Cost Economy of Garment Manufacturing
Where the money goes in an order — and where a factory wins or loses it.
A practical route through the money side of garment making: how a cost sheet is built, how fabric consumption and cutting-room utilisation move material cost, how standard minutes and line efficiency decide labour cost, what rework and rejects really cost, and how an FOB price is negotiated and defended. Built from the chapters and value chain stages already on this site, ordered so each module builds on the last.
What does “cost economy” mean here?
This is not an economics course about markets or national economies. It is the money side of a garment order — how the cost of one piece is built up, and where a factory keeps or loses its margin:
- The cost sheet sets the price. Fabric, trims, labour, overhead and margin, each with a source you can check.
- Material is the biggest line. Consumption, wastage and cutting-room utilisation move cost more than any discount.
- Minutes are money. Standard minutes and line efficiency turn directly into labour cost per garment.
- Failure costs the most. Rework, rejects, re-inspection and recovery freight quietly erase the margin.
The Circular Economy course on this site follows the material. This one follows the money through the same value chain.
- 6 modules · 15 chapters · 17 stages
- About 12–16 hours of reading and quizzes at your own pace
What you will be able to do
- Build a garment cost sheet from fabric, trims, labour, overhead and margin
- Calculate fabric consumption and see how cutting-room utilisation changes material cost
- Convert standard minutes and line efficiency into a defensible labour cost per garment
- Quantify the cost of rework, rejects and late shipment instead of guessing at it
- Judge an FOB quotation and identify the assumptions that make it risky
Who it is for
- Merchandisers and costing staff building and defending cost sheets
- Industrial engineers working on minutes, efficiency and line balancing
- Factory managers and owners who need to see where margin is lost
The six modules
1. Where cost is decided
See how design, specification and the cost sheet fix most of an order's cost before production starts.
3 chapters · 3 stages · 5-question quiz
2. Material cost and sourcing
Calculate fabric and trim cost from consumption, price, wastage and sourcing terms.
3 chapters · 3 stages · 5-question quiz
3. Fabric utilisation in the cutting room
Turn marker efficiency and spreading losses into money, and find utilisation savings that hold up in practice.
3 chapters · 3 stages · 5-question quiz
4. Labour minutes, efficiency and line cost
Work from standard minutes and line efficiency to a cost per garment, and see what capacity loss costs.
2 chapters · 2 stages · 5-question quiz
5. The cost of poor quality
Price rework, rejects, re-inspection and claims, and compare prevention cost with failure cost.
3 chapters · 3 stages · 5-question quiz
6. FOB build-up, margin and negotiation
Assemble the FOB price, test the margin against real risks, and negotiate on evidence rather than instinct.
3 chapters · 3 stages · 5-question quiz
How this course works
- Each module points to chapters and value chain stages already published here — nothing is hidden behind a paywall.
- Module quizzes are graded in your browser, including the costing calculations. Best scores are kept on your device, and on your account when you sign in.
- Marking chapters and stages complete as you go counts towards the site certificates.
- This is self-study material written and reviewed by Sanjeewa Dehiwalage. It is not an accredited qualification, and the figures used are worked examples, not price benchmarks.