Li & Fung Limited
Improve Competitiveness From Up the Supply Chain
Industry: Textile and Apparels Service: LEAN 6 Sigma / BPI
Li & Fung Limited (Li & Fung) is a leading consumer goods design, development, sourcing, and logistics company serving major retailers and brands around the world.
Li & Fung has an extensive network of suppliers for producing high-quality garments. However, they realized that they currently provide inadequate supervision and quality control to the suppliers, that the suppliers adopt poor production planning and processes, which lowered the efficiency of Li & Fung as a whole.
In view of the problem, Li & Fung consulted TQM to assist suppliers’ improvements for the sake of the company’s development.
Develop benchmarking assessment mechanism for Li & Fung to manage the suppliers regularly
Advised each supplier on the dimensions to improve quality, and provided suggestions on how to improve quality along various dimensions with IQC, IPQC, QA operations
Improve production flows
Establish comprehensive KPI and information management systems
Actively enforce 5S management
Provide staff training on quality awareness and technical skills
Reduced the defective rate in suppliers’ products
Achieved substantial improvements in quality, productivity, and delivery performances from suppliers
Boosted competitiveness of both suppliers and Li & Fung
TQM's DIrector, Ir Dr Aaron TONG (Centre, Front Row) presented the results.