Shanto Mariam University of Creative Technology: Submitted To: Mr. Noorul Muqaddim

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Shanto Mariam University of

Creative Technology
Assignment
On
Product development and its importance in RMG sector

Course Code- MGM-4204

Submitted to: Mr. Noorul Muqaddim


Dept of AMMT

Submitted by:
Mohammad Raim Razzak
ID-191057011
Group-A
Semester-12
ACKNOWLEDGMENT

I take this opportunity to express my profound gratitude and deep regards to my


guide Mr. Noorul Muqaddim for the opportunity to let me do this assignment
and her exemplary guidance and constant encouragement throughout the course
of this assignment. His blessing, help and guidance shall carry me a long way in
the journey which I will embark.

I also take this opportunity to express a deep gratitude to my family, friends and
of course my group member for their cordial support and valuable information
which helped me in completing this task in the stated timeline.

Raim
Sign ______________

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Introduction
Product development process starts after market forecast, it’s the process of creating each
individual style within the line. After the research phase of line development is completed,
silhouettes are developed, fabrics and trim selected, prototypes made, and specifications are
created. The resulting styles are analysed to determine manufacturing costs. These steps are
all part of the product development phase of the line development process. The first steps of
silhouette development and fabric selection are approached in different ways by different
designers and companies. Many companies base their lines around fabric and print designs.
Their designers start by selecting fabrics and then create silhouettes for those fabrics. These
designers are fabric driven. Other designers are silhouette-driven.
They design silhouettes and then select fabrics that are compatible with the silhouettes. Both
processes achieve the same end result—unique garment styles.
This type of product development is done either by buyer along with buying house. Product
development is the essential part of the line development after market forecast is done.
Without product development line cannot be developed.

RMG industry in Bangladesh


The Ready – made garments industry has speared out widely over the last three decades. By
replacing the jute industry, RMG industry has expanded as a significant role player in the
economy of the country. The export- quota system and the approachability of inexpensive
human resources were the two principle constituents beyond the prosperity of the industry.
The RMG sector largely exported products to the United States of America and the European
Union. More than 90 percent share of the country’s total earning was from these two
countries. At that time, all products actually leaded to lean manufacturing. Diversification in
products was too limited. Nonetheless, the industry had to become more competitive as a
result of the end of the quota system in 2004. The RMG industry had to work on short lead
time, price, and qualitiful products and so on with special attention to build a long term,
successful & sustainable industry. Within this competition, consumers have become more
changeable in their preferences and more difficult to forecast (Branch, 2002). That’s why the
apparel industry had to redesign the Design & Product development process for mass
production. The concept of design & product development (DPD) in RMG industry is still
new. In today’s competitive market DPD can work as a key to solve problems. To become
successful in todays’ globally integrated world, apparel manufacturers are trying to be more
efficient, more flexible. Firms must develop new products for international markets as it is
the key drivers of business in today’s competitive environment. To ensure the long term
sustainability of the Bangladesh RMG industry as a prominent supplier in the global market,
the product and market composition needs special attention. Product quality, innovativeness,
design, distribution networks etc. are considered to measure competiveness of any industry
(Abdel-Latif, 1993; Chen&others, 1999; and Sachwald, 1994).Lean manufacturing, quick
response, and just in time are but a few of strategies that these manufacturers and retailers
have implemented to achieve economics of scope, while maintaining efficiencies in
production and distribution (Roberts, 2004). To grab new buyer or customer there is no
alternative way than design and product development team. If any factory or firm maintains a
department of DPD they can offer new products or old products in new options. The RND
(Research & Development Department) not only fulfill customers demand but also offers
different range of collection and make different strike off of embellishment like print,

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embroidery patchwork etc. The DPD team can research and work on buyers’ choice. In this
article authors tried to determine the potentiality of apparel designing and product
development department in RMG sector.

Bangladesh’s economy dependents on agriculture and Jute were the primary export product.
Over the last three decades, Bangladesh’s economy relies on jute but this situation was
changed due to immense growth of foreign currency of readymade garments (RMG) sector in
Bangladesh. M/s Reaz Garments Ltd. was the first direct export owner who was from
Bangladesh (Kiron, 2015). The pioneer of the RMG industry was late Nurool Quader khan
sent 130 trainees to learn how to produce RMG garments to South Korea, with those trainees
he set up first apparel “Desh Garments” in 1980s, the first export leaning company. Till now,
RMG industries are growing up, they still think for bright prospects and challenges and
holding strong grip of economic growth, job formation for the huge people. At least, 4.2
million people have got the employment opportunity for this stratum and it incomparably
contributes to the GDP and most of them are women. Economic situation of readymade
garments (RMG) sector is gained only US$ 69 thousand in the end of 1970. This sector filed
up its position with the growth rate of 15 percent per annum in the past decade. Between the
year of 1984-85 garment factories’ number boosted upon 587. Within 1999, RMG factories
increased its number around 2,900 and also Exports have expanded its amount up to US$4.5
billion by FY2002 in two decades. Now, Bangladesh is in 12th position for the largest
apparel exporters in this entire world (Yunus and Yamagata, 2012). “In 1982, however, the
government began to provide various incentives to the garment industry, such as the duty-free
import of machinery, bonded warehouse facilities, and cash incentives.” The gradual
development of RMG industry in 1986 the MFA quota system had been brought and the
system eliminate in 1994 and then the MFA quota system was started in 1995 and finished in
2005 (Mottaleb, & Sonobe, 2011).RMG industry of Bangladesh is export oriented spectrum
from the very first time with its woven its woven and knit sub-components and with also its
95 percent of the woven and 90 per cent of the knit exports being directed to foreign markets.
Woven and knit product is mainly two product categories in the RMG. Shirts, tops, jackets,
trouser etc. are the woven products and T-shirts, undergarments, laggings, sweaters etc. are
the knit products. Knitwear garment export was started since the early 1990s and now the
performance of the knit product is very high but the export earning of the country still
dominate by the woven products (Haider, 2007). For the development of RMG industry there
are many reason, like- Backward and forward linkage, development of RND department. “In
the beginning of 1990s, the lead time was 120-150 days but in 2007, it was reduced to 30-50
days, i.e. at present it is 90-100 days” (Haque, 2009).The product development portion of
apparel industry has been pointed out by many researchers. The basic steps within the process
include creative idea generation and research, line conceptualization, preparation for making
and market preparation.

In apparel industry the product development was used to run in a traditional, linear and
sequential system. Form the beginning of the RMG sector, the product development system
was not present in an individual form. Buyers used to give samples to the factories and the
factories just copied. Due to lack of proper technical person the samples was been rejected for
many times. Basic designs were found in Bangladesh due to lack of innovation. But after

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1995s some of RMG factories realized the demand of innovation. Now a day this design &
product development starts with an idea generated from a forecasted fabric, color or style as
well as business market. Basically this product development process takes 18- 24 months
from idea generation to final targeted customer. In the last stage of the overall process, the
consumers are contacted when many designs and production decisions are made. The design
& product development process is much elaborate as it is driven by multiple and different
layers in the pipeline including fiber producer, fabric manufacturers, CAD, printing, washing,
embroidery, sewing etc.(Dickerson, 2003). Many researchers agree that the design and
product development activities in the apparel system meet the dual problems of highly
competition and increased and changing consumer’s need. Mass personalization has the
target to deliver a consumer with options which are designed, selected and fitted specifically
for that client with the capability and cost of bulk manufacturing system (Anderson, 1997;
Duray, 2002; Gilmore and Pine, 1997). The mass personalization process emphasizes on the
client with more simultaneous product development operations. Anderson- Connell et al.
(2002) researched with consumer focused groups and found four ways that a client can be
involved with mass customization. The four ways are cloths clones, totally custom, co-
design, and design options. Cloths clones are apparel things that copy items which are
currently consumers have in their closet. Totally custom system actually allows the client to
choose fabrics and colors as well as trims and other component. Here factories just source &
follow the instructions than innovation to fulfill customers choice. In co – design, the
designer, work jointly or collaboratively with the customer. Designers create mood board,
sketches of apparel items which represent the client’s though. Maximum factories and buying
houses work with the customer in co- design process. Customers send the mood board and
trend report to the designers or sample developer. Designers now prefer to make a sample of
his/her designed product to present to the customer rather than sketch because the physical
appearance of a product can be judge after touch and see product. In the design option, the
client gets to see pre-designed apparel portions and can select components such as collar
shape, sleeve shape and length (Mock up).
In this article authors tried to determine the potentiality of apparel designing and product
development department in RMG sector which has become more simultaneous and
concurrent to support future RMG Market in Bangladesh. Five fact- finding questions were
used to attain this purpose.

Fabric selection: fabric selection is done based on aesthetics as well as technical demand of
the garment. Following things need to consider while selecting the fabric for product
development.

• Fibre content.
• Texture and engineered effects created by weave configurations
• Fabric construction—basic structure
• Yarn selections.
• Prints.
• Colour range
• Performance characteristics—wear factors, care requirements, sewing
• Compatibility and drape
• Versatility for use in multiple styles
• Price and terms.
• Availability.
• Minimum order quantities.

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For fabric selection designer visits textile mills, fabric studio, design studio.
Silhouettes: Silhouette development involves transforming garment ideas into final garment
Sketches or technical drawings, which are hand or CAD renderings of the front and back of a
garment, including stitching details. Technical drawings usually do not include body
silhouettes and are used where construction and styling details are critical to the design.
Proto type development: after Silhouette is developed, tech pack is developed and
development sample are developed. Objective is to see the aesthetic and manufacturing
ability of the proposed style.
Costing: Costing is done at the stage of sample development to see the market feasibility of
the product for sales and to decide the profit margin.
Advantages of product development by buyer/ buying specification

• Buyer makes the market forecast, hence the understanding of market is better
• The recent trends are decided by buyer
• The colour, prints and patterns are developed by byer which is based on market
forecast.
• Buyer is totally responsible for the success of developed style

Disadvantages product development by buyer/ buying specification:

• The process of product development is long and tidies process for buyer;ifbuyer
doesn’t have in-house production capability.
• Buyer needs to depend on either buying house or garment/textile manufacturer for
development of lab-dip, strike-off, and samples.
• The cost of product development at this stage is higher.
• Though buyer does the market forecast but buyer may has limitation on technical
knowledge and production feasibility of the style.

Product development by garment manufacturer


Product development is the business policy of the organization which includes the
development of the new designs and styles within the organization. This activity brings the
more business to organization, by showing pro-activeness in design development buyer also
impress. The role of production merchandiser in this activity is plays very important role.
Production merchandiser must keep update to buyer time to time about the product
development done by organization.
Motivate the buyer to give the design development to the organization instead of doing
themselves. Whenever buyer visits to the organization, presentation of new colour, prints,
embroidery patterns and desk loom developments is done by production merchandiser.
Presentation of new designs developed by PD department. Try to convince the buyer to select
the designs from presentation. A very good presentation and convincing ability of production
merchandiser brings more business to the organization.
Role of production merchandiser in product development

• Product development is become business policy of the organization, as merchandiser


is the bridge between buyer and manufacturer, merchandiser can understand the
buyers know-hows of the market and new development can be done accordingly.
• Merchandiser not only follows the export order but, he/she must be aware of the new
trends in market related to fabric, colour, patterns, style, designs etc.

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• Cost calculations are the main role played by the merchandiser. At product
development and sampling stage only cost is calculated and quoted to buyer.
• Merchandiser must insist in-house design studio(if available)or product development
team to come up with new ideas and designs and style.
• At the same time merchandiser should convince buyer to give development to the
factory if capacity is available.
• Merchandiser knows what buyer wants hence at the time buyer visit to factory,
merchandiser can present the new developments i.e. desk looms, lab-dips, strike-offs,
newly developed design in garment in front of buyer or send to buyers office for
selection purpose.
• Merchandiser must use convincing ability to make sure that buyer will accept some
designs.
• The important role of merchandiser plays is follow-up of buyer as well as sampling
department to make sure that development should go smoothly.

Advantages:

Production merchandiser can control product development process in better way.


Pro-activeness of merchandiser can bring the more business to the organization.
The cost of product development is lesser when it takes place in manufacturing organization.
Manufacturing organization may not charge the cost of product development to the buyer if
buyer is regularly giving orders to the organization that is the benefit to the buyer.

• Production merchandiser can control product development process in better way.


• Pro-activeness of merchandiser can bring the more business to the organization.
• The cost of product development is lesser when it takes place in manufacturing
organization.
• Manufacturing organization may not charge the cost of product development to the
buyer if buyer is regularly giving orders to the organization that is the benefit to the
buyer.
Disadvantages:

• Merchandiser may not aware fully about the buyer’s requirement of style and designs
for that particular season. If it is so then whole work will be wasted.
• The quality requirements of the buyer nay not match
• There may be capacity of sampling or product development department to produce the
new style, but there may be possibility that production floor may not be able to handle
the style
• Merchandiser may have limited knowledge of the market, trends, running style, sales
background of the buyer, brand image. Hence there are limitations for merchandiser
to go for product development.

Product development by design studio:


In globalization era product development process is also outsourced by buyer. The typical
product development process by design studio can be given.
The process of product development is similar to what buyer is doing but only third party or
individual design studio is involved in the process. Buyer asks design studio to develop the

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new designs, sketches, style and colour. Design studio develops designs according to market
forecast of buyer, by keeping brand image in mind.
Advantages of the process:

• Buyer gets the advantage of expertise in design studio.


• Buyer need not to see the sourcing part for the product development
• The risk is transfers to the design studio
• With involvement of third party product development sharing of knowledge is
happens.
• The resources can be combined.
• Increasing the speed of product development process as design studio does that job.
• Buyer gets the advantage of latest technology in design studio.

Disadvantages:

• More cost is incurred for buyer


• Dependency is more on design studio.
• Design studio may not be able to understand the buyer’s perception about market
though buyer shares data.
• There is reduction in knowledge gain about technology, new trends and technical
aspects of product development.

Conclusion
Globalization makes product development process heart of fashion industry. The apparel
product developer is involved through the entire process from concept to delivery. Since the
product developer works in tandem with the merchandiser, having a strong background in
forecasting and mathematical skills is a plus. The costing is estimate at product development
phase hence; it is very easy for buyer to estimate the MRP of the garment. Accordingly
marketing plans can be developed. For manufacturers point of view product development is a
business tactics. To sustain in the business manufactures takes active part in product
development process. For design studios or third party product development organization it is
opportunity to work globally. With product development entrepreneurship can be possible as
standalone design studio are run by single person or group of persons who are expert in the
field.

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Reference
1. Haider, M.Z., 2007. Competitiveness of the Bangladesh ready-made garment industry
in major international markets. Asia-Pacific Trade and Investment Review, 3(1), pp.3-
27.
2. Nuruzzaman, M. and Haque, A.K.M., 2009. Lead time management in the garment
sector of Bangladesh: an avenues for survival and growth. European Journal of
Scientific Research, 33(4), pp.617-629.
3. Mottaleb, K.A. and Sonobe, T., 2011. An inquiry into the rapid growth of the
garment industry in Bangladesh. Economic Development and Cultural Change, 60(1),
pp.67-89.
4. Kiron, M.I., 2015. Readymade Garments Industry of Bangladesh. Retrieved from
garmentsmerchandising. com: http://www. garmentsmerchandising. com/readymade-
garments-industry-of-bangladesh.
5. Yunus, M. and Yamagata, T., 2012. The garment industry in Bangladesh. Dynamics
of the Garment Industry in Low-Income Countries: Experience of Asia and Africa
(Interim Report). Chousakenkyu Houkokusho, IDE-JETRO.
6. Kincade, D.H., Regan, C. and Gibson, F.Y., 2007. Concurrent engineering for
product development in mass customization for the apparel industry. International
Journal of Operations & Production Management, 27(6), pp.627-649.
7. Thomke, S. and Fujimoto, T., 2000. The effect of “front-loading” problem-solving on
product development performance. Journal of product innovation management, 17(2),
pp.128-142.
8. Jo Anderson-Connell, L., Ulrich, P.V. and Brannon, E.L., 2002. A consumer-driven
model for mass customization in the apparel market. Journal of Fashion Marketing and
Management: An International Journal, 6(3), pp.240-258.
9. Miotti, L. and Sachwald, F., 2003. Co-operative R&D: why and with whom?: An
integrated framework of analysis. Research policy, 32(8), pp.1481-1499.
10. Gilmore, J.H., 1997. The four faces of mass customization. Harvard business review,
75(1), pp.91-101.

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