...The Coors Case Balanced Scorecard By the end of 1997, Coors had finished the implementation of a three-year computer-integrated logistics (CIL) project to improve its supply chain management. Coors defined its supply chain as every activity involved in moving production from the supplier’s supplier to the customer’s customer. (Since by federal law, Coors cannot sell directly to customers. Coors customers are its distributors whose customers are retailers whose customers are consumers). Coor’s supply chain included the following processes: purchasing, research and development, engineering, brewing, conditioning, fermenting, packaging, warehouse, logistics and transportation. The CIL project was a cross-functional initiative to reengineer the business processes by which Coor’s logistics or supply chain was managed. The reengineering project improved supply chain processes and applied information technology to provide timely and accurate information to those involved in supply chain management. The project objective was to increase company profitability by reducing cycle times and operating costs and increasing customer (distributor) satisfaction. The software vendor used for this project was the German Company Systems Application & Products (SAP), which provided the financial and materials planning software modules. The SAP planning software became Coors’s load configurator software, which takes distributor demand forecasts and the production schedule and...
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...could relate to a country or organization culture, as people do not born with culture but they learn it through values, norms, traditions, customs and beliefs. Therefore, any organization working in the field of the international marketing should take into account the local culture of the country in which it wish to market. Marketing managers should assess the cultural nature of an international market by using eight categories to analysis, which are language, religion, values, attitudes, education, social organization, technology and material culture, law-politics and Aesthetics. Many mistakes have been made in the past are related to language and translation, below are some examples: Product Slogan Translated From To 1 Coors Brewing Company (Beer) Since 1873 Canada Spain Turn it loose Suffer from diarrhea 2 USA Spain Braniff International Airways 1928-1982 Fly in leather Fly naked 3 Switzerland Italy Schwepps Since 1783 Tonic Water Water from the toilet 4 USA Africa Gerber Baby Food Since 1927 A picture of a healthy baby on the label of Gerber jars Africans was horrified as they assumed that Gerber was selling babies as food, instead of food for babies. 5 Japan France TOYOTA Since 1937 Introducing Model MR2 MR2 pronounced in French Merdè / Merdeux Which means crappy or very bad 6 USA Mexico Chevorlat Since 1911 When...
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...suppliers are farmers. Most breweries buy their supplies on the relevant countries’ futures exchange. Hence the branch has an opportunity to diversify its risk by trading futures contracts as well as hedging other risks. Various farmers supply the hops, barley, corn and rice used to produce beer. In 2008, there were 2,053 companies that purchased these ingredients. The overall beer industry sold nearly 206 million barrels of beer in 2009. For major brewers, the volume of ingredients purchased, the large number of farmers available to purchase the ingredients from, low switching costs on the part of the brewer, and inability of the farmers to forward integrate, supplier power in considered low in regard to the major brewers. Craft brewers who purchase fewer ingredients and sometimes more specialized ingredients may cause supplier power for this segment of the industry to be somewhat higher; yet, overall, suppliers have put limited pressure on price and supplier power is LOW. There are only a few large suppliers of aluminium cans, plastic and glass bottles, which increase the supplier’s bargaining power. However, taken into consideration largest brewery companies existing we can assume that the suppliers of those goods have a incentive in taking care those as a customer and will therefore provide them with the best possible price, in order to keep them as a customer. Competitive pressure from supplier bargaining power is considered to be generally low with respect to the industry...
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...COORS MOLSON MERGER FEBRUARY 28, 2010 Table of Contents EXECUTIVE SUMMARY ii SCOPE 1 INDUSTRY 1 Top 5 Brewing Companies 1 The Beer Brewing Process 1 The Brewer to Retailer Process 3 Beer Importers 3 Beer Wholesalers 3 Beer Retailers 3 COORS 4 Marketing 4 Information Technology 4 Financial 5 MOLSON INC. 5 Marketing 5 Information Technology 5 Financial 6 MOLSON COORS MERGER 6 Four Objectives of Molson Coors 6 Goals from Molson and Coors 7 Coors Goals 7 Molson’s Goals 7 Merger: Good or Bad? 7 EXECUTIVE SUMMARY This document analyzes two world renowned brewing companies, Coors and Molson, in their achievements and efforts as individual companies in order to gain an understanding of the merger between Coors and Molson. The beer brewing industry is briefly reviewed in terms of the top five brewing companies in the world along with the information and beer brewing process flows of the industry. Marketing, information technology, and financials are elaborated upon for Coors and Molson. These three key aspects of each company are compared and contrasted in order to come to a positive decision about the merger. Finally, the merger is concluded to be a great decision for the two companies. SCOPE The merger between Coors and Molson are highlighted in this document. In order to come to a decision about the merger, the companies’ top competitors are mentioned. Information flows, as well as beer processing flows, are discussed. The two companies...
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...ISSN 1940-204X COORS BALANCED SCORECARD: A DECADE OF EXPERIENCE Hugh Grove University of Denver Tom Cook University of Denver Ken Richter Coors Brewing Company IntroductIon By the end of 1997, Coors had finished the implementation of a three-year Computer Integrated Logistics (CIL) project to improve its supply chain management. Coors defined its supply chain as every activity involved in moving production from the supplier’s supplier to the customer’s customer. (Since by Federal law, Coors cannot sell directly to consumers, Coors customers are its distributors whose customers are retailers whose customers are consumers.) Coors supply chain included the following processes: purchasing, research and development, engineering, brewing, conditioning, fermenting, packaging, warehouse, logistics, and transportation. This CIL project was a cross-functional initiative to reengineer the business processes by which Coors logistics or supply chain was managed. This reengineering project improved supply chain processes and applied information technology to provide timely and accurate information to those involved in supply chain management. The project objective was to increase company profitability by reducing cycle times and operating costs and increasing customer (distributor) satisfaction. The software vendor used for this project was the German company, Systems Applications & Products (SAP), 1 that provided the financial and materials planning software modules. The SAP planning...
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...Molson Coors Brewing Company | Operations Management | | Busi 2002 | Due Date: October 3, 2012 | | Table of Contents Introduction 2 Overview of Company 2 Background of Molson Coors Brewing Company 2 Molson Coors Brewing Company Vision Statement and Values 4 Operational Analysis 4 Quality Management 4 Product Design 5 Location 6 Supply Chain Management 6 SWOT Analysis 7 Strengths 7 Weaknesses 9 Opportunities 9 Threats 10 Porters Five Forces 12 Product Life Cycle 13 Cold Activated Bottles and Cans 13 Widemouth Bottles 14 References 15 Introduction Molson Coors Brewing Company is one of the leading manufacturers in the Brewing Industry. They have been in business for over 350 years and have been in a number of different industries. When the Molson Inc. and Coors merged in 2005, they began to focus on one main product, Beer. This report will include a background of Molson Coors Brewing Company, a SWOT analysis, Porters Five Forces and a Life Cycle Product analysis on two of their products. Overview of Company Background of Molson Coors Brewing Company Molson Coors is has been manufacturing beer for more than 350 years. They are currently involved in all aspects of the production process, including; manufacturing, packaging and selling of its malt products. Molson Coors is primarily classified as an American company, after the merger between Molson Inc. and Coors in 2005. Due to the merger, the company maintains two main...
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...Kwantlen Polytechnic University | Molson Coors | MRKT 4201 Assignment | | Mira Marlina, 100268574 | 1/16/2013 | This document is exclusively prepared for MRKT 4201 | Molson Coors Brewing Company Background information Molson Coors is a company that highly focused in brewing premium beers for over 350 years. Molson Coors have their world wide market community by undertaking the Glocalization strategy by capturing each of the local region’s taste through the strategic sourcing tactics. Some of their famous brand includes the Coors light, Molson Canadian, Miller Life, and many more. Some of the company’s operating segments are Canada, the United States, Europe and Molson Coors International (MCI). Kandy Anan takes the leadership control of Molson Coors international and Dave Perkins takes the leadership role as the president and the CFO of the Canadian region. Molson Coors is the company that based itself at the foundation of integrity and shared responsibility. Molson Coors employs 15,000 people and have their operations in more than 30 countries. (Company, 2012) Updated news of the company 1.) On January 14, 2013, Molson Coors UK and Ireland has brought the “Franciscan Well” craft beer brand as their first development strategy of its emerging market. This investment is important for the Molson Coors’s Ireland to build a strong market share in the emerging craft beer market by bringing together Scottish and Irish businesses. Molson sees this opportunity...
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...Product b. Price c. Place d. Promotion e. Introduce a company the author is familiar with – Coors, an adult beverage company 2. Product a. Definition – a particular product or service that a company offers b. Miller Coors – Coors Light, Killians, Keystone, Blue Moon i. Miller Coors is marketed as an adult decision and easy to use product for everyone over the age of 21. 1. “Fun” commercials 2. People enjoy being around others that drink Coors beer 3. Price a. Definition – the price that a particular product or service costs b. Coors – Brands attack different segments i. Coors offers “Budget Beer” for Americans that make below a certain amount of money and can’t afford more expensive beer ( college students). ii. Coors offers seasonal beers also Winterfest and Killians has become a seasonal sensation iii. Coors offers beer for all different types of fun occasions. 4. Place a. Definition – Where the products are marketed or Distribution Channel. b. Coors– Brands i. A Physical product can be purchased from most stores during certain hours depending on laws within each state.. Target, Safeway, WalMart, Costco, Walgreens and Liquor stores have carried the product in the past. The product is also available for purchase at many Bars / restaurants. 5. Promotion a. Definition – How to market the product. i.e. Advertising, Direct Marketing, Sales Promotion, Public Relations and Publicity. b. Coors– Coors advertises it product year around. You will see heavy advertisement...
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...MarketLine Industry Profile Alcoholic Drinks in China February 2012 Reference Code: 0099-2201 Publication Date: February 2012 WWW.MARKETLINEINFO.COM MARKETLINE. THIS PROFILE IS A LICENSED PRODUCT AND IS NOT TO BE PHOTOCOPIED China - Alcoholic Drinks © MARKETLINE THIS PROFILE IS A LICENSED PRODUCT AND IS NOT TO BE PHOTOCOPIED 0099 - 2201 - 2011 Page | 1 EXECUTIVE SUMMARY Market value The Chinese alcoholic drinks market grew by 9.8% in 2011 to reach a value of $96.5 billion. Market value forecast In 2016, the Chinese alcoholic drinks market is forecast to have a value of $145.6 billion, an increase of 50.9% since 2011. Market volume The Chinese alcoholic drinks market grew by 5.7% in 2011 to reach a volume of 53.2 billion liters. Market volume forecast In 2016, the Chinese alcoholic drinks market is forecast to have a volume of 67.6 billion liters, an increase of 27.1% since 2011. Category segmentation Beer, cider & FABs is the largest segment of the alcoholic drinks market in China, accounting for 65.1% of the market's total value. Geography segmentation China accounts for 38.7% of the Asia-Pacific alcoholic drinks market value. Market share SAB Miller is the leading player in the Chinese alcoholic drinks market, generating a 17% share of the market's value. Market rivalry Growth within the alcoholic drinks market has been robust and steady within the last few years, which tends to reduce the rivalry to some extent and attract...
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...strategy | Animee Beer – A Lager for Ladies | Contents Mission Statement A Dedication to Innovation “As a brewing company in love with beer, we’re always looking for ways to challenge the expected and bring something new and exciting to our drinkers” A Business Built On Responsible Practices “We are about the communities and the places where we brew and market our beers, just like you do. We believe in integrity, respect and accountability have to be part of everything we do, everywhere we do it or it’s not worth doing, that’s how we do business and it won’t change.” Getting to the “Coors” of business Molson Coors was first established when The Coors Brewing Company and The Molson Coors Company merged in june 2005. With more than 350 years of pioneering in experience in the brewing industry, it is now the fifth largest beer makers by volume. Operating through it’s subsidiaries, Molson Coors Brewing Company (MCBC) produces around 502 million gallons of beer a year. Molson Coors Brewing Company portfolio contains more than 100 beer brands including Coors Light, Molson Canadian, Carling, Carling Chrome, Cobra and the recently launched Animee beers for ladies. Molson Coors company does not only specialise themselves in beer, they currently produce lagers, malt beverages and energy drinks such as Mountain Dew. According to Paul Delean Molson Coors total revenue in 2011 was an estimated $6.7 Billion. Market Summary Market Demographics Gender ------------------------------------------------- ...
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...Golden, Colorado, the heart of the Rockies, Coors Light is the eighth leading beer brand in the world. As Molson Coors’ largest brand, the new parent company after the 2005 merger, Coors Light has established itself as the biggest selling brand in both the US and Canada. The merger, however, left the company heavily indebted and with limited capital suffered a loss of partnering and sponsorship for major sporting events. Coors Light has worked extremely hard to maintain the positioning as ‘The Worlds Most Refreshing Beer” withstanding the susceptibility the brand faces with only a single brewing site and third party distributors. This promotion plan includes the following objectives for the upcoming year: * To attract non-users and create brand awareness among 90% of females aged 21-30 seeking a refreshing tasting light beer, * To retain the 18-24 year old male target currently held by Coors Light. * To engage the mobile community through the use of Mobile Insider, connecting the brand to consumers. The objectives should be met through various promotional activities tied closely to the company’s long-standing brand image, and mobile promotions to increase accuracy in reaching target markets. Over the next 12 months it is recommended that Coors Light continue to use the Maxim Golf Experience to maintain the current target market. The brand will increase awareness among the female target by promoting the Coors Château getaway at bars across Canada, awarding...
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...manufacturing, sales, and marketing departments which includes approximately 170 employees. The facility is about 50,000 square feet consisting of production, retail, event, and office space. They supply their beer to men and women of the legal drinking age in Alberta, British Columbia, and Ontario. Steam Whistle uses a hybrid manufacturing process, producing approximately 88,000 bottles per day. They are working at integrating many green initiatives such as using all natural ingredients, reusing bottles and elements from the packaging line, and reducing paper usage in the office. Steam Whistle specializes in the “art” of beer creation by utilizing an integrated facility of both human labour and machine processing. In various aspects of the brewing process Steam Whistle is evidently applying a large dependence on the human labour which may not always be profitable in the long run. As discussed throughout the course, human capital in operations is essential for running a business smoothly but under differentiated circumstances, human labour can be considered a liability for a business. Humans act and work independently from one another and each person has different capabilities. Labour costs contribute to a large portion of any business’ expenses, so a proper incorporation of human and machine processes cannot be overlooked. In the short run, businesses use human labour as a variable expense, one that will consistently change with the amount of units produced. Ultimately, in the short...
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...supply chain d. Compensation and appraisal system e. Employe\\e culture, employee relations, and practices IV. Conclusion a. Thoughts about the project b. How it effects professionals careers c. Thoughts of working individually than in a team. The story of this famous beer dates before any of us where even thought about. This here is a story of raw entreprenuership destined for a family to create. It starts with Adolpus Busch, who as a boy spent his childhood developing skills of winery and brewing since he is the son of a brewer. In 1857, Adolphus cam to the states bringing along his newly developed talents that would began a change in a way that Americans see beer. Aldophus began to work for his father-in-law brewing company E. Anheuser& Co. He soon became a partner in the company, establishing the Anheuser-Busch Co. By adapting to Americans love for robust dark ales and lighter Bavarian style lagers,...
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...How the co-branding affect company According to Srinivasan (2007), Co-branding is the marriage between two brands with different backgrounds, which focuses on combination of the partners’ resources and best capacities. In this competitive society, hundreds of forward-looking companies are trying to expand their business scale and impact by doing brand alliance and refresh themselves by lowering prices using new technologies. According to Mckinsey & Company Statistics: the number of joint enterprises in worldwide in 1994 - including co-branding company, involving millions of dollars assets with an annual rate of 40% growth.(1994) That is because consumers become more and more dependent on brands, and become more difficult for company if they want to keep the strong competitiveness and get more profits. Co-branding provides the chance for this situation. However, the co-branding does not fit for every company and does not bring the benefit for them. There are also exist some problems not only in culture but also between in partners. So I will talk about how co-branding affects the company in positive ways and negative ways. There are several reasons why some companies would want to pursue co-branding. The first one is that co-branding can attracts a wide range of consumers. Because once company adopts the co-branding, for consumers, it means that it provides more selection and more function of products. For example: Nike and Ipod, announced a partnership, which resulted...
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...Coors 啤酒公司的平衡记分卡：十年经验 作者：Hugh Grove，University of Denver；Tom Cook, University of Denver; Ken Richter, Coors Brewing Company 前言 1997 年底前， Coors 完成了它历时三年的计划项目“电脑联结后勤 （Computer Integrated Logistics, CIL） ”， 以改进其供应链管理。 Coors 把所有有关其从供应商的供应者的产品， 到递送到其顾客的顾客的所有的 作业，都概括称为一条“供应链”。（因为根据联邦法律，Coors 不能直接向顾客出售其产品。Coors 的 顾客是经销商，经销商的顾客是零售商，而零售商的顾客才是消费者。）Coors 的供应链包括了下述流 程：采购、研究与开发、工艺、酿造、调理、发酵、包装、仓储、后勤和运输。 CIL项目是一个跨越若干职能的创举，目的在于再造Coors的后勤或供应链的管理流程。此一再造项 目改进了供应链的流程，并应用信息技术，向参与供应链管理的人员提供及时、正确的信息。此项目 之目的是，通过减少周转时间、降低营业成本、提高顾客（经销商）的满意程度，以增加公司盈利。 为这个项目提供软件的，是德国的 SAP(Systems Applications & Products)公司。该公司提供财务和材 料计划的软件模块。Coors 采用 SAP 出品的用于编制运载计划的软件，该软件用来预计经销商的需求、 编制生产进度计划和编制下周的发运进度计划。CIL 项目纠正了供应链中的下列几个主要问题： 1. 满足了季节性的需求， 2. 满足了因促销活动而引起的骤然增加的需求， 3. 提供了与每年推出三种新品牌相关的辅助性作业， 4. 按顾客（经销商）正常订单发货， 5. 按急件订单发货，和 在啤酒变质之前，把啤酒从生产线通过仓库配送给经销商。（Coors的产品，如系桶装的，其货架寿 1 命 为60天；如系其他包装，其货架寿命为112天。） Coors公司顾客服务部主管Matt Vail，从CIL项目开始时起，就是这个项目的负责人。他在供应链管 理方面积累了充分的经验，遂被一家专门从事与供应链有关的咨询公司聘用。1998年初，在他为Coors 工作的最后一天，他与Coors公司的质量保证部主管Ken Rider作了一次谈话。 Ken当时刚被任命负责Coors公司的新的平衡记分卡(BSC)项目。实施这个项目的最初的动机，是对 是否应该把供应链已作的改进继续保持下去，作出评估。然而，这个项目的范围却被扩大到成为一项 涵盖整个公司的BSC制度。于是，这个项目的远期目标遂变为：1）把注意力集中于持续改进上，2） 鼓励合理的冒有风险的探索和学习以提高业绩，和3）使员工明白提高生产率的机会和报酬。 Matt: 这个供应链管理项目， 确实极富挑战性、 也是回报丰硕的。 我真是不愿意离开Coors公司， 但 是那家咨询公司给了我富有吸引力的待遇，使我难以拒绝。我希望你在继续从事这个平衡记分卡项目 中，也会取得同样的正面体会。 Ken: 这个新项目，将是一项真正的挑战。我们需要把基础建在你负责的供应链项目已取得改进之 上。 Matt: 我这个项目组，读到我们的首席执行官（CEO）在他1997年致股东书中提到供应链项目的内 容，感到非常兴奋。他在致股东书中说，1997年在生产率上取得的重大成就，来自我们这个项目；通 过这个项目，使整个供应链的各个环节（包括采购、酿造、包装、运输和行政管理）的效率大为提高。...
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