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Vanheusanreport 140301120259-phpapp02
1. Integrated Project
Van Heusen
Submitted by
Agnivesh Kumar - DFBM - 11058
UG IN FASHION BUSINESS MANAGEMENT
(2011-2015)
Submitted to UGFBM-1 Faculty
(Department of Business & Technology)
30, November, 2011-11-30
Pearl Academy of Fashion
New Delhi
2. Declaration
This is to certify that this integrated project is a bonafide work of Agnivesh Kumar in
fulfilment of Graduate in “Fashion Business Management”.
(2011-2015)
o Agnivesh Kumar -
2
3. Acknowledgement
Apart from the efforts of me, the success of any project depends largely on the
encouragement and guidelines of many others. We take this opportunity to express my
gratitude to the people who have been instrumental in the successful completion of this
project.
We are highly indebted to van heusen store managers and Richa global pvt limited
managers and colleagues for their guidance and constant supervision as well as for
providing necessary information regarding the project & also for their support in completing
the project.
We would like to express my gratitude towards our pearl faculty
Ms. Rekha Dar
Ms. Tripti Gupta
Ms. Racha Imam
Mr. Tejram Gupta
Dr. Sunita Gupta Konwar
Mr. S.C Kapoor
Ms. Preeti Dewan
Mr. Piyush Pandey
Ms. Usha Aggarwal
For their kind co-operation and encouragement which help me in completion of this project.
We would like to express our special gratitude and thanks to industry persons for giving us
such attention and time.
Our thanks and appreciations also go to our friends in developing the project and people
who have willingly helped us out with their abilities.
Last but the foremost important we would like to thank each other (team member) for the
being the best support though out.
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5. 3. Market And Consumer Analysis 18-23
3.1.Visual Merchandise 18
3.2.Power Club 19
3.3.Branching Out 20
3.4.Indian Market 21-22
3.5.Consumer Behaviour 21-22-23
4. Accounting 24-32
4.1.Balance Sheet –Aditya Birla Novo Ltd. 24
4.2.Income Statement –Aditya Birla Novo Ltd. 25
4.3.Balance Sheet – ITC 26
4.4.Income Statement-ITC 27-28
4.5.Ratio Analysis 29-30
4.6.Calculation and Working 29-30
4.7. Individual Graphs 31-32
4.8. Ratio Comparison 32
4.9. Comparison of Absolute Figures 33-34-35
4.10. Conclusion 35-36
5. Factory Visit – Richa And Company 37-40
5.1.Brief 37
5.1.1.1. Board Of Directors 37
5.1.1.2. Group Companies 38
5.2.Leading Customers 39
5.3.Department 39-41
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6. 5.4.HR And Merchandise 42-45
6. Conclusion 46
7. My Learning’s And Reflection 47-48
7.1.Suneha Pahwa 47
7.2.Prateek Kothari 48
8. Bibliography 49
9. Annex
6
7. CHAPTER – 1
INTRODUCTION
Brand: Van Heusen
Company: Madura Garments (Aditya Birla Nuvo)
Ad Agency: JWT India
The brand van heusen, which is our topic of this project, is a children company to Madura
Fashion and Lifestyle so to understand the origin of van heusen one has to study its parent
company first. Hence we start with the history of Madura Fashion and Lifestyle.
MADURA FASHION AND LIFESTYLE
Madura Fashion & Lifestyle, a division of Aditya Birla Nuvo Ltd, is one of India’s fastest
growing branded apparel companies and a premium lifestyle player in the retail sector. After
consolidating its market leadership with its own brands, it introduced premier international
labels, enabling Indian consumers to buy the most prestigious global fashion wear and
accessories within the country.
HISTORY AND LINEAGE
Established in 1988 by Madura Coats Limited, Madura Fashion & Lifestyle has its origins in
the erstwhile Coats Viyella Plc, Europe’s largest clothing supplier. In December 1999, Aditya
Birla Nuvo, an Aditya Birla Group company, acquired Madura Fashion & Lifestyle to become
the undisputed leader in the readymade menswear industry in India. In 2000, the company
became a wholly-owned subsidiary of Aditya Birla Nuvo.
Madura Fashion & Lifestyle is one of the fastest growing branded apparel companies,
recording a blistering growth rate of over 25 per cent year-on-year.
The company’s brand portfolio includes product lines that range from affordable and mass-market
to luxurious, high-end style and cater to every age group, from children and youth to
men and women. Madura Fashion & Lifestyle is defined by its brands — Louis Philippe, Van
Heusen, Allen Solly, Peter England and People, all of which personify style, attitude, luxury
and comfort.
Madura Fashion & Lifestyle reaches its customers through an extensive network that boasts
of about 850 exclusive and franchise stores, and over 2,000 premium multi-brand trade
outlets, both within and outside India.
The company's lifestyle store, ‘The Collective,’ offers customers in Bangalore, Mumbai and
Delhi a unique blend of global fashions, international trends and innovative customer
services. Planet Fashion, the multi-brand, apparel-retailing arm of Madura Fashion &
Lifestyle, housing the company's in-house and other brands, is one of India’s largest chains
of stores.
Madura Fashion & Lifestyle has, for over a decade now, sourced technology, fabrics and
garments globally. The company is a global supplier for sophist Madura Fashion & Lifestyle
sources only from factories that are compliant with the Factory Act, and each factory is
independently audited by the International Textile Services (ITS) and Société Générale de
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8. Surveillance (SGS) for international clients such as Louis Philippe, Marks & Spencer and
Van Heusenicated international brands such as Marks & Spencer and Tommy Hilfiger.
COMPARITIVE ANALYSIS
Criteria
Established in
Peter England
1997
Allen Solly
1993
Van Heusen
1993
Louis Philippe
1989
Annual
Turnover 400 crore 250 crore 250 crore 400 crore
Number of
Stores 400 82 200 117
Age group 18-35 years 30 years 25-45 years 30 years
Starting price
Range
Rs 1399 Rs 1099 Rs 1299 Rs 1099
MANAGEMENT TEAM
Pranab Barua, CEO, Textile & Apparels
Ashish Dikshit, President, Madura F&L
N V Balachandar, Chief People Officer (Textiles & Apparel)
S Visvanathan, Chief Financial Officer (Textiles & Apparel)
Neeraj Pal Singh, Chief Information Officer (Textiles & Apparel)
Anurag Srivastava, Corporate Head – Strategy & Business Excellence
Executive Committee
Jacob John, Brand Head, Louis Philippe
Shital Mehta, COO, International Brands
R. Satyajit, COO, Casual Business
Kedar Apshankar , COO, Peter England
Ajay Ramchandran - Brand Head, Van Heusen
Sooraj Bhatt – Brand Head, Allen Solly
Shoaib Farooqi, COO, Planet Fashion, International Business and Trade Sales
Puneet Kumar, Vice President - Sales Operations
Sarthak Raychaudhuri, Head, Human Resources
Vikas Agarwal - Head, Commercial
Mohana Sundaram - Head, Controller
Dr Naresh Tyagi, Head - Product Development & Quality Assurance
R Parthasarathy, Head – Retail Business Development
Lal Sudhakaran, Head – Manufacturing, Madura Clothing
1 .Madura Fashion to increase Van Heusen outlets
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9. Madura Fashion & Lifestyle (Madura F&L), which markets the premium apparel brand
Van Heusen in India, plans to open 50 to 60 new exclusive stores each year
Van Heusen is currently available at 135 exclusive outlets, and the retail expansion would
also include foraying into small towns and cities. By the end of fiscal 2011-12, the Van
Heusen brand will be available at 150 exclusive outlets.
2. Van Heusen eyes tier 2 & 3 markets
Madura Fashion & Lifestyle, India’s leading apparel manufacturer is aiming to raise its
earnings through deeply penetrating the Rs. 600 billion garment market, and as such would
now target smaller towns and extensively promote their premium brand Van Heusen there.
The company intends to launch a minimum of 40 exclusive outlets across the country, every
year, majority of which would be located in the tier-2 and tier-3 cities.
Presently, the brand’s 120 exclusive outlets, with a majority of them in the metros and mega
cities, contribute around 40 percent of its overall sales turnover of Rs. 6.5 billion per annum.
Meanwhile, Madura Fashion, which is a subsidiary of the Aditya Birla Group, is optimistic
that the launch of the new outlets would boost the brand’s overall turnover to Rs. 8.5 billion
per annum.
3.Madura Fashion & Lifestyle - 'Most Admired Fashion Company of the Year'
The 11th edition of India Fashion Forum came to a glittering end with the Images Fashion
awards. Images Fashion Awards (IFA) recognizes the true worth of the brands in the Indian
fashion retail business.
IFA 2011 gave awards across in 21 categories including the most admired brands across
key categories like footwear, timewear, jewellery, to innovative & admired fashion retail
formats, private retail labels and fashion retail concepts. Well-known fashion retail brands
like Bata, Puma, Tanishq, Pantaloons, Lifestyle & Madura fashion & Lifestyle won IFAs in
key categories. Amongst the regional retail winners included Kapsons (North), Sohum
Shoppe (East), Jade Blue (West) and RMKV (South).
4 .Van Heusen launches biggest menswear brand store in India
Van Heusen, India's fastest growing lifestyle & apparel brand which is positioned as the
premium work wear brand for men, has launched its biggest flagship store in India, at
Connaught Place in Delhi. With an area of more than 6,000 square feet, this store is not just
the biggest exclusive Van Heusen store, but also the biggest brand showroom for menswear
in India.
The Van Heusen showroom is a unique blend of the old world Connaught place, its
architecture being restored to its pristine glory from outside, and the very modern &
contemporary interiors. The store is located at the C Block of the Inner Circle at Connaught
Place, a premium-shopping destination of Delhi.
The store is situated at two levels - with the ground floor housing shirts, knits, trousers, and
accessories over 1500 square feet. While the first floor spread out over 4500 square feet, is
dominated with suits. On both floors, the merchandise offered is divided into distinct
categories like World wear, Informals, New Arrivals, Accessories, etc. Spacious trial rooms
and value-added services like free alteration; free home delivery, consumer loyalty
programmes and telemarketing services ensure a delightful shopping experience.
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10. VAN HEUSAN
• Launched in 1990
• Rs.225 crore brands
• Selling 1.5 million garments a year,
Van Heusen is yet another success story from the Madura Fashion & Lifestyle stable. The
brand operates under license to Madura Fashion & Lifestyle in India and South East Asia. A
premium lifestyle brand, Van Heusen assiduously follows the company mandate; fashion for
the corporate world. The brand’s target audience is the successful, sophisticated, erudite,
multi-faceted professional.
OVERVIEW
For the Van Heusen customer, elegance and style are not just fads, but a philosophy. And
therefore, keeping their tastes in mind, Van Heusen was opposed to the conventional nine-to-
five formal wear. Instead, the brand makes available a 24/7 self-expression range of
garments to their target audience. With more than half of India’s population under 25, it was
not a surprise when Van Heusen moved from targeting only the 25-45-year-old businessman
BACKGROUND
Van Heusen is a premium lifestyle brand for men, women and youth. The brand embodies
fashion for the corporate and reflects the current expression of elegance in today's context.
Van Heusen believes that the design drivers for the brand are fashion and sophistication.
The brand covers all aspects of an individual's clothing needs, be it corporate wear, casual
wear, party wear or ceremonial wear, making it a complete lifestyle brand in the truest
sense. The core audience is professionals and corporate executives - men and women who
are successful, focused, articulate, well-travelled, and confident and have a sense of style
about them. They pursue success just as they do their other interests and passions, learning
and exploring everything that comes their way. Van Heusen aims to be a complete lifestyle
brand and plans are to double the number of stores to 200.
POWER DRESSING
The brand positioned itself on the platform of Powerful + Fashionable executive formal wear.
The brand introduced the concept of “Power Dressing " implying that the brand users are
those who occupy the powerful places in the corporate world.
EVOLVE EVERYDAY
The above statement holds true for both business and fashion. When it comes to dynamic
markets and opportunities, one always has to be a step ahead and evolve accordingly. It is
no different when it comes to the way you choose to dress in a corporate environment.
Through its Evolve Everyday new thought, the brand urges its consumers to be all that they
want to be, all that they can be by exploring different sides of their personality to grow and
become more with every experience they encounter.
EVOLUTION
“It is said the only thing constant is change and in the world of Van Heusen there is
no room for stagnation”
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11. 1. The humblest of beginnings mark the foundation of Van Heusen. Moses Phillips begins
selling hand sewn shirts from a small wooden handcart, laying the foundation for a company
which would later be called Van Heusen.
2. The company's designers dream up the greatest invention on shirts – The Collar, a
process that involves wearing cloth at curved angles. John Van Heusen begins a nine year
quest that leads him to invent the world's first collar.
3. Anywhere in the world, leaders follow the same rules. And wear the same label. Ronald
Regan, the future president of Van Heusen. We don't call it 'Power Dressing'
for nothing. America, Anthony Quinn, and Tony Curtis, to name a few, become
endorsers of Van Heusen
4. An empress decides to get new clothes. Queen Elizabeth issues a Royal
warrant to Van Heusen, appointing Van Heusen the official clothier for
Buckingham Palace
5. The story of Van Heusen is the story of many firsts. Van Heusen continues to create
landmark innovations like Ice Touch, Durapress, Best White, Techno cotton, and the
intelligent clothing range
6. It reached the top as the #1 dress shirt in America… and the rest of the
world. Today, Van Heusen is also the world's largest selling dress shirt brand
7. Available wherever there are horizons… and men to conquer them. Today Van Heusen
commands more than a billion US dollars in retail sales worldwide. We are available in 70
nations spread across 5 continents.
SWOT ANALYSIS
STRENGTH :
· SOLID DISTRIBUTION CHANNEL.
· MANUFACTURING CAPABILITIES WITH INTERNATIONAL QUALITY
· GOOD CUSTOMER KNOWLEDGE.
· CUSTOMER RELATIONSHIP VERY STRONG.
OPPORTUNITIES :
· TECHNOLOGICAL ADVANCES.
· CHANGE IN CUSTOMERS CHANGE.
· KEEPING CUSTOMER SATISFIED WITH THE SUPPORT OF SERVICE OFFERS.
WEAKENESS :
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12. · UNEDUCATED STAFF.
· LACK OF NEW PRODUCTS.
· NEED TO IMPROVE MARKETING STRATEGIES.
THREATS :
· CHANGE IN GOVERNMENT POLICIES.
· EMERGING OF NEW BRANDS.
· SIMILAR PRODUCT IMPORT FROM CHINA OR ANY OTHER COUNTRY.
These are some of the threats that are being faced lots of brands worldwide
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13. CHAPTER 2
ELEMENTS OF FASHION
DEPARTMENTS
Van Heusen Man
Since its launch in 1990, Van Heusen has consistently
tracked and understood the Indian male. In the last two
decades the clothing preferences of Indian men have
undergone many stages of evolution. At each turning
point Van Heusen has stood witness to these changes
– and has been ahead of the curve when it has come to
forecasting emerging trends and making it accessible
to the Indian consumer. No longer is the workplace
leader as aggressive and abrasive as he used to be.
The 24/7-a-week self-expression in preference to the
nine-to-five office wear. Work has stepped out of the
office. Most importantly, the Van Heusen consumers are those who believe strongly in
leaving a mark where ever they go, standing distinct and tall even among a group of like-minded
successful people.
Van Heusen Woman
The world is changing. From socio-conditions to trends in fashion, the world as we know it is
constantly evolving. When it comes to the genders too, there are no strict lines or rules to
define role responsibilities. Women are no longer confined within the four walls of their
homes. They compete with men on the same platforms and are at par, if not better. But
partaking in this race means that they have to strive harder to get what they want from life.
Whether it's their responsibilities on the job, at home or their closets, they're perfectionists
constantly thriving to outdo themselves.
And that's where Van Heusen wishes to assist them, just as a humble aide would!
The Van Heusen Woman brand offers women accessible, classy & complete wardrobe
solutions; ones that are chic, sharp and fashion forward providing them looks that are
uniquely suited to them, so that they can be confident and fashionable, both on and off the
job. 'Evolve Everyday' is spot-on considering how in the midst of change; the professional
woman of today constantly seeks to keep her place in the sun.
V Dot
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http//upto75.com/Van Heusen/Html
14. The party scene will never be the same again. The V Dot line promises to give club wear a
complete makeover. An eclectic collection that comprises an outstanding line of shirts,
trousers, denims, knits, jackets, suits and blazers combined with cutting-edge fashion
sensibilities, superfine fabrics, surface embellishments and perfect accessorising, thus
making it distinctive, bold and yet sophisticated, to say the least.
V Dot has continued to set a scorching pace, and is today the fastest-growing club wear
brand in India. Top actor John Abraham is the brand ambassador for V Dot. Stacked across
exclusive Van Heusen stores across India, the brand is centred on the ever-shifting tastes of
the youth.
V Dot inherits its sophistication from Van Heusen, the premium lifestyle brand for men with
its core strength being its extensive formal wear range. The brand embodies corporate
fashion and reflects the expression of elegance in today's context.
Van Heusen Sport
Van Heusen redefines sport-inspired casual wear with ‘Van Heusen Sport’. Breaking a few
rules of traditional sport-inspired wear, the range adds a dash of fashionable modernity to
the iconic 60s Ivy League ‘day chic’ look. The result is a whole new genre - Fashion Sport
that blends classic American sport fashion with impeccable Italian aesthetics. The result is a
fashionable line that can be worn to the office with as much élan as at a brunch.
The line is made up of soft shirts, fine-knits, laundered chinos and easy-to-wear semi-lined
jackets in exceptional washes designed to give you a drape quite unlike anything. The range
features fine sporting elements that elegantly round off the sporty look. Impeccably crafted
inside out, these garments are designed to look as good as new even after repeated wearing
and washes.
FASHION SEGMENTS
Van Heusen comprises of three main categories in each Product category: 1-Classics2-
Contemporary3-Fashion
Classics
T hey ar e t hose des igns or s t y les , whi c h ar e not changed and ar e
present in ever y season and ar e present in ever y season and it requires least
modification. These are mainly USPs of the brand
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http//fashionidentities/blogspot
15. Fabrics And Textures - Premium Giza cotton , Organic Cotton , 100% Cotton light
fabrics (World Wear) , compact cotton , 2 ply
fines cotton
Colours – light blue , plain white , beige , silver
colours
Collars – medium cut away and regular
Cuffs – two button cuffs and French cuffs
Prints – plain , light stripes , pin stripes , dobby
Contemporary
They are those designs and styles that require little modification. They are
mainly present season trend (based on market research). These comprise the
designs or styles that are trendier and are in present demand
fabrics and textures – Egyptian cotton , premium Giza cotton , polynosic cotton , Irish
linen
colours – black , grey , blue , lilac , white
collars – regular , Chinese , cut away , button down
cuffs – basics and extra cuff lings
prints – madras checks , Bengal checks , plains , candy stripes
Fashion
They are the innovative designs or styles, which set an upcoming trend in the market. It
provides an edge over competition. Most of the designers work on the fashion categoryand
tries to convert it into contemporary product or design.
Fabrics and textures – 100% cotton , 75%cotton
+25%viscose , 97%cotton +xla ,
35% Cotton+29% Nylon +32% Rayon.
Colours – black , blue , purple , maroon
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http//mitchellscville.com/images/shirts
16. Collars - long , medium and small cut away , stiff collars
Cuffs – variable
Prints – window pane checks , candy stripes , dobby
INNOVATION
For over a decade now, Madura
Fashion & Lifestyle has been at the
cutting edge of fashion and
innovation, and has sourced fabrics,
technology and products globally
http//Kute-groupblogspot.com/2011
The latest finishes, fabrics, fits, technologies and product development in fashion and
clothing styles are incorporated into their brand portfolio. Continuous product innovations
and value proposition provides the much-needed support in sustaining product leadership.
This helps maintain brand equity for best-in-class merchandise in the apparel segment
Trends, fashion knowledge, technology and process help in product development and
innovation, creating and adding significant value to the fibre-to-fashion value chain. The
company has developed and successfully launched many breakthrough products in the last
decade
Eco Story: Van Heusen kicked off the concept of shirts made from 100 per cent organic
cotton, grown in a sustainable and environmentally-friendly manner. Launched as 'Eco
Concept' for men, the shirts have a naturally soft feel to them.
Best white formal shirt: Van Heusen's formal white shirt is fully taped for pucker-free
seams. Made of 100 per cent wrinkle-free cotton, it not only has the highest whiteness index
of 156+ CIE, but also excellent colour retention with the whiteness remaining at the 150+
CIE index even after 25 washes.
Best Non-Iron shirt: Van Heusen's Best Non-Iron shirt is made from 100 per cent two-ply
cotton and has a DP rating of 3.8, which gives it superior lustre. It offers the perfect
combination of premium fabric and world-class manufacturing set-up. A Premium dress shirt
with superior lustre and good craftsmanship, Van Heusen Non-Iron shirt has been a huge hit
among consumers.
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http//Madison-retailers.com/van heusen/2011
17. Dura Press Ultima trousers: Van Heusen's premium two-ply cotton trousers have wrinkle-free
treatment, breathability, and moisture management for superior wearing comfort.
WORLDWEAR INTERNATIONAL WARDROBE
World wear International Wardrobe Collection, Van Heusen's extension of the best-selling
range of corporate wear for the global Indian, has been launched to coincide with the
autumn - winter season. With World wear International Wardrobe, Indian corporate chiefs
can now exude a truly suave and stylish image. This exclusive collection of quality
boardroom-wear with contemporary global styles, addresses the needs of the image-conscious
corporate executive who believes in being well turned out at the workplace. .
Van Heusen presents four distinctive looks inspired by the business capitals of the world, the
contemporary New York wardrobe, the dressy Milan wardrobe, the classic London wardrobe
and the minimalistic Tokyo wardrobe. The fine styling and detailing that has gone into this
collection goes beyond the ordinary. The craftsmanship is matched with the best in the world
and is perfect for those corporate chiefs who take the world in their stride.
1. Milan - The Milan wardrobe adds a dressy flourish to formal wear. The shirts from this
collection come with a stylish double collar with buttons, which looks formal by day and
dressy for the evening. The trousers are available in elegant hounds tooth in premium terry
wool. The ties have motifs bringing the dressy theme upfront. The whole range is available in
formal, classic colours, which are acceptable in boardrooms worldwide. Suits from the Milan
line are crafted to perfection matching the stylish look and providing the necessary comfort
2. New York - The New York wardrobe from Van Heusen World wear is bold and has the
contemporary style of formal wear. The finest attention to detail in craftsmanship is seen in
every stitch and weaves. The shirts from this collection have notched cutaway collars that
add a clipped look to formal shirts. Ties are bold and have unique weaves and patterns.
Trousers are in stretch techno blends, which are comfortable in spite of the cutting edge
image. Suits are crafted to perfection giving the ultimate look and comfort.
3. Tokyo - The Tokyo line also has a collection of suits, shirts, trousers and ties inspired by
the clean, minimalistic lines of Zen. This wardrobe creates a look that lets the wearer master
the art of winning. The shirts have subtle yet distinct contrasts on the inside of the cuffs and
the shaped collar. The shirts are created with fabric that has a darker tone on the reverse.
The trousers have a streamlined design, highlighted by understated solid shades in premium
super 100s and 90s wool blend. The ties come in fine textures and solid tones. The suits are
impeccably designed in poly wool. The suits are available in neutral shades of grey,
mélange, black, blue and earth
4. London - To create classics that never go out of style the London collection has a
collection of shirts, trousers, suits and ties inspired by the legendary city. Shirts from this
collection are in solids, checks, dobby’s and stripes with white collar and cuffs. The classic
formal trousers with self-stripes and micro designs are engineered from super premium wool
cashmere. To add to the London theme the formal classic ties come in printed silk. The suits
are in stripes including the traditional banker’s stripes in premium wool blends.
The Collection is available nationwide in exclusive Van Heusen stores, Planet Fashion,
Trouser Town and leading multi-brand outlets. The shirts are priced from Rs. 1295/- onwards
17
18. and the trousers are available from Rs.1495/- onwards. Suits are priced from Rs. 6999/-
onwards and ties from the collection are priced at Rs. 599/- onward
GHAJINI COLLECTION
With Amir Khan's much awaited movie Ghajini
releases on December 25, Van Heusen unveiled a
special collection under the name 'Van Heusen
Ghajini Collection'. The designs are inspired by
Aamir's personality as well as the character he
plays in the upcoming movie Ghajini. In the
movie Aamir will be seen in the sporting shirts,
trousers, waist coats, ties, suits, blazers, and
cufflinks from Van Heusen.
Shital Kumar Mehta, chief operating officer, Van Heusen, elucidates, "India and the Middle
East are our core markets. We are expecting a 25 per cent increase in sales from this latest
collection. We believe that Ghajini is going to be the biggest blockbuster. Aamir is playing
the CEO of a telecom company and the collection, we have designed, is exclusive. We are
proud to partner with Ghajini and dress none other than Aamir Khan, the man himself, who
embodies the sentiments of Van Heusen as a brand. Thus it was a strategic opportunity.
Priced at Rs 1,299 onwards, Van Heusen Ghajini collection is available at the company
stores. Unveiling this exclusive collection Aamir Khan also walked the ramp as the show
stopper for a fashion show held in Mumbai.
INDIAN FASHION
Today’s fashion is foreseeing the Men’s collection for the high-tailored stitches ranging from
the luxury dressing to the Casual Urban attire. French farming/ sheath-sleeve shirts, edged
jackets & narrow-crutch Trousers are ‘IN’ this season for the Contemporary wear. The
fabrics and weaves are significant to the silken touch, and fine-cotton for the Men’s apparel.
The colour palette for the contemporary collection range from Whites, tints of ivory to
charcoal black, the camel’ and plum’ shades making the predominance this Spring-
Summer!
For the collection of today, the luxury dressing can be stated to the high-textured criss-cross
weaves, the seam-edged stitches ,the silk textured apparel for men! The collection can be
stated as the antique jamewar churridar & the silk weave kurtas creates the style statement
as the Rohit Bal’s collection justify. Subdued embroideries’, gold work & the fabric of linens,
cottons, jerseys makes a precise edge to the Men’s attire. The colour palette gets its
inspiration for the Burnt Orange, Black Pastel (Chambrey) shades of green, orange &
Mauve…!
The Casual dressing signifies the collection for the theme of Masculinity & Bold attire. The
colour palette gets its utmost significance for the selective choice of dressing ranging from
the charcoal black, Olives and Prussian blue, Mesh & Burgundy. The selection of the
collection assort from the front edged shirts, calf-length trousers, the checked pattern & the
seam-edge stitch as the collection of the designer Aslam Khan reinvents in his collection at
the Van Heusen India Men’s Fashion.
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http//bollywood-stars.net/2008
19. CHAPTER 3
MARKET AND CONSUMER ANALYSIS
MERCHANDISE
Visual merchandising today forms a critical element of retailing. Besides the facade and
windows, which are clearly done up with an objective to attract passer-bys and induce walk-ins,
there is also in-store decor that is designed to enhance the customer’s comfort and
convenience while shopping and overall, offer a superior shopping experience.
South Delhi:
• Area – 1200 sq/ ft
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20. • Customers – 20 to 30 per day.
• Theme – Fashion and sportswear.
• Colors – Silver , Purple, Red
• Daily sales – 40000-60000
Central Delhi:
• Area – 2000 sq / ft
• Customers – 30 to 40 per day.
• Theme – Formals and sportswear.
• Colors – Blue , mauve, yellow
• Daily sales – 50000
North Delhi:
• Area – 1100 sq / ft
• Customers – 20 to 25 per day
• Theme – sportswear
• Colours – red , blue , white
• Daily sales – 40000 to 60000
West Delhi:
• Area – 1500 sq / ft
• Customers – 50 to 60 per day
• Theme – formals
• Colours – lilac , grey , blue
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21. • Daily sales – 70000 to 80000
The strong point of Van Heusen is its ability to lead the market with its fashionable range.
The high quality, never compromising premiumness (exclusivity) and understated image has
contributed a lot to the growth of this brand. The campaigns of Van Heusen (except for the
early ones on Power Dressing) were never clutter-breaking but were enough for the
discerning customers to patronize the brand.
POWER CLUB
As a preferred Van Heusen customer, you have exclusive access to special privileges and
personalised attention at our stores.
Now, each time you shop with us, you will be awarded points based on the value of your
purchase. These points can be redeemed at any of our exclusive stores across India for
more Van Heusen merchandise of your choice. Simply present your Power Club card at the
store to use your points.
As a Power Club member, you also have access to previews of new collections, invitations
to fashion evenings as well as other out-of-store privileges that match your lifestyle.
We look forward to seeing you at our stores regularly.
Welcome to the privileges of membership, in Classic, Silver and Gold
A snapshot of your privileges depending on your membership status:
Your Privileges Classic Silver Gold
In store personal assistance
Exclusive trial rooms at select locations
Home delivery of altered garments
Valet facilities at select locations
Pick-up / drop for garment exchanges
Alerts / Exclusive previews of new collections
Alerts / Exclusive sale previews
In-store stylists (on special occasions)
Van Heusen: Branching out
But retail presence alone does not guarantee success in a highly fragmented market such
as apparels. The organised apparel market in India is estimated at Rs 10,000 crore, and Van
Heusen claims to have an 8 per cent share in that. And the brand knows it has to innovate to
stay ahead of the pack. “Although we have always been known for our formal wear, we
realised club-wear was gaining favour among the youth. We decided to experiment with a
casual range called ‘Informals’ and it was a huge success. Continuing with that, we launched
V Dot in 2006 as its extension,” says Ajay Ramachandran, brand head, Van Heusen.
21
22. The target consumers for the conventional formal clothes were professionals in the age-group
of 35-37 years. With V Dot, the brand lowered the age bar to target the youth (25-30
years). In the same year it introduced Van Heusen Women, and in March 2011 it launched
Van Heusen Sport, a casual range. “In the face of stiff competition, a company has to look
for new avenues for growth. Hence, we introduced all these different lines,” adds
Ramachandran.
Continuing with the branching-out strategy, the brand is planning to enter the non-apparel
segment with a range of footwear to be launched in November this year. It is also eying
other segments like luggage and eye-wear.
The brand is set to launch a new television commercial as well as print ads featuring John
Abraham. To support that, it has a nationwide marketing and promotional campaign chalked
out. “We plan to have outdoor campaigns all over the country. We started with Kerala to
cash in on the Onam festivities. Next we will move towards the east during the puja period.
This way we’ll move all over the country to make our presence felt,” adds Ramachandran.
The brand has roped in JWT for advertising, and the budget is split 60:40 between television
and print.
INDIAN MARKET
The consumption pattern of the country or the consumer depends upon the buying power of
the individual specifically the youth of our country. For the matter of consumer behaviour a
brand has to play an important role in making its mark in the minds of the people.
The Indian consumer today is highly aware about the product, price, quality and the options
available with him. The purchasing is done by keeping all these factors in mind. Today, price
is not the only the factor as it was a few years back when prices played a major role in
purchasing power of the individual
India retail industry is the most promising emerging market for investment. In 2007, the
retail trade in India had a share of 8-10% in the GDP (Gross Domestic Product) of the
country. In 2009, it rose to 12%. It is also expected to reach 22% by 2010.l.
Different Segment of Indian Consumers:
1. The Socialites:
Socialites belong to the upper class. They prefer to shop in specialty stores, go to clubs on
weekends, and spend a good amount on luxury goods. They are always looking for
something different. They go for high value, exclusive products. Socialites are also very
branding conscious and would go only for the best known in the market.
2. The Conservatives:
The Conservatives belong to the middle class. The conservative segment is the reflection of
the true Indian culture. They are traditional in their outlook, cautious in their approach
towards purchase.
Slow in decision making, they seek a lot of information before making any purchase. They
look for durability and functionality but at the same time is also image conscious.
22
23. 3. Youth Segment:
The rise of generation next has been written about. They are global in their worldwide view
and have been exposed to enormous information. They are expected to be at the forefront of
creating a new, modern, west-embracing consumer society demographic dividend that will
drive economic growth.
Challenges facing Indian retail industry
· The tax structure in India favours small retail business
· Lack of adequate infrastructure facilities
· High cost of real estate
· Dissimilarity in consumer groups
· Restrictions in Foreign Direct Investment
· Shortage of retail study options
· Shortage of trained manpower
· Low retail management skill
CONSUMER BEHAVIOUR
Possibly the most challenging concept in the marketing of a product is to deal with
understanding the buyer behaviour. The attitude of Indian consumers has undergone a
major transformation over the last few years. The Indian consumer today wants to lead a life
full of luxury and comfort. He wants to live in present and does not believe in savings for the
future. Due to fast growth of the services sector per capita income of people of India is also
increasing. The number of middle class is increasing due to another fact that people are fast
shifting from agriculture to the services and industry sector where growth prospects are
reasonably high as compared to the agriculture sector which is showing slow growth.
Though are country earlier was an Agrarian Economy. Now people are shifting their minds
more towards other services as compared to agriculture.
Consumer behaviour is affected by a lot of variables, ranging from personal motivations,
needs, attitudes and values, personality characteristics, socio-economic and cultural
background, age, sex, professional status to social influences of various kinds exerted by
family, friends, colleagues and society as a whole. Thus ,in buying process consumer plays
a very important roles .Even ,due to various changes around the world likewise changes in
technology ,promotion of media , focus more on newspaper and magazines has certainly
played a very important role in changing the mind of the people toward buying a product
RESEARCH OBJECTIVE:
· To study the consumer behaviour with respect to Van Heusan
RESEARCH DESIGN
· Descriptive
23
24. DATA COLLECTION
· Primary data: Collected directly from customer’s
· Secondary data: Secondary data is taken from company website, broachers,
company register
· Data collection method: survey
SAMPLING PLAN
· Sampling unit- Van Heusen customer
· Sampling size- 10-15, duration: 3-4 days.
RESEARCH ANALYSIS
Q1 Age group
Finding: it shows that most of the people buying the brand van heusen are within the age
group 25-35 years.
Q2 Occupation
Finding: As the USP of Van Heusen is corporate wear it is at times misunderstood with it
being just for the corporate sector. But with the research carries one can say it no doubt
caters to the corporate in majority they even serve the intellectual class as well.
Q3 did the product purchased from Van Huesen satisfy you?
Q4 would you like to purchase goods from this company again?
Finding: With the research carried out it has been found that about 12 out of 15 customers
are pretty satisfied with the brand van heusen and would like to buy the brand again.
Q5 what brings you back to the brand?
Finding: Through research it has been found that fittings and style are important factors that
brings the customers back to buy the brand
Q 6 how often do you visit the brand?
Finding: Most customers visit van heusen store once in every two months
Q 7 Are you satisfied with the after sales services or updates from the brand about
new collections and sales?
Finding: customers seem to have receiving information through Short Message Service
(SMS) often about the new collections etc and are satisfied.
Q 8 If not van heusen which brand would you choose?
Finding: Zodiac or Wills Lifestyle
24
25. On the basis of the secondary data collected from the brand stores managers and bill
records it can also be stated that the spending power of van heusen customers on an
average is 5,000-10,000.
Hence we can conclude by saying that the brand image is well handled, and the customers
are satisfied with the brand and even the marketing strategies overall
25
26. CHAPTER 4
ACCOUNTING PROCESS
Balance sheet – Aditya Birla Group
Mar 2011 Mar 2010 Mar 2009 Mar 2008 Mar 2007
Rs.Cr Rs.Cr Rs.Cr Rs.Cr Rs.Cr
SOURCES OF FUNDS:
Share Capital 113.61 103.11 95.01 95.01 93.31
Reserves & Surplus 5287.2 4558.47 4026.73 3928.85 3031.24
Total Shareholders’ Funds 5400.81 4661.58 4121.74 4023.86 3124.55
Secured Loans 1380.61 2074.85 2217.07 1856.72 2071.62
Unsecured Loans 1906.59 1565.17 2282.14 886.7 760.21
Total Debt 3287.2 3640.02 4499.21 2743.42 2831.83
Total Liabilities 8688.01 8301.6 8620.95 6767.28 5956.38
APPLICATION OF FUNDS:
Gross Block 3953.59 3564.71 3290.16 3111.78 2653.15
Less: Acumen. Depreciation 2183.55 2012.49 1813.95 1680.89 1548.9
Net Block 1770.04 1552.22 1476.21 1430.89 1104.25
Capital Work in Progress 87.96 263.06 128.78 70.73 203.88
Investments 5477.4 5435.85 5712.39 4007.33 3849.39
Inventories 1203.24 876.34 747.6 776.6 475.26
Sundry Debtors 1156.25 693.33 887.23 753.19 595.99
Cash and Bank Balance 21.31 14.31 89.81 97.15 22.74
Loans and Advances 558.39 681.35 557.7 548.96 358.4
Current Liabilities 1448.09 1096.6 882.33 784.09 593.88
Provisions 138.49 118.26 96.44 133.48 59.65
Net Current Assets 1352.61 1050.47 1303.57 1258.33 798.86
Total Assets 8688.01 8301.6 8620.95 6767.28 5956.38
Contingent Liabilities 1058.49 788.01 922.32 740.8 331.14
Income statement – Aditya Birla Group
Mar 2011 Mar 2010 Mar 2009 Mar 2008 Mar 2007
Rs.Cr Rs.Cr Rs.Cr Rs.Cr Rs.Cr
INCOME :
Sales Turnover 6640.2 4950.46 4965.3 4128.34 3554.84
Excise Duty 254.53 158.5 211.08 212.8 157.13
Net Sales 6385.67 4791.96 4754.22 3915.54 3397.71
Other Income 116.87 106.43 113.96 95.95 92
Stock Adjustments 163.28 -5.06 17.89 83.17 45.19
Total Income 6665.82 4893.33 4886.07 4094.66 3534.9
EXPENDITURE :
26
30. Debt-Equity Ratio 0.01 0.01 0.02 0.02 0.02
Long Term Debt-Equity Ratio 0.01 0.01 0.01 0.01 0.01
Current Ratio 1.01 1.12 1.40 1.38 1.35
Fixed Assets 2.49 2.34 2.39 2.67 2.91
Inventory 6.24 5.74 5.35 5.77 6.44
Debtors 34.01 33.80 32.38 30.57 31.98
Interest Cover Ratio 94.05 67.63 102.27 121.98 245.81
PBIDTM (%) 26.15 25.57 23.43 23.64 22.31
PBITM (%) 24.00 23.25 21.06 21.58 20.43
PBDTM (%) 25.89 25.23 23.23 23.46 22.23
CPM (%) 18.44 17.78 16.48 16.66 15.87
APATM (%) 16.30 15.46 14.10 14.61 13.99
ROCE (%) 48.79 43.65 37.38 40.44 40.02
RONW (%) 33.35 29.33 25.42 27.88 27.86
RATIO ANALYSIS
Current Ratio 1.64 1.44 1.95 2.07 1.84
(Current assets/current liabilities)
Debt Equity Ratio 0.61 0.78 1.09 0.68 0.91
(Debt/Equity)
Net Profit Ratio 5.95 5.91 2.89 6.21 6.62
(Net Profit/Net Sales)*100
Capital Turnover Ratio 0.73 0.58 0.55 0.58 0.57
(Net Sales/ Capital Employed)
CALCULATION.
Particulars Mar 2011 Mar 2010 Mar 2009 Mar 2008 Mar 2007
Current Assets
Inventories 1203.24 876.34 747.6 776.6 475.26
30
31. Sundry Debtors 1156.25 693.33 887.23 753.19 595.99
Cash and Bank Balance 21.31 14.31 89.81 97.15 22.74
TOTAL 2380.8 1583.98 1724.64 1626.94 1093.99
Current Liabilities 1448.09 1096.6 882.33 784.09 593.88
Current Ratio 1.64 1.44 1.95 2.07 1.84
(Current assets/current liabilities)
NOTE: - It is assumed that all investments are long term.
Particulars Mar 2011 Mar 2010 Mar 2009 Mar 2008 Mar 2007
Debt
Secured Loans 1380.61 2074.85 2217.07 1856.72 2071.62
Unsecured Loans 1906.59 1565.17 2282.14 886.7 760.21
TOTAL 3287.2 3640.02 4499.21 2743.42 2831.83
Equity (Shareholder's Fund)
Share Capital 113.61 103.11 95.01 95.01 93.31
Reserves & Surplus 5287.2 4558.47 4026.73 3928.85 3031.24
TOTAL 5400.81 4661.58 4121.74 4023.86 3124.55
Debt Equity Ratio 0.61 0.78 1.09 0.68 0.91
(Debt/Equity)
NOTE: - It is assumed that all secured and unsecured loans are long term.
Particulars Mar 2011 Mar 2010 Mar 2009 Mar 2008 Mar 2007
Net Profit 379.69 283.4 137.43 243.07 224.97
Net Sales 6385.67 4791.96 4754.22 3915.54 3397.71
Net Profit Ratio 5.95 5.91 2.89 6.21 6.62
(Net Profit/Net Turnover)*100
NOTE: - Net sales are taken after deducting excise duty.
Particulars Mar 2011 Mar 2010 Mar 2009 Mar 2008 Mar 2007
Net Sales 6385.67 4791.96 4754.22 3915.54 3397.71
Capital Employed
Share Capital 113.61 103.11 95.01 95.01 93.31
Reserves & Surplus 5287.2 4558.47 4026.73 3928.85 3031.24
Secured Loans 1380.61 2074.85 2217.07 1856.72 2071.62
31
32. Unsecured Loans 1906.59 1565.17 2282.14 886.7 760.21
TOTAL 8688.01 8301.6 8620.95 6767.28 5956.38
Capital Turnover Ratio 0.73 0.58 0.55 0.58 0.57
(Net Sales/ Capital Employed)
ADITYA BIRLA NUVO LTD
INDIVUDUAL GRAPHS FOR FIVE YEARS
CURRENT PROFIT RATIO NET PROFIT
DEBT EQUITY RATIO CAPITAL TURNOVER RATIO
32
33. ITC LTD.
INDIVIDUAL GRAPHS FOR FIVE YEARS.
CURRENT RATIO DEBT EQUITY RATIO
NET PROFIT RATIO CAPITAL TURNOVER RATIO
COMPARISON OF RATIOS BETWEEN ADITYA BIRLA NUVO
LTD. AND ITC LTD
33
34. CURRENT RATIO NET PROFIT RATIO
ADITYA BIRLA NUVO LTD ADITYA BIRLA NUVO LTD.
ITC LTD. ITC LTD.
DEBT EQUITY RATIO CAPITAL TURNOVER RATIO
.
ADITYA BIRLA NUVO LTD ADITYA BIRLA NUVO LTD.
ITC LTD. ITC LTD.
34
37. CONCLUSION
CURRENT RATIO
The current ratio is a financial ratio that measures whether or not a firm has enough
resources to pay its debts over the next 12 months. It compares a firm's current assets to its
current liabilities. It is expressed as follows:
The current ratio is an indication of a firm's market liquidity and ability to meet creditor's
demands. Acceptable current ratios vary from industry to industry. If a company's current
ratio is in this range, then it is generally considered to have good short-term financial
strength. If current liabilities exceed current assets (the current ratio is below 1), then the
company may have problems meeting its short-term obligations. If the current ratio is too
high, then the company may not be efficiently using its current assets or its short-term
37
38. financing facilities. This may also indicate problems in working capital management. If all
other things were equal, a creditor, who is expecting to be paid in the next 12 months, would
consider a high current ratio to be better than a low current ratio, because a high current
ratio means that the company is more likely to meet its liabilities which fall due in the next 12
months.
NET PROFIT RATIO
Net profit or net revenue is a measure of the profitability of a venture after accounting for all
costs. A common synonym for "net profit" when discussing financial statements (which
include a balance sheet and an income statement) is the bottom line. This term results from
the traditional appearance of an income statement which shows all allocated revenues and
expenses over a specified time period with the resulting summation on the bottom line of the
report.
DEBT EQUITY RATIO
The debt-to-equity ratio (D/E) is a financial ratio indicating the relative proportion of
shareholders' equity and debt used to finance a company's assets. When used to calculate a
company's financial leverage, the debt usually includes only the Long Term Debt (LTD).
Quoted ratios can even exclude the current portion of the LTD. The composition of equity
and debt and its influence on the value of the firm is much debated and also described in the
Modigliani-Miller theorem.
CAPITAL TURNOVER
A ratio of how effectively a publicly-traded company manages the capital invested in it to
produce revenues. It is calculated by taking the total of the company's annual sales and
dividing it by the average stockholder equity, which is the average amount of money
invested in the company. A high ratio indicates that the company is using its capital well,
while a low ratio indicates the opposite. It is also called equity turnover
38
39. CHAPTER 5
FACTORY VISIT
Richa Group is equipped with more than 17 fully integrated manufacturing units in Delhi,
Gurgaon, Noida and Bangalore. The Group is all set to establish more and more
manufacturing units, as the quota system is phased out. It will further enhance the
production capacity of the Group. A textile mill at Tiruthani near Chennai is giving an extra
dimension to the Group. Offices strategically located all over India are operating with a
commitment to excel.
• Monthly Production: 2, 60,000 pieces..
• Worker’s Capacity: 1400 workers
• Factory Floor Space: 97,715 Sq. Feet In Five Floors Including Basement
• Total Production Area: 45,074 Sq.Feet (Cutting, Sewing, Washing & Finishing)
BOARD OF DIRECTORS
The highly qualified and experienced directors are leading Richa Group ahead of its
competitors. It is surging ahead creating new benchmarks in the industry. Motivation,
dedication and professionalism of the directors are working as the catalyst behind the rapid
growth of the group. The directors are committed to lead the company with newer promises
and commitments in the days ahead.
Mr. Vijay Uppal (Chairman)
Mr. Virender Uppal (Managing Director)
Mr. Vinay Uppal (Jt. Managing Director)
Mr. Gaurav Uppal (Jt. Managing Director)
.Mr. Saurabh Uppal (Jt. Managing Director)
For better sourcing of fabrics, the Group has set up its own offices at Ludhiana and Tirupur.
The Group strengthened its raw material sourcing by integrating backwards with its own
textile mill- Trident Textile Mills, in the year 1992. With the incorporation of Richa Global, in
2002 at Bangalore, the Knit Division of Richa Group got a new impetus.
Today, Richa Group is equipped with 18 fully integrated manufacturing units in Delhi,
Gurgaon, Noida and Bangalore along with a textile mill in Tiruthani. It stands tall with US $
130 million turnover. Making use of the latest technologies through its competent
professionals, the Group is setting new benchmarks in the industry..
39
40. The Group is equipped with state of the art machinery like Tunnel Cover Seaming Machines,
Heat Transferring Machines and Vertical Garments processing with auto tilting to produce
various types of high quality knitted garments. Ultramodern technologies lead the Group
ahead of the competitors. It plays the key role in producing the products of superior quality.
The unique blend of modern technologies from all over the world has enabled Richa Group
to maximize its capability.
GROUP COMPANIES
RICHA & Co.
Richa and Company was set up in the year 1977. The company is operating with its
four units located at Kirti Nagar (Delhi), Mayapuri (Delhi), Mangolpuri(Delhi) and
Gurgaon. It specializes in the manufacturing of woven readymade garments.
Gaurav International
Richa Global Exports Pvt Ltd
ABC Leathers
• Contracts are mostly negotiated through buying agencies, though they
occasionally take direct orders also.
Richa Group has been in the forefront of the industry complying with the customer's
requirements following government laws and regulations. Today, it is seen as a hi-tech,
customer friendly, eco-responsive corporate citizen that is shaping a better tomorrow for
everyone.
Through a wide range of high fashion garments for men,
women and children, Richa Group has marked a
distinguished presence in over fifteen countries including
USA, UK, Europe and Canada. In the leading retail
outlets around the world, the products of Richa Group
are flaunting the latest fashions. With over two decades
of presence as a major Indian Government Recognized
Trading House in the international fashion apparel
market, Richa Group has become a widely admired
name.
The Richa Group has become a favoured supplier of High fashion garments to leading
customers across the world.
• Gap
• Tommy Hilfiger
• Target
• Wall – mart
• Armani Exchange
• Kohl’s
40
41. • Chico’s
• DKNY
• NEXT
• NORDSTORM
• Izod
• Etam
• Essentials
• Miss Sixty
• Debenhams
• Timberland
• Marks & Spencer
• Polo Ralph Lauren
• Calvin Klein
• Women’s secret
• Sears
DEPARMENTS
Fabric Storage
We are manufacturer & exporter of storage racks that includes heavy duty fabric storage
racks, heavy duty picking shelving racks; drive in tracking systems, heavy duty pallet racks,
cantilever racks, light duty racks, mobile racks and FIFO racks. Fabrics for Richa global are
sourced from countries like china and Pakistan. All uninspected fabrics are kept buyers wise
and in plastic cover. The fabrics go further in
production processes once they are checked inch
by inch either by hand or machine.
RELAXATION COUNTER was made for
fabrics like chiffon so that they stretch out to their
normal position and do retain their shape during
further processes. It is done for around 24 hours
minimum.
TESTING
Testing is conducted at all the crucial phases of the production process so that the finest
products are manufactured. In all the procedures, the most modern equipments are used to
ensure utmost perfection.
Testing of raw material is very crucial as it is the base of a product. It consists of the fabrics
and all garment accessories. Before commencing production, all raw materials whether it is
fabric or accessories are tested and ensured whether the same conforms to specifications or
not. After ensuring the raw material quality parameters, prototype samples are made and
then the overall quality parameters are checked in our in-house lab. If the sample conforms
41
42. to buyers specifications then again samples are prepared and tested from commercial
certified labs for buyer’s approval. After approval from buyer actual production process
starts.
Beside production sample testing, sampling samples are also tested. During the sampling
process any fabric swatch recommended from buyers end and any other trims or
accessories to be used are analysed under close investigation to face any unforeseen
problems.
COMPOSITION AND ANALYTICAL TESTS
CONSTRUCTION ANALYSIS
COLOUR FASTNESS TESTS
STRENGTH / DURABILITY TESTS
DIMENSIONAL STABILITY / APPEARANCE TESTS
TRIMS SECTION
Trims and accessories are kept buyers wise in racks .there is different segment for inspected
and uninspected trims and accessories. There is a different table in the starting of the trims
section where the trim is checked and then arranged in rackes.
EMBROIDERY
The embroidery division at Richa Group is equipped with more than 50 computerized
machines of 20 heads each, from Barudan and SWF. The facility also has 5 sampling
machines with 4 heads each. Advanced designing system and elaborate matching
processes are employed to achieve intricate patterns and sophisticated illustration.
CUTTING
The cutting section is equipped with the Gerber spreader and cutter that ensure 100%
perfection. It improves turnaround times and expedites the cutting process with minimal
waste and cost. The section also has Bend Knife machine and fusing machines. Most
modern CAD systems from Gerber, Tukatech and Leuctra are employed for Computerized
Precision Pattern Making, Grading and Marking System
PRODUCTION
With its wide range of advanced machinery & proficient labour capable of producing stylized
garments with perfection & finesse, the sewing section has a hi-tech infrastructure. The
production lines are fully integrated and operational with various types of powered sewing
machines from Brother, Juki, Pegasus, Yamato & special machines like Computerized Welt
Pocketing Machine, Belt Loop Attachment Machines, and Multi Needle Kansai Special
Machines & Tunnel Cover Seaming Machines.
There are 588 machines for production. (14 lines having 42 machines each).
Assembly line production system is carried out, once the garment goes in from the first
machine comes out ready at the last one, during this whole assembly line there is a defect
code followed, where there is a RED, YELLOW AND GREEN LIGHT, to ensure the work
system is carried out properly without any defect at any machine.
WASHING AND FINISHING
42
43. Hi-tech machinery and cutting edge technology facilitate high quality washing and wrinkle-free
finishing. The in-house washing capacity is one million pieces per month. The laundry
division is well equipped with automatic washers, extractors, PERK and dryers. It has
ultramodern facilities like Enzyme, Stone, Sandblasting, Pigment Dying, Over Dying and
Vertical Garment Processing with Auto Tilting etc. Various pressing machines and heat
transferring machines are also available to ensure improvement in high functional
performance of the garment through specialty finishing.
For finishing department there are 4 initial checker , After initial checking then there are 2
final checker that makes sure that there are no stains on the fabric , there are about 12 lines
for this finishing section which is considered the largest finishing section in gurgaon . In
every line there are 4 Initial, 2 Final, 1 Measurement & 1 Quality checker in every line.
FINAL INSPECTION
Richa Group has an efficient Final Inspection Department equipped with the latest
equipments. This section plays the most crucial role in ensuring 100% perfection of all the
products. It is inspected that all the features demanded by the clients are designed or not.
The experts thoroughly check all the products to make sure that the perfect products are
delivered to the client. The products carry the brand image of the company.
PACKING
Packing list it lists seller, buyer, shipper, invoice number, date of shipment, mode of
transport, carrier, and itemizes quantity, description, the type of package, such as a box,
crate, drum, or carton, the quantity of packages, total net and gross weight (in kilograms),
package marks, and dimensions, if appropriate. Both commercial stationers and freight
forwarders carry packing list forms. A packing list may serve as conforming document. It is
not a substitute for a commercial invoice.
SHOWROOM
Showroom consists of best sellers, new ranges of products from all buyers, fabric swatches
as well as various washes on different fabrics and at times post production samples are also
kept in the showroom for any further relation.
IN HOUSE LAB
Equipments
Conditioning chamber This chamber is used for maintaining standard atmosphere i.e.
65% Relative humidity.
Crock Meter This instrument is used for determining the colourfastness property
due to rubbing action
Laundero meter This instrument is used for determining the colourfastness property
due to washing
Light fastness tester This instrument is used for determining the colourfastness property
due to action of sunlight
43
44. Perspirometer This instrument is used for determining the colourfastness property
due to the action of water and perspiration
Top loading washing
machine
Used for determining the dimensional stability and appearance
tests after washing of fabrics and garments
Front loading tumbler
dryer
Used for drying of fabrics and garments
Elements tear tester Used for determining the tearing strength of woven fabrics
Tensile tester Used for determining the tensile strength of woven fabrics, seam
strength and slippage of woven garments
Beasley balance Used for finding out the yarn count of woven and knitted fabrics
Digital thread counter Used for finding out the thread construction of woven and knitted
fabrics
Binoculars microscope Used for fibre analysis of textile materials
PTT meter Used to determine the PTT Value of woven and knitted fabrics
Hot Air oven A chamber used for maintain certain preset temperature with or
without hot air facility. Used in tests like fibre analysis, colour
fastness to water, perspiration etc
HUMAN RESOUSRE DEPARTMENTS AND MERCHANDISE
Human Resource Management (HRM, HR) is the management of an organization's
employees.[1] While human resource management is sometimes referred to as a "soft"
management skill, effective practice within an organization requires a strategic focus to
ensure that people resources can facilitate the achievement of organizational goals.
Effective human resource management also contains an element of risk management for an
organization which, as a minimum, ensures legislative compliance
ORGANISATION – broader perspective in itself
An organization is a social group which distributes tasks for a collective goal . There are a
variety of legal types of organizations, including: corporations, governments, non-governmental
organizations, international organizations, armed forces, charities, not-for-profit
corporations, partnerships, cooperatives, and universities
The main functions of Human resource Management are
Job Design (JD)
JD can be defined as the function of arranging tasks duties and responsibilities in to an
organizational unit of work for the purpose of accomplishing a certain objective.
Job Analysis
44
45. This includes the systematic analysis of the job and the characteristics of the desired job
holders. The information collected through a Job Analysis is of two forms;
Job Description: Describes the job, its tasks, responsibilities and service conditions of a job.
Job Specification: Describes the requirements of the person for the job, including abilities,
educational qualifications, special physical and mental skills, training, experience etc.
Human Resource Planning (HRP)
HRP can be identifies as the strategy forecasting the organizations future requirements for
different types of workers, their acquisitions, utilization, improvement, employee cost control,
retention and supply to meet these needs.
Recruitment
This is the initial attraction and screening of the supply of prospective Human Resources
available to fill a given position/s.
In other words, it is the process of involving the attraction of suitable candidates to vacant
positions from both internal and external sources of the organization.
Eg:
INTERNAL EXTERNAL
Job posting Advertising
Intranet Job Placement Agencies
Succession plans Internet
Referrals Placement through
Colleges and Universities
SELECTION
This is a systematic process of selecting the most appropriate and suitable person to a
particular job. In other words, Selection is choosing an individual to hire from all those who
have been recruited/ attracted
HIRING
This is the process of appointing the person selected for a particular job. In this process,
letters of appointments will be prepared, employment contracts will be signed and the new
employee will be sent in for a probationary period.
INDUCTION
This is concerned with introducing an employee to the company, job and staff in a
systematic way. There are two components of induction,
· Introducing the employee to the organization and the organization’s culture.
· Introducing the employee to his/her job
PERFORMANCE EVALUATION
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46. This is a regular systematic assessment of an employee’s performance in order to review
whether his/her performance matches the expected performance levels. Performance
evaluations are an analysis of an employee””s recent successes and failures, personal
strengths and weaknesses, and suitability for promotion or further training.
COMPENSATION MANAGEMENT
The main objective of the function is to develop and maintain a good salaried and wages
system which is reasonable both internally and externally.
Factors affecting Salaries and Wages
· Cost of living
· Supply and demand of labor
· Government requirements (minimum wage rates)
· Competitor wage scales
· Trade Union influences
· Labor productivity
TRAINING AND DEVELOPMENT
Training is the process by which the employees are taught skills and given the necessary
knowledge to carry out their responsibilities to the required standard
Development is concerned with the giving the individual necessary knowledge, skills, attitude
and experience to enable an employee to undertake greater and more demanding roles and
responsibilities in the future. Development is concerned with the long term prospects of a
career succession plan.
· Welfare Administration
· Health and safety Administration
· Discipline Administration
GRIEVANCE HANDLING
A grievance can be identified as a situation where the employee is in metal distress,
dissatisfies or has a bad attitude, due to a work related unreasonable or unjust situation.
A grievance could take place for various reasons;
· Job related reasons
· Work services related reasons
· Employee management related reasons
· Service conditions related reasons
· Employee behavior related reasons
LABOR RELATIONS
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47. The continues relationship between the labor force and the management. Since labor forces
are organized as Trade Unions, it is actually a relationship between Trade union
representative and the management. However the Government is also an involved as a third
party in order to regulate this relationship by ways of laws.
This relationship is also more commonly known as a tri-partite relationship.
If in case there is a dispute between the employees and the management, the most common
way of dispute resolution is through negotiations or Collective Bargaining and when the two
parties reach to an agreement it’s known as Collective Agreement.
Richa and co.
Due to a little in cooperative nature of our organization we could not collect a lot of data.
With our oral communication with the manager there. We would like to list a few hr policies
that the company follows:
The Group takes various initiatives for the all round development of its human resources.
Training programmes by renowned industry experts is an integral part of its human resource
policies. Various motivational programmes are also conducted to make the most of the
potentials of the professionals.
The following are the prime elements of the human resource policy of the Richa Group
Equal opportunities
Excellent work culture
Professionalism
Leadership
Growth
Motivation
Commitment
Rich rewards
Worker Training
The facility sometimes trains workers if the operation is difficult. Training usually takes one or
two days through the research and development department
Recruitment Policy
The facility posts signs on gates. Interviews applicants then apply and give test of
productivity for an hour or so. And then workers are given a letter of contract.
No other information could be obtained regarding the formalized dismissal procedure,
grievance policy, workers committee or union.
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48. .
CHAPTER 6
CONCLUSION
The Readymade garments industry is increasing day by day due to changes of fashion in
day to day life. The readymade garment industry in India owes its existence to the
emergence of a highly profitable market for exports. Ready-made garments account for
approximately 45% of India's total textile exports. They represent value added and less
import sub sector. In the recent years, however, the domestic demand has also been
growing rapidly.
Van Heusen
Corporate dressing for both men and women has come a long way from the traditional suit
and sari. If one wants to rub one’s fashionable shoulders with the CEOs and MDs from
MNCs then the sartorial style has to match corporate standards
Corporate dressing is a powerful instrument to declare one’s affiliation with the business
community. Corporate dressing can be broadly based on three factors - demand (to be
easily identified), symbol (of say power) and the cultural influence. Looking good has never
been as important as it is in the Indian workplace. With globalization, business travels across
the globe have increased. New workplace ethics and dress codes in other countries have
been incorporated by Indian companies too. The protocol of corporate dressing is taken
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49. seriously as it reflects directly on employee professionalism. Employees now have to pay a
lot of attention to Colour coordination, accessories and styling.
Thus providing van heusen a chance to rise up the ladder at fast pace.
On the basis on the research carried out in our project a few SUGGESTIONS that we would
like to put and conclude are -
• Van Heusen should focus more on the casual products as much as it does on the
formal shirts and trousers, to attract another segment of the market consumer.
• Should increase the shirt size range and get more stock under the range of 38 and
40 cm .as this has been a constant complaint from customers on a healthier side.
• Company should plan and came out with more discount schemes, which attract more
customers .even though they provide power club cards to their customers but as
stated by one of the customers that ‘Loyalty cards are getting boring for the
customer.’ They should offer new and more often discount schemes.
Richa Global
One of the largest players dealing with the best foreign brands has a remarkable presence in
the readymade garments export industry including woven, knitted, leather garments and
home furnishing well equipped in all aspects ranging from compliance with government laws
or equipments and the latest technologies. Richa group has been truly an experiential
learning.
CHAPTER 7
MY LEARNING AND REFLECTION – Agnivesh Kumar
Inspired by the research performed by me and my team member on van heusen, I have
decided to put down what I have learned in the course of my formal education as well as my
experience in learning to live.
Starting from realising the effort that goes in from the mere establishment of a brand to
whole cycle it goes through to became a well established brand. And efforts required
maintaining the brand image.
Further this project gave us an opportunity to communicate with commercial world and have
a greater in depth knowledge about the market, and its various aspects which would help us
in our future as a merchandiser. As well as helped us to learn to be more organized and
communicate in a processed manner.
Further I learnt how important it was to work in a professional and planned manner and
noting things on paper pre hand so that no step is skipped and the best result is achieved.
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50. With studying the brand Van Heusen in specific along with its competitors my personal
learning was how important visual merchandising can be to maximise sales .As it has been
observed as a consumer natural behaviour being attracted to shops with a influential show
window . Hence forcing the customer to at least once check in the collection. Setting the
company apart in an exclusive position, establishing linkage between fashion, product design
and marketing by keeping the product in prime focus. Combining the creative, technical and
operational aspects of a product and the business.
Further with our factory visit and interaction with a few colleges and personal observation
helped a lot to understand the different departments the factory works in and the detailed
procedures they follow and the importance of us as being future merchandisers should have.
As with our interaction with a merchandiser there in I realised how important it is for a
merchandiser to know all aspects of the factory and all the relating problems that could
arrive during production or even how such problems can be solved.
Where this is just one side of the merchandisers responsibility , on the other side he has to
be aware of the whole knowledge of a buying house , export house or a liaison office ,
through which means does the buyers relate to the factory .
Just to sum up my learning from this project I would state
· More professional
· Leadership skills
· Communication skills
· Conflict management
· In depth knowledge about factory departments and working
· Brand image
· Consumer behaviour
· Market
· Importance of documents
· Group work
· Technical knowledge
Thus I can conclude that this project has been of great help to learn our subject better, as in
the end it is this market only we have to deal with and these factories only were we see our
careers. So personal learning is always beneficial.
MY LEARNING AND REFLECTION
50
51. This is the first time I have performed a project involving a number of modules, though it has
been a challenge yet a very learning experience as I have never been exposed to such a
professional learning. By doing this project it has given me a brief understanding as how the
industry functions. With this project I have learned as how to work in a group in all kinds of
situation.
As part of this project we were given a Brand to analyse (VAN HEUSEN) and a Factory Visit
so that we get a complete understanding about the garment and its manufacturing.
I learnt whole Merchandising process that would be very beneficial for me in future when I
will be exposed to industry.
There were number of aspects that I have learnt , starting from a brief about the
Organization Structure, Performance Appraisal , Supply Chain Management ,Conflict
Management ,Group Work which not only helps me as a future merchandiser but also a
human being.
During my store visit I have realized that salesman are not fully educated, they cannot
communicate in English properly.
With my Factory Visit, Conducting Research Methodology, My Store Visit I have realized
that it is very important to work in a very planned and a systematic manner that will certainly
help me in all the spheres of life.
Thus in the end this project has helped me to apply the whole foundation that has been
taught practically.
CHAPTER 8
BIBLIOGRAPHY
1. Overview. Available at:
http://www.madurafnl.com/brands/madura_fashion_lifestyle.html [ Accessed: 12
september,2011]
2. Who we are. Available at: http://www.madurafnl.com/about_us/about_us.html
[ Accessed: 12 september,2011]
51
52. 3. 2. Management Team. Available at :
http://www.madurafnl.com/about_us/management_team.html [Accessed: 12,
september,2011]
4. Van Heusen, Power Club. Available at: http://www.vanheusenindia.com/power-club
[Accessed:13 september,2011]
5. Van Heusen launches 'World wear International Wardrobe'. Available at:
http://www.adityabirlanuvo.net/media/features/features.aspx?ID=ND5VvU0ho8A=
[Accessed: 6 october,2011]
6. Madura Garments News Headlines. Available at:
http://www.fibre2fashion.com/news/company-news/madura-garments/[ Accessed: 15
september,2011]
7. 7. Balance sheet standalone. Available
at:http://www.adityabirlanuvo.com/investors/financials/ten_year_balance_sheet.aspx
[ Accessed: 11 october,2011]
8. 8. Profit and Loss standalone. Available at:
http://www.adityabirlanuvo.com/investors/financials/standalone_ten_year_profit_loss.
aspx
[Accessed: 11 October, 2011]
9. Booklets of Van Heusen. Available at: Van Heusen Outlets[Accessed: 5 October,
2011]
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