PepsiCo’s organizational culture demonstrates the company’s commitment to maximizing the strengths of its human resources. A solid organizational culture defines the traditions, values and opportunities to perform by the workers. In PepsiCo’s case, employees are encouraged to focus on excellence in a cooperative manner. As the second largest food and beverage manufacturer in the world, PepsiCo is constantly striving to improve its workforce. It is important to maintain a high performance culture to maintain this market position. PepsiCo uses its organizational culture as a strategic approach to maximize its performance by leveraging people’s strengths. PepsiCo’s organizational culture emphasizes the care of employees and their ability to achieve high business performance.
Features of PepsiCo’s Organizational Culture
PepsiCo represents its corporate culture over the years. This aspect of the business reacts to changes in leadership as well as business situations. Currently, the following are the key features of PepsiCo’s organizational culture:
- Performance with Purpose
- Real World Leadership
- Performance with Purpose: PepsiCo’s employees lead with the goal of achieving excellence for the company, customers, communities and the planet. This feature of organizational culture shows PepsiCo’s commitment to meet their social responsibilities. The most significant impact of this feature of corporate culture is that it motivates workers to do better. Employees are motivated to excel in what they do, and to make sure that their efforts contribute to improving the company and its stakeholders.
- Real World Leadership: PepsiCo’s corporate culture emphasizes leadership based on what employees, investors, customers and communities really need. The company uses the knowledge of its employees to develop its leadership position. In particular, PepsiCo promotes employees in leadership positions. This in-house leadership development demonstrates that PepsiCo’s culture facilitates the use of employees’ experienced experience to drive growth. Consequently, the process of organizational learning is maintained by the corporate culture of PepsiCo.
- Cooperation: Working in teams is an integral part of PepsiCo’s corporate culture. The company believes that the collaboration enables the company to perform well. While PepsiCo recognizes the strengths of each employee, corporate culture supports the use of those strengths through joint efforts. Through this quality of corporate culture, PepsiCo supports synergy in its human resources rather than relying on separate individual efforts.
PepsiCo’s Corporate Culture: Advantages and Disadvantages
The corporate culture of PepsiCo has the advantage of motivating employees. The emphasis on targeted action and internal leadership development give the employees a contribution to the company. Additionally, collaboration enhances employee morale, which reduces the staff turnover rate of PepsiCo. However, one drawback to PepsiCo’s corporate culture is that support for autonomy and individual flexibility is limited, which in part determines employees’ morale, motivation and performance. While PepsiCo recognizes the importance of delegating tasks, its organizational culture does not explicitly include autonomy or individual flexibility.