Leadership Practices at Pepsi Co.: A Detailed Management Case Study

This case study examines the leadership and management practices at Pepsi Co., focusing on Director Jorge Rubio's efforts to enhance employee satisfaction and company profits through flexible work environments and democratic leadership styles. The analysis highlights Pepsi Co.'s implementation of various leadership theories, including trait theory, to adapt to different situations and motivate employees. The study emphasizes the importance of leadership in initiating action, motivating employees, providing guidance, building confidence, and fostering effective communication. It also underscores the need for leaders to possess skills such as inspiring others, displaying integrity, building relationships, and solving problems. The report concludes that effective leadership is crucial for achieving organizational goals, enhancing customer support, and developing employee skills through training and development programs. Desklib provides access to this and other solved assignments to aid students in their studies.

PRINCIPLES AND
PRACTICE OF
LEADERSHIP AND
MANAGEMENT (Part 2)

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
ESSAY- PART 2.............................................................................................................................3
Case study....................................................................................................................................3
Useful for leaders.........................................................................................................................7
CONCLUSION................................................................................................................................7

INTRODUCTION
Leadership plays a critical role in success of every organisation because it is associated
directly with company. In different situations the businesses are used to employ various
strategies in order to overcome issues. In present essay the case study of Jorge Rubio and Pesci
Co. will be analysed. In this, best suitable option for the company will also be suggested in
effective manner.
ESSAY- PART 2
Case study
In any organization, leadership plays an important role to ensure with the completion of
work by the employees in an efficient manner. Thus there many leadership style which have its
own importance at different situational time (Weidenfeller, 2012). It is the duty of the
organization to come up with the most efficient leadership style so as to ensure the performance
level of the employees. Thus, it is seen that it is crucial for the firm to identify with the needs and
requirements of the employees towards the adoption of the leadership style. The case study
determines that Director Jorge Rubio is changing the working condition of the company so as to
attain high profits and giving satisfaction to the employees. They are working to provide with
flexible environment to the employees. Thus for it they are adopting with different leadership
theories and also renovating the workplace so as to motivate the employees to a greater extent
(Wooten And et.al., 2012). According to the case study, it states that Pepsi Co. is taking several
efforts to come up with the environment which gives greater flexibility to the employees in
different contexts. Furthermore, they are practising with democratic leadership style at the
workplace which provides with greater rights to the staff members to take active participation in
taking the major decisions of the company (Selznick, 2011). Further, they are working on the
projects so as to develop with the workplace similar to that of Google company. As they are
serving informal environment to the people which makes them more efficient in there workings
and complete the task of the company. Further, they provide with different other facilities to the
people such as creative books, games, etc. which make them happy and satisfied with the
organization. Further, they are making the place more creative so that people can make there bets
time while working in the organization. Moreover, with the passing time, they are adopting with
different leadership theories such as traits which states that the company must not adopt with the
single style for all the situations as it will not provide with the same effectiveness of the work

(Wheatley, 2011). Thus, the manager must evaluate with the environmental situations which will
serve them with the need and determination of the leadership style appropriate for a particular
situation. This will help them to serve with greater satisfaction to the employees and motivates
them to perform the task with greater efficiency. The leader is developing with the strategies
regarding the marketing and sales of the goods so as to enhance with the customer support. From
the analysis it is been evaluated that there is greater need of leader and the perfect leadership
style at the workplace as it will help to deal with the employees in a proper manner and provide
them with higher satisfaction level in terms of work and the environmental conditions (Spillane,
2012). Further, Pepsi Co. is taking efforts to develop with the working place which is acceptable
for all and they enjoy while working in the company. This ultimately increases there
performance level to a greater extent. Moreover, the organization ask the employees about there
preferences for the leadership style which they need to be adopted at the workplace. This
motivates them and make them believe that they are important for the company. Further, this
help to increase with the performance level of the employees. In the company there is a greater
impact of leadership at the workplace as there is a need for a person to manage the task and the
resources in a proper manner. Along with this, they help in maintaining with the relations among
the people which is a positive sign for maintaining harmony in the company. They are the
mediators between the employees and the higher management. Thus, any query related to the
personal or professional life are been discussed to the leader as they act like a teacher or role
model to the employees (Goleman, Boyatzis and McKee, 2013). Further the following are the
major benefits of the leadership in the organization: Initiates action- They are the ones which starts with the work by discussing the policies
and strategies to the people and ask them to complete the task as per the stated norms. So
it can be said that they are the initiator of the work which is to be performed in the
organization.
 Motivation- A leader is playing an important role in motivating the employees by giving
them higher assistance by the means of economic and non-economic support (Zhang and
Bartol, 2010). Providing guidance- They gives the subordinates proper guidance for completing there
work in an efficient manner. They instruct them the way and standards to make them
efficient enough in there workings.

 Creating confidence- It is considered as the major factor which ensures high performance
level of the employees. Thus, the leader express with the working efforts to the
subordinates and express the roles and guidelines clearly which assist them to complete
there work properly (Neck and Manz, 2010). Communication skills-A leader must possess with good communication skills as they
need to interact with the higher as well as lower level of people. Thus they must be have
fluency in there language so that people may understand there words properly Building morale- They help the employees to increase with there morale by cooperating
them and maintaining high trust among the members. This help to boost there inner spirit
and make them work more efficiently in the organization (Gutiérrez, Hilborn and Defeo,
2011). Co-ordination- This can be achieved by reconciling with the interests of the people to the
organizational goals set by them priorly. Further, the incorporation can be achieved by
means of proper and effective co-ordination that is considered to be the primary
objectives of a leader.
 Builds work environment- It is been seen that the management is making the things done
by the employees so is important to serve with better working condition to them. An
efficient environment assist in achieving sound and stable growth of the company
(Avolio and Yammarino Eds., 2013). Therefore, it is important to maintain human
relations and this must be ensured by the leader. Leader must develop with the personal
contacts with the staff members and need to listen for their problems and given them
efficient solutions to it. It is also required to treat employees at humanitarian terms.
In addition to this, it is highly important for the company to appoint with an effective
leader which is having the skills to lead the employees towards the success of the company.
Furthermore, it is also important to evaluate with the skills and competencies of the leader so as
to ensure with the positive impact on the company (Gaines, 2012). This is important because an
efficient leader will be able to meet with the needs and requirements of the people as well as the
organization. Thus the following are major skills and competencies which must be availing in the
leaders of Pepsi Co. to ensure with the greater results: Inspires and motivates others- It is considered as one of the major skills as he is
possessing with the duty to lead the employees in positive side so this can be achieved

only by motivating them and inspiring to do the work efficiently. Further, they must
adopt with different motivating theories at the workplace which will ultimately increases
the capability of the staff member at a higher level (Walumbwa and et.al., 2010). Displays high integrity and honesty- It is import for a leader to work with high integrity
and honesty so as to maintain transparency in there workings. This will further ensures
the high productivity from his side which benefit the company. They must integrate the
organizational goals to that of the personal requirements so that higher efficiency is
achieved. Interpersonal skills- The core objective of the leader is to interact with other people and
manages there work in a proper manner. Thus he must possess with greater level of
interpersonal skills so they are able to convey there point to the member in an efficient
manner. They must not hesitate while determining there views to the people. Builds relationships- It is important for the leader to maintain relationships among all the
team members so as to ensure harmony at the workplace. Further, they must come up
with different group activity and other ways which can develop with interaction among
the people (Iyengar, Van den Bulte and Valente, 2011). Solves problems- They must take high efforts to resolve with the problems or issues
faced by the employees in an efficient manner. It is important for the a leader to listen to
the view point of every individual and than take the final decision for resolve the
problem. Communication skills- A leader must possess with good communication skills as they
need to interact with the higher as well as lower level of people. Thus they must be have
fluency in there language so that people may understand there words properly (Derue and
et.al., 2011). Assists in Training and Development of Subordinates- A leader is efficient enough in
organizing with the training and development sessions for there subordinates. They
provide with the data related to the modern techniques of work. Moreover, it also makes
possible for them to become a good leader in future run.
 Helps Followers in Fulfilling their Needs- A leader should be able to establish with
personal relationship with his subordinates and help in fulfilling their needs. They must

acquire there requirements and make several efforts to make them satisfy to a greater
extent (Weidenfeller, 2012).
Useful for leaders
Thus the stated skills and competencies are highly important for the leader so as to
manage with the tasks in an efficient manner. Furthermore, these skills will make sure that the
person is having high leadership quality which will assist in achieving the goals and objectives of
the company to a greater extent (Wooten And et.al., 2012). In addition to this, for identifying
with the traits of the leaders availing in the firm, they adopt with the trait theory which
determines the skills which the leaders are having. Furthermore, it is been evaluated by ranking
them from 1-8 so as to state the least preferred candidate for the post. Thus, they also set up with
the basic traits which will help them to appoint with the most efficient leader at the workplace.
Further, it is also required that there is dynamism in the behaviour of the leaders so that they are
becoming comfortable in adapting with different situations. Thus, this will make them efficient
enough in coping with the availing situation availing at the workplace.
In addition to this, they are also focusing on the needs of the customers for the
development of the products. Thus, this will help them to produce with the goods as per the
preferences, requirements and taste of the people. Further, it will directly increase the sales
volume and profit margin of the company (Spillane, 2012). Thus, the leader is developing with
the strategies regarding the marketing and sales of the goods so as to enhance with the customer
support. Further, the leader is organizing with the training sessions for the employees so as to
develop with there skills and knowledge for increasing there efficiency.
CONCLUSION
From the above report, it can be articulated that Pepsi Co. is taking several efforts to
come up with the environment which gives greater flexibility to the employees in different
contexts. Company is making the place more creative so that people can make there bets time
while working in the organization. Along with this, it is necessary for the company to evaluate
with the traits of the leader so as to evaluate with the best of the one appointed in the
organization.

REFERENCES
Journals and Books
Derue, D. S. and et.al., 2011. Trait and behavioral theories of leadership: An integration and
meta‐analytic test of their relative validity. Personnel psychology. 64(1), pp.7-52.
Gaines, K. K., 2012. Uplifting the race: Black leadership, politics, and culture in the twentieth
century. UNC Press Books.
Iyengar, R., Van den Bulte, C. and Valente, T.W., 2011. Opinion leadership and social contagion
in new product diffusion. Marketing Science. 30(2), pp.195-212.
Neck, C.P. and Manz, C.C., 2010. Mastering self-leadership: Empowering yourself for personal
excellence. Pearson.
Walumbwa, F. O. and et.al., 2010. Retracted: Psychological processes linking authentic
leadership to follower behaviors. The Leadership Quarterly. 21(5), pp.901-914.
Wheatley, M., 2011. Leadership and the New Science: Discovering Order in a Chaotic World
(Large Print 16pt). ReadHowYouWant. Com.
Wooten, B. M. And et.al., 2012. Peer leadership in the cocurriculum: Turning campus activities
into an educationally purposeful enterprise. New Directions for Higher Education.
2012(157). pp.45-58.