This project explores the impact of digital technology on the business activities of Diageo, a leading beverage company in the UK. The study investigates how digitalization has transformed various functional areas, including operations, marketing, accounting, and HR. Through qualitative research methods, including a questionnaire survey, the project analyzes the benefits, challenges, and overall impact of digital technology on Diageo's operations. The findings highlight the significant role of digitalization in enhancing efficiency, productivity, and market reach. The project also examines the challenges associated with digital transformation, such as employee resistance and the need for continuous training and development. The study concludes with recommendations for Diageo to further leverage digital technology to achieve sustainable growth and competitive advantage.