Project Management of the Coca-Cola Company - Assignment Example

? Operations and Project Management Table of Contents Introduction 3 Operations Performance 3 Operations Strategy 4 New Product Development 5 QualityManagement 6 Inventory Management 7 Conclusion 8 References 10 Introduction The Coca Cola Company is the largest global beverage company. Coca Cola offers soft drinks and beverages through 500 popular brands to its customers. The organization was founded in the year 1886. It is the largest global marketer, manufacturer and distributor of non-alcoholic syrups and beverage concentrates. The organization is currently operating in more than 200 countries. Coca Cola is most popular and famous soft drink brand. Coca Cola has implemented several innovative and unique operational strategies. These strategies have enhanced the manufacturing, processing, and distribution. It is known to all that the organization has faced several problems regarding the quality of product, but they are trying to overcome the challenges by effective quality management of cold drink products. This essay will analyze the operation and project management activities of Coca Cola. Operations Performance The operation performance of Coca Cola is quite significant and effective. Due to effective operational strategies the organization has become the leading player within the industry. Coca Cola has achieved several competitive advantages due to effective supply chain management strategies. Effective resource utilization is the major strength of Coca Cola. Starting from the collection of raw materials to product delivery, Coca Cola has implemented several advanced technologies in their business process (Liu, 2012, p.133). The organization follows decentralized manufacturing and product delivery process. It is known to all that Coca Cola has several manufacturing plants in the leading cities around the globe. Moreover, they have established their warehouses near the manufacturing plants and distribution centres. It helps them to reduce the time in managing the logistics and supply chain. Coca Cola supplies its products to their distributers and retailers with the help of advanced manufacturing tools and machineries. Moreover, fuel efficient long headed trucks help the organization to supply huge stock within a quick period of time. The fuel efficient logistics trucks help to reduce the emission level. Moreover, implementation of advanced technology helps Coca Cola to reduce the usage of energy in the business operation. Application of PDA service in the inventory management system helped the organization to keep the track of stocks in appropriate way. Some of the products of Coca Cola were facing various health and quality related issues. The government of several countries banned the manufacturing and marketing of these products. It affected the business performance and brand image of Coca Cola. In order to overcome these critical issues, the organization tried to improve the quality of cold drink products by reducing the carbon footprint. The organization is trying to focus on the corporate social responsibility. They are trying to maintain zero solid waste by recycling the products. Moreover, effective water recycle strategy reduced the water consumption and energy consumption level of Coca Cola. Coca Cola organizes various environment awareness programmes in order to reduce the emission level (Epstein and Birchard, 2007, p.127). Sustainable packaging strategy will help Coca Cola to practice effective and sustainable business operation in global market place. Operations Strategy The organization uses almost 300 billion litres of water in a year. It helps them to enable their supply chain resource for its different products. Effective and sustainable use of water helps the organization to increase its core competency in global market place. Climate change is one of the most potential environmental threats that can affect the future generation. Therefore, in order to reduce this critical environmental threat the organization is trying to minimize the usage of energy (Hill and Jones, 2009, p.242). Coca Cola is trying to implement advance technology in their business process in order to reduce the carbon emission level. Moreover, in terms of global logistics and supply chain the organization is trying to use fuel efficient logistics trucks to reduce the pollution level. These operational strategies will help to increase the brand reputation of Coca Cola in global market place. It is the responsibility of the organization to take the some initiative that will deal with the environmental hazards. Reduction of use of harmful pesticides in the cold drink products will help the organization to increase its client base. The organization is trying to provide HFC free cold drink products by 2015. They are trying to implement sustainable packaging strategy by improving the efficiency of packaging material (Slack and Nigel, 2010, p.6). The organization is trying to give back 1 percent of total operating income to the society. These strategies will help the organization to bring sustainability in business, society and environment. Carbon emission reduction, recycle of water and zero solid waste will help the organization to avoid several legal and environmental issues. New Product Development A new product development depends upon effective team effort. This new product development strategy goes through several developmental stages. Coca Cola always tries to develop a new product after conducting an effective product positioning strategy. It is difficult and both costly and time consuming process (Grant, 2010, p.20). But effectively constructed product development strategy is always highly profitable. Coca Cola Vanilla, Fanta icy Lemon and Coca Cola Zero are the new products introduced by the organization. The organization maintains several steps in order to develop a new product in a competitive market for a potential target customer group. Idea generation is the first and foremost stage. The organization has preferred the customer’s needs through effective market research activities. It helps them to understand the market demand. Business analysis is the second most important step in the new product development process. They always try to understand the market condition, strength and weaknesses of competitors and potential market opportunities in order to develop the new product. Effective quality measurement and product manufacturing plan is the key success factor in a new product development (Lamb, hair and Mcdaniel, 2004, p.44). Coca Cola has followed this strategy significantly. Finally commercialization is an important factor in new product development process. Effective promotional strategy and attractive advertising helps Coca Cola to increase the brand awareness of the newly developed products. Coca Cola has always tried to target the untapped market. Moreover, they have effectively identified the target market for their new products. The strong brand name helps the organization to increase the sales of new products. Effective umbrella branding strategy helps the organization to develop new products. The organization always focuses on the quality factor of new products. Effective R&D helps to maintain the quality of new products. These strategies have ensured the perfect quality of new products. Quality Management Coca Cola has a global quality management system which is known as Coca Cola Operating requirements. It tries to maintain the standard on the packaging system so that it complies with the standard according to the rules and regulations. This particular system consists of Occupational health and safety, International quality management standard and environmental management (Bateman, 2009, p.148). The organization always tries to offer perfect quality products according to the organizational value. Coca Cola always try to meet the current demand of the customers. The organization has implemented extensive systems in the factories in order to measure and manage the quality of the products. It helps them to provide perfect quality products. In addition, the organization started online feedback process in order to improve the quality of the products. In Great Britain, the organization started a Total Product Quality Management Programme for both customers and employees in order to ensure the perfect quality of the soft drink products (Carollo, 2012, p.4). This Total Product Quality Management Programme generally focuses on raising several important factors, such as aged product, damage, liquid contamination, strong light and extremes of temperature that can have an unfavourable impact on the quality of the soft drink products. This Total Product Quality Management Programme also promotes best product management practice among the customers and employees. Coca Cola always focuses on packaging process and water recycling. Moreover, the organization is committed to provide healthy and safe work environment for the employees. Quality testing is another effective quality management process of Coca Cola. Strong Research and Development team of Coca Cola always provide greater attention in order to maintain effective product quality. Inventory Management Coca Cola is one of the most popular, best known and largest organizations around the globe. The organization has vast number of vending machines. It helps the organization to supply the products according to the market demand. The organization implemented current and future sales strategy by supporting potential and promotional sales (Vootman, 2004, p.121). Operation cost reduction is one of the effective strategies that helped Coca Cola to enjoy the benefits of economies of scale. Sufficient number of warehouses, distribution centres and effective global logistic strategy supported the inventory management. Implementation of advanced technology in the stock recording process increased the business operation efficiency of Coca Cola. PDA system in inventory management helped the employees to record the stocks within a quick period of time (Pride, Hughes and Kapoor, 2006, p.290). This effective inventory management process helped the organization to reduce the business operation time. The organization has implemented weekly planning process in their inventory management. Moreover, they have implemented volume planning process in order to tack the sold volume of products (Tallant, 2011, p.4). The organization has appointed several operation executives in order to measure the weekly and monthly outcome. This process will help the organization to develop effective supply plans and future forecast. Conclusion Coca Cola is the leading producer, marketer and distributer of non-alcoholic beverages. The organization has achieved several potential competitive advantages due the effective business operations and strategies (Drakoln, 2003, p.161). Coca Cola always follows effective and innovative operational strategies starting from manufacturing process to product distribution process. Implementation of advanced technology, effective workforce and sustainable business practices increased the core competency of Coca Cola in global market. The organization suffered from product quality and health issues. Therefore, the organization is trying to practice sustainable business operations. Effective quality control of products helps to maintain the strong brand image of Coca Cola. Strong research and development team of Coca Cola helps the organization to control the quality of the products. Coca Cola has effectively conducted market research activities in terms of new product development. The organization has effectively targeted the untapped market in order to increase their market share within the industry. In Great Britain, Coca Cola has started a Total Product Quality Management Programme (TPQMP) for both employees and customers in order to ensure the superior quality of the soft drink products. Sufficient number of vending machines and effective PDA application has brought efficiency in the inventory management process. References Bateman, T., 2009. Management: Leading and Collaborating in the Competitive World. New York: McGraw-Hill. Carollo, B., 2012. Report to Coca-Cola Marketing Director. Berlin: GRIN Verlag. Drakoln, N., 2003. Single Stock Futures for Small Speculators. New York: Enlightened Financial Press. Epstein, M., and Birchard, B., 2007. Counting with Counts. London: basic Books. Grant, R., 2010. Contemporary strategy Analysis. New Jersey: John Wiley & Sons. Hill, C., and Jones, G., 2009. Strategic Management. Stamford: Cengage Learning. Lamb, C., hair, J., and Mcdaniel, C., 2007. Marketing. Stamford: Cengage Learning. Liu, C., 2012. Multinationals, Globalisation and Indigenous Firms in China. London: Routledge. Pride, W., Hughes, R., and Kapoor, J., 2006. Business. Stamford: Cengage Learning. Slack, N., and Nigel, S., 2010. Operations Strategy. New Jersey: Pearson Education. Tallant, J., 2011. Coca Cola- The Evolution of Supply chain management. Berlin: GRIN Verlag. Vootman, C., 2004. Global Logistics: Management. London: Juta and Company. Read More