The challenges of on-demand and digital production
Return on the webinar of the November 9th 2021
As part as the digital transformation program "DIGITAL@MODE", a series of webinars organized by the DEFI and Creative Valley adress the different issues of digital. Return on the November 9th event, which had for theme the on-demand production.
We had the pleasure to receive Pierre-Aldéric Boëgler, Head of Sales at Tekyn, specialized in digitalization and automation of the textile production experience, accompanied by Chrystelle Gautier, ready-to-wear Director at La Redoute.
During this exchange, animated by Carole Barkatz, many subjects have been discussed to answer to the following problematic :
« How to get into the on-demand production to improve economic and environmental performances through digital ? »
What is the on-demand production ?
The on-demand production is a "pull" production, that react expressly to the customer demand. We only manufacture what is sold, thus privileging the quality of stocks over the quantity. That makes it a major lever of company strategy and digital transformation of the production
"The on-demand production represent a paradigm shift : we move from a push system to a pull one, in which the production tool answer to the end customers demand" Pierre-Aldéric Boëgler, Head of Sales - TEKYN
The "Test & Learn" solution offered by Tekyn, and already adopted by La Redoute since 3 years, is a total rethinking of the production model, led by the real demand of the customer.
Each week, the sales are analyzed for a more relevant restocking in order to produce the right amount at the right time, as opposed to the usual production, which sends between 50 and 80% of the collection at its launch.
This analysis gives rise to a process of interconnected actors that puts the global value chain into perspective and reveals a digitalization accelerated by numerous technological, social, environmental, economic and geopolitical factors. They respond to the major challenges facing the textile industry : an extremely competitive market, a volatile customer base, and the overriding question of sustainable development.
The benefits of such an approach
The main strength of this on-demand production is agility and adaptability in real time, since we react at what is happening on the market and not to a projection on the future.
Moreover, the benefits of this system are numerous :
Customer centric at its best,
Environment friendly, by avoiding over-production, and by reinforcing the proximity production in EU (reduction in CO2 emissions and the waiting period)
Cost-effective, since we can see an increase in turnover around 30% with a final margin over than 10% thanks to this adjustment of the stocks, which allows a flexibilization of the fabric, and thus to produce more models with the same quantity,
The implementation of a collaborative system of federation between workshops and brands, for a co-building of a new supply chain more sustainable and efficient.
In short, the effectiveness of Tekyn, and more broadly of the digitalization of on-demand production is embodied by simplicity, rationality, and immediacy. For ready-to-wear brands that would like to eco-design, La Redoute is paving the way on this paradigm shift.
An event which has generated a lot of interest and interactions among the brands and actors of the clothing industry present.