Productivity improvement at Saville Row Limited
Extracted form key note paper of Dr. Rajesh Bheda presented at
Chittagong Fabric Apparel and Accessories Show (CAFAXPO-09) Seminar,
Jan 2009
About the client
The company is involved in production and exports of Ladies, Men's
& Children's woven trousers, pants & shorts. Part of the
Consumer Group, the factory is certified for Quality Management Systems
ISO 9000:2000. The main market is EU accounting for about 68% of the
business and USA contributes for about 28% of the market share. The
company's customer profile includes leading brands and retail chains.
The company is making conscious efforts to build capability to handle
value added products.
The client was part of the first five companies that benefitted from
Productivity Improvement Consultancy of RBC as a part of
Competitiveness Enhancement Program (CEP) of BGMEA supported by GTZ.
The challenge
To implement concepts of industrial engineering and work study to
achieve productivity improvement in a factory that does not have
qualified IE/ Work Study staff.
Broad steps followed for the implementation of CEP in the factory involved:
 |
Base line assessment of productivity level and sharing of results and overall approach for productivity improvement |
 |
 |
Formation of Factory Improvement Team (FIT) for steering the program |
 |
 |
Detailed
review and evaluation of production system and existing productivity
measurement system, work study practices, identification of pilot line
for implementation and training on fundamental concepts |
 |
Design Engineered Methods and Layout to Improve Productivity in pilot line |
 |
Execution
of Engineered Methods and Layout, hands on training and hand holding of
internal team during implementation and measurement of results on
constant basis |
 |
Gradual Roll out of learning from the pilot line to other lines and other departments |
 |
Assessment of results and development of future roadmap |
The Results
The eight week intervention by the experts of Rajesh Bheda Consulting
in the factory resulted in 20.55% labour productivity improvement in
the first attempt. In the case of second style the pilot line recorded
productivity improvement of 30.77%. The details are as provided below:
| Style |
Particulars |
Before improvement |
After improvements |
Improvement(%) |
| 1517 Ladies Trousers |
Avg. Daily output (08 Hr. day) |
536 |
560 |
|
| Avg. Manpower used |
90 |
78 |
|
| Productivity per person per 8 Hr. Shift |
5.96 |
7.18 |
20.55 |
| DB2103 Ladies Trousers |
Avg. Daily output (08 Hr. day) |
600 |
680 |
|
| Avg. Manpower used |
90 |
78 |
|
| Productivity per person per 8 Hr. Shift |
6.67 |
8.72 |
30.77 |
What made the company achieve such results?
Top management commitment- The top management commitment to the
program was very clearly communicated to the factory management team by
the Director, Mr. Osama Taseer on day one. He said " the core strength
of our organization is the human resource and I want my people to learn
new techniques and constantly evolve to improve company's
competitiveness."
High involvement of factory management team- The factory management
team understood the advantages of learning new methodologies,
scientific principles of IE and problem solving skills for improving
the productivity and competitiveness of the organization. As a result
the factory team, starting from GM to supervisors, whole heartedly
participated in the training program and experimented with the tools
learned and ideas provided by the experts.
Production team learned and implemented the work study techniques- A
conscious decision of not employing qualified IE staff during the
implementation of the program was taken. This was done to ensure that
the production team learns these techniques and takes ownership of
implementation. This decision ensured production team's full
involvement and capacity building. A receptive working team was the
biggest asset which was tapped to Saville Row's advantage.
Regular project progress review and constant communication- The
factory management carried out regular project review with RBC
consultants. The progress and issues if any, were communicated across
the organization. People were appreciated for their efforts and
participation.
CEP methodology used by RBC- There was a judicious mix of training
on work study fundamentals like capacity study, method study, hourly
bottleneck management and performance rating; team based problem
solving skills, practical demonstrations and hand holding during
implementation.
Implications for the factory and the buyers- In today's pulsating
fashion business, buyers want to associate with factories that are
agile and able to respond fast to ever changing market demands. They
are looking for factories which are 'learning organizations',
recognizing the need for constant upgrading of the knowledgebase of
their team and grow with them.
The commitment to change and improvement through training the human
resource shown by Saville Row team makes such organizations special for
international buyers. Partnership with such organization can prove to
be win-win relationship between buyers and suppliers.
|