Risk sharing … countries/areas

…..   Last week was just horrible.  I planned to write on tuesday based on an article on Bangladesh.

There are tectonic plates at a subduction zone under Bangladesh which have been building up strain for over 400 years. Assuming the movement has been steady over the last 400 years, enough strain should have built up for the zone to jump 5.5m all at once. No one knows exactly when something will happen but Dhaka might be devasted. Bangladesh is for the european community the biggest supplier of jeans. In the case of a catastrophe like this earthquake there will be as well a serious issue regarding apparel in european and american stores.

Then on last week’s thursday we had to experience again that terror can’t be avoided. In France more than 80 people have been killed. One week before about 20 people have been killed in Dhaka and  there have been attacks in Istanbul and in Baghdad. Terror is influencing everything – even production and shipment of our garments.

On friday some guys tried a coup in Turkey. Sure the laws will be changed, the relationship between Turkey and the EU might be influenced.

There are influences in each country (or in each area) where we produce which are risky for the production. They are even different in different cities. Merchandise which is produced in Dhaka (BD) or Lahore (PK) must be transported to Karachi or Chittagong for the shipment.

There will be Ramadan and there will be Chinese New Year.

But there are as well changes. New streets are built, new factories are set up, …

Permanent changes make our business less boring.

To avoid issues regarding your production you should share the risk – probably you concentrate on two or three areas (or countries) and you source or produce for all genders in al areas (if possible).

Set up shares for the countries where you buy and leave some volume for countries where you want to do a test.

Schreibe einen Kommentar