Business Performance Enhancement

Strategy > Textile and Apparel > Business Performance Enhancement

Business Performance Enhancement of Indian Fabric Manufacturer

Background

A leading fabric manufacturer in India, undertook a project in which the company was planning to restructure its business operations. The client engaged Wazir Advisors, to assist them in evaluating the business and suggest suitable strategy for restructuring.

Project Objectives:

The objectives of this project were to assist the client in restructuring of plant operations, to optimise, and right-size the deployment and utilisation of resources (man, machine & money) and evaluate the business and financial impact of alternate strategies.
Following were the key sub- objectives:

Evaluation of client’s current operations with the objective of right-sizing of all resources
Developing and detailing out restructuring options and strategy
Evaluating the methodology of execution of the strategy, and the consequent financial and non-financial impact on the sustenance and growth of the business

Deliverables:

Recommended strategy for restructuring covering:
1. Operating model to be adopted including segments & capacities
2. Infrastructure & technology requirement
3. Plant location & size
4. Organization structure & size
5. Broad level financial snapshot
Also devised an action plan for undertaking the restructuring exercise

Developing Costing System for Indian Fabric Manufacturer

Background

A leading fabric manufacturer in India, wanted to improve its existing costing system in order to assess cost of production more accurately at product quality /order level and subsequently more accurately value the work in progress (WIP) and finished goods (FG). Wazir developed a costing system that fulfilled the above requirements.

Project Objectives:

The following were the key objectives of the project:

Develop a robust costing system in order to achieve more accuracy in product costing
Develop a costing dashboard (in excel) that will help in more accurate quotation pricing for different qualities
Enable mechanism to arrive at final cost of production , WIP and FG valuation at a consolidated level

Deliverables:

The key deliverables of the project were:

Developing and delivering a costing system including:
1. Dash board for product level costing
2. Measuring cost of production, valuing WIP and finished goods at consolidated level
Devised a mechanism to measure productivity and utilization for respective orders and also at consolidated level