Pepsi diversity training enhances customer

service:recruiting, training efforts linked to businessgoals

Recruitment efforts by the Pepsi Bottling Group don't differ much from how any
large corporation attracts new employees, especially to have a diverse workforce.

The company attends job fairs and career events to have access to the labor pool.
So how the company sets itself apart with its diversity efforts is by what it does
internally.

"Internally, we are on top of it," said Steven Murk, human resources manager for
the area that includes the San Fernando Valley. "We are measured as a
management team on how diverse our employees are and we have goals we have
to hit."

Pepsi Bottling is the world's largest manufacturer and distributor of Pepsi Cola
products and is 49 percent owned by Pepsico. Eric Foss, bottling group CEO and
president, chairs its diversity council, the body that develops strategies linking
diversity efforts with business goals.

At the city of San Fernando warehouse facility, its more than 300 employees
encompass drivers, warehouse workers, sales representatives and merchandisers
who go into retail locations to set up displays and management. The group also has
a production facility in Torrance.

At the San Fernando location, 256 workers are minorities, 20 are women and 62 are
white males. There are no women in senior managerial or executive positions
although there are 6 women junior managers. There are 19 minority junior
managers and two in senior management: a majority of minority employers work on
the front line.

In building its employee base. the company looks for people who understand the
different languages and cultures they will encounter in distributing Pepsi products.

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"It helps us from a sales and business perspective to be able to relate to our
customers are a lot better," Murk said.

All Pepsi Bottling Group employees receive diversity training every quarter based on
material sent out from the corporate headquarters in New York. Murk said.

The training program given for the first quarter was titled "Build an Inclusive
Culture" focusing on what makes people unique and accepting those differences,
Murk said.

Employees have completed more than 100,000 hours of training since 2002 to learn
skills for communicating with people about differences and how to work together
more effectively.
The Pepsi Bottling Group was ranked second on "DiversityInc's" list of Top 50
Companies for Diversity. The online publication lauded the company for its
donations to multicultural organizations and its mandatory surveys.

BY MARK R. MADLER

Staff Reporter

Pepsi Co empowers their employees to be healthy

Employers today are looking for more and more ways to help their employees
become healthier. The benefits of helping your employees to be healthier go a long
way besides empowering your workforce. Study after study has shown that healthy
workers mean less in health care costs which in turn can dramatically reduce the
health insurance premiums you pay. In addition healthier workers have to take less
sick time, file less disability claims and have a much higher level of productivity.
Companies also report that when their employees are healthier there is an
increased level of job satisfaction and higher overall company morale. This in turns
leads to employees staying longer at their jobs and reducing the cost of the very
expensive process of hiring and retraining new workers. The bottom line getting
employees healthier is in everyone best interests.

PepsiCo has taken a unique approach to provide their employees with an online tool
to help them get healthier. In September 2004, PepsiCo launched a new wellness
benefit for all of their employees and their families. The program is called
HealthRoads, and it partners with WedMD and other selected companies.
HealthRoads provides information, resources and tools (as well as incentives) to
encourage PepsiCo's employees (and their families) to live healthier lifestyles. While
the program was initially launched only in the United States HealthRoads has now
been rolled out to PepsiCo's global locations.

Employees can access to the program by registering online. They set up a

username and password in order to use the services. They then complete a Personal
Health Assessment. This Personal Health Assessment is a confidential questionnaire
about current health, lifestyle and family history. Completing the PHA is an
important first step because it gives the employee insights about your health and
suggests ways they can manage any health risks and enables them to track their
progress. There is employee assistance that is offered should there be any
difficulties in completing the needed PHA online. Spouses and partners are also
encouraged to complete the PHA since the program benefits are extended to them.

HealthRoads functions as a trusted, centralized source for health information in

other words a health topics library which is a source for condition assessments,
consumer information, newsletters, emails and advice. This program also provides
access to resources to help employees live life well, including the QuitNet Stop
Smoking Program. Included in this are tools to help employees manage their own
and their family's health. Health Roads also provides easy and fun ways to take
steps toward a healthier lifestyle through fitness and nutrition programs, including
America on the Move (PepsiCo's fitness program) and online nutrition programs.

PepsiCo is committed to their employee's health and wellness. The development of

HealthRoads includes valuable programs, tools and resources to help their
employees live a healthy lifestyle and make better health care decisions. They also
offer rewards that employees and their family can get. This amounts up to $400 in
HealthRoads rewards each year. The rewards are automatically deposited into the
employees' Medical Expense Account.

While participation in HealthRoads if free and voluntary the incentive for employees
to participate is very good. The rewards are as follows-

Employees can earn $50 when they complete their Personal Health Assessment
outside of the fall incentive period. In addition, they can earn another $100 when
they update their Personal Health Assessment during the fall incentive period.

Upon completing an online fitness or nutrition program the employee can earn $25
per completed program, up to $100 per year.

By participating in one-on-one, phone-based wellness coaching (if they have a

specific health risk) they can earn $50 for completing the first three phone sessions
and another $50 when they complete the entire 6-month or 12-month program - for
a total of $100.