Supply Chain Management Department
Rutgers, The State University of New Jersey
1 Washington Park, Room 974
Newark, NJ 07102-3211, USA
Tel: 973-353-2791; Fax. 973-353-1325
www.business.rutgers.edu/SCMMS
Supply Chain Fashion Simulation (Roles and Responsibilities and Pricing)
Challenge: Source, Make and Deliver 100,000 Men’s Dress Shirts to 16 Macy’s NE
Background Information
Cotton is used in 40 percent of the
world's clothing -Cotton Farm Location:
• a man's dress shirt that requires
10 ounces of cotton
• a pair of jeans (24 ounces)
• a diaper that takes just 2.5
ounces
One 500-pound bale can provide
800 men's shirts
What history do we need to know?
16 ounces = 1 pound
COTTON Commodity
1.22+0.01+0.83%
Cotton Price Per 1 Ounce $0.08 USD
Plastic (Buttons, Collar Pointers):
Labor Costs:
0.45 ounces of pesticides to grow
enough cotton for one dress shirt
2,700 liters of water needed to make
one shirt
What else do we need to know?
Leading cotton producing countries worldwide in 2020/2021 (in 1,000 metric tons)
China
India
United States
Brazil
6,423
6,162
3,181
2,341
Supply Chain Management Department
Rutgers, The State University of New Jersey
1 Washington Park, Room 974
Newark, NJ 07102-3211, USA
Tel: 973-353-2791; Fax. 973-353-1325
www.business.rutgers.edu/SCMMS
Supply Chain Fashion Simulation (Roles and Responsibilities and Pricing)
Supply Chain to Retail Build:
Actors/Players
Supply Chain Manager
Retail Manager
Buyer/Purchasing Officer
Logistics Manager
Sourcing Manager
Trucking Firm (Independent)
Legal Counsel
Air Freight Firm (e.g., UPS, DHL, Federal
Express)
Manufacturing/Production Manager
Maritime Firm (e.g., Maersk)
Maritime Firm (e.g., Maersk)
Consumer
Warehouse Manager
Designer
Farmer
Facilities/Operations
Department Store (Macy’s, Kohl, etc.) Manufacturing – Factory (how
many?)
Distribution Warehouse (e.g., Walker
Port (Shipping)
SCM)
Farm
Airport
Commodity Exchange
Distribution - Warehouse
Tools
Stock Market/S&P/Commodity Price
Specifications (min requirements …)
Contract
Freight/Manifest
RFP/Q
Supply Chain Management Department
Rutgers, The State University of New Jersey
1 Washington Park, Room 974
Newark, NJ 07102-3211, USA
Tel: 973-353-2791; Fax. 973-353-1325
www.business.rutgers.edu/SCMMS
Supply Chain Fashion Simulation (Roles and Responsibilities and Pricing)
Supply Chain to Retail Build:
Process and Steps:
Phase 1:
Phase 2:
Phase 3:
Phase 4:
Landing Price (per shirt):
Profit (per shirt):
What is the profit used for?
Cost Impacts: