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The investments in flexible manufacturing lines provide cycle time reduction. The distribution center enables quick response to demand signals allowing production schedules to distribute the accurate products to the right markets. This enables the company to introduce new products in the middle of a season in response to the fashion trends of the season.
Product and Process Postponements
Benetton used an innovative manufacturing and supply chain strategy based on postponement to meet customer service expectations that requires high levels of inventory of finished garments. In this case Benetton does not dye the yarn or cloth before making certain sweaters, but the entire sweater when knowing the color demanded by the customers...
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