FDBusiness.com

Müller Milk & Ingredients, Britain’s largest producer of branded and private label fresh and flavoured milk, cream, butter and ingredients, has launched a £100 million cost and margin improvement programme which aims to secure a vibrant and sustainable future for the business, to the benefit of consumers, customers, employees and farmers.

Project Darwin includes a comprehensive review of every aspect of Müller Milk & Ingredients’ operations, logistics, back office and people organisation in order to simplify the business, reduce cost and further improve customer focus and accountability. Currently employing 5,500 people, Müller Milk & Ingredients operates a network of dairies and depots servicing customers throughout Britain.

Patrick Müller, chief executive of Müller Milk & Ingredients, comments: “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.

Patrick Müller, chief executive of Müller Milk & Ingredients.

“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.

It is too early in the project to be able to convey specific changes in each part of the Müller Milk & Ingredients business and organisation and in customer relationships and priorities, but the company is committed to keeping stakeholders informed during the course of the programme.