The importance of an agility and response-based supply chain for the fashion industry in India


Master's Thesis, 2018

47 Pages, Grade: 64


Excerpt

TABLE OF CONTENTS

ABSTRACT

LIST OF FIGURES

LIST OF TABLES

Glossary of abbreviations

Chapter 1 INTRODUCTION
1.1 Background
1.2 Aim and Objectives
1.3 Scope of Project
1.4 Research question
1.5 Report Outline

Chapter 2 : Research Methodology
2.1 Introduction
2.2 Research Methodology Overview
2.3 Research Philosophy
2.4 Research Approach
2.5 Research Choice
2.6 Research Strategy
2.7 Research Time Horizons
2.8 Research Data collection techniques
2.9 Sampling size selection techniques
2.10 Summary

Chapter 3 : Literature review
3.1 Logistics and Supply Chain Management
3.2 Uncertain Supply Chain Environment
3.2.1 Fashion Industry (in India)
3.3 Role of Agility and Response-based Supply Chain
3.3.1 Responsive Supply Chain
3.4 Quick Response
3.4.1 Role of Information Technology (IT)
3.5 Efficient Consumer Response (ECR)
3.6 Summary

Chapter 4 : Results AND ANALYSIS
4.1 Introduction
4.2 Research Tools:
4.2.1 Interview
4.3 Data presentation
4.3.1 Demographic profile
4.3.2 General Interview Questions
4.4 Discussion
4.5 Recommendation for firms

Chapter 5 : conclusion and Recommendations
5.1 Summary of the Research
5.2 Recommendation for future research
5.3 Limitation of research
5.4 Critical Reflections
5.5 Conclusion

REFERENCES

ABSTRACT

In today’s business environment a sudden shift towards outsourcing and globalisation has increased the complexity of a supply chain. The risks associated with complex supply chains have led the organisations to restructure their supply chains. With a large volume of data available, the process of integration and analysis of supply chain data in an effective manner has become difficult. Therefore, there is a need to improve the entire process of supply chain management to minimise the risks and complications in business operations associated with supply chain processes. Changes in customer preferences, short product life-cycles and volatility of the market are the basic characteristics of the fashion industry. The commercial success or failure of any fashion firm is largely based on the extent of flexibility and its responsiveness to the changes in the market demand.

It has been suggested through this report, that an organisation must be flexible to survive in an uncertain environment and implement agility and responsiveness in their supply chains. This enables the organisation to respond to the unexpected requirements of the market. A supply chain design must be equipped with the ability to rapidly incorporate customer preferences. In this report, the traditional organisational structure of fashion industry in India is studied and it is found that the supply chain is forecast-driven and based on seasons, which is not adequate for meeting the challenges posed by a volatile market of manufacturing and retail industries. The essence of the agile supply chain has been determined and various enabling factors such as flexibility, reduction in lead time, innovation have been identified by means of the analysis. Based on data collected from semi-structured interviews of different firms and organizations of India, who are engaged in supply chain operations at small/medium- scale, it was determined that the awareness about agility and responsiveness is very low. A better supply chain management with instance-to improve planning, reduce stockholdings, reduction in pipeline inventories, shorter lead times, etc. is required in India.

Finally, a critical analysis of the application of current technologies in supply chain management was performed to understand the capabilities of current systems and their usefulness. The research question about the features of agility and its role has been precisely answered by stating that agility is important to last in a volatile market and the conventional supply chain approach needs constant renewal by means of smart and advanced techniques.

LIST OF FIGURES

Figure 2.1: Showing the stages of Saunders research onion

Figure 2.2: Showing Saunders research onion

Figure 2.3 Showing stages for deduction research approach

Figure 2.4: Showing the triangulation method used in this research

Figure 3.1: Showing the supply chain in Fashion Industry

Figure 3.2: An Integrated model for agile supply chain

Figure 4.1: Awareness of Logistics and Supply Chain Management in India

Figure 4.2: Awareness of Agile and Responsive Supply Chain in India

Figure 4.3: Years of experience of the firms

Figure 4.4: Use of Conventional Sales Data for forecasting future demand

Figure 4.5 Showing the Yes/No type questions in section 3 of the questionnaire

LIST OF TABLES

Table 1.1 Report outline with Chapter and their contents

Table 3.1: Showing different traits of the agile and lean supply chain

Table 3.2: Showing comparative analysis between the lean and agile supply chain

Table 3.3: Showing the benefits derived from QR by retailers and suppliers

Table 3.4: Showing the correlation of 4P’s of marketing and ECR strategies

Table 4.2: Showing Demographic profile of the participating firms

Table 4.3: Section 3 of Interview- Supply Chain Management Evaluation

Glossary of abbreviations

Abbildung in dieser Leseprobe nicht enthalten

Chapter 1 INTRODUCTION

1.1 Background

Today’s business environment is rapidly changing due to globalization, outsourcing, mass customization, new innovations in technologies, and changes in customer preferences. A volatile market, short product life-cycle, the uncertain environment has made organisations look for better ways to do business. Firms are experiencing a need for better infrastructures to support their decision making due to the ever-changing environment (Lu and Swaminathan 2015, Evans and Wurster 2000). Therefore, in order to compete in a marketplace with tremendous opportunities, it is necessary for the firms to have effective supply chain management (Dijksterhuis and Volberda 1999, Gangadharan and Swami 2004). Traditionally, the businesses competed and now their supply chain competes to maintain their competitive advantage (Pawar et al. 2016).

The supply chain management of industries with the uncertain environment, like fashion industry (textile & apparel), has always been difficult; which has different characteristics as compared to food, automotive or other industries (Fernie and Sparks 2014). The worldwide supply chains consist of even more suppliers, customers and number of intermediary players and therefore the management of the relationship between the customer and suppliers can help the business to create a value chain which will be efficient and cost-effective at the same time (Christopher 2016).

The supply chain management has proven to be of vital importance for the fashion industry to meet its customer demands without increasing its cost and at the same time not compromising its quality (Lam and Postle 2006). However, it is seen that businesses give too much attention on the cost implication of supply chain management and aim to achieve cost efficiency and this has an impact on the ability of the business to meet customer demands (Walters and Rainbird 2004). Due to the complexity of supply chains and different types of suppliers, the business tends to focus on cost-efficiency (Walters 2006). Businesses should combine their supply chain capabilities with demand chain effectiveness that is giving more attention to demand, customers and changes in the market along with current and potential products and services (Duarte Canever et al. 2008).

There is not much research in the field of supply chain management in the fashion industry (textile & apparel) of India. Indian fashion industry accounts for almost 14% of the total industrial production and nearly 4% of the GDP (Textile Industry in India: Overview, Market Size, Exports, Growth...| IBEF 2017) thus making it very important for India’s economic growth. The fashion industry specifically exhibits characteristics such as short product life-cycles, volatile market, highly unpredictable demands, impulsive purchasing by customers (Christopher et al. 2004). These characteristics make forecasting of demand very unrealistic and mostly inaccurate and this gave rise to the need for making the fashion supply chain agile and responsive to the market changes (Čiarnienė and Vienažindienė 2014).

1.2 Aim and Objectives

With this report, the aim is to study and understand the importance of agility and response-based supply chain for the fashion industry, also find out if there is any scope of implementation of agility in the fashion industry of India (which has an uncertain environment) for accurate forecasting of demand.

Objectives

The objectives of this research are formulated to achieve the aim and are as follows: -

- To determine what is agility and its role in achieving the balance between the aims of profit maximization and meeting customer demand.
- To identify and examine the measures adopted by the fashion industry of India to predict future demand and respond to market changes.
- To identify the enabling factors for the implementation of agility in the Indian fashion industry
- To suggest the need for agility and responsive supply chain in the fashion industry of India.

1.3 Scope of Project

For a project, the scope is the extent of the subject area which involves the project objectives, goals and the tasks to be performed to achieve those goals. The deliverables are then presented as the outcome of those tasks. The primary task after problem identification in this research will be to review the literature for supply chain management. The main emphasis of this research project is on studying and understanding the importance of agility and response-based supply chain in the fashion industries of India. This will require addressing the issues such as agility, response-based supply chain and fashion market with the uncertain environment in India.

Following the identification of improvements required in the complex supply chain of industries, analyse the role of accurate demand forecasting as a success factor in supply chain management. This also includes understanding certain advantages and disadvantages of available processes and deciding the vision for the improved supply chain management.

Next task will be to collect the data required for the vision mentioned previously by using existing literature analysis and interviewing various firms in India. This can be established due to the nationality of the researcher which will make the process of data collection from firms easier.

The fourth task will be to evaluate the collected data, and results will be formulated by a review of literature and recommendations would be provided for further perusal. Also, understand and describe any limitations of this research and provide possible recommendations for future work required to overcome those for successful integration with businesses.

1.4 Research question

To achieve the aim of this project the following questions and their sub-questions are to be answered: -

1) What is the need for agility and response-based supply chain in industries with the uncertain environment in India?

a) What are the features of agility and response-based supply chain, its role in SCM to achieve a balance between the aims of profit maximization of a company and meeting customer demands?
b) What are the enabling factors for the implementation of agility in the fashion industry of India?

2) What are the procedures adopted by Indian fashion industries to predict demand accurately in an uncertain environment?

a) What are the deficiencies in efficient supply chain management in the fashion industry of India?

1.5 Report Outline

The report contains five main chapters each containing sub-chapters. The following table outlines the chapters of this report: -

ABSTRACT

In today’s business environment a sudden shift towards outsourcing and globalisation has increased the complexity of a supply chain. The risks associated with complex supply chains have led the organisations to restructure their supply chains. With a large volume of data available, the process of integration and analysis of supply chain data in an effective manner has become difficult. Therefore, there is a need to improve the entire process of supply chain management to minimise the risks and complications in business operations associated with supply chain processes. Changes in customer preferences, short product life-cycles and volatility of the market are the basic characteristics of the fashion industry. The commercial success or failure of any fashion firm is largely based on the extent of flexibility and its responsiveness to the changes in the market demand.

It has been suggested through this report, that an organisation must be flexible to survive in an uncertain environment and implement agility and responsiveness in their supply chains. This enables the organisation to respond to the unexpected requirements of the market. A supply chain design must be equipped with the ability to rapidly incorporate customer preferences. In this report, the traditional organisational structure of fashion industry in India is studied and it is found that the supply chain is forecast-driven and based on seasons, which is not adequate for meeting the challenges posed by a volatile market of manufacturing and retail industries. The essence of the agile supply chain has been determined and various enabling factors such as flexibility, reduction in lead time, innovation have been identified by means of the analysis. Based on data collected from semi-structured interviews of different firms and organizations of India, who are engaged in supply chain operations at small/medium- scale, it was determined that the awareness about agility and responsiveness is very low. A better supply chain management with instance-to improve planning, reduce stockholdings, reduction in pipeline inventories, shorter lead times, etc. is required in India.

Finally, a critical analysis of the application of current technologies in supply chain management was performed to understand the capabilities of current systems and their usefulness. The research question about the features of agility and its role has been precisely answered by stating that agility is important to last in a volatile market and the conventional supply chain approach needs constant renewal by means of smart and advanced techniques.

LIST OF FIGURES

Figure 2.1: Showing the stages of Saunders research onion

Figure 2.2: Showing Saunders research onion

Figure 2.3 Showing stages for deduction research approach

Figure 2.4: Showing the triangulation method used in this research

Figure 3.1: Showing the supply chain in Fashion Industry

Figure 3.2: An Integrated model for agile supply chain

Figure 4.1: Awareness of Logistics and Supply Chain Management in India

Figure 4.2: Awareness of Agile and Responsive Supply Chain in India

Figure 4.3: Years of experience of the firms

Figure 4.4: Use of Conventional Sales Data for forecasting future demand

Figure 4.5 Showing the Yes/No type questions in section 3 of the questionnaire

LIST OF TABLES

Table 1.1 Report outline with Chapter and their contents

Table 3.1: Showing different traits of the agile and lean supply chain

Table 3.2: Showing comparative analysis between the lean and agile supply chain

Table 3.3: Showing the benefits derived from QR by retailers and suppliers

Table 3.4: Showing the correlation of 4P’s of marketing and ECR strategies

Table 4.2: Showing Demographic profile of the participating firms

Table 4.3: Section 3 of Interview- Supply Chain Management Evaluation

Glossary of abbreviations

Abbildung in dieser Leseprobe nicht enthalten

Table 1.1 Report outline with Chapter and their contents.

Chapter 2 : Research Methodology

2.1 Introduction

With this chapter, the research purpose mentioned in the first chapter will be discussed in brief. The brief description will help to understand the complete requirements of this research. The theoretical methodology which is used and applicable will be discussed in details and the link with the research will be established. Also, the data collection methods (questionnaires, interviews, etc.) will be discussed which helped in enhancing the understanding of the relevant subject area of the research and then clearly defining the approach used to analyse the information. This section of defining research methodology further helped in the continuity of this research.

2.2 Research Methodology Overview

For the selection of a suitable model for research methodology, it is necessary to understand the purpose of the research project with the research problem being discussed. This understanding will help in identifying the information required to provide an answer to the main research question (Saunders et al. 2007, 2016). The main research question in this project is that whether an agile and response-based supply chain is needed for accurate forecasting of demand in the Indian fashion industry. To understand the objectives of this project it needs to be noted that the current supply chain of the Indian fashion industry is dependent on the judgement of these firms and their forecasting methods which are not accurate enough to meet the demands of their customer. So, there is a need to have an agile and response-based supply chain which will help in accurate forecasting of such customer demand(s).

In view of the above, an exploratory study is required in order to clarify the understanding of the research problem (Kothari 2004). It will be necessary to adopt a flexible method of conducting research and willingness to change the direction as and when new data is collected, and new ideas are generated (Saunders et al. 2007, 2016). A broader approach is taken initially which narrows down with the progress of research. It is seen that there is not enough research done on the SCM in Indian industries with an uncertain environment. Therefore, this project is aimed to collect enough information about SCM in Indian industries (i.e. Fashion Industry) and determine the need for agility and responsive supply chain. The exploratory study can be conducted by the research of the literature, interviews of experts in the field and by conducting interviews of the specific set of people who are experienced in the field of research (Kothari 2004).

In view of the above points, there is a need for a research approach to be taken for providing the best results for this research project. This can be achieved with the help of Saunders’ research onion methodology. The research methodology has the following stages which must be followed to fulfil the research project (Saunders et al. 2007, 2016).

Abbildung in dieser Leseprobe nicht enthalten

Figure 2.1: Showing the stages of Saunders research onion (Saunders et al. 2016).

The research onion consists of six layers which will be discussed in brief in correlation with this project in further sections. The research onion is shown below in figure 2.2:

Abbildung in dieser Leseprobe nicht enthalten

Figure 2.2: Showing Saunders research onion (Saunders et al. 2016).

2.3 Research Philosophy

It is a term which is related to the information gained during the research, the development of knowledge on the subject area and the nature of that knowledge. This includes relevant assumptions, which provides the way in which the researcher views the world. These assumptions will help to determine the research strategies and methods chosen as a part of that strategy. Epistemology deals with acceptable knowledge in the field of study (Saunders et al. 2007, 2016)

They are as follows:

A. Interpretivism: This theory aims at understanding the role of humans as social actors and thus emphasis is on the difference between carrying out research among people instead of objects such as computers, etc. (Saunders et al. 2016). The research aims at studying the supply chain of various industries in India (esp. Fashion Industry) and can only be conducted by having direct contact with society while being aware of the role in society.
B. Pragmatism: The focus is on the research problem and only those theories and information are relevant which provides successful results. Once the research problem is identified, the main objective is to derive a possible solution and conclude (Saunders et al. 2016). This research is aiming to identify the need for agility and response-based strategy for accurate prediction of demand and this will only be useful if it can provide accurate and conclusive results.

Therefore, the approach used is a mix of Interpretivism and pragmatism philosophies to further proceed with the research and conclude with appropriate result(s).

2.4 Research Approach

A research approach of a project decides the behaviour of the project. The approach taken for this research is deduction. The process of deduction consists of a hypothesis which is developed from a known theory. The hypothesis is a testable proposition which suggests a relationship between two concepts. It is put to test to check its accuracy and examine an outcome of the enquiry, which leads to confirmation or rejection of that hypothesis (Saunders and Lewis 2012). As data is collected by means of interviewing the concerned people based on a sample of subjects and subsequently analysed, the hypothesis is tested during the data analysis and subsequent results are found.

Abbildung in dieser Leseprobe nicht enthalten

Figure 2.3 Showing stages for deduction research approach (Saunders et al. 2016).

2.5 Research Choice

The method by which data is collected refers to research choice and can be either qualitative or quantitative or both. With this research, both the methods have been used to gain the required information. The qualitative method is applied to the data collection technique by the use of interviews and involves data analysis procedures such as categorizing data using non-numerical data. Whereas, quantitative techniques generate or use numerical data for analysis. It is important to note here that neither quantitative nor qualitative methods exist in isolation (Saunders et al. 2016). Therefore, while collecting data by qualitative methods a study may use quantitative techniques. A mono-method of single data collection and corresponding analysis or multiple methods of one data collection and analysis procedures could be used. However, a mixed-method is useful in this study as it provides an opportunity to better evaluate the research finding(s).

2.6 Research Strategy

The main factors influencing the formulation of a research strategy are the objectives, existing language, amount of time and resources available. The research strategy is the plan of the researcher to go about answering the research question. It can be one of the following (Saunders et al. 2016)

- Experiment
- Surveys
- Case studies
- Action research
- Ethnography
- Grounded research.

Survey completion approach is used in this research project, which involved the collection of a sample of the population and then collecting data using questionnaires (Saunders et al. 2016). This was the most cost-efficient method in the present research. The sampling of the population made it easier to collect data as the selected population of traders and retailers represented the whole population.

2.7 Research Time Horizons

The Time horizons to be chosen must be decided on the duration available for completion of the project. In this case, due to time limitations, it must be Cross-sectional as most of the academic courses are time-bound. If you have plenty of time you can conduct a longitudinal study, which involves a longer duration of time for observing people or events and thus exercise a measure of control over study variable (Saunders et al. 2016).

2.8 Research Data collection techniques

It involves the classification of data and the nature of data. It can be classified as qualitative or quantitative. The nature of the collected data is both, primary as well as secondary. The research data technique is a triangulation method which is a mixture of three techniques namely: interviews, literature review and experiments (Saunders et al. 2007). It is to be noted that the experiment is not applicable to this project and thus this method cannot be completed. Even then, it is chosen to avoid any irregular results. It is shown below.

Abbildung in dieser Leseprobe nicht enthalten

Figure 2.4: Showing the triangulation method used in this research.

2.9 Sampling size selection techniques

It is defined as the method by which you can gain information about an entire population by studying only a small sample of the population (Kothari 2004). In this research, the primary data had to be collected from a sizeable sample of firms from India in the fashion industry (textile & apparel) and for the selection of this sample the technique used was non-probability sampling. The sample type selected in this was self-selected and its use in the case of exploratory research (Saunders et al. 2007). In self-selection type of sampling, the data is collected from the participants who respond to your research questions. The sample size selected for this research was 15 participating firms.

2.10 Summary

With summarising this chapter, the following highlights various methods used in research methodologies include the following choices:

1. Research Philosophy: Interpretivism and pragmatism
2. Research Approach: Deductive
3. Research Choice: Mixed
4. Research Time Horizon: Cross-sectional
5. Research Strategy: Survey Completion
6. Research Data Collection techniques: Triangulation method.
7. Sampling size selection: Self-selection type in the Non-probability method.

The above-mentioned choices have been made based on my own understanding and observations for this project.

Chapter 3 : Literature review

This chapter deals with the review of existing literature on various concepts like logistics, supply chain management, agile and response-based supply chain, quick response strategies, electronic data interchange (EDI) and the role of information and communication technologies in the implementation of QR. It also defines the key strategies adopted in efficient supply chain management. In an industry where the demand and supply are very uncertain has to cope with it by implementing supply chain strategies, which can meet the demand(s) to improve customer satisfaction (Christopher and Towill 2001).

The importance of supply chain and operations management with the need for accurate forecasting of demand in the industries having the uncertain environment as a source of competitive advantage has been identified by many authors (Thomassey 2010, Martin Christopher 2000). The literature from various authors relevant to the area of study would be discussed and reviewed in the proceeding sections.

3.1 Logistics and Supply Chain Management

What is Logistics Management?

Logistics Management is an integral part of the firm’s activities and is primarily concerned with the management of transportation, inventory management, warehousing, production and distribution (Fernie and Sparks 2014). Logistics Management is defined by the Council of Logistics Management as the process involved from the start of storage of raw materials to finished consumer goods in a cost-effective and efficient way to adhere to customer requirements with information flow at every point of the process (Cooper et al. 1997) .

A firm must speed up the flow of goods and services by integrating the logistics operations management into cross-functional inter-organizational processes and engage with suppliers, customers and other stakeholders (Novack et al. 1992). It is the firm’s logistics activities that decide if the firm can work efficiently or meet customer demands and gives rise to a proper evaluation of the supply chain at every stage to integrate logistics operations into it. This is where the logistics activities of the firm go into a wider supply chain. Logistics management can only provide an outline to improve efficiency in the processing pipeline, but supply chain management will help to create linkages and coordination between the processes in the supply chain pipeline making the whole supply chain as a single unit (Christopher 2016).

What is Supply Chain Management?

The supply chain management (SCM) is defined by several authors as:

According to Martin Christopher, supply chain management (SCM) is defined as the management of relationship from top to bottom of the supply chain to deliver better customer value in a cost-efficient way to benefit the whole supply chain (Christopher 2005). It can also be defined as the effective management of the flow of goods and services from the initial stage to the end consumer stage with the flow of information at every stage (Monczka et al. 2009).

According to Bowersox, SCM is not just the integration of relationship between supplier and customers but it also requires the alignment of the relationship between the upstream and downstream supply chain to make it a single unit (Trunick 2000).

The SCM requires the virtual integration of the supply chain by coordinating and establishing a relationship between all the trade partners in the whole supply chain system (Fernie 2014). Peter Drucker pointed out the necessity of a shift from a push strategy to pull by laying down the importance of demand in the supply chain management practices, thus making customers gain more power in the marketing channel. The requirement of accurate information flow will enhance control over the supply chain thereby leading to the elimination of unnecessary inventory. At the same time, the focus of the business should be on the core practices and other non-core practices should be outsourced (Hines and Bruce 2012). The main aim of SCM is to manage the process from the supplier’s end until it reaches the final customer, managing the inventory at the same time by reducing delays in delivery times by sharing the information of customer demand and current stock levels.

3.2 Uncertain Supply Chain Environment

Since the advent of 21st century, the traditional strategies of supply chain management have guided the business to maintain their competitive advantage, but recently due to the transformation of the business environment, outsourcing, globalisation, opening of new markets, online marketing and changes in customer preferences have made it very uncertain and volatile (Christopher and Holweg 2011). This uncertainty also referred to as ‘turbulence’ in the market increases the risk as the demand and supply both are unstable and which has given rise to the need for making changes in the traditional SCM strategies to become ‘demand-driven’ from ‘forecast-driven’ (Christopher 2016). The fashion industry has a very uncertain environment and it exhibits characteristics such as (Christopher et al. 2004, Burns and Bryant 2007)

- Short product life-cycles - the product has a very short lifespan and its sale value decreases with time, mostly seasonal or a few days or months.
- Highly volatile market - the demand for the product is very unstable and it is influenced by oddities in factors such as weather, movies, sports, culture, etc. and hence very volatile
- Highly unpredictable – the market is highly volatile and hence predicting the demand accurately is very difficult even over a certain period.
- Impulsive purchasing habits by the customer - the buying decisions for the products are made at the time when customers want to buy and hence it is highly uncertain.

3.2.1 Fashion Industry (in India)

Fashion Industry (textile & apparel) has a very complex supply chain as its market is highly volatile and the product life cycle is very short and it is fuelled by impulsive shopping and low sales predictability (Martin Christopher 2000). The fashion industry has a highly uncertain supply chain environment as it handles a variety of products. Thus, predicting the demands is not easy and requires the business strategies to be updated to stay competitive in the market. The risk involved in predicting demands is that inventory may end up being under-stocked or overstocked. It is mandatory to be responsive to the market changes and customer demands for the fashion industry as the organizations success or failure depends on it (Čiarnienė and Vienažindienė 2014).

In the Fashion industry, due to different demand patterns and demand duration cycle, it is necessary to gather real-time data from point of sales to accurately predict the demand. In a country like India with a population of 1.33 billion the variations in demands are inevitable. The textile industry in India accounts for nearly the 14% of the total industrial production and 4% of the GDP (Textile Industry in India: Overview, Market Size, Exports, Growth...| IBEF 2017). Supply chain in fashion industry is characterized by the presence of a number of role players from the suppliers or manufacturers to wholesalers, distributors and a large number of small retailers in the distribution channels and at the same time, agents are present in the upstream channel who secure orders for producers (Forza and Vinelli 1997). The main problems faced by the textile and apparel industry are short product cycle, long production lead-time and forecasting errors for fashion items (Lipol 2015). Distance from the US and European markets also pose additional problems for supply chain management.

The supply chain in India consists of the raw material manufacturers, fabric spinners, dealers, manufacturers of clothing, wholesalers and in the end retailers (Ghosh 2014). In this complete loop or a chain of supplies, different products have different demand patterns and they need to be collaborated to allow the smooth flow of processes in the system. Taking all the aspects into consideration it becomes necessary for the supply chain to become resilient to be competitive in the market (Christopher and Peck 2004). In this ‘resilient’ implies agility in the supply chain to achieve a competitive advantage in the market.

Abbildung in dieser Leseprobe nicht enthalten

Figure 3.1: Showing the supply chain in Fashion Industry (Forza and Vinelli 1997).

[...]

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Details

Title
The importance of an agility and response-based supply chain for the fashion industry in India
College
Coventry University  (Faculty of Engineering, Environment and Computing)
Course
Engineering Management
Grade
64
Author
Year
2018
Pages
47
Catalog Number
V520676
ISBN (eBook)
9783346119834
ISBN (Book)
9783346119841
Language
English
Tags
Logistics; Supply Chain Management; Agile; Response based; Fashion Industry; India
Quote paper
Rahul Jain (Author), 2018, The importance of an agility and response-based supply chain for the fashion industry in India, Munich, GRIN Verlag, https://www.grin.com/document/520676

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