Pepsi

Discuss how PepsiCo uses its talent to sustain a competitive advantage in the marketplace. PepsiCo attempts to sustain its competitive advantage by constantly developing new products and innovations, including “mega brands,” which are eighteen individual brands that generate over $1 billion in sales each. According to Sizler & Dowell (2010) PepsiCo can be described as growth. It is the very first component of PepsiCo’s corporate values statement (“Our commitment to deliver sustained growth, through empowered people, acting with responsibility and trust”), and is the core of the business strategy “Performance with Purpose”. PepsiCo is known to produce leaders so that they can go to other companies and have a successful career, when it comes to talent development. PepsiCo provide the tools, processes, and frameworks that support and sustain employee growth and development. PepsiCo shows how talent management practices work both internally and externally during the same period. According to Stockley (1996), talent management is defined as a conscious, deliberate approach undertaken to attract, develop and retain people with the aptitude and abilities to meet current and future organizational needs. Also noted by Stockley (1996), talent management involves individual and organizational development in response to a changing and complex operating environment. PepsiCo approaches talent management from within the context of our talent sustainability framework Sizler & Dowell (2010). Discuss three key elements of PepsiCo’s career growth model. • Proven Results-delivering business and people results • Leadership capability-shows the behavior and what employees should know and show. • Functional excellence- the basic knowledge of any role given to employee. This growth was achieved through large and small acquisitions, new product development, responding to consumers and retailers needs and expansion into new markets. Additionally, PepsiCo breathe and depth of brands and products allow for customized products by region. Share the benefits of all three divisions to improve the bottom line of PepsiCo. Discuss three key elements of PepsiCo’s talent management model. • Identify- when an employee has shown they can take on more responsibility in a senior role. • Develop readiness-the understanding that 70 percent of an employee understanding will on the job on in the current role, 20 percent will come from mentoring and feedback and 10 percent will come from previous training. • Movement- employees who need to move in another role or if an employee is blocking a key development role. Talent management is when you are finding the key talent and then working with them, to join the company. This would include: everything from recruiting to the actual hiring of the individual. Talent development is when you are placing each person in those jobs / roles that are most suited for. PepsiCo University is when the employee will go through a specialized course that will help introduce them to the organization and will give them the opportunity for continued improvement (through areas such as: continuing education). Discuss the challenges that PepsiCo faces related to its talent management system. Some challenges will be related to Generation X (baby boomers) and Generation Y (Millennial). Most Baby boomers are not into technology and social networking and always will be looking for stability and are more acceptable in not knowing where they stand when trying to move up in a position. Whereas, Generation Y demand feedback and the stability is really not important and they are very much attached with social networking, Organizations will have to show more transparency with telecommuting, mobile phones and social networking ,Silzer & Dowell (2010). Pepsi's strategy is more congruent with its environment of its market share and corporate culture. Whether innovation is a source of strength for Pepsi depends on one's view of the industry. Pepsi is an innovative firm. The company has historically been more willing to enter into joint ventures such as that with Starbucks for coffee beverages. Pepsi is not, however, an innovative company in the soft drink segment altogether. It has relied all too heavily on brand extensions rather than true innovation in order to pursue a growth strategy, leaving true product innovation to smaller firms (Khermouch & Howard, 1999). Finally, the company has in the past operated fast food restaurants such as Pizza Hut and Taco Bell; has been a producer of salty snacks (Frito-Lay) and has acquired successful properties in emerging beverage markets such as Quaker Oats for Gatorade (Venkataraman, 2008).