The sourcing principles followed by many apparel organisations seem to be governed by apathy. Once supply relationships have been defined, it often becomes a struggle to change them. Yet keeping the supply base refreshed is probably one of the single most important functions that a buyer can perform explains Devangshu Dutta. For many decades from the early 1900s onwards, retailers followed a 'trader' or 'merchant' model, largely buying from those suppliers who could provide the best prices. Of course other parameters were considered as well, such as desirability of the product, but price was the major driver. It was also…
It's been the zipper that always stuck. No matter what they tried. For the big names of textile industry, the reservation of garments for the small-scale sector has been the one issue on which all their plans for making it in the Rs.25,000-crore segment snagged. So, when the government, after much dithering, announced a new textile policy that opens up the garments sector, the response has been ecstatic. "We can at last increase our capacities and invent more in our captive suppliers," says Nabankur Gupta, group president of Raymond India. The Rs.2300-crore company is hoping to stitch up a larger…
Over the past few years, the Internet has been revolutionising the way we interact with each other, as individuals, as companies or corporate entities, providing a mass of information keeps growing with no end in sight. With cheap and direct access, we can quite simply move around with a few clicks, most of the time locate what we want, make an informed (and even comparison-based) decision, and exit. Surely, as many pundits forecast, the Internet should bring an end to intermediation of any sort. Well, yes. And no. Yes, the Internet makes information more easily accessible to everyone. Every week…
In the simplest terms, sourcing entails "buying a product". So presumably, if you have the need for a product and know the cost at which you want to buy it, and you can find someone who can sell it to you, it should be a straightforward transaction. What happens in reality is often somewhat different. The Sourcing Process You start with a product in mind, with certain specifications. You build certain sales projections based on past performance, forecasts etc., you evaluate supply bases, select one or more suppliers, factor in a logistical plan to get the product from your supplier…
Geopolitical friction has again sparked renewed concerns over inflation and rising input costs for FMCG companies as @itmeansjustice @whysnavi write. @devangshu commented.
