Performance With Purpose: Crafting The Dream

Indra Nooyi

Lesson time 09:55 min

During her time at PepsiCo, Indra used megatrends to develop “Performance With Purpose,” PepsiCo’s guiding strategy. She’ll take you through the data and the trends, and how they led her team to develop a new strategic direction.

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Topics include: During her time at PepsiCo, Indra used megatrends to develop her idea for ‘Performance with Purpose’, PepsiCo’s guiding strategy. In this chapter, you’ll see how Indra took the data she received from megatrends that her team identified in 2006 and veered it toward her strategic


- I watched the incredible meltdown of the global economies because there was a singular flaw in capitalism. Capitalism lost its conscience. There was a maniacal focus on today. There was a maniacal focus on 24 hours out. People forgot what the consequences of each of their decisions would be for society at large because they didn't worry about the stakeholders. They worried very narrowly about a narrow group of shareholders. So Performance with Purpose was born. And Performance with Purpose only means deliver great performance while keeping an eye to all of the stakeholders so you as a company can do better by doing better. It is not corporate social responsibility, but it's borne out of a deep-seated experiences that I've had, and it's also borne out of the nature of society today. [MUSIC PLAYING] We've talked about the importance of understanding your business, of thinking future back, and finding innovation everywhere around you. But you've got to bring it all together. And I applied all of this when I became CEO of PepsiCo. And as a result, I devised an entirely new approach for the company, an approach I called Performance with Purpose. So in the balance of this class, I'm going to focus on Performance with Purpose. This was a strategic direction that I set for PepsiCo in 2006. Then what I want to do is use Performance with Purpose to explain how we embarked on strategic thinking, how we use this whole megatrends analysis to think future back, and then broke it down to saying, what do we need to do today in the company to build new capabilities, change investments we were making? How do we retool our distribution systems? Everything had to change at the granular level to make Performance with Purpose happen. So we're going to walk through these case studies, and that'll bring to life this whole issue of zooming in, zooming out, thinking future back, strategic thinking to implementation, and citizenship in a profound way. [MUSIC PLAYING] So the first step was to understand the megatrends, which I did as my first job when I became CEO. So what is a megatrend? It's a powerful transformative force that could change the global economy, business, and society. And identifying megatrends that will affect your business is essential to devising your strategy. So I started this megatrends book, brought a bunch of experts together, outside experts, inside experts, and said, let's pull a list of all the megatrends that could impact consumer products, food and beverage, and PepsiCo. And give them to me in this funnel, and I'll decide how best to synthesize them down with all your help, and came back with a list of about 30 or 40 megatrends. And then we grouped them by technology trends, trends that impact sales, marketing, people, grouped them every which way. Then we looked at all of them and said, if we had to pick 10 megatrends, how would we do this? And within the 10 were trends like move to heal...

About the Instructor

Ever wonder what it takes to be the CEO of a Fortune 50 company? Indra Nooyi didn’t set out to become the first woman of color to do so. She simply (and tenaciously) focused on big ideas. As the former CEO of PepsiCo, Indra transformed a global industry. Now she’s teaching you her transformational approach to leadership. Learn to simplify complex problems, persuade others to buy into your vision, and discover how leading with purpose can improve your life beyond the boardroom.

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Indra Nooyi

Indra Nooyi, former CEO of PepsiCo, teaches you to think big, be brave, and make purpose-driven changes at work.

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