Coca-Cola Europe looks to transform supply chain as part of sustainability drive
Coca-Cola Europe has signalled its intent to make significant changes to its supply chain operations, as part of the organisation’s new ‘Sustainability Action Plan’.
Dubbed ‘This is Forward’, the company and its European partners have pledged to address some of the biggest issues in society by using their business and brands as a force for good, and with impact to meet complex global challenges.
There will be focus on three priority actions:
Action on Drinks, where the company will drive down sugar and calorie content in its products.
Action on Packaging, to ensure that none of its packaging ends up as litter or in the oceans, and packaging is made with 100% recyclable or reusable materials.
Action on Society: The Coca-Cola Company in Western Europe and Coca-Cola European Partners will increase the number of local community partnerships they run and support.
These priority actions will be underpinned by three supporting actions that are core to the plan; on climate, water and supply chain:
- To cut greenhouse gas emissions from their core business by 50%
- To replenish 100% of the water they use in areas of water stress
- To make sure 100% of their main agricultural ingredients and raw materials come from sustainable sources by 2020
Tim Brett, President of The Coca-Cola Company in Western Europe, said: “Sustainability has always been at the heart of our business, and we have made some tremendous progress. But we agree we can do more.
“Over 300mn people enjoy our drinks in Western Europe today and, working together with Coca-Cola European Partners, we have the power to act and create a positive difference, set new standards and lead the way; whether it is offering consumers a greater choice of drinks with reduced or no sugar, or keeping our packaging out of the oceans.
“This is Forward defines our attitude to doing better. We are not going to settle for the way things were done. There is no going back now.”
Pandora and IBM digitise jewellery supply chain
Pandora has overhauled its global supply chain in partnership with IBM amid an ecommerce sales boom for its hand-finished jewellery.
The company found international success offering customisable charm bracelets and other personalised jewellery though its chain of bricks and mortar retail destinations. But in 2020, as the COVID-19 outbreak forced physical stores to close, Pandora strengthened its omnichannel operations and doubled online sales.
A focus on customer experience included deploying IBM’s Sterling Order Management, increasing supply chain resiliency and safeguarding against disruption across the global value chain.
Pandora leverages IBM Sterling Order Management as the backbone it its omnichannel fulfilment, with Salesforce Commerce Cloud powering its ecommerce. Greater automation across its channels has boosted the jeweller’s sustainability credentials, IBM said, streamlining processes for more efficient delivery. It has also given in-store staff and virtual customer service representatives superior end-to-end visibility to better meet consumer needs.
Jim Cruickshank, VP of Digital Development & Retail Technology, Pandora, said the digital transformation journey has brought “digital and store technology closer together and closer to the customer”, highlighting how important the customer journey remains, even during unprecedented disruption.
"Our mission is about creating a personal experience and we've instituted massive platform changes with IBM Sterling and Salesforce to enable new digital-first capabilities that are much more individualised, localised and connected across channels and markets,” he added.
Pandora’s pivot to digital
The pandemic forced the doors closed at most of Pandora’s 2,700 retail locations. To remain competitive, it pivoted to online retail. Virtual queuing for stores and virtual product trials via augmented reality (AR) technology went someway to emulating the in-store experience and retail theatre that is the brand’s hallmark. Meanwhile digital investments in supply chain efficiency was central to delivering on consumer demand.
“Consumer behaviour has significantly shifted and will continue to evolve with businesses needing to quickly adapt to new preferences and needs,” said Kareem Yusuf, General Manager, AI Applications and Blockchain, IBM. “To address this shift, leading retailers like Pandora rely on innovation to increase their business agility by enabling and scaling sustainable supply chain operations using AI and cloud.”
Yusuf said Pandora’s success was indicative of how to remain competitive by “finding new ways to create differentiated customer experiences that protect their enterprises from disruptions to help mitigate risk and accelerate growth”.