Indra Nooyi

You know, is our output per employee going up?

How many spans?

How many layers do we have?

Are we adding layers for no reason?

You know, we monitored all of that carefully.

And that's why the company was successful, because...

No, it's like an accordion.

Sometimes you end up adding a couple of layers and then you say, hey, wait a sec, how did this happen?

Why did we drift there?

Let's get the number of layers down.

You know, we see certain levels of people have to have at least eight reports or 10 reports.

So we have different ways we triangulate on organization, hierarchy, levels, bureaucracy, overhead.

We look at all of that.

And because our target setting process for the businesses and for the company as a whole is always reasonably stretched.

It's never easy targets.

It's always a reasonable stretch.

And then we always promise the street order.

A number that's lower than what we set ourselves to do.

So we never do the opposite way.

We tell the street a higher number and promise ourselves lower and pay ourselves big bonuses.