Coca-Cola Bottling Co. Consolidated maximizes profitability
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IBM Systems and Technology
Case Study
Coca-Cola Bottling Co.
Consolidated maximizes
profitability
Delivering deeper insight into customer demand four
times faster with the IBM FlashSystem Solution
Headquartered in Charlotte, North Carolina, Coca-Cola Bottling Co.
Consolidated (CCBCC) is the largest independent producer and
Overview
distributor of Coca-Cola Company products in the United States. With
The need an annual turnover of around USD 1.5 billion, the company produces
To capitalize on sales opportunities
150 million cases of product per week, which it ships from 47 distribution
through deeper insights into customer
demand, CCBCC needed to crunch more centers to customers across the south east of the country.
data without increasing time-to-insight,
while meeting existing service-level To satisfy massive customer demand for its Coca-Cola Company prod-
agreements.
ucts, CCBCC’s manufacturing operations run 24 hours a day, seven days
The solution a week. The company is constantly looking for innovative ways to reduce
CCBCC deployed the IBM® the risk of missed sales opportunities, to maximize profitability.
FlashSystem™ Enterprise Solution—
enabling it to process 20 times more
forecasting data within the existing Pinpointing customer demand
overnight window and SLAs. As Tom DeJuneas, Infrastructure Manager at Coca-Cola Bottling Co.
The benefit Consolidated, explains: “With operations on our scale, the ability to accu-
Delivers deeper demand insights four rately anticipate customer demand is vital. Because our manufacturing
times faster; helps match manufacturing processes are rolling 24/7, we need to refresh our demand forecasts early
output with demand, reducing risk of
every morning to ensure that we’re creating the optimal amount of each
over- or under-stocking; enables earlier
logistics planning, increasing profitability. product, and that those products can be transported to the correct distri-
bution center in time to fill the anticipated customer orders.”
“If we were unable to forecast demand precisely enough, then we would
be at risk of missing out on sales opportunities—either because we had
too little of a certain product to fill all of the day’s orders, or too much of
a certain product taking up valuable space in our warehouses.”IBM Systems and Technology
Case Study
To help predict customer demand, CCBCC uses a specialized supply
chain forecasting application running on IBM AIX®, the storage
“Our mission statement component of which is hosted on IBM XIV Storage System. Originally,
is to make, sell and the application offered customer demand insights down to the regional
deliver Coca-Cola level—and when an upgrade to the software that offered store-level
insights became available, CCBCC was quick to deploy it.
Company products better
than anyone else. By “The finer the granularity of our insights, the more accurately we can
anticipate demand and plan our manufacturing and logistics processes,”
using IBM FlashSystem says DeJuneas. “Being able to anticipate customer demand down to the
to accelerate our insights level of individual stores is a fantastic business benefit—but it comes at a
into customer demand, price. After we upgraded our supply chain forecasting application, we
needed to crunch about 20 times more data than before.”
we’re better placed than
ever before to offer Large data volumes threaten efficiency
unbeatable levels of With so much additional sales forecasting data to process, CCBCC’s
nightly batch processes began to overrun—threatening to reduce the
service to our customers efficiency and cost-effectiveness of its supply chain processes, and to cause
across the United States.” the IT team to miss its SLA targets.
—Tom DeJuneas, Infrastructure Manager, “At end-of-day, we process the previous day’s sales to plan production and
Coca-Cola Bottling Co. Consolidated delivery for the following morning,” says DeJuneas. “After the forecasting
application upgrade, our nightly batch processing time grew to 14 hours.
This forced us to make a choice—either to delay the batch processing
until all of the day’s sales had been posted to our SAP ERP system, or
start the batch before we had all of the day’s sales data.”
“The earlier in the day that we can schedule our deliveries, the
less we pay for the service, so delaying our batch runs reduced the
cost-effectiveness of our logistics processes. Conversely, if we started
the batch run early, our forecasts would be based on incomplete
information—increasing the risk that production and delivery schedules
would be based on inaccurate forecasts.”
2IBM Systems and Technology
Case Study
Choosing IBM FlashSystem
Solution components To get the full benefits of its upgraded supply chain forecasting applica-
tion and to ensure adherence to SLA requirements, CCBCC needed to
Hardware reduce the time required to complete its nightly batch runs.
●●
IBM® FlashSystem™ 820
●●
IBM XIV® Storage System
“When we heard about IBM FlashSystem, we immediately recognized its
Software potential to accelerate our batch runs,” says DeJuneas.
●●
IBM System Storage® SAN Volume
Controller
●●
IBM System Storage Easy Tier® “Working with the IBM Flash Centers of Competency (CoC), we ran
●●
IBM AIX® an onsite proof-of-concept [POC] exercise, and we were extremely
Services impressed with the results. Using IBM FlashSystem, we saw a significant
●●
IBM Systems Lab Services drop in the time it took to run batch workloads. Based on this positive
experience, we were convinced that IBM FlashSystem had the balance of
performance and price that we needed to meet our goal.”
“Using IBM FlashSystem, Following the success of the POC, CCBCC worked with the
we saw a significant drop IBM Systems Lab Services team to augment its enterprise storage land-
in the time it took to run scape, based on XIV, with an IBM FlashSystem 820 with 10 TB of capac-
ity. To ensure resiliency of its mission-critical data, the company deployed
batch workloads.” IBM SAN Volume Controller software to automatically mirror data from
IBM FlashSystem to the XIV environment. The Lab Services team used
—Tom DeJuneas, Infrastructure Manager, IBM AIX LVM host mirroring to migrate production servers to the new
Coca-Cola Bottling Co. Consolidated
storage landscape, and provided extensive skills and knowledge transfer to
the CCBCC technical team.
“Installing the FlashSystem technology itself took just an hour or so—it
really is a plug-and-play solution,” says DeJuneas. “Even after working
with IBM for more than 14 years, we are still impressed by their commit-
ment to the success of our business. Every time we have had a need, we
have been able to reach out to IBM and work with them to come up with
a solution that was a win-win for our business and IBM’s business.”
3IBM Systems and Technology
Case Study
By deploying the IBM FlashSystem 820 behind IBM SAN Volume
Controller, CCBCC enjoys a winning mix of leading-edge performance,
“Installing the high availability, optimal virtualization, and extreme manageability.
FlashSystem technology CCBCC also uses the XIV flash caching option to cut latency by
40 percent—from 5 ms to 3 ms—across diverse workloads that run
itself took just an hour on its multiple XIV machines.
or so—it really is a
plug-and-play solution.” DeJuneas comments: “Using SAN Volume Controller, we can manage
both FlashSystem and XIV through a single intuitive interface. We have a
—Tom DeJuneas, Infrastructure Manager,
lean IT team, so ease-of-use was a major advantage—especially as we
Coca-Cola Bottling Co. Consolidated rolled out the new solution.”
Lightning-speed performance for demand
forecasting
With the IBM FlashSystem Enterprise Solution in place, CCBCC has
achieved its goal of shrinking its customer forecasting batch cycles and
meeting tough SLA requirements. Today, the company’s IT department
can provide the business with the rich predicative analytics insights
required to improve the efficiency of its supply chain processes—reducing
the risk of out-of-stock or over-stock positions, and increasing
profitability.
“After the application upgrade, our supply chain forecasting was
typically completed by 8 a.m. the next morning—by which time the
deadline for low-cost delivery rates had passed,” says DeJuneas. “Using
IBM FlashSystem, we’ve accelerated our batch processing by a factor of
four—enabling us to wait for the day’s sales figures to be posted and still
complete the process by 5:30 a.m.”
He continues: “Because we can now fully meet the demanding SLAs set
by the business, they get timely access to the accurate information they
need, they can optimize manufacturing plans and take advantage of the
lowest delivery tariffs. This helps us to increase the cost-efficiency of our
logistics, and ultimately boost profitability.”
4IBM Systems and Technology
Case Study
“What’s more, the improved accuracy of our daily supply plans enables us
to reduce the amount of stock we hold—cutting our inventory-carrying
“Even after working costs significantly.”
with IBM for more
With the success of its IBM solution, CCBCC is investigating the possi-
than 14 years, we are bility of harnessing the performance of FlashSystem to accelerate other
still impressed by their workloads with IBM System Storage® Easy Tier® software. If deployed,
commitment to the this solution would enable dynamic, non-disruptive migration of the most
frequently accessed data to the fastest storage tier.
success of our business.”
DeJuneas concludes: “Our mission statement is to make, sell and deliver
—Tom DeJuneas, Infrastructure Manager,
Coca-Cola Company products better than anyone else. By using
Coca-Cola Bottling Co. Consolidated
IBM FlashSystem to accelerate our insights into customer demand,
we’re better placed than ever before to offer unbeatable levels of service
to our customers across the United States.”
For more information
To learn more about IBM FlashSystem solutions, contact your
IBM sales representative or IBM Business Partner, or visit us at:
ibm.com/systems/storage/flash/
To learn more about Coca-Cola Bottling Co. Consolidated, visit:
cokeconsolidated.com
5© Copyright IBM Corporation 2013
IBM Corporation
Systems and Technology Group
Route 100
Somers, NY 10589
Produced in the United States of America
September 2013
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