Coca Cola Enterprises (CCE) embarked on a massive makeover of their information system in 2004 converting over to the SAP software. (http://www.beveragedaily.com/Formulation/CCE-SAP-join-forces-to-improve-supply-chain) This included a major overhaul of their legacy system and working with SAP to develop an app specifically for them. When this venture began in 1999 we must remember that the Spilt of Coca Cola Enterprises becoming an operation solely based in Europe had not occurred. Thus the implementation for SAP was not only in North America, but Europe also. Throughout the paper we will discuss how this conversion went and what exactly went and what effects it had for Coca Cola Enterprises.
Coca Cola Enterprises is a bottling company for Coca Cola products. They purchase the syrup from Coca Cola and bottle the drinks before delivering them to places all over America. COCA COLA ENTERPRISES began in 1986 and ventured out into Europe in 1993 by purchasing bottling rights for the Netherlands. They continued to expand into more or Europe through 1996-1997. The most recent even in COCA COLA ENTERPRISES history is that in summer 2010 Coca Cola purchased COCA COLA ENTERPRISESs bottling rights for North America. (CCE website) Coca cola is the world’s largest non alcoholic drink bottler. (http://www.crm2day.com/content/t6_librarynews_1.php?news_id=109461)
Split and Merger
In spring 2010 Coca Cola announced that they were going to purchase Coca Cola Enterprises North American bottling rights. This split and merger for COCA COLA ENTERPRISES means a lot of things for their bottling production as all their data for North America will be transferred to Coca Cola and they will have to not only learn the legacy system, but also the new SAP system. Coca Cola Enterprises is maintaining their rights to bottle coke products in Europe still and their headquarters in Atlanta, GA. (http://www.bevnet.com/news/2010/2-25-2010-Coke_CCE_strengthen_partnership) The main reason Coca Cola purchased Coca Cola Enterprises was to increase their flexibility and cut costs in their distribution system. Some believe this was Coca Cola’s response to Pepsi Cola buying their North American bottler. This deal also means that Coca Cola Enterprises is buying Coca Cola’s bottling rights in Norway and Sweden. Coca Cola is also giving up their stake in Coca Cola’s Enterprise in Europe. (http://www.reuters.com/article/idUSTRE61O03Y20100225) While the merger is the first change Coca Cola has had since 1986. The split will really be one of the biggest changes Coca Cola Enterprises has gone through. (http://www.bevnet.com/news/2010/2-25-2010-Coke_CCE_strengthen_partnership)
Changing the legacy system
Before COCA COLA ENTERPRISES started to implement the changes their legacy system was a mumbo jumbo of ERP and supply chain management systems including SAP’s R/3 production planning. None of these items allowed CCE to connect with their store delivery to the backbone of the system. (http://www.computerworld.com/s/article/90370/Coke_SAP_Co_develop_Bottling_App) The inability for the different parts of the logistics system to communicate as a whole hindered their ability to have a more efficient logistic system. This will be one of the biggest structure changes COCA COLA ENTERPRISES has went through since 1986. (http://www.bevnet.com/news/2010/2-25-2010-Coke_CCE_strengthen_partnership) While Coca Cola Enterprises knew they wanted to partner with someone who had plenty of experience and financial security. Of course Coca Cola Enterprises went through many different vendor options until settling on SAP. SAP will be able to broaden their distribution solution with this partnership. A partnership between two different (http://www.sap.com/press.epx?pressID=2666) In 2004 Coca Cola Enterprises began their five year $200 million IT imitative called Project Pinnacle....