I’ve been checking through lots of application forms for graduate schemes during the last few months, and also coaching LSE grads on interview skills and assessment centres. I’m frequently asked by grads when they initially meet with me if they’ve “missed the boat” in terms of applying for these type of opportunities. It’s true that many graduate scheme deadlines for this year have closed, or will soon do so, but there still programmes open for applications.

We recently had a meeting with Sally Brookes, Diageo’s Early Career Manager, Europe, who was keen to get the message out to recent graduates, as well as current students, about what Diageo can offer in terms of career opportunities.

Sally told us:
We are looking for a diverse mix of talented individuals who have the energy, passion and tenacity and the potential to become our future business leaders to join our graduate programme in Diageo. We have 3 Programme streams: European Sales & Marketing, HR and Global Supply Chain. Our European Sales and Marketing programmes are currently open for applications and the deadline is Friday, 11th December for our UK based programme. However our website details all the timescales of all our programmes and when to apply.

To join our programme we are looking for graduates who have secured a 2:1 in their undergraduate studies, can speak English fluently and have the right to work in the EU permanently without the need for a work permit and possess a valid driving licence. On a practical level we seek people who can influence people and build great relationships as we see this as the essence of success. Our programmes are challenging but they provide graduates with leading edge training as well as authentic job experiences as everyone is placed into real roles, with real responsibility and accountability from day one.”

Another scheme that has recently caught my eye is the Leadership Programme in finance offered by The Co-operative, which is open to graduates with a 2:2 or above. Aviva, Sainsbury’s and Nestle UK are also some of the other organisations with schemes spanning finance, management, sales and marketing and supply chain management, which are still accepting applications. Check on targetjobs.co.uk for more information about deadlines.

A drinks company based in Ireland has been threatened with legal action over its’ promotion of a number of alcoholic beverages. Fork Ids Brewing Company has run a number of controversial promotions in schools throughout the country in attempt to target parents and teachers. “We understand the complaints that were made against us but have no desire to aim our products at children” said the company’s managing director Peter File in a press release on the company website forkids.com.

Mr. File went on to express his regret over the promotions. “We will aim to change our strategy when promoting our drink ‘This It Will Make You Cool’ and ‘Super Fun Shiny Glitter Shots products’. As a way of apology to our customers who have been offended by our recent promotions we will be offering a free Hannah Montana Dvd with every purchase of our “Magic Become a Popstar Cider.”

Whisky-Dinner sind gerade angesagt, ich hatte schon einiges darüber gelesen, u.a. in enem schönen Artikel im Tagesspiegel, war aber noch nie in den Genuss gekommen, Whisky zum Essen zu trinken, eher vorher oder nachher, bis auf eine einzige Ausnahme in Bowmore, wo ich eine überbackene Auster bekam und dazu eben den namensgebenden Whisky des Ortes. Das war recht lecker und so war ich hocherfreut, an einem Dinner im Regents teilnehmen zu dürfen, welches Whiskys von Diageo mit Küche von dem 2-Sterne-Koch Christian Lohse verband, hmmm. Es gab einen 12jährigen Linkwood zu Steinpilzrisotto, Oban, 14 Jahr, zu Perlhuhnbrust, 16jährigen Mortlach zu Käse und Cardu, 12 Jahre zu wärmem Schokotörtchen. Das alles schmeckte erstaunlich gut. Wie bei Wein, so kann auch hier ein positver Synergieeffekt zwischen Speis und Trank entstehen. Nur ergibt sich das Problem, dass man gewöhnlich mehr Flüssigkeit beim Essen zu sich nimmt als 2 cl. Da ich Whisky eher unverdünnt mag, würde das wohl auf Dauer ein kleines Leberproblem geben. Egal. Der Abschluss war gleichzeitig der Höhepunkt des Abends, denn wir durften auch noch “The Masters Choice, Single Cask Selection” probieren. Die daran beteiligten Destillerien füllen jeweils nur ein einziges Fass ab, welches dann in diese Sammlung geht, welches die besondere Eigenart der Destillerie wiedergeben soll, aber mit einem besonderen Twist: Lagert der Whisky z.B. regulär im Bourbon-Fass, so wird eventuell ein Sherry-fass genommen und umgekehrt. Der für mich absolute Favorit war dabei der Mortlach, wirklich traumhaft, ausgewogen und harmonisch, mehr, mehr, mehr!!

Well, its taken me a full week to get around to it, but I thought I’d quickly run through what went down at Rum Club last monday.

It was the Ron Zacapa tasting, and the team from Diageo’s Reserve brands did a great job, (although, when you pour Zacapa over ice, there is very little else you have to do really) We tasted the 23yr old and the XO. Before the tasting a little lesson on where the rum is made and what makes it special, with a freshly charred barrel stave and some botanical samples passed around, activating the nose before the tasting certainly improved the flavor of the spirits. I have a draft of a post on the XO going so I won’t go into too much detail, but suffice to say it was a truly fine experience.

There were a few new faces there. James Hudson, of the Rum Diaries and Curtis York from Quittin’ Time. Curtis imports a stack of rums from around the world. Brinley (St.Kitts), El Dorado (Demerara), LA Mauny (Martinique) and Riviere Du Mat (Madagascar) to name them. Prices go up quite high, but you’re getting top quality for your dollars.

Apparently, even the NFL has to draw a line somewhere.

Although the NFL, like the other major sports leagues, has been exploiting alcohol marketing at ever increasing levels, the “ambush marketing” campaign organized by Diageo’s Captain Morgan pushed the envelope a little too far.

Brent Celek as Liquor Poseur

In hopes of raising brand awareness, Captain Morgan intended to offer lucrative charity contributions in exchange for each instance a player was caught on camera doing its pose during a game … For every time a player was caught on camera striking the “Captain Morgan” during a regular-season game, $10,000 would be donated to Gridiron Greats. For each instance in the playoffs, the donation would elevate to $25,000. And for instances in the Super Bowl, the bounty was slated to hit $100,000 per pose.

Captain Morgan has been very aggressively and irresponsibly marketed ever since it was part of the Seagram’s portfolio under Edgar Bronfman, Jr.

Now that the FDA has stepped up to tackle caffeinated alcohol, perhaps it’s time for the FTC to shine a light on these underhanded marketing practices.

By Nicole Barley

How did I spend Friday evening, you ask? Why, at the Pittsburgh Whiskey and Fine Spirits Festival, of course. I arrived to see a ticket line winding its way around Heinz Field — quite the popular way to start the weekend!

The drink du jour was whiskey, but a quick whirl around the sampling tables in the West Club Lounge turned up cocktails with Tanqueray, Ciroc Vodka, and Nuvo Sparkling Liqueur, too.

Amy Wohar and Melissa Gasdick serve up samples of Crown Royal and Johnny Walker whiskies.

Our photographer Rachel Stadelmeier was set on trying a few sips of Johnny Walker Gold — the only Johnny Walker that’s best-served cold, explained our resident experts, Melissa Gasdick and Amy Wohar. “Every guy I know is going to be so jealous when I tell them I got to drink this,” Rachel laughs.

I’m not really a whiskey kind of gal, so after photographing the crowd, I snuck back to the Diageo booth where Kweilyn Murphy and Joe Kunkle were shaking up samples of the Nuvo Sparkling Cosmopolitan (which, btw, WHIRL is featuring in the upcoming December issue). Hot pink and fizzy, it’s a charming little cocktail. Cheers!

Check out all the photos from the Pittsburgh Whiskey Festival at whirlmagazine.com.

Alice Stockton-Rossini of 1010 WINS radio will emcee this year’s Laugh For Sight 4, and will be joined by some of the biggest names in comedy; Robert Klein, Colin Quinn, John Oliver of the Daily Show, Rich Vos, Eddie Brill, Bonnie McFarlane, John Morrison, and Brian Fischler and Nash.

Guiding Eyes For the Blind will be greeting guests with some of their adorable puppies.!

Free cocktails during the silent auction provided by Diageo, Patron, and the Brooklyn Brewery!

Donors to the silent auction include Comedy Central, the Mandarin Ortiental Hotel, Eli Manning, NY Yankees, NJ Devils Tickets, “Rock of Ages” the hit Broadway Show, Second Stage, Exhale Spa, Hilton Hotels, Circle Cruise, Prada, Patron, Kramer Portraits, Robert Marc, Felix Rey, Vinyl, Grannine Cashmere, several items of fine jewlery, and much more!

Proceeds will benefit Guiding Eyes For the Blind and The Scheie Eye Institute at the Univ. of Pennsylvania. Tickets can be purchased at www.laughforsight.com, www.gothamcomedyclub.com, or by calling 212-367-9000.

Tickets will be available at the door! For more information, please visit www.laughforsight.com, and for questions, corporate tables, donations, or ads, please contact info@laughforsight.com

Laugh For Sight 4

Johnnie Walker, owned by Diageo, did a brilliant ad/infomercial for their premium whisky.

The ad is called, “The man who walked all around the World”. It is supposedly the true story behind Johnnie Walker and how from he started to produce one of the finest blends that Scotland has ever sold, from his small grocer store in Kilmarnock.

Of course, it is all weepy. Of course, given Diageo is a giant company, this internet only advert has a large budget. You are watching an ad that cost £1000 a second to make – even though all it really is is Robert Carlyle walking down a road. So of course, it will pull a few heart strings. (Heart strings being pulled and alcohol are not a good idea). On an aside, Robert Carlyle certainly sounds more Scottish in this ad than he does normally.

However, the heart strings being pulled are not those of the viewer. They belong to those who buy Johnnie Walkers and those who made it. Diageo closed their bottling plant in Kilmarnock. The town that had a 189 history with Johnnie Walker.

Over 700 people lost their jobs. A decision confirmed in September, despite strong community opposition.

So much for the heart strings. The $$$s always come first.

The Johnnie Walker you buy from now on will have no association with Kilmarnock. It will be one of many cheap blended whiskies. It may have Johnnie Walker on the label, but it will have no actual association with the town of Kilmarnock.

By Cara Sulieman

A GOVERNMENT body has come under fire after spending nearly a quarter of a million pounds at a luxury hotel that is run by its chairman.

VisitScotland has confirmed that it paid that amount for events and accommodation at the five star Gleneagles hotel, which is owned by Diageo.

The cash was paid at the time when Peter Lederer was both the chairman of the quango and managing director of the company that runs the hotel.

Part of the £49 million budget for VisitScotland – who promotes the country as a desirable destination – is used to host events and bring in extra investment.

“Gala dinner”

But it has raised eyebrows by spending a whopping £233,810 at Gleneagles.

The figure includes spending by Homecoming Scotland and Event Scotland – both umbrella groups of the tourism board.

Among the costs, officials paid £5,978 for an “ambassador event dinners” at the resort and £1,425 for “accommodation board”.

Nearly £5,000 was spent for bed and breakfast, £2,749 on a “gala dinner” and £1,980 on a “German familiarisation trip”.

And big ticket events included the £70,281 Scotland Means Business event in 2002, which was held at the hotel.

In 2005, £54,284 spent in hosting the US Tour Operators Conference, but a spokesman for VisitScotland said that they didn’t choose to use the hotel in that case.

“Issues raised”

Mr Lederer took up his post at VisitScotland in 2001, and was still managing director of Gleneagles Hotel Ltd until March 2007.

SNP MSP John Wilson said: “It’s difficult to understand how a world-famous hotel that is owned by Diageo requires public money of any kind.

“And once again, issues are raised about people serving on boards and money being paid out to firms they are linked to. VisitScotland, like other public bodies, have to avoid these conflicts in the future.”

A spokesman for Scottish Labour said: “Where public money is involved, there has to be absolute transparency, particularly in the current economic climate.”

Philip Riddle, VisitScotland’s chief executive, insisted that Mr Lederer had no say in the use of the hotel as they were operational decisions and are not discussed with the board or chairman.

“Remiss”

He added: “As chairman of VisitScotland, Peter Lederer has never been involved with any decisions regarding expenditure at Gleneagles.

“Peter has been the most fantastic ambassador for Scotland and acts with the utmost integrity at all times; this is reflected in his standing within the industry and across the world.

“VisitScotland wants to encourage top-level industry input to all activities but is also careful to ensure that proper procedures are in place to ensure that all board members’ interests are fully declared.

“Gleneagles is one of the most iconic destinations in the world. For VisitScotland not to use it in the promotion of the country would be remiss.”

See more of our pictures at our Flickr site and videos at our dedicated channel,  Deadline TV.

Scotland’s top union group has defended striking as “very democratic” and “effective” as the next wave of industrial actions are expected.

As the Royal Mail disputes continue, the Unite union has proposed a legal challenge to British Airways today concerning cabin contracts.

The employment rights union want an injunction against the airline’s plan to administer new contract conditions without union consent.

The same union’s members in Scotland, today, voted to strike in response to closures at the Diageo plants in Kilmarnock and Port Dundas.

Ian Tasker, assistant secretary of policy and campaigns at the Scottish Trade Union Congress (STUC) said: “Obviously, there is a number of issues relating to the effectiveness of strikes.

“The industry is changing in Scotland, take that together with attacks on the trade union legislation. However, we still think it is a justified and effective route to change. It’s a last resort, nobody takes it lightly.”

The STUC represents 640,000 members within 37 affiliated trade unions.

“You can easily get the impression from the media that the Royal Mail strikes are down to recent industrial problems, that’s wrong.

“The problems have been festering for years,” said Mr Tasker.

He said that although striking was becoming less common it was still the most valid form of protest.

“It’s a very democratic process. It’s the workers, through balloting, who decide when strike action is needed. Striking is the mechanism of change for the individuals.”

Royal Mail workers went on their first nation-wide strike last week after months of regional strikes.

Tensions between the unions and company bosses have risen following accusations that the Royal Mail has been employing temporary staff to deal with backlogs – the law on this practice is grey.

Mr Tasker said that it was “disappointing to see Gordon Brown and Lord Mandelson seemingly condoning it”.

“What really concerns us is that an employer like Royal Mail would go against what is principle and law, by employing temporary workers.”

The postal company defend their recruitment strategy calling it Christmas recruitment, however this is challenged by the unions who say that the number of temporary staff has doubled and been brought forward several weeks.

“We would argue that it’s wrong and unlawful,” added Mr Tasker.

Dr Simon J Clark, head of the school of economics at the University of Edinburgh, said striking had waned in recent years: “Strikes are much less common, certainly, than they used to be, partly due to changes in legislation – unions have to go through more loop holes.

“Labour markets have changed drastically,  private sectors firms are less unionised than public sector ones,” he said.

Dr Clark said that international market changes had altered the value of striking as businesses modernised and outsourced, the competition for work grew.

“Going on strike doesn’t have the same adverse effects that it used to.

“In the current climate within the recession, workers aren’t in a strong position to go on strike. The growth of unskilled labour markets across the world  are weakening the power of strikes.

“In the private sectors lots of people are taking wage cuts or negligible pay rises, whilst strikers are demanding more. So whether solidarity is stronger or weaker during a recession, is difficult to say.”

È di qualche mese fa – lo spot venne lanciato in concomitanza con l’America Independence Day – la campagna All Together Now di Diageo per il brand Budweiser, firmata DDB London. Ricordate? Una città, Chicago, vista dai finestrini della metropolitana; una serie di numeri e lettere; l’umanità più varia.

Ebbene, ora ne esiste anche una versione spoof da ufficio. Se possibile, ancor più efficace. Godetevi la graffettatrice convertitasi in squalo…

(fonte http://pointov.wordpress.com).

The Apprentice

Market Analysts See Foreign Investments In Chinese Traditional Liquor As Smart Move To Cash In On Emerging High-End Domestic Consumer

LVMH's baijiu joint venture with Wenjun Distillery could be a huge money-maker in China; But will it appeal outside the country?

Although most westerners may be unfamiliar with baijiu, the traditional spirit of China, drinkers within the country have been sipping the powerful, often tear-inducing alcohol for centuries. Less famous abroad than Japanese sake or Korean soju, two of its descendants, baijiu is most certainly big business in China, with the most expensive bottles often selling for more than $10,000 USD. This high-end spectrum, populated by rare bottles produced by only a handful of companies, has apparently garnered the attention of more than one foreign company looking to get a piece of the premium baijiu market, as Diageo bought a 43% share in baijiu producer Sichuan Chengdu Quanxing Group last year and, recently, LVMH Moet Hennessy acquired a 55% stake in one of China’s top producers, Wenjun Distillery.

This acquisition should fit seamlessly with Louis Vuitton Moet Hennissey’s broader China strategy. As we wrote earlier this week, LVMH is making a massive push into the Chinese market, buoyed by figures that indicate China has leapfrogged past traditional luxury markets like the United States this year and should surpass the Japanese market within five years. Acquiring a premium baijiu with real brand pedigree — the first Asian brand to be owned by the LVMH group — is being greeted as a gutsy move, as the high-end baijiu market is both exclusive and highly competitive. As Karen Cho writes, the acquisition of Wenjun has huge potential as incomes grow throughout China, but — as uncharted territory – presents LVMH with a host of new challenges:

“This is the first experience for the whole LVMH group owning an Asian brand,” says Allan Hong, development manager at Sichuan Wenjun Spirits Sales Company. “Because of the great potential in China, the whole group decided to run the Wenjun brand as a super-premium brand in China,” he adds.

The article goes on to discuss increased foreign interest in the high-end baijiu market, exemplified by Diageo’s investment, and looks at some of the unique cultural challenges presented by the Chinese market, such as Chinese drinkers’ preference for drinking baijiu at restaurants rather than nightclubs:

[A]s LVMH had always targeted modern nightspots, and no one was drinking bai jiu in those outlets, they had to shift its focus to Chinese restaurants.

This, Hong says, posed an immediate challenge, because LVMH’s sales force had relatively less experience with Chinese restaurants.

“So (in our) communication with our distributors, with restaurant owners, we have made a lot of efforts to understand their needs and (also) what their consumers want in those kind of outlets.”

Although LVMH will undoubtedly face massive difficulties in this vast yet complex market, the combined brand power of LVMH and Wenjun names should give the new joint venture a leg up in the market. As Allan Hong says in the article, it is all about serving the lucrative but mysterious niche market of super-premium baijiu drinkers: “[With this joint venture,] we want to capture this opportunity; we want to get a niche market that only belongs to ourselves.”

Tutte le volte che mi sono ritrovato a lavorare nella zona di Cinzano la mia scelta d’albergo è caduta sul Castello di Santa Vittoria, un 4 stelle di recente ristrutturazione (c’è la mano dell’onnipresente Farinetti), domina dall’alto del vecchio borgo le colline di Langhe e Roero, ha adesso a disposizione anche un ottimo ristorante di solo pesce gestito dalla famiglia Mongelli.

E’ un albergo che unisce la bellezza dell’epoche passata con una ristrutturazione moderna e funzionale.

L’albergo offre tutti i confort a prezzi abbastanza contenuti (da 80 a 150 euro circa) e offre anche un piccolo shop di Eataly dove è possibile acquistare una selezione di prodotti.

Le camere sono belle e funzionali, con servizio tv satellitare e prodotti naturali da bagno.

In più siete a nemmeno un km dall’open Baladin di Cinzano proprio davanti allo stabilimento della Diageo

Hotel Castello
Santa Vittoria
Via Cagna, 4
12069 Santa Vittoria d’Alba CN
ITALY
TEL.+39.0172.478.198
FAX+39.0172.478.465

On Tuesday September 29th we hosted an event, in collaboration with the women’s network 85 Broads, to benefit our Artisan Training Program in Guatemala. Our friends at Halvai Gallery in the SoHo neighborhood in New York provided us with a fantastic space to host the event. Around 200 of our supporters were there to support our work and enjoy the world’s best rum, Ron Zacapa, which is, of course, from Guatemala.

Soledad O'Brien (right) speaking at event in New York.

The event featured a silent auction of pieces from our Holiday 2009 collection and the debut of the photos from our Role Model photo shoots. We were very excited to have Soledad O’Brien, host of CNN’s Special Investigations Unit, speak in support of our work and honor our Role Models and women all over the world who strive to make change in their communities. It was such an exciting and moving evening!

All the proceeds from the event will help fund our Artisan Training Program. The training program helps us introduce our model to new communities throughout the Guatemalan highlands. This program is so important because it provides our new partner artisans and cooperatives with the financial literacy, business administration, and technical  training to take full advantage of the opportunities given to them by participating in our sales program. It also helps us accommodate the increasing interst in our work and the beautiful work of our artisans, ensuring that fair trade products are more accessible to everyone!

Thank you to Halvai, Mktg, Diageo, Twelve, Pure Dark, Café Bocca, Beauty is Global, and Joe Tanis Photography for all their help in making the evening a success. If you missed the event you can check out a photo gallery by clicking here.

Clip com os melhores momentos da promoção FutBell’s realizada no Recife (PE).

Ação promocional com o Whisky Bells e ligada ao futebol, o esporte favorito do brasileiro.

Parceria com a Rádio Clube FM.

Stock price: p962
Conclusion: Both our investment case and valuation (p980-1050) remain unchanged following Q1 trading update. Stock fairly priced.

Q1 sales down 6% like for like. F10 guidance confirmed: low single digit growth in operating profit.

Q1 confirmed what we were expecting: a tough start in spirits due to weak demand, continuing trade destocking and high comparison base. We might have to wait for Q3 and Q4 to see a return to positive numbers. We don’t change our forecast of -1-2% decrease in sales this year.

Bottom line will benefit from costs savings (£120m) added to a positive forex impact (£80m). In addition, Diageo benefited in Q1 from “efficiencies” in marketing spending and media rates, implying a further decline in expenses. As a result, EBIT and EPS could increase by around 4% in F10 despite the negative operating leverage from lower sales.

Diageo trades at 15x and 14x P/E, based on calendarised 2009 and 2010 estimates, which is not expensive compared with brewers or food companies. Nevertheless, we believe Pernod Ricard offers superior long term growth following the acquisition of Absolut. Although, Diageo management confirmed that they would be interested in taking the full control of Moet-Hennessy, we doubt that LVMH would sell at the bottom of the cycle.

India's United Spirits set to sell new shares to institutions to help cut its debt

India’s United Spirits is set to sell new shares worth about $300-350 million to institutions to help cut its debt, after efforts to sell a stake to private equity firms and Diageo failed.

The world’s third-largest spirits maker by volume is set to place the shares with institutions (QIPs) as early as this week, three sources with direct knowledge of the deal said.

“The market is good enough for a share sale. Why opt for a PE firm that buys at the same price and adds little value otherwise,” one source said.

United Spirits has debt of 65 billion rupees ($1.4 billion), which it took partly to fund the acquisition of scotch whisky maker Whyte & Mackay, and has said it aims to cut this to 40 billion rupees by the end of March 2010.

Chairman Mallya said in early September he planned to cut the firm’s debt by end October.

KINGFISHER FACTOR

In June, United Spirits sold treasury stock, carried on its books from past mergers and acquisitions, at an average 900 rupees a share to raise about $186 million, which it used to repay some of its loans.

It still has over 8 million shares of treasury stock which it can sell or issue fresh ones.

Sources said United Spirits would opt for the latter. It got shareholders approval last month to raise up to $350 million.

“Private equity investments through preferential allotment have a lock-in of one year, there’s more due-diligence involved and they also look for board seats,” said Jagannadham Thunuguntla, equity head of investment bank SMC Capitals.

“Institutional investors coming through the QIP route have no such hassles, it is also faster,” he added.

United Spirits’ loss-making group firm and airline operator Kingfisher Airlines which is also looking to raise funds, could be a possible factor in PE firms being hesitant to invest in the company.

United Spirits has pledged shares to secure loans for Kingfisher Airlines.

Valuation, a major reason for the break-down of talks between it and Diageo is another factor to watch out for as its margins come under pressure from a rise in molasses prices due to the poor sugarcane crop, analysts said.

Shares of United Spirits, valued at $2.1 billion, have risen just 3.3 percent so far this year compared to a 76 percent rise in the main index.

It’s a happy day when someone sends me something food or drink-related to play with. It’s far preferable to those depressing brown envelopes with windows that usually fill the mailbox. So it is that I am the grateful recipient of a Friday with Gordon’s pack, comprising an adult-size bottle of Gordon’s gin, 6 smart highball glasses with Gordon’s logo marked ever so discreetly on their sides and a cookbook by the F-Word man himself, Gordon Ramsay.

So to what did I owe this gin-tastic pleasure? The Telegraph is promoting its new Friday supplement, The Friday, sponsored by none other than Gordon’s itself. The Friday is filled with great ideas for how to get the most out of those two precious days we call The Weekend, from cocktail recipes (naturellement) to themed takeaway ideas, relaxation tips and that useful tool – a countdown clock telling you exactly how many days, hours and minutes you have to wait for the next weekend.

Well, I’m having fun thinking up all sorts of wicked things to do with my Gordon’s tonight, but in the meantime, we have an Epic début in the shape of a competition. That’s right, G&T lovers, if you would like to win a Friday With Gordon’s pack with which to kick on your very own gin-themed weekend, you may enter here. I’m sorry to say that I have to restrict entries to UK residents only for this one, and you must be over 18 to enter because those are the rules I’ve been given by the nice Gordon’s people.

So here’s what you do:

Tell me in any way, shape or form who is your ‘Gordon Gracious Me’?

(that means in a comment, haiku, photo, video or any other way that can appear on this blog. Points will be given for originality.)

You have until midnight on Friday 9th October to send me your entries. Then we’ll take a vote and send the winner their very own Friday With Gordon’s kit.

Viel Glück, PEEPS! Now, for a word from Mr Ramsay:

What a pity. The Diageo/Sainsbury’s copycat dispute has ended in a whimper, not a bang. Still it’s a result of sorts for brand-owners.

Under the terms of the out-of-court settlement, Sainsbury’s will be forced to modify its Pitchers label, so it looks less like Diageo’s Pimm’s brand, on which it is so obviously based. Likewise, Sainsbury’s has agreed to make its own branding more prominent, lest there be a suspicion of passing off.

Diageo is to be congratulated on its pluckiness in taking on the all-powerful supermarket bullies in the first place. And we should of course be mindful that prolonged legal proceedings against one of its principal customers might a) have led to considerable collateral damage and b) knowing the asinine legal system, have produced a negative result. Nevertheless, this is far from a conclusive victory. Sainsbury’s gets to keep the label; still less has it been forced to withdraw the product.

It remains to be seen how much of a shot across the bows this will be for future transgressors.

A marca de tequila Jose Cuervo, que pertence ao portfólio da Diageo, está contratando uma nova agência de publicidade: a badalada Crispin Porter & Bogusky com sedes em Miami e Boulder (Colorado) nos Estados Unidos.

O movimento acontece sem concorrência, portanto, a JWT deixa de atender a marca de bebida originalmente mexicana.

A Diageo, que controla marcas como Johnnie Walker (uísque), Guinness (cerveja) e Captain Morgan (rum), reduziu drasticamente seus investimentos em marketing em 2009. Em 2008, a empresa investiu US$ 160 milhões em comunicação. Só no primeiro semestre deste ano, o valor aplicado nessa área não chegou a US$ 40 milhões.

It is widely acknowledged that without successful execution the best strategic plans often fail to meet expectations, resulting in wasted capital, reduced morale and organization disruption.  How can organizations bridge the gap between plans & actions and desired outcomes & actual results?

Firstly, it useful to review some of the barriers to successful execution:

• Strategic plans are often poorly communicated down and across the organization, and lack a suitable strategic rationale;
• Overt or hidden organizational friction gets in the way of smooth execution. Examples include: personal agendas impacting tasks, competing corporate priorities, poor operational accountability,   turf wars and changing organizational structure; 
• The right information is not available to the right people at the right time

Companies can learn a lot about strategy execution by studying how militaries perform their missions.  The history of war demonstrates that “no plan survives first contact with the enemy.”  Historically, Generals have had to frequently make plan and resource adjustments as the situation changes, thereby slowing down the overall speed of execution.  To cope with this, many militaries have adopted a concept known as Mission Leadership (ML).  Basically, ML involves 3 core principles based on where and how leadership and decision making is exercised:

1. Leaders provide and communicate clearly defined, succinct and understood military objectives through their subordinates;  these objective are trackable and are delivered with context;
2. Leaders allocate resources to accomplish the task, provide dispute resolution and restrict their span of control so not to limit their subordinate’s freedom of action;
3. Empowered and creative subordinates decide within their delegated freedom and available information how best to achieve the mission in the time allotted.

Corporations and militaries share similar external and internal states.  For example, both types of organizations compete in rapidly-changing environments characterized by a lack of (or imperfect) information, limited resources and internal misalignments.  Because of these similarities and it’s proven success on the battlefield, ML has been adopted by companies as diverse as Pfizer, Walmart and Diageo.

What have these industry leaders learned from ML?

• The primary role of senior leadership is to identify key strategic priorities and objectives that support the business vision and then find the right combination of people, resources and structure to deliver maximum focus on these objectives;
• To ensure accountability, the objectives must be measurable, tracked and linked to individual and departmental goals through performance evaluation systems;
• A higher frequency and simpler style of communication is critical to ensuring alignment;
• For effective decision making, employees need a clear understanding of personal and departmental operating space and their interdependencies with others;
• There must be wide distribution of the strategic rationale and other critical pieces of information to guarantee clarity of purpose;
• Leaders need to be facilitators that create the right environment for success including: delegating decision making down the organization, enabling a risk-friendly culture, stimulating cross-organizational adoption of best practices, and encouraging tactical improvisation for problem solving and stretch performance.

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Stock Price: p975
Conclusion: Good resistance in tough markets but stock looks fairly priced in light of our valuation range of p980-1050.

FY2010: Paul Walsh “F10 will be challenging, we expect to deliver low single digit organic operating profit growth”.

In spite of a probable further decline in organic growth (-1-2%), we expect Diageo to post a slight increase in adjusted EPS this year (3.9% to 69p).
-Top line growth will be challenging, with a tough comparison base in Q1 and H1. Key markets such as Spain, Ireland remain very difficult, while the US are impacted by downtrading. As a result, we expect global priority brands to be more affected than local brands. Guinness will also be faced with a tough comparison in Africa and weak demand for higher priced imported beer in the US. The second half of the year should be helped by easier comparison, as organic sales fell by around 4% during the corresponding period of last year.
-Operating profit could increase by around 4% thanks to £120m savings expected from restructuring initiatives in F10, coupled with £80m forex gains based on current exchange rates, partly offset by negative operating leverage.
-Management might also adjust marketing budget depending on results. However, we think that spending will also be function of the competitive environment. Pernod Ricard made it clear that it will increase spending this year, which might force Diageo to increase its budget, at least in the second half of the year.
-Operating profit will include £190m of restructuring charges compared with £170m reported in fiscal 2009.
-Net profit growth will be held back by lower contribution from Moet Hennessy, notably in H1.

We expect net debt to fall to £6.8bn by the end of June 2010, representing 2.4x EBITDA, which gives Diageo some room for maneuver. Management confirmed that they would buy Moet Hennessy and Souza Tequila if these businesses were for sale.

Diageo trades at 15.2x and 14.2x P/E based on our calendarised 09 and 10 estimates. Our valuation range p980-1050 based on multiple and DCF leads us to conclude that the stock is fairly priced.