How the textile industry of Pakistan can perform well against their competitors (Bangladesh, India, China)" Why is the textile industry of Pakistan declining while those of Bangladesh, India and China are blossoming? How can advertising and marketing help to improve the textile industry of Pakistan?
Textiles have a very long history. Textile is used as garments, currency, tax goods and for other commodities. Weaving also is considered as most surviving craft of human history.
The textile industry, with its very long and heavily reach history, always has enormous impact on the economy of every country.
My research is based on comparison of textile industry of Pakistan with other Asian countries so it is important to describe history of all countries.
Bangladesh textile industry has not long history, it is quite new but it has shown extraordinary growth in last two decades. Textile of Bangladesh is considered a unique industry because it is helped by a group of dynamic entrepreneurs, hard working work force, labor full of innovations and skills, and most important industry friendly government.
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Textile industry off Bangladesh which offers knitwear, ready-made garments and other specialized textile products, has become Bangladesh's largest export. In 2009 80% of total exports were textile goods. This fresh textile industry is now world's third exporter after turkey. This emerging textile industry employs approximately 3.5 million workers. Industry's exports have increased 100% since 2004. Wages of the industry were worlds lowest in 2010. This emerging textile industry is considered most alarming rival for other textile industries like China, India and Pakistan. Public domain material United States Department of State, 2001, Economy of Bangladesh.
The ancient Greek word for China, Seres, that is synonymous of silk. China used to trade it from Central Asia. Silk was known as most expensive commodities at that time. Cultivation of cotton first introduced in China around 200 BC. After some thousand years, cotton cultivation extended to Guangxi and Hainan Island. The great woman Huang Daopa has the credit for introducing the techniques for making cotton textiles in 1290s.
In the time of king dynasty, china accelerated the commercial textile production. In 1645 Shunzhi Emperor released all hereditary artisans, and allowed them to work freely with no obligation for the empire. These type of initiatives helped china to grow globally.
Cambridge: Harvard university press, 1977).
Textile industry of china plays a major role in its national economy. Textile industry has a traditional advantage. Due to financial crisis and depressing financial global economy, textile industry of china represents a downtrend. Total export value was 65.406 billion USD 2009. It is absorbed that growth rate export clearly slip down. It also understood that although China adjusted export rebate twice in the second half of 2009, but textile industry hasn't shown clear improvement. China Research and Intelligence, 2009, Report of China's Textile industry.
Textile industry of India is the second biggest employer in India. Textile is 5th largest export of India and it employs 10 percent of India's workforce. It employs almost 10% of India's work force and this industry has the potential to add another twelve million workers World Bank report, 2009.
Textile industry has a vital role in India's economy. The textile industry of India contributes 4% of its national GDP. Textile industry also covers 13.5% of its national exports. Wall Street journal, 2010.
According to Riaz HAq (2010) discussed that Textile industry of India and Pakistan are based on agriculture sector of their countries. Indian agriculture sector is going through a crucial situation. Textile sector is hurt by rising in Indian rupee now its exports are more expensive in world markets.
According to Riaz Haq Pakistan economy can be defined as divers economy which is based on Textile, chemical, leather products, food processing, financial services, telecommunications, retail, automobile manufacturing, light and heavy armaments, agriculture. Pakistan is the 45th largest economy of the world. But textile is considered as the backbone of the national economy.
He also discussed that Agriculture sector of Pakistan covers 19.4% gross domestic product and 42% of labor force of Pakistan. Service sector covers 53% of national GDP and it covers 38% employment. Manufacturing sector covers 27% of gross domestic products and 20% labor force of Pakistan. More than half of the Pakistan's manufacturing jobs are in textile sector. So textile sector is second highest employer after agriculture.
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Pakistan agriculture and textile sector have suffered in recent year. Large area of Pakistan farmland is affected by reduced water follow from India. Current energy crises and the current economic crises really affected the Pakistan textile industry. Good news for the industry is European commission; the EU's executive have recently announced tariff wavers for the 75 categories of imports from Pakistan. Wall Street journal, 2010.
It is clear that farming and textile both are most important sector in Pakistan economy. These both sector have the biggest impact on lives of the majority of the journal public in Pakistan. It is also important for the government of Pakistan to look after their farming and textile sector even they are looking to diversification of their economies because US and EU are trying to help them to improve these two sectors.
The most important purpose of literature review is to understand the discipline approach to change the processes with the coordination of institutions and more formal work and how it can bring the change in textile industry of Pakistan.
Pakistan textile industry needs to adopt business process reengineering because this sector has a numerous potential. Industry need to focus on operations and strategy that generate a set of internal initiatives.
According to Roger S. Slack robin A. William, BPR concept has been used in USA, BPR helped a lot to provide solution to the crises that USA faced. These challenges was posed USA by Japan and Asian tiger economies. BPR is a technique and a philosophy that could be applied in any country or sector.
Pakistan Textile industry has the same challenges' and these challenges are posed by China, India and Bangladesh
According to Subramanian Muthu, Larry Whitman, and S. Hossein Cheraghi this world is changing dramatically and competition is high, business process reengineering has now become an effective tool to get competitive advantage. Business process reengineering describes that organization come back to their fundamentals and re-examine their basic structure.
Supply chain process is week in the textile industry of Pakistan because most of the textile are being exported so supply chain should be organize.
According to Sameer Kumar one of the main problem come up for managing the supply chain is that of synchronization of activities with the whole life cycle of its product. Quick response (QR) is one of the particular aims that need to achieve in supply chain with the help of accurate response (AR).
Muhammad Ather akhlaq discused about Pakistan textile sector that in manufacturing sector information technology has a very important role. Though it is very much expensive to acquire state of art machinery, but a very beneficial and necessary to stay as a strong competitive in the long run. It is meter of trust that a supplier built with his customer and it is made by giving him flawless product every time. If the supplier win the trust, there is no other way to loss the customer.
Roger S. Slack Robin A. Williams Broadened the view about the carriers for advance technological ideas by including not only technology suppliers, but the research also considers other actors who can play important role to face the challenges such as professional associations and public policy makers, who can serve the emerging challenges of industry by co-ordinate the ideas. Believe that this complex and vibrant model that have shaped the technology in new social way would appear to provide fruitful and innovated ideas for development of other management programs like BPR.
Davenport (1993), articulate the role of IT as a driver and enabler that is essential within the re-engineering process.
According to Majeed and Abdul , 2008, Pakistan textile industry invested a lot on technologies and modernization in last few years. Only hop for the coutry economic problem is efficiency and innovation n this textile sector. Unfortunately there are some units in whole industry which have their own material testing facilities, or have these type of services from outside. Even reverse engineering is applied, so far this practice is done without any adequate material testing. The end result was poor quality in most of the cases because of undue over-engineering. Stress on quality control is laid by the major importing countries, especially in wake of ISO 9000 series. Local textile industry needs assistance from relevant institutions, like PSI, NPC, CTL.
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To support the textile sector an access to the modern practices in the specialized areas of manufacturing and processes, productivity enhancement and quality control, an institutional mechanism should be made which can provide the sector sufficient and friendly assistance from organization such as MIRDC, PITAC, CTL and PSI, etc. institution like Pak-Swiss training center and Pak-German training centre, in addition Small Scale Industrial Estates could help to provide required technical assistance and production aids such as tools, jigs, fixtures etc for productivity improvement and quality control.
Research questions and objectives
By taking preliminary literature review of Pakistan textile industry, Textile industry of India, China textile industry, Bangladesh textile industry and Business Process Reengineering in to consideration, I can argue that Pakistan textile industry has the potential to recover. But a complete reengineering process is required to regain. The one of the main issue is faced by Pakistan textile industry is lack of technical assistance and supply chain that can reengineered by making TO-Be model and benchmarking from other growing industries like Bangladesh.
How Pakistan textile can attract EU customers?
What measures should be taken to solve energy problems?
How textile industry and agriculture sector coordinate?
What suggestions textile industry can give to Government to finance institutes and training centers?
To discover what problems Pakistan textile industry is having recently.
To find how it could be possible for textile industry to access the foreign markets.
To find out best solutions for these problems.
To find out how IT and IS can help the textile sector of Pakistan.
To find out how local organizations and institutes can work with textile industry.
To find out the importance of BPR for Pakistan textile industry.
Since Pakistan textile industry is problems many researchers have made their researches, still this area is being monitored by many researchers. To investigate the answer of my research questions and to achieve my objectives I will adopt three types of data collection method.
I will collect secondary data from different existing sources such as books, published interviews, journals, articles, textbooks and internet. I will use access of Coventry university library to find out different journals and books that are relevant to my research. I will also visit to British library to explore more secondary data to support my research. Books and journal will help me to get my first three objectives, but my main source of data will be primary.
Questioner will be the major source of my data from different organizations related to textile in Pakistan. I have already experience in this textile field so it is possible for me to engage all the expertise. I will use all my resources that I have in textill sector. I will send my questionnaire to major textile mills but it is important to consider the response from Pakistan small industry corporation. Small exporters in Pakistan have big future of Pakistan so I will definitely send my questioner to these exporters as well. Will same questioner work for both major and small textile exporters?, Will be a challenge for me. Before sending the questionnaire I will pilot it on some of my friends and my cliques who have experience of textile.
Before I started my proposal, I had two interviews with chief executive and head of sales department of FunZim enterprises (textile exporter) and i collected very important information from them. So now I can understand benefits of interviews for my research. I will use semi structured interviews to collect the data. To save the time I will interview and questioner from the same persons. I am leaving for Pakistan next month and will stay there for short time, so I have a plan to invite some of the staff from different textile mills and exporters. I will ask questions that I will plan later on, my questions will be flexible and open ended, because my main objective will be to understand what they have in their mind and what they think about present condition of textile sector. I want to know ground realities about textile sector. So it is better to take interviews in an informal way rather than just ask only relevant questions.
Analysis of Data
My research will be authentic and according to my research questions. This approach will allow me to work with in my limits. I will consider only those research questions from the respondents those will go well with my research questions. But on the other hand it is also important to consider information that can further enhance my research. I will try my level best to get feed backs and important information from all stake holders of textile sector of Pakistan but it is completely depends on the availability of respondents. It is also the part of my research to make it possible for other persons to get access to my research.
According to Anthony Carpi data collection is an organized approach of collecting the information from different sources, data analysis is a procedure to work on patterns those are uncover by. After collecting all information from my respondents I will arrang it and will try to fill all the gaps for my research if any.
While interpreting the interviews there are many problems. Like social desirability bias. Some people don't gives right information mostly in response of personal questions. They want to show themselves as best source Psychology Press Ltd, 2004. So this kind of wrong information can affect my research. To handle that problem I will definitely ask some extra questions.
Analysis of data collected from the interviews will be qualitative and I will use semi structured method of research for interviews. I will record these interviews but after the permission of interviewee these recordings will help me during the data analysis. For my questioners I will prefer probability sampling, availability sampling and snow ball sampling (which I will feel more convenient).
The limitation I could face might be availability of management of some textile mills because it is easier for me to get access to the small exporters. I will defiantly try my best to contact them in advance for my research. I have already made some appointments with some of relevant persons to minimize this threat for my research.
As my some part of my research is based on the interviews so I will don't disturb my interviewee in his busy time I will arrange the timings which will be more convenient for them. During my interviews I would not ask personal questions and irrelevant questions.
It is important to discus questions with my supervisor before applying them on respondent.
I will explain the nature of research and its outcomes before giving the questioner to respondent.
Analysis of specifications
Preparation of the document
Submission date: 8/4/2011