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Other Added - An Outlook on Indian Textile Sector
IntroductionMachiavelli teachings and thoughts will never go out of fashion as power will always remain the center of both the political and corporate world. His writings are as relevant today as they were in the 16th century. In the last decade and half with increasing competitiveness and globalization number of managers have started using his principles in the corporate world. The book was first written kept in mind the political times of 16th century but number of its lessons are applicable in business today.In this paper we will step by step analyze the business needs in today’s corporate world and simultaneously relevant agreement or criticism of Machiavelli philosophy will be provided.Leadership and CultureMachiavelli stressed that the key to maintain the rule of the kingdom and to leave a legacy a Prince should try to maintain a balance between the subjects’ respect and aspire glory.“A prince who has established himself as above, who can command, and is a man of courage, undismayed in adversity, who does not fail in other qualifications, and who, by his resolution and energy, keeps the whole people encouraged — such a one will never find himself deceived in them, and it will be shown that he has laid his foundations well” ( Machiavelli, Chapter 21)The above excerpt just explained the need for building a sound organizational system and developing a good work culture that can motivate subjects to achieve greater heights thus in the process making
Higher competition with neighboring country China reacted to quota removals by invading the US market with its textiles production. The US had no other choice than to re-introduce trade barriers to calm down the situation encouraging traders to diversify purchasing options and thus giving India an unexpected push on the global market.
The situation is not completely in the pocket for India, however. It should remain on its guards as its neighbors start to embark on similar global adventure with an enthusiasm and motivation packed attitude. Pakistan and Bangladesh are growing at fast pace, shortening the gap with India in an impressive manner. In the last 3 years Pakistan exported 4 times more pillowcases to USA than India! Pakistan, to note, is among the most important cotton producers worldwide and has been blessed by preference agreements with EU and US even during the quota-imposed periods. Pakistani Government has understood the game and is encouraging development through implementation of a 6% R&D aid program
Writing white papers is not an easy task for most companies, but every company needs them to effectively educate and market their products and services to potential customers. In many cases, white papers contain additional information and extra analyses, which aren’t included in other advertising or marketing materials. Your business can utilize white papers to reach a wider audience, but first you need to ask yourself these important questions:1-Who is your audience? Make sure you analyze and define your audience, so you can effectively convey your technical or business concepts to the reader. If needed, you can include an extra section of your paper called “Intended Audience” in the body of your white paper.2-Did you create an outline? It’s a good idea to structure your white paper accordingly, so that you present a solution to your business/industry problem. To use your time wisely, I would recommend that you get your outline reviewed by experts of the subject before writing the entire paper. Make sure to have supporting evidence to support your argument as well. Key components of a white paper should include the cover page, executive summary, table of contents, body, summary & call to action, and lastly, the author’s biography or works cited page. It is important to make sure that your executive summary is clear and understandable, so that the reader can follow your in-depth description of your business problem in the following sections of your white pape
Textiles industry is not limited to manufacture and export of garments. The success of Indian textiles lies in effective vertical integrations policies which have helped operators in taming the processes which while lying beyond simple manufacturing exercise do have a serious impact on it, for example, raw material treatment. Thus, cotton, jute, silk or wool and even synthetic material are also produced by this industry to complement and strengthen the garments manufacturing industry. Almost one quarter of the world's spindle activities is hosted in India, again positioning itself just after China. Looming is another important element that accounts for significant activity in this industry; in fact, it takes an impressive 61% share including handlooms. The country is also significant textiles fiber and yarn manufacturer on the world scene, taking on its own a 12% share of the world's production volume. India ranks on the second place as regards in production of silk and cellulose fiber and yarn whilst standing on the fifth position when it comes to synthetic fiber and yarn.
Indians have well understood the importance of staying one step ahead of developments in the world economic environment. The industry is now preparing itself to take share of opportunities expected to arise out of the market freed from quota restrictions and other trade barriers. Industry operators are increasingly moving towards modernization and expansion as encouraged by the so-designated Textile Upgradation Fund Scheme implemented by Government.
The local textile sector is now at a critical stage where it should prepare itself to rise and grab the opportunities that are available through liberalization of the international market. Manufacturers however, were caught in inadvertence as new players started to creep on the market at a time when most operators had attention on imminent opportunities coming from a quota-free market. Strategies and policies were mainly targeted towards expansion and modernization leaving more space to domestic players. Now it obviously appear that the latter have had ample freedom to strengthen them and they are now more prepared than export-oriented companies.
Lack of competition is eroding enthusiasm, impacting on activity on the European and USA markets. With the removal of quotas and similar trade barriers, observers expect the market to provide new opportunities with evaluations reaching S$1.4bn for towels and US$1.8 in bed linen. China's impressive production capacity and its growing strength compelled Europe and USA markets to some serious reflections. To bring a halt to massive invasion of their products, EU and USA have imposed trade restrictions, which also encourage retailers to review their sourcing strategy through diversification out of China. Now, undoubtedly India has good cards to play. With traders realizing the threat of relying on a single manufacturing source such as China, India could do well in proposing a valuable alternative to buyers on the international scene, but this is only possible through an adequate and appropriate development strategy and macro-economic policy.
In that view, many manufacturing companies in India are rushing towards expansion and modernization options. Manufacturers are having recourse to fund raising programmes pushing EPS to higher growth, dissolving equity on its way. Business collaborations with foreign players, creation of buying offices and Government's effort to enhance quality production and export are many visible signs of Indians coming into force on the global market.
Geared with expanded capacities The new opportunities have carried along Indian home-textiles manufacturers in the expansion strategy direction. The Textile upgradation fund has helped many such operators to increase capacity during the last three fiscal years. Such expansion strategies have not only had an impact on production volume, also assisted companies in better providing customized products.
Value addition - route to higher price realizations Terry towels coming from the Indian factories accounted for almost 21% of the world market. With another 19% share in the bed linen market, India stands as a quality supplier to the USA. Indian products are more focused towards innovation and quality. Visible efforts in quality improvement, innovations through R&D programmes, and other value-added features bring a whole new dimension to the Indian products. In turn this resulted in higher profit as compared to other regional producers.
Customized and high-value added products are generally not affected by change in market parameters. As such, there were no exceptional price fluctuations on Indian markets during quota removal period. But such was not the case with other regional competitors' products, such as China, where prices were cut down significantly favoring buyers.
Higher competition with neighboring country China reacted to quota removals by invading the US market with its textiles production. The US had no other choice than to re-introduce trade barriers to calm down the situation encouraging traders to diversify purchasing options and thus giving India an unexpected push on the global market.
The situation is not completely in the pocket for India, however. It should remain on its guards as its neighbors start to embark on similar global adventure with an enthusiasm and motivation packed attitude. Pakistan and Bangladesh are growing at fast pace, shortening the gap with India in an impressive manner. In the last 3 years Pakistan exported 4 times more pillowcases to USA than India! Pakistan, to note, is among the most important cotton producers worldwide and has been blessed by preference agreements with EU and US even during the quota-imposed periods. Pakistani Government has understood the game and is encouraging development through implementation of a 6% R&D aid programs
There is no particular set of rules that one should follow in motivating employees. We each have our own driving force when it comes to doing an excellent job at work. A working mother could be motivated by her children, who serve as her inspiration to succeed. A trainee who is fresh out of college is motivated by the compulsion to learn and climb to the top. A long-time company employee will get motivated to perform well so that he or she can be promoted. Others are motivated by financial rewards. As a manager, team leader, department head or supervisor, you need to determine the individual driving forces of those who are in your team so that you can create a motivated workforce.1. Goals For Employee Motivation:- Increase employee performance at work- Spice up team spirit and build a cohesive team- Eliminate individual differences and avoid conflicts- Have an open communication between peers- Set and achieve a common goal2. Lead By ExampleThere is one joke where it says that the new definition of a boss is one who is always early when you are late and who is always late when you are not. Do not let this apply to you. Be consistent. The simple gesture of arriving before or as the same time as your employees will show them how much you value their time and yours. This is also a good way of showing employees that you respect the company that pays you for your time at work. If you do come in late, apologize to those who are under you and exp
Indians have well understood the importance of staying one step ahead of developments in the world economic environment. The industry is now preparing itself to take share of opportunities expected to arise out of the market freed from quota restrictions and other trade barriers. Industry operators are increasingly moving towards modernization and expansion as encouraged by the so-designated Textile Upgradation Fund Scheme implemented by Government.
The local textile sector is now at a critical stage where it should prepare itself to rise and grab the opportunities that are available through liberalization of the international market. Manufacturers however, were caught in inadvertence as new players started to creep on the market at a time when most operators had attention on imminent opportunities coming from a quota-free market. Strategies and policies were mainly targeted towards expansion and modernization leaving more space to domestic players. Now it obviously appear that the latter have had ample freedom to strengthen them and they are now more prepared than export-oriented companies.
Lack of competition is eroding enthusiasm, impacting on activity on the European and USA markets. With the removal of quotas and similar trade barriers, observers expect the market to provide new opportunities with evaluations reaching S$1.4bn for towels and US$1.8 in bed linen. China's impressive production capacity and its growing strength compelled Europe and USA markets to some serious reflections. To bring a halt to massive invasion of their products, EU and USA have imposed trade restrictions, which also encourage retailers to review their sourcing strategy through diversification out of China. Now, undoubtedly India has good cards to play. With traders realizing the threat of relying on a single manufacturing source such as China, India could do well in proposing a valuable alternative to buyers on the international scene, but this is only possible through an adequate and appropriate development strategy and macro-economic policy.
In that view, many manufacturing companies in India are rushing towards expansion and modernization options. Manufacturers are having recourse to fund raising programmes pushing EPS to higher growth, dissolving equity on its way. Business collaborations with foreign players, creation of buying offices and Government's effort to enhance quality production and export are many visible signs of Indians coming into force on the global market.
Geared with expanded capacities The new opportunities have carried along Indian home-textiles manufacturers in the expansion strategy direction. The Textile upgradation fund has helped many such operators to increase capacity during the last three fiscal years. Such expansion strategies have not only had an impact on production volume, also assisted companies in better providing customized products.
Value addition - route to higher price realizations Terry towels coming from the Indian factories accounted for almost 21% of the world market. With another 19% share in the bed linen market, India stands as a quality supplier to the USA. Indian products are more focused towards innovation and quality. Visible efforts in quality improvement, innovations through R&D programmes, and other value-added features bring a whole new dimension to the Indian products. In turn this resulted in higher profit as compared to other regional producers.
Customized and high-value added products are generally not affected by change in market parameters. As such, there were no exceptional price fluctuations on Indian markets during quota removal period. But such was not the case with other regional competitors' products, such as China, where prices were cut down significantly favoring buyers.
Higher competition with neighboring country China reacted to quota removals by invading the US market with its textiles production. The US had no other choice than to re-introduce trade barriers to calm down the situation encouraging traders to diversify purchasing options and thus giving India an unexpected push on the global market.
The situation is not completely in the pocket for India, however. It should remain on its guards as its neighbors start to embark on similar global adventure with an enthusiasm and motivation packed attitude. Pakistan and Bangladesh are growing at fast pace, shortening the gap with India in an impressive manner. In the last 3 years Pakistan exported 4 times more pillowcases to USA than India! Pakistan, to note, is among the most important cotton producers worldwide and has been blessed by preference agreements with EU and US even during the quota-imposed periods. Pakistani Government has understood the game and is encouraging development through implementation of a 6% R&D aid program
Have you ever thought of starting a vending machine business? If you think you would like to, then you should try buying vending machines. However, you need to be careful in choosing a vending machine. Doing some research before will aide you choosing the right one.You must buy vending machines that will be profitable to your business and not add more expenses. If you want to know more about how to buy a vending machine, read this article. It will give you the facts on how to buy a vending machine.If you do not have a big budget for buying vending machines, you can try buying used vending machines. However, you need to inspect the used vending machine to be sure it is still working properly and the parts are still functioning. If you do not have enough knowledge about it, you can bring a person with you who knows about vending machines. It is important that all the parts work on the vending machine.Buy vending machines that are easy to use. You must remember that the machine should be simple enough for kids to operate. This is a very important factor if you are going to make money in this business. It is absolutely necessary to buy vending machines that have all the necessary gadgets and parts.You must also consider the business where the machine will be placed. This is very important because you will need to consider what your costumers preferences are for the products you will supply. The vending machine that you choose should have an easy access to the tray where
Lack of competition is eroding enthusiasm, impacting on activity on the European and USA markets. With the removal of quotas and similar trade barriers, observers expect the market to provide new opportunities with evaluations reaching S$1.4bn for towels and US$1.8 in bed linen. China's impressive production capacity and its growing strength compelled Europe and USA markets to some serious reflections. To bring a halt to massive invasion of their products, EU and USA have imposed trade restrictions, which also encourage retailers to review their sourcing strategy through diversification out of China. Now, undoubtedly India has good cards to play. With traders realizing the threat of relying on a single manufacturing source such as China, India could do well in proposing a valuable alternative to buyers on the international scene, but this is only possible through an adequate and appropriate development strategy and macro-economic policy.
In that view, many manufacturing companies in India are rushing towards expansion and modernization options. Manufacturers are having recourse to fund raising programmes pushing EPS to higher growth, dissolving equity on its way. Business collaborations with foreign players, creation of buying offices and Government's effort to enhance quality production and export are many visible signs of Indians coming into force on the global market.
Geared with expanded capacities The new opportunities have carried along Indian home-textiles manufacturers in the expansion strategy direction. The Textile upgradation fund has helped many such operators to increase capacity during the last three fiscal years. Such expansion strategies have not only had an impact on production volume, also assisted companies in better providing customized products.
Value addition - route to higher price realizations Terry towels coming from the Indian factories accounted for almost 21% of the world market. With another 19% share in the bed linen market, India stands as a quality supplier to the USA. Indian products are more focused towards innovation and quality. Visible efforts in quality improvement, innovations through R&D programmes, and other value-added features bring a whole new dimension to the Indian products. In turn this resulted in higher profit as compared to other regional producers.
Customized and high-value added products are generally not affected by change in market parameters. As such, there were no exceptional price fluctuations on Indian markets during quota removal period. But such was not the case with other regional competitors' products, such as China, where prices were cut down significantly favoring buyers.
Higher competition with neighboring country China reacted to quota removals by invading the US market with its textiles production. The US had no other choice than to re-introduce trade barriers to calm down the situation encouraging traders to diversify purchasing options and thus giving India an unexpected push on the global market.
The situation is not completely in the pocket for India, however. It should remain on its guards as its neighbors start to embark on similar global adventure with an enthusiasm and motivation packed attitude. Pakistan and Bangladesh are growing at fast pace, shortening the gap with India in an impressive manner. In the last 3 years Pakistan exported 4 times more pillowcases to USA than India! Pakistan, to note, is among the most important cotton producers worldwide and has been blessed by preference agreements with EU and US even during the quota-imposed periods. Pakistani Government has understood the game and is encouraging development through implementation of a 6% R&D aid program
Failure Mode and Effects Analysis (FMEA) or FMECA is an analysis technique which facilitates the identification of potential problems in a design or process by examining the effects of lower level failures. Recommended actions or compensating provisions are made to reduce the likelihood of the problem occurring, and mitigate the risk, if in fact, it does occur.The FMEA team determines, by failure mode analysis, the effect of each failure and identifies single failure points that are critical. It may also rank each failure according to the criticality of a failure effect and its probability of occurring. FMECA is the result of two steps: 1) Failure Mode and Effects Analysis (FMEA), and 2) Criticality Analysis (CA). Or in other words, FMECA is just FMEA with Criticality Analysis.There are many different types of FMEA. There are Conceptual or Functional FMEAs, Design FMEAs, and Process FMEAs. Sometimes during a Design FMEA the analysis will look at a combination of functions and hardware. Sometimes it will include just hardware, and sometimes the analyst will take a detailed look at the system down to a piece-part level, especially when critical functions or hardware are involved.Why is FMEA or FMECA Important? There are a number of reasons why this analysis technique is so valuable. Here are just a few: 1) FMEA provides a basis for identifying root failure causes and developing effective corrective actions.2) The FMEA identifies reliability
Geared with expanded capacities The new opportunities have carried along Indian home-textiles manufacturers in the expansion strategy direction. The Textile upgradation fund has helped many such operators to increase capacity during the last three fiscal years. Such expansion strategies have not only had an impact on production volume, also assisted companies in better providing customized products.
Value addition - route to higher price realizations Terry towels coming from the Indian factories accounted for almost 21% of the world market. With another 19% share in the bed linen market, India stands as a quality supplier to the USA. Indian products are more focused towards innovation and quality. Visible efforts in quality improvement, innovations through R&D programmes, and other value-added features bring a whole new dimension to the Indian products. In turn this resulted in higher profit as compared to other regional producers.
Customized and high-value added products are generally not affected by change in market parameters. As such, there were no exceptional price fluctuations on Indian markets during quota removal period. But such was not the case with other regional competitors' products, such as China, where prices were cut down significantly favoring buyers.
Higher competition with neighboring country China reacted to quota removals by invading the US market with its textiles production. The US had no other choice than to re-introduce trade barriers to calm down the situation encouraging traders to diversify purchasing options and thus giving India an unexpected push on the global market.
The situation is not completely in the pocket for India, however. It should remain on its guards as its neighbors start to embark on similar global adventure with an enthusiasm and motivation packed attitude. Pakistan and Bangladesh are growing at fast pace, shortening the gap with India in an impressive manner. In the last 3 years Pakistan exported 4 times more pillowcases to USA than India! Pakistan, to note, is among the most important cotton producers worldwide and has been blessed by preference agreements with EU and US even during the quota-imposed periods. Pakistani Government has understood the game and is encouraging development through implementation of a 6% R&D aid program
Well, we are into the New Year and everyone is making resolutions on how to improve in 07. It’s time to think about your product and it's packaging too. Just like we do with our mental, emotional and physical aspects of our lives, think about improving and updating your packaging. You want it to mesh with consumer wants and needs. Consumers are a moving target and what worked last year may not work in the years to come.Here are 10 simple things you can do to ensure your product packaging is on target and delivers the right message to the right audience.1) Take an honest look at your product packaging. Is it working to your product’s best advantage? Are there changes that you have put off making due to lack of time or money? Implement a plan to review one product at a time or a family of products if they are interrelated. An important factor to consider when making any changes is the continuity of the brand. Don't change for change’s sake. That only serves to alienate the customer.2) Give your product packaging to an outsider to review. Ask someone who knows nothing about your product and your packaging to evaluate it. Ask for an honest opinion of what they like or don't like and ask what they think might be missing. Ask them to be objective and honest. Many times product developers get caught up in their own opinions and it’s good to get grounded with an outside consumer perspective. NOTE: Be objective about negative opinions. Delve in to the actual reason someone m
Higher competition with neighboring country China reacted to quota removals by invading the US market with its textiles production. The US had no other choice than to re-introduce trade barriers to calm down the situation encouraging traders to diversify purchasing options and thus giving India an unexpected push on the global market.
The situation is not completely in the pocket for India, however. It should remain on its guards as its neighbors start to embark on similar global adventure with an enthusiasm and motivation packed attitude. Pakistan and Bangladesh are growing at fast pace, shortening the gap with India in an impressive manner. In the last 3 years Pakistan exported 4 times more pillowcases to USA than India! Pakistan, to note, is among the most important cotton producers worldwide and has been blessed by preference agreements with EU and US even during the quota-imposed periods. Pakistani Government has understood the game and is encouraging development through implementation of a 6% R&D aid programs. Others, like Turkey are also in the race.
Budget Measures Technology Upgradation Fund (TUF) increased toRs5.4bn from its previous Rs4.4 bn
Interest subsidy provision on term loans available for those in the handloom field has been increased from Rs2.0bn to Rs2.4bn
Excise duty has been reduced by half on all artificial fiber yarn and is now at 8%
Import duty reduced from 15% to 10% on all artificial fiber yarn
Impact of Budget Decrease in excise duty on artificial fibre has been implemented to favor cheaper production costs and ensure competitiveness on export market.
SSIs are expected to grow further with interest subsidy on handloom sector loans.
The TUF, with its interest subsidy, provides textiles operators with interesting funding plan for their expansion and development strategies. Textiles parks creations will undeniably help in boosting the overall industry. 10 dedicated areas have already been identified and 7 of them already sanctioned. A special Scheme for Integrated Textiles Parks is meant to help in realization of such objectives.
Sector Outlook The future of the textiles industry seems to be bright in all aspects. As such Government places all its trust and relies sector for its strong 'employment creation' capability, more precisely in the garments manufacturing side. Lowering tax burdens on companies will play an important part in cutting down production costs and boosting competitiveness, increasing ability to tap high-volume orders from the global market. Modernization would enable companies provide quality and volume solutions which is in constant demand by international buyers.
Industry Wish List A reduction of 5% in the customs duty on manufacturing inputs for textiles machines. The rate is currently between 10% and 15%.
Textiles products would continue to carry the specific duty imposition, which may be extended to other SAFTA member countries.
Reduction from 15% to 10% on customs duty imposed on synthetic fiber.
Apparel Export Promotion Council (AEPC) is targeting elimination at 100% of all taxes on apparel exports.
Positives Aspects The Technology Upgradation Fund Scheme (TUFS) pushed an additional 10% capital subsidy in acquisition of processing machines; with a view to help in expansion plans. Processing sectors are expected to reap the benefits of such a measure in the long term.
Union textiles has exposed a White paper, named Vision 2010 where it gives clear indications as regards its objectives and targets concerning the US bn export market.
Operators are increasingly considering consolidation methods to strengthen production capacity, which would put them in better position on the global and free market. As such, mergers and takeovers are currently very frequent with companies tying up with smaller one to tackle global challenges.
However, continuing TUFS have been stopped after March 31, 2007 by the Textiles Ministry. The ministry has asked the TUFS nodal agencies and banks not to process further new loans with instant effect.
As per the sources, the estimated budget provision set for reimbursing the interest subsidy for the TUFS loans for the fiscal 2006-07 was only Rs 535 crore, but the required funds for the subsidy is about Rs 1,515 crore, which comes to three times higher than the set provision.
Negative Aspects India is somewhat lagging behind technology in the garments manufacturing sector and this seriously hinders increase in exportable production. Shuttleless looms in India accounted for 9.3% of total looms in 2003. USA shows 94.8% in the same category whilst Austria reveals 95.2%. Clearly India is well behind with only Pakistan showing up at 7.6%.
Labor regulations are a major concern in India causing great harms to the industry at various levels. With no clear legislations, strikes and similar issues often bring business to complete halts. Obviously, finding solutions in such conditions is a time and effort wasting enterprise, much to the dismay of the industry or even the whole economy of the country.
The geographical location of India as compared to its competitors is a rather uncomfortable but natural disadvantage. Producers like Mexico, Brazil or even China have a good proximity with Europe and US markets and this pays on the global trade market. Impacts are mainly felt on transportation cost, delivery times, etc.
Handloom Reservation Order and the Hank Yarn Obligation order are examples of obsolete and unnecessary regulations that indulge operators in a time-wasting and complicated maze of procedures. This mainly affects local operators, giving impression that the domestic markets is going opposite way to international market whereby liberalization is a key element.
Conclusion
The home textile sector is in a good position to activate and encourage developments in the overall domestic textile industry. With more emphasis on product having longer cycles than those average apparels, the home textiles manufacturing is more protected than its apparel counterparts. Those wishing to reap the benefits of opportunities have to show good preparatory dispositions as well as willingness to stay on the forefront of the global competition game - without these; we could see regional competition grabbing most
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