EAST AFRICA
HMH -KUKU
EAST AFRICA
HATCHING THE LEADERS OF TOMORROW
Regional KFC franchisee Kuku Foods East Africa is unwaveringly committed to offering exclusively Finger Lickin’ Good chicken for its customers. Jacques Theunissen, CEO, highlights how the company and its KFC restaurants are key to accelerating youth employment in the region
Writer: Lucy Pilgrim Project Manager: Josh Rayfield
Jacques Theunissen, CEO of KFC’s franchise holder in East Africa, Kuku Foods East Africa (Kuku), has always had a keen interest in the hospitality industry, originally stemming from his weekend job as a waiter at school.
Following the completion of his university degree, Theunissen’s love for the culinary scene drew him to Putney in London, where he worked as a restaurant manager.
However, in a turn of events, the owner of the establishment he worked at in his younger years asked if he wanted to buy the restaurant from him. After consulting his father, Theunissen accepted the offer, marking a new chapter in his career.
“My passion continued to grow as the days progressed. I worked seven days a week, 365 days a year. Subsequently, I franchised the business and opened another two restaurants,” Theunissen opens.
After exiting the company, he was invited to take up the position of Area Manager with KFC in Cape Town, South Africa, where he jumped at the opportunity to work with such a significant brand in the global quick service restaurant (QSR) space.
After five years in this role, Theunissen briefly transferred to another company where his passion for the African food and beverage industry truly blossomed, before finally returning to the internationally beloved chicken restaurateurs.
“I went back to KFC as I realised that it was the only brand for me. I have been in the restaurant business my whole working life and I love it more every day. It is an industry that in
many ways is looked down upon in the corporate world, but very few realise the actual impact we make on the ground,” he notes.
BUILT ON PEOPLE
Theunissen’s love for the brand means he is ideally positioned at the helm of Kuku, the KFC franchisee for Kenya, Uganda, and Rwanda.
Since opening its first restaurant in Junction Mall, Kenya, in 2011, the business has grown substantially to now own and operate 55 KFC locations across East Africa, with big ambitions to continue expanding the brand in the years to come.
As a company built on people, Kuku currently employs over 1,300 individuals across the region who are the secret to its success.
“Kuku is a high-performance business, driven by our heart-led culture. We are deeply passionate about the KFC brand and our
customers, and strongly believe in supporting regional industry by localising most of our supply chain,” Theunissen explains.
In line with this commitment, the company is in the process of delivering delectable chicken meals in six to eight new restaurants over the coming year.
Kuku prioritises local recruitment when opening a new restaurant, aiming to create 20 to 30 direct jobs alongside several indirect roles with its local suppliers as demand increases.
“It is part of our mission to ensure that KFC is accessible to as many people as possible in the regions where we operate, as everyone deserves
to experience our Finger Lickin’ Good chicken,” he adds.
Furthermore, Kuku leverages a localised supply chain to ensure the best flavours and adherence to food safety standards across its restaurants. This is a key contributor to its growth as partnering with local contractors positively impacts the business from a working capital perspective, whilst also mitigating the volatility of local currencies, making significant contributions to the economies in which it operates.
Food safety is a non-negotiable factor in the business, to the extent that Kuku has numerous systems and checks in place to guarantee that every product served over the counter is completely traceable.
“IT IS PART OF OUR MISSION TO ENSURE THAT KFC IS ACCESSIBLE TO AS MANY PEOPLE AS POSSIBLE IN THE REGIONS WHERE WE OPERATE, AS EVERYONE DESERVES TO EXPERIENCE OUR FINGER LICKIN’ GOOD CHICKEN”
– JACQUES THEUNISSEN, CEO, KUKU FOODS EAST AFRICA
As such, quality is ingrained throughout the company, as evidenced by the several feedback mechanisms in place that alert staff if the quality and safety standards of any food products have been compromised.
RISING STARS
Kuku and the KFC brand have become very important in recent years to the development of East Africa’s growing young workforce, particularly since youth unemployment continues to be an increasing issue in the region.
Consequently, the company is proud that 90 percent of its workforce is below the age of 30, whilst many of those in management roles have developed from team member positions.
This is a personal win for Theunissen, as many individuals have progressed to find themselves running restaurants, areas, or even entire KFC country divisions.
“I am a big believer in the idea that you cannot tell someone how to do something if you have not done it
Absolutely Chicken!
Rahim Manji, Executive Director
of HMH-Kuku provides us with an insight into his role and shares how despite the crowded market, the company continues to flourish
Briefly introduce us to HMH-Kuku.
HMH Kuku Ltd is the parent company of the Yo Kuku! and Yo Kuku! Feeds brands, established in Uganda in 2011 and commissioned by H.E President Museveni in 2013. It is a joint venture company limited by shares between Ugandanowned Hudani Manji Holdings Ltd (HMH) and Africa Poultry Development (APD) Limited. The vertically integrated business employs close
to 700 staff across the broiler farms, feed mill, processing facilities, distribution centre, Kuku shops, and offices, all of whom collaborate closely together. The company’s farms and facilities are in various areas in Kampala and Semuto with its headquarters at Plot 2-10 Hamu Road, Bugolobi, in Kampala.
Yo Kuku! has consistently delivered on its commitment to provide high-quality nutritious and safe processed chicken products to their customers in Uganda and the surrounding region. Our diverse
range of products, including whole chicken such as muchomo, standard, specialties such as drumsticks and thighs, and byproducts such as liver, gizzards, and necks, are all crafted with uncompromising food safety standards in mind.
Over the years, our company has built an impressive customer base that includes global fast-food outlets, hotel and restaurant chains, and leading supermarkets, among others. Some of our customers, such as KFC, expect very high quality and safety standards.
Yo Kuku! has been able to meet these requirements and supply them since they established operations in Uganda. Additionally, we take pride in operating a strong retail footprint of Kuku shops in 10 major towns across the country.
We have also expanded our reach into neighbouring countries supplying distributors in Kenya, South Sudan, and Burundi.
Yo Kuku! Feeds produces chicken feed for both broilers and layers, offering products to cater to the different stages of growth. We operate 20 retail outlets in Kampala, Mukono, Jinja, Mbale, Masaka, Hoima, and Gulu, with multiple distributors and retailers extending our footprint across Uganda.
What are some ongoing or recent projects that you are most interested in showcasing?
We recently completed a new addition to our broiler farms, significantly increasing our production capacity,
Could you tell us more about any environmental initiatives that you have in place?
We share APD’s purpose of ‘enabling shared prosperity through sustainable food production’. This means that from our farms to all our operations, we integrate sustainable practices across the entire value chain to minimise our environmental footprint in food production.
Most notably, HMH Kuku Limited uses environmentally friendly biodegradable material (carton boxes) for its secondary packaging to avoid environmental degradation, and where propylene sacks areused for secondary packaging, they are always reused and recycled before disposal.
Also, our wastewater treatment is purely a natural process and so, friendly to the environment. We use cow dung for wastewater treatment through the natural oxidation ponds, which poses minimal risk to the environment compared to chemical treatment methods.
which will help us continue to satisfy our existing customers and attract new ones.
Additionally, we have upgraded our logistics with new bulk trucks to ensure top-notch cold chain delivery and maintain the high quality of our products in transit.
What, for you, differentiates your business from the competition?
We are the market leader in the supply value chain for chicken and we are channeling strategic moves to ensure that we maintain this position in Uganda. Our broilers are grown and fed on organic feeds made from just maize, sunflower cake, and soya. Consumers are becoming increasingly healthconscious about what they eat and about the inputs that go into what they eat, including chicken. We offer our clients fresh, tasty, tender chicken products, untainted by fish or other unacceptable additives. We are focused on producing the safest and most nutritious chicken products. Our state-of-the-art facilities are accompanied by strict quality standards that are enforced from the arrival of day-old chicks at the farm, to the end processing and delivery of chicken and chicken products to the customer. With a strong retail presence, we ensure our chicken products are easily accessible to all customer segments through our Kuku Shops, as well as through supermarkets, hotels, and restaurants we supply.
Could you tell us about some of the major challenges faced within the industry and the business itself and then detail how these have been overcome?
Fluctuations in the cost of raw materials
particularly the inputs used in making feed, rising global and local inflation, increase in the cost of fuel all directly impact our business and operations. We also continue to contend with political and other barriers to fully develop our export supply chain. We’ve got a highly motivated team that pulls together to find innovative solutions to these challenges.
What are your major future ambitions going forward and how will these goals be achieved?
Plans are in motion to grow our investments in Uganda and support existing export trade. This could be through expanding our broiler farm capacity to meet increasing demand or to enhance our processing and feed production capabilities. When new opportunities arise, we need to be ready to strategically explore the possibilities of expanding our footprint.
What are you most proud of in relation to the company overall?
Celebrating our 10-year anniversary in November 2021 was a significant milestone for us.
Not many businesses reach their fifth year, let alone their tenth. HMH-Kuku is now 13 years old and thriving thanks to the support from our customers, staff, and other stakeholders, who have positioned us as a leader in the dressed chicken market.
During this time, HMH-Kuku has successfully partnered with different players in the poultry industry. Most recently, we have partnered with Africa Poultry Development Limited (APDL), a prominent business conglomerate operating across Zambia, Kenya, Tanzania, and Uganda.
What does the next 12 months look like for the business?
We are looking to rapidly grow our business over the next year, by prioritising customer needs, particularly those planning to expand their outlet base in Uganda. Additionally, we plan to continually increase our brand distribution to new markets in the region, particularly the DRC.
To improve our service delivery and enhance customer convenience, we are embracing technology to innovate around the online marketplace. We’re also looking to strengthen sustainability partnerships with other brands to foster community build-up and support initiatives through CSR activities.
Sustainability will continue to remain at the heart of our business and a top priority, in trying to achieve a triple bottom line for future generations.
HMH -KUKU
Contact us:
Website: www.yokuku.com
Phone: +256 740 035 223
Email: info@yokuku.com
Facebook: @YokukuUganda
Instagram: @yokuku_shop
YouTube: Yo Kuku! Uganda
X: @yokuku_ug
yourself, and through the internal development processes that we have in place, every promoted person has done the work of the team they are leading,” he shares.
In fact, Kuku has seen first-hand the vital impact that its internal development processes have had, as many people from diverse backgrounds have now become remarkably successful.
“Businesses have a responsibility to make a difference. What bigger impact can you have than creating employment opportunities in a community and providing each team member with the skills and tools necessary to develop personally and professionally?”
Moreover, Kuku believes strongly in diversity, equity, and inclusion,
ensuring that everybody has a seat at the table. As such, the company has fostered an environment in which its staff can grow, regardless of age, gender, or qualifications.
Currently, half of Kuku’s workforce comprises women, a statistic which stems across management and leadership teams. The company also participates in many fantastic programmes such as Women on
the Move, which prepares talented employees both personally and professionally for their journey ahead.
“Across Kuku and KFC, our winning culture is the recipe for our success. Over the years, we have made sure that our employees have a voice and a seat at the table, as well as guaranteeing that we walk the walk as a leadership team,” Theunissen assures.
Kuku has also introduced mandatory
“AS A BRAND, WE MUST KEEP THINGS EXCITING AND ENSURE THAT WE EXCEED OUR CONSUMERS’ EXPECTATIONS EVERY DAY, ONE TRANSACTION AT A TIME”
– JACQUES THEUNISSEN, CEO, KUKU FOODS EAST AFRICA
KFC VALUES
Service – The company has an undeniable passion for food and serves its chicken with pride. KFC also helps its employees be the best versions of themselves and treats every customer like a friend, ensuring that they leave each restaurant happy and satisfied.
Food – With crave-worthy and internationally recognised food items, KFC is the original fried chicken expert. Everything the company does reflects its passion for serving Finger Lickin’ Good food – be it an adaption of its world-famous and iconic recipes, innovative ways to serve chicken, or new menu items inspired by its original roots.
Restaurants – Chicken is prepared and cooked from scratch in all locations and celebrates the founding story of KFC. Across East Africa, each restaurant uses high-quality, natural ingredients and creates a welcoming and comfortable atmosphere. The brand is consistently evolving in the name of chicken; from inventing new ordering methods to rejuvenating its restaurant formats, KFC is not afraid to try new things.
training initiatives that equip the entire staff base with the necessary knowledge and skills to efficiently execute the required standards consistently.
“We have received numerous awards over the years, and I am immensely proud to say that we were recognised as the Heart-Led, Inclusive Culture Leader of the Year at the 2023 Global Franchise Convention,” he smiles.
FINDING VALUE IN LOCAL SUPPLIERS
Since its inception, Kuku’s supply chain has been the lifeblood of the business as it not only ensures the company’s success but also guarantees that it can efficiently operate on the world stage.
This is illustrated by the company’s appointment of a
Kenchic: Elevating Chicken Quality with Sustainable Production
In the realm of culinary pleasures, few dishes rival the allure of a perfectly cooked piece of chicken. Whether it’s the crispy delight of fried drumsticks or the succulent tenderness of roasted breasts, chicken dishes have long held a special place in our hearts for their versatility and flavour. Yet, behind every delectable meal lies a pivotal process often overlooked—the raising and nurturing of chickens. Kenchic stands firm in its commitment to ensuring that its chickens result in healthy, flavorful and safe meat. Known for our day-old chicks and premium chicken meat, we are on a transformative path, driven by the conviction that providing top-quality products elevates the poultry industry and nurtures healthier, more prosperous communities.
For four decades, we have delivered high-quality, nutritious, and safe processed chicken products to customers in Kenya and beyond. Our commitment has built an impressive customer base, including global fast-food outlets like KFC. Since its establishment in Kenya, Kenchic has supplied KFC, adhering to stringent quality and safety standards. Additionally, KFC implements a Hazard Analysis and Critical Control Points (HACCP) programme, identifying and mitigating potential hazards in food production.
Kenchic’s ‘Farm to Fork’ model is a complex yet fascinating process that underscores the importance of ethical and meticulous practices
in chicken production. This comprehensive programme ensures quality at every stage, from sourcing the best breeder eggs to the final processing at their state-of-the-art facilities. As Kenchic’s MD Jim Tozer explains, “Our journey starts at the breeder farms, continues through the hatchery, and culminates in our farms or with selected contract farmers. The chicken is then expertly processed into a variety of delicious meat products at our state-of-theart processing plant.”
As far as our certifications go, we achieved a great milestone on receiving the ISO 9001:2015 certification at the Hatchery. This prestigious recognition highlights our unwavering commitment to exceptional practices in collecting, receiving, and processing hatching eggs, along with impeccable incubation monitoring, chick processing, and delivery to customers. Our in-house laboratory is the only one of its kind in Kenya to be ISO 17025-certified, demonstrating to customers, regulators, and other stakeholders that it
is competent to perform its testing and calibration activities. Kenchic slaughters its birds at maturity adhering to global FSSC 22000 and halal requirements. In 2011, Kenchic was the first company in Kenya to attain Food Safety System Certification 22000 (FSSC 22000). Kenchic was recently re-certified for the most comprehensive food safety management system standard and is recognised by the Global Food Safety Initiative.
Sustainability is at the heart of our business. We are committed to protecting the environment for future generations. We use sustainable practices throughout our operations, which helps both nature and our business goals. We are dedicated to leading the way in sustainable food production.
“We know that implementing these stringent measures has increased our production costs, however, as a responsible business, we firmly believe in not compromising the health and safety of our customers for the sake of quick profits,” Jim remarks.
Quality Assurance Manager who works across the supply chain at all levels to ensure its counterparts are 100 percent compliant with international food standards and audited by third-party compliers.
Furthermore, its suppliers not only work with KFC but also other supermarket retailers in modern food trade. Therefore, by working in conjunction with these suppliers to improve food safety to global standards, the company’s reach can be felt far beyond its own customer base.
However, Kuku has not been immune to the pressures caused by increasing input costs that have resulted in recent market depreciation. Nevertheless, a localised supplier strategy helps mitigate the effects of currency devaluation.
FOOD & BEVERAGE OUTLOOK: HOW HAS KUKU OVERCOME RECENT CHALLENGES IN
THE QSR SECTOR?
Jacques Theunissen, CEO: “Numerous macroeconomic challenges have arisen since the COVID-19 pandemic in 2020. We have seen high inflation, currency devaluations, increasing input costs, raw material shortages, and a decline in consumer disposable income over the last few years.
“Additionally, the QSR sector is highly competitive, but I believe one of the main reasons for our success has been our focus on hiring and retaining the best people who consistently deliver on the unmatched KFC quality and customer experience.
“New sales channels, such as food delivery, have also elevated our service offerings and made the brand easier to access from the comfort of consumers’ homes. Therefore, we continuously ensure that we remain distinctive and that there is always something new and exciting for our customers.”
“Our local suppliers have been incredibly supportive during these times, and we partnered with these businesses to tackle the problem together and ensure that we can continue to make our products accessible to our customers,” Theunissen expands.
Kuku has additionally focused on automating certain systems to help navigate industry challenges, enabling it to obtain accurate and reliable data and ensure quick decision-making.
The company’s state-of-the-art systems are also supported by an innovative mindset – one of Kuku’s most valuable assets in uncontrollable market conditions and an expansive supply chain.
This is most aptly illustrated by Kuku’s implementation of its Sales Overnight and Brand Overtime (SOBO) strategy, which helps guarantee that the business remains
KFC’S FARM TO FINGERS PRACTICES
Chicken welfare – In 2020, the KFC brand introduced new chicken welfare policies that it is set to expand worldwide. The metrics are an extension of the existing guidelines that outlined the improved conditions of the environments for raising chickens.
Sustainable packaging – With a clear history of moving towards sustainable packaging, the company’s most recent innovations include its commitment to using recoverable and reusable customer-facing plastic packaging, as well as sourcing all fibre-based packaging from certified or recycled resources.
relevant in all consumer sectors, ultimately making the brand more accessible and distinctive in its service and product offerings.
For instance, Kuku was the first QSR organisation in Kenya to introduce self-service kiosks across a number of restaurants in 2023 and will continue to roll out this technology across its expanding portfolio in the coming year.
Additionally, the introduction of home delivery services is transforming its customer interactions, becoming integral to making KFC’s delectable dishes more accessible and convenient.
“As a brand, we must keep things exciting and ensure that we exceed our consumers’ expectations every day, one transaction at a time.”
DELIVERING ON A PROMISE
Kuku is set to continue its trajectory of growth and effectively navigate industry challenges by utilising the local workforce and supply chain communities that actively benefit from socioeconomic growth.
Meanwhile, the customer experience will remain a top priority for the foreseeable future, as the company strives to exceed their expectations
and consistently deliver on its service and quality promise.
“Our customers must leave with a smile every time they visit; this is non-negotiable,” Theunissen concludes.
On top of this, the company will continue to expand its core mission in youth employment and people development with programmes that have been created to further build exceptional staff capabilities and steer the business towards growth.
EAST AFRICA
KUKU FOODS EAST AFRICA
Tel: +254 20 5144200
admin@kfeah.com
https://kfc.ke/
https://kfc.co.rw