Principles of management course presentation of bits pilani hyderabad campus by Jatin Chuglani , Ankit sinha , Vinayak Garkoti and Darshan Kishore

1. Principles of ManagementMumbai DabbawalasA case study By VinayakGarkoti 2009A4PS355H AnkitSinha 2009A5PS905H Jatin Chuglani 2009A7PS003H DarshanKishore 2009A7PS011H 05-03-2011 1

2. Mumbai Dabbawaalas 05-03-2011 2

3. Introduction Who are dabbawalas ? “Dabba” (or box or tiffin) wala Meaning the carriers of the tiffin box Job is to carry home made food to the office workers Mission : “To serve their costumers on time.” 05-03-2011 3

4. Introduction Why dabbawalas ? In most metros, the only food choices for an office worker are the restaurants or fast food joints. In India , We love home food and love our home cook lunch. Dabbawalas come to rescue in the situation ! 05-03-2011 4

5. ORGANISATION : The Nutan Mumbai Tiffin Box Suppliers Trust(NMTBST) PAST : Started in 1880. Mahadeo Havaji Bachche started with about 100 men. Unified the Dabbawalas. Started for the British people. 05-03-2011 5

7. Number of Tiffin boxes per day : 2,00,000

8. Number of transactions : 4,00,000

9. Time : 180 Minutes

10. Six Sigma performances : 99.999999

11. Cost of service : 200 INR (@ 5 $ a month)

12. Total turnover : 500000000 INR

13. Industrial growth 5-10% each year.05-03-2011 6

14. Tiffin Box Suppliers Association Organizational structure The Code Operations War Against time 05-03-2011 7 Executive Committee (5 Members) Team of 20-25 headed by group leader Individual dabbawalla workload: Collect from home -35 Tiffins Delivery at Office -35 Tiffins Return empty tiffins to home

15. Organizational Structure 13 members 05-03-2011 8 President Vice President General Secretary Treasurers Directors (9) Mukaddam Members (5000)

16. Coding System VLP : Vile Parle(Mumbai) 9EX12 : Code for Dabbawalas at destinations. EX : Express Towers (building name) 12 : Floor No. E : Code for Dabbawalas at residential station. 3 : Code for destination station eg. churchgate 05-03-2011 9

17. 05-03-2011 10

18. Flow Logic Zones for destination Collection from home Distribution to offices 05-03-2011 11 Point of aggregation and sorting Grant Road (12) 1 2 E A 3 Churchgate (1-10) D B 4 C 5 Lower Parel (14) 6

19. DABBAWALA SCHEDULE 05-03-2011 12

21. 4,000 commuters

22. 8,000 disputesBut no excuses, Duty first

23. Destination Station (11.30AM-12.10PM) Unloading takes place at the destination station Re-arrangement of tiffins takes place as per the destination area and destination building 05-03-2011 14

24. RETURN JOURNEY: 1:15 – 2:00 pm ( At All Destination Stations) Begins the collection process where the dabbawalas pick up the tiffins from the offices. 2:00 – 2:30 pm (At Destination Station) The dabbawallas meet for the segregation at the destination suburb. 05-03-2011 15

25. Final Sorting and Dispatch Return journey by train after dispatching and collecting from various destination offices. The group meets up at origin station and they finally sort out the tiffins as per the origin area. 05-03-2011 16

27. No big office to maintain.

28. No I-T budget and no miscellaneous costs.

29. No ad budget – word of mouth publicity!

30. Very nominal monthly service cost – Rs.200/-05-03-2011 17

32. Low cost offices.

33. Cheap hand carts.

34. Cycles – easy to maintain.

35. Use of public space for sorting.05-03-2011 18

37. Always on time – even without using a watch!!

38. Don’t try to impress or bother customers with unsolicited offers.

39. Bothering customers with offers may force them to discontinue even existing services.05-03-2011 19

41. Efforts to sell other products through dabbawala system failed.

42. Be “Master of one trade rather than jack of all.”

43. Develop products and services around core competency, if required.05-03-2011 20

45. Max. level of literacy – 8th standard failed.

46. Still able to offer world class service, as they are committed to offer food to customer on time.

47. “If commitment is there, qualification can be built.”05-03-2011 21

49. May cause problems between customer and his wife.

50. A vegetarian gets a non-veg dabba – BIG Problem!!

51. “Knowing the implications of failure makes you more responsible and serious towards your work.”05-03-2011 22

53. Many food companies in Mumbai use their own infrastructure – tough to maintain and costly as well.

54. “Building new infrastructure increases the cost of service.”05-03-2011 23

56. If its not for three consecutive days, then the service is stopped as it affects the services to other customers.

57. “Bad customers affect the operation and profitability from existing customers.”05-03-2011 24

59. After a few warnings, if dabbawala doesn’t improve, he is expelled from the system.

60. Discipline is the main reason for their success.

61. “Rules are meant to be followed, not broken!!”05-03-2011 25

63. They fully understand the needs of their customers.

64. Thus customers trust them.05-03-2011 26

65. SWOT Analysis Strengths: Simplicity with innovative service Coordination ,team spirit and time management. Low operation cost. Customer satisfaction. Weaknesses : High Dependability on local trains. Low funds for the association Limited access to education. Caste-based. 05-03-2011 27

66. SWOT Analysis Opportunities : Wide scale publicity. Low Operational cost. Catering. Threats : Direct competition from other caterers. Indirect competition from fast food joints and hotels. Company canteens 05-03-2011 28

67. Some Achievements World record in best time management. Name in “GUINESS BOOK of World Records”. Registered with Ripley's “ believe it or not”. Six Sigma rating by Forbes. 05-03-2011 29

68. Awards and Felicitation Invitations for conferences from IIML, IIMA, Dr. Reddy’s Lab Foundation Hyderabad, SCMHRD Nasik, BITS- Pilani Also, Included in a subject in Graduate School of Journalism University of California, Berkeley. 05-03-2011 30

69. Documentaries Television BBC , MTV, ZEE TV, AAJ TAK, TV TODAY, SAHARA SAMAY, STAR TV, CNBC TV 18, CNN, TV TOKYO, NDTV. 05-03-2011 31 Radio German radio network Radio mirchi Radio mid day Fm-gold BBC radio

71. Was told to come to church gate station to meet dabbawalas, so that the delivery of dabbas to clients is not affected.

72. Virgin group chairman, Richard Branson, travelled with dabbawalas and delivered dabba to his own employee.05-03-2011 32

73. 05-03-2011 33 Letter from Prince Charles Richard Branson with Mumbai Dabbbawalas

74. Conclusion The concept of dabbawalas comes in one of the biggest and busiest cities of the world. Dabbawalas are a great example of efficient service. great at time management even during floods (A practice seldom seen in Indian context) 05-03-2011 34

75. Conclusion Shown that illiterate and semiliterate people can also provide efficient services. Hard work and sincerity are the main factors in their success according to them. 05-03-2011 35

76. Interesting Facts Error data varies from source to source , but roughly, 1 in 6 million transactions. No C.A to manage finances and other functions. All dabbawalas are shareholders in company. No strike ever. 05-03-2011 36

77. “We don’t understand Six Sigma. We are a bunch of illiterates. But we do know our prime responsibility – customer satisfaction. And to achieve that, we can put in hard work like no one else,” President NMTBSA RaghunathMedge 05-03-2011 37

78. Bibliography www.wikipedia.org www.google.com www.mydabbawala.com www.blogspot.com The Hindu newspaper archives 05-03-2011 38

79. THANK YOU