Quoting 120 Hand-Embroidered Dupattas With a Rework Allowance
A boutique in Patiala has quoted for 120 hand-embroidered dupattas for a wedding order. Each dupatta is 2.25 m long, in the 44-inch width of a cotton-silk fabric. Zardozi work is to be done by hand on the two end panels. The karigar charges ₹380 per dupatta for the handwork and can finish four pieces a day; eight karigars are available and 12 working days remain before dispatch. Fabric costs ₹180 per metre, embellishment materials (zari, sequins, beads) cost ₹45 per dupatta, and stitching and finishing cost ₹75 per dupatta. Overheads work out at about 10% of direct cost; the owner works on a 15% margin and GST is 5%. Handwork has historically shown about 8% rejection or rework at the finishing stage. A machine-embroidery unit nearby has offered similar-looking work at ₹150 per dupatta with two days' lead time. The customer has seen only photographs and has asked for a firm per-piece price and a delivery date.
1. Build the cost sheet and quote a per-piece price. Explain each allowance rather than just presenting the total.
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Per dupatta
| Item | Working | ₹ |
|---|---|---|
| Fabric | 2.25 m × ₹180 | 405.00 |
| Handwork (zardozi) | karigar rate | 380.00 |
| Embellishment materials | zari, sequins, beads | 45.00 |
| Stitching and finishing | 75.00 | |
| Direct cost | 905.00 | |
| Rework allowance | 905 ÷ 0.92 | 983.70 |
| Overheads | 10% of 983.70 | 98.37 |
| Total cost | 1,082.07 | |
| Margin | 15% of 1,082.07 | 162.31 |
| Price before tax | 1,244.38 | |
| GST | 5% | 62.22 |
| Quoted price | ₹1,307 (round to ₹1,310) |
The reasoning behind the two allowances people usually get wrong:
- Rework allowance is a division, not an addition. If 8% of pieces are rejected, then 100 started pieces give 92 saleable ones. You must recover the fabric, karigar time and materials spent on the 8 lost pieces from the 92 good ones - hence 905 ÷ 0.92, not 905 × 1.08 (which under-recovers).
- Margin is applied to total cost, not to direct cost, otherwise overheads are effectively sold at no profit.
- Quote ₹1,310 and state clearly: ex-works, GST extra as applicable, 50% advance, balance before dispatch, price valid 15 days. A firm price without those conditions is not firm.
2. Can the delivery date be met? Assess capacity, including the effect of rework, and propose a schedule.
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Basic capacity calculation:
- To ship 120 good pieces with 8% loss you must start 120 ÷ 0.92 ≈ 130 pieces.
- Karigar capacity: 8 karigars × 4 pieces/day = 32 pieces/day.
- Handwork time: 130 ÷ 32 = 4.1 days, that is, about 4.5 days allowing for a slow first day.
On that number alone, 12 days looks generous. It is not, for three reasons the arithmetic hides:
- Finishing is the real bottleneck. The same 8% rework has to be corrected by the finishing team in the last week, and rework on zardozi is far slower than first-time work. Plan for one dedicated finisher and a rework buffer of 3 days.
- Karigar availability is not guaranteed. Wedding season means these same karigars are being chased by every boutique in Patiala. Get a written commitment for the 12 days, with a named substitute.
- Photo approval takes time. The customer has seen photographs only; the first 2–3 pieces must be approved physically before all 130 are started, or you risk 130 rejections instead of 8%.
Proposed schedule:
- Day 1–2: stitch all 130 bases; complete 3 sample dupattas; send for written customer approval.
- Day 3–7: handwork on the approved design, in two lots (65 + 65) so that lot 2 starts only after lot 1's inspection.
- Day 8–10: finishing, checking, rework.
- Day 11: press and pack; Day 12: dispatch with a day in hand. Quote the customer a delivery date of day 11, not day 12 - the spare day is what absorbs a karigar's absence.
3. The machine-embroidery option saves about ₹230 per piece. Should the boutique take it? Advise on price, ethics and the substitution decision.
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The saving looks big: ₹230 × 120 = ₹27,600, plus 10 days of time and no karigar dependency. But the decision is not arithmetic - it is about what the customer believes they are buying.
Reasons to keep handwork for the visible area:
- The order is for a wedding, and zardozi on the end panels is a heritage product. Machine work has a flatter, more uniform look and a different sheen; guests and family notice, and the boutique's reputation is built on exactly this difference.
- The customer saw photographs and approved that look. Supplying a machine version without consent is substitution - a contract and quality failure, whatever the price difference. It is also the fastest way to lose a wedding-season client and her referrals.
Reasons the machine option still has a place:
- It is excellent for hidden or low-visibility areas: inner facing, the underside of the fall, the body border that drapes at the back.
- It protects the delivery date if a karigar falls ill.
Recommended course:
- Quote the hand-work price of ₹1,310 as asked - that is the product she was shown.
- Offer the machine option openly as a second price (roughly ₹1,080 per piece) with a physical sample in her hand, so the choice is hers. Many clients choose the machine version for the body and hand for the ends.
- Hybrid option: machine border + hand zardozi on the two end panels. This typically lands near ₹1,190 and saves 4 days of karigar time.
- Whatever is chosen, put the embroidery type in writing on the invoice. A photographed sample plus a written specification is what protects the boutique when the client's aunt says 'this is not hand work'.
The general rule: never silently substitute a cheaper process. Convert the saving into a choice for the customer; that is how a ₹230 cost difference becomes a loyal client instead of a dispute.