In the realm of garment manufacturing, the adoption of scientific costing methodologies like Standard Minute Value (SMV) or Standard Allowed Minute (SAM) has been a longstanding practice, offering brands and retailers enhanced transparency, accuracy, and a pathway to bolster efficiency and cost competitiveness.
However, a critical gap persists in this process, primarily stemming from the limited reach of this methodology beyond the garment factories into the realms of fabric mills and yarn spinners, which can contribute up-to 50% of the total garment cost.
Although most leading brands are embarking on this journey of fabric should be costing, they’re all hindered with key challenges such as:
- Highly complex with hundreds of combinations of processes and fabric construction types
- Confusing and diverse terminology
- No digital solution for raw materials quotation management and engineered costs
- High dependence on Excel
- Shortage of domain expertise & heavy workload during negotiation periods due to inefficient workflows
- Transactional negotiations & not being able to capitalize on all negotiation opportunities
- Limited visibility into fabric suppliers’ processes, materials, and sustainability practices.
In the current sensitive geo-political situation with various types of tariffs looming large, leading to a significant cost increase and pressure on supply chains, engineered fabric costing, a largely unexplored area, has a huge potential to provide the required relief.
Join us for an exclusive webinar designed to unveil the transformative potential of engineered fabric costing—a game-changing methodology that eliminates inefficiencies, empowers better decision-making, and fosters collaboration across your supply chain.
Key learning objectives:
- Discuss how fabric costing, largely unexplored owing to its complexity, provides a significant savings opportunity and how to boost productivity by eliminating manual workloads and inefficiencies with a streamlined and scalable approach.
- Understand how detailed open costing mechanism helps build reliable cost benchmarks, identify right fabric negotiation opportunities beyond volume, enhanced collaboration with supply chain partners and increase profitability.
- Debate how to enhance supply chain transparency by gaining clear visibility into supplier costs, processes, & materials and accountability across your value chain to foster trust and long-term partnerships.
- Discover FABRICiQ, the first end to end digital fabric costing tool with detailed open quotation management, that automates workflow and facilitates engineered costing for consistent and collaborative decision-making.
Stop guessing. Start costing smarter.
