Müller launches £100m improvement program

By Jim Cornall contact

- Last updated on GMT

The 12-month program is already under way and covers manufacturing, logistics, products, procurement, people and customer relationships
The 12-month program is already under way and covers manufacturing, logistics, products, procurement, people and customer relationships

Related tags: Müller, Müller dairy uk

UK dairy company Müller Milk & Ingredients (MMI), has launched a £100m ($128m) cost and margin improvement program.

The drive, which the company has named Project Darwin, includes a review of every aspect of MMI’s operations, logistics, back office and people organization in order to simplify the business, reduce cost and further improve customer focus and accountability.

Patrick Müller, CEO of Müller Milk & Ingredients said the market environment has changed significantly due to global dairy market volatility, decline in consumption and changes in retailing, and the company needs to adapt and return to sustainable levels of profitability.

“We have the best invested network in our industry and aim to be the leading fresh milk processor in the country for years to come,”​ Müller said.

“We’ve invested in unique and class leading propositions in farm to fridge product quality and shelf life. We have fully recyclable packaging including securing 50% of Britain’s stocks of recycled HDPE for use in bottles, efficient dairies and innovative ways of working with farmers to help protect them from market volatility.”

Specific savings not announced

Müller said the cost-cutting program is about adapting to the changing market environment, becoming a customer centric, agile and simpler business.

He added that the program will “inevitably require tough decisions and a great deal of change.”

He said, “We have already started the process by securing important new long-term strategic partnerships with customers which will reinvigorate the sector.”

The 12-month Project Darwin program is already under way and covers manufacturing, logistics, products, procurement, people and customer relationships.

The company said it is too early in the project to be able to convey specific changes in each part of the MMI business and organization.

A spokesperson told DairyReporter the company was “committed to keeping stakeholders informed during the course of the program.”

Related topics: Manufacturers, Consolidation

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