SUPPLY CHAIN

MANAGEMENT
PEPSICO
Group-4 Section-1
Nagendra Yadav ABPM20-01
Akshay kurhe ABPM20-20
R Ashritha ABPM20-33
S Manjunath ABPM20-34
Introduction
 Acquired 2 large bottlers PepsiCo bottling Group 2 (PBG) & PepsiCo America Inc.
(PAC) for USD 7.7 billions.
 Formed on February 26, 2010.
 Received supply chain innovation award from the Council of Supply Chain
Management Professionals (CSCMP).
 With speculatory growth 1990-2000 company difficult to manage its distribution
center and warehouse, so they develop “Direct to Store” delivery model.
PepsiCo’s Collaborative Supplier
Relationship
“Direct to store” delivery model.
 Automated technology for strengthen distribution channel and enhance revenue
growth.
 Reduce system wide inventory
 Eliminated warehouse space constraints
 Enhance the potential for unlimited SKU growth
 Warehouse cost saving
Supply Chain, Distribution Network and Logistics Management
 Collaborated and Integrated supply to have competitive advantage.
 Depends on products characteristics, local trade practices:
a) Fragile and Perishable Products

Manufacturing Customer Retail

Plant/ Warehouse Warehouse Stores

b) Snacks, Food and Beverage

Use third party food service and vending distributors to supply restaurants,
schools, stadium, business and other locations.
 Close relationship has been maintained by organizing sporting events and end-
year parties for all its regular suppliers.