For me a ‘ preferred supplier ’ is one where the management has the right mindset … I should be able to connect to the supplier . He should be thinking about the future … 10 years hence and not just thinking of surviving the day . Mindset that talks of innovation , makes manufacturing LEAN and more efficient and productive . When I say supplier has to think about future , sustainability has to be a part of it . A supplier who understands sustainability is not just adding to cost but actually a better and efficient way of working and who is also curious to understand how I can improve in my area . I also like suppliers who talk about sustainability in their company profile , the initiatives and also about the pillars of sustainability – this is what we believe in , this is what we do for people and for environment . So that is also important . Then , there should be flexibility . Supplier should understand the retail process . As partners , some days I will need you to back us in certain areas ; to understand nuances of retail so that they are able to support in the right manner of manufacturing . One set of suppliers is just manufacturing and the other is ready for open discussion and tries to put themselves in customer ’ s shoes . Then you can have open discussion ; we can see that you can build capacity , you can grow with the factory and then the company benefits , the factory benefits . We can see the future together . So , there should be flexibility . We all want to make profit but in today ’ s time , it should be done together . It ’ s more of a collaborative effort .
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Product Development is a part of business , but it depends actually on what the requirement is . For me , it ’ s not necessary that I have somebody who has great PD . In my supply base , I would love to have a mix – someone with good production capability and someone who can give creative inputs , but more importantly someone who can give me global quality rather than giving me great showrooms . In the end , the product that reaches the store and does not sell is of no use , no matter how great it looks in the showroom . There are lot of suppliers who have great showrooms but I tell them that I will not work with them if I do not get global level of quality . Some of them give me that global level quality and also look good apart from great service level .
Our job is to secure the procurement while the job of the factory is to manufacture according to the order placed . When I talk about secure the procurement , then it means sustainability , development , capacity building at every level . We connect buying
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and manufacturing … It ’ s not disconnecting . Middle man earlier used to do merchandising but that ’ s not my job . The supplier ’ s job is merchandising . I don ’ t want to be a check point . Every sample that comes to me if I have to reject and check it before sending each time , it is inefficiency … It ’ s two people doing same job and that ’ s inefficiency . It should be first time right . You do your job correctly first time , so that I can do my job .
My job is to source the right product and make sure I place the right product to right supplier , have a good overview of how supplier is performing and give them the right direction . What was happening earlier was that liaison or a buying agency was so involved in day-to-day activities that we were not able to do our real job and then you talk about empowering suppliers . QCs go and do final inspection . If you have right service level , my QC will go there to tell how you can do better . They can help develop factories to be more efficient . If he is constantly spending time
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A supplier who understands sustainability is not just adding to his cost but actually to a better and efficient way of working ; and who is also curious to understand how I can improve in my area , is for me a ‘ preferred supplier ’.
to only check garments because vendors are not doing their jobs , then it is not serving any purpose . Our job is to develop supply chains .
A progressive supplier will think how can I use IT to my benefit , how can I service buyers better , how can I give them better product and how can I be the factory of future . If I have to stay a preferred supplier , I need to be in step with what my buyer expects from me … But such suppliers are few ; moving forward I think the industry will be smaller , much more consolidated . Ones with right attitude are the ones who will see lot of business moving together . I see it that way . I don ’ t see India ever outgrowing this industry completely . There is certain handwriting that India has which has not failed them so far . You cannot get that anywhere else . China too has tried so much to copy , which they are good at , but they have also not been able to match India ’ s capability in handwork … So India will always be there , but who will grow , is in the hands of the suppliers .
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