box, shelves and stacking.
The choice of a company's storage system should be made according to the
available physical space, the number of items stored, the type of packaging, and the speed
of the proposed service. According to Viana (2000), some considerations must be taken into account.

criteria, which are listed below: storage by groupings, batch sizes,

frequency and special.
Storage by grouping makes organizing and searching tasks easier, but
also does not always allow for the best use of space. On the other hand, storage by
batch size allows for space optimization, and by frequency it consists of storing
as close as possible to the output of materials that have the highest frequency of
movement. Special storage criteria require extra attention, as in it
distinct characteristics stand out for each product, as described below:
a) Climate-controlled environment: intended for materials whose properties
physicals require special treatment;

b) Flammable materials: flammable products should be stored in designated locations

own and isolated, designed under strict safety standards;

c) Perishable or subject to dying: perishable products must be
stored according to the FIFO (First In First Out) method, that is, first in
first to leave.

There are two usual methods for storage, the variable method and the fixed method. Method

Variable, also known as dynamic method, is one that allows the change of location.
of a certain product with each arrival of a new shipment or production, aiming for use
more efficient use of warehouse space. On the other hand, the fixed storage method is determined by a

permanent location for each product in the warehouse.

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 6.10 Stock Movements
A stock movement system in a company must meet some requirements.
basic purposes: cost reduction, increased production capacity, better conditions
of work and better distribution.
Stock handling is the key to warehouse productivity for some
important reasons:
Relatively large amount of labor needed
to the handling of materials;
The nature of material handling activities
presents limitations on the use of information technologies;
Material handling is not managed in an integrated manner.
with other logistical activities.

Among all the activities performed in the warehouses, stock movement is

the one that consumes the most labor, therefore represents one of the cost components of
higher personnel in the logistics system.

6.10.1 Material Handling

One of the main objectives of material handling is the separation of loads of
according to the needs of the clients. The three basic activities to move the
stock consists of: the receipt, internal movement and dispatch or shipping (sale of
product).
Bowersox (2001) recommends a series of guidelines to assist management in
material handling project. The following items are the most important, as they are
responsible for the optimization of all stock movements, thus providing a
human resources, time and maintenance economy:
Handling and storage equipment must be
as standardized as possible;

The system must be designed to provide the flow of

products as continuous as possible;

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 Investments should be made in handling equipment,
preferably static equipment (such as shelves and racks);

The handling equipment to be chosen must have the

the smallest possible relation between weight and payload;

Whenever possible, the force of gravity should be harnessed.

in handling system projects.
[Link] Palletization
The pallet is used as a platform, usually made of wood, plastic, metal, or
cardboard, in which goods are stored for transport or storage. The products
stored on pallets can be fractionated or single, depending on the type of material.
to be segregated or separated.
According to Ballou (2001), the use of pallets aids in movement by allowing
use of mechanized equipment, thus standardizing the handling of materials in a
wide variety of products. Another point highlighted by the author is the optimization of space
(horizontal and vertical), providing a more stable stacking and thus higher stacks
stock, mainly in products used.
Palletization has been used more and more frequently in companies that
demand quick handling and rational storage, involving large quantities.
Viana (2000) defines some advantages and disadvantages found in the use of
pallets, however, according to the author, the advantages outweigh the disadvantages:

a) Advantages
Better use of the available space
for storage, making full use of the space
vertical, through double or triple stacking;
Economics in material handling costs;
Possibility of using plastic packaging
or the binding by means of steel straps on unit loads;

Compatibility with all means of transportation;

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 Facilitates loading, unloading, and distribution at accessible locations

to the material handling equipment;

Allows for the uniform arrangement of stock;

The pallets can be handled by a wide variety

of equipment such as pallet trucks,
forklifts, conveyors, cargo elevators and
even automatic storage systems.

b) Disadvantages
Use of non-standard pallets;

Weight of the pallets;

Short lifespan and flagella that attack them, when manufactured

in wood;

Need for replacement and maintenance, when manufactured

in wood,

Replacement cost.

[Link] Stock Handling Systems

Stock handling systems can be classified as: mechanized, semi-

automated, automated and based on information.
Mechanized systems have a great variety of handling equipment.
The most common equipment are: pallet trucks and forklifts.

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 The mechanized handling equipment complements the automated ones, being
thus a semi-automated deposit has part of the handling mechanized and part
automated. The most common equipment in semi-automated warehouses are the
automated guided vehicles, computerized order sorting, robotics, and various
types of inclined shelves.
Automated systems aim to reduce labor through investments.
in cutting-edge equipment and technology. This system, even when presenting a large
possibilities of application, it is not very used, as it depends on a large investment and
total control over stock handling.
A system based on information uses mechanized handling equipment,
mainly the forklift, as all operations are monitored by a computer,
who commands the operation of the forklift through onboard terminals that are transmitted
by radio frequency. One of the great advantages of this system is the possibility of
tracking and individual performance of operators.

6.11 Inventory
Periodically, the company must physically count the stocks in order to verify the
value discrepancies of variations and quantities between physical and accounting, in order to prove
its existence and accuracy. It is not enough just to carry out the inventory; it must be done properly.

necessary reconciliations and identify possible failures in the routine or system, correcting them
as.
There are two types of physical inventory: periodic and perpetual.
Newspaper: when from period to period the general stock count occurs, the date
varies according to each company, many people get involved in the inventory to carry out the
counting;
Rotating: this inventory method permanently maintains a group of people
dedicated to this counting task, full-time, throughout the year. A
schedule that includes each item at least once a year, more can be counted,
it will depend on the company's policy.

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 The frequency of inventories can be divided into annual and cyclical. The annual requires the
stopping all activities related to stock. The rotating one is divided into three types:
automatic inventory, scheduled and the order.
Automatic inventory: occurs upon the occurrence of any one
two events to follow, aims to ensure the reliability of vital materials in management
stock. Such as: zero balance in the system; partial material request fulfilled;
unmet material request; requested critical material; transfer of
location.

Scheduled inventory: this is a request in the system for

sampling inventory of items, that is, items to be inventoried are pre
determined according to the company's guidelines.
Inventory request: this is the input for a request in the system for
inventory item by item as determined by the administration of materials and control.
such as:

a) Processing failures;
b) Request from the stock analyst or company manager;
c) Audit requests.

The inventory process requires a certain methodology; all must be recorded.

stages of the process, thus achieving proof of physical stock x accounting. These stages
are represented below:
Physical stock count;
Record of the physical stock count;
Reconciliation of physical stock and accounting;

Recounting of discrepancies;
New reconciliation of recounting;
Reduction of the system of stock differences found.

The results of the inventory reflect the reliability and quality of the information of
stocks, therefore, whatever type of inventory is used, the important thing is that there is this
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practice, as through the inventory companies can check the existing controls
they are meeting its needs.

7- Methodology
This chapter will describe the method used to achieve the proposed objectives.
Nele describes the type of research, definition of the target area of the study, collection of
data, data analysis and limitations.

7.1 Type of research

There are five possible research strategies that can be used: experimental,
survey, file analysis, historical research, and case study. The strategy should be
chosen depending on the type of question that the research aims to analyze. The study of
the case can present itself in three distinct characteristics which are: causal and exploratory,
descriptive and explanatory.
In the specific case of this research, the strategy used was a case study, with
descriptive character about stock management at Soba Catumbela, where they were employed
qualitative methods.
The case study is the method characterized by the in-depth and exhaustive study of
one or few objects, in a way that allows for extensive detailing and knowledge,
seeks to examine a contemporary phenomenon within a context.
The definition of research as a case study is due to the fact that it is the way
that is related to the type of research that will be conducted, as the study research is of
descriptive character, expose characteristics of a certain population or certain
phenomenon, as well as establishes correlations between variables and defines their nature. The research

Descriptive is indicated when the study objectives are clear to the researcher.
The procedures for collection and analysis of a case study are quite simple,
compared to those required by other design methods. Another positive point of
case study is one that allows an investigation to preserve characteristics like a

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all are significant events of real life, such as individual life cycles,
organizational and administrative processes.

7.2 Definition of the Target Study Area

One must understand by population the set of elements (companies, people and
products), which have the characteristics that will be the subjects of the study.

The object of study was the Soba Catumbela factory, logistics sector, focusing on
finished product stock planning and control process. Company in the field of
drinks, focused on the production, sale, and distribution of beers, wines, and soft drinks.
The company was chosen because the researcher is an employee of the same.
facilitated access to the information needed for research.

7.3 Data Collection

One of the collection techniques used was the interview with the area manager.
logistics, supervisor, PCP analyst (planning and production control), checkers of
warehouse of products, as they are responsible for managing the stocks of the unit.
Secondary data served as the basis for analysis, as they played a fundamental role.
in the researched information. The sources of secondary data research were: data
internally, obtained from all departments of the company, through the management system
spring, files and controls that assist the activities relevant to the studied issue, already
The external data were obtained through publications that address the subject in question.
As a collection of internal secondary data, company reports are used.
issued from the spring management system, applications and products for data processing.
Spring is a business management system - ERP (software, application that automates,
integrates, shares, reproduces, and uses information in real time), being fully
integrated across various areas, providing stability and visibility for all the
activities inherent to the process of the unit and the company.
Through the primavera management system, the researcher was able to retrieve the history.
of productions, stocks, and sales from previous periods, thus enabling information
important, which served as a source of comparison to those raised in the research.

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 Another source of data collection that was used is participant observation, since
that, the researcher for professional reasons has access and directly participates in the management
of the stocks from Soba Catumbela.
Participant observation is a special mode of observation in which the
the researcher is not just a passive observer. Instead, one can take on a
variety of functions within a case study and can, in fact, participate in the events that
are being studied.
Other internal data that were used include: updated stock files
daily, sales reports and inventories.

7.4 Data Analysis

The data can be analyzed qualitatively and quantitatively. Quantitatively,
when statistical procedures are used, such as hypothesis testing. Qualitative,
when the data is presented in a structured way for later analysis.
For this case study, the data was treated qualitatively, structuring the
information obtained, both primary and secondary data, to make the proposed analyses
our objectives.
The analysis of collected data was done by confronting the obtained information.
in the interviews with the documentary research and in direct observation, having as parameters
of analysis all theoretical references previously consulted.

7.5 Limitations of the Method

Through the case study, it is possible to describe and analyze facts arising from the Soba.
Catumbela. The results cannot be generalized to another company, as it is unlikely
comparisons can be made with companies in the same segment, even by structure and
market focus.
Another limitation of the method refers to the perspective that the researcher has of the whole

process, for being directly involved in the environment where the research takes place. To minimize
this effect, through the interviews, verified the perception and convictions of other people,
which are also part of the process.

8 - Characterization of the Company Under Study

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 To characterize Soba Catumbela, it is necessary to recall some events that
occurred in the past and in the history of beer.
Pierre Castel, founder of the Castel group, is one of the people who has contributed the most to

make Cuca what it is today, a great brand!

The 66 years of Cuca are a pretext to remember all the details of the interesting
history of beer, as well as the people who, in one way or another, had a role in it.
fundamental role.
The Union Beer Company of Angola, Cuca, started its activities in 1952,
having been founded its first factory on April 26 of that same year, by the hand of
Dr. Manuel Vinhas, due to the shareholders' decision not to distribute dividends in
first 12 years of activity. Cuca created conditions for development and sustainability
of the business and, a few years later, it became the largest business group in Angola.
In 1965, it employed around 3,500 people.
The economic and financial deterioration that Angola experienced caused that, between 1972 and

1992, Cuca went through periods of great productive difficulties, where it was urgent
take measures to recover the company. At the same time, imported products
they were conquering an increasingly larger position in the market, with quite effective occupation strategies

aggressive. At a time when the need for investment in Cuca was imperative
for its survival.
Pierre Castel, French entrepreneur and founder of the Castel group, decided in 1992,
invest in this brewery and start becoming part of its management processes. Defender
Angola must protect the national industry and invest in the export of its products.
instead of betting on the import of foreign products. Pierre Castel by capitalizing on the
Investment in Cuca greatly contributes to the increase in its production volume.
From this point onward, signs of innovation and growth became visible.
company, with the introduction of new brands and product formats. In addition to Cuca 31cl and 50cl,
the 75cl bottle of Castel beer has also arrived, the soft drink brand Youki in a bottle of
33cl and Fino in 30 and 50-liter barrels.
This is how Pierre Castel, owner of an empire built in France in 1949 and with
branches in various parts of the world chose Angola to invest and contributed to the
development and consolidation of Cuca's business.

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 Today, this is a reference beer brand in Angola and has technologies
of advanced production and qualified Angolan labor, always with the aim of
offer the consumer a product of the highest quality.
Currently, Soba Catumbela offers a variety of products:

Beer Nectars Mineral Water

Cuca (Rgb) Compal 1L (12ml) Water [Link]çalo (12ml)
Black Cuca (Rgb) Compal 1L (6ml) [Link]çalo Water (6ml)
Up to 50L (Barrel) Um Bongo (12ml) Chela Water (12ml)
Up to 30L (Barrel) Compal 200 ml (27) Chela Water (6ml)
30L black (Barrel) Compal 200 ml (12) Beautiful Water (12ml)
Ngola (Rgb) Compal Sleek (12) Beautiful Water (12ml)
Nocal (Rgb) Compal Sleek (24)
Dopel (Rgb) Bongo 200ml (27)
Eka (Rgb) Bongo 200ml (12)
33 Export (Rgb)
Cuca (Can)
Black cuca (Can)
Nocal (Lata)
Dopel (Can)
Eka (Lata)
33 Export (Can)
Beaufort (Disposable)
33 Export (Disposable)
Ngola (Disposable)
Dopel Mini
(Disposable)
Eka Mini (Disposable)
Nocal Mini
(Disposable)
Cuca Mini
(Disposable)
Black Mini Cuca
(Disposable)
Booster (Rgb)
Booster (Lata)

8.1 Characterization of the Logistics Area

The logistics area of Soba Catumbela has a structure of forty employees.
a manager, a production analyst, three control analysts, a warehouse supervisor,
three lead checkers, ten checkers, and twenty-one forklift operators.

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 Logistics is the area responsible for all production planning, storage and
distribution is also responsible for determining the volumes that will be practiced,
following the unit's capacity parameters.

8.1.1 Systems Used in Soba Catumbela

To ensure accurate and reliable information, logistics relies on some
systems that are fundamental to the process, as it is through these systems that are
production notes have been made, stock has been lowered and invoices have been issued
fiscal
The systems used and that have a direct influence on inventory management are:
1) Spring: Manages all information from various areas, from
raw material entry to the final sale of the finished product, controls indices,
production notes, stocks, retentions, damages, qualification of new products,
finally it is the main system of the logistics area and also of the factory;

2) Factory pull management system: it is a system that

visualize the loading schedule (times, dealers, distribution centers and
products), modifies the loading schedules, approves the adjustments for increases of
mesh requested during the month, enables the form of palletization and production unit
of the stocked products.
3) Invoice issuance system: it is a system responsible for
unit loading. Through a file extracted daily from the system of
management of factory pulls. The invoicing system identifies the
loading schedule, resale, product and quantity to be loaded. The notes
Invoices are issued at the office by the financial department.

8.2 Other General Aspects

Some problems have been identified that directly affect stock management.
unit, although known to everyone, there is still no project or action
for resolution. Such problems will be presented below:
The batch addressing controls of production are carried out manually by the
reporters on pages that can be crossed out or modified by anyone who has

27
access to them. Having a random stock location system, and through the markings
In manuals, the possibility of error is quite pronounced, highlighting the importance of notes.
correct two speakers at the time of launching the product in the Boxes, and later in
spring system.
Another point that caught attention in the interviews was the lack of knowledge about management.

stock of the unit by the auditors, once asking what they knew about
the subject, they were unable to answer, it shows a total lack of
information about how they could collaborate in management. The auditors have tasks.
criticisms that directly affect stock management in the unit. Among them, we can mention:
a) Conference of loads, quantities and correct products in loading;

b) Responsible for FIFO (first in first out), of

product warehouse, they perform stock reductions for each loading and
transactions in the system;

c) Analysis of damaged products;

d) They determine, register, and identify the batches of the products in their

respective Box;
e) They guarantee the daily count of containers that will be available for
the production lines.

8.3 Suggestions for Improvement

The aim of these suggestions is to propose improvements in product stock management.

finished at Soba Catumbela, thus ensuring the availability of products, as well as
reduce the changes relevant to the production schedule, as they are what
they require more time from the PCP analyst.
Based on the theoretical reference developed in this work, and with the
collected information from the case study shows that Soba Catumbela uses
It is the responsibility of the unit for practically all the tools mentioned.
to ensure the follow-ups and adjustments in stock levels throughout the month. It is

28
exactly in this internal management researched, which focuses on the suggestions of
improvements for the factory unit.

8.3.1 Training of Analysts and Inspectors

Conduct training on the stock management system for other analysts in the area.
(current and control asset) and also to the auditors, divided into modules, where each
the function will have assignments and must be open to interacting with the various peculiarities that

management has.
For the analyst, the training should cover, from the analysis of the mesh,
production scheduling and sales analysis, enables them to
to assist and even replace the PCP analyst during vacation periods or
removal from the unit.
The training of the inspectors should cover a complete summary of
stock system adopted by Soba Catumbela, explaining in detail the
items that are their responsibility, and the result that is expected to be obtained in the various
responsibilities that the role has.

8.3.2 Daily Count Physical vs Accounting

Create a systematic daily monitoring of the physical stock count.
Include in the checklist for the auditors the routine of reconciling physical versus accounting.

daily. The checker, upon finding the stock discrepancy, should trace the reason.
of this difference and inform the control analyst that he has the responsibility to
ensure the accuracy of stock operations.

8.3.3 Stock Coding System

Implement barcode coding system in product stocks
finished, since today this whole process is done manually.
Due to being an easy-to-use system, low cost and with a time
reduced implementation, this system would meet the unit's needs, ensuring
with this the location information and quantities of each product in their
respective Box, thus eliminating the manual notes that are currently made in the
product warehouse.

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 8.3.4 Use of Stock Policy Charts
The use of stock policy graphs would be a differentiator in
production scheduling, as they are easy to interpret and could be
generated daily, as they do not require any additional procedures in
routine of the PCP analyst (planning and production control).
Through them, it is possible to clearly verify if the unit is
comply with the stock policy, if its production and sales trends are consistent
with reality, programming errors, sales overflow, and stock levels.

8.3.5 Anticipation of Canned Beer Production

Could the beer production be advanced in the months of September and October?
since the production line is idle during these months, it will ensure this
compliance with the stock policy in the subsequent months. Through the historical data of
in previous years, it could be estimated a higher production volume, considering the
losses from the production line and their respective sales in the months of November and

December.

Through this data, prepare a study and send it to corporate logistics.

for her to authorize this procedure, since the unit does not have
authorization to produce beyond the requested volume in mesh.
This procedure would result in an increase in the employed capital of the unit.
however, it would ensure the availability of products during peak demand months.

8.4 Final Considerations

Through the analysis and improvement suggestions presented earlier,
It is believed that the unit can manage its stock management better, involving
more people in this process, and with this divide responsibilities, in order to obtain
knowledge and actions.
A summary of the problems identified with their respective suggestions for
improvement, in the form of a framework, as this allows for better results.
visualization.

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 Problem Improvement Suggestion Proposal
Only one person knows well the Train the other analysts in management of
unit stock management stocks
Daily stock count not Create a system for the verifiers
reconciled Physical x accounting reconcile the stocks daily
In the months of high demand (November Advance production of beer in
until December), the line of cans does not accommodate the months of September and October, to take advantage of the

stock policy suggested by the network idleness of the line. This must be aligned beforehand.
procedure with corporate logistics.
Lot recording notes sheets Use coding system and
production is done manually. They occur identification through the barcode.
razor cuts that are liable to error at the time of
launch for the Primavera system
Non-use of the policy graphs Start using the chart, to
stocks as a tool for analysis and assistance in visualization of stock projections
production scheduling
Total ignorance of the auditors Training for the inspectors on
about the unit's stock policy, no stock management.
Can you identify in your work the posts that
can assist in management.

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 9- Conclusion
The determination of stock levels of a product is a process that requires
constant involvement of professionals, requiring detailed analysis of the variables involved,
mainly in the studied case that involved several products that had characteristics
very different.
It is essential that the company, through its professionals, has full knowledge
two factors that influence the determination of stock levels.
There are internal and external factors that act and interact, directly influencing
in this sense.
The purpose of this work was to verify and analyze stock management.
of finished product, checking the influence of internal factors, which in this case are the
production scheduling, storage and control, external, which are the forecasts of
packaging and sales in the management of Soba Catumbela. For this purpose, a was developed
theoretical reference and a later case study, where secondary data were used,
interviews and observations.
Through the data collected during the work, it is possible to outline the
current situation of the unit, conduct an analysis and suggest improvement proposals.
An analysis of the current process found that the unit has no direct action.
about the sales forecasts, nor about the stock policy that should be adopted, once
that they come ready monthly from corporate logistics, and often with forecasts
that do not match reality. It is up to the unit to manage its stock levels through
from the production and sales programming carried out, organize in such a way that reconciles the
forecasts received with the schedules throughout the month. Therefore, today the management of
Stock taking in the factory is done by one person, the PCP analyst, a fact that should be
revised, since the importance that stocks represent for the company, there should be more
people involved in this process.
The greatest suggestions for improvements are feasible for implementation, without there being

high costs that may assist in the inventory management of the unit, thus providing
greater efficiency and consequently better results.

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 Among the suggestions for improvement, two require special attention, a further study.
deepened to verify financial and operational feasibility. They are: installation
of a digital finished product identification system with barcode and anticipation
the production of canned beer in low demand months. These two projects require
a financial contribution and also corporate authorization for its implementation.
At the end of this study, it was possible to ascertain that the main objective and the specific ones
proposed at the beginning of this work have been achieved, the problems have already been identified and in the end

From the research, improvements and suggestions were proposed with the intention of minimizing the problems.

evidenced.

33
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[Link]

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