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Corporate Social Responsibility Report - KappAhl

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SECTION 4 PRODUCTION<br />

“Guide paves our way to good production”<br />

We are particular that the clothes we sell<br />

are as environmentally and human friendly<br />

as possible. To ensure this and also<br />

guarantee high quality of the garments and<br />

the production process in other respects<br />

we have prepared two production<br />

manuals, which our suppliers undertake to<br />

follow.<br />

All products in our stores meet strict quality<br />

requirements. We have detailed instructions<br />

and directions that the suppliers must follow.<br />

This is an area in which we have worked for<br />

many years. We impose clear requirements<br />

for example regarding chemicals, both in the<br />

garments themselves and at the manufacturing<br />

stage. The requirements and subsequent<br />

controls also guarantee compliance with child<br />

safety and other physical requirements.<br />

To help us we have two manuals which<br />

our suppliers undertake to follow: The Test<br />

and Manufacturing Guide (TMG) and the<br />

Production Assurance Instruction (PAI). The<br />

TMG includes a list of forbidden or regulated<br />

chemicals in our garments, physical requirements<br />

for the garments and safety of children’s<br />

clothes. In addition, in 2010 we<br />

launched the PAI, which complements the<br />

TMG. The ambition is that both the TMG<br />

and the PAI should be simple to use. so they<br />

are instructional in design and all employees<br />

who work with quality monitoring at the<br />

production offices are trained in using the<br />

documents.<br />

CONTROLS AT SEVERAL STAGES<br />

We carry out careful production controls to<br />

discover faults as early as possible. The controls<br />

are made both by ourselves and by external<br />

independent laboratories at several stages.<br />

First and foremost, at least two inspections<br />

per order are made by our quality organisation<br />

on site in the production countries. On<br />

these occasions we examine whether the garments<br />

are correctly manufactured in accordance<br />

with our instructions, before production<br />

can start. The garments are then tested<br />

by an external, independent laboratory,<br />

which ensures that the garments stand up to<br />

washing and wearing. If everything is in<br />

order thus far a random sample is taken,<br />

which is sent for external control for chemicals<br />

in accordance with our “No Risk” project.<br />

THE NUMBER OF CONTROLS PER<br />

FACTORY VARIES<br />

The number of quality controls per factory<br />

depends on how many orders we place with<br />

them. Since we carry out two inspections per<br />

order we have quality assurance managers in<br />

place most of the time at our large suppliers,<br />

while some smaller suppliers are only visited<br />

a few times a year.<br />

The quality controls give good results.<br />

The complaint rate from customers is now<br />

less than 1 per cent. Garments that are not<br />

approved in the factory may not be delivered<br />

and must be dealt with by the supplier.<br />

Pattern handling for<br />

reduced transport and<br />

lead times<br />

In 2010 we started a project to increase<br />

the proportion of our own pattern construction.<br />

By moving the process home<br />

we ensure correct fitting and save a lot<br />

of time and transportation of samples<br />

between us and the supplier.<br />

This is where our fashion<br />

is produced<br />

We design all our garments ourselves, but we<br />

buy the production itself from about 250<br />

suppliers. About 30 producers supply about<br />

60 per cent of the total volume. Most purchases<br />

are made in Asia. Over 80 per cent of<br />

the garments come from there. The rest is<br />

produced in Europe. Purchases and deliveries<br />

are co-ordinated at our head office, which<br />

cooperates closely with the company’s<br />

offices in the countries of production. We<br />

have a total of 8 production offices in Asia<br />

and Europe: one in Bangladesh, two in India,<br />

three in China and one each in Lithuania and<br />

Turkey.<br />

22 K A P PA H L C S R R e P O RT 2 0 1 0

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