Chen Yujian, Chairman Of The University Of China, To Deal With Changes In The Garment Industry With Innovation

Domestic brand clothing listed companies are entering the downturn of the industry, declining in performance or even losing money, and the tide of closing shop is emerging. As a listed company of domestic men's clothing brand, [0.74%'s capital research report is also facing such difficulties. Chen Yujian, chairman of the company, told the China Securities Journal reporter that the growth pattern of men's clothing industry in the past twenty years is facing challenges. Consumers are returning to reason and the adjustment of growth trend has brought challenges to the operation mode and business philosophy of the industry. But Hinur is faced with this challenge and will adopt measures such as operational mode innovation, process reengineering, lean management and other revolutionary measures to take measures in high-end customization, e-commerce platform, product innovation, etc., and actively respond to the challenges of the industry.

　　 brand The traditional mode of clothing enterprises is facing challenges.

Since last year, the domestic brand clothing enterprises have entered a period of adjustment as a whole. The performance of listed companies has declined significantly, and many companies have made strategic adjustments. Chen Yujian said that the entire brand clothing enterprises are facing challenges. He explained that the vast majority of men's clothing industry in China was established in the early 90s of last century, and caught up with the high-speed growth period of reform and opening up. The fast growth period promoted the emergence of men's wear brands and the rapid growth of brand enterprises, not the growth of ten percent or twenty, or even the doubling of growth. Enterprises in the industry were pushed by the market. As long as they seize the opportunity to put a lot of advertisements and shop and recruit franchisees, there will be sales growth. This is the main growth mode of men's clothing enterprises in the first twenty years. But in recent years, China's economic environment has changed, consumption habits of consumer groups have changed. The mainstream consumer group of that year has been more than 50 years old, the main group of consumers has grown up, and after 80 and 85 have become the main consumer groups. These people are in the Internet age, changing from economic environment to fashion very fast, the consumption concept is changing, and consumers are returning to reason. The men's clothing brands that are used to the relaxed days are not suited to the overall situation. They are all affected by certain factors. The adjustment of growth trend and the growth callback will bring challenges to the future operation mode and business philosophy.

The same is true for the same case. Hinur, who started his business in 1994, went public in 2010. After listing, the company used funds to expand a lot of Direct stores in a short time, and the advertising investment increased. However, the problem that followed was the sudden cooling of the market. Chen Yujian said that the market situation is expected to be no problem, when the expected model is economic growth at a high speed, a large number of employees and inventories are added to the investment after opening the store. When the market is good, it will take 35 years to develop new stores and new markets. After the market suddenly becomes cold, the operation cost and cost of the original decision making marketing network are very high, and the incubation period is prolonged, and the problem is beginning to appear.

　　 Operation mode reform to deal with market Challenge

Faced with this change, Chen Yujian expressed a calm attitude of acceptance and positive response, which is not a bad thing. He said that the consumer market is still there, but the consumer groups know more about what they want. The problem now is that brand enterprises are not very focused on understanding consumers' concerns, or holding the past practice and thinking mode. This is the biggest challenge and bottle neck we have encountered. For zhenu, what we need to do now is to absorb the experience and lessons brought by the rapid growth, adjustment and expansion in the early stage, to recognize the truth and make the products well, to do well in the brand and to serve every customer well. In the era of big data and the Internet age, all the means and resources should be taken seriously. All the strength of the team must pay attention to the change of consumption demand and consumption habits, and to understand the demand, and the products and brands will be accepted.

Hinur is now the largest menswear production base in the country. Manufacturing capacity is a major competitive advantage of the company. Chen Yujian has repeatedly stressed that the company's product quality is the best guarantee for brand development. Next, the company's development direction is to do well the consumer experience, make good products, do well in consumer reputation, and create products that are cost-effective and sometimes expensive.

Chen Yujian said that Hinur is making a big adjustment this year. The most notable is the adjustment of the operation mode. The company has overturned the traditional operation mode with the help of the online marketing mode. The overall business process is unreasonable and the operation efficiency is low. He explained that the vast majority of brands operate from the chain of design, research and development, ordering, purchasing, raw materials, production, warehousing, delivery to retail stores, sales, and surplus to form the end of the season industrial chain operation mode. Under this mode of operation, department interests cut, collaboration is slow, and supply chain management is not enough. Starting from this year, the company adopted the new product manager system operation mode to completely subvert the previous operation mode. The company's design director identified the six main categories of product structure, each category identified a product manager, and set up an operation team consisting of designers and plate makers. The team was responsible for the whole operation cycle of product category, starting from product development, including production control, supply chain control, and listing, and the team's economic interests were linked to many indicators such as revenue, profit and inventory.

In the face of inventory control problems commonly faced by garment enterprises, Hinur also made changes and implemented in the new product season. Chen Yujian said that through the classification of products, the basic products, franchised stores and direct outlets can be ordered according to the needs of the ERP system. The company can also place orders from the fabric suppliers, respond quickly to the demand for orders with sufficient capacity, adjust the research and development process of fashion items, adjust the research and development process, strengthen the supply chain management control, and decide whether large-scale production can be avoided through trial marketing, and avoid large quantities of stock.

stay A few days ago Some changes have been made in the company's spring and summer ordering meeting held in 2015. Positive changes have taken place in the company's product innovation. The newly hired R & D team has improved the company's product line to a more youthful and stylish direction, targeting more younger people. The products of the young fashion line complement the traditional classic products of the company. High end customization has become another major business focus of the company's order. According to the introduction, the company promoted the high-end custom brand brand from the second half of last year, and worked with the professional designers team in Italy to enhance the quality, technology and brand image of high-end customized products, and promote high-end custom business through the combination of independent brands and international brands. In addition, the "electricity supplier" has become the high-frequency word in Chen Yu Jian's interview. He said that the network electricity supplier should continue to be bigger and stronger. The company has set up an independent electricity supplier team to promote online and offline services and sales integration. It is expected that the electricity supplier channel can become the fulcrum of the company's rapid growth in the future.