1. In addition to cash payments, what other incentives do you think might motivate The Coca-Cola Company...

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1. In addition to cash payments, what other incentives do you think might motivate The Coca-Cola Company employees to participate in its wellness programs?

2. The Coca-Cola Company has developed a comprehensive, worldwide training program. In addition to increasing its leadership pool, what other positive effects do you predict this may have on the company’s future success?


Coca-Cola is one of the most recognizable brands in the world—it has also stood the test of time, having survived more than 65 years. But the firm has come a long way from its first fizzy drink; it is now a global empire with products sold in more than 200 countries. The Coca-Cola Company maintains that the key to its success and longevity isn’t its secret recipe for the famous cola in the red can; it’s the people behind the fizz. The company has become especially expert in two areas of human resource management: wellness benefits and training. As a result, they employ healthy, skilled, and knowledgeable workers.

Several years ago, The Coca-Cola Company revamped its health and wellness programs so that they became an integral part of the firm’s overall strategy. “We now have a strategy in which our health care benefits and our wellness programs are mixed together,” explains Mary Williams, senior counsel of global compensation and benefits. Prior to the new initiative, “we had no communication with the employee that having a healthy worker within our workforce was important to the company.”

The company now provides real incentives for employees to participate in its wellness programs. For example, one recent year they gave $120 to any worker who completed a wellness assessment. The following year, the company upped the ante, offering up to $180 to any employee who agreed to participate in health coaching. Fitness challenges, in which workers earn redeemable points for logging enough sleep at night or eating fruits and vegetables, are also included. Perhaps the most important part of the wellness effort is reaching employees with the right information, encouraging them to participate— there are now e-mail blasts and ads running on in-house television monitors, promoting wellness benefits. The new company mantra is “Live Positively,” observes Mary Williams.

Just as important as keeping employees healthy is the effort to train and educate them, preparing them for future innovations and leadership roles. A few years ago, the company founded Coca-Cola University (CCU) as part of an overall strategy to develop the global workforce to reach its greatest potential. “No longer can we think of career development as a step up in job grade or organization level, or of training as the sole source of skill development,” explains Katharine Nisbet, head of the management university. “Today, career development is about gathering critical experiences, necessary skills, and leadership capabilities that will be vital to the company’s and individual’s success today and in the future.”

Coca-Cola University operates on a 70-20-10 model of employee development. This means that 70 percent of learning takes place on the job, 20 percent occurs through coaching and mentoring, and 10 percent is acquired through formal, structured training. Within this model, The Coca-Cola Company human resource managers strive to match the right training to each worker’s needs. One employee might receive classroom teaching, online lessons, and on-the-job support while another might receive a different combination of training methods.

An important aspect of CCU’s management training strategy is that it encompasses everyone. “Our leadership training applies to every Coca-Cola associate,” says Katharine Nisbet. “It is helping them build core competencies such as innovation, collaboration, and teamwork.” Some of the seminars in which all staff are invited to participate are: “Driving Innovative Business Improvements,” “Collaborating to Win,” and “Developing and Inspiring Others.” At their performance appraisal meetings, employees are encouraged to sign up for these and other offerings through CCU. This means that The Coca-Cola Company always has a deep pool from which to draw management talent that is already knowledgeable about the company’s strategies and objectives, now and for the future.

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Contemporary business 2012 update

ISBN: 978-1118010303

14th edition

Authors: Louis E. Boone, ‎ David L. Kurtz

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