Thai Clothing Manufacturer V.T. Garment Achieves 98% On-Time Delivery with Infor Solutions
Infor, a leading provider of beautiful business applications specialized by industry and built for the cloud, today announced that V.T. Garment, a family-owned and operated apparel manufacturer headquartered in Bangkok, has achieved an on-time and in-full delivery rate of 98 percent since implementing Infor CloudSuite Industrial (SyteLine) into its manufacturing IT processes a year ago. In addition, the clothing manufacturer has achieved 97 percent inventory accuracy, reduced materials costs by five percent (nearly 10 million Baht) across purchasing and inventory, and has improved customer order confirmation timings by 30 percent.
V.T. Garment Co. specializes in the manufacture of outerwear, casual wear, and sportswear for international clothing brands. Employing more than 3,000 staff across operations in Thailand and Myanmar, the company produces approximately 3 million pieces annually. With growing demands from apparel brands that are outsourcing their manufacturing, V.T. Garment needed a tier-one Enterprise Resource Planning (ERP) system to modernize and standardize its operational processes, with specific focus on organizing the four Ms of production: man, method, material, and machines.
"Our company needed to improve its processes for purchasing raw materials, tracking, and locating inventory within facilities. We were also looking to vastly improve efficiencies across operations by integrating data that was housed in disparate systems. By collecting and analyzing the real-time data generated by these processes, we are now able to make quick decisions about forecasted lead times, inventory, and production capacity. Through Infor solutions, the company is now more agile and focused on our end customer, which is crucial in the fast-paced fashion industry," Group Managing Director, V.T. Garment Co., Ltd, Mr. Chalumpon Lotharukpong, said.
After one year of implementation, V.T. Garment has been able to centralize purchasing and rationalize inventory, resulting in lower production costs, while increasing the percentage of on-time-in-full deliveries to its global customers. With Infor CloudSuite Industrial, the company has been able to organize its warehousing with a standardized inventory management system that increases inventory accuracy and reduces the time required to locate a row of fabric for a production run. Enhanced visibility into all aspects of the business has allowed for more efficient decision-making, supported by streamlined, standardized processes.
"Infor CloudSuite Industrial allows us to create the same amount of finished goods with less of the costs associated with raw materials. By factoring in those savings alone, we've seen positive ROI within one year. Having real-time visibility into the status of all our processes from order to cash is invaluable to our business," Mr. Chalumpon Lotharukpong said.
Infor CloudSuite Industrial is used at all locations in Thailand, as well as via a private cloud that provides the ERP software to V.T. Garment employees in Myanmar. By decreasing material costs per garment and gaining visibility into inventory and operations, the company now delivers greater value to its customers.
"At Infor, we are committed to assisting our customers such as V.T. Garment with its transformational journey by enabling it with the power of greater visibility and forecasting across its manufacturing locations - which enables faster, more responsive and customer-centric decision making," Vice President, Infor ASEAN, Ms. Helen Masters, said. "By shortening lead times for each customer order through Infor CloudSuite Industrial, V.T. Garment is now able to reduce the time it takes to deliver to its apparel clients a new design in the right size and color, which helps them avoid missed customer sales."
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