JuliusHuett®Consultancy is a consultancy firm established in 2012 providing management consulting, interim management, market and business intelligence, and strategic sourcing services primarily to small and medium enterprises in Southeast Asia. The firm helps organizations improve performance through problem analysis and improvement planning. It also provides temporary executive resources and market/business data collection and analysis to support decision-making. Additionally, the firm offers strategic sourcing services, especially for apparel manufacturers seeking reliable overseas production partners.

1. MANAGEMENT CONSULTING
INTERIM MANAGEMENT
MARKET & BUSINESS INTELLIGENCE
STRATEGIC SOURCING
©2012JULIUSHUETTCONSULTANCULIMITED.
SPECIALISED CONSULTANCY
FOR SOUTHEAST ASIA
STRATEGIC SOURCING - APPAREL

2. MANAGEMENT CONSULTING
Helping organizations to improve their performance, primarily
through the analysis of existing organizational problems and
development of plans for improvement. Organizations may draw
upon the services of JuliusHuett®Consultancy for a number of
reasons, including gaining external (and presumably objective)
advice and access to our specialized expertise in manufacturing
industries in emerging markets. JuliusHuett®Consultancy
provides organizational change management assistance, devel-
opment of coaching skills, technology implementation, strategy
development, or operational improvement services.
INTERIM MANAGEMENT (iCEO™)
JuliusHuett®Consultancy provides temporary provision of
management resources and skills, so called ‘Interim Manage-
ment Services’ which can be seen as the short-term assignment
to manage a period of transition, crisis or change within an
organization.
MARKET & BUSINESS INTELLIGENCE
Market intelligence' is the information relevant to a company’s
markets, gathered and analyzed specifically for the purpose of
accurate and confident decision-making in determining market
opportunity, market penetration strategy, and market develop-
ment metrics.
Business Intelligence refers to skills, processes, technologies,
applications and practices used to support decision-making.
Business Intelligence often aims to support better business
decision-making and as such can be defined as a decision
support system.
STRATEGIC SOURCING
Since April 2013, we are also offerring services in Strategic Sourc-
ing, predominantely for Apparels. In this function we aim for the
young designers, entrepreneurs around the globe who need a
reliable partner to get their designs realised, quick, in perfect
quality and at competitive costs.
We are looking forward to hearing from you.
Yours sincerely,
MATTHIAS W STROBEL
PRESIDENT & CEO
2 |
JuliusHuett®Consultancy, established in February 2012, is a
consultancy firm providing Management & Business Consulting,
Interim Management, Market & Business Intelligence Services as
well as services for Strategic Sourcing to small and medium-sized
enterprises (SMEs), but also large corporations such as US
Fortune 500 companies wishing to enter, improve or turnaround
their businesses in the emerging markets of Southeast Asia, in
particular Indonesia.
Julius Huett | 1908 - 1990
Grandfather and Inventor
4

3. FACTS OF INDONESIA
| 3
INDONESIA’S GARMENT & APPAREL MANUFACTURING
The global economic crisis hit Indonesia’s apparel industry hard
as demand from traditional export markets significantly
declined. The course of 2010 and 2011 has seen a strong recovery
from the sector with rising consumer purchasing power resulting
in increased opportunities for premium and greater added value
products. The crisis also provided Indonesia with a platform to
reposition itself as an alternative import source for key apparel
markets such as the USA and Europe as wages continue on an
upward trend in China. In addition, the strengthening of the
Indonesian Rupiah against the US Dollar has served to bolster the
recovery and boosted industry performance.
Indonesia’s garment and apparel sector is highly concentrated
on the island of Java, particularly that of West Java and the island
of Batam which is a free trade zone. The sector employs 1.3
million people as of 2011 making it one of the most important
elements of the country’s manufacturing industry. Some 61% of
manufactured garments are exported to international markets as
various leading international apparel brands use Indonesia as a
manufacturing base for their global exports. Exports of textiles
and garments rose by 19.7% yoy to $12.1 billion USD at the end
of 2011 (Ministry of Trade) with $13.7 billion USD in 2013. Despite
the crisis, the USA remains Indonesia’s largest market for
garments and textiles accounting for 36% of total exports
followed by the EU with 16% and Japan with 5%. The most
popular export items from 2007-2011 were woven clothing,
underwear and knitted or crocheted clothing which together
made up nearly 60% of the total value of textile exports over the
aforementioned period (Source: ASEAN Quality Textiles and
Garments). An interesting trend to note within Indonesia’s
garment production has been the distinctive step towards
increased output in more value added items such as suits,
jackets, dresses and trousers for both men and women while
more basic items such as shirts and vests have only risen slightly
or stagnated (Comtrade Statistics 2001-2008).
The textile and garment sector offers both challenges and oppor-
tunities as the Indonesian government looks to the sector to be a
major engine of growth to 2030. One of the sector’s key strengths
is the rare presence of both an upstream and downstream indus-
try; both of which are well developed. The vertical integration as
a result of this, from the raw materials to finishing creates highly
streamlined supply chains and a one stop solution for interna-
tional buyers and sourcers. Many of Indonesia’s largest listed
textile and garment manufacturers have also been active in
raising funds through the capital markets during 2011-2012 for
investment into new plants as well as for the acquisition of
companies to complement their upstream or downstream
activities even further. In addition, Indonesian textiles companies
have been quick to align themselves with international industry
standards by making the necessary investments to achieve
certifications such as ISO 9001 as well as gain recognition for
sustainable and environmentally friendly business practices. This
has enabled the market to attract leading global fashion brands
by assurances of quality, best practices and quick response times.
Investment in Indonesia’s textile and garment industry grew
from 149.88 trillion RP in 2010 to 151.77 trillion RP (16.54 billion
USD) in 2011; investments mainly came from local manufacturers
as well as from the entrance of foreign players to the Indonesian
market. The number of textile companies also rose from 2,880 to
2,980, a 3.5% increase (Indonesia Textile Association). The expan-
sion of the sector and the growth in investment signifies global
confidence in the industry as numerous textile manufacturers
have come to select Indonesia as an alternative manufacturing
and sourcing base to China. While still posing infrastructure and
logistics related challenges, Indonesia has proved itself to be a
serious player within the global textile and apparel industry.
Efforts such as the government’s program to upgrade machinery
coupled with the unique attributes that its labour force has to
offer being largely young, low cost and easily trained have not
gone unnoticed by international investors. Collectively in 2011,
new training centres such as the Indonesia German Textile
Centre and the government’s restructuring program have
created 61,000 new jobs, increased production capacity by 19%,
boosted productivity by 9% and increased energy efficiency by
22% (Indonesia Textiles Association).
Labour strikes in the first quarter of 2012 which took place at
industrial areas in the Greater Jakarta area such as Tangerang and
Bekasi as well as in Riau and Papua raised alarm among investors.
Industrial workers took to the streets and blockaded toll road
entrances causing lengthy traffic jams to bring the issue of the
minimum wage to the forefront of public attention. The matter
was initially sparked by a challenge from the Indonesia Employ-
ers Association (APINDO) to the decision to raise the minimum
wage in the West Java area by 20-30%. This issue highlighted the
need for restructuring of Indonesia’s manpower laws that were
last reformed in 2004 and which are often regarded as being too

4. in favour of workers and unfriendly to businesses. Yet, at the
same time, such regulations are also seen as being poorly
enforced and thus offering little worker protection leading to
ongoing disputes and friction between employers and workers.
The textile and garment industry as a labour intensive industry
was of course impacted by the labour unrest, however less so
than other industries as salaries in the sector rose by 13% in 2010
and again by 1.7% in 2011 (IFT). In addition, the strikes were
mainly concentrated in the Greater Jakarta area where living
costs have risen considerably and manufacturing wages in
general have not kept pace with inflation. Many of the country’s
largest textile and garment manufactures have already taken
steps to hedge against the high operational costs of Jakarta and
established additional production centres in areas such as
Yogyakarta and the region of Central Java where workers unions
are also less active.
Having sustained the volatility in market demand as a result of
the Asian Crisis in 1998 and the global financial crisis in 2008;
Indonesia’s garment and textile industry has emerged as a more
robust industry. The drop off in demand from traditional export
markets such as Europe saw the demise of weaker players in the
sector that had failed to reposition themselves in a changed
economic landscape. Surviving industry players boast interna-
tional certifications, up to date technology at their disposal and a
highly competitive labour force in terms of cost and productivity.
Key issues continue to plague the sector such as weak infrastruc-
ture and unresolved labour disputes which impact the manufac-
turing sector as a whole; yet the industry’s advantages of having
both a developed upstream and downstream sector compensate
for this and illustrate the potential that the sector holds once the
government can fully tackle the infrastructure bottle necks and
manpower legislation.
FACTS OF INDONESIA
4 |
INDONESIA MANUFACTURING SNAPSHOTS
> Contribution to GDP: 24.2% (2011, Non Oil & Gas)
> Real Sector Growth: 6.6% (2010-2011)
> Number Employed in the Sector: 15 million
> Average Employee Salary: 1,369,000 RP/month
Main areas: Automotives, Electronics, Textiles, Footwear,
Food & Beverage, Palm Oils, Metal Products, Chemicals
Main Export Markets: China, Japan, USA, India, Singapore,
Malaysia, EU.

5. before having them shipped so that they are in good condition
BEFORE they are put on the ship.
Terms and conditions of international trade sometimes sounds
like 'crazy-talk' so we sift through the clutter and define the
policies and agreement that will become effective once you
establish a business relationship with the overseas manufacturer.
Payment terms, duties, and other pre-requisite will be vital in
determining what is expected so having us as sourcing agent to
handle these aspects is an asset to your business.
Our duties as your sourcing agent are basically 4-fold:
> To guarantee you a trustworthy supply partner
> To outline the agreements with your best interest at heart
> To make sure the ensuing manufacturing runs like clock-work
> To make you, the small business owner more comfortable and
confident in your supply line so you can focus your attention
on building your businesss.
HOW WE WORK AS YOUR SOURCING AGENT
Searching for a recognized and reliable overseas factory to
manufacture your products is a lot easier and more effective
when using a good sourcing agent (as opposed to searching for
yourself).
This allows you to get more proactive in marketing your products
and opening up new retail outlets (considering you now have
someone managing your back-end). As your sourcing agent we
will aid in locating factories that are a perfect match to your
needs. They can also help to better identify which suppliers will
be punctual, provide efficient service and are trustworthy.
From there, you can be given an outline of the prices and how
best they can be negotiated, a break down to how orders are
placed, payments are taken and suppliers paid. Another impor-
tant function of us as your sourcing agent is to do proper inspec-
tion of factories to check that they have high standards and
conditions. It is also important that you inspect your goods
| 5
THE SUPPLY CHAIN AND HOW WE WORK
Consumer Needs
Product Design
Product Development
Raw Material
Factory Sourcing
Manufacturing
Control
Shipping Control
Forwarder
Consolidation
Customs Clearance
Local Forwarding
Consolidation
Wholesaler
Consumer

6. 1
Concept phase; an idea becomes inspiration
2
Sketch created
3
Market niche is determined -- (along with business plan
and financial plan for startups)
4
Fabrication and trims chosen
5
Design translated into specifications (flats, measument
etc.)
6
Fabrics, trims, and other components approved
and sample quantities ordered
7
Pattern made
8
Sample garment sewn
9
Sample garment tested for fit, and alterations made to
pattern. (note: steps 6-8 may need to be repeated but
should not be more than twice or there is a problem)
10
Final sample produced
11
Production costed
12
Sales samples and color options sent to sales reps.
(research and planning for next season begins)
13
Design sold to retailers. Resulting orders are then used
to determine production material quantities as well as to
procure funding (factoring)
14
Production quantities of fabrics, trims,
and components ordered.
6 |
28 STEPS TO PRODUCING APPAREL
15
Final production pattern made
16
Production samples produced (Sew by)
17
Patterns graded
18
Marker made for each size,
and keyed to pattern repeat
19
Fabric unrolled and inspected for flaws
20
Cutting tickets made
21
Fabric layered and cut
22
Garment pieces bundled with sewing tickets
23
Bundles given to sewers
24
Constructed garments sewn and finished
25
Final pressing
26
Final quality control inspection
27
Garments tagged and hung
28
Packing slip and invoice created
CONTROL AT ALL TIME
We are making sure, that at each of those 28 steps you are being
represented at its best, with the best result. Our fees are relatively
flexible to the amount of goods and services being purchased
over a particular time.
Please find more details about our fee packages at the next page.

7. Percentage fee, calculated
on the overall sourcing
volume. Please speak with
us to get a personalised
quote.
Flat fee which can be paid
on monthly basis, calculated
from start of services until
delivering of the ready made
goods.
OUR SOURCING SERVICE FEES
| 7
PACKAGE
ONE
PACKAGE
TWO
1 2
(In some cases we can also offer a combination of the two).
J A V A
We have access
to over 900
Garment Factories
across Java.

8. ©2012JULIUSHUETTCONSULTANCULIMITED.JULIUSHUETTISREGISTEREDTRADEMARKNO.2587834.|VAT.REG.NO.:131790327
CONTACT
JULIUS HUETT CONSULTANCY LIMITED
6 LANGDALE COURT | WITNEY | OXFORDSHIRE | UK | OX28 6FG
T: +44 (0)7506 722163 E: INFO@JULIUSHUETT.COM W: JULIUSHUETT.COM
REGISTERED IN ENGLAND AND WALES NO. 7970666 | VAT. REG. NO.: 131 7903 27
JULIUS HUETT CONSULTANCY INDONESIA
OFFICE 8 | LEVEL 18-A | JL. JEND SUDIRMAN KAV. 51-53
SUDIRMAN CENTRAL BUSINESS DISTRICT (SCBD)
JAKARTA | SELATAN | 10310 | INDONESIA | T: +62 (0812) 12 556861