The authority of purchase house administration which gave me the opportunity to complete my project work with great success is commemorated over here with honor. This report highlights and illustrates the working procedure of home buying and home buying dealer. Through careful training, education, planning, assistance and coordination of the activities of home buying it will spread and help our RMG sector as well as our economy.
Origin of the study 02
Objectives of the study 02
Scope of The Report 02
Study Methodology 02
Choice of Topic: The topic of the study was assigned by the respected supervisor. Data Collection: The primary data was collected through direct and personal interviews with the various employees of the factories. Findings of the study: The data collected was scrutinized and stated and displayed as findings.
An overview of RMG sector 05
Terms related to Buying house 05
Sometimes they order directly from the factory or from their satellite office or trade office. Woven Garment Industry: Garment manufacturing industry and use of woven fabrics eg: shirt, pants, blouse, nightgown etc. Fully Fashionable Garment Industry: The industry that produces knitted garments and uses yarn as the main material instead of fabric.
Importance of buying house 06
Actual data cannot be found anywhere because they do not have any organization how many orders are made by buying houses in factories. They help us by collecting orders from importing countries and placing them in our RMG industries.
Organ gram of an ideal Buying house 08
Work Flow of a Buying house 09
After approving the red seal sample, he must discuss the materials and finishes. After showing the packing list in the factory, and some commercial activities, home buyers receive their commission. There is huge task done by a buying house which starts with meeting with buyer and ends with collecting commission from buyer.
Order placement 10
Order Execution 11
Purpose : Sales meeting of retailers market assessment demand Status : Final stage of order confirmation. It is sent to the buyer for approval of the conformity that the audit has been carried out correctly. It is a reference to the buyer that the bulk is produced according to the specifications. The buyer wants to be sure that the correct material is sourced and the line craftsmanship is consistent with the quality level.
In this case, in addition to carrying cargo, the cost of insurance is also borne by the exporter. The basic purpose of Inco provisions is to clarify how functions, costs and risks are divided between the buyer and seller in connection with the delivery of the goods as required by the sales contract. Bank, if different from the issuing bank, sends the documents and bills to the issuing bank.
Washing duty (if clothes are washed) 6th rate of profit is a distortion of the exporter). Mockup: Any part of a garment to be made for a specific purpose, not the entire garment. Production Sample/Gold Seal: It is a reference to the customer that most are produced according to specifications. The buyer wants to be sure that the right material is procured and that the production of the line complies with the quality level.
After obtaining the panel approval, the factory instructs the supplier to deliver the substances as per the PI. When goods are close to ready for shipment, merchant provides final inspection to the purchasing QC. After the goods are shipped within 5 working days, commercial invoice, BL copy, GSP (if any), staff advice certificate should be sent to the buying house for IC approval.
After receiving documents from the customer, he/she gives approval to pay to the factory. Buying House acts as the buyer for the factory and places orders and controls the process on behalf of the end buyer/importer.
Various Order sheet & Spec sheet 13
Different sample required to execute an order 16
Various Lab-tests ask by buying house 18
Various Important terms Considered during pricing 21
Various types of audit/certification want by buying house 22
Verification/certification: Third party audits, possible certification via SA8000 Companies audited/certified: > 1300 companies audited (2006) [1]. Sector coverage (programs for other sectors are under development) Verification/certification: Third party audits leading to certification. Focus: Social sector (labor conventions/ILO); Mainly sportswear and outerwear Verification/certification: Third-party audits, no certification Companies audited/certified: 3,700 factories in 18 countries (2006).
Participating textile brands: Adidas, Asics, Eddie Bauer, Drew Pearson Marketing, Gear for Sports, Gildan, Activewear, H&M, Liz Claiborne, Mountain Equipment Coop, New Era Cap, Nordstrom, Nike, Outdoor Cap, Patagonia, Phillips-Van Heusen, Puma , Reebok, Top of. Managed by: International Association for Research and Testing in Textile Ecology (Öeko-Tex). Verification/certification: Independent testing for harmful substances, certification Audited/certified companies: Hundreds for oeko-tex 100 / 28 for oeko-tex.
Third party audit basically depends on the buyer eg: UK based buyers usually prefer Oeko-tex audit.
Commercial documents or Inco terms related to any order 25
A standard commercial letter of credit (LC) is a document issued primarily by a financial institution, used primarily in trade finance, that usually provides an irrevocable payment obligation. The parties to a letter of credit are usually a beneficiary who will receive the money, the issuing bank of which the applicant is a customer, and the advising bank of which the beneficiary is a customer. Almost all letters of credit are irrevocable, that is, they cannot be changed or canceled without the prior agreement of the beneficiary, the issuing bank and the confirming bank, if any.
Seller and buyer conclude a sales contract, whereby payment is usually made via a letter of credit (documentary credit). The buyer applies to his bank, usually in the buyer's country, for a letter of credit in favor of the seller (beneficiary). The advising bank, usually in the seller's country, forwards a letter of credit to the seller with information about the credit terms.
The seller submits documents proving the shipment and the draft (bill of exchange) to the paying, accepting or negotiating bank named in the loan (usually the advising bank) or any bank willing to negotiate under the terms of the loan. The buyer delivers the bill of lading (in the case of ocean freight) to the carrier in exchange for the goods or the delivery order. It is proof that there is a valid contract of carriage, or a contract of hire, and it may include the full terms of the contract between the consignor and the referring carrier.
It serves to inform all parties, including transport agencies, government authorities and customers, about the contents of the package.
SWOT analysis of buying house 32
Most buyers are not familiar with this condition; they need third party to place orders. However, if more new buyers cannot be captured, it will be problematic for them as established buyers are willing to open their own country office. In the future, the purchase of houses will be completely dependent on small buyers, they have all season orders, but small in quantity.
Merchandising 36
Main function of a merchandiser 36
All the main functions, mentioned above, are important, but the procurement of yarns and accessories is the most important because there are many technical parameters involved in specification in this area.
Qualities of a merchandiser 37
Other qualities of merchandiser 37
Roles & responsibilities 37
Merchandising chorological process 40
A sheet contains size measurement with garment construction information to be received after 10 days of order confirmation. Gold seal approval must come before final inspection to correct any problem found in production. It should be calculated taking into account material and accessories in the house one month before the start of production.
Execution process for garment export 41
For example: Calculate the factory prices (costs) for a men's round neck, saddle shoulder, long sleeve, over 4 lines (regular) diamond and 8 lines smart cables. First Pattern: The first physical version of any garment according to the artwork done by the designer and developer. Second pattern: Usually designer or developer always ask for some changes to the first pattern.
Counter sample: When the first pattern is made on the designer's artwork, the counter sample should not be made on the designer's artwork, but should follow another sample given by the seller. Seller's sample: A sample is made when price is confirmed and orders are based on speculation, usually in L size in all color combinations of the expected order. Approval sample: In each discrete period, whenever a revision of the sample is required, a new sample is made (sometimes a mock-up is also workable) according to the new specification.
Shipping Sample: A sample is retained from each pre-shipment inspection, which can be referred if necessary after the order has been delivered. Swatch is very important for the production line to make the correct construction of a garment and the QC department takes care of it. Although some home buying problems still persist, it is time for them to take necessary action to secure their better future.
The purchase requires a training program to strengthen the workforce, which is a key benefit of buying a house. Placing the order, timely execution of the order with appropriate quality is the main key work of the shopping house. So, buying a house also requires building a strong relationship with the buyer and the manufacturer.
Critical path method 41
Consumption & costing 43
Cost Calculation 45
Analysis a cost sheet 46
Costing of garments in (FOB) cost 46
Sample: Reference garments 47
Sourcing of sampling 47
The buyer held a meeting with his customers and recorded their response to the order quantity by color, size etc. and finally placed the order with the supplier. Quantity: There is a minimum quantity per color combination. Delivery: Very important to respect the delivery date. Photo sample: Samples are taken of the actual color and material to be worn by the models during catalog shoots.
Pre-production sample: When the mass production material arrives, the factory makes a sample with the actual material and sends it to the customer. The correct choice of borders and their quality are very important for design; otherwise, the buyer can refuse or return the garment. After receiving the approval of the laboratory soaking, the factory receives some yarn as a sample and does the knitting, and sends the knitted panel to the buyer for the bulk yarn. Describe here the color construction of the goods GSM (gross square meter) etc.
He checks the packing list with the style order/PO slip and brings cartons for inspection. If AQL passes, it means that the goods are in an acceptable quality level, he gives certificate to ship the goods. Home buying needs to prioritize building strong relationships with buyers for survivors because buyers know the supplier's way of making products and doing business.
3] Ypres, Michiel van; Corporate social responsibility in textiles, IVAM, p-42 [4] www.oeko-texltds.com.
Swatch 50
Trims 50
Fabric swatch comments 51
Yarn booking sheet 52
Accessories Booking Sheet 53
Shipping Carton Sketch 53
Packing List and Final Inspection 54
Document Submission to receive payment from buyer 54
Bill of Lading (Ocean or Multimodal or Charter Party), Air Way Bill, Lorry/Truck Receipt, Railway Receipt, CMC Other than Measure Receipt, Freight Forwarder Receipt, Deliver Challan etc.
