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In the partial fulfillment of my MBA(M&E) in Pearl School of business,I did my summer Internship in House of pearl Fashions Ltd.The focus area was operations. I did an analysis of Garment Manufacturing of Export Oriented unit.
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A Summer Internship report
On
The work flow and its analysis in the garment manufacturing industry
Venue: Pearl Global Limited (A Unit of House of
Pearl Fashions Limited)
Submitted by: Ashish Ranjan
MBA (M&E)
2008-10
46,Institutional Area ,Sector 32,Gurgaon
122001, [email protected],www.psbg.in
1
Table of Contents
1. Acknowledgement…………………………………………………………..2
2. Executive Summary…………………………….……...……………………3
3. Introduction…………………………………….…………………………….4
4. Business Of The Company….………………….…………..
……………….4
5. Brief History…………………………………….……………………………5
6. Major Events…………………………………….……………………………6
7. Business Model………………………………………………………………7
8. Pearl Global Limited………………………………… ….………………..10
9. Business Divisions………………………………………………………….10
10. Manufacturing Subsidiary…………………………………… ..
……… .11
11. Merchandizing &
Sampling…………………………………………….…13
12. Costing………………………………………………………… ..
……… …15
13. Sourcing & Storing
Process………………………………………….…….18
14. Production………………………………………………………………
….20
2
15. Documentation………………………………………………………
………27
16. Quality
Control…………………………………………………………...…27
17. Conclusion…………………………………………………………….
….….30
18. Bibliography………………………………………………………….
……...31
19. Annexures……………………………………………………………....
......I----
Acknowledgement
My Sincere thanks goes to esteemed organization in the export House
Business, Pearl Global Ltd. (A unit of House of Pearl Fashions Ltd.)
Gurgaon, India for providing me an opportunity to learn and apply
some experiences.
Firstly I thank to Mr. Shelly Cherian, HR head of House of Pearl
Fashions Ltd. who helped me while approaching the operations’
sections, divisions and department heads .In this way my work became
comparatively easier because of my introduction with some employees
of the company who were unknown to me.
I am extremely thankful to Mr. Rajan Khanna, head of the team in
Merchandising department & handling the buyers Like Old Navy (brand
of GAP), Esprit, Kohl’s etc. who provided me an opportunity to work
together and learn the process of business and Business Model of the
3
company. I am also thankful to Mr. Roshan Bhatia and Mr. Jitender
Rawat, who guided me through the way of practicality of business in
Merchandising and Sampling Department.
I also want to express my gratitude towards Mr. Gulshan Ahuja, GM of
the department of Production, who allowed me to do my work along
with their employees.
I also want to thank all sectional heads, supervisors and even the
employees who shared with me their unending knowledge and
support.
Last bust not the least, I am thankful to all those who knowingly and
unknowingly who helped me in data collection and gave me their
unconditional support for this study, their positive attitude towards me
and willingness to provide me the inputs.
Ashish
Executive Summary
This Summer Internship is an integral part of the programme MBA
(M&E). Students are evaluated on the basis of presentations of their
projects after they come back from eight weeks of internship.
The Objective of the internship:
To get properly involved in the daily activities areas of business
discipline assigned and expected to inquire, examine and
evaluate many more things than just carrying out their daily
chores.
To gain an understanding of the business model of the company
and understand the industry characteristics by applying the
techniques taught in the class, exposed to the reality of the
business activity.
4
I tried to fulfill these objectives during my internship period. I got
involved in the manufacturing department of Pearl Global Ltd, Unit
446, Udyog Vihar, Phase 5, Gurgaon, 122005.
During the internship, I fully involved myself into the Store for learning
and observing the inventory holding and order placing, quality
checking of fabric, accessories supplied. During these processes, I also
looked at the factors associated with it and their impact on the
business. I saw the feasibility of minimizing the negative impacts.
Then, after gaining enough knowledge of the above, I moved forward
to see the operations in Production department. During the study, I
came across several factors affecting the production and various
reasons behind it as bias. I tried to learn the methods to avoid them
and turn them into positive assets. The people over there looked at me
curiously and were happy to give me the insights and technicality of
manufacturing (pattern setting, cutting, stitching, measurement,
methods, etc.)
Finally, I involved myself into Merchandising Department, where I
came to know the order receiving and turning it into the process of
production after getting approval through the process of sampling. I
also learnt there the business models, and its functions.
Introduction
Global Apparel Sector
The apparel manufacturing industry has, on a global scale, shifted its
base several times over the last 50 years and has been concentrated
in those countries which offer the most competitive labor costs.
Beginning in the 1950s, the manufacture of apparel began shifting
5
away from the western countries to eastern countries with lower labor
costs, such as Korea and Taiwan. In the 1980s and 1990s; production
began to shift to other countries in South-East Asia. In 2000, India
exported 9.6 million apparels to US and was the 4th largest exporters in
this sector with regular positive growth rate. India was the third largest
supplier to the EU, accounting for a share of 9.2 % out of 17% of the
EU textile imports , which came from Asia. The American Textile
Manufacturing Institute estimates that more than US $ 50 billion in
customer orders will be outsourced to lower-cost countries.
From India, during 2006-07, textiles and clothing exports were at US$
18.73 billion, with a growth of about 7% over the previous year, and
contributed about 15% of country’s total exports earnings in 2006-07.
In the current financial year, the growth of textiles and clothing exports
has been slower due to recession which is being attributed by the
Textiles & Clothing industry mainly to the appreciation of the rupee.
India apparel’s export target is US $ 55 billion by 2012.
The retailers or the brand sellers look for manufacturing in monetary
terms which turns the craze and passion of consumers. In developed
countries people tend to spend more on wearing and want to remain
updated with the fashion trends. The retailers try to grab the
opportunity and want to earn the maximum of profit. This can be easily
achieved with outsourcing of garment designing, manufacturing to
Asian pacific countries. This system has grown and enlarged in such a
way that it has lead to grooming of number of export houses in India,
Bangladesh, China and Hong Kong to catch and fulfill the expectation
of the buyers with the quality prices and on time delivery even to the
buyers’ countries and their ware houses. This Business has larger pie
of profit if it is able to save the margin through the procurement of
required basic materials through the suppliers (squeezing the
suppliers’ side). Designing with quality, fabrics, dying, require a huge
no. of workforce. Other factors are Good logistics, very good contact
6
and contract with a numerous suppliers, the infrastructure, working
condition, approved machines and technology, following the labor
laws. Even under the very high pressure, they commit by the date of
shipment and that too, not compromising on the quality, at the same
time, avoiding fluctuation in daily production.
Business of the company
Their aim is to grab the opportunity in the apparel export sector, being quality supplier and entrepreneurial organization.
Brief History
This organization was incorporated as a private limited company under
the name of Mina Estates on July 5,1987under the companies act 1956.
The name of company subsequently changed to House of Pearl
Fashions Ltd. under special resolution.
7
In its early time, the company conducted business as a separate group
of companies. The domestic operations have been carried out by Pearl
Global, a listed company in India. Now HoPFL owns a 62.8% equity
market interest in this company. To integrate the international
operations with domestic operations, this company started
restructuring its businesses and completed in a phased manner. On
March 28, 2006, HoPFL incorporated its wholly owned subsidiary in
Mauritius, in Multinational textiles, with 100% equity interest in global
textiles group, and 85% equity interest in Norwest Industries (HK), a
Hong Kong Company on March 31, 2006. Global textiles group owns
Depa US, Poeticagem Company and PT Norwest .Company has
principal operating companies in the US , the UK, and Indonesia
respectively. On March 28, 2006, HoPFL also acquired 99.9%and 98%,
respectively of Nor Pearl and Norp Knit, Companies incorporated in
Bangladesh.
Major events:
Date Events
1987 Pearl Global Stared operations1994 Pearl Global Lists at BSE,NSE, DSE and ASE
1998Establishment of international presence with incorporation of Norwest industries in Hong Kong.
2002 PT Norwest, Indonesia stared production.
2004 Setting up of sourcing office in China
2005The company acquired import and distribution office in the US and the UK and also consolidated overseas entities
2005 Setting up of sourcing office in Bangladesh
2005 Nor Pearland Norp Knit, Subsidiaries in Banglad3eshcommenced
8
operations
2006Reorganization of group companies and consolidation of operations under House of Pearl Fashions Ltd
2006 HoP ,new subsidiary incorporated in US
This company was started as an entrepreneurial venture by Mr.
Deepak Seth in the year of 1987 named as Mina estates. After two
years of working, it turned into Pearl Global Ltd. by the order of
law in 1989.
The Main objectives of the company as contained in operations in its
memorandum of associations are:
To carry the businesses of manufacturers, fabricators, importers’
and exporters’ wholesale and retailers of and in men’s women’s
and children clothing and wearing. Apparel of every kind, nature
and description including shirts, bush-shirts, pajamas suits,
vests, under wears, suits foundations garments for ladies,
dresses, brasseries, maternity belts, knee caps, coats, panties,
nighties and so on.
To carry on the business of manufacturers and
importers ,exporters, wholesale, retail dealers and in hosiery
goods of every kind nature and description for men women and
children including vest, underwear, socks, stockings, sweaters,
laces and so on and of all anything which is used in hosiery
goods.
To carry on the businesses manufacturers, traders, dealers, and
exporters, of all kinds of fibers and yarn made or otherwise,
textiles and textiles materials natural or otherwise.
To carry on the business of preparing spinning, doubling,
weaving, combing, sourcing sizing, mixing, twisting, bleaching,
9
coloring, knitting, dying, printing, and finishing whatever textiles
substances or any substitute for any of them.
Business Model
The Business model which describes the method of “in positioning
the value chain, customer selection, products, practicing of
doing business” is described below :
10
Figure 1
Design and development
Design innovation in order to respond to current consumer preferences
and anticipate future fashion trends. Design teams are supported by
sophisticated computerized design systems.
Marketing, distribution and branding
Marketing involves managing relationships with existing customers and
meeting the needs of new customers. Marketing and distribution
offices located in the U.S., the U.K. and Hong Kong oversee Marketing
and merchandizing teams are present in Canada, Europe, Hong Kong,
the U.K. and the U.S. These offices interact face-to-face with customers
and play a critical showcasing designs and products.
The samples are modified based on the customers’ specific design and
cost requirements. Marketing team then sends the details of the
11
selected samples and other customer requirements to in-house
manufacturing facilities located in India, , and Bangladesh Subsidiaries
or the third-party sourcing office provided the lowest feasible cost
estimate can manufacture products in an efficient and timely manner.
The finished products are delivered to the customer’s designated
agent on an FOB basis or to their warehouse in the US, Europe or any
importers for delivery to the customer on an LDP basis.
Manufacturing
In-house manufacturing
The manufacturing facilities receive orders directly through customers
and marketing offices. In either situation, after receiving the
production order, a production plan is adopted to coordinate the
manufacturing process and to ensure adherence the delivery
schedules. Orders used to placed for raw material requirements, which
comprise of finished fabric .The unit perform a range of processes on
garments using specialized equipment like, cutting, embroidery
printing stitching thread cutting, ironing, steam pressing, collar
pressing, accessories attachment and folding prior to packaging and
delivery to customers.
Logistics and warehousing
The company has a belief that they are one of a few apparel
companies which can offer goods to customers on LDP terms. Their
distribution companies are fully supported by logistics and
warehousing facilities in the U.S. and the U.K. This enables them to
service customers in the vicinity of their operations. These warehouses
have processing facilities and distribution infrastructure, including:
Logistics and transportation;
12
Garment processing and ironing;
Quality control;
Reverse logistics; and
Shipping and forwarding.
Pearl Global Ltd (Manufacturing Subsidiary)
Pearl global was incorporated as Pearl Agencies Private limited on
October 23, 1979 under the laws of India, with effect from July 1, 1991.
The company became a deemed public company under the
Companies Act and the word Private was deleted. The company was
changed to Pearl Global Limited on September 2, 1993. The
Company is principally engaged in the manufacturing of ready made
garments. On October 6, 2006 it merged or amalgamated with two
more companies i.e., Pearl Styles limited (“Pearl Styles”) and City
Estates Private limited (“CEPL”).
Share holding Pattern
Pearl Global shares are listed at NSE, the BSE, the ASE and the
Shareholding pattern
Name of Shareholder
Percentage (%)
Mr. Deepak Seth 5.9
Mrs. Payal Seth 3.5
Mr. PallakSeth 0.2
Mr. Pulkit Seth 0.3Deepak Seth& Sons(HUF) 1.7
The company now employs 6,735 employees in India.
13
The company maintains a very good relationship with employees and it hasn’t faced any kind of strikes or lockouts or other significant labor disputes.
Business Divisions
The House of Pearl Fashions Ltd has several subsidiaries in India and
abroad. This company has divided its manufacturing divisions in North
India and south India
Total Manufacturing Subsidiaries
India
Pearl Global Ltd., North India
Pearl Global Ltd., South India
Bangladesh
Norp Knit Industries Ltd
Nor-Pearl Knitwear Ltd
Indonesia
PT Norwest Industries Ltd.
14
Manufacturing Subsidiary
Pearl Global Ltd., North India
Pearl Global limited is among the pioneers of ready to wear apparel
manufacturing industry in India. This Company has six fully integrated
manufacturing plants in Gurgaon, capable of producing value added
garments in woven & knitted fabrics.
The total factory area in North India covers more than 310,000 sq ft of
space and provides an efficient and spacious layout. The installed
capacity on a single shift basis stands at 10 Million pieces per Annum.
The factory is placed with the best garment manufacturing & finishing
equipment:-
Automatic Brother & Juki sewing machines for Woven & Pegasus
for Knits
Laundry with ability to deliver great washes & treatments
Value addition through fully computerized embroidery machines
of Barudan & Tajima
Integrated systems with EDI facility to provide online access to
some of its key customers
These units specialize in casual wear dresses, ladies blouses in both
woven & knits.
The company is serving the complex needs of some of the best
retailers of the world. To name a few, The Gap Inc., JC Penney, Kohl’s,
Next, H&M, & Esprit.
These units are fully compliant to local laws pertaining to health, safety
and labor regulations. These are approved by some of the top retailers.
These units employ more than 6000 thousand of workforce.
15
The unit in I which got an opportunity to work and look for
practical experience by using the theoretical concepts and
learning, was 446, Udyog Vihar, Phase -5 Gurgaon, to
operations of garment manufacturing.
Detail relating to manufacturing facility is as follows:
Location
Space Used
No. of Machines
Capacity in Million Pieces/year
Capacity Utilization annually (%)
Gurgaon
310,000 2,644 6 95.4
The summary of the work flow of garment manufacturing company is discussed below:
1. Merchandising & Sampling
1. A. Communication with the buyer: The representatives of the retailers or buyers sit in the buying houses
to convey the requirements and needs depending on the wearing style,
exact measurement of the fittings of body shapes of the consumers.
Retailers sometimes even give the designs, pattern fabrics and
accessories and also the measurement styles.
1. B. Identifying their need and choices: A special NPD department (New Product Development Dept.) is there where designers sit and design for the apparels on the computers and then they get it printed. With the help of pattern Master (pattern setting and cutting of several pieces of fabrics), they get the complete apparel. After several rounds, keeping in mind the expectation and preferences of the customers, it is approved by the buying houses
1. C. Sampling based on the buyer’s preferences and preferred measurements
16
1. D. Approval of sample by buyer taking in account the fabric colors, accessories, embroideries and sourcing cost.
1. E. Getting order.
1. F. Making pattern of the approved sample for final production
Developing & Maintaining Purchase order [merchandiser’s] file* GSS (Garment Specifications Sheet).
The GSS which is the guide line, developed
The merchants have two works side by side which they have to do at
the same time and these are mentioned below:
The First one is developing the garments
1) Proto Sample: Looking at the pictures and developing a garment
for having a real look of its design, color fabrics with the
measurements based on the buyers approved dummies.
2) Pilot Comment: It is the comment which is given regarding its
measurements and quality on threads, elastics, accessories etc.
3) Rough body to make as per pilot comment
4) FA-1(First fit sample)-3 Pcs (If there is any comment in the first fit
then proceed for 2nd fit too.)
5) PP Sample’s-Buyers-3 Pcs
6) Sale’s man Samples (SMS)
7) Grading for all size sets it maybe from XXS-XXL
8) Sealer Sample’s- 3 Pcs which would be used as sample throughout
the production
These stages may vary from buyers to buyers like in case of Old Navy
(A GAP Inc brand), KHOL’s , S.Oliver etc.
17
At that time I was involved in style No. 694040 (GAP), a garment for
toddler, which is made in a simpler way and it is mentioned below:
1. Proto sample
2. Pilot sample (some corrections in trims and ruffles)
3. Size Sets (16-18, 18-24, 2T, 4T)
4. TOP (Top of the Production)
Some times they seal the TOP or size sets as Sealer Samples.
These are the works which are done or they make it done by
merchants through Cutting master CAD(Computer Added Design)
system , cloth cutters, sampling tailors, pressmen etc
The second one the most important task
It is done parallel and the task is sourcing of materials on/in time with
quality, costing, least expenditure in manufacturing. Merchandisers
prepare a cost sheet with both party approvals which is reasonably
good and they are left up with reasonable value.
Costing
The method of Costing is done depending on the addition of number
and types of accessories, the art work, the cost of fabric procured,
washing done, use of threads, width of fabric etc.
During the summer internship, I was involved in the development of
the cost sheet for GAP garment Style No.694040, which was as follows:
Fabric Width Consumpti Total Rate Financi Total Cost/
18
Description
of fabric
available on
consumption
al Factors
Fabric Price (Rs.)
Pcs (Rs.)
Cotton 40% Solid
dyed bright white 54"
0.46 per yard
5,027.34 yards
73.00 per Yard 0.00
366,995.82 33.58
Cotton 40% Solid
dyed regular white 50"
0.38 per yard
4,153.02 yards
55.00 per Yard 0.00
228,416.10 20.9
595,411.92 54.48
Here even the extra as wastage 5% is calculated.
Description of manufacturing costsCost/Pcs (Rs.)
Basic ConsumptionContribution per machine INR 1,197.06 74.816
Accessories cost 18.323other accessories cost 7.25Fabric Yarn Cost 54.48Shipment Commission 2.50% 3.971TOTAL 158.84
19
ITEM DESCRIPTION COST PER PIECES
Accessories Description INR Cost/Pcs
Wastage (%)
INR Cost/Pcs
THREAD 6.00000 5.00 6.300MAIN Label 0.650 5.00 0.682care label 0.550 5.00 0.578other label 0.550 5.00 0.578
Elastic 2.50 5.00 2.625
Hanger 2.000 5.00 2.100Price Ticket 5.00 5.00 5.250
0.200 5.00 0.2100015.69800
Other Description INR Cost/Pcs
Wastage (%)
INR Cost/Pcs
Kaj Buttoning 0Beading 0StunckingTesting charges 2.00000 2.00000Any other ChargesAnother job workwashing 5.00000 5.00000 5.25000EmbroideryTOTAL 7.25
COSTING
COST SHEET
Fabric consumption in yards* No of Total Pieces =Total consumption in yards.Now, Total Consumption of fabric *Rate per yards =Total Fabric Price
Now, Total Fabric Price/No of total Pieces = Cost per Pieces
This is the basic charge of garment with the fabric cost included only. Here the cost of machine or expenses on machines and labor cost etc are no way considered.
So Again Adding to the
20
1. Basic Consumption 2. UP Charges3. Accessories Cost4. Other Accessories cost 5. Agent Commission @2.50%TOTAL EXPENSES = ----- 6. FOB/CNF @ 44.00 INR the price comes into INR and gets converted into US $.
This is the expected that after adding a suitable margin to the cost which is incurred by the company and on which company can manufacture the garment pieces is conveyed to the Buyer. Now it depends on the buyers whether to consider or negotiate such cost for the manufacturing to this export house or look for another appropriate option. In this case buyer’s power is high based on the Porter’s model.In this way the total cost per pieces on which buyer agreed is Rs. 158.84 and as forward contract buyers do. They did with the conversion of rupees in US $ @ 44.00. So, the cost of that apparel becomes US $ 3.61. These cost sheets are also approved by the buyers for negotiations of marginal price for maintaining a suitable Selling Price of the Company through higher authority.
Two checks in the GSS are done which are given below:
FPT (Fabric Packet Test) is done by the Buyer’s approved
Laboratory to test the Temperature bearing ability of fabric,
detection of type and composition, colors etc.
GPT (Garment Packet Test) is done to check that after how
much stretching; the cloth gets torn, pressing heat, type of
detergent, chemicals etc.
The First sheets in the GSS include the POQ (Purchasing order
Quantity) and the details which are to be followed during the entire
production and even during the quality inspection before shipments.
The details in enclosure contains measurements sheet to follow the
measurement features after finishing, by looking at pictures of samples
for Cutting Details of manufacturing and putting the lots into stitching
department, Date of shipment, Mode and Quantity of shipment,
21
Packing Details, Remarks( if any). These are the works on which
merchandisers need to spent more time and effort.
A Trim Card is maintained to guide the Department of Quality
Control. This Trim card shows all the materials which are being used
while production of garments like fabric swatch, threads, embroidery
design made on ruffle, elastics, wash care label, main label, price tags
etc.
Along with that, different type of samples with the approval of garment
and marked with tags are sent to production. These samples are
differentiated with color codes and these color codes are developed
and stored as counter pieces which are mentioned below:
No. SAMPLE COLOR
1. Counter White
2. Fit Green
3. Fast Track Fit & PP Bright Pink
4. PP Red
5. TOP White
6. Ad Blue
2. Sourcing and storing processes (Inventory Holding)
2. A. Getting requisition for sourcing the fabric and accessories
2. B. Communication with suppliers for getting the best quality at
competitive prices and placing the order.
2. C. Follow up for timely delivery of goods
22
2. D. Receiving and unloading the fabric and accessories
2. E. Quality check of material
2. F. Dying and printing
Introduction of the style for which I worked while production the
picture of that
style was Style No. 659971 and that is mentioned below:
The Style No. was SH 659971C1-124B. The Buyer was The GAP Inc. and the Date of Delivery was 5th of June 2009. The shipments were to US & Canada in Six Various Sizes from XS, S, M, L, XL, and XLL. The colors for pieces were Black, Knit and Secret Plum. The same apparel with some variation was also supposed to be sent to Japan. The POQ Details for those countries in different sizes were as below:
PO NO
Delivery Date
Color XS S M L XL XXL
Total
GO2GV 5-Jun
Secret Plum 618
1454 1928
1555 991 454 7000
True Black Knit 530
1246 1652
1333 850 389 6000
1148270
0 3580288
8184
1 8431300
0
23
For Canada
PO NODelivery Date Color XS S M L XL XXL Total
GO41Q-5A 5-Jun
Secret Plum 10 25 34
29 20 9 127
True Black Knit 9 21 28
24 16 8 106
19 46 6253 36 17 233
3. Production
3. A. Layering and cutting of the fabric:
The cutting personnel get fabric from stores as per the requirements;
to cut in a simple way .these cutting used to be done in layers with
maximum efficiency. This efficiency is achieved through the CAD
plotter. These fabrics are cut into layers. The layers are made with the
larger pieces first. The technique used is as the finishing the larger (XL
etc.) piece from longer fabrics and smaller pieces from less lengthy
fabric. During internship I saw the cutting method which has been
developed is as below:
The Fabric which are sent to cut and its recordings were as below:
PO No. Style
Pcs.+5% extra
Avg. Fabric required in Meter.
Wastage
Total Fabric in Meter.
GO41Q-5A 659971 13650 1.6 3%22495.
2
24
The manufacturing has a flexibility to send the 5% Pieces extra/less
which would be paid.
Here fabric 3 % extra considered for elimination of any cutting caused
problem.
Size setsXS S M L
1 121 621 773 314 No of pieces
2 55 220 55 put to cut
3 121 566 553 259 left with
4 109 327 83 83 put to cut
5 12 239 470 176 left with6 _ 40 160 40 put to cut7 _ 199 310 136 left with8 _ 97 _ _9 _ 102 _ _
10 _ 102 63 63 put to cut
11 _ 0 247 73
left with these left with easily cut into less longer fabric after some tome
3. B. Setting the pattern &Cutting
25
These layered pieces are cut into by electronic machine following the
pattern as given by the CAD Plotter on paper. Here CAD Designers plot
the pattern on the paper in such a way that that no wastages of fabrics
Pieces are put so close that efficiency of fabrics tend to have
increased.
Figure 2
3. C. Making bundles of different pieces
3. D. Numbering of all layers of each bundle
Gunman put the stickers on each pieces with their identification label
as well as count and make a series in ascending order.
4. Stitching
4. A .i. Assembly line stitching:
26
Figure 3
Figure 4
Division of labor is done to make tailors expert in particular operations
and make their work simpler to increase their efficiency in work.
Through the assembly line the input output involvement of machines,
time spent and hourly outputs were calculated by the SAM (Standard
Assembly Method) designed by Industry engineering like during my
internship with the style No.659971.Working with 38 machines in 23.31
minutes a full piece would be ready. In the company, workers were put
on the sewing machines and they repeat the work as: addition of collar
to yoke, sleeve opening to sleeve, interlocking of front and back
bottom hem etc. During the work Production Manager looks for his
production as how much is matching with the planned and expected
27
target with quality. Looking at the trend that a gap between in actual
and expected production the team (Production Manager, Industry
engineers, supervisors, record keeper) sit and analyze the cause the
most of their findings are:
Less motivation towards work,
Unskilled workers,
Not satisfied with the wages given if one is talented.
So they try to put the work on contract basis or outsource with the
contractor. The contractor pays them on the stitching of pieces .the
workers/tailors get their wages as much efficient they are.
When the very first lot of cut pieces go to the tailors take time to set
their hand by repeted business. A very new garment even when put as
input to the assembly line it took 4-5 days for approved finished piece
by quality checker. In this way the company suffers on operating
expenses. The actual recording during my internship tell that by the
end of 6th day the out put were only 40%. .I got time to spend during
the entire production of Style No 659971 on an average calculation the
production target achieved by only 70 %.
The analysis of contract based stitching:
The positive point of it that after calculation of Takt time by the
method of
The buyer required 10000in 144 hours Time
=
28
144 Hours10000 Units
To match up the date of delivery one garment was needed to stitched
in around 1 minute of joint working. Means, on an average one worker
have to work 0.86minutes on each numbered piece to meet the date of
shipment and save the expenses by preventing the mode of shipment
(Air).
Looking at the gap, manager outsourced the work but it also did not
able to fulfill the expectations.
The main causes were there as: putting at random the employees who
even don’t want to work with that system.
So much variation in skilled and unskilled workers and sitting up and
setting in the lines randomly as skilled one is sitting further &
unskilled one is sitting backward on which has the responsibility to
send the piece and make him (next) employed .
Glutton of earning more money lead to more rejections& Alters in this
way the rework increases.
The Benefits
It cuts a large range of mid level men who used to pressure for their
output. Employees are self motivated to do the work even when to
work with alters or rejected pieces.
The contractor pays the workers based on his costing on no of
operations in the garment. As the manufacturing cost of garment is 40
Rs and operations are 20 then on an average one worker would get 2
Rs. But some operations are large and some are small so they are paid
on time consumption basis during each operation.
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144*60 Minutes10000 Units
The challenge is that to maintain the balance between workers,
fluctuation in supply, relationship with contractor, assuring and
reassuring the quality with inspection team.
The relative study of the time consumption of stitching through the
assembly line method and through full piece stitching method
S NTime taken in seconds
1. 602. 153. 594. 595. 636. 1037. 1708. 759. 3510. 9011. 5012. 4813. 8515. 9816. 3217. 12018. 18019. 5720. 54Sum 1453 seconds
24.216 minutes
In this way in 24 minutes a full piece is supposed to be ready. These
are time recorded by stop watch and each time period was recorded in
a common on running way method not disturbing and unknowingly to
them. The piece stitching time was for each individual separately.
4. B.ii. Full piece stitching
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By daily observation it is recorded that by working on an average of
10 hours tailors are used to prepare two pieces.
4. C. Measurement checking of stitched garment
The quality check people have been allocated the task to check the
measurements during or after stitching such that it is matched with the
measurements sheet given.
4. D. Alteration if any required
4. E. Fixing of kaj-button and any other accessories as per need with the help of machines:The kaj button attachments are done by the workers and are paid on
the no of pieces attached. For Garment 659971, 10 Buttons were
there and workers get paid 14 paisa for each button attachment.
5. Finishing
5. A. Cutting of extra threads
5. B. Washing
This is the smoothest operation among all. The only thing which is to
be taken care of as not to compromise with the time fixed for washing
of garments. Otherwise garment would compromise with quality and
got more rejections and rewash would be there.
For Style 659971 First washing with NID Soap Solution 5 gm per pieces
and time estimated was 15 minutes .Then after extracting the forth 8
gm of Silicon wash was for softening the garments.
This method didn’t carry with the secret plum colored garments and
started fading then; Optifix EC liquid was used as 3.5 gm per pieces.
5. C. Ironing
5. D. Initial quality checking quality stitching
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5. E. Finishing
5. F. Spotting: if any as side effect of various earlier operations
5. G. Mending
5. H. Alteration of sequins/ embroidery or any other
accessories
5. I. Final checking (Metal Detection: needle ,etc.)
5. J. Ironing:
With the steam press the measurements short were easily mended
5. Packaging and dispatch of goods
5. A. Folding:
The buyer shows the details as how and where to fold
5. B. Putting packing accessories like clips tags etc.
5. C. Putting folded garment into polythene
5. D. Making blister pack of packed garments
5. E. Putting blister packs into boxes
5. F. Stripping of boxes
5. G. Weighing of boxes
5. H. Handing over to the shipper
Documentation
Documentation is a crucial part of this whole process. Files need to
maintain during the whole process and need to be updated at every
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stage. Every detail regarding the design, style of the garment, quality
standard accessories used remain there in written and approved by the
buyer. Also the buyer needs to be communicated about the work
progress at every level. The ERP system maintains record through the
computers. It helps in accessing at any time to authorized persons in
positioning of manufacturing process. It also alerts if any defect which
occurs through all the networked computers to person responsible for
their jobs. Putting the orders through mail and marking Carbon copy to
all other who need to know about the works.
Quality Control
The quality control department needs to be involved at every level of
the work. The quality standard received from the buyer need to be
communicated to the people associated with the production. Then the
quality controllers need to inspect the garment at every level for
insuring that the given standards are being implemented properly. In
case of any problem they require to do the troubleshooting. Here the
Separate department of Quality Inspection lies which prevents the
rapidity and manufacturing without quality.
The process of manufacturing goes down to meet the date of
shipment. The time span the company gets within from the date of
operation to the date of shipment have some time for safety purposes
to avoid any uncalled situation or problems e.g. the lack of inventory in
the store, color variation started during wash in certain lot of fabric,
Bunk of contract based employees, another Styles or shipments
pressure etc. These are the problems not for themselves but they
affect on another work or the further styles to pace up the process .The
company has a very much of responsibility to maintaining the
responsibility for maintaining the credibility of buyers.
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The tendency to keep the word and pace by pressure from the bosses
or the heads makes a need of self respect to under workers. It affects
from both side i.e. even from the process of production to keep the
date of shipment and ready to serve with quality and to prove in front
of quality insurers from buyers’ representative. The extra pressure
crush the smooth work and inspection team get the chance to put the
question mark. If during the process the quality checkers within the
company have the power to prevent the rapidity then rework, question
mark, extra operating expenses of rebinding and effect on another
work would not be there.
Such thing happened with during my style No. 659971 the shipment
was for Japan and buyers became very much active especially in this
case because those Japanese are and supposed to be the no 1 in
Quality area. And just before the shipment they started inspection the
packaged pieces. They found the problems and variation from samples
in some pieces and got opportunity to say that shipment was
‘pathetic’. The problems were: misplacement of buttons, wrong
ironing, extra threads, and misplacement of gathering in garments.
The solution towards, is from workers’ side: they need to be trained for
particularity expertise in their area, to identify the separation which led
to change even with the same style but due to shipment is for another
country so the buttoning and no of buttons, their price labels would be
different .These are the basic lessons which workers need to be learnt.
Maintaining the speed from the starting work to last step would help
the company.
Conclusion
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This garment manufacturing and outsourcing business has very huge
opportunities to exchange. This Company and stakeholders are
working with their heart and soul to follow the demand, and have a
bigger share in detailed shipment with quantity and quality. Here as
much as much company is committed to catch up the fashion trend,
consumer behavior and cater to needs and ready to serve with
suggestions, this organization can survive in the export business,
especially for garments even in downturn situation.
Another factor is recognized by me during my internship is prefer the
business on Free on Board (FOB) because company has less
responsibility. They can get separation after putting up to their
representatives’ warehouse. Here by ready to serve with Logistics
system through (LDP) can help to exchange their potential in term of
relationship. The key strength here should be efficient and effective
supply chain & transport system. The laws and duties, inspectional
systems government policies of landing up with goods in different
countries in which the shipments are play a major factor.
The pressure of following the tight schedule for garments taking care
of seasons and weather need requires a lot of inner strength in terms
of operational efficiency. This is the industry in which Human
Resources are needed more. To train and retain them with satisfaction
will increase the efficiency and output. It is found by me in very short
span of industrial training, that shipment went smoothly with less
rejections and complaints as it was earlier. If rework is there then
workers get bored and more alters arises.
The scheduled supply from suppliers of raw materials as good
inventory holding in the stock will more smooth the manufacturing.
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Bibliography
www.houseofpearl.com
http://www.expresstextile.com
http://texmin.nic.in
http://www.textileinfo.com
The managers worked as mentors: Mr.Gulshan Ahuja, Mr. Chanchal
Sharma, Mr. Neeraj Aggrawal, Mr. Rajan Khanna, Mr.Roshan Bhatia,
and Mr. Jitender Rawat.
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