The challenges of service delivery in the Industry 4.0 era

February 24, 2023

cesla

by Cleber Candido
CEO Cesla

The outsourcing concepts that arrived here in the 80's and 90's in a distorted way, commonly associated with cheap services and of doubtful quality, had a lot to do with the global competitiveness of industry and commerce, generating in the following decades a negative image of service provision adopted in the country.

Whenever the contractor needed to contract or subcontract any kind of service, there usually comes to mind some possible problems that he would face:

- Unqualified companies;
- Unqualified employees;
- Lack or failure of documentation;
- Divergences between what is purchased versus what is delivered;
- Labor problems with co-responsibility;
- Among others.

Without a doubt, service provision has been advancing and transforming year by year in Brazil. It is a fact that we are still far from ideal, but the new technologies and the debureaucratization of labor relations in Brazil allow that more and more the service provider segment is a strong ally in the execution of tasks that escape from the main core of the industry and commerce that look for them.

The services sector is one of the most important in the Brazilian economy, besides being a great generator of jobs in Brazil, as verified by the Brazilian Institute of Geography and Statistics this year, services represent about 70% of the companies in the country, besides being responsible for 30% of the Gross Domestic Product (GDP)

Furthermore, Sebrae's panel of companies shows that there are about 8.64 million service companies active in Brazil, compared to 6.61 million in commerce, 1.90 million in factories, 1.36 million in civil construction, and 697,000 in agriculture (data for the month of May, 2020). The services sector represents no less than 44.9% of all active companies in the country, and leads in number of businesses when compared to other sectors. 

Approximately 90% of the companies accounted for by Sebrae are micro and small, such as Micro-entrepreneurs (MEIs), Micro-enterprises (ME), and Small Businesses (EPP), allowing us to say without a doubt that service is the front line of the economy.

In the industry it is no different, usually due to the large volume of contractors and subcontractors during the year or in major maintenance stoppages, the risks of losses with storage and preservation of physical documents delivered, control of on-boarding (integration) face-to-face, and management of competencies for execution of high-risk tasks involving work permits, for example, are increased.

Added to this is a low systemic management and the lack and/or failure of communication between business units, making it possible that even if a company provides a low quality service in a particular unit, it can often enter another unit of the group without any barrier, due to the lack of sharing of a performance score of the provider between the contractors.

Another relevant point! A small and timid systemic management is observed in the market related to "third-party or contracted management" companies, which offer document analysis based on time and quantity (batch), not being duly careful with the quality of the document sent. And so, it ends up becoming a point of attention in this type of platform service, and special attention should be given to the quality of certified clouds in high availability, the storage locations of such data, cybersecurity and especially the treatment with the LGPD (General Law of Data Protection) of these partners who offer such integrated services.

But how to face these challenges?

You first need to cut through the red tape and take a really hard look at what documents you are requesting from your service provider. Involving multi-disciplinary teams and asking simple questions such as: Do we really need this type of document for this type of scope?

Investing in efficient technologies is of no use if we still adopt archaic models of requirements simply because he is a service provider. Many times we find ourselves with items required from a service provider that in essence are not required even for the employees themselves who do exactly the same task/function.

Second, to have an assertive document management platform to support them in this challenging daily management, allowing them to streamline processes, protect confidential information, easily locate files, and establish criteria and types of documents based on the risk classification of the activity to be performed. 

Think of friendly solutions that generate performance gains even for your partner (Service Provider), controlling document deadlines efficiently, notifying the client and provider in advance of expiration dates, managing integrations (on-boardings) online or in person, and already interfaced with access controls (gateways) and with electronic work permits, not allowing access to critical activities if they have expired training and ASOs, for example.

In an increasingly fast-paced and technological world, respecting your contracted partner and treating him/her as part of your team as well as using good management tools, besides increasing your company's compliance and security, makes it possible to improve your performance in these processes by making them less bureaucratic and more agile.

Are you familiar with Hive? Our paperless third-party management platform

The Hive, a Cesla module for contractor management based on more than 20 years of experience in industrial routines involving analysis flows and document validation of service providers, being fully integrated with access controls and electronic work permits associating this with a performance score for managing the quality of the service provided.

With Hive it is possible in a totally paperless way - that is, totally digital without the emission of papers - to manage a contracted or subcontracted company and its collaborators, from the moment the service provider receives the service order until the end of its activities in the company, going through the stages of:

-Users and access profiles;
-Viewing dashboards;
-Scope/order creation;
- Order management;
-Document upload;
-Document validation;
-Face-to-face or fully e-learning integration management;
Automatic connection with Cesla's electronic APR-PT module;
-Connection with access controls (turnstiles/doorways), preventing entries with expired documents;
-Score of performance regarding the quality of the service provided.