PepsiCo- Leading Diversity as Innovative Practice
The framework for innovation systems consists of four components. Described in Davila, Epstein, & Shelton (2013), these components are inputs, processes, outputs, and outcomes. Inputs includes people, money, culture as well as motivation. Processes include are the actual execution of the inputs. Outputs are the results of the innovation business model and finally, the outcomes is the actual value for the organization as a result of incorporating the innovation system.
PepsiCo is a Fortune 500 company listed as #43 (CNNMoney, Pepsico). One of the innovation metrics component that is used at PepsiCo is the input resource. Davila et al, (2013) states that inputs are important processes of success. The input process utilized translates into the innovative practice of being a diversified organization.
The following paper addresses how PepsiCo’s CEO, Ms. Indra Krishamurthy Nooyi is a leader in innovative diversity to complement a culture that has proven success. Furthermore, Ms. Nooyi’s leadership is known for being chiefly responsible for PepsiCo’s growth and is renowned for promoting diversity (Canas & Sondak, 2013).
PepsiCo’s Tangible Input for Innovation
(Davila et al, 2013) describes inputs as tangibles which are the people, money, etc. At PepsiCo, the tangibles serve as one of the cores of their innovative diversity measure. Ms. Nooyi leadership of people, mainly Indian women in the business world and career-driven women who have children, has set a successful example of visibility for women in business. In 2008, she received the National Bridge Award for her commitment to advocating multiracial diversity in corporate governance.
PEPSICO- LEADING DIVERSITY ASINNOVATIVE PRACTICE 3
Ms. Nooyi has also received other acknowledgements such as the Wall Street Journal’s list of 50 Women to Watch, Time’s 100 Most Influential People in the World, Forbes 50 Most Powerful Women in the world and named Fortune magazine’s Most Powerful women in business four years in a row ( Canas & Sondak, 2013).
PepsiCo’s Intangible Input for Innovation
The intangibles, culture and motivation, are Ms. Nooyi’s key to success. As a leader, she has the ability to motivate especially utilizing emotional intelligence. Emotional intelligence is the ability to perceive, understand, and use emotion as a base of information (Salaeditor & Mount, 2006). Ms. Nooyi firmly believes that “leaders must have different skills which includes the ability to work closely with public official and exhibit emotional intelligence towards employees” (Shahida & Mohanty).
In the American society, we constantly hear people make sure they say that a chief executive officer, a racecar driver, or an astronaut is female when they are so because that is not deemed as stereotypically standard. Sheryl Sandberg is the, dare I say it, female chief operating officer of Facebook while Mark Zuckerberg is the chief executive officer. Notice that the word “female” sounds much more natural in front of an executive position, but you would typically not add male in front of an executive position because it is just implied. The fact that most of America and the world makes this distinction shows that there are too few women leaders. In Sheryl Sandberg’s book “Lean In,” she explains why that is and what can be done to change that by discussing women, work, and the will to lead.
1. Diversity should provide greater alternatives and inputs into the decision process, but if diversity is blocked due to organizational infrastructures that do not allow the free flow of information, than the diversity goes unutilized. Johnson & Johnson (J&J) structured its company to insure the positive impact of diversity in regards to decision making through its creation of FrameworkS. Through Frameworks, the executive committee is partnered with a variety of managers from around the organization that concentrate on specific, unprogrammed organizational decisions. FrameworkS matches the problem with appropriate decision making method. In this approach, managers share the problem with others and engage the group in consensus to arrive at a final decision.
In the second article “Why is gender diversity so much easier than to solve than racial diversity”, Micah Singleton (2015) mentioned that most major companies had shown they are lack of gender diversity from the recent statistic. When asked them to change this situation, most of companies including Snapchat, GoPro and Uber were unresponsive and some of companies including Tesla and Netflix even declined. Using a specific example as logos, Singleton (2015) mentioned Airbnb who wants to improve gender diversity in the workplace as a good role to illustrate the approach that the company can make to increase gender diversity.
Women face discrimination in the workplace. Discrimination is defined as a behavioral activity is exhibited in how people treat members of other groups and in the decisions they make about others. In chapter 3 Race and Ethnicity in the United States discusses how discrimination not only effects positions in companies it also affects pay rates. Income is drastically different when it comes to men and women and only gets worse for women who are minorities. These women have broken through the glass ceiling in their corporations. “In 1991 the Glass Ceiling Commission was formed to help women and minorities, fight their derrepresentation in the workplace”. With this article and with research that is being done women are starting to break the glass ceiling that is holding them down. Women account for only 2.2% of Fortune 500 companies CEO roles. The number is shockingly low, less than 15 companies have women CEO’s in the 500 companies we look at that best fit our country’s
Emotions are frequent companions in our lives. They come and go, and constantly change like the weather. They generate powerful chemicals that create positive and negative feelings, which have a powerful effect on leadership. Some emotions can either facilitate leadership, while others can detract from successful leadership. This course, Emotionally Intelligent Leadership, has truly opened my eyes to the affects that emotions have on being an effective leader. Peter Salovey and John Mayer defined emotional intelligence as “the ability to monitor one’s own and other’s feelings and emotions to use the information to guide one’s thinking and actions” (p. 5). This definition in itself states that emotions, whether it be ones own emotions or those of others, is the underlying factor that directs the actions of a leader. Therefore, throughout the progression (advancement) of this course, I have learned the importance of the development of emotional intelligence for being an effective leader, and because of this I plan on developing the capacities that contribute to being an emotionally intelligent leader for my own success, now and in the future.
(2013) separated emotional intelligence into four domains, self-awareness, self-management, social awareness, and relationship management (pp. 30, 38). These domains are then broken into two competencies. Self-awareness, the understanding of one 's emotions and being clear about one 's purpose, and self-management, the focused drive and emotional self-control, make up the personal competence (pp. 39, 45-46). While social awareness, or empathy and service, and relationship management, the handling of other people 's emotions, make up the social competence (pp. 39, 48, 51). These emotional intelligence competencies are not innate talents, but learned abilities, each of which contribute to making leaders more resonant and effective (p. 38). This is good news for me because I still have much to develop in regards to emotional
This document will explore what a company can do to foster diversity in the workplace. The business case highlights the development and implementation of organizational initiatives that could:
Useem, M. (2008). New Ideas for This Pepsi Generation. (cover story). U.S. News & World Report, 145(12), 49.
According to McCormick (2007), the first form of workplace diversity happened in 1948, when President Truman approved Executive Order 9981 whose main purpose was to advance equal treatment and opportuities in the armed forces. Therefore, scholars cite it as the origin of workplace diversity because President Truman the committee tasked to implement the executive order, used it to pursue desegregation in the armed forces. In the business world, many companies long held the belief that the assimiltion of new recruits in an organization required their socialization to adapt to the organization’s existent culture. However, over the last few decades, business organizations have realized that because of various reasons, the orgnizational culture must conform if it must attract and maintain a competitive workforce. This change has been steered by variety of workplace diversity initiatives. Despite the proliferation of such initiatives, the term “workplace diversity” is virtually never defined. Many attempts at defining the term are often in a circular or conclusory manner that does little to strengthen a collective understanding of this term.
The purpose of this research is to provide a substantial assessment/explanation/analysis of the degree to which the McDonald’s operates based on a universal cultural or whether it is most strongly influenced by the national culture of that country. The researcher will explain how McDonald’s uses diversity and organizational initiatives to contribute to the corporate bottom line. Finally, the researcher will evaluate the company’s bottom-line rationale for diversity initiatives.
Thomas, Jr., R. Roosevelt, (1991). Beyond Race and Gender: Unleashing the Power of Your Total Work Force by Managing Diversity.
In a world that has grown increasingly smaller due to mass media, world travel, and readily available information, the workplace has grown increasingly diverse in both gender and cultural aspects. Individuals no longer live and work within the confines of their geographic locations. At almost any position with any company the individual employee is a part of a larger world economy that harvests assets from the ends of the earth. Because of this, companies seek to capitalize on diversity to become more creative and flexible in their business models.
With the same spirited investment as the world's premier marketer and beverage industry leader for more than 118 years, Coca-Cola are focused on strategic workplace programs that help assure the success of our commitment to embracing the similarities and differences of people, cultures and ideas. Diversity Advisory Council - the Company’s corporate Diversity Advisory Council consists of a representative group of employees from all levels, functions and business units of the organization. The Council develops recommendations for senior management on advancing the company's efforts towards achieving our diversity objectives. Employee Forums – Coca-Cola believe that a sense of community enhances their ability to attract, retain, and develop diverse talent and ideas as a source of competitive business advantage In the United States, through employee forums, employees can connect with colleagues who share similar interests and backgrounds. In those forums and elsewhere, employees support each other's personal and professional growth and enhance their individual and collective ability to contribute to the company.
Sy, T., & Cote, S. (2004). Emotional intelligence: A key ability to succeed in the matrix organization. Journal of Management Development. 23(5). 437-455
Women leaders have the crucial soft skills of empathy, innovation, facilitation, and active listening (Masaoka, 2006). They also have first-hand life experiences that bring technical skills and experiences from the street level to the workplace (Masoka, 2006). Women often build stronger relationships with clients and outside contacts than their male counterparts. This relationship building skill, provides a key aspect which helps to move businesses forward (Giber et al., 2009). Fortune 500 companies with a high percentage of women significantly outperformed those with fewer women. Companies with the highest representation of women showed higher returns on equity than those with fewer women employees (Giber et al., 2009). Thus, future organizations may have a higher percentage of female leaders than we have experienced in the past. Future leaders must ensure that there is equality among the workforce and that women are accurately represented among the