...Coca Cola Global Success Coca Cola Global Success The supply chain begins with extraction of raw materials, to manufacturing of product, to the distributors on to the end product user, the customer or consumer. Supply chain management is the management of processes a from the raw material suppliers to the final customer (Wisner, Choon & Leong, 2012). There are many strategies used because a break in the supply chain can cause financial havoc for a company or even destroy a company. A company must meet the customer demand and get the product out to their customer in order to stay competitive in the market and financially afloat. Distributing to a global market can bring even more risk to a company. The Coca Cola Company uses strategies that have minimized the risks including the creation of Bottling Investments Group (BIG), set up in local markets, uses a SAP integrated program, involved with environmental concerns, and employs risk management planning. Coca Cola began in 1886 by Atlanta pharmacist, Dr. John Pemberton when he created the soft drink that could be sold at soda fountains. Coca Cola is a mixture of syrup and carbonated water. It expanded to soda fountains outside Atlanta. In 1894 due to growing demand the beverage was made portable and put in bottles. In 1899, three businessmen purchased the bottling rights and developed a bottling system large scale (Coca-Cola). Coca Cola Company owns and manufactures the concentrates, beverage bases and...
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...Peran Teknologi Informasi dalam Supply Chain PT Coca Cola Amatil Indonesia Virhanty Ernita Sukma P. Industrial Engineering Department, Institut Teknologi Sepuluh Nopember ABSTRACT Dalam meningkatkan daya saing, pola kompetisi mulai berubah dari persaingan antar perusahaan menjadi persaingan antar supply chain. Dalam Supply Chain Management (SCM) mengalir sejumlah material dan barang, informasi, dan jasa. Informasi merupakan salah satu hal penting dalam berjalannya supply chain management yang efektif. Peran teknologi informasi dalam mendukung supply chain akan dibahas pada artikel ini. PT Coca Cola Amatil Indonesia yang merupakan produsen dan distributor terbesar diIndonesia untuk produk minuman berkarbonasi menjadi contoh kasus yang akan dibahas. Keywords: Information technology, supply chain management, Coca cola Amatil Indonesia 1. Introduction Persaingan bisnis saat ini semakin ketat seiring dengan berkembangnya teknologi yang mendukung kegiatan bisnis. Penting untuk mengetahui apa yang menjadi keinginan konsumen dalam rangka memenuhi kebutuhan dan memuaskan konsumen. Untuk memenuhi kebutuhan konsumen yang bersifat dinamis, harus ada kerjasama yang baik antara perusahaan dengan rekanan bisnisnya yaitu supplier, distributor, retailer, hingga ke konsumennya sendiri. Teknologi informasi dibutuhkan untuk mendukung komunikasi yang baik antar supply chain, sehingga pemenuhan kebutuhan konsumen tercapai. Tidak hanya dari segi kebutuhan konsumen yang dicapai, namun...
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...Coca-Cola Supply Chain Management & Coca-Cola Facebook Analysis Dr. R. LeWayne Johnson Importance of Standardization in Supply Chain Management Supply Chain Management (SCM) according to May School of Business at Texas A&M University is defined as the strategic management of supply chain activities to maximize customer value and achieve a sustainable includes all the activities that must take place to get the right product into the right consumer’s hands in the right quantity and at the right time – from raw materials extraction to consumer purchase. SCM focuses on planning and forecasting, purchasing, product assembly, moving, storage, distribution, sales and customer service. SCM professionals are involved in every facet of the business process as they strive to achieve a sustainable competitive advantage by building and delivering products better, faster and cheaper.The importance of an organization’s supply chain is driven by the degree that the flow of goods from one destination to another destination is cost effective and timely to the business needs. An additional metric that determines the importance of an organization’s supply change is if the organization realizes profit from the supply chain. Supply Chain consists of many trading partners, from raw materials to finished products. A typical supply consists of several collaborative units such as (a) supplier, (b) manufacturer, (c) wholesaler and, (d) retailer. each party consists of 5 logistics activities...
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...Executive Summary This report aims to analysis the Australia Company Coca-Cola Amatil of the logistics and supply chain activities. Coca-Cola Amatil is an Australian beverage company which is a partner of Coca-Cola Company purchasing and distributing carbonated soft drinks from Coca-Cola license. In addition to this, CCA provides their own products of water, soft drinks and fruit juices, and spirits and an alcoholic beverage. In view of the supply chain of CCA, we have a specific of the analysis for the quality management systems, transportation and warehousing system, inventory management systems during our report. Besides of the manufacturing in CCA, amatil have their responsibility in distributing the products during two kinds of the operation patterns delivery partner and out delivery partner. To maintain the quality of their product, CCA based on the implementation of ISO 9001, ISO 14001, ISO 22000 and OHSAS 18001 Coca-Cola created a system called Coca-Cola Operating Requirements (KORE) system. CCA has an cooperation with Swisslog to build its own warehouse system and logistics system to ensure distribution system in normal running. Forecasting is important for CCA to review the past and planning the strategy in inventory for the future by using technology and collaborative planning. Table of Contents Table of Contents - 2 - 1. Background - 3 - 2. Supply Chain Structure - 4 - 3. Quality Management - 6 - 3.1 ISO 9001, ISO 14001, ISO 22000 and OHSAS 18001 Accredited...
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...COCA-COLA: CASE STUDY 1. Analyze Coca-Cola and its business strategy using the value chain and competitive forces models. 2. What is the relationship of collaboration and knowledge management to Coca-Cola’s business strategy? 3. How is Coca-Cola using knowledge management systems to execute its business model and business strategy? 4. Why is Coca-Cola’s relationship with its bottlers so important? What is Coke doing to improve its ability to collaborate with its bottlers? 5. What are Coca-Cola’s prospects for success in the future? Will information systems make a difference? Why or why not? Question-1: Analyze Coca-Cola and its business strategy using the value chain and competitive forces models. Answer: Firm Level A value chain is a chain of activities for a firm operating in a specific industry. The business unit is the appropriate level for construction of a value chain, not the divisional level or corporate level. Products pass through all activities of the chain in order, and at each activity the product gains some value. The chain of activities gives the products more added value than the sum of the independent activity's value. Activities The value chain categorizes the generic value-adding activities of an organization. The & quot; primary activities & quot; include: inbound logistics, operations (production), outbound logistics, marketing and sales (demand), and services (maintenance). Coca –Cola is doing their business throughout the...
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...An operations strategy is the structure upon which an organization determines how it arranges and uses its resources in order to maintain acompetitive advantage. It is a formulated framework consisting of two elements. The structural element contains components like location and size of the organization, whereas the infrastructural element focuses more on aspects like product quality control. A successful operations strategy will align and actualize the organization’s business strategy. Sponsored Link Talent Management Strategywww.cornerstoneondemand.com Improve workforce productivity and customer sat. Free Whitepaper Competencies Design an effective operations strategy around competency priorities to focus on how the organization plans to offer its competitive edge in the marketplace and how it distinguishes itself from other organizations that offer similar products or services. Many organizations target one competency from the traditional list of cost, quality, flexibility and service. For example, a quality-driven operations strategy focuses on beating out the competition with its products' durability and reliability. Cost Driven An organization designing a cost driven operations strategy focuses on providing a product more cost-efficient than its rivals. Many cost driven products are commodities such as salt, flour, sugar or even gasoline, which customers usually buy strictly on the basis of price because they perceive little or no difference between brands. Service Driven...
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...Operations Management Supply Chain Nathalia Gomez Kean University Abstract Supply chain management is the management of the flow of goods. It includes the movement and storage of raw materials, work-in-process inventory, and finished goods from point of origin to point of consumption. It is the streamlining of a business' supply-side activities to maximize customer value and to gain a competitive advantage in the marketplace. Supply chain management represents an effort by suppliers to develop and implement supply chains that are as efficient and economical as possible. Supply chains cover everything from production, to product development, to the information systems needed to direct these undertakings. “Supply management can be viewed as both an emergent field of practice and an emerging academic domain. Supply chain management is ultimately about influencing behavior in particular directions and in particular ways. The underlying logics, drivers, enablers and barriers merit and require close attention.” (Storey,2006) Typically, Supply Chain Management will attempt to centrally control or link the production, shipment and distribution of a product. By managing the supply chain, companies are able to cut excess fat and provide products faster. This is done by keeping tighter control of internal inventories, internal production, distribution, sales and the inventories of the company's product purchasers. Supply Chain Management is based on the idea that nearly...
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...The Coca-Cola Company An amazing 1.8 billion servings of Coca-Cola products are sold around the world every day, according to Steve Buffington, vice president of supply chain development and director of supply chain, Bottling Investments Group for The Coca-Cola Company. Making sure that every one of its thirsty clients gets the right product, at the right time and in the right price range is Coca-Cola’s supply chain priority. Buffington, a 34-year veteran with The Coca-Cola Company, has been involved in a variety of strategies for growth and operations excellence. He has led new developments in the Coca-Cola supply chain around the globe, from bottler consolidation in North America in the 1980s, to procurement and supply chain strategies in Argentina in the ’90s. In the mid-2000s, Buffington took over management responsibility for the Bottling Investment Group in Brazil, Uruguay, India, Philippines and Singapore as Coca-Cola focused on strengthening bottlers in these key markets. Since 2009, Buffington has been responsible for development and implementation of strategies to support and enhance the Coca-Cola supply chain system. LOCAL SERVICE To be able to offer that localized customer service worldwide, Coca-Cola six years ago established the world’s largest lean-Six Sigma supply chain operation to leverage best practices, processes and operational excellence programs. “It’s all about being local, being responsive, being market-driven and also being able to...
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...Coca-Cola Company A Multinational Enterprise The Coca-Cola Company indeed is an MNE because it operates a headquarters in Atlanta, Georgia with other local operations in nearly 200 countries around the world. Coke succeeded as a multinational because of its understanding and appeal to global commonalities (Rugman, A. M. & Collinson, S., 2006). The firm has implements three principles that are assigned to make it more locally responsive, the three principles are: Coca-Cola's three principles * Principles * Description * Operates on a local scale The company modifies its operations to meet local need and institutes a strategy of "think local, act local". Country-by-country basis: It focuses itself as a pure marketing company and pushing its brands on a regional basis and local basis rather than a worldwide basis. Integrates with local environment: Coke is now working to become a model citizen by reaching out to local communities and getting involved in local activities Background of the Coca-Cola Company A carbonated beverage called Coca-cola or often referred as Coke is the world's largest beverage company and the best-known brand in the world. Coca-Cola Company has operated for 124 years since 1886. Coca-Cola was invented by a pharmacist in Atlanta, John Pemberton and he has become one of the global market leaders in the beverage industry (iloveindia.com). The Coca-Cola Company offers over 400 different brands in more than 200 countries worldwide. Coca-Cola...
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...Case on Corporate Sustainability Reporting: Coca Cola 1) The Coca Cola Enterprise is very big supporter of the community. In 2013 they have * Invested more than $9 million in community programs to support young people, encourage active lifestyles and protect the environment. * Reached more than 100,000 young people through local partnerships and our education centers. * In 2013, we launched a new partnership with JINC, an organization bringing together companies and underprivileged young people to help students prepare for the world of work. Focusing on developing the skills needed to gain employment, volunteers and funding are provided for classes, interview coaching and one-to-one support. * In Sweden, we support Städa Sverige (Clean Sweden) to promote environmental awareness among young people. Since 2010, more than 4,000 participants have * Cleared litter from over 300 Swedish beaches. Through our projects with WWF-UK, we are working with community groups to improve water quality and undertake river restoration at the River Nar in Norfolk and the River Cray in South London 2-3) Metric People Empowering 5 million women to be entrepreneurs by 2020. * The Goal: Enable the economic empowerment of 5 million women entrepreneurs across our value chain by 2020. * Status: In progress as of December, 31, 2012 the 5 by 20 program had enabled approximately 300,000 women and has recently expanded to twelve countries. * Goal: A policy implementing...
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...Supply Chain Management of Coca Cola: Raw materials The Coca Cola Company produces only the syrup that is used to make its sodas. It manufactures and distributes a number of non-alcoholic beverage concentrates and syrups. It does not produce the final beverage (Zoominfo.com, 2008). The company provides the syrups and concentrates to franchises that use these to make the final beverage although the company holds interests in some of the major bottlers and distributors. The actual formula Coca-Cola uses is a very tightly held trade secret so there is little information regarding the ingredients and thus, little information of the costs of their supplies. Specifically, the company uses high fructose corn syrup, sucrose, aspartame, and citrus concentrates. Integrated Supplier Network According to the company, the Coca-Cola system is: they produce the concentrates and bottling partners manufacture, package and distribute the product. The supplies used include sugar, citrus, coffee and other flavors, and water (Coca-Cola, 2008). Suppliers are those companies that provide the ingredients for the concentrate syrups. In 2004, Coca-Cola changed their supply chain to achieve greater efficiencies (Foley, 2004). Three business units were combined in North America to make one more efficient integrated unit (Foley, 2004). The process streamlined information technology, procurement process and supply chain operations (Foley, 2004). The company made another change in 2006, when it began...
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...Babar, Jagmeet, Manjot, Harman, Giridhar, Vamshi, Sheetal | Table of Contents Introduction 3 Customer Perception 5 Process Management 7 Global delivery Network 8 Concentrate 10 Licensing Agreement 12 Bottling Plant 13 Logistics Management 14 Packaging 15 Transportation Modes 17 Reduction in Cost 17 Agile/Adaptability 18 Responsiveness 19 Resilience 21 Sourcing 22 SRM (Supplier Relationship Management) 23 CRM (Customer Relationship management) 23 Distribution Method 24 Reference 25 Introduction The operations of Coca Cola are administered by the distributed management principles across the world and this has been achieved by setting separate management and operational teams in those areas. The supply of Coca Cola to the customers is made possible through company’s own participation and through the strategic partnerships with the bottlers, chemical providers and the delivery facilitators. The company has the tradition of changing the operating structures according to the fluctuations in the market place. The global strength of Coca Cola has been attained by the company through its strategic partners and it is important to note that there 250 bottling partners across the world. This not only facilitates the operational procedures for the company but also minimizes the chances of any weak grip over the supply chain issues. The Coca Cola is not a single managerial perspective or legal entity and further, the company is also not controlling or owning all of the bottling...
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...grocery stores. Apart from these other distribution systems are also put to use. Multi-Channel distribution system is advantageous as it expands the distribution system and more customers can be reached. The possible disadvantage again is channel conflict of which the marketer should always be cautious. The Coca-Cola Company is the world’s largest beverage company. It is recognized as the world’s most valuable brand. It markets four of the world’s top five soft drink brands like Diet Coke, Fanta, and Sprite along with water, juices, tea, coffee and energy drinks. It has one of the world’s largest beverage distribution systems spread over 200 countries selling 1.6 billion servings a day. Let us first understand what a supply chain is and also the supply chain components we have chosen to focus on. Supply Chain A supply chain is a system of organizations, people, technology, activities, information and resources involved in moving a product or service from supplier to customer. Supply chain activities transform natural resources, raw materials and components into a finished product that is delivered to the end customer. in the rest of the world, the Coca-Cola distribution system includes the company and its 300 bottling partners. The company manufactures and sells concentrate and beverage bases. The bottlers combine this concentrate or beverage base with sweetener (depending on the...
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...CONTENT PAGE 1. INTRODUCTION..................................................................................................3 1. Information System: An Overview............................................................3-4 2. Brief history of Coca-Cola.........................................................................4-5 2. Analysis of Internal and External Forces............................................................5 1. The Coca-Cola SWOT Analysis...................................................................5-7 1. Internal Forces.......................................................................................8-9 2. External Forces.....................................................................................9-10 3. Information System Incorporated.....................................................................11 1. Value of Information System......................................................................12 1. Value Chain Analysis...........................................................................12-13 2. Competitive Advantage..............................................................................14 4. CONCLUSION....................................................................................................15 5. REFERENCES..............................................................
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...1- How do CCHBC's supply chain management practices help them to achieve their four major strategic aims? Coca Cola HBC’s efficient and competent supply chain management is aimed at fulfilling its four strategic goals of availability, affordability, acceptability and activation thereby continuously meet the changing demands of customers and the market place. Extensive planning by all concerned depts. viz production, marketing and operations is involved in designing a cost effective and result oriented supply chain. Historical data about consumer behavior is used to forecast demands on a weekly basis. Production planning based on long term forecasting is futile in present dynamic markets and hence the demands forecasts are continuously reviewed and discussed with production, operations and marketing and advertising departments. A consensus is reached on a figure which satisfies company’s profit motive without taxing the production unit’s capacity or compromising customer service in terms of availability of the right product at the right place at the right time. Cooperation and effective communication of all the team members is vital to such a flawless planning process. An efficient supply chain relies heavily on its retailers, suppliers and other members involved in logistics. The company strives to maintain good relations with all members of supply chain to understand needs of its intermediate customers so as to optimize costs along entire supply chain and reach its ultimate...
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