Ireland’s Frontier Firms Leading the AI Charge: Lessons from Kerry Group and An Post

Last week, Microsoft celebrated a remarkable milestone: 40 years of investing and innovating in Ireland. From humble beginnings in 1985 to becoming one of Ireland’s greatest technology success stories, the journey has shaped the nation’s digital economy and created opportunities that ripple across businesses and communities. To mark the anniversary, Microsoft published an Economic and Social Impact Report, revealing that the company has contributed €40 billion to Ireland’s economy over the past decade, excluding exchequer returns – a testament to its role as a key driver of innovation and growth.

But this anniversary wasn’t just about looking back. It was about looking forward – to an era defined by artificial intelligence (AI). Ireland is already punching above its weight: according to Microsoft’s latest AI Diffusion Report, the country ranks 4th globally for AI adoption, behind only the UAE, Singapore, and Norway. That’s a proud position, but the next chapter will demand even more ambition.

At the heart of this transformation are frontier firms – organisations that embrace AI not as a bolt-on, but as a strategic engine for growth and innovation. During the anniversary event with over 700 attendees (+300 online), two Irish leaders shared how their companies, Kerry Group and An Post, have become exemplars of this frontier mindset.

What Makes a Frontier Firm?

Frontier firms are those that fully integrate AI into their business model, freeing people from repetitive tasks and unlocking time for critical thinking and strategy. They don’t just adopt technology – they reimagine processes, products, and even their purpose. This is where Ireland’s competitive edge will be forged.

“A frontier firm is where we truly engage with AI as a partnership for business growth and innovation, where we look at the power of AI to release people from day-to-day tasks to free them up for critical thinking and strategy that unlocks organisational goals,” said Catherine Doyle, General Manager Microsoft Ireland.

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Catherine Doyle, Microsoft Ireland General Manager

Kerry Group: Turning Complexity into a Superpower

Operating in a fiercely competitive global market, Kerry Group knew early adoption of AI was essential. For CEO Edmond Scanlon, the starting point was simple: listen to employees.

“One thing that came through in employee engagement surveys was: ‘Can you make our jobs a little bit easier?’ So we asked: how can we leverage AI to make it easier for our people to do their jobs and for customers to do business with us?”

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Edmond Scanlon, CEO Kerry Group

From optimising manufacturing networks and supply chains to streamlining regulatory documentation, Kerry Group focused on practical, tangible benefits. The scale is staggering:

  • 10,000 raw materials
  • 50,000 finished products across 124 manufacturing facilities
  • Five million customer touchpoints annually
  • Half a million orders a year

“Mastering complexity has to be a superpower,” Scanlon said. “Taking friction out of customer engagement and making it easy for our people to manage that complexity was a big ask. It’s a journey where you’re never finished, but positive feedback drives us on.”

Kerry sees opportunity in three areas:

  • Better, faster, more efficient operations – immediate ROI through process optimisation.
  • Addressing big challenges – using AI to advance capabilities in biotechnology, to address significant issues like climate-driven commodity shortages.
  • Enabling business model transformation – progressing from selling ingredients to selling impact, by developing food formulations optimised for health, sustainability, cost, and enjoyment.

Kerry is already using AI to reshape food innovation cycles, helping the company respond faster to consumer trends and sustainability demands. Its new Digital Centre of Excellence, backed by Enterprise Ireland, is deploying advanced generative AI to accelerate product development, enhance customer partnerships, and to improve supply chain and operations.

Beyond immediate use cases, Scanlon is excited about the future: “AI can really aid an increased understanding of how nutrition interacts with complex processes in the body, via the microbiome” with the potential to create many interesting new discoveries targeted at health and wellness.

An Post: From Letters to Logistics

For David McRedmond, CEO of An Post, the AI journey began with urgency – and honesty.

“I think I was terrified – I had to do something,” he admitted. “We had to move from an old world of letters and bicycles into a world of logistics and e-commerce.”

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David McRedmond, CEO An Post

Today, An Post processes up to three million parcels a week, a figure set to rise even higher during peak periods. Managing that complexity comes down to data – and a bold strategy to become a digi-core organisation, where technology and design sit at the centre alongside people.

“It’s not just about technology; it’s about people being engaged and ready. We’ve established the An Post Institute to train people, bring in grads and interns, and refresh skills. AI, for me, just stands for the new world – and we all have to be in there.”

Cultural change was critical. McRedmond’s advice for CEOs?

“The CEO stands on the edge of the circle, looking out. It’s about creating an environment that says: this is the direction we’re going. Use tools, yes, but focus on relevance and vision.”

An Post now has 1,000 Copilot licences with 80% adoption, supported by peer pressure and a philosophy of inclusion: “Not being involved isn’t an option.”

The benefits are tangible: AI – driven route optimisation has reduced delivery times and fuel consumption, while predictive analytics helps manage parcel surges during peak seasons. These efficiencies not only cut costs but also improve customer experience – a critical differentiator in the competitive logistics market.

Ireland’s AI Opportunity

Both leaders agree: AI can make every business better. New products and industries will emerge – from research to advanced logistics – and success will hinge on collaboration between government, industry, and education to ensure graduates thrive.

Ireland’s entrepreneurial spirit and strong technology base give it a head start, but the next phase – process automation and agentic systems – won’t be easy. As Catherine Doyle, General Manager of Microsoft Ireland, put it:

“The next phase won’t be as easy – moving into process automation and agentic systems. We have an entrepreneurial spirit and full employment – nobody wants to go back.”

Ireland has the momentum. Frontier firms like Kerry Group and An Post are proving what’s possible when vision meets execution. Now, it’s time for others to follow suit – because in the AI era, standing still isn’t an option.

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