Central Trading uses Lean manufacturing
Two years ago Central Trading Co, a unit of the Central Marketing Group, paid its staff the daily minimum wage of 215 baht, which accounted for 20% of production costs.
Despite the increase to 300 baht on Jan 1, the company lowered jeans production costs by 7 million baht per year after it took advantage of projects by the Industrial Promotion Department to promote lean manufacturing and maximize material utilization.
By improving the production process, the company lowered its defect rate to only 3% from 13% in 2010. It aims for zero defects this year.