How is the most widely recognised product in the world made? How are the required quality standards met for every single unit of that product?
This case study answers these questions by outlining the manufacturing processes for Coca-Cola – the most widely recognised global brand from London to Lagos, Los Angeles to Lahore. It is sold in more and more markets, creating thousands of new jobs in the local economies.
The brand is owned by The Coca-Cola Company which works with franchisees across the world. These franchisees perform bottling and canning operations and are also known as packagers.
This illustration shows how manufacturing operations convert inputs into finished outputs. Coca-Cola’s bottlers and canners are concerned with a range of processes involved in transforming resources into the bottles and cans of drink that we are familiar with.
There is a difference between transforming resources and transformed resources:
- The transforming resources are the managers, employees, machinery and equipment used by The Coca-Cola Company and its franchisees.
- The transformed resources are the materials (the cans, bottles, liquids, etc.) and the information which is processed to create the finished product.
Primarily, Coca-Cola is manufactured by franchisees who are the world’s leading bottling and canning companies. This franchise business is strictly controlled by The Coca-Cola Company.
Soft drinks manufacturing is a competitive business. Manufacturing techniques are continually improved. This helps meet the highest quality standards for its products using the most cost effective production techniques. For example, very small changes in the shape of the can could save a canning factory millions of dollars in production costs.
The production of Coca-Cola involves two major operations:
- creating the packaging material
- bottling and canning the finished drink.