The client is one of the largest garment exporting groups in Sri Lanka with total 7 factories. The concerned factory had been producing and exporting over 2 million pieces of garments to USA. The company had excellent infrastructure and skilled manpower.
Though the company had highly skilled manpower and automated spreading and cutting equipment, the overall productivity of cutting department was quite low.
Low utilization of manpower and CAM contributed maximum to this. In addition there were supply and quality issues from other supplier departments like pattern making and fabric stores that added to excessive non value-added work.
The challenge lied in sensitizing the senior and middle managers for adopting new ways of carrying out their processes in order to improve their productivity.
The RBC team started with an on floor assessment and critical analysis of the processes and procedures being followed with the factory management team.
Data for peak, low and normal workload was analyzed and work standards for cutting procedures were established/revised. Opportunity areas for improving the cutting department efficiency were identified.
The clients team was trained intensively in the concepts of proactive cut planning, cutting work content calculation, fusing efficiency, tackling width variations, CAM utilization, documenting & monitoring idle time and elimination of repetitive quality checks.
The existing procedures of cutting department were reengineered.In addIn addition, improvement projects were identified in each sub-area of cutting which will be regularly monitored by the Senior Management of the company.
The Company was able to improve cutting departments labour productivity by 18% within a period of 8 weeks. Within 6 months the company was expected to improve its cutting department labour productivity by 52%.
As a result of the project the factory has achieved substantial financial benefits. With 18% improvement in the cutting room productivity the company was expected to save US$ 45000 per annum. In future, with completion of identified improvement projects the company is expected to take its savings to US$ 100,000 per year.