Correios, the Brazilian Post Office (BPO), faced increased competition from smaller, more agile and lower cost private logistics firms when bidding for contracts. In response, BPO launched a strategic initiative training more than 500 employees in the APICS Supply Chain Operations Reference (SCOR) model to achieve process excellence across the organization.
By implementing SCOR principles, BPO optimized its logistics operations to achieve significant cost savings, increase efficiency, and successfully compete with private sector firms. The organization reduced direct labor costs by 79%, reduced cost of goods sold by 12% and achieved a total cost savings of approximately $60 million annually.
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