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Coca-Cola SCM - Case Study Example

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Summary
Supply chain management is the running of a system of businesses that are linked. The businesses are linked by one major aim; the eventual availing of a service or product to the customers. Supply chains characterise the current trend in…
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Coca-Cola SCM
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Coca-Cola SCM

Download file to see previous pages... It is a functional system that comprises the running of the source materials’ movement into the business, various scenarios of how the products and services are produced, and the management of how the services and the products are delivered to the customer. Hence, functions like obtaining source materials, and the ownership of distribution mechanisms are passed on to other businesses that are specialised with these functions. The regulation of the day to day logistics by the parent business is decreased, while, the number of business partners increases. Supply chain management enhances the speed of the movement of products and goods and minimises the cost. It enables the management of the inventory, transport, supply, customer service, and the distribution (Lambert, 2008).
The Coca-Cola Company produces a variety of soft-drinks. Its headquarters is in Atlanta. The company produces the syrups that are used to produce the various soft drinks and sells them to bottlers around the world. It has an estimated 3,500 types of soft drinks under its name. Soft drinks are beverages that contain no alcohol, but are carbonated, have sweeteners and are of different flavours (The Coca-Cola Company, 2011). The Carbon (IV) oxide gives soft drinks their unique taste while the sweeteners provide the calories. Over the years, Coca-Cola has continually produced different soft drinks under various brands totalling to over 500 in nearly every country around the world.
The old supply chain management of Coca-Cola Company involved several stages. It included the internal supply chain, the distribution and logistics network, the supply network, and finally to the customers. The internal supply chain was composed of production of the various beverages that it produces, the sourcing of the ingredients, the distribution to its business partners, marketing and sales, and the accounting of all the finances. The marketing and sale of its products have been characterised ...Download file to see next pagesRead More
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