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Introduction to Coles Company

Discuss about the Organizational Structure of Coles.

In today’s era, the companies cannot survive and grow its business without using software within the organization. To expand and flourish the business, each and every company uses accounting software packages and ERP system in the workplace. Coles company has been chosen in the task. It is one of the oldest companies who provide retail and consumer products in the international market. It has been noted that Cole is the second largest retailer behind Woolworths limited. Furthermore, the paper explains the ERP system, organizational structure and system flow chart of Coles Company. The report explains that how the company uses accounting software packages to maximize the profitability of the firm. The paper discusses that how leaders in Australia provide competitive advantages to the company. In addition, it also depicts the current challenges and issues that are faced by the company due to poor accounting software packages. More detail of the paper has been discussed below.

Coles is one of the largest supermarket industry producing retail and consumers products and services in the global market. It was founded in 1914 in Australia with its headquartered is situated in Australia (Colescareers, 2018). It serves almost all the countries of the world. The organizational structure of Coles is decentralized and forms a matrix structure. It follows from top management to down level management. It shall be noted by Upadhyay, Bhargava and Faircloth (2014) that the important decisions are taken by the higher authorities and top management. The structure of Coles is also formed in such a manner that like any other company, it is also divided at three levels which consists of top level, middle level and low level management (Giftcards, 2018). The top level management includes higher authorities who take all the important decisions, the middles level management is taken care by the managers and professionals and at the low level employees are made to work for the company. Coles is serving many parts of the country today due to its efficient organizational structure (Coles, 2018). The structure makes it easy for the company to manage the work and tasks properly. At each level, the work is taken care by the respective members that help in carrying out business smoothly. John Durkan is the CEO of Coles group. He is responsible carry out the business actions and operations effectively (Colesgroup, 2018).

Organizational structure of Coles Company

Since the company is widely known all over the country, therefore it has to face many problems while its operation. It has to take care about the increasing demands of the public in order to meet their requirements effectively and efficiently. The solutions to the problem are generally expected from the professionals of the organization. These operational problems can have a long time effect on the growth of the company. The main problem for Coles becomes when the demand of for a particular product rises in the business by its customers. The problem that occurs while standing in the demands of the business includes the supply of raw materials, shortages of merchandise which also becomes expensive to buy as the products are sold at higher rates than usual. In order to stand on the demands of the customers it is important for the country to tie up with other companies to work on large scale. The poor partnership between companies becomes one of the biggest problem in meeting the demands of the customers effectively and efficiently (Benelli and Pozzebon, 2013). The company is unable to collect feedback and reviews from the customers due to poor and ineffective leadership. Lack of efficiency and effectiveness is also a biggest problem for Coles group (Fan et al, 2014). The company has to face such type of problems and issues while operating and managing its activities (Bloomberg, 2018).

The commercial software used by the company takes care about the demands of the customers. It helps in selling and buying the products of the business, whereas custom software is designed for specific user in the organization. The software is comparatively expensive and is generally used for specific purpose (Hatley and Pirbhai, 2013).

This ERP is the strength of the business. A company like Coles group also has to maintain its market over networks. The most important aspect of the company in earring profits is through internet. Coles uses ERP software to promote  and encourage its business. It stands for Enterprise Resource Planning which is a very effective system used in companies growth. It helps the company in redesigning the whole process of the business, maintains the records and data of the business, and gives its employees chance to get in touch with the strategies of the business. The software allows the Coles group to work on many integrated factors that is related to technical fields. The major part of the business such as planning, sales, marketing, etc. are managed by using ERP system in the organization. The software uses only one database to store many other types of data. It works the way company wants and expects. It manages the accounting and finance of the business and carries out business firmly. It has helped Coles in collaborating with the business and other large firms in the marketplace (Smit et al, 2013).

Challenges and Issues faced by Coles Company

How sale of a product at Coles Company takes place. It talks about the electronic transaction of buying and selling of products. The sales process at Coles is seen initially from the customer placing the order for the product. Then the company checks the availability of the product and places the order accordingly. The order for the required product is then placed and the customer is notified for the delivery of the product. The above diagram talks about the how companies like Coles manage to sell its product over the world. Company is concerned in fulfilling the demands of the customers not only manually but also managing its business electronically. This helps in generating good amount of profits for the company and helps the company to flourish in the market. Hence, the diagram above shows how Coles stands effectively on the demands of its consumers (Batarseh et al, 2013).

Coles is one of the largest developing companies serving super market and therefore it is obvious for the company to face issues. It faces issues like decreasing in the demands of consumers, shortage of stock sometimes, lowering the prices to sell the product, unavailability of resources, technical problems that unable the company to run business (McDermid, 2013).

  1. Decreasing demands in the consumers for the products reduces the profits of the business. The demands are generally reduced due to inappropriate use of ingredients for making the products or high prices. In such cases company can suffer great loss and reduces the demand of the products in the market. The problem can be controlled if company can make better strategies by consulting with consumer through surveys.
  2. The shortage of products is also seen when there is unavailability of resources. This causes a great failure to the company. To control this issue company must keep a track on the amount of resources available in the market and must plan to make products accordingly. The other solution can be that it must keep ample stock of products in the storehouse in case of such emergencies.
  3. Technical problem such as error in software is also a major issue faced by the country. In such cases company should have a permanent software engineer who is highly qualifies in the field of technology. This could be beneficial as whenever the software counts to any problem, the company can save its time by calling the one who is specialized in it. Also, the software must be updated and checked time to time (Burke, 2013).

System of the company also faces frauds like leaking of confidential matters, disloyal employees, corrupt software, etc. In order to reduce such issues it is important for the company to make necessary step like discussing the confidential matters just among a small and trustworthy members of the business. Organization must keep a record of each and every employee working in the company (Patterson and Hennessy, 2013). They must know his background and personal information. The software must be checked time to time in order to avoid any failure in the working. The technology used by Coles Company is one of the major areas where there are chances of frauds. To avoid these failures company can also organize motivational seminars and conferences where they can discuss on the topic of working as a family with loyalty and harmony (Grabner and Moers, 2013).

It has been studied by Mas et al (2014), accounting software packages play an empirical roles in each and every company to increase and enhance the sales and productivity of Coles group successfully. The company needs to maintain daily transactions and accounts of the consumers and suppliers to capture the whole market in the Australia. Financial accounts, ledgers, balance sheet and cash flow statement are made by the organization with the help of accounting software packages. Coles group uses this software to predict the needs and demands of the consumers in the international market. By using accounting software packages, the organization has been able to maintain minimum level of inventory and stock within the organization. Data accesses can be done easily and effective by using of accounting software packages in the workplace. The accounting software also provides credibility and reliability to the users and company as well. This software also helps to make unique decisions whenever required. Along with this, the organization can keep the records and data of the customers, investors and suppliers separately with the help of accounting software packages. The accounting software packages indicate the technological advancements in the field of finance and business accounting. By using effective and unique accounting software packages, Cole’s group has been able to stand out against the rivalries in the Australian market.

ERP system and Accounting software packages for Coles Company

It has been noted that market size of Coles is unique and dynamic in Australia to attract and retain the maximum number of clients in the global market. Due to large market size, Coles group has become a global a global leader in retail industry. It is the second largest super market company who is struggling with competitors to make a strong goodwill in the marketplace. The revenue of the company was A$33.00 billion(2016) and revenue income of Coles group was A$1.9 billion (2016). In this way, it is assumed that the company is increasing and enhancing the revenue and profitability day by day. The main aim of the firm is to maximize in the sale percentage by 10% till 2019. It will help to increase and enhance the sale and market share of the firm.  This profitability and revenue show that Coles group is in good condition to face the competition and risks in the Australian market. Along with this, it shall be stated that the company uses leadership styles to assist and guide the employees in the workplace. Delegation of roles and responsibilities among the workers are done by top management and leaders to make unique and effective decisions within the organization (Tzafestas, 2013).

It shall be noted by Knox (2015) where he stated that there are ample of leaders in the supermarket industry in Australia that could affect the success and growth of the firm adversely. Coles needs to focus on activities and operations of the competitors to gain competitive benefits in the Australian market. Aldi, Wesfarmers, and Woolworths are main and primary competitors of Coles group that may influence the profitability and revenue negatively. Coles group can attain competitive advantages by analyzing and identifying the pricing, policies and strategies of the competitors (Mas et al, 2014). The firm needs to differentiate its products from the competitor’s products to make a unique and attractive image in the eyes of the customers in the Australian market. Along with this, it has been noted that the company should use diversification strategy to distinguish its products and services from the rivalries. Apart from this, appropriate price is fixed by Coles group to beat the competitors in such market. Besides this, distribution model is used by the firm to allocate its products and services among the consumers effectively and successfully (Boulianne, 2014).

It has been noted by Teittinen, Pellinen and Järvenpää (2013) accountants struggle and fight to find out the right and appropriate file within the organization. It is one of the biggest issues that faced by users and customers while using the accounting software packages. It is seen that potential errors and mistakes are high in accounting packages due to absence of cloud based accounting software. Along with this, it shall be noted that users and consumers are unable to secure and keep the data confidentially. It affects the selling process of the companies in the Australian market. Lack of security and efficiency, the company is unable to provide adequate information to the clients in the international market. After the various researchers, it has been studied by Kanellou and Spathis (2013), that some accounting software packages are outdated due to lack of accuracy and efficiency. In addition, data corruption is one of the serious matters in accounting software packages.

Sales process at Coles Company

Now it is recommended that the company should protect the hardware and software to gain competitive advantages in the global market. Along with this, cloud based accounting platform or system shall be used by the users or customers to provide various advantages to the consumers. Moreover, training and development sessions and seminars must be held by the HRM to tell the employees about the benefits of accounting software packages. Innovative and latest technologies, resources and ERP system should be used by Coles to handle and manage the grievances and complaints of the consumers. Unique and effective customer relationship management shall be maintained and built by the top management and leaders in the organization to reduce and avert the issues related to accounting software packages (Jansen, Cusumano and Brinkkemper, 2013).


From the above mentioned analysis, it has been proved that Coles is one of the biggest brands in the retail industry. The company uses effective and unique accounting software to run the business activities and actions in a hassle free manner. ERP system is implemented by Coles to attract maximum number of customers in the marketplace. Along with this, unique and effective organizational structure is used by the Corporation to motivate and encourage the employees in a large extent. Apart from this, here is the discussion about the system flow chart, current size of the market and operational issues of Nestle. The above analysis shows that how the company reduces and eliminates the operations and control issues within the organization. At the end, some suggestions have been explained in the task to make a dynamic image in the global market.


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