Jaipur rugs
Jaipur rugs was founded in Rajasthan by Nandakishor Chaudhry, he started the weaving business with 2 looms in his house alter he extended it. His interest grew and then he came to Jaipur, the capital city of Rajasthan in 1986 and started the export business of the handed weaved rugs. His business was a family business as he was helped by his brother and later the split the business in rug industry only. Later in 2006 he registered Jaipur Rugs for export and by 2008 it became one of the largest handmade rug exporters in India.
The supply chain starts from main material acquisition i.e. wool from Bikaner. The sheep wool is used and is purchased at an auction in Bikaner. JRC outsources the wool from Bhoomika Wools, which supplies the processed wool to JRC and then it is dyed at JRC.
Bhoomika has smartly converted its Fixed costs into Variable costs, as they provide the processed wool (raw material) to the workers house and they weave it and give it back to Bhoomika. So only the warehouse and salary costs can be counted as fixed costs.
The dying is also out sourced by the JRC. The dying is traditional art, and the decorative effects can be seen in this process, the natural colours are used. The segregation is done and the lighter wool is dyed light and the dark wool is for dark dye.
The dyed wool is sent for the opening directly to the opening centres where the wool is spindled. Sending directly will save the cost and time too. Then Spindled yarn is stored at the JRC office.
The orders are received by internet, phone etc. designs are decided, customers can customize the designs or get it done by the designers present with JRC. Then the Human intensive work is done, Mapping work is done; From where to start weaving, which design will implement what kind of yarn and colours. Design card is made and the work process is written with it.
The weaving was done in states like Rajasthan, Gujrat, Uttar Pradesh by then to reduce cost, workers in East India and Bihar were trained and from there weaved carpets were collected. There are entrepreneurs, Middleman are involved in this process. The process is typical as the skill level and looms availability is to be considered and then the weaver is selected. The yarn from the nearest regional offices is provided to the workers, they weave it with all the design process required. The woven rugs go to the carpet receiving department, which takes the carpet as well the remaining material. The rugs are sent to finishing centres where the finishing is done. Then they are sent to Headquarters where the export or sales process takes place.
The system is monitored with the help of ERP (IT) system to track orders, inventory, reduces order process time.
After passing from hands of 90 people the RUG gets finished. The whole production system is consisting more than 40000 indirect workers. More than 7500 looms working every day.
The main advantage of JRC over its competitors is that, the workers don’t have to pick up or drop the material to the offices, all the material they need is provided at their home.
Which has decentralized the work and the investment. Much lesser number of direct employees are involved.
The value admired
More women can work towards financial independence as they don’t have to navigate commute, especially in remote villages
Weavers decide their own work hours- being able to work around their family’s schedule
Mothers with young children have no trouble working and weaving at the same time
Weavers will lose no work days in receiving and transporting material
Traditional Indian communities do not give women the opportunity to work outside the home- Jaipur’s model provides an easy solution to this
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