Pepsi Organizational Change Paper

PepsiCo, Inc. operates as a food and beverage company worldwide. Through its operations, authorized bottlers, contract manufacturers and other partners, the company makes, markets, sells, and distributes various foods and beverages, serving customers and consumers in approximately 200 countries and territories. The company also owns Frito-Lay company and Quaker Oats. It has bottling and distribution facilities in Asia, North

Change has become necessary for every organisation there is. World is moving rapidly towards better technologies, efficient systems, new techniques, compact profits, different friendlier environments and organisations are always in the race to reach new heights by thriving effectively in this competitive environment (Kotter, 1996).

Managing organizational change is an essential part of organizational success and an inevitable part of any business. Change in an organization is caused by changes in technology, changes in regulatory requirements, changes in processes, and changes in growth (Schoology, 2017). In order for change to be successful, managers must understand the intricacy of how change is managed and implemented. Change is said to be evolutionary when it is related to environmental changes that are small or incremental or related to improvements such as the development of new technology (Schoology, 2017). Change is revolutionary when the change affects the organization as a whole, such as restructuring, or changes

PepsiCo is one of the largest carbonated drink producers in the world, archrival Cocal-Cola. Under its soft drink brands, PepsiCo owned Pepsi, Mountain Dew, and the diet alternatives. In addition to carbonated soft drinks, PepsiCo also offers Tropicana orange, Gatorade sport drink, SoBe tea, and Aquafina water for its beverages product lines. PepsiCo also owned Frito-Lay, one of the world largest producers of snack, that offers products such as Lay’s, Dorritos, Cheetos, etc. Quaker Oats, producer of cereals and snack bars, is also a part of PepsiCo. PepsiCo offers many products in the-non alcoholic beverages and breakfast cereals industry. PepsiCo operates its own bottling and distribution facilities, and it produced roughly 50% of its sales in the United States. PepsiCo used three strategies in its annual report: colorful and large fonts of key financial numbers to demonstrate consistent financial results; easy-to-understand charts to show benefits of holding PepsiCo stocks; photos of products to show presents in global market and product growth.

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),

PepsiCo is a multinational food and beverage company. Operating in over 200 countries, it is the second largest company of its kind in the world. It can be systemized into four divisions, PepsiCo Americas Foods, PepsiCo Americas Beverages, PepsiCo Europe and PepsiCo Asia, Middle East and Africa. Furthermore PepsiCo is organized into six reportable segments, which are, Frito-Lay North America, Quaker Foods North America, Latin America Foods, PepsiCo Americas Beverages, Europe, and PepsiCo Asia, Middle East and Africa.

Pepsico: PepsiCo, Inc. is an American multinational food, snack and beverage corporation headquartered in Purchase, New York. PepsiCo, which holds around 25.4% volume share in the U.S. liquid refreshment beverage market, second behind Coca-Cola's 33.6% share, dominates the savory snacks market in the country with a 36.4%market share.

In today 's business world, many elements are forcing companies to change in order to survive, such as the new technology, new customers’ taste and also new systems of management. Under the dynamic business environment, organizational change becomes one of the essential parts of a business. During different stages of organizational change, various resistances between employers and employees will be created because of different perspectives from both employers and employees. In order to carry out a successful organizational change, developing an effective strategy to overcome the challenge became the most crucial part in the process of organizational change. Undoubtedly, it can be difficult for managers to decide which approach they want to apply to deal with the resistance to organizational change as they need to figure out the ‘best’ solution depends on their company’s condition. It is therefore essential to evaluate critically different ways of solving resistance to organizational change.

McDonald’s Corporation has been going through a series of underperformances over the past three years, mostly marred by unwarranted restaurant outlays and menu changes. This has resulted in a slump in its market share as customers walk away from the fast food giant, often mentioning dissatisfaction in their experiences at their outlets. The company’s management credits this to poor service delivery and the institution of menus that are irrelevant to their target market’s needs. With this observation, the company has taken it upon itself to institute a number of changes to the organization structure it has in the US. This will be done by altering its

Most of the times change is interpreted as an action that makes improvement. Everyone needs change to overcome problems in their environment. Direct implication of change can be applied in organisation as well. Organisation change is one of the keys of a successful growth in organisation. By the definition organisational change is shift from a current state to a new different state with continuous process (Smith, 2005). The purpose of organisational change practice is to improve and develop the organisation’s effectiveness and efficiency through better management, competence, commnications, systems, and structures. Elias (2009) explains that due to the modern world influence that change in a rapid speed, organisation need to adapt in order to prevent organisation’s failure and to survive in the competitive market. There are some major environmental reasons that change organisation such as, technology innovation, and globalisation (Brodbeck, 2002). However, recently organisational change only happened in a low success rate. Low success rate of change means it is going to be hard for organisation to reach success. If company can adapt with change, it can shape the company’s objective and goals in a better way. This essay will explain the factors why the success rate of organisation is low, and discuss how organisational consultant can solve the problem and bring organisation to success.

Dr. John Kotter from his 40 years of research by leadership and change he stated that 70% of all organizational transformation efforts fail because organizations don not take a consistent approach to changing themselves or not engaging work forces effectively.

“Reflecting on the increasing uncertainty in the business environment, how can organisations plan for change? (Consider emergent and planned change).”

Culture is an important part of an organization. In todays world many companies are expanding their business by opening new plants and franchises in different countries in order to maximize their profit margins and reduce their labor costs. As mentioned by (Lee & Lin, 2014) that operating in different locations help companies to gain technological and market information and they can respond to their customers quickly.

PepsiCo, Inc. is one of the most successful consumer products companies in the world, with 2000 revenues of over $20 billion and 125,000 employees. The company consists of: Frito-Lay Company, the largest manufacturer and distributor of snack chips; Pepsi-Cola Company, the second largest soft drink business and Tropicana Products, the largest marketer and producer of branded juice. PepsiCo brands are among the best known and most respected in the world and are available in about 190 countries and territories.

PepsiCo was created out of the amalgamation of two companies named Pepsi Cola and Frito Lay. The company which was formed in 1965 has its headquarters at Purchase in Harrison New York. It is a Fortune 500 company. PepsiCo is engaged in the manufacture of snack foods (grain based), beverages and other similar products. One of its best known brands is the cola beverage PEPSI-COLA. Created in 1893 its former name was 'Brad 's Drink '.