IN PLANT TRAINING AT SUCCESS APPARELS

PVT.LTD.



An In plant training report submitted from students
of KLEs institute of Fashion Technology-Belgaum




Internal guide External guide
Mr. Satish Burde Mr. Ashok Itagi
Mr. Raghavendra


Submitted by
Meghana Divanji
Chaitra Hegde

Acknowledgement
We take this opportunity to express our profound gratitude and
deep regards to our guide Mr. Ashok Itagi for his exemplary
guidance, monitoring and constant encouragement throughout the
course of this thesis. The blessing, help and guidance given by him
time to time shall carry us a long way in the journey of life on which
we are about to embark.
We also take this opportunity to express a deep sense of gratitude
to Mr. Satish Burde and Mr. Raghavendra, Success apparels pvt.ltd,
for their cordial support, valuable information and guidance, which
helped us in completing this task through various stages.
We are obliged to staff members of Success Apparels Pvt.Ltd, for
the valuable information provided by them in their respective fields.
We are grateful for their cooperation during the period of our
internship.
Lastly, we thank almighty, our parents, for their constant
encouragement without which this assignment would not be
possible.









INDEX

Sl.no Contents
1 Introduction

2 Industry profile

3 Company profile

4 Leather processing

5 Purchase department

6 Store department

7 Maintenance department

8 Production department

9 Washing, Spraying and Inspection

10 Merchandising department

11 Dispatch





Namaste Export PVT.LTD


Introduction
Success apparel private limited, is Bangalore, India based leather
garment exporter with history of decades. Rich experience in the
field and long association with customers as well as suppliers has
been hallmark of success apparels business all these years.
Sourcing leather from around the world apart from India, processing
the leather with chemicals from reliable sources, sophisticated
machineries and above all sincere and technically well versed
manpower, are the reasons for Success apparel reputation in the
industry and market.
Tannery in Chennai, Tamilnadu and Garment unit in Bangalore,
Karnataka are strategically located.



INDUSTRY PROFILE

Indian Scenario
Leather garments form a significant segment of the leather industry
in India. India is the second largest producer of leather garments,
next only to China, which produces 70 million pieces of the total
global trade volume of about 120 million pieces.
Leather industry occupies a place of prominence in the Indian
economy in view of its massive potential for employment, growth
and exports. There has been increasing emphasis on its planned
development, aimed at optimum utilization of available raw
materials for maximizing the returns, particularly from exports.
Leather garments production capacity is estimated to be 16 million
pieces annually. India produces different types of leather garments
i.e., jackets, long coats, waist coats/shirts, pant/shorts, motorbike
jackets, industrial leather garments etc.
It is a matter of great pride that Indian leather garments have been
making giant strides in the world of fashion. National Institute of
Fashion Technology and National Institute of Design lend design
support to make continuous fashion statements. These Institutes
provide well trained personnel and imaginative designers. Indias
acknowledged strength is leather tanning and its ability to produce
a wide variety of fashion leather.

The leather industrial sector comprises of:-
a) Tanneries (where raw hides and skins are converted into leather)
b) Factories transforming leather into variety of consumer products
such as footwear, garments and outerwear, and assorted leather
goods such as wallets, handbags and brief cases.

Apart from the quality of raw materials, the process of its
conversion into leather and, later, of the design, product
development and process of manufacture, of products play a key
role in adding value to it.

Table 1:- Indias Export of Leather Goods and Accessories 5 Years
(Value in Million US $)
Year 2007-
2008
2008-
2009
2009-
2010
2010-
2011
2011-
2012
Amount 345.34 426.17 428.62 425.04 572.54

Indias export of leather garments increased from US $309.91
million in 2006-2007 to US $572.54 million in 2011-2012, growing at
a CAGR of 13.06%.
Indias position as the third largest global supplier of leather
garments is only going to strengthen given the availability of quality
raw materials coupled with skilled craftsmanship.
Major brands like ARMANI, ZEGNA, ABERCROMBIE & FITCH, MARCO
POLO, MANGO, COLEHAAN, ANDREW MAARC, GUESS source leather
garments from India.
Indias exports of leather garments accounts for a share of 11.76%
in Indias total leather trade of US $4868.71 million in 2011-2012.
Today the leather industry ranks 8
th
in the export trade in terms of
foreign exchange earnings of the country.
Indias Export of Leather Garments Major Markets
Major markets for Indian leather garments are Germany with a share
of 26.89%, Italy 12.47%, France 12.12%, Spain 11.58%, USA 5.57%,
UK 5.32%, Netherlands 4.02%, Denmark 3.29% and China 2.18%.


Chart 1: - Various countries share in Indias Leather & Leather
Products Exports (2011-12)

India has amongst the largest livestock population in the world,
providing a strong raw material base in goat, buffalo, and cow and
sheep leather. In terms of raw material availability in pieces, India
is endowed with 12.55% of Bovine hides and skins, 12.29% of goat
and kid skins, and 3.48% of sheep and lamb skins in the world.
The range of finished leathers includes classic finishes (polish,
glazed, aniline, patent), matt surfaces (suede, new buck), Napa,
burnished and oily leathers, crackled and distressed finishes etc.
Amongst the major producers of finished leather in the world, the
Indian leather industry has a long tradition of supplying high quality
leather for the global market. Indian tanning industry produces over
2 billion square feet of leather per annum. The industry has the
tanning capacity to fulfill 10% of global leather requirements. Major
tanning clusters in the country are Chennai, Ambur, Ranipet,
Kolkata, Kanpur, Jalandhar etc. There are approximately 2091
tanneries in the country 45% in Tamil Nadu, 26% in West Bengal,
18% in Uttar Pradesh.

Table 2:- A Statement showing Indias export of finished leather 5
Years
2007-2008 2008-2009 2009-2010 2010-2011 2011-2012
724.00 673.37 627.95 841.13 1023.21


The leather industry Economic significance
The leather industry is an indigenous industry in which the country
is well endowed with an affluence of raw materials, skilled
manpower, innovative technology, increasing industry compliance
to international environment standards and the dedicated support of
the allied industries. The leather industry has undergone a
structural change during the last three decades, from merely an
exporter of raw materials in the sixties to that of value added
products occupying a place of prominence in the Indian economy in
terms of foreign trade, employment generation and growth and is
among the top ten foreign exchange earners for the country,
gradually parading towards the magic figure of Euro 5.27 Billion of
exports by 2013-2014.
Leather Industry Structure
Leather products/ Leather industry in India is spread over organized
as well as unorganized sector dominated by the presence of family
units. The small scale, cottage and artisan sectors account for over
90% of the total production.
Table 3:- Sectorial Classification of the Production Units
Type of unit Turnover
Small < Euro 2.25 Million
Medium Euro 2.25 11.25 Million
Large Euro 11.25 41.25 Million
Major Production Centers
The major production centers for leather and leather products are
located in
1. Tamil Nadu Chennai, Ambur, Ranipet, Vaniyambadi, Trichy,
Dindigal;
2. West Bengal Kolkata;
3. Uttar Pradesh Kanpur, Agra and Noida;
4. Maharashtra Mumbai;
5. Punjab Jalandhar;
6. Karnataka Bangalore;
7. Andhra Pradesh Hyderabad;
8. Haryana Ambala, Gorgon, Panchkula and karnal;
9. Delhi.
Table 4:- Top 8 States in Terms of Manufacturing Units
States Footwear units
(Factories+Household)
Leather Garments
and Leather
Goods Units
Total
Tamil Nadu 160 598 758
West Bengal 230 436 666
Uttar Pradesh 268 22 290
Haryana and
Punjab
163 8 171
New Delhi 112 43 155
Andhra
Pradesh
128 10 138
Karnataka 48 40 88
Maharashtra 20 48 68








Chart 2: - Region-wise Export of Leather & Leather Products 2011-12

Leather Industry generates employment for 2.5 million people,
mostly from the weaker sections with 30% women predominance.
Horizontal Spread of the Industry
Leather industry can be broadly divided into Leather Processing and
Leather Product Industry. The flow chart elucidates the structure:-
Leather Industry

Leather processing Leather Product

Tanning and Finishing Footwear and footwear products
Leather garments
Leather Goods


Leather Garments:
The export of leather garments commenced in 1984. The strength of
the existing apparel industry and availability of skilled workforce
have facilitated the growth of the leather garments industry in the
country. Though on a small scale, most of these garment units are
merchandised and are totally export oriented.


Government Initiatives
Globalization of the Indian economy is a major objective of the
Government. The basic thrust of Indian economic policy in the
recent years has been to integrate the Indian economy with the
global economy and expose the Indian manufacturers to the global
market and competition.
Leather and Leather Products as a sector, has been given
considerable attention by the Government of India at various levels
due to its inherent strengths and prospective features. Many Expert
Committees were formed by the Government from time to time to
suggest measures for strengthening Indian leather industry and to
enhance exports.
Overall, India is facing fierce competition in international market
from countries like China, Vietnam, Thailand, Indonesia, etc., which
are emerging as major manufacturing countries. East European
countries like Poland, Romania, Czech and Slovak Republics have
re-emerged as major production centers particularly for footwear
sector. These countries pose major challenge to Indian Exporters as
they enjoy geographical advantage.

Global Scenario
Indian leather industry today has attained well-merited recognition
in the international market besides occupying a place of pride
within the domestic market. India accounts for 6% of the global
market in leather goods and 2.78% of the world import of leather
and leather products.
The global trade in leather and leather products has been increasing
over the years. Although the exports of Indian leather and leather
products have grown manifold during the past decades, our
countrys share in global trade is around 3% among world imports of
leather products.
Although the exports of Indian leather and leather products have
grown manifold during the past decades, our countrys share in
global trade is around 3% among world imports of leather products.
Whereas Indias share in world imports of leather footwear is 1%.
Major exporting countries of leather footwear are China (14%
share), Portugal (6% share), Brazil (5% share) and Indonesia (4%
share).
Indias share in world imports of leather garments is 6%. Major
exporting counties of leather garments are China (36% share),
Germany (9% share), Italy (7% share), Turkey (5% share) and
Pakistan (4% share).
Future Outlook
Table 5:- Export Projections during 2012-2013 and 2013-2014
(Value in Million Euros)

Product 2012-2013 2013-2014
Leather 933.87 1055.2725
Footwear 2194.5975 2532.6525
Leather Garments 373.545 369.345
Leather Goods 1167.3375 1319.0925
Total 4669.35 5276.3625






Chart 3: - Share of Leather Products of India in Export Performance
(2011-12)











Company Profile

Company :
Success Apparels
pvt.ltd.
Corporate Office :
No.63, New Timber
yard layout, Mysore
Road Bengaluru-560026, Karnataka

Incorporation : May 28, 1997
Industry : Leather
Headquarters : Bangalore, India
Employees : 600 (approximately)
Website : www.namasteexport.net
Auditors : Ishwar and Gopal
Turn over : Rs.50 crores/year
Bankers : Federal Bank




Board of directors

Directors:
M.V.Shridhar Rao
M.Shrinivas Murthy

Company Secretary:
Narendra .K

Leather Technologists:
Krishnaprasad.N
Rangappa.B.K

Bankers:
Federal bank









Different stages in leather processing:
Leather is a tough, flexible material made from the skin of animals.
In the tanning trade skins of large animals are called hides and
those of small ones are generally called skins. Cattle hide is the
source of most leathers, but ,Goat, Buffalo & Sheep skins are also
used. Specialty leathers are made from Alligator hides , Ostrich and
Snake skins.
Leather is obtained after processing hides and skins which are
obtained after flaying the carcass immediately after the slaughter.
The hide is a highly perishable matter and requires careful
prevention. The methods of preservation are:
1. Wet salted
2. Dry salted
3. Sun dried
Wet salted:
This process consists of sufficiently dehydrating the fresh hides and
skins on order to prevent the development of bacteria and storing
them in a pile in such a way that the brine resulting from the
dehydration can be easily drained off. Dehydration by wet salting is
carried out by means of a homogeneous mixture of salt and
chemicals to which antiseptic products have been added to avoid
development of defects of microbial origin.
Dry salted:
In India dry salting of hides and skins is carried out mostly with
khari salt which mainly consists of sodium sulphate which is not
hydroscopic and does not absorb atmospheric moisture even in the
monsoon. This process keeps the hides and skins dry for several
months.
Sun dried:
This hides are stretched out by tying them to a wooden or bamboo
frame and dried in mild sun in a open yard where a good current of
air flows. Only the flesh side is exposed to the sun but it is kept
away from very hot sun to prevent rapid drying.
After the preservation proper care should be taken during storing.
1. Hides and skins should be protected from water and humidity.
2. Heat generation should be avoided during piling,
transportation, etc.
To make the hides and skins fit to be used for making various
products, it has to be treated properly using various methods. The
operations are:
1. Pre tanning
2. Tanning
3. Post tanning
4. Finishing














Purchase Department

Purchasing refers to a business or organization attempting for
acquiring goods or services to accomplish the goals of the
enterprise.

Purchasing managers guide the organizations acquisition
procedures and standards.

Now-a-days purchasing has acquired a new dimension and it has
become a specific function. It is a process which includes all the
functions involved from the requirement to the receipt of material
and its final acceptance.

The purchasing is the important function in all type of business
organizations whether it is small, medium or large.
Without purchasing no business can be operated. In todays world,
purchasing plays a significant role in shaping the business
decisions.








Purchase Department Chart
















The role of purchasing in business management has become very
important.

The purchasing department is similar to that of sourcing department
(merchandising) but the main difference is that the sourcing
department works for sourcing the leather alone while the
purchasing department works for sourcing the accessories.



Purchase Manager
Purchase Executive
Purchase
Assistant
Purchase
Assistants
Helper
Helper

Helper
Objectives
To maintain uninterrupted flow of materials so that there will be
continuity of operations.
To procure materials economically at a cost consistent with the
quality and service required.
To provide the necessary expertise, advice, information to the
Management with regard to the best quality of material available
in the market, suppliers capability and performance etc.
To develop and maintain good buyer-seller relationship.
To procure at a competitive price the needed materials at the
right quality, at the right time.
To suggest better substitutes to materials which are currently
being used with a view to lower cost and maintain quality of the
products.
Minimize investment
Maintain the companys competitive position
To integrate the requirements of all departments of the
organization in order to take the advantage of economy of scale
wherever possible and to also avoid duplications of purchases
resulting in wastes and obsolescence.
To create goodwill for the organization through healthy buyer-
seller relationship.
To maintain Organization reputation and credibility in the market
by fair dealings and prompt payments.

Functions of Purchase Department
Locating, selecting and developing qualified source of supply.
Scrutinizing purchase indents and deciding suitable method of
buying.
Procurement of stores through indigenous and foreign sources as
required in accordance with the rules in force.
Checking of requisitions/purchase indents.
Selection of suppliers for issue of enquiries.
Issuing enquiries/tenders and obtaining quotations.
Analyzing quotations and bids etc., and preparation of
comparative statement (quotation charts).
Negotiating contracts if needed.
Checking legal conditions of contracts. Consulting Administrative
Officer or Secretary where necessary.
Issue of Purchase Orders.
Follow-up of purchase orders for delivery in due time.
Verification and passing of suppliers bills to see that payments
are made promptly.
Correspondence and dealing with suppliers, carriers etc.,
regarding shortages, rejections etc., reported by the Stores
Department.
Maintenance of purchase records.
Maintenance of progressive expenditure statement, sub-head
wise.
Maintenance of vendor performance records/data.
Clearance of foreign consignments.
Keeping various Departments/Divisions informed of the progress
of their indents in case of delay in obtaining supplies.
Serving as an information center on the materials knowledge i.e.
their prices, source of supply, specification and other allied
matters.
Development of reliable and alternate sources of supply.

It shall be particularly ensured:
That all purchase is made against properly authorized
requisitions, and valid sanctions, showing the correct and
detailed end-use.
That all the materials requisitioned are duly ordered from the
right source after full enquiries on most competitive price taking
into account the trade discounts and tax benefits etc.
That the right quantity of the goods consistent with the quality
and the specification required is bought.
That the deliveries of all goods are received within the stipulated
period.
That claims due to shortages or any other discrepancies are
settled promptly.
The cordial and harmonious relations with all sections/divisions
are maintained for becoming an efficient service unit in the
business.

ALLOCATION OF WORK IN PURCHASE DEPARTMENT
Internally the Purchase work is divided into three main groups:
Group A: Foreign purchase
Group B: Indigenous purchase
Group C: Vendor rating, source development and other misc.
matters.
Further sub-division and allocation of work on commodity basis or
work basis may be resorted to for convenience of work.

FOLLOW UP OF PURCHASE ORDERS
Purchase Section will be responsible to ensure that Purchase
Orders are regularly followed up and materials ordered are supplied
by parties concerned within the stipulated delivery period.

PASSING AND PAYMENT OF BILLS
Since prompt payment of the amount due to the suppliers builds the
credit worthiness of the company in the market, all concerned viz.
the Purchase, Stores, Accounts Department and the Indentor shall
ensure that the payment of all bills are arranged as expeditiously as
possible.

Key purchasing responsibilities:
(1) Determine when to order;
(2) control inventory levels;
(3) establish quality standards;
(4) Determine specifications;
(5) Obtain competitive bids;
(6) Investigate vendors;
(7) Arrange financial terms;
(8) Oversee delivery;
(9) Negotiate refunds;
(10) Handle adjustments;
(11) Arrange for storage.

Selection and Procurement Plan
Typically, the person charged with purchasing responsibilities
needs to work with management to determine relevant policies and
procedures to guide the purchasing function.
The plan should contain a description of how the organization
intends to select and procure the products and services needed to
conduct normal business activity. The plan should also explain the
methods used, why they were selected, and its major goals and
objectives. Ideally, the plan should include a discussion of supplier
availability, purchasing trends that will have to be considered, and a
procedure that allows the plan to be revised when necessary.



An Overview of the Purchasing Function



















PREPURCHASE ACTIVITIES
Plan for purchase of required materials
Determine specification of product
qualities needed
Determine appropriate inventory levels
Determine appropriate order sizes
Prepare ordering documents
FORMAL PURCHASING
Contact vendors
Establish formal
competitive bid process
Solicit competitive bids
Evaluate bids
Award contract to vendor
Receive shipment
Issue products to
production department
Monitor future contract
performance
Evaluate and follow up
INFORMAL
PURCHASING
Contact vendors
Obtain price
quotes
Select vendor
Place order
Receive
shipment
Issue products
to
production
departments
Maintain a Convenient and Sufficient Inventory

An operation must practice optimal inventory management, which is
nothing more or less than ensuring that an appropriate inventory of
all items is always on hand. Too small an inventory may cause run-
out of some items. Conversely, too large an inventory ties up dollars
in these items and requires extra storage space.

An operation should strive to maintain an optimal overall level of
inventory items. But this is more easily said than done. As much as
possible, though, a buyer must try to maintain this optimal level by
determining the correct order size for each item and ordering this
correct amount at the correct time.

Forecasting

Forecasting can involve many things, but, usually, the purchase
manager is most interested in predicting the kinds of products and
services that will be available in the future and what their prices
will be. Purchase department often centres their forecasting efforts
on picking the brains of friendly suppliers and salespersons.
Informal chats can yield accurate and useful information quickly
and easily.

Maintains Supplier Diplomacy

Purchase Department works continually with suppliers and
salespersons; meanwhile, several other suppliers may wish for the
buyers business. Keeping every potential supplier content is
impossible; a buyer should not even try it. Nevertheless, diplomatic,
cordial relations help a buyer get along with suppliers and earn the
best value from each.

Organize and Administer the Purchasing Function

Where applicable, the person in charge of purchasing must plan,
organize, staff, direct, and control the purchasing function. In
addition, purchasing must be coordinated with other company
activities, including accounting, marketing, production, and service.
The purchasing agent, then, must not only see to it that products
and services are efficiently and effectively purchased, received,
stored, and, where appropriate, issued, she must also have the
managerial competence to organize and administer these activities
expeditiously.



Role of Purchase Department
1. Procuring Materials
One role of the purchasing department is to procure all necessary
materials needed for production or daily operation of the
company.
2. Evaluating Price
A purchasing department also is charged with continuously
evaluating whether it is receiving these materials at the best
possible price in order to maximize profitability. Purchasing
department staff will communicate with alternate vendors,
negotiate better pricing for bulk orders or investigate the
possibility of procuring cheaper materials from alternative
sources as part of their daily activities.
3. Paperwork and Accounting
Purchasing departments handle all of the paperwork involved
with purchasing and delivery of supplies and materials.
Purchasing ensures timely delivery of materials from vendors
generates and tracks purchase orders and works alongside the
receiving department and the accounts payable department to
ensure that promised deliveries were received in full and are
being paid for on time.
4. Policy Compliance
The purchasing department also must ensure that it is complying
with all company policies.


In more specific terms, todays purchasing department in Success
Apparels pvt.ltd is responsible for:
Coordinating purchase needs with user departments
Identifying potential suppliers
Conducting market studies for material purchases
Proposal analysis
Supplier selection
Issuing purchase orders
Meeting with sales representatives
Negotiating
Contract administration
Resolving purchasing-related problems
Maintenance of purchasing records

Thus the Purchasing Department is responsible for coordinating the
acquisition raw materials and other needs of the company and
ensuring that they are bought at the minimum cost and offer value
for the money spent.
The purchase department is headed by purchase manager who is
assisted by assistants. This department is responsible for
purchasing all the goods and raw materials needed for NAMASTE
EXPORT Ltd
When the goods are received they are examined to check whether
the goods are up to the quality ordered. If the goods are not up to
the required quality they will be sent back. Good quality raw
materials will be received and stored in the stores and will be
issued to the concerned department which ordered the goods
according to their request of FIFO basis. Finally after receiving the
goods the purchase department initiates the accounts department
to make payment to the supplier as per their terms in their
quotation.
The merchandising department will order for raw materials based on
that the Purchase department will purchase the materials. They
send mail to the supplier about the order, according to that the
supplier will send Performa Invoice based on that the Purchase
department will prepare Purchase Order.
If local suppliers are contacted then the payment is made after
receiving the order. If the materials are imported then advance is to
be paid.
Purchase Manager is authorized to issue purchase orders and
Finance Department will certify invoices for payment. Within 30
days or 45 days the payment is made to the suppliers.
The raw materials are procured locally and globally. The Purchase
Department will see the products before placing the order.
Negotiation is done for quantity above 500.
Success apparels Purchasing Policy aims at getting 100% quality
and best material for affordable prices.



Purchase Planning
Purchase planning is done as per the seasonal requirements.
Winter April to August
Spring September to January.

They will maintain around stock, it both accessories and leather.
Meeting is done on weekly basis i.e. on Saturday. If necessary inter
departmental meeting is conducted in critical cases.
Accessories Details
Wading
Lining
Pocket Cloth
Cotton Twill
Woollen
Twill lining
Brush pocket cloth
Foam
Thread
Buttons
Cora



Stores department
Stores play a vital role in the functioning of the organization. All
departments are in the direct contact with the stores for their
smooth functioning. The most important functioning of the stores is
that to provide regular service to production and other department
for their continuous smooth operation. Maintenance of stores and
its handling should be given importance because investment made
in stores is huge and articles worth lakhs are kept in stores. A
systematic and proper control of store keeping functioning are
essential for ensuring discipline, availability of articles at required
time adequate storage in store keeping records.

The term stores, storehouse, warehouse etc. refer to the physical
place be it a building or a room etc. where materials of all variety
are kept.
The function of stores is to receive, store and issue materials.
Stores department has an interface with many user departments
in its daily operations.
The basic purpose served by stores department is the provision of
uninterrupted service to manufacturing divisions.
The inherent limitations of forecasts make the stores function a
necessity.
The task of store keeping relates to stocking of materials, their
receipts, issues and accounting with the objective of efficiently
and economically providing the right material at the right time
whenever required in the right condition to all user departments.
Even though store keeping does not add any value to the product
in the normal sense, it is an essential function and just cannot be
neglected.
At times stores add time utility or value by preserving scarce
material that may be required in future.
By proper preservation and storage, the stores department avoids
any depreciation in the value of inventory.


Functions of stores Department
To receive raw materials and other items and account for them.
To provide adequate, proper and efficient storage and
preservation for all the items.
Physical checking of all incoming materials as per the Delivery
Challan/invoice and proper maintenance of daily goods receipt,
register of records.
Ensure that Goods Inward Notes are raised and distributed
without delay.
Issue materials to the consuming departments against authorised
requisition and accounts for the same.
Maintains accurate and up-to-date records of materials received,
issued, rejected, disposed and quantity on hand of all the items.
Ensures that all documents relating to receipts and issues are
sent to stock control, accounts and other concerned
departments.
It minimises obsolescence, surplus and scrap through proper
codification, standardisation, preservation and handling.
The stores department is located near user departments so as to
minimise material handling cost and ensure timely supplies so as
to allow smooth production.
Arrangement has been made to keep scrap/unusable material in
store separately.
To provide the services in the most economical manner, keeping
the stocks at the optimum level and bringing down inventory
holding and ordering costs to the minimum.
Maintain proper coordination and cordial relationship with
departments.

Major aspects involved in the receipt of material
As and when materials are received all the items are physically
examined for accuracy and inspected for assuring quality. When
materials are received in the store it is checked and agreed with
that mentioned in Chelan /deliver note/packing lists /invoice.
Delivery note is signed and the original note is retained in the dairy
and the duplicate copy is forwarded to seller as
an acknowledgment. If any shortage or damage is reported it is
mentioned in the in the delivery note. After fulfilling the mentioned
it should be taken to store without further delay.
All the incoming material from the suppliers of the organization
shall be received at stores. Arrangement need to be made for
transportation, unloading and receiving of materials, and handing
over the same to user departments. It also arranges for dispatches
of materials- returned to suppliers, sent for repair or transferred to
other units of the organization.

Records maintained by the stores department
1. Bin Cards: - It contains detail like description of item size,
specification, name of the major supplier.
2. Stores Ledger: - It contains details regarding receipts, issue and
the balance of value, name of the supplier and name of the
consumer.

Process of Stores Department
1. From Chennai the finished leather will come in bundles
2. It is checked for quality
If the quality is good then it will be stored
If it is rejected then it will be returned back
3. Then for each bundle coding is done.
4. Some pieces of leather is sent to merchandiser for approval
5. After approving it is returned back to stores department to give it
to the user departments.
6. Issued to cutting section on order (FIFO Method is followed)
Thick gauge instrument is used to check quality. 3 members are
there in stores department presently.


Challenges faced by stores department
Scarcity of raw material
Sky rocketing prices
Transportation problems
Working Capital crunch
Stores functions as such are treated as back-bone for efficient and
effective operation of the business.













MAINTENANCE DEPARTMENT

The term maintenance means to keep the equipment in operational
condition or repair it to its operational mode.

Apart from having quality systems and the best practices, Machine
Maintenance is also very important to get quality products.
Breakdown and preventive maintenance is primarily aimed towards
reduced downtime and increased life respectively. Proper machine
maintenance is also necessary to avoid casualties at the floor.

Main objective of the maintenance is to have increased availability
of production systems, with increased safety and optimized cost.

Maintenance Department involves managing the functions of
maintenance. Maintaining equipment in the field has been a
challenging task since the beginning of industrial revolution. Since
then, a significant of progress has been made to maintain
equipment effectively in the field. As the engineering equipment
becomes sophisticated and expensive to produce and maintain,
maintenance department has to face even more challenging
situations to maintain effectively such equipment in industrial
environment.
MAINTENANCE STRATEGIES OR OPTIONS

A maintenance strategy or option means a scheme for maintenance,
i.e. an elaborate and systematic plan of maintenance action.
Following are the maintenance strategies that are commonly
applied in the plants.
Breakdown Maintenance or Operate to Failure or Unplanned
Maintenance
Preventive or Scheduled Maintenance
Predictive or Condition Based Maintenance
Opportunity Maintenance
Design out Maintenance


FUNCTIONS OF A MAINTENANCE DEPARTMENT
Following are the major functions of a maintenance department
Maintenance of installed equipment and facilities
Installations of new equipment and facilities
Inspection and lubrication of existing equipment
Monitoring of faults and failures using appropriate techniques
Modifications of already installed equipment and facilities
Up keep and maintenance of all plant and machinery.
Power and water supply.
Effluent treatment.
Maintenance of campus.

Maintenance is expected to play even much bigger role in years to
follow, as industries worldwide are going through an increasing and
stiff competition and increased automation of plants. The down time
cost for such systems is expected to be very high. To meet these
challenges, maintenance has to use latest technology and
management skills in all spheres of activities to perform its
effective role in profitability of the company.













Production Department

Production is the functional area responsible for turning inputs into
finished outputs through a series of production processes. The
Production Manager is responsible for making sure that raw
materials are provided and made into finished goods effectively. She
must make sure that work is carried out smoothly, and must
supervise procedures for making work more efficient and more
enjoyable.
The production floor will receive the Work Order with details like,
The Style, Quantity, Size, Break-up or the garment
The batch for which the style has to be loaded
Target for each day
Production sub-functions
In Success Apparels, the production function may be split into four
sub-functions:
1. The production and planning department will set standards and
targets for each section of the production process. The quantity
and quality of products coming off a production line will be
closely monitored. Success Apparels focuses on lean production;
quality will be monitored by all employees at every stage of
production.

2. The purchasing department will be responsible for providing the
materials, components and equipment required to keep the
production process running smoothly. A vital aspect of this role is
ensuring stocks arrive on time and to the right quality.


3. The stores (Leather & Accessories) department will be
responsible for stocking and issuing all the necessary materials
required to service the manufacturing process.



4. The works department will be concerned with the manufacture of
products. This will include the maintenance of the production line
and other necessary repairs. The works department may also
have responsibility for quality control and inspection.

The main role of production is to turn inputs (raw materials) into
outputs (finished goods). Outputs refer to a finished product and
inputs are the materials that are needed to manufacture certain
goods. When Success Apparels completes this process they are
able to achieve customer satisfaction by producing products that
are ready to be used and fit for purpose.

The Production Department at Success Apparels strives to achieve
artistic excellence in each process of manufacturing the garment.
The staffs are committed to produce the leather garment with the
highest design craftsmanship available. Each batch is operated by a
highly qualified staff member under direction of the Production
Manager. Totally there are nine batches.

Objectives of Production Department

Quality of Goods
The production departments main duty is to ensure the goods being
produced meet the customers quality expectations. Each step
measures the raw material to make sure it is within the tolerances
recommended before it goes to the next step. This measurement is
either done digitally or by the machine or production operator.

Production Scheduling
A production department can only manufacture or assemble so
many products in a certain amount of time. It is the duty of the
production department to maintain a production schedule so
other departments know what is being produced and how long it
takes to produce that quantity. The merchandising department
relies heavily on this production scheduling to provide customers
with a satisfactory time line of shipment for their purchases.

Coordinating Duties

This is the last step in a long production process. The production
department coordinates the production of each part of the
assembled goods to ensure all parts are being produced in
conjunction with each other. All parts of an assembled product
are formed from raw material. This process takes several steps
from the production department to make sure each part of the
product is being produced simultaneously or within the same
time frame.

Responsibilities of Production Department

Estimation of worker hour requirements for completion of job
assignment.
Interprets company policies to workers and enforces safety
regulations.
Interprets specifications, prints, and job orders to workers, and
assigns duties.
Establishes or adjusts work procedures to meet production
schedules.
Recommends measures to improve production methods,
equipment performance, and quality of product.
Suggests changes in working conditions and use of equipment to
increase efficiency of department or work crew.
Analyses and resolves work problems, or assists workers in
solving work problems.
Initiates or suggests plans to motivate workers to achieve work
goals.

Supervisory responsibilities:

Supervisors monitor employees in the Production Department. They
are responsible for the overall direction, coordination, and
evaluation of batches. They carry out supervisory responsibilities in
accordance with the organizations policies and applicable laws.
Responsibilities include interviewing, hiring, and training
employees; planning, assigning, and directing work; appraising
performance; rewarding and disciplining employees; addressing
complaints and resolving problems.


Pattern making
Materials used for sample pattern:
Brown paper for sketch
Brown thick sheet for leather cutting pattern
White or colored sheet for ready pattern
Lining pattern for lining pattern

Materials used for production pattern:
Lining paper:
For leather grading pattern
For ready grading pattern
For production lining pattern
Card board:
For leather cutting pattern
For ready pocket
For Collar where turning is apparent

Aluminium foil:
When ironing is involved
Fiber sheet:
When quantity is above 50
Pattern Section
In the pattern section of Success Apparels, the sketch of the
garment will be sent by the buyer . Designing of the leather
garment is not done in Success Apparels. Only product
development is done based on the design. The employees will
do master sketch in the cardboard sheet. Different buyers give
different design and sketches.

Today many companies have developed CAD/CAM because of
the ease of designing patterns, fluency and precision involved
which cannot be guaranteed with the manual method.
Investing once into the CAD/CAM unit is worth in itself. Many
buyers around the world prefer manufacturers who are using
CAD/CAM methods. The production patterns created in
CAD/CAM can be stored easily and they can be modified at any
point of time.









CAD Section
Success apparels pvt.ltd has its own CAD department where varied
style garment are made with the help of Astor technology.

It helps in Automatic machine cutting.
Making the most efficient cutting marker
Development and alteration of patterns
Development of size set pattern by grading




SAMPLING

Sampling is the main process in leather Garment Industry and it as
a vital role in attracting buyers. Because the buyers generally place
the order after they are satisfied with the quality of the samples.
The samples decide the ability of an exporter. The buyer will access
the exporter and his organization only by the samples. If the
samples are of good quality and with reasonable price naturally the
buyers will be forced to place the order.

The purpose of sampling is not only to get bulk orders and also give
some additional benefits to the exporters. The sampling process
helps to estimate requirement of materials for bulk production as
also take steps to facilitate trouble free manufacturing when bulk
order is received.
TYPES OF SAMPLES

Original samples
Proto samples
Development samples
Salesman samples
Revision sample
Size set sample
Preproduction sample
Counter sample
Shipment sample

Role of merchandiser in fulfilling the sampling:

In preparing sample the merchandiser plays an optimal and pro-
active role. The merchandiser is a person who has to follow all the
activities from procurement to dispatch & receipt of payment.
Merchandiser should understand the specifications and requirement
of the buyer and produce samples by considering:
1. Communication
2. Optimizing situation
3. Punctuality in giving details and samples to the buyers
4. Efficient follow up
5. Excellent negotiation skills

In Success Apparels only leather development is done, Buyers will
do designing and Product development.



Process
1. Leather Development
2. Leather selection to customers (10 to 15 varieties of leather)
3. They may select 3 or 4
4. Make samples and they send it to the company
5. Accessories to make the leather
6. Check the pattern
7. Cutting
8. Sample section
9. Produce sample garment
10. Buying Office will come and inspect if they are in India or they
will send the sample to customers.
11. Proto type samples will be sent to the customer along with
price quotation
12. Salesmen sample collection
13. Get the bulk orders
14. Leather requisition for leather purchase department and even
for accessories purchase department
15. Pre-Production Samples (Size set samples)

As soon as the Proto type sample is done the buyer needs quotation
hence the merchandisers will prepare costing. Open costing is
done. Costing is different for different customers. Sample is also
charged. For some customers they charge 20% more. Negotiation is
done by customers after the costing.

After they get the bulk order from the customer they prepare work
order and route card and the copies are distributed to various
sections such as Production, Leather Store, Cutting, Pattern etc.

Once the garment is ready it will be inspected and it will be packed
and it will be ready for shipment.

Process of Production department

1. Marking, cutting and numbering
2. The leather garment after cutting are issued to the production
lines i.e. batches
3. Fusing
4. Setting
5. Assembly system
6. Washing (if required)
7. Stitching
8. Lining attached
9. Finishing (Garment final)
10. Online checking
11. Hemming and Buttoning
12. Final Inspection
13. Garment Ironing
14. Inspection by Customers or customer representatives
15. Packing and dispatch
Marking


The pattern blocks placed on leather. The proper layout is done.
Then the leather is cut from sharp knife.
The lining materials are placed in some layers and cut through the
Cutting Machine.




Cutting section

Cutting section receives the order for cutting a garment style from
the production manager. Cutting order is an authorization by the
production manager to cut a given amount of styles, from the
spreads.


Leather quality check list:
Selection
thickness
wet rub
dry rub
colour
feel

Actual Cutting Process

Spreading
Spreading is the process of superimposing of leather on a
horizontal table in a manner, which permits these leathers to be
cut into product components acceptable for assembly. For this,
first of all a thin brown paper sheet is spread on the cutting table.

Cutting
The leather is cut with the help of sharp Knife. The knife is
moved through the leather following the pattern lines. Cutting is
done manually. The garment is kept aside as and when they are
cut.

Sorting and Ticketing
The pieces cut out from the leather are now sorted out size wise.
All the components of one garment size are bought together. It is
very important to take care that pieces cut from two different
bundles of leather are not mixed up. This is because within the
lot there are variations in the colour shades.

The ticket contains the size, bundle number and piece number
and serves as important means to track the parts of the garment
in the assembly line from start to end.

Cut Panel Checking
The ticketed panels are now sent to the checking area for
inspection of every individual piece for any objectionable faults.

Bundling
The checked components of one style and in one size are now
clubbed and bundled using ties. Each bundle will contain pieces
of the same style and same size only. The cutting department
issues the amount required by the production department when
asked for.













Stitching
After lining and leather cutting stitching takes place.
The jacket is assembled in roughly this order: the sides are stitched
to the back portion, sleeve under seams are stitched together, and
the sleeves are attached to the armholes .the attachment of
finishing pieces such as collars, cuffs, buttonholes, buttons, zipper
sand pockets varies according to the design of the jacket. Patch
pockets are sewn into the side pieces before they are stitched to
the back portion, and side pockets are sewn in at the same time
that the sides are attached to the back. Generally, lining material is
attached to each piece before it is sewn onto the jacket.
In mass production, the pieces are moved along a highly
sophisticated production line using integrated automatic sewing
machines that are capable of sewing as many as 8000 stitches per
minute. In a sequential system, one sewing machine stitches a
particular section of the jacket and then moves the garment to
another sewing machine which performs the next step. For
example, after one machine stitches a cuff to the sleeve, the sleeve
moves to another machine where it is attached to the jacket
armhole.
A tandem sewing system calls for two or more machines to work on
the same garment simultaneously. In this instance, one machine
attaches buttons to the front of the jacket while another machine
applies the collar.
Each step, from setting thread and needle positions to aligning the
leather to extracting the sewed materials, is equipped with under
bed trimming devices that automatically knot and cut threads after
each are sewn. Excess threads are carried away to waste
receptacles by streams of compressed air.
Operators regulate the work at each station with a modified
presser-foot or from a control panel. A stop motion device allows
the operator to halt production to make adjustments such as
replacing broken threads or needles.













Washing and spray department
After stitching the leather jacket is sent to the washing department,
where the leather jacket is subjected to the water repellant wash.
in some time they also used to do the stone wash depending on the
customer requirements.
Different types of finishes are given to the jackets. For example
petroleum dyes, Carnoba Wax are used.
Machineries used:
Tumble drier
Hydro Extractor











INSPECTION:
Inspection is the visual examination or review of raw materials
partially finished components of garments and completely finished
garments in relation to some standards, specifications, or
requirements as well as measuring the garment to check if they
meet the required measurement.















Types of Inspection:

1. Incoming material inspection
2. In process Inspection
3. Pre-Final Inspection
4. 100% Inspection:

Inspection Parties:
Internal Quality Controller:
Buying Agents
Third party Inspectors appointed by Buyers

Inspection Parameters :
Colour matching problem within the garments.
Leather damage
Lining damage
Lining label attach
Front alignment
Front pockets alignment
Bottom alignment
Detached collar attachment
Button hole
Lining attachment excess/short sleeve & hem
Facing attachment
Collar/neck attachment
Zip attachment
Armhole attachment
Needle holes
Loose stitches & skip stitches
Crooked stitches
Seams wrinkles/puckering
Collar peak distance not same
Fusing impression / visible through the seam
Thread finishing
Button attachment & position
Stains /pencil marks/ink marks
Top finishing not as per original.
Thickness variation from garment to garment
Any variation from the proto sample.











Merchandising Department

Merchandising department is the star of the department among all
the working departments in the Export concern, because
Merchandising is the only department having maximum control over
the departments and total responsiblity for Profit and loss of the
company.

After LPG (Liberalization, Privatization & Globalization) the business
gets more important and now merchandising is on its hot seats. So,
it is necessary to understand the day to day happenings of the star
department.

Merchandise- means goods bought and sold; and trading of goods.
Merchandising- is an activity of selling and promoting the goods.

Merchandising is a process through which products are planned,
developed, executed and presented to the buyer. It includes
directing and overseeing the development of product line from start
to finish.

Merchandising Department: A team of merchandisers work together.
Merchandisers handle the foreign buyers. The teams are made
according to the buyer being handled.

a. What does a Merchandiser do?
Merchandiser is a person who interacts with the buyer and seller,
and also puts efforts into proper relation between buying offices/
buying agents/ agency and seller/ exporter in terms of executing an
order.

b. Merchandiser in leather garment industries:
In the field of marketing and services, Merchandiser is at a position
of utmost importance, He is the person who co-ordinates with
various departments for a uniform business.

A merchandisers key responsibility is as follows:
Product Development
Market and Product Analysis
Selling the concept
Booking the orders
Conforming deliveries
Sampling
Costing
Raw material
Flow monitoring
Production follow ups


Two types of merchandising is done in garment exports
1. Marketing Merchandising
2. Product Merchandising

1. Marketing Merchandising
Main function of marketing merchandising is:
Product Development
Costing
Ordering
Marketing merchandising is to bring orders, costly product
development and it has direct contact with the buyer.

2. Product Merchandising
Product merchandising includes all responsibilities from sourcing
to finishing i.e., first sample onwards, the product merchandising
work start and ends till shipment.




Objects of Merchandising Department

Merchandising department denotes all the planned activities to
execute and dispatch the merchandise on time, taking into
consideration of the 4 Rs to replenish the customer.
Right Quantity: To dispatch right quantity of product what buyer
ordered.
Right Quality: It should be with right quality as accepted by both
parties.
Right Cost: Everybody wants more from what they are paid.
Right Time: No one wants to wait idle even in a Restaurant.
Keeping delivery schedule is mandatory.


Function of Merchandising Department

Developing new samples, execute sample orders
Costing
Programming
Raw materials / Accessories arrangement
Production scheduling (or) route card drafting
Approval of various Process, Pattern and size set
Pre-production follow-up
Meet Inspection Agencies
Production controlling
Identifying shortages and make arrangement for the shortages
Following quality assurance procedures, quality control
procedures
Monitoring the in-house, sub-contractors and junior activities
Buyer communication
Communication with sub-contractors, processing units & other 3
rd

parties
Proper reporting
Highlighting to the management
Record maintenance
Developing samples
Placement of orders to suppliers
Taking measures for consistent production
Taking preventive action to maintain the targeted performance in
all areas of activities
Attending meeting with superiors and furnishing the required
details about
Merchandising.

Important Duties of Merchandising Department

Costing or Calculating Garment Price
In Success Apparels , costing is done by the Merchandisers.


Some important terms in costing

Leather cost
Process cost
Process loss
CMT (Cutting, Making & Trimming)
Negotiation (getting the best out of a deal)
Commission percentage (%) for Middle man
Shortage
Buyer specification (It is buyers responsibility to specify the
quality required)
Quantity
Currency
Mode of Shipment (sea, air)
FOB (Free On Board)
CIF (Cost, Insurance and Freight)
OH (Overhead)
Profit (level of %)

ERP software is used for the purpose of Order Processing.
Acceptance of order , Requisition for material, Procurement of
material, Work Orders to Production, Issue of material to production
, monitoring of consumption of material , recording of production
data etc till depatch are done using this software customized to
Success Apparels. Different modules created for different
users/departments are integrated to get online status of each order
for the benefit of management as well as stakeholders.
Merchandising departments video conferencing to interact with
customers to clarify matters related to design, specifications ,
alterations/modifications etc.
Customers :
Aigner
Bott & Dietz
Marc O Polo
Royrobson
Tommyhilfigger
joop
Bogner
Strellson
Frankonia
Burberry
Indian brands such as Vanheusen and Raymonds (once in a year).
Major exporting countries:
Italy
Germany
Switzerland
Denmark
Sweden
U S A



Despatch Department
Despatch Department is the department which deals with the
packing and sending of goods to customers.
It is the department of an organization responsible for the despatch
of orders.
Despatchers are communications personnel responsible for
receiving and transmitting pure and reliable messages, tracking
vehicles and equipment, and recording other important information.
This department is only responsible to do the documentation of the
products to be sent to the customer.
Here they collect all the Bank details of the customers and come up
with the terms with the customers such as Free on Board (FOB),
Cash Insurance Freight (CIF), C& F. If the company sends garments
through CIF and C & F terms then the company will be held
responsible if something happens.






CONCLUSION:
According to our experience in this leather clothing industry, the
company is managed to win the customers heart & soul by
stunning production of leather garments.
The productions are fashion friendly and updated according to
needs of customers in Quality & Price. Company has succeeded
in manufacturing the products with slogan flow fashion, glow
nation. Quality & Range of styles available in Success Apparels
is quite impressive and no wonder it has managed to keep
leading international brands in its customer list.