This is a final report on "Production Process & Co-ordination"

1. An Internship Report
On
Production Process & Co-ordination of Ha-Meem Group:A
Study on Next Collections Limited.
Date of Submission: 04th July, 2013
1

2. An Internship Report
On
Production Process & Co-ordination of Ha-Meem Group: A
Study on Next Collections Limited.
Submitted to:
Department of Business Administration
Northern University Bangladesh
Prepared By
Jewel Rana
ID: BBA-080302850
BBA (Major in Accounting)
Department of Business Administration
Northern University Bangladesh
Date of Submission: 04th July, 2013
2

3. Letter of Transmittal
04 July, 2013
Mr. Bulbul Ahmed
Senior Lecturer & Coordinator Placement Division
Faculty of Business
Northern University Bangladesh
Subject: Submission of Internship Report.
Dear Sir,
With due respect, I would like to inform you that it is a great pleasure for me to submit the
Internship report titled on “Production Process & Co-ordination of Ha-Meem Group: A
Study on Next Collections Limited.” as requirement for BBA program. This internship
report attempts to describe my observation and learning during the study. I have tried my best
to prepare this report as comprehensive and informative as possible within the time schedule.
Due to various limitations, there may be some mistakes for which I am responsible.
For any further explanations about the report, I will be gladly available to clarify all the
things.
Sincerely yours,
____________________
Jewel Rana
ID No: BBA-080302850
BBA (Major in Accounting)
Department of Business Administration
Northern University Bangladesh
3

4. Student Declaration
I do hereby declare that this report entitled on “Production Process & Co-ordination of
Ha-Meem Group: A Study on Next Collections Limited.” Submitted by me to Northern
University Bangladesh (Dhanmondi Campus) for the degree of Bachelor of Business
Administration (BBA) is an original work.
I also declare that it has not been submitted earlier either partly or wholly to any other
University or Institution for any Degree, Diploma, Associate-ship, Fellowship and other
similar title or prizes.
……………………
Jewel Rana
ID No: BBA-080302850
BBA (Major in Accounting)
Department of Business Administration
Northern University Bangladesh
4

5. Certificate
This is to certify that the Internship report entitled on“Production Process & Co-ordination
of Ha-Meem Group: Next Collections Limited.” submitted in partial fulfillment of the
requirement for the degree of Bachelor of Business Administration (BBA), Northern
University Bangladesh.
I also certify that under my supervision and guidance this report has been prepared by Jewel
Rana ID No: BBA-080302850 Major in Accounting and it has not been submitted earlier
either partly or wholly to any other University or Institution for any Degree, Diploma,
Associate-ship, Fellowship and other similar title or prizes.
The report is approved and accepted in form and quality.
…………………….
Supervisor
Md. Abdullahel Kafi
Assistant Professor of Accounting
……………………………………
Professor Saeed Alamgir Jajar
Dean
Faculty of Business
Northern University Bangladesh
Department of Business Administration
Northern University Bangladesh
5

6. Acknowledgement
First, I would like to express my gratitude to Almighty “ALLAH” for giving me the strength
to successfully attend the internship program at Next Collections Limited. of Ha-Meem
Group and complete the report within the schedule time.
After that I will be indebt forever to my internship supervisor Md. Abdullahel Kafi
Assistant Professor in Accounting, Department of Business Administration, Northern
University Bangladesh from the beginning of this Internship work he helped me in choosing
the topic of the report. She also shows me how I should proceed to attain the appropriate
knowledge involved in Internship. I also found him helpful in setting objectives of report,
getting the appropriate information to meet objectives, in reporting the information both in
writings& in graphs.
I shall remain ever grateful to Sree Romesh Vat Senior C.E.O, of Next Collections Limited.
for kindly accepting me for practical orientation program in his Organization. And Md.
Mamun senior Production Co-ordinator has played the most vital role to aid me with
practical environmentof the organization.
Last but not the least; I would like to thank my family. The constant inspiration and guidance
kept me focused and motivated. I am grateful to my father for giving me the life I ever
dreamed. I can’t express my gratitude for my mother in words, whose unconditional love has
been my greatest strength.
6

7. Overview of the organization:
Ha-Meem Group of Bangladesh has an excellent track record in apparels manufacturing for
the last twenty years and are now ranked the 2nd largest in the country. The current turnover
of Ha-Meem is 400 million US Dollar. Company is ornamented with 26 garments factories
consisting with 250 lines,a unique Denim mill, Sweater factory, 5 washing plants,
Embroidery and Printing factory, Carton factory, Poly bag industry, Label factory, Jute mill,
Chemical formulation plant, Tea States, Transport company, News Channel and a widely
circulated national daily Newspaper with a vast number of manpower more than 40,000. Its
plans to install Spinning Mills at 2015.
Ha-Meem Group started operation is Bangladesh's first at 1993. The company was an effort
by MR. A. K. AZAD(founder chairman) and the Ha-Meem Group Managing Director.Next
Collections Ltd.of Ha-Meem Group first started its operation at January 01, 2002. It was
started as Sub Company of Ha-Meem Group. This company has around 4004 employee and
workers including upper label management personnel. Next Collections limited, Beron,
Ashulia, Dhaka is one of the profitable factory for Ha-Meem Group. Thiscompany provides a
great amount of profit every year. A huge number of productions are per day. There are
different types of quality-full products.The organization makes all type of Bottoms and Tops
Pant, Shirt, Ladies Dress, Overall, Short all, Romper, Sweater and more.
The organization is very specialized in Denim Garments. Nevertheless, this can also handle
any kind of Cotton, Twill, Canvas, Cordoury, Poplin and any stretch fabric. As a RMG they
export apparel to others country. It’s an export oriented organization.
These are working with buyers like American Eagle, GAP/Old Navy, T.C.P, JC Penney,
Kohl's, Squeeze, Sears, VF Asia, Target Store, Charming Shoppes, Wal-Mart in USA market
and H & M, Carrefour, Zara, Hema, M & S Mode, ETAM, Western Store, Migros, Celio and
PNC in the European market.
7

8. This Company is going forward and taking every step with a specific Mission and vision.
Ha-Meem Group Mission is to create conditions and infrastructure for sustainable
procurement and production of textile products.
They wish to:
Design, manufacture and sell high quality and affordable apparels and accessories.
To use latest technologies in manufacturing process.
To provide a safe working environment for the employees and workers.
To operate the business with high motivation and deep commitment.
Serving and supporting the society in which we work.
Ha-Meem Group vision is to become Bangladesh’s leading sustainable apparel company by
producing quality products and observing highest social, economic and environmental
standards. Its aim is to deliver the highest quality products and prompt services to its
customers.
Ha-Meem Group vision is three-fold:
Lead the textile industry in Bangladesh.
Observe highest social, economic and environmental standards.
Maintain a committed and satisfied clientele.
Ha-Meem group believes in its uncompromising commitment& product quality to fulfill its
customer needs and satisfaction and to become their fond of in RMG sector. Taking cue from
its pool esteemed clientele, Ha-Meem group intends to pave the way for a new era in
garments sector that upholds and epitomizes in future.
8

9. Tables of Content
Topic
Page number
Letter of transmittal
Student Declaration
Bona fide Certificate
Internship Certificate
Acknowledgement
Overview of the organization
CHAPTER ONE
INTRODUCTION
Executive Summary
1.1
Introduction
1.2
Scope of the study
1.3
Objective of the Report
1.4
Methodology
1.5
Limitation of the report
CHAPTER TWO
DATA COLLECTION, ANALYSIS & FINDINGS
2.1
Production process
2.2
Process of Garment Manufacturing
2.3
Reporting & Co-ordinating
2.4
Costing of Garments & Cost Sheet
2.5
Production Report and Analysis
2.6
Major Findings
2.7
SWOT Analysis of Ha-Meem Group
9

10. CHAPTER THREE
CONCLUSIONS AND RECOMMENDATIONS
3.1
Conclusions
3.2
Recommendations
Reference
List of Tables
Table no.
Subject
2.1
Daily Cutting Report
2.2
Daily Wash Report
2.3
Cost Sheet of a single product
2.4
Cost Sheet of an year
2.5
Three Months Production report
2.6
Page No.
Yearly Production Report
List of Graphs/Figures
Graph/figure no.
Subject
2.1
Unit Product Cost Analysis
2.2
Three Months production analysis
2.3
Page no.
Yearly Production analysis
10

11. Chapter ONE
.…………………………………..
INTRODUCTION
11

12. Executive Summary
This research report, a partial requirement of BBA program, is done on “Production Process
& Co-ordination of Ha-Meem Group: A Study on Next Collections Limited.” is
approved by my supervisor Md. Abdullahel Kafi. This report contains my practical
observations and experience from Production process and report maintenance of Next
Collections Ltd. I have obtained firsthand Knowledge about Garments sections and its
productions process section. All though the duration of the program was not long enough, I
tried to visit and observe the entire sector. The entire operation of the garments has been
progressing according to rules and regulations.
A garments sector occupies an important place in a nation’s economy by earning foreign
currency. This report aims toward providing an overview on the production process and their
overall report what they maintain to go forward by legal action and need to keep their
information strong. This report is prepared within the broader framework of internship
program of Department of Business Administration, Northern University Bangladesh. While
preparing this report it has been tried to reveal the insights of the production process and
report system of Ha-Meem Grope at Next Collections Ltd. The main objective of the report is
to get practical experience about official activities and observe the production process and
co-ordination of NCL. Specific objective of this report is to know the how to produce a
product, how they make their report, how they co-ordinate their all production process and
report. For preparing this report primary and secondary data have been used. Data have been
collected from two sources. In primary source data have been collected by face to face
conversation with officials and others. Secondary source of data collection include Annual
report of NCL. At the time of preparing the report there were some findings and these are
based on my practical experience. Its plan and reform the service improvement strategy to
retain the higher performance level, customer satisfaction and to compete with challenges.
Mainly for keeping the foreign buyers those buyers deal with them and import the product
into their country from NCL.
12

13. 1.1 Introduction
Bangladesh, a country of multidimensional potentiality, has been recognized as global
performer in garments arena. Almost 5000 factories with 3 million work forces, putting their
hands significantly to different supply chain of global brands. Thus garments export swelled
to 12 Billion US Dollar. Ha‐Meem Group, a top ranking apparel manufacturer in Bangladesh
exporting to USA and Europe for a long time. Company produces 4 million pieces of woven
garments per month with the assortment of infant to adult in men and women.
In today’s business world, some garments have made a strong place in the market and
“Ha-Meem Group” is one of those names. It is an unconventional and production institution
that performs most of the standard services and production activities.
1.2 Scope of the study
This is a large scope for doing the internship in this kind of organization. Internship provides
practical knowledge to the students about their practical field. BBA graduate students can
share their managerial knowledge with the organization. The students have a large
opportunity to acquire knowledge about the organization, organizational environment,
participation with others and etc. The students can familiar with organizational culture. I
have started my internship program here at Next Collections Ltd. of Ha-Meem Group, Beron,
Ashulia, Dhaka. My work started on 08th January 2013 in production coordination section.
After joining I followed what they do, how maintain the office, discipline, how handle the
customer, behavior’s with employee etc. Then I worked in department by myself. I tried to
know how a production process is being completed at Next Collections Ltd. Beron, Ashulia,
Dhaka. After studying this report you will be able to know about the “Production Process &
Co-ordination of Ha-Meem Group: A study on Next Collections Limited.”
13

14. 1.3 Objective of the Report
The objective of this report is to focus on production process activities and all production
coordination in report at garments sector with corporate working environment and also
gathering knowledge from the expert who are leading and making it possible to enhance the
growth of a country rich by earning more foreign currency. The objective of this report can
be summarized as follows:

General objective

Specific objective
General Objective:
The general objectives of the study are to prepare and submit a report on the topic of
Production Process & Co-ordination of Ha-Meem Group: A study on Next Collections
Limited.
Specific Objective:
 To know Production Process & Co-ordination of all production in report of Ha-Meem
Group: A study on Next Collections Limited.
 To understand the garments factory environment of Bangladesh.
 To submit the practical work as a paper work that I have in my three months
internship of BBA program.
 To know how a garments do their overall task by a process activities.
14

15. 1.4 Methodology
For preparing this report primary and secondary data have been used. Data have been
collected from annual report, official website, business record and daily monthly records.
Table, chart and graphical methods are used to prepare the report. Statistical approach and
MS excel are used to analyze and present the data.
1.5 Limitation of the report
While conducting this study, I have faced certain limitation. They are as follows:
o Sufficient record, publications were not available as per my requirement.
o Non- availability of the most required data.
o
For the restriction to disclose various information of a garments. So for this it
was a great difficulty in preparing the report.
o
Large – scale research was not possible due to time constraints.
o
Non availability of data in a systematic way.
o Data finding was a troublesome work because of Shortage of time.
15

16. Chapter TWO
…………………………………………
DATA COLLECTION,
ANALYSIS &FINDINGS
16

17. As apparel industry Ha-Meem Group has a great reputation for Quality and on time delivery
is the corner stone of its success. Customer’s satisfaction is the key to the organization
establishment. The organization ensures timely shipment and delivery to gain faith and
confidence to the organization valued customer. The organization can retain the quality and
the position in a pick point in apparel section for a long time due to excellent in house facility
of high standard Washing Plant, Sand Blasting and Grinding. During the recent time, the
RMG sector appears as a multi-billion dollar manufacturing industry in the economy. HaMeem Group participate a great step in this sector to strong our economy.
I have completed my internee with the position of production coordinator. I have appeared a
vast arena of RMG sector with a bright future of Bangladesh for exporting readymade
garments. As an internee I worked at Ha-Meem Group: Next Collections Ltd. During my
internship I have worked in two areas. I show my working area in chart.
Department
Production process
Report Making
17

18. 2.1 Production process Sector
Duties in Production Department:
At first I assigned to work in production coordination section. In here I have learned how a
garments being prepared from the initial stages, what they do in every process, I have learnt
every process work and I have tried to help them practically.
There have some process in production section that’s maintained in a chain of command
those are:
1.
• Design / Sketch
2.
• Pattern Design
3.
• Sample Making
4.
• Production Pattern
5.
• Production Pattern
6.
• Grading
7.
• Marker Making
8.
• Spreading
9.
• Cutting
10. • Sorting/Bundling
11. • Sewing/Assembling
12. • Inspection
13. • Pressing/ Finishing
14. • Final Inspection
15. • Packing
I have appeared all of the above process and tried to capture what to do in every process and
report to management is it being in proper way or not.
18

19. 2.2 The Step-by-step Process of Garment Manufacturing
Garment manufacturers are primarily engaged in the design, cutting and sewing of garments
from fabric. Some manufacturers are contractors or subcontractors, which generally
manufacture apparel from materials owned by other firms. Larger manufacturers often
contract production to many such contractors or subcontractors in the U.S. and abroad. Some
manufacturers are vertically integrated, producing the textiles from which they make
garments, or even operating retail outlets too. In a garments there have a chain of command
process of producing a garment. The process is given sequentially bellow:
Organizational Areas in Garment Manufacturing:
On industrial basis there are certain areas or sequence through which garments are
manufactured.
19

20. 2.2.1 Design / Sketch:
In the garment manufacturing the first step is designing the sketch for the dresses that have to
be prepared. For this purpose the designer first draw several rough sketches in the sketch
book.
The designer does not go for details at this moment but he rather let his creativity flow on the
paper and he draws many sketches. Later these sketches are analyzed by a panel of designers.
They finally select few out of them. These few sketches are rendered in detail separately or in
the form of a single collection. The designer also draws working drawings along with the
sketch. Working drawings are flat drawing of the sketch and it help pattern maker in
understanding the patterns involved in the construction.
20

21. 2.2.2 Pattern Design:
The pattern maker now develop first pattern for the designs in any one standard size.
This is made by pattern drafting method and the purpose of making this pattern is to create
the sample garment for test fit.
21

22. 2.2.3 Sample Making:
The first patterns are sent to the sewing unit for assembling them into garment.
This is usually stitched on calico or muslin which is an inferior quality of fabric and it
reduces cost. This sample is constructed to analyze the pattern fit and design too. After the
sample garment is stitched it is reviewed by a panel of designers, pattern makers and sewing
specialists. If any changes have to be made they are made at this time.
22

23. 2.2.4 Production Pattern:
The pattern design is now taken for creating the production patterns. The production pattern
is one which will be used for huge production of garments.
The pattern maker makes the patterns on standard pattern making paper. These papers are
made-up of various grades. Garment patterns can be constructed by two means: manual
method, CAD/CAM method. Today many companies have developed CAD. A garment
sewing pattern or garment fabric & patterns draft is developed by calculating, taking account
of the following measurements: 1. Direct Sample.
2. Specification Sheet/ Measurement Chart.
3. Actual body size measurements.
4. Ease Allowances.
5. Sewing Allowance.
These allowances are different for different type of fabrics and patterns.
23

24. 2.2.5 Grading& Measurement
The purpose of grading is to create patterns in different standard sizes in proper
measurement.
Grading a pattern is really scaling a pattern up or down in order to adjust it for multiple sizes.
Pattern sizes can be large, medium and small or else there are standard patterns of size 10,
12, 14, 16 and so on for different figure and statures sizes. This is generally how we get S M
L XL XXL sizing.
24

25. 2.2.6 Pattern grading:
Pattern grading by manual method is a cumbersome task because the grader has to alter the
pattern on each and every point from waist belt to crotch, Raise seam, Back Raise, Inseam
etc. by using CAD it is much easier and faster.
2.2.7 Marker Making:
The measuring department determines the fabric yardage needed for each style and size of
garment. Computer software helps the technicians create the optimum fabric layout to
suggest so fabric can be used efficiently. Markers, made in accordance to the patterns are
attached to the fabric with the help of adhesive stripping or staples. Markers are laid in such a
way so that minimum possible fabric gets wasted during cutting operation. After marking the
garment manufacturer will get the idea of how much fabric he has to order in advance for the
construction of garments. Therefore careful execution is important in this step.
Computer marking is done on specialized software. In computerized marking there is no need
of large paper sheets for calculating the yardage, in fact, mathematical calculations are made
instead to know how much fabric is required.
2.2.8 Spreading:
With the help of spreading machines, fabric is stacked on one another in reaches or lays that
may go over 100 feet (30.5 m) long and hundreds of plies (fabric pieces) thick.
2.2.9 Cutting:
The fabric is then cut with the help of cloth cutting machines suitable for the type of the
cloth. These can be band cutters having similar work method like that of band saws; cutters
having rotary blades; machines having reciprocal blades which saw up and down; die
clickers similar to die or punch press; or computerized machines that use either blades or
laser beams to cut the fabric in desired shapes. There have to maintain quality during cutting.
25

26. Cutting quality control: In cutting section quality is insuring in two stages.
a) Spreading quality control: Following the point are checked during spreading
I. Table marking.
II. Ends
III. Tension
IV. Leaning
V. Narrow Goods
VI. Counts
VI. Ply height
VII. Remnants
VIII. Fabric flaws
IX. Market placing
b) After cutting quality control: After each cutting blocks and bundles are checks on the
following Points.
I. Miss cut
II. Ragged cutting
III. Pattern checks
IV. Matching Plies
V. Notches
26

27. 2.2.10 Sorting/Bundling:
The sorter sorts the patterns according to size and design and makes bundles of them. This
step requires much precision because making bundles of mismatched patterns can create
severe problems. On each bundle there are specifications of the style size and the marker too
is attached with it.
2.2.11 Sewing/Assembling:
The sorted bundles of fabrics are now ready to be stitched. Large garment manufacturers
have their own sewing units other use to give the fabrics on contract to other contractors.
Stitching in-house is preferable because one can maintain quality control during the
processing. On the other hand if contractors are hired keeping eye on quality is difficult
unless the contactor is one who precisely controls the process.
There are what is called sewing stations for sewing different parts of the cut pieces. In this
workplace, there are many operators who perform a single operation. One operator may
make only straight seams, while another may make sleeve insets. Yet another two operators
can sew the waist seams, and make buttonholes. Various industrial sewing machines too have
different types of stitches that they can make. These machines also have different
configuration of the frame. Some machines work sequentially and feed their finished step
directly into the next machine, while the gang machines have multiple machines performing
the same operation supervised by a single operator. All these factors decide what parts of a
garment can be sewn at that station. Finally, the sewn parts of the garment, such as sleeves or
pant legs, are assembled together to give the final form to the clothing.
27

28. 2.2.12 Inspection:
Open seams, wrong stitching techniques, non- matching threads, and missing stitches,
improper creasing of the garment, erroneous thread tension and raw edges are some of the
sewing defects which can affect the garment quality adversely. During processing the quality
control section needs to check each prepared article against these defects.
2.2.13 Pressing/ Finishing:
The next operations are those of finishing and/or decorating. Molding may be done to change
the finished surface of the garment by applying pressure, heat, moisture, or certain other
combination. Pressing, pleating and creasing are the basic molding processes. Creasing is
mostly done before other finishing processes like that of stitching a cuff. Creasing is also
done before decorating the garment with something like a pocket, appliqués, embroidered
emblems etc.
Vertical and form presses is automated machines. Perform simple pressing operations, such
as touching up wrinkles in knit shirts, around embroidery and snaps, and at difficult-to-reach
places on garments.
2.2.14 Final Inspection:
For the textile and apparel industry, product quality is calculated in terms of quality and
standard of fibers, yarns, fabric construction, color fastness, designs and the final finished
garments. Quality control in terms of garment manufacturing, pre-sales and posts sales
service, delivery, pricing, etc are essential for any garment manufacturer, trader or exporter.
Certain quality related problems, often seen in garment manufacturing like sewing, color,
sizing, or garment defects should never be over looked.
28

29. Reject Issue:
After being done above process there has large number of product (garments) are rejected
cause of bellow defect found in garments body.
Sewing defects
Open seams, wrong stitching techniques, non- matching threads, missing stitches, improper
creasing of the garment, erroneous thread tension and raw edges are some of the sewing
defects which can affect the garment quality adversely.
Color defects:
Variation of color between the sample and the final garment, wrong color combinations and
mismatching dyes should always be avoided.
Sizing defects:
Wrong gradation of sizes, difference in measurement of various parts of a garment like
sleeves of XL size for body of L size garment can deteriorate the garments beyond repair.
Garment defects:
Broken or defective buttons, snaps, stitches, different shades within the same garment,
dropped stitches, exposed notches and raw edges, fabric defects, holes, faulty zippers, loose
or hanging sewing threads, misaligned buttons and holes, missing buttons, needle cuts or
chews, pulled or loose yarn, stains, unfinished buttonhole, short zippers, inappropriate
trimmings etc. all can lead to the end of a brand name even before its establishment.
Packing:
The finished garments are finally sorted on the basis of design and size and packed to send
for distribution to the retail outlets.
29

30. 2.3 Reporting& Co-ordinating Sector:
In this sector all the production related report have to coordinate with some formatted
Report. Mentioned below with reporting.
2.3.1 Cutting Report:
In a production department of garments the initial stage is cutting the fabric for prepare a
garments so first of all have to prepare the cutting report. A daily cutting report as follows.
Cutting Report of Next Collections Ltd.
Date: 30.03.13
Cutting
Input
Style
Color
O/qty
172
GAP
198
BLACK
172
GAP
198
STAINLESS
173
GAP
646484
GAP
198
WINE
175
GAP
642856
YELLOW
175
GAP
646484
GAP
329/S
TIGRIS
3180
176
GAP
329/H
TIGRIS
176
GAP
329/R
177
GAP
178
Total
1680
9222
1400
13682
603
7182
6500
54080
BLACK
176
day
BLACK
174
Total
1335
Buyer
Input
Balance
10622
Line
day
1400
605
35000
10664
700
6121
1910
600
900
600
900
0
2672
21630
15255
6375
753
2500
1990
510
TIGRIS
5412
40035
1750
37308
2727
646484
BLACK
116900
3430
110501
628
48654
5095
GAP
980
PINK
1800
2400
900
1500
900
179
GAP
981
RED
2160
11638
2160
9478
2160
181
GAP
634957
BRIGHT
43872
21957
11255
181
GAP
634957
FUCHSIA
29132
949
26677
3402
182
GAP
634957
BRIGHT
1500
11150
183
GAP
198
BLACK
1400
8374
183
GAP
198
WINE
184
TCP
650782
BLACK
1300
6167
184
TCP
650782
BLACK
10
3011
Total:
2125
44362
588
1450
30079
11224
12630
2850
2633
15468
4867
833
1300
3011
0
319415 15038 273031
46384
Table 2.1: Daily Cutting Report of Next Collections Ltd. of Ha-Meem Group.
30

31. In the above table represent the cutting information of Next Collections Ltd. Ha-Meem
Group. In this table line means the line number of the factory, buyer means who has given
the order to this factory. Style means the code number of specific products. Color represent
the fabric color and there have the information about how many pieces have been cutting in a
day and also have the order quantity, balance amount of cutting products.
2.3.2 Wash Report:
In a production department of garments the initial stage is cutting the fabric for prepare a
garments then after sewing the garments send to wash for washing color changing shading
etc. A daily wash report as follows.
Wash Report of Next Collections Ltd.
BUYER
STYLE
COLOR
GAP
556325
MID.W
DAILY
SEND
WASH
2032
GAP
634957
FUCHSIN
1931
23388
1320
GAP
634957
BRIGHT
2072
27915
GAP
636198
BLACK
1344
GAP
634981
GREY
GAP
642856
GAP
Date: 30.03.13
TOTAL
SEND
WASH
377796
DAILY
RCV
WASH
3140
TOTAL
REV
WASH
360792
WASH
BALANCE
WASH
FACTORY
17004
EXPRESS
21356
2032
EXPRESS
1120
25693
2222
EXPRESS
5994
320
3673
2321
EXPRESS
1135
7057
26
559
6498
EXPRESS
DK WASH
551
581
12
569
EXPRESS
545329
MID.W
1640
50702
2457
45934
4768
CREATIVE
GAP
646484
BLACK
3665
101033
3555
91396
9637
CREATIVE
GAP
633926
DK DENIM
25718
40
25108
610
CREATIVE
GAP
634972
MED.W
20025
3573
12636
7389
CREATIVE
GAP
634968
DK WASH
20115
2630
15019
5096
CREATIVE
GAP
634969
LIGHT.W
16760
1160
8534
8226
CREATIVE
GAP
634960
DARK
28639
2320
21023
7616
CREATIVE
705723
21661
631735
73988
TOTAL:
14370
Table 2.2: Daily Wash Report of Next Collections Ltd. of Ha-Meem Group.
31

32. In the above table represent the wash information of unit – 1 NCL Ha-Meem Group.
In this table line means the line number of the factory, buyer means who has given the order
to this factory. Style means the code number of specific products. Color represent the fabric
color and there have the information about how many pieces have been send to wash in a day
and also have the balance amount in wash section in a wash factory. Express, Creative-1,
Creative-2 are the wash factory name.
32

33. 2.4 Costing of Garments & Cost Sheet:
Cost Sheet of a Single Product
Product type: Long Pant
Materials
Item #
Item Code
Item Code
Item Code
Item #
Item Code
Item Code
Item Code
Item Code
Item Code
Fabric
Fabric # 1
Fabric # 2
Fabric # 3
Nations
Zipper
Buttons
Trim
Thread
Label/Tag
Qty.
.5
.1
1
Qty.
1
5
.6
.33
1
Cost/Yds.
$6
$8
$4
Cost/Pcs.
$ 1.5
$ .20
$ 1.20
$4
$ .30
Total Material Cost:
Total Cost
$3
$ .80
$4
Total Cost
$ 1.5
$1
$ .72
$ 1.32
$ .30
$ 12.64
Detailed Operations
Machine
Serge
Single Needle
Single Needle
Single Needle
Blind Hem
Cover Stitch
Single Needle
Single Needle
Hand
Operation
Serge Center back edges
Sew Front to Back
Sew Zipper to back
Finish Zipper to seam
Press Zipper & Side Seam
Hem bottom
Hem top edge
Attaches Strap
Sew Button Hole
Sew button
Press Garments
Trim Inspect
Ship
Thread Color
Black
Black
Black
Black
Black
Black
Black
Black
Black
Total Minutes
Cost per min
Total Sew cost
Cut cost
Total Labor
Total Cost of Garments
In Tk.
Total Min
1
.5
2
4
6
.2
1.5
1
.75
2
.5
1
1.5
21.95
$ .1
$ 2.20
$ 1.5
$ 3.70
$ 16.34
1300 $
Table 2.3: Cost Sheet of a single product
33

34. In the above specific product cost sheet Material section refers to the direct material cost or
row material cost of a pant and Operation section refers to the Labor cost and maintenance
cost. Basically this cost sheet is being done by the merchandiser of this company.
Unit Product Cost Analysis:
Unit Product Cost Analysis
Material Cost
Labor Cost
23%
77%
Figure 2.1: Unit Product Cost Analysis of Next Collections of year 2012
The above pie chart shows percentage of expenses. In which sector need how much money to
prepare a finished product.
34

35. Cost Sheet of Next Collections Ltd. for the Year Ending 31.12.2012:
Cost Sheet for the Year Ending 31.12.2012
Particulars
Amount
Opening Stock of Raw Materials
$47,50,00,000
Add:
Amount
$20,15,50,000
Direct materials
$67,65,550000
Less:
Closing stock of raw materials
$27,55,75,000
(Value of raw materials Consumed)
$50,09,75,000
Add:
$36,55,07,500
$76,64,82,500
Direct labor
Prime Cost
Add:
Manufacturing overhead:
Indirect material
$1,57,00,500
Indirect Labor
$15,48,43,200
Other factory overheads
$3,12,45,700
$20,17,89,400
$7,50,74,300
Add:
Opening work in process
Less:
Closing work in process
$18,96,33,100
(Cost or goods manufactured )
$95,61,15,600
Opening Stock of finished goods
$7,80,00,000
60000 units @ 1300.
$103,41,15,600
$27,68,63,700
$8,72,30,600
Add:
Less:
Closing stock of finished goods
$16,25,00,000
125000 unit @ 1300
$87,16,15,600
(Cost of goods sold)
Profit
$9,75,53,500
Seles
$96,91,69,100
Table 2.4: Cost Sheet of a year
35

36. 2.5 Production Report and Analysis:
Last 3 months production analysis of Next Collections Ltd. of Ha-Meem Group.
Source: Next Collections Ltd. Beron, Ashulia, Dhaka.
Fabruary-2013
March-2013
April-2013
571014
803281
602371
Production (Piece)
Table 2.5: Three Months Production report of Next Collections Ltd. during my
internee.
Quantity in pcs
Last three month production analysis
803281
1000000
800000
602371
571014
600000
400000
200000
0
Fabruary-2013
Mar-13
Apr-13
Month
Figure 2.2: Three Months production analysis of Next Collections Ltd. of Ha-Meem
Group.
This graph represents the Last 3 months production analysis of Next Collections Ltd. We see
that production increase in 1st month but another month is being decrease.
36

37. Yearly production Analysis:
Production Quantity
Yearly Production Analysis
600,000
500,000
400,000
300,000
200,000
Unit - 1
100,000
Unit - 2
-
Total
Month of 2012
Figure 2.3: Yearly Production analysis of Next Collections of year 2012
The figure represents the production growth from the starting point to end of the year.
In this figure the company performance is gradually high from January to December.
37

38. Yearly Production Report:
Production Report of Next Collection Ltd. 2012-2013
Production Report
Month
Unit-1
Unit-2
NCL Total
January
18,380
18,380
February
63,940
63,940
March
79,413
79,413
April
149,308
149,308
May
151,160
151,160
June
97,165
97,165
July
198,664
198,664
August
100,648
100,648
September
238,895
238,895
October
274,591
274,591
November
288,690
19,075
307,765
December
346,909
215,338
562,747
2,007,754
234,913
Remarks
2,242,667
Total=
Table 2.6: Yearly Production Report Unit- 1&2 of Next Collections Ltd. of Ha-Meem
Group.
38

39. 2.6 Major Findings
In Bangladesh most of the garment factories use different tools for quality
management but not in organized way. When needs they use these tools haphazardly?
In Bangladesh most of the garments factories use 4-point system for inspecting fabrics of
garments.
Most of the buyers are importing garments from Bangladesh with AQL (acceptable
quality level) 2.5.
Most of the garments manufacturers are doing inspection during the manufacturing
process of garments.
Other tests such as shrinkage tests, color fastness tests, azo free tests are done according
to the buyers’ requirement.
39

40. 2.7SWOT Analysis of Ha-Meem Group: Next Collections Ltd.
2.7.1 Strengths:
 Stander machinery is used for better quality and all of those machineries being imported
from the foreign country. That does ensure the performance.
 Well decorated and open space facilities that keep a worker easy to do his/her job with
comfortably.
 All Floor have available adjust fan that keeps the environment cool in hot day and all
time electricity supply.
 A large number of Machinery those keep the organization fit and huge number of
experienced workers to make quality products.
 Well environment inside the factory that workers friendly.
2.7.2 Weaknesses:
 It’s fully depending on electricity without electricity the organizations have to set idle
with a vast number of employ & workers.
 Depend on buyer acceptance of products if any simple defects are found in a body then
all the body will be rejected.
 Limited internet technology is used for which the organization is unknown to many
countries.
40

41. 2.7.3 Opportunities:
 To go first position in Bangladesh at RMG sector as still they are in a second position.
 Regulatory environment favoring RMG in Bangladesh and it has a better future.
 Online deal with foreign buyers that can maintain the deal by having native country and
reduce the time wastage.
 Chance to use more update machineries for getting the better quality & save time.
 There may have huge profit from this sector as they are an export oriented organization &
to western.
2.7.4 Threats:
 Workers have the tendency to Agitation in any time for increasing salary and stop there
work by demanding their more facility.
 Number of potential competitors in those areas increasing day by day it’s a great risk for
the organization.
 I observed that most of them employee are not cooperative. Everyone wants to take
demand from others.
 It has no surety to get order from buyer it’s a risk for the organization.
41

42. Chapter THREE
……………………………………........
CONCLUSIONS AND
RECOMMENDATIONS
42

43. 3.1 Conclusion:
In conclusion, Ha-Meem Group: Next Collections Ltd. is one of the most potential garments
in the RMG sector. The Ready-Made Garments (RMG) industry occupies a unique position
in the Bangladesh economy. It is the largest exporting industry in Bangladesh, which
experienced phenomenal growth during the last 25 years. By taking advantage of an insulated
market under the provision of Multi Fiber Agreement (MFA), it attained a high profile in
terms of foreign exchange earnings, exports, industrialization and contribution to GDP within
a short span of time. The industry plays a key role in employment generation and in the
provision of income to the poor. The government and the RMG sector would have to jointly
work together to maintain competitiveness in the global RMG market. Bangladesh can look
forward to advancing its vastnesses the global RMG market. It has a large portfolio with
huge assets to meet up its any types of risk and management of these garments is equipped
with the expert employers and managers in all level of management with a vast number of
workers. So it is not an easy job to find out the drawbacks of Ha-Meem Group: Next
Collections Ltd. We would rather feel like producing our own option about the ongoing
practices in Next Collections Ltd. The garments have achieved sustainable growth in export
in 2012 and the performance of the garments was satisfactory. Major items of exports were
garments, jute products, textile, and lather etc. items of import included mainly industrial raw
materials, garments accessories, capital machinery and other essential commodities.
43

44. 3.2 Recommendation
I had the practical exposure in Ha-Meem Group: Next Collections Ltd. For just three months,
with my little experience in this organizations is comparison with vast and complex system,
it is very difficult for me to recommend. I had observed some shortcomings regarding
operational and other aspects of their production system. On the basis of observation I would
like to recommend the following recommendations-.
 I recommend that the factory should improve its web page as they are an exporting
company. There have a very few information in their web page and those
information is very poor.
 Again Next Collections of Ha-Meem Group is situated in countryside it should come
forward as if foreign buyer can deal easily with them.
 Ha-Meem Group should enrich by new technology to make a good competition
among the RMG factory.’
 As the numbers of potential competitor are increasing day by day so it should take a
strong step to keep retain in the competition market.
Ha-Meem Group: Next Collections Ltd. should try to arrange more training programs for
their official’s quality training will help the officials to enrich them with more recent
knowledge of International Trade Financing
44

45. Reference:
Ha-Meem Group., (2011), “Annual report 2012”, Ha-Meem Group, Beron, Ashulia, Shaver,
Dhaka.
Jawahar Lal., “Cost Accounting”, Third Edition, Professor of Delhi School of Economics,
University of Delhi.
Next Collections Ltd., “NCL Profile & Report file”, viewed on 01 April, 2012, Next
Collections Ltd.
Next Collections Ltd., “Special Features of the Garments Factory”, viewed on 01 April,
2012. http://www.hameemgroup.net/about.features
Weygandt (University of Wisconsin), Kieso (Northern Illinois University), Kimmel
(University of Wisconsin).,“Accounting Principles”.
Wikipedia, “Garments history”, viewed on 05, January 2013, <http://www.enwikipedia.
org/wiki/rmg.histry.html>
45