Productivity Success Story - Coca Cola
https://nraoiekc.blogspot.com/2019/10/productivity-success-story-coca-cola.html
Coca-Cola - A case study of total productivity management
Rao, K V S S Narayana. Industrial Management; Mar/Apr 2021
https://www.proquest.com/docview/2528240678/FCCB88788F794CD5PQ/12
Coca-Cola
The Coca-Cola Company Announces Strategic Steps to Reorganize its Business for Future Growth.
2019
Plan to realize cumulative savings of $4.3 billion in 2019.
Productivity plan performance 2018: This plan was introduced in 2012 and expanded a couple of times since then to extend up to 2019.
It focuses on
- restructuring the Company’s global supply chain;
- implementing zero-based work, an evolution of zero-based budget principles, across the organization; streamlining and simplifying the Company’s operating model; and
- further driving increased discipline and efficiency in direct marketing investments.
The new productivity plan has been extended its previous productivity plan to save $3 billion in annual savings by 2019 to achieve an additional incremental savings of about $800 million, bringing its current program to $3.8 billion in productivity savings. If the $500 million of productivity that is planned to be transferred to Coca-Cola’s bottling partners in 2019, the program extends to $4.3 billion in productivity savings by 2019.
https://www.forbes.com/sites/greatspeculations/2019/02/13/how-much-will-refranchising-boost-coca-colas-margins-in-2018/
HCCB India - PRODUCTS - TECHNOLOGY
18 Jan 2019
Several factories at HCCB use ErgoBloc. This technology has helped save electricity and water, while increasing speed and maximising output. With ErgoBloc technology, the bottles do not have to be passed through the air conveying rails, and within a block, they reach the filling machine. Subsequently, the filling happens at a much higher temperature (15-17 degrees Celsius) than the earlier process. Thus the product warming process has been eliminated, which saves a good amount of water.
At Hindustan Coca-Cola Beverages, we understand the importance of saving our resources today and consider ourselves responsible for shaping tomorrow. After all, a stitch in time saves nine!
https://www.hccb.in/en/blog/products/technology
Related to Ergobloc
http://kronesservice.com/en/products/references/coca-cola-femsa-ergobloc-l-syrupkitchen.php
https://www.krones.com/en/products/machines/wet-section-block-ergobloc-l.php
https://www.krones.com/en/products/references/first-ergobloc-l-up-and-running.php
Migration of SAP to AWS - Coca Cola Swire - 2019
By migrating our entire IT infrastructure to AWS, we achieved digital transformation of our IT systems, which can serve millions of retail customers or even hundreds of millions of consumers rather than the previous 10,000 sales representatives.
Ke Li
Manager, Cloud Service & IT Operations, Swire Coca-Cola
https://aws.amazon.com/solutions/case-studies/swire-coca-cola/
AI, ML and Data Analytics Use in Coca Cola
How Coca Cola is Leveraging Machine Learning in the Hyper-competitive CPG Industry
2018
https://digital.hbs.edu/platform-rctom/submission/how-coca-cola-is-leveraging-machine-learning-in-the-hyper-competitive-cpg-industry/
The Amazing Ways Coca Cola Uses Artificial Intelligence And Big Data To Drive Success
Sep 18, 2017
https://www.forbes.com/sites/bernardmarr/2017/09/18/the-amazing-ways-coca-cola-uses-artificial-intelligence-ai-and-big-data-to-drive-success/
2015
Coca-Cola’s 2015 Productivity Initiatives: A Closer Look at Costs
By
Sharon Bailey
Nov 27, 2015
https://marketrealist.com/2015/11/coca-colas-2015-productivity-initiatives-closer-look-costs/
21 October 2014
Coca Coal is expanding its current successful productivity program by targeting annualized savings of $3 billion per year by 2019. This productivity program will focus on four key areas:
• Restructuring the Company’s global supply chain, including manufacturing in North America;
• Implementing zero-based budgeting across the organization;
• Streamlining and simplifying its operating model; and
• Driving increased discipline and efficiency in direct marketing investments.
15 October 2013
During the three and nine months ended September 27, the company recorded charges of $97M and $312M, respectively, related to its productivity and reinvestment program.
The first component of this program is a global productivity initiative focused around four primary areas:
- global supply chain optimization;
- global marketing and innovation effectiveness;
- operating expense leverage and operational excellence; and
- data and information technology systems standardization.
The second component of its productivity and reinvestment program involves an integration initiative in North America related to acquisition of Coca-Cola Enterprises' former North America business.
The company has identified incremental synergies in North America, primarily in the area of its North American product supply operations, which will enable the company to better serve customers and consumers.
As a combined productivity and reinvestment program, the company anticipates generating annualized savings of $550M-$650M which will be phased in over time. Coke said it expects to begin fully realizing the annual benefits of these savings in 2015, the final year of the program.
http://finance.yahoo.com/news/coca-cola-sees-annualized-savings-114425655.html
Feb 2012
The company says productivity is a “core pillar” of its “2020 Vision”, which sets out its target to double revenue in the next eight years.
http://www.marketingweek.co.uk/coca-cola-to-reinvest-productivity-savings-into-brand-building-marketing/3033862.article
New PET Bottling Plant at Bidadi, India
Five to six people are operating the line and the plant now produces an average of 720,000 x 600 ml
bottles per day. The new line is performing fully as expected: bringing savings in the consumption of energy and water and producing light-weighted bottles.
The new Sidel's line is flexible. HCCBPL is currently bottling products in three different formats: 600ml ('on-the-go' size) at an output of 36,000 bottles per hour, 1250ml at 22,000 bph, and the larger 2000ml at 18,000 bph.
http://www.sidel.com/about-sidel/global-references/coca-cola,-india
http://www.sidel.com/media/2246866/sidel_hindustan_coca_cola_india_flyer_en.pdf
2010
Coca-Cola Supply Chain Management Company (SCMC) is the largest non-carbonated beverages (NCB) manufacturer worldwide. Of their 12 sites across China, 10 of them are implementing TRACC to power their world class operations (WCO) efforts. At the end of 2010, Coca-Cola SCMC built a new plant in Foshan, Guangdong.
Coca-Cola SCMC had made an organisation-wide decision in 2005 to implement WCO across all of its sites. These plants are progressing well on their journey to world class, with best practices being commonplace. It enables them to send their new employees on internships at well-developed sites, so these new employees learn best practices from the very beginning.
For new Foshan plant, their main goal was to achieve 90% mechanical efficiency on the pilot line within 90 days of the start-up.
https://traccsolution.com/resources/scmc-startup-success/
2007
MBA Dissertation on Coca Cola Strategy
Dinesh Purvankara
Simon Fraser University
2006 SEC Filing
https://www.sec.gov/Archives/edgar/data/21344/000104746906002588/a2167326z10-k.htm
(C) Narayana Rao K.V.S.S. 2019
Brian Hong
Group Director, Productivity Center of Excellence at The Coca-Cola Company
Greater Atlanta Area
About
Comprehensive Supply Chain, Operational Excellence, and Quality Leader with a history of developing and executing business strategies that enhance network capabilities while reducing total delivered costs. Specializing in addressing and resolving key business challenges such as; variability reduction, productivity improvements, strategic cost reductions, change management, growth through innovation, customer integration, and supplier collaboration.
10+ years of proven high level executive experience achieving and surpassing all expected corporate goals and delivering this in a deadline, cost driven environment. Group Director of Operational and Productivity Center of Excellence, Master's Degree in Business Administration and expertise as Lean Six Sigma Master Black Belt and Business Leader. Additional Core Competencies include:
Cost Reduction
Operations Management
Change Management
Business Roadmaps for Improvement
Cost & Benefit Analysis
Continuous Process Improvement
Employment History
The Coca-Cola Company
Title Group Director, Productivity Center of Excellence
Employed Mar 2016 – Present
Location Greater Atlanta Area
Accountable for developing and executing high-level strategies to deliver sustainable End to End Productivity, Technical Capability, Maintenance Strategy, PMO Governance, and Operational Excellence for The Coca Cola Company North America Supply Chain (CCNA).
Developed organizational Productivity Framework and Governance to deliver over $180 MM in sustainable productivity over the last three year horizon.
Strategic oversight for developing overarching Technical Capability and Operational Excellence Programs to enhance organizational capabilities.
Developed PMO governance model to support CCNA Supply Chain
Led CCNA Supply Chain engagement in the Business Transformation Office (BTO) to drive sustainable growth and cost management for Coca Cola North America.
Led the strategic turnaround of two network critical manufacturing locations in customer service and cost.
Led Maintenance Strategy implementation in Autonomous and Professional Maintenance
Group Director, Operational Excellence Center of Excellence
Dates Employed Apr 2013 – Mar 2016
Location Greater Atlanta Area
Responsible for delivering sustainable network productivity to support growth and cost reductions. Provide technical and leadership guidance within Coca Cola Refreshments and The Coca Cola Company to drive sustainable capability development in cost, quality and service.
Developed comprehensive Six Sigma DMAIC training and implementation strategy for CCR, The Coca-Cola Company and network. $20 million in value creation and/or cost reductions for The Coca-Cola Company.
Completed a strategic facility turnaround to support customer service improvements by 80%
Implemented Operational Excellence processes with a strategic customer resulting in increased Quality and Service leading to a 15 year contractual extension
Led initiatives valued at $6 million in productivity and/or increased sales while reducing consumer complaints by 80%
see less
Director, Customer Solutions Walmart/Sam's
Dates Employed 2010 – Apr 2013
Location Portland, Oregon Area
Supply chain liaison between the sales organization of Coca Cola Refreshments (CCR) and Walmart/Sam’s. Increasing customer satisfaction and capabilities to reduce the total cost of ownership.
• Facilitated the development of an integrated collaborative customer process with Walmart. Developed an integrated pipeline of initiatives to support a 3 year strategic plan. Recognized as being the only DSD/Merchandising customer for the collaborative process with Walmart.
• Led the strategic prioritization and execution of the collaborative process to optimize the value chain between Walmart and The Coca Cola Company.
• Led process simulation between Walmart and The Coca Cola Company to investigate a $40 million opportunities
• Led CSI initiative to develop cost savings opportunities. Identified over $18 million in cost reductions for The Coca Cola Company
• Led the integrated approach on ASN optimization for Walmart. Integrated external suppliers such as MillerCoors, Dean Foods, Pepsico, Nabisco, Kraft, Kellogg, and Anheuser Busch.
Regional Operational Excellence Director - West
Dates Employed Feb 2007 – 2010
Location Vancouver, WA
Co-developed, directed and administered the company’s continuous improvement approach across multiple business units, twenty manufacturing plants and multiple support functions
Facilitated the development and implementation of CCNA’s manufacturing productivity programs that generated $32.5MM in productivity
Delivered 17% improvement in productivity without capital expenditures for CCNA’s thermal platform
Worked collaboratively with Coca-Cola North America and a strategic supplier to identify root causes of a quality defect. Developed and executed analytics that enabled Supplier Quality to negotiate the recovery of $745K
Instituted an integrated approach to optimize the production to delivery process, to increase customer satisfaction. Integrated approach utilized a new warehouse layout and production scheduling focused on product flow. Became “best in class performance” for warehouse deliveries as recognized by the Coca Cola Company
Title QA Mananger II
Dates Employed2004 – Feb 2007
LocationPortland, Oregon Area
Led the Quality Function at the Portland manufacturing plant. Managed and developed hourly and salaried personnel to enhance quality systems and processes, which included the integration of Six Sigma methodoligies.
• Developed and executed a competency model to enhance employee engagement and development which is now being utilized by The Coca-Cola Company – Operational Quality.
• Critical team member in identifying and executing on $1.7 million savings opportunity through transportation optimization.
RR Donnelley
Total Duration 5 yrs
Title Senior Supplier Integration Engineer
Dates Employed 2002 – 2004
Guided the development and execution of an integrated collaborative Supplier Management program that encompassed all strategic outsourced suppliers to develop and execute strategic initiatives focused on driving down the total cost of ownership while enhancing revenue growth.
New product solution collaborating with outsourced suppliers on $20 million customer. Evaluated, developed and mitigated supplier risks in conformance with business objectives and strategies.
Developed and implemented a Standardized Supplier Scorecard to identify joint opportunities for continuous improvement and reduced cost.
Critical member in executing supplier development at multiple outsourced suppliers to support the strategic initiative of a $300 MM customer.
Title Quality Assurance Manager
Dates Employed 1999 – 2002
Employment Duration 3 yrs
Managed and developed a 24/7 organization encompassing 6 Process Engineers that were Certified Six Sigma Black Belt, 4 salaried process technicians, and quality inspectors. Led the Quality and Process Improvement functions within a manufacturing environment that generated over $95 million in annual sales.
Increased customer satisfaction by 20% by aligning customer commitments/expectations with manufacturing performance and capabilities.
Led cross functional teams to increase raw material utilization - annualized return of $1.4 million.
Trained and mentored Six Sigma Greenbelts - Annualized savings of $150,000
Implemented 24/7 inspection process that resulted in $250K in cost avoidance in S&W
https://www.linkedin.com/in/brian-hong-37753ab/
2006
CII - TPM Club
http://archive.indianexpress.com/news/indian-industry-gungho-on-kaizen-competition/15050/
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