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Value chain

Living up to our purpose of celebrating life, every day, everywhere means considering every aspect of how our brands are made, marketed, sold and disposed, who they affect and how.

For Diageo, the value chain starts with our suppliers and goes through every aspect of our operations and the way we do business to the way our products are sold and consumed, and the disposal of their packaging.

Our suppliers
At the procurement stage, we primarily look at the standards and practices that our principal suppliers are using – such as the agricultural community that produces our main raw materials as well as those producing the other materials and energy we purchase.

Our operations
In operational terms we examine the impacts of every aspect of how our products are made, from innovation and branding through to production in our distilleries, wineries and breweries, and beyond that to bottling, packaging and distribution.

Our customers
Following this stage, our value chain includes how we sell our products to our customers – such as global retailers, convenience stores, bars, restaurants and in some cases, governments – and how they in turn sell our products to shoppers and consumers.

Our consumers
Finally we look at drinking patterns among our consumers themselves and increasingly how they dispose of our products.

The social, economic and environmental impacts that our business and brands have at every stage of this chain vary. Below you can see which areas of our Sustainability & Responsibility Strategy are most relevant to which parts of our value chain.

Impacts across Diageo's value chain

Our impacts Our suppliers Diageo PLC – our people & operations Our customers Our consumers
Alcohol in society
Responsible marketing and consumer information
Programmes to address alcohol misuse
Stakeholder dialogue and alcohol policy
Water and the environment
Water efficiency
Water quality
Carbon reduction
Waste elimination
Sustainable packaging
Sustainable agriculture
Socio-economic development
Local wealth creation
Community investment
Advocacy for positive change
Health and wellbeing
Diversity and inclusion
Developing talent
Reward and recognition
Governance and ethics
Code of Business Conduct and other policies
Partnering with suppliers