furniture furnishings
TRANSCRIPT
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Human Resource and Skill Requirements in the
Furniture & Furnishing industry
Study on mapping of human resource skill gaps in
India till 2022
Human Resource and Skill Requirements in Furniture & Furnishing Industry
Page 2 of 50
Table of Contents 1. Environment Scanning and Competitiveness of Furniture and Furnishing industry ............ 5
1.1. Overview ................................................................................................................................. 5
1.2. Furniture industry .................................................................................................................... 5
1.2.1. Domestic Consumption ................................................................................................... 5
1.2.2. Exports ............................................................................................................................ 6
1.2.3. Imports ............................................................................................................................ 6
1.2.4. Key Segments ................................................................................................................. 7
1.2.5. Key demand drivers ........................................................................................................ 8
1.2.6. State wise production of Furniture ................................................................................ 10
1.2.7. Key Players ................................................................................................................... 11
1.2.8. Key Success Factors...................................................................................................... 11
1.2.9. Key Risk Factors ........................................................................................................... 12
1.3. Furnishing industry ............................................................................................................... 12
1.3.1. Domestic Consumption ................................................................................................. 12
1.3.2. Exports .......................................................................................................................... 13
1.3.3. Imports .......................................................................................................................... 14
1.3.4. Major centres for Furnishings ....................................................................................... 14
1.3.5. Key Players ................................................................................................................... 15
1.3.6. Key Success factors ...................................................................................................... 16
1.3.7. Key Risk factors ............................................................................................................ 16
1.3.8. Demand drivers ............................................................................................................. 17
2. Human Resource and Skill Requirements ................................................................................ 18
2.1. Human Resource and Skill Requirements in Furniture industry ........................................... 18
2.1.1. Overview of Employment in Furniture industry ........................................................... 18
2.1.2. Value chain and core processes .................................................................................... 18
2.1.3. Profile of Human resource in Furniture industry .......................................................... 22
2.1.4. Skill requirements and skill gaps in the Furniture Industry .......................................... 24
2.1.5. Current Training & Education Infrastructure ................................................................ 31
2.1.6. Emerging trends in skill requirements .......................................................................... 32
2.2. Human Resource and skill requirements in Furnishing industry .......................................... 33
2.2.1. Overview of Employment in Furnishing industry ........................................................ 33
2.2.2. Value chain and core processes .................................................................................... 34
2.2.3. Profile of Human resource in Furnishing industry ........................................................ 37
Human Resource and Skill Requirements in Furniture & Furnishing Industry
Page 3 of 50
2.2.4. Skill requirements and skill gaps .................................................................................. 39
2.2.5. Current Training & Education Infrastructure ................................................................ 45
2.2.6. Emerging trends in skill requirements .......................................................................... 45
2.3. Projected Size and Human Resource Requirement ............................................................... 46
2.3.1. Projected Size and Human Resource Requirement for Furniture Industry ................... 46
2.3.2. Projected Size and Human Resource Requirement of the Furnishing Industry ............ 47
2.3.3. Focus areas where skill building is required ................................................................. 48
List of Figures
Figure 1: PFCE on Furniture, Furnishings & household equipment (in Rs crore at current prices) ....... 5
Figure 2: Furniture Exports (Rs. crore) ................................................................................................... 6
Figure 3: Furniture Imports (Rs crore) .................................................................................................... 7
Figure 4: Furniture market Consumer segments ..................................................................................... 7
Figure 5: Percentage Share of Women Employment Out of Total Employment in organised sector .... 9
Figure 6: Share of different states in Furniture Production ................................................................... 10
Figure 7: PFCE on Furnishings (at current prices) .............................................................................. 12
Figure 8: Furnishings exports (Rs. crore) ............................................................................................. 13
Figure 9: Demand Drivers of Furnishing industry ................................................................................ 17
Figure 10: State wise employment in Furniture industry ...................................................................... 18
Figure 11: Value chain of Furniture industry ........................................................................................ 19
Figure 12: Share of different raw materials in Furniture manufacturing .............................................. 19
Figure 13: Manufacturing process of Wood Furniture ......................................................................... 20
Figure 14: Manufacturing process of Metal Furniture .......................................................................... 21
Figure 15: Manufacturing process of Plastic Furniture ......................................................................... 22
Figure 16: Distribution of workers in wood furniture production ........................................................ 23
Figure 17: State wise employment in Furniture industry ...................................................................... 33
Figure 18: Value Chain of Furnishing industry .................................................................................... 34
Figure 19: Production processes in Furnishing ..................................................................................... 34
Figure 20: Value chain of mattress industry ......................................................................................... 36
Figure 21: Manufacturing process of coir Mattress ............................................................................. 37
Figure 22: Profile of people employed ................................................................................................. 39
Figure 23: Projected Size of Furniture Industry (Rs. billion) ............................................................... 46
Figure 24: Skill Pyramid for the Furniture and Furnishing Industry .................................................... 48
Human Resource and Skill Requirements in Furniture & Furnishing Industry
Page 4 of 50
List of Tables
Table 1: Key players in the Furniture industry ..................................................................................... 11
Table 2: Key Success factors for the Furniture industry ....................................................................... 11
Table 3: Key Centres for Furnishings ................................................................................................... 14
Table 4: Key players in Furnishing industry ......................................................................................... 15
Table 5: Distribution of Human Resource across functions in Furniture manufacturing ..................... 22
Table 6: Educational profile of workforce in Furniture manufacturing ................................................ 23
Table 7: Skill requirements and skill gaps in the Furniture Industry .................................................... 24
Table 8: Training courses for Furniture industry .................................................................................. 31
Table 9: Types of Stitches ..................................................................................................................... 35
Table 10: Product categories in Furnishing .......................................................................................... 36
Table 11: Distribution of Human Resource across functions in Furnishing manufacturing ................. 37
Table 12: Educational Profile of the workforce in Furnishing Manufacturing ..................................... 38
Table 13: Skill requirements and gaps in Furnishing industry ............................................................. 39
Table 14: Human resource requirement in Furniture Industry (in ‘000s) ............................................. 46
Table 15: Function-wise distribution of incremental human resource requirement (in ‘000s) ............. 47
Table 16: Incremental human resource requirement in the Furnishing industry (in ‘000s) .................. 47
Table 17: Function-wise incremental human resource requirement (in ‘000s) .................................... 47
Table 18:Education-wise incremental human resource requirement (in ‘000s) ................................... 48
Table 19: Focus areas where skill building is required (human resource requirement in ‘000s) .......... 49
Human R
1. E
F
1.1
The dom
2007-08
The dom
internati
The dom
crore in
time per
1.2
The pri
equipme
and on F
Rate (CA
from 20
Figure
Source: C 1 IBEF rep
45,099
2003-04
Resource and
Environm
Furnishin
. Overview
mestic Indian
8 accounting
mestic Furni
ional Home F
mestic Furni
2007-08. In
riod. The Fur
. Furnitur
1.2.1. Dom
ivate final
ent was Rs 8
Furnishings
AGR) in PF
03-04 to 200
1: PFCE on
Central Statistic port on Furnitur
52,817
2004-05
Skill Requirem
ment Sca
ng indus
w
n Furniture a
for around 1
shing marke
Furnishing m
iture market
ndia is a net i
rniture indus
re industr
mestic Cons
consumption
4,907 crore
to be Rs 20
CE on Furni
07-08.
n Furniture,
cal Organisatio re industry
61,367
2005-06
CAGR 17%
ments in Furn
anning a
stry
and Furnishi
1.5 % of the G
et is valued
market and E
t is estimated
importer if F
try gives dir
ry
sumption
n expenditu
in 2007-08.T
0,750 crore f
iture, Furnish
Furnishings
on (CSO), IMaC
7
73,57
6 2006-0
%
niture & Furni
and Com
ing market i
GDP.
at Rs 20,75
Exports of Fu
d to be wort
Furniture wit
ect employm
ure (PFCE)
The PFCE on
for the year
hings and ho
s & househo
CS Analysis
9
84,90
07 2007-
ishing Industry
mpetitiven
s estimated
0 crore in 2
urnishings we
th Rs 48,200
th imports w
ment to 3 lakh
on Furnitu
n Furniture is
2007-08. Th
ousehold equ
old equipmen
F
Household Equipment
19%
07
-08
Sh
ry
ness of F
to be around
2007-08. Ind
ere worth Rs
0 crore with
worth Rs 1,79
h people.1
ure, Furnishi
s estimated t
he Compoun
uipments wa
nt (in Rs cro
Furnishing24%
are of Furni
Pag
Furnitur
d Rs 69,000
ia is a key p
7,400 in 200
h exports of
91 crore for
ings and h
to be Rs 48,2
nded Annual
as 17% for th
ore at curren
Furniture57%
iture and Fu
ge 5 of 50
re and
crore in
player in
07-08.
Rs 1485
the same
ousehold
227 crore
l Growth
he period
nt prices)
urnishings
Human R
The Fur
were wo
from 20
Source: D
The Furn
of the to
India is
in 2007-
imports
China to
towards
522
2003-04
Resource and
1.2.2. Exp
rniture expor
orth Rs. 1,48
03-04 to 200
DGFT, IMaCS A
niture export
otal Furniture
1.2.3. Imp
a net import
-08. The imp
were from C
o cater to the
high end of
991
2004-05
CA
Skill Requirem
ports
rts are a sma
85 crore in 2
07-08.The ke
F
Analysis
ts were dom
e exports.
ports
ter of Furnitu
ports have gr
China, Malay
e lower end o
the market. M
995
2005-06
AGR 30%
ments in Furn
all percentag
2007-08. How
ey export ma
Figure 2: Fur
minated by me
ure in value
rown with a
ysia, Italy an
of the marke
Metal and w
1,350
2006-07
niture & Furni
ge of the do
wever, the ex
arkets were U
rniture Expo
etal and woo
terms. The F
CAGR of 50
nd Germany
et, European
wood Furnitur
1,486
2007-08
ishing Industry
omestic prod
xport value h
US, EU, UAE
orts (Rs. cror
od furniture w
Furniture imp
0% from 200
y. While the
imports from
re accounted
Pfu
Furnof o
mate11
8
ry
duction. India
has grown w
E and Austra
re)
which accoun
ports amount
03-04 to 200
bulk of Furn
m Italy and G
d for around 6
Plastics urniture
12%
niture other erials1%
Sha
Pag
a’s Furniture
with a CAGR
alia.
nted for arou
ted to Rs 1,7
7-08. Majori
niture impor
Germany are
60% of the im
Wood furniture
39%
re of Furnit
ge 6 of 50
e exports
R of 30%
und 80 %
790 crore
ity of the
rted from
e targeted
mports.
Metal furniture
38%
e
ture exportss
Human R
Source: D
The key
manufa
segment
The offi
seating,
wall-to-w
desking.
function
346
2003‐
Resource and
DGFT, IMaCS A
1.2.4. Key
y segments
acturing. Ho
t caters prima
fice furniture
operative d
wall units, fu
. Office Fur
nality. The co
f
6522
04 2004‐
Skill Requirem
F
Analysis
y Segments
based on
ousehold seg
arily to hotel
e segment ca
desking, exec
urniture for c
rniture is ch
oncept of mo
Figure
Household furniture, 65
%
2
824
05 2005‐
CAGR 51%
ments in Furn
Figure 3: Fur
usage are h
gment accou
ls, restaurant
aters to the
cutive furnit
communicati
haracterized
odular furnitu
e 4: Furnitu
5
4
1,35
06 2006‐
%
niture & Furni
rniture Impo
household f
unted for 6
ts, etc.
commercial
ture, others
ion areas). 40
by contem
ure has caugh
ure market C
5
1,79
07 2007‐
ishing Industry
orts (Rs cror
furniture, o
5% of the
and office
(cabinets an
0% of the of
mporary aesth
ht on in the I
Consumer seg
Offurn
20
m
Plasfurn
26
1
08
ry
re)
office furni
Furniture m
space. Offic
nd office sto
ffice Furnitur
hetics and s
Indian marke
gments
ffice niture 0%
Contract manufacturi
ng, 15%
stics iture
6%
Furniturof other
material13%
Shar
Pag
iture, and
market. The
ce Furniture
orage, filing
re market is o
style combin
et.
i
re r ls
e of Furnitu
ge 7 of 50
contract
contract
includes
systems,
operative
ned with
Mfu
Wofurn
38
ure imports
Metal urniture
23%
ood niture8%
Human Resource and Skill Requirements in Furniture & Furnishing Industry
Page 8 of 50
Home Furniture can be further segmented based on usage: Kitchen Furniture, Bedroom and Living
room Furniture. The concept of modular kitchen is fast catching on in India. Children’s Furniture is a
whole new concept developed in tune with today’s market demands and is a fast emerging segment.
With the comforts of children being the top priority in almost all homes, a lot of thought goes into
furnishing their rooms. The Home Furniture segment can also be segmented based on buyer profile in
terms of 'first home' buyers and replacement buyers.
1.2.5. Key demand drivers
Real estate/housing boom
The key factor driving the demand for Furniture and Furnishings is the expansion of housing in both
the major and smaller cities in India. Growth in both, housing and commercial development will have
a positive effect on furniture demand, driven by the need to furnish new constructions. There will be
demand for over 24.3 million new dwellings for self-living in urban India alone by 20152.
The rapid growth of the Indian economy has had a cascading effect on demand for commercial
property to help meet the needs of business, such as modern offices, warehouses, hotels and retail
shopping centres. Growth in commercial office space requirement is led by the burgeoning
outsourcing and information technology (IT) industry and organised retail. For example, IT and ITES
alone is estimated to require 150 million square feet across urban India by 2010. Similarly, the
organised retail industry is likely to require an additional 220 million square feet by 20103.
Growth in Tourism and Hospitality industry
Indian tourism industry has expanded rapidly over the past few years and is well poised to grow at a
faster pace in the coming years underpinned by the government support, rising income level and
various international sports events. Government of India’s ‘Incredible India’ campaign launched in
2002 has also been quite successful.
The Travel & Tourism Competitiveness Report 2009 brought out by World Economic Forum, ranks
India as 11th in the Asia-Pacific region and 62nd overall in a list of 133 assessed countries in 2009, up
three places since 2008.The growth in both domestic and inbound international tourism has aided the
growth of hotel industry. The foreign tourist arrival (FTA) has increased from 2.4 million in 1998 to
5.37 million in 2008. FTA registered a growth of 5.6% in 2008 over 2007. The domestic tourist visits
to all States/UTs have risen from 168.2 million in 1998 to 526.6 million in 2007 at a compounded
annual growth rate of 13.5%.
2 'Housing Skyline of India 2007-08', Indicus Analytics 3 IBEF
Human R
It is estim
of travel
Furnitur
Organis
Internati
retailers
The pen
high end
in this se
Increasi
The PFC
as well
young d
Share of
the year
resulted
rising de
disposab
spend on
food ser
Figure
Source: M
4 IBEF F
Resource and
mated that b
l and tourism
re.4
sed Retail
ional retailer
and manufa
netration of o
d modular ki
egment inclu
ing Private
CE on Furni
as changing
demography.
f Women Em
rs in line with
in women h
emand of pr
ble househol
n household
rvices.
5: Percenta
Ministry of Sta
urniture repor
14.4
1992
Skill Requirem
by 2010, an a
m. The Furni
rs have main
acturers. The
organised ret
itchens, desig
ude Godrej L
Final Consu
shing and Fu
g lifestyles d
mployment o
h the changi
having more
roducts such
ld incomes f
chores whic
age Share of
atistics and Pr
rt
15.2
1994
ments in Furn
additional 12
ture industry
nly entered in
ey have targ
ail in the sec
gner furnitur
Lifespace, Fa
umption Exp
urniture has
due to increa
out of Total
ing mindsets
e impact on
as apparel,
for working
ch has led to
f Women Em
rogramme Imp
15.8
1996 1
niture & Furni
5,000 hotel r
y would bene
n the high-en
geted the pre
ctor is more
re, bathroom
abindia, Hom
penditure (P
been increas
asing partici
Employmen
and increasi
the purchas
footwear, ey
couples and
increased de
mployment O
mplementation
17 17.
998 200
ishing Industry
rooms would
efit through
nd market, th
emium segm
pronounced
m accessories
me Town, Sty
PFCE) on F
sing on acco
ipation of w
nt has been s
ing educatio
e decision o
yewear, jewe
lifestyle ch
emand of hou
ut of Total E
& Ministry of
.6 18.1
00 2002
ry
d be required
the subseque
hrough joint
ments for the
in the premi
s etc. The ma
yle Spa, and W
urniture an
ount of rising
women in urb
showing an i
on levels amo
of household
ellery etc. It
anges. Wom
usehold dura
Employment
f Labour, IMa
18.7
2004
Pag
d to cater to t
ent demand f
ventures wit
se turnkey s
ium category
ajor domesti
Welspun.
d Furnishin
g disposable
ban workfor
increasing tr
ong women.
d products as
has led to i
men have less
ables and out
t in organise
aCS Analysis
19
2006
ge 9 of 50
the needs
for Hotel
th Indian
solutions.
y such as
c players
ng
incomes
rce and a
rend over
This has
s well as
increased
s time to
t of home
ed sector
Human R
In India
64 years
which i
economi
aspiratio
The Fur
market.
is spread
turning
Punjab,
followin
producti
Source: A
5 Econom6 ILO Lab
Resource and
, the “demog
s will be incr
is the targe
ically active
on and lifesty
1.2.6. Stat
rniture indust
The share of
d across the
and lacqueri
Uttar Prade
ng figure. M
ion.
nnual Survey of
mic Survey 20abour statistics
Ut
Skill Requirem
graphic divid
reasing stead
t segment f
e population
yle products.
te wise prod
try is domina
f unorganise
country. A f
ing. Indian st
esh and Ker
Maharashtra
Figure 6: S
of Industry, IMa
007-08 s
Rajastha7%
ttar Pradesh7%
AndhraPradesh
6%
ments in Furn
dend” which
dily from 62
for most of
in 20076. T
duction of F
ated by the u
ed segment is
few centres h
tates well kn
rala. The sta
and Tamil
Share of diffe
aCS Analysis
Gujarat8%
an
a h
Oth16
niture & Furni
h manifests in
.9% in 2006
f the marke
The young de
Furniture
unorganised
s higher in ca
have become
nown for wo
ate wise sha
l Nadu acc
ferent states i
M
TaNa13
Karnataka8%
hers6%
ishing Industry
n the proport
6 to 68.4 % i
eters, accoun
emography h
sector which
ase of wood
e famous for
oodwork incl
are in Furnit
ount for ne
in Furniture
Maharashtra35%
amil adu3%
a
ry
tion of work
in 2026.5The
nted for 61
has in turn a
h accounts fo
furniture. Th
their exquis
lude Gujarat,
ture product
early 50%
e Production
Page
king age grou
e age group o
1% of the 4
aided the de
or around 15
he Furniture
site carving,
, Jammu & K
tion is show
of Indian F
n
e 10 of 50
up of 15-
of 15-40,
46 crore
emand of
5% of the
e industry
inlaying,
Kashmir,
wn in the
Furniture
Human Resource and Skill Requirements in Furniture & Furnishing Industry
Page 11 of 50
1.2.7. Key Players
Some of the major companies in this segment are:
Table 1: Key players in the Furniture industry
Company Products Category
Nilkamal Plastic Furniture Manufacturer/Retailer
Godrej Home & office Furniture Manufacturer/Retailer
Home Centre Furniture & Furnishing Retail
Home Town Furniture & Furnishing Retail
Damro Home & office Furniture Manufacturer/Retailer
Wipro Office Furniture B2B
Zuari Home & office Furniture Manufacturer/Retailer
Note: This is not an exhaustive list
1.2.8. Key Success Factors
Table 2: Key Success factors for the Furniture industry
Innovative designs and solutions to cater to the premium segment
both in the home and office segments.
Offer complete solutions and concepts, rather than piece-meal sales
Invest in brand building:
Brand values have increasingly played a vital role in consumers’
purchase decisions in Furniture and Furnishings. A strong brand is a
must to succeed in the office Furniture segment.
Penetrate rural market:
The urban area has been the focus of organised retail which has led
to increased competition. Rural India is home to 720 million
consumers across .6 million villages. 17 % of these villages account
for 50 % of the rural population as well as 60 % of rural wealth
C
C
I
C
Human R
1.3
The pri
Equipme
crore for
Source: C
C
I
45,099
2003-04
Resource and
1.2.9. Key
Threat of im
imported pr
Furniture seg
The increase
concern for
of wood.
The continu
. Furnishi
1.3.1. Dom
ivate final
ents was Rs
r the year 20
Central Statistic
F
52,817
2004-05
Skill Requirem
y Risk Facto
mports: The
roducts are
gment.
e in prices o
the Furniture
ation of the e
ing indust
mestic Cons
consumption
84,907 crore
007-08.
al Organisation
Figure 7: PF
Critical
Important
61,367
2005-06
CAGR 17%
ments in Furn
ors
Furniture im
offering stif
of commodit
e industry. E
economic slo
try
sumption
n expenditur
e in 2007-08
n (CSO), IMaC
FCE on Fur
73,579
6 2006-0
niture & Furni
mports in th
ff competiti
ties such as
Environmenta
owdown will
re (PFCE)
8. The PFCE
CS Analysis
rnishings (at
9
84,90
07 2007-
ishing Industry
he country h
on in both
steel, glass,
al concerns a
l affect the d
on Furnitur
E on Furnishi
F
t current pri
07
-08
ry
have been gr
the premium
, wood and
are likely to a
demand in the
re, Furnishi
ings is estim
Furnishing24%
HouseholdEquipmen
19%
ices)
Share of F
Page
rowing stead
m and mass
plastic is a
affect the av
e domestic m
ngs and H
mated to be R
d nt
urniture an
e 12 of 50
dily. The
s market
cause of
vailability
market
ousehold
Rs 20,750
Furn57
d Furnishin
iture7%
ngs
Human R
Major F
•
•
•
•
•
•
Exports
US and
increase
“Others
pillow c
4,962
2003‐04
Resource and
urnishing pr
Furnishing
blinds
Bedding : m
Bed linen :s
Table linen
Bath linen
Other house
and/or Furn
1.3.2. Exp
of Furnishin
EU. The F
ed competitio
s” include pr
ases, table cl
5,892
2004‐05
CAGR 10.
Skill Requirem
roduct catego
g fabrics :up
mattresses an
sheets, pillow
n : tablecloth
: towels and
ehold textile
niture, flags, m
ports
ngs items we
Furnishing e
on in the inte
Fig
roducts such
loth etc. and
7,646
2005‐06
6%
ments in Furn
ories include
pholstery, cu
nd pillows
wcases, blan
hs, table napk
washcloths
e items as sh
mosquito ne
ere worth Rs
exports have
ernational ma
gure 8: Furn
as Mosquito
accounts for
7,826
2006‐07
niture & Furni
:
urtain materi
kets, and qui
kins, fabric p
hopping bags
ts and sunsh
s 7,400 crore
e been stagn
arket.
nishings exp
o nets, Terry
r 62 % of the
7,428
2007‐08
ishing Industry
al, curtains,
ilts
lace mats/se
s, laundry ba
ades
e in 2007-08
ating over th
ports (Rs. cro
Sour
towels, Nap
e exports.
O61
Mat0
8
ry
drapes, doo
ttings
ags, shoe bag
. The major
he last few
ore)
rce: DGFT, I
pkins, Pillow
S
Others1.7%
ttresses 0.5%
Page
or curtains an
gs, covers fo
export mark
years on ac
IMaCS Analy
covers, Bed
Share in Exp
Blanke2.8%
Curt8.1
e 13 of 50
nd fabric
or clothes
kets were
ccount of
lysis
d spreads,
ports
ets%
Btableand k
lin26
tains 1%
Bed , toilet
kitchen nen.9%
Human Resource and Skill Requirements in Furniture & Furnishing Industry
Page 14 of 50
1.3.3. Imports
Furnishing imports are quite insignificant compared to the domestic market size. Furnishing imports
were less than Rs 400 crore in 2007-08.
1.3.4. Major centres for Furnishings
Table 3: Key Centres for Furnishings
Centre Brief Description
Karur
Karur is known for the production of pillow covers, bedspreads as well
as kitchen and table linen. The home textile producers of Karur specialise
in certain finishes, such as PVA, starch, stain repellent, water repellent
and silicon finish. Some producers have begun the use of organic cotton
and the use of different fabrics such as polyester, silk and poly cotton
Panipat
The city of Panipat located in the state of Haryana is a major producer of
woollen home textile products. Producers in Panipat have of late started
experimenting with different fabrics such as polyester, silk and poly silk.
Some producers have also started the use of natural fabrics such as
bamboo and soya.
Chennai
Home textile producers in Chennai usually source raw materials from
Karur, to which value addition is undertaken. These producers are able to
deliver better quality products within a shorter period of time with the
benefit of technology and the services of experts.
Delhi
Delhi has emerged as one of the major production and export centres for
home textiles. It has an efficient infrastructure and easy availability of
skilled manpower. Most of the producers in Delhi source their raw
material from Panipat, to which value addition is done.
Mumbai
Mumbai is also one of the major production and export centres for home
textiles. Producers in Mumbai also source raw material from places such
as Karur, Salem, Erode and Bangalore and add value to it. On account of
the high operating costs in Mumbai, several producers have established
plants in surrounding areas of Vapi and Solapur. The home textile
producers in Mumbai have carved out a niche for themselves,
particularly in case of bedspreads, pillow and cushion covers and
bathroom textiles.
Jaipur It is an important centre for the production of home textiles, especially
those using the traditional techniques of tie-and-dye, block printing and
Human Resource and Skill Requirements in Furniture & Furnishing Industry
Page 15 of 50
Centre Brief Description
appliqué.
Cannanore
Cannanore, located in South India, is another hub that is well known for
the production of home textiles. About 60% of the textile production
done in this area is home textile. Home textile producers in Cannanore
are beginning to use fabrics such as cotton viscose, silk and cotton.
Producers here are also adding value with the help of embroidery, bead
work and sequin work.
Mirzapur and Badhohi
Mirzapur and Badhohi are small cities located in Uttar Pradesh, which
are major centres for the production of floor coverings and carpets.
1.3.5. Key Players
Some of the major companies in this segment are:
Table 4: Key players in Furnishing industry
Company Products Category
Welspun Terry towels, Bed Linen Manufacturer/Retailer
Home Centre Furniture & Furnishing Retail
Home Town Furniture & Furnishing Retail
Bombay Dyeing Bed linen, towels, Manufacturer/Retailer
Fabindia Bed, bath, table and kitchen
linen, upholstery fabric,
curtains, floor coverings
Retailer
Kurl-On Mattresses Manufacturer
Mahajan Overseas
Limited
Cushions & Throw Pillows,
KitchenLinens
Manufacturer
Human Resource and Skill Requirements in Furniture & Furnishing Industry
Page 16 of 50
1.3.6. Key Success factors
The key success factors for the Furnishing industry are:
Increasing productivity by leveraging technology
Investing in brand building activities which in turn would improve the profitability
Focusing on international markets other than the US and EU
Obtaining international certifications to overcome entry barriers in the international market.
Investing in IT would enable more efficient operations.
Focus on product innovation to cope with the rising competition from other countries in the
international market.
1.3.7. Key Risk factors
The major risk factors for the industry are:
Dependency on EU and US markets
Raw material prices: Failure of cotton crop and government policy in terms of minimum
support prices and export incentives for cotton can push up the cotton prices and affect the
entire value chain. The Man Made filaments/fibres are crude derivatives and move in line
with crude oil prices
Exchange rate fluctuations: Strengthening of Rs against international currencies would affect
the cost competitiveness in the international market
Protectionist measures: Countries are increasingly protecting their domestic industries from
surging imports. After Turkey and Egypt in the last year, Peru is now planning to impose a
safeguard on cotton yarn imports. Brazil has imposed anti-dumping duties on viscose yarn
imports from Asia.
Subsidies/government support in competing countries: Chinese government has raised the
export rebate rate for textiles and apparels thrice, from 11% at the beginning of 2008, to 15%
by February 2009, the highest level in 10 years. Vietnamese government has agreed to
provide support to the country’s T&C industry at a ratio of 40 Vietnamese dong per dollar of
export value. Cash subsidy of 15% of the fabric cost is given to exporters in Bangladesh who
source fabric locally.
Economic Slowdown: The continuation of the economic slowdown will impact demand, both
in the domestic and international markets.
Human Resource and Skill Requirements in Furniture & Furnishing Industry
Page 17 of 50
1.3.8. Demand drivers
The demand drivers of the Furnishing industry are similar to the Furniture industry and are depicted in
the following figure.
Figure 9: Demand Drivers of Furnishing industry
Demand Drivers
Real estate/housing
boom
Growth in Tourism and hospitality industry
Growth in Organised furnishing
Retail
Young Demography
Rising share of women of workforce
Growth in Exports
Human R
2. Hu
2.1
The emp
Nadu ac
Source: A
The valu
the type
cum reta
7 IBEF re
Resource and
uman Re
. Human
2.1.1. Ove
ployment in
ccount for 40
nnual Survey of
2.1.2. Val
ue chain of t
e of raw mate
ailers. These
eport on Furni
U
A
Skill Requirem
esource a
n Resourc
erview of Em
Furniture in
0%.
Figure 10
of Industry and I
lue chain an
the Furniture
erials is also
units are typ
iture industry
G
Uttar Pradesh6%
Andhra Prade4%
ments in Furn
and Skil
ce and Ski
mployment
ndustry is est
0: State wise
IMaCS Analysi
nd core pro
e industry is
o indicated. T
pically locate
Karnataka9%
Kerala7%
Gujarat6%
eshOthe16%
niture & Furni
ll Requir
ill Requir
t in Furnitu
timated arou
employment
is
ocesses
depicted bel
The wood fu
ed in a cluste
M
Rajas12%
ers%
ishing Industry
rements
rements in
ure industry
und 3 lakh in
t in Furnitur
low. The typ
urniture indu
er.
Maharashtra26%
Tamil Nad14%
than%
ry
n Furnitu
y
n 20067. Ma
re industry
pical process
ustry has num
du
Page
ure indust
aharashtra an
es involved
mber of manu
e 18 of 50
try
nd Tamil
based on
ufacturer
Human R
Various
wood, m
Source: IB
Raw materials•Wood•Steel/OtheMetals
•Glass•Plastic/PolUrethane
Other Furniture component manufacture• Furnishings• Wheels,Arm re
etc.
Resource and
types of raw
metal and pol
Figure
BEF Furniture
r
ly Man
ers
ests
Skill Requirem
Figu
w materials a
lymers.
e 12: Share o
report
M2
nufacturers
ments in Furn
ure 11: Value
are used for F
of different r
Metal25%
Plastic10%
Ot5
Whol
niture & Furni
e chain of F
Furniture ma
raw materia
thers5%
lesalers
ishing Industry
Furniture ind
aking in Indi
als in Furnitu
Wood60%
Retail
ry
dustry
ia. The key r
ure manufac
lers
Page
raw material
cturing
End custom
e 19 of 50
s include
er
Human R
Wood F
Process
The trad
and plyw
particles
suitable
expansio
sealer. T
in South
Ivory Co
Processe
other sh
depends
termites
Process
The woo
compon
various p
this step
best suit
assembl
done by
Resource and
Furniture
ed wood:
ditional wood
wood. Comp
s, such as w
binder, are
on and disco
Therefore, it
h East Asia.
oast, etc.
ed wood is s
hapes. The ty
s on the cos
, and other d
ing:
od is further
ents of the
profiles base
p. Both hand
ted for hand
ed together.
carpenters.
Processed wlogs
Skill Requirem
den furniture
posites of w
wood chips,
also used.
oloration due
is rarely use
India impor
sourced from
ype of wood
t and durab
defects.
processed to
Furniture ar
ed on the des
tools and m
cutting. Hol
The process
wood
Figure 1
ments in Furn
e is made fr
wood such a
sawmill sha
A major di
e to moisture
d for outdoo
rts wood from
m the raw wo
depends on
ility factors.
o improve its
re made and
sign requirem
achines are u
les and slots
sing of wood
13: Manufac
niture & Furni
om natural w
as particle b
avings, or ev
isadvantage
, particularly
or furniture. I
m countries
ood processo
n the specific
. The wood
s texture. The
d the same a
ments. The w
used for cutt
s are made in
d which tran
Processing
cturing proce
ishing Industry
wood such a
boards, whic
ven saw dust
of particleb
y when it is n
India is one o
such as Ma
rs in the form
cation of the
has to be f
e surface of t
are assemble
worker has to
ting purpose.
nto the vario
nsforms the w
g
ess of Wood
ry
as Teak, Mah
ch are manu
t, and a syn
oard is that
not covered
of the larges
alaysia, Indon
m of rectang
retailer/cust
free of defec
the wood is
ed afterward
ensure mini
. Minute aspe
ous compone
wood to the
Furniture
Page
hogany & R
ufactured fro
nthetic resin
t it is very
with paint or
st consumers
nesia, Myan
gular sheets,
tomers whic
cts such as s
smoothened.
ds. Wood is
imum wastag
ects of the d
ents and the
skeleton Fur
Finishing
e 20 of 50
Rosewood
om wood
or other
prone to
r another
of wood
mar, and
logs and
h in turn
swelling,
. Various
cut into
ge during
esign are
same are
rniture is
Human R
Finishin
The asse
material
topcoats
closed g
stains ar
and tran
with a
Solvents
and ethy
adhesive
ureaform
other fur
Metal a
plastic/p
Furnitur
Metal F
Various
perform
furniture
required
Resource and
ng:
embled Furn
ls include st
s. During fin
grained surfa
re solvent bo
nsparent film
solvent such
s found in v
yl alcohol. Th
es in the
maldehyde (U
rnishing mat
and plastic/p
polymer pro
re are shown
Furniture
metals and
ance charac
e as it is ligh
d.
(Stee
F
Skill Requirem
niture is poli
tains, basec
nishing, paste
aces. Stains a
orne such as p
s are shellac
h as alcoho
arnishes incl
hinners used
wood prod
UF) resins, a
terial
/polymer fur
ocessing ind
as below.
Figure 14
alloys such
teristics. Fo
ht weight in
Metal el, Aluminiu
etc)
Finishing
ments in Furn
ished to imp
oats, wash
e or diluted
are applied to
penetrating o
cs, varnishes,
l. Varnishes
lude turpent
d in lacquers
ducts indus
and contact
rniture are
dustries resp
4: Manufact
h as cast iro
r e.g. alumi
n nature whe
m
niture & Furni
prove the loo
coats, glaze
paste fillers
o penetrate th
oil and alcoh
, or lacquers
s, slow dryi
ine and xylo
include tolu
stry include
adhesives. T
parts of th
pectively. M
turing proce
on, steel, alu
inium may b
ere as steel w
Forgi
Assemb
ishing Industry
ok and feel
es, fillers, se
s may be req
he wood and
hol, while oth
. Shellac is a
ing coatings
ol. Solvents
ene, benzene
e hot melt
This is follow
he value ch
Manufacturing
ess of Metal F
uminium, etc
be used for
would be pre
ing
bling
ry
of the wood
ealers, highl
quired to lev
d produce a d
her stains are
a natural resi
, are typica
used in lacq
e and xylene
ts, polyviny
wed by addit
hain of ligh
g process o
Furniture
c. are used b
non load c
eferred wher
F
Page
d. Common
lights, enam
vel open gra
desired colou
e water borne
in which is c
ally of polyu
quers include
e. Major type
yl acetates
tion of Cush
ht engineer
of Metal and
based on the
carrying part
re greater st
Cutting
Fabrication
e 21 of 50
finishing
mels, and
ained and
ur. Some
e. Sealers
combined
urethane.
e acetone
es of glue
(PVA),
hions and
ring and
d plastic
e desired
ts of the
rength is
Human R
Plastic F
Polymer
Compon
made of
The dist
followin
the smal
Ta
Source: I
*Other F
The dist
the follo
Pogr
Resource and
Furniture
rs such as hig
nents made o
f wood and m
2.1.3. Pr
tribution of
ng figure. Bu
ll units do no
able 5: Distr
Fun
Prod
Sou
Sale
Oth
Industry input
Functions inclu
tribution of h
owing figure.
olymer ranules
Skill Requirem
Figure 15
gh density P
of polymers
metal. The po
rofile of Hu
human reso
ulks of the pe
ot have expli
ribution of H
nctions
duction
urcing/Procur
es
er functions*
ts, IMaCS ana
ude Accounts,
human resou
.
ments in Furn
5: Manufactu
oly-ethylene
such as hand
olymer granu
uman resour
urce across
eople (80%-9
cit demarcat
Human Resou
rement
*
alysis
, Administrati
urce within p
Melting
niture & Furni
turing proces
e and Poly-ur
d rest, wheel
ules are melte
rce in Furn
functions in
90%) people
tion of functi
urce across f
ion, and Desig
production fu
ishing Industry
ss of Plastic
rethane are u
l base etc. ar
ed and mould
niture indus
n Furniture m
are engaged
ions for sour
functions in
Percen
80%- 9
2%-3%
2%-3%
5%-10%
gn etc.
function of w
Mouldi
ry
Furniture
used for mak
re also used
ded through
stry
manufacturin
d in the produ
cing, sales et
n Furniture m
ntage share
90%
%
%
%
wood based f
ing
Page
king plastic F
along with F
Injection mo
ng is depicte
uction functio
tc.
manufacturi
furniture is s
Fini
e 22 of 50
Furniture.
Furniture
oulding.
ed in the
on. Also,
ing
shown in
ishing
Human R
Source: I
In cas
floor/Op
The edu
figure be
Source: I
Resource and
Fi
Industry input
se of un
perators/Wor
ucation-wise
elow. Aroun
Table
Educationa
Class X,XII
Diploma/IT
Others (MB
Industry input
Skill Requirem
igure 16: Dis
ts, IMaCS ana
norganised
rkers/Helpers
distribution
nd 95% of the
e 6: Educatio
al Level
I or below
TI
BA,CA, Engi
ts, IMaCS ana
FurnitFinish
/Assembworke
30%
Unskilled-Semiskilled
workers30%
ments in Furn
stribution of
alysis
and smal
s can be as h
of workforc
e workforce’
onal profile
ineers, Gradu
alysis
ture hing bling ers
%
niture & Furni
f workers in
ll scale
high as 95%.
ce in Furnitu
s education p
of workforce
uates)
ishing Industry
wood furnit
units the
ure manufact
profile is cla
e in Furnitu
Perc
90%
2%-
2%-
Carpenters40%
ry
ture producti
percentag
turing segme
ass X, XI or b
ure manufact
centage sha
%-95%
-5%
-5%
Page
ion
ge of the
ent is provid
below.
turing
re
e 23 of 50
e Shop
ed in the
Human Resource and Skill Requirements in Furniture & Furnishing Industry
Page 24 of 50
2.1.4. Skill requirements and skill gaps in the Furniture Industry
Table 7: Skill requirements and skill gaps in the Furniture Industry
Function Level Skills Required Skill Gaps
Procurement
Purchase
Manager
Knowledge of various types of
wood (Teak, Rosewood, etc.) ,
plywood, polymer/plastic ,Metal
components, furnishing material
(Upholstery, Stuffing material
such as foam) and chemicals
used in processing (Thinners,
Adhesives etc.)
Knowledge of various types of
wood defects - swelling, holes,
fragile edges, knots etc. Quality
of the wood is important as any
defects at this stage would affect
the quality of the final product.
Awareness of the latest price
trends. The Furniture market is
very cost competitive and hence
minimising the raw material cost
is important for furnishing
manufacturers.
Negotiation and communication
skills for negotiating pricing and
delivery terms. It maybe
required to negotiate higher
discounts if the furnishing fabric
and other raw materials are not
of the specified quality.
Inadequate knowledge of
various types of raw
materials such as wood,
plastic & metal components
and quality parameters.
Negotiation and
communication skills.
Ability to calculate the requisite
amount of wood and stuffing
material required based on the
order size and likely wastage.
Insufficient knowledge of
Human Resource and Skill Requirements in Furniture & Furnishing Industry
Page 25 of 50
Function Level Skills Required Skill Gaps
Purchase
associate/
executive
Knowledge of various types of
wood defects and other quality
parameters.
Liaison with the component
manufacturers and ensure that
the components are made to the
specifications. This is required
for companies which source
non-wood components from
outside.
various types of wood
defects and other quality
parameters.
Sales
Sales
Manager/Store
Manager
This function is critical for
manufacturers cum retailers.
Understanding of various
aspects of customer behaviour.
For e.g. the profile of customer
as user/buyer will have impact
on his selection of furniture.
Detailed product knowledge to
train the sales associates.
Knowledge of offerings of
competing stores/brands.
Ability to communicate the
product knowledge in such a
manner that an average customer
can understand the same.
Negotiation and communication
skills - These skills are critical
for firms focussed on office and
institutional furniture.
Ability to handle multiple
accounts/customers
Understanding of customer
Insufficient ability to
customise the offerings to
the requirements of the
customers.
Lack of soft skills for
interacting with institutional
customers.
Human Resource and Skill Requirements in Furniture & Furnishing Industry
Page 26 of 50
Function Level Skills Required Skill Gaps
requirements of design and
quality
Basic computer skills. Should be
able to communicate the product
offerings through emails.
Knowledge of English is
desirable for personnel in firms
focussing on office Furniture
segment.
Sales Executive
Ability to assist in the sales
process
In depth knowledge of the store
offerings. Should be aware of
the offerings of competing
stores/brands.
Ability to work closely with
other functions such as
production
Time management skills to
handle multiple orders at the
same time.
Basic computer skills - Should
be able to communicate the
product offerings through
emails.
Knowledge of English is
desirable for firms focussing on
office Furniture segment.
Lack of good
communication skills and
interpersonal skills
Insufficient ability to
communicate the quality
price relationship to the
customers as they do not
understand the quality
aspects.
Less than adequate ability to
customise the offerings to
the requirements of the
customers.
This function is critical for
.
Human Resource and Skill Requirements in Furniture & Furnishing Industry
Page 27 of 50
Function Level Skills Required Skill Gaps
Design
Designer
Manufacturer cum retailers.
Design and develop Furniture
designs. Modify existing designs
to suit the current trends in the
market.
Should be creative and work
with number of materials to
enhance the appearance of the
Furniture.
Keep abreast with the latest
trends in the market - should be
aware of the designs, materials
and colours which are in vogue.
Knowledge of CAD
/AUTOCAD
Basic computer skills
Insufficient knowledge of
latest design trends
Creative skills required to
come up with fresh designs
is inadequate
Production
Production
Manager
In-depth Knowledge of
Furniture manufacturing
processing, finishing and
inspection methods
Process improvement skills -
waste control, finding solutions
to maintenance and engineering
related problems as most of the
units do not have a dedicated
R&D for process improvement.
Cost reduction through above
mentioned measures aids in
improving profitability.
Lack of adequate knowledge
of line balancing, work
study, and Quality Control
(this is because a large
number of managers have
been elevated by experience
rather than by formal
training).
The person employed picks
up the requisite skills with
experience.
Lack of man management
skills to manage the shop
Human Resource and Skill Requirements in Furniture & Furnishing Industry
Page 28 of 50
Function Level Skills Required Skill Gaps
Man management skills to
manage shop floor workers who
are mostly minimally educated.
Awareness of quality
requirements across various
stages of production.
Knowledge of Hindi/other
vernacular languages is a must
to interact with the shop floor
workers.
floor people.
Line
Supervisor/
Floor
supervisor
Knowledge of production
process involved in wood work
such as cutting, sanding,
polishing.
Ability to estimate the number
of pieces that can be cut from
one piece of wood.
Ability to minimise wastage
Should be able to train and
groom new recruits who do not
have the relevant experience.
Knowledge of different type of
wood characteristics
Knowledge of chemicals
(Thinners, dyes, Varnishes,
Adhesives, etc.) used during
finishing and processing to
guide the shop floor workers.
Knowledge of various cutting
and processing tools (saw
machines, hammers, spanner,
Lack of knowledge of
various chemicals
Lack of man management
skills to manage the shop
floor people.
Ability to minimise waste by
using the raw, semi finished
articles by design
modification.
Knowledge of various types
of chemicals.
Human Resource and Skill Requirements in Furniture & Furnishing Industry
Page 29 of 50
Function Level Skills Required Skill Gaps
drill machines, spray painting
machines) to guide the shop
floor workers
Good understanding of
chemicals (Thinners, dyes,
Varnishes, Adhesives etc.) used
during finishing and processing.
Good understanding of stitching
processes (for cushions, etc.).
Should be able to
reuse/repackage faulty furniture
articles by altering the design,
finish.
Man management skills to
manage the shop floor where
most of the workers are
minimally educated - Should be
able to motivate the workers in
the challenging work
atmosphere as the demand is
seasonal and order driven. Also,
the work environment has high
levels of air and noise pollution.
Knowledge of Hindi/other
vernacular languages is a must
to interact with the shop floor
workers.
Good machine control,
knowledge of various cutting
and processing tools (saw
machines, hammers, spanner,
drill machines, spray painting
Lack of proper knowledge of
machine operations
Inadequate ability to work
across different machines
Knowledge of various type
Human Resource and Skill Requirements in Furniture & Furnishing Industry
Page 30 of 50
Function Level Skills Required Skill Gaps
Operator
machines)
Ability to size timber, mark and
drill holes as per the design
specifications of the various
Furniture articles.
Should be able to identify and
use the right tool for a particular
operation.
Knowledge of chemicals
(Thinners, dyes, Varnishes,
Adhesives etc.) used during
finishing and processing.
Should be able to work on the
various components of the
Furniture being manufactured.
Knowledge of various joints and
their appropriate applications.
Should be able to work on half
lap, dove tail, tenon, mortise and
other type of joints.
Should be able to minimise
wastage and dispose the waste
materials.
Ability to maintain various tools
used in Furniture manufacturing.
Ability to manufacture simple
Furniture articles without much
supervision.
Should have good hand-eye
coordination to work on intricate
designs.
Physical stamina as the work
involves heavy articles. The
person should not have any
of chemicals
Ability to make simple
Furniture items without
supervision.
Human Resource and Skill Requirements in Furniture & Furnishing Industry
Page 31 of 50
Function Level Skills Required Skill Gaps
respiratory ailments.
Discipline at shop floor,
punctuality and regular
attendance at workplace.
Knowledge of maintenance
requirements of various machine
and tools.
2.1.5. Current Training & Education Infrastructure
Directorate General of Employment and Training (DGET) offers the following Furniture specific
courses.
Table 8: Training courses for Furniture industry
S. No Institution/Framework Name of
Course
Minimum
Educational
Qualification
Duration of
Training
Test/Course
Fee (Rs)
1
Modular Employable
Skills (MES) course
Basic Wood
Work 5th Standard 270 hours
2000
(Training
Fee) +
800(Test
Fee)*
2
Modular Employable
Skills (MES) course
Wooden
Furniture 5th Standard 270 hours
2000
(Training
Fee) +
800(Test
Fee)*
3
Craftsmen Training
Scheme (CTS)
Carpenter 8th Standard 1 year -
4 Craftsmen Training
Scheme (CTS)
Cane Willow
and Bamboo 8th Standard 1 year -
Human Resource and Skill Requirements in Furniture & Furnishing Industry
Page 32 of 50
S. No Institution/Framework Name of
Course
Minimum
Educational
Qualification
Duration of
Training
Test/Course
Fee (Rs)
Work
5
Craftsmen Training
Scheme (CTS)
Interior
Decoration
and Designing
10th Standard 1 year -
6
Apprenticeship
Training Scheme (ATS)
Carpenter 10th Standard 3 years -
7
Apprenticeship
Training Scheme (ATS)
Furniture and
Cabinet
Maker
8th Standard 3 years -
*Candidates belonging to SC/ST category and women are given 25% exemption in fee.
2.1.6. Emerging trends in skill requirements
Change in Industry Structure
The Furniture manufacturing industry is predominantly in the unorganised sector. The organised
sector accounts for around 15% - 20% of Furniture manufacturing.8 The share of the organised sector
is expected to rise which would result in greater focus on standardisation and quality aspects. The
consolidation has already begun in at the retail end with number of players in Furniture retailing
space.
Increased usage of Polymers and Metals
As mentioned earlier, India is one of the largest consumers of wood in South East Asia. India imports
wood from various countries such as Malaysia, Indonesia, Myanmar, and Ivory Coast, etc. MDF
boards are imported from Europe, soft and hard wood are imported from Russia and other South East
Asian countries. However, the supply of wood would be constrained and would not be able to keep
pace with the increase in demand of Furniture. This would result in increased usage of other materials
such as polymers, metals, glass etc. Also, non wood Furniture would help to make Furniture more 8 Annual Survey of Industry, IMaCS Analysis
Human R
affordab
need to p
Focus on
The reta
requirem
Furnitur
Level of
As ment
Therefor
tools. Th
operator
2.2
The Fur
employm
nearly 5
Source: A
9 Source:
P
Resource and
ble and cater
possess the r
n solution se
ailers would
ments. Hence
re categories.
f technology
tioned earlie
re they do no
he level of te
rs have to be
. Human R
2.2.1. Ove
rnishing man
ment is show
0% of the em
nnual Survey of
: ASI, IMaCS
Gujar
Andhra Pradesh, 7%
Rajasthan, 4
Skill Requirem
r to the entry
requisite kno
elling
d have to fo
e, Manufactu
.
er, most of t
ot have the a
echnology is
imparted the
Resource
erview of Em
nufacturing
wn in the fol
mployment in
Figure 17
of Industry, IMa
Analysis
rat, 8%
Kerala, 7
4%
ments in Furn
y level segm
owledge to w
ocus on offe
urers cum re
the units in F
ability to abso
s expected to
e knowledge
e and skill
mployment
industry em
llowing figu
n the Furnish
7: State wise
aCS Analysis
Maharash
%
Others, 16
niture & Furni
ments. Hence
work with the
ering comple
etailers woul
Furniture ma
orb the latest
o go up in li
e of automati
l requirem
t in Furnish
mploys 8-9 L
ure. Tamil N
hing industry
employment
Ha
htra, 9%
6%
ishing Industry
, the produc
se materials.
ete solutions
ld require pe
anufacturing
t technology
ne with cons
ic tools.
ments in F
hing industr
Lakh people.
Nadu, Uttar P
y.
t in Furnitur
Tamil Nadu, 23%
Pra
aryana, 10%
ry
tion and des
.
s for office
eople with k
g do not hav
and work w
solidation in
Furnishin
ry
.9 The state
Pradesh and
re industry
Uttar adesh, 16%
Page
sign personn
and home F
knowledge of
ve the requis
with manual a
n the industry
ng industr
wise distrib
Haryana acc
e 33 of 50
nel would
Furniture
f various
ite scale.
and small
y and the
ry
bution of
count for
Human R
The Fu
variety o
knitted a
Most of
after the
and finis
The vari
Resource and
2.2.2. Val
rnishing ind
of raw mate
and woven fa
f the furnishi
e fabric manu
shing to mak
ious activitie
Cutting
Skill Requirem
lue chain an
Figur
dustry is a p
erials such a
abrics.
ing articles s
ufacturing an
ke the requisi
es involved in
Figur
g
ments in Furn
nd core pro
re 18: Value
part of the
s cotton, silk
such as curta
nd processin
ite furnishing
n furnishing
re 19: Produ
Stichin
niture & Furni
ocesses
Chain of Fu
textile valu
k and fabric
ains, bed she
ng stage. The
g article.
manufacturi
uction proces
ng
ishing Industry
urnishing in
e chain. Th
c made of sy
eets, etc. hav
e processed f
ing are shown
sses in Furn
Stuffin
ry
ndustry
he home furn
ynthetic fibre
ve relatively
fabric underg
n in the follo
ishing
ng
Page
nishing prod
es and inclu
lesser value
goes cutting,
owing figure
Finishi
e 34 of 50
ducts use
udes both
addition
, stuffing
.
ing
Human Resource and Skill Requirements in Furniture & Furnishing Industry
Page 35 of 50
Cutting
The fabric is cut as per the defined pattern. Markings are made on the spread fabric which is
then cut/chopped in the cutting machine. Wastage reduction is a key consideration during this
step.
Stitching
A number of stitch and seam- types, and sewing machines are used for stitching the
furnishing item. Stitch classification is based on the structure of the stitch and method of
interlacing. Machine in each class may have the capability of producing several different
types of stitches depending on the machine structure and how it is set and threaded.
Table 9: Types of Stitches
Stitch Class
100 (Chain Stitch)
200 (Hand Stitch) 300 (Lockstitch)
400(Multi chain Stitch)
500(over-edge stitch)
600(Flat Seam Stitch)
Source: ATDC
A group of stitches with specific purpose is called seam, or in other words a line of stitches.
Seams are categorised into 8 classes and designated according to the types and minimum
number of components within the seam.
Assembling/Stuffing
This step is required in case of furnishing articles where foam, cotton or other stuffing
materials are used. The stuffing material is added to the fabric skeleton and compressed. This
is followed by stitching to close/seal the furnishing article.
Finishing
Finishing involves the following operation:
Removal of excess thread
Washing
Human Resource and Skill Requirements in Furniture & Furnishing Industry
Page 36 of 50
Pressing/ Ironing
Folding.
The value chain of the Furnishing industry varies depending on the product. As mentioned above, the
various product categories in furnishings include:
Table 10: Product categories in Furnishing
Product Category Products
Furnishing fabrics Upholstery, curtain material, curtains, drapes, door curtains and
fabric blinds
Bedding Mattresses and pillows
Bed linen Sheets, pillowcases, blankets, plaids, duvets and quilts
Table Linen tablecloths, table napkins, fabric place mats/settings
Bath Linen Towels & Washcloths
Others Shopping bags, laundry bags, shoe bags, covers for clothes and/or
Furniture, flags, mosquito nets and sunshades
The value chain of the mattress industry is shown below
Figure 20: Value chain of mattress industry
Raw material manufacturers
• Foam• Coir• Ticking fabric and others
Mattress manufacturer
Retailer
•Mattress Dealer• Bed manufacturer/retailer
End customer
Human R
The dist
followin
producti
sales etc
Tab
F
P
S
S
O
Source: I
*Other F
Resource and
2.2.3. Pr
tribution of
ng figure. A
ion function.
c.
ble 11: Distr
Functions
Production
Sourcing/Pro
Sales/Mercha
Other functio
Industry input
Functions inclu
Coconut rope and l
Pressin
Stitching finishin
Skill Requirem
Figure 2
rofile of Hu
human reso
large propo
. Also, the sm
ibution of H
ocurement
andising
ons*
ts, IMaCS ana
ude Accounts,
coir latex
ng
and ng
ments in Furn
21: Manufa
uman resour
urce across
ortion of the
mall units do
Human Resou
alysis
, Administrati
Untwistincoir
Vulcani(hot ov
niture & Furni
acturing pro
rce in Furn
functions in
human reso
o not have ex
urce across f
ion, and Desig
ng the r
izing ven)
ishing Industry
cess of coir M
nishing indu
n Furniture m
ource (about
xplicit demar
functions in
Per
75%
2%
3%
5%
gn etc.
Shee
Trimmrequire
ry
Mattress
ustry
manufacturin
80%) peopl
rcation of fu
Furnishing
rcentage sha
%-80%
%-3%
%-5%
%-10%
eting
ming to ed size
Page
ng is depicte
le are engage
unctions for s
g manufactu
are
Laappli
Addifo
e 37 of 50
ed in the
ed in the
sourcing,
ring
atex ication
ition of oam
Human Resource and Skill Requirements in Furniture & Furnishing Industry
Page 38 of 50
In case of unorganised and small scale units the percentage of the Shop floor/Operators/
Workers/Helpers can be as high as 95%.
The education-wise distribution of workforce in Furniture manufacturing segment is provided in the
figure below:
Table 12: Educational Profile of the workforce in Furnishing Manufacturing
Educational Level Percentage share
Engineers
3%-5% Diploma or equivalent certification by other agencies
ITI and other vocational courses/Certificates 8%-10%
Other graduates
2%-3% CA/MBA/etc.
12th/10th standard/Minimally Educated 85%-90%
Source: Industry inputs, IMaCS analysis
Profile of people employed
The typical profile of people employed in production function, which is the dominant activity in the
furnishing manufacturing, is shown in the following figure.
Human Resource and Skill Requirements in Furniture & Furnishing Industry
Page 39 of 50
Figure 22: Profile of people employed
Source: Industry inputs, IMaCS analysis
2.2.4. Skill requirements and skill gaps
Table 13: Skill requirements and gaps in Furnishing industry
Function Level Skills Required Skill Gaps
Purchase
Manager
Knowledge of various types
of fabrics (type of material,
count/picks, dye
requirements) and stuffing
material (cotton, kapok,
foam, fibrefill.)
Knowledge of various types
of fabric defects such as
breakage of threads, missing
threads, stains, patches and
shade variation etc. Quality
In-depth knowledge of the
various types of fabric and
quality parameters.
Negotiation and
communication skills.
Minimally Educated
ITI/Diploma/ ATDC Pass out /Minimally educated with 3-5 years experience
Engineer / Diploma/Minimally
educated with 5-10 years experience
Engineer / 5-10 years experience Manager
Line/Shift superisor
Supervisor
Opertator
Supervisor
Opertator
Line/Shift superisor
Supervisor
Operator
Human Resource and Skill Requirements in Furniture & Furnishing Industry
Page 40 of 50
Function Level Skills Required Skill Gaps
Procurement
of the fabric is important as
any defects at this stage
would affect the quality of
the final product.
Awareness of the latest price
trends in the fabric market.
The furnishings market is
very cost competitive and
hence minimising the raw
material cost is important for
furnishing manufacturers.
Negotiation and
communication skills for
negotiating pricing and
delivery terms with the
fabric manufacturers.
Purchase
associate/
executive
Ability to calculate the
amount of requisite quality
fabric and stuffing material
required based on the order
size and likely wastage.
Knowledge of various types
of fabric defects and other
quality parameters.
Liaison with the fabric
manufacturers and fabric
processors. This is required
for companies which source
the fabric and do the
processing through other
processing units.
Insufficient knowledge of
various types of fabric
defects and other quality
parameters.
Human Resource and Skill Requirements in Furniture & Furnishing Industry
Page 41 of 50
Function Level Skills Required Skill Gaps
Merchandising/
Sales
Senior
Merchandiser/
Sales Manager
Understanding of various
production activities as the
merchandiser is the interface
between the buyer and the
company
Negotiation and
communication skills. These
skills assume more
significance for export
oriented units.
Knowledge of foreign
languages such as French for
better co-ordination with the
buyer.
Ability to handle multiple
accounts/customers.
Thorough understanding of
costing.
Understanding of buyer
requirements of design and
quality.
Basic computer skills.
Should be able to
communicate the product
offerings through emails.
Lack of soft skills for
interacting with buyers in
the international market.
Knowledge of languages is
limited to English.
Inadequate understanding of
various factors affecting
costing.
Junior
Merchandiser/
Merchandising
executive/
Sales Executive
Understanding of various
production activities.
Ability to work closely with
other functions such as
production, purchase, etc.
Time management skills to
Understanding of various
production activities.
Human Resource and Skill Requirements in Furniture & Furnishing Industry
Page 42 of 50
Function Level Skills Required Skill Gaps
handle multiple orders at the
same time.
Basic computer skills
Design
Designer
Design and develop
furnishing designs according
to buyer requirements.
Modify existing designs to
suit the current trends in the
market.
The designer should be able
to understand the impact of
stuffing material on the final
appearance of the furnishing
article.
Keep abreast with the latest
fashion trends in the key
markets. Should be aware of
the colours, contours which
are in vogue.
Knowledge of Styling,
Elements of Design, Basics
of Costing, Fabric Study,
Pattern Making.
Understanding of buyer
requirements is inadequate
which leads to number of
iterations before the sample
is accepted.
Knowledge of latest fashion
trends in the international
markets is limited
Production
Manager
In-depth Knowledge of
production process and
inspection methods
Process improvement skills -
waste control, finding
solutions to maintenance and
engineering related problems
as most of the units do not
Inadequate knowledge of
speciality fabrics
Lack of adequate knowledge
of line balancing, work
study, and Quality Control
(this is because a large
number of managers have
been elevated by experience
Human Resource and Skill Requirements in Furniture & Furnishing Industry
Page 43 of 50
Function Level Skills Required Skill Gaps
Production
have a dedicated R&D for
process improvement.. Cost
reduction through above
mentioned measures aids in
improving profitability.
Man management skills to
manage shop floor workers
who are mostly minimally
educated.
Awareness of quality
requirements across various
stages of production.
Knowledge of Hindi/other
vernacular languages is a
must to interact with the
shop floor workers.
rather than by formal
training).
Line
Supervisor/
Floor
supervisor
Knowledge of production
processes such as cutting,
stuffing, stitching and
inspection methods
Knowledge of different type
of fabrics and stuffing
materials.
Ability to provide on the job
training to the new recruits
Man management skills to
manage the shop floor.
Knowledge of Hindi/other
vernacular languages is a
must to interact with the
shop floor workers.
Lack of knowledge of
various types of sewing
machines
Lack of soft skills to manage
the shop floor people.
Human Resource and Skill Requirements in Furniture & Furnishing Industry
Page 44 of 50
Function Level Skills Required Skill Gaps
Operator
Good machine control.
Knowledge of machines
used for cutting, sewing etc.
Knowledge of threading of
sewing machine, stitching on
different shapes, seaming
components together to the
design specifications.
Knowledge of maintenance
requirements of various
machines and tools.
Discipline at shop floor,
punctuality and regular
attendance at workplace.
Good eye sight and hand-eye
co-ordination
Lack of proper knowledge of
sewing machine operations
and different types of seams
and stitches
Ability to work across
different machines is
missing
Quality
Quality control/
Assurance
Manager
Quality requirements are all
the more important for
companies focussing on
international markets. Even
small quality issues can lead
to cancellation of order.
Understanding of the
customer requirements by
interacting with the
merchandiser.
Knowledge of international
standards is desirable.
Knowledge of international
quality standards is a
significant gap.
Knowledge of in line and
final quality testing
procedures.
Knowledge of cause effect
relationships of the various
defects.
Human Resource and Skill Requirements in Furniture & Furnishing Industry
Page 45 of 50
Function Level Skills Required Skill Gaps
Quality control
Executive
Must be able to understand
and prevent defects such as
loose threads, stains,
inconsistent filling,
inconsistent stuffing etc.
Should be able to understand
the various quality
parameters.
2.2.5. Current Training & Education Infrastructure
There are very few courses which exclusively cater to the requirements of the Furnishing industry.
However, courses are available which impart training/education in textiles. Also, very few of the
training initiatives are targeted at the shop floor level. The newly inducted workers learn through
informal training and learning from the experience of the existing work force.
The ATDC, ITIs and NIFT annually train up to 50,000 workers. However, the students passing out of
these courses are mostly absorbed in the garmenting sector.
2.2.6. Emerging trends in skill requirements
The availability of merchandising and designing skills would be crucial for increasing share
in export markets, tapping the potential in new markets and catering to the luxury /high end of
the domestic market. Currently, design is not a focus area for the furnishing companies.
The industry is likely to get increasingly consolidated in terms of scaling up of units,
especially the units which are focussed on export markets. Furnishing retail would see
increased penetration of organised retail and the focus would be on selling complete solutions
i.e. selling multiple and related furnishing articles under one roof..
Currently, Furnishing industry comes under the purview of Contract Labour Act, 1970 which
prohibits contract labour for the work that is perennial in nature. The exporters find it difficult
to manage the seasonal and order based volatility in demand on account of this. Change in the
Human Resource and Skill Requirements in Furniture & Furnishing Industry
Page 46 of 50
current regulations can lead to opening up of more employment opportunities. Also, the
current regulations prohibit women from being employed in night shifts. More flexible labour
regulations will positively affect the industry.
The scheme of integrated textile parks and various SEZs would also affect the availability of
labour.
2.3. Projected Size and Human Resource Requirement
2.3.1. Projected Size and Human Resource Requirement for Furniture Industry
The size of the Furniture industry is expected to grow from Rs. 594 billion currently to about Rs.
3,200 billion by 2022, growing at a CAGR of 13%10.
Figure 23: Projected Size of Furniture Industry (Rs. billion)
Source: IMaCS analysis
This industry would employ about 1.3 million persons by 2022, leading to an incremental
employment generation of about 0.9 million persons.
Table 14: Human resource requirement in Furniture Industry (in ‘000s)
2008 2012 2018 2022 Incremental
Furniture 380 571 963 1,271 892
Source: IMaCS analysis
10 Our overall approach to macro-economic modeling and forecasting is explained in a separate annexure
594
1,026
2,127
3,223
-
500
1,000
1,500
2,000
2,500
3,000
3,500
2008 2012 2018 2022
13%
Human Resource and Skill Requirements in Furniture & Furnishing Industry
Page 47 of 50
Table 15: Function-wise distribution of incremental human resource requirement (in ‘000s)
Function Incremental human resource requirement (in ‘000s)
Designing 9 Sourcing 27
Production Carpenters 310 Finishing and other assembly line workers
233
Others (helpers) 233 Sales 36 Admin and other support 45 Total 892
Source: IMaCS analysis
The requirement for the skilled workforce consisting of carpenters and other operators engaged in
finishing of furniture would constitute 0.5 million persons.
2.3.2. Projected Size and Human Resource Requirement of the Furnishing
Industry
The Furnishing Industry is expected to grow at a CAGR of about 13% and clock Rs. 1,36,000 crore in
revenue by 202211. This industry is likely to result in the creation of 2.5 million additional jobs till
2022.
Table 16: Incremental human resource requirement in the Furnishing industry (in ‘000s)
2008 2012 2018 2022 Incremental Furnishings
1,075 1,618
2,728
3,602
2,526
Source: IMaCS analysis
The profile of persons to be engaged in terms of function-wise and education-wise details is given
below.
Table 17: Function-wise incremental human resource requirement (in ‘000s)
Sales and others (merchandising)
Procurement Production Others (Purchase, logistics, admin)
Furnishing industry 126
76
2,147
177
Incremental human resource requirement
2,526
Source: IMaCS analysis
11 Our overall approach to macro-economic modeling and forecasting is explained in a separate annexure
Human Resource and Skill Requirements in Furniture & Furnishing Industry
Page 48 of 50
Table 18:Education-wise incremental human resource requirement (in ‘000s)
Engineers and Diploma
Graduate ITI 12th Standard
Furnishing industry 101
76
202
2,147
Incremental human resource requirement
2,526
Source: IMaCS analysis
2.3.3. Focus areas where skill building is required
Given that the industry would required a varied profile of skill sets, the following figure presents an
overview of the profile of skill requirements as derived from human resource requirements across
different sectors of the Furniture and Furnishing Industry.
Figure 24: Skill Pyramid for the Furniture and Furnishing Industry
Source: Industry inputs, IMaCS analysis
The skill pyramid, in summary, captures where the Furniture and Furnishing Industry stands relatively
in terms of skills (a function of activity, educational requirements, and amount of ‘preparatory’ time
required to inculcate a specific skill) as compared to all other industries.
As can be observed, ‘Skill Levels 1 and 2’, have the highest incremental requirement of human
resource. This indicates the requirement for persons trained in carpentry, stitching and sewing
operations in the Furniture and Furnishing Industry.
1% Skill Level 4 (skills which are highly specialised involving
research and design)
Skill Level 3 (skills which require long drawn preparation as demonstrated by acquisition of
degrees, and involve highly technical or i l i )
Skill Level 2 (skills which require technical training inputs, knowledge of complex operations
and machinery, skills of supervision)
Skill Level 1 (skills which can be acquired with a short/modular and focussed intervention and thereby
enhancing employability of those with minimal education)
7%
12%
80%
Human Resource and Skill Requirements in Furniture & Furnishing Industry
Page 49 of 50
Table 19: Focus areas where skill building is required (human resource requirement in ‘000s)
Sector Areas where skill building is required
Incremental human resource requirement (in ‘000s)
Furniture Carpenters 310 Operators (finishing, etc.) 233 Furnishings Stitching, sewing, stuffing,
threading 2,147
Total 2,691 Source: IMaCS analysis
The total requirement of human resource across the above areas where skill building is required is
about 2.7 million persons till 2022.
Human Resource and Skill Requirements in Furniture & Furnishing Industry
Page 50 of 50
This report has been prepared by ICRA Management Consulting Services Limited (IMaCS).
IMaCS is a multi-line management and development consulting firm headquartered in India. It has an
established track record of over 15 years in consulting across various sectors and countries. IMaCS
has completed over 950 consulting assignments and has worked in over 30 countries across the globe.
Through the process of carrying out several assignments over the last decade and half, IMaCS has
accumulated considerable analytical and consulting expertise, backed by the following capabilities:
• Deep understanding of policy formulation.
• Extensive and organised database on several sectors.
• Knowledge of key factors of success in different projects and programmes.
• Ability to research emerging trends in the economy, as well as in specific sectors.
• Insight into different programmes and organisational processes.
• Ability to carry out economic analysis, build quantitative and financial models to project future
performance and identify imperatives.
• Ability to identify the various types of risks and suggest appropriate strategies to mitigate the
same.
The Education and Skills practice at IMaCS focusses on identifying skill gaps, mapping future skill
requirements, and formulating strategies to address them. Our service offerings encompass diagnosis,
design and implementation of education and skill development interventions for government and
private sector.
R. Raghuttama Rao
Managing Director
IMaCS
4th floor, Electric Mansion
Appasaheb Marathe Marg, Prabhadevi
Mumbai – 400 025
Tel: 91 22 3047 0047, Fax: 91 22 3047 0081
Email: [email protected]
M. Sairam
Head – Process Consulting
IMaCS
5th floor, Karumuttu Centre
634, Anna Salai, Nandanam,
Chennai – 600 035
Tel: 91 44 2434 0043, Fax: 91 44 2434 3663
Email: [email protected]
National Skill Development CorporationD-4, Clarion Collection, (Qutab Hotel)Shaheed Jeet Singh MargNew Delhi 11 0 016Tel : 011 46 56 0414Fax : 011 4656 0417Email : [email protected] www.nsdcindia.org