Introduction
As an internationally recognized manufacturer, retailer and marketer, Coca Cola is the undisputed market leader in the global non-alcoholic beverages market. Its current operations capabilities allow it to produce, market and retail over 500 different brands in almost every country in the world (The Coca-Cola Company, 2016). This corporation runs a unique franchised distribution system such that the parent company produces the iconic syrup concentrate and sells it off to numerous licensed bottlers all over the globe. Each of these licensed bottlers operates in an exclusive zone. The parent company has its headquarters in Atlanta, Georgia and originated from this geographical location (The Coca Cola Company, 2016). The behemoth of an organization has for more than a Century maintained its position as the international industry and markets leader for non-alcoholics beverages. This paper presents a case study which seeks to analyze the Coca Cola Company’s values, vision, mission statement, goals and objectives.
Vision, Mission, Goals and Objectives
One of the most widely misconstrued organizational concepts is strategy. In as much as it is an issue of critical importance to both external and internal stakeholders in a firm’s organizational structure; understanding fully what this entails and how it tends to impacts on organizational performance is significant for sustainable profitability (Aula & Heinonen, 2016). The performance of businesses concerned with global markets is hinged on sophistication, thoroughness, formality and participation of all processes that appertain to strategic planning (Robinson, 2012). Strategy fundamentally relates to a firm’s long-term development. For multinational corporations in the non-alcoholic beverages industry like Red Bull, Pepsi and Coca Cola, the most compelling method of communicating an organization’s strategic inclination is via a mission statement (Collier, 2014).
What does a Mission Statement Entail?
A mission statement can be aptly defined as a phrase or statement that articulates a firm’s fundamental operational purpose. By extension, a mission statement also expresses the firm’s operational scope (Aula & Heinonen, 2016). In most instances, a mission statement consists information on services, products, consumers, markets, strategic features and location. As such, a mission statement is strategically employed serves to aptly communicate an entity’s ideals and furthermore, offers instrumental insights to the internal as well as external stakeholders (Robinson, 2012). The external stakeholders are basically consumers while internal stakeholders are but no limited to the entity’s staff.
The Purpose of a Mission Statement
A mission statement is therefore regarded to as the guiding flame of an organization (Ubah, 2015). A mission statement is also considered as a conglomerate of three significant organizational elements. These elements includes a business entity’s mission, its vision as well as the core values (Robinson, 2012). Vision relates to the future outcome or perception as to what a firm seeks to achieve through its operational processes. On the other hand, a mission projects an overall phrase giving a description as to how such an entity seeks to attain its stated vision (Robinson, 2012). Contrariwise, core values states assertions as to a firm’s general behavior throughout the vision realization process. It is only after a firm has established a mission statement can it subsequently follow other strategic processes like objectives, goal setting, and action plans or strategies (Robinson, 2012). Goals are in essence purposeful phrases indicating mileposts an entity needs to attain to grasping a set vision (Aula & Heinonen, 2016). On the other hand, an objective is time sensitive organizational statement that is also very specific as to the attainment of predetermined goals. Action plans or strategies are basically specific implementation guidelines showing how a firm can meet set goals and also, its set objectives (Robinson, 2012).
Facets of a Powerful Mission Statement
An effective and powerful mission statement bears the following notions in mind. A mission statement should be clear, concise and simple (Robinson, 2012). Keeping an organization’s mission statement simple is in essence an arduous task. This is because it has to highlight the basic essence of what the firm seeks to attain and how such are to be realized (Aula & Heinonen, 2016). It should also formulated to be both succinct and short as well as conveniently structured to allow for a seamless modification and updating, should the need arise. Mission statements are regularly modified and updated, to readjust vision with prevailing internal and external transformations in a firms operating environments (Robinson, 2012).
The Coca Cola Company’s Mission and Vision
The US based multinational entity is presently facing numerous challenges in its franchises the world over. To begin with, competitors such as its main rival in the non-alcoholics beverage industry, Pepsi which is currently employing novel marketing strategies that are subsequently eating into Coca Cola’s market share (Collier, 2014). Secondly, some of its divisions in other countries such as in India have in the past tarnished the organization’s image by practicing unethical business practices. The third challenge concerns its falling global sales figures which have been falling in the wake of consumer seeking to indulge in living fuller and healthier lives (Collier, 2014). As such, a growing number of individuals are shunning Coca Cola beverages as junk foods and seeking healthier alternatives. Another challenge that this company is facing concerns its endeavors to remain relevant in a rapidly evolving external environment (Ubah, 2015). As such, over the past five years it has embarked on a strategy which looks to expand its beverages portfolio.
The Coca Cola Company’s is therefore seeking to ensure its business operations remain sustainable and more so, profitable in the next decade and beyond. As it looks forward, it seeks to continue understanding the prevailing and projected forces and trends that will impact on its business in the near and distant future (Collier, 2014). This is in an effort to position itself to prepare for the not so predictable operating environment.
Mission According to the Coca Cola Company’s website, “Our Roadmap starts with our mission, which is enduring. It declares our purpose as a company and served as a standard against which we weigh our actions and decisions (The Coca-Cola Company, 2016).
The company’s use of the term ‘roadmap’ serves to indicate that its mission statement is intrinsically optimistic and positive as it seeks to confidently look to the future (The Coca-Cola Company, 2016). As such, the company seeks to point out that its mission statement is its benchmark as to how it creates its core values and positively impact disadvantaged communities to be able to afford essential necessities. In turn, such communities along with the more progressive communities to ensure it sustainably generates profits (Collier, 2014).
Vision
The Coca Cola Company’s online portal also provides the organization’s vision. “Our vision serves as the framework for our Roadmap and guides every aspect of our business by describing what we need to accomplish in order to continue achieving sustainable quality growth (The Coca-Cola Company, 2016).
a. People: Be a great place to work where people are inspired to be the best they can be.
b. Portfolio: Bring to the world a portfolio of quality beverage brands that anticipate and satisfy people desires and needs.
c. Partners: Nurture a winning network of consumers and suppliers, together we create mutual, enduring value.
d. Planet: Be a responsible citizen that makes a difference by helping build and support sustainable communities.
e. Profit: Maximize long term return to shareowners while being mindful of our overall responsibilities.
f. Productivity: Be a highly effective, lean and fast moving organization.” (The Coca-Cola Company, 2016).
Objectives
The Coca Cola Company’s primary objectives include being internationally recognized as an organization that conducts its business operations in a responsible as well as ethical manner (The Coca-Cola Company, 2016). This is done towards ensuring accelerated and by extension, sustainable growth and development as it progresses to the future. These objectives are in essence employed to form the basis for the organization’s decision making protocols (Svendsen, 2013).
Objectives enable the company to strategically drift towards attaining a predetermined goal. Through objectives, Coca Cola is in a strategic position to formulate plans that can be viable in the short and medium term (Svendsen, 2013).
Values
Coca Cola also has a set of organizational values which dictate its operational actions and further describe its organizational behavior relative to the rest of the world. The values are leadership, collaboration, accountability, integrity, quality, diversity and passion (The Coca-Cola Company, 2016). Its core values also define the ways with which the company perceives the global market. These include focusing on emerging as well as existing consumer needs, its customers’ needs as well as those of it numerous franchise partners. The also define how the company observes, listens and ultimately learns from its market so as to grasp on national and global perceptions (Svendsen, 2013); (Ubah, 2015). With regard to it internal stakeholders, it seeks to consistently remain responsive to prevailing changes, and work efficiently.
Recommendations
The international company’s mission can be described as being ultimately irrelevant. From an analysis of its mission statement and subsequent evaluations, one can point out that it fails to place emphasis on customers, its products and services, technology, integrity and teamwork. As much as the company has been exceptionally successful over the past Century, its mission, vision, values, goals and objectives do not paint a clear strategic orientation as to where it seeks to be in future. That may be the main reason as to why it has been consistently facing significant challenges presently as well as in the past. The company’s reason for being for instance, is found in the vision statement. The components of its vision statement should be represented in its mission statement and as such, it seems as if this huge multinational corporation confused its mission and vision statements. On a similar note, it seven core values are indeed admirable but unfortunately none of the sentiments expressed in its value statement are reflected in the company’s mission statement. To ensure that the Coca Cola Company strongly and appropriately communicates its reason for existence to external and internal stakeholders, its value statement should replace its mission statement as well as incorporate some of its values therein.
Conclusion
As this case study has established, Coca Cola is still the leading non-alcoholic drinks manufacturer, marketer and retailer. For a long time, it has operated on a mission that seems ill fashioned to propel the company into the future. As a roadmap it offers little. Given that strategic goals are formulated and implemented towards achieving long-term goals, the mission, value and vision for the company should be realigned towards its future prosperity. Creating a stronger mission statement that reflects the company’s values and vision can enable its three tier flat hierarchy management structure to have a basis with which to further formulate and implement subsequent strategic goals and objectives.
References
Aula, P. & Heinonen, J. (2016). The Power of Corporate Purpose. In The Reputable Firm (pp. 83-98). New York City, NY: Springer International Publishing.
Collier, K. A. (2014). A Case Study on Corporate Peace: The Coca-Cola Company: Coke Studio Pakistan. Business, Peace and Sustainable Development, 2014(2), 75-94.
Robinson, H. (2012). An overview of change management: the identification of the critical success factors that will ensure the survival and progression of an organization (Doctoral dissertation).
Svendsen, S. E. (2013). Refresh. Create. Inspire: A Rhetorical Analysis of the Mission, Vision and Values Behind The Coca-Cola Company and the Digital Marketing Strategies of the (Doctoral dissertation, Liberty University).
The Coca-Cola Company, (2016). Mission, Vision & Values. Retrieved from: http://www.coca-colacompany.com/our-company/mission-vision-values.
Ubah, M. (2015). The Difference: What Successful People Know and Do That Ordinary People Do Not. Bloomington, IN: Author House.
