Report On

A study on the ways of efficiency of lead time in apparel

merchandising in Versatile Apparel Pvt. Ltd.

By

MD. Nakib Imtiaz

17164062

An internship report submitted to the Brac Business School in partial fulfillment of the
requirements for the degree of
MBA

Brac Business School

Brac University
July, 2019

© 2019. Brac University

All rights reserved.
Declaration

It is hereby declared that

1. The internship report submitted is my/our own original work while completing degree at
BRAC UNIVERSITY.
2. The report does not contain material previously published or written by a third party, except
where this is appropriately cited through full and accurate referencing.
3. The report does not contain material which has been accepted, or submitted, for any other
degree or diploma at a university or other institution.
4. I/We have acknowledged all main sources of help.

Student’s Full Name & Signature:

___________________________________________
MD. Nakib Imtiaz
17164062

Supervisor’s Full Name & Signature:

___________________________________________
Zaheed Husein Mohammad Al-Din
Senior Lecturer
BRAC Business School
BRAC University
Conference Secretariat
ICBM 2017-2019
Letter of Transmittal

Zaheed Husein Mohammad Al-Din

Senior Lecturer
BRAC Business School
BRAC University
66 Mohakhali, Dhaka-1212

Subject: Submission of internship Report on A study on the ways of efficiency of lead time in
apparel merchandising in Versatile Apparel Pvt. Ltd.

Dear Sir,
With due admiration I am pleased to inform you that I have worked as a merchandiser in
Versatile Apparel Pvt. Ltd. from March, 2017 to June, 2019 , under the supervision of Mr. Kazi
Arif, Merchandising Manager. I will present my work experience in this internship report. The
subject of my internship report is a study on the ways of efficiency of lead time in apparel
merchandising in Versatile Apparel Pvt. Ltd. It attempts to assure organization's business
steadiness through the streamline operation of different departments within itself. I also got the
chance to speak with employees from different departments and backgrounds which out and
out gave me a great comprehension of the garments factory culture.
I have attempted my best to finish the report with the essential data and recommended
proposition in a significant compact and comprehensive manner as possible.
I trust that the report will meet the desires.

Sincerely yours,
_______________________
MD. Nakib Imtiaz
17164062
BRAC Business School
BRAC University
Date: August 28th, 2019
Acknowledgement

Firstly, I want to thank Almighty Allah for everything. With the help of the Almighty and my
parents’ blessings finally I have successfully completed my over two year’s long tenure at
Versatile Apparel Pvt. Ltd.
Next, I would like to express my immense gratitude towards my advisor, Mr. Zaheed Husein
Mohammad Al-Din, Senior Lecturer, BRAC Business School, BRAC University, for his
constant guidance and supervision in every part of the report where I required help.
I must not forget to mention my appreciation to Mr. Kazi Arif, Merchandising Manager,
Versatile Apparel Pvt. Ltd. under whose supervision I went through my tenure. Moreover, my
thanks go to Mr. Kaysar Ahmed, Merchandiser of Versatile Apparel Pvt. Ltd. for his kind
support and most importantly for providing the learning opportunity for me during my tenure.
At the same time, I would like to thank my other colleagues of Versatile Apparel Pvt. Ltd.
Bangladesh who provided me with enormous insights and helped me to learn the ropes of the
situations of the world of apparel industry.
Last but not the least, I am grateful to BRAC University which is the reason I am standing here
on the precipice of earning my MBA degree successfully.
Executive Summary

This report has been arranged on improving the lead time efficiency of apparel merchandising
at Versatile Apparel Pvt. Ltd. which covers all the specifics of my work as a Merchandiser for
the period of 2 years, 4 months besides the downsides and welfares of working as a
Merchandiser. The first chapter offers an explanation on the topic-origin of the report, objective
of the report, methodology, scope and limitations of the report. The second chapter provides a
complete overview of Versatile Apparel Pvt. Ltd. in details. Since when the company has
started its journey, what are its 4ps of the Marketing mix are all discussed briefly in this chapter.
The third chapter covers some of the analysis that I have conducted. A PESTEL analysis on
the industry is conducted to find out the macro-environmental factors that can affect the
company. The result of which I’ve used to do the SWOT analysis. To understand the
company’s internal strength and weakness and to find out the external opportunities and threat,
a SWOT analysis is very crucial. I’ve highlighted all the strength and weaknesses that this
organization possesses. Also the opportunities and threat the company should be aware of. The
Fourth chapter covers my job description along with additional responsibilities. Merchandising
is one of the core department of any apparel industry. The detailed methods of my work is
provided as a full-proof explanation of my work. The fourth chapter describes my overall
reflection and learning in the 2 years, 4 months period. I have provided understandings on both
the challenges and benefits of working at Versatile Apparel Pvt. Ltd. The later parts of this
report covers suggestions from my part. I have utilized my understanding, knowledge and
discernment which I have gathered over the two years' time frame at BRAC University to
propose the proposals in light of my perception and learning.
Contents

Industry Overview .............................................................................................................. 1

Chapter 1: Origin of the Report ......................................................................................... 2

Methodology ............................................................................................................. 2

Scope......................................................................................................................... 2

Limitations ................................................................................................................ 2

Chapter 2: Introduction ...................................................................................................... 4

Company overview .................................................................................................... 4

The marketing mix of versatile apparel pvt ltd. .......................................................... 5

Chapter 3: Analysis ............................................................................................................. 7

PESTEL analysis: ...................................................................................................... 7

SWOT Analysis ....................................................................................................... 10

Chapter 4: Job Description ............................................................................................... 13

Merchandising ......................................................................................................... 13

Internal & External Communication ........................................................................ 13

Lab dips................................................................................................................... 14

Sampling ................................................................................................................. 14

Preparing internal order sheets ................................................................................. 14

Preparing purchase orders ........................................................................................ 15

Advising and assisting production ........................................................................... 15

Advising production and quality department about quality level .............................. 15

 Taking responsibility for inspections ....................................................................... 15

Following shipment ................................................................................................. 15

Recommendation for lead time optimization ................................................................... 16

Lead Time in Manufacturing: .................................................................................. 16

Lead Time in Production Planning ........................................................................... 16

Lead Time in Apparel Industry ................................................................................ 16

Importance of Lead Time in Apparel Industry ......................................................... 17

Conclusion ......................................................................................................................... 19

References.......................................................................................................................... 20
 Industry Overview

The textile and clothing industries provide the single source of growth in Bangladesh's rapidly
developing economy. Exports of textiles and garments are the principal source of foreign
exchange earnings. By 2002 exports of textiles, clothing, and ready-made garments (RMG)
accounted for 77% of Bangladesh's total merchandise exports. In 1972, the World Bank
approximated the gross domestic product (GDP) of Bangladesh at US$6.29 billion, and it grew
to $173.82 billion by 2014, with $31.2 billion of that generated by exports, 82% of which was
ready-made garments. As of 2016 Bangladesh held the 2nd place in producing garments just
after China. Bangladesh is the world's second-largest apparel exporter of western fast fashion
brands. Sixty percent of the export contracts of western brands are with European buyers and
about forty percent with American buyers. Only 5% of textile factories are owned by foreign
investors, with most of the production being controlled by local investors. In the financial year
2016-2017 the RMG industry generated US$28.14 billion, which was 80.7% of the total export
earnings in exports and 12.36% of the GDP; the industry was also taking on green
manufacturing practices.
Bangladesh's textile industry has been part of the trade versus aid debate. The encouragement
of the garment industry of Bangladesh as an open trade regime is argued to be a much more
effective form of assistance than foreign aid. Tools such as quotas through the WTO Agreement
on Textiles and Clothing (ATC) and Everything but Arms (EBA) and the US 2009 Tariff Relief
Assistance in the global clothing market have benefited entrepreneurs in Bangladesh's ready-
made garments (RMG) industry. In 2012 the textile industry accounted for 45% of all industrial
employment in the country yet only contributed 5% of the Bangladesh's total national income.
After several building fires and collapses, resulting in the deaths of thousands of workers, the
Bangladeshi textile industry and its buyers have faced criticism. Many are concerned with
possible worker safety violations and are working to have the government increase safety
standards. The role of women is important in the debate as some argue that the textile industry
has been an important means of economic security for women while others focus on the fact
that women are disproportionately textile workers and thus are disproportionately victims of
such accidents. Measures have been taken to ensure better working conditions, but many still
argue that more can be done. Despite the hurdles, riding the growth wave, Bangladesh apparel
making sector could reach 60 percent value addition threshold relying on the strong backwardly
linked yarn-fabric making factories directly from imported raw cotton, reaching a new height
of exports worth of US$30.61 billion in the fiscal year 2018.

1
 Chapter 1: Origin of the Report
I have been assigned to work on this project which has been selected by my respected faculty
Mr. Zaheed Husein Mohammad Al-Din. My report is on a study on the ways of efficiency of
lead time in apparel merchandising in Versatile Apparel Pvt. Ltd. I have essentially included
the summary of the company, the marketing scenario analysis, which are Consumer buying
process, SWOT, Competitive analysis, consumer perception analysis targeting, positioning and
product strategy. This report also encompasses how the merchandising workflow goes forward
on which I personally worked at a very close proximity and was my major job responsibility
within the organization and how I was able to better facilitate not only my department but the
whole division as a whole.
Objective of the report
 To know the overall activities of the Content management.
 To know how to create a content and maintain it.
 To know the whole operation process of Versatile Apparel Pvt. Ltd..
 To know the decision making process of the division.
 To know the present situation and growth of the division.

Methodology

All the information in this report has been collected via primary and secondary sources:
Primary Source:
 Interviews and face-to-face conversations regarding relevant information
 Observations at work
Secondary Source:
 Company websites
 Online articles

Scope

Merchandising is an integral part of apparel industry since it helps to determine control over
various other aspects and departments of the Versatile Apparel Pvt. Ltd. all the works are
interlinked. This report gives an overview of how the Merchandising affects other departments
and helps build a general insight on how the Merchandising of a garments factory works.
Therefore, this report is useful to provide knowledge and learnings on the garments based
operations of a factory, that is, Versatile Apparel Pvt. Ltd.

Limitations

Although I have tried my level best to formulate this report with all-out possible effort and
dedication there still exists some limitations of this report. They are as follows:
 The prime limitation was time constraint. I have learned a lot of things during my
tenure. However, it is not possible for me to learn and develop knowledge about all the
 activities and operations of the department. Since I was doing my job duties and studies
simultaneously, hence I was unable to conduct more in-depth and detail oriented
analysis and include that in my report.
 As I was working under the content merchandising team, it was difficult for me to
properly do my work and find enough time to learn more about all the other departments
of Versatile Apparel Pvt. Ltd.
 Chapter 2: Introduction

Company overview

Versatile Group had began its journey since 2005 in its own land and building. And over the
year it has established itself as a leading apparel manufacturer situated at Haq Square, 75
Challabon, Dakkinkhan, Uttara, and Dhaka-1230.

The Factory is producing knitted and woven based outfit, which include tops, bottoms and
jackets and various other items using both imported & local fabric as per customer necessities.

A professional management team was arranged from the beginning and a good employee
friendly environment was set-up so that marketing, sourcing, quality control, commercial and
production departments can run smoothly.

The company has recruited experienced & technically competitive persons as the top
managements. Each department namely Merchandising, Commercial, Production, Finance,
Administrative & CAD division has well skilled HOD who runs their own department
independently while keeping in sync with other department.

The average age of the workforce is 30 years and the minimum age is 18 years. The working
environment at the factory is very convenient. The working areas are very hygienic and well
ventilated. There are more than enough exits in the event of emergencies. Power supply, Gas,
Water and all other utilities are available around the clock. It also has their own substation and
generators in the event of a power failure.
The factory is in compliance with all applicable laws, regulations or statutes regarding health,
building safety, fire and environmental issues.
The marketing mix of versatile apparel pvt ltd.

The Marketing mix is a set of four assessments which needs to be taken before launching any
new product or service. They are also known as the 4 P’s of marketing. The Marketing Mix is
discussed below.

Product

Versatile Apparel Pvt. Ltd. is, above all else, a garments factory. Versatile Apparel Pvt. Ltd.
makes clothing items such as T-shirts, Shirts, Pants, Overall, shortall, jackets and many more.
If a buyer wants to order some kind of clothing item they can either give a small test order or
send a proto sample to replicate before giving bulk orders. Versatile Apparel Pvt. Ltd. Provides
huge amount of available samples from the works they have done previously so that Customers
can narrow down their option and order accordingly. Versatile Apparel Pvt. Ltd. accept almost
all kinds of clothing items and rarely do they turn down any order. In the event that buyer is
giving a complex clothing item order, they management outsource it to another factory who
are more skill in making those kinds of particular items.
Price
Versatile Apparel Pvt. Ltd. offer both services and products. There is no set product item that
they factory makes, they change their product offerings based on the demand of the buyers.
Versatile Apparel also helps buyers to understand the technical issues regarding the making of
a garments item. The price charged by Versatile Apparel Pvt. Ltd. hinges on various
characteristics. Versatile offers excellent workmanship compared to most other factories in
Bangladesh. Which is why they can charged higher price than market standard and the buyer
happily pays the price because they are happy with the quality of the offerings.
Promotion
Versatile Apparel Pvt. Ltd. by nature it is an apparel business. Hence, the core focus of
Versatile Apparel Pvt. Ltd. governing body is on merchandising and production. To reach its
target group it has put its BGMEA. Versatile Apparel Pvt. Ltd. has preserved its existence on
Facebook, due to the hefty use of Facebook (Social Network) locally. Versatile Apparel Pvt.
Ltd. regularly post on Facebook. Other than Facebook, Versatile Apparel Pvt. Ltd. doesn’t keep
its presence in other social media. They are also using personal email database to reach almost
a million customers. Versatile Apparel Pvt. Ltd. is using the telenetwork as well. It also visit
various buying office on a regular basis to gain order.
Place
Versatile Apparel Pvt. Ltd. is an apparel business and its export oriented, so basically the main
place of business for Versatile Apparel Pvt. Ltd. is the big clothing brands abroad where
customers are buying their desired clothing. And the physical place of business can also be
considered the garments factory itself, where local customers are looking for stock lots.
 Chapter 3: Analysis

For this internship repot I’ve done the PESTEL analysis & SWOT analysis for the garments
industry are both given below.

PESTEL analysis:

A PESTEL analysis is a framework or tool used by marketers to analyses and monitor the
macro-environmental (external marketing environment) factors that have an impact on an
organization.
PESTEL stands for:
P – Political
E – Economic
S – Social
T – Technological
E – Environmental
L – Legal
Political: These are regarding however and to what degree a assembly mediates within the
economy. This could incorporate – government strategy, political security or instability in
abroad markets, foreign national trading policy, charge arrangement, labor law, environmental
law, trade restrictions and then on.
It is clear from the summation over that political variables ofttimes have an effect on
associations and the way they work along. Associations ought to have the capability to react to
the current and expected future enactment, and modify their promoting arrangement as desires
be.
Despite of getting advantageous business setting for RMG sector with having low labor value,
exempt export facilities to twenty seven European Union countries and ten developed
countries, this sector is facing negative impact in business operations because of unstable
political state. Moreover, as a result of some industrial accidents and deserters in recent years
like Gregorian calendar month 2005 – sixty four garment staff killed in building collapse in
Savar ,more than four hundred garment staff killed in a minimum of 213 manufactory fires
between 2006 and 2009, consistent with Bangladesh local department Gregorian calendar
month 2012 – a minimum of 117 staff killed in hearth at Tazreen Fashions in Ashulia, and also
the most up-to-date ,the eight-story amphibian genus Plaza building came bloody down on
twenty four Gregorian calendar month demonstrating the ugly politics of Bangladesh, The
United States exempt trade privileges order suspends Bangladesh’s below the terms of a trade
program referred to as the (GSP), designed to push economic process in developing countries
suspecting Bangladesh wasn't taking steps to afford internationally recognized rights to its
staff.
Economic: The recent economic trend of Bangladesh is quite satisfying. In 2007-08 whereas
USA was facing turnover in economic process, afterward in 2010-11 quite an few countries of
Europe were within the same state, Bangladesh was having relatively steady and stable state of
affairs. In line with BBS (Bangladesh Bureau of Statistics) in 2010-11 the rate of economic
process was 6.7%, in 2011-12 was 6.3% and in 2012-13 it'll be 6.03%. The recent autoclave of
Rana Plaza boosted the garment worker’s anger and frustration and making negative impact on
garment industry. China is additionally stepping back From RMG sector.
Social: Society and culture is a vital issue that has got to tend stress by any business,
specifically people who are operational within the international space. it's necessary that any
business should operate in compliance with the social systems so as to achieve good reputation
and effective public image. On the other hand, cultural aspects is equally essential, so as to
understand the varied desires of various people that belongs to different cultures. – growth rate
– Age distribution – Career attitudes – client behavior – faith and culture itself. though client
Rights Movement, social control of state laws and a structured read relating to the economic
importance of Social responsibility aren't nonetheless therefore widespread within the company
world in Bangladesh. , business organizations will thereby have an comprehensive money,
industrial and social approach, resulting in a protracted term strategy minimizing risks joined
to uncertainty. this is often an investment, not a cost, very similar to quality management.
Technological: The industrial technology of garment production has been dynamic from labor-
intensive to loads of refined and capital-intensive production. this modification creates
discontent for the lower complete workers thanks to their inability to adapt to the new
manufacturing methodology. Work discontent reduces the performance of workers and, in turn,
company performance is negatively affected. On the alternative hand, the positive relationships
to technological modification embrace improvement of task significance, hike, improvement
of the quality of direction, improved co-workers relations and increase edges, to boot, if
complete technicians square measure on the market to instruct, planned garment is an
alternative as a results of labor and energy price are cheap here.
Environmental: Environmental impacts of garments on the environment don't seem to be well
enough to describe thanks to poor waste management. The improper system is principally
accountable for it. Besides, government isn't taking enough steps for waste management in
Dhaka town. Sound and pollution are the end result of this business.
Legal: Government always encourages garments industry by its supportive hands most of the
time. That’s why a large number of companies have been established here and there in the city.
But recent fire in some notable garments company has drawn the sight of the government. It
has increased some legal and compliance issues. The workers do not get proper wages and
remuneration, working environment and safety from the companies that’s why government has
intervened on this issue by enforcing the law and order system.
SWOT Analysis

SWOT (strengths, weaknesses, opportunities, and threats) analysis is a framework used to

evaluate a company's or industries competitive position and to develop strategic planning.
SWOT analysis assesses internal and external factors, as well as current and future potential.
A SWOT analysis is designed to facilitate a realistic, fact-based, data-driven look at the
strengths and weaknesses of an organization, its initiatives, or an industry. The organization
needs to keep the analysis accurate by avoiding pre-conceived beliefs or gray areas and instead
focusing on real-life contexts. Companies should use it as a guide and not necessarily as a
prescription.
The SWOT analysis of the Garments industry in Bangladesh is discussed below.
Internal Factors are the strengths and weaknesses, they are as follows,
Strengths:
 Export oriented
 Lowest labor cost
 Contribution to GDP
 Women empowerment and their productive role in society
 Poverty alleviation
 Low price energy
 Favorable port facilities
 One stop services
 GSP advantages
 FDI is appreciated
 Bank interest is low
 30+ years of experience in the
 Production and distribution maintains international quality
Weaknesses:
 Lacking in market tactics
 Dependency on raw foreign materials
 Unskilled workers
 Improper working environment
 Gender division of labor
 Lack of managerial knowledge
 Low unit labor cost
 Long working hours
 Poor accommodation facilities
 Insufficient of loan
 Safety problems
 Deficiency in creativity
 Lack of proper training organization
 Communication gap
 Small number of manufacturing method
External Factors are the opportunities and threats, they are as follows,
Opportunities:
 Good reputation of product quality in outside world will increase options of export.
 Strong rise of knitting sector.
 Very good quality yarn is now producing.
 More options of new employments.
 Great pricing capability.
 Attracting new buyers by establishing new buying houses.
 Encouraging new joint venture projects.
 Change in Governments attitude towards RMG sector.

Threats:

 Rise of competitiveness in export market for India, China, and Cambodia etc.
 Political unrest situation of the country.
 Rise of price of raw materials.
 Environmental pollutions are threat for survival.
 Labor unrest in RMG factories.
 Capability to hold the market for long term future.
 Chapter 4: Job Description
Merchandiser is the interface between Buyer & Exporter. He is the responsible from order
analysis to shipment. So Merchandising is the very valuable department in the Apparel
Industry. Here I will explain the main responsibilities of merchandisers.

Merchandising

Following are the main responsibilities of merchandisers.

 Internal & external communication,
 Sampling,
 Lab dips,
 Accessories & trims,
 Preparing internal order sheets,
 Preparing purchase orders,
 Advising and assisting production,
 Advising quality department about quality level,
 Mediating production and quality departments,
 Giving shipping instructions and following shipping,
 Helping documentation department,
 Taking responsibility for inspections and
 Following shipment.

Internal & External Communication

The importance of communication with buyers is very important. By constant method,

internal communication is also considerably valuable. because the other departments can
follow the directions given by the marketing department, they need terribly high worth. other
departments don't understand the buyer's directions; they know solely the merchandising
department's instructions. thus it's the only responsibility of marketing department to instruct
alternative departments the specifications and directions of buyer's orders clearly. Even a
little omission, mistake or deviation of instruction could produce massive issues. Sometimes,
they may not be correctable. thus all the instructions to be double checked before being
informed to alternative departments. prevention is better than cure.
Lab dips

It is the merchandiser's obligation to get the Lab dips from the mill and to get consent from
buyer.
There are different matching systems followed in Labs. They are -
 Tube light matching.
 Sun light matching.
 Ultra Violet matching.
 Sodium light matching (show room).

Sampling

There is a separate sampling department in a company. however because the merchandiser is

that the one who is interacting with the buyers concerning samples and other needs, this
sampling department can work underneath the management of merchandising department.
Additionally because the samples are to be created in line with the buyers' price ranges and
quality levels. Merchandisers send many samples to buyers. They are,
 Promotional samples
 Photo samples or fit samples
 Counter samples or reference samples
 Wash test samples
 Photo samples
 Fashion show samples
 Pre-production samples
 Production samples
 Shipment samples
 Inspection Samples

Preparing internal order sheets

The merchandising department needs to prepare internal order sheets based on the buyer's order
sheets. From the merchandising department only, the other departments can get all the
directions and specifications. The merchandiser ought to bear in mind of the value of his job.
therefore whereas getting ready internal order sheets, he ought to prepare them by taking care
of every and each detail. He might omit some data to different departments, like buyer's
address, export price, delivery date, etc. the other departments might not need this data.
however the other information like description, specifications, measurements, accessories,
trims, packing and shipping to be clearly informed to the concerned departments.
Preparing purchase orders

Merchandiser needs to prepare purchase orders. they must be advised to the purchase
department. the outline, quantity, quality standards, price or price target, delivery target and
payment terms of the desired raw materials, accessories and trims ought to be clearly
mentioned within the purchase orders. The clear info can facilitate everyone to grasp the
necessities clearly.
Also the merchandiser needs to seek advice from the production department and patterning
department for the requirement of materials. accordingly he needs to prepare fabric order
sheets too. the fabric order sheets ought to contain the complete details of fabric quality,
colors, weight, diameter and width of needed fabrics.
Advising and assisting production

As the merchandiser is the person who sees better about buyer's approvals, comments and
instruction, for the better perfect production, he will have to advise and assist production. As
he has to assurance the quality to the buyer, though there is a separate production departments,
the merchandiser should know about day to day affairs, status and problems of each stage of
production.

Advising production and quality department about quality level

Each garment will have different tolerable quality level according to the buyer's specification
and tolerance level. Though the production and quality departments are taking accountability
of quality, it is the merchandiser and the marketing manager who decide whether the quality is
up to the tolerable level or not. So the merchandiser should instruct and instruct the production
and quality departments about the quality and tolerance levels of garment.

Taking responsibility for inspections

If we work with buying offices or buying agents or buyer’s liaison offices, there will be many
inspections like pilot batch, initial, online, mid final and final.
If we work with the buyers directly, the number of inspections will be limited. The buyer may
like to see the inspection in the mid production or final inspection. Occasionally, the buyer may
ask any third party (like SGS) to do the inspections. It is better for the merchandiser to take
responsibility for these inspections too.

Following shipment

Finally the merchandiser has to make sure the produced garments reach the ship yard within
the cutoff date so that cargo reach the country of destination effortlessly without any delay.
The merchandiser's duties and responsibilities were explained above. All the departments in
apparel industry properly run when the merchandising is done properly.
 Recommendation for lead time optimization
A lead time is the latency between the initiation and execution of a process. In apparel industry,
lead time is the total amount of time required for completing a product beginning from the date
of receiving the order to the shipment of the goods to customer. Time is a great issue in apparel
trade as orders are based on weather, seasons and occasions. Lead time hence, carries huge
importance when delivering the products to the respective outlets is concerned. Bangladesh,
though the second largest exporter of readymade apparel to the world, still to prevail the on-
time issues.
Lead Time in Manufacturing:

This is the time from order start to order completion within the factory. Another factor is
client lead time that is that the time from customer order placement to receipt of products. it's
interlinked with the manufacturing lead time on reduce client lead time could need to scale
back the manufacturing lead time initial. The shipping time is enclosed as a result of the
producing company has to grasp once the components are going to be offered for material
needs designing. it's additionally attainable for lead time to incorporate the time it takes for a
corporation to method and have the part ready for manufacturing once it's been received. The
time it takes a corporation to unload a product from a truck, inspect it, and move it into
storage is nontrivial. With tight producing constraints or once a corporation is using simply in
Time manufacturing it's necessary for offer chain to grasp however long their own internal
processes take.
Lead Time in Production Planning

In production planning, lead time is very important. Suppose, a product is made from material
B and material C. Material B is made from material C. It means, if there is delay in producing
or sourcing material C, there will be delay in getting material B. So, there will be delay in the
production of product A. Customer will not get delivery in time. So, deadline is fixed for getting
supply and production simultaneously. Suppose, 30 days is the lead time for delivery after
customer places the order. It means, lead time for buying and production of material B and C
should be fixed accordingly.
Lead Time in Apparel Industry

To lower the risk of a fashion miss, nowa days most of the retailers and attire firms are
pressing their suppliers to grind out atiny low order quickly—allowing them to check designs
in stores—and then fill re-order requests even quicker, a manoeuvre referred to as chasing.
This chase ends up in a wired lead time for the attire makers.
In fashion business, lead time is that the total quantity of your time needed for finishing a
product starting from the date of receiving raw materials to the stage shippable to the client.
Total lead-time is created from time dedicated to process orders, procuring and producing
things, and transporting things between the varied stages of the availability chain. Lead-time
generally includes two components: information lead times (the time it takes to method
associate degree order) and Order lead times (the time it takes to produce and ship the item).
Lead time is one of the main competitive factors among companies. The ability to deliver
quickly influences export, sales and thereby revenue. At present, the average lead time in
Bangladesh RMG sector is more than 100 days while in China it ranges between 30-60 days.

Figure: A Typical Order Processing and Execution System for knit apparel industry

Importance of Lead Time in Apparel Industry

Lead time, like in any other manufacturing fields, is undoubtedly one of the predominant issues
in outsourcing and durable global marketing of apparel industry that largely depends on
accomplishing an order within a certain elapsed time to meet the customer demands properly.
The three parameters cost, quality and lead time for apparel retailers are critical but one can’t
deny the importance of finishing a job as early as possible since it is perhaps some buyer’s
requirements. The following list will throw light about the necessity of lead time.
 Product cost, quality and lead-time are correlated. Quality denotes the existence and
performance of the product. However, paying high cost to get the product that exceeds
the sell period converts to huge loss to the retailer.
 Fast fashion apparel is time sensitive and follow a very tight timeline and meeting the
deadline is important than ever.
 Quality and lead-time go hand in hand. High quality products with simple design need
shorter turnaround time compared to the embroidered or premiere fashion cuts.
  The time needed for the raw-material like fabric, trims or other accessories is important
as that would define the timing of the finished goods. Longer lead times generally tend
to stock higher inventory levels for the retailers.
 Lead time reduction can lower a firm's overall costs and make it more responsive to the
marketplace by decreasing the amount of finished goods inventory required.
 Lead time data is effectively a measure of the total manufacturing process. It tells how
quickly raw materials can be converted into delivered product to the customer. Apparel
manufacturing process is made up of many steps. Some of those involve a
manufacturing process whilst many are just moving materials or product and waiting
for materials or product. Having a high lead time is an indication that the process is not
optimized.

Figure: Gantt chart for a typical apparel industry with a lead time of 90 days

So my recommended Strategies to Process Orders Faster, Increase Customer Satisfaction, and

Improve Cash Flow are given below,
 Remove Unreliable Suppliers From Your Supply Chain
 Choose Vendors that are closer to the Warehouse
 Share Your Demand Forecasts With the Suppliers
 Bring External Processes In-House
 Automate Order Processing Workflows
 Complete Multiple Processes at the Same Time
 Improve Internal Communications
 Communicate More Effectively With the Customers
 Conclusion
An extended lead time is one in all the most important issues that the apparel sourcing world
is facing once exporting readymade apparels from Bangladesh is concerned. apparel sourcing
bodies are one in all the most important stake holders of the readymade apparel trade and that
they together with the Bangladesh authorities can endow their investment in rising the factors
affecting the prolonged lead time issue. The prevailing factors behind this are largely associated
with the efficacy of the supply chain and port facility. the main back lock within the supply
chain is that the incomplete support of the primary textile industries that's supposed to supply
the raw materials to the readymade attire industries, particularly materials. materials import
from abroad takes up to sixty days of the interval that is roughly 45th of the common lead time.
Improvement of the backward linkage trade to a regular to be ready to support the readymade
attire industries with export quality materials may be a continuous method and it'll take it slow.
however the event of the assembly and producing system may be enforced in a very twinkling
of an eye and it's a well-tried impact on the interval. patrons motive towards their suppliers
ought to be a lot of open minded and choices relating to sample approvals should be more
economical. Port facilities are solely an issue of time; because the export market is increasing,
investors are a lot of interested in develop the city port to a world level. Development of
Bangladesh as a serious readymade apparel exporter, definitely ‘the next China’, will certainly
be fruitful for each the manufacturers and buyers to explore within the international fast apparel
industry with confident and fight.
 References
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