Driving profitability through HR Agenda: PepsiCo experience

David Souperbiet HR Vice-President, PepsiCo in Russia

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PepsiCo in Russia

• The biggest food & beverage company • In Russia since 1959• Investments in Russia economy about $10Bln• 40 plants• 25 thousand employees• 10 out of 20 biggest F&B brands in Russia

High-engagement workplaces have:

63%50%27%

“Employee Engagement is a measurable degree of an employee's positive or negative emotional attachment to their job, colleagues and organization that profoundly influences their willingness to learn and perform at work.”Engaged employee:• Is satisfied with his/her company as a workplace• Has a feeling of personal accomplishment• Is committed to the company (is not willing to jump the boat)• Put more effort into his/her job than is required to help company succeed

Driving profitability through employees engagement

difference in shareholder return (Hewitt Associates)

higher sales (Gallup)

higher profits (Towers Perrin)

Engagement at PepsiCo

PepsiCo’s Engagement strategy is based on “universal” engagement drivers and regular measurement

Internal communications to take employees with us

and make their job meaningful

Recognition to make our people feel valued

Manager Quality to make our people processes meaningful for each

employee

• Two types of tools: centralized (Ezzy-portal &

newspaper); decentralized & two-way

(“communicating manager” concept; infopacks, town hall meetings, round tables, managers’ letters, breakfasts, etc)

• Two focuses: business strategy & performance; cultural attributes (Values)

• About emotions not money• About appreciation not

incentives• Focus on on-the-spot

recognition by managers:Tools for managers to

make recognition every day (25% employees covered)

Promoting “thank you” culture

Communicating and celebrating wins & heroes

• Transition programs for managers (First Time Manager, Leader of Managers, etc)

• Leadership forums• Programs for managers:

Diversity & Inclusion workshops to embed inclusive leadership; Coaching Manager, etc.

• Manager Quality site• Manager Quality award &

success stories

Measurement & follow-up: regular (every other year) organizational health survey (95% of employees participate) & down-to-top action planning process

Talent Acquisition outcomes

Context before TA launch

•Fragmented recruitment team ( Capabilities; HRGs involved in hiring)

•Average recruitment cycle for management roles 50+ days

•Not consistent hiring process and assessment tools utilization

•High cost per hire

•More than 15 HR vendors

Solution

•Standardized hiring protocols for different levels (Consistent candidate experience)

•Specialization: Functional and Professional vs Industrial

•Flexible structure: Core + Task force

•Applicant Tracking System

•Segregated Sourcing team; ( Recruiters focus more on Selection)

Outcomes

•70 vacancies per week

•Recruitment cycle for management roles 43 days

•Cost per Hire over 40% decrease – from 9,4% to 5,3% (from average annual salary), • 10 HR providers

Thank you!

Узнайте больше о нас на www.pepsico.ru

David SouperbietDavid.souperbiet@pepsico.com

+ 7 (495) 937 5005