MERCHANDISING
A MANAGERIAL ACTIVITY
Functions of a merchandiser
The successful execution of any garment export order depends on the work
performance of a merchandiser.
A merchandiser is a person who plans and coordinates all the activities right from the
order preparing till the shipment of the order.
Merchandiser should have the comprehensive knowledge of his work procedures and
responsibilities so that he could perform his term efficiently and effectively
Though the merchandiser coordinates all the activities in an export order, it is
necessary to clearly define the working functions of a merchandiser.
In an export industry a merchandiser has to perform the following functions:
Planning and Sourcing and
Communication Follow Ups Decision making
programming purchasing
Controlling Co-ordination Negotiation Costing Meetings
Participation
Expedition or Document
Reporting and Forecasting
execution keeping
development
Communication
This is one of the foremost function of a merchandiser because the
merchandiser has to communicate with different level of people in his or
her day to day activities. He or she has to communicate with:
The current buyers for follow-up of existing orders
New buyers for potential future business prospects
The boss and his superiors reporting day to day proceedings
The concerned departments like production, purchase, account, shipping etc. Following
up the order proceedings
The suppliers in the procurement of necessary accessories
Assistance in giving proper instruction and guidance
Planning and Programming
A merchandiser has to:
Review order to check the feasibility of the order execution and the
requirements of the particular order
Planning for the given order by making master plan order scheduling or
critical path
Programming of various activities like yarn purchase, Knitting, Processing,
sampling, accessory purchase, sewing etc.
Proper allocation of work to the assistants
Follow Ups
The following activities include follow Ups with:
Sampling department in sending various samples at different stages of the
order
Various processes like knitting, processing and production units etc.
Suppliers and vendor units
Buyers and buying house for sample and other approvals
With concerned department such as shipping, accounting, purchase etc.
Decision making
A merchandiser has to make several decisions during the order processing. This
include
Giving approvals like fabric, color, design ,accessories, packing etc.
Selection of suppliers and vendors
Sometimes time extension for the order shipment
Selection of buyers
Make or buy decisions
Sourcing and Purchase
In this era of globalization, global sourcing has made a mark as the latest business
trend. Many buyers go for the nomination of suppliers for various accessories like
labels, tags, stickers etc., who may reside locally or abroad.
A merchandiser has to do sourcing and purchasing for:
Raw materials and accessories
Suppliers and vendors
New designs
New buyers
Controlling
Controlling is the activity of taking care of target which are specified
in the particular order planning.
This is one of the crucial activities for any merchandiser.
A merchandiser has to make sure that all the activities are carried
out as per the planning and even if there is any deviation, he or she
should make the alternative measures.
Poor controlling will lead to the efficient execution of order.
Coordination
Coordination is also one of the crucial activities for the merchandiser.
In apparel production process, the probability of uncertainty and difficulties are high because it
is an integrated network of various processes.
Failing or delay in one process will affect the following processes in a network.
Merchandiser has to co-ordinate in such a way, so as to reduce the uncertainty and difficulties.
If there is a problem reported, the merchandiser has to support and lend helping hand in order
to complete the task successfully in the given period.
Both the controlling and coordination activities complement each other and a merchandiser has
to adopt to both accordingly.
Negotiation
It is an activity of convincing, compromising and corporation which would benefit the both parties
involved in negotiations. As apparel production involves more uncertainties and practical
difficulties, sometimes there may be a need for negotiation of certain things. This may be for:
Price, with buyers and suppliers
Approvals for color, design etc.
Quality reasons
Quantity (shortage or excess of shipment
Time extension in delivery of the order
Terms and conditions
Costing
It is the process of estimating the expenditure of cost of a product and the
subsequent price.
It is an another crucial function because mostly order confirmation depends on the
price offered to the buyers.
Earlier days, normally costing would be done by the boss of superior and some
companies have separate costing department but now a days it is the responsibility
of the merchandiser to do the costing.
The merchandiser should know the current prices and rates of various products and
processes to do the accurate costing.
Meetings
There are two types of meeting a merchandiser has to be involved with.
First type, a merchandiser has to conduct a meeting with the concerned
department in charges to discuss about the proceedings and the status of
the running order. Alternative courses of action will be taken by the
merchandiser if there is any deviation from the planning or any problem in
the production.
Second type, a merchandiser as to attend the meeting with the superior like
the buyers or buying house people.
Reporting
It is an activity of informing or recording the happening to the
superiors in writing. This function involves the following things:
Daily updates to buyers or superiors
Preparing the daily or weekly reports
Overall order status
Informing any uncertainty which may affect the order of the company.
Expedition or Execution
This function involves the execution of the order a sample in an
appropriate way even though if there are any difficulties or delay.
A merchandiser should know the crisis management strategies so that the
order is shipped without any problem to both the exporter and the buyer.
For example while sending the samples you should know the network of
various courier services so that the samples may be sent lately and it made
it the buyer in time or earlier.
Document Keeping
Export order processing involves many documents like order sheet, test
reports, approvals, inspection reports, daily communication etc. which
have to be recorded properly.
The documents can be maintained properly by making separate files like
buyer wise, order wise, approval files, testing report files etc.
A good document keeping will enable the retrieval of the documents
whenever necessary in a short period of time and which may be helpful in
quick decision making.
Participation and Development
Merchandiser may have to participate in various
promotional and developmental activities like in trade
fairs, shows, seminars, workshops, conferences etc.
A merchandiser must be involved in the development of
new products or business opportunities with the existing
buyers or new buyers.
Forecasting
It is the activity of predicting the future happenings or
uncertainty and identifying your problems.
Merchandiser has to predict the future uncertainties in the
current order or industry so that alternative actions or
corrective measures can be taken in advance.
This also includes giving suggestions or ideas about new
technologies or new products or latest industry trends.
THANKYOU