Evaluating the Efficiency of Supply Chain Management of Bangladesh Readymade Garments Industry

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Dr.Mamun Habib
Yeaseen Chowdhury
Md Zahedul Alam

Abstract

Efficient implementation of Supply Chain Management (SCM) is very imperative for Bangladesh RMG sector to remain competitive in
the global market. Bangladesh is struggling with meeting customer lead time, quality problem and with productivity comparing with other RMG producing nations. Moreover, the industry experienced few setbacks relating to building collapse and fire incident which forced the industry into more challenging situation. The country has no alternative to implement proper SCM in order to
achieve the desired export goal of US$ 50 billion set by government within year 2021. But unfortunately the level ofpractice and efficiency level of SCM is not satisfactory. This study measures the efficiency level of SCM in RMG sector following Supply Operations Reference Model (SCOR) and found it unsatisfactory. Theanalyses suggest that all the operational dimensions are linked with one another and companies need to improve on all dimensions for improving SCM efficiency. The study provides a
model for measuring SCM efficiency with eight latent factors.

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