E- Supply Chain

E- Supply Chain
into
intoCompany
PepsiCo
PepsiCo Company
 BeverageIndustry
Beverage Industry

Non
Carbonated
Carbonated
AboutPepsiCo
About PepsiCo

Entered India in 1989

Empowering people
 LargeInvestor
Large InvestorIn
InIndia
Indiawith
withStrong
StrongBrands
Brands

Investing in
Innovation
product

Increasing Mode of
manufacturin partnership
g capacity. with farmers.
 PepsiCoSupply
PepsiCo SupplyChain
ChainManagement
Management

PepsiCo’s supply chain management had been based on the idea of collaboration and
PepsiCo’s .supply
integration chain management
The company took several had been based
initiatives onathe
to have ideacollaborated
more of collaboration
and and
integration
integrated . Thechain
supply company took
which several
would initiatives
become to have
a source a more collaborated
of competitive advantage and
integrated supply chain which would become a source of competitive advantage

Procurement of raw material

Procurement of raw material
The raw materials used in manufacturing PepsiCo’s beverage and food products were:
The raw
apple, materials
pineapple, used
juice andinother
manufacturing PepsiCo’s
fruit concentrates, beverage
flour, and food
flavouring, oats,products
oranges,were:
rice
apple, pineapple, juice and other fruit concentrates,
potatoes, sucralose, sugar, other oils and wheat. flour, flavouring, oats, oranges, rice
potatoes, sucralose, sugar, other oils and wheat.
Raw materials also included packaging material – plastic resins such as polyethylene,
Raw materials
terephthalate andalso included packaging
polypropylene material
resins used – plastic
for plastic resinsbottles,
beverage such asfilm
polyethylene,
packaging
terephthalate and polypropylene resins used for plastic beverage
for snack foods, aluminium for cans and also fuels and natural gases. bottles, film packaging
for snack foods, aluminium for cans and also fuels and natural gases.
Manufacturing Operations
Manufacturing Operations
PepsiCo employed many technologies at its production facility when its realized that
PepsiCo employed
production flow was many technologies
not smooth at its
due to the production
frequent facility of
breakdown when its realized
machine and that
production inventory.
mismanaged flow was not smooth due to the frequent breakdown of machine and
mismanaged inventory.
 PepsiCoSupply
PepsiCo SupplyChain
ChainManagement
Management

Distribution Network and Logistics Management

PepsiCo used different distribution strategies to bring its products into market
depending upon product characteristics, local trade practices and customer needs. It
delivered fragile and perishable products which were likely to be impulse purchases,
from its manufacturing plant and warehouses to retails stores .

PepsiCo relationship with retailers

PepsiCo also made its supply chain better by establishing a collaborative relationship
with its retailers. One such example was its relationship with Wegman’s retail.
PepsiCo approached Wegman’s with a proposal for the Frito-Lay line which
controlled two fifth of the world market for salty snacks and PepsiCo products.
 SCMTools
SCM ToolsininPepsiCo
PepsiCo
One of the Company has their own code of conduct for
Biggest suppliers called The PepsiCo Global
Beverage Supplier
Procurement.
and Snack Social
Company in Capability 1.
the World. Managemen Accountabili
t Program: ty for
4 Dimensions of Supplier
Products
To ensure all
Supplier Standard code of
Used in conduct
suppliers
Manufacturi understand (SCOC)
4.
ng: Apple, and abide by 2. Engaging Improvement
Corn, Rice, the terms of through 3. Reviewing through 3rd
Potatoes, the Conduct Code of CSR Risk Party.
Orange, Training Corrective
Flour Etc. Management
 SCMTools
SCM ToolsininPepsiCo
PepsiCo
Shipping
Status Tool

Analytics Order
and Report Processing
Tolls Tools

Supply
Chain
Compliance
Tools Lean
Inventory
Tools
Tools

Demand Supplier
Forecasting Management
Tools Tools
 RECOMMENDATIONS
RECOMMENDATIONS

Wise Decisions on Mergers

and acquisitions

Dependence on WAL-MART
 RECOMMENDATIONS
RECOMMENDATIONS
PepsiCo should raise their
prices to match their
competitors.

MRP-40 MRP-35

PepsiCo should increase it’s

market share and revenue.

Consumer demand for healthier food and

beverage options.
 Efforts by:

Garvit Jain 20BSP3293

Aditya Goel 20BSP0083
Submitted to: Gauri Gupta 20BSP0783
Prof. Shweta Agarwal Naziya Parveen 20BSP1397
Anmol Chawla 20BSP0311
UTKARSH UPADHYAY 20BSP2712

Thank You
Thank You