PepsiCo A-Z Topics Page

A-Z Topics

At PepsiCo, we have embedded sustainability into everything we do through a governing philosophy called Performance with Purpose - our commitment to making healthier products, protecting our planet and empowering our associates and the communities we serve. We created this index to address the broad range of sustainability-related topics that matter to our business and our stakeholders including, investors, suppliers, customers, consumers, associates, communities, government agencies, NGO partners and other stakeholder groups. 

The information in this index draws upon materials from our existing goals, governance mechanisms, policies and performance. Many of these topics are interconnected and as such, we have included cross-referenced links to related subjects. To see how our A-Z topics align with our material topics as defined through our GRI Materiality process, see the GRI Material Aspects & Boundaries section of the A-Z Index. 

A number of topics in this index are related to our Performance with Purpose 2025 goals. Further detail about our goals, along with a complete GRI Index, can be found in our 2016 Sustainability Report

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A-E

Advertising & Marketing to Children

Advertising & Marketing to Children

At PepsiCo, we believe children are a special kind of audience, and take particular care to responsibly communicate about our products with them and their caregivers. We do this by advertising to children under age 12 only those products that meet PepsiCo’s Global Nutrition Criteria for Advertising to Children, to encourage the consumption of healthier food and beverage products. We also restrict direct sales of certain beverages to schools.

To learn more about the policies and practices that inform our advertising and marketing strategy, please visit our Advertising and Marketing to Children page.

Agriculture

Agriculture

For PepsiCo, sustainable agriculture is critical to the continued growth of our business, ensuring food safety and crop resilience for continued and localized supply. As a corporation that has a global reach but operates locally in the communities where we do business, we provide relevant expertise to help advance the ways in which farming is carried out around the world. This benefits individual farmers and the communities that rely on them, while helping protect our license to operate.

As part of our Performance with Purpose (PwP) 2025 agenda, we have set a number of goals related to sustainable agriculture.

Through our Sustainable Farming Initiative (SFI), we strive to sustainably source virtually all of our direct agricultural raw materials which we purchase from PepsiCo long-term growers by 2020. This goal is intended to give us a target against which we will demonstrate:

  • Engagement with farmers in our direct agricultural raw material supply chain as part of the SFI journey
  • Compliance with PepsiCo’s definition for sustainable sourcing, as defined by the SFI Scheme Rules

We have also set goals to sustainably source our major indirect agricultural raw materials by 2025, and cane sugar and palm oil by 2020.

To learn more about the ways in which we are helping to advance farming practices around the world and the policies that govern our role in this global supply chain, visit our Agriculture page.

Animal Welfare

Animal Welfare

PepsiCo requires the ethical and humane treatment of animals throughout our value chain and aims to safeguard the care of farm animals that are an integral part our supply chain.  PepsiCo does not conduct or directly fund any animal tests.

See our cage-free eggs policy here

Bioengineered Food & Ingredients

Bioengineered Food & Ingredients

We are committed to producing great-tasting food and beverage products of the highest quality in every part of the world, ensuring that all of our products meet or exceed appropriate safety and quality standards.

We understand that some consumers and other stakeholders have questions about bioengineered food and ingredients, commonly referred to as genetically modified organisms (GMOs).

The use of bioengineered food and ingredients is safe. Many of the most influential regulatory agencies and organizations that study the safety of the food supply, including the U.S. Food & Drug Administration, the American Medical Association, the World Health Organization, Health Canada, the U.S. Department of Agriculture and the National Academy of Sciences have found that bioengineered food and ingredients are safe, and that there are no negative health effects associated with their use.

We are working to help our consumers and stakeholders better understand the safety and benefits of bioengineered ingredients in our products.

We also know that our consumers are becoming increasingly interested in knowing more about their foods and beverages, including whether GMOs are present in the product. We offer “Non-GMO” verified products in our Stacy’s Pita Chips, Quaker Organic Oatmeal, SIMPLY brand snacks and Tropicana and Naked Juice product lines.

Find more information on bioengineered ingredients in the documents below.

Cage-Free Egg Policy

Cage-Free Egg Policy

PepsiCo supports the ethical treatment of animals as part of our corporate responsibility. PepsiCo uses eggs in a number of our baked products including oatmeal and protein bars, biscuits and cookies. While there is still work to be done across the industry to increase supply, we are committed to working with our partners toward sourcing 100% cage-free eggs in the U.S. by 2020 and global markets by 2025.

Caramel Coloring

Caramel Coloring

The process of caramelization has been known since the early days of cooking. It was not until the 19th century, however, that caramel coloring gained commercial significance as an additive in the brewery industry, and then since the early 20th century in the soft drink industry. Today, caramel colorings are manufactured for a variety of purposes.

Extensive research conducted over decades and published in scientific literature has repeatedly established that caramel colorings, and the foods and beverages they are in, are safe. As a result, the use of caramel colorings in food and beverage products continues to be approved by regulatory authorities. For example, the U.S. Food and Drug Administration, the European Food Safety Authority and Health Canada, consider caramel colorings to be compliant with the required safety specifications for use in foods and beverages.

At PepsiCo, the safety of our products is a top priority and we abide by regulatory guidelines everywhere we do business. When regulations for 4-MEI were instituted in California, we moved immediately to reformulate our cola beverages with a caramel color that lowered the amount of 4-MEI in our products and these changes have been implemented across the U.S. In order to maintain a harmonized global supply chain, we committed to use the new caramel coloring internationally, and are finalizing the implementation process. Throughout this process, there was no change to the overall Pepsi-Cola product or the product’s great taste, which consumers know and love. 

Climate Change

Climate Change

Implementing solutions to address climate change is important to the future of our company, customers, consumers and our shared world. We have a strong interest in reducing our greenhouse gas (GHG) emissions given the risks we believe climate change presents to our business.

We believe industry and governments should commit to science-based action to keep global temperature increases to 2˚ Celsius of pre-industrial levels, as described by the Fifth Assessment Report of the Intergovernmental Panel on Climate Change. Our Performance with Purpose (PwP) 2025 goal to reduce absolute greenhouse gas (GHG) emissions across our value chain by at least 20 percent by 2030 was made within this science-based context.

To learn more about our goals to reduce Scope 1, 2 and 3 GHG emissions, and our approach to achieving these goals, visit our Climate Change page.

Corporate Governance

Corporate Governance

Strong corporate governance is and has been a long-standing priority at PepsiCo. We believe strong corporate governance is the foundation for financial integrity, investor confidence and sustainable performance. At PepsiCo, we are guided by the belief that acting ethically and responsibly is not only the right thing to do, but the right thing for our business.

PepsiCo has adopted comprehensive corporate standards and policies to govern its operations and to assist the Board of Directors and its Committees in performing their duties. We review these corporate standards and policies regularly to reflect changing regulatory requirements, evolving practices and input from our shareholders and other stakeholders.

For additional information about our corporate governance practices, including our policies and Global Code of Conduct, please see PepsiCo’s Corporate Governance page and most recent Proxy Statement.

Deforestation

Deforestation

PepsiCo is committed to realizing zero deforestation in our company-owned and operated activities and global supply chains from direct supplier to source by 2020. PepsiCo’s most significant influence on forests is through its sourcing of paper and wood-based products and raw agricultural materials, particularly palm oil.

To learn more about our supplier requirements, external partnerships and PepsiCo policies, please download our PDF on Deforestation.

Diversity & Engagement

Diversity & Engagement

People are PepsiCo’s greatest asset. We believe in building a workforce that reflects the diverse consumers and communities we serve. Diversity and engagement is core to our company’s values and how we operate as a global corporate citizen. A key driver of our company vision, Performance with Purpose, diversity and engagement helps create a sustainable advantage for us.

PepsiCo has a strong legacy of leading in diversity practices starting in the 1940s by breaking the color barrier and hiring African American salespeople, in the 50s as the first major company to have a woman on its Board, to the 80s where we pioneered multicultural marketing. Together, with their different perspectives, experiences, and backgrounds, our people are building on this legacy and creating our future across the countries, markets and territories in which we operate.

Endorsement of External Initiatives & Principles

Endorsement of External Initiatives & Principles

Participating in external partnerships and supporting charters that promote sustainability enable us to help form solutions to systemic challenges that we cannot overcome alone. Among the externally developed principles and initiatives we have endorsed, some include:

  • The Climate Declaration of Ceres’ Business for Innovative Climate & Energy Policy
  • Global Sullivan Principles of Social Responsibility
  • MacBride Principles
  • The Trillion Tonne Communiqué of the Prince of Wales’s Corporate Leaders Group
  • Universal Declaration of Human Rights
  • UN Caring for Climate initiative
  • UN CEO Water Mandate
  • UN Global Compact
  • UN Guiding Principles on Business and Human Rights
  • UN Sustainable Development Goals
  • UN Women’s Empowerment Principles

Environment, Health & Safety

Environment, Health & Safety

Protecting the safety, health and well-being of our associates around the world is one of our top priorities. We are working in a number of ways to promote the values of health and safety at PepsiCo and ensure the continual improvement of our culture and performance when it comes to health and safety. In 2016, we evolved our Global Environmental, Health and Safety (EHS) strategy to focus on pursuing a positive impact culture, as well as reducing our significant incidents. Our five strategic platforms are best described as follows:


ehs-diagram-a-ztopics



For more information on our EHS program and performance, please download our Environmental, Health & Safety PDF.


Ethics & Integrity

Ethics & Integrity

PepsiCo’s Values and Global Code of Conduct are the cornerstone of our governance strategy. Our Values are our compass, guiding us as we work to become an even more socially and environmentally responsible company. Our Global Code of Conduct is our roadmap, delivering results the right way, positioning us for long-term sustainable growth. We uphold our Values with six guiding principles:

  • Care for our customers, our consumers and the world we live in
  • Sell only products we can be proud of
  • Speak with truth and candor
  • Win with diversity and engagement
  • Balance the short-term and long-term
  • Respect others and succeed together

To learn more about our Values, Global Code of Conduct, training programs, third party compliance, reporting mechanisms, and anti-corruption program, please download our PDF on Ethics & Integrity.

Visit our Global Code of Conduct and Speak Up Hotline pages for more.

F-N

Fleet Efficiency

Fleet Efficiency

Our fleet operations adopt sustainability in their everyday practices and long-term business plans by reducing emissions through efficiency, new technology and the sharing of best practices.

For a number of years, we have made significant improvements in fleet efficiency, and from 2008-2016, our Frito-Lay North America business has reduced its diesel fuel usage by 32 percent. One way we have achieved this reduction is through our Frito-Lay Compressed Natural Gas (CNG) fleet, which reached 100 million miles traveled in 2016. Today, 40 percent of our Over-the-Road fleet has been converted to CNG, with these freight trucks emitting 23 percent fewer GHG tailpipe emissions than the diesel freight trucks they replaced. In addition, Frito-Lay North America maintains nearly 200 full-electric vehicles (EV), the largest commercial fleet of EV trucks in the U.S. Since our EV program began in 2010, we have eliminated the need for approximately 1.2 million gallons of diesel fuel, equivalent to keeping more than 2,100 passenger cars off the road for a year. In addition, we are one of the original supporters of the Sustainable Fuel Buyers’ Principles, developed by Business for Social Responsibility (BSR), which encourage accelerating the transition to sustainable, low-carbon fuel and related technologies.

In the U.S., PepsiCo is a certified member of the U.S. Environmental Protection Agency’s (EPA’s) SmartWay initiative. The program is a public-private initiative between the U.S. EPA, large and small trucking companies, rail carriers, logistics companies, commercial manufacturers, retailers, and federal and state agencies. Its purpose is to improve fuel efficiency and the environmental performance of goods-movement supply chains. 

Gender Parity

Gender Parity

Gender parity is a cornerstone of our robust diversity and engagement agenda as well as our culture. In fact, PepsiCo leverages diversity and engagement as a competitive business advantage that fuels innovation, strengthens our reputation, and fosters engagement with employees and members of the communities in which we do business. We strive to improve the attraction, retention and advancement of global and diverse talent to ensure we sustain a high-caliber pipeline. As part of our Performance with Purpose (PwP) 2025 agenda, we have set a target to reach gender parity by 2025.

For more information about our work to foster equality in the workplace, please download our PDF on Gender Parity.

GRI Material Aspects & Boundaries*

GRI Material Aspects & Boundaries*

Year-round engagement with diverse stakeholders informs our sustainability reporting and overarching sustainability strategy. We publicly report on topics that are priorities for both our business and our key stakeholders.

Our list of Material Aspects represent the issues that we plan to continue managing, measuring and reporting on. These are the Material Aspects—mapped against our A-Z Index—that we believe are currently the most relevant material topics to PepsiCo and our stakeholders.

For more information about our GRI materiality assessment process, please download our PDF on GRI Material Aspects & Boundaries.

* In this communication and in our other sustainability reports and statements, when we use the terms “material,” “materiality” and similar terms, we are using such terms to refer to topics that reflect PepsiCo’s significant economic, environmental and social impacts or to topics that substantially influence the assessments and decisions of stakeholders in what the GRI Sustainability Reporting Guidelines define as “material aspects.” We are not using these terms as they have been defined by or construed in accordance with the securities laws or any other laws of the U.S. or any other jurisdiction, or as these terms are used in the context of financial statements and financial reporting, and nothing in this communication or other sustainability reports and statements should be construed to indicate otherwise.

HFC

HFC

As part of our Performance with Purpose (PwP) 2025 agenda, PepsiCo has set a goal of absolute reduction of greenhouse gas (GHG) emissions by 20 percent by at least 2030 compared to 2015. Emissions originating from across our value chain – our Scope 3 emissions – make up approximately 92 percent of our carbon footprint. One way in which we are making progress in reducing our Scope 3 emissions is by making our vending and cooler units more efficient and less carbon intensive by migrating them to hydrofluorocarbon- (HFC) free refrigerants. Most renovated and new units are using hydrocarbon (HC) refrigerants, which are natural, non-toxic, and non-ozone depleting.

We began moving toward HFC-free units in 2006 in Europe, with all units in Turkey and Russia becoming HFC-free in 2009 and 2010 respectively. Today, our units in all EU countries are HFC-free, and we have a total of more than 370,000 HFC-free units worldwide.

Going forward, we have set goals to phase out HFC units in the U.S. completely by 2020, and by 2025 globally. In 2016, we made significant progress in this journey, reducing GHG emissions from our vending and cooler units by 12 percent versus a 2015 baseline.

Human Rights

Human Rights

At PepsiCo, we aim to ensure that all rights holders that might be affected by PepsiCo directly and through our value chain can enjoy the human rights described in the International Bill of Human Rights and the ILO Declaration on Fundamental Principles and Rights at Work.

PepsiCo’s commitment to respecting the human rights of workers throughout our value chain, as well as the local communities in which we operate, is articulated in our Human Rights and Salient Issues Statement, our Code of Conduct (Code), Supplier Code of Conduct (SCoC) and relevant policies including those on land rights, deforestation, and sustainable agriculture. 

See our Human Rights page for more details. Our reporting on Human Rights is guided by the UNGP Reporting Framework

Land Rights

Land Rights

Respecting land rights, particularly in developing countries, and in areas populated by indigenous people is vital to economic development and maintaining a company’s license to operate. In early 2014, PepsiCo launched a new Land Policy with zero tolerance for illegal activities in our supply chain and zero tolerance for land displacements of any legitimate land tenure holders.

Since then we have been working with suppliers, civil society and industry peers to implement this commitment. To learn more about our progress in this area, download our PDF on Land Rights.

Nutrition

Nutrition

Creating a healthier relationship between people and food is integral to our business. While we are transforming the nutritional profile of many of our products by reducing added sugars, sodium and saturated fat, we are also building our portfolio of nutritious products, accelerating a journey that we began before the turn of the 21st century.

As part of our Performance with Purpose (PwP) 2025 agenda, we have set the following goals related to nutrition:

  • Grow our portfolio of what we refer to as Everyday Nutrition products and ensure that the rate of sales growth of our Everyday Nutrition portfolio will outpace the rate of sales growth in the balance of our portfolio.
  • Provide access to at least 3 billion servings of nutritious foods and beverages to underserved consumers and communities by 2025.

To learn more about what we are doing to achieve these ambitious goals as well as our PepsiCo Nutrition Criteria, see our Nutrition page

Nutritional Labeling

Nutritional Labeling

As a global company with brands that reach consumers more than a billion times every day, it is important for PepsiCo to provide fact-based, simple and easy-to-understand information about how the key nutrients in each product fit in a balanced and healthy diet. We are continuously looking for ways to improve our labeling.

In 2010, PepsiCo voluntarily committed to display calorie count and key nutrients on our packaging— where feasible to print and where permissible by local regulations— for all of our products in Brazil, Canada, China, India, Mexico, Russia, Saudi Arabia, Turkey, the U.K. and the U.S. In an effort to strengthen our labeling policy, in 2014 PepsiCo adopted our Global Labeling Policy.

To learn more about our labeling commitments, please download our PDF on Nutritional Labeling.

O-R

Packaging

Packaging

Packaging plays a unique role in the way our products are presented to consumers and customers. In addition to understanding its necessary role in protecting the quality and experience consumers have with our products, we have a responsibility to contribute to the quality of life in our communities. We do this by optimizing the use of materials used for our products, continually improving our packaging design and supporting increased recovery.

As part of our Performance with Purpose (PwP) 2025 agenda, we have set the following goals related to packaging:

  • Strive to design 100 percent of our packaging to be recoverable or recyclable. 
  • Partner to increase packaging recovery and recycling rates. 

To learn more about our work to improve our packaging, please download our PDF on Packaging.

Palm Oil

Palm Oil

In 2015, PepsiCo launched its Palm Oil Action Plan, committing to help advance the sustainability of the palm oil industry. We are committed to sourcing 100 percent certified RSPO sustainable palm oil. Through our policies and actions, PepsiCo seeks to uphold standards for sustainable palm oil by addressing our own supply chain first and then partnering with others to drive improvement more widely. In this way, we hope that our collective actions will improve palm oil production across the industry.

Our second Annual Progress Report was published in July 2017 and provides detailed information on the strides we are making toward our goals. It covers all of the commitments in our 2015 Palm Oil Action Plan.

For more information about our efforts to sustainably source palm oil, visit our Palm Oil page.

Pay Equity

Pay Equity

PepsiCo has robust, long-standing processes for managing pay programs that ensure pay equity across employee groups. Building on that history, we recently increased the rigor of our pay equity review processes, as part of our Performance with Purpose (PwP) 2025 agenda, with a goal to achieve pay equity by implementing a more comprehensive global pay equity review process.

By the end of 2017, we intend to have implemented this process in 21 countries that collectively make up 62 percent of the salaried employee population1. To date, we have done an assessment of the professional population in the U.S., and found that women are paid within 1 percent of men overall2, after controlling for legitimate drivers of pay, such as level, tenure, and performance ratings. In the years ahead, we will continue this process across additional markets.

Our PwP goal is in line with the statement we made in 2016, when we signed the White House Equal Pay Pledge. As part of this pledge, we committed to implement a comprehensive, global annual review process to support pay equity for women. As a Fortune 50 company, we felt it was important to add our voice to this conversation and take a leadership position in regards to pay equity.

1Excluding top senior executives
2Based on base compensation

Political Activities, Political Contributions & Issue Advocacy

Political Activities, Political Contributions & Issue Advocacy

In each of the more than 200 countries and territories in which our products are made, manufactured, distributed or sold, we abide by the local laws and regulations governing interaction with government officials and political giving. In the democratic societies in which we operate, the health of those societies depends on citizens being responsibly engaged in the political process. PepsiCo’s political activities – including political giving and issue advocacy -- must always comply with all applicable national laws and PepsiCo’s Political Activities, Contributions & Issue Advocacy Policy & Guidelines below.

To learn more about our policies and practices in this area, download our PDF on Political Activities, Political Contributions & Issue Advocacy.

Product Safety & Quality

Product Safety & Quality

PepsiCo is dedicated to producing the safest, highest-quality and best-tasting beverages and foods in every part of the world. Developing and maintaining robust food safety programs is how we assure safety for every package, every day, in every market. PepsiCo has detailed internal programs and procedures for food safety. For a summary of our policies, programs and actions designed to keep our products safe and meeting high quality standards, please download our PDF on Product Safety & Quality.

Public Policy & Political Engagement

Public Policy & Political Engagement

PepsiCo’s business is shaped by public policy at the local, state, federal, regional and global levels. Our Global Public Policy and Government Affairs (PPGA) team works with senior management to develop annual and long-term public policy priorities. Abiding by the local laws and regulations governing interaction with government officials and PepsiCo's strong Code of Conduct, our public policy engagement goal is to promote a healthy business environment that supports our ability to achieve sustainable growth in the years ahead.

To learn more about our engagement in this area, download our PDF on Public Policy & Political Engagement.

Renewable Energy

Renewable Energy

As part of our goal to reduce our absolute greenhouse gas (GHG) emissions by 20 percent by 2030, PepsiCo is increasingly shifting towards renewable energy. This is a journey we are in the early stages of today, but have begun in markets like Mexico. In March 2016, our Mexico Foods business initiated a power purchase agreement to source a large portion of its power from wind energy. From April-December 2016, this business sourced 73 percent of its power via wind energy, on an average monthly basis. In addition, PepsiCo has joined the Business Renewables Center at the Rocky Mountain Institute and signed on to the Renewable Energy Buyers Principles, an initiative facilitated by the World Resources Institute and the World Wildlife Fund. These partnerships are informing our renewable energy procurement strategy.

Responsible Research

Responsible Research

PepsiCo's research processes and those of our partners are confidential for competitive reasons. However, PepsiCo does not conduct or fund research – including research funded by PepsiCo but performed by third parties – that utilizes any human tissue or cell lines derived from embryos or fetuses.

S-Z

Saturated Fat

Saturated Fat

Informed by the guidelines on energy intake provided by the World Health Organization (WHO) and other authorities, we have set a goal that helps consumers reduce the amount of saturated fat in their diets. Our goal, as part of our Performance with Purpose (PwP) 2025 agenda, is that by 2025, three-fourths of our food portfolio will have saturated fat levels that do not exceed 1.1g/100 Calories. 

Our PwP goal is designed to shift a significant portion of our food portfolio towards lower saturated fat levels that make it easier for our consumers to follow WHO’s recommendations. Reducing saturated fat in our products not only benefits consumers, it helps PepsiCo to address business and regulatory needs.

To learn more about our efforts to reduce saturated fat in our portfolio, please download our PDF on Saturated Fat.

Sodium

Sodium

Informed by the guidelines on sodium intake provided by the World Health Organization (WHO) and other authorities, we have set a goal that helps consumers reduce the amount of sodium in their diets. Our goal, as part of our Performance with Purpose (PwP) 2025 agenda, is that by 2025, three-fourths of our global foods portfolio will have sodium levels that do not exceed 1.3 mg/Calorie. 

As we developed our sodium goal at PepsiCo, we took into account the fact that global dietary intake data shows snacks are a relatively small proportion of total sodium intake. Our goal is designed to shift a significant portion of our food portfolio towards lower sodium levels that make it easier for our consumers to follow the WHO’s recommendations. Reducing sodium in our products not only benefits consumers, it helps PepsiCo to address business and regulatory needs.

To learn more about our efforts to reduce sodium in our portfolio, please download our PDF on Sodium.

Stakeholder Engagement

Stakeholder Engagement

We value the views of our shareholders and other stakeholders, and the input that we receive from them is a cornerstone of our Performance with Purpose (PwP) 2025 agenda. These engagements help us learn about emerging sustainability topics, better inform our efforts, and help PepsiCo work to create value for society.

We use a variety of mechanisms to solicit feedback from our stakeholders, including bilateral meetings and participation in stakeholder networks, outreach programs, webinars and partnerships on a variety of topics. Engaging with a wide range of stakeholders is important, including organizations that are critical of our actions, in order to understand and address their concerns.

To learn more about our ongoing engagement efforts, please download the PDF on Stakeholder Engagement.

Sugar

Sugar

Informed by the guidelines on added sugars intake provided by the FDA, we have set a goal that helps consumers reduce the amount of added sugars in their diets. Our goal, as part of our Performance with Purpose (PwP) 2025 agenda, is that by 2025, at least two thirds of our global beverage portfolio volume will have 100 Calories or fewer from added sugars per 12 ounce serving.

Our new goal is designed to shift a significant portion of our beverage portfolio towards lower calorie levels that make it easier for consumers to follow the FDA’s recommendations. We will do this by expanding our portfolio of lower-calorie beverages and reducing added sugars in our overall beverage portfolio.

To learn more about our efforts to reduce sugar in our portfolio, please download our PDF on Sugar.

Supplier Diversity

Supplier Diversity

PepsiCo is committed to purchasing from a supplier base representative of our employees, consumers, retail customers and communities. Developing partnerships with diverse suppliers helps us build the world-class supplier base we need. It creates mutually beneficial relationships that expand PepsiCo's sphere of activity. It helps build community infrastructure by providing employment, training, role models, buying from other minority and women-owned businesses and supporting community organizations.

In 2016, we spent approximately $1.4 billion USD with diverse suppliers in the United States. This includes Tier 2 spend reported by non-diverse suppliers, which demonstrates PepsiCo's strong commitment to expand engagement of diverse suppliers in its supply chain. Beginning in 2017, we will be expanding our supplier diversity program to include LGBT, Veteran and Disabled-owned enterprises.

Since we started our Supplier Diversity program 35 years ago, we have spent a total of over $20 Billion with diverse suppliers, and we are proud to say that we utilize them in virtually all areas of our company.

Supplier Diversity Registration Portal

Sustainability Governance

Sustainability Governance

We believe strong sustainability governance is the foundation for delivering on our Performance with Purpose (PwP) vision to provide top-tier financial performance over the long-term by integrating sustainability into our business strategy. At PepsiCo, sustainability topics are integrated into, and not separate from, our business. To learn more about the role that our Board, senior leadership, and employees throughout the company play in managing sustainability at PepsiCo, please visit our Sustainability Governance page.

Sustainable Sourcing

Sustainable Sourcing

We hold our suppliers to the same standards of integrity to which we hold ourselves. An unethical or illegal act by a supplier may hurt PepsiCo's reputation as a world-class company and cause a loss of goodwill in the communities we serve. Therefore, all suppliers are expected to follow our Supplier Code of Conduct, and relevant policies and commitments as a condition of doing business with us.

These standards are based on international conventions including the Universal Declaration of Human Rights; the International Covenant on Civil and Political Rights; the International Covenant on Economic, Social and Cultural Rights; and the ILO Declaration on Fundamental Principles and Rights at Work.

To learn more about our Supplier Code of Conduct and Sustainable Sourcing Program, visit our Sustainable Sourcing page.

Talent

Talent

To attract the best talent, PepsiCo strives to maintain our reputation as a great place to work. We do this by raising awareness about PepsiCo’s unique, high-performance culture and highlighting PepsiCo’s traditional benefits — including comprehensive compensation, health care, and savings and retirement programs — and emphasize our diverse culture and commitment to learning and development. The future of PepsiCo will be shaped by our commitment to hiring and developing the most talented associates by building strong, diverse teams through offering rewarding and challenging careers.

Trans Fats

Trans Fats

In support of the efforts of the World Health Organization (WHO), governments and the public health community to reduce the global intake of industrially produced trans fats (TFA), PepsiCo has joined industry in adopting a commitment to reduce industrially produced TFAs from partially hydrogenated oils (PHOs) in our products worldwide to less than 1g TFA per 100 grams of product by the end of 2018.

PepsiCo’s Frito-Lay US business led the industry with its response to TFAs, when in 2003, it replaced partially hydrogenated cooking oils in its core snacks with cooking oils like corn, canola and sunflower. These cooking oils contain minimal amounts of TFAs that can develop during the refining process. In addition the company included a trans fat line on every nutrition facts panel more than two years in advance of the 2006 Food & Drug Administration (FDA) regulation.

Waste

Waste

Waste reduction, in all its forms, is a strategic imperative for PepsiCo, for the benefit it provides to our business in the form of cost savings and efficiencies gained. It is also inherent to being a good citizen of the communities where we operate, by reducing our environmental footprint.

As part of our 2025 Performance with Purpose (PwP) agenda, we set the following goals related to waste:

  • Strive to achieve zero waste to landfill in our direct operations by 2025
  • Reduce food waste by 50 percent in our direct operations by 2025

To learn more about our efforts to reduce waste, download our PDF on Waste.

Water

Water

We believe that water is a fundamental human right, indispensable to every community around the world. With water scarcity impacting nearly 3 billion people worldwide today, including people in communities where we operate, there is a strong imperative for companies like PepsiCo to deploy their expertise and resources to address this issue.

Water is also a critical resource for our business, at all points along our value chain – from the farms where we grow the fruits, vegetables and grains that make up our product portfolio, to our manufacturing processes where water is used to ensure we meet the highest quality food safety standards, and as one of the key ingredients in many of our products. PepsiCo’s business depends on water, and as such, we have a vested interest in conserving and protecting it.

As part of our Performance with Purpose (PwP) 2025 agenda, we have set the following goals around water:

  • Improve water-use efficiency in our direct agricultural supply chain by 15 percent by 2025
  • Achieve a 25 percent improvement in water-use efficiency in direct operations by 2025, with a focus on manufacturing operations in high water-risk areas
  • Replenish 100 percent of the water we consume in manufacturing operations located in high-water risk areas by 2025, ensuring that replenishment takes place in the same watershed where the water was extracted
  • Ensure that 100 percent of wastewater from our operations meets PepsiCo’s standards for protection of the environment by 2025
  • Ensure access to safe water, sanitation and hygiene (WASH) to 100 percent of manufacturing employees by 2025
  • Extend safe water access to a total of 25 million people by 2025 from our 2006 baseline
  • Initiate and support collaborative efforts with other stakeholders to address water risk and mitigate water insecurity
  • Advocate for strong water governance in communities and watersheds where we operate, promoting water solutions that meet local water needs

For more information about our efforts to achieve positive water impact, visit our Water page.

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