Thai Garment Industry
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1 Thai Garment Industry
2 Overview of Thai Garment Industry Important Statistics Items Total Thai garment export value Total Thai garment Domestic value Total number of garment factories in Thailand Number of local brand Number of people working in Thai garment industry Value Approx. 3,200 million USD Approx. 5,000 million USD 2,200 (90% are SMEs) Approx. 1,000 brands Approx. 900,000 people
3 How SHARE helps Thai SMEs Government SMEs OEM (Own Equipment Manufacturing) SMEs ODM (Own Development Manufacturing) SMEs OBM (Own Brand Manufacturing)
4 Thai Garment Development Foundation Mar, 2011
5 Corporate Profile & Objectives Thai Garment Development Foundation or SHARE is formed in November 1994 by government and private sector The organization running under the concentration on delivering competitiveness solution
6 Mission To Strengthen Thai Fashion and Apparel SMEs to ASEAN by creating value-added and reducing cost.
7 What we do To serve and increase competitiveness of Thai Apparel Industry by creating value-added and reducing cost. Productivity Development Reducing Cost. Productivity improvement Product Development Creating Value-Added Product Development Human Resource Development Continuous Development Knowledge, Skill, Attitude and competencies development All level(operator,middle,top management) Industrial competency standard Education Resources Management Sustainable Development Education Sector Collaboration (Vocational, University)
8 What is SHARE Business Network?
9 Our past projects and performance 2010 Productivity Development 4 projects Product Development 4 projects Human Resource Development 5 projects Education Resources Development 5 projects 18 projects 190 companies Increase value / reducing cost for industry 371,170,000 million baht / year
10 Productivity Development Our past projects and performance Best Practices II TPM 55 companies 8 companies Cost reduced by million baht / year Cost reduced by 8.96 million baht / year Sustainable Productivity Improvement LEAN THTI 1 company 4 companies Cost reduced by 2.71 million baht / year 68 companies
11 Product Development Our past projects and performance Pattern Workshop Training Fashion Muslim 2 Courses 36 people -Under wear / Swimmer - Lady wear Product Developing 2 Companies Best Practices (Sample Room) 5 Companies 19 Companies
12 Human Resource Development Organization Behavior Development Garment Skills Development In-house Training Competency Assessment Test Career Development 1 Companies 254 people 4 Courses 12 Companies 1 Time 78 people 103 companies - 20 courses 65 companies - Sustainable Improvement - Motivate to work happily for an entire organization -Self inspection for production dept. (sewing) - Waste reduction -Garment Merchandiser Competency Test from23 companies 74 candidates - ACP Apparel Co., Ltd. - MCAP Erawan Co., Ltd.
13 Education Resources Management VQ: Vocational Qualification 2 Courses - Bachelor degree of engineering - Bachelor degree of industrial engineering at RMUTSV Cooperative study New skilled labors recruitment for the industry Career Center Teaching Media Development 1 Time - Cooperative study project with RMUTK 2 Times 1 Time 1 Topic
14 The Project of Best Practices Example Sponsored by Department of Industrial Promotion
15 Best Practice concept Help each other, exchange and learn together
16 Best Practices Modules Sample Room and Prototype Improvement Production Planning and Control Multi Skill Development Material Utilization Japanese Advanced Production System Lean Manufacturing
17 Best Practice Success case Productivity Improvement and Cost Reduction by Multi-skills Grand Knit Wear Co., Ltd. A medium size company with approximately 300 machines
18 Result in Sewing line improvement Before After Finish Start Space consuming Long production line Double work Time consuming Production line was rearranged by sitting next to each other so that workers can see the works amount of their teammates. Quality control was brought in place at the line s end for immediate inspection.
19 Results Topic Target Before After Efficiency increase 10% 80 pieces 160 pieces (100%) Rework WIP decrease 5% decrease 20% 30 pieces 10 pieces (200%) 132 pieces 70 pieces (88.5%)
20 Improving Stages 1. Adjustment of production from work process focused to goods produced focused. 2. Reduction of Work-In-Process by changing from bundle system to one-pieceflow system. 3. Revision of workers compensation system. 4. Changing workers attitude. 5. Supervisors focus only production alone. 6. Prepare sewing manual for common products. 7. Determine group compensation.
21 Best Practice Success case Productivity Improvement and Cost Reduction by Production Planning & Control Heart & Mind Co., Ltd. A medium size company with approximately 300 machines
22 Result in Fabric inventory improvement Before Use the whole lot of fabric Receiving withdrawal card After Receiving withdrawal card Giving fabric as stated in the card Use the fabric as stated in the card Giving fabric as stated in the card Space consuming Time consuming Restocking the left-over fabric Reducing time by giving out fabric according to more precise calculation Better on-time delivery of fabric to production dept. due to process reduction
23 Results Topic Target Before After Efficiency increase 5% 59% 62.5% (5.9%) Lead Time OTP decrease 5% increase 20% 39 days 37 days (5.1%) 55.2% 69% (25%)
24 Improving Stages 1. Reducing Lead-time in fabric inventory department by redo the process of giving and restocking fabric, reducing the process of withdrawing fabric for cutting, reducing time for fabric inspection. 2. Reducing production cost by reducing the percentage of sewing accessories purchasing,
25 Best Practice Success case Productivity Improvement and Cost Reduction by Lean Production Central Garment Factory Co., Ltd. A medium size company with approximately 300 machines
26 Result in Process line improvement Before The length of work flow is 20.5 meters. After The length of work flow is reduced to 10 meters (46.3%)
27 Results Topic Target Before After Productivity increase 10% 4,480 pieces 6,780 pieces (51%) Cost WIP decrease 10% decrease 20% Baht/piece Baht/pieces (45%) 2,216 pieces 706 pieces (68.8%)
28 Improving Stages 1. Adjustment of production line process. 2. Search and improve for 3 wastes, production, waiting time and motion. 3. Connection of Boxer cutting dept. to sewing dept. and control of work and equipment using Kamban system with Andong system for failure detection. 4. Self-inspection of work in each process. 5. Setting up a standard of procedures (SOP).
29 Best Practice Success case Productivity Improvement and Cost Reduction by Sample Room Development Neo Apparel Co., Ltd. A medium size company with approximately 300 machines
30 Result in Sample room improvement Before Late sample delivery Long Lead Time Not Right First Time No Standard of Procedure After Prepared sample plan/status for follow up Prepared sample production plan Prepared a form for purchasing sample Creating Prototype Standard pattern Creating Pattern Manual Improved size spec form Creating Prototype Pattern for embroidery Improved sample order card Creating manual for correct cutting Creating sewing technique manual and critical point Etc.,
31 Results Topic Target Before After On Time Sample Delivery increase 10% 38% 48.28% Lead Time Reduction Not Right First Time decrease 10% decrease 30% 13 days 7.5 days(42.3%) 93% 31%
32 Improving Stages 1. Prepare work flows by applying lean manufacturing concept to reduce waste. 2. Prepare Master Plan and Load Analysis. 3. Implement Design Engineering based on actual production and cost according to the need of customers. 4. Implement Risk Assessment. 5. Prepare Master Pattern. 6. Re-organize for a friendly environment layout.
33 Skills Development project For 10 careers in apparel industry in operator and supervisor levels Sponsored by OSMEP
34 Careers Operator / Supervisor level 1. Production Planning and Control 2. Merchandiser / Retail 3. Purchasing 4. Pattern technician 5. Cutting 6. Sewing 7. Sample room management 8. Quality Control 9. Sewing machine mechanic 10.Trainer for industrial sewing machine
35 Pre-Test Training Post- Test On-thejob evaluation
36 Result in skills improvement Before After Average Test Score = 48% Average Test Score = 75% From 254 candidates in 10 careers From 254 candidates in 10 careers
37 SHARE activities Teacher s Training Session
38 SHARE activities Best Practices & TPM 68 Factories participated Total Cost reduced by $12 Million / year
39 SHARE activities Productivity Improvement for SMEs 25 Factories participated Total Cost reduced by $1.8 Million / year Skills Improvement for SMEs Over 250 personnels participated Over 80% satisfaction rate from employers
40 SHARE activities Fashion Muslim 100 personnels participated Networking between manufacturers and community
41 SHARE activities Pattern Workshops Swim wear Under wear Lady wear SHARE Forums Once a month Topics variety Well-known guest speakers
42 SHARE activities Corporate Social Responsibility (CSR) Education segment Apparel focused
43 SHARE executives & staff
44 Future Multi National Projects for SMEs Experts Exchange and Study Visit Merchandiser Pattern Technician Productivity Improvement Competencies Improvement Targeted Countries China, South Korea, Russia, UAE, India and etc.
45 Future Multi National Projects for SMEs International SMEs Networking Collaboration Annual conference Etc., Targeted Countries Russia, India, China, South Korea, Etc.,
46 Thank You Q&A
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