Internship report on pacific Jeans ltd.

BISMILLAHIR RAHMANIR RAHIM
AN INTERNSHIP REPORT ON PACIFIC
JEANS LIMITED
CHITTAGONG BGMEA INSTITUTE OF
FASHION & TECHNOLOGY

Chittagong BGMEA Institute of Fashion & Technology (CBIFT)
1
Letter of Submission
MAY,2018,30
To,
Mr. Abhi Mishra Das
Lecturer
Department of Apparel Manufacture & Technology (AMT)
Subject: Submission of Internship Report.
Dear Sir,
It is a great pleasure for me to submit the internship report on “Apparel Manufacture &
Technology: An Internship Report on Pacific Jeans Ltd.”. I have acquired vast knowledge
during preparation of this internship report. Without sincere co-operation and proper
guidance of you it will not be possible for me to prepare this kind of internship report. I have
tried my best to gain practical experiences and also tried to reflect the same in internship
report. My effort will be rewarded only if it can satisfy you and exceed your expectation.
It’s a great pleasure for me to submit you this report within due time. I should be honored if
this report serves its purposes. I am ready to explain anything to you if necessary. I wish your
hearty consideration, if there is any deviation in my report.
Sincerely yours--------------------------
Md. Mobarok Karim
ID: 141-020-45
Batch: 141
B.Sc. (hons)-Apparel Manufacture & technology (AMT)
Chittagong.

2
Letter of Transmittal
MAY,2018,30
To,
Mr. Abhi Mishra Das
Lecturer
Subject: Submission of Internship Report.
Dear Sir,
I have great pleasure to submit you my term paper title “Apparel Manufacture &
Technology: An Internship Report on Pacific Jeans Ltd.”. It is a fantastic opportunity for us
to prepare the individual term paper under your guidance, which really is a great experience.
During preparation of this paper, I have tried my best to ensure completeness.
I have put my best effort to overcome my shortcoming and prepare the report to the best of
my ability. However, if any clarifications are required, I would be glad to provide them as
best as I can. For any further clarification I would always be available.
Yours Sincerely, -----------------------------------------
Md. Mobarok Karim
ID: 141-020-45
Batch: 141
Chittagong.

3
Date: May/2018/30
Student’s Declaration
I am Mobarok Karim, a student of Bachelor of (Hon’s) in Apparel Manufacture &
Technology of 141 batch, my ID 141-020-45 at Department of Apparel Manufacture &
Technology, Chittagong BGMEA Institute of Fashion & Technology (CBIFT), Do here
declare that An Internship Report on Pacific Jeans Ltd. An Evaluation” was prepared by me
under the supervision of Mr. Abhi Mishra Das, Lecturer, and Department of Apparel
Manufacture & Technology (AMT).
I also declare that this Report is an Original Work and no Part of this Report has been copied
from elsewhere. Furthermore, this Report has not been published or submitted for being
awarded any Degree, Diploma or recognition earlier.
Md. Mobarok Karim
ID: 141-020-45
Batch: 141
Chittagong.

4
Official Certification
This is to certify that the internship program, Bachelor of Science (Hon’s) in apparel
manufacturing & Technology, Batch: 141, ID: 141-020-45 has completed his internship
Report on Pacific Jeans Ltd.. Under my supervision as a part of partial Fulfillment of the
Requirements for the Degree of Bachelor of Science (Hon’s) in Apparel Manufacture &
Technology in the Department of Apparel Manufacture & Technology of Chittagong
BGMEA Institute of Fashion & Technology (CBIFT). This Report can be accepted for
Evaluation.
Mr. Abhi Mishra Das
Lecturer
Chittagong.

5
Acknowledgement
At first I thanks to Almighty Allah to give me ability and strength to complete industrial
attachment.
The special thank goes to my helpful supervisor
Mr. Abhi Mishra Das. Lecturer Department of Apparel Manufacture & Technology (AMT)
, Chittagong BGMEA Institute of Fashion and Technology. The supervision and support
that he gave truly help the progression and smoothness of the internship program. The co-
operation is much indeed appreciated.
I grateful thanks also go to Abdul Mannan, Principle of Chittagong BGMEA Institute of
Fashion and Technology, for his support and continious guidance throughout my long
journey in Chittagong BGMEA Institute of Fashion and Technology and the industrial
training. I also would like to thankful all the Faculty Members of Chittagong BGMEA
Institute of Fashion and Technology.
All projects during the program would be nothing without the enthusiasm and imagination of,
Pacific Jeans Ltd. The generous support is greately appreciated.
I would also like to express my sincere gratitude to Human Resource Department, Pacific
Jeans Ltd. allowing me to complete my Industrial attachment course in their factory.
Finally, I express my sincere thanks to all those who have either directly
or indirectly helped me in this industrial attachment.

6
1 TABLE OF CONTENTS
CHAPTER -1........................................................................................................................................................9
1.1 Introduction ......................................................................................................................................10
1.2 Objective of the study......................................................................................................................11
1.3 Methodology of the Study ..............................................................................................................11
1.4 Scope of the study ............................................................................................................................12
1.5 Limitations of the study ..................................................................................................................12
1.6 Historical background of Pacific Jeans Ltd...................................................................................14
1.7 Profile of Pacific Jeans Ltd. .............................................................................................................15
1.8 Mission of Pacific Jeans Limited.....................................................................................................17
1.9 Objectives of the Company.............................................................................................................18
1.10 Policies and procedures...................................................................................................................18
1.11 Code of conduct of Pacific Jeans Limited......................................................................................19
1.12 Organizational structure of Pacific Jeans Limited. ......................................................................20
1.13 Products of Pacific Jeans Ltd. .........................................................................................................21
1.14 Production Sectors of Pacific Jeans Company..............................................................................21
1.15 Buyers of the Pacific Jeans Ltd .......................................................................................................22
1.16 Marketing activities of Pacific Jeans LTD. ....................................................................................24
1.17 Way to attract & retain customer....................................................................................................25
1.18 Merchandising..................................................................................................................................26
2 Chapter -2...................................................................................................................................................29
2.1 Introduction to Merchandising ......................................................................................................30
2.2 General Procedure of Merchandising............................................................................................31
2.3 Buyer Handling ................................................................................................................................32
2.4 Costing Analysis...............................................................................................................................34
2.5 Price negotiation...............................................................................................................................36
2.6 Lab Dip Test......................................................................................................................................37
2.7 Trim Card Preparation ....................................................................................................................37
2.8 Sample Development.......................................................................................................................37
Table of content

7
2.9 Sample Submit and Approval ........................................................................................................38
2.10 Consumption Sheet Collection.......................................................................................................38
2.11 Sourcing of Raw Material................................................................................................................39
2.12 Fabric Booking..................................................................................................................................42
2.13 Accessories Booking.........................................................................................................................42
2.14 Swatch Submit for Bulk...................................................................................................................43
2.15 Production Follow up and Update to Buyer ................................................................................51
2.16 Packing List Prepare and Provide to Commercial Department ................................................51
2.17 Cargo Booking to Forwarder for Shipment..................................................................................52
2.18 Shipment Plan Send to All Concern Department ........................................................................53
2.19 Utilization Declaration for Fabric ..................................................................................................53
2.20 Cad Department...............................................................................................................................53
2.21 Procedure of Cad Department .......................................................................................................54
2.22 Sample Department .........................................................................................................................55
2.23 Planning Department ......................................................................................................................57
2.24 Design Department..........................................................................................................................59
2.25 Quality Assurance Department......................................................................................................60
2.26 Commercial Department.................................................................................................................63
2.27 Strength:.............................................................................................................................................67
2.28 Weakness:..........................................................................................................................................67
2.29 Opportunities:...................................................................................................................................68
2.30 Threats: ..............................................................................................................................................68
3 CHAPTER-4................................................................................................................................................69
3.1 Wash development ..........................................................................................................................70
4 CHAPTER-5...............................................................................................................................................72
4.1 Problems............................................................................................................................................73
4.2 Recommendations............................................................................................................................73
5 Chapter-6....................................................................................................................................................75
5.1 Conclusion.........................................................................................................................................76
5.2 references ............................................................................................................................................77
5.3 Website...............................................................................................................................................77

8
Executive Summary
Apparel Manufacture’s students have to do an internship program as a practical orientation to
the workplace, where he can amalgamate the traditional hypothetical knowledge with
practical work experience. I completed my internship on an analysis of Apparel
Manufacture & technology at Pacific Jeans Ltd. and tried to find out the best. Pacific Jeans
Limited a company of Pacific Jeans Group (based in CEPZ) started its operation as a RMG
unit in Chittagong Export Processing Zone since 1st December, 1994 with a view to
supporting to the extended business of Pacific Corporation. It has five production floors
comprising 24 sewing lines. Globally reputed Brand Company like Gap, H & M, C & A,
Tom tailor, Charse Vogle and Old Navy entrusted this company for manufacturing their
products. Pacific Jeans Limited has its mark in the ready-made garments manufacturing
industry in Bangladesh being the pioneer and one of the largest factories in country. Another
reason is that, unavailability of raw materials, which they have to collect from foreign
countries. However, changes in buyer demand, their behavioral pattern, unscheduled facilities
demanded by the suppliers and frequent employ turnover causes to decrease the profitability
of the organization. As the garments industry of our country is growing day by day whereas
the demand for Pacific Jeans is rising due to quality and low cost producer in exporting to
foreign markets mostly preferred by the buyers. Basically my objective was to draw attention
on merchandising procedure, manufacturing process adopted by the company, function of
rest of the departments and to identify problems in the process of development of the
organization, finally providing necessary suggestion to overcome those. While conducting the
report I have proceeded to collect data using both primary and secondary. In this context
supervision of activities of merchandising department as well as rest of the department and
through official MIS and so on. As I was in merchandising department I tried my best to
prepare the report with necessary documents.

9
CHAPTER -1
INTRODUCTION & OVERVIEW OF THE ORGANIZATION

10
1.1 INTRODUCTION
Garments sector is one of the important export sectors of our country. Today readymade
garments sector not only earn maximum foreign currency but also engage a lot of
unemployed people in productive industry. For this industry, various bank and insurance
business are now in better position, transportation business now expanded in the country,
shipping business is increasing inside and outside the country, cargo handling, clearing and
forwarding business, buying house, hotel, tourist–all this sectors found possibility of their
business by this readymade garments export. There are more than 18 lucks people engaged in
this sector. So their purchasing powers increases and a group of consumer also created by this
sector. More than 8 lucks people are engaged in different accessories industry to earn their
money. As a result our unemployment reduces beside our socio-economic position also
developed. It is true that, for bright future of Bangladesh the contribution of this sector cannot
be neglected. But now a day there are some internal socio- political problems and for
international depression there is a possibility to reduce our export. We have to carefully
assess our internal problem and try to overcome this problem as early as possible. Otherwise
we fail to attract foreign buyers for export from our country. Before 2005 multi fibber
agreement (MFA) limit us specific export but after 2005 our export increases in different new
country including previous country.
Now Bangladeshis is in the 7’Th position in EU, in exporting ready-made garments (RMG).
This is the appropriate time to solve problem and capture foreign market otherwise we cannot
increase our market share for readymade garments. The following report is prepared on
“PACIFIC JEANS Ltd.”, which is the largest among locally invested garments. And it is the
2nd largest among all garments in Bangladesh. The main objective of the study is to evaluate

11
the production, marketing, accounting, financial principles as well as overall performance of
the PACIFIC JEANS Ltd.
As merchandising is now a bright prospect to design career over the world. In context of
Bangladesh the demand for a expert merchandiser is no more less in any part. In designing
career with so, I have chosen to complete a three month internship program in this field to
learn something regarding merchandising at Pacific Jeans Limited. This is the largest among
locally invested garments. Moreover, it is the second largest among all garments in
Bangladesh. Pacific jeans Ltd is a 100% export oriented garments manufacturing industry. It
has started commercial production in 1994. It’s a private limited company and it is a “C”
category company that means there are 100% local investors. It is located in Chittagong
Export Processing Zone known as CEPZ, Bangladesh. Moreover, as I am a business graduate
with a major in marketing I have desire to work with foreigner as like as buyer handling,
negotiation with buyer and consulting with rest of the parties in this regard. Without that
business background with major in marketing have potentialities in this regard. In spite of
having so I have another one intention to know marketing mix is practiced in merchandising.
1.2 OBJECTIVE OF THE STUDY
For preparing a report any researcher should select objective at first. An objective refers a
frame work for the development of strategy. Generally in conduction of any work have its
own objectives and features. Moreover the major objective is to know the procedure of
merchandising is given below. Another main objective is discovering the present situation of
RMG sector of our country and find out problem of these sector and impact of global
recession on this sector. I also tried to lay down some recommendations which can use for
overcoming the impact of global recession. For doing this task I used Pacific Jean as a model.
The rest of the objectives of this report are as follows:
 To get an overall idea of merchandising in Pacific Jeans Limited.
 To know marketing activities.
 To find out the problems and the prospects of Pacific Jeans Limited.
 To suggest necessary measures for the development.
1.3 METHODOLOGY OF THE STUDY

12
Basically methodology means a method that involves a process on technique in which
various stages or steps of collecting data or information are explained and the analytical
techniques are defined. Collected data will be tabulated, processed and analyzed profusely in
order to make the program more informative, fruitful and purposeful. Both primary and
secondary data have been used for preparing this report. Primary data collected from his
official executives of Pacific Jeans. Some other BGMEA members are also provide important
information about my report. I also use following secondary data source:
 Annual report of the organization
 Document and record of the organization
 Bangladesh Bureau of Statistics
 Internet Website
 Garments industries and also some other related journal
 Daily and weekly newspaper, journals etc.
 Supervision of activities/functions all the department of PJL.
 Direct conversion with authorized officer and senior officers.
1.4 SCOPE OF THE STUDY
Apparel Manufacturing Management & Technology (AMMT) is a professional course. The
course is designed with an excellent contribution of both theoretical and practical aspect.
After completion of the theoretical course a student is required to work for gathering practical
knowledge to anywhere base on his/her major area so that it can be aware of that one.
According to choice I was in a garments manufacturing concern named PACIFIC JEANS
LIMITED. It is located at CEPZ in Chittagong, where in Bangladesh maximum industries are
established. So it is my pleasure that I have got a chance to do so in such a reputed firm. This
internship program gave me a greater scope or opportunities for gathering experience and
knowledge in several areas marketing by which I can evaluate myself. During the period of
internship program I have communicate with maximum person of the entire firm. That is why
in short I can say that I had a great competency to have an in depth knowledge of the overall
operational activities and functions practices by PJL.
1.5 LIMITATIONS OF THE STUDY

13
Everything has a limitation but the level may be more or less. However, there are some
problems associated myself while conducting the organization program. In our report the
main limitation is data availability. Our maximum data are collected by secondary sources.
The main limitations of the report are given below:-
 Period of this study was very limited.
 I had to face problems when I was with production department because it is fully
technical oriented work.
 The website of this company does not provide a good deal of information.
 The company does not publish any brochures or annual reports from which
information could be collected.

14
1.6 HISTORICAL BACKGROUND
OF PACIFIC JEANS LTD.
Pacific jeans Ltd is a 100% export
oriented garments manufacturing industry. It has started commercial production in 1994. Itis
a private limited company and it is a “C” category company that means there are 100% local
investors. It is located in Chittagong Export Processing Zone known as CEPZ, Bangladesh.
Md. Nasir Uddin is the managing Director of the company. He is a well-experienced business
personal and industrialist. He has the vast marketing experience and for exploring the export
business. Pacific Jeans Limited is a 100% export oriented garments manufacturing industry.
It has started commercial production in 1994. It is a private limited company and it is a “C”
categories company that means there are 100% local investors. It is located in Chittagong
Export Processing Zone known as CEPZ, Bangladesh. Md. Nasser Uddin is the Managing
Director of this company. He is a well experienced business personnel and industrialist. He
has the vast marketing experience and for exploring the export business he had the
opportunity to travel all over the world and established a good business relationship with the
overseas buyers.
Award of excellence:
Pacific Jeans has been awarded for its outstanding contribution in many occasions. They have been awarded as
the top exporters of Bangladesh for consecutive five years. They have also been awarded as the company for
best product development and innovation by their customers. The chairman of the company was awarded with
best businessman of the year of Bangladesh in 2006.Recently pacific Jeans has also been awarded with the
prestigious HSBC export excellence Award 2010 for strong contribution towards national economy.

15
 National Trophy Silver (1999-2000)
 National Trophy Gold (2000-2001)
 National Trophy Silver (2001-2002)
 National Trophy Gold (2003-2004)
 HSBC Export Excellence Award (2010)
 Bangladesh Business Award (2006)
1.7 PROFILE OF PACIFIC JEANS LTD.
Here i am going show the profile of the Pacific Jeans Ltd. That is showing overall company
information. These are given below.
Name PACIFIC JEANS LIMITED.
Address Plot # 16-19, Sector # 5,
Chittagong Export Processing Zone( CEPZ)
Chittagong.
Web Address www.pacificjeans.com
www.pacificjeans.net
Date of Establishment 5th
August, 1994.
Date of Commercial
Production
26th
November, 1994
Category of the Company ‘c’ type (100% Bangladeshi ownership)
Name of the Owner Md. Nasir uddin
Directors of the Company Md. Nasir Uddin.
Mrs. Syeda Umme Habiba Begum.
Mr. Sayed Mohammed Tanvir.
Sister Concerns Jeans 2000 Ltd.
NZN Fashion Wears Limited.
NZN Garments Limited.
Diamond Fashion Weat (Pvt.) Limited.
Pacific Accessories Limited. &
Universal Jeans Limited.

16
Vision of the Company Respect for Individual
Product of the Company Branded fashion jeans and casual wear
Floor Area 6,80,000 Sq.Ft
Number of Machines 4500
Export Destinations Europe and USA
Total Manpower 11,233
Total number of
Workers
Male- 2,711(30.49%)
Female-6,181 (69.51%)
( Total 8,892 workers)
Production Capacity 60,000 PCs Per day.
Total Production 12.50 Million Per annum
Tax Exemption Period 10 Years. (1994 to 2004)
Bank Name HSBC
Citi Bank NA
Agrani Bank
Competitor Cambodia, China, Vietnam, India and all other
local Competitors.
Buyers GAP, Lee, Wranger, MASH, H&M, Charies
Vogele, V.F Asia, Henric and Laurence, C&A,
Carrefour, Wilson, Tom Tailor,Uniqlo,Old
Nevy etc.
Various Process Involved In
Production
Cutting
Sewing
Wet Processing or Washing
Finishing
Working Hours 8 am to 5.00 pm. (Normal)
Department of the Company
Human Resource Department
Commercial Department
Accounts & Finance Department
Industrial Engineering, Work-study &
planning.
Production Department
Production Accounting Department
Information Technology (IT) Dept.
CAD & Sampling Department
Merchandising Department
Engineering Department
Supply Chain Management Dept.
Compliance Department
Quality Assurance Dept. (Q.A.D)
Workers’ Absenteeism and
Labour turnover (Percentage)
Monthly Absenteeism- 9.68%(March)

17
Labour Turnover- 10.80% (average)
Workers’ Insurance Scheme BEPZA Insurance Scheme
Workers’ Council Workers’ Representative Welfare Council
(WRWC)
No Labor Union
Expenditure on Training (as a
percentage of total
expenditure)
2-4%
Expenditure on Human
Resource Development (as a
Percentage of total
expenditure)
11-20%
Expenditure on Management
Information system or IT (as a
percentage of total
expenditure)
10%
Fabric Warehouse Area 10,000 sq. ft within the premises, there are 4
other warehouses in the EPZ area.
Security Measures adopted by
the
Organization:
Fire extinguishers
Tow-way entry
Evaluation plan
Preventive Masks & hand gloves
Fire-fighting demonstratious every two months.
1.8 MISSION OF PACIFIC JEANS LIMITED.
 Operating facilities that are environment friendly and safe for employees and
communities as a whole.
 We up holds the integrity of all individuals, working in the industry by providing all
legal facilities including occupational health care and work place safely.
 Continuous improvement of efficiency by introducing latest technology and technical
expert.
 Presenting the best value through effective cost management.
 Research of market trend and ultimate consumer’s fashion demand.
 Satisfy the buyers by providing quality service on mutual trust and respect.
 Continuous product development according to latest fashion trend and innovation.

18
Pacific Jeans Limited have been able to achieve the trust of many reported buyers of the
worked like GAP, H&M, C&A, TOMTAILOR, CHARLSE VOGELE, OLD NEVY, AND
J. C PENNY etc. Pacific jeans limited never compromise with the quality and standards and
we are committed to further improvement to continue the growth trend providing advanced
technology.
1.9 OBJECTIVES OF THE COMPANY
 Best use of potentiality of garments industries of Bangladesh.
 Use the most modern technology in business field to the best possible extends, which
matches with the socio-economic condition of Bangladesh.
 Give opening to the new jobs.
 Developing a set of human resources with the most modern business philosophy,
practice and technology.
 Maintaining at least 80% efficiency.
1.10 POLICIES AND PROCEDURES
 Maintain cordial relations with all stakeholders, namely- customers or buyers,
suppliers and employees
 Fight against dishonesty, fraud and corruption as and when it occurs.
 Recognize the contribution of each individual and assist others to make meaningful
contribution.
 Equal rights for all and no discrimination in any field,
 Always ensure maximum utilization of resources,
 Ensure health and safety of workers and encourage an environment conducive for
work.
The vision of the company, which is also its motto- “RESPECT FOR INDIVIDUAL”, has
been set up at the very entrance of the building. Boards bearing these words are placed on the

19
walls of each floor. The officials informed us that all the employees right from the top-level
to the junior most position is treated with respect and dignity for his/her work.
1.11 CODE OF CONDUCT OF PACIFIC JEANS LIMITED
 Pacific Jeans Ltd. abides by the principles that decisions on hiring, salary, benefits,
advancement, termination or retirement are based solely on the availability of and
individual to do the jobs.
 Forced labour: Pacific Jeans Ltd. does not use force labour in any from Prison,
indentured, bonded or otherwise.
 Child labour: Pacific Jeans Ltd. does not employ any person below the age 18.
 Compensation: Pacific Jeans Ltd. Provides each employee at least minimum wage or
higher and provided each employee a clear, written accounting for every pay period.
 Benefits: Pacific Jeans Ltd. provides each employee all legally mandated benefits.
These include meal subsidies, transportation or transportation subsidies. Others cash
allowances, health care, pregnancy or sick leave, vacation, religious holiday, leave
and contributions for provident fund.
 Hours or Work/overtime: Pacific Jeans Ltd. complies with legally mandated work
hour’s uses overtime only when each employee fully compensated according to local
law and on a regularly scheduled basis provides one day off in seven and requires no more than
60 hours of work per week.
 Management of Environment, Safety and Health: Pacific Jeans Ltd. has written health
safety guidelines, has a factory safety committee provides personal protective
equipment free of charge and mandates its use and complies with all applicable local
environmental, safety & health regulations.

20
Manager
HRD Marchandising Accounts Production Store
Deputy
Manager
Accounts HRD commercial
ASSTT. MAnager
Accoun
ts
Store
Senior
Executi
ve
Junior
Executi
ve
Staff
Worker
s
Product
ion
1.12 ORGANIZATIONAL STRUCTURE OF PACIFIC JEANS LIMITED.
Chairman
Managing Director
General Manager
Deputy General Manager
Accounts
Asstt. Manager
Cutting Maintaince Washing

21
1.13 PRODUCTS OF PACIFIC JEANS LTD.
Pacific Jeans Ltd. manufactured various types of garments-
 Long Pant
 Short Pant
 Three Quarter
 Length Trousers
 Long Skirt
 Short Skirt
 Jacket
 Denim Dress
 Joggers
 Kids Pant
 Ladies Overall
1.14 PRODUCTION SECTORS OF PACIFIC JEANS COMPANY
 Cutting
 Sewing
 Dry Process
 Wet Process
 Finishing
 Quality Assurance
 Testing Laboratory

22
1.15 BUYERS OF THE PACIFIC JEANS LTD
The major buyers of Pacific Jeans Limited are listed in the given below:
Buyers Estimated percent to utilize
production capacity
GAP 20%
C&A 15%
UNIQLO 30%
H&M 10%
CHARIES VOGELE 8%
TOM TAYLOR 6%
OLD NAVY 6%
OTHER 5%

23
These famous brands are all customers of Pacific Jeans Limited because of the following
reasons:
1. High product quality assurance.
2. Excellent correspondence during production.
30%
20%
15%
10%
8%
6%
6% 5%
Percentage
UNIQLO GAP C&A H&M CV TOM TAILOR OLDNAVY OTHERS

24
3. Timely finishing and delivery.
4. Cost-effective labour.
1.16 MARKETING ACTIVITIES OF PACIFIC JEANS LTD.
Buyers search and
Deal configuration
Raw material procurement
Production plan &
It’s monitoring
Shipment
Of RMG &
Precede realization
Buyer search
Query Receive
Price fixing
Analysis
Negotiation
Order confirmation Sales argument
Order Detail Receive AnalysisCorresponding
Purchase agreement with suppliers
Material booking
Export L/C Receive analysis
amendment seek & transfer
Back to back L/C
opening
P/I receive from supplier
Credit report
Utilization declaration collection
Taking shipping of raw material
Clearance Non-negotiable Doc. Receive
Arrival raw materials
Production plan
Production
Inspection
Shipment
Proceed realization and follow up
Process end
Export Doc.
Negotiation

25
1.17WAY TO ATTRACT & RETAIN CUSTOMER
The effective marketing system is the main reason to attract & retain customer which is
discussed before. The other strategy or concentration followed by the Pacific Jeans Ltd to
attract & retain customer. These are given bellow:
 Quality
 Short lead time
 Large volume
 Technology based production
 Best priority to the existing buyer
Quality
Pacific Jeans Ltd. is one of the foremost manufactures of the garment industry in this country.
Pacific Jeans Ltd. is a 100% export oriented garments manufacturer. To maintain world-class
quality garments Pacific Jeans concentrates on the following factors:
1. Quality of the input (such as fabrics, accessories, chemicals etc.)
2. Quality of sewing.
3. Quality of sewing thread.
4. Quality of washing.
5. Quality of packing.
6. Quality of finishing

26
Short lead time
The lead time is depending on product quantity, place & transportation. The lead time of
Pacific Jeans Ltd is shorter than the competitors. The whole process of marketing is handled
very effectively by Pacific Jeans Ltd which makes short lead time.
Large Volume
The production capability of PJL is 60,000.00 pieces per day. Where it is impossible to the
other competitors for producing such number of product per day.
Technology based production
In my practical findings during our visiting, I observed a organized production system which is
fully controlled by the newly sophisticated technology, that is, the production system is basically
computer based. Besides this there are some latest technological production systems that can really
surprise me. As a result, the whole production system is operated with fully disciplined way.
This production system is basically divided into two parts.
1.18 MERCHANDISING
Merchandising is the activities may include display techniques, free samples, on-the-spot
demonstration, pricing, shelf talkers, special offers, and other point-of-sale methods.
According to American Marketing Association, merchandising encompasses "planning
involved in marketing the right merchandise or service at the right place, at the right time, in
the right quantities, and at the right price."
Merchandiser
Merchandisers are responsible for ensuring that products appear in the right store at the right
time and in the right quantities. This involves working closely with the buying teams to
accurately forecast trends, plan stock levels and monitor performance. While the buyer
selects the lines, the merchandiser decides how much money should be spent, how many lines
should be bought, and in what quantities.
Merchandisers set the prices to maximise profits and manage the performance of the ranges,
planning promotions and markdowns as necessary. They also oversee the delivery and
distribution of the stock and deal with problems with suppliers as they arise.

27
Function of merchandiser
Merchandising activities may include display techniques, free samples, on-the-spot
demonstration, pricing, shelf talkers, special offers, and other point-of-sale methods.
According to American Marketing Association, merchandising encompasses "planning
involved in marketing the right merchandise or service at the right place, at the right time, in
the right quantities, and at the right price."
As a retailer, one of your important assets is 'space'. On the other hand, in numerous
situations the quantity of space you have is a limited resource. It needs to be well managed.
The first important step in retail merchandising is establishing working relationships with
manufacturers who will provide the goods or services that are ultimately sold by the retailer.
This type of retail buying involves determining what products will be carried in the retail
establishment, negotiating the unit price that will be charged by the manufacturer, and
arranging for the delivery of those goods. Depending on the number of units the retailer can
afford to purchase at a given time, it may be relatively easy to obtain a discounted unit price,
making it easier for the retailer to be competitive in the local marketplace. Once the goods are
secured, the retailer must determine the unit price that he or she will assign to the products. In
all cases, this retail price will be higher than the cost of purchasing the goods from the
supplier. It is this difference between the wholesale price and the retail price that allows the
retailer to make a profit and remain in business. Some retailers follow a formula of setting the
retail price at a fixed percentage above the acquisition price, while others base the retail
pricing on factors such as the desirability of the items and the amount of competition from
other retailers in the immediate area.
After setting the retail pricing, the process of retail merchandising moves on to the task
known as setup and display. This process is concerned with displaying the goods within the
retail setting to best advantage. By using such devices as display windows, elevated
platforms, and colourful backdrops to attract the attention of shoppers, the retailer increases
the chances of selling units quickly. Setup and display are often considered especially
important with fashion merchandising and similar retail settings, in that the visual display is
often the key means of attracting customers who are highly likely to make a purchase. Quick
sales lead to higher profits and the chance to secure more products that will result in more
sales.

28
Marketing is an important aspect of any retail merchandising strategy. Engaging in a
publicity campaign to reach prospective customers may involve something as simple as
advertising in local publications as well as electronic advertising on local radio and television
stations. Direct mail is also a common strategy in retailing, as the mailings make it possible to
reach people in their homes and places of business rather than relying on them to approach
the retailer first. In order to be successful with retail merchandising, it is necessary to provide
consumers with a couple of key benefits. First, the products must be of high quality; this
helps to ensure the customer will return for more purchases in the future. Along with the
quality, the retailer must also sell the products at prices the consumer finds reasonable. By
providing quality products at affordable prices, the retailer has a much better chance of
standing out from the competition and remaining in business for many years to come..
Quality of Merchandiser
 Good presentation and well prepared
 Polite manner
 Sincerely and punctuality
 Good personality
 Fresh and smartness
 Good knowledge
The responsibility of merchandiser
 Sourcing and order negotiation
 Consumption and costing
 Order receiving
 Product development and sample controlling
 Fabrics, yarn trims and accessories purchasing and tacking
 Factory scheduling and production tracking
 Customer liaison during design, sourcing, production and shipping
 Satisfy customer

29
2 CHAPTER -2
(Practical aspect)
During Internship tasks and Responsibilities

30
Here I am going to discuss about the procedure of merchandising of Pacific Jeans Ltd. Those
are given below.
2.1 INTRODUCTION TO MERCHANDISING
Organizational success largely depends on it because from the point of order collection, raw
materials procurement, handling buyers, price negotiation, garments costing or costing
analysis to goods shipment and finally satisfying buyers needs is as much as challenging
oriented activities done by merchandiser. Persons who are having with a major in marketing
they can perform the job most effectively and efficiently in comparison to others. If any faults
or mistakes done by the department then the profitability of the organization will be
vulnerable. That is why to overcome complexities it needs to coordinate with rest of the
integral part to work in a accelerating way. Merchandising is the most challenging oriented
job that requires managerial talents to hold the market. Basically it is compared as soul or
nerve center of a garments manufacturing concern. Merchandising is the methods, practices,
and operations used to promote and sustain certain categories of commercial activity. In the
broadest sense, merchandising is any practice which contributes to the sale of products to a
retail customer. At retail in store level, merchandising refers to the variety of products
available for sale and the display of those products in such a way that is stimulates interest
and entices customers to make a purchase. We can say merchandising is a process that
facilities and coordinate to reach the intended goals. Pacific Jeans Ltd. has 34 senior
merchandisers and 17 junior merchandisers to run this department.

31
Attend in Buyer meeting
overseas/ Dhaka/ Buyers
came to factory
Sample Rcvd from buyer
Prepare Sketch and
prepare pattern in sample
room
prepare sample as per
buyer terquest
sometimes buyer make
comments on poor
workmenship, request for
samples making again
Make calculation, fabric
and accessories
consumption as per
approved sample
prepare second time
sample, send to buyer
negotiation for price
quates for bulk order
RCVD Bulk order P0 sheet
from Buyer
Make bulk frabics &
accessoties quality, price,
& deliver with suppplier
Frabrics & Accessories
booking / order place to
supplier
make production plan
based on P0 sheet ,
garments delivery date
Production planning
includes (cutting, sewing,
printing, washing,
finishin, final inspection
and shipment
offerinline inspection with
fast production & if there
deviation from buyer
standard taking action
review production
process
inform buyer final
inspection date
make liason with inte-
department
packing as per buyer
instruction
arrange pre-final
inspection as buyer
standard
offer final inspection with
special care
based on release order
make final shipping
collect final release order
and make shipment as per
buyer request
2.2 GENERAL PROCEDURE OF MERCHANDISING
The general procedure of merchandising contains some task that also follows by pacific
jeans. The processes are given below.
Figure: Different steps in Merchandising Process

32
Pacific Jeans Ltd. Merchandising’s tasks
 Developing connection with buyer/importer.
 Negotiation with supplier for least prices.
 Preparation of costing for different garments.
 Negotiation with ultimate buyer/importer for costing.
 Development of SWATCH card and approved by buyer.
 Development of samples (PROTO) by using available fabrics and trims to approved
standard, quality.
If sample approved then following task require:
 Sales and purchase contract preparation.
 Finally SWATCH approval.
Different actual materials, which are require for making that garments need to
booking or open L/C.
 Ensure in house of all requirements of production department and remove confutation
that may arise with size spec, color, shed band, washing effect, balance, and
assortment and so on.
 Follow up smooth production flow if any problem arise solve it immediately by any
how otherwise huge loss may arise.
 Packing list prepare and send to commercial department.
 Arrange shipping sample quality checking or inspection.
 Shipment booking (sea/air cargo booking according to CBM).
 Final shipment plan send to all concern persons.
2.3 BUYER HANDLING
The first and foremost responsibilities of merchandiser are to gather/ collect new buyers and
retain the existing buyers. To do so they are to be active enough and offer them showing
company’s strength and advantages rather than other to create their interests on company. For
existing buyers fulfil their need in time, taking care, and negotiation of price. Basically to
handle buyers, persons who are of marketing background can draw attention as they are of
challenge taking oriented. Handling buyers is not an easy task because to understand the
nature of buyers behaviour requires creative mentality.

33
This is the most difficult task of merchandiser. Customers are the king/queen. Different
garments and different buying house do it by their own innovation/style. BGMEA help their
member to find buyers. Buyers or customers of pacific jeans in different countries are as
follows:
BUYERS C&A, H&M, UNLQLO, GAP, OLD NAVY, TOM TAILOR,ZARA.
COUNTRIES EU countries, Germany, Canada, USA, Japan, Sweden.
Purchase Order Sheet Collection (P/O)
After collecting this, merchandiser have to study on it to fulfil as per the requirement.
However, it is such a sheet which is prepared by buyers and it includes measurement and
sketch of style. Indeed it indicates what to do, where to design, what type of fabric such as
single jersey, one by one rib, two by two rib, pleech, pique, coolmax etc. accessories,
embroidery, print and dying nature as like as yarn dyed or solid dyed e.g. each and everything
is clearly stated over the sheet which must be followed by merchandiser. Moreover this sheet
is to be forwarded to the others involved department so that they can take preparation to
continue the work and gain the productivity. If any shorts of mistakes are happened at the
time of drawing the sample ultimately the sample rejected. If this problem exist frequently
which may cause to switch buyers to elsewhere. Moreover it contains size set, quantity, or
lot, mode of shipment either by sea or air, which cargo be used and time assigned for
shipment. That is why a careful attention is required to work smoothly. Because if the
shipment fails then stock may be rejected or buyers may charge any other clues.

34
Packages collection and review the packages
An order starts from the costing. Initially buyer provides packages of the product (which
contains – Garments description, a sketch of garment, a measurement sheet, trims and
accessories chart, wash/finish types). After receiving the packages from buyer the
merchandisers of Pacific Jeans starts to review the packages to find out the following things
to proceed for costing.
 What kind of fabrics need for the product.
 What is the cut width of fabric?
 What type of fabric will be used?
 What type of wash is required?
 What is the order volume?
 What is the target price from buyer?
2.4 COSTING ANALYSIS
If over is assigned then it may not be accepted by buyers. On the other hand the current prices
of fabric and accessories need to update. Actually assigning price depends on style or fashion
of garments. The most critical fact is analysis of cost and which is a variable factor as market
is not stable. It is very sensitive. The more the garments caries fashion the more the price.
However, after collected potentials buyers the duty starts for merchandiser is to submit
pricing of garments to buyers. In this context if the buyer is not satisfied with the given at that
time it needs to communicate with buyers frequently by merchandiser. If necessary
merchandisers go for price negotiation. That means the first and foremost duty at that time for
merchandiser is to convince buyers anyhow. Though it is a continuous process.

35
PACIFIC JEANS LTD. garments industries ltd quote its best price for its
customers desired products based on the following items
Fabric price (consumption yds/ dzn x fabric's unit
price)
XXX
Accessories price/ dzn XXX
Cost of freight & Insurance/ dzn XXX
Cost of washing / dzn XXX
Cost of Embroidery / dzn XXX
Cost of manufacture / dzn XXX
Buying house commission / dzn XXX
Total Price / dozen XXX
For the increase of this material cost product price will be increase. That’s why merchandiser
should be negotiate with buyers for increase of product cost.
CM Calculation for pacific jeans
According to, cost of per machine per day,
= cost of factory per month / total number of machine x Working day per month
= 1,90,27900/ 510x 26
= 1,90,27900/ 13,260
= 1435 (BDT)
If 70 Machine is required to produce a long pant then,

36
Cost/line/day = 1435x 70 = 1,00,450 (BDT)
We know,
Per day production quantity,
= Total working hour per day x Per hour output
= 8 x 130
= 1040 Pcs.
CM per price 1,00,450 ÷ 1040 = 96.58 (BDT)
= 1.19 (USD)
CM per Doz, 96.58 x 12 = 1159 (BDT)
= 17.04 (USD)
2.5 PRICE NEGOTIATION
After CM calculation merchandiser needs to submit it to buyers. Basically it means we can
make the garments with that price if you are agreed with, so please inform us. Moreover if
any deviation arises then they go for negotiation. Throughout negotiation they reach to a
decision. That is why it is most important.
Time and Action planning
To gain the productivity planning is the key to attain so. Success is the factor of time. As we
know planning is the first function of management. Each and every activity will be carried
based on planning. Here also no exception. A plan is designed for performing actions with
respect to bounded time to achieve the ultimate target.

37
2.6 LAB DIP TEST
All the merchandiser has to do it otherwise complain will be raised by buyers. Moreover it is
all rules and regulation of BGMEA that all of garments manufacturing firm have to maintain
it otherwise legal action will be taken against who do not follow. Basically lab dip is a test
done by authorized institution to test the fabric germs or to identify any harmful elements that
exist in the fabric which contradicts on human body. In this stage to complete so sometimes
buyer instructs the merchandiser where to test and definitely they have to do so.
2.7 TRIM CARD PREPARATION
A card that is prepared by merchandiser and sent it to buyer for his approval regarding fabric,
accessories, thread, print etc. The major objective of using this card is to be clear and to
inform merchandiser that I have such types of accessories, fabrics, embroidery and so on. If
these meet your requirements then tell me as to production or bulk. There is a question phase
in this regard that if you have any query or rectification it must be informed in written form
that where to rectify and what to do for colour.
2.8 SAMPLE DEVELOPMENT
It is generally a justification process in between buyers and manufacturer on which the
remaining part depends. There is matter of satisfaction. If buyers are not satisfied with the
developed sample at that time he may switch to elsewhere. So that drawing attention is
required in the process of development by merchandiser. After completion of the above stated
activities and having procurement of the necessary raw materials merchandiser needs to
communicate with sample making department. Where necessary files documents must be
provided to the head of dealing of sample. Generally it is a separate department which only
deals with development of sample as per given requirement. Who after getting those starts
making as per demanded by merchandiser under his supervision and within stipulated time
submits it to merchandiser. On the other hand merchandiser finalize those sample for the
purpose of forwarding to buyer. In this aspect there is a matter that different buyers want
different types of sample as like as follows-
 Initial sample
 Photo sample
 Proto sample

38
 Fit approval sample
 Size set sample
 Counter sample
 Pre- production sample
 Shipment sample
 Gold seal sample
That is in short what we can say is that what type of sample it is whenever buyer wants then it
is to be submitted. Sometimes it is also seen that there are such buyers who want step by step
sample submission sequence but even it is also found that after seeing initial and size set
sample some buyer place order for production. Basically the main objectives of such stage is
that to verify what high level quality garments can be produced by that respective
manufacturing concern and another one is to justify customer reaction on that particular style
of production within his or her own territory. If he found that it is not feasible then he/she
place orders like other ways.
2.9 SAMPLE SUBMIT AND APPROVAL
The session at which merchandiser needs to take preparation for submission of developed
sample within time stipulated by buyers. In this stage if the buyers finds it as right or ok then
he may ask for another sample. On the other side if he finds any deviation at that time he
orders to correct where necessary. The important point for a merchandiser on which rest of
the production activities strongly depends on.
2.10 CONSUMPTION SHEET COLLECTION
When a merchandiser is allowed by buyers to go for bulk, that is permission for production is
found. After that merchandisers responsibility is to collect consumption sheet through
coordinating with CAD (computer aided design) department. Because he needs to place
fabric order booking at textile mill stated with how many kgs. of fabric required for meeting
the orders. So that CAD dept. calculates based on size set ratio and total quantity analysis.
Then prepares a sheet for final fabric consumption.

39
Packages handover to Technical Department and collect the consumptions.
After review the packages merchandisers provide the packages to technical/sample
department to calculate the raw material requirements. Technical department also justify if
our production can run the production with the existing facilities. Merchandisers provide all
necessary information to technical master for calculation of raw materials. For any
clarification is required from buyer then merchandiser check with buyer as per advice by
technical department and solve the problem. Sometimes merchandisers give suggestions of
any problem arise.
2.11 SOURCING OF RAW MATERIAL
For the costing, merchandisers source the raw materials at lower cost in best quality from the
reliable suppliers. Now a days costing is very much competitive due to open market. So,
during the sourcing period merchandisers provide his best attention and apply his/her best
effort. Merchandisers of Pacific Jeans Follow the same techniques or process in sourcing
management.
There are two elements to the process of sourcing fabrics and trimmings, the first is the initial
research to find novel items to put into the collection which will differentiate the range from
the competition and the second is the sourcing of bulk fabric and trims for production.
 Research
Selecting fabric and trimmings can be one of the most exciting and frustrating elements
within the garment production process. The internet and trade publications are useful tools in:
 Findings suppliers
 Providing information on minimum orders
 Price points
 Fiber content
 Virtual samples
To build relationship with mills and knitters, there is nothing like attending the major fabric
and yarn fairs.

40
 Costing and Payments
When importing fabrics from abroad care must be taken to ensure that fabric prices (often
ex-factory) are converted into delivered to warehouse price, including all costs (freight,
insurance, duty, and clearance costs). The difference can be as much as 30% depending on
the country source. Two important term are FOB (Free On Board) the price includes delivery
on the ship and the CIF(Carriage, Insurance and Freight). The price includes all these items.
More details about international payment can be found in INCOTERMS 2000.
 Minimums
Minimum quantities are often an issue. Some new business may only be looking for
200meters, yet the standard minimum for most fabric mills is 500 meters. Consideration
must be given when planning the range to ensure that fabric usage is spread over a number
of styles so that minimums can be met. Always establish minimum order quantities for bulk
when sampling, to avoid problems later when a minimum order of 1000 meters per color
might be required. Bulk sampling, may be an option i.e. purchase 100 meters, use 10 meters
for sampling now and use 90 meters later for production. You risk losing 90 meters of fabric
if samples do not produce orders. If orders, however, are grater than fabric bought, there will
be difficulties in repurchasing fabric. If bulk sampling is used in the initial stage of growing
the business, at same point there will need to be a transition to bulk orders. Mills supply
sample lengths generally on the assumption that this will lead to bulk orders. It is likely that
the relationship will deteriorate over time unless volume is achieved.
 Delivery and Quality
(50% of all delays in manufacturing are caused by fabric faults or late delivery”
-Supply chain benchmarking study-
On time fabric delivery is paramount, yet this is an area where may garment producers feel
they are most regularly let down and feel helpless when they are dealing with foreign mill.
Constant vigilance on the state of the order needs to be maintained.
Lead-time varies with:
 Point of origin

41
 Shipping methods
 Materials are open stock or custom designed
 Products are performance tested before production begins.
Quality Control
It is recommended that all sample fabric be tested before a sample garment is produced to
ensure that fabric will perform as required. Alternatively a test certificate could be provided
by the supplier. Inspection can be made to fabrics through specialist organizations, but this
normally increase cost by 3-5%. Similarly test certificates for colourfastness, fabric strength
etc. can be required. Normally by 4 point system fabric quality report are given by quality
controller.
Raw materials sourcing countries: Pacific jeans limited imported their raw materials in
these different countries.
35%
36%
34%
33%
31%
10%
Percentage of Raw Material
China
Thailand
Hongkong
Pakistan
Malaysia
Bangladesh

42
2.12 FABRIC BOOKING
According to given consumption provided by CAD merchandiser place order at their own or
abroad textile mills. Fixing with time limit and clearly states if there is any print, embroidery
or nature of dying as like as solid or yarn dyed. Where there is a continuous interval basis
communication exist in between merchandiser and textile. If any problem arise they inform
each other. Later on fabric is sent and in-housed by merchandiser.
The common basic fabric yarn has been given below:-
 Spun yarn
 Single plied yarn
 Multi plied yarn
 Cord yarn
 Cable yarn
 Mono filament yarn
 Multi filament yarn
 Novelty yarn
 Stretch yarn
2.13 ACCESSORIES BOOKING
If any delay in the process of procurement then it may hamper production and the resources
remains underutilized. Whereas ultimate productivity will fall. Another one important point
of a merchandiser is the purchase strategies which is basically to win during the purchase of
accessories searching the best information through analysis of different suppliers price,
quality, lead-time, transportation cost etc. Accessories are the integrated parts of a garments,
to complete the garments according to given instruction by buyers, a merchandiser also needs
to procure or in-house the required accessories within stipulated time. In fine, alongside of
fabric booking a merchandiser has to place order for booking of accessories and a continuous
communication with supplier required. Basically trims and accessories for knit garments are
as follows……
List of trims:-

43
 Label
 Button
 Snap
 Eyelet
 Rivet
 Zipper
 Elastic
 Twill tape
List of accessories:-
 Hang tag
 Price tag
 Polly tag
 Master carton
 Size clip
 Tag pin
 Barcode sticker etc.
2.14 SWATCH SUBMIT FOR BULK
As the merchandising is consisting of number of activities, here a merchandiser has to
complete responsibilities in different phases to make a garment. Basically swatch submit for
bulk is the responsibility of a merchandiser arises when fabric is supplied and ready for
cutting. Before cutting it needs to take a part of different colors as swatch and attach it with
swatch card. Finally send it to buyer for approval of production. If any complain then buyer
communicate with merchandiser. If he says ok, you can start production.
Start Production
When swatch card and all samples are approved then merchandiser provide the entire related
papers, approved swatch card and approved samples to production team to start bulk

44
production to meet on time shipment. Basically production is started when approval of
production is received from buyer. In this aspect a merchandiser needs to coordinate with
production department to design process and take preparation for the rest of activities to carry
on production smoothly.
Production sequence
Merchandiser has to know about the production sequence. For woven garments production
sequence must be followed by merchandisers and production department. Production
sequence will ensure the garments shipment in time.

45
Production flowchart of the company
Order Accepting
Sampling; pattern
Designing,
Marking, Grading
Costing
Quotation
Order
Confirmation
R
E
Q
I
R
E
M
E
N
T
S
S
S
S
S
S
Booking for
fabrics and
accessories
STORING
Inspection
Material Receive
&Issue
Buyers’ confirmation
and receive sight L/C
or BB L/C
PRODUCTION
Cutting the Fabrics
Sewing
Washing
S
A
T
I
S
F
A
C
T
I
O
N
DELIVERY
After finishing all
formalities ensure the
buyers by fax or email.
Ready for exporting the
garments
FINISHING
Production Labeling
according to customers
order. Checking &
Packing.
Communicate with C&F
STORING IN FINISHED
GOODS GODOWN
PURCHASE
Fabrics
Chemical
Accessories

46
Figure: Production sequence of woven garments
Production capacity items per day:
Table: Productions item per day
`Graph: different item production capacity
0
5000
10000
15000
20000
25000
30000
35000
Men’s, Ladies
and boy’s
5pocket Jeans
Cargo pants/
shorts/ men’s
carpenters
Chions Overall short Men’s, Ladies
& Kids
Production shown in Graph
ITEMS UNITS
1)Men’s, Ladies and boy’s 5pocket Jeans 32,000
2)Cargo pants/ shorts/ men’s carpenters 10,000
3) Chions 10,000
4)Overall short 4,000
5)Men’s, Ladies & Kids 4,000
Total 60,000

47
Production system
Total production system of the company is basically divided into two parts, which are as
follows:
In this company the manufacturing manager directly administers production task. The
production target for the whole year is fixed on the basis of estimates of the marketing
department. The annual target is divided to weekly target. In my practical findings during our
visiting, I observed an organized production system which is fully controlled by the newly
sophisticated technology, that is, the production system is basically computer based. Besides
this there are some latest technological productions a system which was really surprises me.
As a result, the whole production system is operated with fully disciplined way. This
production system is basically divided into two parts. They are:
1. Production by CAD:
Since this company is mostly based on manufacturing of garments wear so the cutting and
designing of cloth is most important task. As a consequence Computer Aided Design (CAD)
is largely used for producing the products. And the other hand to cut the cloth on the basis of
size of the shirt, pant, trouser, etc made by the CAD. It reduces the wastages and creates an
effective cutting on the cloth. In this way, the shirt, pant, coat, trouser and other dress have
been producing by the computer equipment. Design has been monitoring by the computer
monitor and this output as a design on GGT printing machine. That designs have to place on
the cloth correctly and cutting for final production by the workers.
2. Production by CAM:
Similar as CAD, Computer Aided Manufacturing (CAM) is largely used for manufacturing
concern. The CAM is technique applied by the modern sophisticated equipment of PACIFIC
JEANS Ltd. Some sort of product would not make possible totally by the hand of human
being which is easily operated on the computer aided machine. In order to produce high
quality product to set up CAM system which mark on their quality of product as a level of
brand. In this way, the company try to use CAM in order to achieve effective performance for
production and marked by the computer level seal to their product remain.

48
Divisions of Production Process
There are nine divisions in the production process. Each and every product has to pass 14
steps from store division to delivery division and 120 employees work for making one peace
Jeans. The following divisions are included in production division-
Store /Warehouse division,
Cutting division,
Sewing division ,
Leger division,
Wet & Dry division
Trimming & Brushing division
Washing division,
Post wash quality division,
Counting and delivery division
Store /Warehouse division:
Store or warehouse division collects raw materials from different countries as per buyer
requirement and choice. Production process starts from Merchandizing department through
order procuring from buyers. Merchandizing department send different product sample to the
buyer. If they choice or approval any sample or design, then give order for particular amount.
Sometimes, buyers give the design of the product and mention the country from where the
company has to collect the raw materials. Then the company goes to Free and Bond Process
(F&B).Merchandizing department also examine the quality and quantity of the raw materials.
In warehouse, raw materials are set up through “BIN Card” system. For identifying any
country, the company uses Flag, number and shipment date in every cartoon. The company

49
uses different number for different countries, different size, different design and different
color.
Cutting division
The company uses “Computer Aided Design (CAD)” for assorting and designing the
products. This division works as per cutting order, ratio, size (L-size, M-size, N-size, and
Excel-size) and design. : Three parts in cutting option-
Layer,
Marking Paper,
Cutting
Fig: Process of cutting department
Sewing division
In sewing division, the company also uses 15 types’ machines. For extra ordinary design, the
company has “Automated section” which works automatically as per computer program.
CAD (Makes
Pattern)
Production
Pattern Marker Spreading Cutting
Supply to the sewing Numbering
Shorting
Sample (comes
from buyer)

50
This department is sub-divided into-
 VI-section,
 ME-section,
 MAC -section
Leger division
Leger division is used for cutting process and special design. Leger section works and design
as per Computer Aided Design (CAD)
Wet and dry division
Separate machines are used for wet process and dry process. There are 14 sub-departments
for designing different sample, dragons which must be completed in the wet and dry process.
After completing wet and dry process, the products are sent to the Trimming and Brushing
section.
Washing division:
The company uses “Italian stone” for washing purpose. There are different machines for
different washing process. The materials that are used in washing operation-
Over dye,
Sand blasting
Chemical blasting
Heavy destroy
Easy care finish
Teflon finish,
Permanent scrunch,
Tie dye ,
Tie bleach
Tie wash
Moon/acid wash

51
Finishing Division
Pacific Jeans group has finishing and packing capacity of over 1, 00,000 pcs per day. Every
piece of garment goes through different level of processing and checking to ensure the quality
and accuracy of the product. Lastly every piece passes through metal detector before packing
so that no harmful metal particle is in the garment. Finishing section receives sample from
sewing section. After receiving the samples, finishing persons complete their terming and ironing.
Then sample goes to the Q.C. table. Q.C. persons check measurement and construction/style of
sample against the buyer spec sheet.
2.15 PRODUCTION FOLLOW UP AND UPDATE TO BUYER
Merchandiser everyday informs buyer the production update status. It helps buyer to take any
decision regarding shipment, order cancel, change the quantity. Actually buyers get
confidence and are more reliable to the company. Everyday merchandisers check the
production status (when production start, how much initial output, if the productivity is under
desired level). If merchandisers are found that the production is very behind compare to their
estimate planning then merchandisers discuss to the concerned persons to improve the
situation. In garment sector production place is the more complicated and costly.
Merchandisers always keep their eye on production. If any problem occur in the production
and need few days garment delivery date extension. Merchandisers try to convince buyer to
get the extensions to save the company from the big loss.
2.16 PACKING LIST PREPARE AND PROVIDE TO COMMERCIAL DEPARTMENT
Packing list preparation is also a work of merchandisers in Pacific Jeans. When packing of
the goods is completed by production unit then production unit provide a packing information
and based on the packing information merchandisers prepare the packing list on company
standard format. After completing the packing list merchandisers provide the packing list
copy to production unit and to the commercial for documentation.

52
Inspection Offer
When any goods packing are completed then it is considered that the goods is ready for buyer
evaluation. Accordingly as per buyer instruction merchandisers provide a audit request
(called “Final Audit Request”) to buyer quality control for evaluation. For final audit request
merchandisers follow a specific format as per buyer requirement. Basically following information
are mentioned in the final audit request.
 Style name of the product
 Style description
 Total order quantity
 Total packing quantity
 Total carton
 Total CBM
 Garment FOB date
 Goods handover date to forwarder
2.17 CARGO BOOKING TO FORWARDER FOR SHIPMENT
Merchandiser place cargo booking to forwarder for shipment and booking is placed based on
CBM (Cubic mtr./ Cubic Feet) calculation. Sometimes buyer provides their nominated
forwarder for sea/air shipment. If it is not nominated then merchandisers place cargo booking
to company approved forwarder. For placing cargo booking merchandisers mention
following points:
 Style name of the product
 Style description
 Total order quantity
 Total packing quantity
 Total carton
 Total CBM

53
 Garments FOB date
 Goods handover date to forwarder
 Destination
 Port of discharge
2.18 SHIPMENT PLAN SEND TO ALL CONCERN DEPARTMENT
Merchandisers also inform others all concern before sending the goods from factory such as
buyer local agent, C&F agent, Forwarder. When goods will be send out from factory to port
then merchandiser at the very beginning of the day provide a shipment plan and send it to all
by e-mail and also provide hard copy of shipment plan to all concerned department for their
necessary preparation. Merchandisers’ also specific port for the shipment.
2.19 UTILIZATION DECLARATION FOR FABRIC
Merchandisers have to collect Utilization Declaration for imported fabric from BGMEA. This
is very important for local supplier because for imported fabric, there is no duty and tax. By
utilization declaration it is confirmed that all kinds of imported fabric are used for only
exported garments. This is a rule from Government for imported fabrics which are used for
making exported garments.
2.20 CAD DEPARTMENT
Computer-aided design (CAD) is the use of computer technology for the design of objects,
real or virtual. CAD often involves more than just shapes. As in the manual drafting of
technical and engineering drawings, the output of CAD must convey information, such as
materials, processes, dimensions, and tolerances, according to application-specific
conventions.CAD may be used to design curves and figures in two-dimensional (2D) space;
or curves, surfaces, and solids in three-dimensional (3D) objects.

54
2.21 PROCEDURE OF CAD DEPARTMENT
Develop basic size
Supply to CAD
Girding the pattern
Marking the pattern
Sending to Plotter
Send to cutting
Send to sewing department.
Main Responsibility of CAD Department
 CAD department made sample pattern with response to buyer requirements.
 Try to fulfill buyer expectation.
 If sample not satisfy buyers requirements then make sample until satisfying buyer.

55
 When satisfy the buyer then finally handover to production.
Software used in CAD Department
 PDS-Pattern design
 Marker making
 System management
2.22 SAMPLE DEPARTMENT
For a garment factory an important step is Sample Department. In this department the design
sketches being develop of a garment. The department’s activities are presented in a graphical
presentation
Activities at a Glance
 Receive design sketch from the buyer.
 Analyses the design sketch with the garment Technologist and merchandiser.
 Receive the trim card along with sample Requested by merchandiser.
 Develop the pattern according to the design sketch & add the shrinkage allowance
sewing & stitch.
 Check the Quality (if wash garments then send to the washing).
 Getting check the fabric & get approval from fabric technology department.

56
 Re-check the measurements, appearance & others as needful.
 Get garment technologist approval.
 Get production manager’s approval dispatch.
The main role of this department is to make Sample Garment. In here they follow two-
development system---
 Full-in house development.
 Collaborative development.
In full-in house development the product developed by the buyer and in collaborative
development both the supplier & buyer involve with the development.
After developing firstly, they send buying sample along with a fit sample (10 to 20 style).
Secondly, they receive a comment from buyer over the sending garments. If they give
approval, then contact seal making otherwise if the buyer reject then they resubmit the
sample.
Thirdly, they send the contact seal to the buyer and get the approval for contact seal.
Fourthly, they put the garments into the pilot run and (analyzed in the pilot with Production
Manager & Garment Technologist) find a meeting with Production Manager, Garment
Technologist about this style.
Finally, at the reproduction meeting bulk will be released. With their recommendation this
garments going for bulk production.

57
Machine used in Sample Department
Various types of machines are used in this department. The name of these
machines is given below.
 Single Needle Machine,
 Double Needle Machine,
 Inter Lock Machine,
 Feed Of the Arm,
 Waist Band Machine
 Bar Tack Machine ,
 Button Attach Machine
 Programmable Pattern Tracker,
 Collar Point Turning Machine,
 Thread Rewinding Machine,
 Label Cutting Machine,
 Steam Iron Elc/Non Elec,
 collar Button Cutting,
 Cuff Pressing Machine,
 Pocket Creasing Machine,
 Bottom Rolling Machine,
 Loop Making Machine,
 Eye Button Hole Machine,
2.23 PLANNING DEPARTMENT
Planning is very much important in each and every aspects of life. Specially, in RMG sector
where lead time is a vital factor here planning department plays a very important role.
Planning department starts their work when merchandising department get any quantity

58
projection from buyer. Merchandising department then asked planning department to give a
projection garments delivery based on fabric and all the accessories in-house date.
Some important functions of planning department are mentioned below:
Line Plan
Whenever a new style is introduced planning department workout a line plan to precede the
production work. If any band in the floor is free they use that, otherwise they search for gap
in the line and draw a line plan. If not succeed they reduce production of target achieved style
to start the new style.
Capacity Plan
Planning department collect the information about production capacity of the floor from the
work-study department by standard hour. That means how many garments can be prepared in
an hour. According to this planning department make capacity plan to achieve the target.
Weekly Requirement
Shipments are held in weekly basis. So planning department make a plan on weekly shipment
schedule based on buyer’s requirement. Planning department distributes the plan among the
entire relevant department and also follow-up so that work done in the schedule time.
PP Meeting
After getting the order confirmation from the merchandiser with the order quantity of a
particular style planning department arrange a PP Meeting (Pre-Production Meeting) with
store, cutting, production, finishing, fabric inspection and washing plant department to
achieve the target and explain and discuss with their plan to all others how and when the
production is scheduled to complete.
Cutting Plan & Ratio
After in-house all the fabric and trims planning department makes a cutting plan with the
ratio of how much also what amount of each color of the style should be layered to cut and
pass the information cutting, production, finishing and washing department (if there is any
wash garments) thus everybody is prepared to do their part to ensure the shipment in time.

59
Shipment Plan
Planning department makes a shipment plan also the ratio of shipment about what will be the
quantity of each style and also each color in that particular week. And forward it every
department related to production and to complete the style in time, merchandiser to
correspond with the buyer about the shipment and commercial to take necessary step for
shipment the product.
These planning are very carefully and tightly workout and should be implemented to gain the
target and shipment the product on due date. Otherwise buyer may want shipment by air for
which the company loses huge amount of extra money. So, if planning department noticed
that the target cannot be achieved before due date they immediately inform the merchandiser
to take necessary steps by corresponding with the buyer and to manage a few more days to
achieve the target. If merchandiser cannot able to manage the buyer, planning department re-
work with their plan and search if they can use more line in production floor or some extra
hour to make the shipment possible thus the company should not lose any extra money or
image.
2.24 DESIGN DEPARTMENT
Aim
The Design Department convert designer unique design skills to resume fashion sector’s
competing state in globalizing world and to manufacture high value-added products. In this
context, Design Deoartment is thought to be sector’s necessities and aims to gain modern
knowledge and skill in denim designing.
Objectives
1. Understands the importance of modern technologies in fashion industry with the basic
principles in the field of design in denim
2. Takes responsibility as an intermediate member in Fashion Designing at Factory,
design departments, design studios fashion.

60
3. Takes responsibility about planning, marketing, and product development of the
factory
4. Comprehends the duties and areas of fashion designer in factory
2.25 QUALITY ASSURANCE DEPARTMENT
QAD which means the quality assurance department .To carry out all those planned and
systemic actions necessary to provide adequate confidence that product or service will
satisfy given requirements for quality is called to the quality assurance and the department is
known as the quality assurance department.
Quality assurance department ensures the best quality for each department of RMG
factory.such as following:
 Store quality
 Cutting quality
 Sewing quality
 In line process quality inspection
 Finishing quality.
Details are in following:
Store quality
Conform that all the require fabric accessories are being house at time. Check the fabric
consumption as the buyer requirement And check the fabric quality.
Cutting quality
 fabric inspection
 shrinkage ratio calculation
 spreading quality control
 cut number check
 ply height

61
 table marking
 marker placing
 tension
 counts
Inspection
Visual examination or review of raw materials, partially finished components of the garments
and completely finished garments in relation to some standard, specifications or
requirements, including the measurement of the garments to ensure the satisfaction of the
customer.
Advantages and Importance
 Avoids wastage of time and money.
 Avoids the unnecessary use of resources
 Helps in timely delivery of goods.
 Guarantees Customer’s satisfaction.
Quality Inspection in Apparel Industries
•Checking of fabric
•Sewing thread
•Button
•Stitch,
• Zipper
•garments size etc
Defects are Assigned Point Values Based on the Following
Length of defect in fabric , either length or width points allotted
Size Of Defect (Length in Inches) Penalty Points
Up to 3 inches or less 1
Over 3 in. up to 6 inches 2

62
Over 3 inches up to 9 inches 3
Over 9 inches 4
Holes and openings 1in. or less 2
Over 1 in. 4
Total Defects per square yard are calculated and normally those fabric rolls containing more
than 40 points per square yards are considered rejected.
Therefore:
Points per square yard =
Total points scored in a roll X3600
Fabric width in inches X Total yards inspected
The greatest weakness of point grading system is the difficulty in evaluating seriousness.
Nevertheless, the quality obtained by this system bases a measurable relation to garment
quality. General use of this grading system will prove profitable to the seller and buyer alike.
Points to be considered in 4 Point system
 No more than 4 penalty points can be assigned for any single defect.
 No linear yard or meter can contain more than 4 points, regardless of the number of
defects within that yard or meter.
 Each full width defect should assign 4 points.
 noticeable and severe defects are to be assigned 4 points for each yard or meter in
which they occur, regardless of size.
Advantages of 4 point system :
 Worker can easily understand it
 It has no width limitation

63
2.26 COMMERCIAL DEPARTMENT
For a hundred percent export oriented organization the responsibility of the commercial
department is very important. Actually this deals with all the import activities of raw
materials and the export of finished products.
Import Activities
Commercial department is liable for import clearance of all raw materials till bringing those
materials to factory in-house. So import clearing of all raw materials is under commercial
department.
During this process the commercial department receives the following documents from the
supplier of the raw materials.
 Invoice
 Packing list
 Bill of Lading or B/L (This is in the case of shipment via sea).
 Air Way Bill or AWB (Shipment by Air Freight): this air way bill includes
Shipper Name, Consignee name etc.
After receiving above mentioned documents Commercial Department contacts with
Bangladesh Export Processing Zone Authority (BEPZA). Than they apply for Import
Permission (IP) to the BEPZA.
The Import permission (IP) is given to concerned Clearing and Forwarding Agent. The
Clearing & Forwarding agent people prepare Bill of Entry (BOE) for clearing of all imported
goods. Based on the information received from Shipping clearing agents and forwarding
agents advice the commercial department regarding tentative arrival date of raw materials
under that particular import documents. On the basis of this information Commercial
Department updates Fabric Accessories arrival date to factory.

64
Export Procedure
Every week Commercial Department receives weekly shipment schedule from the planning
department. After receiving weekly shipment plan commercial department takes preparation
for the export of finished products. Commercial department needs to prepare the following
documents for this purpose.
 Customs Invoice: this is require to apply for Export Permission (EP) to
BEPZA and Customs
 Shipping bill: after receiving EP from BEPZA commercial department
handed over the documents to Clearing and Forwarding agent for
completion of necessary customs and port formalities. Clearing &
Forwarding agent people prepare shipping bill.
In the meantime the commercial department booked necessary containers for the export
garments. The container booking is done following the export schedule of planning
department. The container loads by the finishing department and informs to the commercial
department that the container is ready for shipment.
Commercial Department arrange for Prime Mover to send the container to the port depending
on above information.
The following finale shipping documents are needed to be prepared by the commercial
department for onwards sending to the Buyer.
 Final Invoice
 Packing List
 Bill of Exchange
 Certificate of Origin
 Export License
 Bill of lading or Air Way Bill by the shipping agent.

65
The original sets of these Documents are sends to the Buyer. Another set of documents is
submitted to Bank for remittance for collection of export proceeds from Buyer under that
particular export.
Commercial department is liable to submit all import and export statement to the Customs
Authority. They are also responsible to prepare consumption report
Against each export invoices and submit to the customs authority for the necessary
adjustment of imported raw materials with Customs Bond Book.
Software called AS400 is used by the commercial department to keep the records of all
documents and they always keep updating all documents to this.

66
CHAPTER-3
SWOT Analysis of Pacific Jeans ltd

67
3.3. SWOT analysis
It is a tool that identifies the strengths, weaknesses, opportunities and threats of an
organization. Specifically, SWOT is a basic, straightforward model that assesses what an
organization can and cannot do as well as its potential opportunities and threats. The method
of SWOT analysis is to take the information from an environmental analysis and separate it
into internal (strengths and weaknesses) and external issues (opportunities and threats). Once
this is completed, SWOT analysis determines what may assist the firm in accomplishing its
objectives, and what obstacles must be overcome or minimized to achieve desired results.
Here I am going to show the SWOT analysis of Pacific Jeans LTD. which are given below.
2.27 STRENGTH:
 The company has a strong supply chain network, which helps to get fabrics at a
cheaper and convenient rate.
 Efficient and experienced management at all levels from home and abroad.
 Pacific Jeans Ltd. has good market reputation by providing quality products to the
buyer within required time.
 Pacific Jeans Limited has sound and considerable financial resources and support to
growth their business.
 Good brand identify and strong bargaining power over the buyer.
 They have large-scale production capacity.
 Modern equipment and machineries.
2.28 WEAKNESS:
 No clear direction and effective marketing strategic.
 Lack of coordination within departments hindering the production flow.
 Raw material procurement as it needs to bring from abroad. (lead time hamper)
 Employ turnover rate is high.

68
2.29 OPPORTUNITIES:
 Cheap labor force.
 Growing demand of RMG products in world market like UK & Europe.
 Location support advantage and government support in this sector.
 Pacific Jeans Ltd. can expand their business and product line to meet the broader
range customer needs in the foreign market.
 Large investment size and high production capacity.
2.30 THREATS:
 Global competition due to no availability of quota facilities.
 Political instability in our country and industrial dispute in this sector.
 Changing pattern of buyer needs.
 Growing market share of other South Asian Countries like china and India.
 Sometimes the material (Fabric) cost is increased.

69
3 CHAPTER-4
(Best practices in development)

70
3.1 WASH DEVELOPMENT

71

72
4 CHAPTER-5
PROBLEM
&
RECOMMENDATIONS

73
4.1 PROBLEMS
During my visit, I notice some problems of PACIFIC JEANS. These are mentioned below:
 Workers absenteeism and turnover (left) rate increases due to working pressure by the
floor management.
 Lunch facility is not given by Pacific Jeans Limited.
 No off day in every seven days for workers in Pacific Jeans Limited.
 The company is following BEPZA instruction for fixing wages. More importantly,
this minimum wages grades were published by BEPZA, which is not standard
consisting with living standard.
 Pacific Jeans limited does not deliver child care facility.
 Present bonus is not matching with present situation.
 Severe temperature at the workplace is a cause for turnover.
 Lack of motivation program in pacific Jeans limited.
4.2 RECOMMENDATIONS
According to the findings, there are some recommendations or suggestions, which are listed
below:
1. To provide lunch facility. If it not possible. Therefore, company delivers special lunch
one times in a month (at the middle of a month) for motivation. It may reduce
turnover and absenteeism.
2. Pacific Jeans Limited should maintain one day off in every seven days for its workers.
(Separate holiday system may be adopted).
3. BEPZA should readjust structure of minimum wages with basis on present economic
condition.
4. Pacific Jeans Limited should introduce day care center for the workers who has a
child.

74
5. Pacific Jeans Limited should be introduced standard target bonus.
6. Pacific Jeans Limited should provide recreational program like cultural program,
picnic etc. and comfortable transport facilities.
7. Pacific Jeans Limited should be increased present bonus 100 to 300 taka. Others
RMG companies provide present bonus 200-400 taka. Present bonus helps to reduce
absenteeism.
8. Pacific Jeans Limited should provide good ventilation / cooling system at the
workplace.
9. Pacific Jeans Limited needs to offer extra facilities for their workers comparing with
its competitors.

75
5 CHAPTER-6

76
5.1 CONCLUSION
I have completed my industrial attachment successfully by the grace of Allah. Internship in a
factory is an important and essential part of education as through this I learn all the
implementation of the process which I have studied theoretically. It gives me the opportunity
to compare theoretical knowledge with practical facts and thus develop my knowledge and
skills. . If the Company follows the recommendations made in this report, I believe that it can
overcomethe present problem. And in the longrunthecompany will be benefitedand it maybecome the
market leader inner future. There is no doubt that Pacific Jeans has created a good reputation in
the market by its quality product and service. It should maintain the quality and try to
diverse its business.

77
5.2 REFERENCES
 Phillip kotler and Gray Armstrong, “Principles of Marketink” (Pearson education
Incorporation, 2004), 10th edition.
 Christopher Martin, “Logistics and supply Chain Management” (Pearson Education
Limited, 2001), 2nd edition.
 C.R Kothari, “Research Methodology- Methods and Techniques” (New Age Int.
Publication, 2005), 2nd edition
5.3 WEBSITE
Www. Wikipedia.com
www.pacificjeans.com
www.marketingresearchworld.net
www.businesstoday.intoday.in
www.investopedia.com
www.wikipedia.org

Internship report on pacific Jeans ltd.

Recommended

Recommended

More Related Content

What's hot

What's hot (20)

Similar to Internship report on pacific Jeans ltd.

Similar to Internship report on pacific Jeans ltd. (20)

More from CHITTAGONG BGMEA INSTITUTE OF FASHION & TECHNOLOGY

More from CHITTAGONG BGMEA INSTITUTE OF FASHION & TECHNOLOGY (19)

Recently uploaded

Recently uploaded (20)

Internship report on pacific Jeans ltd.