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1. Industrial Engineer's Job Profile
It was just a couple of years back that demand of an industrial engineer has increased many times. Reason, an
Industrial engineer can do a lot to improve performance of the company.
2. How to Calculate SAM of a Garment?
SAM or Standard Allowed Minute is used to measure task or work content of a garment. This term is widely used by
industrial engineers and production people in the garment manufacturing industry. For the estimation of cost of
making a garment SAM value plays a very important role.
3. Standard minutes (SAM) for basic garments
Can anybody estimate SAM (standard allowed minute) of a garment without seeing and/or analyzing the garment?
No. It is not possible. To estimate SAM you have to analyze the garment carefully and check different factors that
affect the SAM.
4. Garment production systems
In simple a ‘garment production system’ is a way how fabric is being converted into garment in a manufacturing
system. Production systems are named according to the various factors, like- Number of machine are used to make
a garment, Machines layout, Total number of operators or tailors involved to sew a complete garment and Number
of pieces moving in a line during making a garment.
5. How to set production target of a line?
It is a very important question, because it is the basic knowledge about production management and each people
who are working in production must know how estimated production is calculated.
6. How to balance a traditional sewing line?
A sequence of operations is involved in making a garment. In bulk garment production, generally a team works in
an assembly line (Progressive Bundle system) and each operator do one operation and give it other operator to do
next operation. In this way garment reached to end of the line as a completed garment.
7. How to calculate Garment Cost
In the clothing manufacturing, supplier gives final manufacturing cost to buyer prior to order confirmation. For
that factory prepares cost sheet estimating costs in different cost heads. Cost heads like Fabric, Trims and Packing
materials, Labor cost and Overheads.
8. Different Types of Incentive systems
In manufacturing industries, an incentive is a factor (financial or non-financial) that enables or motivates a
particular course of action, or counts as a reason for preferring one choice to the alternatives. Eventually,
incentives' aim is providing value for money and contributing to organizational success.
9. The Concept of Performance Rating
Rating is a subjective comparison of any condition or activity to a benchmark, based upon our experience. While
the mechanics of time study record the time a task did take, applying a rating will determine the time a task
should take.
10. Process flow chart of a Crew Neck T-Shirt
It is always easier to understand a picture than just description. How to make a T-shirt can be explained many
times but students learnt it completely when they see it in the production floor. A process flow chart gives them
the logic how operations follow sequence one after another.
11. Which production system is better- A conventional line or a Modular line?
As I have explained earlier in the article “Garment Production Systems” that each production system has benefits
over others depending on order size, product type, technology level and skill level of the operators. When it comes
lean manufacturing system in apparel making, factories start implementing modular system whatever product they
might produce.
12. Comparison between Progressive bundle system and UPS system
In the industrial sewing plants various types of sewing systems are installed. A plant owner chooses these systems
depending on the production volume, product categories, and cost effectiveness of high tech machineries. Among
those “Progressive Bundle System” (PBS) is mostly installed sewing system till date.
13. Work aids and equipment for garment export industry
To facilitate worker in doing their jobs most efficiently number of readymade and customized work aids and
equipment are being used in the garment industry. Especially work aids are designed for material handling, folding
etc.
14. Machinery used for garment sewing in mass production
Most of the clothes we wear are sewn by sewing machines. There are several types of sewing machines used to
make our clothes. When garment making was industrialized, scientists developed industrial power driven sewing
machines to meet the needs of mass production.
15. How to Control Apparel Production Cost?
I was in a meeting discussing about line efficiency, present cost per pieces and what the production people can
achieve to lower down the making cost. When we started discussing the fact and figures everybody was surprised.
16. How to calculate Machine requirement for garment to be made in an assembly line?
Follow the following steps to estimate how many machines and what types of machines you need to make your
garment in an assembly line. The primary information you need to calculate number of machines
17. Which Machines are needed to make Basic Polo Shirts?
Five types of machines are used in making basic Polo Shirt . Machines are Lock stitch (Single Needle), Over edge
(Over lock), Button holing, Button attaching and Flat lock (Flat bed).
18. Which Machines are needed to make Basic Tee Shirts?
Three types of machines are generally used for making Basic Tee (Crew Neck) in mass production. Machines are
Lock stitch (Single Needle), Over edge (Over lock) and Flat lock (Flat bed or Cylinder bed).
19. How to reduce line setting time?
Engineers and production managers always look for a way to improve factory’s labor productivity. But they look
over things that lower labor productivity.
20. What is on-standard efficiency and off-standard efficiency?
When operators are not working on-standard jobs they are simply not producing any garments or any minutes. That
is why to know operator’s actual performance on the on-standard jobs; operator’s efficiency is presented as on-
standard efficiency.
21. How to calculate operator efficiency at work?
In apparel manufacturing, skills and expertise of a sewing operator is being presented in “Efficiency” term. An
operator with higher efficiency produces more garments than an operator with lower efficiency in the same time
frame. When operators work with higher efficiency, manufacturing cost of the factory goes down.
22. How to calculate efficiency of a production batch or line?
Like individual operator efficiency, efficiency of a production line or batch or section is important for a factory.
Daily line efficiency shows the line performance. To calculate efficiency of a line for a day, you will need following
data (information) from the line supervisor or line recorder
23. Operation Break-down and SAM of the Full Sleeve Men's Formal Shirt?
Prior to defining SAM of the garment, detailed operation break-down is made by engineer. Both manual and
machine operations are included in the operation list. Then a skilled operator is given to do operations one by one.
5 to 10 samples are studied. All operations are studied by GSD expert for motion analysis
24. Engineers, Be careful with data what you presenting to your boss
Business owners normally seek for data about the performance of the factory from engineers. The primary KPIs are
line efficiency, machine productivity of the current running orders, production capacity production cost etc
25. Can anybody hit 100% Efficiency of GSD SAM?
I have intentionally referred ‘GSD SAM’ because most of garment engineers, industry experts and business owners
believe that GSD based standard minutes are more accurate than other. You may feel that what a silly question it
is. But I met numbers of young industrial engineers, who ask me questions in the same way I have titled this
article.
26. How to Find Actual RPM of the machines running on the floor?
Though sewing machine manufacturers define machine rpm (maximum level) in the machine label and manual, in
the floor machines are not being operated at maximum speed by the operator. Sewing operator runs a machine at
lower a speed than specified maximum speed limit.
27. What is Pitch Time, Pitch Diagram and how to make a Pitch Diagram?
Pitch time: In industrial Engineering, Pitch time is a ratio of total SAM of garment and number of operations to be
set for the style
28. How to grade sewing operators?
Generally workers are categorized as skilled, Semi-skilled and unskilled for deciding wages for them. Others grade
operators as A, B or C according their experience and expertise on the job. If grading of the operators is done
scientifically it will help in selection of operators during line setting of a new style.
29. What is Productivity?
Productivity is a measure of the efficiency and effectiveness to which organizational resources (inputs) are utilized
for the creation of products and/or services (outputs). Productivity measurement is both a measure of input
utilization and an assessment as to whether or not input utilization is growing faster than output
30. How to measure labor productivity?
Within a factory, industrial engineers or factory managers and line supervisors measure the number of garments
produced by a line of sewing machine operators in a specific time frame. Generally factory works 10 to 12 hours a
day. Total production (output pieces) of a line and total labor involved in producing those pieces is required to
calculate labor productivity
31. How to calculate thread consumption?
There is a standard formula for determining thread consumption. In the available formula you will ge t multiplying
factors according to machine type and stitching classes. To define thread consumption you just have to multiply
seam length with factors.
32. How to do Time study?
Three types of machines are generally used for making Basic Tee (Crew Neck) in mass production. Machines are
Lock stitch (Single Needle), Over edge (Over lock) and Flat lock (Flat bed or Cylinder bed).
33. How to do Method Study?
Method study is more of a systematic approach to job design than a set of techniques. It is defin ed as the
systematic recording and critical examination of existing and proposed methods of doing work, as a means of
developing and applying easier and more effective methods and reducing costs
35. What is work Sampling.
Work sampling is a method of finding the percentage occurrence of a certain activity by statistical sampling and
random observations
36. How to calculate machine SPI
The abbreviation of SPI is Stitches per inch. In the Metric System it is expressed as Stitch per centimeter (SPC). It
is very easy to measure SPI of the machine or seam. To measure it, take a fabric swatch of 12 inch X 2 inch.
37. Use of Takt time in apparel industry?
Takt time is the allowable times to produce one product at the rate of customers’ demand. This is NO T the same
as cycle time, which is the normal time to complete an operation on a product (which should be less than or equal
to TAKT time).
38. How to Estimate Sewing Time by Machine RPM?
Are you confused how to estimate that how much time should be taken by a sewing operator to sew a specific
length of seam? Read this article to know how to estimate it.
39. Secret behind calculation of machine time in SAM?
Standard allowed minute (SAM) of an operation is the sum of 3 different parameter, i.e. machine time, material
handling (with personal allowances) time and bundle time. Material handling and bundle time is calculated by
motion analysis.
40. 7 Ways to Reduce to WIP from Bottleneck Operations
A bottleneck operation determines hourly production of a sewing line. In a bottleneck operation garments are
piled up compared to other operations in the line and produces lowest number of garments. Efficiency of the line
as well as labor productivity is affected by work in process (WIP) level at bottleneck o perations.
41. Operation Breakdown and SMV of Garment
The operation breakdown of a trouser with two front pocket and two back pocket has been given in the following
table. SMVs mentioned here against each operation are just for your reference. It may vary according to machine
types, workstation layout and equipment used.
43. 20 Ways to improve productivity in garment production
Higher productivity brings higher margin in a business. And increment in Productivity level reduces garment
manufacturing cost. Hence factory can make more profit through productivity improvement.
44. What is Skill Matrix for Sewing operators?
Skill Matrix is a chart or a database where operator’s past performances on various operations are recorded in a
systematic way for the future reference. In a skill matrix operator performance is recorded in efficiency
percentage.
45. Garment Production Cost: Actual cost Vs Cost per SAMOne of the most important KPIs for garment
manufacturing is comparison between Actual costs Vs Cost per SAM. Factories calculate these costs and compare
on daily basis. The actual cost figure shows that how much money factory is paying as make up to the operators.
But exactly how these measures are calculated?
46. How to do Line Balancing using Operator Skill History?
The prerequisite of this method is to have a skill matrix of sewing operators. Normally, at the time of line setting,
operators are selected based on their experience on operations. The calculated skill level of the operators on the
operations is not considered at all.
47. Operations, Seams and Sewing Machines Database for Basic Products now on the Web
I always feel that I should have knowledge about all sewing machines need to make garments covering all
products. But it is not easy to keep in mind when I am not sewing machines supplier or distributor and even I am
not making all types of garment in my factory.
48. KPIs for Garment Manufacturers
Key performance Indicators (KPIs) are measured to assess where the factory currently stands and to find key focus
areas where management needs to look into. Top 9 KPIs has been listed and explained below that are measured by
garment manufacturers (export houses) in the
One of the most important KPIs for garment manufacturing is comparison between
Actual costs Vs Cost per SAM. Factories calculate these costs and compare on daily
basis. The actual cost figure shows that how much money factory is paying as make
up to the operators. But exactly how these measures are calculated? The different
methods of calculating actual cost and garment cost per SAM has been explained in
this article.
Actual Cost per Garment
1. Actual cost -1: Formula of the actual labor cost of a garment-
Actual cost = Total Salary to be paid/Total Units Produced.
For a line, Calculate Total salary (W) to be paid on the day
including direct manpower. Find total units produced (U) in shift time (output of the
line).
2. Actual cost -2: Second formula is Total salary to be paid /(Total minutes
produced/SAM)
Though first method is used by most of factories,it is not true actual cost. Because,
only output quantity is considered in this cost calculation, where lot of works is
produced in the line as WIP. There is two main reasons why engineers prefers 1st
method.
i) It is very difficult to find how many units have been produced by individuals in a
line and calculate total minutes produced in a day.
ii) To the factory management it does not matter how much work is laid (partially
stitched) in the line. How many units are completed is considered as production.
I will also suggest you, to use first method as because it simple to calculate and easy
for understanding. This cost goes down day by day during learning curve. Secondly
every day you will get different figures based on line output.
Cost per SAM
The formula used to calculate cost per SAM is Garment SAM X Cost factor. Where
cost factoris per minute labor cost to the factory at factory average efficiency. Or
simply instead of cost factoryou can multiply Garment SAM by average labor salary
per minute (which represent cost factorcalculatedat 100% efficiency). Whatever
method you use must be clear to everyone (persons who see the report) within the
factory. Cost per SAM is fixed fora style.
Cost Factor: Cost factor = Labor wages per day / (shift minute * Efficiency). E.g.
Factory shift time 480 minutes, Daily operator wages INR 200.00 and factory run at
50% efficiency. Then cost factor for the factory will be 0.833.
Example: Factory Efficiency 50%, Daily wages INR 200.00 Shift time 480 minutes. See
the comparison in the following table where style A and style B's Cost per SAM and
actual cost have been shown. Use above formula to calculate figures.
Style SAM Manpower
Planned
Production
Actual
Production
Cost
factor Cost/SAM
Actual
Cost
A 15 20 320 150 0.833 12.5 26.67
B 12 20 400 250 0.833 10 16.0
Garment manufacturing includes number of processes from order receiving to
dispatching shipment of the finished garments. A process flow chart helps to
understand how raw materials are moved from one process to another process until
raw materials are transformed into the desired product (garments).
To be noted that a process flow chart made forthe garment manufacturing
processes will vary based on manufacturing facility and product types. As some
companies do whole process in single plant when others do production jobs and
other auxiliary processes are outsourced.
Based on present apparel industry, garment manufacturing processes are
categorized as
 Pre-Production Processes - Pre-production process includes sampling, sourcing
of raw materials, Approvals, PP meeting etc. Read this for further reading on
pre-production processes.
 Production processes - Production processes are cutting, sewing etc.
 Post production processes - thread trimming, pressing, checking, folding and
packing, shipment inspection etc.
Instead of making a single process flow chart, I have made one chart formajor
processes and two separate charts for cutting room processes and finishing
processes for detailed process chart.
Chart#1. Garment manufacturing process flow chart (majorprocesses)
Chart#2. Cutting Room Process Flow Chart
Chart#3. Finishing Process Flow Chart
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Capacity Planning In Garments Industry
 

IE Qu & Ans

  • 1. 1. Industrial Engineer's Job Profile It was just a couple of years back that demand of an industrial engineer has increased many times. Reason, an Industrial engineer can do a lot to improve performance of the company. 2. How to Calculate SAM of a Garment? SAM or Standard Allowed Minute is used to measure task or work content of a garment. This term is widely used by industrial engineers and production people in the garment manufacturing industry. For the estimation of cost of making a garment SAM value plays a very important role. 3. Standard minutes (SAM) for basic garments Can anybody estimate SAM (standard allowed minute) of a garment without seeing and/or analyzing the garment? No. It is not possible. To estimate SAM you have to analyze the garment carefully and check different factors that affect the SAM. 4. Garment production systems In simple a ‘garment production system’ is a way how fabric is being converted into garment in a manufacturing system. Production systems are named according to the various factors, like- Number of machine are used to make a garment, Machines layout, Total number of operators or tailors involved to sew a complete garment and Number of pieces moving in a line during making a garment. 5. How to set production target of a line? It is a very important question, because it is the basic knowledge about production management and each people who are working in production must know how estimated production is calculated. 6. How to balance a traditional sewing line? A sequence of operations is involved in making a garment. In bulk garment production, generally a team works in an assembly line (Progressive Bundle system) and each operator do one operation and give it other operator to do next operation. In this way garment reached to end of the line as a completed garment. 7. How to calculate Garment Cost In the clothing manufacturing, supplier gives final manufacturing cost to buyer prior to order confirmation. For that factory prepares cost sheet estimating costs in different cost heads. Cost heads like Fabric, Trims and Packing materials, Labor cost and Overheads. 8. Different Types of Incentive systems In manufacturing industries, an incentive is a factor (financial or non-financial) that enables or motivates a particular course of action, or counts as a reason for preferring one choice to the alternatives. Eventually, incentives' aim is providing value for money and contributing to organizational success. 9. The Concept of Performance Rating Rating is a subjective comparison of any condition or activity to a benchmark, based upon our experience. While the mechanics of time study record the time a task did take, applying a rating will determine the time a task should take. 10. Process flow chart of a Crew Neck T-Shirt It is always easier to understand a picture than just description. How to make a T-shirt can be explained many times but students learnt it completely when they see it in the production floor. A process flow chart gives them the logic how operations follow sequence one after another. 11. Which production system is better- A conventional line or a Modular line? As I have explained earlier in the article “Garment Production Systems” that each production system has benefits over others depending on order size, product type, technology level and skill level of the operators. When it comes lean manufacturing system in apparel making, factories start implementing modular system whatever product they might produce. 12. Comparison between Progressive bundle system and UPS system In the industrial sewing plants various types of sewing systems are installed. A plant owner chooses these systems depending on the production volume, product categories, and cost effectiveness of high tech machineries. Among those “Progressive Bundle System” (PBS) is mostly installed sewing system till date.
  • 2. 13. Work aids and equipment for garment export industry To facilitate worker in doing their jobs most efficiently number of readymade and customized work aids and equipment are being used in the garment industry. Especially work aids are designed for material handling, folding etc. 14. Machinery used for garment sewing in mass production Most of the clothes we wear are sewn by sewing machines. There are several types of sewing machines used to make our clothes. When garment making was industrialized, scientists developed industrial power driven sewing machines to meet the needs of mass production. 15. How to Control Apparel Production Cost? I was in a meeting discussing about line efficiency, present cost per pieces and what the production people can achieve to lower down the making cost. When we started discussing the fact and figures everybody was surprised. 16. How to calculate Machine requirement for garment to be made in an assembly line? Follow the following steps to estimate how many machines and what types of machines you need to make your garment in an assembly line. The primary information you need to calculate number of machines 17. Which Machines are needed to make Basic Polo Shirts? Five types of machines are used in making basic Polo Shirt . Machines are Lock stitch (Single Needle), Over edge (Over lock), Button holing, Button attaching and Flat lock (Flat bed). 18. Which Machines are needed to make Basic Tee Shirts? Three types of machines are generally used for making Basic Tee (Crew Neck) in mass production. Machines are Lock stitch (Single Needle), Over edge (Over lock) and Flat lock (Flat bed or Cylinder bed). 19. How to reduce line setting time? Engineers and production managers always look for a way to improve factory’s labor productivity. But they look over things that lower labor productivity. 20. What is on-standard efficiency and off-standard efficiency? When operators are not working on-standard jobs they are simply not producing any garments or any minutes. That is why to know operator’s actual performance on the on-standard jobs; operator’s efficiency is presented as on- standard efficiency. 21. How to calculate operator efficiency at work? In apparel manufacturing, skills and expertise of a sewing operator is being presented in “Efficiency” term. An operator with higher efficiency produces more garments than an operator with lower efficiency in the same time frame. When operators work with higher efficiency, manufacturing cost of the factory goes down. 22. How to calculate efficiency of a production batch or line? Like individual operator efficiency, efficiency of a production line or batch or section is important for a factory. Daily line efficiency shows the line performance. To calculate efficiency of a line for a day, you will need following data (information) from the line supervisor or line recorder 23. Operation Break-down and SAM of the Full Sleeve Men's Formal Shirt? Prior to defining SAM of the garment, detailed operation break-down is made by engineer. Both manual and machine operations are included in the operation list. Then a skilled operator is given to do operations one by one. 5 to 10 samples are studied. All operations are studied by GSD expert for motion analysis 24. Engineers, Be careful with data what you presenting to your boss Business owners normally seek for data about the performance of the factory from engineers. The primary KPIs are line efficiency, machine productivity of the current running orders, production capacity production cost etc 25. Can anybody hit 100% Efficiency of GSD SAM? I have intentionally referred ‘GSD SAM’ because most of garment engineers, industry experts and business owners believe that GSD based standard minutes are more accurate than other. You may feel that what a silly question it is. But I met numbers of young industrial engineers, who ask me questions in the same way I have titled this article.
  • 3. 26. How to Find Actual RPM of the machines running on the floor? Though sewing machine manufacturers define machine rpm (maximum level) in the machine label and manual, in the floor machines are not being operated at maximum speed by the operator. Sewing operator runs a machine at lower a speed than specified maximum speed limit. 27. What is Pitch Time, Pitch Diagram and how to make a Pitch Diagram? Pitch time: In industrial Engineering, Pitch time is a ratio of total SAM of garment and number of operations to be set for the style 28. How to grade sewing operators? Generally workers are categorized as skilled, Semi-skilled and unskilled for deciding wages for them. Others grade operators as A, B or C according their experience and expertise on the job. If grading of the operators is done scientifically it will help in selection of operators during line setting of a new style. 29. What is Productivity? Productivity is a measure of the efficiency and effectiveness to which organizational resources (inputs) are utilized for the creation of products and/or services (outputs). Productivity measurement is both a measure of input utilization and an assessment as to whether or not input utilization is growing faster than output 30. How to measure labor productivity? Within a factory, industrial engineers or factory managers and line supervisors measure the number of garments produced by a line of sewing machine operators in a specific time frame. Generally factory works 10 to 12 hours a day. Total production (output pieces) of a line and total labor involved in producing those pieces is required to calculate labor productivity 31. How to calculate thread consumption? There is a standard formula for determining thread consumption. In the available formula you will ge t multiplying factors according to machine type and stitching classes. To define thread consumption you just have to multiply seam length with factors. 32. How to do Time study? Three types of machines are generally used for making Basic Tee (Crew Neck) in mass production. Machines are Lock stitch (Single Needle), Over edge (Over lock) and Flat lock (Flat bed or Cylinder bed). 33. How to do Method Study? Method study is more of a systematic approach to job design than a set of techniques. It is defin ed as the systematic recording and critical examination of existing and proposed methods of doing work, as a means of developing and applying easier and more effective methods and reducing costs 35. What is work Sampling. Work sampling is a method of finding the percentage occurrence of a certain activity by statistical sampling and random observations 36. How to calculate machine SPI The abbreviation of SPI is Stitches per inch. In the Metric System it is expressed as Stitch per centimeter (SPC). It is very easy to measure SPI of the machine or seam. To measure it, take a fabric swatch of 12 inch X 2 inch. 37. Use of Takt time in apparel industry? Takt time is the allowable times to produce one product at the rate of customers’ demand. This is NO T the same as cycle time, which is the normal time to complete an operation on a product (which should be less than or equal to TAKT time). 38. How to Estimate Sewing Time by Machine RPM? Are you confused how to estimate that how much time should be taken by a sewing operator to sew a specific length of seam? Read this article to know how to estimate it. 39. Secret behind calculation of machine time in SAM? Standard allowed minute (SAM) of an operation is the sum of 3 different parameter, i.e. machine time, material handling (with personal allowances) time and bundle time. Material handling and bundle time is calculated by motion analysis.
  • 4. 40. 7 Ways to Reduce to WIP from Bottleneck Operations A bottleneck operation determines hourly production of a sewing line. In a bottleneck operation garments are piled up compared to other operations in the line and produces lowest number of garments. Efficiency of the line as well as labor productivity is affected by work in process (WIP) level at bottleneck o perations. 41. Operation Breakdown and SMV of Garment The operation breakdown of a trouser with two front pocket and two back pocket has been given in the following table. SMVs mentioned here against each operation are just for your reference. It may vary according to machine types, workstation layout and equipment used. 43. 20 Ways to improve productivity in garment production Higher productivity brings higher margin in a business. And increment in Productivity level reduces garment manufacturing cost. Hence factory can make more profit through productivity improvement. 44. What is Skill Matrix for Sewing operators? Skill Matrix is a chart or a database where operator’s past performances on various operations are recorded in a systematic way for the future reference. In a skill matrix operator performance is recorded in efficiency percentage. 45. Garment Production Cost: Actual cost Vs Cost per SAMOne of the most important KPIs for garment manufacturing is comparison between Actual costs Vs Cost per SAM. Factories calculate these costs and compare on daily basis. The actual cost figure shows that how much money factory is paying as make up to the operators. But exactly how these measures are calculated? 46. How to do Line Balancing using Operator Skill History? The prerequisite of this method is to have a skill matrix of sewing operators. Normally, at the time of line setting, operators are selected based on their experience on operations. The calculated skill level of the operators on the operations is not considered at all. 47. Operations, Seams and Sewing Machines Database for Basic Products now on the Web I always feel that I should have knowledge about all sewing machines need to make garments covering all products. But it is not easy to keep in mind when I am not sewing machines supplier or distributor and even I am not making all types of garment in my factory. 48. KPIs for Garment Manufacturers Key performance Indicators (KPIs) are measured to assess where the factory currently stands and to find key focus areas where management needs to look into. Top 9 KPIs has been listed and explained below that are measured by garment manufacturers (export houses) in the One of the most important KPIs for garment manufacturing is comparison between Actual costs Vs Cost per SAM. Factories calculate these costs and compare on daily
  • 5. basis. The actual cost figure shows that how much money factory is paying as make up to the operators. But exactly how these measures are calculated? The different methods of calculating actual cost and garment cost per SAM has been explained in this article. Actual Cost per Garment 1. Actual cost -1: Formula of the actual labor cost of a garment- Actual cost = Total Salary to be paid/Total Units Produced. For a line, Calculate Total salary (W) to be paid on the day including direct manpower. Find total units produced (U) in shift time (output of the line). 2. Actual cost -2: Second formula is Total salary to be paid /(Total minutes produced/SAM) Though first method is used by most of factories,it is not true actual cost. Because, only output quantity is considered in this cost calculation, where lot of works is produced in the line as WIP. There is two main reasons why engineers prefers 1st method. i) It is very difficult to find how many units have been produced by individuals in a line and calculate total minutes produced in a day. ii) To the factory management it does not matter how much work is laid (partially stitched) in the line. How many units are completed is considered as production. I will also suggest you, to use first method as because it simple to calculate and easy for understanding. This cost goes down day by day during learning curve. Secondly every day you will get different figures based on line output.
  • 6. Cost per SAM The formula used to calculate cost per SAM is Garment SAM X Cost factor. Where cost factoris per minute labor cost to the factory at factory average efficiency. Or simply instead of cost factoryou can multiply Garment SAM by average labor salary per minute (which represent cost factorcalculatedat 100% efficiency). Whatever method you use must be clear to everyone (persons who see the report) within the factory. Cost per SAM is fixed fora style. Cost Factor: Cost factor = Labor wages per day / (shift minute * Efficiency). E.g. Factory shift time 480 minutes, Daily operator wages INR 200.00 and factory run at 50% efficiency. Then cost factor for the factory will be 0.833. Example: Factory Efficiency 50%, Daily wages INR 200.00 Shift time 480 minutes. See the comparison in the following table where style A and style B's Cost per SAM and actual cost have been shown. Use above formula to calculate figures. Style SAM Manpower Planned Production Actual Production Cost factor Cost/SAM Actual Cost A 15 20 320 150 0.833 12.5 26.67 B 12 20 400 250 0.833 10 16.0 Garment manufacturing includes number of processes from order receiving to dispatching shipment of the finished garments. A process flow chart helps to understand how raw materials are moved from one process to another process until raw materials are transformed into the desired product (garments). To be noted that a process flow chart made forthe garment manufacturing processes will vary based on manufacturing facility and product types. As some companies do whole process in single plant when others do production jobs and other auxiliary processes are outsourced. Based on present apparel industry, garment manufacturing processes are categorized as
  • 7.  Pre-Production Processes - Pre-production process includes sampling, sourcing of raw materials, Approvals, PP meeting etc. Read this for further reading on pre-production processes.  Production processes - Production processes are cutting, sewing etc.  Post production processes - thread trimming, pressing, checking, folding and packing, shipment inspection etc. Instead of making a single process flow chart, I have made one chart formajor processes and two separate charts for cutting room processes and finishing processes for detailed process chart. Chart#1. Garment manufacturing process flow chart (majorprocesses)
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  • 9. Chart#2. Cutting Room Process Flow Chart Chart#3. Finishing Process Flow Chart