Safety and Quality Management in Manufacturing and Distribution of Products in a Soft Drink Company
It is undeniable that in the beverage industry, production of drinks encompasses manufacturing and distribution of huge amounts of products. This includes both non-alcoholic and alcoholic sectors in the beverage industry. Citing from the fact that the industry has been around for several centuries, it is true that it has developed significantly in terms of production quantity and the markets served. However, though the industry has developed considerably, it is perceptible that production processes have not changed that much. This disregards the increasing concern on the quality and safety of the drinks especially keeping in mind that most of them are distributed to long distances. Precisely, the production process involves five major procedures which include water treatment, compounding ingredients, product carbonation, filling and packaging. This exhibits that there are few implementations that can be made amid the production procedures to guarantee quality and mostly health safety. Under the packaging process, the drinks are packed in aluminum, glass and plastic cans which means that the elements used to make the bottles can interfere with the quality of the products if not handled carefully. This is one of the reasons why the government has been intensifying regulations in beverage industry. Therefore, it is the responsibility of the company to employ effective strategies of safety and quality management of their products. In this research, the data will be collected using both qualitative and quantitative research methods. Additionally, the study will rely on primary and secondary research where the data collected will be analyzed quantitatively and qualitatively. Data collection will involve use of surveys and interviews to the randomly selected participants from the two major soft drink companies which include Coca Cola and Pepsi co. The projected results from the research include that fact that soft drink companies use different quality and safety management strategies together with applying Manufacturing Planning and Control (MPC) System.
Research Problem
Safety and quality of soft drinks has been a major concern especially for the government regulation bodies since 2010 after a research conducted by Hollins University microbiologists indicated that approximately 48% of drinking soda contains fecal bacteria (Merchant, 2010). This exhibits that safety and quality management of the soft drink companies is not as effective as it should be.
Literature Review
Manufacturing Planning and Control (MPC) System Framework
Manufacturing or production Planning and Control (MPC) System Framework can be delineated as an approach that involves planning and controlling the production process including all aspects starting with materials, employees, machine scheduling, coordinating customers and suppliers (Jacobs, 2011). The effectiveness of MPC is based on the success of the company regardless of the changes in strategy, company environment, market demand, and supply chain opportunities. This basically means that an effective MPC should be able to adapt and respond the changes without altering the results. The major purpose of Manufacturing Planning and Control System is to effectively manage the production procedures, supervise equipment and employee performance, and respond to the demands of both customers and suppliers (Jacobs, 2011) . It is noteworthy that Manufacturing Planning and Control System is just a framework that gives managers the directions towards safety and quality management in production and supply chain.
Manufacturing Planning and Control System Activities
The activities of MPC system revolve around planning and controlling manufacturing operations and procedures in a firm (Jacobs, 2011). One other major objectives of the system is demand management where the activities are coordinated to facilitate compatibility of manufacturing capacity and market demand. On the other hand, the system helps in sales and operations planning be determining the manufacturing role of the organization towards achieving the projected goals and objectives (Jacobs, 2011). Lastly, Manufacturing or production Planning and Control System contributes to resource planning which helps the company allocate sufficient production resources that will meet the market demands. The three roles of the system are categorized under master production scheduling which focuses on the capacity of production that a company adopts in meeting market demands. After master production scheduling, the next stage of the system includes material and capacity planning where the organization plans on the rate of production (Jacobs, 2011).
For the large-scale companies, this stage involves calculation of the capacity of the components required to manufacture the end-product. Additionally, the company adopts a strategy called Material Requirement Planning (MRP) which involves time-by-time planning for the raw materials required to manufacture the end products. The last stage of the system involves execution of Manufacturing Planning and Control (MPC). Precisely, this stage involves coordinating and planning the accessibility of the manufactured products by the customers and suppliers. For the companies that produce variety of products, this stage involves grouping all the products of similar type into one work center (Jacobs, 2011). This helps in scheduling the orders by grouping the shops at the work center with regards to the group of products assigned. For the companies that employ MRP system, implementation of material and capacity plan entails scheduling of work processes in the work center (Jacobs, 2011). The scheduling ought to reflect all the procedures from starting to completing shop orders together with any interventions that occurs during the distribution process.
On the basis of quality and safety of products manufactured, components and materials used to manufacture the end products are correspondingly scheduled (Jacobs, 2011). Citing from the fact that a company can purchase the raw materials from outside, managing quality and capacity of the manufactured products should be planned and schedule appropriately. With the help of MPC system, the planning enables the company meet and maximize customer satisfaction. It is factual that in order to match the MPC system with the needs of the company, additional parameters ought to be implement in order to achieve the desired results (Jacobs, 2011). This can be argued on the basis that as the market continues to endure significant changes such as demand, technology and competitive conditions, MPC system has to change too. For instance, with regard to the developing technology, one of the current trends in application of MPC system includes use of online data and systems. Use of internet has enhanced access speed, storage capabilities and decreasing the costs of implementation (Jacobs, 2011). Referencing the integration of firms in the contemporary world, it is undeniable that internet-based MPC system is very important especially for coordination between the firms. Planning and paper work has been decreased significantly thereby speeding up the implementation process. Furthermore, data sharing for the inventories between firms in the supply chain has been accelerated considerably (Jacobs, 2011).
The other change that has affected implementation of MPC is physical processes within the production floor (Jacobs, 2011). The design of the system has recently been affected by activities such as outsourcing, contract production and job allocation in the corporation. This influence can be deemed on technology since moving information to the level where decisions should be made has been replaced by use of computers. As a result, this has affected the relationship between planning and implementation (Jacobs, 2011). Generally, MPC system modifies the manufacturing strategy of an organization by controlling production variety towards achieving customer and supplier satisfaction.
Application of Manufacturing Planning and Control (MPC) System in Soft Drink Companies
Citing from the concept of Manufacturing Planning and Control system implementation for manufacturing and distribution processes in a firm, it is true that companies should execute the system in quality and safety management (Jacobs, 2011). It is perceptible that one of the major challenges regarding supply chain management especially for soft drink producers such as Pepsi Co. and Coca Cola includes maintaining quality and safety of the products with regard to the regulatory standards. For example, the major objective of the safety and quality management strategy of Coca Cola Company focuses on delivering, safe, high quality and refreshing drinks to their target customers (Staff, 2012). As a result, Coca Cola work towards achieving this organizational goal prior to making sure that their products meet the regulatory standards. Precisely, they achieve safety and quality management strategy by following stringent standards for their products and ingredients to guarantee safety and high quality of the products (Staff, 2012). Back to the MPC system, master product scheduling helps the firm select collect raw material that will be appropriate for the manufacturing of the product that will achieve high quality standards.
Precisely, soft drink companies use product manufacturing and distribution policies implemented under material and capacity planning stage of the MPC system. For example, Coca Cola uses a program called KORE (Coca Cola Operating Requirements) which focuses on monitoring and measuring the standards of the manufactured products to make sure that they have attained regulatory standards (Staff, 2012). On the other hand, Pepsi Co. follows their code of conduct that asserts that the company is committed to distributing safe products that have achieved the regulatory standards of the markets served. Through the code of conduct, the company focuses on quality not only during production but also during sales and promotion (Staff, 2012). As a result, Pepsi Co. runs a laboratory that conducts safety and quality control measures to make sure that the products have the desired quality prior to distribution (PepsiCo, 2014). Soft drink companies conduct stringent tests and measures of product quality in the modernized laboratories equipped with qualified personnel. In order to promote quality and safety of the products across different markets served, soft drink companies use integrated quality and safety management strategy to hold their operations wide (PepsiCo, 2014). The operations of the firms during production and distribution are guided by the policies and programs that highlight the requirements towards achieving the desired quality of the products.
The major objectives of using integrated quality management tool in MPC system includes aligning quality objectives of the firm with measures of performance, acting as a management tool for supply of products towards meeting the market demands, and managing the risk associated with bottling operations and supply chain. Furthermore, integrated quality management acts as a problem solving tool and promotes consistent quality management of the products, services and the processes involved. On the other hand, soft drink companies use their unannounced audits to make sure that the manufacturing facilities are operating effectively according to the firm’s safety and quality management policies and programs (Staff, 2012). By evaluating the risks posed by the manufacturing facilities and the selection of the raw materials, soft drink firms are able to manage product and ingredient quality and safety with regard to the regulatory standards.
Coca Cola Company uses its supplier management program that makes sure that the firm is acquainted with the potential risks posed by the suppliers (Staff, 2012). The company ensures that the suppliers are capable of persistently offering ingredients and packaging materials that satisfy firm’s specifications and demands. As a matter of fact, this is one of the strategies that the firms employ under detailed material and capacity planning stage in MPC system. Under this stage, these firms are concerned mainly on coordinating operations and procedures on a timely basis or basically executing just-in-time (JIT) system. This helps in minimizing the risks that might affect continuity of supply to the target markets. The supplier management program extends to making sure that the materials delivered by the suppliers have achieved the requirements of regulatory standards such as Global Food Safety Initiative (GFSI) standard (Staff, 2012). Therefore, companies such as Coca Cola are engaged in supplier development programs that focus on capability building in order to strengthen quality and safety of materials prior to product manufacturing and distribution. Citing from the research that indicated that approximately 48% of drinking soda contains fecal bacteria, companies such as Coca Cola and Pepsi Co. engage in ingredients assessment to make sure that materials used cannot lead to product contamination (Merchant, 2010). Additionally, as an approach of ingredient management, soft drink firms make sure that the materials are obtained from reliable and recognized sources. Therefore, if there is a concern about the safety of the material, the firm does not use it (Staff, 2012).
Methodology
Data Collection
The study will rely on both secondary and primary data collection both qualitatively and quantitatively. To start with, the primary research will include use of surveys and interviews to collect the required data on how soft drink organizations conduct safety and quality management for their products. The number of expected survey respondents ranges from 50 to 70 whereas the partakers of the interview range from 10 to 15. The respondents will be randomly selected from the list of employees from the selected soft drink companies that dominate the beverage market. Precisely, the expected partakers will come from both Coca Cola and Pepsi Co. The data collection will start with survey which will be conducted to the randomly selected participants. After the survey, few participants will be selected for the interview with regards to the validity and reliability of information given. The recruitment of survey respondents will start with notifications made using letters distributed to the selected persons. Additionally, the selected participants will be informed through telephone calls together with emails. The notifications will act as an informed consent to the participants to create awareness on their selection and the date of survey. After the participants are recruited for the surveys, they will be provided with questionnaires which will feature both closed and open-ended questions regarding their company’s safety and quality management strategies. After the distribution of questionnaires, participants will be given period of one week to fill the questionnaires and submit them. The data from the questionnaires will be analyzed in order to select 10 to 15 participants who fulfill the desired requirements for the interview. The selected participants for the interview will be informed through emails and telephone calls to notify them on the date and time of the interview. The respondents will be informed that participation is voluntary and they have a right to withdraw at any level. Furthermore, it will be made known to the participants that confidentiality and anonymity will be strictly embraced and the data collected will be used for this research only. Personal details and other information will be destroyed in one month after the research.
On the other hand, secondary research will include collection of data from internet sources such as peer reviewed articles, companies’ websites and news articles. The sources will be selected and analyzed first before collecting data from them. The validity and reliability of a source will be determined by the date of publishing, the author and compatibility with the topic being addressed. For example, the eligible source for this research ought to have been published not earlier than 2010. Additionally, the source should be reliable in terms of the publisher and the area of citation adhered to by the source. Thus, some of the sources to be selected include news articles, company websites, peer reviewed articles and journals. The research will also use other studies conducted on the same topic provided that the research was not conducted earlier than 2010. After the sources are selected, data will be collected from them and arranged with regards to similarity and conformity with the research topic. After compiling the information from internet sources, it will be combined with primary research data and compared in order to be used in the data analysis.
Data Analysis
The data from primary and secondary research will first be analyzed individually and later combined to support the hypothesis of the research. To start with, data from the survey will be analyzed first to determine the most appropriate respondents for the interview. Some of the factors to consider in this level include fastidiousness of the information given and knowledge exhibited by the participant. On the other hand, data from the interview will be arranged first with regard to variables such as gender, age, company served, experience and position served. After arranging the questionnaires, personal details will be destroyed in order to minimize the bias while judging the results. Additionally, classification of data will be broken down further according to the similarity of the answers given. Precisely, the data will be analyzed both qualitatively and quantitatively using different types of data representation for each method.
Limitations of the Study
Citing from the fact that the research will be based on strategies employed by major soft drink companies to manage the quality and safety of their products, it is factual that there are several limitations that will be exhibited by the study. To start with, one of the limitations of the study will be that it will not spot the weak points of the safety and quality management strategies adopted by the selected companies. The other limitation is that the research will not recommendable the improvements required to enhance safety and quality management strategies in beverage industry. Lastly, the research results will be limited to beverage industry and will not be reliable for any other industry.
References
Staff, J. (2012). Product and Ingredient Safety. Coca Cola. Retrieved from http://www.coca-colacompany.com/stories/quality
Merchant, B. (2010). 48% Of Fast Food Soda Fountains Contain Bacteria That Grew In Feces. Tree Hugger. Retrieved from http://www.treehugger.com/green-food/48-of-fast-food-soda-fountains-contain-bacteria-that-grew-in-feces.html
PepsiCo, (2014). Quality and Safety. PespiCo-Ivi. Retrieved from http://www.pepsico-ivi.gr/versions/eng/page.aspx?itemID=SPG26
Jacobs, F. R. (2011). Manufacturing planning and control for supply chain management. New York: McGraw-Hill.
