South Korean apparel manufacturer adopts Coats Digital solution

Coats Digital has announced that SAE-A Trading Co. Ltd., one of the world’s major garment manufacturers, has integrated Coats Digital’s GSDCost solution across all 41 of its production locations across ten countries.

The solution will allow SAE-A to set international standard time benchmarks based on accurate Standard Minute Values (SMVs), optimize processes, drive increased efficiency and productivity across its entire workforce, and provide increased transparency around its global labour costs to support its own – and its brand partners’ – social responsibility goals.

SAE-A, based in Seoul, is one of the world’s major fashion manufacturers, with operations in Korea, the United States, Indonesia, Vietnam, Guatemala, Nicaragua, Cambodia, Myanmar, Haiti, and Costa Rica. SAE-A continues to invest in technology and new innovation throughout its supply chain, from yarn manufacturing to fabric mills and retail operations in Korea, to become one of the few garment manufacturers able to capitalize on a complete vertical integration of its supply chain.

AE-A is a key supplier to some of the world’s largest retailers, including Target, Walmart, Kohl’s, Gap, Mast, and Carhartt, with a focus on high-quality standards and a best-in-class workforce. SAE-A adheres to strict environmental guidelines and actively promotes sustainability, fair wages, and educational/medical programmes in the local communities of its global operations.

SAE-A needed a standardized solution that would accurately record SMVs through effective, standard motion digitized codes to optimize its costing processes in all territories of operation and significantly improve global manufacturing efficiencies. It was using complex time measurements based on time studies and historical data found in a myriad of Excel spreadsheets across its huge global enterprise.

Travis Han, manufacturing excellence team, SAE-A, said that as a result of the pandemic, there was increased pressure on the entire global sewing industry to secure new costing and buying schemes that were more accurate, increased efficiencies, and facilitated greater transparency within the supply chain.

SAE-A wanted to be ahead of the curve and prepared for whatever the future held, so it was critical that we had a common language in place across all of our global facilities to accurately measure the actual Cost of Making (CM) of each garment, taking into account varying fair living wage costs and machine efficacy across all of our regions.

Han added that the GSDCost solution from Coats Digital offers the greatest Predetermined Method-Time Standard (PMTS) reliability in the world, and its rigorous, systematic training program with skilled teachers is unrivaled. In a nutshell, they wouldn’t have gone with anyone else. Their digital transformation was quick and effective – even in the face of adversity, such as social isolation and foreigner immigration limitations – because the Coats Digital team’s adaptability and determination enabled the solution to be rolled out on schedule.

The GSDCost method analysis and predetermined timings solution from Coats Digital is widely regarded as the de-facto international standard in the sewn goods sector. Brands and manufacturers build and optimize ‘International Standard Time Benchmarks’ utilizing standard motion codes and specified timeframes, resulting in a more collaborative, transparent, and sustainable supply chain. While simultaneously delivering on CSR promises, this usage of a single language and standards allows accurate cost projection, fact-based bargaining, and a more efficient garment production process.

The improved feature of Coats Digital’s globalized fair wage tool combines the international standard time for every specific design with precise manufacturing efficiencies, contracted hours, and the country’s fair living wage. This new technology allows brands and manufacturers to instantly agree on a fair living wage allotment for every individual garment produced in any facility around the world.

Tan Demir, associate manager, Coats Digital, said that they’re delighted to be partnering with such a forward-thinking garment manufacturer on the world stage. SAE-A has been fast to develop and respond to the fashion industry’s rising need to digitally change manual processes in order to reduce risk and create more visibility and engagement with customers and supply chain partners. SAE-A now has the tools it needs to set meaningful targets based on fact-based capacity data, resulting in significant cost and waste reduction efficiencies that brands and consumers are increasingly demanding, and they look forward to ensuring SAE-A stays ahead of the game in a volatile and highly competitive environment.