BACKUS & JHONSTON COMPANY LOGISTICS SYSTEM

1. Internal Logistics
1.1. Supply chain planning
Improvements were implemented in the interfunctional coordination
processes of supply chain planning with the objective of raising the
levels of synchronization between the areas that plan and execute
activities, supported by projects developed under Six Sigma.

1.2. Shopping
The development of initiatives with suppliers continued, in the search
for more efficient alternatives to reduce costs, simplify processes and
strengthen the Principles of Sustainable Development.

2. Productive processes
It is one of the most important parts of the value chain. In this link, the
production of all varieties of products with guaranteed quality is carried
out.

- Raw Materials
- Water treatment
- Storage
- Grinds
- Wort cooling
- Fermentation and maturation
- Filtration
- Quality control assurance
- Bottle filling, labeling and boxing

3. External logistics or distribution

Once the production process is finished, the final product is taken to the
warehouses where it remains for a short time, with the aim of preserving
it and making it quickly reach the distribution channels and the final
consumer.

3.1. New Commercial Model

Extends the finished product warehouse management model from plants
to distribution center warehouses.
3.2. Infrastructure investments
Investment in expanding the storage capacities of different distribution
centers in the country, achieving an increase in eleven%.
 CONCLUSIONS AND RECOMMENDATIONS

- The Backus company is one of the largest in South America, its

emblematic product is Cristal beer, all of this is thanks to the fact that
it has strategic planning of its activities that are closely aligned with
market demand.

- Permanent innovation, reflected in constant investments in

infrastructure and cutting-edge technology, guarantee the quality of
its products and services.

- The objectives of logistics management are to increase its levels of

stability, effectiveness and efficiency.
- Backus' participation in working groups composed of SABMiller
specialists on various supply chain issues from various countries was
encouraged and reinforced.

- Thanks to supply chain planning, constant improvement was

achieved in the accuracy of production and transportation plans.

- New supply planning systems were developed, which allow them to

be more integrated and synchronized with the executing areas to
manage inventories of finished products.

- The purchase of imported corn was centralized through suppliers with

a local presence, thus reducing the level of inventories.

- One recommendation would be to reduce the weight of returnable

and non-returnable glass bottles.

- It was possible to increase the capacity of the materials warehouses

by 15%, thus avoiding the hiring of third-party warehouses.

- The Backus company ships 24 hours a day, every day of the year, to
guarantee delivery.

- It has a large and safe fleet of trucks, with modern trucks suitable for
the transportation of these products and with high capacity.

- Its logistics system is very well planned thanks to experts in various

fields who help the company move in the right direction and be the
leader nationally and internationally.