Friday, February 5, 2010

Code of Conduct

Every trade fair that I attend opens up a new Pandora’s box of controversies, contentions, discontentment, disagreements and hot discussions on conflicting opinions… and the most talked about subject at the GTE’10 was the conduct of new and old garment manufacturers when planning to invest. Invariably, all machine manufacturers whether principals or the agents talked about how the garment manufacturer used unethical, scrupulous and shameful means to ask for various advantages before placing an order with them.Asking for heavy discounts is no doubt their right, but after signing the contract with one principal, they flash it around for better deals and then unscrupulously shift alliance giving no reason or excuse to the first party, taking it as their right of best bargain… and the bargaining doesn’t stop there… some manufacturers will go to the extent of demanding visitation abroad, either a visit to international fairs or the machine factory on pretext of taking the demo of the machine.

 Even after this there is no surety of signing the contract. There are known instances of the prospective customer asking for hospitality for not only himself but also for his family within India and abroad.At the fair, I met a company Chairman from the Western region who has promised everyone huge orders for almost one year now and he has still not placed even a single order. He and his family have visited Germany, France, China, Bangalore a few times and only recently Delhi… is this ethically right…Right now I am not sure who is to be blamed, is it the unethical ways of the garment manufacturer or the dishonest ways of machine agents to get business that perpetuates such behaviour.

But as soon as I figure this out I will continue on the subject. Meanwhile, if you have a suggestion, please post them to me. Let’s not forget that the garment manufacturer and the technology provider both need each other and to co-exist there has to be mutual respect. Getting back to the GTE fair, which was a reality check on what the industry is up to… the first strong pulse was the visible vibrancy running through every player – exporters, technology providers and domestic manufacturers – that clearly reflected that the recession is over.

As technology providers were kept busy balancing offerings for the domestic manufacturers and the exporters, both of whom turned out in good numbers, the realization drawn that investment in expansion and upgradation is on the agenda of most manufacturers after a span of nearly two years, more so as most factories are booked up till May 2010.I also picked up positive vibes from industry professionals in the last two weeks… wherein I met many industry insiders ideating on educating and motivating not only the operators and supervisors, but also the middle and upper management cadre to impart a sense of belonging, moulding them towards practical industry understanding. The thrust brings a promise for greater professionalism in the industry in the time to come.
Deepak Mohindra