For Herman Krieger, Burgeoning Business Abroad Spells Profit Back Home
November 26, 2003
NEW YORK - Though most American textile suppliers groan at the mention of buyers taking their business offshore, manufacturer Herman Krieger has found plenty to smile about.
The chairman of CDS Ensembles, a 25-year-old sewing, warehousing and distribution company, said the stream of American textile buyers flooding the markets in India, Pakistan and China signals a boon for the made-ups business back home.
''Everything is going offshore,'' Krieger said. ''Believe it or not, this is a big plus for us. Someone still has to sew [the product] together and deliver it to the retailer. We're a pipeline from the offshore manufacturer to the American retailer.''
Krieger said business has skyrocketed so high that he has invested $25 million in equipment to produce made-ups strictly for offshore suppliers.
''In a very short time, we are acting as the workroom for many offshore suppliers to the point where we are the largest contract producer of decorative bedding in the U.S.A. today,'' Krieger said. ''Acting as the workroom and distributor for offshore producers is 20 percent of our business today but by next July, it will be 50 percent.''
To meet the needs of offshore producers, Krieger is renovating and expanding over one million square feet of factory space in Greer and Travelers Rest, South Carolina. He said that as business between offshore suppliers and American retailers grows, so will demands for speedy, high-quality service.
So far, CDS has responded well to tough demands. It recently produced an order for 8,000 bedding sets - a size that normally requires two weeks - within five days. ''We got the order on a Friday for delivery the following Wednesday and we made the date,'' Krieger said.
CEO Joe Nettles and Vice Chairman Gene McCarthy co-manage CDS with Krieger, who has devoted 50 years of his life to the bedding business. He created Carolina Creations and Embtex Embroidery, but sold both companies before founding CDS Ensembles.
The chairman of CDS Ensembles, a 25-year-old sewing, warehousing and distribution company, said the stream of American textile buyers flooding the markets in India, Pakistan and China signals a boon for the made-ups business back home.
''Everything is going offshore,'' Krieger said. ''Believe it or not, this is a big plus for us. Someone still has to sew [the product] together and deliver it to the retailer. We're a pipeline from the offshore manufacturer to the American retailer.''
Krieger said business has skyrocketed so high that he has invested $25 million in equipment to produce made-ups strictly for offshore suppliers.
''In a very short time, we are acting as the workroom for many offshore suppliers to the point where we are the largest contract producer of decorative bedding in the U.S.A. today,'' Krieger said. ''Acting as the workroom and distributor for offshore producers is 20 percent of our business today but by next July, it will be 50 percent.''
To meet the needs of offshore producers, Krieger is renovating and expanding over one million square feet of factory space in Greer and Travelers Rest, South Carolina. He said that as business between offshore suppliers and American retailers grows, so will demands for speedy, high-quality service.
So far, CDS has responded well to tough demands. It recently produced an order for 8,000 bedding sets - a size that normally requires two weeks - within five days. ''We got the order on a Friday for delivery the following Wednesday and we made the date,'' Krieger said.
CEO Joe Nettles and Vice Chairman Gene McCarthy co-manage CDS with Krieger, who has devoted 50 years of his life to the bedding business. He created Carolina Creations and Embtex Embroidery, but sold both companies before founding CDS Ensembles.
