Pepsi-Cola was incorporated in Delaware in 1919 and reincorporated in North Carolina in 1986. PepsiCo's product portfolio includes a wide range of foods and beverages, including many iconic brands that generate more than $1 billion each in estimated annual retail sales. Through its operations, authorized bottlers, contract manufacturers, and other third parties make, market, distributes, and sells a wide variety of beverages and convenient foods, serving customers and consumers in more than 200 countries and territories. However, after conducting annual audits for the financial year 2021 - 2022, the board of directors noted anomalies in three functional areas (Stock out, Demand Plan, and Production plan) of its Jamaican subsidiary. The aim of the Managing Director of the Jamaican subsidiary is to align best practices to its Parent company in meeting global standards.

It was also noted that sales for Diet Pepsi in the Latin America and Caribbean region were 3 million cases while Pepsi Co Jamaica recorded sales of 1 million cases. The following provides a breakdown of stockouts, demand plans, and production plans for the Jamaica arm of the company.

• Stockouts: Pepsi Co Jamaica 8% in comparison to Pepsi Colas global operation = 4%
• Demand Plan: Pepsi Co Jamaica 77% in relation to Pepsi Cola's global operation = 87%
• Production plan: Pepsi Co Jamaica 78% in relation to Pepsi Cola's global operation = 85%

Observations

• There is no clear supply plan.
• There is no raw materials inventory policy,
• The raw materials delivery lead time from the supplier to the Pepsi Co Jamaica plant is 3 months.
• There is insufficient storage for raw material.
• The supply time that Pepsi Co Jamaica offers to its clients is four 4 days.
• Pepsi Co Jamaica plant efficiency is 55%.

Instructions:

Working in groups of five (5) students are required to answer the following questions based on the case study. Importantly all supporting charts and graphs should be integrated into the body of the responses. The response should not exceed 3000 words using APA format. This project should be submitted by May 29, 2023, on the Moodle Platform.

1. Describe the steps Pepsi Co Jamaica could take to improve performance in the short, medium, and long term. [20 marks]

Annual Performance 2022 Stock Out Damand Plan Production Plan Pepsi Co Global Pepsi Co Jamaica