In: Operations Management
The Coca-Cola Company
We shall evaluate the Logistics and Supply Chain strategy of Coca Cola .
In the business environment, supply chain and logistics is a very important of the business . The Coca-Cola Company is a beverage retailer and marketer of non-alcoholic concentrates. It is well known among customers for its flagship Coca-Cola. The company has adopted franchised distribution system in which company produces the syrup concentrate and sold it in various bottles in all over the world.
Bottling Local
It is well known that the demand is a local proposition in every market. Coca Cola is serving around 16 million retail outlets across the world. The company has found that to meet demand, it is important to operate locally. The company operates with the local bottling plant having focus on the needs of the customers in the specific market. Coca-Cola always uses its local approach in the overseas market for effective logistic management. It is well known that the formulas for the soft drink are similar everywhere, so it is not difficult for the company to satisfy the customers by production, logistics and the taste in every market .
Logistics System
Coca-Cola has adopted advanced logistics system in the business. The company sells its beverage concentrates in the bottles adding carbon dioxide, water and sweetener to produce beverage and beverage syrup. The syrups are either sold directly to the fountain accounts or are combined with the carbonated water for bottling. In the logistics operations of Coca-Cola, there are two phases
Coca Cola operates with a vast network of suppliers who are covering products and services such as capital equipments, ingredients, packaging, building and facilities, fleet and logistics services, IT and telecoms, and sales and marketing services. In the Company Coca-Cola, the finished product is stored and then delivered them by the logistics co-coordinating team. The aim is to deliver the products at the right time and right place with the cost-effective way. The dispatch, warehouse, distribution, buyer logistics and the fleet team are responsible to meet the targets .
Areas of Logistics