Business Organization Assessment Executive Summary Pepsico

PepsiCo Inc. is an American food and beverage corporation headquartered in Purchase, New York, with interests in the manufacturing, marketing and distribution of grain-based snack foods, beverages, and other products. PepsiCo was formed in 1965 when Pepsi-Cola Company merged with Frito-Lay, Inc., and has since expanded from its namesake product Pepsi to a broader range of food and beverage brands, the largest of which included adding Tropicana in 1998 and Quaker Oats in 2001. Based on net revenue, PepsiCo is the second largest food & beverage business in the world, and is the largest in the USA.

PepsiCo has been successful in implementing the 4 managerial functions: planning, organizing, leading, and controlling. Their goals and commitments are clearly defined in PepsiCo’s Mission and Vision statements, as well as in their “Performance with Purpose” campaign. When organization is considered, Pepsico has turned the traditional hierarchy pyramid upside-down, placing more focus on those closest to the customer -- Pepsi's 20,000 front-line performers and operations staff -- by placing them at the top of the organization, The new unified organization eliminates layers of supervision, focuses on 'teams' designed to create fluid, efficient work processes, removes barriers to serving customers, and better links upper management to the front line. PepsiCo has led its over 300,000 employees straight to the top. Their leadership is as diverse as the products they produce, made up of a board of 30 individuals from around the world, who work together to ensure the “Performance with Purpose” campaign isn’t just a catchy phrase. When it comes to the controlling phase, PepsiCo has continued to rise as a company which has made it number 1 in America and number 2 in the world. They consider their employees to be their greatest asset.

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