The Pepsi structure is mainly centralized, but is flexible enough to pick up on local characteristics to ensure that the business is run as efficiently as possible.
Within the overall structure of the company, which covers every corner of the globe, there is a flexible approach that allows the company to maximize the talents of employees at all levels.
While a multinational company the size of Pepsi, which directly employs around 100,000 people, has to have a centralized structure monitoring every aspect of the business it has to be able to adapt and allow local conditions to maximize the talents of its workforce. Clearly the way that the company operates in areas like China has to be different from how it works in the United States.
Each area of the Pepsi empire has its own set up comprising of a Chief Executive Officer supported by a board of directors and executives responsible for distinct areas such as sales & marketing, research & development, human resources and operations. Within each department there will be a degree of autonomy allowing local managers to make decisions and to operate their division how they feel is best.
Structuring the business to monitor best practice is a key element of the companies success and provides for an exchange of information and analysis of how to maximize resources. This also allows pilot schemes to be carried out, which effectively tests the water before rolling out a change across the entire brand.
Monitoring these issues is a constant requirement. Providing a two way flow of information is critical to the structure, this allows decisions taken at executive level to be communicated throughout the company and also for initiatives and innovations at local levels to be reported back to the highest levels of Pepsi-Cola.
Within the overall structure of the company, which covers every corner of the globe, there is a flexible approach that allows the company to maximize the talents of employees at all levels.
While a multinational company the size of Pepsi, which directly employs around 100,000 people, has to have a centralized structure monitoring every aspect of the business it has to be able to adapt and allow local conditions to maximize the talents of its workforce. Clearly the way that the company operates in areas like China has to be different from how it works in the United States.
- International structure
Each area of the Pepsi empire has its own set up comprising of a Chief Executive Officer supported by a board of directors and executives responsible for distinct areas such as sales & marketing, research & development, human resources and operations. Within each department there will be a degree of autonomy allowing local managers to make decisions and to operate their division how they feel is best.
- Reviews
Structuring the business to monitor best practice is a key element of the companies success and provides for an exchange of information and analysis of how to maximize resources. This also allows pilot schemes to be carried out, which effectively tests the water before rolling out a change across the entire brand.
Monitoring these issues is a constant requirement. Providing a two way flow of information is critical to the structure, this allows decisions taken at executive level to be communicated throughout the company and also for initiatives and innovations at local levels to be reported back to the highest levels of Pepsi-Cola.
