Indra Nooyi (née Krishnamurthy; born October 28, 1955) is an Indian-American business executive and former chairperson and chief executive officer (CEO) of PepsiCo. She made $31 million in her final year at PepsiCo in 2017.
She has consistently ranked among the world's 100 most powerful women. In 2014, she was ranked at number 13 on the Forbes list of The World's 100 Most Powerful Women and was ranked the second most powerful woman on the Fortune list in 2015 and 2017. She also serves on the boards of Amazon and the International Cricket Council.
Career: Beginning her career in India, Nooyi held product manager positions at Johnson & Johnson and the textile firm Beardsell Ltd. While attending Yale School of Management, Nooyi completed her summer internship with Booz Allen Hamilton. In 1980, Nooyi joined the Boston Consulting Group (BCG) as a strategy consultant, and then worked at Motorola as Vice President and Director of Corporate Strategy and Planning, followed by a stint at Asea Brown Boveri.
Nooyi joined PepsiCo in 1994, and was named CEO in 2006, replacing Steven Reinemund, becoming the fifth CEO in PepsiCo's 44-year history. Prior to becoming CEO, Nooyi served as President and Chief Financial Officer, beginning in 2001, she was also named to PepsiCo's Board of Directors. Between February 2000 and April 2001, Nooyi was Senior Vice President, and Chief Financial Officer of PepsiCo. She also served as PepsiCo's Senior Vice President, Corporate Strategy and Development from 1996 until 2000, and as PepsiCo's Senior Vice President, Strategic Planning from 1994 until 1996. Nooyi has directed the company's global strategy for more than a decade and led PepsiCo's restructuring, including the 1997 divestiture of Tricon, now known as Yum! Brands. Tricon included companies like Pizza Hut, KFC, and Taco Bell under its umbrella. The financial gains from this spinoff allowed the company to increase the pace of its share buyback strategy, thereby giving it more leverage to pursue future acquisitions without as much shareholder backlash. Nooyi also took the lead in the acquisition of Tropicana in 1998, and the merger with Quaker Oats Company, which also brought Gatorade in 2001. The $3.3 billion acquisition of Tropicana initially faced opposition from other PepsiCo executives and Wall Street critics. Acquiring Tropicana allowed PepsiCo to gain a competitive edge; Tropicana at the time captured 44% of the chilled orange juice segment, the fastest growing segment of the juice market, an especially positive metric when compared to Coca-Cola's Minute Maid which captured less than half of Tropicana's market share. The Quaker Oats Company's ownership of Gatorade was a positive strategic move for PepsiCo, since Gatorade was responsible for 80% of sports drink sales at the time. Similar to the Tropicana acquisition, this strategic move gave PepsiCo leverage against Coca-Cola, owner of Powerade – second in the sports drink segment. PepsiCo's annual net profit rose from $2.7 billion to $6.5 billion.
Nooyi was named on Wall Street Journal's list of 50 women to watch in 2007 and 2008, and was listed among Time's 100 Most Influential People in The World in 2007 and 2008. Forbes named her the #3 most powerful woman in 2008. In 2014, she was ranked #13 by Forbes. Fortune ranked her the #1 in the list of Most Powerful Women in Business in 2009 and 2010. On 7 October 2010, Fortune magazine ranked her the 6th most powerful woman in the world. In Fortune's Most Powerful Women List of 2015, Nooyi ranked second.
Nooyi's strategic redirection of PepsiCo, called Performance with a Purpose, has been largely successful and involved creating long-term growth while leaving a positive impact on society and the environment. She reclassified PepsiCo's products into three categories: "fun for you" (such as potato chips and regular soda), "better for you" (diet or low-fat versions of snacks and sodas), and "good for you" (items such as oatmeal). Her initiative was backed up with ample funding. She moved corporate spending away from junk foods and into the healthier alternatives, with the aim of improving the healthiness of even the "fun" offerings. In 2015, Nooyi removed aspartame from Diet Pepsi, furthering the shift towards healthier foods, despite lack of evidence of aspartame's harmful effects.
As part of Performance with a Purpose, Nooyi also focused on environmental concerns and sustainability, redesigning packaging to reduce waste, conserving water, switching to renewable energy sources and recycling. In 2020, company-operated U.S. facilities are using 100% renewable electricity. The third component of Performance with a Purpose involved creating a culture where workers were encouraged to stay with the company. As one example, Nooyi wrote to the parents of her leadership team and visited their homes to create the personal connection.
Nooyi has stated an intent to develop a line of snacks marketed specifically for women, feeling that it is a hitherto unexplored category. In a radio interview, Nooyi stated that PepsiCo is getting ready to launch products designed and packaged as per women's preferences, and based on behavioral differences in the way men and women consume snacks.
On August 6, 2018, Nooyi stepped down as CEO, and Ramon Laguarta, a 22-year veteran of PepsiCo, replaced her on October 3, as well as becoming a member of the board of directors. However, Nooyi continued to serve as the chairman of the company until early 2019. During her tenure, the company's sales grew 80%. Nooyi served as CEO for 12 years, 7 years longer than the average CEO tenure at large companies according to an Equilar study.
2015-04-04
https://en.wikipedia.org/wiki/Indra_Nooyi
