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Coca-Cola GB: Organizational Structure & Strategy, Lecture notes of Marketing

An in-depth analysis of The Coca-Cola Company's organizational structure and strategy, focusing on the case study of Coca-Cola Great Britain. the Company's global and local strategy, the relationship between strategy and structure, and the importance of teamwork and empowerment in creating a successful organizational culture. It also highlights the Company's partnerships with bottling partners and communication channels that support a culture based on relationships.

Typology: Lecture notes

2021/2022

Uploaded on 09/12/2022

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Εργαστήριο Συστημάτων Αποφάσεων & Διοίκησης Ε.Μ.Π.
Οργάνωση και Διοίκηση, 3οΕξάμηνο
ΕΘΝΙΚΟ ΜΕΤΣΟΒΙΟ ΠΟΛΥΤΕΧΝΕΙΟ
ΣΧΟΛΗ ΗΛΕΚΤΡΟΛΟΓΩΝ ΜΗΧΑΝΙΚΩΝ ΚΑΙ
ΜΗΧΑΝΙΚΩΝ ΥΠΟΛΟΓΙΣΤΩΝ
Eνότητα:
ΟΡΓΑΝΩΣΙΑΚΗ ΔΟΜΗ
A Coca-Cola Great Britain case study
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Εργαστήριο Συστημάτων Αποφάσεων & Διοίκησης Ε.Μ.Π.

6η Eνότητα:

A Coca-Cola Great Britain case study

Εργαστήριο Συστημάτων Αποφάσεων & Διοίκησης Ε.Μ.Π.

Creating an effective organisational structure:

A Coca-Cola Great Britain case study

Introduction

 The Coca-Cola Company is truly global, and its main product is recognised and

consumed worldwide. The Company organises and structures itself in a way that

reflects that fact. At the same time, the Company looks to meet the particular

needs of regional markets sensitively and its structure also needs to reflect that

fact.

 This Case Study illustrates the way in which the Company has built an

organisational structure that is robust and yet also flexible enough to meet these

particular requirements

 Read more: http://businesscasestudies.co.uk/coca-cola-great-britain/creating-

an-effective-organisational-structure/introduction.html#ixzz2PVwdgLwX

Follow us: @Thetimes100 on Twitter | thetimes100casestudies on Facebook

Εργαστήριο Συστημάτων Αποφάσεων & Διοίκησης Ε.Μ.Π.

The challenge facing

The Coca-Cola Company today is

therefore to continue to build an organisational

structure that will deliver

a global and local strategy.

Εργαστήριο Συστημάτων Αποφάσεων & Διοίκησης Ε.Μ.Π.

The illustration shows the

worldwide distribution of sales of

Coca-Cola products by quantity in

2003. Although Coca-Cola is a

global product with universal

appeal, the Company actually

operates in local environments

around the world, with each

country having its own unique

needs and requirements.

Εργαστήριο Συστημάτων Αποφάσεων & Διοίκησης Ε.Μ.Π.

 Organisational structures need to be designed to meet aims. They involve

combining flexibility of decision making, and the sharing of best ideas across the

organisation, with appropriate levels of management and control from the

centre.

 Modern organisations like The Coca-Cola Company, have built flexible structures

which, wherever possible, encourage teamwork. For example, at Coca-Cola

Great Britain any new product development (e.g. Coca-Cola Vanilla) brings

together teams of employees with different specialisms.

 At such team meetings, marketing specialists clarify the results of their market

research and testing, food technologists describe what changes to a product are

feasible, financial experts report on the cost implications of change.

Εργαστήριο Συστημάτων Αποφάσεων & Διοίκησης Ε.Μ.Π.

The corporate segment -Head Office

The Coca-Cola Company has a corporate (Head Office) segment

that is responsible for giving the Company an overall direction and

providing support to the regional structure.

Εργαστήριο Συστημάτων Αποφάσεων & Διοίκησης Ε.Μ.Π.

A regional Strategic Business Units (SBUs)

This geographical structure recognises that:

 markets are geographically separated

 tastes and lifestyles vary from area to area. As do incomes and

consumption patterns

 markets are at different stages of development.

Εργαστήριο Συστημάτων Αποφάσεων & Διοίκησης Ε.Μ.Π.

At a more local level…

The management structure for Great Britain:

elements of centralisation

and decentralisation:

a matrix structure for each function

Εργαστήριο Συστημάτων Αποφάσεων & Διοίκησης Ε.Μ.Π.

Product support

 owns or licences nearly 400 brands in non-alcoholic beverages serving consumers in
 over 200 countries.

An essential part of the organisation's structure therefore focuses on ensuring that individual products are given the best possible support in regional markets. Within the Company, different teams concentrate on particular products and use their specialist knowledge of the brands and consumer needs to support the sales and promotional effort. In some cases a product is developed solely for local consumption and an example of this is the product Lilt, which is only available in Great Britain and Ireland. Examples of other products available in Great Britain include:

 Carbonated soft drinks- Coca-Cola, Fanta, Sprite
 Juice & juice drinks- Schweppes' Tomato Juice Cocktail, Oasis, Five Alive
 Waters- Malvern
 Energy drinks- Burn
 Sports drinks- Powerade
 Squashes/cordials- Kia-Ora, Rose's Lime Cordial.

Εργαστήριο Συστημάτων Αποφάσεων & Διοίκησης Ε.Μ.Π.

Structure and culture (1/2)

Structuring an organisation is not only about organising internal

relationships, it also involves external ones.

The Coca-Cola Company has built well-structured relationships with

a range of external groups including bottling partners.

The relationship The Coca-Cola Company has with its bottlers

worldwide is a key source of strength.

The Company works together with them to ensure that concentrates

and syrups are made into finished beverages that are produced and

distributed to consumers around the globe with unmatched quality

and service.

Εργαστήριο Συστημάτων Αποφάσεων & Διοίκησης Ε.Μ.Π.

Culture based on relationships

Open communication channels provide the means to support a

culture based on relationships.

Coca-Cola has a number of communication channels, including:

 monthly leadership team meeting (involving function heads)

 weekly department team meetings

 monthly employee team briefing sessions

 consultative employee groups for each region (with

representatives meeting in a European Council)

 surveys to monitor employee views and feelings.