Question

Identify the key stakeholder groups and their specific expectations of the organisation with reference to corporate social responsibility (CSR) and describe how CCA strives to improve their social impact?

х Coca Cola Amatil.pdf Coca Cola Amatil (CCA) Bottled Water 1 of 4 When we hear the name Coca-Cola we might not instantly think of water. However Coca-Cola Amatil's brand, Mount Franklin, is the number one brand of bottled water in Australia. In a market crowded with hundreds of competitors, Mount Franklin and the Pump range of products account for more than one-quarter of all bottled water sales in Australia. Coca-Cola Amatil (CCA) is the local Coca-Cola licensee, manufacturer and bottler operating in Australia, New Zealand, Fiji, Indonesia and Papua New Guinea. Coca-Cola is continually striving for growth in this Pacific region. A core objective of the company is to become the supplier of choice for carbonated and non-carbonated beverages. The company has also set a goal to expand in the health and wellbeing segment, or market category. The non-alcoholic drink market consists of different product categories, the main ones being carbonated beverages (both sugared and sugar- free), water, sports drinks, energy drinks, juices and fruit drinks. Over the past two decades the growth in the market share in Australia of diet drinks, bottled waters, sports drinks, energy and lifestyle drinks and other sugar-free, non-alcoholic drinks has been steadily increasing. One of the most consistent growth segments in the non-alcoholic beverage market is bottled water. This growth is particularly evident among women under 40 years of age, and with younger, 'urban' consumers. In particular sales of bottled water have increased markedly over the last ten years while the proportional share of carbonated sugared drinks has been falling. In Australia in 2006, CCA enjoyed a 58 percent market share of carbonated beverages through its key brands, Coke, Fanta and Sprite, a 27 percent market share in the water category via Mount Franklin and Pump and a 57 percent market share in the Sports category, primarily through Powerade. As little as 20 years ago the market share of bottled water in Australia was almost zero. Save for a few imported high-end European brands and some sales of sparkling mineral water, Australian consumers purchased very little bottled water. This was in stark contrast to the high- consuming Europeans and even US water consumers. However a 1

Answer 1

Identify the key stakeholder groups and their specific expectations of the organisation with reference to corporate social responsibility (CSR) and describe how CCA strives to improve their social impact?

The Corporate Social Responsibility efforts of Coca Cola Amatil is completely in accordance with the economic, ethical and discretionary framework. The below listed are the key stakeholder groups in the CSR model of Coca Cola Amatil, which is also known as the CCA Sustainability:

1. Our People

CCA launched People Pact in 2017, which was a statement of how they will work together to achieve organizational growth. It also encompasses the leadership capabilities and vision and values of the organization. In 2019, they launched Amatil Leadership Development Programs to support and develop inspiring leaders within the organization who would empower and encourage their teams to strive for better. This resulted in enhanced capability and increased engagement within the teams. CCA also has a Women in Leadership program that is named after David Gonski and ensures that at least 30 percent of the positions in the board and senior management are held by women.

2. Wellbeing

Wellbeing of their customers has always been the primary focus for CCA. In the recent years, they have made good progress towards reducing sugar in the non alcoholic beverage portfolio. They have reformulated various products in different countries to reduce the levels of sugar in their products. They have also developed smaller packaging for all their markets. For alcoholic beverages, they have developed an Alcohol Advertising and Marketing framework in order to follow ethical practices.

3. Environment

CCA has been dedicated to meet their commitments on packaging, water, energy and carbon reduction to ensure minimal impact on the environment. In the same regard, they have committed to replenish 100% water used in production to share the vision of World without Waste in partnership with The Coca Cola company. They have also started with making efforts towards reducing carbon emissions by 25 percent for the final product that reaches the customer. They have also pledged to ensure that 60 percent of all their energy requirements is fulfilled through renewable energy and 50 percent of their packaging material comes from recycled plastic.

4. Our Community

CCA operates in 6 countries across diverse communities. They work across a range of community activities which include philanthropic grants and dedicated funds contributed from marketing activities to support grassroots sports and community development initiatives. They also provide aid to people impacted by natural disasters.

In 2019 the combined contribution made towards philanthropic activities by Coca Coca Amantis was a total of $5.2 million. This included causes like community development, health, education, infrastructure and sports.