IntroductionUtkarsh

HistoryHistory + Cultural background

Utkarsh

Cost StructureMaintenance costs

Dabbawalla income

Cost to customer

Update numbers omline

Shruti

Three tier structureExecutive Committees + Mukadam + Dabbawallas + Apprenticeship

Responsibilities at each level

Kriti

Distribution NetworkBaton Relay + Hub and spoke

Kriti

A Typical Day for a DabbawallaTimeline

Kriti

Dabba codingTo identify and monitor the dabbas efficientlyPrimary Codes: Originating station and destination Station, as they are crucial for sorting

EnvironmentCustomer + Competition + Advantages

Shruti

Cornerstones of SuccessLow Cost Delivery

o Price Charged: Rs150 to Rs200 pm (Since 2014: Rs600 to Rs1000 pm)o Price Considerations:

Pickup Location: High concentration of customers allowed for lower economies, hence lower prices

Time: Closer to lunch hour, up to 25% higher prices Increase: Coinciding with major developments, increased once every 2

years by 15%

Delivery Reliabilityo Dabbawallahs considered themselves as Entrepreneurs: Greater sense of

responsibility, no strike, work 6 days a week only take 5 day break in April o Not governed by hierarchy: Team work with a common goal to be achieved:

“No Customer should go without food”o Lived and worked in clans: Recruited through referrals from relatives; this

ensured no dilution of service culture or erosion of basicso One Dabbawallah, 35 Dabbas: He was solely responsible for his 30-35

clients and had total control over his route

DecentralizationGroup Structure: Built Cohesion, operational autonomy helped provide focus on delivery effectiveness

• Each group maintained its own records, serviced its own customers, kept own system of billing and collection

• Group wise generation and distribution of monthly revenues amongst its members

Perceived Equalityo Equal remuneration (About

Rs8000 pm), regardless of roleo Seniors undertook less labor

intensive roles like sorting o Younger ones did loading,

deliveryo Leveler – helped forged equal

relationship

Railway Networko Extensive use of Mumbai localo Longitudinal geography helped

in logisticso Covered 70km to 80km in 2.5

hrs. by traino Only once or twice a year the

railways were grounded in monsoon and delivery was tough

Challenges

Shrinking Customer Base

Lifestyle Changes

Workforce Management

In 1980s, there was substantial decline in no. of customers owing to closing down of textile mills

Tapped new customer segments: school children, catered food

Owing to decentralization, each group pursued new customers separately

Double income families: increased demand for convenience food

Lesser cooking time, new lunch items available on grocery shelf

Younger generation of Dabbawallah were either not interested in this business or were discouraged by their parents owing to large physical labor involved

Service Expectations: timely delivery, courteous attitude and understanding the special needs if any

Avoid drinking in working hours, wear white cap and ID cards

Performance parameters: No. of customer complaints; No of encounters with authority

Recent developmentsInternet Shruti