Management of silk supply in the Malaysian market
Management of silk supply in the Malaysian market
Project management is essential in the process of undertaking a project for its success as per the initial plan at the time of idea generation. Proper management thus needs to be intertwined with proper strategies so that the whole process becomes worthwhile and beneficial to either the project owner or the society in which the project id to be undertaken. This paper examines the silk project management development in the Malaysian market and some of the external and internal factors prevailing in the marketplace that contributes to the success of silk supply.
Project team development for the supply of silk to malls and hypermarkets
This is a continuous process hence cannot be carried once as it involves different stages (Alter, 2006). The developments of the team is therefore procedural and for them to be effective in the process of purchase and the exportation of silk to the Malaysian market, the following activities have to be undertaken within the market scope:
To begin with, there should be team building of the members who have been identified to participate in the supply process. This is to create proper relationships between the team members to enhance their teamwork approaches hence preventing conflicts of interest at the time of delivering the silk products to the required destinations (Alter, 2006). Team building further entails the following stages:
- The forming process whereby the team members meet to learn from each other before they set off for the actual work of silk supply to the intended destinations.
- The storming process which presents to the team the hierarchy to be used in the whole process of silk delivery process to the various destinations as determined by the project leader (Kloppenborg, 2015).
- The norming process which allows the team members to table their requirements regarding the task that is ahead of them.
- Performing process in which the members now focus on how they can perform the real work of silk supply to the supermarkets and malls as per the requirements of the leader (Kloppenborg, 2015).
Secondly, the training of the team members to improve their competencies as they continue with the supply process of silk so that the overall sales can be high in the long run. The training costs should be placed initially to avoid cost overruns in the process of carrying out the project itself (Alter, 2006).
Thirdly, the co-location process which entails the whole process of placing the silk exporters to places that is convenient to their destinations for improved performance in the course of their duty in the Malaysian market (Morris & Pinto, 2010). The team headed to a specific place is teamed up at one central place for their convenience in the delivery process.
Lastly, there should be rewards for those who excel in the supply process so that other teams can be motivated to work extra hard in the marketplaces hence improving the sales of silk in the Malaysian market in general. These rewards may either be financial or even nonfinancial in nature (Kloppenborg, 2015).
Reasons why projects costs may exceed the real budget
Lack of experience of the project leader: the inexperience of the leader of the silk project might have led to the budget failure. A new project leader in the field meets so many hurdles in the process of carrying out their duties and hence needs constant supervision by another leader with experience to ensure the success of a given project so that they are mentored in the field (Morris & Pinto, 2010).
Poor communication or personnel management: in all the project phases, timely and accurate communication needs to be done and there is need for the leader involved to show concern and express themselves clearly to the team members (Morris & Pinto, 2010). At the planning stage, misunderstanding may lead to delays and overruns of the budget while trying to rectify the mistakes that might have been made during the planning stage. It is thus proper that frequent updates be made so that timelines can be met at a minimal cost and lack of proper communication and updates might have increased the budget cost.
Human Errors: the omissions and misplacement of figures to places where they do not belong to within the accounting books can be costly in the long run escalating the cost of the project above the intended budget (Mian, 2011). This implies that there needs keenness while handling accounting issues of a project to avoid errors, failure to which might have caused the high costs of the supply of silk.
Losses by damages or malfunctioning: the replacement, reorder or even repair of equipment to be used in a project due to their failure to operate or damages on site adds on to the cost of the project hence may result in the use of unnecessary resources that were not planned for initially hence increase the cost. It is therefore the responsibility of the project planning team to put additional costs for such eventualities. The supply vehicles and other equipment failures might have contributed to the high-cost project cost than the budget value.
Vendor issues: suppliers, contractors from outside in many cases have issues that do not work to the success of the projects as had been planned for hence increase in the value of project from the intended budget. These may be as a result of lack of professionalism of some of these people as well as their inadequacy to meet deadlines (Morris & Pinto, 2010). In some cases, they might even do a shoddy job implying that replacement has to be done, thus raising the cost of the whole project.
Absenteeism of employees: in the event that some employees were frequently absenting themselves from work due to either some emergencies or sickness, replacing them might have increased the cost and thus adds onto the cost of the overall project (Basu et al., 2013). This should thus be avoided as much as possible by the project leader.
Poor workmanship: if the allocated work is not completed in time, the supply cost of silk is likely to go up due to adjustment costs of meeting the deadlines or even in terms of overtime as others are made to complete the supply task hence more money being used and this could have contributed to the cost of the supply high (Mian, 2011). This might have resulted from a lack of experience of the workers on the supply criteria.
Natural calamities or bad weather: bad weather like rains on a particular day might have led to delays in the delivery of silk to the expected supermarkets and malls. Therefore, in the event of trying to adjust to supply the same destinations, more funds have to be used (Basu et al., 2013). These are natural calamities that cannot be prevented but their allocation should be done early enough in the planning stage to avoid cost escalation in the event that such occurred.
Poor foresight: the poor planning at the start of the silk supply project might have led to the increase in the supply cost. The initial cost was lower than necessary and could not see the tender to supply silk to these malls through, thus there was an increase in the budget (Mian, 2011). These might have been a misappropriation of salaries or even overhead costs of the supply process.
Poor resource allocation: the exorbitant spending of the funds meant for the purchasing of silk and in the entire process of distribution to the required destinations might have resulted to the high cost of the whole process than was expected at the planning stage of the supply tender (Basu et al., 2013). If poor quality silk, for example, was bought and supplied to the customers but in the end were rejected, then to replace the rejected silk with high-quality silk for customer satisfaction might have led to the increase in the overall cost of the project of supplying silk to the malls and supermarkets.
Factors for the development of silk industry
Raw material: due to the ease with which silk can be transported, it has made it easier for the importation of silk from one country to the other. At the same time, its imperishability has made the industry not to incur losses associated to perishability in the course of transportation (Condra, 2008).
Labor: the abundance of labor and skills required in the production of high-quality silk in the countries is contributing to the silk industry as quantity and quality products are emanating into the world markets (Basu et al., 2013).
Technology: The industrial development that has taken place in some of these countries has enabled growth of industries which are helping in the sector to produce quality silk for export especially to Malaysia (Condra, 2008).
Good and favorable climate: the tropical climate which is temperate in nature favors the growth of all types of silk in these Asian countries like univoltine, polyvoltine and bivoltine silk varieties in these countries.
Government policies: in some of the countries there are proper policy guidelines by the government to help the farmers sell their silk product through cooperatives. This eliminates cases of exploitation of these farmers in the local and international markets by the middlemen. It has also taken the government an initiative to provide training to the farmers as well as extension services so that their knowledge can be boosted in the current growth of silk in these countries (Basu et al., 2013). In India, for example, the existence of Indian Silk Export Promotion Council has to a larger extent brought development in the industry. It has been responsible for organizing roadshows not to mention fairs all over the world with a view to creating and promoting trade with different parts of the countries. At the same time, the council tries to link the producers of silk together with willing and potential customers.
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Condra, J. (2008). The Greenwood encyclopedia of clothing through world history. Westport, CT: Greenwood Press.
Basu, D. S., Menon, J., Severino, R., Shrestha, O. L., Asian Development Bank, & Institute of Southeast Asian Studies. (2013). The ASEAN economic community: A work in progress.
Kloppenborg, T. J. (2015). Contemporary project management: Organize, plan, perform.
Mian. (2011). Project Economics and Decision Analysis. Tulsa: PennWell Corporation.
Morris, P., & Pinto, J. K. (2010). The Wiley Guide to Project Organization and Project Management Competencies. Somerset: Wiley.