Sub Contract work from Garments to Garments

Sub Contract work from Garments to Garments

Sub Contract work from Garments to Garments is the common process when capacity going idle. The sub contract is not allowed to in 100% RMG export oriented garments factory commonly. But internally involving buyer and BGME both are concerning to execute the sub contract process by inter bond.

Sub contract is most essential job to take proper order form other factory. when capacity blank factory propose or hire some order to other factory, they factory dose offer minimum or low price. On the other hand, when capacity is full and give some order from other factory price will be high.

So, the management is concern about giving or take the sub contract order depended on capacity. The major part of sub contract order give or take by SMV of this order.

Style- 26321S002
Productivity Information:
Price Quotation: 
A. Considering  10% Profit
Factory Overhead             55.24
Nett Profit               6.14
Sales Price            61.38
CM Revenue             61.38
B. Considering  5% Profit
Factory Overhead             55.24
Nett Profit               2.91
Sales Price            58.15
CM Revenue             58.15
C. Considering  0% Profit
Factory Overhead             55.24
Nett Profit                  –  
Sales Price            55.24
CM Revenue             55.24
Sub Contract Pricing in different percentage

The sub contract pricing in different percentage when giving order from other garments factories the above calculation is most appropriate. You may details is below video.

Sub Contract Rate Offer

Please click for soft excel file>>>>

Capacity Selling of RMG Factory

Target and Actual Job Costing Analysis

Capacity Selling of RMG Factory and garments Sectors are more essential to preparation of budget. The Capacity selling is also import to maintaining upcoming budget. Every manufacture company accounts manager is thinking that about capacity selling when next year budget will be coming soon.

Here the below calculation is more important and efficient formula to capacity selling by marketing department.

So, now you have a production floor and also you have 670 Man, Machine 500, Working Hours 10 including general overtime (OT), also you have to known efficiency and working day 25 in month. So how many your available Standers Minute (SM) in your production floor.

Particulars Jan’19
Man           670
Machine           500
Working Hr/Day             25
Working Days        10.00
Efficiency 55.00%
SM Available (Lac)        55.28
Balance Capacity        44.73

Here total SM 55.28 Lac is available for 55% efficiency and 44.73 balance capacity is also efficient. Here the point of view that any accounts manager and management take effective decision on capacity selling any kind of factories. Every merchandiser are involved order confirmation from buyer. The order SM (Standard Minute of 01 Pcs production) is more important point of order confirmation.

You may also sales your capacity by work station. It’s also be more unique and new idea for an organization. We can also is using  our pricing software for make your order or product price. It’s will be your bid price to buyer.

[Total_Soft_Pricing_Table id=”1″]