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Empowering our leaders

People at the top of an organisation set the tone for everyone else. Our most senior managers are accountable for compliance and ethics, and, through training and guidance, we help them promote a culture of integrity.

Localising responsibilities

This year marked a big change for us in terms of leadership. While the global compliance and ethics team set the programme and support the local teams on the ground, accountability for compliance and ethics now rests firmly with the general manager for each market.

To help general managers with their responsibilities, we set up a network of controls, compliance and ethics managers, one in each market to reflect the new Diageo operating model. These are full-time roles reporting directly to the general manager and are supported from the centre by regional training and capabilities workshops, regular calls and a dedicated website for sharing best practice.

Our general managers are also expected to include compliance and ethics discussions as part of their performance reviews with their direct reports. This is a very important change, marking a real connection between culture, behaviour and consequences.

For information on how we are localising our Sustainability & Responsibility Strategy more broadly, please see the Sustainability & Responsibility Strategy section.

Measuring and enhancing the performance of line managers

All middle managers and above complete an ‘Annual Certificate of Compliance’, answering a set of questions on accountability and confirming that they have read all Diageo’s policies. This is to ensure managers across Diageo understand and take seriously their responsibilities for compliance and ethics and ensure their teams do the same.  We also monitor their performance in this area through our annual values survey – this year 81% of employees said: ‘My manager helps me understand how the Diageo Code of Business Conduct applies to my role’.

To take compliance and ethics beyond our middle managers, we developed a compliance and ethics toolkit for all line managers. Launched in February 2012, it focuses specifically on how we expect them to behave, and sets out clearly their responsibilities, how to deal with breaches reported to them, how to prevent retaliation, how to make ethical decisions, and how to create an open culture in which their direct reports can feel comfortable about raising issues.

Reporting frameworks in this section