How Japan's Coca-Cola Team Uses AI to Green Its Supply Chain – Sustainability Magazine


Coca-Cola Bottlers Japan Inc (CCBJI) is leaning into operational sustainability, using data and digital planning to streamline how it delivers its products to consumers.
As the primary distributor of Coca-Cola products in Japan, covering approximately 90% of the market, and one of the largest bottling companies anywhere in the world, CCBJI has a large responsibility to reduce its carbon footprint.
To do this, the company is rolling out AI technologies through its supply chain.
In collaboration with o9 Solutions, a Dallas-based enterprise renowned for its cutting edge software, CCBJI is looking to transform its supply chain strategy and enhance its overall operational sustainability.
o9 Solutions has introduced the Japanese company to its Digital Brain platform — a solution designed to convert raw data into coordinated and efficient supply planning.
Using this, CCBJI hopes to improve its demand forecasting, optimise its delivery routes, minimise waste, increase inventory precision and ensure the consistent availability of products across Japan’s demanding marketplace.
Accurate planning is critical for any sustainable supply chain. For CCBJI, this involves synchronising production capacities, warehouse availability, truck resources and product shelf lives with projected demand throughout Japan.
This task becomes increasingly complex with the myriad of deliveries and product variations the company manages.
Implementing o9’s Digital Brain enables CCBJI to replace isolated systems with integrated planning tools. The platform merges demand forecasts with operational insights, such as truck fleet details and raw material inventories, offering a comprehensive overview of production capabilities and schedules.
This integration promotes collaborative decision-making, reducing instances of inventory mismatches and shipment delays.
Moreover, “mathematical optimisation” through algorithmic calculations identifies the most sustainable and cost-effective supply routes and schedules, reducing transportation expenses and warehouse inefficiencies.
According to o9, the mission is “data-driven management” that maximises existing resources, facilitating faster analyses and more informed decision-making.
Coca-Cola Bottlers Japan operates in a complex supply chain landscape in Asia. It must navigate demand fluctuations, geographical diversity and stringent expiration demands from various customers.
o9’s technology addresses these issues with features like inventory allocation tracking and inter-site transfer support, crucial for maintaining sustainable operations.
Success for CCBJI means not only maintaining product flow but doing so in a cost-effective manner while meeting rigorous service standards.
The updated system automates routine decisions, allowing planners to concentrate on strategic sustainability choices — such as determining the production volume of each beverage or optimising storage locations for high-demand items.
“We are honoured to support Coca-Cola Bottlers Japan in their efforts to transform their supply planning,” says Chakri Gottemukkala, Co-Founder and CEO of o9.
“By leveraging our platform to streamline planning processes and optimise supply planning, we will strongly support Coca-Cola Bottlers Japan’s transformation.”
This strategic partnership is part of CCBJI’s broader journey toward operational transformation, where digital tools play a pivotal role in driving sustainability.
By adopting smarter planning methodologies, CCBJI anticipates improvements across its operations — from reduced storage costs and minimised logistics hurdles to more accurate delivery schedules and enhanced product availability.
o9’s platform is tailored to the needs of large enterprises, capable of adapting to commercial campaigns, managing regional supply lines and assessing supply chain risks.
For CCBJI, this adaptability is crucial for staying responsive to demand variations while maintaining stringent cost control.
With this technological advancement, CCBJI is positioning itself for long-term sustainability gains, aiming to maintain its competitive edge in Japan’s beverage market.
The company harnesses AI to not only refine forecasts but also to foster team integration and synchronised actions across planning, production and logistics.
This collaboration underscores a wider trend in manufacturing and retail: the necessity for planning to be smarter, quicker and more collaborative.
For CCBJI, achieving this balance ensures that millions of consumers continue to find the beverages they desire, precisely when they want them.
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