SBM3305: Report on Coca-Cola Organizational Development Analysis

This report provides a comprehensive analysis of The Coca-Cola Company's organizational development. It begins with an introduction and an overview of the company, including its history and global presence. A detailed SWOT analysis is conducted, identifying Coca-Cola's strengths (brand recognition, marketing strategies, market share), weaknesses (health concerns, limited presence in certain markets), opportunities (growth in developing nations, expanding product portfolio), and threats (water scarcity, competition). The report then outlines specific challenges faced by Coca-Cola, such as communication issues, lack of employee training, and supply chain inefficiencies. Based on these challenges, the report offers recommendations including improving communication, developing effective training programs, establishing local offices, and enhancing the supply chain. The report concludes by summarizing the key findings and their implications for Coca-Cola's future.

Running head: ORGANIZATIONAL DEVELOPMENT ANALYSIS
ORGANIZATIONAL DEVELOPMENT ANALYSIS
Name of the Student
Name of the University
Author Note

1ORGANIZATIONAL DEVELOPMENT ANALYSIS
Table of Contents
Introduction......................................................................................................................................2
About the organization....................................................................................................................2
SWOT analysis of Coca Cola..........................................................................................................3
Challenges faced by Coca Cola.......................................................................................................6
Recommendations provided to Coca Cola......................................................................................8
Conclusion.......................................................................................................................................9
References......................................................................................................................................11

2ORGANIZATIONAL DEVELOPMENT ANALYSIS
Introduction
The report will be mainly based on the analysis of the case study organization named
The Coca Cola Company. The internal environment related factors of the organization will be
analyzed with the proper implementation of the SWOT framework. The challenges that are being
faced by the organization in the processes in the beverage industry will also be discussed in the
report in detail. The recommendations on the other hand will be provided with respect to the
ways by which challenges faced by The Coca Cola Company can be mitigated by the
organization in an effective manner. The proper mitigation of the challenges that are faced by
The Coca Cola Company will be related to the ways by which the firm can uphold its position in
the beverage industry.
About the organization
The Coca Cola Company is a multinational firm that aims at manufacturing, retailing and
marketing the nonalcoholic beverages, syrups and concentrates to the customers in different parts
of the world. The company is of American origin and was established in the year 1886 by a
pharmacist named John Stith Pemberton in Atlanta, Georgia (Coca-colacompany.com, 2020). In
the year 1889 the formula and the brand were mainly sold to Asa Griggs Candler for around
2300 Dollars who further incorporated The Coca Cola Company. The Coca Cola Company is
currently the world’s biggest producer of the plastic waste that is mainly related to plastic
packaging based activities that are performed as a major part of the operations of the
organization. The headquarters of The Coca Cola Company is mainly located in Atlanta, Georgia
and the organization had first started its franchise operations in the year 1889 (Coca-
colacompany.com, 2020).

3ORGANIZATIONAL DEVELOPMENT ANALYSIS
SWOT analysis of Coca Cola
Strengths –
Coca Cola has been able to develop huge recognition of its brand in different parts
of the world. The firm aims at offering its products to the consumers in greater
than 200 countries of the world.
The marketing and advertisement based strategy of Coca Cola is considered to be
quite unique in nature and the implementation of marketing strategy has been able
to enhance the awareness related to its products among the consumers (Ansoff et
al. 2018).
The Coca Cola Company has been able to gain a huge share in the beverage
industry and the closest competitor of the firm in the industry is Pepsi.
Coca Cola aims at manufacturing and selling the products belonging to different
categories as well as varieties to the consumers in different countries of the world.
Coca Cola also has been able to develop huge number of loyal customers in
various countries of the world. Around 80% of the total profits gained by Coca
Cola are provided by the loyal customers of the firm (Ansoff et al. 2019).
Coca Cola has also been able to gain the position of one of the biggest sponsors in
the entire world as the organization is a major sponsor of international sports
based events like Fifa.
Coca Cola has been able to develop a strong and efficient distribution channel that
that can ensure the quality products in order to reach the different markets that
include Africa, Europe and Asia.

4ORGANIZATIONAL DEVELOPMENT ANALYSIS
The CSR activities that have been performed by Coca Cola were mainly related to
the recycling and conservation of water (Daspit et al. 2017).
The efficient and effective packaging based technique that has been implemented
by Coca Cola also provides emphasis on the activities related to reusing and
recycling.
The brand recall of the products of Coca Cola are considered to be quite strong
that is mainly supported by the marketing and advertising that is mainly
associated with the celebrity brand ambassadors.
The strength of the financial resources and condition of Coca Cola is able to play
a major role in enhancing the position of the firm in the beverage industry (David
and David 2016).
The distribution system that has been developed by The Coca Cola Company is
considered to be highly effective in nature and is able to enhance the strengths of
the organization.
The effective acquisitions that have been made by The Coca Cola Company have
been able to enhance the operations and revenues that are gained by the
organization as well (Ansoff et al. 2019).
Weaknesses –
The presence of pesticides in the products of Coca Cola has a major impact on the
image that has been developed by the brand in the industry.
Coca Cola has not been able to develop its presence in the healthy drinks based
segment and this has a negative impact on the health conscious consumers. The
products of Coca Cola are mainly associated with the negative health influences

5ORGANIZATIONAL DEVELOPMENT ANALYSIS
including obesity. The increased awareness related to obesity in the society has a
negative impact on the sales of Coca Cola (David and David 2017).
Some of the markets in various countries are dominated by the major competitor
of the organization named Pepsi. The markets in which Coca Cola has not been
able to develop its dominance include Saudi Arabia and Oman.
Opportunities –
Coca Cola has a major growth opportunity based on the ways by which the
organization can develop its operations in the various developing nations that
include Bangladesh, India and Tanzania. The sales in these countries can also start
doubling in summer. The countries can provide large amounts of growth
opportunities in the market (Dyer et al. 2017).
Hygiene has started becoming a major public health based issue that is mainly
related to the consumption of clean water. Packaged water is also considered to be
a major choice that is provided to the consumers in different countries or markets.
Coca Cola has the opportunity to enhance the product portfolio of the
organization in order to fulfil the demands and needs of the consumers. This will
be able to play a major role in enhancing the ways by which Coca Cola can
compete with PepsiCo (Engert, Rauter and Baumgartner 2016).
Coca Cola can aim at spreading the risks that are faced by the organization by
proper diversification of the operations in different sectors other than the
manufacturing of beverages.

6ORGANIZATIONAL DEVELOPMENT ANALYSIS
The competitors of Coca Cola have started moving away from the manufacture of
fizzy drinks and this has been able to offer major levels of threats with respect to
the processes of the organization (Hanson et al. 2016).
Threats –
The raw material that is used by Coca Cola for the purpose of developing the
products of the organization is water. Scarcity of water is considered to be a major
threat that is currently being faced by Coca Cola in the industry.
The levels of competition that are faced by Coca Cola in beverage market are
considered to be quite high in the beverage industry and it is increasing gradually
on a local and global basis as well. Pepsi is considered to be the major competitor
of Coca Cola in the beverage industry. The indirect competitors of Coca Cola
have also been able to provide supplementary products to the consumers (Hitt,
Ireland and Hoskisson 2016).
Coca Cola has recently started facing some major controversies related to over
usage of water and packaging based activities as well. This has a negative impact
on the operations and revenues that have been gained by the organization as well.
The lack of an effective image of the organization has been able to influence the
relationship that Coca Cola has been able to develop in the highly competitive
beverage industry (Engert, Rauter and Baumgartner 2016).
Challenges faced by Coca Cola
The Coca Cola Company has been able to gain a leadership position in the beverage
industry with the help of products that are offered to the large group of consumers in different

7ORGANIZATIONAL DEVELOPMENT ANALYSIS
parts of the world. The firm has however started facing huge number of challenges that are
related to its processes in the beverage industry. The following challenges have been faced by
The Coca Cola Company in its operations,
The lack of proper communication between the staff members and the leaders and
managers of Coca Cola has a major negative impact on the revenues and
successful operations of the organization (Leiblein and Reuer 2019).
The sharing of feedback among the employees is also considered to be a major
factor that has influenced the culture developed within the organization. The
negative organizational culture has been formed with respect to the lack of proper
transparency within Coca Cola Company (Engert, Rauter and Baumgartner 2016).
The absence of effective training that can be provided to the employees of The
Coca Cola Company has also been able to provide major challenges to the
operations of the organization in the beverage industry (Mohamad and Bakar
2018).
The lack of proper motivation for the workers and staff members of The Coca
Cola Company is also considered to be a major challenge that is being faced by
the organization in the industry.
The lack of local offices of The Coca Cola Company is able to influence the
operations of the organization and the levels of revenues in the market as well.
The management of The Coca Cola Company has not been able to manage the
conflicts that are a part of the organizational operations (Nickols 2016).
The Coca Cola Company has also faced major challenges based on the ways by
which raw materials can be procured for the proper manufacturing of products.

8ORGANIZATIONAL DEVELOPMENT ANALYSIS
The Coca Cola Company has not been able to develop effective relationships with
the suppliers who are a part of the industry.
The livelihood and operations of The Coca Cola Company have been threatened
in a huge manner by the development of cafes that offer healthy tonics, smoothies
and teas that are able to fulfil the demands and needs of the consumers (Samad,
Alghafis and Al-Zuman 2018).
Recommendations provided to Coca Cola
The major recommendations that can be provided to The Coca Cola Company for the
purpose of mitigating the challenges that are being faced by the organization are as follows,
The communication between the staff members and leaders or managers of the
organization can be enhanced with the proper development of online and offline
communication with the consumers. The proper enhancement of communication
process will be helpful for the organization to understand the needs and demands
of the employees. The collaboration between employees will also be improved in
an effective manner with the support that is provided by enhancement of
communication (Wood and Kispál-Vitai 2017).
The development of effective training process for the employees will be able to
play a major role in the ways by which an organization like Coca Cola can
maintain its huge employee base in different parts of the world. The training
process designed by the organization will also be able to play a major role in
enhancing the present and future activities of the employees as well. The training
activities will be able to play a major role in proper formation of a collaborative
culture within the organization (Samad, Alghafis and Al-Zuman 2018).

9ORGANIZATIONAL DEVELOPMENT ANALYSIS
The Coca Cola Company needs to form the local offices in order to understand
the demands and needs of the local customers and fulfilling them in an effective
manner as well. Local offices will also be able to play a major role in supporting
Coca Cola so that it is able to understand the local demands and needs of the
consumers (Mohamad and Bakar 2018).
The development of efficient supply chain can play a major role in proper
enhancement of the operations of The Coca Cola Company in the beverage
industry. The organization needs to enhance the number of suppliers who are a
part of the supply chain of The Coca Cola Company. The improvement of
relationship between the suppliers will also be able to influence the pries of the
products that are offered by the organization (Hitt, Ireland and Hoskisson 2016).
The prices of raw materials that are procured by The Coca Cola Company can be
managed by the organization with the proper enhancement of relationships with
the suppliers who are a part of the organizational operations. The proper
procurement of raw materials by The Coca Cola Company is able to influence the
product prices and the variety of products that are offered to the consumers as
well. The organization will be able to maintain its position in the industry with the
support that is mainly provided by the low production costs and manufacturing
costs as well (David and David 2017).
Conclusion
The report can be concluded by stating that The Coca Cola Company has been able to
maintain its leadership position in the beverage industry with the help of its products and high
brand value of the firm as well. The strengths and the weaknesses of the organization have been

10ORGANIZATIONAL DEVELOPMENT ANALYSIS
able to play a major role in the development of its position and operations in the industry. On the
other hand, the opportunities and threats that are faced by The Coca Cola Company have been
able to influence the profitability levels and the activities that are performed by the organization
as well. The challenges that have been faced by the organization can thereby be mitigated in an
effective manner with the help of proper collaboration that can be developed between the
employees and the managers or leaders of The Coca Cola Company.

11ORGANIZATIONAL DEVELOPMENT ANALYSIS
References
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