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Clothing factory in Sri Lanka - Holcim Lanka Ltd

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<strong>in</strong>g our company’s direction years ahead. Our success was based on<br />

unconventional relationships we developed with our key customers<br />

and partners based on common values. This <strong>in</strong>itiative fell right with<strong>in</strong><br />

that frame and synergized with our focused emphasis on susta<strong>in</strong>ability.<br />

There were no benchmarks, no signposts along the way. It was a<br />

pioneer<strong>in</strong>g effort, without any bluepr<strong>in</strong>ts to follow, but one which<br />

would impact the whole of <strong>Sri</strong> <strong>Lanka</strong> and beyond. A challenge, without<br />

a doubt, but it was a natural position for us to be <strong>in</strong>. To <strong>in</strong>novate and<br />

lead, to steer the <strong>in</strong>dustry <strong>in</strong> a whole new direction – that is someth<strong>in</strong>g<br />

we have always excelled <strong>in</strong>. It was <strong>in</strong>novative and challeng<strong>in</strong>g, and<br />

it was tightly coupled with susta<strong>in</strong>ability – a natural fit for MAS. Our<br />

customer relationships are always unconventional. We align ourselves<br />

with companies that share our values of social conscientiousness.<br />

Our relationship with Marks & Spencer broke new ground with<br />

the construction of Thurulie. To paraphrase Marks & Spencer CEO<br />

Sir Stuart Rose, it was really a partnership of two like-m<strong>in</strong>ded companies,<br />

M&S and MAS.<br />

The apparel <strong>in</strong>dustry is a fiercely competitive one, especially<br />

<strong>in</strong> countries like <strong>Sri</strong> <strong>Lanka</strong>. How do you build the bus<strong>in</strong>ess<br />

case for this, and especially the premium capital cost?<br />

Our role with our customers is not transactional, but based on relationships.<br />

This project marked a beg<strong>in</strong>n<strong>in</strong>g – we as well as Marks &<br />

Spencer understand the end value that this br<strong>in</strong>gs to both our brands.<br />

The extra cost is partly offset by reductions on operational costs,<br />

and <strong>in</strong>creased efficiency. The plant is specifically designed for MAS’s<br />

lean manufactur<strong>in</strong>g standard, MOS. MOS’s primary focus is on the<br />

reduction of waste, <strong>in</strong>clud<strong>in</strong>g cost, whilst boost<strong>in</strong>g efficiency. Thus,<br />

<strong>in</strong>itial costs may have been high but we envision this to be offset<br />

<strong>in</strong> the future as the MOS system becomes full <strong>in</strong>tegrated. In a new<br />

bus<strong>in</strong>ess reality of shr<strong>in</strong>k<strong>in</strong>g marg<strong>in</strong>s and hyper-competition this<br />

would become a key leverag<strong>in</strong>g and differentiat<strong>in</strong>g factor. Thurulie<br />

is an <strong>in</strong>vestment, and by chang<strong>in</strong>g <strong>in</strong>dustry standards and m<strong>in</strong>dsets,<br />

it is already yield<strong>in</strong>g dividends.<br />

75

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