Case Research of Strategic Management in the Coca-Cola Company

Coca-Cola has been founded since 1886 in Atlanta, United State. The Coca-Cola Company has produced more than 10 billion gallons of syrup. But Pemberton, he died in 1888 without realize the accomplishment of the drink he previously created. In yr 1888-1891, Asa Griggs Candler shielded protection under the law to the creation for a total of approximately $2, 300.

Asa G. Candler, a natural born salesman, changed Coca-Cola from an technology into a business. He provided away coupons for complimentary first preferences of Coca-Cola, and fitted distributing pharmacists with clocks, urns, calendars and apothecary scales bearing the Coca-Cola brand. By 1895, Candler experienced expanded the product into Chicago, Dallas and LA. In 12 months 1894, a Mississippi businessman name Joseph Biedenharn became the first ever to fill up Coca-Cola in bottles. He didn't realize then that the continuing future of Coca-Cola would be with very useful, bottled beverages customers could take anywhere. In five years, two Chattanooga attorneys, Benjamin F. Thomas and Joseph B. Whitehead, anchored restricted privileges from Candler to bottle and sell the Coca-Cola.

In 1886, Coca-Cola brings refreshment to patrons of a tiny Atlanta pharmacy. Now well into its second century, the Company's goal is to present magic every time someone wines one of its more than 500 brands. Coca-Cola has lovers from Boston to Budapest to Bahrain, ingesting brands such as Ambasa, Vegitabeta and Frescolita. In the furthest comers of the world, you can still found Coca-Cola. Coca-Cola is focused on local market segments, paying notice to what people from special ethnicities and backgrounds prefer to drink, and where and how they would like to drink it. Using its bottling partners, the business extends to out to the neighborhood communities it will serve, believing that Coca-Cola exists to gain and renew everyone it details.

Company LOGO

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Vision and Mission


Cola-Cola Company Roadmap starts off with their mission, which is long-term. It declares their function as a corporation and functions as the standard against which their weight of action and decisions. The mission of Coca-Cola Company is to renew the planet, to inspire moments of optimism and enjoyment, to make value and change lives.


Vision assists as the construction for Coca-Cola Company Roadmap and manuals every part of the business by explaining what they have to achieve to be able to continue reaching sustainable quality progress. People, be a sizable place to work where people are encouraged to be the best they could be. Profile, bring to the globe a profile of excellence drink brands that expect and persuade people's desires and needs. Companions, nurture a winning network of customers and suppliers, jointly they create communal, long lasting value. Plane, be considered a responsible resident which makes a special by supporting build and support ecological communities. Profit, increase long-term go back to shareholder while being aware of their general tasks. Productivity, be a highly successful, bend and fast paced organisation.

Coca-Cola products

Coca-Cola companies have a very slim products range that are Coca-cola, Sprite and Fanta. Those products are sold on the market with a difference size of containers which can be 250ml, 300ml, 1liter and 1. 5liter dog or cat.

Working as a Global Team

Coca-Cola companies built around two key property, its brands and its own people. That's what makes working at Coca-Cola so special. They believe work is a location that the employer need go every day. It ought to be a place of exploration, ingenuity, professional growth and interpersonal associations. It's about being encouraged and motivated to accomplish extraordinary things. They want visitors to take delight in their work and in building brands others love. After all, it's the blended talents, skills, knowledge, experience and interest of our individuals who make us who were.

Coca-Cola Company has 92, 800 affiliates about the world live and works in the market segments. They serve more than 87 percent of them beyond your United State. In the geographically diverse environment, they study from each market and reveal those learns quickly. As a result, Coca-Cola Company culture is a lot more collaborative. From beverage strategy and development to merchandising, Coca-Cola associates are writing concept across departments and markets in new ways. Therefore, Coca-Cola associates are increasing thinking about their work and motivated to turn ideas into action.

With a portfolio of more than 3, 300 set of product, from diet and regular gleaming drinks to still beverages such as 100 percent fruit juices and fruit refreshments, waters, activities and energy drinks, teas and coffees, and milk-and soy-based beverages, Coca-Cola Company variety spans the globe.

Management Function



Planning is the procedure of setting up goals, developing strategic, outlining tasks and then deciding how best to accomplish them. As a result of the planning process, everyone in the business is aware of what should be done, who must do it, and exactly how it should be done. It is a detailed programmed regarding future course of action. Plan also a blueprint specifying the source allocations, schedules, and other actions essential for attaining goals. It determining goals and then determining the actions and resources necessary to achieve them. Planning can be difference of type, an organisation can classify a few of the key types of programs which are the financial and non financial ideas, formal and casual ideas, specific and regular plans, strategic and functional strategies, long range and short range programs and the previous administrative and operational ideas. Planning function is important to the managers, managers need to plan so the staff member' activities are consistent with the company goals and the correct type and amount of resources also can be obtained. A planning function requires information, view and decision making.


According to Yehezkel Dror, 1974, he says that planning is the process of preparing a set of decision for action in future, directed at obtaining goals.

According to Teacher Wayne Stoner, 1997, he says that planning is of establishing objectives and appropriate training of action before taking action.

According to Archibugi, 2008, say that planning is a way of making rational decision; a method that is, to some extent, common to numerous areas.

Real Practice

For a Coca-Cola company, planning is vital to them because according to Joel Ross and Michael Kami theory, they feel that an organisation minus the strategy planning is like a ship with out a rudder, on offer the group. It's such as a tramp that is not any spot to go to. Strategic planning, execution and formulation will be the primary management function. One of the biggest factors for deciding whether the organisation works up to its potential or not is the amount to which the management team performs, the strategy making and tactical implementing function. Coca-Cola organisation believes that only the good proper and good implementations are the most trustworthy proof good management. A strategic plan is the bridge of the future, which an company uses to lead from what it is to what it envisions it can become.

Planning can also be considered a future plan of action. Planning is related to itself with look forward in to the future and determining the vision, objective and purpose of the job or program. Vision is that delivers the overall structure of reference within which objective statements are written and goals selected. It also is the desired future point out of organization. Relating to Peter F. Drucker, goals are essential in all the main element areas where performance and results straight donate to the growth and survival of any business. The eye-sight of the Coca-Cola organisation is to be the best and the largest anchor bottler on the globe. They quest are to recharge the world, to make value and change lives everywhere they employ. Inside the Coca-Cola organisation, almost all of the goals arranging and planning activities are managing by the very best management. The top manager had place three targets for the Coca-Cola company. The objectives of the company can be classified as the strategic goals, tactical goals and functional goals. Proper goals are assertions of what an company desire to achieve over the time of the tactical plan wants over the next years, next five years. The strategic goals are believed when company is thinking of the long-term goals. This tactical goal is set by the very best management with consultation by the father or mother company brain quartered at Singapore. The most notable managers establish this goal to ensure they are in line with the changing environment, every year they need to review in the gross annual meeting. They have got to make certain the business continue provide the quality products to the valuable customers, to task an outstanding corporate and business and try to satisfy the client through extra regular service and an outstanding service combined with the complete tactical and operational support. The professionals also need to select and hold on to in professional people for the organisation. Another, the tactical goals that happen to be define the outcomes that major divisions and departments must achieve for business to attain its overall goals. The most notable managers of the Coca-Cola Company by using an gross annual basis devise these goals alongside the consultation of the lower level employees. From then on, each departmental director have to subdivide the twelve-monthly responsibilities on the quarterly or regular basis to truly have a proper check to make sure that these objectives are achieved mainly through the marketing after the annual tasks is given. For this year, managers need to ensure that Coca-Cola goals have to increase the income by 20% of the likened last year and boost the total retail customer around 10%. Coca-Cola also offers to boost the market share by 5% and 30% of the reactivate the special discounts of customers. Last, the operational goals which would be that the managers established to ensure that every employees can assigned its goals and informed what are expected of her or him and then they're evaluated on the basis of certain regulations followed consistently by the business. This operational goals may happen some issue which is some fresh salesman cannot reach their goals therefore the managers need to ensure that the salesmen will get the new customer, hold on to existing one and recreate the discontinued accounts giving them some training.

In addition, planning is essential in making management decisions. Decision making is the study of figuring out and choosing alternatives predicated on the beliefs and tastes of the decision maker which is the procedure of sufficiently lowering uncertainty and hesitation about alternatives to permit an acceptable choice to be made from among them. An awful decision making will have a bad final result so a good administrator must good in decision making, they need to must sure that every decision they make is good for the organisation. Your choice making process in the Coca-Cola company is centralized. A couple of six part of the decision making of the Coca-Cola company which can be acknowledge need to make decision, generate alternatives, evaluate the alternatives, choose among alternatives, put into action choose and keep going the study from feedback. In Coca-Cola company, decision which always needs by the most notable director can related to the packaging positioning, trade discounts, advertisement, price reductions and distribution.

So as a finish of planning, planning is the first tool of the four functions in the management process. It really is rightly said "Well plan is about half done". Compare to the theory and real practice, both of these are involving with the future action which is how to achieve the organisation's goals with those targets that are making. The difference between an effective and unsuccessful manager lies within the look procedure. So for me, a successful supervisor must have a planning skill for achieve the organisation's goals.



Organising is one of the four managerial functions which give attention to allocating and planning individual and non-human resources so that the plans can be executed successfully. It also means constructing an organisational framework that works with for the achievement of the decided purposes, lines of expert, and responsibility described, and something of guidelines and methods which lead the performance of subordinates lay down. Organising is the way the plan will be completed so the goal is achieve. Once an idea is planned, the next phase in the progression is to agree on which individuals will need to be include, who will be in charge, who'll keep individuals held responsible, and what resources will be necessitate, who'll be in demand for getting those resources, who'll keep an eye on the progress? Those phases are all part of the organising process in the job. Hence, organising is next to planning because after the plan is prepared, the next natural move in the progressions is to get organised so the plan involves fruition. Organising is also the skill of receiving people who do not work that you can realise things. To be a conclusion, organising identifies the categorising of activities and possessions in a reasonable way.


According to Stephen P. Robbins and Mary Coulter, 'managing' is "determining what jobs are to be done, who's to do them, the way the tasks should be grouped, who studies to whom, and where decisions should be made. Thus, organising identifies critical energetic feature such as what duties are to be perform, who has to carry out them, on what basis the duties are to be grouped, who must are accountable to whom and who must have the authority to help make the decisions.

L. A. Allen identified managing as "the process of figuring out and grouping the work to be performed, defining and delegating responsibility and power, and establishing connections for the purpose of enabling visitors to work most effectively collectively in accomplishing objectives. " Thus, organising is a management function relating in assigning obligations, grouping duties, delegating power and responsibility and allocating resources to perform a particular plan in a competent manner.

According to Chester Barnard, "Arranging is a function where the concern is able to define the role positions, the jobs related and the co- ordination between authority and responsibility.


1. Decentralisation

Base on the basis functional strategy, Coca-Cola Company is divided into different departments in the real practice. Those who have the same on the basis of common skills and work activities are grouped jointly. This method helps the company in attaining the economies of scale through high excellence of problem handling and less needs of assistance of the subordinates. Coca-Cola Company is leaded by the overall Manager. There are a total of five mainly departments at Coca-Cola Company that happen to be Production office, Industrial Relation team, Sales and Marketing office, Human Resources office, and Funding and Accounting office. Each division has their own functions and responsibility toward the business. Production section is in charge for the entire development of the Coca-Cola Company. Industrial Relations department is in charge for handling with problems linked to the operational environment of the personnel and the problem linked to the labor unions. Sales and Marketing section is in charge of the producing the products obtainable in the marketplace and to deal with the issues associated to the adverts of the goods. Human Resources office is in control for looking the efficient pool of workers, choosing the professionals and make them pleased in order that they should continue to be faithful to the company. Finance department deals with overall costing and rates of the goods. They also package with the trade in correlated matter of the company. Accounting department lend a hand to the sales office in making charge of lading and payroll entries.

Example hierarchy of Decentralisation for Coca-Cola Company

Figure : The departments under the overall Manager of Coca-Cola Company.

2. Work Specialisation

Coca-Cola Company each executive is made in control for only a specific role that he or she expertise as the task specialisation is important. Each salesman is encountering different kind of individuals as there is absolutely no tediousness or repetitiveness. The work is tough and promotions derive from performance.

Authority and Responsibility

The professional of Coca-Cola Company will get article from the Salesman. These Sales Managers are in control for the shows of the salesmen that they need to provide them well-timed comment. Assistances are demanding to be provided by Sales Supervisor anytime which is a problem connected to the performance of the personnel. The administrators keep an eye on an on-going basis toward these salesmen which functions as an efficient managing device. The staffs have a lot of power, liability and information in accordance with the job they are responsibility Nevertheless, every part of the information and authority relative to the task is provided by their individual supervisors. These methods are the similar in the other subdivisions as well.


Delegation and Accountability

Coca-Cola Company each professional is made organised in charge of the actions of his / her underlings. An accurate tips and assistance is given at time to time to achieve the purpose by the particular professionals. Every supervisor is in charge of motivating their juniors so as to increase the effectiveness and efficiency of the staffs in addition to the delegation. RECRUITING department lend a hand personnel so they could recognise their potential and uses various technique to encourage them. In exchange, they give the perfect with their supervisor. Thus enhance their performance, excellence of work and consumer satisfaction.

Span of Control

The span of control is the amount of staff who survey right to a prearranged Coca-Cola Company supervisor. It really is most excellent to have a minimum of 3 personnel and no more than 5 staff reporting with their supervisor. This low structure is because of this of the reality that the organisation is a perpendicular and there are various individuals having different works to do so. When there are more than 5 individuals, it is hard to be supervised. Hence when there can be an extreme of 5 people, the belongings and staffs still can be supervise in a powerful manner.

Resource Allocation

To the extent that resources allocation can be involved, the executives of each department in the Coca-Cola Company have the energy to exploit the organisational assets whenever the possessions are necessary for the purposes of the department. Special agreement needs to be approved by other superintendents if these belongings belong to other superintendent. These resources may be capital, employees or other.

Organising the Individual Resources

When there will be required positions in Coca-Cola Company rather than on reserve basis, career will be performed. The job begins every time a superintendent wants a salesperson. Foremost, it'll send to be agreed by the General Administrator of Coca-Cola Company before sending it to Man Resource department, HR.

Example of the recruitment process

Human Resources office will verify off their Ex-Employers about the tendencies and the reason for leaving.

If the applicant is selected

Education requirements and


Of the

PersonnelAvailable job are make general population within Coca-Cola Company

Human Resources section look because of its data bank

Selection is based on several decisive factors for various titles

Aptitude test

Example, for salesman

Candidate is asked to carefully turn up for an interview

Candidate is asked for just about any references, which can make.

If no suitable candidates for a specific profession

If no suitable applicants, then publicise in the newspaper

Coca-Cola Company

If pass the aptitude test

Carried out by the sales and Human Resources department

Easy mathematics and common knowledge is tested. Familiar with how of British is also essential

As a realization for organising, an organising is the next function in the managerial functions. When the organization is well organised, it could be said that it's in the best conditions. Compare to the idea and real practice, both of them are linked to allocating and arranging real human and non-human resources so that ideas can be executed successfully. The difference between a successful and unsuccessful organisation is situated within the director of the business. So as for me personally, to be always a successful corporation, proper organising is essential.



Leading means the procedure of influencing others to activate in work behaviors that could lead to the achievements of goals. It can be said, it is the third function in management. This function has a unique characteristic when compared with other functions, utilizing the humanistic perspective but require less organized process for research as other functions. A leader must lead his subordinates to attain goals more efficiency. Because of business environment, market leaders are constantly on the change. Today, a administrator must be able to make an instant and more accurate decision, either in consensus building or teamwork environment. Management is a intricate process when a person affects others to accomplish a mission, process, and objective and directs the organization in a manner that makes it more cohesive and coherent. Leadership also can be defined as the ability to influence a group towards the accomplishment of goals. To lead subordinates effectively, the manager must provide directions and control to his staffs, to execute the essential process within the mandatory timeframe, and with the most useful use of resources. Control theory are include characteristic theory (command idea that make an effort to identify quality that differentiated from non- leaders), behavioral theory (diagnosed behaviors that differentiated effective market leaders from ineffective leaders) and contingency theory (leaders should be versatile and adjust to improve in the surroundings). In behavioral theory, it include autocratic, democratic and laissez- faire.


According to Alan Keith, 2002, Leadership is eventually about creating a way for folks to donate to making something remarkable happen.

According to Tom De Marco, Command needs to be distinguished from posturing.

Real Practice

In Coca-Cola Company, other than the three of management functions, leading is important. The business places the general manager on the top of the hierarchy. The overall manager takes the responsibility of deciding major administrative decisions in accordance to the company's policy and functions. He'll not be involved in the procedures aspect straight. Departmental managers are tasked with leading and paving the path because of their subordinates. These market leaders focus on two main parts of the operations. First, being co-ordination with one another in the businesses, in order to increase the business volume level. Second, employees are encouraged to give new ideas on increasing client satisfaction. Matching to Herbert Spencer, that the time times produce the person and not the other way around. Coca-Cola feels they are doing a democratic and laissez- faire style of leadership which can be behavioral theory, through delegation and involvement of employees. Since the sales and marketing team are dependent on one another, the team management strategy is applied.

The managers are incredibly supportive of the practice of having subordinates treated in a good and good manner. Employees are cared for within the family. By motivating them to participate in group conversations, using wide open communication system, employees aren't left out in decision makings. So that it can let employees always relax if they are in work and also let them sensing that they are not simply employees only come for work. They will feel comfortable because they are friend or a member of family either with superior or workmate. There come with an highly open up environment. Subordinates can show their view and feeling to the administrator. Managers will encourage employees participate to the decision- making so they'll become participative so can make use for the group discourse. Corresponding to Victor Vroom, in collaboration with Phillip Yetton(1973) and later with Arthur Jago(1988) developed a taxonomy for talking about leadership situation, taxonomy that wan use within a normative decision model where command styles were linked to situational factors, defining which approach was more suitable to which situation. Monetary and non-monetary rewards are used to entice a higher involvement, especially from the lower level employees. The company gives high top priority to inspire employees, adopting the plan of promoting employees within the company, based on performance, alternatively than recruiting a new staff. Achievable objectives and targets are establish, which allows most employees to attain and succeed. Paying income that are greater than the industry's standard is also a part of the determination plan. There are also various in-house campaigns and competition to stir up employees' desire. Motivated employees, provides important and timely feedbacks, like job or personal problems, which managers could help to solve. To help expand motivate employees, the business places importance to the working environment and goals achieved. The employees are certain to get the commission if indeed they sell the merchandise in bulk. The percentage is basic on the performance basis of subordinated. So, subordinates not only will get the salary but also commission payment. This can support and inspire employees to work hard and achieve the goals effectively more efficiency. This way is very objective and are perceives attainable by most of employees. Beside that the competition between employees can inspire them, apart from this compensation plan is a motivating factor as paying more than the industry average. An excellent working environment and a challenging milestone are a the very first thing in employee's desire. Professionals play a essential role to resolve any problems of subordinates whether is is job related or personal problem. Matching to Robert Blake and Jane Mouton in 1941, the five different management design of managerial grid model is based on the leader's concern for individuals and their concern for goal achievement. They also gives employees timely responses about their unsatisfied. Within the function of leading, communication is a major factor in human being relationship. Together with the contingency theory, the supervisor will be flexible and adjust to improve matching to situation.

Information writing among employees is highly inspired. Top management looks for input and opinions from lower rank employees, before implementing new company policies. The general manager is accessible to all or any employees anytime, if they have any grievances or ideas. Marketing communications between departments can be done officially or informally. The company uses grapevine to get employees view about the management.

At Coca-Cola, the very best management ensures the culture of the business, which includes its values formally documented and communicated to all employees, is adhered to. To guarantee the successful execution of the rules and values, the top management adopts the business lead by example procedure, when administering the regulations. Employees' action is reviewed periodically.

So, as final result for leading, leadership is "organizing an organization of people to accomplish a goal". To attain the goal, authority of manager are important to leading subordinates to exert advanced effort for successful.



Every manager whether in small or big firm needs managerial skills to lead the company. Quite managerial skills have four important skills which is planning, managing, leading and managing or managing. Each one of these skills are related to one another. Without this four skills administrator are not being able to lead the employees to be able to achieve organization vision, mission and goal. Controlling is once of the top as the organization will not substined without it. Manager need managing to encourages others staff to be creative, ground breaking and aware toward their careers, beside that managers identify any opportunities for change and development to up grade the quality of employees and also their product, before it drives change the director scopes and plan it carefully. Other than that manager used controlling to manages other employees through the change process to make certain it run well, director also must takes bank account of all stakeholder conditions that happen to them to produce a clear understanding and try to avoid from occurs problem.

Controlling is one of the activities involve in general management, handling also one of the managerial skills. Controlling is the procedure of regulating activities to attain organizational goals.


According to EFL Breach, 'Control is checking out current performance against pre-determined requirements contained in the ideas, with a view to ensure enough progress and satisfactory performance. ' Apart from EPL breach, other opinion matching to Henri Fayol in 1916 Control contains verifying whether everything occurs in conformity with the program followed, the instructions given, and principles founded. Its subject is to point out weaknesses and mistakes in order to rectify them and prevent recurrence.

According to Harold Koontz, Controlling is the way of measuring and correction of performance to be able to make certain that enterprise targets and the plans devised to realize them are completed. For Stafford Beer, management is the profession of control.

Real Practice

Controlling is performed through the analysis, which is dependant on the very objective basis. Some criteria are fixed in advance, if these conditions are not found when the employees are asked and assessed for the reasons and corrective actions are used by the respective managers. All of this is control by administrator to help make the process run without problem. Different departments have different standards, different reporting and handling systems. The reporting, analysis and control system of sales departments is Sales Person's reporting system and Sales Person's Evaluation System. Controlling is important to supervisor because director used it to check the problem and made a correction therefore the deviation standard may be accomplished. This managerial skills is been using by the popular beverage soda which is the Coca-cola company.

Sales Person's reporting system is where the employees give a daily article of his done activities to market designer of his area, sales rep also are free to ask for almost any assistance from the market designer to help him doing the actions. Every sales person will be supplying a punch card which will track record his appearance and departure time. They also will be given a route card which he must complete to ensure the facts about the time spent of visit the outlet, times during the journeying and it include the titles of the loaders and salesperson time in and from the vehicle. This can make the progress running smoothly and managers have the ability to control. Aside from this the administrator also will notify about another days order to be packed in the vehicle to be deliver, this also will tell the director the total of sales by the sales person according to the brand and the size of the product.

Sales person analysis system is that your company help to promote their workers to the higher degree of the organization. The analysis also help to increase salesperson determination to work hard and get the advertising or the economic rewards which is given not only to the best retailer but it addittionally has been given to the best market programmer as well as the best sales supervisor of the year. Performance is assessed based on the achievement of the mark which is set and communicated at the beginning of the year to each of sales administrator, quarter to every each market developer and each sales rep on on a monthly basis. This performance is assessed based on the basis of performance development plan, it also development plan to the sales rep on the decision slips, route call, call conclusion, effective and successful call, attendance, development in sales, market development and the punctuality of the salesman.

As for the coca-cola company, the manager do organizational performance appraisal on the procedure which generate valid information about staff work effectiveness for the purpose of making informed individuals resource decisions. Group must evaluate staff performance for a number of reasons. First, the employees need to understand the behavioral requirement of the job. Besides that employees work is assessed for its contributions to company goals. Employees also have to know where they stand with the business in terms of the performance, in addition they motivate to do a good job is increased by the performance appraisal system. Valid information about performance levels of employees should be utilized to make decisions about salary increased, bonus items and training needs. Beside that employees desire a clear knowledge of what the company needs from them in conditions of performance. The Coca-Cola Company realizes a good appraisal system makes organizational operations far better because managers may use the performance appraisal system as a motivational tool. An effective appraisal system creates many chance for managers to interact with their subordinates' about team performance steps, cycle times, company goals, service quality, and employees profession aspiration. If there is no formal and objective performance appraisal system, employees may believe the organization is unconcerned with treating them rather, this is excatly why the managerial skills is a lot important to manager to lead the company and it would not be complete if the supervisor do not practice all the abilities indeed for the business future.

Few managers would question the companies need to evaluate the performance behavior of its worker. The process must be produce result which are reasonable, timely and exact. The coca-cola management desires that real performance and assessed performance will be the same, however when the focus of way of measuring is counting the end result from procedure such as productivity and product, the correlation between actual performance and assessed performance is strong. Measuring managerial performance is a lot more difficult for supervisor because the results of managerial works are harder to quality. An effective administrator is the backbone for the business to have glowing future.


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