How PepsiCo is reimagining the office

Flexibility has been essential for anyone navigating the past year of profound and nearly constant change. It’s a principle at the core of Work that Works, a new program for PepsiCo’s corporate associates around the world. As office locations begin to reopen, Work that Works redefines what the workplace looks like and how it can be used.

At PepsiCo, there will be no default day-to-day workplace for employees in headquarter locations — associates along with their managers choose what work can be done remotely and what needs to be done in their PepsiCo office. Decisions about the best ways of working will be based on roles, daily activities and team dynamics.

“We’ve looked at the challenges and changes of the last year for insights on shaping new ways of working,” says Ronald Schellekens, PepsiCo EVP and Chief Human Resources Officer. “With Work that Works, PepsiCo offers corporate associates the flexibility they need to create balance and achieve even greater success.”

As meaningful as Work that Works promises to be for associates — and studies have shown that flexible work boosts engagement, work-life balance and all-around well-being — its impact doesn’t end there. What’s better for people is better for business and the planet, too, and Work that Works will fuel PepsiCo’s performance and sustainability goals in some very key ways.

When associates feel empowered to own their careers, they in turn drive companies’ success. Employers who offer flexible work see a 15% increase in productivity, 31% less absenteeism and 10% less turnover. PepsiCo will be able to scale down its real estate footprint as well, leading to less waste and lower energy use. Plus, the company will gain access to a wider talent pool, as roles that allow people to work from home at least part of the time are in high demand: 78% of employees say they would change jobs for one that gives them the option of working from home.

A flexible workforce is a more sustainable one, too. With roughly 50% of corporate associates working remotely at any given time, pollution from driving will be dramatically reduced. In fact, for every 100 employees who work from home twice a week, PepsiCo will save 70 tons of greenhouse gas emissions.

The shift also allows people to work in a way that maintains and strengthens PepsiCo culture. The office becomes a place for purposeful interactions as associates meet to create, collaborate, connect and celebrate — a hub for generating new ideas and solutions. Time spent in person can aid innovation and the creative process. Occasions that require strategy and alignment stand to benefit from office interaction. On an interpersonal level, having moments to celebrate success and have key conversations face-to-face will help combat the isolation that has been a facet of virtual work.

Teams can determine how they work best together, and their choices will guide where and how work gets done. Considerations like how new or established the team is, the types of activities the group needs to accomplish, how connected they are to field operations and overall preferences will all come into play.

Whether associates are in an office or not on any given day, PepsiCo will continue to offer tools that have helped people navigate remote working. When in the office, associates can reserve a workspace or meeting room via a mobile app. Occupancy sensors and integrated meeting technology will assist in scheduling meetings between in-person and virtual groups. And with new technology like Smart Analytics — a tool that uses data about office flow, occupancy forecasting and more to create algorithmic recommendations — everyone will be able to take action to collaborate more effectively.

“We are confident that Work that Works gives our corporate associates the responsibility, freedom and support to work most effectively based on their individual needs,” Schellekens says. “To be successful as a company focused on meeting the needs of our consumers, we first need to meet the needs of our associates, today and in the future.”