When you think about softwares, the Indian textile and garment industry is not something that comes to your mind right up. But this wasn’t the case with Mausmi Ambastha who was associated with the industry for more than 8 years. Indian textile and garment industry is a key player in the national economy and contributes 4% to India GDP. This industry is the second largest employer after agriculture. Observing the industry with a keen eye, she realized that there is a dire need for advanced and practical software that can optimize usage of fabric.
On a fortunate evening of January 2011, Mausmi shared her apparel and garment industry experience with her software and marketing expert friends- Manasij Ganguli, Abhishek Srivastava, Bratish Goswami and Madhumita Phukan – who were all in a way exploring opportunities to startup. And the idea clicked. The scope of contributing towards the industry by developing a complete solution, which can not only bring productivity, profitability, but also contribute towards the greener environment was a vision that excited each and they started out building it.
The company is Threadsol Softwares Pvt. Ltd. and after undergoing a 2 year gestation period of product development, intelloCut broke through the cloud in early January 2013.
What exactly does intelloCut do?
There are various processes in the functioning of a manufacturing unit which includes buying, cutting and use of material. intelloCut snaps into these various processes of a manufacturing unit and tries to improve utilization, reduce wastage, increase productivity and improve estimation accuracy.
intelloCut also encourages use of this SaaS offering by Small Medium Enterprises which generally don’t have access to such softwares because of higher costs. intelloCut offers an online suite which can be accessed via a web browser or web-enabled phone, hosted on cloud.
Scope and Traction
Mausmi Ambastha shares some figures related to the field-
- The organized retail trade in India is growing at a rate of 30% per annum.
- Fabric is the most important raw material and is 70%-80% of the garment production cost. Saving 1% – 10% fabric has a huge effect in the overall profitability of the company.
- India has more than 20,000 factories producing $30 billion exports and $60 billion domestic garments. It is expected to grow to $220 billion overall by 2020.
- The world has around 150,000 factories producing a total of $660 billion garments, which is expected to grow to $1 trillion by 2020.
intelloCut has received good response since their entry into the market and have grabbed some well-known garment manufacturing units in Bangalore and Delhi NCR region. “The trials at around 12 factories show that our software has the potential of saving upto $2 million per year per factory, i.e 1-10% fabric saving, making the manufacturing process much more profitable and efficient,” shares Madhumita.
The software has been deployed at Madura Garments (Aditya Birla Group and makers of Van Huesen, Allen Solly, Peter England, Louis Philippe, ByFord etc) where intelloCut can save approximately $1 million a year and the trial run ends in May 2013. intelloCut has two revenue models- SaaS (usage + time determined cost revenue function) and On-Premise (One Time Deployment Fee + AMC + Training + Upgrade Fee).
Bootstrapped till now, intelloCut is in advanced stages of raising an investment round. Their current focus is India and plan to cross geographic boundaries later next year.