Ravi Kishore Fashion is Highly Perishable Seminar

8/9/2019 Ravi Kishore Fashion is Highly Perishable Seminar

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Inside the Garment Industry


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Fashion is highly Perishable


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Clothes are a highly perishable commodity

like bread. Every consignment is like

freshly baked clothes- Amancio Ortega Gaona

(founder of Inditex S.A) Zara


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hort Lead Times

As short as 30 days

Fashion vs Staple

Is it CMT or OEM business?

Plan capacity & build flexibility

IT & Planning are only Tools Manpower training & orientation

critical


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Manufacturers Role

Visualize the Macro picture

One of the players

Understand the play

Know the role

Play by rules


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Retail to Production

The Supply Chain

Value Addition

I want it NOW!

Is it my size?

Show me other colors

How?


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Retail to Production

Buyer has calendar

Manufacturer adopts Buyers

Make one for Vendor


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Know Your Calendar

Focus on Functions

Time to think ahead

Establish Process Flow


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The Process Flow

Consider garmenting as a

process

Every process has a flow

Identify the processes

Prepare the process flow Define functions by

Process


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Calendar for Function

List functions

Calendar is events in a

function

Highlight Major Events

Prepare Plan of Action Make the Calendar of Critical

Activities


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The Flow Chart

Production - Finishing

Production - Packing

Merchandising

Finance

Sourcing

Sample RoomI.E

Material Inspection

Production Planning

Production- Cutting & Sewing

Production - Washing


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Critical Path

Develop Standard Operating

Procedures

Example Merchandisers jobs - order

processing, make Bill of Materials, rise

indents for sample & bulk fabrics andaccessories, get approvals


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DEPARTMENT ACTIVITY PLAN ACTUAL

Merchandising Receive PO 0 0

Sampleapprovals 28 20

Fabric approval 22 22

Accessory

approval 22 23

Sourcing Fabric sourcing 11 15

Accessory

sourcing 6 12

Fabric order to

in-house 50 52Accessory order

to in-house 50 52

Sampling Fit samples ready 20 21

Production Cut to finish 49 47


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Days Taken for Activities

4%7%

6%

39%

2%

4%

3%

21%

6%

8%

APPROVALS - BUYER

MERCHANDISING

SAMPLING

SOURCING

FINANCE

EXPORT - IMPORT

MATERIAL INSPECTION

PRODUCTION

COURIER -


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Establish Standard Operating

Procedures List Critical jobs

Make SOP bulletin

Highlights delays

Analysis & course correction


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TnA (Time and Action)

Each Buyer is unique

Identify Critical Requirements

List Critical Actions

Set Time and Action plan

Set-up online alerts


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Do It Now

Time saved is profit gained

Develop TEAM spirit

Online appraisal can do a lot

Avoid building BUFFERS in the TnA

Plan


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Do Not Ask for Extensions Remember you are a service industry

Your buyer is a RETAILER with one or many

stores in one country or many countries

The buyers constraint is season and climate You will not buy woollens in summer or cottons

in winter

A 2 day delay by you will result in a total delay of

nearly 60 days or 2 months. A season may end.


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Right R M on Time

Develop pro-active plan for Raw

Material (RM) procurement

Each RM is different

Establish time lines

Evaluate procurement concerns Domestic vs Imported


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Right RM on Time

Evaluate concerns- price, time &

transport

Set formulae to help in decisionmaking

Import - documentation is critical Customs formalities time consuming


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Other Critical Items

Develop list of critical items by

PROCESS, TIME and QUALITY

Example zipper, interlining, specialthreads and buttons, embroidery,

wash, packing


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Process Planning

Plan Processes in Sequence

Sourcing

Sample making & approvals

R M inspection & testing

Pattern grading & marker planning


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Time Lines

R M domestic 60 days

& imported 25 days

Transport 15 -28 days

Customs 7 days

Inspection & testing 7-15 days Pre-production 4 days


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PPP

THE PRODUCTION PLANNING PROCESS

WHERE IT STARTS


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PPP-THE BUSINESS PLAN

PRODUCTION PLANNING PENULTIMATE RUNNER

BOOK CAPACITY RECEIVE ENQUIRY

IN-HOUSE RAW MATERIALS, INSPECT & CHECK QUALITY /

QUANTITY

ESTIMATE / ANALYSE TIME, DIFFICULTY, R M & COST

CONFIRM PRICE & ACCEPT ORDER

MAKE SAMPLE (S) RECEIVE APPROVAL

SOURCE R M, GET APPROVALS, PLACE ORDERS WITH

VENDORS

CONINUED .


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THE PLAN - 2

PPP

PLAN MACHINE LAYOUT / CUTTING

START PRODUCTION

CHECK QUALITY


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THE PLAN - 3

PPP

FINISH / WASH / PACK

FINAL INSPECTION

DOCUMENTATION &

DELIVERY


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Production Planning & TnA

Buyers time from order placement to

garment delivery

Normal time line 90 to 120 days for

staple


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Sample Making Activity

1) Receive Purchase Order

2) Make sample & courier3) Comments for correction4) Remake & courier

5) Receive approval


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Raw material Sourcing Activity6) Source fabric receive sample

7) Courier swatch for approval

8) Receive approval from customer9) Source accessories receive samples

10) Courier trims/accessory samples

11) Place order with suppliers arrange for pilot yardage/sample qty


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Raw material dispatch Activity12) Fabric production imported

13) Transit - warehouse to warehouse-bysea 14)

Trims/accessory production by suppliers

domestic / imported

15) Transit -warehouse to -warehouse

from overseas by sea


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Production unit Sample making

16) Identify production unit,

sample analysis and making


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Pilot yardage & Trims inspection

17) Pilot R M in-house

18) Check fabric shrinkage, width,

color fastness, defects, shade

variation, bowing & skewing,and wash standard


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Sample garment for Wash care19) Sample for garment test & wash care

instruction

20) Test report & wash care label

Size set samples21) Size set in bulk RM


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Bulk RM Inspection Stores

22) Bulk R M check quantity & quality

23) Issue R M to production unit


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Production

24) Cutting Section Activities25) Set the production line

26) Check quality, machine layout

27) Check product quality28) Pilot production inspection

30) Mid-inspection by customer

31) Pack finished garments

32) Arrange final inspection

33) Arrange to truck-out to


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Total Production Cycle

Time to establish bank limits & LC

Time for sourcing & production

Time for payment realization

Total cycle not to exceed 120 days for

staple items


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The Key

Flexible work culture Team work

Commitment

Strong sourcing

Definite Job description &

responsibility


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Thank You

Documents

Ravi Kishore Fashion is Highly Perishable Seminar