Recruiting the Diaspora in Africa John L. Patterson HR Director Diageo Africa Johannesburg, South Africa 6 – 8th September 2004

Great Brands Great Performance Great People Diageo - famous for… Great Brands Great Performance Great People

Diageo Global Brands The world's leading premium drinks business trading in over 180 markets around the world. #1 Liqueur #2 Rum #1 Vodka #1 Tequila #1 Stout Diageo offers a leading array of brands in the spirits business, with nine of the world’s top 20 global spirits brands #1 Gin #1 Scotch Whisky #2 Scotch Whisky

Spotlight on Africa There are over 4,500 Diageo Africa employees Diageo Africa is present in 40 other markets through licence brewing, distribution agreements and direct export Mali CAR Guinness Nigeria Plc East African Breweries Ltd Brandhouse (South Africa) Guinness Cameroun SA Guinness Ghana Ltd Seychelles Breweries Ltd

Africa Performance Africa is significant for Diageo 2nd largest market by volume (after North America) 3rd largest profit delivery (after US and UK) Represents 10% of Diageo’s global trading profit Growth of the Guinness Brand Guinness volume growth of 10% CAGR past decade Largest overall market – 30% of total brand volume Nigeria 3rd largest – overtaking Ireland for 2nd largest market Cameroon 5th, Ghana 8th, Ivory Coast 9th and Kenya 10th largest markets

Why Recruit the Diaspora? Build capability in the markets Reverse the flow of the ‘brain drain' Scarce candidates locally Attractive employer for Africans in Africa Expatriate cost / benefit payback Significant costs (3X) to locate into market Place greater emphasis on developing successors Good for Africa, Good for business

Meeting the challenges Cultural awareness/training programmes Rewards programmes – soft landing Mentor – Local support E-Recruitment Networking Events Churches / Diaspora Groups Diageo Brand

Social Responsibility People don’t want to work for irresponsible companies We know that our actions can differentiate us from our competitors in the minds of all our stakeholders Rigorous marketing code HIV/AIDS policy Diageo alcohol educational initiatives Environmental initiatives We believe that for our brands to justly deserve their position as the world’s leading brands it is imperative that we promote responsible alcohol consumption amongst consumers. One of the ways in which we do this is by fully integrating responsibility messages into our advertising Lets see some examples Show two ads. Crown Royal “Rewind” and Smirnoff Black “NASCAR”