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Textile Engineering Project Report of B.Sc
2014-03-08
http://hdl.handle.net/20.500.11948/1022
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PROJECT REPORT
ON
PREPARED BY
PROJECT REPORT
ON
ACADEMIC SUPERVISOR
MOHAMMAD ABDULLAH AL MAMUN
ASSISTANT PROFESSOR
DEPT. OF TEXTILE ENGINEERING
DAFFODIL INTERNATIONAL UNIVERSITY
BOARD OF EXAMINERS
We do hereby declare that, this project has been done by us under the supervision of
Engr. Md. Abdullah Al Mamun, Assistant Professor, Department of Textile
Engineering Daffodil International University. We also declare that neither this
project nor any part of this project has been submitted elsewhere for award of any
degree or diploma.
i
ACKNOWLEDGEMENTS
All pleasure goes to the Almighty Allah who has given us the ability and strength to
complete our Industrial Attachment.
While preparing the report we have taken help from various references so our
cordial thanks to them. Finally we hope that the report will help in understanding the
“Merchandising procedure of knit t-shirt & polo shirt” in apparel industry in a
clear and concise way.
ii
ABSTRACT
iii
BACKGROUND OF THE STUDY
Any academic course of the study has a great value when it has practical application
in the real life. Only a lot of theoretical knowledge will be little important unless it is
applicable in the practical life. So we need proper application of our knowledge to
get some benefit from our theoretical knowledge to make it more fruitful. When we
engage ourselves in such field to make proper use of our knowledge in our practical
life only then we come to know about the benefit of the theoretical knowledge. Such
an application is made possible through internship. My internship was carried on in a
cannon garments limited company.
When theoretical knowledge is obtained from a course study it is only the halfway of
the subject matter and procedure through which acquired knowledge of subject
matter, which can be fruitfully applied in our daily life.
The purpose of the Report is to identify the merchandising division’s work of Fakir
Knitwears Ltd We also try to find out the duties and responsibilities of
merchandisers. Another objective of this Report was to find out the opportunities and
threat of this industry. This Report also includes the behaviour, expectation and
feelings of foreign customers. The general objective of this study is to determine the
present activities of buying houses and the significance of their role for smooth,
efficient and effective marketing process of garment products overseas.
iv
The specific objectives of the study are describing as follows:
v
Merchandising Procedure of Knit T-Shirt & Polo Shirt
TABLE OF CONTENTS
Declaration i
Acknowledgements ii
Abstract iii
Background Of The Study iv
Table of Content vi
List of Tables ix
List of Figures x
Chapter 1: Introduction 01
1.1 Overview of Bangladesh Garments Industry 03
1.2 Advantages of Bangladesh Knitwear Sector 07
1.3 Contribution of the Knitwear in Bangladesh 08
Chapter 2: Methodology 09
2.1 Sources of Information 10
2.1.1 Primary Source 10
2.1.2 Secondary Source 10
2.2 Data Collection 10
2.2.1 Observation Technique 10
Chapter 3: Merchandising 11
3.1 Effects of Merchandising 12
3.2 Major Responsibilities of a Merchandiser 13
3.3 Qualities of a Merchandiser 14
3.4 Flow Chart or Sequence of Merchandising 15
3.5 Function of a Merchandiser 15
3.7 Merchandising Management 16
3.8 Objectives of Merchandising 16
3.9 Forecasting 17
3.10 Sourcing of Buyers & Orders 18
3.11 Negotiations to the Buyers 18
3.11.1 Why Does A Merchandiser Negotiate? 19
3.11.2 The Negotiation Process
3.11.3 Merchandisers Must Adequately Know the
Requirements of Both the Parties 19
3.11.4 Merchandisers Must Adequately Prepare For the
Negotiation 19
3.11.5 Discuss the Offer 20
3.11.6 Further Discussion 20
3.11.7 Final or Revised Offer 20
3.12 Making an Agreement 21
3.13 Receiving Orders from Buyer 21
vi
Merchandising Procedure of Knit T-Shirt & Polo Shirt
vii
Merchandising Procedure of Knit T-Shirt & Polo Shirt
Conclusions 73
Recommendations 74
References 75
viii
Merchandising Procedure of Knit T-Shirt & Polo Shirt
LIST OF TABLES
ix
Merchandising Procedure of Knit T-Shirt & Polo Shirt
LIST OF FIGURES
x
Merchandising Procedure of Knit T-Shirt & Polo Shirt
CHAPTER: 1
INTRODUCTION
Introduction
From early times, Textiles and clothing have been used as essential goods for
human beings. Spinning and weaving were the main activities that drove the
Industrial Revolution in the 18th century. Since then the textile industry has been a
leading industry in the initial phase of industrialization in many countries in different
periods of time in the world. Bangladesh is an important producer & exporter of knit
RMG product. There are about 5700 garments factories running in Bangladesh.
Growth of garments factories started in Bangladesh around 1980. But now nearly
78% of our foreign currency is earned from RMG export. At present Bangladesh is
producing & exporting more than 60 items of garments. Garments are exported to
USA, Canada, Japan, Australia, Middle East and many other countries in the world.
Cheapest labour cost is the biggest advantage for Bangladeshi garments producers &
exporters.
shipment in time with buyer’s requirement. In factory level, merchandiser makes all
the orders for accessories needs for an order like; fabric need, sewing thread, button,
washing if necessary, carton, polybag, shipment arrangement etc. Actually
merchandiser make looks on the whole progress
The RMG business in Bangladesh started in the late 70s with merely a casual
& cursory effort. The first consignment of knitwear export was made in 1973 while
the first shipment of woven was made in 1977. In 1981-82 the contribution of woven
garments to total exports was about 1.10% whereas the agro-based the then economy
received much of her foreign earnings from Jute & Jute products famously known as
the Golden Fibre. But with the passage of time from agrarian to manufacturing
transformation Bangladesh developed significantly in areas of poverty alleviation,
employment, women empowerment, industrial growth and economic diversification -
thanks solely to labour intensive RMG sector. Since MFA phase out in 2004 the
growth of Bangladesh knitwear has escalated rapidly as statistically supported export
volume adduces adequate proof to it despite its somewhat cluttered and shoddy start
with absence of rudimentary plans and evolutionary industrial mechanism. In fact,
from fiscal year 2007-08 Bangladesh knitwear continues to capture lion’s share in
national exports (39.06% in FY 2011-12) what was slightly 7.64% in the two
decades back, thereby slanting the economy towards knit garments.
Over the decades the growth of knitwear sector has been incessant rising over
20% at CAGR base and continuously grabbing more portions in the export pie of
Bangladesh. This recent robust growth is partly achieved owing to preferential
support from the European Commission’s GSP & Relaxation of Rules of Origin
(ROO) and the Duty Free Quota Free (DFQF) access granted by Canada, Australia,
Japan and members of European Free Trade Agreement (EFTA). Along this growth
momentum favourable policies from the government of Bangladesh in the form of
export subsidies i.e. cash incentives also contributed greatly for making it the most
attractive sourcing hub.
The core strength of the knitwear sector is its backward linkage. The
entrepreneurs of the sector not only increased their stitching capacity overtime but
also invested in the allied industry to augment the overall capacity of the total sector
with the same pace. Over the period of time knitwear sector gradually became almost
self sufficient in fabric and yarn. This improvement has become possible because of
the integrated growth of spinning factories in line of the growth of country's stitching
capacity and increased need of the yarn and fabric. As the export increased in the
knitwear sector, the capacity of backward linkage also increased accordingly. The
result is local suppliers can provide now 95% of the total fabric requirement of the
sector (source: BTMEA). The growth of spinning mills also stepped with the growth
of knitwear exports. In 2010-11 total number of Yarn Manufacturing Member Mills
was 383, whereas Fabric Manufacturer Member Mills was 743. As of now the total
investment in the backward linkage in knitting, dyeing and spinning industry is more
than US$ 5.03 billion or € 4.00 billion.
Knitwear is the highest contributor in terms of both gross and net export
earnings. In 2010-11, the contribution of knitwear in national export earnings is
41.36%. This has resulted because of the backward linkage industry that has grown
over time which helped the knitwear sector to have the higher value addition and
therefore a much higher net retention rate. In addition to, relaxation of Rules of
Origin (RoO) has accelerated the export growth.
Women empowerment.
Reduce Child Labour.
Gender equality.
Improved health & nutrition.
Reduced child marriage.
Reduced infant mortality
CHAPTER: 2
METHODLOGY
Methodology
To carry out the proposed study, data have been collected from two sources: Primary
and secondary sources.
Primary sources include interacting with employees and face-to-face interviews with
the personnel through an open-ended questionnaire.
Secondary sources are company website, brochure, outlets, other research reports,
literatures/magazines and the internet.
Participant observation approach has been used where we have been took part in
daily work routine of the organiza
CHAPTER: 3
MERCHANDISING
Merchandising
Order sourcing/supplies.
Negotiation.
Production.
Calculating Yarn/Fabric consumption.
Calculating costing of the product.
Monitoring Quality aspect.
Product development.
Liaison with Buyers Customers & Factory.
Factory Scheduling.
Should be a smart person with fluent speaking, reading and writing ability in English
language.
Good knowledge in Mathematics, Computer literacy and e-mails internet.
Should a technically sound person having clear conception about fibre, yarn, fabric,
dyeing, printing, finishing, dyes, colour fastness, garments production, etc.
Clear conception of the usual potential quality problems in the garments
manufacturing.
Good knowledge of the usual raw materials inspection systems & garments
inspection system
Knowledge of the quota system used in each of the production countries, duty rates,
custom regulation, shipping and banking documentation etc.
Right consumption knowledge of various goods
Costing knowledge of raw materials
Order getting ability
Excellent power of motivation to improve public relations.
Sincere& responsible
Hard worker
Order Enquiry
Consumption
Costing
L/C Receiving
Sample Approving
Line Inspection
Production Follow up
Shipment to Buyer
Payment Received
All the main functions, mentioned above are important but the procurement of
fabric and
Accessories are most important as because there are many technical parameters
involved,
Especially in this area, in most cases collection of fabric for the garments is a
major problem. To procure a fabric, we should clearly specify the technical
specification of the
3.9 Forecasting
This match making is not so easy and comfortable matter. A factory has must
adequate working experience, good management system, safety and security system,
workers welfare system and compliance to get orders from foreign buyers. So prior
to providing orders, buyers check the vendor factory whether the concerned factory
is right one to deliver them the goods they require. The general rules that are
followed are as given below:
Compliance test
Streamlining all sorts of management systems in the factory.
Safety & security of the facilities and personnel.
Working sub-contracts for the buyers.
These checks and test gradually move from company to buyers and
merchandisers of Fakir Knitwears Ltd. Submit catalogues, brochures, samples to the
buyer due to grow the confidence of concerned buyer about quality of the factory.
Once the buyer is satisfied with the different aspects of the factory, it may start
providing orders to the factory.
Merchandiser must properly prepare for meeting & trading the negotiation.
There should be an agenda & time frame for the meeting. Merchandiser must be
fully aware of garment item to be negotiated, product price, order quantity, leading
Merchandiser must carefully observe the tone and wording of the buyer,
his facial expression and body language interest or disinterest and where the final
boundary of the buyer lies.
This is the final stage of negotiation when details of the offer are worked
out. The details may include construction and specifications of the garment, order,
size, order quantity, leading time, freight, garments construction, fabric
consumption, cutting, making, charges for printing, embroidery, standard time,
payment terms etc. the buyer makes final offer and the merchandiser as a negotiator
must ensure that the offer is profitable for his company.
Merchandise must make their best efforts so that negotiations culminate into real
agreements financially beneficial to his company. As soon as negotiation succeeds
the buyer communicates details to the manufacturing company represented by the
merchandiser. This detail takes the form of a master L/C, P.O shit or work sheet.
CHAPTER: 4
LETTER OF CREDIT
All credit will always clearly indicate whether they are available by sight
payment, by differed payment, by acceptance or bye negotiation. Moreover every
credit must nominate the bank (nominated bank) which is authorized to pay (paying
bank) or to accept drafts (accepting bank) or to negotiate (negotiating bank), unless
the credit allows negotiation by any bank (negotiating bank). The nominated bank
unless is the issuing bank or the confirming bank, its nomination by the issuing bank
does not constitute any undertaking by the nominated bank to pay, accept or
negotiation.
When an L/C issuing bank instructs a bank (advising bank) by any telegrams
mission to advise a credit or a amendment to a credit, and intends the mail
confirmation to be the operative credit instrument, for the operative amendment, the
tele-transmisson must state “full details to follow” (or words of similar effect) or that
the mail confirmation will be the in that case, operative credit instrument or the
operative amendment. The issuing bank must forward the operative credit instrument
or the operative amendment to such advising bank without delay.
There are some methods of payment of export value. These are as follows:
Of all the methods referred to above, letter of credit method is most popular and it is
in fashion.
1) Revocable L/C
2) Irrevocable L/C
3) Confirmed letter of credit
4) Confirmed and irrevocable letter of credit
5) Transferable or divisible letter of credit
6) Back to back letter of credit
7) Red clause letter of credit
8) Sight letter of credit
9) Usance letter of credit
10) Revolving letter of credit
11) Stand by letter of credit
All letter of credit therefore, should clearly indicate whether they are revocable or
irrevocable. In the absence of such indication the credit shall be deemed to be
revocable.
May be amended or cancelled by the issuing bank any moment and without
prior to the beneficiary.
In case of revocable credit, however, the L/C issuing bank is bound to:
A) Reimburse a branch or bank with which a revocable credit has been made
available for deferred payment, if such branch or bank has, prior to receipt by it for
notice of amendment or cancellation, taken up documents which appear on their face
to be accordance with the terms and conditions of the credit.
B) Reimburse a branch of bank with which a revocable credit has been made
available for sight payment, acceptance or negotiation, for any payment, acceptance
or negotiation, for any payment, acceptance or negotiation
Made but such branch or bank prior to receipt by it for notice of amendment
or cancellation, against documents which appear on their face to be accordance with
the terms and conditions of the credit
The full name of “L/C” i.e. irrevocable letter of credit which means once it is
issued by the bank for the buyer and accepted by the beneficiary (the seller) , it
cannot be cancelled or withdrawn by the buyer or the opening bank, unless with the
consent of the beneficiary. In short, once the buyer opens the L/C form his bank to
cover the goods he has purchased, he will have to pay for the goods when the seller
ships the goods exactly as per as the terms stipulated in the L/C. Therefore, as far as
the seller is concerned, the sooner he has the L/C on hand, the safer he is.
This is such a credit for which exporter’s bank gives all sorts of surety for the
advance of payment.
A Transferable credit is a under which the beneficiary has the right to request
the bank called upon to effect payment or acceptance or any bank entitled to effect
negotiation to make the credit available in whole or in part to one or more other
parties(second beneficiary)
In this credit, the export’s bank is directly to advance his dues even before they
produce all export documents to the bank. And some clause is attached there. The
manufacture must have maintained this clause.
It means when the shipper ships the goods covered by the L/C, and presents the
document to the bank for negotiation, the bank (the negotiation bank) will credit the
proceeds to the shippers account immediately after checking and finding the
documents in order. When the documents are sent by the negotiation bank to the L/C
opening bank, the L/C opening bank will effect payment to the negotiation bank
immediately. Such L/C usually says “AT SIGHT” which means “pay when the bank
sees the documents”.
It means L/C with time allowed for the opening bank to make payment of a foreign
bill of exchange. Or, put in another way, payment from the L/C opening bank to the
negotiation bank will only be made after a period of time as stipulated in the L/C.
The length can be worked out between the buyer and the supplier, sometimes 60
days, sometimes 90 days or 120 days.
It means that the beneficiary can draw money from such L/C up to the amount
specified by means of documents, and after drawing , the amount drawn will
automatically be replenished and is available for anther drawing another drawing and
so on.
Various types of L.C. are present in business system. Some recognized processes are:
(1) In this trade initially cash money is not used. L. C is the main process
for buying & selling. When a business deal is made for buying & selling
between buyer & merchandiser then the buyer gives permission to his bank to
open an L.C. of approx amount & send it to merchandiser’s bank. Then this
bank informed to merchandiser that an L.C. is accepted. This L .C is called
MASTER L.C.
CHAPTER: 5
MEASURING GARMENTS
Measuring Garments
5.1 Tops
Body width
Body length
Armhole
Sleeve length
Muff pockets
5.2 Bottoms
Waist band :
Length:
CHAPTER: 6
PRODUCTION PROCEDURE
Lead time is 60days if raw materials are sourced locally and it is 120 days if
raw materials are imported.
CHAPTER: 7
7.1.2 Formula
Cpd = L x W x 12 x GSM kg
10000000
Where,
Cpd = Consumption per dozen
L = Length
W = Width
So, the fabric consumption for men’s T-shirt is 1.94 kg per dozen.
Total $ 3.33
=$3.5/dz
Total $19.14/dz
Here,
c) Wastage % 7%
= 25 x 49 x 12 x 2 x 150 kg
107
= 0.44 kg
Table 7.4: Consumption & Costing Calculation of Accessories Required for 1 Dozen
Men’s Polo Shirt
=$3.6/dz
Total $21.84/dz
CHAPTER: 8
8.1 Introduction
To full fill the design objectives we need different kind of materials. Fabrics are the
main material, which used for garment manufacturing. We need other materials also,
which make the garments aesthetic, functional and commercially required. Usually
other than fabrics these materials used for making garments are called trims and
accessories’.
8.2 Trims
The raw materials used in sewing room other than fabric are called Trims.
On the other hand we can say that which materials are directly attached with the
fabric to make a garment are called trims. Like: Threads, buttons, lining, Interlining,
zippers, labels, care labels, etc. (Interlining is used as shape forming / preserving
materials.).
8.3 Accessories
The materials, which are used to make a garment attractive for sale and packing,
other than fabrics and trims, are called Accessories.
SL Trims SL Accessories
1 Label (S) 1 Poly bag
2 Button 2 Elastic bag
3 Zipper 3 Mini Poly bag
4 Padding 4 Master Carton
5 Interlining 5 Inner carton
6 Down 6 Size clip
7 Elastic 7 P. P. band
8 Thread 8 Tag pin
9 Twill Tape 9 Brass pin
8.5 Button
1 ligne =0.635 mm
Pearl button
Horn button: It is also polyester button
Chalk "
Logo "
Polyester "
Imitation leather
Polyester imitation button
Nylon button
Jeans button
Snap button: 2 ports & 4 ports
Press button
Polymath button: It is made of polyester & metal.
Cord button : It is made of cord.
Coconut button
Wooden button
Real Shell button
Rhine stone button: It is made of metal & stone
3 sizes
4 sizes
5 sizes
3. Depend on tape:
Polyester
Cotton
4. Depend on puller:
Double puller
Single
Auto lock
Semi locks
Non lock
AZO Free
NICKEL Free
Non magnetic.
Non toxic
A zipper tooth is not shrinking so zipper tape S/B shrink free.
FBRIC S/B max 3% Shrinkage otherwise garment.
Like wavy & difficult for the zipper Slider.
To go up and down.
The Accessories which are used for garment packing during garment shipment to
buyer are called packing accessories. Packing accessories are depended on garment
packing and folding etc which is instructed by buyer. Poly bag, packing board,
tissue paper, hanger, scotch tape, gum tape, carton etc are part of packing
accessories.
1. Depend on paper:
2. Depend on stitching :
Stitching carton
Now stitching /gum pasting carton or metal free carton
3. Depend on ply:
3 ply carton
5 ply carton
7 ply carton
4. Depend on liner:
5. Depend on size:
Master carton
Inner carton
100x100
100x100
= rate/pc
Do not Wash
Machine dry
No heat/air.
Short cycle.
Reduce moisture.
No steam finishing.
Line dry/hang to dry - hang damp from line or bar and allow drying.
Drip dry - hang wet on plastic hanger and allow drying with hand
shaping only.
Dry flat - lay garment on flat surface.
CHAPTER: 9
FINAL INSPECTION
It Will Conduct Final Inspection per AQL 2.5 Major & AQL 4
Minor.
AQL, the abbreviation of the acceptable quality level, is a parameter rather than an
inspection standard. The Inspection of goods shall be in accordance with the bulk
range, the inspection level, and the AQL to determine the number of samplings and
the ratio of qualified and inferior goods. The quality inspection adopts a one-time
sampling program, and,
The AQL is 2.5,
The Level of Inspection: Normal
CHAPTER: 10
SHIPMENT
Packing list
Commercial invoice
ERC(export registration certificate)
Bank account.
Bill of Lading.
The seller/supplier agrees to contract the freight and pay "cost and
freight" for loading the goods, cleared for export, on board a vessel
and the charges to ship the goods to destination. The buyer bears
the risk of the goods from the time they pass the ship's rail at the
port of shipment and pay for the insurance coverage, and for the
unloading costs at the port of destination.
This term means "cut, make and quota" and is similar to 'CM'
except that the manufacturer has to supply the quota as well.
Export Licence
In Hong Kong, export licenses are needed for all garments and
textile products. The licenses are issued by the Trade Department.
Packing List
ship owner, and the buyer can specify which information should be
included.
A description of the goods in general terms not inconsistent with that in the letter of
credit
Consignee
The person whose name appears on the bill of lading or airway bill as the
party to whom the goods are to be delivered by the carrier
A consignment of cargo which does not fill a full container, grouped with
other consignments for the same destination.
Shipper
This is the person whose name appears on the bill of lading or airway bill as
the party who has contracted the carrier to dispatch the goods.
Shipping Marks
These are marks essential to identifying cargo and linking that cargo with
specific documents. Because these marks are important as identifiers, the
marks and numbers should be as simple as possible. Shipping marks include
the abbreviated name of buyer, reference number, destination, package
number, and container number (if applicable).
Conclusions
Now a days the exporting Garments Industries are facing a lot of challenges because
of changing demand of world. Besides this many competitors around the world are
also a main factor that making this industry challenging. So Fakir Knitwears Ltd
should take proper step to survive properly in this sector by rectifying its weakness.
Its should decentralized its function for accelerating its action in right time. They
should justify competitive key factors in the management practices like cost, product
quality, image & reputation, distribution & control of resources, capabilities etc.
From the learning point of view we can say that we really enjoyed our internship at
Fakir Knitwears Ltd from the very first day. We are confident that these two months
internship program at this Garments factory will definitely help us to realize and set
our carrier in professional life.
Recommendation
References
M.A Kashem, Garments Merchandising. (1st ed.). Dhaka: Lucky One Press.
Md. Shafiqul Islam Hitler, Bangladesh Garments and Textile Directory. Dhaka
Websites:
http://www.bgmea.com.bd/
http://www.bkmea.com/
http://www.epb.gov.bd/
http://www.fakirnit.com