MSCI371 Materials Logistics And Supply Chain Management

The logistics process is related to maintaining overall process of resources through acquiring of the products/goods, storing, and transportation of the products towards final destination/consumers. The perspective distributors or suppliers of goods play the essential role in logistic process and help the organization to achieve their goals and objectives in the market. In supply chain of a company, logistics process helps to determine effectiveness and accessibility of the products to the final destination. In this report, the logistics process in Coca-Cola for supply china would be discussed on the priority basis.

Supply Chain of Coca-Cola:

The logistics process is the part of supply chain that is adopted in the business process of the company. The supply chain of a company, such as Coca-Cola usually starts with the purchasing of the products as raw materials. In these raw materials, Coca-Cola Company purchases the products as raw materials like sugarcane or fruits. The water and sugar is sourced by partners at the local level (Dynamic Inventory, 2018). After arrangement of the raw materials and other ingredients, such as concentrated syrup, non-alcoholic beverage concentrates are prepared and bottled at the local level and supply of the products started. In supply chain of the company from point of origin of the products to the final location, such as retail partners, logistics process is conducted to make the supply chain successful.

The Coca-Cola Export Corporation (TCCEC) partners plays important role in distribution of the products in local markets across the world. The local partners across the world get license through franchise distribution system to be part of Coca-Cola Company. TCCEC makes partnership with local bottlers or partners that bottled the products, and it helps them to supply the products in the local markets for consumption using supply management strategy of the company with effective logistics process (Dynamic Inventory, 2018).

 Logistics Process in Coca-Cola forSupply Chain:

The logistics process in Coca-Cola for supply chain is an integral part in which logistics expertise contributes to make the supply chain of the company successful in the market. The logistics related best practices in Coca-Cola can be seen as manufacturing of the products, weekly meetings with the team members worldwide, and moving the production plants near to the customers to sell the products easily (Dynamic Inventory, 2018). Further, daily interaction between the main sites of the company and seamless process between supply chain participants can also be seen in logistics related practices of the company.

At this stage, the logistics process in Coca-Cola basically starts with manufacturing of the products first at the local level. After that bottled products is transported to other distribution centers. From this distribution centers, the different products are loaded onto freight train or trucks and send to the specific locations. The route of the train or busses is fixed that are monitored using software locators to check the transportation system appropriateness in supply chain process (Dynamic Inventory, 2018). The different distribution locations are recognized in the transportation of the products of Coca-Cola with the days of shipment. This process in logistics operations is conducted on the regular basis to continue the supply of the products.

In the case of shipment of the products in logistics process through deep-sea shipping, various ports are recognized in the sea route transportation system. In order to supply the Coca-Cola products from one country to other countries, sea transportation system in logistics process are considered to send the products using sea route linking. This logistics process is used send the products from low utility place to high utility place in the world (Sadjady, 2011). The manufacturing of the plant of Coca-Cola products is considered by the company in developing countries where the raw materials and water resources are available in huge quantity.

At this stage, the transportation of finished products from one country, such as India and China to other countries, such as Britain, France, Germany, USA, etc. are transported in bulk cargo shipment using containers in huge quantity. In logistics process, loading and unloading of the finished products are also conducted in Coca-Cola for supply chain, such as loading of the finished products onto train and unloading from it to transfer entire products onto cargo ship (Sadjady, 2011). The same process is also adopted in other countries after reaching of the containers of the finished products.

The distribution center in other country received the finished products using rail transportation network. The storage of the products in other countries through its distribution center is selected to supply the products in different parts of the selected countries using other mode of transpirations. Several trade routes in other countries are recognized by the company in order to distribute finished products of Coca-Cola. In distribution centers, Coca-Cola uses effective inventory management system to ensure success of the supply chain of the company. For this, advanced monitoring technologies and customer information system are considered for safety of the products (Sadjady, 2011). The reliability and flexibility in the logistics process of the company ensure the trust level of its clients through the distribution of the finished products of Coca-Cola across the region.

In logistics process of the company, legal system is also adopted to avoid any type of legal action against this company. The payment of the received products and recording of the report is tried to short the time in order to be more productive in the business operations (Sadjady, 2011). At this stage, the logistics operations of the company increase the more visibility and in the business activities and enhance the capability of decision making of the company. 

At this stage, the logistics process in Coca-Cola makes it an effective supply chain company in the world. The effectiveness of logistics process in Coca-Cola also makes it a sales and customer service company because of integrating its manufacturing plants to sending the finished products to the retail outlets. There is a unique combination of logistics process in which manufacturing of the products are conducted after receiving information of ending of stocks and demand of the products in the market are supplied from the retail stores (Rath, 2021). Therefore, the expediting of the delivery of finished products in the business activities is a regular and faster operation in which logistics process in Coca-Cola for supply chain considered on the priority basis.

In the logistics process of the company, a lot of technologies are used to increase the capacity of supply chain. The experience and understanding of the logistics process also take help of strategic partners to fill the gap of knowledge and accelerate the deployment needs of the company to increase the value of supply chain (Rath, 2021). The use of logistics process for supply chain of the company helps to reduce inventory cost and increasing profits at the global level.

Conclusion:

After discussion about the logistics process in Coca-Cola for supply chain, it can be stated that it has a well planned logistics process at the global level. From local business operations of the company to global level business operations, the supply process plays the most important role in business expansion and growth of the company. The logistics process in this company is based on the best practices of manufacturing of the finished products, regular scheduled meetings with the team members across the world and moving the production plants near to the customers to sell the products easily.

References

Dynamic Inventory. (2018). The Coca Cola Supply Chain & Manufacturing Process Explained. Retrieved from: https://www.dynamicinventory.net/coca-cola-supply-chain/

Rath, S. (2021). Supply Chain of Coca-Cola. Retrieved from: https://sourcingandsupplychain.com/supply-chain-of-coca-cola/ 

Sadjady, H. (2011). Physical Flows. Retrieved from: https://www.sciencedirect.com/topics/engineering/process-logistics