Diageo is to reorganise itself on a more regional basis. The announcement follows the release of the company's H1 figures last week, highlighting challenging times ahead for the group in Europe.

Following the previously announced resignation in July of Ian Meakins as president of Diageo's European major markets (Great Britain, Ireland and Spain), the group yesterday announced that it has created a new pan-regional organisation comprising North America, Europe and International regions.

The newly-created Diageo Europe will cover all European countries and territories, including Russia. The new unit will be headed by Andrew Morgan, formerly president of Diageo's venture markets. Collectively, Diageo Europe accounts for 34% of Diageo operating profit, making it the second biggest geographic region for the company after North America.

The group has brought together its Africa, Asia Pacific and Latin America groups of markets under one new business unit, Diageo International. This business unit, collectively accounting for 29% of the company's organic operating profit will be headed by Stuart Fletcher, formerly president of Diageo's key markets. 

There is no change to the role or responsibilities of Ivan Menezes, president, Diageo North America. 

Meakins' role is not being directly replaced on Diageo's executive committee. Accordingly, his additional responsibilities for global supply and information systems will transfer to Diageo's chief financial officer Nick Rose.  This is in addition to Rose's existing responsibilities as CFO, and as a director of the company.

All Diageo executive changes to role and/or responsibility will take effect on 1 October, the company said.