Question: Which decisions in this story could be considered structured problems? (I need a long answer) CASE APPLICATION #3 Tasting Success T he Coca-Cola Company (Coke)

Which decisions in this story could be considered structured problems? (I need a long answer)
CASE APPLICATION #3 Tasting Success T he Coca-Cola Company (Coke) is in a league by it three months long. To help in this, Coke relies on a consultant self.63 As the world's largest and number one nonalco experienced with revenue analytics, who has described OJ as holic beverage company, Coke makes or licenses more "one of the most complex applications of business analytics." than 3,500 drinks in more than 200 countries. Coke has built 15 How complex? To consistently deliver an optimal blend given billion-dollar brands and also claims four of the top five soft the challenges of nature requires some 1 quintillion (that's 1 drink brands (Coke, Diet Coke, Fanta, and Sprite). Each year followed by 18 zeroes) decisions! since 2001, global brand consulting firm Interbrand, in con There's no secret formula to Black Book, it's simply an junction with Bloomberg Business Week, has identified Coke as algorithm. It includes detailed data about the more than 600 the number one best global brand. Coke's executives and man different flavors that make up an orange and about customer agers are focusing on ambitious, long-term growth for the com preferences. This data is correlated to a profile of each batch of pany-doubling Coke's business by 2020. A big part of achiev raw juice. The algorithm then determines how to blend batches to ing this goal is building up its Simply Orange juice business match a certain taste and consistency. At the juice bottling plant, into a powerful global juice brand. Decision making is playing "blend technicians carefully follow the Black Book instructions a crucial role as managers try to before beginning the bot- beat rival PepsiCo, which has a tling process. The weekly OJ 40 percent market share in the Orange Juice and the recipe they use is "tweaked" not-from-concentrate juice cate 1 Quintillion Decisions constantly. Black Book also gory compared to Coke's 28 per- includes data on external fac- cent share. And those managers needed to deliver it! tors such as weather patterns, aren't leaving anything to chance crop yields, and other cost in this hot-umm, cold-pursuit! pressures. This is useful for You'd think that making orange juice (OJ) would be rela Coke's decision makers as they ensure they'll have enough sup- tively simple-pick, squeeze, pour. While that would probably plies for at least 15 months. One Coke executive says the compa- be the case in your own kitchen, in Coke's case, that glass of ny's mathematical modeling means that if a weather catastrophe 100 percent OJ is possible only through the use of satellite im- (hurricane or hard freeze) hits, the business can quickly regroup ages, complex mathematical algorithms, and a pipeline solely and replan in a very short time frame: as little as 5 or 10 minutes. for the purpose of transporting juice. The purchasing director for Coke's massive Florida juice packaging facility says that when you're dealing with Mother Nature," standardization is a huge problem. Yet, standardization is what it takes for Coke to make this work profitably. And producing a juice beverage is far more complicated than bottling soda. Using what it calls its Black Book model, Coke wants to ensure that customers have consistently fresh, tasty OJ 12 months a year despite a peak growing season that's onlyStep by Step Solution
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