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Information System at PepsiCo Ltd. : a management perspectiv

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Meryl Jacob

on 18 November 2013

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Transcript of Information System at PepsiCo Ltd. : a management perspectiv

Information System at PepsiCo Ltd. : a management perspective
About Pepsi Co Ltd.
Global firm : very large scale
Annual revenue touching $66 billion
Interested in manufacturing, marketing and distribution of snack foods and beverages
Believes "people are their greatest asset"
Loves keeping at par with the latest technology
Targeted at the younger generation
What we know
Advancements in hardware and software infrastructure : wireless delivery devices, mobile technology, digital dashboards.
Major investment in marketing using latest technology
Shift from Oracle to SAP
Refusal to move to a public cloud: a management decision
Information and Communication Systems at Pepsi Co: the problems faced
Oracle to SAP shift: a delayed management decision
Implication: Several years of profit lower than optimum
What actually happened and why?
Solution: regular feedback and availability of accurate information to decision makers
Refusal to shift to a public cloud
Actually a smart decision: lot of planning involved
Data centers near cloud providers: Amazon
Monte Carlo simulation
Possibility of being another delayed decision
The Power of One: a forsaken strategy
What is the "power of one" ?
Potentially a very good opportunity, but wasted away
Problem: zero commitment
Solution: decentralize decision making: too many roadblocks in the firm
Customer Relationship Management: where Pepsi hit the nail on the head
Use of real time information acquisition through web and mobile
Investment in app development: "Pepsi loot"
Focus on younger generation and social media: excellent planning outcome
Knowledge Management System
What is knowledge management?
Does Pepsi Co need it?
ATG Knowledge Center
Knowledge Engineers- Review new solutions and check whether they are publish-worthy, check customer feedback, apply technical knowledge to it.
Should be able to apply field level technology.
Business Intelligence and Analytics
The Belgium Case: perfect example of automation
IBM Cognos
single complex planning model: both business and finance model stretched to an enterprise-wide scale
Pepsi's future bets in ICT
invest in the best SoLoMo : Social, Local, Mobile
dynamic consumer engagement
learn and modify, learn and create
social vending system: excellent advancement
SMAC: Social, Mobile, Advanced and Immersive Analytics and Cloud - what Pepsi relies on
So what next?
Should Pepsi be "satisfied" with its information systems?
What are the major loopholes in a perfectly devised ICT?
the functional heads
decision making bodies
ethical issues
heavy advertising, pocket change spent on self-developing technology
Our Suggestion

Reorganize business strategy
Realize priorities and focus on the more important business processes
Apply the complex Europe model world-over : evident proof of success
Finance department needs major work : several articles on change in CFO
Shift from hierarchical to teamwork and collaboration based model
CoPs : Communities of Practice
Invest in technology that benefits the development of the firm
learn from the Swisscom case: better workflow system
follow the trend: improve EDI and EDM technologies as most MNC's
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