Sales And Merchandising: A Study of NORTHERN FASHION LTD.
Organizational Part CHAPTER - I INTRODUCTION COMPANY PROFILE
Northern Fashion Limited (NFL) will be to give much priority to the buyer’s demands and supply best quality knitting product. This factory with the latest state of the art technologies and as a result, the factory will have the capacity of producing large volume of knitting product maintaining optimum quality. The factory of Northern Fashion Limited (NFL) will be situated at saver near by Dhaka EPZ .It will be a 100% export oriented knitting manufacturing company. Every year large volume of knitting product will be exported to different countries like Europe, America, Canada, Australia, United Kingdom, Germany, France, Italy, Spain and other countries. There are several sections in this factory such as knitting, dyeing, cutting, swing, finishing section. Northern Fashion Limited (NFL) is committed to provide quality products and smooth finishing. All the machineries and accessories will be imported from Korea, Turkey, and Japan. The factory will be run highly trained and skilled manpower, which will be very much capable to keep continuing the production process with utmost accuracy and flawless finishing and as a result, the company will be able to guarantee uninterrupted production and timely supply of product as per schedule and time frame of buyers. Manufacturing of knitting product is being carried out in a five stored building with a floor space 1, 70,000 square feet. Our employees are specialized in the production of all types of knitting product. We will manufacture T-Shirt, Polo-Shirt, and Tang-Top, Jacket for children, men and women. The production units will have its own high powered generator that will be used as back-up source of electricity.
A wide array of indoor and outdoor facilities along with safety measures will be one of the prominent features, which will make the factory pretty good suitable environment for knitting manufacturing, and will give more exceptional and diversified characteristics over its king among the knitting industries. LOCATION OF THE MILL NORTHERN FASHION LTD. is situated at Savar, Kashimpur, Gazipur. It is located at the northeast corner of Nabi Nagar-Kaliachair road and about 50 k. m. Away from Prime University Dhaka. SITE LOCATION OF N.F.L.: ARICHA DEPZ
BIPILE
BKSP
NABI NAGAR
CHAKRABARTI BUS STAND
CHANDRA
A S U L I Y
A
ABDULLAH PUR
GABTOLI
MIRPUR-1
PU
NFL
CHAPTER -II NORTHERN FASHION LIMITED - MANAGEMENT The entire management process comprises the following units: Executive Management: The Managing Director, the CEO is the head of the Executive Management Team which comprises senior members of the Management Apparatus. Within the limits of delegated authority and responsibility by the Board of Directors, Executive Management operates through further delegation of authority at every echelon of the line management. The executive Management operates within the framework of Policy & Planning strategies set by the Top Management with periodic performance reporting for guidance. The Executive Management is responsible for preparation of segment plans / sub – segment plans for every profit centers with budgetary targets for every items of goods & services and are held accountable for deficiencies, with appreciation for outstanding and exceptional performances. These operations are continuously carried out by the Executive Management through series of Committees, sub – Committees, Committees & standing Committees assisting the line management. Management Committee: Comprising top executives, deal with entire organizational matters. Standing Committee: Standing Committee comprises the following committee: Audit Committee: • Internal Audit Committee • ISO Audit Committee • Social / Environment Committee • Performance Evaluation Audit Committee Employment Relations Committee: • Remuneration Committee • Work Environment Committee • Performance Evaluation Audit Committee Management Committee: • Product Planning & Development Committee • Quality Control & Research Committee • Production & Inventory Management Committee • Export Promotion Committee
ORGANIZATIONAL STRUCTURE OF NFL Sales & Merchandising Section
Mahamud Iqbal Merchandiser Manager
Nazim Uddin Merchandiser Manager
Mr.Tipu Sultan Merchandiser
Mr.Emam Hasan Merchandiser
Mr.Razzak Merchandiser
Mr. Babul Merchandiser
Mr.Bashar Asst. Merchandiser
Mr.Munna Asst. Merchandiser
Ashraf Asst. Merchandiser
Ayub Asst. Merchandiser
Md. Moniruzzaman Trainee Merchandiser
Anam Trainee Merchandiser
SHIFT CHANGE: There are three shifts per day in NFL. So each shift contain eight hour. Shift
Duration
A B C
6 am – 2 pm 2 pm – 10 pm 10 pm – 6 am
But there is another shift called general shift, which is applicable for some officers.
JOB DESCRIPTION of P.O: Scope: Controlling the production parameter of every order and also determine yarn order. Function area: Setting the different parameters of machines, using correct yarn for order, controlling machine state, controlling process quality system. Remarks: The organization and management system are good for mill environment and as the job description is classified, so duties are done honestly and sincerely. CHAPTER- III MARKETING OVERVIEW Potential Market: The target market for products produced in Northern Fashion Ltd. Northern Fashion Ltd Export Oriented Readymade Garments Industry. Readymade Garments exporter that is Knit Fabrics manufacturer. Target market for products produced in Northern Fashion Ltd is Europe and U.S.A. Northern Fashion LTD sales their product in France, Canada, USA, Italy, Germany & other countries . Market • • • • • • • • • •
Denmark : Dahetra A/s, Company House Helslngor A/S Germany : D’ Anzo S.R.L, Euro trade America S.R.L France : Rhonetex SA, Les Mintors Norway : Dahetra Norge A/S Netherlands : Simcon International BV UK : Michael Davis & Associates Canada : T.F.C Clothing Inc/ Sweden : NH Industri Finland : New wave Group Spain : Ragdi S.L
•
Itali
: Olimpia
SIZE & GROWTH OF MARKET: The Company’s marketing operations continued its emphasis on export sales over the years as depicted below: Year – 2009
Year - 2008
99,800 0.68% 14,554,342 99.32% 14,654,142 100%
Tang Top T-Shirt Total Sales
Year - 2007
527,903 3.68% 13,817,314 96.32% 14,345,217 100%
539,417 3.95% 13,129,599 96.05% 13,669,016 100%
Tang Top
100.00% 50.00% 0.00% 1
Tang Top T-Shirt Total Sales
2
3
T-Shirt Tang Top
Sales Revenue 9,455,588 32,576,936 0.45% 1.82% 2,093,214,675 1,756,441,450 99.55% 98.18% 2,102,670,263 1,789,018,386 100% 100%
46,956,494 2.26% 2,029,968,545 97.74% 2,076,925,039 100% Tang Top
100.00%
T-Shirt
90.00% 80.00% 70.00% 60.00% 50.00% 40.00% 30.00% 20.00% 10.00% 0.00%
T-Shirt 1
Tang Top 2
3
The above figures show that the export sales increased by 19% in 2007over the previous year with greater exposure to international market scenario and risk. CHAPTER- IV PRODUCTION PLANNING SEQUENCES AND OPERATIONS PROCESS FLOW CHART OF NFL Yarn in cone form Feeding the yarn cone in the creel Feeding the yarn in the feeder via trip-tap positive feeding arrangement and tension devidce Fashion With draw the rolled fabric & weighting Numbering Grey inspection Dyeing & Finishing Final inspection Packing Delivery
CIRCULAR FASHION: PROCESS DEFINITION: Fashion is the interlocking of one or more yarns through a series of loops. The length wise columns of stitches, corresponding to the warp in woven cloth, are called WALES; the cross wise rows of stitches, corresponding to the filling in woven cloth, are known as COURSES, FILLING KNITS (WEFT KNITS) are those fabrics in which the courses are composed of a single strand of yarn, while warp knits are those in which the Wales are composed of single strands of yarn. GAUGE Corresponds to the yarn count in a woven fabric, and is defined as the number of needles or yarns in ½ inches of cloth. The higher the gouge, the more compact and finer the cloth. PROCESS REQUIREMENTS: In Northern Fashion Ltd. 3 types of machines are used for producing knitted fabric. These are:1. Circular Fashion Machine (Single Jersey Machines) 2. Circular Fashion Machine (Double Jersey Machine) CIRCULAR FASHION MACHINE: Circular Machine is widely used throughout the Fashion industry to produce fabric. This machine can be built in almost any reasonable diameter and the small diameter of unto 5 which are used for wear. M/C’s for outer wear and under wear may vary from 12” to 60” in diameter according to requirement. This m/c. can be used either as fabric or for making Garments section completely with fancy stitch. Latch needles are commonly employed in all modern circular m/c. because of their simple action and also their ability to process various types of yarn. Plain circular m/c. uses only one sets of needles, circular Rib m/c uses two sets of needle i.e. cylinder needle and dial needle, the inter lock circular Fashion m/c also uses two sets of needle by needles are long and short respectively for both dial and cylinder, that is why multiple design and thick fabric can be produce with that m/c. that m/c is also called double jersey m/c. M/c Gauge - needle/inch (Varies according to diameter)
Needle Type - Latch Needle bed type - single cylinder, double cylinder, Cylinder and dial, long short needles far cylinder and long short needle for dial. Two principle operations exist:English system- Where the cams and yarns stands revolves by needle and fabric take down is stationary. American system- Where the needles & fabric take down revolves by cams and yarn stands are stationary. PRODUCTION CALCULATION: 1.
Production /kg/shift at 100% efficiency: =
2.
Production in Length/Shift in meter: = =
3.
Fabrics width in meter: = =
IMPORTANT EQUIPMENT OF CIRCULAR FASHION M/C: 1 .START / STOP / INCH BUTTONS : Complete set of easily accessible START / STOP / INCH buttons at top lf each leg. 2. RATCHET LEVER : Permits hand movement of the machine. 3. AUTO-STOP MOTIONS : Automatic three (3) stage 24v. Yarn motion, positive feed tapes and Fashion zone. Indicator lamps are on individual stop motions and on the main control panel. While the yarn is broken or too tight that we can find the location which is broken as wall as to repair, meanwhile the motor can broke and stop operation at once to keep the security of machine. 4. FREE STANDING SIDE CREEL: With an active and reserve package for each feed.
5. AUTO-COUNTER: Three (3) shift revolution with digital display counter with predetermined stop, to settle freely the weight or yardage of fabrics. 6. VARIABLE SPEED DRIVE WITH MACHINE BRAKE : Transistor inverter provided for free controlled, the process of “V.S. MOTOR-DRIVE” from slow operation to normal operation is quite and fast brake to prevent damages in case of needles or yarn breakage. 7. FABRIC TAKE-UP SYSTEM: With variable speed control by a belt drive set can be adjusted the speed for different course of fabric-constant and uniform fabric tension. 8. SAFELY GUARD SWITCH : Machine cannot be started or run with guards open, this guards have reinforced fiber glass window for easy fabric inspection. 9. AUTO-LUBRICATION : The automatic central pressurized oil sprayer can be adjusted at cycling time and quantity to make cylinder, dial, sinker ring’s cams, needles and sinkers lubricated enough, besides it has the function cooling and clearing and clearing. 10. AUTO-LINE REMOVAL SYSTEMS : Three fans on each rotating arm for clearing off any dust of creel and Fashion zone G.S.M. CONTROL: (I) (ii)
Major control by quality pulley. Minor control by stitch length adjustment.
NECESSARY INFORMATIONS: 1. G.S.M. It is technical term that indicates the weight of the fabric Gram per square meter. 2. CHANGING OF G.S.M: The G.S.M. of the fabric is changed by altering the position of the tension pulley. If pulley moves towards the positive directive then the G.S.M. is decrease. And in the reverse direction G.S.M will increase. 3. POINTS THAT SHOULD CONSIDER IN CASE OF G.S.M. CHANGING: 1. Tension pulley 2. Cam position 3. Take up motion
4. FACTORS THAT SHOULD BE CHANGE IN CASE OF FABRIC DESIGN ON QUALITY CHANGE: 1. 2. 3. 4.
Cam setting Tension pulley Set of needle Size of the loop shape
5. RECOMMENDABLE POINTS OF A BUYER: 1. 2. 3. 4. 5. 6. 7.
Diameter of the fabric Design of the fabric G.S.M. of the fabric Total weight of the fabric Yarn count Types of yarn (combed or carded) Color of the fabric.
6.GAUGE NUMBER THAT ARE USUALLY SEEN IN DIFFERENT M/C: In case of Rib m/c 16 to 18 gauges are normally used. But in case of improve Quality yarn 20 gauge m/c are used in the European on Country. Single Jersey m/c are normally found 20, 24, 28 etc. gauges. 7. MAXM AND MINM G.S.M. OF A FABRIC FOR A PARTICULAR YARN: Type of m/c Single Jersey Rib machine
Yarn count 20S 30S 20S 30S
Maxm GSM 240 165 380 180
Minm GSM 120 100 190 130
8. WEIGHT LOOSES AFTER FINISHING OF THE FABRIC: 6 - 7% weight looses on the basis of whole weight. 9. WEIGHT INCREASES PER METRE2 AFTER FINISHING THE FABRIC 15-16% weight increases per square meter.
CHAPTER- VI QUALITY ASSURANCE SYSTEM Northern Fashion Limited ( NFL), quality will be emphasized in all the procedures and we will follow many quality standards to ensure that,t6he garments we will sell are in line with the taste and requirements of our buyers. We follow all the stringent procedures and test appliances for all international standards. Our QC team with ream of highly efficient and follow the standards right from yearn to packing, to see nothing is missed. In order to provide quality products and smooth finishing, the factory will be equipped with cutting edge technologies. All the machineries and accessories will be imported from Japan, Korea, China and Turkey. Ordered will be closely monitored from sampling, to shipment. Status on sampling, production and shipment will be transmitted to buyers regularly. We will maintain a pro active approach towards identification lf our problem areas and corrective measures will be taken immediately to ensure timely deliveries. QUALITY CONTROL EQUIPMENT
Tests Name Shade (Each batch of every work order)
GSM (Each batch of every work order) Width / Dia Check (Each batch of every work order) Dimensional Stability (Each batch of every work order) Crocking / Rubbing Fastness Wash Fastness
Equipment Used Verivide Light Box. Light Sources: -
Equipment Manufacturer James H. Heal &Company, Halifax, England.
Artificial daylight D65, TL84, F (filament), UVB (ultraviolet). Circular Cutter.
James H. Heal & Company, Halifax, England
Measuring Tape. (Open Finished, and Tube Finished) Wascator.
Not Applicable.
Crockometer.
James H. Heal & Company, Halifax, England.
a) A G Machine, and
a) Qayyum Textile
James H. Heal & Company, Halifax, England.
b) Ahiba Nuance.
Engineering, Faisalabad, Pakistan. b) Datacolor International, UK.
Water Fastness
Perspirometer & Carbolite (Thermostat Oven)
James H. Heal & Company, Halifax, England.
Colour Fastness to Perspiration Light Fastness (Tested if required by customer) Pilling Resistance (Tested if required by customer) Abrasion Resistance (Tested if required by customer)
Perspirometer & Carbolite (Thermostat Oven) Light Fastness Tester (Mercury Vapour Lamp)
James H. Heal & Company, Halifax, England. James H. Heal & Company, Halifax, England.
ICI Pilling Box.
James H. Heal & Company, Halifax, England.
Nu-martindale Abrasion & Pilling Tester.
James H. Heal & Company, Halifax, England.
WPI (Wales / Inch) & CPI (Courses / Inch)
Piece Glass.
James H. Heal & Company, Halifax, England.
RESPONSE TO FAULT: RESPONSE TO QC FAULTS: Faults Yarn fault Knit fault
Response Inform yarn supplier Inform Fashion department
RESPONSE TO MACHINE FAULT:Faults Any electrical fault Any mechanical fault
Response Inform electrical maintenance Inform mechanical maintenance
Remarks: Quality assurance can check quality and reject the faulty production. But for these operators careful activity is necessary. Chapter- VII HUMAN RESOURCE DEPARTMENT
Human resource planning Northern Fashion Ltd has a personal and administrative Department. Northern Fashion Ltd is one of the biggest employers in Bangladesh. The total number of employers in Bangladesh. The total number of employees is 1,223. For the employees there is systematic in house training in home and abroad. To motivate the employees, along with salary and benefits the company provides various facilities like free meals , free transportation , 24 hour medical center , on site sports . Production and accommodation facilities include full time supply of safe drinking water, adequate lighting and ventilation facilities from sheet. HR Practices of Northern Fashion Ltd • •
Recruitment Training
● job design ● Selection
•
Performance Management
● Development
•
Labor relation
● Incentives
•
Employee relation
●Benefit
SOURCE OF RECRUITMENT Recruitment and Selection process in Northern Fashion Ltd
Recruitment is the process trough which the organization seeks applicants for potential employment. Selection refers to the process by which it attempts to identify applicants with the necessary knowledge, skills, abilities and other characteristics that will help the company achieve its goals, companies engaging in different strategies need different types and numbers of employees. The strategy a company is pursuing will have a direct impact on the types of employees that it seeks to recruit and selection. There are two kinds of source Northern Fashion Ltd uses for recruitment .They are 1. Internal source. 2. External source. We try to discuss all relative sources which are used for recruitment in Northern 1. Internal source Northern Fashion Ltd thinks that current employees are a major source of recruits for all but entry-level positions. Whether for promotions or for ‘Lateral’ job transfers, internal candidates
already know the informal organization and have detailed information about its formal policies and procedures. Promotions and transfer are typically decided by operating managers with little involvement by HR department. 1.1Job-posting programs HR departments become involved when internal job openings are publicized to employees through job positioning programs, which informs employees about opening and required qualifications and invite qualify employees to apply. The notices usually are posted on company bulletin boards or are placed in the company newspaper. Qualification and other facts typically are drawn from the job analysis information. The purpose of job posting is to encourage employees to seek promotion and transfers the help the HR department fill internal opening and meet employee’s personal objectives. Not all jobs openings are posted .Besides entry level positions, senior management and top stuff positions may be filled by merit or with external recruiting. Job posting is most common for lower level clerical, technical and supervisory positions. 1.2 Departing Employees An often overlooked source of recruiters consists of departing employees. Many employees leave because they can no longer work the traditional 40 hours work week .School, child care needs and other commitments are the common reason. Some might gladly stay if they could rearrange their hours of work or their responsibilities .Instead, they quit when a transfer to a parttime job may retain their valuable skill and training. Even if part-time work is not a solution, a temporary leave of absence may satisfy the employee and some future recruiting need of the employer. 2. External source When job opening cannot be filled internally, the HR department of Northern Fashion Ltd must look outside the organization for applicants. We discuss all the external source of recruitment at bellow:
2.1 Walk-ins and Write-ins: Walk-ins are some seekers who arrived at the HR department of Northern Fashion Ltd in search of a job; Write-ins are those who send a written enquire .both groups normally are ask to
complete and application blank to determine their interest and abilities. Usable application is kept in an active file until a suitable opening occurs or until an application is too old to be considered valid, usually six months. 2.2 Employee referrals: Employees may refer job seekers to the HR department .Employee referrals have several advantages .Employees with hard –to –find job skill may no others who do the same work. Employee’s referrals are excellent and legal recruitment technique, but they tend to maintain the status quo of the work force in term of raise, religions, sex and other characteristics, possibly leading to charges of discrimination. 2.3 Advertising Want ads describe the job and the benefits, identify the employer, and tell those who are interested how to apply .They are most familiar form of employment advertising .for highly specialist requites, ads may be placed in professional journal or out of town newspaper in areas with high concentration of the desired skills Example: General Manager- production (ref: PM) -Age: 28-35 years; Graduate with specialization in garment mfg technology from NIFT or equiv. -Minimum 10 years experience in similar position of a unit with a minimum of 1000machines. -Must have detailed hands on knowledge of industrial engineering. We offer competitive salary which is commensurate with experience and qualification. If you aspire to an exiting and rewarding career, send your detailed resume, quoting your present and expected salaries to jobs. 2.4 Internet Now today no body thinks anything without internet. So Northern Fashion Ltd give their advertise at internet. Example: www.bdjobs.com www.Northern Fashion ltd.com.bd
DEVELOPMENT OF THE HUMAN RESOURCES The long term development of human resources as distinct from training for a specific job is of growing concern to HR departments of Northern Fashion Ltd. Throw the development of current employees the department reduces the company’s dependents on haring new workers .if employees are developed properly the job openings found throw HR planning are more likely to be filled internally promotions and transfers also show employees that they have a career not just a job. The employee benefits from increased continuity in operations and from employees who fail a greater commitment. HR department is also an effective way to meets several challenges including employee obsolescence, international and domestic diversity, technical challenges. Affirmative action and employee turn over. By meeting these challenges the department can, maintain an effective workforce. PERFORMANCE MANAGEMENT Performance Management Performance appraisal is the process of assessing employee’s past performance, primarily for reward, promotion and staff development purposes. ‘Performance appraisal (is) a process that identifies, evaluates and develops employee performance to meet employee and organizational goals. Performance Appraisal doesn’t necessarily use to blame or to provide a disciplinary action. Previous management theories used to view performance appraisal as a stick that management has introduced to beat people. Performance appraisals are now more clarified and they concentrate on developing organizational strengths and employee performance. Purpose of Performance Appraisal in Northern Fashion Limited • •
To review past performance To assess training needs
•
To help develop individuals
•
To audit the skills within an organization
•
To set targets for future performance
•
To identify potential for promotion
•
To provide legal & formal justification for employment decision
•
To diagnose the hidden problems of an organization
Performance Appraisal Process Who Appraises • Supervisors • Subordinates • Peers • Clients/customers • Self appraisal Approaches to measuring performance in NORTHERN FASHION LTD There are various kind of method for measuring performance appraisal. But we get information that Northern Fashion Ltd uses only three type of performance method. These are at below: 1. 360- degree feedback 2. Experience based. We describe those at below: 1.360-degree feedback One currently popular methods of performance appraisal is called 360-degree feedback. With this method managers peers, suppliers or colleagues are ask to complete questionnaire. The questionnaire is generally lengthy 2. Experience based Northern Fashion Ltd measures the performance of employee by experience. For example MR. X has been working in Northern Fashion Ltd for three years and MR. Y has been working in NORTHERN FASHION LTD for two years. So Northern Fashion Ltd favors MR. X for his more experience EMPLOYEE RELATION & JOB ANALYSIS Employee relation Employers and employees each have their own sets of needs and values, and successful relationship between these two sides requires that some sort of balance be struck. This balance often takes the form of a psychological contract, an understood agreement between employer and employees that defines the work relationship. This contract with or without support of a formal collective bargaining, agreement influence the outcome achieve by each side.
NORTHERN FASHION LTD group the various into three channel categories those are 1. Employee safety 2. Employee health 3. Employee working condition 1. Employee safety NORTHERN FASHION LTD provides the employee safety .It ensure the all kinds of job safety such as insurance of each employee not this it provide insurance to the labor. 2. Employee health Free medical checkup, provide health card and also provide necessary medical facilities for each employee. 3. Employee working condition The working condition of employee is very hygienic Northern Fashion Ltd is ISO 9001-2000 Certified company JOB ANALYSIS Job analysis is the procedure for determining the duties and skill requirement of a job and the kind of person who should be hired for it . The supervisor or HR specialist of Northern Fashion Ltd normally collects one of the following types of information: Work activities First he or she collects information about the job actual work activities such as marketing, sewing, production. This list also include how, why and when the worker performance each activity. Education and qualification Collects the information about education background and qualification. Experience Experience must be needed for any job in Northern Fashion ltf.
SAMPLE OF JOB ANALYSIS OF NORTHERN FASHION LTD: Quality control manager Qualification Master in any subject Bachelor/diploma in textile and clothing or related discipline will be given preference
Must have at least 7 years practical experience in similar position in any garments factory. Cutting Astt. Manager (cum in-charge) Qualification Masters/ bachelor in any subject preferably commerce. Bachelor/diploma in textile and clothing or related discipline will be given preference Must have at least 7 years practical experience experience in similar position in any garments factory. Ware house Astt. Manger Qualification SSC/ HSC Diploma in textile and clothing or related discipline will be given preference
Must have at least 5 years practical experience in similar position in any garments factory Production Officer (Sewing) Qualification Graduate /HSC
Must have at least 3 years practical experience in similar position in knit garments. Sewing Technician Qualification SSC/HSC Must have at least 5 years practical experience in similar position in knit garments. Experience and skill for all above jobs: Candidate must have experience to work with world reputed buyers Good writing and communication both in Bengali and English Should be capable of making QA reports on daily basis Computer literacy in MS world, Excel, e-mail Northern Fashion Ltd BENEFITS OF NORTHERN FASHION LTD. Benefits of Northern Fashion Ltd Employee benefits & services were formerly known as fringe benefits and these benefits were primarily the in-kind payments employees receive in addition to payments in the form of money. In addition to paying employees fairly and adequately for their contributions in the performance of their jobs, organizations assume a social obligation for the welfare of employees and their dependents Employee benefits are usually inherent components of the non-compensation system are made available to employees that provide: – Protection in case of health & accident – Income upon retirement & termination These benefits are components that contribute to the welfare of the employee by filling some kind of demand.
Legally required benefits of Northern Fashion Ltd • Social Security – Social security benefits include the general benefits like unemployment insurance & benefits, old age insurance, and Medicare facilities. • Workers’ Compensation – Worker’s compensation includes the compensation when an employee becomes injured or disable due to extreme working conditions or while working at the job site. • Family & Medical Leave – Family leave includes the compensation continuation during the family leave such as maternity or paternity leave and other family leave. • Old age, Survivor, Disability Insurance requirements for getting compensation: – Earn 40 quarters of credit, or – Be employed for 10 years – Be age 62 for partial benefits – Be age 65 for full benefits – Now the age has been extended to age 67 because more and more workers are retiring late. – Widow aged 60 + Medicare Depends on the country’s policy, Medicare facilities are generally government services to citizens. Organizations add some value to Medicare facilities. In some countries Medicare is financed together by employees’ tax, employers and the government. Provided insurance coverage for – Hospitalization - Covers inpatient & outpatient hospital care & services. – Major Doctor bills – Charges of visiting a doctor or specialist. – Prescription drug costs. – Provides unlimited in-home care in certain situations. Workers’ Compensation • Workers’ compensation is a legally required benefit is included in the compulsory disability laws of many countries. Mostly, employer is seen liable regardless of the fault. • Objectives of Workers’ compensation: – Provide income & medical benefits – Reduce litigation – Eliminate legal fees & time
– Encourage employer safety – Promote accident study & avoidance • Workers’ compensation claims – Injury – Occupational disease – Death • Workers’ compensation benefits – Medical services – Disability income – Death benefits Discretionary Benefits • Discretionary benefits are judgment based benefits that the organization provides to its employees. These benefits are not legally required benefits but enhances organizational culture and corporate image. • Benefits include: – Protection programs – Pay for time not worked – Other services Pay for time not worked • Holidays • Vacations • Funeral leave • Marriage leave • Sick leave • Stress leave • Blood donation or welfare work • Personal leave • Sabbatical leave/ For Muslims, leave after death
• Other religious leaves such as pilgrimage or preaching Chapter- VIII LEARNING PART Seals and merchandising section is very important section in northern fashion limited. The factory overall seals depends on the merchandising section. Merchandising section done some specific work. They are given below: • • • • •
Communicate with buyer and receive the order. Meet the buyer and approve the sample. Collection raw materials and all accessories. Monitoring the production progress. Help the buyer for inspection of product.
BASIC PART OF T-SHIRT: Final measurement of garments
N
Neckline width
280
Front Neckline
409
½ Neckline ½ Minimum head space Shoulder Length Sleeve length ½ Sleeve bottom width ½ Armhole length
6 61 8 16 9 12
Armhole Height
14
½ Sleeve top width
15
½ Chest ½ bottom width
1 11
FABRIC AND SWING THREAD CONSUMPTION: When the merchandiser received the order from the buyer then he will calculate the total fabric and swing thread consumption. After he will calculate fabric consumption then he gives order knitting manager to produce required quantity of fabric. Formula of body fabric consumption with CM: Length = 40 cm
Width = 30 cm GSM =180 Required quantity 50,000 pcs Length ×Width×GSM×12÷10÷1,00,000,00 40×30×180× 12÷10÷1,00,000,00=.02592 kg per Dozen 4167×.02592 =1080 kg fabric Note = 50000÷12=4167 (1 dozen= 12 pcs) Formula of fabric consumption with inch: Length = 40 inch Width =30 inch GSM =180 Required quantity 50,000 pcs Length ×Width×GSM×12÷10÷1550÷1000 40×30×180×12÷10÷1550÷1000 = .1672 kg per dozen Note: 1 inch =2.54 cm Formula of neck fabric consumption with CM: Length = 10 cm Width = 3 cm GSM =180 Required quantity 50,000 pcs Length ×Width×GSM×12÷10÷1,00,000,00 10×3×180×12÷10÷1,00,000,00=.000648 kg per dozen 4167×.000648 =2.70 kg fabric Note = 50000÷12=4167 (1 dozen= 12 pcs) Measurement of placket to use interlining: Length = 25 cm Width = 2 cm 25cm×2cm 25÷100×2÷100 meter .25m×.02m .005 sm .005×4 sm .02 sm
Total order 14000 pcs .02×14000=280sm CALCULATE OF SWING THREAD CONSUMPTION: Knit composite garments are generally used three types of swing Machine. Over lock machine. Flat lock machine. Plain machine. Over lock Machine: Over lock machine are frequently used in knit composite germents. Generally neck joint, solder, armhole, side sleeve joint are used over lock machine. Swing thread consumption with inch: Solder 15`×2=30 Length 25×2=50 Armhole 8×2 =16 Neck 10×2=20 Total = 116inch 116×18=2088 inch 2088÷39.37=63Meter Note: 1meter=39.37inch Flat lock machine: Flat lock machine are used to join bottom him, sleeve, neck top sin, armhole top sin. Swing thread consumption: Solder 15`×2=30 Length 25×2=50 Armhole 8×2 =16 Neck 10×2=20 Total = 116inch 116×28=3248 inch 3248÷39.37=83 Note: 1meter=39.37inch Total used sewing thread: 63+83=146 146×15000 pcs (order quantity)
2190000÷4000=548 cone Carton consumption: Length 92 cm Width 80 cm High 40 cm Play 7 cm Quantity 200 Formula: (Length+ Width) × (High+ width) ×2+wastage÷10000×ply×quantity =(92+80)×( 40+80)×2+5%÷10000×7×200 =172 ×120×2+5%÷10000×7×200 =41280+2064÷10000×7×200 =43344÷10000×7×200 =4.3344×7×200 = 6068.16 meters. Chapter- IX FABRICS INSPECTION GREIGE BODY & RIB INSPECTION: Body and rib inspection process can be defined as a process to detect and identify the Fashion faults in the fabric by visual assessment on the inspection machine. COLLAR & CUFF INSPECTION: Collar & cuff inspection is a process of identifying quality faults in the knitted collar and cuff from flat knit machine. PROCESS REQUIREMENT: EQUIPMENT: Equipments used for greige inspection process are:• Inspection machine (calator,1095622 sweden) • Inspection table.
KEY ACCESSORIES: Key accessories used for greige inspection process are: Cutter/scissor Nipper Pointer Weighting balance Inch tape. INSPECTION PROCEDURE BODY & RIB INSPECTION: All rolls are kept in front of the inspection m/c time to time and are inspected over the greige inspection m/c visually in a pre-set speed against light. For any major or minor faults like thickthin, barre mark, fall out, contamination, fly, holes, oil lines, needle line, slubs etc are recorded in greige inspection report to classify the fabric based on the four point system. COLLAR&CUFF INSPECTION: Collar& cuff are inspected visually under the light box, any major or minor faulty collar/cuff like having wrong ply, hole, needle line, slubs, wrong design, first round problem etc properly counted and recorded. FABRIC ROLL IDENTIFICATION: Based on the sequence of greige inspection, the inspector serially numbers each roll ensuring that all rolls having the knit card with complete details of the roll. OPERATION PROCEDURE: OPERATION STUFF: Operation stuffs for greige inspection process are: Manager, quality control Executive Supervisor Sr. inspector Inspector Helper INVESTIGATION: The four point system is followed to inspect the body & rib fabric. The defects found and points given against are recorded in the inspection sheet.
Following table shows the four point grading system followed by greige inspection at NFL. Four point grading system Size of defects 3 inches or less Over 3 inch but not over 6 inch Over 6 inch but not over 9 inch Over 9 inch
Penalty 1 point 2 point 3 point 4 point
Following table shows common body and rib faults and response by greige inspection section at NFL:No. 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15. 16. 17.
Rejection criteria for body & ribs Faults Response Needle mark Major needle line is rejected Stripe Major needle line is rejected Barre mark Rejected Contamination fly Approved for color but for white shed 1 point is assigned Slubs 1 point Thick thin place Reject Birds eye 1 point Pin holes 1 point Wrong design Reject Mixed yarn Discuss with manager Sinker mark Major sinker mark is rejected. Missing yarn Use 4 point Holes Do Oil line/stain Do Chemical Do Dirt stain Do Crease line Do
Following table shows common collar and cuff fault and response taken by greige inspection section at NFL:No. 1. 2. 3. 4. 5. 6. 7.
Rejection criteria for collar & cuff Faults Response Wrong ply Reject Hole Reject Needle line Reject Slubs Reject Wrong design Reject Wrong tripping Reject Fly & contamination Acceptable for color but not for white
8. 9. 10. 11. 12. 13. 14. 15.
First round problem Uneven tension Missing yarn Crease line Rust line Oil stripe Thick-thin Wrong tube
Reject Discuss with manager Reject Reject Reject Reject Reject Reject
Following table shows the acceptance calculation followed by the greige inspection section at NFL:Acceptance calculation Factory: Roll yardage (A) Total points founds(B) Formula : X100 =points per 100 yard Classification : <= 40 points = A type 41.60 = B type 61.80 = C type above 80poin = Reject Chapter- X MAJOR PROBLEM There are many problems in Northern Fashion Limited. Problems can be internal. In order to think about future solutions I first want to find out these problems. Employee’s problem: Most of the employees are unskilled. With improper background and under- educated. For that they are not efficient to do their tasks. It increases the cost of production as well as more time is needed to finish a particular task. Problem in decision making: It’s a private limited company so employees’ personnel can not take any necessary decision without Managing Director’s concern. It takes more time to take any decision. Insufficient Technology: They have limited computer facility in office for their daily activities. Sometimes many officers are to wait to use computer. Also, speed of the computer is the slower than required. Small production unit: They can produce only 20,000 T-SHIRT per day because for their small production unit. For that they need 60 days lead time to complete an order. It is long time now days in the competitive RMG market.
Labor unrest: Some times labor unrest creates problems to export. Most of the employees are not happy with their wages, over time and other extra benefits. Also working environment is not friendly enough for their health. Other problems • The Northern Fashion Ltd does not provide psychological security that their jobs will as continue long as they want. • The benefit offered by Northern Fashion Ltd is very little amount which is the main reason for employees high turnover. • The top level management are not concerned enough about the compensation package. So most of employees are suffering in pay dissatisfaction.
Chapter -XI RECOMMENDATIONS Northern Fashion Limited will have to figure out how to figure out how to survive in current competitive RMG market. If all problem can be solved it will result in reduced cost, improved the quality of the goods exported, and increased efficiency delivery. Some recommendations about problems are given below: •
Employees should be trained up in needed area and should be hired from related background.
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Decision making procedure is to be shortened and frontline employees are to be empowered to handle situations.
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Production unit should he increased to reduce the lead time of an order. For that company must invest more money.
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Labor unrest will not occur if company give those good wages and do not presser to produce many quantities within short time.
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Use of Technology should be increase. If they use more computer it will decrees the time of some activities and they have to use high speed internet connection.
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The top level management should be concerned about the systematic compensation package. Which include salary, over time, bonus etc?
Chapter- X CONCLUSION
Northern Fashion LTD is the largest private sector industrial conglomerate in Bangladesh. Northern Fashion LTD has always given the highest value of its component contributing to the production, management, revenue where the human resources was considered as the prime factor. Northern Fashion LTD knit division endlessly strives to achieve the best output, by developing and improving and proper utilizing its human capital. As a result it becomes one of the leading companies not only in Bangladesh but also in subcontinent. Northern Fashion LTD relentlessly pursues its vision of innovation, speed and service-driven marketing activities to the complete satisfaction of the customers. This marks phenomenal growth of business with all their leading and strategic customers. The company has also added a host of new customers to its profile this year. The company is also looking at new markets as South America in addition to increasing its share in the existing US, Europe and Canadian market. The company wants to sustain its position as a leader among the best-known brands and retailers worldwide. But there are some defects in customer service what about I mentioned several times in my reports earlier. So, the company should be more cautious and take necessary measures immediately in recovery the customer service. APPENDIX Sells & Merchandising section survey at NFL---Bibliography
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THOMPSON & STRICKLAND, Strategic Management, Thirteenth Edition
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VALARRI ZEITHAML & VALARRI DITNER, Service Marketing, Fourth Edition.
Web side: •
www.northerngroup.com.bd
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www.benefitslink.com
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www.pbge.govt