MOTIVATION THEORY ADOPTED BY COCA-COLA

Group No.7 Group Members:Varun Saykhedkar - 19 Priyanka Chauve - 24 Pritesh Salian - 30 Swati Bhadra - 31 Harpreet Singh - 32 Deepa Pillai - 48

About Coca-Cola
The Coca-Cola Company is an American multinational beverage corporation of manufacturer, retailer and marketer of non-alcoholic beverage concentrates and syrups. The company is best known for its flagship product Coca-Cola, invented in 1886 by pharmacist John Stith Pemberton in Columbia, Georgia. The Coca-Cola formula and brand was bought in 1889 by Asa Candler who incorporated The Coca-Cola Company in 1892. Besides its namesake Coca-Cola beverage, Coca-Cola currently offers more than 500 brands in over 200 countries or territories and serves over 1.6 billion servings each day. The Coca-Cola Company is headquartered in Atlanta, Georgia, United States. Its stock is listed on the NYSE and is part of DJIA, S&P 500 Index, the Russell 1000 Index and the Russell 1000 Growth Stock Index. Its current global chairman and chief executive is Muhtar Kent. In 2010 it was announced that Coca-Cola had become the first brand to top 1 billion in annual UK grocery sales. Coca-Cola entered India in 1970 but they had to withdraw their operations in India when the Indian Government forced them to reveal their secret formula. The Coca-Cola Company reentered India through its wholly owned subsidiary, Coca-Cola India Private Limited and relaunched Coca-Cola in 1993 after the opening up of the Indian economy to foreign investments in 1991. In India, the Coca-Cola system comprises of a wholly owned subsidiary of The CocaCola Company namely Coca-Cola India Pvt Ltd which manufactures and sells concentrate and beverage bases. The Coca-Cola Company has invested nearly USD 1.1 billion in its operations in India since its re-entry back into India in 1992. CEO and MD of Coca-Cola India is Atul Singh. Releasing its annual and fourth-quarter results on Tuesday, the world's largest beverage maker reported a profit of $6.82 billion - up 17 percent from $5.81 billion posted in 2008.

Coca-Cola Mission Our Roadmap starts with our mission, which is enduring. It declares our standard against which we weigh our actions and decisions.

To refresh the world... To inspire moments of optimism and happiness... To create value and make a difference.

Coca-Cola Vision Our vision serves as the framework for our roadmap and guides every aspect of our business by describing what we need to accomplish in order to continue achieving sustainable quality & growth.

People: Be a great place to work where people are inspired to be the best they can be. Portfolio: Bring to the world a portfolio of quality beverage brands that anticipate and satisfy people's desires and needs. Partners: Nurture a winning network of customers and suppliers, together we create mutual, enduring value. Planet: Be a responsible citizen that makes a difference by helping build and support sustainable communities. Profit: Maximize long-term return to shareowners while being mindful of our overall responsibilities. Productivity: Be a highly effective, lean and fast-moving organization.

MOTIVATION

Motivation is defined as the processes that accounts for an individuals intensity, direction and persistence of efforts toward attaining a goal. While general motivation is concerned with efforts toward any goal, we will narrow the focus to organisational goals in order to reflect our singular interest in work-related behavior. The three elements in our definition are intensity, direction and persistence. Intensity is concerned with how hard a person tries. This is the element most of us focus on when we talk about motivation. However, high intensity is unlikely to lead to favourable job-performance outcomes unless the effort is channeled in a direction that benefits the organisation. Therefore, we have to consider the quality of efforts as well as its intensity. Efforts that is directed toward, and consistence with, the organisations goal is the kind of efforts that we should be seeking. Finally, motivation has a persistence dimension. This is a measure of how long a person can maintain efforts. Motivated individual stay with a task long enough to achieve their goal.

ERG Theory Adopted By Coca-Cola To Motivate Employees

The motivational process of The Coca-Cola Company can best be described as one that identifies with Clayton Alderfers ERG theory. The workplace productivity within The Coca-Cola Company is unmatched by many organizations today. Three essential elements make up Alderfers ERG theory: The first part focuses on the existence needs within the company; the next part addresses the relatedness needs within the company; and the last part touches on the growth needs within the company. The existence needs of the employees within The Coca-Cola Company can be defined as those needs that have a desired physiological effect on the employees within the company. In addition, it could be the material well-being of the organization itself. In order for there to be harmony within the company, the employees must have a sense of stability in their current position, as well as a potential for growth within the company. Remembering that employees have the desire to be satisfied within the company in which they work, The Coca-Cola Company has many different programs in place in order to assist with this process. For example, the company offers cultural awareness programs and employee forums; these forums consist of employees that share similar interest or backgrounds. The individuals within these forums provide both professional and personal growth to one another. The Coca-Cola Company motivates their employees with incentives and occupational opportunities on a daily basis. The next part of the ERG Theory is the relatedness needs. These are the desires for satisfying interpersonal relationships. The Coca-Cola Company prides themselves on establishing relationships between both employer and employee. The organization is able to connect with the employee and produce a relationship that can benefit both of them. For example, The Coca-Cola Company uses the one-on-one approach between management leaders and employees. Once a month, the employee speaks with a team leader, or supervisor, about any problems at home or in the workplace. This creates a positive environment where both parties can start to build a trusting relationship with one another. As a result, this could help them improve productivity because they are able to express personal needs that could affect their performance at work. Another reason why The Coca-Cola Company uses the relatedness need is to build meaningful relationships between co-workers. If an individual likes who he or she is working with, they tend to be more motivated to continue to come to work for the personal relationship and networking. The human need is easily satisfied in the simplest form. The growth need is the desire for continued personal growth and development. This need alone can motivate each and every employee to do better within themselves, as well as within the job. Knowing that some of the choices made at work can help you advance, is something that helps reassure an individual that advancement is up to him or her. The Coca-Cola Company tries to create an environment where promotions are encouraged to come from within the organization. Furthermore, they implement training programs which encourages an individual to move ahead in the company if, and when, the opportunity exists. The company also practices several incentive and reward programs to help motivate the employees to continuously improve productivity.

Benefits of Motivating Employees

A basic benefit of motivation is that the motivated employees always look for better ways to do a job and at the same time they are more quality oriented, apart from being more productive. 1) Increased Productivity Coca Colas motivation to its employees has resulted in the increased productivity. They consider themselves to be the part of Coca Cola family and work for organizations success in every possible manner. This in turn has resulted in huge profitability for the organization. 2) Higher Profitability Motivating their employees relates directly to the perceived increase in performance. The employees will deliver from managements participation in the exercising of motivation techniques and that in turn has increased the profits of Coca Cola. 3) Pleasant Work Environment The Coca-Cola Company can contribute much of its success to the workplace environment. The motivational theory that has been the philosophy of employee treatment is Alderfers ERG theory. Encompassing each of the employees needs into existence, relatedness, and growth needs has proved to be effective for the workplace productivity as the company continues into the 21st century. Continued success is expected for The Coca-Cola Company as long as the ERG theory is still administered within the organization.

Bibliography
Websites http://www.thecoca-colacompany.com/ourcompany/index.html http://www.oppapers.com/essays/Managers-Focus-Process-Theories-MotivationBecause/178988?topic

Book Organizational Behaviour, Twelfth Edition - Stephen P. Robbins and Timothy A. Judge, Prentice Hall India.