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PROJECT REPORT
On
TOTAL PRODUCT MANAGEMENT AT THE DISTRIBUTOR AND
RETAILER LEVEL
OF
SUBMITTED BY:
RAMESH SINGH
R.A. PODAR INSTITUTE OF MANAGEMENT
OF MANAGEMENT STUDIES
UNIVERSITY OF RAJASTHAN
JAIPUR
INDEX
1.) Acknowledgement
2.) Preface
3.) Introduction to Coca-Cola Worldwide
4.) The Top Brass at Coca Cola Worldwide
5.) Bottling
6.) Product Profile
7.) Coca-Cola in India
8.) Terms and Terminology
9.) Research Methodology
10.) Work Process at HCCBPL
11.) TPM in Food and Beverages Industry
12.) Territory Division of Project
13.) Findings
14.) Recommendations
ACKNOLEDGEMENT
I owe a deep sense of gratitude to the members of the quality department and
other staff of Hindustan Coca-Cola Beverages Pvt. Ltd., Kaladera, Jaipur for
their co-operation in designing and maturing the project “Total Product
Management at the Distributor and Retailer level of Coca-Cola”.
I am thankful to Mr. Pranav Bhatt (Quality Assurance Manager), Mr.
R.S.Rawat (Senior Executive, Quality Assurance) and other officers of the
quality department and other departments at Hindustan Coca-Cola Beverages
Pvt. Ltd. for their sincere support in making this project a success.
And I also pay our sincere regards to our Director Dr. (Mrs.) Gitika Kapoor, Dr.
(Mrs.) Anjila Saxena, Dr. Rajesh Kothari, Dr. Harsh Dwivedi and Dr. Arvind
Kalia for their valuable guidance and suggestions from time to time.
I am also grateful to all the distributors and retailers of Coca-Cola for
extending their valuable support and time for answering our survey questions.
I would like to acknowledge the help of all those who have directly or indirectly
contributed towards making of this project.
It was indeed a wonderful experience to work with Hindustan Coca-Cola
Beverages Pvt. Ltd.
(Raj Gourav Ahari)
PREFACE
I feel great pleasure in doing my project “Total project Management at the
Distributor and Retailer Level of Hindustan Coca-Cola Beverages Pvt. Ltd.”
with Coca-Cola. Their whole hearted support enabled me to complete this
project.
This project is on “Quality initiatives taken by Coca-Cola” in pursuit of TQM
Phase- III certification for the Kaladera Plant in Jaipur.
In the I phase of the project I collected various samples from the Distributors
and Retailers and surveyed the warehouses along various quality parameters
with the help of questionnaires and observation method.
In the second phase I analyzed the data generated in the I phase, generated
report on its basis and presented the same to the quality department officials
with the help of bar graphs, pie-charts and histograms.
INTRODUCTION TO COCA-COLA WORLDWIDE
The Coca-Cola Company exists to benefit and refresh everyone it touches.
Founded in 1886, the Company is the world's leading manufacturer, marketer,
and distributor of nonalcoholic beverage concentrates and syrups, used to
produce nearly 400 beverage brands. Our corporate headquarters are in
Atlanta, with local operations in over 200 countries around the world. The
Coca-Cola Company exists to benefit and refresh everyone it touches.
The basic proposition of the business is simple, solid and timeless. The
company aims at bringing refreshment, value, joy and fun to its stakeholders,
they successfully nurture and protect brands, particularly Coca-Cola. That is
the key to fulfilling our ultimate obligation to provide consistently attractive
returns to the owners of our business. More than a billion times every day,
thirsty people around the world reach for Coca-Cola products for refreshment.
They deserve the highest quality—every time. Our promise to deliver that
quality is the most important promise we make. And it involves a worldwide,
yet distinctively local, network of bottling partners, suppliers, distributors and
retailers whose success is paramount to our own. Our investment in local
communities in over 200 countries totals billions of dollars in jobs, facilities,
and marketing, the purchase of local goods and services, and local business
partnerships. Always and everywhere, we pursue continuous innovation in the
products we offer, the processes we use to make them, the packages we
develop and the ways we bring them to market.
The Coca-Cola system is one of the most diverse organizations on earth, with
a rich mosaic of talented colleagues who bring a variety of intellectual,
professional, ethnic and cultural perspectives to our enterprise. They reflect
the nations, cultures and languages of the world. Our policy is to foster an
inclusive environment that encourages all employees to develop and perform
to their fullest potential.
SPEECH BY CHAIRMAN
Our workplace must be a place where everyone's ideas and contributions are
valued. Our employees deserve equal treatment under our policies governing
compensation, advancement, health, safety and other aspects of workplace
life. We understand that fairness in the workplace, coupled with the
opportunity to develop individual capabilities, fosters our collective success.
Responsible stewardship of the environment is a top priority for The Coca-
Cola Company. By preserving and enhancing our natural world, we brighten
the future for our planet and for each other. We put this principle into practice
through The Coca-Cola Environmental Management System, known as
eKOsystem. We operate our business as stewards of the environment, with a
commitment to continually move our business toward sustainability: striving to
consume fewer natural resources, and to recover and reuse resources more
extensively. Our commitment to protect the environment extends throughout
our organization, involving officers, managers and employees at all levels. We
are accountable for our actions, conducting assessments of our
environmental performance and taking action toward continuous improvement
in all that we do. Society advances on the strength of community: people
sharing their ideas and resources to reach common goals. We seek to
strengthen local communities worldwide through our support for education,
through partnerships with other organizations and through acts of citizenship
by the people of Coca-Cola.
We support education because of its power to expand opportunities for
individuals and increase understanding between cultures. We partner with
national and international organizations to alleviate economic disadvantage
and help improve the quality of life in local communities. Together with our
local bottling partners, we strengthen communities by giving with our hands
and our hearts, as partners in the promise of a better life.
There's never been a better time to be a part of The Coca-Cola Company.
Our people are dedicated to strengthening relationships with stakeholders and
communities everywhere.
E.neville Isdell
Chairman, Board of Directors, and Chief Executive
Officer
The Coca-Cola Company E.neville Isdell leads The Coca-Cola Company into
the new century with a firm commitment to the values and spirit of the world's
greatest brand. He was elected chairman and chief executive officer in
February 2000 and is the 11th person in the history of the Company to hold
this title.
Under E.neville Isdell leadership, we have positioned The Coca-Cola
Company for growth, guided by our mission to provide branded beverages
that refresh people around the world, anywhere, any time, everyday. By
moving key decision-making closer to local markets, we have spurred
innovation, accelerated growth and fostered deeper connections to
consumers. Simply put, we are closer than ever to you.
A talented and highly experienced worldwide management team coordinates our
new, nimble and entrepreneurial network.
Across more than 200 countries ... more than 100 languages ... a multitude of
cultures and geographies, The Coca-Cola Company strives to be a special
part of people's lives. This privilege comes with a responsibility. We have
chosen to take a leadership role, knowing that our differences make us
stronger in our business and in our communities - each and every day.
We embrace our commitment to diversity in all its forms at The Coca-Cola
Company as a core value. Diversity - of race, gender, sexual orientation,
ideas, ways of living, cultures and business practices - provides the creativity
and innovation essential to our economic well-being. Equally important is a
highly motivated, healthy and productive workforce that achieves business
success through superior execution and superb customer satisfaction.
In today's volatile economic environment, this kind of performance requires
unprecedented commitment to the principles of integrity and leadership. We
are intent on keeping that commitment.
Although Coca-Cola® was first created in the United States, it quickly became
popular wherever it went. Our first international bottling plants opened in 1906
in Canada, Cuba and Panama, soon followed by many more. Today, we
produce nearly 400 brands in over 200 countries. More than 70 percent of our
income comes from outside the U.S., but the real reason we are a truly global
company is that our products meet the varied taste preferences of consumers
everywhere.
Board of directors
E. Neville IsdellChairman, Board of Directors, and Chief Executive OfficerThe Coca-Cola Company
Herbert A. AllenPresident and Chief Executive OfficerAllen & Company Incorporated(a privately held investment firm)
Ronald W. AllenConsultant to, Advisory Director, and former Chairman of the Board,President, and Chief Executive Officer, Delta Air Lines, Inc.
Cathleen P. BlackPresidentHearst Magazines
Warren E. BuffettChairman of the Board and Chief Executive OfficerBerkshire Hathaway Inc.(a diversified holding company)
Barry DillerChairman of the Board and Chief Executive Officer InterActiveCorp (IAC)
Donald R. KeoughChairman of the Board,Allen & Company Incorporated
Maria Elena LagomasinoChairman and Chief Executive OfficerJ.P. Morgan Private Bank
Donald F. McHenryDistinguished Professor in the Practice of Diplomacy and International Affairs at the School of Foreign Service,Georgetown University
Robert L. NardelliChairman of the Board, President, andChief Executive OfficerThe Home Depot, Inc
Sam NunnCo-Chairman and Chief Executive Officer, Nuclear Threat Initiative (NTI)
J. Pedro ReinhardExecutive Vice President and Chief Financial OfficerThe Dow Chemical Company
James D. Robinson IIICo-founder and General Partner,RRE Ventures and Chairman, RRE Investors, LLC (private information technology venture investment firms)
Peter V. UeberrothInvestor and Chairman, Contrarian Group, Inc. and Co-Chairman, Pebble Beach Company
James B. WilliamsChairman of the Executive Committee, former Chairman of the Board andChief Executive OfficerSunTrust Banks, Inc.
SENIOR MANAGEMENT - FUNCTION HEADS
Harry L. Anderson
Director, Supply Chain and Manufacturing ManagementVice President, The Coca-Cola Company
Jean-Michel R. Arès
Chief Information OfficerVice President, The Coca-Cola Company
Ralph Carlton
Managing Director, Corporate Strategy and PlanningVice President, The Coca-Cola Company
J. Alexander M. Douglas Jr.
Chief Customer OfficerSenior Vice President, The Coca-Cola Company
Gary P. Fayard
Chief Financial OfficerExecutive Vice President, The Coca-Cola Company
Charles B. (Chuck) Fruit
Chief Marketing OfficerSenior Vice President, The Coca-Cola Company
Ingrid Saunders Jones
Chairperson, The Coca-Cola FoundationSenior Vice President, The Coca-Cola Company
Cynthia P. McCague
Director, Human ResourcesSenior Vice President, The Coca-Cola Company
Patricia V. Powell
Senior Vice President, Quality DivisionThe Coca-Cola Company
Danny L. Strickland
Senior Vice PresidentChief Innovation/Research and Development OfficerThe Coca-Cola Company
Clyde C. Tuggle
Senior Vice PresidentWorldwide Public Affairs and CommunicationsThe Coca-Cola Company
Bottling
One of our great strengths is our ability to conduct business on a worldwide
scale while maintaining a local approach. At the heart of this approach is our
bottling system.
Before any one of our nearly 400 brands is consumed by anybody around the
world, it has to be produced, packaged and distributed. Since we reach six
billion consumers in over 200 countries, our bottling system has to be the
best.
Our bottling partners are local companies - some independently owned, some
partially owned by The Coca-Cola Company - so they are rooted in their
communities, thinking and acting locally. They are employers, purchasers of
local goods and services, good neighbors, and, of course, producers of the
world's most popular beverages.
It's a big job, and sometimes it's done quite creatively. In Indonesia, for
instance, boats transport Coca-Cola® and our other brands between the
many hundreds of islands that make up that nation. In the Amazon, where the
main road is often the river itself, water-borne distribution is also common. In
some of the higher elevations of the Andes, Coca-Cola is sometimes
transported by four-legged power. Across much of Africa, bottlers deliver to
thousands of family-run kiosks and home-based stores on which local
economies depend.
Coca-Cola® originated as a soda fountain beverage in 1886 selling for five
cents a glass. Early growth was impressive, but it was only when a strong
bottling system developed that Coca-Cola became the world-famous brand it
is today.
1894 … A modest start for a bold idea
In a candy store in Vicksburg, Mississippi, brisk sales of the new fountain
beverage called Coca-Cola impressed the store's owner, Joseph A.
Biedenharn. He began bottling Coca-Cola to sell, using a common glass
bottle called a Hutchinson.
Biedenharn sent a case to Asa Griggs Candler, who owned the Company.
Candler thanked him but took no action. One of his nephews already had
urged that Coca-Cola be bottled, but Candler focused on fountain sales.
1899 … The first bottling agreement
Two young attorneys from Chattanooga, Tennessee believed they could build
a business around bottling Coca-Cola. In a meeting with Candler, Benjamin F.
Thomas and Joseph B. Whitehead obtained exclusive rights to bottle Coca-
Cola across most of the United States -- for the sum of one dollar. A third
Chattanooga lawyer, John T. Lupton, soon joined their venture.
1900-1909 … Rapid growth
The three pioneer bottlers divided the country into territories and sold bottling
rights to local entrepreneurs. Their efforts were boosted by major progress in
bottling technology, which improved efficiency and product quality. By 1909,
nearly 400 Coca-Cola bottling plants were operating, most of them family-
owned businesses. Some were open only during hot-weather months when
demand was high.
1916 … Birth of the Contour Bottle
Bottlers worried that Coca-Cola's straight-sided bottle was easily confused
with imitators. A group representing the Company and bottlers asked glass
manufacturers to offer ideas for a distinctive bottle. A design from the Root
Glass Company of Terre Haute, Indiana won enthusiastic approval. The
Contour Bottle became one of the few packages ever granted trademark
status by the U.S. Patent Office. Today, it's one of the most recognized icons
in the world - even in the dark!
1920s … Bottling overtakes fountain sales
As the 1920s dawned, more than 1,000 Coca-Cola bottlers were operating in
the U.S. Their ideas and zeal fueled steady growth. Six-bottle cartons were a
huge hit starting in 1923. A few years later, open-top metal coolers became
the forerunners of automated vending machines. By the end of the 1920s,
bottle sales of Coca-Cola exceeded fountain sales.
1920s and '30s … International expansion
Led by Robert W. Woodruff, chief executive officer and chairman of the
Board, the Company began a major push to establish bottling operations
outside the U.S. Plants were opened in France, Guatemala, Honduras,
Mexico, Belgium, Italy and South Africa. By the time World War II began,
Coca-Cola was being bottled in 44 countries.
1940s … Post-war growth
During the war, 64 bottling plants were set up around the world to supply the
troops. This followed an urgent request for bottling equipment and materials
from General Eisenhower's base in North Africa. Many of these war-time
plants were later converted to civilian use, permanently enlarging the bottling
system and accelerating the growth of the Company's worldwide business.
1950s … Packaging innovations
For the first time, consumers had choices of Coca-Cola package size and
type-the traditional 6.5 ounce Contour Bottle, or larger servings including 10-,
12- and 26-ounce versions. Cans were also introduced, becoming generally
available in 1960.
1960s … New brands introduced
Sprite®, Fanta®, Fresca® and TAB® joined brand Coca-Cola in the 1960s.
Mr. Pibb® and Mello Yello® were added in the 1970s. The 1980s brought diet
Coke® and Cherry Coke®, followed by POWERaDE® and Fruitopia® in the
1990s. Today scores of other brands are offered to meet consumer
preferences in local markets around the world.
1970s and '80s … Consolidation to serve customers
As technology led to a global economy, retail customers of The Coca-Cola
Company merged and evolved into international mega-chains. Such
customers required a new approach. In response, many small and medium-
size bottlers consolidated to better serve giant international customers. The
Company encouraged and invested in a number of bottler consolidations to
assure that its largest bottling partners would have capacity to lead the
system in working with global retailers.
1990s … New and growing markets
Political and economic changes opened vast markets that were closed or
underdeveloped for decades. After the fall of the Berlin Wall, the Company
invested heavily to build plants in Eastern Europe. As the century closed,
more than $1.5 billion was committed to new bottling facilities in Africa.
21st Century … Think local, act local
The Coca-Cola bottling system grew up with roots deeply planted in local
communities. This heritage serves the Company well today as consumers
seek brands that honor local identity and the distinctiveness of local markets.
As was true a century ago, strong locally based relationships between Coca-
Cola bottlers, customers and communities are the foundation on which the
entire business grows.
PRODUCT PROFILE
The Coca-Cola Company's Brands (as of 12/31/02)
A
A&W *
Ades Alive
Almdudler Ambasa
American Andifrut
Andina Nectar Aqua
Aquactive Aquana
Aquarius Aqvaris
Arwa Aybal
B
Bacardi Mixers Barq's
Beat Belte
Beverly Bibo
Bimbo Bimbo Break
Bistrone Bjare
BlackFire Bom Bit Maesil
Bonaqua/Qa BPM
Bright And Early Burn
Buzz
C
caffeine free Coca-Cola caffeine free Coke
light/diet Coke
Cal King Calypso
Canada Dry * Canning's
Cappy Capric
Carvers Chafresco
Chaho Charrua
Cheers Cherry Coke
Chinotto Chinotto Light
Chippewa Ciel Chivalry Citra
Coke II Coca-Cola
Cocoteen Cresta
Cristal Crush *
Crystal Cumberland Gap
D
Dannon * Dasani Water
Delaware Punch DESCA
diet A&W * diet Almdudler
diet Canada Dry * diet Charrua
diet Cherry Coke diet Coke/Coca-Cola light
diet Coke/Coca-Cola light
with lemon
diet Crush *
diet Dr Pepper * diet Fanta
diet Inca Kola diet Kia Ora *
diet Krest diet Lift
diet Lilt diet Mello Yello
diet Minute Maid Soft
Drink
diet Mr Pibb
diet Nestea Cool diet Nestea/Nestea Light
diet Oasis * diet Schweppes *
diet Sprite/Sprite Light
diet Tai
diet Squirt *
diet Vanilla Coke
Disney Hundred Acre
Wood
Disney Xtreme Coolers
Dorna Dr Pepper *
Drim
E
Eight O'Clock Eight O'Clock Fountain
Eight O'Clock Litro Pack Emblem
FG
Georgia
Georgia Club
Georgia Gold
Gini *
Gira
Gold Spot
Grand Blue
Grapette
Guarana Jesus
H
H2OK
Hanul Yeon Cha
Hawai
Hi Spot *
Hi-C
Hit
Horizon
Huang
I
Ice Cold Mix
Ice Dew
Ice Mountain
Inca Kola
Itu
Izvorul Alb
J
Jaz Cola
Jet Tonic
Jinmeile
Jolly Juice
Joy
Jurassic Well
K
Kapo Axion
Kapo
Kapo Super Power
Kia Ora *
Kilimanjaro
Kin
Kin Light
Kinley
KMX
Kochakaden
Koumi Soukai
Krest
Kuat
Kuat Light
Kuli
L
Leafs
Lift
Lilt
Limca
Limonade
Linnuse
Love Body
Fanta Finley
Fioravanti Five Alive
Fontana Fraser & Neave
Freezits Fresca
Frescolita Freskyta
Frestea Frisco
Frugos Fruit Labo
Fruit Tree Fruitia
Fruitopia Fruitopia Tea
Fruktime Frutina
Frutonic Funchum
G
Georgia
Georgia Club
Georgia Gold
Gini *
Gira
Gold Spot
Grand Blue
Grapette
Guarana Jesus
H
H2OK
Hanul Yeon Cha
Hawai
Hi Spot *
Hi-C
Hit
Horizon
Huang
I
Ice Cold Mix
Ice Dew
Ice Mountain
Inca Kola
Itu
Izvorul Alb
J
Jaz Cola
Jet Tonic
Jinmeile
Jolly Juice
Joy
Jurassic Well
K
Kapo Axion
Kapo
Kapo Super Power
Kia Ora *
Kilimanjaro
Kin
Kin Light
Kinley
KMX
Kochakaden
Koumi Soukai
Krest
Kuat
Kuat Light
Kuli
L
Leafs
Lift
Lilt
Limca
Limonade
Linnuse
Love Body
COCA-COLA IN INDIA
Coca Cola in India-
After a 16 years absence, coca cola returned to India on October 26,1993
with its launch in Agra.An engagement in March 1993 with the Parle Group
gave the company instant ownership of the nation’s top soft drinks brands,
with access to parle’s 53-plant botteling network, and a base for rapid
introduction of the company’s international brands. This network remains
India’s largest soft drink bottling and distribution infrastructure, reaching out
too Indian consumers through a universe of over 8000000 retail outlets
spread across the country.
As the leading producer and marketer of soft drinks in India, the company
leads the flavoured, carbonated soft drink market . the Coca-cola Company’s
products in India include the company’s international brands- Coca cola,
sprite and fanta, as well as India’s leading soft drink brands, Thumps Up
Limca and Maaza- brands acquired from the Parle Group in 1993.
Brands in India:-
1. Coca-Cola
2. diet Coke®
3. Sprite®
4. Fanta®
5. Schweppes
6. Thums Up®
7. Limca®
8. Maaza®
9. Citra™
10.Gold Spot®
11.Kinley™ water
12.Sunfill™ concentrate
13.Shock™
G
Georgia
Georgia Club
Georgia Gold
Gini *
Gira
Gold Spot
Grand Blue
Grapette
Guarana Jesus
H
H2OK
Hanul Yeon Cha
Hawai
Hi Spot *
Hi-C
Hit
Horizon
Huang
I
Ice Cold Mix
Ice Dew
Ice Mountain
Inca Kola
Itu
Izvorul Alb
J
Jaz Cola
Jet Tonic
Jinmeile
Jolly Juice
Joy
Jurassic Well
K
Kapo Axion
Kapo
Kapo Super Power
Kia Ora *
Kilimanjaro
Kin
Kin Light
Kinley
KMX
Kochakaden
Koumi Soukai
Krest
Kuat
Kuat Light
Kuli
L
Leafs
Lift
Lilt
Limca
Limonade
Linnuse
Love Body
14.RIMZIM®
Bottling Information
The Coca-Cola Company received approval from the government in July 1996
to set up a holding company to invest US$700 million in downstream
operating subsidiaries to engage in the preparation, packaging, sale and
distribution of beverages.
In July 1997, the holding company was permitted by the government to
operationalize its bottling subsidiaries.
The bottling subsidiary currently owns and operates twenty-six bottling plants
and sixty distribution centers across India. In addition, it uses 20 contract
packers to augment its production capacity and cater to the increasing
demand for its wide portfolio of beverages.
To reach India's 300 million soft-drink consumers, the company distributes its
products in over 700,000 retail outlets, serviced via trucks, converted three-
wheelers, tricycles and pushcarts.
Employment/Economic Impact
The Coca-Cola system in India directly employs over 7,000 workers. For
every direct job in the system, seven indirect jobs are created in the supply
chain.
Over the past nine years, The Coca-Cola Company has invested US$827
million in India, US$805 million of which has been invested in its bottling
subsidiary.
Community Involvement
The Coca-Cola Company in India supports eight Jagriti (Awakening) Learning
Centers (JLC), managed by India's well-known organizations, such as CRY,
Pratham, Prayas and Literacy India. The program provides education at the
primary level to underprivileged children, as well as computers and training for
teachers. Over 1,800 students per year have benefit from the program.
Working with state and district governments, our company provides support to
primary health centers in areas where our bottlers are located.
G
Georgia
Georgia Club
Georgia Gold
Gini *
Gira
Gold Spot
Grand Blue
Grapette
Guarana Jesus
H
H2OK
Hanul Yeon Cha
Hawai
Hi Spot *
Hi-C
Hit
Horizon
Huang
I
Ice Cold Mix
Ice Dew
Ice Mountain
Inca Kola
Itu
Izvorul Alb
J
Jaz Cola
Jet Tonic
Jinmeile
Jolly Juice
Joy
Jurassic Well
K
Kapo Axion
Kapo
Kapo Super Power
Kia Ora *
Kilimanjaro
Kin
Kin Light
Kinley
KMX
Kochakaden
Koumi Soukai
Krest
Kuat
Kuat Light
Kuli
L
Leafs
Lift
Lilt
Limca
Limonade
Linnuse
Love Body
In 2002, in partnership with The St. John's Ambulance Brigade (Associate of
Red Cross), we conducted health camps for those who live in poverty-stricken
urban areas to sensitize the community on pertinent issues such as
HIV/AIDS, communicable diseases, immunization, hygiene and sanitation,
and reproductive and child health. Free health check-ups and medicine were
provided, with over 10,000 people benefiting from the campaign.
The company supports a rainwater harvesting project as part of a major
government initiative to combat water scarcity and reduce ground water tables
across the country. We are analyzing options for rainwater harvesting at our
major bottling plants. Along with the Resident Welfare Association of Greater
Kailash, our company installed four rainwater harvesters. The Chief Minister
of Delhi unveiled one of the rainwater harvesting units in a dedication to local
residents.
Several of our bottling plants provide safe drinking water to local villagers
through the organization of water tankers, bore wells and hand pumps.
The company has funded India's first national polio eradication drive, as well
as a national drought relief program.
Sponsorships
The company sponsors a unique national radio program for women called
"The HER Show" (Health Education and Recreation). The 30-minute weekly
program informs and educates housewives on primary health and education
issues.
We sponsored a one-day "Mother & Child Health district Mela" in Ghaziabad.
Several hundred women and children from five villages received free medical
check-ups and consultation.
With a large work force complemented by a vast network of indigenous
suppliers ,the company not only contributes to the development of the soft
drink industry ,but to the development of related industries and the economy
as a whole.
Over the past 5 years , coco-cola India has led the Indian Soft drink industry
through a series of innovative industry initiatives . These include upgradation
G
Georgia
Georgia Club
Georgia Gold
Gini *
Gira
Gold Spot
Grand Blue
Grapette
Guarana Jesus
H
H2OK
Hanul Yeon Cha
Hawai
Hi Spot *
Hi-C
Hit
Horizon
Huang
I
Ice Cold Mix
Ice Dew
Ice Mountain
Inca Kola
Itu
Izvorul Alb
J
Jaz Cola
Jet Tonic
Jinmeile
Jolly Juice
Joy
Jurassic Well
K
Kapo Axion
Kapo
Kapo Super Power
Kia Ora *
Kilimanjaro
Kin
Kin Light
Kinley
KMX
Kochakaden
Koumi Soukai
Krest
Kuat
Kuat Light
Kuli
L
Leafs
Lift
Lilt
Limca
Limonade
Linnuse
Love Body
of technical infrastructure and talent ,enhancement of quality standards ,
improvement in the distribution systems and stimulation of local entrepreneurs
in the marketplace to the benefit of the consumers.
Brands In India
COCA-COLA®
Coca-Cola is the most popular and biggest-selling soft
drink in history, as well as the best-known product in the
world. Created in Atlanta, Georgia by Dr. John S.
Pemberton, Coca-Cola was first offered as a fountain
beverage by mixing Coca-Cola syrup with carbonated
water.
Coca-Cola was registered as a trademark in 1887 and by 1895 Coca-Cola
was being sold in every state and territory in the United States. In 1899, the
company began franchised bottling operations in the United States.
Today, you can find Coca-Cola in virtually every part of the world. The Coca-
Cola Company has nearly 400 beverages in its portfolio.
FANTA®
A favorite in Europe since the 1940s, Fanta was acquired
by The Coca-Cola Company in 1960. Fanta Orange is the
core flavor, representing about 70% of sales, but other
citrus and fruit flavors have their own solid fan base.
Consumers around the world, particularly teens, fondly
associate Fanta with happiness and special times with
friends and family. This positive imagery is driven by the brand's fun, playful
personality, which goes hand in hand with the bright color (particularly
orange), bold fruit taste, and tingly carbonation.
Fanta sells best in Brazil, Germany, Spain, Japan, Italy and Argentina. Fanta
distribution was increased in the U.S. in 2001 with the return of four flavors:
orange, strawberry, pineapple and grape. Orange, the biggest seller, is now
available in most of the country.
KINLEY™
Introduced in India in August 2000, Kinley is purified
bottled water. In a country where many people are
concerned about reliable drinking water, Kinley delivers a
product that is safe and suitable for consumers and their
families.Within ten months of its launch, Kinley had
emerged as India's number two packaged water and is
currently the number three Coca-Cola product in India.
Especially popular among adults who seek a better quality of life and a
healthier lifestyle, Kinley is available in a range of packaging including 500 ml,
1 liter and 2 liter PET bottles, and 5 liter, 15 liter, 20 liter and 25 liter bulk jars
for in-home consumption
LIMCA®
Light and Lemony
This thirst-quenching beverage features a fresh, light
lemon-lime taste and fun-loving attitude. It's a home-
grown, national treasure in India, where it was
acquired by The Coca-Cola Company in 1993. The
product's invigorating taste and cloudy look haven't
changed, but the brand has been revitalized with a new marketing campaign.
Limca continues to build a loyal following among young adults who love the
lighthearted way it complements the best moments of their lives. It's also
become a hit in many Persian Gulf countries. Grab a Limca and go.
MAAZA®
"Yaari-Dosti Taaza Maaza"
With the real fruit taste kids love, plus added calcium, Maaza's tagline, "Yaari-
Dosti Taaza Maaza" means "Friendship moments with fresh Maaza" in Hindi.
Maaza was introduced in India in 1984 as a noncarbonated mango fruit drink.
It was acquired by The Coca-Cola Company in 1993 and is currently available
in three flavors, mango, pineapple and orange -- plus added calcium.
THUMS UP®
Strong Cola Taste, Exciting Personality
Thums Up is a leading carbonated soft drink and most
trusted brand in India. Originally introduced in 1977,
Thums Up was acquired by The Coca-Cola Company
in 1993.Thums Up is known for its strong, fizzy taste
and its confident, mature and uniquely masculine attitude. This brand clearly
seeks to separate the men from the boys.
Its tag line says it all: "Thums Up, I Want My Thunder."
TERMS AND TERMINOLOGY
1.) DOD- DESPATCH OUT DATE- The date at which the product must
leave the factory warehouse and reach retail outlet. If any product is
going to attain its DOD in a week’s time then it must be communicated
to the manger of the warehouse & the stock should be cleared as soon
as possible.
2.) Focus Stock- The stock whose DOD is less than 15 days away.
3.) BBD- Best Before Date- The date before which the product is fit for
consumption. BBD stock can’t be sold in market.
4.) Clearance Stock- The stock which is between the Focus & BBD
stage.
5.) Quality Distributor Audit- Company’s quality auditor pays regular
visits to the warehouses of the distributor and the retailer to check
whether all the quality parameters are met or not.
6.) RGB- Refill Glass Bottle. These bottle are made up of glass.
7.) PET- These bottle are made of plastic.
RESEARCH METHODOLOGY
For the purpose of the study surveys were conducted at the distributor and
retailer warehouses across different cities of Rajasthan. The survey sheet (a
sample copy is attached) were prepared according to the objectives of the
project and was administered accordingly. The data gathered through this
exercise became the primary data. The survey sheet was accompanied by
discussions with dealers and retailers which provided an in-depth view of the
problems and challenges faced by them on the quality issues. Detailed notes
were prepared on the basis of these discussions.
Thus questionnaires and discussions were the two main
tools/instruments used.
The methodology was used to gather information and data related to the
quality problems faced by the distributors and retailers of coca-cola so as to
minimize the lead time of the product from factory to the point of purchase.
Some of the other sources used for the report were –
Company Documents- The documents provided by the company gave an
insight of the quality initiative of coca cola as well as provided the company
profile and the organizational chart. It also helped in generating the broad
parameters of the survey and the analysis thereafter.
Discussions- To prepare the guidelines of the study and to get the general
idea of the working of the organization and its different departments various
discussions and brain storming sessions were held with different departmental
heads at the kaladera plant.
Flow Diagram
Reception of Potable Water
Demineralization & Standardization of
Water
Adjustment of pH
Addition of sugar & syrup in the concentrate
Bottling
Preparation & Clarification
of Sugar Syrup
Mixing of Concentrate
Chemical Testing
HCCBP ltd is operating a bottling plant for the manufacture of sweetened
aerated beverages in kaladera industrial estate developed by RIICO, near
Kaladera village, Chomu Tehsil of Jaipur district, Rajasthan Plant is spread
over an area of about 20 acres.
The topography of the area is fairly flat. The elevation of the site is 492meters
above the mean sea level. The nearest towns are chomu & Jaipur. There is
no major river near the site and nearest water body in Mandha, Siker located
across. 12 KM north of the site. There several small and medium scale
industries around the plant.
Products Manufactured & Capacity:
Line1 - 600 bottles per minute (BPM) Returnable glass bottle (RGB) Multi
serve line.
Line2 - 400 bottles per minute (BPM). 300 ml Returnable Glass bottles (BPM)
Line 3 - 150 bottles per minute (BPM) 2lt. &500 ml mobile.
Major raw material - treated water, concentrate, sugar& carbon dioxide.
Raw Water Treatment - To get treated water for processing operations raw
water is conti9noeslu coagulated, flocculated and classified and then passed
through and carbon and micron filters.
Waste water treatment & disposal - Waste water from the facility is treated in
an ETPC capacity 960/dayconsisting of primary, secondary and tertiary
treatment units. Secondary treatment 70% of effluent is used for horticulture
inside the plant premi9ses and remaining 30% is used in processing units
after tertiary treatment (220 m/day capacity)
Domestic effluent is treated in specific tanks and disposed through soap pits.
Infrastructure & Utilities:-
1. Land and area
The facility is spread over 81000 square meter
2. Manpower
A total of 156 personnel will be employed for all activities Including
Production, warehouse administration, security and maintenance out of that
72 are full time.
3. Water supply and treatment
Water requirement are not by 3 bore wells on the site. Raw water is
disinfected by chlorine and treated in a reverse osmosis unit of 25 meter qub/
hour capacity to give treated water used for beverage making. Another steam
of Raw water id passed through disinfection, sand filtration plant and softening
plant to get soft waster which is used for bottle washing, boiler make up and
other uses.
3. Power- connected load for the plant will be 1660 kva, which will be fulfilled
by DG sets Max demand of the plant will be 1580 KVA.
Steam - steam requirements of the facility will be met by 2 boilers of 3 TPH &
2 TPH capacities respectively. One boiler and bottle washing. The system
includes fuel tanks, water feed tank and pump, and steam distribution and
condensate return system.
Fuel- Furnace oil will be used for power generating sets. Maximum for
consumption firing peak capacity will be 2500 lts./day in two boilers.
Consumption will be 4000 lts. /day and diesel & FO have separate tank farms.
HSD is stored in one tank of 50 MT capacities. Tank farm layout for diesel is
given in.
Compressed Air – The compressed air system consists of two sir compressor
and associated equipment such as sir dregs, filters etc. There are two
compressors with 1000 gm rating.
Chilling Plant- The chilled brine system of ammonia refrigeration section and
ammonia to propylene glycol system shall use ammonia as the primary
working fluid with glycol reticulation to the process users is syrup room and
beverage chillers.
Equipment includes- compressed, ammonia receivers and condensers, glycol
chillers, 30meter square glycol tank & associated pumps.
Material storage facilitated & warehouses - Various material handled
(including product raw materials) are given caustic, carbon dioxide, HSD and
FO are stored in dedicated storage vessels worth secondary containment
dyke areas. Carbon dioxide storage tank layout.
WHAT IS TPM ?
A SYSTEM DESIGNED FOR LOCAL MARKETS TO IDENTIFY & PRIORITIZE ISSUES TO MINIMIZE TIME & TEMPERATURE EXPOSURE FROM THE MANUFACTURE, STROAGE & HANDLING OF OUR
PRODUCTS TIME & TEMPRATURE MANAGEMENT OF ALL PRODUCTS
ESPECIALLY PET PACKS AND OTHER SENSITIVE ATTRIBUTES SUCH AS FLAVOUR & COLOUR
THE 4 PRODUCT LIFE CYCLE
PRODUCTION
WAREHOUSING
DISTRIBUTION
TRADE & MERCHANDISING
4 PHASES OF TPM
EDUCATE
EXECUTE
MONITOR
TPM TPM
IN IN
FOOD & BEVERAGES INDUSTRYFOOD & BEVERAGES INDUSTRY
In managerial economics one of the classifications of goods is In managerial economics one of the classifications of goods is
Durable goodsDurable goods
Non-durable goodsNon-durable goods
Perishable goodsPerishable goods
Food products & beverages (carbonated & non-alcoholic) falls inFood products & beverages (carbonated & non-alcoholic) falls in
category of perishable goods as these are susceptible to contamination.category of perishable goods as these are susceptible to contamination.
CLASSIFICATION OF GOODS
PERISHIABLE GOODSDURABLE GOODS NON-DURABLE GOODS
FOOD PRODUCTS & BEVERAGES
MAINTAIN
According to Ross, Total Product Management is integration of allAccording to Ross, Total Product Management is integration of all
functions and processes within the organization in order to achievefunctions and processes within the organization in order to achieve
continuous improvement of quality of product, or in other words, maintainingcontinuous improvement of quality of product, or in other words, maintaining
quality at every stage (procurement, processing, storage, logistics & retailing.)quality at every stage (procurement, processing, storage, logistics & retailing.)
TPM at Hindustan Coca-Cola Beverages Ltd., JaipurTPM at Hindustan Coca-Cola Beverages Ltd., Jaipur
Product PortfolioProduct Portfolio
RGB (Reusable glass bottles)RGB (Reusable glass bottles)
Coca-Cola, Fanta, Sprite, Limca, Thums-up, Kinley soda, Maaza, SportCoca-Cola, Fanta, Sprite, Limca, Thums-up, Kinley soda, Maaza, Sport
Cola, Canada DryCola, Canada Dry
PET (0.5 lit, 1.5 lit, 2 lit)PET (0.5 lit, 1.5 lit, 2 lit)
Coca-Cola, Fanta, Sprite, Limca, Thums-UpCoca-Cola, Fanta, Sprite, Limca, Thums-Up
Can (330 ml)Can (330 ml)
Coca-Cola, Fanta, Sprite, Thums-UpCoca-Cola, Fanta, Sprite, Thums-Up
Tetra Pack (200 ml)Tetra Pack (200 ml)
MaazaMaaza
Parameters of TPMParameters of TPM
BBD (Best Before Date) – It is the date whichBBD (Best Before Date) – It is the date which
assures consumer that product is fit forassures consumer that product is fit for
consumption.consumption.
PACKAGING MATERIALPACKAGING MATERIAL BEST BEFORE DATEBEST BEFORE DATE
(BBD)(BBD)
RGBRGB 180 DAYS180 DAYS
PET (2 Lit, 1.5 Lit)PET (2 Lit, 1.5 Lit) 90 DAYS90 DAYS
PET (0.5 Lit)PET (0.5 Lit) 60 DAYS60 DAYS
CAN (except diet coke)CAN (except diet coke) 60 DAYS60 DAYS
TETRA PACKTETRA PACK 180 DAYS180 DAYS
TPM at Processing LevelTPM at Processing Level
Testing product for Testing product for
Gas volumeGas volume
AppearanceAppearance
pHpH
Packaging materialPackaging material
TPM at Warehouse LevelTPM at Warehouse Level
Following FIFO systemFollowing FIFO system
Keeping an eye on focus, clearance & dispose stockKeeping an eye on focus, clearance & dispose stock
Monitoring for BBD & DODMonitoring for BBD & DOD
TPM at Distributor & Retailer LevelTPM at Distributor & Retailer Level
Continuous monitoring for BBD & DODContinuous monitoring for BBD & DOD
Maintaining FIFO systemMaintaining FIFO system
Avoiding sunlight exposureAvoiding sunlight exposure
Technological advancement and globalization resulted entire world asTechnological advancement and globalization resulted entire world as
global village . The only way to survive in global market is to offer best qualityglobal village . The only way to survive in global market is to offer best quality
of product and services . Total quality management , just in time , economicof product and services . Total quality management , just in time , economic
order quantity , E.R.P, M.R.P And Total product management are importantorder quantity , E.R.P, M.R.P And Total product management are important
tool which can ensure best quality product tool which can ensure best quality product
aggressive marketing strategies and heavy advertising can saleaggressive marketing strategies and heavy advertising can sale
product once but its quality which is responsible for frequent purchase product once but its quality which is responsible for frequent purchase
Total product Management is need of hour and each company has toTotal product Management is need of hour and each company has to
ensure quality wise its product are bestensure quality wise its product are best
The project was divided into four categories namely Jaipur, Jodhpur, Udaipur
and Ajmer. I was assigned the Udaipur division, which included the areas of
Udaipur, Chittorgarh, Mt. Abu, Alwar, Bhilwara, Dholpur and other parts of
eastern and north eastern Rajasthan.
Territory Division of the Project
JAIPUR UDAIPUR JODHPUR AJMER
FINDINGS
With the help of questionnaires we found out the average age of PET and
RGB at the distributors and retailers warehouse at the places we toured. The
findings of the various distributors and retailers have been complied in the
charts below.
AVERAGE AGE OF COCA-COLA PRODUCTS AT THE
DISTRIBUTOR LEVEL
AVERAGE AGE OF COCA-COLA PRODUCTS AT THE RETAILER LEVEL
Competetive analysis of RGB
29
16
97
54
0
20
40
60
80
100
120
2003 2004 Quarter'03 Quarter'04
Days
Competitive analysis of PET
3027
8285
0
10
20
30
40
50
60
70
80
90
2003 2004 Quarter'03 Quarter'04
Days
Competetive analysis of Kinley water
45
112107
104
0
20
40
60
80
100
120
2003 2004 Quarter'03 Quarter'04
Day
s
Competetive analysis of CAN
79
70
75 75
64
66
68
70
72
74
76
78
80
2003 2004 Quarter'03 Quarter'04
Day
s
Sale per day in May'04 in different Areas
0
100
200
300
400
500
600
Tonk Road Raja Park Malviya Nagar Station Road Sodala C-scheme
AREAS
PROD
UCTS
Thumsup Coca-cola Limca Sprite Maaza
TOTAL PRODUCT MANAGEMENT AT DIFFERENT LEVEL
Production:-
Management should be efficient enough in order to minimize the
wastage and to increase and optimize the productivity.
Proper training should be given to the worker.
Proper material holding from the raw material to the finished goods.
Production is done in such a way that the product is made should have
proper label, date of manufacturing and it should be hygiene and the
packaging should be proper.
Warehouse:-
In warehouse the goods are kept properly. It should be kept clean in
shade not in open and direct sunlight should not fall on stock specially on
Limca and Fanta because it change the colour and taste. Proper board should
be made for every lot of stock.
The board contains the following:-
1) Lot number
2) Date of manufacturing
3) Date of Dispatch (DOD)
4) Best before date (BBD)
5) Quantity of goods
Distribution:-
Note arrival time of truck and departure time from plant
Check conformity of brand/pack against indent
Note date code & segregate date wise and tag
Select cool – ventilated area of low temperature
Move older lot for first out dispatch
Improve storage condition – godown/layout
Check stock against target& trend
Decide order – dispatch schedule by brand/pack
Ensure fifo practice by agent
Create awarness of TPM specifically PET- maaza- sprite
Rationalise route and brand time table (small vehicle)
Do not kill or over order stocks
Personality supervise date code – check – all products
BBD lapse is a direct revenue hit
Report high risk stock – take suitable action
Demonstrate – educate – enforce FIFO at pos along with the daily
route activity
Be polite but firm about agent’s and retailer’s negligence . Don’t let
replacement be taken for granted
ROLL OUT PLAN
Make deadlines
Dispatch schedule of distributors – firm numbers
Direct route sale plan
Calculate stock level against plan
Work reorder plan for brand pack or action of cxcess stock well in
advance
FOR EXAMPLE:-
BOARD FOR RGB MONTH MARCH ‘05
PATICULERS THUMPS UP COCA-COLA LIMCA SPRITE FANTA
LOT NO. 1ST 1ST 3RD 1ST 4TH 2ND
DATE OF MFG. 02/03/05 04/03/05 03/03/05 02/03/05 04/03/05
DATE OF DISPATCH 02/06/05 04/06/05 03/06/05 02/06/05 04/06/05
BEST BEFORE DATE 02/09/05 04/09/05 03/09/05 02/09/05 04/09/05
QUANTITY OF GOODS 500 250 150 120 80
FIFO method should be follow while placing the stock so it is easy for shipping
department at the time of dispatch, so the old stock is not remain in
warehouse and become BBD stock. FIFO method is strictly followed in
shipping department. The stock is reach to the distributor point with in
dispatch out date (DOD) is half of best before date (BBD). DOD is very
important. It is the maximum time allowed for reaching the goods from
production to distributor.
Proper receiving of goods from company and maintain the record of each
stock.
The following step is maintained:-
1) Record for stock received.
2) Stock is placed in such a way that FIFO method is follow.
3) Ageing analysis board should be maintained regularly.
4) Proper ventilation and lighting should be there.
5) Place should be free from insects and pests.
6) Dry and proper temperature should be maintained.
7) Proper management of product delivery to retailer.
We do the retailer’s survey in which we see the manufacturing date of
each brand present at retailer’s shop. From this we conclude that this
product is BBD or not, if it is BBD then, it means that the sale of this flavor
is not very good and this flavor is not liked by the consumer. If the product
is fresh not BBD then the sale of product is good because in this business
the flavor is most important element. In this survey we inform the
distributor to replace the BBD product. This process helps management to
decide which flavor is more popular & which is less popular.
We also conclude that Thumsup and Limca (RGB) flavor are more wanted
or sale at juice center. 2L PET is more at provision store and department
store. In rural area RGB’s Selling is more because it cost Rs. 35 and give
2L in comparision to 300 ml and 500 ml and the quantity is also sufficient
for family members. In this summer sale of 2L PET of Thumsup and Limca
is more because in comparison of 300 ml and 500 ml, 2L cost less.
RECCOMENDATIONS
After the completion of two months on the project the above findings were
presented to the officials of Coca-Cola along with various recommendations
based on the findings of the project. The recommendations were based on a
case to case basis of various distributors and retailers and follow up action
was also taken on various occasions.
As it has been depicted in the graph above the average age of the products
had declined in an average in 2003 as compared to 2002 which is necessary
for the TQM Phase III Certification for which the Kaladera plant was striving.
The above report generated by us was presented to the higher authorities of coke to
lay claims for the certification, the decision on which was pending while we finished
the project.