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Changeover of PepsiCo during Indra Nooyi’s Period
SubmittedBy – Praveen Ben (18140)
Indra Nooyi
Indra Nooyi was born in Madras (now called Chennai), Tamil Nadu, India, to a
Tamil-speaking family
Nooyi began her career in India as a product manager at Johnson & Johnson and
Mettur Beardsell as a fabric company
Nooyi entered the Boston Consulting Group (BCG) as a strategy advisor in
1980
Later worked as vice president and manager of corporate strategy and planning
at Motorola
In 1994, Nooyi entered PepsiCo and in 2006 was appointed CEO, replacing
Steven Reinemund
Nooyi guided the global strategy of the company and led the reorganization of
PepsiCo
Nooyi also took the lead in the purchase of Tropicana in 1998, and the merger
with the Quaker Oats Company
Nooyi was named on the list of 50 women to watch in Wall Street Journal in
2007 and 2008 and was listed among the 100 Most Influential People in The
World of Time in 2007 and 2008
Nooyi ranked 2nd in Fortune's Most Powerful Women List on September 15,
2015
PepsiCo
PepsiCo, Inc. is an American multinational food, snack, and beverage
corporation
Founded on August 28, 1898; 121 years ago in New Bern, North Carolina,
United States by Caleb Bradham
PepsiCo reported earnings of US$5.557 billion, with an annual revenue of
US$64.66 billion, an increase of 1.2% over the previous fiscal cycle
Products: Pepsi, Diet Pepsi, Mountain Dew, Lay's, Gatorade, Tropicana,
7 Up, Quaker Foods, Cheetos, Mirinda, Ruffles, Aquafina,
PepsiCo is one of the most respected businesses in the world with
products sold in more than 200 nations and regions and 22 brands
The Coca-Cola Company has historically been considered as PepsiCo's
primary competitor in the beverage market
Mission - “Create More Smiles with Every Sip and Every Bite”
Vision - “Be the Global Leader in Convenient Foods and Beverages by
Winning with Purpose”
Journey at PepsiCo
In 1994 Indra joined PepsiCo as Senior VP,
Strategic Planning which she handled for almost
2 years
Later she served as PepsiCo’s Senior Vice
President for Corporate Strategy and
Development from 1996 until 2000
Indra was widely known to be a lead negotiator
on the high-level deals
She was the brain behind PepsiCo’s global
strategy of expansion for more than a decade
She was the one to bring about the
diversification of the company into new healthier
products
She was promoted as Chief Financial Officer in
2000, which made her the highest-ranking
Indian-born woman in Corporate America
Continued…
Her vision for the company as the President and
CFO was to bring the company on track and to
have a snack in the market for every part of the
day
On October 2006, Indra was made the CEO of the
PepsiCo
The first task that hit her desk was reducing the
water usage in India
Indra succeeded in redirecting and reclassifying
the business and its products into three
categories:' fun for you,'' better for you” and
“good for you”.
6 August 2018, PepsiCo Inc confirmed
that Nooyi would step down as the CEO
Strategic Changes Made By Indra
Nooyi
Focusing on healthier food options
Design and Innovation
Growth of Frito lays unit
Expanding distribution network
Avoided a demerger
Doubling down on emerging markets
Global acclaim
STRATEGICASPECTS UNIQUE TO THE SITUATION
 Indra Nooyi has successfully changed the face of beverage major PepsiCo with her agenda of “performance with purpose”
by offering more nutritious products.
 Indra Nooyi is responsible for transforming PepsiCo’s product portfolio from ‘’ fun-food to Healthier-food “ with a agenda
of “Performance with purpose”
 “Performance with Purpose” vision born when Nooyi figured out consumer preferences, reflecting a growing shift towards
a healthier lifestyle in the US and around the world and with Millennials entering the workforce in large numbers.
Initiatives Taken In The Direction
Reformulating some of our existing products to improve their nutritional profile
Engaging employees in health and wellness programs and also making them participate in
community service activities
Partnering with governments, health officials and non-governmental organizations to help
address obesity concerns
Reusing water from processing, working with local communities to provide access to clean
water, and supporting local farmers to deliver quality crops
Investment in R&D, advanced technology key In Portfolio transformation, to identify new
ingredients, recipes, and sweeteners which can help improve its products
In 2017 design team helped drive successful
launches of new products such as LIFEWTR
Pepsi Spire, new touchscreen fountain machine
was designed by the design team which is very
user interactive
Leadership Style
 She always held to her 5 C model leadership – Competency,
Courage, Confidence, Communication & Compass
 Leadership Qualities:
 Communication
 She has received communication training to improve her
abilities and flexes those communication muscles every
time she makes a public appearance
 She maintains a blog at Pepsi where she talks to her
employees via posts every other week
 Relationship Building
 She writes letters to employee’s parents to thank them for
their children
 In maintaining a company relationship with the public,
Indra has been in-tune with consumers needs for healthier
snack and drink options
 Moral Compass
 She lives by moral codes and she feels every corporation
owes society care
 Organizations need to help society reach goals and solve
problems
Strategic Management - Pepsi Co

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Strategic Management - Pepsi Co

  • 1. Changeover of PepsiCo during Indra Nooyi’s Period SubmittedBy – Praveen Ben (18140)
  • 2. Indra Nooyi Indra Nooyi was born in Madras (now called Chennai), Tamil Nadu, India, to a Tamil-speaking family Nooyi began her career in India as a product manager at Johnson & Johnson and Mettur Beardsell as a fabric company Nooyi entered the Boston Consulting Group (BCG) as a strategy advisor in 1980 Later worked as vice president and manager of corporate strategy and planning at Motorola In 1994, Nooyi entered PepsiCo and in 2006 was appointed CEO, replacing Steven Reinemund Nooyi guided the global strategy of the company and led the reorganization of PepsiCo Nooyi also took the lead in the purchase of Tropicana in 1998, and the merger with the Quaker Oats Company Nooyi was named on the list of 50 women to watch in Wall Street Journal in 2007 and 2008 and was listed among the 100 Most Influential People in The World of Time in 2007 and 2008 Nooyi ranked 2nd in Fortune's Most Powerful Women List on September 15, 2015
  • 3. PepsiCo PepsiCo, Inc. is an American multinational food, snack, and beverage corporation Founded on August 28, 1898; 121 years ago in New Bern, North Carolina, United States by Caleb Bradham PepsiCo reported earnings of US$5.557 billion, with an annual revenue of US$64.66 billion, an increase of 1.2% over the previous fiscal cycle Products: Pepsi, Diet Pepsi, Mountain Dew, Lay's, Gatorade, Tropicana, 7 Up, Quaker Foods, Cheetos, Mirinda, Ruffles, Aquafina, PepsiCo is one of the most respected businesses in the world with products sold in more than 200 nations and regions and 22 brands The Coca-Cola Company has historically been considered as PepsiCo's primary competitor in the beverage market Mission - “Create More Smiles with Every Sip and Every Bite” Vision - “Be the Global Leader in Convenient Foods and Beverages by Winning with Purpose”
  • 4. Journey at PepsiCo In 1994 Indra joined PepsiCo as Senior VP, Strategic Planning which she handled for almost 2 years Later she served as PepsiCo’s Senior Vice President for Corporate Strategy and Development from 1996 until 2000 Indra was widely known to be a lead negotiator on the high-level deals She was the brain behind PepsiCo’s global strategy of expansion for more than a decade She was the one to bring about the diversification of the company into new healthier products She was promoted as Chief Financial Officer in 2000, which made her the highest-ranking Indian-born woman in Corporate America
  • 5. Continued… Her vision for the company as the President and CFO was to bring the company on track and to have a snack in the market for every part of the day On October 2006, Indra was made the CEO of the PepsiCo The first task that hit her desk was reducing the water usage in India Indra succeeded in redirecting and reclassifying the business and its products into three categories:' fun for you,'' better for you” and “good for you”. 6 August 2018, PepsiCo Inc confirmed that Nooyi would step down as the CEO
  • 6. Strategic Changes Made By Indra Nooyi Focusing on healthier food options Design and Innovation Growth of Frito lays unit Expanding distribution network Avoided a demerger Doubling down on emerging markets Global acclaim
  • 7. STRATEGICASPECTS UNIQUE TO THE SITUATION  Indra Nooyi has successfully changed the face of beverage major PepsiCo with her agenda of “performance with purpose” by offering more nutritious products.  Indra Nooyi is responsible for transforming PepsiCo’s product portfolio from ‘’ fun-food to Healthier-food “ with a agenda of “Performance with purpose”  “Performance with Purpose” vision born when Nooyi figured out consumer preferences, reflecting a growing shift towards a healthier lifestyle in the US and around the world and with Millennials entering the workforce in large numbers.
  • 8. Initiatives Taken In The Direction Reformulating some of our existing products to improve their nutritional profile Engaging employees in health and wellness programs and also making them participate in community service activities Partnering with governments, health officials and non-governmental organizations to help address obesity concerns Reusing water from processing, working with local communities to provide access to clean water, and supporting local farmers to deliver quality crops Investment in R&D, advanced technology key In Portfolio transformation, to identify new ingredients, recipes, and sweeteners which can help improve its products
  • 9. In 2017 design team helped drive successful launches of new products such as LIFEWTR Pepsi Spire, new touchscreen fountain machine was designed by the design team which is very user interactive
  • 10. Leadership Style  She always held to her 5 C model leadership – Competency, Courage, Confidence, Communication & Compass  Leadership Qualities:  Communication  She has received communication training to improve her abilities and flexes those communication muscles every time she makes a public appearance  She maintains a blog at Pepsi where she talks to her employees via posts every other week  Relationship Building  She writes letters to employee’s parents to thank them for their children  In maintaining a company relationship with the public, Indra has been in-tune with consumers needs for healthier snack and drink options  Moral Compass  She lives by moral codes and she feels every corporation owes society care  Organizations need to help society reach goals and solve problems