Culture Head to Head Series – Pepsi v Coca Cola

by | Nov 4, 2024 | Case study

Comparing company personalities using our twelve topic Culture framework reveals the strengths and weaknesses of company cultural behaviours and their employee value drivers. Enjoy our Head to Head series for CultureExperts

PepsiCo: More Progressive, Empowered, D&I

The Coca-Cola Company: More Collaborative, Workplace Technology, Learning & Development

Key Observations and Analysis

Cultural Behaviors

  1. Agility & Bureaucracy
    PepsiCo scores -44.1%, with Coca-Cola close behind at -42.1%. These negative scores indicate that employees at both companies perceive a significant level of bureaucracy that could be hindering agility. Improving agility by streamlining processes could enable both organizations to adapt more swiftly to market changes and drive operational efficiency.
  2. Empowered
    PepsiCo has a score of +3.4%, while Coca-Cola scores -11.1%. PepsiCo’s slight positive score suggests that employees feel a moderate level of empowerment, while Coca-Cola’s negative score indicates a perception of limited autonomy. Empowering employees with greater decision-making authority and visibility into the impact of their work could enhance engagement and motivation, particularly for Coca-Cola.
  3. Progressive
    PepsiCo scores -32.2%, while Coca-Cola is significantly lower at -52.5%. These negative scores reflect a shared perception that both companies could be more forward-thinking. For both, promoting an innovative culture and embracing progressive practices could be beneficial for staying relevant and competitive in a rapidly changing market.
  4. Diversity & Inclusion (D&I)
    PepsiCo scores +22.5%, with Coca-Cola at +6.9%. PepsiCo’s higher positive score indicates a more favorable perception of inclusivity within the organization, while Coca-Cola’s lower score suggests more limited progress in this area. Enhancing D&I initiatives could help both companies attract and retain diverse talent, foster inclusivity, and promote a workplace culture where all employees feel valued.
  5. Collaborative
    PepsiCo has a score of +32.5%, while Coca-Cola scores higher at +54.7%. Both companies have positive scores, indicating that employees perceive their workplaces as collaborative. Coca-Cola’s particularly strong score here suggests that it may have established robust frameworks for teamwork and cross-functional cooperation, an asset for driving innovation and aligning on shared goals.
  6. Supportive
    PepsiCo scores -30.0%, whereas Coca-Cola scores -20.0%. Both companies display negative sentiment in this area, suggesting that employees may feel a lack of adequate support within the organization. Strengthening support systems, such as leadership accessibility, mentorship, and wellness resources, could help enhance employee satisfaction and resilience.

Employee Value Drivers

  1. Purpose
    PepsiCo has a score of -54.3%, and Coca-Cola is slightly higher at -51.4%. These negative scores indicate that employees may not feel a strong connection to their organization’s mission. Strengthening purpose alignment through clear communication of how employees’ work contributes to the company’s vision could foster deeper engagement.
  2. Work-Life Balance
    PepsiCo scores -43.9%, with Coca-Cola close at -43.1%. Both companies have negative scores here, reflecting dissatisfaction around work-life balance. Addressing this could support well-being and improve job satisfaction, a valuable consideration for retention in today’s workforce.
  3. Learning & Development
    Coca-Cola scores +59.4%, slightly ahead of PepsiCo’s +52.5%. Both companies have strong positive scores, indicating that employees see value in the learning and development opportunities provided. Maintaining and enhancing these programs can help both organizations retain talent and equip employees with the skills needed for future roles.
  4. Career Progression
    PepsiCo scores -14.2%, with Coca-Cola close at -13.8%. These scores suggest a moderate level of dissatisfaction with career progression. Creating more transparent career pathways and opportunities for growth could enhance employee retention and satisfaction in both organizations.
  5. Pay & Rewards
    PepsiCo has a score of +41.9%, while Coca-Cola is slightly lower at +35.8%. Both scores are positive, suggesting that employees generally feel satisfied with their compensation. PepsiCo’s higher score may reflect a competitive edge in meeting employee expectations for pay, an important factor for attracting and retaining talent.
  6. Tech in Workplace
    PepsiCo scores -38.2%, with Coca-Cola at -6.1%. These negative scores indicate that employees in both organizations may feel that the technology available to them could be improved. Investing in advanced tools and technology could enhance productivity and appeal to tech-savvy employees.

Summary

In summary, PepsiCo and Coca-Cola demonstrate strengths in collaboration, learning and development, and pay and rewards. However, both companies face challenges in areas such as agility, purpose alignment, and work-life balance. Addressing these areas could support a stronger employee value proposition, ultimately enhancing employee engagement, satisfaction, and retention. ​

Ready to benchmark Culture?

Interested in Culture Intelligence and key questions like:

  • What makes one Culture more effective than another?
  • Does one Cultural personality have more success in the long run and short run? Is a company personality like the signature of the management?

In this series, we explore different Company personalities and how they compare.

Follow us on Linkedin