Pepsi 2007 Annual Report Download - page 28

By inspiring, challenging and cherishing our associates, we’re
making PepsiCo a company where coming to work means more
than just having a job. And that’s important in today’s marketplace
because global competition for talent has never been more intense.
Companies that win provide the best opportunities for personal and
professional growth.
PepsiCo already has some of the very
best talent in our industry, thanks to our
industry-leading people processes. But
as we evolve to meet future business
needs, we must also continue to evolve
our approach to recruiting, developing,
rewarding and retaining our associates.
We made excellent progress toward this
objective in 2007 by enhancing
our focus on “people results,” and
further defining key ways to: nurture
talent, empower people, and expand
opportunities for diversity and inclusion.
Nurturing Talent: Our Greatest
Sustainable Advantage
Our people are our greatest strength.
Without great people, we can’t deliver
great results for the long term. By focus-
ing on the continuing development of
our associates and their ability to work
effectively together, we believe we will
maximize PepsiCo’s performance and be
even better positioned to build on our
current success in the marketplace.
We reinforced our people priorities in
2007 by changing how we evaluate
performance, giving equal weight to
the achievement of people results and
business results. This new 50/50 balance
of goals and objectives is designed to
ensure that an associate focuses on
the growth and development of the
team as well as him or herself, while
equally focusing on achieving business
results. Putting accountability and 50/50
weighting to people priorities helps nur-
ture PepsiCo’s already strong culture of
diversity and inclusion where people feel
valued and respected for their unique
talents, perspectives and experiences.
Empowering People with
Clear Expectations
Knowing what’s expected of us — and
everyone around us — helps us act with
responsibility, trust and understanding
of how leadership and individual per-
formance are rewarded. As a guide for
associates in all functions and at all lev-
els of our organization, we introduced
the PepsiCo Leadership and Individual
Effectiveness Model in 2007. By com-
municating what’s important at PepsiCo
and what we value from each of our
associates, we are helping to shape an
unrivaled corporate environment that
provides our company with the ultimate
competitive advantage.
The model details the key competen-
cies and associated behaviors that are
required — individually and collectively
— to assure we reach our performance
goals. Regardless of current role, level
or career aspiration, every associate can
use the model to understand which
behaviors they should strive for today
and what will contribute to their own
personal success, as well as success
for PepsiCo.
Expanding Opportunities through
Diversity and Inclusion
We believe a sense of belonging in our
professional lives is just as important
as it is in our personal relationships; it
builds trust, encourages teamwork and
collaboration, and enables the free shar-
ing of ideas that helps us develop, grow
and innovate. This is why we continue
to grow our efforts to promote diversity
and inclusion around the globe.
In the United States, our Diversity and
Inclusion Networks promote a culture
where everyone feels they have an equal
opportunity to contribute and succeed.
Each of our U.S. groups is represented
at senior levels by an executive reporting
directly to the chief executive officer.
The groups include African Americans,
Latinos/Hispanics, Asians, Native
Americans, Women, Gay/Lesbian/
Bisexual/Transgender, Women of Color,
Support Team/Non-exempt and EnAble,
for individuals with different abilities. In
2007, we added a group dedicated to
PepsiCo and its bottler community
achieved 2007 spending of
approximately $1.13 billion
with U.S. minority-owned and
women-owned suppliers,
marking the fifth consecutive
year of double-digit growth in
supplier diversity spending.
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