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1 Better Cotton Kerem Saral BCI Supply Chain Manager 2014

Better Cotton Kerem Saral BCI Supply Chain Manager

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Better Cotton Kerem Saral BCI Supply Chain Manager. 2014. BCI Chain of Custody & Traceability System. Mass-balance system for all members Concept & application & implications Better Cotton Tracer Traders Spinners Retailers Q&A. What is a Better Cotton Claim Unit?. - PowerPoint PPT Presentation

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Page 1: Better Cotton  Kerem Saral BCI Supply Chain Manager

1

Better Cotton

Kerem SaralBCI Supply Chain Manager

2014

Page 2: Better Cotton  Kerem Saral BCI Supply Chain Manager

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BCI Chain of Custody & Traceability System

Mass-balance system for all members

Concept & application & implications

Better Cotton Tracer Traders Spinners Retailers

Q&A

Page 3: Better Cotton  Kerem Saral BCI Supply Chain Manager

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What is a Better Cotton Claim Unit?

BCCU = Better Cotton Claim Unit

» The units of conventional cotton that can be substituted for equivalent units of Better Cotton - Due to Mass Balance

» 1 BCCU represents 1 kilo of physical Better Cotton

Page 4: Better Cotton  Kerem Saral BCI Supply Chain Manager

Separate chapters for each actor

4

Better Cotton CoC Guidelines

Page 5: Better Cotton  Kerem Saral BCI Supply Chain Manager

Content of each chapter

» Physical Better Cotton – Physical and Mba Rules

» Better Cotton Traceability System

» Documented procedures, training and responsibilities

» Record Keeping

» Outsourcing

» Penalties

» Material input records

» Material output records5

Better Cotton CoC Guidelines

Page 6: Better Cotton  Kerem Saral BCI Supply Chain Manager

100% BC BaleProducts with associated BCCU

(Better Cotton Claim Units)

BCI membership not required

Ginner Monitoring Guidelines

SEGREGATION MASS-BALANCE ADMINISTRATIVE

BCI membership not required but encouraged

Retailer clients monitoring requirements

Registered BCI membership required

Membership Code of Practice

Trader

Chain of Custody Guidelines

Membership Code of Practice

BCI membership required

100% Seed BC

Farmer

BTS Better Cotton Tracer Better Cotton

Tracer

Better Cotton Chain of Custody

No Access

Page 7: Better Cotton  Kerem Saral BCI Supply Chain Manager

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Better Cotton CoC Guidelines – Gin Level

Better Cotton is kept physically separate from conventional cotton at the gin level in all countries

In order to create 100% Better Cotton Bales = Total available lint Better Cotton at a global level

Page 8: Better Cotton  Kerem Saral BCI Supply Chain Manager

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Better Cotton Conventional Cotton

100 Kilos of Brazilian

Better Cotton Bales

100 Kilos of Brazilian

Conventional Cotton Bales

Mass-balance with Country Scope

Trader’s warehouse in Brazil

BC CC

CC

CC

BC

BC

Purchase declaration from ginner + 100 BCCUs in trader’s account

Sales declaration to a spinner - 100 BCCUs in trader’s account & +100 BCCUs in spinner’s account

Volume In = Volume out

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Better Cotton CoC guidelines - Traders

Page 9: Better Cotton  Kerem Saral BCI Supply Chain Manager

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Trader’s Purchase Declaration

Page 10: Better Cotton  Kerem Saral BCI Supply Chain Manager

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Trader’s Sales Declaration

Page 11: Better Cotton  Kerem Saral BCI Supply Chain Manager

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Spinning factory in Bangladesh

Purchase declaration from ginner or trader +100 BCCUs in spinner’s account

Sales declaration to a fabric mill -100 BCCUs in spinner’s account

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Better Cotton CoC guidelines – SpinnersMass-balance with Site Scope

Better CottonConventional Cotton

100 Kilos of West African

Bales w/ BCCUSBetter Cotton Bales

100 Kilos of Indian Conventional

Cotton Bales

Volume In = Volume out

BC CC

CC

CC

BC

BC

Page 12: Better Cotton  Kerem Saral BCI Supply Chain Manager

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Spinner’s Purchase Declaration

Page 13: Better Cotton  Kerem Saral BCI Supply Chain Manager

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Spinner’s Sales Declaration (Combed Yarn)

Page 14: Better Cotton  Kerem Saral BCI Supply Chain Manager

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Spinner’s Sales Declaration (Carded Yarn)

Page 15: Better Cotton  Kerem Saral BCI Supply Chain Manager

LEARN LEAD DRIVE THE CHANGE AMSTERDAM 2014

BCCU Transfers

Online BCCU Transfer

Ginners

Traders

Spinners

Fabric Mills

Garment Man.

Retailer

ODF

BCCUs

Physical Document

Transfer

Page 16: Better Cotton  Kerem Saral BCI Supply Chain Manager

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Better Cotton Volume Claims by Retailers

Yarn with BCCUsYarn without BCCUs

Product with allocated BCCUs

(indicated on spinners’ ODFs)

Total claims reported to BCI

Retailer

BCCUs BCCUsCotton Tracer

Page 17: Better Cotton  Kerem Saral BCI Supply Chain Manager

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Retailer and Brand BCCU Claims

Spinner’s name and # of BCCUs are taken from the spinner’s ODF

Page 18: Better Cotton  Kerem Saral BCI Supply Chain Manager

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Can use ANY yarn made with ANY origin of cotton

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Better Cotton CoC guidelines – Fabric MillsMass-balance with Site Scope

Yarn with BCCUsYarn without BCCUs

100 Kilos of yarnwith BCCUs

from India

100 Kilos of yarnwithout BCCUs

from Turkey

Volume In = Volume out

Fabric manufacturer in Turkey

BC CC

CC

CC

BC

BC

Page 19: Better Cotton  Kerem Saral BCI Supply Chain Manager

LEARN LEAD DRIVE THE CHANGE AMSTERDAM 2014

Mass-Balance System

Page 20: Better Cotton  Kerem Saral BCI Supply Chain Manager

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Placing Orders with BCCUs

TradersReceive PO from

spinnerBuy physical

Better Cotton bales from ginner

accordinglyShip lint bales to

spinner

SpinnersReceive PO from

fabric millCalculate needed

BCCUs for the ordered yarn

Order lint accordingly

Fabric MillsReceive the PO

with a fixed % of BCCU allocation to

the fabricCalculate the net

weight of yarn needed

Place order with spinner and

indicate the % of BCCU allocation to

the yarn

Retailers/BrandsSet BC usage

targetDecide how to spread this % throughout

productsSet KPIs for various

departmentsAsk fabric mill to

provide ODF from spinners

Page 21: Better Cotton  Kerem Saral BCI Supply Chain Manager

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Advantages of Mass-Balance 4 Spinners

» Zero wait time on bales to arrive» Same lead time as conventional

» Flexibility in bale use» White fabrics with BCCU

» Easy traceability» No UBICS; easy system to use

Page 22: Better Cotton  Kerem Saral BCI Supply Chain Manager

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Thank you!

Please contact us at any time to:

Ask any questions regarding our traceability systemYour account on Better Cotton TracerTo get a copy of this presentationReport troubles you identified in your BC supply chain

Kerem Saral – BCI Supply Chain [email protected] Line: +41-22-939-1293Skype ID: keremsaral

Manish Gupta - India Supply Chain [email protected] Shuiab – Pakistan Supply Chain [email protected] Xiao - China Supply Chain [email protected]