Recruitingthe Diasporain Africa

John L. Patterson

HR Director Diageo Africa

Johannesburg,

South Africa

6 – 8th September 2004

Great Brands

Great Performance

Great People

Diageo - famous for…

#1 Tequila

#1 Liqueur #2 Rum

Diageo Global Brands

#1 Scotch Whisky #2 Scotch Whisky

#1 Gin #1 Stout

#1 Vodka

The world's leading premium drinks business trading in over 180 markets around the world.

Mali

CAR

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

Guinness Nigeria Plc

East African Breweries Ltd

Brandhouse (South Africa)

Guinness Cameroun SA

Guinness Ghana Ltd

Seychelles Breweries Ltd

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

Africa Performance

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