Human resource interventions are an integral part of the workflow for any organization. Given that the management of large manufacturing corporations is the most challenging task, here the role of HR managers is critical in achieving balance and harmony in the organizational structure. HR interventions may include performance and talent management techniques that bring order and balance to human processes. This paper aims to analyze Pepsico’s HRM policy and how it impacted the organizational structure.
1. In the case scenario about the ways of redirecting the personnel development and personnel management efforts, Pepsico human resource managers showed a good example of HR interventions. The Pepsico HR Careers Task Force introduced a five-step organizational development process to establish a stronger and more capable HR function and create a common language across the company’s departments and functional units. The first step entailed the creation of a proper competency model for the HR function, for which the list of competencies was compiled and analyzed.
The second step was to create a list of 10 key jobs that represented a “consistent, sustainable, and long-term role” to which the employees aspired during their career paths (Cummings & Worley, 2108, p. 444). The third step included the calibration of competencies for the 10 chosen jobs, using the job modeling survey with 50 questions characterizing and rating 50 competencies for each job role (Cummings & Worley, 2018). Then, the fourth step was building the key job database for employees’ and managers’ use. Finally, the fifth step was the implementation of the developed HRM and career planning system and its evaluation for further improvements.
2. In addition to the interventions discussed above that were originally chosen by the company, several alternative types could be useful in this scenario. For instance, the management could introduce the talent development interventions and align them with employees’ career development stages (Cummings & Worley, 2018). Notably, people at their establishment stage could have distinct career needs, expectations, and related problems than people at the advancement, maintenance, or withdrawal stages. Therefore, managers could apply a wider developmental perspective to their talent management practices. They could communicate with employees about career opportunities, provide workshops, career counseling, and self-development materials in the framework of human resource career planning programs. The leadership development programs could be applied by HRM as well.
3. I agree with Pepsico’s recruiting internal OD practitioners, for several reasons. The first reason is that these practitioners had a better understanding of the internal situation, including confusion in the organizational structure. Another reason is that internal OD practitioners better understood the needs of the company and each of the departments. As a result, Pepsico achieved its goal and created a resource management system that brought together all employees whose job roles implied people management. Moreover, the new system brought together all employees of the company and created a resilient workforce through participation in career development programs and familiarization with the job competencies (Cooke et al., 2021). In other words, knowing the nuances of the organizational structure allowed OD practitioners to effectively complete the task and achieve management goals.
Thus, Pepsico’s HRM policy was analyzed in terms of its impact on the organizational structure. The company made a wise move to timely engage internal OD practitioners to develop new HRM practices that would unite the organization and align its structure with organizational goals. The HR intervention was made in five steps that determined the further development of the human processes in the company.
Cooke, F. L., Wood, G., Wang, M., & Li, A. S. (2021). Riding the tides of mergers and acquisitions by building a resilient workforce: A framework for studying the role of human resource management. Human Resource Management Review, 31(3), 1-12.
Cummings T. G., & Worley C. G. (2018). Organization development and change. (11th ed.). Cengage Learning US.