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SUMMER INTERNSHIP REPORT

A study on the working of an Export House -
Gokaldas Exports Ltd.




Name - Aviral Raman Mishra
Department Marketing & Merchandising
Mentor - Ms. Victoria
Course Master of Fashion Management (MFM)
Institute National Institute of Fashion Technology, Gandhinagar
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Gokaldas Exports Ltd.

Head office
Gokaldas Exports Ltd .
No 70, Pb No 2717, Mission Road,
Bangalore 560027

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Table of contents
1. Objective of the study... 4
2. Methodology .... 4
3. Executive Summary.. 4
4. About the company....5
5. Awards and accolades......................................................9
6. Product Range .......10
7. Major buyers/ customers.........................................12
8. Department Study......14
9. Process- Gokaldas Exports....42
10. Arvind Brands.50
11. The Lean Initiative..53
12. Gokaldas Exports Factories.55
13. A Visit to DMS factory62
14. Garment wash .....75
15. The Key Learnings...83
16. Conclusion...84





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Objective of the study
1. To understand the working of an export house.
2. To understand the roles & responsibilities of a merchandiser in an export house
3. To get a clear understanding of the roles & responsibilities of different departments in an
export house.
4. To understand the standard operating procedures (SOPs) for merchandising in an export
house.
5. To understand the process and procedure of an export order.
6. Get knowledge about the different documents prepared and used in an export house.
Methodology
The research carried out for this report is Exploratory in nature, in which the main objective was
to get first-hand information on the working of an export house & to understand the roles &
responsibilities of merchandiser in an export house.
The primary information was collected through informal and unstructured interviews and various
discussions with numerous people at different positions within & outside the organization.
For secondary information company manuals, internet, journals and published books were
reviewed & referred.

Executive Summary
This report is an account of first-hand experience gained in a company having a reputed stand in
the international market and policy of keeping itself updated with the changing times. This report
mainly deals in the application of theoretical knowledge into a practical experience.
The report attempts to present my experience in Gokaldas Exports Ltd.; Indias premier export
house. It is a privilege to be a part of such an esteemed organization and get the first hand
knowledge of various departments under various heads. It covers the basic structure of an export
house and its working. It also includes the various formats & techniques that are used to maintain
the records. Overall, this report covers the individual study of each department & the entire
procedures that a garment undergoes.
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.Company





Gokaldas Exports was founded by the late Jhamandas Hinduja in Bangalore in 1979. Hinduja
had moved to Bangalore from Pakistan prior to the 1947 partition of India and established a
business that manufactured silk scarves and stoles. On a trip to Copenhagen in 1971, he had his
flash of inspiration that started his success story. One of his business contacts asked him to copy
two shirts, a request, it turned out that was incredibly fortuitous as the market for silk scarves
was increasingly saturated. Hinduja was in need of a new business model and shirts appeared to
be the way forward. said Hindujas third son, Dinesh, who joined Gokaldas at its founding and
would go on to run the company with his brothers, Madanlal and Rajendra.
Manufacturing conditions in the early years were rudimentary. I entered the industry in 1979,
with $5,000 (Rs 50,000 then) and 40 leg machines in a 1,000 square foot rented space, Dinesh
Hinduja explained. We worked in shifts, making garments in the morning and packing them
towards the evening in the same area. The company targeted export markets primarily the
United States and Europe and began to expand through partnership arrangements, the most
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conducive approach to growth in the regulatory environment of the time, which favored small-
scale industry. In 1981-1982, the Apparel Export Promotion Council of Indias Ministry of
Textiles awarded Gokaldas its Top Exporter Award, one of dozens such accolades the
company would receive in coming years. As volume grew, technology was introduced, starting
with an HCL Workhorse, Indias first desktop computer. The screen glowed green; it had a five-
inch floppy and a heavy putty-grey keyboard.
Gokaldas factories were fully integrated, meaning they also made labels, tags, elastics, cords,
cartons and packing materials everything needed for any garment produced. The 70 or 80
manual patternmakers once a source of numerous problems had been replaced by five to six
CAD systems. Huge industrial washing machines churned denim garments to give them the look
of the hour stonewashed, acid-washed, bleached while other garments were manually spray
painted, sand-blasted or laser-engraved. Massive multi-head embroidery machines emblazoned
shirts and jackets with appliqus, badges, and embroidery. Gokaldas was able to provide its
clients with any kind of garment right from ultra-formal to ultra-casual across mens, womens
and childrens wear. Eventually, it specialized in outerwear, like coats and jackets; active wear,
like warm-ups and swimsuits; bottoms, like trousers and shorts; and casual wear, including
shirts, blouses and dresses.
For the past 30 years, clients across the globe have placed confidence in Gokaldas Exports. They
trust the company to deliver to their exacting specifications, to match and even surpass extremely
high standards of quality and to meet the tight deadlines necessary in the world of garment
manufacture.
Today, Gokaldas Exports is one of the largest manufacturers in India and amongst the largest
internationally. Retaining strong family values and ethics, it has grown to be one of the worlds
best known and reliable manufacturers of readymade garments. Headquartered in Bangalore,
Gokaldas Exports operates out of more than 30 factories located in and around Bangalore,
Chennai, Hyderabad, Mysore and Tumkur. The factories are dedicated by buyers and by
products, specializing in creating Outerwear, Blazers and Pants (Formal and Casuals), Shorts,
Shirts, Blouses, Denim Wear, Swim Wear, Active and Sports Wear. Keeping pace with the
requirements of famous labels in 39 countries.

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Product strengths - outerwear, bottoms, sportswear, formal suits, trousers, skirts, and denim wear
across all genders.
Annual turnover is $200 million.
Global customer base, covering USA, Europe, Latin America, Middle East and India, servicing
almost all major brands.
Gokaldas has four decades of partnering the worlds most trusted fashion labels. They have lead
the readymade Indian garment industry, year after year, earning customer loyalty, winning
industry awards and growing reputation for reliability. They have oriented themselves to fashion
trends and customer needs, investing in the latest technology, relentlessly training the high
skilled workforce and setting the highest standards for themselves.

Vision
To be a globally reputed apparel manufacturer, evoking distinctive recognition for Product,
Performance, Processes and People.

Mission
Achieve profitable growth through Innovation, Quality, Consistency and Commitment.









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Board of Directors


Shri Richard B Saldanha Shri Gautam Chakravarti
Chairman Director & CEO

Shri Mathew Cyriac Shri Arun K Thiagarajan
Director Independent Director

Shri J H Mehta Shri Yashwant Shankarrao
Independent Director Patil Thorat
Independent Director


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Awards and Accolades
Gokaldas Exports has won the highest number of awards in Asia since 1980. The company has
also won all the top export awards amongst all Indian garment manufacturers.





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Product range
Gokaldas has the capability to produce a wide product range; among these are:
Formal suits
Casual shirts
Formal shirts
Casual trousers, shorts
Outerwear jackets
Coats, Parkas, Rainwear
Ladies blouse, Skirts
Dresses
Sports wear
Knits
Denim wear
Embroidered garments
Tie- dyed garments
Sleepwear
Childrens wear

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Major Buyers/ Customers































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Departments at Gokaldas Exports







Sourcing :- Fabric & Trims
Sampling
Design / Product Development
CAD / Pattern
Marketing & Merchandising
Industrial Engineering Department (IED)
Export Documentation & Logistics
Production Planning & Control (PPC)
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1. Sourcing
The sourcing department acts as a service department to Gokaldas Exports and is divided into
two parts. One takes care of only the fabrics while the other works on accessories and trims.
Sourcing is identifying and procuring of raw materials with right quality, right quantity, right
source, sharp and competitive prices and the best lead time. There are few major components
involved in the sourcing process. These are as follows:

Fabric sourcing: Fabric sourcing department is responsible solely for sourcing the fabrics for
sampling and development as well as for bulk. The organization structure is such that they have
different teams for different buyers which are further divided as sourcing for development and
bulk.
Recieve indent from marketing
Create (PO) Purchase Order and
send to the supplier
(Nominated or Non- Nominated)
Recieve (PI) Proforma Invoice
confirmation from supplier
Follow up
Create Advance Shipment Notice
(ASN) and intimate the godown/
warehouse about the material in
transit
Recieve Goods Reciept Note
(GRN) on receipt of the material
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The various outputs provided by the sourcing department are as follows:
Quality Information Lead Times (regular quality)
Lap dip 5 to 12 working days, (local/ imported)
Desk Loom 7 to 15 working days, (local/ imported)
Strike off (table/ rotary) 10 to 15 working days, (local/ imported)
Any special quality greige 2 to 3 weeks
Sample Yardages Lead Times
Solid 3 to 4 weeks
Prints/ Yarn Dyed 4 to 5 weeks
Any special quality greige 2 to 3 weeks
Bulk Fabric Lead Times
Solids (regular quality) 45 to 50 days
Prints 50 to 55 days
Yarn Dyed 55 to 65 days
Any special quality greige 4 to 5 weeks

One more important function of the sourcing department is to provide important information to
the merchants and the marketing department. For sampling and development, the sourcing
department provides with the pricing, quality information and any special requirements such as
alternate sources, different finishes, etc. of the fabrics to be sourced. For bulk order processing,
they provide information regarding the delivery date, TNA and FOB (different for solid, yarn
dyed, etc.)
Trims and accessories sourcing: The trims and accessories sourcing department is divided
buyer wise as well. Further, it is divided trims/ accessory wise. For example, a particular team
comprising of 2 to 3 people are responsible only for sourcing buttons and another team is
responsible for sourcing zippers, etc. Similar to the fabric sourcing department, for trims also
there are nominated and un-nominated suppliers. When an indent is received from marketing, the
sourcing merchant first contacts the Inventory Allocation Department (IAD) to check if the trims
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requested by the merchandiser are already available in stock. If not, the sourcing merchant places
the order with the suppliers. If IAD has stock, then only balance trims (if any) are ordered for.
For different materials from different suppliers; imported or local; there are different payment
and delivery terms. It is the sourcing merchants responsibility to get the most suitable term with
the supplier and continuously follow up for the same.

2. Sampling

The sampling department is one of the most important departments and it plays a vital role in the
uplifting of a unit. The dedicated sampling unit includes machinery for knits and wovens plus on
site embroidery. Sampling department directly coordinates with the merchandising and the
production department. Sampling is done to see how the product will look like when produced in
bulk and to check whether there is any discrepancies in the pattern and the samples are made
according to the buyers specification. Sampling checks the construction of the garment and the
production feasibility and friendliness of the style. The sampling department operators are highly
skilled and are capable of tailoring a complete garment.
Two main functions of the sampling department are:
a. To cater the buyer
b. New development
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Different types of samples are made at the sampling department based on the demands and
specifications of the buyer. These are:




Proto sample
This is the first sample made for the buyer. At this stage, the main aim is to impress and attract
the buyer and show them the capabilities of the company. This sample is applicable for the styles
which are made without any prior presentation of samples to buyer.
Fit sample
Once the Prototype sample has been approved, the buyer is provided with fit sample for
approval. This sample is prepared using the actual or a similar quality fabric, as mentioned in the
Tech pack, but could be in any colour and available trims.
Size Set
Once the fit sample is approved, based on the pattern of the approved sample the grading for
other sizes are done and pattern for all the sizes are made. Then the samples for all the other sizes
are made to check the fit and workmanship.
Pre- Production sample
On approval of the fit sample or size set sample, pre-production samples are sent to customer,
which is the actual in all aspect of trims, folding and packing.

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Apart from these, two more types of samples are made at the factory itself to acquaint with the
styling, construction, wash, etc. of the style. These are:
Production Size Set
At times, at the buyers request, size set samples are made at the factory as well before
proceeding for bulk.
TOP (Top of Production) sample
Sometimes buyer wants sample that production has been started. It includes all the trims,
package sticker, and price ticket of a related garment.
The sampling unit (R&D III) is divided buyer wise and each buyer has a designated technician
and QC. After the samples are made, a review sheet is maintained for each style for any further
alterations.
Sampling department workflow
Activity Team involved
Receive indent by mail, print indent, update information on sampling
software and hand over indent copy to respective sampling coordinator
Data entry
operator/ Sampling
coordinator
Accept indent, verify information provided on indent Sample
coordinator
If non wash program; coordinate with R&D pattern coordinator and get
pattern pulled from pattern department or pattern store with all necessary
documents required for sample making (Documents- techpack, BOM,
PAM comment, sample print/ embroidery/ artwork or strike off)
Sample
coordinator/ R&D
pattern coordinator
If wash program; check shrinkage received from marketing on indent and
update CAD to release shrinkage added pattern
Sample
coordinator/ Plot
coordinator at
CAD department
Coordinate with R&D pattern coordinator and get shrinkage added pattern Sample
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pulled from pattern department along with all necessary documents
required for sample making (Documents- techpack, BOM, PAM comment,
sample print/ embroidery/ artwork or strike off)
coordinator/ R&D
pattern coordinator
Prepare style file Sample
coordinator
Coordinate with material collector and get the package collected from
merchandising. Package contains BOM copy, approved fabric and thread
card. Trims for sampling and finishing
Sample
coordinator/
Material collector
Verify sampling package and make sure all required styling information
and trims available in the package to proceed with sample making
Sample
coordinator
If package or information received from marketing team is deficient;
instruct data entry operator to reject sample indent and inform
merchandiser to release fresh indent for sample making
Sample
coordinator/
Material collector/
Merchandiser
Review BOM and explain fabric details to cutter and hand over fabric
package for cutting
Sample
coordinator/ Cutter
Collect cutting package and get required marking done by cutter/
supervisor and dispatch cut panel along with the pattern for printing/
embroidery or any special embellishment as per style requirement
Sample
coordinator/
Supervisor/
Embroidery or
Printing unit
Collect panel back from embroidery/ printing/ embellishment and get the
panel checked by supervisor/ QA or merchandiser for correctness of
design/ color and position before completing the sewing package
Sample
coordinator/ QA/
Supervisor/
Merchandiser/
Embroidery or
Printing unit
Hand over consolidated package to line supervisor (Pattern, Cutting,
Trims, Original sample and Style file)
Sample
coordinator/
Supervisor
Line supervisor to ensure QA/ Technician/ IE is called to clarify all style Floor in charge/
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details before loading of style Supervisor/ QA/
Technician/ IE
Style to be loaded on line once all details are clear to the supervisor and
tailor
Floor in charge/
Supervisor/ Tailor
QA/ IE to audit style on line to ensure all construction detail as per
customer requirement and PAM comment is followed
QA/ IE
Garment line out- Inspect the sample for correctness as per customer
requirement and PAM comment, sample found acceptable ; coordinate
with finishing team and get the pre wash finishing done
QA/ Finishing
team
Collect sample and dispatch for wash along with wash standard Sample
coordinator/
Washing unit
Follow up and get washed garment back from washing unit and hand over
the garment to QA
Sample
coordinator/
Washing unit/ QA
Coordinate with finishing team and arrange for final finishing of the
garment
QA/ Finishing
team
Review garment and ensure sample meets internal and external customer
needs as specified by buyer/ IED
QA
Organize technician review and post review. Organize packing as per the
standard and handover package to R&D coordinator as per review sheet
and original sample
QA/ Technician/
Sample
coordinator
Dispatch sample with DC( Delivery Challan) to merchandiser along with
original sample, review sheet and left over trims and accessories
QA/ Merchandiser
Update sample dispatch information to R&D data entry operator and the
operator to update entry information into sampling software
Sample
coordinator/ Data
entry operator
Return left over fabric with DC to fabric stores through the fabric collector Sample
coordinator/ Fabric
collector
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Return pattern package to pattern stores/ pattern department Sample
coordinator

Major functions of the sampling department
Planning and execution of correct samples on time
Ensuring the sample quality, construction, measurement is as per the customer
requirement
Looking after the sample fit and overall presentation of the sample


3. Design/ product development
This is one of the service/ support departments of the company. This department is not buyer
specific and works for all the buyers that the company caters to. The major role of this
department is to get business for the company. The design team works in two manners: Firstly,
as per the requirements and specifications of buyer and secondly, for companys own collection.
Showrooms are there for meeting as well as presentation for new development/ line adoption to
the buyers.
Functions of the design team:

Product
Development
Internal
Designing
Own Design
Line (GE
Collection)
Inspirational
External
Designing
Techpack
Showroom
Management
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Internal Designing
The design team keeps a trained eye on the market, identifying and forecasting emerging trends
in styling, fabrication, color, embellishments, shapes/ silhouettes and surface treatments. This is
done with the help of many sources like fashion forecasting websites, magazines, trade journals,
buyer trends, etc. The companys designers work on two core seasons per year as well as many
Fast Track collections. These collections help in the growth and development of the business
as they showcase the companys capabilities to old as well as prospective new buyers.

External Designing
This department serves value to the buyers/ customers who do not have their own fully equipped
design studios. The product development department can provide such buyers with mocks or
samples which may translate into bulk production orders.
Mock or samples will be prepared for
selection
If selected, meeting samples will be
prepared
Costing and Negotiations
Fit samples
Grading
Order Confirmation
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Show Room/ Style Vault/ Design Studio
Show rooms/ style vaults are the places where the new products developed and the bulk samples
of already delivered orders are displayed. Show room management is the technique which has to
be implemented to ensure to get a life time customer through the right presentation in the show
room. Show room is the place where the potentiality is engraved; capability is displayed to
ensure to get the life time customer. A platform to gain or lose a customer during a presentation.
A place to build up confidence to sell the right product to the right customer and to exhibit the
latest collections of sample products which attract the customer.

Functions of the design team in show room management:
Thematic display of new products developed for buyer and season presentation
Studio V.M/ display design and execution
Buyer inputs via the buying house/
designers/ agency
Development of Lookboard
Mock or samples will be prepared for
selection
If selected, meeting samples will be
prepared
Costing and Negotiations
Fit samples
Grading
Order Confirmation
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Fabric and mock display as per season/ buyer brief
Showroom management and personal grooming:
Certain set of commandments related to personal grooming and code of conduct are to be
followed when meeting a buyer at the showrooms so as to attract new business to the company.
Some of these are:
Continuous communication and correspondence with the buyer
Keeping all the materials/ styles/ information ready at hand in case of urgent requirement
Drawing up a proper agenda for each and everything
Special care to be taken for personal hygiene and grooming
Ensure to make the buyer aware of all the in house facilities/ capabilities/ product range
Being a good host

4. Pattern/ CAD

CAD stands for Computer Aided Design. It is one of the most important departments of the
export house; acting as a service/ support department for merchandising and sampling. The
working of these two departments highly depends upon CAD department. Without CAD it is
very difficult for these departments to move ahead. The CAD department at Gokaldas is
employed with skilled and specialized pattern makers, marker makers, graders, manual cutters
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and coordinators. Everyone has a defined set of tasks to be performed. The CAD department at
the head office works only for sampling. In case of bulk orders, pattern to calculate the
consumption of bulk orders is given by the CAD department at the head office and the actual
patterns and markers are made at the respective factories itself.
Major responsibilities of the CAD department are:
Planning and execution of pattern on time and as efficiently as possible
Ensure dispatch of correct TEXO (mini marker) to marketing
Ensure dispatch of correct pattern to R&D
Ensure dispatch of correct graded pattern to R&D/ factory
Software used: Gerber Technology
Accumark Version 8.5
Accunest
The CAD department at the head office is equipped with Plotter and Cutter machines. The basic
two types of machines are:
Gerber plotter: This machine only plots and the cutting is done manually. Bigger patterns
with greater paper lengths can be plotted on this machine.
Plotter and Cutter: Plotting as well as cutting is done on this type of machine; however
markers with less patterns and smaller lengths can only be plotted on this type of
machine.
Both the machines are system automated.
Basic workflow of the CAD department is as follows:
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Pattern: A pattern is the parts of the garment in 2D incorporating specific style details, specific
measurement, size of the garment and also marked with grain line, notch mark and dart line
which is to be used to make a garment in 3D.
Grading: Grading is expansion or reduction of base pattern of garment parts without changing
the styling or aesthetics of the garment.
TEXO marker: TEXO marker is a graphical representation of the pattern pieces placed on a lay
to ensure optimum utility of fabric.
Types of Marker: various types of markers are as follows.
One way marker: All the parts of the garment placed in one direction is called one way marker.
Normally used for fabric with napping.
One garment one way: All parts of one garment placed in one direction and all the parts of the
other garment placed in the other direction within the same lay is called one garment one way
marker.
Two way marker: Parts of one garment placed in two different directions is called two way
marker.
Receive techpack and indent from merchandiser
Techpack and indent reviewed by coordinator
Conduct DFM meeting (Design for Manufacturing
Pattern making on CAD
Marker
Making
Grading
Plotting and
Cutting
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Four way marker: Parts of one garment placed in all four directions is called four way marker.
Normally used for polywadding and non woven interlining.

5. Marketing and Merchandising
Merchandising is the department which mediates marketing and production departments.
Merchandisers act as mediators between the export house and the buyers. Merchandising
department is responsible for the costing as well. In any case, the merchandiser is the person
whose responsibility is to execute the orders perfectly as per the costing and pricing. The
function of the merchandising department begins with the sourcing for the new order or the
repeat order, and continues till the shipment deadline has met. They know what buyers want and
what the company is able to and willing to deliver. They are responsible for timely execution of
the orders. The merchandiser has become an indispensable unit in the export cycle, managing
and handling not only the follow up of the orders but the entire supply chain. They carry out pre
production planning with the help of the production manager so that the order gets completed in
a smooth and organized manner on time.

The merchandisers keep track of all the departments progress with their orders. They maintain a
copy of the documents from all the departments, which show the status of the orders in those
departments. The merchandisers discuss the details of the tech pack with the QCs and pattern
masters and negotiate with the buyer if there are any changes to be done. They get the samples
made under their supervision. Placing order foe sampling fabric and trims is also merchandisers
responsibility after getting the approval for the same.

ERP is used at all stages from raising a purchase order to ordering trims and fabrics to follow ups
talking about the use of ERP system in the merchandising department, all the merchandisers are
given an ERP code and password which they use to access their ERP account. Even for placing
an order for trims and sampling, it has to be done through the channel of ERP.


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Department Functions
a. Communicating with the buyers
It is one of the most important functions performed by the merchandiser. From the time of
initiating the contact to making the sale, then procuring the orders, getting samples approved and
following up on production, buyer contact is maintained. The buyer has to be kept at both pre
and post shipment stages. It is because of his/her link with the buyer that the merchandiser is
synonymous as a buyers representative within the organization, and similarly to the buyer he
represent his own organization. Thus the success of an export organization largely depends on
the efficiency of the merchandisers ability to handle and maintain buyer contact.

b. Sampling
The merchandiser has to make sure all the samples are sent on time to the buyer as per their
demand and requirements. It is the merchandisers responsibility to arrange all the materials
required for sampling and deliver to the sampling unit on time. After sending the samples, the
merchandiser has to follow up with the courier department and inform the buyer regarding the
details of the package so as to track the package. The merchandiser has to ensure that all the
buyer comments are incorporated once the sample has been reviewed by the buyer.
c. Costing
The most important function of the merchandising department is to calculate the total cost of the
garment. It is the job of the merchandiser to estimate the initial cost correctly and also negotiate
the cost of production with buyer before receiving the final P.O. The costing should be such that
it suits the buyer and also the company. Initial costing is done so as to get an idea of the likely
cost to be incurred after getting the SAM of the garment, fabric consumption from CAD, fabric
price and quality from sourcing, etc. Changes are made later on according to any changes in the
styling, negotiations with the buyer, etc.
Major costs to be considered are:
Fabric
Trims
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Packing
Value added processes (Washing, Printing, Embroidery, any other)
Other costs (Testing, Sampling, Courier, Discounts if any)
Cost of making
A cost sheet includes:
Buyer name
Style
OC number
PO reference
Style Description
Season
Delivery Date
Quantity
SAM
Date
FOB price
Currency
Conversion Rate
Manager and Merchant name

d. Bulk sampling
The merchandiser has to coordinate with the factory regarding the production size sets and the
pre production samples; made at the factory. The merchandiser has to ensure the samples reach
the buyer on time and follow up for the approval of the sample.
e. Bulk order processing
Once the orders are booked the merchandiser is required to follow-up on production. Because of
the level of interface between the buyer and the merchandiser, the merchandiser is best equipped
to instruct the production department about the product requirement of the buyer. The
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merchandiser is also required to keep the buyer up-to-date on the status and progress of his order
through the production process through weekly updates.

f. In process inspection
As the merchandisers interface with the buyer is frequent and ongoing, it therefore becomes the
merchandisers responsibility to ensure the product meets with the buyers quality requirement.
The merchandiser is required to do random quality checks on the merchandise at various stages
of production. However, at all time he has to control quality from a commercial viability angle.

g. Maintenance of files
A merchandiser might be handling more than one buyers or orders at once. In order to prevent
confusion and better management of work the merchandiser has to maintain separate files at each
stage for different buyers.
h. Mails
All mails to be answered point to point and the concerned marketing manager to be in CC on the
same.
i. Customer complaints
Ensuring that no customer complaint is missed out and try to resolve the complaints by analyzing
the complaint and corrective/ preventive action to be formulated.

Departmental Objectives
1. Send complete sampling packet to sampling department immediately after the sampling
indent is released.
2. Generate TNA and achieve OTP for sampling and order shipment stage.
3. Ensure all approved materials along with complete PO packet delivered on time to the
factory.
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4. Clear approvals to the factory:
Fabrics/ Trims
Washing approval
Embellishments approval
Packing approval
5. Achieve customer satisfaction
6. Maintain minimum level for sort, set, sustain and safety.




Department Hierarchy



COO
General Manager
Manager
Merchandiser
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Qualities of a merchandiser
A merchant must possess the following qualities for efficient and effective working :

Planning Capability: Merchandiser should be capable of planning, based on the planning the
order is to be followed. If the planning is not done properly it will directly affect the delivery
time of the order.
Decision making: For a Merchandiser, decision making power is most important. They should
think about the decision to be taken and to act in a right way.
Communication Skill: The communication is very much important to promote the business
activity. The merchandiser should be able to communicate well with the buyers as well as other
service departments and ensure to pass the correct message for effective working.
Knowledge about the field: Merchandiser should have adequate knowledge about the garments.
Computer knowledge and technical knowledge to communicate with different people in the
business is a must.
Co-ordinate & Co-operate: Merchandiser is the person who has to continuously co-ordinate
with the number of departments. To Co-ordinate with different people in the industry they should
be co- operative.
Monitoring ability: Merchandiser should monitor to expedite the orders.
Other qualities: Education, Experience, Situational Management, Ability to Evaluate,
Dedication, Knowledge of expediting procedures.





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6. Industrial Engineering
This department set standard time of a product, thread consumption, line set up. It is majorly
responsible for factory productivity and efficiency controlling and improvement.
The IE department is majorly responsible for the calculation of the SAM (standard allowed
minutes) and thread consumption.
SAM calculation: SAM stands for standard allowed minutes. SAM or Standard Allowed
Minute is used to measure task or work content of a garment. For the estimation of cost of
making a garment SAM value plays a very important role. The SAM calculation is done at two
stages: firstly for costing purposes or during the sampling stage and secondly during final
production (so that all the changes made in the construction of the garment during the various
sampling stages can be accommodated before calculating the SAM for bulk production stage).
The SAM is calculated based on either the techpack, measurement chart or a sample garment as
given by the merchant. The SAM is calculated by the technician and accordingly provided to the
respective merchant.. In case the SAM is excess and the cost is going too high because of high
SAM, the IE technician try and simplify the garment without changing its outer appearance. The
software used for SAM calculation is Pro SMV.
How SAM is calculated: Each technician has a list of operation breakdowns for basic styles of
different garments; and also the machine to be used for that particular operation. Based on that,
the basic SAM of a garment is calculated. Any extra operations in the garment; for example, an
extra pocket, extra buttons, etc. are added separately and the final SAM of the garment is arrived
at. Also while calculating SAM; an allowance for 13-15% is added for workers fatigue, etc
Thread Consumption: Thread consumption is the total meters of thread required to make a
garment covering all the operations.
A thread consumption report includes the following:
Style
Description of garment
Size
35
Order quantity
Buyer
SAM
Date
Technician Name
Merchant Name
Operation Breakdown
Seam length in centimeters
Stitch type
Wastage
According to the operation and sample garment, the technician measures the seam length of each
part. The frequency of the operation is checked and multiplied with the seam length measured.
This is done on the basis of stitch type. A total of all the operations are taken for the particular
stitch type and total consumption is arrived at (in centimeters). To arrive at the actual
consumption, the total consumption is multiplied by the factor and some extra consumption and
converted into meters. Factors are the already calculated machines thread consumption factors
per centimeter. The wastage percentage is calculated based on the order quantity and the SAM.
There are prescribed wastage percentages for various order quantities, numbers of machines and
the SAM.







36
7. Export Documentation & Logistics
The export documentation & logistics department is responsible for export related
documentation, dispatching goods to ports and communicate with buyers warehouse and
distribution center. The major functions of the department are as follows:


Invoicing
This team is responsible for generating the invoice for various orders and making sure all the
details are correctly and completely filled in the invoice. When the goods are ready, the
production department issues the invoice request along with the buyers P.O. and factory packing
list. While making the invoice, the invoicing team checks for the following in the invoice
request: Quantity, Price, Mode of Shipment, Payment Terms, Fabric/ Accessories. Maximum of
the shipments are sent on FOB terms, by sea. After checking the above details, an invoice
number is allotted.
At Gokaldas Exports, five series of invoice numbers are used:
GI- For woven garments
GIP- For knitted garments
GE- For woven garments
GEQ- For knitted garments
SEZ- For goods manufactured at SEZ, Chennai
Functions
Invoicing Shipping Advising Banking Drawback
37
For domestic, two series are used; one each for GI and GE.
The packing list also has the same corresponding invoice number. All the invoices are recorded
in the invoice register. The invoice register has all the details, such as truck out date, bill of
lading/ AWB bill no and date, negotiation date, etc. With the invoice number on the invoice
request, along with the factory packing list is forwarded to the respective logistics team, for
booking the space with consolidator/airfreight forwarder.
The invoice/ packing list copies are then distributed to shipping/ customs/ production/ advising/
banking. On an average, 15,000 invoices are generated per year.
Shipping
The department has three shipping teams and each team handles the shipments of a group of
buyers, allocated to them:
Team 1
Exports: Gap Inc., Mexx, Oneill, Maverick, A&F, MGB, Marks & Spencers, Stock lot
Buyers
Domestic: Adidas, Nahar Retail, Reebok, Mothercare
Re-export: Defective fabric/ accessories/ machineries, etc.
Team 2
Exports: Columbia, Levis, Dillards, Nike, Lafprom, Macys, Chevignon, Carrefour,
Spring Field, Pacsun, Oceanic Trading, Tesco, Haggar, YKM Turkey
Domestic: Benetton, Spykar, Reliance, Arvind, Levis, Indian Terrain, Madura Coats, Jiny
Jony, Metro, Puma, Nike, ITC, Indian Rayon
Courier Shipments: All courier commercial sample shipments given by the merchandisers
are sent through the nominated agents.
Team 3
Exports: Puma, Sixty S.P.A, Diesel, Preca Brummel, H&M, Oilily, Fila, El Corte Ingles,
Guess
38
On receipt of the invoice request and the packing list from invoicing, the shipping team sends the
booking to their respective forwarder/ shipping agents. Most of the shipments are routed through
Chennai/ Tuticorn port. Some are going through Mumbai port also. The invoice and packing list
are then sent to the CHA (Customs House Agent; who has license to file the pre-shipment
documents, arrange for custom inspection, co-ordinate with the custom house for drawback) on
the day of trucking out the goods. The goods are dispatched by the shipping team in co-
ordination with the production/ factory and the transport company. Details of the goods sent are
informed to the CHA, so as to organize the custom clearance of goods and documents, and hand
over to the forwarder.
The original/ consignee set of documents (prepared by the advising team) are forwarded by the
shipping team to the consolidators, for releasing the transport documents. Consolidator/
forwarder are the one who collects shipments from all the vendors in a particular region and
arrange for shipment as per the buyers instructions. Most of the buyers have their nominated
freight forwarders, so the consignment is custom cleared through the CHA and handed over to
the forwarders, for planning the shipments. The necessary B/L, FCR, AWB instructions are
given by the shipping team to the forwarders. After this, a list of invoices is distributed to
banking and advising, along with the invoice folders, for further action. The CHA collects the
B/L, FCR, AWB and couriers it to the vendor.
Some major buyers and their forwarders are:
Nike, Macys, Mexx, Dillard, Tesco, Puma - Maersk Logistics
Nike (Asia & Middle East specific) - Schenkar Logistics via Chennai
Gap, Columbia, Spring Field, Nike (air) Expeditors
Pacsun, Haggar, H&M, Gap/ Nike (for some shipments) APL
Diesel Expo Freight
A&F- JAS Forwarding
Nike (air) Atlas Logistics/ EGL Logistics/ DHL Courier
ONeill DHL Danzas
MBG/ Metro Group & Carrefour MGH Logistics
Liz Canada Chakiat Agencies
39
Oilily Freight Systems
Advising
The main function of this department is to apply for required documents needed for custom
clearance at destination, such as certificate of origin, GSP from A, attestation by embassy, etc.
The advising section after taking required documents such as invoices and packing lists, releases
the folders to the banking section. All the countries need the certificate of origin, in original,
along with invoice and packing list to clear the goods. Application is sent to the Chamber of
Commerce, AEPC, and Bangalore Chamber of Commerce for the certificate of origin.
GSP form A is applicable only for the goods manufactured out of locally procured raw
materials. This is needed only by European customers, to avail some duty concession. (European
community encourages the import from developing countries, by giving concession on import
duty). Canada Customs Invoice is required only for shipments to Canada. Annexure III is
applicable only for shipments to Mexico. For countries like Brazil, Turkey and Argentina; the
certificate of origin has to be legalized by the respective embassies, at New Delhi. An expense of
around Rs. 4,000 is incurred per document. From Nike and Puma, these charges are collected.
The advising department organizes all these documents as per the requirement of each country
and either hand them over to the forwarder or courier directly to the buyer/ agents. All the
documents pertaining to a shipment; should match in all respects.


Banking
The folders released by the advising team are received by the banking team. Documents are
prepared based on the payment terms.
If the payment is through L/C, the documents are negotiated through the bank after receipt of
transport documents. L/C bills normally take 25 to 30 days to realize. However, nowadays, to
avoid bank charges (1% to 1.5%) at both ends, many buyers have opted for different modes of
payments such as open account, trade card, TT payment, documents against payment, etc.
40
For buyers like Gap, Dillards; the original documents are sent on open account to their buying
offices, which is paid between 30 to 45 days from the date of shipment. For Levis, the payment
comes after 35 days from the receipt date at the destination. For Tesco shipments, the payment
term is 60 days from the date of shipment. For Nike, Columbia and Spring Field, the payment is
through trade card platform. For Nike, there is interconnected software whereby the invoice is
created automatically by picking up the details from the scan files and Nike purchase orders. The
payments are realized between 25 to 30 days. For the buyer Spring Field, the payment is received
90 days after the shipment, the interest cost for 90 days is taken care at the time of costing. Some
buyers buy the goods on TT terms; they pay immediately on receipt of the goods/ documents.
All records and registers are maintained to monitor/ track the payment. If payment is not
received on the stipulated date, reminders will be sent to the buyer/ buying house. If any
discrepancy in price or any discount is sought, the matter is taken up with the merchandisers and
directors, to clear the payment.
For any shipment, it takes minimum 30 days to get the money and the money is blocked. As
finance is required for day to day expenditure and payouts, the export bills are discounted with
the bank, on interest. Other facilities like packing credit, pre shipment finance are available from
the bank as well.
Follow up is done with bank to get the realization advices. All the purchase/ discount advices
and realization advices are passed on to the accounts department for accounting purpose.

Drawback
For the GE shipments, where local raw materials are used, government reimburses certain duties
paid while procuring the raw materials. Presently, the system is that customs department releases
the drawback; which is followed up by the CHAs. Records for receivables and receipts are
maintained.


41
Workflow of the documentation & logistics team:

42

8. Production Planning and Control (PPC)
PPC controls the planning and give the guidance from fabric to shipment. The main function of
the PPC is to create deadlines for each process and coordinate multiple activities.
Role of PPC
a. Feasibility Study: Based upon
- Type of machine
- No. of machines
- No. of processes involved
- Fabric type
- Order quantity
b. Capacity Study: Based upon
- Availability study
- Planned hours
- Machinery capacity
- Expected absenteeism and turnover
- Planned efficiency
c. Budget Planning: Based upon
- Committed delivery date
- Order quantity
d. Line Planning: Based upon
- SAM of the style
- Efficiency of the operator
- Efficiency of the line
- No. of lines in the unit
e. Unit Efficiency: Based upon
- No. of lines
- Line efficiency
- Production dates
43

Process Gokaldas Exports
ERP (Enterprise Resource Planning)
(WFX) World Fashion Exchange
ERP system assumes a vital role in the day to day functioning of the organization. The ERP
software used at Gokaldas Exports is WFX. It is JAVA necessary software. It attempts to
integrate all the departments and functions across the company into a single computer system
that can serve all those different departments particular needs.

ERP is the core of all the working of the company. The structure is designed in such a manner
that it is needed at each and every level whether it is new development, production, purchase,
purchase orders, export and import of materials, etc. The software customizes the works of
different departments in such a manner that at every point when the information is needed, it can
be easily extracted by this. It is an information system which organizes each and every entry of
different styles being undertaken.

ERP is used at all stages from raising a purchase order to ordering trims and fabrics to follow ups
of styles. For example, talking about the use of ERP in merchandising department, all the
merchandisers are given an ERP code and a password which they use to access their ERP
account. Even for placing an order for trims and for sampling, it has to be done through the
channel of ERP.
The major functions for which the software is used are:
Sample Indent
Capacity booking (Buyer Block Booking)
Style Creation and Techpack entry
Cost Sheet entry
Bill of Material
Order Confirmation (destination, size, date)
MRL (Materials Required List) generation
44

Order Process Flow (SOP)
Step Activity
1 Merchandiser receives the order confirmation from customer through COO/ GM/
Manager
2 Checking of order against the cost sheet and revert to the buyer in case of any
discrepancies
3 Giving the internal cost sheet to CFO to get it signed with profit grading (A, B, C)
4 All new orders should not be confirmed without CFOs signature on the cost sheet. If
the cost sheet is under C grade (loss); it has to be signed by the CEO before
proceeding with the order
5 Garment to be digitized enabling to browse the sketch in capacity booking and in the
MRL
6 Create style in WFX and proceed with the capacity booking
7 Capacity booking to be done on the same day as order confirmation; two copies of
the same duly signed by the manager/ GM/ COO/ GM- Production & Planning to be
given for the CEOs signature
8 Prepare T&A and also the PCD follow up chart (in excel sheet) from the red file card
data available in WFX
9 On the 10
th
day of capacity booking date, confirmed PCD should be given to GM-
Production & Planning
10 Prepare OC (order confirmation) file and Order Pouch (brown pouch) for each style
11 Keep TEXO/ sewing/ embroidery/ fabric consumption chart on the left side of the OC
file, MRL at the middle of the OC file and pink slip, counter copy of indent/ trim,
slip, shipment advance on the right side of the OC file
12 Also keep the buyers purchase order sheet, measurement chart on the left side of the
order pouch, all other relevant documents pertaining to the style- quality swatch,
color standard, lab dips/ desk looms/ strike offs, style approval comments, techpack,
test report, etc. on the right side of the order pouch
13 Get the DFM report in place of PAM and give to R&D along with pattern/ sampling
45
indent
14 Make pattern indent, texo requisition and send it to pattern department through soft
copy
15 Organize sampling materials through adhoc indent/ make sample indent and send the
soft copy to R&D along with trim card attached to it
16 All items to be ordered within 1 to 3 days on receipt of the order
17 Merchant should give a complete catalogue of approved fabric qualities and
colorways and all approved trims, duly signed off by marketing GMs prior to release
of indents to sourcing department. These catalogues should have the costed price and
conversion rate clearly mentioned against each item, to facilitate speedy processing
of the indent
18 Items for which details are not available should be kept awaited in the MRL on the
first day of ordering material itself
19 Get the TEXO (marker) from CAD department and consult the auditor and work out
the fabric consumption, enter the same in BOM line. Consumption of trims with
running length trims to be taken from CAD technicians
20 Generate MRL (after filling all BOM lines including sampling requirement and
production remarks) and check the MRL thoroughly before sending it to auditor for
approval
21 After sending the MRL for approval, take the print out of MRL and file it in the
middle of the OC file and immediately submit the OC file, order pouch and original
sample to the auditor for checking the MRL (along with the internal cost sheet duly
signed by CEO)
22 Once the MRL is approved by auditor, indent is generated which is to be assigned to
respective person at IAD (inventory allocation department) for regular items and to
the sourcing manager for new items
23 Until catalogue is ready, marketing to give hard copies of fabric indents to IAD
together with quality swatch and color standards. IAD, in turn, after checking out
stocks, will send the same hard copy and attachments to concerned fabric merchant.
Hard copy of the indent must have the costed price and the conversion rate clearly
signed off the by COO or GM
46
24 On receipt of fabric indents, fabric merchants will take the indents to fabric managers
for price negotiation and delivery confirmation and the fabric managers, in turn, will
meet COO of fabric department to discuss and get his confirmation on prices and
deliveries
25 COO of fabric department to define which manager is responsible for which mill as
for imported fabrics, and same to be advised to all of sourcing and marketing
26 Trim merchants/ team leaders will take indents to COO of sourcing for sign off on
prices and deliveries
27 Sourcing coordinator to ensure all materials are ordered within the stipulated time
frame. If not ordered, reason for delay to be reported to the CEO. Also liaise with
fabrics and trims teams to ensure all materials are coming in time to meet P.O.
packets
28 Sourcing coordinators and merchandisers should maintain and update the
walkthrough chart on a daily basis
29 Review of OC file/ order status to be done along with the manager/ GM
30 Follow up for the lab dip/ desk loom/ strike off and get it approved by the buyer at
the earliest to maintain PCD
31 Send the PI to buyer and follow up for the LC
32 Make the indent for PP sampling after receiving the sampling yardage
33 Arrange lab test report for sampling and for garment (if required)
34 Make revisions in WFX if buyer makes any amends in quantity/ color/ delivery date,
etc.
35 Apart from quality/ color; merchant must check the width and shrinkage of the
shipment sample send by the fabric supplier, to avoid consumption variation at the
time of bulk garment production
36 Check with originals and approve the in house cards received from godown
37 Two weeks before the PO packet date, final confirmation of PCD must be given
again to GM- Production & Planning
38 Final approved sealer sample must be given to CAD department for sealing and to
verify the TEXO to be issued to the factory is correct in all aspects. Recheck the
47
consumption with auditor, in case of any changes. PO should be released with correct
consumption as per approved sealer sample
39 Issue the PO (production order) along with PO packet, after getting the approval on
final sample. PO to be issued 3-5 days before PCD (35 days before delivery date)
(All items to be ordered and cost sheet to be updated before issuing PO)
40 Get the factory allocation from HOD of the production department
41 Approval to be given to factory for fabric/ trims/ size set, etc.
42 Conduct pre- production meeting (PP meeting) at factory
43 Get the TCAR (Trims consumption approval report) and MCPR (Marker cut plan
report) through the production coordinator and verify the actual consumption with the
auditor
44 Obtain production status from factory/ from production department and update the
buyer/ buying house people
45 Give the packing approval and obtain the final inspection date
46 Inform the final inspection date to buyers QC well in advance in writing
47 Get the yellow slip (document for preparing shipping documents like invoice,
packing list, etc.) from production coordinator and fill the details and return back the
same to production coordinator with a copy of the buyers purchase order sheet
48 Book the container/ space for the shipment (sea or air) through shipping department
49 Follow up for the final inspection
50 Send the shipment advice to the buyer and keep a copy in the OC file along with the
pink slip
51 Provide the inspection certificate and copy of fabric test report to documentation
department if required (as per LC)
52 Coordinate in the payment follow up with documentation department




48
Order pouches to be filled with:
a. Order sheets
b. Color swatches
c. Specification sheet
d. Strike off approvals
e. Laboratory test reports
f. Azo reports
g. Accessories approvals
h. Style and fit approval details
i. Amendments to order; if any
j. Inspection reports
k. Sample feedback with details of actual fabric width, shrinkage found, pattern corrections
and any changes from spec to sample
OC file should contain:
a. MRL form
b. TEXO marker
c. Both internal and external cost sheet
d. Actual consumption slip
e. PAM/ DFM report
PO packet checklist:
a. Fabric in house
b. Trims in house
c. Packaging trims in house (within one week of PO packet issue)
d. Buyer techpack
e. QA file
f. GPT pass report
g. Approved trim card
h. Approved fabric card
i. PO patch sample
49
j. Wash standard
k. Print standard
l. Embroidery standard
m. Graded pattern
n. Approved measurement chart with zipper grading
o. Line design
p. TEXO
q. Buyer PO copy
r. GE PO copy
s. DFM report

Snapshot of the ERP software log in page




50

ARVIND BRANDS


Arvind Limited (formerly Arvind Mills) is a textle manufacturer and the flagship company of
the Lalbhai Group. Its headquarters is in Ahmedabad, Gujarat, India.
It manufactures cotton shirting, denim, knits and bottomweights (Khakis) fabrics. It is India's
largest denim manufacturer
[3]
apart from being worlds fourth-largest producer and exporter of
denim
Today, under the Banner of Arvind Brands it retails its own brands like Flying Machine,
Newport and Excalibur and licensed international brands like Arrow, Lee, Wrangler and Tommy
Hilfiger, through its nationwide retail network. Arvind also runs a value retail chain, Megamart,
which stocks company brands.



Key facts
Founded: 1995
Founders: Sanjay Lalbhai
They are: A leading domestic specialty retailer offering clothing, accessories and personal care
products for men, women, children.
Brands: Arvind Brands (owned)
Flying Machine
Newport
Ruf & Tuf
Excalibur
51

Arvind Brands (licensed)
Arrow
Lee
Wrangler
Gant U.S.A.
EdHardy
Izod
Cherokee
Mossimo
U.S. Polo Assn.
Billabong
Nautica
Energie


Headquarters:
Arvind Brands Bangalore, India



52

Arvind Brands at Gokaldas Exports
Arvind Brands is one of the oldest and biggest buyers of Gokaldas Exports. They are a valued
customer for their brands; Arrow, Nautica, Bay Island, Flying Machine etc.

Arvind Brand Procedures with Gokaldas Exports

Query Arvind Brands sends request for Proto Development to Gokaldas Exports.
Suppliers - Works with only nominated suppliers of fabrics.
Products Frequented Denims, Shirts, Jackets.
Order Quantity Approx 4.5lac pcs a year
Price Ranges from Average to High as per the Brand
Payment Terms - Works on L.C. of 90 Days







53

The Lean initiative
Gokaldas Exports was a family-owned business founded in 1979 that had grown into Indias
largest apparel exporter by the mid 2000s.2 Its founder, Jhamandas H. Hinduja, had bequeathed
control of the company to three sons, each of whom brought in his own son. By the end of 2004,
Gokaldas had 258 production lines scattered in and around the southern India city of Bangalore.
The company was valued at approximately $215 million and exported nearly 90 percent of its
production. However, to maintain its already slim margins in an increasingly competitive
environment, Gokaldas needed to become more efficient. Company leaders hoped to improve
profits by 10-15 percent without adding resources and Gaurav Hinduja, COO of the sportswear
division and a third generation family member, became convinced that Lean would be the best
means to make this happen.
(Gokaldas Exports: A challenge of change; Stanford Business School, 2013.Case: SM- 213(A))

Nikes Lean Challenge: Just Do It
Gokaldas depended upon a small number of critical customers for the bulk of its revenues. In the
first six months of 2004-05, for example, its largest buyer accounted for 49 percent of revenues
and its five largest buyers for 79 percent.15 Nike, the global sportswear company, was among
these critical customers and it, too, was feeling pinched by increased competition and rising
costs. Nike decided to address these issues in part by reducing production costs in its supply
chain, which was comprised of independent contract factories like Gokaldas. One of the
approaches it opted to promote was Lean.
(Gokaldas Exports: A challenge of change; Stanford Business School, 2013.Case: SM- 213(A))

TBM CEO boot camp
TBM is a global leader at teaching and implementing operational and business process
improvement through the training and application of Time Based Management strategies. The
TBM CEO Boot Camp is an annual event wherein participating executives visit factories that
are successfully implementing Lean practices and engage in direct discussions with their
executive counterparts.
54
(Gokaldas Exports: A challenge of change; Stanford Business School, 2013.Case: SM- 213(A))

Pilot and Persuasion
Gokaldas and TBM agreed to demonstrate Lean on a single line in the Euro Clothing Company;
the line they selected was operated by about 70 people and were producing 250 Nike jackets per
day. The team quickly determined the main problem on the jacket line to be uncontrollable work-
in- progress. By the end of the week, the number of jackets produced each day had increased
from 250 to 400 and the defect rate had decreased from 7-10 percent to 3-4 percent.
(Gokaldas Exports: A challenge of change; Stanford Business School, 2013.Case: SM- 213(A))

Senior Management Lean Leadership and Sustainment Training
An 11 day training program was organised by TBM for the senior management of the company.
The purpose of the training was:
Train in lean production principles
Importance of cultural development
Application of the training in their areas of responsibility
5S: A lean tool used for workplace management and standardization. The 5S are- Seiri, Seiton,
Seiso, Seiketsu, Shitsuke.
Kaizen: Japanese word meaning continuous improvement.
Kanban: It refers to a small cards attached to signal production and delivery actions.
JIT: Just in time is a system for producing and delivering the right items at the right time in the
right amounts.

Kaizen Promotion Office
KPO is the department created in the company that coordinates, implements and manages the
continuous improvement activities within the organization.

55


Gokaldas Exports Factories
At Gokaldas Exports, production is optimized through state of the art technology and
infrastructure. Computerized spreading machines, auto jig, sleeve setting and pocket welting
machines carry out the relevant processes with swift efficiency. Fully fledged embroidery,
printing, seam sealing, washing and dyeing sections are equipped for accuracy and speed. The
vital aspect of fusing is handled by highly trained technical operators on top of the line fusing
machines, to achieve the perfect quality required.
Highly organized production systems co ordinate seamlessly for optimal efficiency. Each unit is
streamlined, specializing in the manufacture of a specific product. Steady capacity generation
and strategic alliances with leading processing houses enable Gokaldas Exports to raise the bar
on quality and production standards.
The factories are automated with state of the art technology and ERP systems, generated towards
mass production. Gokaldas Exports produces and exports 3 million garments each month. There
are 100% export oriented factories, licensed for duty free imports of fabrics and accessories for
re-export. To give greater control over quality and shorten the product- to- market timeline, all
processes involved in garment manufacture are handled in house. Factories have their own in
built stores for fabrics and accessories, enabling them to complete one particular order at a time.
All in house facilities are integrated to facilitate speed, be it fabric cutting, fusing, finishing or
packing. So that, whether it is a large bulk order or a small specialized order, Gokaldas Exports
has what it takes to execute it on time.
The companys factories are compliant with modern manufacturing practices to ensure higher
productivity and on time delivery. Gokaldas Exports provides the buyer a one stop shop
destination for any kind of garment right from ultra formal to ultra casual mens, womens and
childrens wear.

56


The manufacturing units are:
Sr. No. Factory Name Location
1 INTEX- I Intex I, No.31, Magadi Road,
Bangalore 560079,
Karnataka India.
2 INTEX- II The Intex II, #26, 2nd Cross, 3rd Main Road, Industrial
Suburb, Yeshwantpur,
Bangalore 560022,
Karnataka India.
3 INTEX- V Intex V, No.4, 1st A Cross, Kamakshipalya, Magadi
Road,
Bangalore 560079,
Karnataka India.
4 JDC JD Clothing Company, No.9, Industrial Suburb Rajaji
Nagar,
Bangalore 560010,
Karnataka India.
5 AA- II Atlantic Apparels II, Plot No.28 D & E, Belawadi
Industrial Area,
Mysore 570018,
Karnataka India.
6 AA- III Atlantic Apparels-III, Survey No. A-7/1, Nacharam,
Rangareddy,
Hyderabad,
Andhra Pradesh India.
7 WCA Wearcraft Apparels No.17/1-38/4-1, Industrial Suburb,
Yeshwanthpur,
57
Bangalore,
Karnataka India.
8 TA- I Triangle Apparels I, No. 804/75, 7th Ward, Jayapura
Road,
Tumkur 572101,
Karnataka India.
9 TA- II Triangle Apparels II, No.106/5-9, Arabic College Post,
Bangalore 560045,
Karnataka India.
10 TA- VI Triangle Apparels VI, # 25/26, 3rd Main Road,
Industrial Suburb, Yeshwanthpur,
Bangalore,
Karnataka India.
11 ECC- I Euro Clothing I, No.122/1, Doddabidarukallu Village,
Yeshwantpur,
Bangalore 560077,
Karnataka India.
12 ECC- II Euro Clothing Company II, T.B.Road, Srirangapatna,
Mandya District,
Karnataka India.
13 HPF Hinduja Processing & Finishing Unit No 2, 5th Cross,
Mysore Road,
Bangalore 560026,
Karnataka India.
14 HSW Hinduja Sports Wear I, No. 73/19/5, Industrial Suburb
Yeshwanthpur,
Bangalore 560022,
Karnataka India.
Hinduja Sports Wear II, No. 72/73, Industrial Suburb
Yeshwanthpur,
Bangalore 560022,
58
Karnataka India.
15 ICC- I International Clothing Company IV, No.180/1,
Yellakunte, Begur Hobli, Hosur Road,
Bangalore,
Karnataka India.
16 ICC- II International Clothing Company-II Survey No.113,
Hongasandra Village, Begur Hobli, (Near Bhondary
Factory) 7th Mile,
Bangalore 560068,
Karnataka India.
17 ICC- IV International Clothing Company IV, No.12, 'A' Block,
7th Mile, Near Bhandary Factory, Hosur Road,
Bangalore,
Karnataka India.
18 CCC- I Carnival Clothing Co, No.2/A-1, Chikkaveeranna Road
Cross, Bannimantap Etn,
Mysore,
Karnataka India.
19 CCC- II Carnival Clothing II & III Govindapuram , Main Road,
Bangalore 560045,
Karnataka India.
Carnival clothing company-II, Benganur Village
Bangarpet - KGF Road, Kolar,
Karnataka India.
20 WW- I The Wearwell I, no.17/A-34/A-1, Industrial Area,
Yeshwanthpur,
Bangalore,
Karnataka India.
21 WW- II The Wearwell II Industrial Estate N.H-206, Tiptur.
Bangalore,
Karnataka India.
59
22 VCC- I Venkateswara Clothing Company I, No.10, KHB Colony,
New Satellite Town, Yelahanka,
Bangalore 560064,
Karnataka India.
23 VCC- II Venkateswara Clothing Company II, No.10, KHB,
Colony Industrial Area Yelahanka,
Bangalore 560064,
Karnataka India.
24 GG- I Global Garments I, No.17/1-38/4, Industrial Suburb,
Yeshwantpur,
Bangalore 560022,
Karnataka India.
25 TUC The Unique Creations, No.44, Industrial Suburb, 3rd
Main, II Stage, Yeshwanthpur, II StageTumkur Main
Road,
Bangalore,
Karnataka India,
26 GI Gokaldas India, No.21C & 21B, Survey No.34,35,36 &
37, Nallakadaranahalli, Peenya II Stage, Industrial Area,
Peenya,
Bangalore,
Karnataka India.
27 DMS Dress Master Suits, No.77, 3rd stage, Peenya Industrial
Area,
Bangalore,
Karnataka India.
28 R & D Gokaldas Exports R&D I, No.78, Mission Road,
Bangalore 560027,
Karnataka India.
Gokaldas Exports R&D II, No.10, Mission Road,
Bangalore 560027,
60
Karnataka India.
Gokaldas Exports (P) Ltd, R &D - III # 76/1, II & III
Floor, Mission Road, Kalingarao Road,
Bangalore 560027,
Karnataka India.
Gokaldas Exports R&D IV, No.39/2, II Main Road, CKC
Garden,
Bangalore,
Karnataka India.
29 GESEZ (Chennai) Chennai SEZ Division, No.6/1, II Phase, MEPZ, NH -
45, Tambaram,
Chennai (Madras),
Tamil Nadu India.
30 IB (Denim washing
unit)
Indigo Blues, Plot No-2, KIADB Industrial Area,
Doddaballapur ,
Karnataka India.
31 GG III (Washing Unit) Global Garments III Annexe, No.40/2, 2-1 & 2-3, 1st
main, Industrial Suburb, Yeshwantpur,
Bangalore 560022,
Karnataka India.
32 Luckytex I (Embroidery
Unit)
No.17/A-34/A-1, Industrial Area, Yeshwanthpur,
Bangalore,
Karnataka India.
33 Luckytex III (Printing
Unit)
Luckytex-III, No.17/A-34/A-1, Industrial Suburb,
Yeshwanthpur,
Bangalore 560022,
Karnataka India.

61

Atlantic Apparels Dress Master Suit Euro Clothing Company

Indigo Blue Intex Wear Craft Apparels

Euro Clothing Company Gokaldas India Global Garments III




62
Visit to manufacturing Unit- Dress Master Suits (DMS)
Fabric and accessories store
The fabric accessories stores are responsible to maintain all the fabrics and accessories/ trims that
come in house. The stores check the quality, quantity of the accessories/ trims and keep them
ready for assembling. The fabric comes in the form of rolls of different meters and varied
cuttable width and is checked for any holes or defects on the fabric relaxation machines.


Cutting section
The cutting section is equipped with the Gerber spreader and cutter that ensure 100% perfection.
It improves the cutting process with minimal waste and cost. For some fabrics/ orders manual
laying is done as well.
63

The following flowchart explains the cutting room processes:


Marker making
Fabric laying
Fabric cutting
Checking cuttings
Stickering
Sorting/ Bundling
Stitching
64

CAD section
The CAD section provides the patterns for different styles. It is their responsibility to generate
efficient markers well before the PCD (Planned Cut Date).

Sewing section
Sewing is one of the main sections. The main function of the sewing department is to attach
different parts on the garment in the form of the assembly line. The sewing section is equipped
with different kinds of sewing machines like the feed off arm, overlock, button hole, bartack,
double needle overlock, triple needle lock, double needle chain stitch, triple needle chain stitch,
computerized welt pocketing machine, belt loop attachment machines, etc. The assembly lines
are well organized along with ironers and in line and end line checkers. Garment samples are
attached at critical areas.






65

Sewing section workflow





66

Finishing
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. Thats why utmost care has been
taken in this section to ensure that all the products are faultless. The major functions performed
in this section are extra thread cutting, ironing, size check, snaps/ buttons checking, final
inspection, heat transfer label if any, tag attachment, metal detection, hard tag attachment, shade
segregation, size segregation, folding and packing.


67

68
The finishing section process flowchart is as follows:

Thread Cutting
Initial Checking
Pressing (Flat & Armhole)
Measurement Checking
Snaps/ Buttons Checking
Final Checking
Tagging
Heat Transfer Label (If any)
Metal Detection
Folding & Packing
Packing to box
Inspection of ready to ship goods
Dispatch shipment
69
Factory organization chart




COO
GM-
Production
Factory
Manager
Asst. Factory
Manager
Floor incharge
Supervisors
Factory
Manager
All
Department
heads
1. Fabric
2. Cutting
3. Stores
4. Despatch
5. Maintenance
6. Finishing
7. Packing
GM- Quality
QAM HO QA
Quality
checkers
Endline
checkers
Inline
checkers
Finishing
checkers
PS Incharge
PSO
Needle issuer KB checker MD operator
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Functional departments and their QMS Objectives
1. Manufacturing administration, Factory manager, Production manager

Objectives Method of
Measurement
Target
Achievements
OTP FPR 95%
Rejection FPR < 1.5 %
CPM FPR < Rs. 1.5
Absenteeism FPR < 8%
Attrition FPR < 8%

2. Fabric and accessories store

Objectives Method of
Measurement
Target
Achievements
Collect the material from the
central warehouse at least 1-3
days before PCD
95%
Store and ensure the issue of
material to cutting section/
sewing section, shade wise/ lot
wise/ width wise and shrinkage
wise as per the report of the
central warehouse
100 %
5S 5S Audit Level 2
Complete FCR and TCR within 3
days of PO completion
100%

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3. CAD section

Objectives Method of
Measurement
Target Achievements
Achieve and improve
approved marker efficiency
Approved consumption
report
Compare to approved

4. Cutting section

Objectives Method of
Measurement
Target Achievements
Maintain and keep
minimum 2 days of cut
stock of daily factory
requirement
Stock register 90%
FTR (First time right) Re- cutting log book 90%
Achieve 5S level 2 5S Audit Level 2

5. Sewing section

Objectives Method of
Measurement
Target Achievements
Adherence to GEX quality
guidelines
QAM report 95%
Adherence to HO line
design
IE scorecard 95%
5S 5S Audit Level 2
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6. Finishing section

Objectives Method of
Measurement
Target Achievements
Ensure finishing backlog is
not more than 2 days
Final audit 100%
Ensure 100% garments
packed are metal free
PS report 100%
5S 5S Audit Level 2
Achieve 95% FTR to
customer
Shipment log 90%
OCR report prior to
shipment to be sent to
respective G.M.s
OCR log 90%

7. Productive maintenance

Objectives Method of
Measurement
Target Achievements
Track, record and reduce
the machine downtime
occurrence
Mechanic trend chart 95%
Adherence to TPM
guidelines for services
TPM chart 95%
5S 5S Audit Level 2




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8. Industrial Engineering

Objectives Method of
Measurement
Target Achievements
Verify and report HO line
design implementation and
any deviation thereof
IE scorecard 95%
Grade all operators and
checkers on skill matrix
Skill matrix form 100%

9. Quality control

Objectives Method of
Measurement
Target Achievements
Ensure all quality
comments of HO QA/
customer QA are
incorporated in bulk
production with corrective
action evidence
QA File 95%
Ensure implementation of
GEX quality guidelines
QAM report 95%

10. Personnel, H.R. and Compliance

Objectives Method of
Measurement
Target Achievements
Ensure adherence to Recruitment policy 100%
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recruitment policy
Introduction and induction
of all new joiners and same
shall be documented
Induction log book 100%
Absenteeism Absenteeism report < 8%
Maintain social compliance
to statutory regulatory
customer requirements
Customer compliance
policy
100%
5S 5S Audit Level 2

















75
Garment Wash
The main washing units of Gokaldas Exports are GG III at Peenya and Indigo Blue at
Doddabellapur. Where Indigo Blue specializes in denim washing, non- denim garments are
washed at GG III. The washing division is equipped with automatic machinery with a processing
capacity of over 1, 25, 000 garments a day. Experts from Europe and Hongkong regularly visit to
update the technicians on the latest technologies.
Garments pass through various handling processes, which may render them dirty or stain them,
thereby reducing their aesthetic appeal. To restore this aesthetic value, they are subjected to
cleansing process. Also, at times a certain look has to be given to garments for which they have
to be washed with certain chemicals and techniques. For these purposes, garments are sent for
washing by the production department as per the buyers requirement.
Normally the fabrics are not asked to go for wash by the buyer. But at times, fabrics may be sent
for wash for a number of other reasons; like:
To control uneven shrinkage
To even out color shade
To lighten color shade
To improve the hand feel
To even out color shade variations
To remove printing smell
To execute a dyeing program
The units can handle all kinds of washes and also provide various desired effects. Following are
the different types of wash services available:
Wet Processes
1. Acid wash
2. Antique wash/ Vintage wash
3. Bleach wash
4. Destroyed wash
5. Enzyme softener
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6. Enzyme stone wash
7. Enzyme stone bleach
8. Fabric wash/ lay wash
9. Garment wash
10. Heavy bio poly wash
11. Ice wash
12. Medium stone wash
13. Micro sand wash
14. Paper touch garment wash
15. Potassium permanganate wash
16. Rinse wash
17. Rubber ball wash
18. Silicon wash
19. Softener wash
20. Stone wash
21. Twill wash

Dry Processes
1. Grinding
2. Grinding and Nicking
3. Hand sand blasting
4. Hand sanding
5. Tinting
6. Spraying

Dyeing
1. Treatment Dyeing
2. Reactive Dyeing
77
Visit to washing unit: GG III (Global Garments III)
The washing unit GG III is mainly divided into three sections .i.e. the Inward Dispatch section,
the Washing/ Dyeing section and the Outward Dispatch section.



Inward Dispatch
In the inward dispatch section the garments are unloaded arriving from various factories. They
are counted and cross checked. Checking is also done for any issues in the garment. If everything
is clear the garments are issued for washing along with a Job Card. The Job Card contains all
the information like OC#, Style#, wash details, wash recipe, factory details, merchant details, etc.
This section checks the garment for different aspects such as:
Type of the material
The texture that is under demand
The feel and look of the garment under demand
Dye stuffs used for the garment
Types of chemicals that should be used to get the desired look and feel of the garment.
GG III
Inward Dispatch Washing/ Dyeing Outward Dispatch
78
Effects of those chemical on the fabric
The sensitivity criteria of the fabric
The sequence of the processes
Temperature at which the garment has to be treated
Duration of the treatment
After coming to the conclusion of what recipe has to be used for the garment they start treating
the garment in the same sequence. There are separate bins for each factory in which the garments
are unloaded and taken for washing/ dyeing to different sections.

Washing/ Dyeing Section
The washing/ dyeing section is divided into four sections: Section A and Section B are equipped
with machines for all types of washes; Section C is utilized only in case overload or any kind of
backlog and Section D specializes in dyeing. All the sections are well equipped with horizontal
and vertical washing machines of different capacities ranging from 50 kg, 100 kg (for sampling
purposes) to 500 kg, 1,000 kg (for bulk orders).
Washing Machinery
Horizontal Washing Machine: This machine is being used for washing garments and fabric
rolls. The number of these machines are comparatively less as the unloading of garments from
this machine is manual and can cause injuries to the operator.
Vertical/ Front loading Washing Machine: This machine is used only for washing garments.
Fabric lots are not washed in these machines because the fabric lot gets entangled in the front
loading machines. These machines are fully automatic and the garments are unloaded
automatically. This makes these machines much more convenient and easy to operate with less
dangers of injury.
Hydro Extractor: The garments are wrung in these machines to remove excess water after
washing. The garments are spun in drums which rotate at high speed squeezing the water out of
them. Excess water drains out through the drainage pipes.
79
Tumble Dryer: This machine evaporates out all the left over water from the garments making
them completely dry. Tumbling is carried out for varied time and varied temperatures depending
upon the fabric quality.








80
Dry Processes
Apart from the wet processes, there is a separate section for dry processes like whiskering,
grinding, crushing, spraying, tacking, scrunching, etc.


The dry processes section is equipped with various machines and tools required for the various
processes. Many of the processes are done manually as well. The section is equipped with
manicoles especially for whiskering and hand sanding. Dry processes for sampling as well as
bulk are carried out in this section.

Outward Dispatch
After all the processing, the garments are brought to the outward dispatch section and put into
the respective factory bins. They are further sent for checking where skilled checkers check the
garment for the following:
Hand feel
Abrasion
Color loss
Wash effects
Stains
Oil stains
Silicon spot
White spot
81
Zip tint
Patches
Pilling
Streaks
Fusing marks
Folding marks
Chalk marks
Print loss
Chipping off
Needle holes
Shade variation
Damages
The checkers are provided with the Job Card at this stage; the backside of which contains the
washing standards to be filled by the checker. After all the checking is completed and the
garments have passed the AQL (Accepted Quality Level), they are weighed and dispatched to
the respective factories.

Treatment of new styles
In case wash is required for a new style of garment, for which a new recipe is to be developed; a
trial wash is conducted for the new style before proceeding with bulk. The new recipe is entered
in the trial recipe book and issued for the trial wash. The trial washed garments are then sent to
the buyer/ merchandiser for approval. Based on the comments received from the buyer/
merchant; changes are made in the recipe and bulk is started. If the recipe proves good enough, it
is added to the permanent standard recipes.



82
Chemical issue section
The chemical issue section is like a store of various chemicals required for different washes. The
facility has a chemical issue section which issues the chemicals for the recipes for different
washes. The person in charge makes sure the right chemical is issued in the right quantity with
the right ingredients otherwise it can damage the garments.

Boilers
The facilities are equipped with boilers to provide generate steam. Steam pipes connect the boiler
and all the machines and the amount of steam can be altered with the help of valves present.
Steam is generated through a mixture made of groundnut seeds and shell which is a sustainable
way to create energy.

Procedure to issue the wash service
The procedure to issue wash service is as follows:
Mention the Style #, OC # and quantity in the indent.
If the garment has multiple types of washes, issue separate indents for the same.
Separate indent is required for grinding and spraying.
If leather patches or appliqus are being used on the garment, garment needs to be
washed before attaching the embellishments to avoid bleeding of the fabric color.
Assign the indent to the Production & Planning department.
Give the approved wash standard to the washing unit and keep the counter with the
merchant.
Approval on the 1
st
sample garment to be given at the earliest to commence the bulk
garment wash.


83

The Key Learnings
The organization is well organized and systematic.
The merchandiser is the connection or the key player between all the departments as
well as the buyer/ customer.
Every department has their key roles well defined, and the supervisors who keep track
of who is working on what in the department.
Sampling, CAD, IE and other departments are the main departments with whom a
merchandiser deals. Apart from these, the merchandiser has to deal with the factory
and production manager as and when required.
Collected fabric swatches which gave clarity about the different types of fabrics.
Visited company units and thereby observed the actual processes a garment goes
through prior to shipment.
Went through the techpacks, cost sheets, thread consumption reports, test reports of
various styles which gave me clarity.
Went through the OC file and Order Pouch of a style; which gave me an insight into
the various documents that are prepared for order completion.
Gained first hand information and made observations from the various departments in
the export house.
Created development samples (shirts) for the UK based buying agency DPJ Clothing
which gave me a meaningful insight into the export industry.
Understood the difference between the working of an old buyer with prescribed
procedures and a new buyer (agency) looking for new developments.



84

Conclusion
Gokaldas Exports Ltd. is one of Indias leading garment manufacturer and exporter. The
organization has an infrastructure that is fully equipped to handle both knits and wovens. Exports
include shirts, t-shirts, blouses, jackets, childrens wear, sportswear, denims etc. Gokaldas
Exports has a wide range of products to offer to its buyers. Their factories are fully equipped
with all latest machineries and technologies as it has separate units dedicated to sampling,
washing, embroidery, printing, quilting and polyfill manufacturing i.e. they have everything in-
house required for garment manufacturing thus making specialization of its products possible
and thus catering to the diversified and increasing demands of its buyers. The company has a
very dedicated and concerned product development team which works continuously in
development of new fabrics, styles keeping in mind the requirement of the ever changing fashion
world.

Within their products, the company works with a number of fabrics and trims for a single style.
They handle styles that have intricate detailing such as use of different trims, fabrics in the same
garments. Sometimes a single style has number of colourways. A dedicated team of managers a
quality control department continuously monitors production to match every order to design
specifications. The sourcing department is very hard-working and focused and they work with all
the major mills and suppliers within India as well as abroad. The marketing & merchandising
teams are very dedicated and hard-working & can be called as the pillars of the company as they
are the ones who co-ordinate with each and every department of the organization as well as are
representatives of their company in front of the buyers. Due to such dedicated employees &
management, Gokaldas exports today is one of the biggest name in the garment industry
worldwide.