EGN 5621 Enterprise Systems Collaborations

Term Project: Company Background and Data

Presented to:

Dr. Chin-Sheng Chen

Dr. Qiansan Shen

ByTeam B:

Falgun Patel (CEO)

Bei Ma (Purchase Manager)

Yunwei Xu (Sales Manager)

Table of Contents

Company History and Overview

Company Overview

Key Dates in PepsiCo History

Corporate Mission

Corporate Vision

Value

StrategiesforGrowth

Code for roadmap

Products lines for Pepsi and Mountain Dew

Organization Structure and Business Processes

Organizational Structure

Product, Production and other related data

Bill of Materials

Work centers and Routing

Vendor

Major Customers

Financial Accounts

Company History and Overview

Company Overview

PepsiCo was founded in 1965 via the merger of Pepsi-Cola and Frito-Lay, up to now Pepsi-Cola and Frito-Lay are still the major products of PepsiCo, Inc. In 1966, Doritos brand tortilla chips are introduced; Pepsi entered Japan and Eastern Europe and open a broad market. In the 1970s, PepsiCo acquired Pizza Hut, Inc., in the same time, Pepsi-Cola becomes the number one cola drink in the supermarkets. In the 1980s, PepsiCo focused on the human healthy problems and invented the first major brand caffeine free colas. In the 1990s, PepsiCo acquired Tropicana Products from Seagram Company Ltd., the biggest acquisition even undertaken by PepsiCo. Up to now, PepsiCo became the second largest manufacturer of soft drink in the world; it has 22 different product lines that offer variety of high quality products providing refreshment and nutrition. Like Quaker, Cheetos, Mirinda, Starbucks, Fritos, Aquafina, 7 up, Lay’s, Ruffles, which are all our favorites.

Indra Krishnamurthy Nooyi, the chairman and chief executive officer of PepsiCo, joined the company in 1994 and was named CEO in 2006. She is striving for a net-zero impact on the environment and focuses on the healthier beverages and foods. She also was ranked No.11 in Fortune’s list of the most powerful women in business.

Key Dates in PepsiCo History

1898, Pepsi-Cola Company formulated. In 1948 and 1964, Mountain Dew and Diet Pepsi was invented.

1932, Fritos brand corn chips and Lay’s brand potato chips were created.

1960s, Doritos brand tortilla chips are introduced. Pepsi enters Japan and Eastern Europe.

1970s, PepsiCo moves from New York City to Purchase, N.Y. Pepsi-Cola becomes the number one cola drink in supermarkets.

1980s, PepsiCo enters the top 25 of the Fortune 500 ranking.

1990s, PepsiCo spins off Kentucky Fried Chicken, Pizza Hut and Taco Bell as Tricon Global Restaurant, Inc. The Pepsi-Cola Company celebrates its 100th anniversary.

2000s, PepsiCo merges with The Quaker Oats Company. PepsiCo celebrates its 40th anniversary.

2010s, Diet Mountain Dew, Brisk and Starbucks ready-to-drink beverages join PepsiCo’s portfolio of billion-dollar brands, bringing the total to 22.

Corporate Mission

The mission of PepsiCo is to be first consumer products in this world. Its mean products are convenient foods and beverages. PepsiCo is always pursuing giving the most profits to its investors, employees, and business partners. They use honesty, fairness and the best integrity to create every single product.

Corporate Vision

“Our vision is put into action through programs and a focus on environmental stewardship, activities to benefit society, and a commitment to build shareholder value by making PepsiCo a truly sustainable company.

At PepsiCo, we're committed to achieving business and financial success while leaving a positive imprint on society - delivering what we call Performance with Purpose.

Our approach to superior financial performance is straightforward - drive shareholder value. By addressing social and environmental issues, we also deliver on our purpose agenda, which consists of human, environmental, and talent sustainability.”

Value

PepsiCo always want to be an environmentally and socially responsible company. PepsiCo is aware of how the environment plays an important part in their sustainability; so they lighted their bottles’ weight, use green materials as more as possible. Via their customer services, they build trust between their agenda and customers.

StrategiesforGrowth

PepsiCohasseveralkeystrategiesforsustainable, long‐termgrowth,including:

  • Buildinga responsible and trustablecompany
  • Profitablygrowingthecompany’sbeveragebusinessworldwide
  • Seek to produce financial rewards to investors
  • Ensuringgreen environmental,responsiblefinancialmanagement

Code for roadmap

At PepsiCo, they have faith in acting ethically and responsibly are not only the correct things to do, but also the correct things to do for their business.

  • Act responsible and respect in the work environment
  • Act with trustiness in the market environment
  • Focus on environmental stewardship, activities to benefit society
  • Commitment to build shareholder value

Products lines for Pepsi and Mountain Dew

Pepsi
●Pepsi Max
(Zero Calories. Maximum PepsiTaste)
●Diet Pepsi
(Love every sip)
●Pepsi Next
(Drink it to believe it) / Mountain Dew
●MTN Dew
●MTN Dew Baja Blast
●Black Cherry Kick Start MTN Dew
●Limeade Kickstart MTN Dew
●Diet MTN Dew
●MTN Dew Code Red
●MTN Dew Live Wire
●MTN Dew Voltage
●MTN Dew White Out
●MTN Dew Throw Black
●Orange Citrus Kickstart MTN Dew
●Fruit Punch Kickstart MTN Dew

Table. 1 Two Products lines in PepsiCo

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Organization Structure and Business Processes

Fig. 2 Detail of organization structure in PepsiCo

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Organizational Structure

Fig. 1 Organization structure

Company Code: C___

Headquarters / Plant / P___ / PepsiCo Inc. / Purchase, NY USA
Bottling Plant / Plant / P___ / The Pepsi Bottling Group, Inc. / Somers, NY USA
Bottling Plant / Storage Location Raw Materials / SL__ / The Pepsi Bottling Group, Inc. / Somers, NY USA
Bottling Plant / Storage Location Finished Goods / SL__ / The Pepsi Bottling Group, Inc. / Somers, NY USA
Distribution Center / Shipping Point / S___ / Refreshments Services Pepsi / Tallahassee, FL USA
Distribution Center / Storage Location Finished Goods / SL__ / Refreshments Services Pepsi / Tallahassee, FL USA

Table. 2 Company Code C___ of PepsiCo

Product, Production and other related data

Bill of Materials

For Diet Pepsi

Material / Part number / Qty/Unit / Cost/Order / Order Qty / Cost/Unit / material type / Vendor
Water / 1 ltr / 400 / 4000 ltrs / 0.10 / raw / Crystal Clear Water Systems Mahopac, NY
Artificial Sweetener / 1 ltr / 280 / 140 ltrs / 2.00 / raw / American Sugar Refining Inc. Yonkers, NY
Diet Pepsi Flavoring Syrup / 1 ltr / 180 / 400 ltrs / 0.45 / raw / Pepsico
Diet Pepsi Cans / 7000 / 350 / 7000 / 0.05 / raw / Rexam Chicago, Illinois
Diet Pepsi Lids / 7000 / 70 / 7000 / 0.01 / raw / Rexam Chicago, Illinois
12 Pack Box for Diet Pepsi / 600 / 12 / 600 / 0.02 / raw / Nepa Carton and Carrier Co., Inc.

Table. 3 Detail of the BOM for Diet Pepsi products

For Diet MTN Dew

Material / Part number / Qty/Unit / Cost/Order / Order Qty / Cost/Unit / material type / Vendor
Water / 1 ltr / 400 / 4000 ltrs / 0.10 / raw / Crystal Clear Water Systems Mahopac, NY
Artificial Sweetener / 1 ltr / 280 / 140 ltrs / 2.00 / raw / American Sugar Refining Inc. Yonkers, NY
Diet MTN Dew Flavoring Syrup / 1 ltr / 180 / 400 ltrs / 0.45 / raw / PepsiCo
Diet Mountain Dew Cans / 7000 / 350 / 7000 / 0.05 / raw / Rexam Chicago, Illinois
Diet MTN Dew Lids / 7000 / 70 / 7000 / 0.01 / raw / Rexam Chicago, Illinois
12 Pack Box for Diet MTN Dew / 600 / 12 / 600 / 0.02 / raw / Nepa Carton and Carrier Co., Inc.

Table. 4 Detail of the BOM for Diet MTN Dew

Trading goods

Material / Part number / Qty / Unit / Cost / Order / Order Qty / Cost / Unit / material type / Vendor
Pepsi Bottle Cap Keychain / 10000 / 5000 / 1000 / 0.50 / trading goods / Flexsystems USA, Inc.
El Cajon, CA

Table. 5 Detail of trading goods for PepsiCo

Work centers and Routing

Routing for Diet Pepsi

Operation no.: / Ingredients / Parts
used / Steps / Time
(min) / Cost / Work
Center / Plant
1 / water, artificial sweetener, flavouring syrup / mix the ingredients to form final product i.e. diet Pepsi / 0.09 / 0.08 / WCPS / P110
2 / Diet Pepsi Can / fill the cans with diet Pepsi / 0.02 / 0.01 / WCFL / P110
3 / Diet Pepsi Lid / seal the cans / 0.01 / 0.01 / WCSL / P110
4 / Diet Pepsi 12 Pack Carton / make 12 pack cases for distribution / 0.12 / 0.03 / WCPK / P110

Table. 6 Detail of routing for Diet Pepsi products

Routing for Diet MTN Dew

Operation no.: / Ingredients / Parts
Used / Steps / Time
(min) / Cost / Work
Center / Plant
1 / water, artificial sweetener, flavouring syrup / mix the ingredients to form final product i.e. diet MTN Dew / 0.09 / 0.08 / WCPS / P110
2 / Diet MTN Dew Can / fill the can with diet MTN Dew / 0.02 / 0.01 / WCFL / P110
3 / Diet MTN Dew lid / Seal the can / 0.01 / 0.01 / WCSL / P110
4 / Diet MTN Dew 12 pack Carton / Make 12 pack cases for distribution / 0.12 / 0.03 / WCPK / P110

Table.7 Detail of routing for Diet MTN Dew products

Vendor

Vendor Name / Location / Material Type / Material
American Sugar Refining Inc. / Yonkers, NY / Raw Material / Artificial Sweetener
Rexam Chicago, Illinois / Chicago, Illinois / Raw Material / Aluminum Cans
Crystal Clear Water Systems / Mahopac, NY / Raw Material / Water
Flexsystems USA, Inc. / El Cajon, CA / Trading Goods / Pepsi Key Chain
Nepa Carton and Carrier Co., Inc. / Moosic, PA / Raw Material / 12 Pack Cartons

Table. 8 Detail of vendor for PepsiCo beverages

Major Customers

Customer Name / Location
Wal-Mart Stores, Inc. (Including Sam’s club) / 850 Cherry Avenue San Bruno, CA 94066
Fast Food Restaurant / KFC / 1900 Colonel Sanders Ln Louisville, KY40213
McDonalds / McDonald's Corporation 2111 McDonald's Dr.
Oak Brook, IL 60523
Burger King / Burger King Worldwide 5505 Blue Lagoon Drive
Miami, FL 33126

Table. 9 Detail of major customers for PepsiCo beverages

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