From Toni’s Desk: Lessons from Coca-Cola
About a month ago, I was reading the Sacramento Bee and found a story about the Coca-Coca bottling plant in Sacramento shutting down.
Shortly after buying the bottling company, Coca-Cola realized they did not need the plant and actually had excess capacity.
One of lines in the story struck me:
"The parent Coke company bought the operation in a hurry at the request of the Sellers family, which had owned the business since its founding in 1927.”
"We did not have the time to do all the due diligence we would have liked to have done," Ethridge said."
Whether you are a small or large company or market soft drinks or lettuce, it is important to have the information needed to make smart business decisions.
Sometimes, as in the case of Coca-Cola, timelines limit your ability to conduct full-scale business plans, feasibility studies, or due diligence studies with your in-house talent. Morrison has worked with a number of clients looking to expand, to purchase new facilities, or to jump into a new market venture. In many cases, these clients have the expertise to analyze their options, but not the time. Reaching out to the right kind of partner might save your business time, money, and the regret of making a poor decision.
Even in my personal life, knowing what I have, what I need, and the value of the both is crucial. This lesson from Coca-Cola reminded me that at the very least, I should consider the return on my investment in purchases I make, whether it is a $50 pair of heels or a $5 plant for the empty pot on my front porch (I'll wear the shoes three times a week and forget to water the plant, rendering it dead in a few days. I think I'll get the shoes, forget the plant, save the $5 for coffee, and use the pot to store outside dog toys).
About the Author
+Toni Scott is a consultant with Morrison, providing business valuations, business planning (including budgeting, cash flow forecasting, strategic planning), feasibility studies, interim executive CFO services, competitive grant writing and special projects that don't fit into any conventional category. You can contact Toni directly at email@example.com or via telephone at 530-893-4764 ext. 205.