Coca-Cola Bottlers refer to a network which territorially exclusive contracts with the company and are responsible for producing the finished products.
Recently, Coca-Cola Bottlers welcomes SAP’s blockchain platform in hopes that it can help streamline the relationships across its 70 franchised bottling companies. The project was implemented by the tech partner, Coke One North America, across 12 of these franchisees. The result? CONA bottlers claimed to have increased transparency and efficiency across its complex product line.
CONA is responsible for the digital platform used to manage the cola company’s supply chain. Meanwhile, a separate entity Coca-Cola takes charge of budgeting, marketing, and recipe ownership. When you put this in with multiple private bottlers located across the U.S. which are often involved in trades with each other, you’ll end up with a complex supply chain.
SAP’s blockchain technology store inventory information in a single platform. This leads to clear stock records, quick and reliable order fulfillment and reduced reconciliation time. CONA said that it homes to reduce the standard 50 days to less than a week.
The trials began with two bottling franchises, C.C. Clark and Coca-Cola United. When the trials rendered successful results, it was later scaled to all 70 franchises. Although the company has a supply chain operation worth $1 billion in yearly revenue, even a small increase in efficiency is valuable.
Torsten Zube, SAP Innovation Center Network’s head, said:
“What we achieved here with blockchain is creating a document flow across the supply chain.”
With regards to invoice or order disagreements, Zube explained:
“There’s usually not that dispute anymore because the information that has been shared, it’s clear and transparent everywhere.”