A family-owned apparel manufacturing company in Thailand has succeeded in attaining 98 per cent on-time and in-full delivery rate to its clients across the world, thanks to cloud computing technology.
VT Garment, headquartered in Bangkok, had implemented Infor CloudSuite Industrial (SyteLine) in its manufacturing IT processes about a year ago. The garments maker has also achieved 97 per cent inventory accuracy, reduced material costs by five per cent (that equates to nearly 10 million Baht) across purchasing and inventory, and improved customer order confirmation timings by 30 per cent, according to Asia Cloud Forum.
The Company, which specializes in outerwear, casual wear and sportswear for international clothing brands, producing approximately 3 million pieces annually and employing over 3,000 employees across Thailand and Myanmar.
With apparel brands increasingly sourcing their finished apparel products from these countries, V T Garment Co needed a tier-one Enterprise Resource Planning (ERP) system to modernise and standardise its operational processes. Cloud computing gave them exactly what they needed for a smooth supply chain and seamless delivery.
“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 housed in disparate systems. By collecting and analysing 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,” V T Garment Co’s Group Managing Director Chalumpon Lotharukpong said.
After only a year of implementation, the company has accomplished centralised purchasing and rationalised inventory, lowering production costs, while increasing its rate of timely and in-full deliveries to its global customers.
Infor CloudSuite Industrial has helped it establish an inventory management system that increases its accuracy and reduces the time needed to locate a row of fabric for a production run. The system’s enhanced visibility into all aspects of business has enabled the company to make more smart decision-making, aided by streamlined, standardised processes.
“Infor CloudSuite Industrial allows us to create the same amount of finished goods with much less cost. 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,” Chalumpon Lotharukpong said.
