Dabbawala

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SUPPLY CHAIN MANAGEMENT OF DABBAWALAS PRESENTED BY: Aravinth.P Priyaranjan Jena Ramsankar Shroff R. Siddharath Saurabh Jain

What is NMTBSA

Nutan Mumbai Tiffin Box Suppliers Association

About NMTBSA v History: Started in 1890(with only 25 member)

v Charitable trust: registered in 1956 v President and secretary: Rughunath Megde and Gangaram Talekar. v Average literacy rate: 8th grade school v Total area coverage: 60-70 kms v Error rate: 1 in 6 million transactions by Forbes 2000 article.

CONTINUED… ….. Employee strength: 5000 No of Tiffin: 2,00,000 i.e. 4,00,000 transactions everyday Time taken: 3 hours. Quality door to door service to large and loyal customer base. Even order can be placed through internet.

Our Belief- WORK IS WORSHIP TIFFIN basket’s weight : 75-80 kgs.

ASSETS For each dabbawala Two bicycles- approx Rs 4000 A wooden crate of Rs 500 Cotton Kurta pajama – Rs 600 And Gandhi Topi – Rs 20

Coding system VP VP: VP Mumbai)

Vile Parle (suburb in

9EX12: Code for Dabbawalas at destination EX: name)

Express towers ( building

12:

Floor number

E: Code for Dabbawala at residential station 3:

Code for destination station (Nariman point)

E

3

9 EX 12

THE Flow logic ZONE OF DESTINATION

GRANT ROAD (12)

1 2 3

CHRUCHGAT E (1-10)

POINT OF AGGREGATION AND SORTING

A E B

D C

COLLECTION FROM HOME

LOWER PAREL (14)

4 5 6 7 DISTRIBUTION B Y CARRIERS AT LUNCHTIME TO OFFICES

ORGANISATION STRUCTURE Executive committee (5 members)

Team of 20-25 headed by group leader

Individual dabbawalas workload: Collect from home- 35 tiffins Deliver at office- 35 tiffins Return empty tiffins to home-

ORGANISATION STRUCTURE

Working of NMTBSA Six sigma performance (99.999999) Technological backup nil Cost of service: Rs. 300 per month( $ 6 per month) Turnover: Rs. 36 cr. Earnings: Rs. 5000-6000 per month. Diwali Bonus : One month’s from customers.

COMPANY WITH EXCELLENCE

Zero % fuel & investment Zero % disputes 100 % customer satisfaction 99.9999 %performance

Elegant logistics ü Elegant logistics system – using 25 kms of public transport , 10 kms of footwork involving multiple transfer points. ü A simple color code determines not only packet , routine but packet prioritizing as lunch is transferred from train to bicycle to foot.

Journey begins ü Tiffins are collected from home between 7:00 – 9:00 am and taken to the nearest railway station. ü Single Tiffin while reaching the destination could change hands 3-4 times daily.

The actual journey begins ü 10:34 – 11.20 am (Vile Parle Station) ü At this time the actual work of dabbawalas take place. ü They load the wooden crates filled with Tiffin onto the luggage or goods compartment in the train.

11:20 – 12:30 pm (Church gate station) At this stage the unloading takes place at the destination station. Re-arrangement of tiffins take place as per the destination area and buildings. In particular area with high density of customers (Nariman Point, Fort , CST ) a special crate is dedicated. This crate carries 150 tiffins and is driven by 3-4 dabbawalas.

Return journey 1:15- 2:00 pm (At all destination stations) Here on begins the collection process where the dabbawalas have to pick the tiffins from the offices where they had delivered almost an hour ago. 2:00- 2:30 pm –they meet for the segregation as per the destination suburbs.

2:48 – 3:30 pm The return journey by train where the group finally meet after the day’s routine. 3:30- 4:00 pm (the origin station)- here final sorting and dispatch takes place as per the origin area.

FIVE DIMENSION IN SERVICE MARKETING

FIVE DIMENSION IN SERVICE MARKETING

FIVE DIMENSION IN SERVICE MARKETING

FIVE DIMENSION IN SERVICE MARKETING

Direct marketing Dabbawala can provide more than lunch Now they delivers Mutual funds An extra income of 50 to 100 rupees for Dabbawalas.

SWOT Analysis Strengths:

Weaknesses:

Simplicity in organization with Innovative service

High dependability on

Coordination, team spirit, & time management

Funds for the association

Low operation cost, High Efficiency

local trains

Limited Access to Education

Opportunities Wide range publicity Operational cost is low Mumbai being a Hotspot. Railways Coding System.

Threats Indirect competition is being faced from caterers like maharaja community Indirect threats from fast foods and hotels Change in timings Company transport Ticket restaurant Other sources of income

Management learning’s from Dabbawala Keep operating costs as low as possible Keep Capital investment minimum Customer is not Raja-But Maharaja Never deviate from Core competency Flat organization Commitment Implication of failure

Recent Advancements Tie-up with Microsoft Visit of Prince charles, Richard Branson New website opened Order by SMS

A DAY WITH DABBAWALA

AWARDS & Achievements… Name in GUINESS BOOK OF WORLD RECORDS. Registered with Ripley’s “ believe it or not”. World record in best time management Achievement of SIX SIGMA

..cont AWARDS & Achievements… In 1998, it was awarded SIX SIGMA QUALITY RATING from FORBES GLOBAL MAGAZINE. Documentaries like Ø ‘DABBAWALAS, MUMBAI’S UNIQUE LUNCH SERVICE’ Ø ‘THE DABBAWALLAS’

Invitation to speak at CII, IIM - Bangalore and Mumbai. Invited to marriage of Hon. Price England on 9 , April 2005.

Charles of

AWARDS & Achievements Included in a subject in Graduate School of Journalism University of California, Berkeley. Radio — German Radio Network  Radio Mirchi Radio Mid-day FM — Gold BBC Radio

Thank you

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