CASE STUDY

ON 
MADURA ACCESSORIES LIMITED

Group 3
Radhika Lalsare  20201
Kaushik Soman  20207
Gopal Biyani     20229
 AGENDA

 Introduction

 Process flow and supply chain

 Problems Identified

 Proposed supply chain

 conclusion
CVIL DIVISION

  Coats India
  Madura Fabrics
  Madura Industrial Textiles
  Madura Garments
  Madura Accessories
Madura Accessories Limited
 One of the Divisions of Coats Viyella India Limited (CVIL)
 Hived off from Coats India Division in 1992 to develop Accessories Division
 Corporate office in Bangalore
 One-stop shop for premium accessories for the Garment & Leather Goods Industry
 Sales turnover of Rs. 77 cr. in 1995
 25% increase in sales compared to previous year
 Product portfolio contains interlinings , zips primarily
FINANCIAL STATEMENT
 MAL CONTRIBUTION

Turnover Profit

Interlining 50% 30%

Zips 30% 40%

Other(Needles) 20% 30%

Major players

B O M B AY D Y E I N G  
TATA
MADURA ACCESSORIES LIMITED
 PROCESS 

Yarn Fabric Processed Interlining

Fabric

Powder Coating
Weaving Bleaching
Inhouse
Contracted Contracted
 ACTIVITIES
• Yarn bought from 4 merchants in Madurai
• Yarn quality checked in Madurai warehouse
•  Issued to contract weavers for conversion to grey fabric (7 converters in Erode, Coimbatore,
Madurai and Ambasamudram)
• Grey fabric brought to Madurai warehouse for, and quality checked 
• Grey fabrics issued to bleaching houses for conversion to white/colored fabric (3 converters in
Erode, Bhavani and Ambasamudram) 
• White/colored fabric brought to Madurai warehouse and quality checked. 
• Fabrics issued to own manufacturing house (Ambasamudram) for final processing and coating to
produce interlinings. Then quality checked, packed and sent to Bangalore central warehouse
(CW) 
• Interlinings stocked at Bangalore CW and sent to the 11 depots as per dispatch advice. 
• Interlining dispatched to customers (garment factories and distributors/ dealers) as per
requirement 
Financing the pipeline

 Wastage convertors
 Reconciliation efforts between
purchase orders and subsequent
receipts
 Efforts taken to assign
responsibility for rejects and
reconditioning 
 Rejects were not always attributable to specific
convertor.

Repeated transport and handling.

LOSSES 'Salvage' product ie fents, rags and chindies.

100 units yarn => 90 unit woven fabric => 85 unit

sold at depot.

Out of 5, 3 contained fents and rags (sold at Rs.

120/kg) and rest 2 chindies (at Rs. 10/kg).
AVERAGE LEAD TIME
COSTS INCURRED IN PRODUCTION

Cost price     45 Rs

 EXISTING SUPPLY CHAIN

Advantages  Disadvantages

 Quality  Inconsistency of input because of a  number of

Check is carried out by
different suppliers  
Madhura Accessories Limited at  Higher Inspection costs  
every stage, so quality is ensured.   Losses(Rejects, Repeated transport and
 Madura Accessories Limited has handling)  
  Financing a long pipeline including wastages
control over their process.
  Wastages i.e. 'Salvage' product (fents, rags and
chindies)
 100 units of yarn gives 85 units of Interlinings   
 Shorter credit of about 2 weeks from suppliers 
 PROPOSED PLAN  
Fabric quality
Sourcing from
checked, packed and Interlinings stocked
fabric stage, which
sent directly to at Madurai
is preinspected.
Madurai.

Smaller volume
Interlinings then sent
requirements
to large volume
sourced from the
depots
nearest large depot. 
Advantages of proposed plan Disadvantages of proposed plan

 Less problems due to lesser number of suppliers.    Process of Selecting of Suppliers is

 Reduced inspection cost   a bit difficult  
 Decrease in losses and rejects as quality checked  Regular audits at suppliers'
at suppliers ends 
workplace to ensure quality of
 Lower financial commitment due to shorter
supply chain   product
 Reduced wastage due to fewer handling   Marginal increase in per unit cost at
 100 units of fabric would give 96 units of fabric stage  
Interlinings  
 Longer credit from suppliers up to 60 days
 Interlinings stored at Madurai Warehouse, which
would decrease transportation costs
 CONCLUSION
 After analysing its existing supply chain, 
Madura Accessories Limited proposed a new
leaner supply chain

 The proposal requires a new form of overall

process and quality control.

 New Proposal highlights the need for managing

flow of money along a logistical supply chain

 Proper supplier selection and building

professional relationships with the chosen ones
is an option that Madura Accessories Limited is
examining. This Photo by Unknown author is licensed under CC BY-SA.
Thank You