Diageo
Alcoholic beverage producers
World's #1 spirits company. Diageo produces eight of the world's top 20 spirits brands. Formed by the 1997 merger of alcoholic beverage giant Guinness with food and spirits company Grand Metropolitan.

Overall

Owned UK
Rating C
About the Ratings
Diageo PLC
UK

Company Assessment

(Last updated Aug 2024)
Diageo PLC
Praise
In 2023, the Carbon Disclosure Project (CDP) asked companies to provide data about their efforts to reduce greenhouse gas emissions and mitigate climate change risk. Responding companies are scored across four key areas: disclosure; awareness; management; and leadership. This company received a CDP Climate Change score of A.
Source: CDP (2023)
In 2023, the Carbon Disclosure Project (CDP) asked companies to provide data about their efforts to manage and govern freshwater resources. Responding companies are scored on six key metrics: transparency; governance & strategy; measuring & monitoring; risk assessment; targets & goals; and value chain engagement. This company received a CDP Water Security score of A-.
Source: CDP (2023)
The 2024 Social Benchmark assesses the world's 2,000 most influential companies on their responsibility in meeting society's fundamental expectations towards three measurement areas: respecting human rights, providing decent work, and acting ethically. This company was assessed in 2023 and received a score of 14/20. The average score was an alarmingly low 4.6/20 and the highest score was 15.5/20.
This company received an S&P Global ESG Score of 82/100 in the Beverages category of the S&P Global Corporate Sustainability Assessment, an annual evaluation of companies' sustainability practices (last updated 18 Nov 2022). The rankings are based on an analysis of corporate economic, environmental and social performance, assessing issues such as corporate governance, risk management, environmental reporting, climate strategy, human rights and labour practices.
The Nature Benchmark ranks 816 companies across 20 industries on their efforts to protect our environment and its biodiversity. Companies were assessed in three phases between 2022 and 2024 using three measurement areas: governance and strategy; social inclusion and community impact; and ecosystems and biodiversity. This company was assessed in 2023 and is ranked #18/816, with a total score of 40.1/100.
The 2022 Corporate Human Rights Benchmark assessed 127 companies in the food and agriculture, ICT and automotive manufacturing sectors on their human rights performance. This company received a score of 37.3%. The overall average score was a disappointing 17.3% and the highest score was 50.3%.
The 2023 Gender Benchmark ranks 112 companies from the apparel and food and agriculture sectors on their efforts to drive gender equality and women's empowerment across their entire value chain. Companies are assessed on governance and strategy, representation, compensation and benefits, health and well-being, violence and harassment, and marketplace and community. This company ranked #7/112, with a total score of 44.1%. The average score was 23% and the highest score was 55%.
The 2023 Food and Agriculture Benchmark assessed 350 keystone companies across the entirety of the food system, from farm to fork. It covers three dimensions where transformation is needed: nutrition, environment and social inclusion. This company ranked #24/350, with a total score of 41.1/100.
World's Most Sustainable Companies of 2024 by TIME and Statista recognises the Top 500 most sustainable companies in the world. From a selection of 5,000 of the world's largest companies, non-sustainable businesses were excluded, and the remaining companies were rated on Commitment & Ratings, Reporting & Transparency, and Environmental & Social Stewardship. This company received a total score of 70.5/100, ranking 97th overall.
Source: TIME (2024)
Criticism
The PalmOil Scan app, produced by the World Association of Zoos and Aquariums (WAZA), rates companies on their commitment to sourcing sustainable palm oil. Companies are scored on their use of certified sustainable palm oil (CSPO), commitment to sourcing CSPO, on-the-ground conservation action, and membership to the RSPO. Companies can earn a rating of Excellent, Good, Poor or No Commitment. This company is rated "Poor" (retrieved 18 Nov 2023).
Source: WAZA (2023)
In Feb 2020 the U.S. Securities & Exchange Commission announced charges against alcohol producer Diageo plc for failing to make required disclosures of known trends relating to the shipments of unneeded products by its North American subsidiary to distributors. Diageo agreed to pay $5 million to settle the action. According to the SEC's order, employees at Diageo North America (DNA), Diageo's largest and most profitable subsidiary, pressured distributors to buy products in excess of demand in order to meet internal sales targets in the face of declining market conditions. The resulting increase in shipments enabled Diageo to meet performance targets and to report higher growth in key performance indicators that were closely followed by investors and analysts.
Information
This company has been criticised for irresponsible advertising. In 2016 the UK Advertising Standards Authority (ASA) upheld complaints about a television ad by this company on the grounds that it breached advertising codes. The ASA concluded that the ad implied that drinking alcohol could enhance personal qualities and was therefore irresponsible. The ad was subsequently discontinued or modified.
In February 2009 it was reported in the Guardian that the company had restructured itself so as to avoid paying tax in the U.K., despite much of its profits being generated in the U.K.
In 2011 Diageo agreed to pay more than US$16 million to settle charges by the U.S. Securities and Exchange Commission regarding widespread violations of the Foreign Corrupt Practices Act stemming from more than six years of improper payments to government officials in India, Thailand, and South Korea. [Listed under Information due to age of court finding]
This company is a partner of the New Alliance for Food Security and Nutrition, which claims will lift 50 million people in Africa out of poverty by 2022. But according to a 2015 report by ActionAid, the scheme will benefit multinational companies at the expense of small-scale farmers and is likely to increase poverty and inequality in Africa. Launched in 2012, the New Alliance provides aid money from rich countries like the US and the UK, and helps big business invest in the African agricultural sector. But in return, African countries are required to change their land, seed and trade rules in favour of big business. The New Alliance will: Make it easier for big corporations to grab land in Africa: Prevent farmers from breeding, saving and exchanging seeds: Heavily promote chemical fertilisers and pesticides, which increase farmers’ risk of debt as well as damaging the environment and farmers' health: Replace family farms with low paid, insecure jobs; and Prevent countries from restricting crop exports, even at times of domestic shortage.
As listed on the We Mean Business website, this company has committed to the following climate action initiatives: adopt a science-based emissions reduction target; report climate change information in mainstream reports as a fiduciary duty; commit to 100% renewable power.
This company was named in the top 10 of Seramount's 100 Best Companies 2022 for being a mum-friendly employer. Listed companies provide inclusive benefits for families, including paid gender-neutral parental leave, phase-back programs, bereavement leave after miscarriage, reimbursement for fertility expenses, and increased mental health benefits for employees.
This company is a member of the International Alliance for Responsible Drinking (IARD), a not-for-profit organization dedicated to reducing harmful drinking and promoting understanding of responsible drinking. IARD is affiliated with the United Nations.
Source: IARD (2021)
This company appears on the 2023 Bloomberg Gender-Equality Index, signifying a commitment to supporting gender equality through policy development, representation, and transparency.
The United Nations Global Compact asks companies to embrace, support and enact, within their sphere of influence, a set of 10 values in the areas of human rights, labour standards, the environment, and anti-corruption. However it's non-binding nature has been widely criticised, and many signatory corporations continue to violate the Compact's values.
This company received a score of 66.1/100 in the Newsweek Green Rankings 2016, which ranks the world's largest publicly traded companies on eight indicators covering energy, greenhouse gases, water, waste, fines and penalties, linking executive pay to sustainability targets, board-level committee oversight of environmental issues and third-party audits. Ranking methodology by Corporate Knights and HIP Investor.
This company is a member of the Supplier Ethical Data Exchange (Sedex), a not-for-profit, membership organisation that leads work with buyers and suppliers to deliver improvements in responsible and ethical business practices in global supply chains. Tens of thousands of companies use Sedex to manage their performance around labour rights, health & safety, the environment and business ethics.
This company is a signatory to the New Plastics Economy Global Commitment, whose goal is to eliminate plastic pollution at its source.
This company is a member of the Sustainable Agriculture Initiative (SAI) Platform, the main food industry initiative supporting the development of sustainable agriculture worldwide. Created by Nestle, Unilever and Danone in 2002, the SAI Platform is a non-profit organization to facilitate sharing, at precompetitive level, of knowledge and initiatives to support the development and implementation of sustainable agriculture practices involving the different stakeholders of the food chain.
The Female FTSE Board Report 2020 measures of the number of women executive directors on the corporate boards of the UK's top companies. This company has 3 women on its board of directors (38%), and was one of 28 in the FTSE 100 with women in executive roles.
As You Sow's 2024 Plastic Promises Scorecard measures the corporate ambition and action of 225 large companies across six industries on six core pillars of plastic packaging pollution prevention: 1) Recyclability, 2) Reduction, 3) Recycled Content, 4) Recovery, 5) Reuse, and 6) Producer Responsibility. This company received a grade of C.
Diageo uses Second Life, the online networking website, as marketing tool and have set up virtual bars in the created world.
California, the UK and Australia have all enacted legislation requiring companies operating within their borders to disclose their efforts to eradicate modern slavery from their operations and supply chains. Follow the link to see this company's disclosure statement.

Company Details

Type:
Public company
Founded:
1997
Revenue:
11.75 billion GBP (2020)
Employees:
27,775 (2020)
Subsidiaries:
Diageo Australia Ltd
Alcoholic beverage producers
Australia's 3rd largest alcohol company. It operates two manufacturing sites (Huntingwood and Bundaberg) and also has licensed brewing arrangements with Lion (Guinness). Brands include Bundaberg Rum, Johnnie Walker, Smirnoff, Baileys and Guinness. 80% of products sold in Australia are manufactured locally.
Moet Hennessy (34% owned)
Alcoholic beverages
Moet Hennessy is LVMH's wines and spirits division, with Diageo holding a 34% stake.
Moet Hennessy Australia Pty Ltd
Alcoholic beverages

Contact Details

Address:
London, United Kingdom
Website:
www.diageo.com

Products / Brands

Diageo / Carlton & United Breweries (importer/distributor) Diageo Australia
Baileys Liqueur
Bells Scotch Whisky
Bulleit Bourbon
Bulleit Premix Spirits
Bundaberg Rum
Bundaberg Premix Spirits
Captain Morgan Rum
Captain Morgan Premix Spirits
Casamigos Tequila
Ciroc Vodka
Copper Dog Scotch Whisky
Crown Royal Whisky (other)
Dalwhinnie Scotch Whisky
Dimple Scotch Whisky
Don Julio Tequila
Don Papa Rum
Gilbeys Gin
Gordons Gin
Gordons Premix Spirits
Haig Scotch Whisky
Haig Premix Spirits
J&B Scotch Whisky
J&B Premix Spirits
Johnny Walker Scotch Whisky
Johnny Walker Premix Spirits
Ketel One Vodka
Lagavulin Scotch Whisky
Mr Black Liqueur
Pimms Premix Spirits
Pimms Aperitif
Real McCoy Bourbon
Real McCoy Premix Spirits
Ruski Premix Spirits
Sheridans Liqueur
Smirnoff Vodka
Smirnoff Seltzer
Smirnoff Premix Spirits
Talisker Scotch Whisky
Tanqueray Premix Spirits
Tanqueray Gin
UDL Premix Spirits
Vat 69 Scotch Whisky
Zacapa Rum
Moet Hennessy Australia (34% owned)
Belvedere Vodka
Glenmorangie Scotch Whisky
Hennessy Cognac