« Mastercard Expands Installment Offerings through Global Partnerships; Empowers More Consumers to Choose When to Pay with Pre-Sale, Point of Sale, and Post-Sale Payment Options | Main | The New Rolls-Royce Ghost »
September 5, 2020
The Coca-Cola Company Announces Strategic Steps to Reorganize its Business for Future Growth
• Company to Establish New Operating Units and Global Beverage Category Leads, Supported by New Platform Services Organization.
ATLANTA, September 5, 2020 - The Coca-Cola Company has announced strategic steps to reorganize and better enable the Coca-Cola system to pursue its Beverages for Life strategy. It would focus on a portfolio of drinks that can capture growth in a fast-changing marketplace.
The company is building a networked global organization, combining the power of scale with the in-depth knowledge required to win locally. The company will create new operating units focused on regional and local execution that will work closely with five marketing category leadership teams that span the globe to scale ideas rapidly.
This structure will be supported by the company’s newly created Platform Services organization, which will provide global services and enhanced expertise across critical capabilities.
“We have been on a multi-year journey to transform our organization,” said Chairman and CEO, James Quincey. “The changes in our operating model will shift our marketing to drive more growth and put execution closer to customers and consumers while prioritizing a portfolio of strong brands and a disciplined innovation framework. As we implement these changes, we’re continuing to evolve our organization, which will include significant changes in the structure of our workforce.”
• Operating units
The company’s nine new operating units will help streamline the organization by replacing current business units and groups. The operating units will be highly interconnected, with more consistency in structure and a focus on eliminating duplication of resources and scaling new products more quickly.
The company’s current model includes 17 business units that sit under four geographical segments, plus Global Ventures and Bottling Investments. Moving forward, the operational side of the business will consist of nine operating units that will sit under four geographical segments, along with Global Ventures and Bottling Investments.
The company’s operating leaders will report to President and Chief Operating Officer Brian Smith.
• Global category leads
Innovation, marketing efficiency, and effectiveness are top priorities for the company. The Coca-Cola Company conducts a portfolio rationalization process that will lead to a tailored collection of global, regional, and local brands with the potential for more remarkable growth. To drive these initiatives and support the operating units, the company reinforces and deepens its leadership in five global categories with the most substantial consumer opportunities:
- Coca-Cola
- Sparkling Flavors
- Hydration, Sports, Coffee, and Tea
- Nutrition, Juice, Milk, and Plant
- Emerging Categories
The leaders of these categories will work across the networked organization to build its brand portfolio and win in the marketplace. Global category leads will report to Chief Marketing Officer Manolo Arroyo.
• Platform Services
The company today announced the creation of Platform Services. This organization will work in the service of operating units, categories, and functions to create efficiencies and deliver capabilities at scale across the globe. It will include data management, consumer analytics, digital commerce, and social/digital hubs.
Platform Services would improve and scale functional expertise and provide consistent service, including governance and transactional work.
• Aligning the company’s workforce to new priorities
The company’s structural changes will result in the reallocation of some people and resources, including voluntary and involuntary reductions in employees.
The Coca-Cola Company (NYSE: KO) is a total beverage company, offering over 500 brands in more than 200 countries and territories.
Source: The Coca-Cola Company
|GlobalGiants.Com|
Edited & Posted by the Editor | 9:56 AM | Link to this Post
