Business Story | Chaoshan underwear “break” and “stand”

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21st Century Economic Report Reporter Ye Bihua Intern Liang Rochuan Shantou Report

Walking in the underwear cultural creative neighborhood of Chendian Town, Shantou City, which can be seen everywhere. It is convenient here, and the road is four-way, vertical and horizontal. As the town of China, the underwear industry occupies more than 60% GDP GDP, and has formed a large-scale industrial cluster. All process accessories involved in underwear bra produce can take a material in the store.

From the geographical location, Chen Shi Town is located in Chaoyin District, Shantou City, Guangdong Province, and Shantou as a well-known overseas Chinese. It is one of the earliest economic SARs, which has the country’s largest underwear home service industry zone. According to the data of the Chaonan District Industry and Information Technology, the light is in the Chao South District, and more than 1 billion underwear home clothing will be produced every year.

Due to the earlier, the production capacity, the industrial chain is complete, the Chaoshan underwear industry has maintained a higher growth rate, and Shantou has even become a global underwear home service manufacturing center. However, in the past two years, labor, raw material costs have risen, superimpose epidemic, consumption, and channel changes, the tide underwear industry has entered the development of bottlenecks.

“The whole industry is currently less than 60% of the industry!” Wu Wenong, who has been engaged in underwear and home service, said that there is no sigh of the 21st Century Economic Report. It is understood that when the market environment in the past few years, Wu Wensong’s factory has been nearly 2 billion yuan, and even its own brand, but today, it is necessary to face the uncertainty brought about by the epidemic. Cost brought challenges.

In fact, Wu Wensong’s factory is already a head company in Chalona. Those small and medium-sized factories are even more bitter, and some have even quit the market in this round of shuffling.

Where is the way? This is also a question that Shantou Fengde Industrial Co., Ltd., Chairman Tang Xiwen, often asked himself in recent years. In her opinion, the manufacturing industry has no longer exists, and now it has become a micro-era. “So we must do industry upgrades, introduce automation equipment and digital management, enhance our core competitiveness by standardization, specialization, digital management.”

At the moment, the Chaoshan Underwear Industry is accelerating from the processes to make a cross-section, created through product technology, production management, industrial, marketing, etc., explore the path of transformation and upgrading.

“Stagbed” and shuffle

The market size and demand growth in women in my country have reached the peak in 2017 and begins to slow down. Zhi research consultation data shows that the market size and demand growth in my country’s women’s underwear in 2017 were 7.73%, 20.03%, and the value of 2020 has dropped to 1.14%, 2.62%. In addition, the impact of the epidemic, the domestic underwear market is facing the exam, and many small and medium-sized businesses produced in Chaoshan do underwear, even in the survival crisis.

Xiao Wei, vice president of urban beauty supply chain, told reporters that the international oil prices have risen in recent years, causing the price of chemical products to rise sharply, such as spandex and other underwear raw materials have also ushered again and again. Take spandex as an example, prior to the epidemic is approximately 27,000 yuan, and now has soared to nearly 80,000 yuan. “Some raw material costs have increased by 200% to 300% due to the dramatic fluctuations in the market.”

At the same time, as the yarn of the main raw material of the underwear, the cloth production has shown a trend of overall decline in recent years. According to statistics, in 2019, my country yarn and cloth yield were 282.716 million tons, 55.519 billion meters, and there was a decline in the previous year. In 2020, the influence of the epidemic is more obvious. In the past year, it has risen nearly 76% as the most important raw rice prices as a clothing enterprise.

“The two-year market is hard to do, the brand is very painful.” Xiao Wei further said that in the case of raw material prices, the company is the most worrying thing to be late – the upstream raw materials have risen, but the terminal price is rising Can’t afford it. Unfortunately, the lagging has appeared in the underwear industry.

It is understood that after the development of the bee in the past few years, the underwear industry has produced overcapacity, and the social inventory is high, causing the terminal price difficult to improve. Upstream raw material prices can not be transmitted in time to downstream, and the gross profit margins of Chaoshan underwear production enterprises are significantly affected.

In Xiao Wei’s view, the core point of the changing crisis is in stock. “Because there is enough in the middle of the stock in the middle, the continuation reaction will be slow. If inventory is relatively good, the entire market will be in a good state, the cost of raw materials upstream, the downstream terminal will also rise.”

With the further intensification of the competition in the underwear industry, many Chaoshan underwear production companies are facing the “sleepy” inventory. The huge stock is not only engulfed in cash flow, but also facing high storage and transportation costs. Over time, inventory is more difficult to transform, the terminal price of the product has become lower and lower.

In these two years, there have been many underwear related companies in Chaoshan, most of which are small and medium-sized enterprises, boss runways, and wages, which are unparalleled. “At present, the underwear industry is experiencing a big shuffle, and many small brands have been turned off.” Xiao Wei said.

On September 16 this year, the National Development and Reform Commission issued the “Perfecting Energy Consumption Strength and Dual Control System”, which clearly proposes to improve the management of energy consumption and dual-control indicators, and the encoding limit is limited. Both underwear industry people pointed out that from a point of view, national policies are pushing back and reduced production after pushing. This also means that if you want to break the long-term impact on the restrictions on the company, underwear companies must speed up the transformation and upgrading, optimize the energy consumption structure, and improve efficiency.

Upstream group

On December 17th, the Guangdong Hangen Industrial Co., Ltd. of the North New Industrial Park, Chen Shi Town. The automatic machine in the production workshop is running at high speed, mechanical sound, and one worker is moving back and controls more than ten production. The operation of the device.

Hanheng Industrial, which has more than 30 years of development history, is a diversity of R & D, production, sales integration, group management company, its braid, webbing business department, lace business department, mold mug, underwear industry chain Supporting industry.

Not long ago, Hanheng Industrial has signed a strategic alliance cooperation agreement with urban beauty, and plans to collaborate from four aspects of product development, supply chain management, capital management, and industry innovation. “The Industry Alliance is to reduce the cost of both parties in depth and bundle with competitive suppliers.” Xiao Wei told reporters.

When the price of raw materials rises, the Industry Alliance will jointly study and prepare and prepare, risquent on the risks of prices. Xiao Wei is exemplified. The business comes from some raw materials, so we cut off the rest of the other materials and focus on main materials and core materials. “

Through this bundle and deep cooperation, on the one hand, the brand is able to jointly digest the cost of raw material and bring orders to the factory on the other hand, and guarantee the operating rate. Wu Wencong, General Manager of Guangdong Hengrui Weaving Technology Co., Ltd., told reporters that with this cooperation, its factory can go to 80% this year, and the high industrial is 60%.

In his opinion, in the face of inflationary pressures of raw materials, it is necessary to work with upstream enterprises to work together. “Whether it is brand business or factory, upstream supply chain, we all need to work with market challenges, everyone gives up a point of gross profit space and presses the cost together.”

When suppliers are difficult to face funds, the brand will also give certain financial support and tilt on orders. According to Xiao Wei, the urban beauty has been put into 180 million yuan in the renovation of the supply chain in the past two years. By adding investment in new technologies, intelligent equipment, reducing the labor dependence, thereby increasing production efficiency and rapid response capabilities.

Wu Wencong said that before the automation transformation, a workshop of the factory generally needs 300 to 400 workers, and now this number has decreased to 200. “After the automation of equipment is automated, the standardization of products produced is very high, and the quality stability is better.”

According to it, after conducting a series of transformation, the company’s labor costs decreased by 30%, and he put the cost of falling into production, production capacity has increased by 30%. “It turned out to make a batch of clothes, from below to ship, about two or three months, now just prepare the style and raw materials, 7 to 15 days can be shipped.”

Digital exploration

In the production workshop of Shantou Fengde Industrial Co., Ltd., which is less than 500 meters from Hengui, at this time, each production group is developing today’s production goals.

This type of management called “Merchants” is a digital management attempt at the factory. In Xiao Wei, the target management is very binding on people. There is no way to track production in the past, and employees can only work overtime when they do not complete their work. In fact, this inefficient overtime will also need costs.

“Now, in this way, you can track employees every hour or even every half hour, quickly understand the degree of employee completion and complete quality. This goal is very important to achieve the management of the target.” Xiao Wei added, “If you can’t reach a stand-up goal, it is a loss. From another perspective, it is cost, which is the benefit.”

The reporter saw on the display of Fengde Industrial Workshop, bra Workshop, bra B shop, bra C workshop production group, the production week target, month target, today’s goal. In addition, there are also customer satisfaction scores, monthly efficiency / quality. Tang Wei, chairman of Fengde Industrial, said that this detail management can analyze the problems in the production process according to the development of the target to quickly adjust.

At the same time, the workshop will also standardize the employee gesture. While ensuring quality stability, the price can also be standardized. “If all the actions are standardized, the quality of the product is guaranteed, and the problems, which are more concentrated, easy to find and solve the problem.” Tang Wen said that according to the standardized gesture training staff, the newly recruited employees need a week Work can work, greatly reduced the training time.

It is understood that during the production process, Fengde Industrial will formulate planning schedule three months in advance, according to the delivery period of the customer, planned, and the material arrives at the time. Tang Yen told reporters that after implementing levenging management, the current factory delivery cycle has been controlled.

In September this year, Shantou clearly put forward the road to “industrial yield city and industry”. Relying on the advantages of Shantou Textile and apparel, the Chalona District Government has introduced a series of policies to promote enterprise transformation and upgrading. The local government has established high-tech enterprises to cultivate a subsidy of 50,000 yuan for each of the storage enterprises. At the same time, the company’s technical transformation project awards in accordance with the national and provincial industrial policies, the prize is more than 500,000 yuan.

Wu Wensong believes that “This is a very good opportunity. In the next three years, we may re-enter the construction of more than 30,000 square factories, build a smart-made enterprise.”

In general, the transformation of Chaoshan underwear companies is good, but there is still a lot of problems in the transformation process. For example, although scale, standardized production is temporarily alleviated, the problem of the problem of underwear production enterprises can still exist in the problem of workers’ loss.

With the further intensification of population aging, the population dividends produced by domestic enterprises have become an indisputable fact. The last generation of labor population is gradually old, and the new generation of young people is getting higher and higher, and young people who choose to go to the factory will be less and less. The reporter saw a small advertisement of “High-paying Recruitment Mechanics” in the Chaonan District.

It is understood that the average wages of the workers in the ordinary workshop of the underwear plant are about 6,000 yuan. If the car board worker (worker who do the sample), the salary can go to more than 10,000, high or even a month, But it is still not easy to recruit.

In Tang Wen, the intelligent transformation process of clothing companies is relatively slow, because many processes still need man-handed operation, high degree of automation is currently difficult. Wu Wensong also agreed this. “Some products have a short, and the collar of embroidery, these can only rely on manual, there is no way to automate.”

A thousand miles begins with a single step. Perhaps, for the Chaoshan Underwear Industry, to achieve leapfrog upgrades, there is still a long way to go, but the transformation has begun.

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