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Coca Cola Supply Chain

-
by

Garry Tan

on 17 March 2012

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Transcript of Coca Cola Supply Chain

Bottler's Roles
Combine syrup with other ingredients
Bottling
Packaging
Merchandising
Marketing More than 300 bottling partners Main ingredients in Coca Cola Fructose corn syrup
Caffeine
Kola extract
Lime extract
Phosphoric acid Where do the ingredients
come from Corn syrup

Kola nuts The Bottling Process of
Coca-Cola refined sugar + treated water simple syrup filtration filtrated simple syrup
+
coca cola concentration De-creator proportional
cooler bottled
capped
inspected Placed in cleaned cases Order Fufilment System (OFS) Trucks for delivery
to Warehouses Stored in
warehouse/distribution centre Rationale Overlap in Distribution System Duplication of transportation and delivery costs

Additional costs Coca Cola Company bought Coca-Cola Enterprises Inc.'s North American operations
Direct control over approximately 90 percent of the total North American volume.
Eliminate substantial infrastructure overlap in distribution system
Operational synergies of $350 million Integration of Bottling Franchises The Supply Chain Places where Coca-Cola can be found

Retail outlets
Restaurants
Grocery stores/minimart outlets
Supermarkets
Vending machines and coolers The retailers Do You Know? CCE uses SAP software to transport coca cola to retailers Software helps determine: Which products to load on which truck
Which truck should visit which stores


??? ??? Bottlers Retailers Consumers Postponement Efficient in disseminating a broad portfolio of beverages to global consumers Franchise Model Franchise making more accurate forecasts of demand in their respective regions Transfers inventory costs from CCC to bottlers reducing CCC's
total costs WHO? CCC Bottlers Recent relative demand
for different beverage packaging/size E.g. , suppliers/vendors Recycling makes all the coke concentrate Some owned
by CCC most are independent Main challenge and solution
Full transcript