Study Program: Financial, Banking and Business Management (MMB)
Master Students Study Tour to the Turin, Italy, Septembar 4-14.2009.
Report on visit to the Miroglio Fashio, Alba, Italy
Date: Tuesday, September 8, 2009
Place: Logistic Centre of the Miroglio in Alba, Italy
Attendees: 21 students of the MMB program
Host: Director of the Plant in Alba Centre
Miroglio Group is a leading Italian fashion and textile company with 11.000 employees, and 59 operations in 34 countries. Every year, Miroglio group manufactures 20 million units of clothes, 20 million kilos of yarn, 40 million metres of fabrics, 30 million metres of transfer paper, distributing them to over 14.500 businesses and to millions of consumers, through a sale network of 1.800 stores and with partnerships established with some of the major global department stores.
Group is governed by the Board of Directors consisting of 12 members, 8 of them from the Miroglio family, and 4 self-employed Directors. Management of the two macro-divisions (Miroglio Fashion and Miroglio Textile) is entrusted to two general managers.
Miroglio family business was first established in the 19th century, in Alba. Miroglio family were selling textiles, initially as street vendors, and then in a wholesale and retail shop in the city centre. This was the beginning of a major international corporation now present in over 50 countries.
The '90s- Present Day
In this period focus was set up on covering the high end market segments in terms of style and quality. During those years the Textile Division consolidated its position through a growing international presence.
Miroglio Group introduced for the first time the innovative fast fashion formula. The MOTIVI brand was revamped in order to become a cool brand for young women, properly updated to meet the dynamic needs of fast fashion retailers.
The nineties were characterized by intense marketing activities, aimed at strengthening the identity and image of the Group’s brands. In terms of the product lines sold in Italy the Group’s international growth has continued, with the leading brands Motivi and Elena Miro, as well as through acquisitions and partnerships. Miroglio acquired a 50% stake in Elegant Prosper and Ayaydin, two clothing companies with a strong presence in China and Turkey.
Main Points of the Presentation Delivered by the Company’s Representatives:
- The most important information delivered to the students by the Company’s representatives related to the Company’s background, market coverage and the Company’s focus on the quality and quick reaction to consumers’ demands, i.e. demands of the customers. Likewise, it was stressed that the Company always produces 10% merchandise more than actually ordered so that it would be prepared to respond to any potential additional demands of the buyers.
- Full automatization of the production process and supply of the customers was demonstrated, while the possibility of online order and purchase was also mentioned, as one of the novelties and advantages the Company is offering to its customers.
- There is always the possibility to order a suitable colour and size if the merchandize offered in the store does not fit the customer.
- The information that the Miroglio Company meets the requests of its customers, in case they wish to put their brand label on a certain product, is also very interesting.
- The Company hires about 200 designers.
- Students were also presented with the perfect organization of the admission, packing and delivery of the products with the assistance of high technology based on bar codes which are being scanned, with each customer having his own number and space within the respective storage.
- The Company’s policy is to pay great attention to package as well, so that the client would receive his product in an absolutely failure-free state.
- Each customer is in title to receive 6 samples prior the order period. The required period of time, from the date of order until the date of distribution, is 4-5 days; the Company hires external staff to perform distribution. Stock turnover within the season amounts to 2,5.
- Total turnover of the Company amounts to approximately 600,0 million EUR annually, and the average price of the single product amounts to around 30 EUR.
- Market value of the production in total amounts to approx. 1,0 billion EUR.
- Due to the increased effect of the global financial crisis, this year the Company has recorded 15% dropdown, which has been spanned by introduction of the new forms of production.
- Miroglio Company’s landmark is – to be ahead of all its competitors.
Report prepared by MMB students:
- Jelena Marinković, Milena Marić, Maja Marinković, Tijana Čečević