Strategic re-engineering at Coats Viyella

This article describes a business transformation exercise conducted in Coat s Viyella Clothing Knitwear (a major, UK based knitwear supplier). At the s tart of the work, Coats Viyella faced difficult business circumstances that threatened the continued success of the company. During the course of the transformation programme, principles were drawn from three recently highlig hted management techniques: 'focus on core competence', 'business process r eengineering' and 'time-based competitiveness'. These approaches have somet imes proved to be lacking when applied in isolation. In tackling the situat ion at Coats Viyella the authors applied elements of all three techniques t o transform the business. The article details the approach taken, from care ful ana lysis of the changed market place th rough to re-engineering of the business processes. The changes made include a new approach to product des ign, rationalization of the logistics flows between factories, the introduc tion of cellular production and new production control methods. As a result of the programme Coats Viyella Clothing Knitwear was left in a greatly imp roved competitive position: able to respond to a highly volatile fashion ma rket faster and more cost-effectively than their competition. (C) 1998 Else vier Science Ltd. All rights reserved.