SlideShare ist ein Scribd-Unternehmen logo
1 von 9
Downloaden Sie, um offline zu lesen
ENTREPRENEURSHIP
Case Folio July 2004
41
© 2004 The ICFAI Center for Management Research (ICMR). All Rights Reserved. For accessing and
procuring the case study, log on to www.ecch.cranfield.ac.uk or www.icmrindia.org.
Mumbai’s ‘Dabbawalas’ –
An Entrepreneurial
Success Story
The Dabbawalas who provide a lunch delivery service in
Mumbai have been in the business for over 100 years. In 1998,
Forbes Global magazine conducted an analysis and gave them
a Six Sigma rating of efficiency. This case examines how the
Dabbawalas operate. It describes their delivery process and
coding system, and how they work as a team to achieve a
common goal. The case also explores the future of the
Dabbawalas’ service in the light of changing environment.
– Suchitra Jampani, Sanjib Dutta
A model of managerial and organizational simplicity.
– C K Prahalad, Professor, University of Michigan Business School and Management
Guru, commenting on the Dabbawalas’ operations.1
The fascinating story of Mumbai’s Dabbawalas is an inspiration to all organizations aspiring to
compete in the global marketplace.
– Pradeep B Deshpande, President of Six Sigma and Advanced Controls, Inc. and
Professor of Chemical Engineering, University of Louisville.2
1
Shamsi Maria, “The Charioteers ofMeals,” Jetwings Online, June 2003.
2
Deshpande B Pradeep, “India, Inc., and Six Sigma: If DabbawallahsCanDoIt,YouCanToo!”,www.sixsigmaquality.com/
sixsigma_papers.html
3
In Hindi, ‘dabba’ means lunch box and‘wala’ means man. The prefix to‘wala’indicates the occupation of the person.
Therefore, Dabbawala means lunchbox delivery man.
4
Tiffin means lunch.
5
Six Sigma is an efficiency standard developed by Motorola. To get a Six Sigma rating a company should not have
more than 3.4 defects per million opportunities.
A Six Sigma Performance
Every day, battling the traffic and crowds of Mumbai city, the Dabbawalas,3
also known as
Tiffinwallahs,4
unfailingly delivered thousands of dabbas to hungry people and later returned the
empty dabbas to where they came from. The Dabbawalas delivered either home-cooked meals
from clients’ homes or lunches ordered for a monthly fee from women who cook at their homes
according to the clients’ specifications. The Dabbawalas’ service was used by both working people
and school children.
In 1998, Forbes Global magazine, conducted a quality assurance study on the Dabbawalas’
operations and gave it a Six Sigma5
efficiency rating of 99.999999; the Dabbawalas made one
ENTREPRENEURSHIP
Case Folio July 2004
42
error in six million transactions. That put them on the list of Six Sigma rated companies, along
with multinationals like Motorola and GE. Achieving this rating was no mean feat, considering
that the Dabbawalas did not use any technology or paperwork, and that most of them were illiterate
or semiliterate.
Apart from Forbes, the Dabbawalas have aroused the interest of many other international
organizations, media and academia. In 1998, two Dutch filmmakers, Jascha De Wilde and Chris
Relleke made a documentary called “Dabbawalas, Mumbai’s unique lunch service”. The film
focussed on how the tradition of eating home-cooked meals, and a business based on that could
survive in a cosmopolitan city like Mumbai. In July 2001, The Christian Science Monitor, an
international newspaper published from Boston, Mass., US, covered the Dabbawalas in an article
called ‘Fastest Food: It’s Big Mac vs. Bombay’s Dabbawalas’.6
In 2002, Jonathan Harley, a reporter,
did a story on the Dabbawalas with the Australian Broadcasting Corporation (ABC). In 2003,
BBC also aired a program on the Dabbawalas, which was part of a series on unique businesses of
the world. In 2003, Paul S Goodman and Denise Rousseau, both faculty at the Graduate School
of Industrial Administration of Carnegie Mellon University, made their first full-length documentary
called “The Dabbawalas”. According to the press release of the TV station presenting the
documentary, “The film also serves as a counterpoint. Instead of asking how knowledge in
developing countries can help less developed countries, this film focuses on how developed countries
can learn from less developed countries.”7
Back home, the Dabbawalas were invited to speak at Confederation of Indian Industry (CII)8
meets and at leading Indian business schools such as IIM, Bangalore and Lucknow.
Background Note
The origin of the Dabbawalas’ lunch delivery service dates back to the 1890s during the British
raj.9
At that time, people from various communities migrated to Mumbai for work. As there were
no canteens or fast food centers then, if working people did not bring their lunch from home, they
had to go hungry, and invariably, lunch would not be ready when they left home for work. Besides,
different communities had different tastes and preferences which could only be satisfied by a
home-cooked meal. Recognizing the need, Mahadeo Havaji Bacche (Mahadeo), a migrant from
North Maharashtra,10
started the lunch delivery service.
For his enterprise, Mahadeo recruited youth from the villages neighboring Mumbai, who were
involved in agricultural work. They were willing to come as the income they got from agriculture
was not enough to support their large families, and they had no education or skills to get work in
the city. The service started with about 100 Dabbawalas and cost the client Rs. 2 a month. Gradually,
the number of Dabbawalas increased and the service continued even though the founder was no
more. In the 1950s, the Dabbawalas were delivering 2,00,000 lunches a day. The Dabbawalas
became organized after 1954 when the Nutan Mumbai Tiffin Box Suppliers’ Charity Trust was
6
Scott Baldauf, the reporter who covered the story, followed aDabbawala to understand the delivery process and their
daily routine.
7
“WQED Multimedia Pittsburgh presents Paul S Goodman’s documentary about theDabbawallas ofMumbai,India”,
www.wqed.org
8
CII is a not-for-profit and non-government organization established in 1895 by members of the Indian industry. They
work with the government, companies and similar international organizations to facilitate the growth of industry in
India. The CII has a membership of over 54,800 companies, both national and international. They have offices in
India and overseas.
9
British raj was what the British rule in India was called.
10
Maharashtra is one of the states of India. Mumbai is the capital of the state.
ENTREPRENEURSHIP
Case Folio July 2004
43
established. The Trust had offices in various parts of the city such as Grant Road, Dadar, Chembur,
Ghatkopar and Mulund. It was the only body representing the Dabbawalas. The Dabbawalas lost
a large group of clients, the mill workers, during the 1980s and 1990s, when the mills started
closing down. However, they eventually gained other clients. People who felt that outside food
was unhygienic and who wanted to have a specific diet started to use their service. In early 2000,
the Dabbawalas were back to delivering up to 1,75,000-2,00,000 lunches a day.
Organizational Structure and Working Style
The Nutan Mumbai Tiffin Box Suppliers’ Charity Trust had a very flat structure with only three
levels, the Governing Council, the Mukadams11
and the Dabbawalas (Refer to Exhibit I). From
the Governing Council, a President
and a Secretary were elected. The
Governing Council held meetings
once a month which were attended
by the Mukadams and Dabbawalas. At
these meetings, the Dabbawalas
discussed their problems and explored
possible solutions. The problems
could be with the police, municipal
corporation, customers, etc. They also
adjudicated disputes among
Dabbawalas using their own system.
The Trust collected Rs. 15 from each
Dabbawala every month to maintain
a welfare fund. These funds were used
to give loans to Dabbawalas, help
them in medical emergencies, meet
the educational costs of their
children, run pilgrim rest houses,
subsidize religious pilgrimages and provide facilities for important occasions like weddings, etc. A
monthly amount was also set aside for a charitable fund to feed the poor.
The Dabbawalas were organized in cooperative groups of 15 to 20 members, and each group
was supervised by four Mukadams. The responsibilities of a Mukadam, who was essentially a
supervisor, involved sorting dabbas, keeping records of payments, settling disputes, sourcing more
customers and training new Dabbawalas. Every group was financially independent but worked
together in the delivery process. Each group sourced their own clients, but one group was not
allowed to undercut another. In 2003, the Dabbawalas charged customers anything between Rs. 150
and Rs. 350 per month for their services. Every month the payments received were shared equally
amongst the members of the group. After expenses, each Dabbawala received between Rs. 5,000
and Rs. 6,000 a month. Their expenses included railway passes12
and rent for handcarts, cycles
and crates.
Newcomers who wanted to become Dabbawalas were initially hired on a salary to gauge their
performance, and later made members of the Trust and assigned to one of the cooperative groups.
Exhibit I: Dabbawalas’ Organizational Structure
Source: The ICFAI Center for Management Research
11
Mukadam is a team leader or supervisor.
12
A railway pass can be obtained by paying a fee to the railway authorities. This can be used to travel on the local trains
in Mumbai without having to buy a ticket every day.
Governing Council
Secretary
President
Mukadams
Dabbawala
ENTREPRENEURSHIP
Case Folio July 2004
44
To become profit sharing members of the Trust, new Dabbawalas needed to pay a certain amount
to the Trust. This was Rs. 30,000 in 2003. The Trust gave loans to assist them to become members
of the organization. Every member was guaranteed a monthly income and was employed for life.
As there was no retirement age, a Dabbawala worked as long as he was physically fit.
Over the years, primarily family members and relatives of the existing Dabbawalas were inducted
into the business. Of the nearly 5,000 Dabbawalas (2003), most were from the same region and
community, making them a close-knit group. Every year they went to their villages for the “Bhairavnath
Maharaj Utsav”13
festival. That was usually the only occasion for which the Dabbawalas took time off.
Delivery System
The Dabbawala service was available wherever the local trains ran in Mumbai as it was their
primary mode of transportation. During the delivery process, the dabbas changed hands at least
four times before they reached their destination. Every client who availed the service was given a
cylindrical aluminum container (dabba) with the appropriate code painted on the lid. Someone
from the client’s home put the layered lunchbox packed with food into that container. Depending
upon the distance between the client’s home and the nearest railway station and the time taken
to reach the destination (office/school) of the dabba, a collection time was fixed. This was usually
between 8.30 a.m. and 10.30 a.m.
Every day, at the same time, the Dabbawalas collect the dabbas from the clients’ homes. They
take the dabbas to the nearest railway station where a Mukadam sorts the dabbas brought in and
arranges them in crates or trays, according to the destination station. Each Dabbawala takes one
of these trays and boards the train. When he gets off at his destination, another Mukadam re-sorts
the dabbas, along with those brought in by other Dabbawalas assigned to areas near that particular
station. Here, the dabbas that need to be put on another train are taken by the assignedDabbawalas,
and the dabbas that have to be delivered are taken by the Dabbawalas deputed for this task. The
Dabbawalas deliver the dabbas either by walking, using a tray/handcart, or on a bicycle. They
deliver the dabba to the common/reception area of the office/school. The client returns the empty
dabba to the same place. In the afternoon, at about 3.00 p.m., the process is reversed for the
return of the dabbas to the homes of the clients (Refer to Exhibit II for a better understanding of
the delivery system). The delivery system of the Dabbawalas has been compared to a relay race14
and the Internet.15
The Dabbawalas developed their own coding system. The codes enabled each Dabbawala to
identify and fulfill his responsibility at every step in the process. These codes were understood by
the Dabbawalas and no one else. The appropriate code was painted on the lid of the dabba, which
revealed the originating address and station, and the destination station and address. Raghunath
Medge (Medge), President of the Trust, said, “The codes have been developed over the years,
beginning with colored thread and then more systematic and logical codes.”16
When they began
painting codes on the dabbas, they initially used symbols, such as swastikas, dots, crosses, strokes,
dashes, etc., in various colors. Later on, they included alphabets and numbers in their coding. The
new codes were developed by Medge. They used both alphabets and numbers to identify stations,
buildings, floors and Dabbawalas. For example, if the code on a dabba was “P-BO-10-15/A/11,”
13
During this festival, prayers were offered to the god they worshipped, Lord Vithoba, and their patron saint, Dnyaneshwar.
As part of the festivities, bullock cart races and lotteries were held.
14
Baldauff Scott, “It’s Big Mac vs. Bombay’sDabbawallahs,” www.csmonitor.com, July 6, 2001.
15
“The Human Origins of the Internet,” www.sun.com
16
“Mumbai Dabbawalas Ready for the Prince,” www.mid-day.com, October 29, 2003.
ENTREPRENEURSHIP
Case Folio July 2004
45
P identified the Dabbawala, BO the suburb, Borivili, where the dabba had to be collected from, 10
represented the area, Nariman Point, where the dabba was to be delivered, and 15/A/11 stood for 15th
building, 11th
floor.17
One Dabbawala claimed, “We often recognize a dabba by its feel, like we would
a familiar slipper.”18
“We generally make one mistake in two months. We can’t afford to make mistakes
too often or else we will be out of business. And our employees understand this reality very well so
they are always very cautious,” said Medge.19
The Dabbawala delivery process was dependent on Mumbai’s local railway which was known
to be the most far-reaching, fast and efficient local train system in India (Refer to Exhibit III for an
idea about the railway network in Mumbai). The trains ran 365 days a year and there was very
rarely any interruption in the service. The only circumstance under which the service was disrupted
was the monsoon when the tracks would get flooded. According to the Dabbawalas, their ability
to successfully run the service in a crowded city like Mumbai could be attributed to its geography
and local train system. Medge said, “Mumbai’s geography makes it unique, it is a longish city
where residences are in the North and offices in the South, so it makes our work simple”20
(Refer
to Exhibit IV for a map of Mumbai City). He also said, “Our people move by local trains and are
able to cover long distances. On cycle, one can cover only a radius of two to three kilometers”.21
Thus, the Dabbawalas use the cheap public transport system to their advantage.
17
Deshpande B Pradeep, “India, Inc., and Six Sigma: If Dabbawallahs Can Do It, You Can Too!,”
www.sixsigmaquality.com/sixsigma_papers.html
18
Karkaria Bachi, “The Dabba Connection,” www.uppercrustindia.com
19
Chatterjee Sumeet, “Dabbawallahs:Lifeline of Mumbai’s Working People,” Indo-Asian News Service, www.yahoo.com,
September 20, 2002.
20
Diwanji K Amberish,“Dabbawallahs: Mumbai’s Best Managed Business,” www.rediff.com, November 4, 2003.
21
Lakshman Nandini, “Mumbai’s Dabbawallahs, Flavor of theSeason,” www.rediff.com, November 15, 2003.
Exhibit II: Dabbawalas’ Delivery System
Stage I
The
Dabbawalas
collect the
dabbas from the
clients and take
them to the
nearest railway
station.
Stage II Stage III Stage IV
At the station, a
Mukadam sorts
the dabbas
according to
their destination
and arranges
them in trays/
crates. The
Dabbawalas
take their
consignments
and get on the
train.
The
Dabbawalas
get off at their
respective
stations where
a Mukadam
re-sorts the
dabbas, along
with the dabbas
brought by
other
Dabbawalas
from the
surrounding
area. The
dabbas are
grouped
according to
area of
delivery.
The
Dabbawalas
take their
consignments
and deliver the
dabbas to each
client's office
or school.
Deliveries are
made either by
walking, using
a tray/handcart,
or on a bicycle.
Source: The ICFAI Center for Management Research
ENTREPRENEURSHIP
Case Folio July 2004
46
Will the Dabbawalas Continue to Feed the Hungry?
The Dabbawalas have been in service for more than a hundred years, surviving the many changes
in the city of Mumbai. However, the changing environment was threatening the survival of the
Dabbawalas. “The second generation does not want to get into this business as the returns are not
much,” said one Dabbawala.22
SomeDabbawalas felt that there was danger of the business eventually
dying out as they are unable to attract new recruits from within their families and relatives who
had traditionally been their main source of recruitment.
Exhibit III: Railway Network in Mumbai
Source: www.mumbainet.com
22
Lakshman Nandini, “Mumbai’s Dabbawallahs, Flavor of theSeason,” www.rediff.com, November 15, 2003.
ENTREPRENEURSHIP
Case Folio July 2004
47
Exhibit IV: Map of Mumbai City
Source: www.mumbainet.com
ENTREPRENEURSHIP
Case Folio July 2004
48
There are more and more two-income families now, with the increase in women’s employment.
As a result, wives do not stay home or have time to prepare elaborate meals. They either prepare
small and quick lunches for themselves and their spouse to carry or they eat out. The demand for
the service of the Dabbawalas has also come down as many organizations have started giving free
lunch vouchers to their employees. These vouchers are used at their office cafeteria to buy lunch,
thus eliminating the need for the Dabbawalas’ service. Also, many working people do not have
time to eat an elaborate lunch and so just grab a quick bite. In Mumbai, there are many options
for a person who wants to eat out and all types of cuisine are available, with the growth of fast food
centers that sell Indian food and Western fast food centers like Mac Donald’s, Pizza Hut and
Dominos. In addition, most restaurants and fast food places deliver food. But according to Medge,
“There is no prospect of our business suffering on account of the fast food joints because Mumbai’s
conservative middle classes remain skeptical of what is described as outside food.”23
Most Dabbawalas are of the opinion that their services will always be needed. Firstly, there are
people from different communities, castes and religions in Mumbai. Their cuisine is unique to
them and often what they can or cannot eat is dictated by their caste or religion (for example,
Jains do not eat garlic and onions, Brahmins are strict vegetarians, and Muslims do not eat pork).
Therefore, food can be prepared to their individual tastes only by a parent, spouse or their own
cook. Secondly, there are an increasing number of people who are diet conscious and feel that
restaurant food and fast food is very unhealthy because of all the fat and processed ingredients.
Thirdly, there are people who feel that the food available in the cheap fast food places is unhygienic.
To skeptics who believed that the Dabbawalas are a dying breed, Medge retorted, “How can it be?
Sure, some clients may move away, but children will continue to go to school and people to
offices. As long as people feel hungry, the Dabbawala will be there.”24
Suchitra Jampani,
Faculty Associate, The ICFAI Center for Management Research.
Sanjib Dutta,
Faculty Member, The ICFAI Center for Management Research.
References
1. Chakravarty Subrata N and Karmali Naazneen, Fast Food, August 10, 1998, www.forbes.com
2. Jacobson Doranne, Doing Lunch, March 2000, www.findarticles.com
3. Unnithan Sandeep, Delivering Goods, May 31, 2001, www.lists.cs.columbia.edu
4. Now ‘dabbas’ Join the Ad Club, December 27, 2001, www.responservice.com
5. Reporters on the Job, www.csmonitor.com
6. Harding Luke, A Bombay Lunchbox, June 24, 2002, www.tiffinbites.com
7. India Inc Takes Some Time Off to Applaud India Invisible, September 19, 2002,
www.indianexpress.com
8. The Food Chain, August 19, 2002, www.india-today.com
9. Chatterjee Sumeet, Dabbawallahs: Lifeline of Mumbai’s Working People, September 20, 2002,
www.in.news.yahoo.com
23
Chatterjee Sumeet, “Dabbawallahs: lifeline of Mumbai’s working people,” Indo-Asian News Service, www.yahoo.com,
September 20, 2002.
24
Lakshman Nandini, “Mumbai’s Dabbawallahs, flavour of the season,” www.rediff.com, November 15, 2003.
ENTREPRENEURSHIP
Case Folio July 2004
49
Questions for discussion
1. The Dabbawalas have been in service for more than 100 years. What lessons on
entrepreneurship can one learn from them?
2. The Dabbawala service achieved a Six Sigma level of performance without using any
technology or elaborate processes. How do you think they were able to attain that level of
efficiency?
3. What are the challenges being faced by the Dabbawalas? How can they ensure their
existence in the future?
Reference # 14M-2004-07-07-02
10. Indian Glimpses, September 28, 2002, www.baroda-online.com
11. Kataria Sunil, Dabbawallahs Deliver with No Hiccups, February 12, 2003,
www.lists.cs.columbia.edu
12. The Charioteers of Meals, www.jetairways.com/jetwings_June_03/
13. Mashelkar R A, India, with a Can-do Spirit, August 26, 2003, www.indianexpress.com,
www.hvk.org/hvk/articles/0903/
14. American Association of State Highway and Transportation Officials’ Luncheon Address,
June 9, 2003, www.freight.transportation.org
15. Dsouza Lajwanti, Mumbai Dabbawallas Lecture at IIMs, October 15, 2003, www.mid-day.com
16. Mumbai Dabbawallas Ready for the Prince, October 29, 2003, www.mid-day.com
17. Panda Manoj, Mumbai’s Dabbawallahs, November 3, 2003, www.lists.cs.columbia.edu
18. Diwanji Amberish K, Dabbawallahs: Mumbai’s Best Managed Business, November 4, 2003,
www.in.rediff.com/news/
19. Harley Jonathan, India – Bombay Lunchbox, www.abc.net
20. Thakraney Anil, Dabbawala for CEO? November 9, 2003, www.chalomumbai.com
21. Lakshman Nandini, Mumbai’s Dabbawallahs, Flavor of the Season, November 15, 2003,
www.rediff.com
22. Malhotra Umesh, The e-Dabbawalla, www.e1947.com
23. Karkaria Bachi, The Dabba Connection, www.uppercrustindia.com
24. The Human Origins of the Internet, www.sun.com/executives/digitaljourney/stories/
25. Curran Ann, Videos about Work and Workers, www.cmu.edu/magazine/02summer
26. WQED Multimedia Pittsburgh, www.wqed.org
27. Special Bronze Dabba Awaits Prince Charles, www.headlines.sify.com
28. Luthra Jagdeep, Be a Layman to Understand Logistics, www.safexpress.com
29. Morris Bob, Dead Medium: Dabbawallah Delivery Service, www.deadmedia.org
30. Scott Baldauf, It’s Big Mac vs. Bombay’s ‘dabbawallahs’, www.csmonitor.com
31. Deefholts Margaret, The Dabbawallahs of Mumbai, www.travel-wise.com
32. Lulla, Suresh, Failures per Million, www.qimpro.com
33. Deshpande Pradeep B, India Inc., and Six Sigma: If Dabbawallahs Can Do It, You Can Too!
www.sixsigmaquality.com/sixsigma_papers.html

Weitere ähnliche Inhalte

Ähnlich wie Mumbai Dabbawalas.pdf

Colgate rural marketing jay
Colgate rural marketing  jayColgate rural marketing  jay
Colgate rural marketing jay
Jay Parekh
 
Case study-amul dairy
Case study-amul dairyCase study-amul dairy
Case study-amul dairy
jay_jht
 

Ähnlich wie Mumbai Dabbawalas.pdf (20)

Teamwork (1)
Teamwork (1)Teamwork (1)
Teamwork (1)
 
Prehilanth Quiz Series -2
Prehilanth Quiz Series -2Prehilanth Quiz Series -2
Prehilanth Quiz Series -2
 
Google 8 p
Google 8 pGoogle 8 p
Google 8 p
 
CSR VALUES OF ITC AND IUL
CSR VALUES OF ITC AND IUL CSR VALUES OF ITC AND IUL
CSR VALUES OF ITC AND IUL
 
Palli Pragyan .Finale
Palli Pragyan .FinalePalli Pragyan .Finale
Palli Pragyan .Finale
 
Mumbai dabbawala ppt
Mumbai dabbawala pptMumbai dabbawala ppt
Mumbai dabbawala ppt
 
0601051 post launch study of amul probiotic sugarfree ice cream
0601051 post launch study of amul probiotic sugarfree ice cream0601051 post launch study of amul probiotic sugarfree ice cream
0601051 post launch study of amul probiotic sugarfree ice cream
 
A Case Study of Mumbai Dabbawala
A Case Study of Mumbai DabbawalaA Case Study of Mumbai Dabbawala
A Case Study of Mumbai Dabbawala
 
Mumbai Dabbawala ppt.pptx latest ppt
Mumbai Dabbawala ppt.pptx latest pptMumbai Dabbawala ppt.pptx latest ppt
Mumbai Dabbawala ppt.pptx latest ppt
 
Case Study of Popular Mumbai Dabbawala System
Case Study of Popular Mumbai Dabbawala SystemCase Study of Popular Mumbai Dabbawala System
Case Study of Popular Mumbai Dabbawala System
 
Colgate rural marketing jay
Colgate rural marketing  jayColgate rural marketing  jay
Colgate rural marketing jay
 
Case study-amul dairy
Case study-amul dairyCase study-amul dairy
Case study-amul dairy
 
THE DABBAWALLAS : HOMEMADE WONDERS OF MUMBAI
THE DABBAWALLAS : HOMEMADE WONDERS OF MUMBAITHE DABBAWALLAS : HOMEMADE WONDERS OF MUMBAI
THE DABBAWALLAS : HOMEMADE WONDERS OF MUMBAI
 
unilevers-lifebuoy-in-india-implementing-the-sustainability-plan.pdf
unilevers-lifebuoy-in-india-implementing-the-sustainability-plan.pdfunilevers-lifebuoy-in-india-implementing-the-sustainability-plan.pdf
unilevers-lifebuoy-in-india-implementing-the-sustainability-plan.pdf
 
Entrepreneurship Marking Scheme 14-15 Class 12 CBSE
Entrepreneurship Marking Scheme 14-15 Class 12 CBSEEntrepreneurship Marking Scheme 14-15 Class 12 CBSE
Entrepreneurship Marking Scheme 14-15 Class 12 CBSE
 
Fortune at the bottom of the pyramid
Fortune at the bottom of the pyramidFortune at the bottom of the pyramid
Fortune at the bottom of the pyramid
 
Aaaaaaaaaaaaaaaaaaaaaaaaaaaaa
AaaaaaaaaaaaaaaaaaaaaaaaaaaaaAaaaaaaaaaaaaaaaaaaaaaaaaaaaa
Aaaaaaaaaaaaaaaaaaaaaaaaaaaaa
 
Amul strategic brand management by Dheeraj ED and Lavanya AB
Amul strategic brand management by Dheeraj ED and Lavanya AB   Amul strategic brand management by Dheeraj ED and Lavanya AB
Amul strategic brand management by Dheeraj ED and Lavanya AB
 
Final lifebouy
Final lifebouyFinal lifebouy
Final lifebouy
 
Presentation natconf 2012 ashoka
Presentation natconf 2012 ashokaPresentation natconf 2012 ashoka
Presentation natconf 2012 ashoka
 

Mehr von Diksha Vashisht

Mehr von Diksha Vashisht (20)

WTO & Trade Issues - Legal and Ethical Issues in International Marketing.pptx
WTO & Trade Issues - Legal and Ethical Issues in International Marketing.pptxWTO & Trade Issues - Legal and Ethical Issues in International Marketing.pptx
WTO & Trade Issues - Legal and Ethical Issues in International Marketing.pptx
 
WTO & Trade Issues - International Trade Environment.pptx
WTO & Trade Issues - International Trade Environment.pptxWTO & Trade Issues - International Trade Environment.pptx
WTO & Trade Issues - International Trade Environment.pptx
 
WTO & Trade Issues - International Promotional Strategies.pptx
WTO & Trade Issues - International Promotional Strategies.pptxWTO & Trade Issues - International Promotional Strategies.pptx
WTO & Trade Issues - International Promotional Strategies.pptx
 
WTO & Trade Issues - International Product Policy.pptx
WTO & Trade Issues - International Product Policy.pptxWTO & Trade Issues - International Product Policy.pptx
WTO & Trade Issues - International Product Policy.pptx
 
WTO & Trade Issues - International Pricing.pptx
WTO & Trade Issues - International Pricing.pptxWTO & Trade Issues - International Pricing.pptx
WTO & Trade Issues - International Pricing.pptx
 
WTO & Trade Issues - International Marketing Introduction.pptx
WTO & Trade Issues - International Marketing Introduction.pptxWTO & Trade Issues - International Marketing Introduction.pptx
WTO & Trade Issues - International Marketing Introduction.pptx
 
WTO & Trade Issues - International Marketing Environment.pptx
WTO & Trade Issues - International Marketing Environment.pptxWTO & Trade Issues - International Marketing Environment.pptx
WTO & Trade Issues - International Marketing Environment.pptx
 
WTO & Trade Issues - International Financial Institutions.pptx
WTO & Trade Issues - International Financial Institutions.pptxWTO & Trade Issues - International Financial Institutions.pptx
WTO & Trade Issues - International Financial Institutions.pptx
 
WTO & Trade Issues - Foreign Trade Policy.pptx
WTO & Trade Issues - Foreign Trade Policy.pptxWTO & Trade Issues - Foreign Trade Policy.pptx
WTO & Trade Issues - Foreign Trade Policy.pptx
 
WTO & Trade Issues - Export Marketing.pptx
WTO & Trade Issues - Export Marketing.pptxWTO & Trade Issues - Export Marketing.pptx
WTO & Trade Issues - Export Marketing.pptx
 
CHANGE IN CONSUMER BEHAVIOUR.pptx
CHANGE IN CONSUMER BEHAVIOUR.pptxCHANGE IN CONSUMER BEHAVIOUR.pptx
CHANGE IN CONSUMER BEHAVIOUR.pptx
 
Retailer’s Classification on the basics of Operational Structure.pptx
Retailer’s Classification on the basics of Operational Structure.pptxRetailer’s Classification on the basics of Operational Structure.pptx
Retailer’s Classification on the basics of Operational Structure.pptx
 
RETAIL OUTLETS.pptx
RETAIL OUTLETS.pptxRETAIL OUTLETS.pptx
RETAIL OUTLETS.pptx
 
Service Blue Print of ZARA .pptx
Service Blue Print of  ZARA .pptxService Blue Print of  ZARA .pptx
Service Blue Print of ZARA .pptx
 
International Trade Terms.pptx
International Trade Terms.pptxInternational Trade Terms.pptx
International Trade Terms.pptx
 
International Trade Logistics - Type of Duties.pptx
International Trade Logistics - Type of Duties.pptxInternational Trade Logistics - Type of Duties.pptx
International Trade Logistics - Type of Duties.pptx
 
International Trade Logistics - Introduction.pptx
International Trade Logistics - Introduction.pptxInternational Trade Logistics - Introduction.pptx
International Trade Logistics - Introduction.pptx
 
International Trade Logistics - Documentation.pptx
International Trade Logistics - Documentation.pptxInternational Trade Logistics - Documentation.pptx
International Trade Logistics - Documentation.pptx
 
Foreign Exchange & Currency Derivatives.pptx
Foreign Exchange & Currency Derivatives.pptxForeign Exchange & Currency Derivatives.pptx
Foreign Exchange & Currency Derivatives.pptx
 
Brand Identity - 3.pptx
Brand Identity - 3.pptxBrand Identity - 3.pptx
Brand Identity - 3.pptx
 

Kürzlich hochgeladen

The basics of sentences session 3pptx.pptx
The basics of sentences session 3pptx.pptxThe basics of sentences session 3pptx.pptx
The basics of sentences session 3pptx.pptx
heathfieldcps1
 
Salient Features of India constitution especially power and functions
Salient Features of India constitution especially power and functionsSalient Features of India constitution especially power and functions
Salient Features of India constitution especially power and functions
KarakKing
 

Kürzlich hochgeladen (20)

On National Teacher Day, meet the 2024-25 Kenan Fellows
On National Teacher Day, meet the 2024-25 Kenan FellowsOn National Teacher Day, meet the 2024-25 Kenan Fellows
On National Teacher Day, meet the 2024-25 Kenan Fellows
 
Jamworks pilot and AI at Jisc (20/03/2024)
Jamworks pilot and AI at Jisc (20/03/2024)Jamworks pilot and AI at Jisc (20/03/2024)
Jamworks pilot and AI at Jisc (20/03/2024)
 
Wellbeing inclusion and digital dystopias.pptx
Wellbeing inclusion and digital dystopias.pptxWellbeing inclusion and digital dystopias.pptx
Wellbeing inclusion and digital dystopias.pptx
 
REMIFENTANIL: An Ultra short acting opioid.pptx
REMIFENTANIL: An Ultra short acting opioid.pptxREMIFENTANIL: An Ultra short acting opioid.pptx
REMIFENTANIL: An Ultra short acting opioid.pptx
 
Micro-Scholarship, What it is, How can it help me.pdf
Micro-Scholarship, What it is, How can it help me.pdfMicro-Scholarship, What it is, How can it help me.pdf
Micro-Scholarship, What it is, How can it help me.pdf
 
Basic Civil Engineering first year Notes- Chapter 4 Building.pptx
Basic Civil Engineering first year Notes- Chapter 4 Building.pptxBasic Civil Engineering first year Notes- Chapter 4 Building.pptx
Basic Civil Engineering first year Notes- Chapter 4 Building.pptx
 
Towards a code of practice for AI in AT.pptx
Towards a code of practice for AI in AT.pptxTowards a code of practice for AI in AT.pptx
Towards a code of practice for AI in AT.pptx
 
Mehran University Newsletter Vol-X, Issue-I, 2024
Mehran University Newsletter Vol-X, Issue-I, 2024Mehran University Newsletter Vol-X, Issue-I, 2024
Mehran University Newsletter Vol-X, Issue-I, 2024
 
Holdier Curriculum Vitae (April 2024).pdf
Holdier Curriculum Vitae (April 2024).pdfHoldier Curriculum Vitae (April 2024).pdf
Holdier Curriculum Vitae (April 2024).pdf
 
Accessible Digital Futures project (20/03/2024)
Accessible Digital Futures project (20/03/2024)Accessible Digital Futures project (20/03/2024)
Accessible Digital Futures project (20/03/2024)
 
Plant propagation: Sexual and Asexual propapagation.pptx
Plant propagation: Sexual and Asexual propapagation.pptxPlant propagation: Sexual and Asexual propapagation.pptx
Plant propagation: Sexual and Asexual propapagation.pptx
 
The basics of sentences session 3pptx.pptx
The basics of sentences session 3pptx.pptxThe basics of sentences session 3pptx.pptx
The basics of sentences session 3pptx.pptx
 
NO1 Top Black Magic Specialist In Lahore Black magic In Pakistan Kala Ilam Ex...
NO1 Top Black Magic Specialist In Lahore Black magic In Pakistan Kala Ilam Ex...NO1 Top Black Magic Specialist In Lahore Black magic In Pakistan Kala Ilam Ex...
NO1 Top Black Magic Specialist In Lahore Black magic In Pakistan Kala Ilam Ex...
 
Salient Features of India constitution especially power and functions
Salient Features of India constitution especially power and functionsSalient Features of India constitution especially power and functions
Salient Features of India constitution especially power and functions
 
2024-NATIONAL-LEARNING-CAMP-AND-OTHER.pptx
2024-NATIONAL-LEARNING-CAMP-AND-OTHER.pptx2024-NATIONAL-LEARNING-CAMP-AND-OTHER.pptx
2024-NATIONAL-LEARNING-CAMP-AND-OTHER.pptx
 
COMMUNICATING NEGATIVE NEWS - APPROACHES .pptx
COMMUNICATING NEGATIVE NEWS - APPROACHES .pptxCOMMUNICATING NEGATIVE NEWS - APPROACHES .pptx
COMMUNICATING NEGATIVE NEWS - APPROACHES .pptx
 
Application orientated numerical on hev.ppt
Application orientated numerical on hev.pptApplication orientated numerical on hev.ppt
Application orientated numerical on hev.ppt
 
TỔNG ÔN TẬP THI VÀO LỚP 10 MÔN TIẾNG ANH NĂM HỌC 2023 - 2024 CÓ ĐÁP ÁN (NGỮ Â...
TỔNG ÔN TẬP THI VÀO LỚP 10 MÔN TIẾNG ANH NĂM HỌC 2023 - 2024 CÓ ĐÁP ÁN (NGỮ Â...TỔNG ÔN TẬP THI VÀO LỚP 10 MÔN TIẾNG ANH NĂM HỌC 2023 - 2024 CÓ ĐÁP ÁN (NGỮ Â...
TỔNG ÔN TẬP THI VÀO LỚP 10 MÔN TIẾNG ANH NĂM HỌC 2023 - 2024 CÓ ĐÁP ÁN (NGỮ Â...
 
80 ĐỀ THI THỬ TUYỂN SINH TIẾNG ANH VÀO 10 SỞ GD – ĐT THÀNH PHỐ HỒ CHÍ MINH NĂ...
80 ĐỀ THI THỬ TUYỂN SINH TIẾNG ANH VÀO 10 SỞ GD – ĐT THÀNH PHỐ HỒ CHÍ MINH NĂ...80 ĐỀ THI THỬ TUYỂN SINH TIẾNG ANH VÀO 10 SỞ GD – ĐT THÀNH PHỐ HỒ CHÍ MINH NĂ...
80 ĐỀ THI THỬ TUYỂN SINH TIẾNG ANH VÀO 10 SỞ GD – ĐT THÀNH PHỐ HỒ CHÍ MINH NĂ...
 
Interdisciplinary_Insights_Data_Collection_Methods.pptx
Interdisciplinary_Insights_Data_Collection_Methods.pptxInterdisciplinary_Insights_Data_Collection_Methods.pptx
Interdisciplinary_Insights_Data_Collection_Methods.pptx
 

Mumbai Dabbawalas.pdf

  • 1. ENTREPRENEURSHIP Case Folio July 2004 41 © 2004 The ICFAI Center for Management Research (ICMR). All Rights Reserved. For accessing and procuring the case study, log on to www.ecch.cranfield.ac.uk or www.icmrindia.org. Mumbai’s ‘Dabbawalas’ – An Entrepreneurial Success Story The Dabbawalas who provide a lunch delivery service in Mumbai have been in the business for over 100 years. In 1998, Forbes Global magazine conducted an analysis and gave them a Six Sigma rating of efficiency. This case examines how the Dabbawalas operate. It describes their delivery process and coding system, and how they work as a team to achieve a common goal. The case also explores the future of the Dabbawalas’ service in the light of changing environment. – Suchitra Jampani, Sanjib Dutta A model of managerial and organizational simplicity. – C K Prahalad, Professor, University of Michigan Business School and Management Guru, commenting on the Dabbawalas’ operations.1 The fascinating story of Mumbai’s Dabbawalas is an inspiration to all organizations aspiring to compete in the global marketplace. – Pradeep B Deshpande, President of Six Sigma and Advanced Controls, Inc. and Professor of Chemical Engineering, University of Louisville.2 1 Shamsi Maria, “The Charioteers ofMeals,” Jetwings Online, June 2003. 2 Deshpande B Pradeep, “India, Inc., and Six Sigma: If DabbawallahsCanDoIt,YouCanToo!”,www.sixsigmaquality.com/ sixsigma_papers.html 3 In Hindi, ‘dabba’ means lunch box and‘wala’ means man. The prefix to‘wala’indicates the occupation of the person. Therefore, Dabbawala means lunchbox delivery man. 4 Tiffin means lunch. 5 Six Sigma is an efficiency standard developed by Motorola. To get a Six Sigma rating a company should not have more than 3.4 defects per million opportunities. A Six Sigma Performance Every day, battling the traffic and crowds of Mumbai city, the Dabbawalas,3 also known as Tiffinwallahs,4 unfailingly delivered thousands of dabbas to hungry people and later returned the empty dabbas to where they came from. The Dabbawalas delivered either home-cooked meals from clients’ homes or lunches ordered for a monthly fee from women who cook at their homes according to the clients’ specifications. The Dabbawalas’ service was used by both working people and school children. In 1998, Forbes Global magazine, conducted a quality assurance study on the Dabbawalas’ operations and gave it a Six Sigma5 efficiency rating of 99.999999; the Dabbawalas made one
  • 2. ENTREPRENEURSHIP Case Folio July 2004 42 error in six million transactions. That put them on the list of Six Sigma rated companies, along with multinationals like Motorola and GE. Achieving this rating was no mean feat, considering that the Dabbawalas did not use any technology or paperwork, and that most of them were illiterate or semiliterate. Apart from Forbes, the Dabbawalas have aroused the interest of many other international organizations, media and academia. In 1998, two Dutch filmmakers, Jascha De Wilde and Chris Relleke made a documentary called “Dabbawalas, Mumbai’s unique lunch service”. The film focussed on how the tradition of eating home-cooked meals, and a business based on that could survive in a cosmopolitan city like Mumbai. In July 2001, The Christian Science Monitor, an international newspaper published from Boston, Mass., US, covered the Dabbawalas in an article called ‘Fastest Food: It’s Big Mac vs. Bombay’s Dabbawalas’.6 In 2002, Jonathan Harley, a reporter, did a story on the Dabbawalas with the Australian Broadcasting Corporation (ABC). In 2003, BBC also aired a program on the Dabbawalas, which was part of a series on unique businesses of the world. In 2003, Paul S Goodman and Denise Rousseau, both faculty at the Graduate School of Industrial Administration of Carnegie Mellon University, made their first full-length documentary called “The Dabbawalas”. According to the press release of the TV station presenting the documentary, “The film also serves as a counterpoint. Instead of asking how knowledge in developing countries can help less developed countries, this film focuses on how developed countries can learn from less developed countries.”7 Back home, the Dabbawalas were invited to speak at Confederation of Indian Industry (CII)8 meets and at leading Indian business schools such as IIM, Bangalore and Lucknow. Background Note The origin of the Dabbawalas’ lunch delivery service dates back to the 1890s during the British raj.9 At that time, people from various communities migrated to Mumbai for work. As there were no canteens or fast food centers then, if working people did not bring their lunch from home, they had to go hungry, and invariably, lunch would not be ready when they left home for work. Besides, different communities had different tastes and preferences which could only be satisfied by a home-cooked meal. Recognizing the need, Mahadeo Havaji Bacche (Mahadeo), a migrant from North Maharashtra,10 started the lunch delivery service. For his enterprise, Mahadeo recruited youth from the villages neighboring Mumbai, who were involved in agricultural work. They were willing to come as the income they got from agriculture was not enough to support their large families, and they had no education or skills to get work in the city. The service started with about 100 Dabbawalas and cost the client Rs. 2 a month. Gradually, the number of Dabbawalas increased and the service continued even though the founder was no more. In the 1950s, the Dabbawalas were delivering 2,00,000 lunches a day. The Dabbawalas became organized after 1954 when the Nutan Mumbai Tiffin Box Suppliers’ Charity Trust was 6 Scott Baldauf, the reporter who covered the story, followed aDabbawala to understand the delivery process and their daily routine. 7 “WQED Multimedia Pittsburgh presents Paul S Goodman’s documentary about theDabbawallas ofMumbai,India”, www.wqed.org 8 CII is a not-for-profit and non-government organization established in 1895 by members of the Indian industry. They work with the government, companies and similar international organizations to facilitate the growth of industry in India. The CII has a membership of over 54,800 companies, both national and international. They have offices in India and overseas. 9 British raj was what the British rule in India was called. 10 Maharashtra is one of the states of India. Mumbai is the capital of the state.
  • 3. ENTREPRENEURSHIP Case Folio July 2004 43 established. The Trust had offices in various parts of the city such as Grant Road, Dadar, Chembur, Ghatkopar and Mulund. It was the only body representing the Dabbawalas. The Dabbawalas lost a large group of clients, the mill workers, during the 1980s and 1990s, when the mills started closing down. However, they eventually gained other clients. People who felt that outside food was unhygienic and who wanted to have a specific diet started to use their service. In early 2000, the Dabbawalas were back to delivering up to 1,75,000-2,00,000 lunches a day. Organizational Structure and Working Style The Nutan Mumbai Tiffin Box Suppliers’ Charity Trust had a very flat structure with only three levels, the Governing Council, the Mukadams11 and the Dabbawalas (Refer to Exhibit I). From the Governing Council, a President and a Secretary were elected. The Governing Council held meetings once a month which were attended by the Mukadams and Dabbawalas. At these meetings, the Dabbawalas discussed their problems and explored possible solutions. The problems could be with the police, municipal corporation, customers, etc. They also adjudicated disputes among Dabbawalas using their own system. The Trust collected Rs. 15 from each Dabbawala every month to maintain a welfare fund. These funds were used to give loans to Dabbawalas, help them in medical emergencies, meet the educational costs of their children, run pilgrim rest houses, subsidize religious pilgrimages and provide facilities for important occasions like weddings, etc. A monthly amount was also set aside for a charitable fund to feed the poor. The Dabbawalas were organized in cooperative groups of 15 to 20 members, and each group was supervised by four Mukadams. The responsibilities of a Mukadam, who was essentially a supervisor, involved sorting dabbas, keeping records of payments, settling disputes, sourcing more customers and training new Dabbawalas. Every group was financially independent but worked together in the delivery process. Each group sourced their own clients, but one group was not allowed to undercut another. In 2003, the Dabbawalas charged customers anything between Rs. 150 and Rs. 350 per month for their services. Every month the payments received were shared equally amongst the members of the group. After expenses, each Dabbawala received between Rs. 5,000 and Rs. 6,000 a month. Their expenses included railway passes12 and rent for handcarts, cycles and crates. Newcomers who wanted to become Dabbawalas were initially hired on a salary to gauge their performance, and later made members of the Trust and assigned to one of the cooperative groups. Exhibit I: Dabbawalas’ Organizational Structure Source: The ICFAI Center for Management Research 11 Mukadam is a team leader or supervisor. 12 A railway pass can be obtained by paying a fee to the railway authorities. This can be used to travel on the local trains in Mumbai without having to buy a ticket every day. Governing Council Secretary President Mukadams Dabbawala
  • 4. ENTREPRENEURSHIP Case Folio July 2004 44 To become profit sharing members of the Trust, new Dabbawalas needed to pay a certain amount to the Trust. This was Rs. 30,000 in 2003. The Trust gave loans to assist them to become members of the organization. Every member was guaranteed a monthly income and was employed for life. As there was no retirement age, a Dabbawala worked as long as he was physically fit. Over the years, primarily family members and relatives of the existing Dabbawalas were inducted into the business. Of the nearly 5,000 Dabbawalas (2003), most were from the same region and community, making them a close-knit group. Every year they went to their villages for the “Bhairavnath Maharaj Utsav”13 festival. That was usually the only occasion for which the Dabbawalas took time off. Delivery System The Dabbawala service was available wherever the local trains ran in Mumbai as it was their primary mode of transportation. During the delivery process, the dabbas changed hands at least four times before they reached their destination. Every client who availed the service was given a cylindrical aluminum container (dabba) with the appropriate code painted on the lid. Someone from the client’s home put the layered lunchbox packed with food into that container. Depending upon the distance between the client’s home and the nearest railway station and the time taken to reach the destination (office/school) of the dabba, a collection time was fixed. This was usually between 8.30 a.m. and 10.30 a.m. Every day, at the same time, the Dabbawalas collect the dabbas from the clients’ homes. They take the dabbas to the nearest railway station where a Mukadam sorts the dabbas brought in and arranges them in crates or trays, according to the destination station. Each Dabbawala takes one of these trays and boards the train. When he gets off at his destination, another Mukadam re-sorts the dabbas, along with those brought in by other Dabbawalas assigned to areas near that particular station. Here, the dabbas that need to be put on another train are taken by the assignedDabbawalas, and the dabbas that have to be delivered are taken by the Dabbawalas deputed for this task. The Dabbawalas deliver the dabbas either by walking, using a tray/handcart, or on a bicycle. They deliver the dabba to the common/reception area of the office/school. The client returns the empty dabba to the same place. In the afternoon, at about 3.00 p.m., the process is reversed for the return of the dabbas to the homes of the clients (Refer to Exhibit II for a better understanding of the delivery system). The delivery system of the Dabbawalas has been compared to a relay race14 and the Internet.15 The Dabbawalas developed their own coding system. The codes enabled each Dabbawala to identify and fulfill his responsibility at every step in the process. These codes were understood by the Dabbawalas and no one else. The appropriate code was painted on the lid of the dabba, which revealed the originating address and station, and the destination station and address. Raghunath Medge (Medge), President of the Trust, said, “The codes have been developed over the years, beginning with colored thread and then more systematic and logical codes.”16 When they began painting codes on the dabbas, they initially used symbols, such as swastikas, dots, crosses, strokes, dashes, etc., in various colors. Later on, they included alphabets and numbers in their coding. The new codes were developed by Medge. They used both alphabets and numbers to identify stations, buildings, floors and Dabbawalas. For example, if the code on a dabba was “P-BO-10-15/A/11,” 13 During this festival, prayers were offered to the god they worshipped, Lord Vithoba, and their patron saint, Dnyaneshwar. As part of the festivities, bullock cart races and lotteries were held. 14 Baldauff Scott, “It’s Big Mac vs. Bombay’sDabbawallahs,” www.csmonitor.com, July 6, 2001. 15 “The Human Origins of the Internet,” www.sun.com 16 “Mumbai Dabbawalas Ready for the Prince,” www.mid-day.com, October 29, 2003.
  • 5. ENTREPRENEURSHIP Case Folio July 2004 45 P identified the Dabbawala, BO the suburb, Borivili, where the dabba had to be collected from, 10 represented the area, Nariman Point, where the dabba was to be delivered, and 15/A/11 stood for 15th building, 11th floor.17 One Dabbawala claimed, “We often recognize a dabba by its feel, like we would a familiar slipper.”18 “We generally make one mistake in two months. We can’t afford to make mistakes too often or else we will be out of business. And our employees understand this reality very well so they are always very cautious,” said Medge.19 The Dabbawala delivery process was dependent on Mumbai’s local railway which was known to be the most far-reaching, fast and efficient local train system in India (Refer to Exhibit III for an idea about the railway network in Mumbai). The trains ran 365 days a year and there was very rarely any interruption in the service. The only circumstance under which the service was disrupted was the monsoon when the tracks would get flooded. According to the Dabbawalas, their ability to successfully run the service in a crowded city like Mumbai could be attributed to its geography and local train system. Medge said, “Mumbai’s geography makes it unique, it is a longish city where residences are in the North and offices in the South, so it makes our work simple”20 (Refer to Exhibit IV for a map of Mumbai City). He also said, “Our people move by local trains and are able to cover long distances. On cycle, one can cover only a radius of two to three kilometers”.21 Thus, the Dabbawalas use the cheap public transport system to their advantage. 17 Deshpande B Pradeep, “India, Inc., and Six Sigma: If Dabbawallahs Can Do It, You Can Too!,” www.sixsigmaquality.com/sixsigma_papers.html 18 Karkaria Bachi, “The Dabba Connection,” www.uppercrustindia.com 19 Chatterjee Sumeet, “Dabbawallahs:Lifeline of Mumbai’s Working People,” Indo-Asian News Service, www.yahoo.com, September 20, 2002. 20 Diwanji K Amberish,“Dabbawallahs: Mumbai’s Best Managed Business,” www.rediff.com, November 4, 2003. 21 Lakshman Nandini, “Mumbai’s Dabbawallahs, Flavor of theSeason,” www.rediff.com, November 15, 2003. Exhibit II: Dabbawalas’ Delivery System Stage I The Dabbawalas collect the dabbas from the clients and take them to the nearest railway station. Stage II Stage III Stage IV At the station, a Mukadam sorts the dabbas according to their destination and arranges them in trays/ crates. The Dabbawalas take their consignments and get on the train. The Dabbawalas get off at their respective stations where a Mukadam re-sorts the dabbas, along with the dabbas brought by other Dabbawalas from the surrounding area. The dabbas are grouped according to area of delivery. The Dabbawalas take their consignments and deliver the dabbas to each client's office or school. Deliveries are made either by walking, using a tray/handcart, or on a bicycle. Source: The ICFAI Center for Management Research
  • 6. ENTREPRENEURSHIP Case Folio July 2004 46 Will the Dabbawalas Continue to Feed the Hungry? The Dabbawalas have been in service for more than a hundred years, surviving the many changes in the city of Mumbai. However, the changing environment was threatening the survival of the Dabbawalas. “The second generation does not want to get into this business as the returns are not much,” said one Dabbawala.22 SomeDabbawalas felt that there was danger of the business eventually dying out as they are unable to attract new recruits from within their families and relatives who had traditionally been their main source of recruitment. Exhibit III: Railway Network in Mumbai Source: www.mumbainet.com 22 Lakshman Nandini, “Mumbai’s Dabbawallahs, Flavor of theSeason,” www.rediff.com, November 15, 2003.
  • 7. ENTREPRENEURSHIP Case Folio July 2004 47 Exhibit IV: Map of Mumbai City Source: www.mumbainet.com
  • 8. ENTREPRENEURSHIP Case Folio July 2004 48 There are more and more two-income families now, with the increase in women’s employment. As a result, wives do not stay home or have time to prepare elaborate meals. They either prepare small and quick lunches for themselves and their spouse to carry or they eat out. The demand for the service of the Dabbawalas has also come down as many organizations have started giving free lunch vouchers to their employees. These vouchers are used at their office cafeteria to buy lunch, thus eliminating the need for the Dabbawalas’ service. Also, many working people do not have time to eat an elaborate lunch and so just grab a quick bite. In Mumbai, there are many options for a person who wants to eat out and all types of cuisine are available, with the growth of fast food centers that sell Indian food and Western fast food centers like Mac Donald’s, Pizza Hut and Dominos. In addition, most restaurants and fast food places deliver food. But according to Medge, “There is no prospect of our business suffering on account of the fast food joints because Mumbai’s conservative middle classes remain skeptical of what is described as outside food.”23 Most Dabbawalas are of the opinion that their services will always be needed. Firstly, there are people from different communities, castes and religions in Mumbai. Their cuisine is unique to them and often what they can or cannot eat is dictated by their caste or religion (for example, Jains do not eat garlic and onions, Brahmins are strict vegetarians, and Muslims do not eat pork). Therefore, food can be prepared to their individual tastes only by a parent, spouse or their own cook. Secondly, there are an increasing number of people who are diet conscious and feel that restaurant food and fast food is very unhealthy because of all the fat and processed ingredients. Thirdly, there are people who feel that the food available in the cheap fast food places is unhygienic. To skeptics who believed that the Dabbawalas are a dying breed, Medge retorted, “How can it be? Sure, some clients may move away, but children will continue to go to school and people to offices. As long as people feel hungry, the Dabbawala will be there.”24 Suchitra Jampani, Faculty Associate, The ICFAI Center for Management Research. Sanjib Dutta, Faculty Member, The ICFAI Center for Management Research. References 1. Chakravarty Subrata N and Karmali Naazneen, Fast Food, August 10, 1998, www.forbes.com 2. Jacobson Doranne, Doing Lunch, March 2000, www.findarticles.com 3. Unnithan Sandeep, Delivering Goods, May 31, 2001, www.lists.cs.columbia.edu 4. Now ‘dabbas’ Join the Ad Club, December 27, 2001, www.responservice.com 5. Reporters on the Job, www.csmonitor.com 6. Harding Luke, A Bombay Lunchbox, June 24, 2002, www.tiffinbites.com 7. India Inc Takes Some Time Off to Applaud India Invisible, September 19, 2002, www.indianexpress.com 8. The Food Chain, August 19, 2002, www.india-today.com 9. Chatterjee Sumeet, Dabbawallahs: Lifeline of Mumbai’s Working People, September 20, 2002, www.in.news.yahoo.com 23 Chatterjee Sumeet, “Dabbawallahs: lifeline of Mumbai’s working people,” Indo-Asian News Service, www.yahoo.com, September 20, 2002. 24 Lakshman Nandini, “Mumbai’s Dabbawallahs, flavour of the season,” www.rediff.com, November 15, 2003.
  • 9. ENTREPRENEURSHIP Case Folio July 2004 49 Questions for discussion 1. The Dabbawalas have been in service for more than 100 years. What lessons on entrepreneurship can one learn from them? 2. The Dabbawala service achieved a Six Sigma level of performance without using any technology or elaborate processes. How do you think they were able to attain that level of efficiency? 3. What are the challenges being faced by the Dabbawalas? How can they ensure their existence in the future? Reference # 14M-2004-07-07-02 10. Indian Glimpses, September 28, 2002, www.baroda-online.com 11. Kataria Sunil, Dabbawallahs Deliver with No Hiccups, February 12, 2003, www.lists.cs.columbia.edu 12. The Charioteers of Meals, www.jetairways.com/jetwings_June_03/ 13. Mashelkar R A, India, with a Can-do Spirit, August 26, 2003, www.indianexpress.com, www.hvk.org/hvk/articles/0903/ 14. American Association of State Highway and Transportation Officials’ Luncheon Address, June 9, 2003, www.freight.transportation.org 15. Dsouza Lajwanti, Mumbai Dabbawallas Lecture at IIMs, October 15, 2003, www.mid-day.com 16. Mumbai Dabbawallas Ready for the Prince, October 29, 2003, www.mid-day.com 17. Panda Manoj, Mumbai’s Dabbawallahs, November 3, 2003, www.lists.cs.columbia.edu 18. Diwanji Amberish K, Dabbawallahs: Mumbai’s Best Managed Business, November 4, 2003, www.in.rediff.com/news/ 19. Harley Jonathan, India – Bombay Lunchbox, www.abc.net 20. Thakraney Anil, Dabbawala for CEO? November 9, 2003, www.chalomumbai.com 21. Lakshman Nandini, Mumbai’s Dabbawallahs, Flavor of the Season, November 15, 2003, www.rediff.com 22. Malhotra Umesh, The e-Dabbawalla, www.e1947.com 23. Karkaria Bachi, The Dabba Connection, www.uppercrustindia.com 24. The Human Origins of the Internet, www.sun.com/executives/digitaljourney/stories/ 25. Curran Ann, Videos about Work and Workers, www.cmu.edu/magazine/02summer 26. WQED Multimedia Pittsburgh, www.wqed.org 27. Special Bronze Dabba Awaits Prince Charles, www.headlines.sify.com 28. Luthra Jagdeep, Be a Layman to Understand Logistics, www.safexpress.com 29. Morris Bob, Dead Medium: Dabbawallah Delivery Service, www.deadmedia.org 30. Scott Baldauf, It’s Big Mac vs. Bombay’s ‘dabbawallahs’, www.csmonitor.com 31. Deefholts Margaret, The Dabbawallahs of Mumbai, www.travel-wise.com 32. Lulla, Suresh, Failures per Million, www.qimpro.com 33. Deshpande Pradeep B, India Inc., and Six Sigma: If Dabbawallahs Can Do It, You Can Too! www.sixsigmaquality.com/sixsigma_papers.html