Supplier Capacity Program — India

Revealing and re-distributing the true costs of production in the global apparel industry.

Goal: SAI’s comprehensive Supplier Capacity Program will help suppliers, including informal and unauthorized subcontractors, improve their production capacity planning, labor conditions, and business practices, and connect with major brands that have committed to improve their purchasing practices.

Project Duration: Expected 2020-2021

Summary

Program Phases

Key Activities

Understand Production Capacity Variables

Collaborate with factory managers, academics, and industry experts to gain a holistic understanding of the factors affecting production capacity in garment manufacturing facilities in India.

• Read more: Why is poor production capacity planning a problem for labor rights?

Develop Capacity Calculator Algorithm

Create an algorithm (capacity calculator) for calculating and predicting capacity based on those metrics, enabling factory managers to more accurately plan and schedule production targets, reducing their reliance on unauthorized sub-contractors.

Training & Capacity Building

Develop tools and training to help factory managers collect the necessary data, use the capacity calculator as an ongoing practice, and improve production capacity planning based on insights from this process.

Develop specific tools and trainings to address the issues of unauthorized sub-contracting and excessive overtime, and training and support for buyers to improve purchasing practices.

Develop tools that will help improve the labor performance of informal and unauthorized sub-suppliers to meet specific performance thresholds, including a cost-benefit analysis tool focused on the issues of sub-contracting and overtime hours, with the goal of reducing the prevalence of forced labor in the Ready-Made Garment supply chain in India.

Develop Online Platform

Develop an online platform directly connecting buyers with suppliers advertising more reliable production capacity and commitment to improved labor conditions. The Platform will also serve as a means for suppliers to demonstrate social performance improvements.

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