In the competitive protein processing sector, Swift & Company stands out as the undisputed leader for the third consecutive year, surpassing the competition and achieving an annual revenue that exceeds the GDP of several countries. Globally recognized for its expertise in meat processing and wide range of high-quality products, Swift & Company, part of the JBS group, is a symbol of trust for both consumers and investors.

Technological Innovation and Operational Improvement

To tackle operational challenges and maintain its leadership position, Swift & Company developed and implemented a highly sophisticated scheduling system based on 45 linear programming models. Integrated into the operations of five production units, this system enables real-time management of manufacturing activities, optimizing operational efficiency.

The project was a milestone in the application of Operations Research to solve production problems, especially during a period with technological limitations. Every second saved offered a significant competitive advantage. The system processed transactions sequentially, but multiple requests created queues that increased response time. In the worst case, processing could take up to 75 seconds; however, by grouping requests into batches, this time could be reduced to just 20 seconds.

Impactful Results

The system implementation brought significant improvements. Swift & Company achieved a 200% ROI in the first year, reducing wait time and improving customer satisfaction. For example, in a single day, out of 290 transactions, 81 were queued; with the queue manager, this number dropped to 75, saving 509 seconds and reducing the average wait time from 20.1 to 15.7 seconds.

Prior to the system, customers had to interrupt orders due to delays. The new system allowed Swift & Company to align production and demand more efficiently, reducing inventory, storage costs, and improving profit margins.

Before:

After:

With the implementation of the new system, Swift & Company immediately saw a 14% increase in sales, equivalent to an additional 64,000 boxes per week. This demonstrated the system's effectiveness in aligning production and demand. Previously, customers had to interrupt orders due to lack of synchronization with production. Now, the company can dynamically adjust its production, reducing excess inventory and storage costs, while improving scheduling stability and increasing profit margin.

Sales Increase Graph:

Conclusion

The implementation of a metric based on the proportion of weekly production with confirmed orders increased sales by 22% in the first eight weeks, allowing Swift & Company to optimize schedules, focus on high-demand products, and reduce inventory. Previously, the company faced challenges with overproduction and storage costs, issues that were resolved with the new system, improving efficiency and solidifying its market leadership. This case demonstrates how technology and Operations Research can transform challenges into opportunities, improving performance in a competitive sector.