Our sourcing strategy

Production cycle in sourcing

Although we make night- and homewear we also follow the functionality of the seasons and have new collections twice a year. If we make special capsule collection as for X-mas we take them in the pre-sales system. We actively limit our financial risk and manage very closely eventual overstock.

Our collection is most of the time based on the same quantity of styles in the same well-known quality fabrics. Functionality and style repeats make our collections and quantities therefor very predictable. This is important to prevent excessive overtime for workers. Each supplier makes his own collections which are presented during the sales season in our TWG showrooms. These samples are delivered with an according price quotation. So suppliers have all the knwoledge to make a very correct pricecalculation. Quotations are requested including living wage calculation.

One month before the final orders, right after a 50% sales is reached we prepare forecast orders. All suppliers can well organize the fabric planning and the capacity for their CMT-production lines, based on a realistic estimation of quantities and volume.

transport times of another 60 days. India has longer leadtimes from 90 till 120 but a shorter transportation time of 45 days. With all these parameters in mind we try our best to get our productions in time at the shops.

With our productionpartner Tekumut in Turkey we work hand in hand to have the work done. It's a full partnership in which our computer systems are exchanging information. They have full access to our PLM-system and have software to make their production planning following the arrival of the materials. Furthermore, if there are any delays, they have the power to adjust the delivery date directly, which is adapted automatically in our reporting file. This means they have final control on deliveryterms.

As Turkey is very near to Europe the transportation time is quit short, this makes it the supplier with the best lead time being 60 days. The fact that they can deliver by truck they are almost weekly delivering directly to our B2B customers.

In summary our production cycle embeds very strong points of our business model:

This is the moment that in some cases there is negotation for small order quantities. This is also the period that all technical details and fitting shapes are approved. Suppliers in China have leadtimes from 60 till 90 days and SEA

°the pre-sales system is providing us a low risk bulk order °experienced long term suppliers are specialized in our functional products °high quality materials are very well chosen and help efficient production °only produce sold garments is avoiding unused stocks and left overs