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PepsiCo Strategies, Sustainability, product life cycle

PepsiCo is one of the prominent company in the whole world. This company connects with people through some of the world’s greatest brands and most loved foods and beverages. Pepsico brands are Lays, Pizza hut, Tacco bell, KFC, Cheetos, Quaker foods, Tostitos, Walkers and Starbucks. In this post, you will get to know about how the Company attains sustainability and profit revenue at its peak, product life cycle, social, and environmental impact.

This company received the #1 ranking in the Advantage Report for Global Customers (2018). It helps to build a more sustainable food system. American multinational corporation has a headquarter in Harrison, New York. Company has an interest in the manufacturing, marketing, and distribution of grain-based snacks foods, beverages, and other products.

pepsicojobs is an official website of Pepsico where people can apply for jobs and pursue their careers with this company. It is a giant company so they hire employees from all over the world especially. They also provide internships to students who are studying courses like engineering, supply chain etcetera. Now, a subdomain company named, Pepsi also starts its hiring.

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Pepsi(Sub brand of PepsiCo)

The soft drink Pepsi was developed by Caleb Bradham, a pharmacist and a businessman from Duplin country, North Carolina. He coined the name “Pepsi- cola in 1898. In 2020, pepsi stock price is continuously increasing by 2.16% irrespective of pandemic. The coca-cola company has historically been considered PepsiCo’s primary competitor in the beverage market in December 2005.

PepsiCo surpassed the Coca-Cola Company in market value for the first time in 112 years and the Coca-Cola Company held a higher market share in carbonated soft drink sales within the U.S

PepsiCo Sustainable product lifeCycle Management

Sourcing ingredient

The main source of raw ingredients in PepsiCo is potato, oats, whole grains, and etc. These materials are produced in the agriculture field. So PepsiCo Business is rooted in the Agriculture sector.

PepsiCo mostly focused on this sector to make it more sustainable. PepsiCo launch “Next Generation Agriculture” program under which they want to achieve 100% sustainable sources like potato, oats, whole corn, oranges, palm oil, and sugarcane by 2020. Like PepsiCo, you can get information about business ethics from here.

Research & Development, Manufacturing, And Packaging

PepsiCo and its partners managed approximately 270 manufacturing industries and their research & development teamwork with operation teams to reduce the usage of harmful gases during the manufacturing process as well as usage of water and energy.

PepsiCo’s main motive in packaging food products and beverages is to use 100% of recycled plastic which would be compostable and biodegradable. 

Distribution And Retail

PepsiCo business is spread in more than 200 countries and territories and they need a wide range of distribution system which efficiently provide products to the retailer around the world.

To increase sustainability in the distribution of products, PepsiCo using carbon-efficient fleets, sold through retailers ranging from supermarket to street vendors.

Consumption

Around the world, PepsiCo products are enjoyed by consumers more than a billion times a day. So PepsiCo focused on their products should be more nutritional and healthy for body.

They improved their foods and beverages by reducing added sugars, sodium, and saturated fat. PepsiCo also provides a wide range of varieties in their portfolio so the consumer can more enjoy their products with nutrition.

Post-Consumer

After the use of food and beverages and the remaining packaging, the part is of plastic which is vulnerable to the environment as well as the planet. PepsiCo’s aim is to build a world where plastics need never become waste.

This would happen under PepsiCo’s sustainable plastics vision in which different packaging material is used in plastic so that it can be recycled and biodegradable.

Impact of sustainability management at each of PepsiCo product life cycle and measures

In the Agriculture sector, PepsiCo implemented different programs for farmers to grow sustainable food. PepsiCo launched the “Sustainable Farming Program (SFP)” under this program, farmers produced 51% of sustainable raw materials in 2018.

SFP helps PepsiCo in positive outcomes in both environmental and social indirect agricultural supply chains. SFP program launches in 38 countries under which 40,000 farmers will train and provide resources to increase productivity to achieve sustainability.

  •  PepsiCo uses 100 percent renewable electricity in manufacturing operations in seven European market-Spain, Belgium, Portugal, and others, as well as company, use the energy produced by waste food via anaerobic digestion. It reduce the carbon content in packaging material by less use of virgin plastic.
  •  PepsiCo concentrates on recycling most of its packaging and reinventing the packaging materials and systems. It is also among the largest user of rPET in the beverage industry which means to use recycled plastic. Pepsico’s target is to achieve that by 2025, the virgin plastic that they use is fully recyclable and compostable.
  •  PepsiCo uses Frito-lay North America’s fleet of trucks which run on compressed natural gas (CNG) for distribution of their food products and beverages and produce 15 percent less GHG emission as compared to fossil fuels. Moreover, Company also made a reservation with Tesla for 100 electric trucks for the distribution of products.
  •  In the retail industry or warehouse, PepsiCo replaces the less efficient vending and cooling system to reduce carbon emission and energy with more efficient machines. Subsequently, the organization saves more than 1 billion kilowatt-hours (kWh) in 2018.

PepsiCo view on social and environmental impact

There are numerous considerations on social as well as environmental impact. Advance environmental and social benefits to communities around the world by supporting practices and new updating that improved farmer livelihood and agriculture. 

Planet (environment)

1) Climate: It is the potential to reduce greenhouse gas emissions; agriculture is the only sector that has the capacity to remove GHG’S safely and cost-effectively from the atmosphere without reducing productivity.

Robust data and strong institutional arrangements can facilitate the identification of feasible and effective climate change mitigation options in the agriculture and land-use sectors.

2) Recycled: They set a new goal to save the 25% recycled content the plastic packaging across its beverage portfolio by 2025. Additionally, by continuing to advance its “Beyond the Bottle” strategy, most notably through its Soda Stream business, the company estimates 67 billion single-use plastic bottles will avoid before reach to 2025.

3) Water impact: Working to be an even more responsible steward of water across its value chain, Company focus is on improving water-use efficiency in high water-risk farming and manufacturing operations and on replenishing 100% of the water it consumes in manufacturing in high water-risk areas by 2025. 

4) Products: Company continues to improve the choices it offers to consumers. PepsiCo reducing added sugar, sodium, and saturated fat and expanding its product with new innovations and based on nutritious ingredients. PepsiCo has nearly 500 beverage choices with less than 100 Calories serving.

Society

5) People: As part of its ongoing commitment to increase the earnings potential of women around the world, PepsiCo and its Foundation have invested $27.3 million since 2016 to support initiatives that benefit women in communities where it operates. Women currently comprise 40 percent of this Company managers globally.

To wrap it all, I hope you got quality information about how PepsiCo, attain sustainability, product life cycle, social and environmental impact, stock price. Write your comments in the comment section about this article.

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