MIS Presentation

P R E S E N T E D T O – D r. R i c h a A r o r a

P R E S E N T E D B Y – AY U S H M I T TA L | R A G H A V K U M A R
Introduction
Background

• The Coca Cola Company is one of the world’s largest and leading manufacturers,
marketers, and retailers of syrups and nonalcoholic drinks and beverages.
• It was established in Atlanta in 1886.
• Currently, the company is listed on the New York Stock Exchange. It is part of the S&P
500 index, DJIA, and the Russell 1000 Index.
• Coca Cola’s average annual revenue is more than $47 billion.
• In 2012, the company achieved a net profit before tax of $11.809 billion before
dropping slightly to $11.477 billion in 2013.
Products & Services
• The Coca-Cola Company mainly deals with beverage and syrup
products of different brands such as Coke, Fanta, Sprite, Zero, and
Diet Coke.

Major Competitors
• Among the major competitors, Pepsi is Coca Cola’s main rival in the world beverage and
soft drink industry.
• In addition, Dr Pepper Sneapple Group Nestle, Kraft Foods, Cadbury Schweppes, and
Groupe Danone are also important competitors in the world market.
Markets

• The Coca-Cola Company sells its products in more than 200 nations spread all over the world.
• The expansion and entry into new markets are mainly through the franchise, where local and
regional bottling companies are given licenses to receive Coca-Cola products in syrup form and
add water and other ingredients before bottling them for distribution.
• These companies have the right to identify their own distributors and outlets or sell the
products to independent distributors and retailers within the areas they cover.
• Currently, the company has more than 1.9 billion trademarks owned through licensing and
wholly owned.
• It targets all the segments of a given market based on the product on sale.
 Coca Cola’s Organization and
Management of Information Systems
Type of Information Systems Used to Conduct &
Organize Business
• Coca Cola uses information and information flow as an important aspect of its
business management.
• The company has made huge investments in IT in order to fulfill its mission and
achieve the vision.
• Software systems are the most important types of information systems that Coca
Colas have been used to make fast and effective decisions, improve the quality of
its products, and reduce the cost of operation.
• In its headquarters, Coca Cola has a SAP application that includes budgeting,
accounting, procurement, planning, and employee service.
Major Business Processes

• The company manages the large number of manufacturing plants using the Projects
System.
• This is a variant of IS used to implement and drive several corporate function at the
management level such as planning of production, management of materials,
managing inventories and monitoring the sales and distribution systems.
• Currently, the IBM’s server RS600 is applied at Coca Cola where it serves more than
1,000 users at the same time.
How The Company Can Use IS To
Transform / Enhance Its Business

• Coca Cola has a competitive advantage over its rivals because it has
access to some special resources that the rivals lack, including its
ability to use common formulae and product line to meet the needs
of a global market.
Ethical/Social Issue In Using IS In
Corporate Business Management

• Privacy is the most important ethical issues facing IT

professionals and organizational leaders in corporations.
• For example, reading private e-mails of the network users,
especially employees, is a contentious issue. Corporate
managers can read the e-mails to ensure that the corporate
rules are not violated.
• The potential dilemma is whether it is ethically right to
disclose such information or use it against the employees
involved.
Company IT Environment
One of the major problems associated with information technology is the threat of attacks, considering that the
information system is an application of the internet technology that is highly prone to cyber threats.

By upgrading the systems from time to time, a company can keep its information asset secure from the possible
attacks, which secures that the competitive advantage attained through the system is secure, effective and
reliable.
Nevertheless, the frequent upgrading the company’s IS exposes the infrastructure and data to errors and system
failures.

This may interfere with the business system, making the customers and other external parties look for
alternative services or products from other companies.
Suggested Strategies For Improving a
Firm’s Management of Business Using IS

• Expertise is an important aspect of any information system because

knowledgeable, efficient and innovative individuals are likely to ensure that
the IS remains active, effective and reliable.
• Secondly, they are likely to solve problems associated with upgrading,
external attacks and other technical issues that may affect the system.
How The Internet Has Affected The Business
of The Company

• Coca Cola’s method of managing business has improved because the large organization is
managed from a common location in Atlanta, which removes the need for managers to
travel to other regions and countries in order to oversee the operation processes.
• Therefore, the internet technology has created an opportunity for improving the business
environment by making it possible to open several branches in various parts of the world.
Coca Cola’s Ability To Secure And Protect
Customer Information And Privacy

• The company uses the latest IT and a dedicated, knowledgeable

and innovative IT experts, which makes it to achieve this
objective.
 • Coca cola’s business chain is not highly diversified because it
works with many partners, especially bottlers and distributors
located in various parts of the world.

Application • However, an effective IT system has allowed the company to

centralize its managerial work.

of IS To • The centralized business chain is based on a strategy that allows

the company to operate outlets under common processes,
practices and capabilities regardless of the location of each outlet.
Manage The • The company states that it stores and delivers the products to
more than 10 million retail outlets located in various parts of the

Company’s world.
• The supply chain ensures that customers get the products in their

Business locations, which makes the company appear as a local supplier to

the customers.
• Bottling is done locally, which ensures an effective response to the
needs of the customers, even though the company is a global
corporation.
 • Therefore, Coca Cola has a customer-driven supply chain with the
same formulae and strategy because the concentrates are derived
from a few places around the world, but the products are sold in
almost all parts of the world.
Application • Coca Cola’s modern business system is inclined towards the e-
commerce business system. For example, it uses the internet-based

of IS To communication to engage its customers.

• It has an effective website that allows people to register and raise

Manage The issues or offer some suggestions based on their perceptions of the
company’s products and services.
• The company uses the platform to outsource information from the
Company’s market and the industry in general.
• In e-commerce, the information is useful in critical decision-making

Business procedures and improvement of the company’s competitive

advantage.
• In this case, the Coca Cola Company engages its customers, suppliers
and other parties in an effective communication using the internet
technologies, which are supported by the IBM servers.
Coca-Cola FEMSA
 • This analysis reveals that the Coca Cola Company is a good example of large multinational
corporations that have used IT to enhance their business, achieve a competitive advantage
and centralize their diverse managerial work.

• The Coca Cola is one of the largest corporations in the modern world.

• This means that it must strive to meet the diverse needs if the customers in different regions
using the same formulae and product line.

• In addition, it means that the company must employ strong strategies for developing
effective market and supply chains in order to ensure that customers obtain products from
their local retail centers.

Conclusion • Moreover, the large organization needs an effective way of dealing with employees,
customers, products, suppliers and retailers.

• Evidently, information and information flow are some of the most critical needs of the
company’s management.

• The management must use and maintain an effective communication method because they
have to manage more than 10 million supply centers and work with thousands of partners
such as bottlers and employees located in various parts of the world.

• Therefore, an effective information system is required to carry out these functions. It must
provide an effective way of operating a large organization from a centralized location, where
the managers need to have some updated information about the operations of all the
outlets, bottling centers and employees of the company.