1. Working As An Integrated
Global System
Ron Lewis
Vice President, North America
Coca-Cola Enterprises
2. What Is Cross Enterprise Procurement
Group?
• System’s Global Bottler Collaborative Procurement Initiative
• Work Together Across Key Categories of Spend
• Collaborative Effort Involving Company, Bottlers and Suppliers
• 86% Global Unit Case Sales Represented in CEPG
• 33 Initiatives Link in 215 Bottlers
Closures & Labels
Glass
Metal
% System
PET
Spend In
Sales & Marketing Equipment
CEPG
Sweeteners
Total
0 20 40 60 80 100
3. CEPG Operates On A Global Scale
$19 Bn = 2/3 Of Global Buy
CCBSS Entecom CCBSC
Promesa CBPC
EAJPF
AFBCC
4. Unique Rules Of Engagement
Approve strategies and business
OPERATING
plans, hold teams accountable
COMMITTEE
and measure performance
PROGRAM Direct and validate
SPONSORS program strategies
Empowered to negotiate for all
PROGRAM
members, accountable for
TEAMS
delivering results
5. How CEPG Adds Value
Deep Category Global Supplier
Knowledge Relationships To
Leverage Scale
Alignment To Speak
To System And Suppliers
With One Voice
Commodity Price Risk Sustainability
Management And Innovation
Expertise
6. Driving CEPG To The Next Level
TODAY 2020
Operational Excellence
Sustain Competitive Advantage
Expanding Scope
7. We Are One Of The World’s Largest Consumer
Goods Businesses ESTIMATE
BUY MAKE MOVE SERVE
$64 Bn ~$32 Bn ~$8 Bn ~$16 Bn ~$8 Bn
Cost (50%) (12.5%) (25%) (12.5%)
> $19B system 900+ manufacturing 8,500 warehouses 65 MM cases/day
controlled spend operations
200,000 delivery 16 MM distribution
~300 contract fillers trucks points
2.4 MM vendors
7 MM coolers
$50 Bn ~$6-8 Bn ~$10-15 Bn ~$25-30 Bn ~$6 Bn
Assets (raw materials inventory) (plants) (warehouses & fleet) (cold drink equipment)
$8 Bn
Capital
Per Year, Current Business Model
8. We Are One Of The World’s Largest Consumer
Goods Businesses ESTIMATE
BUY MAKE MOVE SERVE
$64 Bn ~$32 Bn ~$8 Bn ~$16 Bn ~$8 Bn
Cost (50%) (12.5%) (25%) (12.5%)
> $19B system 900+ manufacturing 8,500 warehouses 65 MM cases/day
controlled spend operations
200,000 delivery 16 MM distribution
~300 contract fillers trucks points
2.4 MM vendors
7 MM coolers
$50 Bn ~$6-8 Bn ~$10-15 Bn ~$25-30 Bn ~$6 Bn
Assets (raw materials inventory) (plants) (warehouses & fleet) (cold drink equipment)
$8 Bn
Capital
Per Year, Current Business Model
9. We Are One Of The World’s Largest Consumer
Goods Businesses ESTIMATE
BUY MAKE MOVE SERVE
$64 Bn ~$32 Bn ~$8 Bn ~$16 Bn ~$8 Bn
Cost (50%) (12.5%) (25%) (12.5%)
> $19B system 900+ manufacturing 8,500 warehouses 65 MM cases/day
controlled spend operations
200,000 delivery 16 MM distribution
~300 contract fillers trucks points
2.4 MM vendors
7 MM coolers
$50 Bn ~$6-8 Bn ~$10-15 Bn ~$25-30 Bn ~$6 Bn
Assets (raw materials inventory) (plants) (warehouses & fleet) (cold drink equipment)
$8 Bn
Capital
Per Year, Current Business Model
10. We Are One Of The World’s Largest Consumer
Goods Businesses ESTIMATE
BUY MAKE MOVE SERVE
$64 Bn ~$32 Bn ~$8 Bn ~$16 Bn ~$8 Bn
Cost (50%) (12.5%) (25%) (12.5%)
> $19B system 900+ manufacturing 8,500 warehouses 65 MM cases/day
controlled spend operations
200,000 delivery 16 MM distribution
~300 contract fillers trucks points
2.4 MM vendors
7 MM coolers
$50 Bn ~$6-8 Bn ~$10-15 Bn ~$25-30 Bn ~$6 Bn
Assets (raw materials inventory) (plants) (warehouses & fleet) (cold drink equipment)
$8 Bn
Capital
Per Year, Current Business Model
