The restructuring of senior management at foods group Glanbia under new group managing director Mr Ned Sullivan has taken another step forward with the resignation of the chief executive in charge of the group's consumer foods division.

Mr Rory O'Mahony (50) has been with Glanbia for 17 years, but resigned as an executive director rather than move to the UK, citing "family and personal reasons".

Mr Sullivan's review of the Glanbia business saw the relocation of the head of the consumer foods division to the UK, where Glanbia derives most of its £1 billion (€1.27 billion) sales of consumer foods.

Analysts yesterday saw the latest development as further evidence of Mr Sullivan stamping his authority over Glanbia since he took over from Mr Pat O'Neill as managing director six weeks ago.

They said the decision to place the chief executive of consumer foods - which accounts for half of Glanbia's sales and operating profits - in the UK is an indication that Mr Sullivan believes most of the growth in the consumer foods business will come in the British market.

Mr O'Mahony joined the then Avonmore Co-op as head of marketing in 1982 and later became head of the international division and a board member in 1989. In 1993, he was appointed chief executive of Avonmore's dairy operations and following the merger between Avonmore and Waterford became chief executive of the merged group's consumer foods operations. These include foodservice, cheese, liquid milk, sliced meats and the Yoplait yogurt operations in Ireland.

He is the second executive director of Glanbia to resign in the space of two months - Mr Eddie Power, chief executive of the meat division, resigned in mid-March amid speculation that he had tried to put together a management buyout of Glanbia's red meats operations in Ireland.

The fact that Mr Power's successor as head of the meat division, Mr John Madden, was not made a board member has fuelled speculation that red meat, at least, does not figure in Mr Sullivan's long-term strategy for Glanbia.

Other recent departures from Glanbia in the past few months included the deputy managing director and former managing director of Waterford Foods, Mr Matt Walsh.