Dave Lewis plans executive overhaul at ‘fat and happy’ Diageo
Financial Times
February 20, 2026
AI-Generated Deep Dive Summary
Dave Lewis, the new chief executive of Diageo, the world’s largest spirits company, is set to shake up its leadership team in a bid to revitalise growth at the struggling drinks giant. Known for its iconic brands like Johnnie Walker and Guinness, Diageo has faced criticism for becoming complacent under previous leadership, with many describing it as "fat and happy." Lewis, who previously led Tesco through a turnaround, is planning an executive overhaul aimed at addressing what he sees as inefficiencies and a lack of urgency in the company’s operations. His plans include replacing key members of the top team and implementing a more aggressive strategy to boost profitability and market share.
The move comes after Diageo reported flat growth in recent years, with investors calling for stronger leadership and clearer direction. Lewis’ appointment marks a shift in the company’s approach, as he aims to instil a sense of urgency and accountability among executives. His tenure at Tesco, where he successfully navigated the retailer through a period of financial instability and transformed its performance, suggests that he will bring a similar no-nonsense style to Diageo. Industry observers believe his leadership could breathe new life into the company’s stalled growth trajectory.
Diageo has long been seen as a stable, albeit somewhat sleepy, giant in the drinks industry. However, Lewis’ arrival signals a shift toward a more dynamic and results-driven approach. His plans include streamlining operations, cutting costs, and investing more heavily in innovation and marketing. This overhaul is expected to address concerns about Diageo’s ability to compete in an increasingly competitive global market. Shareholders and stakeholders are closely watching whether Lewis can replicate his success at Tesco and deliver the much-needed revitalisation for Diageo.
This leadership change matters to readers interested in business because it highlights the importance of strategic leadership in driving organisational performance. Diageo’s case underscores how even a company with a strong brand portfolio and market presence can struggle without visionary leadership and a clear growth strategy. Lewis
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Originally published on Financial Times on 2/20/2026