Sunderland University: Coca-Cola Organizational Performance Analysis

This report provides an in-depth analysis of Coca-Cola's organizational performance, examining various performance management models and their application within the company. It assesses the effectiveness of Coca-Cola's decision-making processes and identifies key issues impacting organizational performance, such as the need for drastic changes and a lack of confidence in upper management decisions. The report utilizes the goal-approach model and the participatory satisfactory model to evaluate Coca-Cola's strategies and effectiveness in achieving its goals. Furthermore, the report explores the relationship between decision-making and organizational effectiveness, highlighting the importance of informed choices in improving overall performance. The study concludes with recommendations for improvement, focusing on strategic planning, employee empowerment, and enhanced decision-making processes to strengthen Coca-Cola's competitive advantage and overall organizational effectiveness.

Running head: ORGANIZATIONAL PERFORMANCE
Organizational Performance
Name of the Student
Name of the University
Author note

1ORGANIZATIONAL PERFORMANCE
Executive Summary
The report has helped in analysing the entire organizational performance of Coca-Cola
Company that is based in United States. There are different kind of issues in the organization
that has been faced by the organization as tom solve the issues in an effective manner.
Furthermore, the application of the different models has been analysed and utilised in an
effective manner that has helped the company in managing the issues effectively. The
different tools and techniques of performance management has been described that provided
proper view on understanding the requirements of proper performance management in
organization.

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Table of Contents
Introduction................................................................................................................................3
Overview of Coca-Cola..............................................................................................................3
Overview of Performance Management in maintaining Organizational Effectiveness.............4
Performance Management /Organizational Effectiveness of Coca-Cola...................................5
Models of Organizational Effectiveness....................................................................................5
Organizational Effectiveness Model in Coca-Cola Company...................................................6
Goal-Approach Model...........................................................................................................6
Participatory Satisfactory Model............................................................................................7
Relationship between Decision-Making and Organizational Effectiveness..............................8
Issues related to Organizational Effectiveness and Decision-Making in Coca-Cola.................8
Conclusion................................................................................................................................10
Recommendations for improvement together with an appropriate implementation plan........11
References................................................................................................................................14

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Introduction
The report throws light on analysis of the organizational performance of the
respective organization named Coca-Cola. The different kind of performance methods has to
be ascertained in order to understand the appropriate methods that are utilised in improving
the performance along with identification of the potential areas of the improvement in the
organization as well. The different range of perspectives has to be identified and used in the
report that provides a brief overview on the different kinds of the techniques that can be
applied by them as to improve the overall performance in an effectual and appropriate
manner.
Overview of Coca-Cola
Coca-Cola Company is one of the largest companies in the entire world and this is
recognized as the most valuable brand of the world. It is the number one brand in the entire
world according to the survey of 2009 and the company operates through different franchised
distribution system from the year 1889. The company was founded in the year 1889 and since
then the company is successfully operating in different parts of the world in an appropriate
manner as well (Coca-cola.com, 2018). The values that is incorporated by Coca-Cola are
passion, service, integrity along with proper respect provided to the different customers in the
economy.
Furthermore, Coca-Cola Company falls under the food and beverage industry that
consists of different kind of products that are sold by the company to the different customers
in the market. The organizational performance management is essential in nature that is
required to be adopted by Coca-Cola Company as to diagnose the performance along with
holding different performance appraisal meetings as well. The Human Resource Management

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of the organization has to be ascertained effectively in the organization to reach the different
goals as defined in the strategic map.
Overview of Performance Management in maintaining Organizational Effectiveness
Organizational performance or the performance management of the organization is
essential in nature as this comprises of the actual kind of outputs along with the results of the
organization that are being measured against the intended outputs or goals. The
organizational performance management is essential and is important for the organization
wherein the decision-making plays a major role in the process and this is essential to
understand that the resources are being used in an appropriate manner for achieving the goals
of the organization effectively (Berry and Kato 2018).
Furthermore, there are different tools of the measuring the performance management
systems that include flexible and efficient kind of performance management system to make
it more efficient in nature. It is required by the companies to understand that the resources are
used in an effectual manner and the resources are being used in pursuit of the different goals
of the company effectively. There are different tools of the performance management that can
be used by the company as to gain the competitive advantage in comparison to the other
competitors.
Additionally, performance management is the entire concept in field of human
resource management and this is the continuous process of identifying along with developing
the performance of different individuals along with aligning the entire performance with
strategic goals of the organization appropriately. It is the fundamental purpose of the
performance management is to assist the organizations in maximising the entire productivity
of the organization by making the employees enable to perform the different tasks effectively

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and accomplish the major three goals that are critical in nature. These include helping the
employees to identify and remove the different barriers appropriately.
The different models, approaches and tools of the performance management has to be
adopted by the different organizations in the economy as this helps them in setting goals and
perform better in an effective manner as well. The organizational structure is the main
component that has to be changed by the organizations to improve the different kind of
managing and developing the performance of the entire organization that includes the
different kind of evaluation of the performance of the employees (Van Der et al. 2016).
Lastly, the organizational structure of Coca-Cola Company has to be ascertained
appropriately to gain competitive advantage in the economy and gain more competitive
support from the other employees who are working in the entire organization effectually.
Proper and accurate performance planning along with appraisal are done as to gather the data
and documentation is required to be done effectively (Shields et al. 2015).
Performance Management /Organizational Effectiveness of Coca-Cola
The main vision of Coca-Cola is to create world class organization with the
implementation of the culture of operating excellence as this will help them in continually
improving the customer service along with satisfying the customers. The mission of the
respective organization to refresh the world in body, spirit and mind. The organizational
effectiveness is essential in nature as this helps in maintaining proper effectiveness in the
organization as well. Furthermore, it has been seen that there are different models that are
assessed for analysing the organizational effectiveness.
Models of Organizational Effectiveness
There are different models that can be analysed in order to improve the organizational
effectiveness that are as follows:

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 Goals Approach Model is one such model that helps in assessing the organizational
effectiveness and this is one of the effective kind of framework that is concerned with
output side of the organization. This helps in analysing the ability of the organization
to excel in single or the multiple kind of outputs with the desired level of the outputs. Systems resource Approach is the other model that focuses on assessing the
organizational effectiveness and this provides environmental interface and this
emphasizes input over output. Furthermore, this respective model can be used by
various companies in consequently receiving greater resource inputs from the
environment and this will help the companies in gaining more competitive advantage
in comparison to the other competitors in the economy. Participant Satisfactory Model is the process that involves entire process of asking
the different participants that make up the organization about the work experiences
along with satisfaction in the entire organization effectively.
Organizational Effectiveness Model in Coca-Cola Company
Goal-Approach Model
Coca-Cola uses the goal approach model in their organization and this helped them in
continuing to excel and grow in an effective manner. The respective company is the front
runner in the entire beverage industry with outstanding along with remarkable array of
various products and services with excellent global presence. The main goals of Coca-Cola
are as follows:
To be a great place to work wherein the individuals are inspired to be the best they
can be in comparison to the competitors (Rosemann and vom Brocke 2015)
To maximise the long-term return to the shareowners along with handling the
different responsibilities effectively (Mone and London 2018)

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Furthermore, the Coca-Cola Company is aiming to be the organization rated globally
for the environment that is good in nature and this is one of the positive influence on the
environment of Coca-Cola Company (Boutros and Purdie 2014). The respective company
mainly focuses on the acquiring along with retaining highly skilled employees in the
company to gain competitive advantage effectively. The company entertains the employees
by providing proper security of the employment and this can reduce the different
uncertainties in the organization.
Furthermore, Coca-Cola Company has to implement the goal-setting theory has to be
maintained by the Coca-Cola Company to gain more competitive advantage in the entire
competitive world. The respective company has to incorporate strategic planning in the
organization as to increase the demands for the programs along with analysing the greater
demands for accountability and this has helped in improving the human capital planning as
well (Bloom, Sadun and Van Reenen 2015).
Participatory Satisfactory Model
This respective model is used by Coca-Cola Company as this assist in analysing the
contribution of the goal attainment by the employees in the organization effectively. The job
satisfaction is fundamental element for analysis of productivity of the organization as this
helps the workers to be satisfied with the work that is performed by them and this helps in
transforming the productivity of the organization as well (Pulakos et al. 2015). The
participants of the Coca-Cola Company include the consumers, suppliers along with
customers as well.
The motivated workforces are the engines that help in driving the developments in
organization (Krajewski, Ritzman and Malhotra 2015). Coca-Cola Company break the
different associates to carry out the different operations and this helps in making them the

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sense of the belongings and this is essential to the organization as well. With the
implementation of the respective model, the Coca-Cola Company has tried to achieve the
different kind of effectiveness in the organization along with the increase in the productivity
of the employees (Mellahi, Frynas and Collings 2016).
From the analysis of the two models of performance management and organizational
effectiveness, this helps in making majority of the decisions effectively and solve such
ineffective issues related to performance management appropriately. Furthermore, it has
been seen that decision making has played an essential role in managing the different kind of
activities related to organizational performance effectively and in an appropriate manner
(Gorman et al. 2017).
Relationship between Decision-Making and Organizational Effectiveness
The decision making plays a major role in the analysis of the organizational
effectiveness. Similarly, in Coca-Cola Company, the majority of the decisions are taken by
the usage of incremental method. In each and every year, the organization would analyse the
different results, and this helps in making the changes in different operations to create better
results in the forthcoming years. Furthermore, decisions are required to be taken that will be
essential in making the right choices and improve the entire performance effectively as well.
Additionally, it has been noticed and seen that the organizational effectiveness is essential in
the organization to improve the present conditions and solve the issues effectively.
Issues related to Organizational Effectiveness and Decision-Making in Coca-Cola
It has been noticed that due to the different kind of drastic changes that has taken
place in the present scenario, it has been seen that company was in desperate requirement for
such drastic change and this was noticed that the performance of the company was declining
in nature. By starting at lower levels of the respective organization to find various solutions,

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the organization was unable to make such drastic changes to the culture of the company.
However, the biggest flaw in the respective organization named Coca-Cola Company is the
board of directors is responsible for the different non-programmed decisions that are made by
the company in an ineffective manner. Furthermore, it has been seen and noticed that there
was lack of confidence in the upper management to make the vital decisions.
It has been noticed that this has become problematic for the company for few major
reasons and this has affected the entire reputation of the company along with losing the
confidence of the employees on the organization as well. The upper management of the
organization do not take any suggestions from the staffs of the organization as they feel that
the right decisions can be taken by them and this will help them in managing the decisions
effectively. However, in the present scenario, the performance appraisal in the Coca-Cola
Company is not effective in nature as the employees are not performing according to the
different norms of the company.
Furthermore, it has been seen that in the Coca-Cola Company, the performance has
been declining in the present scenario and the decision-making process of the organization. It
has been noticed that the Coca-Cola Company do not use any kind of tools in the
organization as to gain competitive advantage in the economy and this is affecting the brand
image of the company. Previously, it was noticed that the company has to utilise the
resources in an effective manner for the entire business growth. This has achieved in
increasing the efficiency and motivate the employees to help them in performing the tasks
effectively.
Furthermore, the decision-making process is essential in nature in Coca-Cola
Company as this is the key element for gaining success and all the members of the
organization are responsible for the ultimate success and outcome of the different decisions

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as well. The performance management of the organization helps in increasing the entire
effectiveness of the organization along with implementation of different tools such as key
performance indicators along with performance appraisal metrics as well (Greve, 2015).
However, the Coca-Cola Company is not using any such kind of framework and this has
affected their performance drastically in a negative manner.
It has been noticed that Coca-Cola Company did not implement different kind of
practices of the performance management in the organization wherein it was noticed that in
the present scenario, there was no such planning along with development of the goals that has
been set up by the company as well (Jeston 2014). The management functions such as
planning, organizing along with controlling the different functions are not being maintained
and this has affected the performance negatively as well.
Conclusion
Therefore, it can be concluded that proper performance management in the
organization is essential in nature. The organizational effectiveness plays a major role in
attaining the different goals of the organization and solve the issues effectively as well.
Performance management system and tools are essential to be adopted by the organizations
especially in Coca-Cola Company to gain more competitive advantage in comparison to the
other competitors in the market and this has helped the respective company in managing the
issues effectively as well.
Furthermore, it has been seen that Coca-Cola Company has the company has used
established measures of performance that is required to be communicated to the continuous
development of the different employees in an appropriate manner. The organizational
performance comprises of the different outputs and results of the organization as this is
measured in terms of the flexibility and productivity of the organization. It was noticed that

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that in the respective organization Coca-Cola Company, the upper management took the
different major decisions that created huge problems for the organization as there were
different unprogrammed decisions and this has affected the entire goodwill of the company as
well.
Lastly, the company Coca-Cola Company has to implement different kind of
recommendations in the different kind of tasks that are performed by them on a daily basis.
Furthermore, it is required by the respective company to implement the proper
communication channels in their organization that will improve the communication program
and this will help them in improving the overall efficiency of the organization in an effective
manner as well. Furthermore, the goal approach model can be applied by the company in an
effective manner as to meet the different kind of organizational objectives effectively and
solve them in an appropriate manner with implementation of different kind of strategies
effectually in the company to meet the requirements and improve the performance effectively
as well.
Recommendations for improvement together with an appropriate implementation plan.
Therefore, from the given analysis it could be discovered that, there exists
communication gaps between the senior management and the staff with respect to conducting
the performance appraisal program and the transparency of the results (Cascio 2018).
Furthermore, there also exists a lack of an effective feedback system between the different
employees for which there is a sense of disagreement between the various members alike. In
order to overcome this problem, the following recommendations have been provided:
Honesty- There needs to exist honesty in the organization. There can be no
relationships which exist without mutual trust and respect for which the organizational
executive board of Coca-Cola needs to ensure that they maintain honest relationships with the

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different employees at all levels. This will be able to give rise to an environment which is
beneficial for all the parties (Chelladurai and Kerwin 2017). This can be conducted with the
help of meetings and team building sessions.
Internal Portal- There needs to exist an efficient feedback procedure for which a
portal which involves all the members of the organization are given access to. These
employees can then make use of the portal to provide feedback and this shall also act as a
means of internal communication between the different members of the organization. The
members can track the progress of the other members in their department or in the other
departments and provide recommendations for the same. This open system of feedback will
ensure transparent relationships between the different employees and even ensure that
effective feedback has been started between the senior management and the other
organizational members in the organization of Coca-Cola (Purce 2014). As this is an
environment of globalization and the company has various units around the globe. This
internal portal between the employees would ensure that effective communication exists and
the various members are in touch with one another.
This shall ensure effective decision making throughout the organization and strategies
for the global operations can be made effective.
Involving employees in decisions-The employee participation is a major component
of maintaining transparency throughout the organization of Coca-Cola. The employees
serve as an effective component in the decision-making process of the firm and it is for this
reason that they will be required to ensure that the employees are engaged in the various
decisions that are made for the welfare of the different members. This shall ensure that the
employees are able to provide their opinion which may be relatively important as they are the
ones who deal with the different customers directly (Renwick, Redman and Maguire 2013).

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This can be done by conducting meetings and other training sessions that can teach the
different members how to participate in effective decision making. Furthermore, in order to
assess the performance of the different employees, the Coca-ColaCo should engage in 360-
degree performance appraisal technique in order to ensure successful relationships in the
organization. This way the employee will be able to understand his areas of improvement.
Therefore, the given recommendations must be adopted by the organization and the
operational plan is as follows:
Activity Month
1
Month
2
Month
3
Month
4
Month
5
Month
6
Regular Meetings
Team building sessions
Training to employees
Portal development
Portal training
360 degree performance
appraisal

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