To achieve that ambition, we need to make sure we are doing business the right way, from grain to glass. Thinking about the long-term value and impact we create, and the risks and opportunities of our operating environment and business model, ensuring we are proud of what we do at work, at home and in our communities.
Reporting transparently on environmental, social and governance (ESG) issues plays a vital role in delivering our strategy. It helps us to manage ESG risks, seize opportunities and promote sustainable development everywhere we live, work, source and sell.
How we report
Within our Annual Report we present our most material disclosures and describe how our strategy delivers value for our business and our communities, using the International Integrated Reporting Council (IIRC) Framework as a guide.
Our ESG Reporting Index is where we give additional disclosures in line with the GRI Standards index and the UNGC advanced reporting criteria index, plus our response to the Sustainability Accounting Standards Board (SASB).
In addition, we track our non-financial performance internally on a quarterly basis. Our integrated reporting system consolidates cross-functional non-financial performance data at market, regional and global levels, giving senior internal stakeholders a clear view of our performance. This enables us to act early to amplify opportunities and address risks, ensuring we stay on track to deliver our Society 2030 goals. Non-financial reporting is a rapidly evolving area, so we are continually evaluating and developing our approach and we actively track emerging ESG frameworks and best practice.
Our aim is to ensure that between our Annual Report, the ESG Reporting Index and Diageo.com we provide the information our diverse stakeholders expect and need.
We engage independent auditors to provide limited assurance of environmental performance data (carbon emissions, water stewardship, biochemical oxygen demand (BOD), and waste to landfill), health and safety data and social impact data, relating to our inclusion and diversity ambitions and our underage drinking programmes.
Disclaimer related to PwC’s Limited Assurance Report 2022
I accept and agree for and on behalf of myself and the entity I represent (each a "recipient") that:
- PricewaterhouseCoopers LLP ("PwC") accepts no liability (including liability for negligence) to each recipient in relation to PwC’s report. The report is provided to each recipient for information purposes only. If a recipient relies on PwC’s report, it does so entirely at its own risk;
- No recipient will bring a claim against PwC which relates to the access to the report by a recipient;
- Neither PwC’s report, nor information obtained from it, may be made available to anyone else without PwC’s prior written consent, except where required by law or regulation;
- PwC’s report was prepared with Diageo's interests in mind. It was not prepared with any recipient's interests in mind or for its use. PwC’s report is not a substitute for any enquiries that a recipient should make. PwC’s assurance report is based on historical information. Any projection of such information or PwC’s opinion thereon to future periods is subject to the risk that changes may occur after the report is issued. For these reasons, such projection of information to future periods would be inappropriate;
- PwC will be entitled to the benefit of and to enforce these terms; and
- These terms and any dispute arising from them, whether contractual or non-contractual, are subject to English law and the exclusive jurisdiction of English courts.
Independent assurance over selected fiscal 2022 sustainability and responsibility information and fiscal 2021 Scope 3 Logistics CO2 emissions:
We also engage Corporate Citizenship to assure our community investment data and methodology.
Reporting boundaries and methodologies
A detailed explanation of the boundaries and methodologies used in our reporting can be found in the ESG Reporting Index.
Our Task Force on Climate-related Financial Disclosures (TCFD) reporting
We are committed to playing our part and championing policies that support the Paris Agreement. As such, we welcome the Task Force on Climate-related Financial Disclosures (TCFD) as an important step in increasing stakeholders’ and companies’ focus on climate change. We have incorporated the TCFD framework into our reporting and are accelerating efforts to mitigate climate change risks and identify opportunities for transitioning quickly to a low carbon future. As recommended by TCFD, we use climate change risk assessment and scenario analysis as tools through which to better understand the potential impact of climate risks on our business.
Please see the extracted section of our most recent Annual Report, Responding to climate-related risks, which uses the TCDF reporting framework.