Coca Cola Change Management Case Study (2024)

FAQs

What change management model does Coca-Cola use? ›

The coco cola company used theory of organization change presented by Kotler (1996) which elaborated the procedure to manage change on the people dimension of the organization.

There are many drivers for change, including the continuous advancement of technology, internal processes, acknowledgment of risk, consumer preferences changes, rival force, acquiring and alliances, and company restructuring. (Coca-Cola, 2019).

Lack of executive support and active sponsorship. Lack of effective communication led to misalignment. Lack of change buy-in and solution support created resistance. Limited knowledge and resources for change management.

Coca-Cola bottler makes major change to aluminum can packaging: 'First of its kind' A Philadelphia-based bottling company is ditching the so-called “six-pack” plastic rings featured in most packs of soda cans.

New co*ke, reformulated soft drink that the Coca-Cola Company introduced on April 23, 1985, to replace its flagship drink in the hope of revitalizing the brand and gaining market share in the beverage industry.

Change within Coca-Cola is triggered by either internal processes, regulatory sources, or the dimensions of the market. Generally the main reason why organizations need to change is to create better systems and procedures of its internal and external environment.

There are five primary forces that drive supply chains to adapt and evolve: social changes, technology, the environment, economics and politics. These five drivers of change can be simplified by the acronym, STEEP.

It analyses the 4Ps (Product, Price, Place, and Promotion) of Coca-Cola Company and explains its business & marketing strategies.

What are the strategic problems faced by co*ke? ›

The problems faced by Coca-Cola Company are high sugar harmful to health, increase in competitors, plastic bottle waste and water scarcity. These issues will lead to many negative impacts to social and natural environment.

The Coca-Cola Company purpose remains clear: To refresh the world and make a difference. This purpose is uniquely us. It's why we exist, and it's needed now, more than ever.

Top reasons for change management failure

limited understanding of the change and its impact. negative employee attitudes. failure to involve employees in the change process. poor or inefficient communication.

They may be uncomfortable with the unknown or perceived risk. They may misunderstand or disagree with the goals and/or the strategy of the change initiative. They may fear what change means for their role or even their job security. They may lack trust in the management team or the organization.

Coca-Cola needs to increase the distribution of such products. Increasing the distribution of packaged drinking water like Kinley. Working on sustainability and green marketing It can improve its brand image in the market.

Coca-Colonization

Coca-Cola has expanded its reach into many cultures and lives all over the world. Its influence can be seen in its presence in our movies, television programs, decorations, vending machines on every corner, and its myriad advertisem*nts. In addition, Coca-Cola has worked its way into traditions.

On 23 April 1985 New co*ke was introduced and a few days later the production of original co*ke was stopped. This joint decision has since been referred to as 'the biggest marketing blunder of all time'. Sales of New co*ke were low and public outrage was high at the fact that the original was no longer available.

Blind taste tests suggested that consumers preferred the sweeter taste of the competing product Pepsi, and so the Coca-Cola recipe was reformulated. The American public reacted negatively, and New co*ke was considered a major failure.

Manufacturers stood to save money by switching to corn-based ingredients. In 1980, Coca-Cola began using HFCS in its beverages, and by the mid 80s most other soft drink companies had followed suit.

What changed in the New co*ke Zero? ›

The recipe for co*ke Zero was also tweaked then, four years ago, but this 2021 rebrand is significantly more daring in terms of the visual and flavor evolution of the product. Gone is the primarily black can, replaced with one where red is now the dominant color, offset by black font.

The Coca-Cola Foundation has three major priorities: Women: economic empowerment and entrepreneurship. Water: access to clean water, water conservation and recycling. Well-Being: active healthy living, education and youth development.

Hiring a Change Management Professional

The 4 C's of a world-class change manager—commitment, connections, communication and creativity—may represent innate personality traits, trained capabilities, or most likely a combination of the two.

Before you begin a system implementation, a transformation program, or any initiative involving change for your organization, remember to integrate the six key principles of successful change management: Leadership, Inclusion, Communication, Metrics, Enablement, and Reinforcement.

While there are many ways leaders can manage change, some of the best change management strategies include planning, transparency and honesty, communication, and employee participation.

co*ke aggressively markets its product lines through advertising across multiple mediums and channels, including TV, online ads, sponsorships, etc. Coca-Cola's sponsorships include NASCAR, NBA, the Olympics, American Idol, etc.

Coca-Cola is a global brand, appealing to a worldwide audience. The Coca-Cola target consumer is both male and female, covering almost the entire socio-economic spectrum, from average to high income earners.

What is Coca-Cola weakness and strength? ›

The strengths of Coca-Cola brand are brand equity and company value, strong marketing and advertising and largest market share. For weaknesses, Coca-Cola is word of mouth, health issues and brand failure. The opportunities are about word of mouth, health issues and brand failure.

Even one or two colas a day could increase your risk of type 2 diabetes by more than 20%. Sugar intake is linked to high blood pressure, high cholesterol, and excess fat, all of which increase the risk of heart disease. Colas and other sugary drinks have been linked to an increased risk of pancreatic cancer.

The competitive pressure from rival sellers is the greatest competition that Coca-Cola faces in the soft drink industry. Coca-Cola, Pepsi Co., and Cadbury Schweppes are the largest competitors in this industry, and they are all globally established which creates a great amount of competition.

Coca-Cola offers a monetary incentive to hardworking employees as a reward approach. Bonuses, raises in pay, airline tickets, and scholarships for the employees' children are among the financial benefits. Employees who perform poorly are not fairly compensated.

Leaders at Coca-Cola Commit to: Be the Role Model, Set the Agenda, and Help People Be Their Best Selves.

The ten marketing success factors of Coca-Cola Company are market research, market analysis, selecting target market, SWOT analysis, marketing mix, positioning, factors that influencing customer choice, innovation, brand development strategy and implementing, monitoring, controlling.

Prosci research participants revealed their top five obstacles: Lack of executive support and active sponsorship. Lack of effective communication led to misalignment. Lack of change buy-in and solution support created resistance.

Letting go of our current state is one of the most difficult aspects of any change. A lack of leadership through this necessary step is one reason organizational change fails. The good news is there are things we can do to make letting go easier.

What is the number one rule of change management? ›

Leaders can increase their probability of success with any change initiative by keeping in mind these four simple rules. 1. Do not delegate large-scale organizational change to middle management. Senior leaders are best positioned to address large-scale change, despite their desire to empower middle managers.

Coca Cola exhibited the efficient change management as the part of the strategic management process . Change management is the process in which it manages the change in the side of the people . Their individual change management and the organizational change management are the theories of the change management .

The Coca-Cola Company is controlled through a vertical top-down hierarchy, with decision-making authority residing with the company's upper management and flowing down the organizational hierarchy.

The Coca-Cola Company owns and develops its brands while Coca-Cola HBC is responsible for producing, distributing, and selling these beverages, using concentrate we buy from The Coca-Cola Company under an incidence-based pricing model.

The SCARF model was developed by David Rock, 2008, and is primarily applied in a Change environment. However, it is also useful in developing the best approach to collaboration, coaching, and training situations.

These regional divisions are then organized into the functional departments which in its case comprise the Production, Industrial Relations, Sales and Marketing, and Human Resources departments.

Coca-Cola offers a monetary incentive to hardworking employees as a reward approach. Bonuses, raises in pay, airline tickets, and scholarships for the employees' children are among the financial benefits.

Coca-cola depends on its management teams, quality control process as well as production policies. With a network of branches and bottling partners, the company produces more than 300 brands across the globe. Its operation on the global arena concentrates in over 200 countries (Pendergrast, 2000).

Participative Leadership Theory:

Team based decision making is better and more committed than individual persons. Coca Cola Company uses this theory and focuses on the development of teams for more focused and cooperative decision making rather than being alone.

Culture Coca-Cola inclusive workplace culture consists of seven core values: leadership, passion, integrity, collaboration, diversity, quality, and accountability.

What are the 8 business functions of Coca-Cola? ›

Coca Cola Company's Main Business functions areas are Accounting, Finance, Marketing, Production, Human Resource management, IT Support, Other functions, Research and development, Information Services.

The problems faced by Coca-Cola Company are high sugar harmful to health, increase in competitors, plastic bottle waste and water scarcity. These issues will lead to many negative impacts to social and natural environment.

co*ke aggressively markets its product lines through advertising across multiple mediums and channels, including TV, online ads, sponsorships, etc. Coca-Cola's sponsorships include NASCAR, NBA, the Olympics, American Idol, etc.

Coca-cola effectively uses a low pricing strategy a lot to penetrate new markets that are very price-conscious. They set the prices around the same level as the competitors to enable Coca-cola to be distinct but affordable. They do this to beat the competition on price and raise the awareness of the Coca-Cola brand.