3. Why to change ?
• High finished goods inventory – avg. 5 weeks
• High WIP – avg. 3 weeks
• High raw material inventory – avg. 4 weeks
RESULTS:
(a) excessive finance charges
(b) contribution towards slow selling lines
and raw material write-offs
(c) lack of flexibility - not serving customers’
needs
(d) poor profit performance.
4. TASK TEAM
DURATION
• 3 month planning
• 3 month implementation
TEAM MEMBERSHIP
• Supervisor
• Production Control
• M&S Liaison / Fabric Purchase
• Production / Work Study
• Garment Engineer
+ Consultant
6. STEP ANALYSIS
Cutting & Dunfermline High WIP System
No. of Steps 160
No. of Value Adds 24
No. of Non-Value Adds 136
Process Time 19 Mins
Manufacturing Lead Time 12 Days
Distance 1087m
WIP (Dozens) 5366
£ 322K
Space (excluding warehouse) 60886 sq.ft.
Direct Staff 270
7. “ BLUE SKY ”
Cutting & Dunfermline High WIP System Ideal
No. of Steps 160 25
No. of Value Adds 24 24
No. of Non-Value Adds 136 1
Process Time 19 Mins 19 Mins
Manufacturing Lead Time 12 Days ¼ Day
Distance 1087m 50m
WIP (Dozens) 5366 112
£ 322K 6.7K
Space (excluding warehouse) 60886 sq.ft. 9000 sq.ft.
Direct Staff 270 118
8. PROPOSED PLAN
Cutting & Dunfermline High WIP System Ideal Practical
No. of Steps 160 25 49
No. of Value Adds 24 24 24
No. of Non-Value Adds 136 1 25
Process Time 19 Mins 19 Mins 19 Mins
Manufacturing Lead Time 12 Days ¼ Day 2 Days
Distance 1087m 50m 370m
WIP (Dozens) 5366 112 894
£ 322K 6.7K 53K
Space (excluding warehouse) 60886 sq.ft. 9000 sq.ft. 32606 sq.ft
Direct Staff 270 118 179
12. IMPROVED LINE SYSTEM
• Shorter lead time
• Low WIP
• Smooth work flow
• Minimal operator movement
• Focused supervision
• Rework - minimal
• Feedback from pressing
• Damaged panels replaced
• Less accessory wastage
• Safe
13. How could these lines start at 100%
(Blue Sky)
What were the issues?
• No structured pre-production process
• Raw materials not available
• Quality problems
• Poor communication
• Lack of information
14. PRE-PRODUCTION PROCESS
• Introduction of pre-engineering on factory floor
• Pre-production test analysis (PPTA)
• Machines pre-set prior to line start
Master Schedule
• One plan for the business
Action Schedule
• Critical dates for each stage of pre-production
• Identifying lead times for fabric and trims
Contract Planning/Control
• Close liaison with customer
• Minimum commitment
• “Stock Quality”
15. ROLE DEVELOPMENT
Enlarged Roles
Designers > Technical Designers
Work Study ) > Garment Engineers
Production Managers )
Fabric Buyer )
Accessory Buyer ) > Planner / Buyer
Planner )
• Multi Skilled
• More Responsibility
• Simplified Structure
• Increased Accountability
• Clear Lines of Communication
16. PEOPLE
• Investors in People focuses our training
initiatives around an up-to-date business
plan
• Team work
• NVQ’s
• Encouragement of ideas (involvement)
17. CHANGES IN QUALITY
SYSTEM
• Better pre-production anticipates most problems
• RTM risk analysis - feedback from RTM analysis
• ISO 9001 & Lloyds formalise quality systems
• End of line and management audits provide
information on areas for improvement
18. CONCLUSION
• Lower stock levels 5 weeks > 2 weeks
• Lower WIP 3 weeks > 2 days
• Much more flexible
• Line efficiency 65% > 80%
• Profitable Nil borrowings
• Customer-focused manufacturing system
supported by innovative design
19. IMPROVEMENT IS NOW A
WAY OF WORKING
• Total Productive Maintenance - Operator Involvement with
(TPM) machine care
• Statistical Process Control - Improve the process to make
(SPC) the product better
• JIT Tours - Look for best practice
• Further Task Teams - Powerful method of
implementing change
• Appraisals by Customer - Focus on what your
customer wants
20. RE-THINKING THE DESIGN
PROCESS
OBJECTIVE
High New Product Strike Rate
BY
Analytical approach to product
development
22. FOCUSED BUYING
Initial Buys
Fashion Classics - Updated core products,
e.g. basic t-shirt
Fashion Basics - The ‘looks’ specific to each
season identified from ‘Design
Matrix’, e.g. Slip Dress, Polo
Dress
In Season Purchase
Fashion Newness - To be bought within season,
e.g. Jelly Shoes, Fashion
Sportswear
23. DESIGN MATRIX
Major Stores Fashion
Sportswear
50’s
Teenager
30’s, 40’s
Romantic
Neo Mod
The Gap’
‘The Limited
Express’
‘Banana
Republic’
‘Donna Karan’
‘Ralph Lauren’
‘Calvin Klein’
Soho
Boutiques
‘Zara’
Total 6 4 8 3
% Total 75% 50% 100% 27%
Key Tennis - Skirts Shift Dresses Slip Dresses Short A-Line
Skirts
Garments Shorts Twin Sets Tea Dresses Pinafores
Dresses Capri Pants Long Bias Skts Jelly Shoes
Polo - Shirts Dirndl - Skirts Flippy Shorts ‘Pac-a-Mac’
Dresses Dresses
Bodies Harringtons
Parkas
24. TECHNICAL DESIGNER
CURRENT FUNCTION
Design
Fabric Utilisation
Garment SM’s
Costing
Customer
Leads to the development of
25. THE COMPLETE
PRODUCT MANAGER
• Design, Cost and Sell Product
• Liaise with Customer Commercial Management
Customer Fabric Technology
Customer Garment Engineers
26. IT SYSTEMS
DEVELOPMENT
• M&S Payment System
- Trialist
• Contracts Management System
- 1 of 5 on Management Board
- Participating in Supplier Forums
- Going live in T74 - 26.06.96.
• E-Mail
- Link to Factories, London office and
M&S
27. Major Stores Fashion
Sportswear
50's Teenager 30's, 40's
Romantic
Neo Mod
'The Gap'
‘The Limited
Express’
'Banana
Republic'
'Donna Karen'
'Ralph Lauren'
'Calvin Klein'
Soho Boutiques
'Zara'
Total 6 4 8 3
% Total 75% 50% 100% 27%
Key Garments Tennis - Skirts Shift Dresses Slip Dresses Short A-Line
Shorts Twin Sets Tea Dresses Skirts
Dresses Capri Pants Long Bias Skirts Pinafores
Polo - Shirts Dirndl - Skirts Flippy Shorts Jelly Shoes
Dresses Dresses 'Pac-a-Mac'
Bodies Harringtons
Parkas