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Assessing measures implemented by export-oriented RMG firms in an emerging economy during COVID-19
Ziaul Haque Munim1, Majid Mohammadi2, Mohammad Hassan Shakil3,4
1Faculty of Technology, Natural and Maritime Sciences, University of South-Eastern Norway, Horten, Norway.
Computers & Industrial Engineering
|January 26, 2022
Summary
The Ready-Made Garments (RMG) sector in Bangladesh implemented 16 measures to manage COVID-19 risks, prioritizing buyer needs. Healthcare safety and in-house production were key strategies for business continuity.
Area of Science:
- Supply Chain Management
- Operations Management
- Pandemic Risk Assessment
Background:
- The COVID-19 pandemic posed significant operational risks to manufacturing firms globally.
- The Ready-Made Garments (RMG) sector in Bangladesh, a major global supplier, faced production halts and supply chain disruptions.
- Firms needed to implement measures to ensure employee safety, raw material supply, and buyer order fulfillment post-lockdown.
Purpose of the Study:
- To identify and assess the measures implemented by the RMG sector in Bangladesh to mitigate COVID-19 related risks.
- To evaluate the degree of implementation for employee, supplier, and buyer-focused strategies.
- To provide insights for future supply chain risk management during crises.
Main Methods:
- A qualitative approach using semi-structured interviews was employed to identify 16 distinct risk mitigation measures.
- The Bayesian Best-Worst method was utilized to quantitatively assess the implementation level of these measures.
- Analysis focused on measures related to employees, suppliers, and buyers within the RMG industry.
Main Results:
- The most implemented measures were providing healthcare safety (employees), bringing outsourced activities in-house (suppliers), and ensuring smooth delivery of existing orders (buyers).
- Industry professionals prioritized buyer-related measures highest, followed by employee and then supplier-related measures.
- Specific strategies varied in their perceived importance and implementation success across different stakeholder groups.
Conclusions:
- The RMG sector in Bangladesh demonstrated adaptability by implementing a range of COVID-19 risk management strategies.
- Prioritization of buyer-centric measures highlights their critical role in maintaining business relationships during disruptions.
- The identified measures offer a valuable framework for supply chain resilience against future pandemics and natural disasters.
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