FSSC 22000 Harmonization Event Asia
11 & 12 November 2015 Tokyo
Improving Food Safety Across
Supply Chain in Coca-Cola Japan
Shunsuke Tejima
Director,
Quality, Safety & Environmental Sustainability Governance
Technical Stewardship, Supply Chain & Commercialization
Coca-Cola (Japan) Company Limited
1
Agenda
1. Introduction Japan Coca-Cola System
2. Complexity of Supply Chain
3. GFSI Scheme Certification Status
4. Next Challenge
5. Opportunity for FSSC22000
2
129
May 8, 1886
YEARS
3
Robert Woodruff
was elected
the president of The Coca-Cola Company
Patented contour bottle
Six carton
1924
Coca-Cola invented what is said
to be the world’s first coupon
1916
First bottle
Late
1800
in Atlanta, Georgia in 1886
1923
Dr. John Pemberton invented Coca-Cola
1896
1886
Innovation and an entrepreneurial spirit has always been
in Coca-Cola’s DNA
4
Partner of the Olympics since
1928
Classified - Unclassified
5
The Keep Japan Beautiful (KJB) initiative is promoted The Coca-Cola
system played a central role in this beautification campaign aimed at
preventing littering of empty containers after consumption. Besides
local clean-up activities, bottling partners donated waste receptacles to
local governments for placing by vending machines and undertook
collection of empty containers. To develop these activities further ,The
Beverage Industry Environment Beautification Association was jointly
established with other corporations as well as breweries.
Bottling companies begin
operations nationwide in Japan.
Vending machines are introduced to the marketplace in Japan.
The first step towards securing the top share in the Japanese market
—the Coca-Cola system’s vending machines now number around
980,000. The first machines involved inserting money and manually
removing a bottle of Coca-Cola.
The sports drink,
Aquarius, is launched.
1993
1975
Canned Coca-Cola (250ml)
first appears in Japan.
The Coca-Cola Company becomes an Official
Partner of the FIFA World Cup ™.
1983
1978
Tokyo hosts the Olympic Games.
1965
1963
1973
TV commercials begin
airing in Japan.
1964
1962
The first Coca-Cole Bottling partner in Japan starts Operations
Nihon Inryo Kogyo K.K. (predecessor of Coca-Cola (Japan) Co., Ltd.)
is established.
1961
1957
58 years in Japan since 1957
Georgia is launched.
Sokenbicha is launched.
Plastic replaces aluminum as the material
for making PET bottle caps. Removal of
refrigerant HFCs from vending machines
begins.
6
Coca-Cola operates in more than 200 countries globally and
Japan is among our 5 largest markets by volume
#1 U.S.
#2 Mexico
#3 China
#4 Brazil
#5 Japan
7
One product, one package until
Classified - Unclassified
1955
8
2015
3,500+ products globally;
850+ products from 50+ brands in Japan
Coca-Cola
Coca-Cola Zero
Coca-Cola Life
Fanta Grape
Sports drinks
Aquarius
Active lifestyle
beverages
Juice drinks
Sparkling beverages
Sprite
Schweppes
Citrus
Canada Dry
Ginger Ale
Minute Maid
Asa no Kenko Kajitsu
Orange Blend
Minute Maid
Asa Banana
Minutes Maid Qoo
Waku-waku Orange
glacéau
Vitaminwater
xxx
Tea
Aquarius Zero
Aquarius Vitamin
Toreta!
Ayataka
Sokenbicha
Japanese Oolong tea
Tsumugi
Kocha Kaden
Royal Milk Tea
Karada
Meguricha
Water
Coffee
Georgia
Georgia
European
Emerald Mountain
Shifuku no Bito
Blend
Taiyo no Mate-cha
Georgia
Emerald Mountain
Blend Black
Georgia
European Kaoru
Black
Georgia
European
Jukuren Blend
Georgia
European Koku no
Bito
Karada
Sukoyakacha W
Energy drinks
Georgia
European
Premium Café
Late
Real Gold
I LOHAS
I LOHAS Mikan
I LOHAS
Sparkling Lemon
I LOHAS MOMO
9
Four of The Coca-Cola Company’s 20 billion-dollar
brands worldwide were born in Japan
10
The Coca-Cola Japan System
7 bottlers in Japan
1. Hokkaido Coca-Cola Bottling Co., Ltd.
2. Michinoku Coca-Cola Bottling Co., Ltd.
3. Coca-Cola East Japan Co., Ltd
4. Hokuriku Coca-Cola Bottling Co., Ltd.
5. Shikoku Coca-Cola Bottling Co., Ltd.
6. Coca-Cola West, Co., Ltd
7. Okinawa Coca-Cola Bottling Co., Ltd.
Coca-Cola (Japan) Co.
Planning
R&D
Concentrate
production
7 bottlers
Product
production
Logistics
Sales
Bottle
collection
Recycling
Coca-Cola Tokyo R&D Center
11
Plant Location
22 FBO Bottling Plants
30 Approved Co-Packers
12
Complexity of Supply Chain
…….Our supply chain plays a critical part in accelerating
performance to meet 2020 goals
Raw Materials
Production
Distribution
Customer/
Consumer
Waste
Capture
 Ensure Quality & Food Safety Across Entire Supply Chain
While:
 Maintaining Quality in a Rapidly Evolving Business Environment
 Producing Products Compliant to Increasing Regulatory
Requirements & Consumer Expectations
 Japanese consumer are very sensitive to product Quality.
13
Product Complexity in Japan
The Size of The Japan Beverage Market is about 9.4 Bn UC
RTD accounts for around 38% out of the Total
Alcohol 17%
38% RTD
Non-RTD
Total
9.4 Bn uc
45%
Non-RTD
RTD
RTD
3,9%
0,2%
Green Tea
Coffee
23,6%
24,7%
Milk
Black Tea
Oolong Tea
Others
4,9%
2,8%
Sparkling
16,2%
Coffee
17,3%
Juice
Total
4.3 Bn uc
6,7%
2,6%
1,7%
7,6%
Total
3.6 Bn uc
14,5%
Sports
10,6%
35,6%
27,2%
Tea
Energy
Water
Others
14
Food Safety across E2E Supply Chain
Supplier
GFSI Scheme
Certification
Bottling Plant
GFSI
FSSC22000
Certification
Customer
GFSI
15
Management System Requirement
ISO
9001:2008
FSSC
22000
ISO
14001:2004
OHSAS
18001:2007
Any GFSI
Approved
Scheme
Commercial Product
Supply(CPS)
C
C
C
C
N/A
Fountain/Bottling
Manufacturing
C
C
C
C
N/A
Co-Packers
C*
N/A
I
I
C*
Manufacturing of other
Food Products
C
C
I
I
N/A
Distribution Operations
I
I
I
I
N/A
Warehousing
I
I
I
I
N/A
Fountain/Vending
Operations
I
I
I
I
N/A
C＝Certification I ＝Implementation N/A＝Not Applicable
*SQF level3 certification is accepted as equivalent to ISO 9001 and Food Safety
Certification for Co-packers
16
Food Safety Requirement for Supplier
The following Suppliers must obtain
certification to one of GFSI-recognized food
safety management scheme
 Ingredient Suppliers(Company Purchase)
• Dairy Products(Milk, Powder, Cream etc.)
• Agricultural(Tea, Coffee, Juice etc.)
• Others
 Ingredient Suppliers(Bottler Purchase)
• Carbon Dioxide
• Sweetener(Granular Sucrose, HFSS etc.)
 Primary Packaging Suppliers
17
17
GFSI Scheme Certification Status
 Manufacturing
 100% Manufacturing Plants in Japan are FSSC22000 certified.
(28 manufacturing plants completed at end of March in 2011)
 Co-Packers
 100% Co-Packers in Japan are FSSC22000 certified.(31 copackers completed at end of 2013)
 Ingredient Suppliers
 100% Company Ingredient suppliers(110) are GFSI scheme
certified.
 100% Bottler Purchase Ingredient suppliers are FSSC22000
certified.(24 sweetener and 5 Carbon Dioxide supplier plants
completed at end of June, 2012)
 Primary Package Suppliers
 100% Primary Packaging Suppliers are FSSC22000 certified.
(74 supplier plants completed at end of 2012)
18
Next Challenge(Ex. Green Tea)
GFSI Scheme Certification
Current
Final Packing Plant
Tea
Growers
Crude Tea
Processors
Tea
Blenders
1st. Tier
Suppliers
CCJC
1st. Tier
Suppliers
CCJC
Future
Final Packing Plant
Tea
Growers
Crude Tea
Processors
Tea
Blenders
※Sustainable Agriculture Guiding Principles（SAGP) Authorization
by 3rd. Party(J-GAP)
19
Sustainable Agriculture Guiding Principles
LAY THE FOUNDATION FOR “SUSTAINABLY SOURCED” EXPECTATIONS
Human and Workplace Rights
1. Freedom of Association and
Collective Bargaining
4. Work Hours and Wages
5. Safe and Healthy Workplace
2. Prohibit Child, Forced or Abuse of
Labor
6. Community and Traditional Rights
3. Eliminate Discrimination
Environment
7.
Water Management
10. Soil Management
8.
Energy Management and Climate
Protection
11. Crop Protection
9.
Conservation of Natural Habitats
and Ecosystems
Farm Management Systems
12. Harvest & Postharvest Handling
13. Reproductive Material Identity,
Selection & Handling
14. Management Systems, Record
Keeping and Transparency
15. Business Integrity
20
20
Coca-Cola’s 2020 Sustainable Agriculture
Goals and Commitments
Global Goal: 100% of priority commodities meet SPGP
Sweeteners:
Fruit:
Orange
Lemon
Sugar
(Cane)
Sugar
(Beet)
Corn
(HFSS)
Grape
Stevia
Mango
Apple
Other:
Tea
Coffee
Pulp & Paper
(Forestry
products)
Soy
Palm Oil
21
Improve Opportunity for FSSC22000
 Improve effectiveness and value of
FSSC22000 certification through audit
method for surveillance and recertification. (unannounced?)
 Develop Certification Flexibility
Only each site => Multi site certification
22
THANKS
Coca-Cola Japan
23