Business Analysis Report: Coca-Cola Company's Challenges and Solutions

This report provides a comprehensive business analysis of Coca-Cola, examining the company's profile, the role of a business analyst, and key challenges such as declining sales, product diversification issues, and health concerns. The report delves into these issues, offering solutions like sales demand forecasting, product diversification strategies, and improvements in communication. It also discusses relevant business analysis techniques from BABOK, including estimation, financial analysis, item tracking, and surveys. The report emphasizes the importance of these techniques in addressing Coca-Cola's challenges and enhancing overall business operations. The analysis includes internal and external environmental factors affecting the company and proposes strategies for future growth and sustainability. This report is a valuable resource for understanding the complexities of business analysis and applying effective solutions in a real-world business context.

Running Head: COCA COLA 0
Coca cola
Business Analysis
Student’s details
3/4/2020

COCA COLA 1

COCA COLA 2
Contents
Introduction................................................................................................................................2
Company profile.....................................................................................................................2
Role of business analyst in Coca-Cola.......................................................................................3
Issues in the company................................................................................................................3
Solutions for the identified issues..........................................................................................4
Techniques.................................................................................................................................5
Conclusion..................................................................................................................................6
References..................................................................................................................................8

COCA COLA 3
“Marketing and management of Coca-Cola”
Introduction
According to the business terminology, analysis of the businesses involves
identification of the needs and requirements for assessing the relevant solutions. Most
commonly, the solutions revolve around acquiring software development, which adds value
to continuous improvement strategies for embracing significant changes. Analysis also
includes chalking out strategies and policies for achieving growth and development. Grant,
(2016) is of the view that analysis of the business operations is done in the form of audits and
evaluations, which helps in detecting the issues, which needs to be resolved through the
application of various techniques to accomplish the goals.
Coca-cola has achieved accolades and glory as one of the iconic food and beverage
companies in the threshold of United States. Since 1960, the company has achieved a turning
point in the food and beverage. The company operates with the mission of refreshing the
experience of the clients and customers by making a difference. The vision statement of the
company is to enhance the brand image through acquiring differentiation in the products and
services. Adopting sustainable practices has proved to be assistance in terms of enhancing the
standards of living for the communities and other stakeholders and shareholders (Coca-
cola.com, 2020). The supply chain network of the company is expanded, which is reflected
from the operations in more than 200 countries. Coca-cola supports more than 500 brands
under it like Costa coffee, Zico coconut water and others. Diversity prevails in the workforce
of the company, typical evidence of this lies in the 700,000 employees and the associated
partners (Coca-cola.com, 2020).
Business Analyst in Coca-Cola plays an important role for enhancing the productivity.
Earlier in the era if 2016, the candidates were telephonically interviewed. Mention can also

COCA COLA 4
be made of the STAR interview method, which was dependent on the situational analysis for
selecting the candidates applying for the post. As a matter of specification, the main duties of
the business analyst achieve stagnancy in terms of collecting information regarding the sales
and marketing in a financial year. After the collection, the analysis phase starts, which is
accompanied with the detection of the potential issues, which is acting as an obstacle in
achieving the targets. These aspects are effective in terms of making plans to achieve higher
competitive ambience than the contemporary brands. In this process, communication with the
warehouse managers is an important element, which results in enhancement of the awareness
about the latest updates (Gertner & Rifkin, 2018). Along with this, the business analyst is
responsible for the supporting the major IT implementations and infrastructure, which is
crucial for expanding the customer rates. Proactive approach is needed for assessing the
system configuration for averting the risks. Technological changes have simultaneously
brought changes in the scope of the business analysts in terms of mapping the journey of
Coco-cola with due consideration to the external competitive challenges. In future, the
business analyst would require follow ups with the customer and sales team, through the
means of internal and external data, for forecasting the situation of the business in the
upcoming financial years.
2.0 Issues in the company
In spite of being a renowned company, Coca-Cola encounters several challenges in
the form of health issues, environmental issues, lawsuits, economic issues and others, which
degrades the integrity of the brand image. This section would cover a detailed analysis of
these issues to measure the impact, it has created on the productivity. In this section, Gertner
and Rifkin, (2018) is of the view that situational analysis acts as a base for detecting the
potential issues, which the company is facing in terms of conducting audits, reviews and

COCA COLA 5
analysis of the operations. As a matter of specification, internal and external environmental
analysis is conducted.
Inability to supply quality raw materials to the suppliers is ineffective in terms of
influencing their bargaining powers. However, higher contents of aerated alcohol contradict
the total quality management practices. This is a serious challenge in terms of quality
assurance, indicative of customer complaints. Not checking the flexibility of the transport
logistics can result in degradation of the qualities of the drinks before it reaches to the
factories or the customers. Financial instabilities aggravate the complexities in this context.
However, the need of the hour is to narrow the target focus, negligence to which would
compel the brand to encounter higher competitive rivalry from Pepsi. Not using security
cookies and policies are harmful in order to maintain the security and privacy in the opinions
shared by the stakeholders and shareholders. All of these issues adds an interrogative
parameter to the role of the business analyst of Coca Cola in terms of communicating with
the marketing and sales department along with the warehouse managers regarding safe
storage of the drinks.
The external factors are challenges for Coca-Cola in terms of maintaining the
efficiency in the operations. Specific mention can be made of the legislations and tariffs,
which aggravates the complexities in importing and exporting the carbonated drinks
containing alcohol. This issue is one of the major facts in terms of accumulating greater
market share (Nasdaq.com, 2020). Taking a cue from these challenges, the researcher
expands the search and detects the issues of declining sales, less product diversification and
health issues in the customers, which reflects negligence by the business analyst towards
preparing the report through the situational analysis of a financial year in the workplace of
Coca-Cola.

COCA COLA 6
2.1 Decline in the sales revenue
At the initial stage, the issue of declining sales can be considered for discussion. In
the era of 2016, Coca-Cola and Pepsico encounter significant losses in the sales volume of
the diet sodas. Zhang, (2019) is of the view that the immediate impact of this was reduction
in the demand for carbonated soft drinks. The major drive behind this was increase in the
purchase of healthy drinks and bottled water. According to the reports of Beverage Digest,
the percentile for the total volume drastically reduced by 0.8% in the era of 2015. This was an
alarming situation as compared to the sales volume record of 2014, which was 1.2 and 0.9%
respectively. Along with this, the market share for Diet Coke also reduced by 4.3%. In spite
of this fact, Coca-Cola is considered to be one of the leading companies in the market.
2.2 Threat of substitutes
Along with this, less diversification in the products is also an issue for Coca-cola in
terms of expanding customer rates. One of the potential issues is that of the competitive
rivalry with Pepsi. Bititci, Cocca and Ates, (2016) highlights that product diversification is
one of the aspects, which provides higher competitive edge to Pepsi. Typical evidence of this
lies in the growth of the sales volume for Lays, Fritos and others. Moreover, the tax
regulations assist the competitors like PepsiCo to manufacture other drinks, containing less
alcohol. This fact provides PepsiCo with higher competitive advantage as compared to Coca-
Cola (Turker, 2018).
2.3 Health issues
Taking a cue from the product diversification, it can be said that Pepsi is at an
advantageous position than Coca-cola. Various types of snacks have been launched by Pepsi
like Kurkure, Lays and others, which is missing in case of Coca-cola. In case of the health

COCA COLA 7
issues, it can be said that concentrated carbon and sugar has led to obesity and diabetes. Due
to this issue, the manufacture has been banned in accordance to the suggestions of the health
experts (Turker, 2018).
The above issues affects the operations of the Coca-Cola. In a broader perspective,
these issues are a challenge for the business analyst in terms of maintaining the efficiency in
the operations. Mention can be made of the issues like resistances in sharing information,
which results in communication gaps between the departments. Along with this, irregularity
in attendance deprives the brand from gaining knowledge about the recent trends adopted by
the competitors for achieving customer satisfaction. The immediate result of this is that the
business analysts are held accountable for the lackaidaisical approach, which puts the
productivity of Coca-Cola at stake. Usually, revolving the conflicts is a problem for the
business analyst. This is due to the lack of clarity in the difference between the real and the
changing needs.
3.0 Solutions for the identified issues
In order to tackle with the issue of declining sales volume, Coca-Cola needs to under
sales demand forecasting, which would act assistance for tracking the demand and the
relevant supply. Within this, mention can be made of Trend Projection method, which would
act as an agent for accumulating the sales data for the previous years. Regression analysis
can also be conducted by Coca-cola for developing relevancy in the supply and demand. In
this context, Marnewick, (2018) opines that barometric method can also be used for tracking
the progress in the sales operations. In case of Product diversification, different products can
be introduced by Coca-cola like that of lime water, the compositions of which would be no
alcohol, zero added sugar and no artificial colour or flavour. This launch would be effective
in terms of catering to the health issues of the customers, which can aggravate from the
consumption of the alcohol drink, Chu-Hi. Laboratory tests for the drink would act assistance

COCA COLA 8
for assessing its suitability in terms of the health issues of the clients and customers.
Involving the health experts in these tests would be productive for luring more customers
towards the brand. Excelce and Rao, (2017) is of the view that involving the health experts in
the seminars and lectures would be effective for gaining effective solutions for improving the
taste and quality of the beverages. Wilson, (2017) opines that this approach needs to be done
in tactful manner for influencing the purchasing power and decision of the suppliers.
On a broader perspective, the business analysts can adopt the means of outsourcing
and offhshoring, which would be effective for maintaining efficiency in the communication
between the departments. This approach would enhance the organizational structure of Coca-
Cola. The issue of irregular attendance can be resolved through the means of flexible shifts or
working from home with the consent of the business analyst. Along with this, effective means
of negotiation is to be adopted for averting the instances of conflicts, discrimination and
biases.
4.0 Techniques
According to the arguments of Weese and Wagner, (2017), there are various
techniques through which the business operations can be conducted, which reflects diversity
in the form of brainstorming, business cases, document analysis, estimation, financial
analysis, functional decomposition, interviews, item tracking, lessons learned, process
modelling, risk analysis and management among others. Business analyst needs to be aware
of these techniques and their applicability, so as to achieve the desired outcomes.
In case of declining sales, Coca-Cola can use the technique of estimation, which
would be effective for enhancing the awareness about the sales trends and the impact on the
overall productivity. Along with this, financial analysis can also be undertaken for tracking
the financial operations like that of cash flows. According to the arguments of Grant, (2016),

COCA COLA 9
for resolving the issues of product diversification, the technique of item tracking and risk
analysis can be acquired. Tracking the items in the product assembly lines would be effective
for detecting the issues like that of defects, inferior quality products and others. For catering
to the issues of the health complexities, the technique of survey can be adopted for collecting
information from the customers regarding the impact of consuming the carbonated drinks,
energy drinks and others. On the other hand, the managers need to indulge in face to face
sessions with the business analysts, which would be effective for gaining an insight into the
skill mix.
To prepare reports on problem solving, the technique of workshops and scope
modelling would be effective for upgrading the standards and quality of the business
operations of Coca- cola. Marnewick, (2018) is of the view that this technique would also be
a planned and reasoned approach for preparing the business analyst according to the
identified requirement of improved customer service. One of the other techniques is that of
the risk analysis and management, which would be crucial for detecting the obstacles in the
functionalities of the business analyst. The workshops would be productive for preparing the
business analyst towards making effective use of the technologies for fulfilling the targets.
Interviews can also be undertaken by Coca-cola for gaining an insight into the impact of the
renovated services on the communities and individual groups. In this context, Turker, (2018)
is of the view that reviews can be conducted for measuring the feasibility of the business
level strategies and corporate strategies for fulfilling the needs, demands and requirements of
the stakeholders and shareholders.
For implementing these techniques into the business analysis, MOST analysis can be
undertaken by Coca-cola. The elements in this technique are mission, objectives, strategy and
tactics. Meeting with the business analyst for briefing on the key indicators of success would
be needed in terms of assessing its effectiveness in terms of the identified and specified

COCA COLA 10
requirements. Mission of Coca-cola is to enhance the experience of the customers through
embracing changes in the product standards. Measurability of introducing lime water would
be reflected from the positive response from the customers and positive word of mouth
advertising. Increase in the sales demand and supply would make the launch realistic and
feasible in the competitive ambience (Bititci, Cocca & Ates, 2016). Strategic approach in this
context would be providing training to the business analyst regarding judicious use of the
technologies to fulfil the specific needs, demands and requirements of the clients and
customers. Tactical approach of Coca-Cola would be conducting audit and reviews of the
performance exposed by business analyst for comparing the past, present and future
conditions. Along with this, conducting cost benefit analysis would be productive in terms of
assessing the impact on the productivity as a whole.
Strategic alliance with the contemporary brands is also apt in terms of reducing the
intensity of the competition levels with Pepsico. Adhering to the terms and conditions of
contracts, deals and trades is apt in terms of enhancing the stability in the professional
relationships with the staffs like business analyst. These aspects are applicable for
formulating the strategies of cost leadership, product differentiation and strategic alliance.
Introducing app service would act assistance for business analyst to access the company
annual report from any location at any time. This can be done through the means of installing
privacy cookies and policies for maintaining the privacy in the confidential statements.
Offshore marketing would be beneficial for business analyst in terms of seeking an
insight into the prospective clients, who can contribute in increasing the sales revenue and
profit margin. This can be done through the adoption of flexible internet connection helps in
conducting the operations smoothly. Installing security cookies and policies is assistance for
averting the cases of information leakage. Conscious approach in this direction proves
beneficial for maintaining confidentiality in the private data. Rosenbaum-Elliott, Percy and

COCA COLA 11
Pervan, (2015) opines that incorporation of Data Protection Act (1998) would be fruitful in
terms of preventing the cases of misusing the organizational properties.
Offshore marketing would also be beneficial for business analyst in terms of
interacting with the clients from diverse background would expand the scope and arena of
business. Involving the staffs in group discussions and forums would enhance their thinking
skills and judgmental capabilities towards innovating the products and services.
5. Justification of the solution
For coping up with the declining sales revenue, the technique of forecasting and
estimation is apt for business analyst in terms of mapping the journey of the added changes in
the drinks. In this context, mention can be made of the product life cycle, which would be a
planned and reasoned approach of business analyst towards judging the feasibility of lime
water, which is devoid of added colours, sugar and alcohol content. Financial analysis with
the finance administratives would be effective for business analyst for gaining an insight into
the cash flows from the internal to the external environment. Problem solving skills are also
effective for business analyst in terms of resolving the conflict, biases and misunderstanding
through the means of negotiation (Carroll, 2016). Risk assessment is also effective for
business analyst for assessing the impact of the risks on the overall productivity. The
framework of MOST is effective for aligning the performance to the mission and objectives.
Consciousness in this direction would help in achieving desirable results. Therefore,
assistance is gained by the business analyst to imbibe the changes needed in the business
operations for which theoretical consideration is needed. Mention can be made of Kotter’s
eight phase model, which the business analyst can acquire in this direction. Meetings and
conferences would suffice the need for enhancing the awareness of the stakeholders and
shareholder about the urgency of change (Singh & Sahin, 2017). Training would act as a