“The Joy of Pepsi-Cola” is found in its global model

It’s not always a joy when you’re undergoing a global transformation in an organization like PepsiCo. As if it’s not hard enough to drive a new agenda with global processes, you must also make an effort to properly sort through all of the pushes and pulls to remain locally relevant. This is no easy feat when you’re driving the change in a company that’s larger than some small countries.

Even if your company doesn’t have 260,000+ employees across 84 countries, you still need to be of two minds when implementing a global shared services strategy. What does this mean? We asked Shakti Jauhar, PepsiCo’s Global HR Operations and Shared Services, to explain.

Shakti HeadshotSimply put, you should think globally when the value is driven by consistency and standardization. Conversely, you should think locally when the value is driven by the needs and variations of specific markets, he says.

For example, motivations and rewards systems are different in different countries. These are initiatives that you don’t want to standardize across the globe. “It’s all about harmonization, and at the end, making sure that harmonization takes care of whatever the local regulatory environment is and the local needs are,” Shakti says.

Tomorrow’s successful Shared Services models will sink or swim on the backs of your HR professionals’ ability to be adaptive, agile and analytical. They will only be able to do so if you throw them the lifejacket of standardization. Demonstrate the high-level need for change management, communication and engagement to the executives on your team. Meanwhile, you’ll also need to listen to the positive and negative experiences of the locally-based teams to make sure you’re taking a constant pulse of the changes. Their feedback will provide you with the data you need in order to make timely and effective adjustments.

The amount of knowledge and data that will continue to stream in to centers across the world will require analytical abilities that have perhaps never been seen before. Thankfully, technology will step in to help carry this burden. The ideal center has a three-layered approach to technology, according to Shakti. It’s built on a very simplistic technology infrastructure that supports any given cloud-based application platform, which allows the organization to maintain the technology as it moves and changes. On top of it all of this is all of the devices.

Now is the time to set up a support structure for those processes that lend themselves to self-service, whether it’s employee management or HR, so that the affected business teams are free to leverage technology instead of the old process. Although technology ends up playing a large role, transformation is not about technology, it is about process. It’s about being able to leverage the information, and the data, to be able to help the business goal, he says.

“So, if I have that three-layer infrastructure, I can then plug and play all the new startup innovations that come in, plug them in, leverage them, use them, be more efficient, plug it out, and put in a new one if I need to,” he says. “At the end of the day, we need to be agile in order to get to that point where we can start to really leverage what is coming to us from an innovation perspective, from all these startups that we think about and we talk about all the time.”

This is a summary of an interview with Shakti Jauhar from the HR Shared Services event.

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