Diageo – Resource Efficiency Champion - Business In The Community

Diageo – Resource Efficiency Champion

As one of Northern Ireland’s major exporters, Diageo brings iconic Irish brands like Baileys, Guinness, Harp and Smithwicks to consumers around the world. An employment base of 345 employees enables Diageo to sell products in over 180 countries.

Marshall’s Road and Mallusk, Belfast, Northern Ireland 2015


Operating across three sites in Northern Ireland which include a global Baileys’ facility at Mallusk, a beer bottling and packaging plant in East Belfast and corporate headquarters in Belfast City Centre, Diageo is a global leader in the beverage alcohol industry.

What Diageo did

Diageo’s two production facilities in Northern Ireland are key units of the International Supply Chain (ISC). The ISC encompasses 5,000 employees across 60 sites in seven countries, including: the famous St James’s Gate brewery in Dublin. The ISC has adopted the Manufacturing Excellence programme, which is aimed at maximising the efficiency and output of its operations, reducing waste, improving profitability, and enabling it to achieve ambitious global sustainability and environmental targets.

The fundamentals to Manufacturing Excellence are performance, standards and capabilities. Manufacturing Excellence is critical to demonstrating how resource efficiency strategies form an integrated business approach across the organisation. The Global Supply Director personally champions this approach to standardisation and has appointed a central support team within the business to support each business unit in their implementation of the change.

The most critical and business important measure as part of Manufacturing Excellence is its Overall Efficiency and Effectiveness (OEE) measure, which tracks how efficiently production lines are running. This figure is the principle reporting measure across operations on a weekly, monthly and yearly basis and is referenced more frequently than any other measure, financial or otherwise.

The outcomes and impacts

  • Baileys Mallusk site experienced an 11.6% increase in OEE
  • £700,000 saved through Manufacturing Excellence activities
  • 10% reduction in conversion costs across all sites
  • 17% reduction in minor defects and 60% reduction in critical defects
  • 20% reduction in customer complaints
  • To find out more, email damian.connon@diageo.com