GROUP NO.

A028: Lakshmi Aparna R

F013: Soumik Sabyasachi Parida
F053: Shivangi Agrawal
H023: Devashish Joshi
H028: Rupal Mittal

Operations Strategy Group Project: Process Improvement in Textile Wet Processing

ABOUT NAVODAYA INDUSTRIES

Started in 1984 as a Located in

cotton fabric wet- Dombivali, MIDC
processing company
(bleaching and
stentering services)

Expanded to a
Expanded to dyeing Processed over
second factory unit,
and calendaring 3000km of fabric
added mercerizing
services every month
service

Subcontracted labor Clients citing Way forward

requirements to third- QUALITY issues
party vendors
 OPERATIONS STRATEGY
Providing a wide variety of processing Sub-contracting labour Manual operations
options requirements
The company relies on manual operations
Navodaya Industries offers a wide variety of Navodaya Industries sub-contracts its for day-to-day activities such as
processing options to its customers, which labour requirements to third-party scheduling of orders and quality
allows the company to accept a diverse vendors, which allows the company to inspection. While this approach is labour-
range of orders in terms of size and type of focus on its core competencies and intensive and prone to errors, it allows the
processing needed. This flexibility helps to reduce labour costs. company to maintain flexibility in its
attract and retain customers. operations.

Focus on building long-term relationships with Limited investment in process control

customers instruments

Navodaya Industries believes that forging long-term
relationships with customers is key to sustaining reliable
revenues and profits. The company believes that
consistent performance in terms of quality and order-
to-delivery time is critical to building trust and fostering
long-term relationships with customers.
The company has limited investment in expensive
instruments for process control due to thin margins in
the industry. However, this approach may limit the
company's ability to improve quality and reduce
processing times.
 OPERATIONAL PERFORMANCE OBJECTIVES

Quality: Navodaya should prioritize ensuring that the quality of its products meets
customer expectations and industry standards.
Quality

Dependability: Navodaya should prioritize customer satisfaction and work to

meet or exceed customer expectations.

Dependability
exibility
Flexibility: Navodaya should prioritize being able to respond quickly to
changes in customer demand, market conditions, and industry
trends.

Speed: Navodaya should prioritize reducing the time it takes to process

orders and deliver products to customers.

Speed
Cost: Navodaya should prioritize reducing its costs while maintaining
Cost
quality and delivery time.
ORDER QUALIFIERS ORDER WINNERS DISTINGUISHERS
Order qualifiers are the Order winners are the factors Distinguishers are the
minimum requirements that make a product or unique features of a
that a product or service service stand out from its product or service that
must possess to be competitors and attract differentiate it from its
considered by the customers. competitors.
customer.
Navodaya's design Production processes
Quality
Customization Skilled workforce
Timely delivery capabilities
However, these
Cost-effectiveness However, in the current distinguishing factors
scenario, Navodaya is may not matter to the
These are the minimum struggling to meet the order customers if Navodaya
expectations of the qualifiers, let alone order is unable to meet the
customers and failing to winners. order qualifiers.
meet them would result in
losing the business.
 TEXTILE PROCESSING INDUSTRY

Leading sector in India for employment and Highly diversified, with a variety of textiles
generating foreign exchange produced and divided into organized and
unorganized segments

The upstream has approximately 2500

Largest producers of cotton in the world
spinning mills using modern technologies,
and downstream has highly fragmented
units of low tech
Vast supply of low-cost labor, providing a
The textile processing industry in India is
competitive advantage in textile and
extremely fragmented, highly competitive,
garment manufacturing
and considered the weakest link in the value
chain
In 2016, the Indian textile market was worth
Performance metrics such as product
approximately $137 billion, with exports
quality and delivery time are the only levers
accounting for nearly 15% of India's total
to increase business and reduce overall
exports
costs
WET TEXTILE PROCESSING

Grey inspection Mercerizing

Plan A/B +Resting
3hrs Plan B
10 hrs

Dyeing + Resting
Transportation + Bleaching +
Plan A
Stitching/ Resting
4hrs
Unstitching Plan A/B

4hrs 8hrs

Stentering + setup Calendaring + Packing

Plan A setup Plan A
8hrs Plan A

6hrs

 QUALITY ISSUES AND RECOMMENDATIONS
Non-uniform shade
Lack of standardized process for mixing
chemicals and maintaining chemical
concentration
Quality of chemicals and concentration of
solutions not consistent
Machine speed varying from set speed
Mechanical failures of machines
Unskilled employees not motivated enough
to ensure quality
Changes in temperature and humidity
affecting chemical processes
Fluctuations in electricity supply affecting
quality
Develop and document a standardized process for
mixing chemicals and maintaining chemical
concentration
Conduct regular training for machine operators to
ensure they are up-to-date with the latest processes
and procedures, Implement an employee incentive
scheme to motivate employees to ensure quality
Conduct regular maintenance on machines to
minimize mechanical failures, invest in backup power
sources to mitigate the impact of electricity supply
fluctuations
Monitor and control temperature and humidity levels
to minimize their impact on chemical processes,
Review and improve the current rework process to
minimize its impact on time and costs
 OTD ISSUES AND RECOMMENDATIONS
Improve scheduling to reduce waiting time by
High waiting time leading to significant optimizing the use of equipment and resources to
difference between OTD and processing time reduce idle time

Implement a just-in-time (JIT) system to reduce

Delays in scheduling for mercerization and the setup cost by reducing the inventory level of
bleaching due to high setup cost chemicals, thus enabling the production of small
batches in shorter lead times

Batching of orders leading to a typical order

taking anywhere between 12 and 17 days to Invest in automation and technology to reduce the
complete time required for processing activities and improve
the efficiency of the production process

Explore the possibility of outsourcing certain

processes to specialized providers to reduce the
processing time and ensure a faster OTD
 CHALLENGES FACED BY NAVODAYA
Product and
Process
Capacity Supply Service
Technology
Deployment

Insufficient capacity to
Finding reliable and Outdated equipment Continual innovation
meet customer
cost-effective Inadequate training and improvement
demand
suppliers Inefficient layout plan Identifying customer
Inefficient layout plan
Negotiating favorable Lack of automation needs and
Lack of flexibility
terms and contracts Poor maintenance preferences
Inadequate staffing
Monitoring supplier Effective
performance communication to
Effective inventory potential customers
management Investment in
Managing supply research and
chain disruptions development
 POSSIBLE SOLUTIONS
Product and
Process
Capacity Supply Service
Technology
Deployment

Invest in new
Develop a reliable Invest in new and Conduct market
machinery and
supplier network and advanced process research to
equipment
maintain good technologies to understand customer
Hire additional staff
relationships with improve efficiency needs
members to increase
suppliers Use data analytics to Use customer
output
Use technology to monitor and optimize feedback to improve
Optimize the layout
improve supply chain processes existing products and
plan of the
visibility Implement continuous services and develop
manufacturing facility
Implement effective improvement new ones
Implement lean
inventory programs Develop a clear and
manufacturing
management effective marketing
principles
practices to reduce strategy
stock outs Ensure appropriate
pricing strategies that
balance
competitiveness and
profitability
 SUPPLY STRATEGY
Near-
Factor Offshoring Onshoring Gap Definition What it indicates
shoring

Rate of Innovation/ Medium to Gap between what the

Low High
Product Variety high Market customers of Navoyada Low in this case,
Percept believe they need and company well aware of
Medium to
Demand Volatility Low High ion Gap what Navoyada thinks customers needs
high
they need
Medium to
Labour Content High Low
high Operati Gap between how
ons Navoyada views its Again low, but the
Volume of weight to
Low High High Perform performance and how the company needs to work
value ratio
ance customers view the on meeting the needs
Impact of supply Medium to Gap performance
Low High
chain disruption high
Operati Gap between Navoyada's
Medium to
Inventory costs Low High ons perception of what its
high
improv customers want and its The gap is very high
Engineering/ ement perception on its own
Low High High gap performance
Management Support
PROCESS TECHNOLOGY STRATEGY
 ADOPTINMG TQM
There are some ways in which TQM principles can be applied to
Navodaya Textiles:
Customer Focus: Navodaya Textiles can focus on customer needs
and expectations by conducting regular customer surveys to
identify customer requirements, preferences, and complaints.
Continuous Improvement: Navodaya Textiles can adopt a
continuous improvement approach by establishing a culture of
continuous learning, problem-solving, and innovation.
Employee Involvement: Navodaya Textiles can involve its
employees in quality improvement initiatives by providing training
and development opportunities, empowering them to take
ownership of their work, and encouraging them to suggest process
improvements.
Process Improvement: Navodaya Textiles can use TQM tools such
as process mapping, cause-and-effect analysis, and statistical
process control to identify and eliminate quality problems, reduce
defects, and improve efficiencies
ADOPTINMG SIX SIGMA
Six Sigma is a data-driven approach to quality improvement that
seeks to eliminate defects and reduce variability in processes by using
statistical methods.
Identify critical-to-quality characteristics: Navodaya could use Six
Sigma to identify the critical-to-quality characteristics of its products
that are most important to customers. By identifying these
characteristics and focusing on improving them, Navodaya can
improve the overall quality of its products and customer satisfaction
Measure process performance: Navodaya could use Six Sigma tools
such as process mapping, data collection, and statistical analysis to
measure its process performance and identify areas for improvement
Reduce process variability: By using statistical tools such as control
charts and process capability analysis, Navodaya can identify sources
of variability and take steps to eliminate them
Implement process improvements: Navodaya could use Six Sigma to
identify and implement process improvements that reduce waste,
increase efficiency, and improve product quality.
 ISSUES WITH TQM AND SIX SIGMA
Lack of employee buy-in: Implementing TQM and Six Sigma requires a commitment from all employees to follow the methodology
and contribute to continuous improvement. However, if employees are resistant to change or don't see the value in these
approaches, it can be difficult to achieve the desired results.

Limited resources: Implementing TQM and Six Sigma can require a significant investment in time, money, and training. Navodaya
may not have the resources to fully commit to these approaches, especially if they are already struggling with capacity and supply
chain issues.

Limited data availability: Six Sigma relies heavily on data analysis to identify opportunities for improvement and measure success.
If Navodaya does not have sufficient data or a robust data management system in place, it may be challenging to apply Six Sigma
effectively.

Cost: Implementing and working on six sigma principles is an expensive and time-consuming process, and the output may not be
as valuable as the cost of the process and the manpower required to implement it.

Complexity of the manufacturing process: Navodaya's manufacturing process may be complex, which can make it difficult to
identify and address the root causes of quality issues. This complexity can also make it challenging to implement TQM and Six
Sigma in a way that is meaningful and effective.

Lack of experience with TQM and Six Sigma: Navodaya may not have the expertise in-house to successfully implement TQM and Six
Sigma. Bringing in outside consultants can be expensive, which may be a barrier for Navodaya. Additionally, relying on outside
consultants can make it difficult to sustain improvements over the long term.
 WHY BPR?
Navodaya can use Business Process
Re-engineering (BPR) to rethink and
redesign its existing business
processes to improve efficiency,
effectiveness, and quality. For the
firm, wet processing sets a major
factor of importance in the
production of textile products, and
BPR can play an essential role in
improving the efficiency and quality
of wet processing.

So while principles of TQM can be

used at Navodaya, six sigma would
not be feasible to implement given
the conditions and scale. We
therefore can recommend BPR to
improve the process and to follow
the principles of TQM as operation
strategy

BPR FIT WITH OPERATIONS STRATEGY

 DRIVERS OF BPR AT NAVODAYA
Increasing competition: As discussed in the case the Indian textile industry is highly competitive, and companies are continually
looking for ways to improve their efficiency and reduce costs to remain competitive. Also, thin margins across the industry make it
difficult to recover from sale loss or defective products and as a result, BPR can help the company to streamline their processes and
reduce costs.

Advances in technology: New technologies, such as automation and digitalization, are changing the textile industry, and the case
reflects a minimal use of these digital age technologies in Navodaya, and it needs to adapt these to create a competitive
advantage among other players. BPR can help Navodaya with process improvement across its operations.

Changing customer demands: Customers are becoming more demanding and expect a wider variety of materials available for
them to choose from, and they expect high-quality products with shorter lead times. Navodaya though has all these processes,
however, has no or minimal level of standardisation making it more frequent to errors.

Inefficient processes: Inefficient wet processing processes can lead to high costs, quality issues, and longer lead times. In
Navodaya’s case here they have been struggling to keep up records which can help them standardize proces to obtain better
efficiency. Also, they are highly dependent on supervisors which again makes them prone to errors and quality mismatch. BPR can
help them to identify and eliminate these inefficiencies, resulting in improved efficiency and quality.

Environmental regulations: The textile industry is under increasing pressure to reduce its environmental impact. BPR can help
organizations to reduce their water and energy consumption and minimize the use of hazardous chemicals in wet processing.
 BPR IMPLEMENTATIPON FOR NAVODAYA
5-phase implementation process
Continuious
Process improvement

monitoring
Process
Process implementation
Process
Design Phase 5
Analysis Phase 4
Phase 3
Phase 2
Phase 1
THANK YOU