£100m Müller programme aims to transform fresh milk business
Müller Milk & Ingredients (MMI), has launched a £100m cost and margin improvement programme which aims to secure a vibrant and sustainable future for the business, benefiting consumers, customers, employees and farmers.
Termed Project Darwin, it will include a comprehensive review of every aspect of MMI’s operations, logistics, back office and people organisation in order to simplify the business, reduce costs and further improve customer focus and accountability.
Patrick Müller, CEO of Müller Milk & Ingredients said: “Fresh milk is loved by British families with 96% of UK households having milk in their fridges. But the market environment has changed significantly due to global dairy market volatility, decline in consumption and changes in retailing and we need to adapt and return to sustainable levels of profitability so that fresh milk can continue to be part of the fabric of British life.
“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. 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.
“Project Darwin is about adapting to the changing market environment, becoming a customer-centric, agile and simpler business.
“This transformation programme will inevitably require tough decisions and a great deal of change but when Project Darwin succeeds, consumers, customers, employees and farmers will benefit, and we can again look forward to a vibrant and progressive future. 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 programme is already underway and covers manufacturing, logistics, products, procurement, people and customer relationships.
The company says it is too early in the project to be able to convey specific changes in each part of the MMI business, but it is committed to keeping stakeholders informed during the course of the programme.