A Presentation on Supply Chain Practicesincorporated by Mumbai DabbawalaPresented & Submitted By:-Abhijeet SrivastavaAbhishek Kumar SinghPrerna MathurRashmi SinghSec- A, PGDM [2011-13] Presented To:- Dr. V.N. Bajpai [Chairperson-PGDM] Respected Faculty Supply Chain ManagementI.T.S- Mohannagar, Ghaziabad. & Sec-A Class Mates
INTRODUCTION• Who is Dabbawala?A Dabbawala is a person who supplies thehomemade food to the person carrying in thelunch boxes.Also known as tiffinwala,tiffin supplier or annadata.
ABOUT DABBAWALA• Firstly started in Mumbai in year 1890.• Started with 20 Dabbawala later extended to 100.• Initial cost to client in Rs.2per month.• 5000 recruits, 175, 000 clients.• 75 kms of public transport.• Failure: once in two months, one in 16 million.• Rs 380 million per annum.• Daily they deliver 2,00,000 dabbas that means 4,00,000 transactions per day.
NEED OF DABBAWALA• To deliver homemade food.• Some person does not like stale food.• Some person does not like unhygienic food.CUSTOMER PROFILE OF THE DABBAWALA 11%students 15%businessman 36%Government 38%private sector employee
Mumbai Dabbawalas – Strong Supply ChainNetwork and Efficient Logistics Management•These people do not use any modern technology.•Never failed to deliver the lunch boxes on time -irrespective of weather, riots, floods, etc.•Efficient delivery of boxes with an error coefficientof one in 16,000,000 boxes.
The Mumbai Dabbawalas –Method of Working at a Glance•High teamwork and accurate timing to complete theirtasks.•The lunch is packed in a box that is color coded(provided by the Dabbawalas) by the customers home-maker. [Work completed by 9am.]•Once the lunch box is packed, it is transported using acombination of different transport modes: bicycles,local trains, and walking.
The Mumbai Dabbawalas –Method of Working at a Glance•The boxes are handed over to other team workers atdifferent junctions.•The entire city is divided into several areas, each areahaving a specific "box exchange point".•A single lunch box changes hands three to four timesin its journey to office and back home.
Distribution Network• Baton relay system & Hub and spoke arrangement.• No historical, theoretical legacy in the design.• No use of computer technology.• Coding system-Decentralized at the group level.• Workday schedule, 30-35 deliveries (manageable).• Sorting, loading and unloading at peak rush hours.• 4 handlings of a dabba in a day- coding essential.• K-BO-10-19/A/15• Clients name is not even existing.• Easy coding scheme as the level of literacy is not very high.
Strong Supply Chain- Coding SystemVLP : Vile Parle (suburb in Mumbai)9EX12 : Code for Dabbawalas at DestinationEX : Express Towers (building name)12 : Floor no.E : Code for Dabbawala at residential station3 : Code for destination Station e.g.. Churchgate Station(Nariman Point)
Let us now look at an example of these codes on theTiffins to better understand the system and what itall denotes.
SWOT Analysis of Dabbawala’sStrength:• Simplicity in organization with innovative service• Co-ordination, team spirit & time management.• Low operation cost.• Customer satisfaction.
Weakness:• High dependability on local train.• Funds for the association.• Limited access to education.
Opportunity:• Tie up with caterers to serve variety of meals.• Opportunity of expenses of service in Mumbai metro and BRT’s.• Generating revenue by promoting other number of brands.• Explanation services to other cities.• Booking of services through internet and SMS recently started- need of popularization.
Threats:• Indirect threats by fast foods chain and hotels• Food courts at malls/ mega structure• Flexi timing/work form home culture• Catering services offering Tiffin services• Paper food voucher and smart cards