This report provides a critical evaluation of leadership skills and competencies within PepsiCo, focusing on the context of organizational change. The report begins by introducing the need for flexible organizational structures in today's competitive environment and highlights PepsiCo's plan to modify its structure and leadership styles to gain strategic advantages. The main body of the report examines three key leadership skills: Traits theory, Behavioral theory, and Leader Member Exchange (LMX) theory. For each theory, the report discusses its application within PepsiCo, including the relevant competencies needed for effective leadership. The report also addresses the limitations of each theory. The conclusion emphasizes the importance of leadership and competencies in maximizing productivity and achieving organizational goals, particularly in the context of PepsiCo's strategic initiatives. This report is a valuable resource for students on Desklib, offering insights into leadership management and organizational change.