Pennine Lancashire Business News Articles

Response Trading responds to change

Response Trading Limited was formed in 2003 by Mr Patel, who has many years experience in the design and manufacture of ladies fashion wear. The company sell their products direct to retail and their customers include well known high street retailers Acardia, Alexon, Willis, Anne Harvey and TJ Hughes.

The company was under pressure from the bank to reduce its overdraft facilities and Mr Patel had been examining ways of cutting costs and improving cash collection performance. The company approached the DDU for advice and assistance on ways to streamline their manufacturing process and reduce costs.

The company occupied two units on Bay Street; one of 5,000 square feet essentially for manufacturing and the second of 3,000 square feet for warehousing and despatch.
Mr Patel believed he could consolidate the company’s activities into the 5,000 square foot unit by:

• subcontracting the ‘ Blackburn work ‘, short run and high complexity to other  Blackburn manufacturers
• installing a specially designed high rail system for storing finished garments and progressing work in process.

The DDU were able to part fund a new rail system to be fitted and it is estimated that this consolidation of the two units has made a significant contribution to reducing the cost base of the company and safeguarding 5 jobs.