For those acquainted with the textile industry scene in Tirupur, SCM Garments is a name that requires no introduction. In fact, any of the four companies that comprise the SCM Group – SCM Garments, SCM Spinners, SCM Knitting, and SCM Textile Processing – do not require any introduction. The well-known ‘Chennai Silks’ brand is a sister concern of the SCM Group.
We had the opportunity to interview M. Arul Saravanan, the Chief Marketing Officer of SCM Garments, and P. Udhaya Kumar, VP – Operations, and gained insights from the duo on a range of topics. These included the company’s history, product range, manufacturing infrastructure, emphasis on sustainability, automation, and digitization initiatives, as well as future plans, among other subjects. SCM Garments was founded in 1989.
“It was a humble start. We commenced operations with only 6 sewing machines; today, this number has increased to approximately 13,500. Our clientele includes some of the largest global brands in the United States and Europe. What originated as a solitary unit has now expanded to encompass 24 units,” Arul Saravanan stated.
Well structured
The SCM Group takes pride in its remarkable manufacturing infrastructure, evident across all 24 plants. Each facility is equipped with cutting-edge textile machinery. “We’ve structured our units into ‘Tier-1’ and ‘Tier-2’ categories. Tier-1 units are dedicated to garment stitching, while Tier-2 units provide essential support for activities such as knitting, embroidery, dyeing, and finishing,” explained Udhaya Kumar. Additionally, the group operates a spinning unit boasting an impressive 18,000 spindle capacity.
A combination of 28 combing machines, 45 ring frames, and 20 Auto Coner machinery efficiently processes organic cotton to yield premium-quality yarn within the spinning unit. “About 10% of this yarn is utilized for our in-house production, while the remainder is sourced externally,” Udhaya Kumar said before further highlighting, “At times, buyers themselves procure yarn for our operations.”
This strategic approach to manufacturing allows SCM Garments to maintain a well-rounded production ecosystem, ensuring the highest standards across their diverse range of textile offerings.
“We have harnessed the efficiency of servo motors, utilizing electricity solely during motor operation. Our automated auto cutter further streamlines our processes. Within our contemporary design studio, we harness the latest trends and techniques in garment design, empowered by cutting-edge software enabling pattern making, 3D imaging, graphics, and draping,” he said.
“Our processing unit boasts machinery sourced from industry leaders in the USA, Italy, and Taiwan. Emphasizing sustainability, our dyeing unit integrates a Reverse Osmosis feed tank. Wastewater is ingeniously recycled within the dyeing unit, supporting irrigation efforts. With precision at the forefront, our stitching unit boasts 13,500 imported sewing machines,” Udhaya Kumar added.
“Our cutting unit is equipped with automatic spreading machines, facilitating the handling of tubular, open-width, and woven fabrics. In our commitment to quality assurance, Japanese Needle detector machines grace our finishing unit, ensuring a flawless 100% metal-free outcome. As part of our ongoing improvement efforts, we’re currently upgrading approximately 4,000 older machines, with 2500 machines already successfully modernized. Anticipating a comprehensive upgrade soon, “he mentioned.
“Within our garments unit, we maintain a remarkable manufacturing capacity of 5 lakh pieces per day, driven by the dedication of over 25,000 employees. Our client roster boasts some of the leading industry titans globally,” he said.
Sustainability measures
The SCM group’s unwavering commitment to sustainability has undeniably been a cornerstone of its remarkable success. This commitment is exemplified in the case of SCM Garments, where a myriad of sustainability initiatives have taken root. Notably, their resolute emphasis on biomass has led to a remarkable reduction in greenhouse gas emissions, marking a significant milestone.
Remarkably, SCM Garments operates on a fully renewable energy platform, harnessing the power of wind (90%) and solar (10%) sources to generate an impressive 67 MW of energy. The implementation of a Zero Liquid Discharge (ZLD) program has yielded exceptional results, with an astounding 95% recovery of reverse osmosis (R.O.) water. Employing the innovative Membrane Bio Reactor (MBR) technique for water treatment, SCM Garments has effectively embraced a chemical-free, biologically-driven approach, demonstrating their conscientious stance.
Furthermore, SCM Garments has taken bold steps towards circularity by repurposing cut waste into recycled yarn and incorporating recycled polyester into their products. Impressively, an impressive 90% of their product range boasts the utilization of sustainable raw materials, ranging from recycled fibers to Better Cotton Initiative (BCI) and organic cotton.
In the words of Udhaya Kumar, “Our commitment to sustainability resonates through every facet of our operations, as evidenced by these impactful initiatives. We are not only evolving our practices but also contributing to a greener, more responsible industry.”
Automation push
As previously mentioned, a substantial dedication to automation has been a focal point across all our manufacturing units. Illustrating this with an example from SCM Garments, Udhaya Kumar illustrated, “Our automated cutter system facilitates the seamless creation of intricate patterns by even a standard operator. Remarkably, the output maintains impeccable quality standards, obviating the need for highly skilled personnel.”
Furthermore, he highlighted the strides in digitalization, stating, “In 2013, we developed our proprietary ERP system. As Industry 4.0 gains prominence, we’re proactive in leveraging this trend. Our in-house software empowers our development team to seamlessly interface with buyers, enabling real-time tracking of product stages.”
Competitive edge
When questioned about the distinct competitive advantage that sets the company apart, Arul Saravanan emphasized, “A pivotal driver behind our achievements lies in our vertical integration. Renowned for our unwavering commitment to quality standards within the market, our vertical integration empowers us with enhanced control over product quality. We leave no room for compromise, ensuring impeccable standards.”
He further highlighted, “This, coupled with our ability to offer products at competitive price points, has solidified our position as a preferred choice among buyers. Our dedication to maintaining superior quality without compromising affordability has truly set us apart from the competition.”
CSR initiatives
Beyond business, Corporate Social Responsibility initiatives are deeply ingrained in the group companies’ values. “We operate a hospital providing subsidized medical care to the general public. For a nominal fee of approximately Rs.40, individuals can access medical services thrice. We extend free treatment to the underprivileged who can’t even afford the subsidized fee. Our hospital boasts a proficient team of consulting doctors, ensuring quality care,” Arul Saravanan explained.
Elaborating on our CSR pursuits, he noted, “Scholarships for exceptional academic achievers among our workers’ children and tree planting exemplify our commitment to the community and environment.”
Future plan
Looking ahead, SCM Group has outlined decisive goals for the immediate future. “Given the rapid global growth of the MMF segment, we aim to establish a dedicated composite unit focused solely on MMF production. With the ‘China plus one’ strategy gaining traction among buyers, we envision substantial growth potential in this realm. Our target is to have this unit operational by 2024,” Arul Saravanan concluded optimistically.