FEROZE TEXTILE INDUSTRIES (PVT.)

LIMITED

GROUP: A

Maryam AbdullahYasir Khan

Nimra SajidAreeba FarooqSadiq Rajani

COMPANY‘S PROFILE Feroze Textile Private Limited is one of the leading

textile mills involved in the manufacturing and export of specialized Textile Terry Products in Pakistan

As an ISO 9001-2000 certified company, it maintains a set of standards in every area of concern, ranging from the highest quality products to maximum employee satisfaction

PRODUCTS

Bath Towel

Hand Towel

Wash Cloth

Bath Mat

Bath Robes

Other Terry Made-ups

Customer Profile

Total Quality Management at Feroze Textile Industries

Sales Performance Feroze Textile has an annual turnover of Rs. 250 to 300 million

approximately

Although Feroze Textile is performing much better than the rest of local textiles in the current tenure but sales are going down due to Pakistan’s deteriorating global competitiveness

Feroze Textile can capture more value by forcing down prices, demanding better quality or more service (thereby driving up costs), and generally playing industry participants off against one another

Lack of government support and interest is destroying the textile sector of Pakistan

The major buyers of Feroze Textile products are US, Germany, France, UK, Netherlands, Indonesia, Thailand, Italy and many other European countries

The major markets that Pakistani manufacturers have so far not been able to explore are the Japanese, Far- East and Middle East markets.

The recent incidents of terrorism locally have also sent alarming signals to keen customers abroad that has directly affected Feroze Textile’s international business relationships

The first four months i.e. July to October is the prime time for export of finished products to western markets for Christmas

Leading buyers from Russia have showed their keen interest in buying from Feroze Textiles lately and also urged that Pakistani Textiles are unmatched internationally

Feroze Textiles can grab various international opportunities of this nature as well

Quality PolicyThe quality policy is a requirement of ISO/QS 9000

It’s is a guide for everyone in the organization as to how the organization should provide products and service to the customers.

At present, the quality policy of FTI is:We at Feroze Textiles Industries work as a team and strive to

achieve maximum customer satisfaction.

Our Quality Objectives: • To increase our exports up to double at the end of year 2010

• To control customer complaints up to 0 level

• To work on more standards like social, HACCP and GMP so that we can expand our business to high quality demanding environment

• To increase the number of permanent employees and decrease contract based employees for the betterment of employees and the system.

Proposed Quality Statement The quality policy statement that we suggested after a

detailed study of Quality Management practices is as follows:

“FTI strives is to build long term, mutually profitable relationships with its customers, by providing products and services which meet and whenever feasible, surpass their expectations.”

Control Charts – Customer Service

Subgroup Number Observations (In minutes) Mean (X) Range (R)

1 6.0 5.8 6.1 6.0 0.3

2 5.2 6.4 6.9 6.2 1.7

3 5.5 5.8 5.2 6.2 0.6

4 5.0 5.7 6.5 5.7 1.5

5 6.7 6.5 5.5 6.2 1.2

6 5.8 5.2 5.0 5.3 0.8

7 5.6 5.1 5.2 5.3 0.5

8 6.0 5.8 6.0 5.9 0.2

9 5.5 4.9 5.7 5.4 0.8

10 4.3 6.4 6.3 5.7 2.1

11 6.2 6.9 5.0 6.0 1.9

12 6.7 7.1 6.2 6.7 0.9

13 6.1 6.9 7.4 6.8 1.3

Control Charts – Customer Service

Subgroup Number Observations (In minutes) Mean (X) Range (R)

14 6.2 5.2 6.8 6.1 1.6

15 4.9 6.6 6.6 6.0 1.7

16 7.0 6.4 6.1 6.5 0.9

17 5.4 6.5 6.7 6.2 1.3

18 6.6 7.0 6.8 6.8 0.4

19 4.7 6.2 7.1 6.0 2.4

20 6.7 5.4 6.7 6.3 1.3

21 6.8 6.5 5.2 6.2 1.6

22 5.9 6.4 6.0 6.1 0.5

23 6.7 6.3 4.6 5.9 2.1

24 7.4 6.8 6.3 6.8 1.1

Calculations∑X = 146.3 ∑R = 28.7

Avg. (X) = 146.23/24 = 6.1 Avg. (R) = 28.7/24 = 1.2

Trial control limits for the charts are established through the following equation:UCLx = X + A2R UCLR = D4RLCLx = X – A2R LCLR = D3R

Where:X = 6.1R = 1.2A2 = 1.954 (for sample size 3)D3 = 0 (for sample size 3)D4 = 2.574 (for sample size 3)Calculating:

UCLX = 6.1 + (1.954 x 1.2) = 8.4LCLX = 6.1 – (1.954 x 1.2) = 3.8

X-Chart

R- ChartUCLR = 2.574 x 1.2 = 3.1

LCLR = 0 x 1.2 = 0

Customer Service Marketing and customer service department maintains efficient

coordination with its customers

Timely and accurate information is provided to ensure maximum satisfaction

Merchandisers assigned to each customer for proper tracking

Follow-up of the order status, from yarn procurement to shipment and after-sales service, is provided to all customers

Understanding the needs of our customers and working to fulfill them

Customer Service (Contd.) Measuring and constantly working to improve customer

satisfaction

Continuously improving our processes to increase efficiency and reduce variability

Nurturing a culture of engineering excellence and innovation

Defining, measuring and reviewing quantifiable quality objectives.

Enhancing the company's digital infrastructure to support metrics-driven management

Sharing knowledge and training our resources to enable them to meet challenges

Application Of 5S in Feroze Textile Industries

Japanese English Meaning Typical Examples (out of 50)

Seiri Structurise Organization Throw away rubbish or return to store

Seiton Systemize Neatness 30-second retrieval of document

Seiso Sanitize Cleaning Individual cleaning responsibility

Seiketsu Standardize Standardization Transparency of storage

Shitsuke Self-discipline Discipline Do 5-S daily

PDCA CYCLE As far as the PDCA cycle for Feroze

textiles goes, their planning is already very well established which keeps them at par with the strict requirements by their demanding clients and the tedious export rules and policies to which they have always successfully adhered to.

However, the only steps missing in feroze textiles is the follow up procedure which is required to complete the PDCA cycle.

Feroze textiles should have a well established quality control manager or team which should check for any errors in production, packaging, delivery, correspondence with clients’ etc. The checking phase is missing from Feroze textiles and by incorporating this they will have successfully completed the PDCA cycle.

Wastages Thousands of gallons of colored water wasted

Dyeing chemical wastages

Wasted cotton yarn from the spinning process

Useless cloth wasted during stitching and weaving

Wasted fiber used in the production of towels and robes

Lab testing chemicals wasted after one time usage on sample products

Clearing and cleaning solvents are heavily wasted before packaging of all products

Wasted plastic and packaging material lost during final stages of value chain

Variation in PerformanceAccording to the quality control division of Feroze Textile variation mainly exists in the following processes:

Spinning Weaving Stitching Dyeing Processing Packaging After sales customer services

The Quality Control Division of Feroze Textile takes the following measures to control the common causes of variation:

Inspection after each step of value chain

Lab testing of randomly picked samples after ginning, weaving, spinning etc.

Employee feedback is taken regularly to understand and eliminate the causes of variation

Employees are trained to observe and report variations in their related processes

All machinery is maintained and production counters help in keeping active records of daily inputs and outputs

Quality of the output is tested at every stage in order to save the cost of quality and protect against last minute defects in the final products

Customer feedback is given great importance due to the fact that international customers never compromise on quality and its standards

Variation and quality check reports are published weekly so that performance levels and effectiveness of the quality management system can be critically observed

CONCLUSION Enormous potential in Feroze Textiles to grow and be

competitive amongst rival textile units competing in our part of the world, i.e. Sri Lanka, India, Bangladesh etc.

We found out that as an organization Feroze Textiles is on track as far as their claim of product quality, product specifications, customer response times and delivery process is concerned

We have tried to create a reference point benchmark for the textile sector of Pakistan by highlighting the implementation of total quality management practices and policies in the Feroze Textile Industries

Recommendations Feroze Textiles can still work upon recycling and waste

management to save costs and improve quality

The concept of Continuous Process Improvement (CPI) must be implemented for future growth and improving results

Other SPC tools such as Pareto Charts, Check-sheets, and Defect Detection Diagrams should be used to monitor and control causes of variation in all vital processes

Employee training on the importance of Quality Control and Process Effectiveness must be conducted frequently

Recommendations Further implementation of Six-sigma and other Japanese

concepts of quality enhancement must be implemented to stay efficient and diligent in all processes throughout the value chain

Transparency in all procedures and processes must be increased to have a clearer image in front of the customers

Feroze Textiles must work upon its image as a socially responsible organization by functioning in an environment friendly manner as it directly affects customer opinion and increases delight

Q & A