WELCOME TO My PRESENTATION

SEQUENCE OF GARMENTS
MERCHANDISING
Prepared By

Name ID No: Batch

Md. Asif 12129329 20th

Department of textile engineering

City University
Prepared For

Umera Islam
Senior Lecturer
Department of textile engineering
City University
Introduction

The Merchandising is known to the persons specially

involved in garments trade. The term merchandising has
been derived from the merchandise. Merchandise means
goods that are bought & sold.

The term Merchandiser may be defined as Person who

merchandises the goods, specifically for export purposes.
Garments merchandising means buying raw materials &
accessories, producing garments, maintaining required
quality level and exporting the garments within schedule
time.
Objectives of Garments
Merchandising

1. To try to get garments order inquiry from

buyer through various sources.
2. To find out the consumptions of fabrics &
accessories.
3. To make costing on the garments inquiry.
4. Procurement of raw materials.
5. Follow up.
6. Help and follow up in commercial activities.
7. To do shipment.
Responsibilities of Merchandising

He represents as a buyer to the factory.

He represents as a seller to the buyers.
He inspects Quality as a buyer (from the
buyers point of view).
He looks into the business to flourish more
in future.
He tries to offer the deal more competitive
without compromising the Quality.
His object is to satisfy the buyers to
progress more of the future business.
 Work flow of Garments
Merchandising
To collect buyers addresses.
To establish contact with the buyers sending formal
letters/profile.
Receiving samples comments from the buyer.
Receiving Purchase Order from buyer.
To confirm transfer authentication of the L/C in
favor of fact.
To order the test cutting with quality.
To check/inspect/advise for the bulk production.
Arrange inspections.
Sea vessel / air ship booking & insurance
Shipment
Some Influential Buyers Name
Lee Cooper
Calvin Klein
Police Brand
Tommy Hilfiger
U. S. Polo
Armani Exchange
Massimodutti
Dolce and Gabbana
Bershka
Mark and Spencer
Pullandbear
Zara River Island
Nike Diesel
Matalan Austin Reed
Primark Blue Inc
Ted Barker ASOS
PUMA Ann Harvey
Diesel Jack Willis
Levis Topshop
Boden
Different Types of order placed
by buyers

FOB(free on board) Order

FOA(Free on Air) Order
C& F(Cost & Freight) Order
CIF(Cost Insurance & Freight) Order
CIFC(Cost Insurance & Freight &
Commission) Order
TIME AND ACTION CALENDAR

Normally merchandisers prepare a plan in a

spreadsheet listing down key processes in
one column and planned date of action for
each process is noted in another. This
planning sheet is called time and action
calendar. Once TNA calendar is made,
merchandiser can easily list down her daily
'to do list' for the day and start doing work
one by one. According to TNA schedule
processes are executed on daily basis to
track whether an order is on track or
getting delayed.
T&A Calendar
SAMPLE
The samples decide the ability of an exporter.
The buyer will access the exporter and his
organization only by the samples. If the samples
are of good quality and with reasonable price
naturally the buyers will be forced to place the
order. So it is essential that the samples should
be innovative and with optimum quality. The
purpose of sampling is not only to get bulk
orders and also give some additional benefits to
the exporters. By doing sampling the exporter
can estimate the yarn consumption for
developing the fabric, a clear idea on costing
more ever the manufacturing difficulties.
Types of Sample
Salesmen samples or promotional
samples
Proto samples
fit samples
Pre-production samples
Size-set sample
Production samples
Shipment samples
Consumption & Costing

Knit garments consumption:

Fabric Consumption:

Before calculate the fabric consumption, we must

need the followings information as mentioned below:

1) Measurement chart with technical space.

2) Style Description.
3) Fabric Description.
4) Fabrics width/weight.
5) Washing shrinkage if any.
Calculation:

{(Body length + Sleeve length +

Sewing Allowance) X (1/2 Chest
+ Sewing Allowance)}X 2 X GSM X 12
/ 10000000 + Wastage (For 12 pcs of
garments)
Woven Garments Consumption:

Fabric Consumption:

Formula = Length X Width / Fabric width X Fabric

Unit
Cost of Manufacturing (CM) Calculation:

COST OF MAKING (CM) ={(Monthly total expenditure

of the following factory / 26) / (Qty of running
Machine of your factory of the following month) X
(Number of machine to complete the layout)} /
[{(Production capacity per hr from the existing layout,
excluding alter & reject) X 8}] X 12 / (Dollar
conversion rate)
CBM calculation:

The cubic volume occupied by a shipment in Cubic

Meters is referred to as the shipments CBM. To
calculate CBM we first need to know the length, width
and height of the carton in cm. If carton
measurement is in inch, we have to convert
measurement in inch. Simply multiply length, width
and height to find cubic centimeter and divide by
1000000 to find cubic meter (CBM). formula as
follows:

CBM= (LENGTH in cm X WIDTH in cm X HEIGHT

IN cm/1000000)
Follow up and updates

Regular and timely follow ups are important

to ensure that everybody involves in the
execution of the style is updated and is
performing his / her activities on time.

A merchandiser should plan his / her day

based on the time and action activities that
are due for the day. Ideally the
merchandiser should look at the activities
the are due for the coming 2-3 days and
should start his follow up accordingly.
INSPECTION
After making of the garments,
merchandisers are supposed to
arrange pre-final and final inspection.

Inspection can be carried out in several

ways:
Inspection by buyer
Inspection by buying house
Inspection by third party
Third party inspection companies:

ITS
SGS
Bureau Veritas
TUV SUD
CTL etc.
AQL:

AQL is Acceptable quality limit. A statistical

measurement of the maximum number of defective
goods considered acceptable in a particular sample
size. If the acceptable quality level (AQL) is not
reached for a particular sampling of goods,
manufacturers will review the various parameters in
the production process to determine the areas causing
the defects. AQL chart is used to inspect garments.
Commercial documents
Proforma invoice (PI)
Purchase order (PO)
Bill of lading
Insurance document
Certificate of origin
Packing list
Air way bill
Commercial invoice etc
Payment
Methods of Payment:
Cash-in-Advance
T/T
Letter of Credit
Open Account
Cash-in-Advance

With this payment method, the exporter can

avoid credit risk, since payment is received prior
to the transfer of ownership of the goods. There
are three types of cash- in advance- payment
method: wire transfer, credit card, and payment
by check.
Open Account

An open account transaction means that the goods are

shipped and delivered before payment is due, usually in
30 to 90 days. Obviously, this is the most advantageous
option to the importer in cash flow and cost terms, but
it is consequently the highest risk option for an
exporter. Due to the intense competition for export
markets, foreign buyers often press exporters for open
account terms since the extension of credit by the seller
to the buyer is more common abroad. Therefore,
exporters who are reluctant to extend credit may face
the possibility of the loss of the sale to their
competitors.
Letters Of Credit (L/C)
Letters of Credit (L/C) is in general a conditional
document extended by the bank in connection
with presentation of export value. L/C plays a
very dominant role in this matter. On receipt of
this document from the buyer, the exporters
become sure that they would obtain foreign
currency after the peaceful shipment of the
consignment directed by the buyer in the L/C.
Negotiating bank act on behalf of the exporter
and is held liable or responsible for realization of
exporters money from the L/C opening bank
Kinds of Letters of Credit (L/C):
Revocable Letter Of Credit.
Irrevocable Letter Of Credit
Confirmed Letter Of Credit.
Transferable Or Divisible Letter Of Credit
Back To Back Letter Of Credit
Red Clause Letter Of Credit
Sight Letter Of Credit
Revolving Letter Of Credit
Stand-By Letter Of Credit
Conclusion
Merchandising is undoubtly the most
impostant section of a garments
industry. Merchandisers coordinates
between all the sections. So a good
garments merchandiser should have
concepts about every section of the
textile.