Coveralls Market Procurement Intelligence Report

The market for Clothing and Textiles and its sub-segments such as Coveralls are at an interesting intersection. Regulatory changes are taking place more frequently and the changes impact multiple functions within an organization. Alignment of procurement practices and decisions with all the new regulations has now become highly challenging, especially when category managers are responsible to centrally procure for multiple regions with different regulations.

Many suppliers are trying to enhance the efficiencies and productivity within their operations through investment in new technologies and an overhaul of processes. Some of these initiatives are likely to influence their cost structure adversely till the time they recover their investments. However, a successful implementation of these programs can benefit them with a better cost proposition in the longer run.

The global industry has seen a gradual increase in labor cost due to several factors, such as shortage of a trained workforce, increase in minimum wages, regulations around employee benefits and declining appeal for what have been traditionally called unskilled jobs. As the employee expenses increase, suppliers are compelled to pass some of this increase to their buyers by charging higher prices.

Trends like these and many others discussed in this report are necessitating a relook at the way Coveralls is procured and the procurement cost saving opportunities that exist.

Coveralls procurement best practices are moving towards a level of sophistication which is typically seen in traditional procurement categories. Category managers now have an attractive opportunity to adapt the best practices seen within this category as well as those being leveraged in other non-related categories. This report summarizes the best practices picked from across multiple categories that could work well for category managers involved with Coveralls procurement strategy.

For example, Suppliers that have an in-house maintenance and support team should be preferred. This will ensure that maintenance and aftersales support will be provided to the buyer at reduced rates by service providers.

While competitive bidding as a cost optimization tool is extremely potent but should be carefully deployed only when there is no significant differentiation among Coveralls suppliers.

Buyers can consider engaging suppliers that use advanced technologies such as automation, robotics, and lean manufacturing in their manufacturing process. The use of such technologies enables suppliers to control their OPEX and reduce TAT, which will help buyers avail volume-based discounts on category purchases.

Coveralls procurement managers also need to proactively identify and mitigate potential risks that can arise in the supply chain or contracts for Coveralls procurement. Some examples include: