Lead Time

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Buying behaviour:

There is not a single opportunity for the manufacturer to plan in advance for buying fabric and
accessories as the manufacturers tend to have limited access to market intelligence and
international apparel trade trends.

There also isn’t any specific indication from the local buying offices about the next season’s fashion.

The local buying offices are not the ultimate decision makers and approvals have to be taken on
various stages of production from the headquarters.

Samples are usually sent by air to the head offices and therefore it takes much time.

These problems delay the decisions to be made by the buyer and add some undesired days in the
lead time, moreover the approval process is lengthy by itself and consumes around 10% of the lead
time as it takes around 10 to 15 days.

Cases are also common when sudden changes in style, color or shade are regulated in the middle of
the production which requires new planning, new material requirement and sourcing and new work
study; leads to prolonged lead time.

Since strategic fashion sales forecasting leaves barely any room to the manufacturers, it puts a lot of
pressure on them to plan for the upcoming season and meet the exact customer demand.

Execution Stage:

Execution stage refers to the start of bulk production and receiving the final product. Though it
seems as the major stage in an apparel industry, it only takes 15-20 days for the production of end
product if the development of the order was executed effectively.

Problematic areas that consume avoidable lead time in this stage can be:

Inefficiency in planning- Inefficient planning has a great effect on Cost, Quality, Lead Time and
Technical Risk as planning is the identification of required manpower and machines to be able to
complete production in least time.

Backdated Production System- The choice of best apparel production system should depend on the
product and policies of the company and on the capacities of manpower. Therefore, if an outdated
and ineffective system such as progressive bundle system is used, it will make it quite difficult for the
production managers to manage or plan the production effectively, hence leading to prolonged lead
time.

Lack of investment in new machinery and technologies with current insufficient size of skilled
workforce also impedes an increase in productivity. Unskilled middle management positions are also
a major reason behind the low productivity of apparel industry.

Weak Infrastructure- Congested roads, limited inland transport alternatives, add inefficiencies to
apparel export lead time.Many apparel exporters complained that they cannot meet the strict lead-
time set by the international buyers due to this.

The research paper deals with the factors affecting the lead time in the apparel industry of
Bangladesh. Here one of the key factor affecting lead time is poor production planning. We would be
discussing about the issues in production plan.
Labor unrest and political instability- Bangladesh apparel industry can supply the products at the
cheapest rates as they have the cheapest labour in the offering. But there is always a pressure from
worker trade unions that can turn into protests that cause factories to shut their operation and also
the political instability in the country can cause for the factories to remain closed for weeks on end.
As a result, there is no way to meet with the lead time if any of this happens.

Lack of deep-sea harbour- Lead time for sea freight is increased by at least a week due to the lack of
a deep-sea harbour. Consequently, products have to be shipped with feeder vessels to the mother
vessels in Singapore from where they are then shipped to their respective destinations.

Poor port facility- Productivity at Chittagong port suffers from inefficient processes. Manual
processing, limited crane capacity, and strikes that sometimes span several days at a time.Poor port
facility is adding up to the lead time as the import of fabrics takes a much more time to reach the
factory premises.

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