For a garment factory one of the most important tasks is to maintain regular fabric supplies, to feed their production unit. Unavailability of fabrics might mean order loss, idle capacity, wage without work to labour’s, production delay, and a domino effect on all the further orders. To avoid this many garment factories are seen to hold heavy fabric inventory, that blocks their warehouse space and working capital.
Our innovative Speed Inventory Management (SIM) system, helps you reduce your fabric inventory by upto 80%, and increase revenue by atleast 25% due to reduced lead time, and increase your Speed to the market from the general 120days to 45 days from concept to store.
So we have developed our Speed Inventory Management system, based on the concept of Product Life Cycle. We have defined different stages of the product life cycle, and maintain inventory based on it, to match the market demand. With effect from April 2019 we have started putting a coloured label on all our sample cards, using which you can easily identify the respective stage of the fabric for your better understanding.
So let’s understand this in details , and how you can make a selection of the fabrics depending on your expected demand, and align your productions based on it.
Stage 1: Development– as we are into the fashion industry, and fabrics keep seeing new developments from season to season, the development stage acts as the first stage where our buyers/ designers get to see the latest developments in the industry, and give their inputs on it. You may relate this stage to a baby in the embryo. This is the concept stage, to understand the suitability of the fabric, for the market and the garment type. Due to the wide range of developments, we generally carry only a small swatch of the fabric at this stage, and sampling may or may not be available. The items in Development stage do not have any coloured label on it.
Stage 2 : Introduction – depending on the feedback received at the development stage we proceed to the next stage of fabric Introduction, for the selected items. You may refer to this stage as a new born baby. As every buyer would like to prepare a proto/ Sales man sample before going to the order stage, in this stage we arrange the sampling yardages as per the requirements. We generally also do a Fabric Full Package Test at this stage to know if the fabric has any testing challenges. To avoid the risk of holding heavy fabric inventory, we mostly would start by placing a small lot of approx 100m in a few colours. Preparing these sampling lots incur a small lot charge, as the machine setting for weaving, knitting and special dyeing is required for it. To make it simple for the buyers, we generally do the investment in preparing these sampling lots, and to cover a part of the cost we have been charging a small 40% upcharge on all the sampling yardage orders. In case you require a special colour / fabric for which sampling is not available, we need to charge the entire sample lot fee which can vary from Rs. 10,000 – 25,000/colour depending on the fabric. However if a bulk order is received, sometimes we can ask the factory to reverse the small lot charges. You can identify all items which are in the Introduction stage by a Green Label.
Stage 3 : Rising Star – the whole idea of the Speed Stock Management program is to improve fabric availability, so once we start getting positive feedback on the fabric, we start placing our initial bulk orders in it. You may refer to this stage as a growing child. Based on the initial bulk that we have, you can do a test marketing of the product, to avoid heavy risks, and place further orders only after you get an initial success in the market. Fabrics in this stage are able to add variety to your collection, and bring newness to the range. You can identify all items in the Rising star stage by a Yellow label.
Stage 4 : Core – based on the 80/20 rule, we have noticed in the industry that 20% of the styles or fabrics generate 80% of the business. All brands have some core styles, which are a sure sale for them, so they maintain them on a Never out of stock (NOOS) basis. Similarly the fabrics on which we see such potential are moved to the Core stage, and we maintain stock in it on a NOOS basis. You may refer to this stage as a grown up Adult. We keep a daily watch on the colour wise inventory of these fabrics using an advanced Inventory Management Software, and issue PO to our suppliers on a weekly basis to ensure that the fabric be mostly available with us whenever you have a demand for it. As our productions are done at quality focused mills, you can get a consistent quality and colour for your repeat orders, and in case there is the slightest variation we take a FOB approval from your before dispatch. You can identify all the items in the Core stage by a Red label.
Stage 5 : Mature – as the fabrics in the Core stage start getting overused, they are moved to the mature stage. These fabrics have passed the test of time, and continue to be good sellers, however as new items take its place we start to optimise its Inventory level as well. In case the stock is not available, you may place your order always subject to the MOQ which is generally 1000m/colour and 3000m/Order only.You can identify all items in Mature Stage by a Blue label.
Stage 6: Retired – this is the last stage that we maintain, and you can refer to it as an aged person. These fabrics have lost their mass appeal now, but are still suitable for certain styles. Even though the fabric quality is assured, you may get a good bargain on it to clear the stocks. It’s like the EOSS that garment brands go through. So it’s always an attractive buy. You can identify all items in Retired Stage by a Grey label.
In a trading business working capital is invested in Stock and Debtors, so it’s important for us to maintain optimal levels of inventory. As we work closely with our buyers, timely feedback or projections would be helpful for us to decide the level of inventory to be maintained, so that you can get the fabric when you need it.
With this effort, if the garment orders are aligned as per the fabric stage, then the factories can have better fabric supplies from us, and would help them reduce their fabric inventories by upto 80%. Also with an assured supply of fabric with reduced lead time, you can take up more orders from your buyers and increase your revenues.
Our team puts in their best effort to control the supply chain of fabrics, so that you can get fabrics with “Quality and Quantity, On time everytime”.
We hope that this initiative is helpful to you. We welcome your feedback and suggestions to keep improving our services.
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We at Positex have been striving to get you the best in Fabrics & Fashion, since our inception in 2005, as Pashupati Overseas LLP. Specialising in the field of Fabrics for Sportswear, Jackets and Outdoor wear we have been working with most Garment Brands and their Garment Manufacturers in the Indian market.
With our commitment to deliver “Quality and Quantity, On-Time, Everytime”, we have been the preferred supplier in the industry. As a nominated fabric supplier, we are responsible towards the Brand as well as its Garment vendors, in achieving their goals.
Serving you with an experienced & committed team, we are prepared to cater to your requirements, through our main office at New Delhi, and associate offices at Bengaluru, Mumbai & Ludhiana. For sourcing and inspections we have a Liaison office in China as well.
Feel free to get in touch with us at info@pashupatioverseas.com or call us at +91-9311197995 or visit us at www.positex.com
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