Free Essay

Indra Nooyi

In:

Submitted By lenny2850
Words 2694
Pages 11
Indra Krishnamurthy Nooyi a daughter, a sister, a wife and a mother and an inspiration leader. Her personal mantra ‘is that there no limits to what you do ‘. From a young woman born in India and immigrating to Unites States of America . Through sheer determination and ambition becoming at the age of 50 the first CEO of PepsiCo which under her management is now positioned at the 2nd biggest snack and beverage business worldwide by net revenue. Her goal is to define PepsiCo as a defining coporaration of the 21st Century. Atricles in the Wall Street Journel has claimed she is more powerful than Anglea Merkel. Indra Nooyi like a star rising ,has risen to the pinnacle of both her personnel life and global career making her one of the most influential businesswomen . The Forbes magazine lists her one of ‘The World’s 100 Most Powerful Women’ a position she has retained and places in the top ten for the past two decades, a truly well deserved achievement as a leader in the world of strategic international business.

1.2 Abstract summary of biography.
The autobiography is not a conventional story and begins with young Nooyi who was born to a middle class family in Madras India, in 1955. India renowned from being conservative when it came to women in society, this was not the case for Indra. She joined the girl’s cricket team in her school and fronted a female rock band, playing the guitar college in India.

Indra Nooyis Mother played a pivotal role in defining her as a future leader and is her main role model. . There is a chapter in the book , that gives an insight how Nooyi’s Mother was eager for her and her other two daughter to succeed, by encouraging them to write and present a speech and state where they wanted to be in life and their aspirations , the reward was chocolate. By doing this at a young age it gave a great sense of confidence and self-belief, to break the mold as a girl born in Indria and the strength to pursue their dreams.
The author documents her education from Holy Angels’ Anglo Indian Higher Secondary School, and Madras Christian College India obtaining an honors degree in Chemistry, Physics and Math. Following a Master’s in business Finance AND Management from the Indian Institute of Management in Calcutta she landed her first job which was in Mumbai India, as product manager with Johnson & Johnson a textile company.

A chapter concentrates on the controversies surrounding the Pepsi brand. Indra Nooyi as PepsiCo’s health ambassador those qualities were tested , taking and fighting to clear the name of the company with the pesticide and groundwater controversy that hit both Pepsi and its competitor Coke in India in 2013.
With her inspiring career, $13.9 salary, 34-year marriage and two daughters, there doesn’t seem to be much missing from Indra Nooyi’s life. For a woman born in a conservative middle-class family in the South in the 1950s she has come a long way.
As it’s an unauthorized biography it would seem the author has never meet Indra Nooyi, if this is the case there is more to the story that the world needs to hear after all, it was through sheer drive she became the CEO of the world's second-largest soft drink maker and it is a story of a powerful woman and it’s not over yet.
Part 2.
2.1. Analysis of traits, charactertics & behaviours.
“Leadership is hard to define and good leadership even harder. But if you can get people to follow you to the ends of the earth, you are a great leader. As a leader, I am tough on myself and I raise the standard for everybody; however, I am very caring because I want people to excel at what they are doing so that they can aspire to be me in the future." - Indra Nooyi in an interview to CNBC, in June 2008.
Indra Nooyi states that Courage, consistency, confidence, a strong moral compass and communication as the keys characteristics in terms of leadership style, coaching and mentoring and motivating employees.She demonstrates that in her traits, characteristics and behaviors making her a good strong effective leader and aspire to work with a company where her transformational style of management prevails. Indra Nooyi’s leadership style can be described as democratic if we compare it to the University of Iowa Studies (Robbins and Coulter, 2005) She listens to all opinions and suggestions, even from those who may argue with her. Indra Nooyi is a leader who through trust and respect for her colleagues enables her to drive the goals of her company is a leader. She represents that all with intelligence, hard work and determination that a woman can succeed in a predominantly man’s corporate world.

Confidence & Risk Taker:
Indra Nooyi possess an adaptive capacity which is the ability to understand, recognize and seize opportunities. This was demonstrated when she undertook a number of strategic initiatives within PepsiCo. One of the biggest callegenes she faced was convincing the other directors to get rid off Taco Bell, KFC and Pizza Hut, her strategic reasoining was that PepsiCo could not compete within the fast food industry along with restaurant businesses as it required dedicated services industry management..
Courage & Ambition :
In an TV Interview with CNBC (Nov 25, 2013, 02.03 PM IST | Source: CNBC-TV18). As a CEO of a truly global company, she states that a leader needs to be willing to always learn new things to run his or her company keeping with the times of uncertainly. Indra Nooyi is ambitious but to be a good leader she directs that ambition towards the company. In the biography she grew up telling her parents ‘I can do anything I put my mind to ‘with ambition comes humility and the ability to engage. This was shown only recently in February, 2015 in Wall Street where investors demanded a return on their capital as a reported dip on their share price. Nooyi acknowledged that during her 6 year tenure from 2006-2012 share prices fell by 4% whereas the rival Coca Cola rose by 40%, Investors, Wall Street analysts and her critics want her to step down but she insisted that PepsiCo has to change by making long-term strategic decisions. By 2018, the company will let go 8,700 employees (about 3% of the total), consolidate facilities, saving about $1.5 Billion and increasing advertising and marketing to $600 million this year( Fortune Magazine, Issue 12, April 27 2015) “We don’t believe we are delivering enough incremental innovation,” Nooyi stated, and described a plan to introduce more and better new products. In terms of costs resources are higher and this will fuel the profits lower for the short term. It’s ambitious and it requires leadership courage but much needed strategic approach in order to maintain Pepsi Co as one of the defining corporations of the 21st Century.

Compassion & Integrity
More encouraging than the commitment to invest are traits of Indra Nooyi, the company's Indian-born chairperson and CEO and true to her roots and heritage under her management decided to invest $6 million in India.(Mint- Pepsi India investment ,November 2013)In an interview given to Mint, Nooyi has said that the company's decision to invest is a reaffirmation of its faith in India.
Nooyi advocates that ‘Today’s CEOs must walk a mile in the shoes of their stakeholders. We need leaders with a global point of view, who develop public/private partnerships and make decisions based on how they impact society’.

During her keynote speech for PepsiCo at the ‘Blog Her’ Keynote event in the U.S. in 2011, she spoke about nurturing people with talent , how that if we can develop, recruit and train people it will help a company retain them.

Competence & Vision:

The traits that attributes to a good leader are the ability to think long term to have a vision be strategic thinking but implementation with tactical versatility in order execute plans and vision of a company. Nooyi when she joined Pepsi and became CEO from ABB in 1994 as chief strategist, she and the board wanted the company transformed. Having a broader vison She saw two massive trends that could be better or worse for PepsiCo, globalization and the worldwide rise of lifestyle diseases e.g. Diabetes, coronary artery disease.
By fostering innovative thinking and making decisions Investment in R & D was authorized by Nooyi. The investment is paying off with the lab finding methods for producing potato chips as tasty with less sodium. Having the capability to innovate under Nooyis direction has for example with a venture with Germany’s Müller Group, PepsiCo developed the fruit-and-yogurt technology that makes the fruit taste fruitier and lets it sit on top of the yogurt. The most important developments under Nooyis management is continual funding to scientists working on sweeteners. An all-natural zero-calorie sweetener that could be formulated into great-tasting drinks and other products would profoundly change the drinks and beverage industry.
Indra Nooyi seems to be able with her experience and competence as a strategic leader strike a balance between the short term and long term unlike some CEOS, driven only by short-term quarterly results, she strives for a good future within the organization and society.
Communication & Learning
Indra Nooyi is a firm believer of investment in communication skills. As a business leader is it well recognized to excel in communication , there needs to be articulation in both writing and speaking and the ability to present a professional persona that inspires confidence when interacting with others. An effective leader who can’t communicate cannot move an organization forward with the plans and, and will motivate them to meet goals with great appetitte and certaintly. Important is slear communication, which conveys the passion and vision, whilst team building and will put you across as a strong leader.
In Indra’s words “You cannot over-invest in communication skills.” In order to have strong communication she enlists training from appearance and deals with a customer. Weekly she cements her relationship building with her employees by maintain a blog at Pepsi where she talks to her employees via posts.
“Blogging and the Internet allow us to engage in a lot more real time conversations as opposed to a one-way dump of information or a message.” Indra Nooyi tells us. She actively attended events and conferences with woman in Management, she openly accepts invitations to speak for CNN on their dedicated business channels about her leadership and globalization.
With communication, comes consistency and the message is clear under Indra Nooyi management style there is no second guessing. Her approach is firm and clearly thought out.
“Just because you are CEO, don’t think you have landed. You must continually increase your learning, the way you think, and the way you approach the organization. I’ve never forgotten that.”- Indra Nooyi . Quoted in "A Learning CEO Can Power Through Tough Times: Indra Nooyi". Forbes India. 5 December 2013. Retrieved on 18 December 2013.
Nooyi apetitite for knowledge and educuation and ambition move up the career ladder is inspiring.A effective leader will inspire her employees and instill confidednce that she is equiped with the tools and techniquues to execute the strategic capabilites of a company.

2.2 Working for PepsiCo under Indra Nooyi Leadership

As a company PepsiCo Ireland was named as the 4th Best Overall Great Place to Work in Ireland for 2015 and the 6th consecutive year PepsiCo has been ranked among the top tier of places to work in the country.
The culture at PepsiCo is to perform well as a team, to strengthen the company as a whole. The Employee Resource Groups that were set-up by Indra Nooyi are proof-positive that inclusion is important at PepsiCo.
Under Indra Nooyi strategic leadership PepsiCo thinking is global, and actively innovating to sustain their business practices. Its emergence in new markets mean new ways of doing business, and new ways of addressing health concerns, cultural differences and environmental challenges and represents exciting challenges and prospects for a graduate.

3.1 Critical analysis of the Business Leader
In 2004, a controversy emerged from Centre for Science and Environment's report alleging pesticide residues in soft drinks in India. Indra Nooyi was chief financial officer at the time. This was followed by allegations of depleting ground water by its various bottling units.
In 2010 Indra Nooyi was key decision maker to the fact that PepsiCo withdrew from its advertisement during the Super Bowl one of the most matched events in America. Instead she launched ‘The Pepsi Refresh Project’ promoted to encourage customers to revive their neighborhoods, the company spent over $20 million on this marketing campaign only to discover it did not align with the brand. That same year Diet Coke overtook Pepsi.
Nooyi long term strategic vision on PepsiCo is to achieve their financial objectives whilst remaining socially responsible. This being the situation Indra Nooyi as a business leader it would be prudent to attract institutional investors who value sustainability and who will give her more scope to achieve the company’s long term goals.
Indra Nooyi declared ‘that women can’t have it all’ speaking at the Aspen Ideas Festival in July 2014, as a woman business leader, these were negative to women either entering or already in the workforce. As a truly inspiring leader whether to achieve work and life balance, take responsibility for managing time and setting limits. As a business leader and a woman, it’s not what is needed to inspire and demonstrate to young women as they’re about to embark on their adult lives and careers.
To conclude: “They say sleep is a gift that God gives you,” Indra Nooyi quotes. “That’s one gift I was never given.” (June 11, 2012 issue of Fortune) it is an inspiring story of a powerful business leader and it’s not over yet.

Bibliography: http://www.hindustantimes.com/columnsbusiness/nooyi-admits-to-mistakes-in-handling-pesticide-controversy/article1-228447.aspx http://www.centerforworklife.com/leadership-qualities-indra-nooyi/ http://www.enactuscareerconnections.com/indra-nooyis-leadership-lessons-head-heart-hands/ Hofstede, G. (1997). Culture and Organizations: Software of the Mind. New York: McGraw-Hill.
Indra Nooyi — A Biography: Annapoorna; Rajpal & Sons, 1590, Madarsa Road, Kashmere Gate, Delhi-110006. Rs. 95.
Sellers, Patricia (2012-10-02). "Forbes Magazine's List of The World's 100 Most Powerful Women". Forbes. "#13 Indra Nooyi". Forbes. Forbes. Retrieved 20 June 2014. http://managementstudyguide.com/strategic-leadership.htm McGregor, D. (1960). The Human Side of Enterprise, New York, McGrawHill
"A Learning CEO Can Power Through Tough Times: Indra Nooyi". Forbes India. 5 December 2013. Retrieved on 18 December 2013.

https://www.thehayesgroupintl.com/2013/03/06/the-five-key-traits-for-tomorrows-strategic-leaders/#sthash.kTd8mjDp.dpuf http://www.icmrindia.org/casestudies/catalogue/Leadership%20and%20Entrepreneurship/LDEN058.htm Kretchmar, Laurie. "Indra K. Nooyi, 35." Fortune (May 6, 1991): p. 112.
Murray, Sarah. "From Poor Indian Student to Powerful US Business-woman." Financial Times (January 26, 2004): p. 3.
"Nooyi Denies Gucci Talks." WWD (February 27, 2004): p. 2.
Pandya, Meenal. "No Going Back: Indian Immigrant Women Shape a New Identity." World and I (May 2001): p. 204.
"A Potent Ingredient in Pepsi's Formula." Business Week (April 10, 2000): p. 180.
"The Power of Two at Pepsi." Business Week (January 29, 2001): p. 102.
Thottam, Jyoti. "The 'Iron Woman' Is Ready to Rock." Time (December 1, 2003): p. 73.
"A Touch of Indigestion." Business Week (March 4, 2002): p. 66.
Wells, Melanie. "A General in Waiting?" Forbes (January 20, 2003): p. 74.
“Overloaded Circuits: Why Smart People Underperform” by Edward M. Hallowell
Jim Collins “Good to Great: Why Some Companies Make the Leap…And Others Don’t,” Merwyn
Hayes and Michael Comer “Start with Humility: Lessons from America’s Quiet CEOs on how to Build Trust and Inspire People”
“Drive: The Surprising Truth About What Motivates Us” by Daniel Pink
https://www.thehayesgroupintl.com/2013/03/06/the-five-key-traits-for-tomorrows-strategic-leaders/#sthash.kTd8mjDp.dpuf

Similar Documents

Premium Essay

Indra Nooyi

...1. What were the factors that shaped Indra nooyi as a leader? - Nooyi did not let her conservative culture keep her from leaving home - Nooyi took factors from her childhood of being tested while competing for a piece of chocolate as a positive reinforcement to think critically and to be aware of the world she lives in. - The encouragement of her grandfather to keep up with her studies to ensure she would advance in life. - She worked to put herself through school as she worked to get an interview straight out of Yale. - Her professor advised her to wear a sari to her to her next interview so that they could see her culture and accept her as she is and if they did not accept her for the job it would be their loss not hers. The professor wanted her to be herself and be proud of where she came from. - Her experience with organizations shaped her leadership style, by being a strategy consultant it taught her to inductively think. - She believed that leaders should have the ability to draw on their previous experiences while having an enduring commitment to the learning process. 2. What are the factors that could make nooyi change her decision about corporate sustainability? - Emphasis on the long-term outcomes rather than a focus on short-term earnings emphasized by shareholders - There has to be strong ability to think local while globally , especially in the context of newer markets in the developing world - With...

Words: 664 - Pages: 3

Premium Essay

Pepsico Strategic Management

...providence - Lack of strong personnel in marketing and administration - Lack of diversities in product offered into the market - 2 separate bottling company - Strength and weakness 1. Strength - Diversities of product - Huge assets around the globe - Create synergy between product categories - Having Indra K. Nooyi - Great marketing and advertisement plan 2. Weakness - Various company involved - rely on independence bottling company - Lack of expert personnel - Different in management and administration for each branch Main Strategies to Success - Bolstering manufacturing and sales in China - Further increase investment in Japan, India, Europe, Mexico and Latin America - Retake ownership of its two largest bottlers - Increase the number of non-carbonated product - Ventured into a conglomerate diversification business - Successfully develop a synergy between product categories - expand its market through market penetration, mergers and acquisition. - Divide the company into three distinctive group which specialize in a field of interest - Promote Indra K. Nooyi as CEO and chairman - Extensive advertising and promotional activities - Creative marketing and development of catchy slogans - Developing new products to meet customer satisfaction...

Words: 408 - Pages: 2

Free Essay

Ethical Optimism

...October 1, 2006 PepsiCo named Indra K. Nooyi President and Chief Executive Officer. For the past decade, Nooyi has been conducting the company’s global strategy plan and Performance with a Purpose. Prior to becoming CEO, Nooyi served as President and Chief Financial Officer starting in 2001. From 1996 to 1999 she was Senior Vice President of Corporate Strategy and Development. Before joining PepsiCo in 1994 she was Senior Vice President of Strategy and Strategic Marketing for Asea Brown Boveri, a Zurich-based industrials company. She was in charge of the company’s business and involvement in the U.S. Between 1986 and 1990 she worked for Motorola where, again, served as Vice President and Director of Corporate Strategy and Planning. She spent those six years directing international corporate strategy projects at the Boston Consulting Group. Her career started in India where she earned a B.S. from Madras Christian College, an M.B.A. from the Indian Institute of Manage in Calcutta and a Masters of Public and Private management from Yale University(PepsiCo. (n.d.). Bio. In Our leadership [Biography].) Nooyi has been leading the Performance with a Purpose for many years and it’s focused on delivering sustainable growth by investing in a healthier future for people and our planet (PepsiCo. (n.d.). Bio. In Our leadership (par.2) [Biography].). Nooyi delivered an amazing speech for the Miami University Commencement on May 7, 2011, to the graduating students (Nooyi, I. K. (2011, May 7)). I...

Words: 1013 - Pages: 5

Premium Essay

Assignment

...skills. Managers that I would like to describe as master manager were Indra Krishnamurthy Nooyi, CEO of PepsiCo and Carol Ann Bartz, CEO of Yahoo. Indra Krishnamurthy Nooyi, who was the CEO of PepsiCo. She was born on 28th of October 1955 in Madras, India. She came from a middle class family. She got 5 members in her family who were her parents, her sister and younger brother. She lived in Greenwich, Connecticut with her husband and two daughters currently. She had completed her schooling from Holy Angels School, Madras. Nooyi continued her studies at Madras Christian College and earned a bachelor’s degree major in chemistry, physics and mathematics during 1974. Then, she enrolled herself in India Institute of Management in Calcutta. It was one of the schools, which offered master in Business Administration Degree. Her course was major in finance and marketing, finished in 1976. After she completed MBA, she got her first job at Mettur Beardshell Ltd which was a textile company. She then worked as a product manager at Johnson and Johnson. She was gaining an amusing experience while she worked there. Her achievement in the company was the launching of sanitary napkin named Stayfree. She needed to introduce in India. This was a hard task as advertisement of personal protection in India was not allowed. She introduced the product by distributed to teenage girl and woman at school or public place. During 1978, Nooyi enrolled herself...

Words: 1565 - Pages: 7

Premium Essay

Pepsi

...Environmental Factors Paper University of Phoenix Christy Holley Environmental Factors for PepsiCo PepsiCo, one of the leading beverage and snack companies in the United States and abroad, is affected by both global and domestic environmental factors. These factors, along with changes in technology, all impact and shape the organization and affect marketing decisions. The article “PepsiCo Pops for China,” written by Ruthie Ackerman and published by Forbes.com, reviews Pepsi’s decision to invest billions into the Chinese market audience. This paper will review the article, identify environmental factors that shape the organization and impact marketing decisions, and discuss how technology plays a role in those decisions. Alternatives to Ackerman’s view of social responsibility to the company’s marketing decisions and activities will be analyzed, along with explanations of how ethical issues can make an impact. The accuracy of the article’s forecasts will be reviewed and further supportive references to conclusions made will be gathered, if necessary. Global and Domestic Factors Several macro-environmental factors shape the PepsiCo Corporation and impact marketing decisions. Demographics, economic climate, ecological and political issues, technology, and cultural concerns all affect where the company is headed desires and the decisions the company makes. Each issue affects the company differently, but when combined together, the environmental factors can wreak havoc...

Words: 2183 - Pages: 9

Premium Essay

Bus520

...Professor: Dr.Fardanesh Strayer University Organizational Behavior. The effect of increasing the minimum wage in America 11/18/2011 Table of contents Title Pages Introduction Page3 Summary of How Pepsi’s Indra Nooyi Learned to Be a CEO Page4-page5 Summary of Indra K. Nooyi Biography Page6-Page7 Summary of Leadership Style of Indra Nooyi Page8-Page9 Conclusion Page10 Introduction Indra Nooyi, one of the best business leaders in the world is a fascinating Indian born woman. She is the Chairman and chief Executive Officer of PepsiCo, which has the world’s largest portfolio of billion-dollar food and beverage brands, including 19 different product lines that each generates more than $1 billion in annual retail sales. PepsiCo’s main businesses- Quaker Oats, Tropicana, Gatorade, Frito-Lay, and Pepsi-Cola make hundreds of enjoyable and wholesome foods and beverages that bring joy to consumers in more than 200 countries. With approximately $60 billion in revenue, PepsiCo employs nearly 300,000 people worldwide. Indra Nooyi embodies all the attributes of great leader. She has clear vision for PepsiCo, under her leadership PepsiCo was able to close its most important deals, the acquisition of the Tropicana orange-juice brand in 1998, and two years later the acquisition of Quaker Oats for $14 billion. She has an impressive personal skills, she is a very positive person she tries to keep her calm when facing a challenge. She once said...

Words: 2018 - Pages: 9

Premium Essay

Pepsi and Google Leadership Case Study

...1. Culture is an essential element of organizing in the P-O-L-C framework. Do you think Google has a strong culture? What would it take to make changes in that culture, for better or for worse? Undoubtedly Google has one of strongest cultures in today’s corporate World. The strong work culture has paid off for Google as it is ranked consistently as the best place to work. If Google were to remain in the best position in the future, It has to change continuously and evolve accordingly to face the competitors. Google’s cultural innovations might be imitated in other companies as well. It is easy to have a good corporate life style when the company the company is doing very well on the economic front. When company’s resources become more constrained with the maturing of its industry and its business model, these kind of investments will be harder to make. When Google slows down financially it will be difficult to retain great employees. 2. Do you think Google’s unique culture will help or hurt Google in the long run? Google’s unique culture might not help Google as it is helping today. I think so because the corporate life style, more benefits to employees are very much imitable by other companies. Any company that is doing very good financially can adopt these measures. There comes a point in future where the core competencies...

Words: 1149 - Pages: 5

Free Essay

Influence Process

...The Concept Of Influence Processes Influence is defined as the force one person exerts on another person to induce a change in the targeted individual. Influencing can change a person's behavior, attitude, goals, opinions, needs and values. Influence is a necessary part of leadership. It is concerned with how the leader affects followers. Influence is a necessary ingredient of leadership, without influence, leadership is non-existent. The influence dimension of leadership requires the leader to have an impact on the lives of those being led. To make a change in other people comes with an enormous amount of social and ethical burden. Various types of influence processes and the factors affecting them Leaders use variety of influence process to alter the behavior of people. The influence process changes according to the demands of the situation. Influence processes refer to the five ways leaders shape organizational variables including people and resources. The five influence processes are direct decisions, allocation of resources, reward system, selection and promotion of other leaders and role modeling. Each will be discussed in detail in the following paragraphs Direct decisions: Direct decisions provide the leaders the ability to influence the choices of their followers. This ability to influence comes with the control leaders have in formulating mission and vision aspects of an organization. The most important aspect giving power to leader in the organizational structure...

Words: 1417 - Pages: 6

Free Essay

Understand Business Strategies of Pepsi

...these challenges now. One outcome of the Scenarios and Strategy work is that PepsiCo is building a team to focus on sustainable agriculture, so it can mitigate the risks that climate and water crises pose to its supply chains, now and in the future. The project work has also contributed to the development of new strategies for the business on the environment and health and wellness. Indra Nooyi, Chairman and CEO, PepsiCo said: “PepsiCo's commitment to sustainability is about an idea of the company which focuses on the long-term, as our Scenarios 2030 project has shown us. We cannot contribute properly to finding an end to the climate crisis until we bring environmental and social governance into our long-term business strategies/decisions. It’s not all about the risks, but also about the opportunities.” The scenarios were developed specially for PepsiCo and were based on extensive desk research, a series of workshops and over 100 interviews on possible future environment and health trends. The interviewees ranged from senior executives at PepsiCo, including Chairman and CEO Indra Nooyi, to external experts like Gro Harlem Brundtland, the former Prime Minister of Norway and ex-Director General of the World Health Organisation. We also held a number of implications workshops in the US, India, China, Latin America and Europe. This work is seen as a critical piece of strategic thinking for the business. Robert Schasel, Director of Energy & Resource Conservation at PepsiCo...

Words: 575 - Pages: 3

Premium Essay

Delta

...2001—which added the Gatorade brand to its portfolio. As of January 2012, 22 of PepsiCo's product lines generated retail sales of more than $1 billion each, and the company's products were distributed across more than 200 countries, resulting in annual net revenues of $43.3 billion. Based on net revenue, PepsiCo is the second largest food & beverage business in the world. Within North America, PepsiCo is ranked (by net revenue) as the largest food and beverage business. Indra Krishnamurthy Nooyi has been the chief executive of PepsiCo since 2006, and the company employed approximately 297,000 people worldwide as of 2011. The company's beverage distribution and bottling is conducted by PepsiCo as well as by licensed bottlers in certain regions. PepsiCo is a SIC 2080 (beverage) company. Despite the whirlwind of speculation around PepsiCo, investors should avoid the short-term desire for returns and see the benefit of the company's long-term strategy. With a focus on health and wellness, chairman and CEO Indra Nooyi is, for all the reported frustration at the firm's recent financial performance, on a path that many would argue is the right road for the company. The drinks and snacks giant has found itself in the business headlines on almost a daily basis in recent weeks, as a number of analysts and investors clamour for the company...

Words: 840 - Pages: 4

Premium Essay

Letter from Ceo

...because the Corporate Social Responsibility may also be referred to as "corporate citizenship" and can involve incurring short-term costs that don´t provide an immediate financial benefit to the company, but promote positive social and environmental change. Letter from the Pepsi CEO emphasizes on the fact that “Today, a company’s profits are inextricably tied to the prosperity of its consumers, customers, employees, communities and society writ large”. Is important the responsiveness having the company for the changes happening in society, and implement actions that encourage the development of the company, focused not only on economic issues. * Stakeholders/sustainability/voluntariness aspects of CSR. Regarding stakeholders Indra K. Nooyi, Chairman and Chief Executive Officer, think that if communities suffer as a result of a company’s actions, those returns are not sustainable. The profits are inextricably tied to the prosperity of its consumers, customers, employees, communities and society. PepsiCo has three pillars of sustainability: Human, Environmental and Talent. These three pillars form the foundation of what they call Performance with Purpose, and they help to drive his financial results. PepsiCo stabilish relations with NGOs to share many common objectives and can find more opportunities to join hands. Also they are achieving progress through sustainable agricultural practices, innovative methods of water conservation, more nutritious product offerings and...

Words: 451 - Pages: 2

Premium Essay

Market Research

...Pepsi: Repairing A Poisoned Reputation In India How the soda giant fought charges of tainted products in a country fixated on its polluted water Indra K. Nooyi says she still feels guilty filling a bathtub with water. It sounds far-fetched coming from the chief executive of a major multinational corporation, until you consider her early years. Nooyi, the chief executive of PepsiCo Inc. (PEP ), didn't get much water growing up during the 1960s in the Indian coastal city of Chennai. Although she describes her family as "very middle class," they still had to rise every morning between three and five—the only hours that the valves to the municipal water supply were turned on—and fill every bucket in the house. Two buckets were set aside for cooking, and two each would go to Nooyi, her older sister, and her younger brother. "You had to think about whether to take a bath," says Nooyi, matter-of-factly. "You learned to live your life off those two buckets." Nooyi left Chennai, propelled by a dream to build a career in the U.S. She headed to the prestigious Indian Institute of Management and later Yale University before moving into the corporate sphere, eventually settling at PepsiCo in 1994. When she was named CEO in October of last year, India's water again became a focus of her life. This time Nooyi was cast as part of the problem. Villagers charged that PepsiCo—which has named India as a top strategic priority—consumes excessive groundwater in their parched communities. Even...

Words: 3249 - Pages: 13

Premium Essay

Casefile

...Continental’, Harvard Business Review, Vol. 76, Issue 5, pp162-173. Kouzes, B. and Posner, J. 2012, The Leadership Challenge, 6th edition, Jossey-Bass, Chapter One: the Five Practices of Exemplary Leadership. Quinn, R. Faerman, S. Thompson, M. McGrath, M. St Clair, L. 2015, Becoming a Master Manager, Sixth Edition, John Wiley & Sons, Hoboken NJ 1-21 Quinn, R. Faerman, S. Thompson, M. McGrath, M. St Clair, L. 2015, Becoming a Master Manager, Sixth Edition, John Wiley & Sons, Hoboken NJ 333-336 Jack Ma says that “making money is simple; but making sustainable money – improving the world and meanwhile making money – is very difficult”. Firstly, explain the similarities between what Jack says about sustainability and purpose and what Indra Nooyi says about sustainability and purpose....

Words: 413 - Pages: 2

Premium Essay

Mgt521 Pepsico Business Analysis I

...PepsiCo Business Analysis: Part I Management/MGT-521 Dr. Olivia Herriford PepsiCo Business Analysis: Part I PepsiCo is a world leader in convenient snacks, foods, and beverages with revenues of $65 billion and more than 285,000 employees. The company headquarters are in Purchase, New York. PepsiCo products can be found in nearly 200 countries around the globe. The company has 22 brands that each generates more than $1 billion each in annual retail sales. PepsiCo owns some of the world's most popular brands, including Pepsi-Cola, Mountain Dew, Diet Pepsi, Lay's, Doritos, Tropicana, Gatorade, and Quaker. Our brands are available worldwide through a variety of go-to-market systems, including direct store delivery (DSD), broker-warehouse, and food service and vending (PepsiCo, 2012). A SWOT analysis of a company is an important piece for an investor to determining if it is possible invests in a company and have a viable return of this inversion. This analysis will help to understand if the company is achieving its goals and objectives. Another important point would be identifying the company stakeholder and how the needs of those stakeholders are meet. SWOT Analysis Conducting a SWOT analysis of PepsiCo will determine the current status and strength for a potential investor. A SWOT analysis is a planning tool used to analyze an organization’s strengths, weaknesses, opportunities, and threats ((Nickels, McHugh, & McHugh, 2010). Strengths PepsiCo has 22 brands that...

Words: 1675 - Pages: 7

Premium Essay

Mini Case Pepsico

...What “grade” would you give Ms. Nooyi for her job performance as a strategic leader? What are her strengths and weaknesses? Where would you place Ms. Nooyi on the Level-5 pyramid of strategic leadership and why? I would give Ms. Mooyi a B. The CEO of Pepsico is well informed about the company’s resources and how they are being affected by the external environment. The decisions that she she made to restructure and diversify the company have definitely positively impacted how the company is being perceived. Those decisions also provided various opportunities within the food industry be creating healthier food lines and adding competitive advantage. As for the disadvantages I believe that she is trusting a lot of strategic elements in the company by creating a corporate company lifestyle. It is also unclear if the performance of the company is related to CSR and if it represents the competitive advantage over competitors. The results that the company is achieving do not show that Pepsi is gaining the competitive advantage over the competition. What is needed to have a better performance with competitors is better business strategies that will improve current company situation. The markets where Pepsico is competing are established and have already developed very strong competitive advantage. On the Level-5 pyramid of strategic leadership Ms. Nooyi is definitely located either at or extremely close to the top of the pyramid. She has shown that she possesses exceptional...

Words: 782 - Pages: 4