Efficiency from applying Lean production tools at Esquel Binh Duong

Esquel Binh Duong Garment Company is a unit specializing in the production of garment products and garment materials and accessories 100% exported to foreign markets. Currently the company has more than 6000 workers, produces 1,700,000 shirt products and more than 400 tons of fabric / month.

In the context of garment exports, there is increasingly fierce competition between garment corporations; Esquel Company has chosen its own direction by making a difference in the garment manufacturing industry; through advanced technology, modern management thinking, lean production methods, and long-term human resource development investment goals. To create this, enterprises have identified the role of modern technology application is very important, helping to increase competitiveness among businesses in the same industry.

Currently, Esquel Binh Duong Garment Company has 67 sewing lines, including 2 training lines, with a production capacity of 1.7 million products / month. Esquel has automated many stages in the textile process such as: Automatic mixing and pumping of dyes, helping workers not needing to contact chemicals, ensuring the environment is always clean, environmentally friendly; using 4.0 technology to control and treat wastewater remotely; with sewing cutting process. In addition, the company also invested in automatic and semi-automatic equipment lines in stages such as: Fold, flatten fabric, cut fabric, sew and print, embroider, and auto button press.

Thereby, the productivity of Esquel is no longer dependent on the workmanship of workers, helping to improve productivity and ensure product quality. A sequel is also applying product system management software, by scanning products on the system to trace product origin, design and quality. Thereby, businesses also know the quantity and quality of products in a day. Adopting advanced production management practices, Esquel brings responsibility for quality assurance to workers. That means focusing on quality at the root. Therefore, at the end product inspection stage has saved 50% of time and manpower.

In addition, Mr. Nguyen Van Luong, General Director of Binh Duong Esquel Garment Company shared: “For long-term and sustainable development, the company pays great attention to technological innovation; applying advanced production methods; modern machinery, equipment and support tools improve labor productivity as well as product quality. The application of LEAN (lean manufacturing) has helped the company eliminate 7 wastes, including: overproduction, inventory, waiting, redundant work, redundant movement, defective goods and redundant work. Labor output increased 2 times compared to before, from 40,000 to 80,000 dozen per month. Previously, the company’s weekly reporting activity did not apply Power BI software, it would take 25 minutes for the 1 report to report, with 90% of manual manipulation to copy and plot charts into reports. But the data may not be accurate. After improving with Power Bi software, which only needs to be a standard format for the report, it was possible to shorten the time for a report by and get accurate data.

In 2018 the company won the first prize of the National Quality Award. This result not only brings pride and pride to the employees at Esquel Vietnam for creating a great surprise for other colleagues in the same countries to admire, this is also an opportunity to elevate the level. Corporate branding, improving competitiveness, helping businesses continue to bring high quality products and services to consumers, partners and communities.

Productivity and Quality Office