This excerpt taken from the PEP 10-K filed Feb 28, 2005.
What is Business Process Transformation (BPT) and how does it contribute to the business?
Business Process Transformation (BPT) is the comprehensive effort to drive efficiencies at PepsiCo, and fuel our future growth. It includes efforts to physically consolidate, or hardwire, key business functions to take advantage of our scale. It also includes moving to a common set of processes that underlie our key activities, and supporting these activities with common technology applications. And finally, its about linking our systems so that data will flow seamlessly from system to system. Our SAP installation the computer system that will link all of PepsiCos systems and processes is the linchpin for these efforts. A special project team has started implementing this multi-year BPT effort.
While obviously requiring funding, this is exactly the kind of initiative which is designed to yield efficiencies that we can reinvest back into our business for many years to come.
Once BPT is fully implemented, well have flexibility in everything we do. Well be able to more easily change any product through better control of our supply chain. Well have even greater accuracy in our operations, removing the need for checking and rechecking. Well also achieve efficiencies and consistency by delivering lower costs through common processes and expanded IT capabilities, delivered through one face to the customer. Well have end-to-end, real-time visibility to data that allows us to use information as a true strategic tool. And finally, with a common IT platform, well be able to more quickly expand to take on new businesses seamlessly.