COURSE: SUPPLY CHAIN MANAGEMENT

TEACHER : MUHAMMAD FAISAL

GROUP MEMBERS:

1. MHD OWAIS SHOAIB ( 11400)

2. SAMAN HUSSAIN (13343)
3. KANZAH AFAQ AHMED (12861)
4. HASSAM AHMED (13045)
5. ROMYSA KHAN (12446)
 TOWELLERS LIMITED
Towellers limited is a textile manufacturer that deals in only international market, has over 50
years of experience in the textile industry coupled with innovation at its helm, Towellers
brings fresh concepts and a unique approach to an existing traditional industry. Building on
our strengths, the company is a competitive force, expanding its markets and cementing its
reputation in countries around the world. The company currently maintains in-house
processing, weaving, knitting and finishing facilities.
 THE TOWELLERS STORY

For over 50 years Towellers has been weaving textiles that are a part of millions of lives.
We’re entwined into the narratives of our clients and we’re part of their story.

FOUNDAR
Mr. Shaikh Mohammad Obaid founded a humble setup of only 6 terry looms, making the
finest towels in the market, and developed that into a company called Towellers. From 6 terry
looms to a network of factoriesWithin 10 years and his hard work, grit, and vision to be the
best, those 6 terry looms turned into a significant network of factories with a diversified
portfolio of products both in Pakistan and abroad.

MADE IN PAKISTAN, SOLD GLOBALLY:

For the next 32 years, Mr. Obaid expanded the business and made Towellers the trusted
manufacturer globally, taking the 'Made in Pakistan' tag to international markets. Towellers
successfully won the top exporter award for 2 decades .2010 — Mehreen was appointed CEO
of Towellers Taking her father's legacy as her guiding principle, Mehreen Obaid Agha as the
CEO of Towellers ensured the continuation of the values of Towellers where each client was
treated as family and each product was produced to perfection.
Today — Growth beyond imagination
Today Towellers employs over 5000 employees, with exports of over $55 million. With
scaling success in the Apparel division, Towellers is continuously expanding its apparel
manufacturing since 1986, achieving a 75% year-over-year growth.

VISION:
 Be a global leader in the production of premium textile products.

MISSION:
Drive growth through sustainable and innovative manufacturing, where we put our customers and
stakeholders first.

OUR IMPACT:

12 M

lbs. of Towels Produced

18 M

Knitted Apparel Produced

$ 55
Exports
M+

50
Years of Service
PRODUCTS :
 TOWELS
 APPERAL
 BEDDING
 BABY PRODUCT

Company Core Functions

The main functions of Towellers limited are:

- To manufacture yarn & all kinds of finished clothes from cotton.

- To manufacturing the items of clothing,household use and commercial use.
- To sell its products in international markets.

Primary Function And Nature of Business

The company currently maintains in-house processing, weaving, knitting and finishing
facilities. Towellers limited deals in B2B business model B2B companies produce goods and
services for other organizations and businesses. Although consumers aren't directly involved
in B2B transactions, they are an important reason why B2B businesses collaborate.

Production Facilities

Weaving: Weaving unit comprises of 100 power looms, 75 Dobby looms and 12 Jacquard
looms.

Dyeing and Bleaching: dyeing and bleaching capacity is approximately 1 million pounds per
month and includes J Box, atmospheric soft flows, HT jets and a continuous open feed
tumbler.

Knitting machines: The knitting equipment includes Orizio, Fukuhara, and Terrot machines
with 4 track single jersey, pique, interlock, herringbone, 2 end and 3 end fleece capabilities.
Towellers recently relocated to a brand-new facility, where they have upgraded dyeing and
finishing equipment in an effort to enhance our processes and deliver higher-quality goods
and finishes to customer.
Competitors of Towellers limited

1. Afroze Textile Industries

2. Nishat Mills Ltd
3. Lucky textile mills
4. Gul Ahmed Textile Mills Limited
Supplier selection Criteria

One of the most crucial steps in ensuring a healthy and successful supply chain is choosing
the right raw material supplier for your company. Towellers limited is applying the following
aspects in selection of the supplier.

1. Maximum and minimum order quantities

2. Lead times from when the order is received to delivered
3. Return policies
4. Methods of delivery
5. Terms and conditions of payment

Inventory Management

As the demand for clothing rises constantly, the textile and apparel business produces a
massive amount of goods. So they have to keep inventory in a variety of forms, as the
Towellers limited deals in the apparel sector their inventory is consist of finished goods and
unfinished products or raw resources.

Raw Material Inventory:

Following are the types of raw material inventories at Towellers limited:

1. Raw Materials (Yarn, Dyes Chemicals, Packing Materials, Trims, and Accessories,
etc.)
2. Semi Processed Materials (Gray Fabric)

Stock of Finished Goods Inventory

Because the Towellers limited deals in B2B business model that’s why they do not make
inventory more than the order they received. They apply real time inventory control method
in which dead stock is prevented by real-time inventory control.
Application of Erp System

Towellers limited is using manufacturing ERP system to use its inventory more efficiently .
Following are the specific benefits and features offered by ERP software.

 Optimizing the stock level of raw materials: Raw material inventory management
intends to prevent having too much or too less raw material inventory.
 Organizing raw material stock orders: The main objective of implementing ERP
software is to avoid ordering more raw material than it is required.
 Increase inventory control: An ERP can either automatically reorder supplies on
your behalf or alert your purchasing manager to the need for reorders by sending her a
timely reminder.
 Streamline Business Processes: A manufacturer's overall efficiency can be improved
with accurate inventory management. You can automatically keep track of the
inventory you use for each job with an ERP system.

Use Of Pull Strategy At Towellers limited :

In this strategy, a manufacturer basically makes inventory based on what customers clearly
want. In this case, customers are essentially "pulling" products and items from the brand,
resulting in a supply-demand cycle. The brand will supply a product whenever a customer
orders it. This approach is beneficial for all brands aiming to minimize inventory costs. But if
consumer demand and preferences change quickly, it can be hard to keep up with output
levels, which leads to stockpiling.

 Tracing of activity: in Towellers ltd there is a set procedure of how to have detailed
inventory management reports organized in one place to view the current statues of
inventory by using ERP (enterprise resource planning) software it is an integrated
approach to manage inventory at all levels from starting to end point.
Capacity Management

Towellers limited applies an effective and adaptable planning system that includes in-season
replenishment orders with a short lead time and preseason orders with a medium lead time
because of the seasonal nature of demand and the nature of the textile and apparel supply
chain, the short life cycle of apparel products, and the unpredictable nature of demand for
trendy items.

Quality Assurance

In Towellers ltd the raw materials source to the manufacturing plant has a set procedure of
check and balance between the starting point of manufacturing of product to the end quality
check department, every item of clothing passes through many hands, moreover inventory
quality management in Towellers ltd, at its most basic, is the process of tracking, managing,
and maintaining an optimal inventory level.

Sustainability

Towellers has solar panels installed across all three of its production sites, generating over 1
Megawatt of energy.
Demand Forecasting

High Volatility: The political factors, weather, economy are just a few of the many
influences that contribute to the highly unpredictable demand for textiles.

Low Predictability: It is difficult to predict how many orders the company will get in a given
time period due to the industry's volatile consumer demand.

Condition During Covid-19

Textile orders have shifted to Pakistan because of the more severe impact of the Covid-19
pandemic on regional countries. This has given Pakistani exporters, especially the key market
players, an opportunity to offer competitive prices and offer better quality products. Because
of that Towellers ltd saw a major increase in their orders in context of medical protective
clothing, surgical masks, Personal Protective Equipment (PPE), these items are worn by
medical staff.

Current Challenges Company Facing

The company is not getting the necessary raw materials and accessories. Because the letters
of credit are being rejected. These problems are creating production delays and disruption
leading to the termination of export orders. Also, another the most important factor in the
decline of the industry for last year has been the energy crisis especially gas shortage and
high electricity rate.

Managing Resources Scarcity

It takes up to 10000 liters to make a single cotton bed sheet or pair of jeans to add to the
water used in growing the cotton. In the situation of Pakistan where the scarcity of water is a
major issue the Towellers ltd is trying to find a way that can tackle this and protect this
valuable resource and prevent water scarcity, especially because many places where cotton is
grown are facing water shortages due to climate change.
Inventory Shipping method

Towellers limited uses the most common shipping agreement for exporting garments is Free
on Board (FOB). In this method the seller is responsible of the goods until they are loaded
onto the ship or aircraft chosen by the buyer, as the name suggests. Once the cargo is loaded
onto the ship or aircraft, the buyer is responsible for any charges or damages.