Kerry Group Case Study

The Supply Chain Consulting Group Review Logistics Network Strategy For Kerry Group

Kerry Group’s origins date back to a small dairy company in the southwest of Ireland in 1972; which grew into to a global multinational in under 40 years. Kerry Group (formerly North Kerry Milk Products Limited (NKMP) began as a private dairy company in southwest Ireland before becoming a dairy co-operative (Kerry Co-operative Creameries Ltd – Kerry Co-op), which began trading in January 1974).

From 1974 to 1979, Kerry expanded its milk business. The new co-op acquired the independent Killarney, Limerick and Ballinahina Dairies in 1978, which later became part of Kerry’s Dawn Dairies, along with Galway and Moate Dairies.

Today, Kerry Group is an organisation of 23,000 staff embedded in six continents – all with the same goal: to delight and nourish consumers across the globe with products people enjoy and feel better about.

Kerry Group has three ingredients processing sites in Ireland as part of it’s Global Taste and Nutrition business. The three sites (Charleville, Listowel and Newmarket) process approximately 1 billion litres of milk per annum between them to manufacture the different products.

Most product is delivered or collected on 3PL networks however other Kerry Group divisional transport networks are also used for some chilled customer products / consolidated deliveries.

The Kerry Group management team, consulted the Specialist Logistics and Supply Chain Consultants at The Supply Chain Consulting Group (SCCG) to review their current logistics network strategy, and identify areas requiring optimisation within their current network, whilst simultaneously recommending potential efficient strategies to meet future business demands.

The Specialist Consultants undertook relevant operational review site-visits in order to understand Kerry Group’s key warehouse processes including but not limited to: storage, replenishment, picking, packing, despatch, and inventory management. The consultants also reviewed how the Kerry Group facility handled slow moving and obsolete stock.

Following their review of Kerry Group’s operational processes, the SCCG team, identified opportunities for cost and service benefits within the existing warehouse infrastructure. The Specialist Consultants produced a schedule of initiatives based on cost and ease of implementation, and provided Kerry Group with advice on implementing each initiative.

With support from SCCG’s team of Specialist Logistics and Supply Chain Consultants, The Kerry Group management team successfully reviewed their current logistics network strategy. The Specialist Consultants identified recommendations for initial and ongoing optimisation of Kerry Group’s distribution network and potential strategies to meet future demands and product manufacturing profiles.

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