Innovation @ MAS Holdings: Becoming a Preferred Sourcing Partner for Global Fashion Brands

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Case Details:

Case Code : OPER096
Case Length : 11 Pages
Period : 2005-2010
Organization : MAS Holdings
Pub Date : 2010
Teaching Note :Not Available
Countries : Sri Lanka; Global
Industry : Fashion / Apparel

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This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.

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“Our ability to own and extend the complete value chain provides us with a key competitive edge. We offer a complete apparel solution, from design to deliver. We added design capabilities to our product development expertise and also created an integrated supply chain, partnering with globally renowned entities.” ¹

- Dian Gomes, Managing Director, MAS Intimates and Main Board member, MAS Holdings, 2009.

Introduction

In February 2009, Stretchline, a leading subsidiary of apparel manufacturer MAS Holdings (Pvt.) Ltd. (MAS Holdings) in terms of product and process innovations, was awarded the prestigious FEMMY Innovation Award 08². This was the first time ever in the award's history of more than 50 years that a company outside the US had won this award.

MAS Holdings, the Sri Lankan apparel manufacturer, was one of South Asia's largest suppliers of intimate apparel and sportswear. Despite the island's violent history of ethnic conflict and the removal of trade protections under the Multi Fiber Arrangement (MFA)³ in 2005, MAS Holdings had managed to make a name for itself as a pioneer in innovation in the fashion industry.

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1] Michelle Phong, “MAS Holdings Leads Sri Lankan Textile Industry with Lean Manufacturing,” www.adsaleata.com, August 12, 2009.

2] The FEMMY Awards honor those individuals and companies that have significantly contributed to the intimate apparel industry and its growth in the US.

3] The Multi-Fiber Agreement came into existence in 1974 in order to govern the global trade in textiles and apparels. Under the MFA, developed countries restricted imports from developing countries based on negotiated quotas. This was done to keep a check on the rising competition from developing economies.

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