NATIONAL INSTITUTE OF FASHIO! ECHNOLOGY PATN SEMESTER-V (2019 - 2023) APPAREL QUALITY MANAGEMENT Compliance Policies in Apparel Industry Under the Guidance of - Mr. Jayant Kumar Assistant Professor - DFT NIFT— Patna Arijit Rana (BFT/19/131) Poornendukrishna Rao (BFT/19/414)CERTIFICATE This is to certify that this assignment on- is based on the original research work of ~ Arijit Rana and Poornendukrishna Rao of BFT-IV conducted under the guidance of Mr. Jayant Kumar towards fulfilment of curriculum of the subject- Apparel Quality Management of NATIONAL INSTITUTE OF FASHION TECHNOLOGY. No part of this work has been copied from any other source. Material, wherever borrowed has been duly acknowledged. Date: 13/12/2021 Arijit Rana (BFT/19/131) Poornendukrishna Rao (BFT/19/414) Mr. Jayant Kumar Assistant Professor Department of Fashion Technology, NIFT-PatnaACKNOWLEDGEMENT We would like to express special thanks and gratitude to our subject faculty Mr. Jayant Kumar who guided me on this assignment. It helped us strengthen our concept of Quality Management Moreover, we would also like to thank CC-DFT for her constant support and guidance. Last but not the least, we would like to thank those who have directly or indirectly helped us and without ‘whose guidance or encouragement this assignment would not have been successful Arijit Rana Poornendukrishna RaoList of Tables and Figures Table no 1: Social compliances Figure no 1: Broken Needle Figure. no 2: Broken Needle Log ....... Figure no 3: Machine blades and other sharp tools 02 05 06 07CONTENTS Certificate Acknowledgement List of Tables and Figures 1.0 Introduction 1.1 Compliance policy in India and World.. 1.2 Compliance Audits 2.0 Compliance policy in Apparel Industry. 2.1 Social and regulatory Compliances 2.2 Various Types of Social Compliances «......++ 2.3 Needle and Sharp Tools Management System 2.3.1 Needle Replacement System 2.3.2 Management of Sharp TOOIS ssssssssceccsseessssssseeeeeeeessnnansessceeeceennuDT 3.0 Conclusion 4.0 Reference ..1.0 Introduction, Compliance guidelines are set of rules and regulation in the form of company’s internal policies and procedure that are put in action in order to act in accordance with laws and regulations. These compliance policies envision the organizations goals and aspire to achieve, while being aware of the steps taken to act in accordance with the relevant laws and regulations of the land. Compliance in business entails a well-thought-out plan that contains the appropriate rules and procedures to guarantee that compliance standards are met in a timely way. To document those methods, a firm must also have an accurate record-keeping system. Compliance is connected to corporate governance in business, which is the framework of rules, regulations, and procedures that a firm operates under. The primary goal of corporate governance is to guarantee that an organization's relationships with its major stakeholders are compliant with the law, accountable, fair, and transparent. 1.1 Compliance policy in India and World The credibility and success of a firm are dependent on its image. Apparel industry is a export oriented business. Compliance is all about the quality of the factory's products and the working environment, both of which must pass audits and inspections. When the working environment is pleasant, the attitude and energy level of the workforce improve, resulting in higher productivity. The garment ‘manufacturer must ensure that employees are paid in accordance with the amount of time they spend in the industry. It must also guarantec that the salaries paid to employees are proper and in accordance with industry wage rules, and that the working environment meets workplace requirements. For foreign companies, India is a key destination for garment imports. Poor working conditions, discrimination, sweatshops, and child labor are just a few of the issues that large European and American apparel businesses confront when buying garments from developing nations like India These risks are gradually being reduced as awareness grows and greater independent monitoring of overseas firms is implemented, Furthermore, these industrialized countries are under growing pressure to fulfil global labor standards. This has compelled Indian garment producers to take legal compliance problems into their own hands in order to change the country's negative image. The compliance efforts of leading overseas retailers have had a favorable influence on child labor, minimum wages, discrimination, and health and safety issues in developing nations, with 70% of garment export employees now protected by Employee State Insurance (ESI) and Employee Provident Fund (EPF) (EPF). For Indian enterprises, meeting compliance presents a number of obstacles. When it comes to executing the code of conduct, the majority of suppliers see compliance programs as a new burden. Cultural difference, understanding local law, locating local language and dialect abilities, locating local audit and monitoring professionals who are familiar with local issues, and involving workers, local communities, NGOs, and other stakeholders are some of the external hurdles. 1.2 Compliance Audits Compliance audits are used to assess and measure how well a company complies with mandated rules. In India, compliance auditing entails scrutinizing rules, regulations, directives, and instructions for legality, adequacy, transparency, and prudence. Auditors obtain information from the site through visual observations, document assessments, and personnel interviews. This information is then compared to the necessary permits and regulations to determine how well the activity complies with those legal requirements. Audits and assessments serve as a crucial management control for initiatives aimed at improving safety, security, and risk management. They aid in determining if initiatives are adequately conceived and implemented. Audits reveal flaws so that recommendations for corrective action can be generated o12.0 Compliance policy 24 Soci Apparel Industry and Regulatory Compliances Social compliance relates to how a company handles its people, the environment, and its attitude toward social responsibility. It refers to a bare-bones code of conduct that governs how employees are treated in terms of salary, working hours, and working conditions. A compliance audit may be required to ensure that the company fulfils the standards of numerous environmental legislations, Regulatory compliance refers to a firm's compliance to relevant laws, regulations, guidelines, and specifications. Violations of regulatory compliance are frequently met with legal repercussions, including regulatory fines. To thrive in this era of globalized markets, the apparel sector must give the lowest possible costs with the shortest possible supply chains. In this race, factories frequently put their social responsibility or social compliance on the back burner. Social compliance refers to how a company treats its employees and the environment in which it operates. It is just a minimum code of behavior that guides the firm in how its employees and the environment should be treated, including employee wages, working hours, working conditions, and environmental legislation. The goal of social compliance is to protect labor standards concems. 2.2 Various Types of Social Compliances ‘Table no 1: Social compliances > Child labor policy Child labor policies are certain set of rules and regulation formulated by the governments actoss the world, The companies in adherence to this policy have adapted certain rules of employment in their organization where they have clearly mentioned that they will not employ a child, whose age is below 15 years. The management shall establish, document, maintain, and effectively communicate to personnel and other interested parties’ written policies and procedures for the remediation of child laborers, as well as provide adequate financial and other support to such children to enable them to attend and remain in school ‘until they are no longer considered children as defined above, According to section 67 of factory act, 1948, it clearly states that no child who has not completed his 14" year shall be allowed to work in the factory. > Forced Labor policy To safeguard the rights of the workers and to give them their rights forced labor policy is been implemented, according to which, the entity shall not employ or encourage coercive or compelled labor, including prison labor. Neither the organization nor any company supplying labor to the organization may withhold any portion of a personnel’s income, benefits, property, or documents in order to compel such staff to continue working for the organization, 02v Personnel shall have the tight to leave the workplace premises after completing the standard workday and shall be free to terminate their employment if they provide reasonable notice to their employer. Health and Safety Policies Being labor intensive industry, it is necessary for the firms to follow some standards to maintain the health and safety of the workers, The organization shall offer a safe and healthy workplace environment and shall take effective actions to prevent potential health and safety incidents as well as occupational injury or sickness resulting from, associated with, or happening in the course of employment. It shall significantly mitigate, to the greatest extent reasonably practical, the causes of all hazards in the workplace environment, depending on the industry sector's current safety and health knowledge and any specific risks. The organization must provide effective health and safety training to employees on a regular basis, including on-site training and, if appropriate, job-specitic training, Such training must be repeated for new and reassigned staff, when incidents have occurred, and when changes in technology and/or the introduction of new apparatus pose new threats to personnel’s health and safety. The organization shall provide free access to clean bathroom facilities, potable water, sufficient areas for lunch breaks, and, when required, sanitary facilities for food storage for all staff. All personnel have the right to flee immediate serious risk without requesting authorization from the organization. i All personnel have the right to create, join, and orchestrate trade unions of their choosing, as, well as to bargain collectively on their behalf with the company. The firm must respect this freedom and adequately tell employees that they are free to join any worker association of their choice without fear of punishment from the firm. The company shall not interfere with the formation, operation, or administration of workers’ associations or collective bargaining, The organization must ensure that union members, representatives of workers, and any workers engaged in engaging the community are not subjected to discrimination, harassment, intimidation, or retaliation as a result of their status as union members, representatives of workers, or personnel engaged in organizing workers, and that such representatives have access to their workers in the organization. jom of Association Discrimination The organization shall not engage in or support discrimination in hiring, remuneration, access, to training, promotion, termination, or retirement on the basis of race, national or territorial or social origin, caste, birth, religion, disability, gender, sexual orientation, family responsibilities, marital status, union membership, political opinions, age, or any other condition that may give rise to discrimination. Threatening, abusive, exploitative, or sexually coercive behavior, including gestures, words, and physical contact, is not permitted in the workplace or in any dwellings or property organization provides, whether owned, leased, ot contracted through a service provider. Disciplinary Practices All workers must be treated with dignity and respect by the organization. The organization will not utilize or condone corporal punishment, mental or physical coercion, or verbal abuse of employees. There will be no harsh or brutal treatment, Working Hours ‘Working hours, breaks, and public holidays must be observed in accordance with laws, collective bargaining agreements (where applicable), and industry standards. Every six 03consecutive days of work, employees must be given at least one day off. And overtime shall be voluntary work. v Renumeration The firm must respect personne!’s right to a decent wage and ensure that salaries for atypical work week, excluding overtime, always meet at least legal or industry minimum standards, or collective bargaining agreements (where applicable). Wages must be sufficient to fulfil personnel’s fundamental necessities while also providing some discretionary income, The company shall guarantee that the salary and benefits composition of employees is clearly and. regularly specified in writing to them for each pay period, The management shall properly pay all wages and benefits owed to employees in a timely and convenient way, but under no circumstances in delayed or restricted forms, such as vouchers, coupons, or promissory notes. Overtime must be reimbursed at a premium rate determined by national law or a collective ‘bargaining agreement. Personnel shall be compensated for overtime at the organization's premium rate or at a premium rate comparable to existing industry norms, whichever is, higher, in countries where a premium rate for overtime is not set by law or where there is no collective bargaining agreement 2.3 Needle and Sharp Tools Management System 2.3.1 Needle Replacement System During the manufacturing process and throughout the whole manufacturing unit, all industrial sewing machine needles or pieces of damaged/broken needles are effectively regulated and accounted for. This implies that whenever a new needle is issued, itis cross-referenced with stock levels of the specific needle and size to ensure complete traceability at all times. This includes janome sewing machine needles (machine and hand sewing), as well as any ticketing or kimbal/tag gun needles, and the policy applies to all areas of manufacturing, such as the sample room, embroidery and appliqué machines, machines located outside of the main flow of manufacture, and operations performed outside the factory premises. ‘Needles Supplies Guidelines A person is designated to keep a limited supply of a certain number of needles in a permanently. closed and clearly labelled facility. This facility is only accessible to the designated person in charge of overseeing the entire process. Only if the store officer retums the corresponding number of used needles to the relevant manager/section will a replacement be supplied (¢.g., store). A designated member of management is in charge of the stock of industrial sewing machine needles (¢.g., production manager, warehouse manager etc.) The good needle releasing amount is fully traceable in the sewing workshop according to the 'One in/one out’ policy, i.e, needle stock match needle balance record, Spare needles ate kept in a safe and secure location away from the production floor. There is often a documented needle inventory, such that the number of needles entering the facility is accounted for using the needle distribution and broken needle records. Control of In Use Sewing Needl A person designated as a safety officer, for example, someone in charge of health and safety and internal auditing, monitors compliance with this policy on a regular basis through audits and random checks. A store officer is distributing new needles. The person designated to replace needles ensures that all parts of the old needle are received before providing a new one. Only until all parts of the old needle have been returned can a new one be given. New industrial sewing machine needles are kept in a secure, locked, clearly labelled, and safe area with limited access. The authorized user keeps the key to the storage area at all times, and machine operators do not have access to it. The needle record is preserved for all types of needles and includes taped bend or broken needle fragments. The broken 04needle record is evaluated on a regular basis to identify tendencies of breakage, allowing the factory to be proactive in preventing excessive needle breakage. Machine parts that are worn or out of alignment, as well as operator mishandling, can all lead to breakage. Fig. no 1: Broken needle ‘itps:/2.wp.com/ordnur.com/wp-contentupload/2018/03/Needle-Broken-Needle-and.-Sharp-Tools-Control-Procedure-in- ‘Apperel-Industry ing Ne Changing Procedure During Production Needles and their points are checked on a daily basis to avoid needle breakage, damaged or worn tips, The checks and any needle changes are documented, together with the needle ref. that was switched. Machines, including needles, are examined every day in the morning before the worker begins work. Any needle damage or alterations are documented on a Replacement Needle Record. If any inline or final QC inspectors discover any needle damage, the relevant machine is promptly checked and needles are changed, All damaged or bent needles are securely taped to the needle replacement form using clear adhesive tape, and all parts must be tallied. The store officer is in charge of keeping, records. The mechanie/s collect any old/blunt needles, document them, store them in a sealed container in a separate room from the sewing floor, and send them outside for recycling, Broken needle/calibration records are kept for a minimum of six years from the date of shipment for auditing purposes and then safely disposed away. Records should never be stored near the plant floor becaus this can lead to contamination. A broken or damaged needle is always replaced with @ new one, with all pieces of the old one accounted for. As a result, the trade is one for one. Mechanics ensure that no needles are left on the machines after any needle repair work is completed. The industrial sewing machine needles are being removed from unused/spare machines. Broken Nei lle Control When a needle breaks, the worker contacts the process's line supervisor, who locates all shards of the broken needle and hands them over to the store officer. To limit the possibility of loss, the needle or needle parts are placed in a tiny sealed container and transported to the needle control area where new needles are given. Ideally, this is a small self-contained sub shop on the manufacturing floor with one full-time employee inside who has exclusive access. All broken/bent needle components are then taped to the needle replacement form with sticky tape to ensure that all parts are securely held in place. Broken needles should not be discarded in any other way. This record is preserved for at least six years as proof of due diligence in the event of any legal claims. If any of the broken needle's partscannot be discovered, the machine operator and the supervisor investigate the area around the machine, including the oil bed inside the machine throat plate, feed dogs, and bobbin case. The ‘bundles that the worker was working on, as well as any bundles within 2 meters of the workstation, are being isolated, relocated to a separate location in a clearly labelled wooden container, and checked ‘with a metal detector (conveyor belt). Ifall of the broken needle's parts cannot be discovered, all work in progress at the workstation should be moved to a metal-free zone and extensively inspected with a ‘metal detector. In the event of a broken needle, the system requires that one bundle from the previous operation and one bundle from the next operation be inspected by a metal detector. After ensuring that the garment is clear, it should be treated normally. If metal is detected, it must be located and removed before the garment may be treated, However, if metal is detected and cannot be located, the clothing ‘must be discarded. The Operator will approach the designated individual with all of the broken needle components. The person in charge of manufacturing and the mechanic should be notified, Examine the garment or panels being sewn. Mechanics should uncover the machine's oil tanks for inspection. ‘Using a magnet, check the working area to ensure that no shattered fragments have fallen into the ready garments or panels. If the broken bits are still not located after the search, the in charge may ‘write on the reports that indicate the clothing are free of needle fragments. Only the designated/authorized individuals should reissue the new needle to the operator. Fig. no 2: Broken Needle log Needle Policy ‘Needles should be stored in maintenance stores and kept secure. A small supply of needles would be transferred to the factory floor and handed over to a designated person in charge. Locked boxes containing needles should be kept under lock and key. Broken needle components must be carried by all operators in the specified Needle carry boxes provided in each line. The person in charge of needle processes (on the factory floor) should have an inventory card that identifies the stock. Depending on the type of needle, movement in and out. The in-process stock should be kept secured at all times. The person in charge of needle processes (production floor) should have one file per production line that 06contains the following information. The person in responsibility should keep all damaged needles in a clear box comparable to the box. To deliver the damaged or replaced needle to the person in charge of the needle’s procedure, remove one of the needles, 2.3.2 Management of Sharp Tools Many garment manufacturers have a broken needle policy, which you may have heard of if you work in the industry. They do it in accordance with compliance standards. And the record of broken needles must be monitored and kept. Otherwise, factories will be denied approval for health and safety compliance checks. Aside from needles (broken needles and metals), manufacturers use a variety of sharp instruments that are part of various machines and equipment used in a production plant. The following steps are used to manage our sharp tools. We have a standard operating procedure in place for dealing with sharp tools (sharp tool policy). Our maintenance crew will not remove or replace any machine blades unless a suitable record is kept, according to SOP. This means that any worn-out or damaged blades, as well as any other sharp tools, must be returned to the maintenance crew for replacement. We keep track of sharp tool usage and used blades. We have a logbook for logging returned broken tools (blades) If any machines’ blades fail, the maintenance staff gathers them and keeps a record of them. They follow a needle policy and keep a record before issuing machine blades. All broken sharp tools are stored in separate locations (boxes). Sewing operators, helpers in the cutting room, and other departments employ blades, clippers, or hand scissors that are firmly secured to the workstation or machine. The line supervisor counts out and in clippers, scissors, and other sharp equipment at the conclusion of each day/shift. Sharp tool policies must be followed by all clothing factories. The following are some reasons why one should adhere to the sharp tool policy. A manufacturer can avoid mishaps on the shop floor by adhering to the sharp tool policy. It aids in the development of a healthy compliance norm as well as the control of inventory waste. It would aid in the development of a positive work culture and the reputation of an organization. Fig. no 3: Machine blades and other sharp tools ‘ips onlineclothingstudy. com/20? 1/1W/how-to-manage-sharp- garment hima3.0 Conclusion In conclusion, compliance policies are the guiding torch light of the business world, to perform efficiently and also maintain the safety of the workers. Compliance guidelines define the rules and regulation that specifies how an organization treats it workers, and what are the measure it should undertake to safeguard its assets. Social compliance is still a major concer in our country as only 70% industries follow these compliance guidelines. When we look at the social compliance, these are the basic human rights, such as no child labor, better health and safety, no cuts in the wages for being less productive. Nor any torturous punishment or bullying. To reduce all this issue and the inerease in the awareness of sustainability and ethical production, there is a increase in demand by the buyers for social compliance. When it comes to asset management, the needle management is a robust way of maintaining the damaged goods. For instance, the broken needle should be deposited to the maintenance or inventory department before issuing the new needle for starting the work. And all the record of the needles are stored in order to stop the contamination. There will be separate record log for storing the entry of broken needles. Whether there is a strict policy or not and buyer is not asking for much restriction, the garment industry should have their own broken sharp tool maintenance log for preventing contamination. Managers who take social compliance seriously invest more in worker health and safety, training and development, and initiatives to improve workers’ communication with management. These efforts, when combined, result in increased job satisfaction, loyalty, motivation, retention, and, finally, productivity. 08Reference Indian Garment Industry: Code of ethies - https:/aepedisha. wordpress. com/2012/05/15/indian- _garment-industry-code-of-ethies/ [Accessed on 10/12/2021] Role of Compliance Audit in Indian Garment Factory - hitps://aepedisha wordpress, com/2012/07/23/role-of-compliance-audit-in-indian-garment-factory/ [Accessed on 10/12/2021] Broken Needle Policy for Garment Factories - https://vww.onlineclothingstudy.com/2019/1 | /broken-needle-policy-for-garment.html [Accessed on 12/12/2021] How to Manage Sharp Tools in a Garment Factory - https:/‘vww.onlineclothingstudy.com/2021/10/how-to-manage-sharp -tools-in-garment, html [accessed con 12/12/2021] Needle and Sharp Tools Control Procedure in Apparel - hitps://ordnur.com/garments-2/needle~ and-sharp-tools-control-procedure/ [Accessed on 12/12/2021]