Supply chain management has become a key component in managing the successful activities of the businesses. Supply chain does not only concentrates on improving the efficiency of the functional activities of the business but it also emphasizes on maintaining the effective relationships with the suppliers and customers respectively to promote the long term sustainability in the market. However, the prime objective of supply chain management is to ensure the sustainability through protecting and growing the long term social, economic and environmental values for all of the involved parties with the aim to bring the product in the market successfully (The Global Compact, 2010).
In simple, the supply chain is not the part of the business but rather it is the network of how companies carry out their functions, integrate with their stakeholders and suppliers and maintain the cross functional relationships with their customers and suppliers. In short, it expounds the business model that leads the company towards the success. The management of this network reflects and signifies the concept of supply chain management where it maintains the cross functional integration with in the company as well as across the entire network with the prime intention to bring improvements in the performance that result from the efficient management of value chain (Lambert, 2009).
This report intends to extenuate the supply chain network or activities of Coca Cola Company as it has one of the largest supply chain systems throughout the world. The coca cola company is primarily a beverage manufacturer, retailer and marketer of beverages and syrups that offers more than 500 brands in the entire world and serves more than around 1.6 billion of servings every day.
Discussion
Company Introduction
Coca cola initiated its operations primarily as the drug to relieve from the headache by the Pharmacist Dr. John Pemberton in 1886. This drug later became ostensibly popular that it started to be produced as carbonated drink. However, the Coca Cola Company is the number one leading company in the entire world with respect to its strong manufacturer, marketers and distributors of non alcoholic drink that nearly produces around five hundred brands globally. It has operations in worldwide in around two hundred countries. The company is evidently popular for its flag ship product Coca Cola that is recognized as the most valuable brand in the entire globe.
Supply Chain Management Practices in Coca Cola
The general network of supply chain management of the beverage company is as same as the other industry that includes the manufacturers, distributors, retailers and consumers that are tightly intact with their respective roles. The company follows a unique system of supply chain management where the company primarily produces the syrup which is sold to myriad coca cola bottlers in the entire globe. The coca cola bottlers companies then proceed the further cycle of coke where they transfer the finished cola into the cans and bottles from the syrup with the sweeteners ...