coca cola - working internationally

8/12/2019 COCA COLA - WORKING INTERNATIONALLY

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COCA COLA WORKING

INTERNATIONALLY


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Introduction

Globalization poses many challenges in HRpractices (McEnergy & DesHamais, 2003)

HR practices varies from region to region

Multinationals adapts practices that suitsregions they operate (Zyman, 2009)

Coca Cola adopts regional HR practices


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Coca Cola Company

Coca Cola is a leading beverage retailer,manufacturer, and marketer of differentnon-alcoholic beverage and syrups

(Andrew, 2006)Best known for a leading brand in theworld Coca Cola

The company has more than 500 brands

It operates in more than 200 countriesand serve 1.6 billion servings a day


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Cont..

Coca Cola syrup was invented in1886

The formula was sold to Atlantaentrepreneur Asa Griggs in 1891 andthe name Coca Cola was patented in1893

By 1895, Coca Coal drink was soldin every state and territory in U.S

By 1906, the company expanded to

Cuba and Panama


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Cont

The performance of the company hasbeen impressive over the years

In 2005, the company sells beverage in

more than 200 countries (Andrew, 2006)Of more than 50 billion beverage servingsevery day, the company account for 1.6billion drinks everyday (The Coca Coal

company )The international market plays a majorrole in company performance


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Cont..

The following chart shows the companyrevenue by regions (The Coca Coalcompany ) :

Coca Cola Perfomance by Regions

43%

37%

20%

United States

Mexico, India,

Brazil, Japan &

china

Rest of the World


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International HR Practices

Coca Cola adopts different HR practicesas per regions they operate

The company does not have a

standardized international HR practicesCoca Cola HR policies are formed incompliance with local labor laws andculture

Cultural diversity is key ingredient of itsinternational operations (Mendenhall &Oddou, 2008)


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Job analysis and designing

The company has globally standardizedjob structure (Anfuso, 2004)

Job analysis and designing follows the

same international structureCoca cola company checks job descriptionand analysis

The generated information is used inrecruiting, compensation, appraisal,training and employee relationships


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Planning and forecasting

Planning and forecasting involves decidingwhat positions the firm will have to fill andhow to go about it (Palthe, 2009)

Coca Cola HR company is involved instrategic planning

HR department forecast future employeedemand

Forecast report is sent to regional headoffice for approval to start recruitment


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Recruitment Process

Regional franchise have their ownrecruitment process once given go aheadto hire more employees

The recruitment process is wellestablished

Job advertisements are placed in newspapers, website, institutions and others

The company carries both internationaland external recruitment


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Attention to culture

Coca Cola pays close attention to localculture

Special training given to employees on

local and international cultureNew employees put under supervision ofold employees (Briscoe et al., 2009)

Working environment represent blend ofdifferent cultures (Werther & Chandler2006)


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Employee motivation

Motivated employees are importantassets for a company (Ulrich, 2007)

According to theories of motivation,monetary and non monetary factorsremain key in motivating employees

Coca Cola focuses on both monetaryand non monetary factors


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Wages

Research shows that monetary factorsleads in motivating employees

Coca Cola provides smart wages to

employees (The Coca Cola Company,2011a)

Wages are competitive and satisfyemployees

Most employees by the company areoffered competitive wages alongsidecommissions


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Staffing and Training

The company has a clear staffing andtraining policy that is followed throughoutits franchise (The Coca Cola Company,(2011b)

Coca Cola believes that education ispowerful force in employee motivation(The Coca Cola Company, 2011a)The company has helps people make their

drams trueIt has innovative programs studentbooks, place of study, scholarships (HRLeader, 2011)


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Annual Leaves

The company has different leavesstructure that conform to local andinternational labor laws.

The leave structure depends on position ofemployees as follows:

Designation Allowed Leaves

Supervisor 26 leaves paAbove supervisor 26 leaves pa

Below supervisor 24 leaves pa


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Working Hours

Time management is taken serious in thecompany

Their work is divided in shift to enable the

company meet high demand (GlobalHuman Resources Management at CocaCola)

Shifts are adapted to the local labor laws

There are typical two shifts:8 am to 4 pm

4 pm to 12 am


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Performance appraisal

Appraisal of employees involves anassessment of employee performance

Coca cola performs performance

appraisal annuallyThe company performance appraisal isinternationally acclaimed and has threeprocess

a. Define jobb. Appraise the performance

c. Provide feedback


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Employee Relations

Coca Cola considers employees asthe greatest asset for the company

Employee satisfaction translate to

success for the companyInternationally, the company adoptsan open door policy to nurture good

relationshipEmployees feel free to share withmanagement about their problems


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Conclusion

Working internationally is challengingfor any company (Ashamalla, 2008)

Coca Cola company is among the

most successful multinationalsThe success of the company can beattributed to good HR practices

The company follows internationalHR practices that are adopted to thelocal conditions


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ReferencesAndrew, Y (2006).An Easy Burden. HarperCollinsAnfuso, D. (2004). Coca Colas staffing philosophy supports its global strategy. Personnel Journal116-121Ashamalla, M. (2008). International human resource management practices: The challenges ofexpatriation. CR8, (2), 54Briscoe, D., Schuler, R. & Claus, L. (2008). International human resource management. Routledge:LondonGlobal Human Resources Management at Coca Cola. Retrieved May 25, 2011, fromhttp://www.work-a-holic.narod.ru/hr3.html

HR Leader, (2011). Talent management at Coca Cola: the fizz from within. RetrievedMay 25,2011, from http://www.humanresourcesmagazine.com.au/articles/ed/0c053eed.asp itim international, (2011). Geert Hofstede cultural dimensions. Retrieved May 25, 2011, fromhttp://www.geert-hofstede.com/McEnergy, J. & DesHamais, G. (2003). Culture shock. Training and Development, 43-46Mendenhall, M. & Oddou, G. (2008). Dimensions of expatriate acculturation. Human ResourcesManagement, 331-345Palthe, J. (2009). Managing human rights and human resources: the dual responsibility of globalcorporations. Western Michigan UniversityThe Coca Cola Company, (2011a). Workplace/workplace rights policy. Retrieved May 25, 2011,

from http://www.thecoca-colacompany.com/citizenship/workplace_rights_policy.html The Coca Cola Company, (2011b). Diversity education & training. Retrieved May 25, 2011, fromhttp://www.thecoca-colacompany.com/citizenship/education_training.html The Cocal Coal company http://www.thecoca-colacompany.com/ourcompany/index.html Ulrich, D. (2007). Human resource champions.Harvard Business School PressWerther, W. & Chandler, D. (2006). Strategic corporate social responsibility. Sage PublicationsZyman, S. (2009). The End of Marketing as We Know It. New York: Harper Business.
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coca cola - working internationally

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