A Century of Innovation

In 1893, while attending the World's Columbian Exposition, Michael J. O’Kelly was introduced to the principle of pneumatic tube delivery. In 1904, the Belfast Northern Ireland native formed Kelly Cash and Package Company to service Montgomery Ward and Sears & Roebuck Company with a pneumatic tube delivery system custom designed to expedite internal order delivery for their massive catalog operations.

In the early 1920’s, Michael J. O’Kelly’s sons, Walter and Raymond Kelly, expanded the business by adding notable customers such as J.C. Penny and used the account as a springboard into other businesses and industries. Steel mills became important users of Kelly Systems for transporting crucial molten iron and steel samples to quality control labs for testing. The booming railroad industry also became a prime customer target in keeping track of its freight cars in massive Chicago-area switching yards.

In 1946, the business was incorporated as Kelly Systems, Inc. and Walter and Raymond Kelly became co-owners with their father. In the late 1940’s and into the 50’s, Kelly Systems became known throughout the railroad industry as the standard for tube delivery systems. These systems often spanned miles throughout railroad yards. They were used to transport way bills from the train conductor in the caboose to the administrative offices for sorting and car-to-track instructions. Every major railroad yard throughout the United States had a KellyTube System.

In the 1960’s, market expansion was primarily focused on hospitals and healthcare as well as trucking and warehouse distribution. In 1965, M. J. O’Kelly passed away and the ownership succeeded to Raymond and Walter Kelly.

In the 1970’s and 80’s, Kelly marketing and selling efforts focused on the burgeoning hospital and healthcare markets, steel mills and large trucking and warehouse operations. Throughout the years, as the customer base changed, due to fluctuating market trends, Kelly designed and built custom systems to meet the needs of specific industries. During the 1990’s, emphasis was on sample conveying for food processors & distributors, hospitals and pharmaceutical companies. Other targeted markets included the electronics industry, automobile manufacturers and dealers, courthouses and race tracks.

As Kelly entered the new century, it realized the industry demand for a delivery system to transfer cash for security purposes. The company focused on this need and began developing cash-secure systems that, to this day, are integral in the Kelly product mix. Kelly today recognizes the need to change with-the-times and employs an active and robust new product development program to meet changing product and market demands.

Today, two O’Kelly grandsons, Walter M, Kelly , and Michael J. Kelly, are third generation owners and contine to operate the company and maintain its reputation as a worldwide leader.

The company continues to put new ideas to work in moving liquid and solid materials as it has for 100 years and uses its proud heritage as fuel for its continuing success and journey into the future.