We use cookies to provide you with a better experience. By continuing to browse the site you are agreeing to our use of cookies in accordance with our Cookie Policy.
  • INDUSTRY PRESS ROOM
  • SUBMISSIONS
  • MEDIA FILE
  • Create Account
  • Sign In
  • Sign Out
  • My Account
Free Newsletters
  • MAGAZINE
    • Current Issue
    • Archives
    • Digital Edition
    • Subscribe
    • Newsletters
  • STRATEGY
  • GLOBAL
  • LOGISTICS
  • MANUFACTURING
  • PROCUREMENT
  • VIDEO
    • News & Exclusives
    • Viewer Contributed
    • CSCMP EDGE 2022 Startup Alley
    • Upload your video
  • PODCAST ETC
    • Podcast
    • White Papers
    • Webcasts
    • Events
    • Blogs
      • Reflections
      • SCQ Forum
    • Mobile Apps
  • MAGAZINE
    • Current Issue
    • Archives
    • Digital Edition
    • Subscribe
    • Newsletters
  • STRATEGY
  • GLOBAL
  • LOGISTICS
  • MANUFACTURING
  • PROCUREMENT
  • VIDEO
    • News & Exclusives
    • Viewer Contributed
    • CSCMP EDGE 2022 Startup Alley
    • Upload your video
  • PODCAST ETC
    • Podcast
    • White Papers
    • Webcasts
    • Events
    • Blogs
      • Reflections
      • SCQ Forum
    • Mobile Apps
Home » Coca-Cola bottler takes holistic approach to supply chain resiliency
CSCMP EDGE 2021

Coca-Cola bottler takes holistic approach to supply chain resiliency

The key to responding to rapid changes during the pandemic has been creating a small cross-functional team that looks across the entire supply chain.

PST.jpeg
September 21, 2021
Supply Chain Quarterly Staff
No Comments

Coca-Cola Bottling Co. Consolidated has faced a whole host of unforeseen challenges during the past 18 months as the pandemic wreaked havoc with the national economy. However, the company, which is the largest Coca-Cola bottler in the United States, has found that taking a holistic approach to supply chain decision making has helped it weather the storm.

During an educational session at the Council of Supply Chain Management Professionals’ EDGE Conference and Exhibition, Dave Cruz, director of logistics, recounted the wild ride that the company has been on, which includes:

  • Dramatic shifts in demand. When the pandemic shut down all but essential businesses, Coca-Cola Consolidated saw demand for what it classifies as “immediate consumption” (such as fountain drinks and single bottle purchases) completely dry up. Demand rose, however, for what the company calls “future consumption” (such as cases of cans). Now that restaurants and other businesses have opened back up, the immediate consumption demand has returned, but, at the same time, the future consumption demand has also continued to grow. Coca-Cola Consolidated has been struggling to keep up with demand.
  • Can shortage. The shift in demand toward cases meant that the bottler had an increased need for aluminum cans as opposed to plastic bottles. This phenomenon occurred throughout the beverage industry, and as a result, there was a nationwide can shortage. Interestingly, this was not due to a raw material shortage. Rather it was a production capacity problem. For a while, Coca-Cola Consolidated was actually importing cans from Brazil and South Korea to meet demand. The can shortage is beginning to be alleviated as the can industry has begun to get more production lines up and running.
  • Labor turnover. The company’s biggest challenge is finding and retaining labor, particularly for merchandiser positions, which involves stocking product at stores. These jobs are physically demanding and typically involve 12- to 13-hour workdays. As a result, sales representatives and management is helping out with performing merchandising.

The company found that the key to responding well to these changing conditions was creating an agile response team, which consisted of the senior vice president of supply chain, the marketing vice president, and the revenue growth management vice president. According to Cruz, all three of these executives have strong personalities but agreed to leave their egos at the door. Instead, they are have been making decisions that are based on data and take a holistic view of what would be best for the entire organization (and not just their own particular portion of it). (See slide above.)

Initially the company launched this team to deal with the problems associated with the early days of the pandemic. But this “portfolio solutions team” has proved to be so successful that it has become a permanent part of the organization and is now being replicated at lower echelons at the business.

Strategy
KEYWORDS Coca-Cola Consolidated CSCMP EDGE
    • Related Articles

      Kimberly-Clark Corporation, Ace Hardware, Coca-Cola, Zebra Technologies and others to Chart Future of Supply Chain Visibility and Automation at FourKites Visibility 2021

      The advantages of a holistic approach to cross-docking

      Data makes the difference for Coca-Cola

    Recent Articles by Supply Chain Quarterly Staff

    More women join trucking industry as technicians

    GE Appliances unveils $450 million upgrade to manufacturing plant in KY

    Freight technology provider Loadsmart acquires computer vision platform provider

    You must login or register in order to post a comment.

    Report Abusive Comment

    Most Popular Articles

    • Wabash opens trailer manufacturing facility in Indiana

    • Six defining challenges of omnichannel fulfillment

    • Postal advocacy group says “excessive” July 9 stamp price hike will hurt consumers

    • California bill would require large corporations to disclose their greenhouse gas emissions

    • Panorays extends risk management throughout the digital supply chain

    Featured Video

    8757b894 244c 4429 b5d8 e6df7b479d82

    Penalties for Wood Packaging Material Violations

    Viewer Contributed
    Our Services Include: Customs Broker Denver Freight Forwarder Denver Global Logistics Denver Cargo Insurance Denver Customs Bond Denver Customs Clearance Denver Customs Duty Denver Isf Filing Denver More details: Phone : 281-445-9779 Email: info@gallaghertransport.com Website: gallaghertransport.com

    FEATURED WHITE PAPERS

    • Five questions to ask before electrifying your indoor forklift fleet

    • Operator assist system myths busted

    • Three layers of forklift safety: Promoting operating best practices

    • The Complete Guide to Automated Packaging

    View More

    Subscribe to Supply Chain Quarterly

    Get Your Subscription
    • SUBSCRIBE
    • E-NEWSLETTERS
    • ADVERTISING
    • CUSTOMER CARE
    • CONTACT
    • ABOUT
    • STAFF
    • PRIVACY POLICY

    Copyright ©2023. All Rights ReservedDesign, CMS, Hosting & Web Development :: ePublishing