Success Story:   Fruit Of The Loom

The Context Group had been working with Fruit of the Loom ’s active wear group (the single largest division of the company) for several years. One of our assignments was to investigate innovative ways in which to increase the company’s importance with its distributors. The Context Group conceived and executed the company’s venture into electronic commerce, establishing the first economically viable application of web site development in the decorated apparel sector. This resulted in millions of additional revenue for the firm while also establishing it as a leader in e-commerce.

Success Story:   Outer Banks

The Context Group was asked by Outer Banks, a major supplier of knit shirts, to identify its position in the market and to make recommendations regarding ways to grow the business. The company has greatly increased its share of its traditional markets while also making significant progress in identifying and taking advantage of new market opportunities.

Success Story:   Crescent Woolen Mills

The Context Group was asked to assess the outlook for the Crescent Woolen Mills’ traditional products (primarily woolen yarns) and to identify growth opportunities for the firm. The Context Group successfully pinpointed specific customers with which to grow and outlined a relatively simple (and cost-efficient) plan of action to take advantage of these opportunities.

Success Story:   Botree International (Mauritius)

The Context Group assisted Botree International in evaluating the market potential of a new apparel production control system that they had developed for use in India and the southern countries of Africa. They believed that the new system offered significantly superior capabilities, but were unsure about how to penetrate the North American market. The Context Group recommendation to identify and link with a marketing partner is underway.

Success Story:   Carriage Industries

The Context Group assisted Carriage Industries, a Dixie group company, in developing and improving its systems and processes for forecasting, production planning and inventory management. The company improved inventory turns dramatically to over 6 turns, and reduced inventory investment by over $13 million. As part of Dixie’s strategy to exit from the textile business The Context Group advised and assisted in the successful sale of the Caroknit fabric business to Spartan Mills.

Success Story:   Richelieu Knitting

The Context Group performed a manufacturing diagnostic of the operations of Richelieu Knitting, a knit wear company. The study showed improvement opportunities that, if successfully implemented, would yield annual savings in the range of $2.0 million. This implementation is currently underway.

Success Story:   Keystone Industries

We assisted Keystone Industries, a Canadian jeans wear producer, to design a new distribution center to allow the company to achieve doubling their volume over three years. Conceptually, the project included the implementation of new storage and picking techniques. Following a successful installation, turns levels increased 50% with reduced staffing.

Success Story:  Mudd Jeans

Mudd Jeans was experiencing extraordinary growth that challenged their ability to service customers. The Context Group worked with Mudd to increase capacities, strengthen controls, cut costs, achieve better vendor performances and improve customer service. The result was that Mudd could ship the design year volumes at lower cost and with improved customer service.

Capacity improvements included the merchandise processing, storage, in process and overall facility utilization. Controls focused on labor performance, internal accuracy and systems support. Customer service included accuracy to customer and OIP time. Cost reductions were achieved in direct labor; charge backs, occupancy, packaging and supplies and inventory control. Vendor performance worked on an audit process; follow up gained improvements in accuracy and quality.

Success Story:  Bayer Clothing

The Context Group was retained to rationalize distribution processes, to cut costs and to improve controls. The result was that productivity increased 60% and costs were cut by 40% for an operation that already had a gain- sharing program and a union contract in place. Major improvements included the following: Losses to capacity were reduced through job combinations, layout changes, workstation designs, equipment improvements, simplification, work aids, systems support, accuracy improvements, etc. Standards and performance measures were developed for each processing operation against which operators were paid individual incentive earnings. Other sources of savings included supervisory effectiveness, packaging and supplies, equipment and facility utilization, etc. Labor and accuracy controls were improved and processing capacities increased.

Success Story:  Sara Lee Canada

Sara Lee Canada retained The Context Group to assist in completing a distribution strategy initiative. Because of rapid changes in the organization and resulting increased unit volumes, total inventory levels had increased to unacceptable levels. By rationalizing the capacities of five warehouses, productivity levels increased significantly and overall turn levels increased more than 20%.

Success Story:  Northern Engraving (Wisconsin)

As part of a refinancing exercise management wanted to evaluate the opportunities available from sourcing in the Far East. TCG put together a plan to maintain a strong US based capacity but also recommended establishing operations in the Far East and Eastern Europe to take advantage of growing markets. This has enabled the company to increase its global business over 30%.

Success Story:  American Industrial Partners

American Industrial Partners, an investment group based in California, asked us to help assess a major Canadian textile company. The due diligence included assessments of globally based operations and logistics. The evaluation was positive, and AIP provided financing to the Canadian company.

Success Story:  Gladstone Capital

We conducted a high level overview and due diligence assessment of the business operations going forward of a mid sized manufacturer and distributor of knit activewear, over a three week period. The evaluation led to their decision to finance the management’s buy out of an investor in the business.