ERP System and Accounting Software Packages of Coca-Cola Amatil

This report outlines the ERP system and accounting software packages of Coca-Cola Amatil. It covers the organizational structure, operational problems, system acquisition method, sales process, control issues, leadership style, market size, challenges, and recommendations.

Running head: Strategic information system
Strategic information system

Strategic information system
Table of Contents
Introduction.................................................................................................................................................3
Part 1...........................................................................................................................................................3
The current organizational structure of Coca-Cola Amatil...........................................................................3
Operational problems..................................................................................................................................4
System acquisition method.........................................................................................................................4
System flowchart.........................................................................................................................................5
Control issues and some sort to reduce fraud in the system.......................................................................6
Part 2...........................................................................................................................................................6
Development and adoption of accounting software packages....................................................................6
Current size in the market...........................................................................................................................7
Leadership in Coca-Cola Amatil...................................................................................................................8
Challenges and recommendations..............................................................................................................8
Conclusion...................................................................................................................................................9
References.................................................................................................................................................10
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Introduction
The main purpose of this task is to outline the ERP system and accounting software packages of
the company. Coca-Cola Amatil has been taken in the task. The report shows the organizational
structure of the company, the operational problems that it faces, the acquisition method that it
follows, how the sales process of the company takes place and also the ways by which it can
control these problems faced by the company. There are two phases of the task. In the first phase,
organizational structure, problems, methods, sales, and recommendations have been described.
In the second phase, the paper discusses the leadership style, current market size, software used
by the company and how to overcome the challenges raised in the company. Further detail of the
task has been detailed below.
Coca-Cola Amatil is a beverage company with its headquarters in Australia. The company was
founded in 1904 (ccamatil, 2018) in Australia. It is one of the biggest bottlers and distributors of
alcoholic and non-alcoholic beverages and products in the Asia Pacific. Coca Cola Amatil
employs approx 14,000 employees within the organization.
Part 1
The current organizational structure of Coca-Cola Amatil
Coca -Cola Amatil is an Australian based beverage industry that serves the beverage across the
areas like Australia, New Zealand, Indonesia, Papua New Guinea, Fiji and Samoa. Coca- Cola
Amatil is considered as the largest non- alcoholic beverage company (ccamatil, 2018). The
company sells carbonated drinks and fresh juices. The structure of the organization is formed in
chain of networks where the members of the organization are positioned. It is a hierarchy
showing top and down format according to the designation. The structure of the company is
designed in such a way that it helps the employees in specifying the members of the business.
The company has different International divisions. The International staff runs separately and
other divisions work separately that are divided in five further divisions according to the
continents. Each continent has a director who is responsible in controlling the functioning of
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their zone. The structure is made in such a way that it helps members to understand how
organization works (Shenkar, Luo and Chi, 2014).
Operational problems
The company operates on a very large scale and therefore also faces many problems while
functioning. The problems also affect the growth and cost of the company. Problems such as
unavailability of resources, conflicts between the members of the business, employees going on
strike, improper planning of strategies, higher demands of consumers, etc. These problems affect
not only the profits of the company but also affect its reputation in the market. It creates problem
in business operation. Some operational problems do not affect the availability of products in the
market as company maintain large amount of stocks but it does give stress and tension in further
sales (Shenkar, Luo and Chi, 2014). The growth of the company depends on the number of units
sold in the market. The company is able to manage the stock with the help of employees, if these
employees go on strike it becomes another challenge for the company to work in an effective
manner. This raises problems for the company in maintaining the availability of products in the
market. These problems become a kind of challenge for the company which can bring down the
cost of production of the company (Andini and Simatupang, 2014).
System acquisition method
The company follows three system acquisition methods that include Commercial system, custom
system and ERP system to run the business. The commercial system means taking care of the
purchase and sales on the business. It keeps a track record of the amount of products being sold
and purchased by the company. Whereas custom method deals with company’s rules and
regulation where company do whatever it wants not going with the opinions of others (Kidd,
2012).
It has been stated by Ng and Wang (2014) the system acquisition method followed by Coca-Cola
Amatil is Enterprise Resource Planning (ERP). The company uses this method as it is beneficial
and appropriate for the kind of approach it has to make in its business (Jewels, 2013). This
system helps in managing important parts of the business and leaving the minor problems for the
employees (Ng and Wang, 2014). ERP works well for the company. It helps them in making
plans and performing good strategies. They collect the data and integrated them into final
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information in one product. The ERP system helps them to provide the better data than every
time. This makes it easy for the company to keep a track record about the type of data generated
in the company and also the way how the company performs its functions and operations. ERP
system method is one of the very effective methods used by the companies like Coca-Cola
Amatil (Bhattacharya and Seddon, 2011).
System flowchart
(Source: https://www.edrawsoft.com/create-sales-process-flowchart.php)
The system flowchart makes it clear how a firm is able to maintain its customers satisfied with
the product that it sells. The flowchart above shows the process of sales that take place in Coca-
Cola Amatil Company when a customer places the order for the product. If the customer orders
for the company checks the availability of that particular product. If the product is available they
get it and pay for it but if the product is unavailable then the process ends there. The selling of
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the products manufactured by every company goes through a certain process just like this. Coca-
Cola Amatil follows the sales process keeping in mind enough quantity of the product so that it
can serve a large part of the society. The flow chart above is, therefore, an example depicting
how the selling process of the company runs and how it effectively and efficiently manages to
satisfy the needs of them. The diagram can also be interpreted as an example showing how a
company should follow the process of selling the product in order to run its business
appropriately (Dörnyei and Ushioda, 2009).
Control issues and some sort to reduce fraud in the system
Accoridng to litreature given by Krutz and Vines (2010) Coca-cola Amatil is a large firm in
covering the sales of beverages all over the world. It is noted by Krutz and Vines (2010) that a
company running on a large scale has to face issues and challenges in the marketplace. In order
to control such issues, the company can motivate employees by appreciating their work. To
reduce the chances of employees to go on strike, it is recommended to satisfy the employees by
giving them incentives and bonuses (Krutz and Vines, 2010). This will enable them to work for
the company with more interest and they will put more efforts in their job. To control issues like
unavailability of products company must keeping sufficient stock to avoid such issues. This will
help them to make their reputation and give a regular supply of the product in the market. To
reduce the chances of theft and steal they can hire employees to take care of the company's
storage house. By adopting such methods it will become easy for the company to carry out the
problems effectively (Krutz and Vines, 2010). In order to control the malpractices that are
performed by some corrupt employees of the organization company can hire some spy agents to
keep an eye on the day to day activities of the business. This will help them in making a suitable
environment for other employees who work with all their effort.
Part 2
Development and adoption of accounting software packages
Coca-Cola needs a good accounting software packages to run and explore the business. The
software should be such that it can make the difficulties like managing the cost of production,
sales, finance, and accounting easy to control (Kanellou and Spathis, 2013). Paying for such
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package is not an issue with the company as it works on a large scale hence it has a good amount
of turnover (Shiau, Hsu, and Wang, 2009). The packages must include all the necessary
innovations and techniques like calculating profits, managing the amount of stock, making the
balance sheet, etc. The company must have a personal engineer who can help them in working
on the daily software and is also capable of developing new and relevant software for the
company. Coca-Cola serves a large area of the world and in order to meet the daily requirements
of its customers effectively, it is very important for them to keep a track record on the quantities
of ingredients used in preparing goods and services. In order to adopt accounting software the
company should be updated will latest technologies. The software helps in developing the
company to an advanced level (Subashini, and Kavitha, 2011). The accounting software
packages help in increasing productivity with minimizing the cost of the company. It will also
help to fulfill the needs and requirements of the clients.
Current size in the market
Coca-Cola Amatil is a widely developed company in the world serving a large number of
customers. The market size of the company is therefore spread over the all over. The company
since its establishment has been growing its value in the market and therefore is one of the
leading companies in the world in serving beverages (Sharp, 2016). The company has seen the
downfall in 2017 as its cost of production reduced from the later years. It is seen that the prices at
which coca cola Amatil sold its products were under the pressure due to which company has to
suffer. Now the company somehow managed to cover the losses raised in the passing years. The
company is back into the market and the company is flourishing like earlier. The size of the
company can be seen performing on the large scale and the amount of profits generated by the
firm is increasing due to increase in demand of the customers. The market size of the company is
large and wide and covers almost all the major areas of countries. The gross profit of the
company in 2016 was 1.42B and in 2017 was 1.43B. This shows the growth of the company
takes place every year and hence the company flourishes on the large scale effectively and
efficiently (Hastings and Domegan, 2013).
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Leadership in Coca-Cola Amatil
According to Kanellou and Spathis (2013), there are plenty of competitors exist in the market
that may influence the profitability and revenue of the firm. The main competitors include
PepsiCo, Schweppes, Kirks, Golden circle, , Saxbys and Heinz and Nudie foods in Australia. In
today’s era, the company is making unique and effective strategies to destroy the competitors in
the market. Leadership in Coca-Cola Amatil Limited is one of the efficient methods of creating
harmony among the members. The leaders of the company are generous and ready to help at any
time. These leaders follow strategies made by the authorities and professionals to create a
disciplined environment in the business. They help the employees by motivating them to perform
the assigned tasks in an effective manner. They teach the employees strategies to fight with other
competitive companies. Their control over business is major and shows ways to the company to
form reputation and increase its value in the market (Abwanzo, 2016). The competitive
advantage to the company comes from its employees who work for them with all their efforts.
Employees are the main tool for the business as they are the one who is involved in generating
more and more sales by giving a good amount of production. It becomes easy for the company to
fight with their competitors in the market with the help of employees. These employees are
guided by the leaders who are responsible for motivating them. The responsibility of the leader is
to encourage its employees and to run the business smoothly. The leaders of Coca-Cola Amatil,
therefore, are able to manage the business with the help of employees (Kanellou and Spathis,
2013).
Challenges and recommendations
It is a widely known company and faces a number of gaps and challenges. It is currently facing
challenges like standing on the expectations of the consumers by serving them the same taste that
they did earlier. They are dealing with the issues of people talking about the different taste of the
product (Keller, Parameswaran and Jacob, 2011). They are working on it with all their efforts
and are planning to better the taste of the commodity. The company must provide incentives to
its employees who work well. This attracts the employees more towards the company and they
work willingly. Making the customers happy does not only create a comfortable environment for
them but also the company is profited to a great extent (Zhong Liu and Seddon, 2009). Due to
lack of knowledge and efficiency, the employees are unable to know how to use accounting
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software in the workplace. Along with this, training and development sessions are not held by
the company to tell and teach the advantages of accounting software packages therefore various
challenges are faced by users and clients. Coca-Cola Amatil has to suffer great losses when they
are unable to produce products in the large market. To avoid such problem it is recommended to
the company to prepare an advance stock of the products in the warehouse which they can use in
an emergency. In order to compete with its competitors in the market, the strategies should be
planned by the professional members so that company may not deal with future losses. The
challenges must be carried out in a professional manner that it does not show its impacts in later
period (Thomson, 2010). Improvement shall be done by the company in ERP system and
accounting software packages.
Conclusion
From the above mentioned analysis, it can be concluded that Coca Cola Amatil is one of the
biggest brands in the global market. The paper talks about the ways how Coca-Cola Amatil sells
its products effectively and efficiently in the market. The report provides information regarding
the three methods that the company uses in making the business grow and flourish. The above
mentioned analysis shows that how Coca Cola Amatil uses accounting software packages in the
marketplace. The leaders of the business are the one who works on important areas by making
decisions in favor of the company. It explains the ERP system that is used by the company to
explore and flourish the business successfully.
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References
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Andini, R.A. and Simatupang, T.M., 2014. A process simulation of inventory planning and
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ccamatil.2018. Our company[Online], Available from https://www.ccamatil.com/our-company,
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Hastings, G. and Domegan, C., 2013. Social marketing: From tunes to symphonies. Routledge.
Jewels, T., 2013. Project Management Risk–Cognitive, Cultural and Conditioning Factors.
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Kanellou, A. and Spathis, C., 2013. Accounting benefits and satisfaction in an ERP environment.
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Keller, K.L., Parameswaran, M.G. and Jacob, I., 2011. Strategic brand management: Building,
measuring, and managing brand equity. Pearson Education India.
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computing. Wiley Publishing.
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Shenkar, O., Luo, Y. and Chi, T., 2014. International business. Routledge.
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Shiau, W.L., Hsu, P.Y. and Wang, J.Z., 2009. Development of measures to assess the ERP
adoption of small and medium enterprises. Journal of Enterprise Information Management,
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Subashini, S. and Kavitha, V., 2011. A survey on security issues in service delivery models of
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Entrepreneurship and ICT Ventures: Strategy, Organization and Technology (pp. 235-250). IGI
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Zhong Liu, A. and Seddon, P.B., 2009. Understanding how project critical success factors affect
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