Rumo Logística gains more agility with digital signature
Contract formalization time reduced by an average of 73%.
Proposed solution
SaaS Solution (Software as a Service) for Digital Signature and Workflow through the QualiSign Portal.
Client's Need
Streamlining contract formalization and management and streamlining processes.
About Rumo
Rumo is the largest railway operator in Brazil and offers logistical services for rail transportation, port elevation and storage. Its asset base includes a railway network formed by four concessions that total more than 12 thousand km of rail lines, 1,000 locomotives and 25,000 rail cars, in addition to distribution centers and storage facilities.
The experience
Crisis after crisis, Brazil remains a great storehouse to the world, breaking records of grain production, year after year. In this year, it is estimated to reach around 230 million tons.
Most of the flow of this production occurs through highways and railways, towards the main ports for export. In Brazil, the largest railway operator is Rumo Logística, which also offers logistics services for lifting in ports and stocking products. There are more than 12 thousand km of railway lines, 1,000 locomotives and 25,000 wagons.
To maintain this huge infrastructure of logistics services, Rumo has around 3,000 suppliers to provide services and supply materials. Controlling these suppliers' contracts is no easy task. “At the time that the contracts were on paper, a contract took an average period of 33 days to be formalized,” said Sabrina Pazuch, administrative technician in the supply area at Rumo Logística. One can imagine the operational and business impacts when a supplier is prevented from starting a project or providing a service because the contract has not yet been formalized. A logistics services company cannot stop, and thereby the supply area, responsible for contract management, sensitive to the problem, found the solution by deploying the digital signature with the ICP Brasil standard certificate.
Gain Agility
“We decided on the QualiSign platform and deployed it quickly at the end of 2015. The deployment process with suppliers and attorneys took about 4 months. Naturally, because it is a change in existing processes, some resistance was encountered. Many suppliers still did not know the possibility of signing a contract with the digital certificate and, therefore, it took a while to adapt. Yet, at the end of 2016, we had 90% of contracts digitally signed. The gains in agility were very significant. The formalization cycle went to 8 days, that is, a 73% reduction in time," explained Sabrina.
Cost Reduction
Cost reduction is also a constant fact in formalization processes by electronic means. “It is easy to understand. The paper contract needed to be printed in 2 copies, have its signatures authenticated for both parties and the copies shipped to the supplier and vice-versa. Besides, our physical documents were stored in a third-party company. This was all eliminated with the digital signature. Suppliers also saw cost savings as they stopped printing, authenticating signatures and sending the contract to Rumo. "We do not have the exact percentage of cost reduction, but it is safe to say that we have had a significant reduction," confirmed Sabrina.
The benefits go beyond the ones mentioned above. According to Sabrina, document management has also improved a lot, as the supply area now makes digital contracts available in its Internal Contract Management System, so that the areas involved can inquire them at any time.
Another improvement was in the signature validation process. In the former model, one had to check the scopes and the attorneys-in-fact's signatures. With the digital signature, checking is no longer necessary, because the digital certificate guarantees the authorship of the signatory. "We are in compliance with MDA rules, which are Rumo's compliance rules," added Sabrina.
The prosecutors also gained a lot in terms of mobility, that is, the possibility of digitally signing on their laptops, anywhere. “They travel a lot and contracts were left on the table, waiting for signatures. Now, they sign anywhere and anytime,” said Sabrina. The digital signature also contributes to the improvement of sustainability indicators. The paper savings, considering 2016 and 2017, was 66,000 A4 sheets, which represents savings equivalents to 6.6 trees. In the production of this amount of paper, approximately 16 thousand liters of water and 1600 kWh of energy would be spent. The reduction in CO² emissions was 85.07Kg. "That is a green economy, aligned with Rumo's drivers, namely sustainable as well as economically, environmentally and socially responsible operations," said Sabrina.
Expanded use
Other companies in the group are already using electronic formalization. Rumo is part of the Cosan group, which includes several companies, including Raízen Energia, Comgás, and a stake in Brado Logística. All of them started to use the digital signature of documents, in several areas. "Innovation is necessary and by embracing it, we always seek greater productivity, simplification and efficiency of processes for the company," concluded Sabrina.
