In this study, 25 actinomyces isolates were obtained from 10 different poultry farms and tested for their keratinase activity. The isolate with the highest keratinase activity was identified through molecular identification by PCR and sequencing of the 16S rRNA gene to be Streptomyces spp. and was named Streptomyces werraensis KN23 with an accession number of OK086273 in the NCBI database. Sequential mutagenesis was then applied to this strain using UV, H2O2, and SA, resulting in several mutants. The best keratinolytic efficiency mutant was designated as SA-27 and exhibited a keratinase activity of 106.92 U/ml. To optimize the keratinase expression of mutant SA-27, the Response Surface Methodology was applied using different parameters such as incubation time, pH, carbon, and nitrogen sources. The optimized culture conditions resulted in a maximum keratinase specific activity of 129.60 U/ml. The genetic diversity of Streptomyces werraensis KN23 wild type compared with five mutants was studied using Inter-simple sequence repeat (ISSR). The highest total and polymorphic unique bands were revealed in the S. werraensis KN23 and SA-18 mutant, with 51 and 41 bands, respectively. The dendrogram based on combined molecular data grouped the Streptomyces werraensis and mutants into two clusters. Cluster I included SA-31 only, while cluster II contained two sub-clusters. Sub-cluster one included SA-27, and sub-cluster two included SA-26. The sub-cluster two divided into two sub-sub clusters. Sub-sub cluster one included SA-18, while sub-sub cluster two included one group (SA-14 and S. werraensis KN23).Supplementary InformationThe online version contains supplementary material available at 10.1186/s12866-023-02867-0.