final six sigma project

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INTRODUCTION ORIGIN OF SIX SIGMA The term "Six Sigma" comes from a field of statistics known as process capability studies. Originally, it referred to the ability of manufacturing processes to produce a very high proportion of output within specification. Processes that operate with "six sigma quality" over the short term are assumed to produce long-term defect levels below 3.4 defects per million opportunities (DPMO).Six Sigma's implicit goal is to improve all processes to that level of quality or better. Bill Smith first formulated the particulars of the methodology at Motorola in 1986. Six Sigma was heavily inspired by six preceding decades of quality improvement methodologies such as quality control, TQM, and Zero Defects. Six Sigma is a registered service mark and trademark of Motorola Inc. As of 2006 Motorola reported over US$17 billion in savings from Six Sigma. Other early adopters of Six Sigma who achieved well-publicized success include Honeywell (previously known as AlliedSignal) and General Electric, where Jack Welch introduced the method. By the late 1990s, about two-thirds of the Fortune 500 organizations had begun Six Sigma initiatives with the aim of reducing costs and improving quality. SIX SIGMA-WHAT IS IT? Six Sigma stands for Six Standard Deviations (Sigma is the Greek letter used to represent standard deviation in statistics) from 1 | Page

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Page 1: Final Six Sigma Project

INTRODUCTION

ORIGIN OF SIX SIGMA

The term "Six Sigma" comes from a field of statistics known as process capability studies.

Originally, it referred to the ability of manufacturing processes to produce a very high proportion

of output within specification. Processes that operate with "six sigma quality" over the short term

are assumed to produce long-term defect levels below 3.4 defects per million opportunities

(DPMO).Six Sigma's implicit goal is to improve all processes to that level of quality or better.

Bill Smith first formulated the particulars of the methodology at Motorola in 1986. Six Sigma

was heavily inspired by six preceding decades of quality improvement methodologies such as

quality control, TQM, and Zero Defects. Six Sigma is a registered service mark and trademark

of Motorola Inc. As of 2006 Motorola reported over US$17 billion in savings from Six Sigma.

Other early adopters of Six Sigma who achieved well-publicized success

include Honeywell (previously known as AlliedSignal) and General Electric, where Jack

Welch introduced the method. By the late 1990s, about two-thirds of the Fortune

500 organizations had begun Six Sigma initiatives with the aim of reducing costs and improving

quality.

SIX SIGMA-WHAT IS IT?

Six Sigma stands for Six Standard Deviations (Sigma is the Greek letter used to represent

standard deviation in statistics) from mean/perfection. Six Sigma methodology provides the

techniques and tools to improve the capability and reduce the defects in any process. The central

idea behind Six Sigma is that if you can measure how many “defects” you have in a process, you

can systematically figure out how to eliminate them and get as close to “zero defects” as

possible.To achieve Six Sigma Quality, a process must produce no more that 3.4 defects per

million opportunities. An opportunity is defined as a chance for nonconformance, or not

meeting the required specifications. This means one needs to be nearly flawless in executing key

processes. The process and culture is conditioned for zero defects rather than being one that

accepts that it is inevitable, and acceptable, that mistakes will occur. Hence Six Sigma delivers

substantial cost reductions, enhanced efficiencies, sustainable improvements and increased

stakeholder value.

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SIX SIGMA METRIC-

MOTOROLA METRIC-

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METHODOLOGY FOR SIX SIGMA-

Six Sigma has two key methodologies. DMAIC and DMADV, both inspired by W. Edwards

Deming's Plan-Do-Check-Act Cycle

1. DMAIC - used to improve an existing business process

Basic methodology consists of the following five steps:

1. Define the process improvement goals that are consistent with customer demands and enterprise strategy.

2. Measure the current process and collect relevant data for future comparison.

3. Analyze to verify relationship and causality of factors. Determine what the relationship is, and attempt to ensure that all factors have been considered.

4. Improve or optimize the process based upon the analysis using techniques like Design of Experiments.

5. Control to ensure that any variances are corrected before they result in defects. Set up pilot runs to establish process capability, transition to production and thereafter continuously measure the process and institute control mechanisms.

DMADV- It is used to create new product or process designs for predictable, defect-free

performance.

Basic methodology consists of the following five steps:

1. Define the goals of the design activity that are consistent with customer demands and enterprise strategy.

2. Measure and identify CTQs (critical to qualities), product capabilities, production process capability, and risk assessments.

3. Analyze to develop and design alternatives, create high-level design and evaluate design capability to select the best design.

4. Design details, optimize the design, and plan for design verification. This phase may require simulations.

5. Verify the design, set up pilot runs, implement production process and handover to process owners

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TOOLS FOR SIX SIGMA-

1. CAUSE AND EFFECT DIAGRAM2. FLOW-CHART3. SCATTER DIAGRAM4. SWOT ANALYSIS

SOFTWARE FOR SIX SIGMA-

1. MINITAB

Minitab is a statistics package. Minitab is used in conjunction with the implementation of Six

Sigma, CMMI and other statistics-based process improvement methods.

Minitab 15, the latest version of the software, is available in 6 different languages (English,

French, German, Korean, Simplified Chinese, & Spanish).

2. ORACLE CRYSTAL BALL

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REVIEW OF LITERATURE

Six Sigma is becoming a cornerstone philosophy among the world’s leading corporations

because it has proven itself by generating substantial business returns. Six Sigma is also seen as a

great training ground for twenty-first century leadership. It is now fairly commonplace for people

who are well trained in Six Sigma to achieve top leadership positions.

Words from Six Sigma’s staunchest champion, Jack Welch: “We believed then and we are

convinced today . . . that there is an ‘infinite capacity to improve everything’—but there was no

methodology or disciple attached to that belief. There is now. It’s Six Sigma quality, along with

a culture of learning, sharing, and unending excitement. Daniel L. Quinn (2002,) ‘What is

six sigma?’

The first five years of Six Sigma at Motorola were very rewarding for the company. Sales grew

dramatically, better products were introduced with higher manufacturing capability and a focus

on quality, and the company's reputation soared. As a Motorola executive once said, "Our

Motorola badge could be used as a credit card." Such benefits of Six Sigma could not have been

realized by just focusing on a few projects. Instead, Six Sigma was an organization-wide,

leadership-driven, process- oriented, middle manager-led and employee-owned initiative. Gupta.

Praveen, (July 2001) issue of Circuits Assembly ‘The Birth of Six Sigma’

Wipro Technologies is a global services provider delivering technology-driven business

solutions that meet the strategic objectives of clients. Wipro has 40+ ‘Centers of Excellence’ that

create solutions around specific needs of industries. Wipro delivers unmatched business value to

customers through a combination of process excellence, quality frameworks and service delivery

innovation. focuses on the initiatives taken by Wipro Technologies to implement the Six Sigma

Quality tool to achieve sustained strategic business results. It explores the implementation

procedure at Wipro Technologies and the benefits reaped by the company on account of adopting

Six Sigma. Dr. Manisha Sharma, Dr. Kapil Pandla, Prof. Prashant Gupta (2008) ‘Six Sigma at

Wipro Technologies: Thrust on Quality’

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Research process

1. RESEARCH OBJECTIVE-

a) Industries using "SIX SIGMA"-

Every industry today is applying six sigma in some or the other process.

We specifically pointed out the following sectors in our study-

IT industry Steel industry Pharmaceutical industry Airline industry Hospitality industry

b) Specific companies in various industries(INDIAN)- Dabbawalas Wipro

c) Methodology of six sigma adopted by each companyd) Benefits they have derived from using six sigma

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Which industries are using "SIX SIGMA"?

Selecting specific companies in various industries(INDIAN).

What is the methodology of six sigma adopted by each company?

What benefits have they derived from using six sigma?

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2. RESEARCH DESIGN -

DESCRIPTIVE RESEARCH since we aim to investigate the methodologies adopted by the

companies and draw inferences about the benefits derived by the firm.

Limitation of our research- No source of primary data due to geographical constraints.

Therefore, our research is limited to secondary sources of data about the companies. We

prepared the questionnaire in order to know about the preference of industries about this

technique and sent it to various companies via e-mail. But not a single response was received

from the companies.

3. DATA COLLECTION METHODS-

The secondary data is collected from:-

a) Research papers

b) Books

c) Magazines

d) Internet

(Details mentioned in references)

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Industries using six sigma

In India Wipro was one of the first companies to introduce six sigma into it’s application in

1997. Wipro’s every business from software development to hardware, FMCG, BPO, all

adapted six sigma into its processes.

In pharmaceutical industry, adaptation of six sigma technique helped the industry reduce waste

and rework involved in production. It was said that 5-10% of medicines produced during the

period were to be discarded or modified due to the defects. The adoption of six sigma helped the

pharmaceutical companies to reduce the error in production. The success story on the adoption of

six sigma prompted Pfizer to achieve the Pfizer global manufacturing mission of aiming at zero

defects through Right First Time.

Airline industry had to adapt six sigma technique for its survival. The increased cost of fuel, the

competition driven by low budget airline, etc has made the need for lower cost without a hit

quality the need of the hour. The number of errors in handling the calls from customers, and

ticketing is to be minimized drastically. It was with this intention that the airline industry adopted

the six sigma into the organization. Indian companies Kingfisher, Jet Airways and Indian airlines

all have adopted six sigma techniques into its processes

Hospitality services are another industry which are benefited by the adoption of six sigma

techniques, providing personalized services to each and every customer by bending to their

demands within the limited time without compromising the quality was aided by six sigma.

Steel industries like TISCO use this technique to minimize the inadequacies in the design,

imperfect products.

In 1998, Forbes magazine applauded the Mumbai Dabbawallahs for their way of functioning

with just 1 error in 8 million.

Logistics, insurance, call centers, all embrace the six sigma techniques for improving the quality

of services provided by them.

Irrespective of the type of industry, all companies adopt six sigma techniques as quality and

timely delivery are crucial for their survival.

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Introduction about Dabbawalas

The Dabbawalla business was founded by Mahadeo Havaji Bacche who inaugurated “The

Nutan Mumbai Tiffin Box Suppliers Trust” with a handful of illiterate employees and without

any capital   investment . The Dabbawallas 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 Dabbawallas' service was used by both working people and school

children. Though the work sounds simple, it is actually a highly specialized trade that is over a

century old and which has become integral to Mumbai's culture.

In 1998, Forbes Global magazine conducted a quality assurance study on the Dabbawallas'

operations and gave it a Six Sigma efficiency rating of 99.999999; the Dabbawallas made one

error in six million transactions.

Facts about Dabbawalas

• Charitable Trust- Registered in 1956

• Education:- 85% Illiterate

• Total area Coverage:- 60Kms/ 70 Kms

• Employee Strength:- 5000

• Mukhadhams:- 635

• No. of Dabbas :- 2,00,000 Dabbas i.e. 4,00,000 transactions every day.

• Time Taken :- 3 Hrs.

• Cost Of service:- Rs. 250- 300 per Month

• Standard price for all (Weight; Distance; Space)

• Rs. 30 Crore approximately Annual Turnover.

• “ No Strike” records as reach one a share holder

• Earnings:- 4000 To 5000 P.m

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Believes of DABBAWALAHS

• Work is Worship.

• Serving People is serving god.

• Annadan is Mahadaan.

• The Decedents of the Dabbawalas were the warriors in army of Chatrapati Shivaji Mahraj.

• Time is money.

• Unity is Power

Management Facts:

1. Time management and accuracy: Even though customers are growing, they have color coding system, which ensures that every tiffin goes to correct person. This meal on wheel system started from British Raj at 1850.

2. Customer is King: They are not being thought in any business schools. They just know to serve the customer in best way.

3. No technical support: They have not more technical or logistic support. They perform with almost 100% accuracy.

4. Marketing and advertising: They have distributed their leaflets with Microsoft laptops in Mumbai, offering mini discount offer for food delivery.

5. Management Presentations: They have ‘Bombay Tiffin Box Supply Charity Trust’ which represent the whole system. Some of them asked to give presentations in about their management skills.

Levels of Management:

The Trust is a co-operative body having three levels of management, viz.

(i) The Governing Council, its President, Secretary - top level

(ii) Mukadams (team leaders or supervisions)–middle level

(iii) Dabbawallas – lower level.

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The Governing Council (also called as Panch Committee) holds meetings on the 15th day of

every month. Mukadams and dabbawallas are entitled to attend the meetings. At These meetings,

dabbawallas discussed their problems and business policies. The trust Collected Rs. 15 p.m. from

each member to maintain a welfare fund. The trust provides various services to its members,

including loan facilities for emergencies, educations expenses for children, health care etc. from

this welfare fund. The dabbawallas are organized in 15 to 20 members groups. Each group is

supervised by 4 mukadams.

Mukadams supervise to sorting dabbas (tiffin box), to keep records of payment, to settle

disputes, to search new customers and train new dabbawalas. Each group is financially

independent but work together in the delivery process. Each group serves its own customers

without hampering the interests of other.

Now the Dabbawalas are charging customers Rs. 250 to Rs.300 p.m. for their services.

Total monthly collection is shared equally among the members of the group.

Each dabbawala receives Rs. 5000 to Rs. 6000 p.m. after meeting all expenses like

railway monthly ticket, rent for handcarts, crates etc.

Newcomers who want to become dabbawala are initially hired on a salary, after

evaluating their performance they are offered membership (shareholders) of the trust and

assigned to one of the groups.

Each dabbawala is guaranteed to receive a monthly income and employment for life. As

there is no retirement age, he may work as long as he is physically fit. To become profit

sharing member of the trust, new dabbawala needs to pay a certain amount to the trust.

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EXEUTIVE COMMITTEE 5 MEMBER

Teams of 20-25 headed by a

group leader

Individual dabbawallahs workload:

Collect from home – 35 tiffins

Delivery at office- 35 tiffins

Return empty tiffins to home – 35 tiffins

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HOW THE DABBA IS DELIVERED

The entire system depends on teamwork and meticulous timing. Tiffins are Collected from homes & taken to nearest Railway Station. Then they are sorted out for area-wise distribution, so that single tiffin could change hands 3 to 4. Times in the course of its daily journey. Flow Logic of Distribution

Work process-

Zone of destination

Distribution by carriers at

lunch time to offices

Collection from home

1. 9:30 A.M- 10:30 A.M

This time period is Utilized for collecting Dabbas from different places .Dabbas are collected

from different resources such as homes, hotels, messes etc. by Dabbawalas & brought to Andheri

Station. Now these collected Dabbas are sorted according to Destination

2. 10:34-11:20 am (Andheri Stn.)

This time period is actually the journey time. The dabbawalas load the wooden crates filled with

tiffins onto the luggage or goods compartment in the train. Generally, they choose to occupy

the last compartment of the train. 12 coach train 4,000 commuters 8,000 dispute But no excuses,

Duty first.

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Point of aggregation and sorting

A

DBC

Grant road (!2)

Church gate (10)

Lower parel (14)E

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3. 11:20 - 12:30 pm (Church Gate Station)

At this stage, the unloading takes place at the destination station. Re-arrangement of tiffins takes

place as per the destination area and destination building

In particular areas with high density of customers (Nariman Pt.,Fort , CST), a special crate is

dedicated to the area. This crate carries 150 tiffins and is driven by 3-4 dabbawalas.

4. Return journey

a) 1:15 - 2:00 pm – (At All Destination Stations) Here on begins the collection process

where the dabbawalas have to pick up the tiffins from the offices where they had

delivered almost an hour ago.

b) 2:00 - 2:30 pm - (At Destination Station) The dabbawalla’s meet for the segregation as

per the destination suburb.

c) 2:48 - 3:30 pm - The return journey by train where the group finally meets up after the

day’s routine of dispatching and collecting from various destination offices. Usually since

it is more of a pleasant journey compared to the earlier part of the day, the dabbawalas

lighten up the moment with merry making, joking around and singing.

d) 3:30 - 4:00 pm - (The Origin Station) This is the stage where the final sorting and

dispatch takes place. The group meets up at origin station and they finally sort out the

tiffins as per the origin area.

Dabbawala methodology

~ "Error is horror," said Talekar while explaining the operational motto. In the event of a dabbawalla meeting with an accident en route, alternative arrangements are made to deliver the lunchboxes.

For example, in a group of 30 dabbawallas catering to an area, five people act as redundant members; it is these members who take on the responsibility of delivering the dabbas in case of any untoward happenings.

~ The dabbawallas must be extremely disciplined. Consuming alcohol while on duty attracts a fine of Rs 1,000. Unwarranted absenteeism is not tolerated and is treated with a similar fine.

~ Every dabbawalla gets a weekly off, usually on Sunday.

~ The Gandhi cap serves as a potent symbol of identification in the crowded railway stations. Not wearing the cap attracts a fine of Rs 25.

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Dabbawals got six sigma Certification by Forbes Group (error rate is 1 in 16 million

transactions and six sigma performances is 99.99%) Dabbawalas also got ISO 9001- 2000 for

Excellence in service. Six Sigma quality rating helps the organization streamline their delivery

systems, eliminate errors and achieve a cent percent accuracy

Around 5000 dabbawalas deliver about 200,000 tiffin boxes to factories and offices across

Mumbai with high labour intensive and with almost zero technology inputs. But they receive

international recognition after 115 years of glorious service. Every year their business grows by

25000 to 30000 tiffin boxes. They lose a few customers too each year but are more than

compensated with the additions. Actually they grow annually by about 10%. Till the time people

will feel hungry their business will keep growing. They have started advertising on dabbas by

putting stickers on them. This brings in extra income. Mumbai dabbawalas deliver mainly during

day time. They are not night bird. But India shifts to a 24 hours X 7 days work culture, the tiffin

boxes’ network would also work under the moon and stars. The trust faces the cut-throat

competition from the growth of fast food centers like Pizza Hut, Mac Donald’s etc. While there

are thousands of die-hard customers, rapid urbanization, increasing personal transportation and

availability of different kinds of fast food have drawn a good chunk of the younger generation

away from the home made food. But there is an increasing number of people who are health

conscious and feel that home cooked food suits their stomach and health. Even some customers

now send water along with their tiffins. Knowing this very issue the trust do not bother about the

competition. Today, the dabbawala delivers not only homemade food but also picks up food

from caterers and delivers them to offices. The food from caterers are still small segments of the

total operation. Most people want to eat homemade food in the offices without the bother of

having to carry a cumbersome tiffin box.

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\COLOUR CODING

CODING OF DABBAS

1-11 - Church gate CHURCHGATE

12 - Marine lines

13 -Grant road,

14 -Bombay central

15 -Lower panel

16 -Dadar (west)

17 -Dadar (East), Andheri(East, West)

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SWOT Analysis

Strengths:

• Simplicity in organization with Innovative service

• Coordination, team spirit, & time management

• Low operation cost

• Customer satisfaction

• Low Attrition Rate

• No substitutes to home cooked food in Indian scenario hence threat to the dabbawalla

service is not an issue at least in the foreseeable future.

Weaknesses:

• High dependability on local trains

• Funds for the association

• Limited Access to Education

Opportunities

• Wide range publicity

• Operational cost is low

• Catering

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

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PORTER’S FIVE FORCES-

Porter's theories, which are the basis for

classical management principles, define the

scope and nature of competition a company

faces to attain leadership. Surprisingly, the

dabbawalas are following these very

principles in spite of their ignorance of the

same."

These are as follows:

i) Threat of new entrants: According

to Porter, the threat new entrants

is dangerous to any organisation as it

can take away the market share the

organization enjoys. Started in 1880, the experience curve of the 125-year-old

dabbawalla service serves as a huge entry barrier for potential competitors.

Besides, it would be difficult to replicate this supply chain network that uses Mumbai's

jam-packed local trains as its backbone.

ii)  Current competition: Porter's five forces theory states that strategy is determined by

a unique combination of activities that deliver a different value proposition than

competitors or the same value proposition in a betterway.The dabbawallas do face

competition from fast food joints as well as office canteens. However, since neither of

these serve home food, the dabbawallas' core offering remains unchallenged. They have

also tied up with many catering services and hotels to cater to the vast number of office

goers.

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iii) Bargaining power of buyers: The delivery rates of the dabbawallas are so nominal

(about Rs 300 per month) that one simply wouldn't bargain any further.

Also, their current monopoly negates any scope of bargaining on the part of their customers.

Thus, we encounter a perfect win-win combination for the customers as well as the dabbawallas.

iv)  Bargaining power of sellers: The dabbawallas use minimum infrastructure and practically

no technology, hence they are not dependent on suppliers. Since they are a service-oriented

organisation, they are not dependent on sellers to buy their product. Hence, sellers do not assume

any prominence as would be the case in a product-oriented company.

The strategy map framework in Porter's theory allows companies to identify and link together the

critical internal processes and human, information and organisation capital that deliver the value

proposition differently or better. 

Human capital is the greatest driving force in the dabbawalla community; as a result, they are

not dependent on suppliers or technology, thus negating the seller's power in the equation.

v) Threat of a new substitute product or service: As substitutes to home cooked food are not

seen as a viable alternative in the Indian scenario, the threat to the dabbawalla service is not an

issue atleast in the foreseeable future. This gives them a leeway to probably expand their already

existing network into newer cities as demand increases in these places as well.

So, will these people next target the other metros in India? Only time will tell. 

Management Learning from Dabbawala

1. Keep Operational costs as low as possible

• Dabbawala use cycle, hand cart, local train- all low cost.

• No Big Office to maintain.

• No IT budget and no miscellaneous expenses.

• No Ad budget- word of mouth publicity.

• Average monthly service cost Rs.250.

2. Keep Capital investment bare minimum.

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• Only investment is the hard work, honesty, promptness and time management.

• Low cost offices.

• Very cheap hand cart.

• Easy to maintain cycles- Fuel is free air ( God given Fuel)

• Use public space for sorting.

• No IT or HR department.

3. Just serve your customer-Nothing Else

• Dabbawalas always deliver food on time- even during heavy rains.

• On time without wearing a watch.

• They do not try impress or bother customer with unsolicited offer.

• Bothering customer with unsolicited offer forces them to discontinue even existing services

4. Customer is not the RAJA – But Maharaja

• England King Prince Charles met Dabbawala on 4th Nov 2003. He was told to come to

church gate station to meet Dabbawalas. So that the delivery of Dabbas to clients is not

affected. He spent around 20 minutes with Dabbawala.

• Virgin Group chairman, Richard Branson, traveled with Dabbawala and delivered

Dabba to his own employee.

5. Never Deviate From your Core Competency

• Dabbawala are only in the business of delivering home made food to offices.

• Effort to sell FMCG and other products through Dabbawala system failed.

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

• If required develop product & services around core competency.

6. Do not be over Dependent on Technology

• For 116 years, Dabbawalas did not touch technology- yet got six sigma and ISO.

• Today mobile phones are mostly used to communicate- only incoming.

• Website & SMS used to get more customer and give information.

• But logistics is still manual.

7. Co-operation inside- Competition Outside.

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• There are 2-3 Dabbawala group in each segment.

Dabbawala collection is group wise but transport is shared with other group. Competition

is only up to collection.

• Profit is shared equally within each group after deducting expenses.

• World‘s most democratic organization.

8. Commitment Matters- Qualification Doesn’t

• About 85% of Dabbawalas are illiterate.

• 15% are class 8 failed.

• Still they are able to offer world class services as they are committed to offer food to

customer on time.

• If commitment is there, then qualification can be built.

9. Know the implication of Failure

• If food is not delivered on time then customer will be angry and work will suffer.

• Problem with Boss and wife.

• If vegetarian gets non vegetarian Dabba, then Big problem.

• Knowing the implication of failure makes you more responsible and serious towards your

work.

10. Build your services around existing infrastructure.

• Dabbawallas use reliable, fast, efficient and cheap existing local train for transportation.

• Many food companies in Mumbai use their own infrastructure which is tough to maintain

and costly as well.

• 3 sigma, out of six sigma that Dabbawallas got, should be given to local trains system.

• Building new infrastructure increase cost to server.

11. Abandon Bad customers.

• When Dabbawala knocks the door, the Dabba should be ready.

• If not- then for 2-3 days the time is given to adjust.

• After that, the services are stopped as it affects the services to other customer.

• Bad customers affect the operation and profitability from existing customers.

12. Penalize Employees for non compliance

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• Dabbawalas are penalized for not wearing Gandhi Topi, not pre- informing leave and

misbehaving with customers.

• After giving a few warnings, if Dabbawala does not change then he is expelled from the

system.

• Discipline is one of the main reasons of Dabbawala success.

13. Do Not Transfer Your Employees Very often.

• 5000 Dabbawalas remember the address of 2 lakh customers by heart.

• Most have been serving for about 30 years+ on average.

• Fully know the needs of their customers.

Achievements

1. Documentaries made by :

• BBC ,UTV, MTV, ZEE TV, AAJ TAK, TV TODAY, SAHARA SAMAY, STAR

TV, CNBC TV 18, CNN, SONY TV, TV TOKYO, NDTV.

2. Case study made by :

• ICFAI Press Hyderabad & Bangalore

• Richard Ivey School of Business – Canada

• Also, Included in a subject in Graduate School of Journalism University of

California, Berkeley

3. Invitations from :

• CII for conference held in Bangalore, IIML, IIMA, CII Cochin, CII Delhi, Dr.

Reddy’s Lab Foundation Hyderabad, SCMHRD Pune, SCMHRD Nasik, Sadahana

– Pune, Rotary Club – Bangalore, NIQR at Chennai

• City Invited for marriage of Hon. Prince Charles of England on 9th April, 2005.

4. Other achievements :

• Participated in “Deal Ya No Deal Contest” by Sony Entertainment Television

• Registered with Ripley's “ believe it or not”.

• Name in “GUINESS BOOK of World Records”.

• World record in Best Time Management with Six Sigma rating

5. Radio:

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• German Radio Network, Radio Mirchi, Radio Mid-day, FM – Gold, BBC Radio,

Radio

Conclusion

The concept of ‘dabbawala’ comes into picture in one of India’s big and busiest cities– where

people can enjoy the fresh homemade lunch every day. What a wonderful service they provide. It

is not just a service but a vocation. Their main aim is customer satisfaction. The trust shows how

these illiterate or semiliterate dabbawalas have mastered the art of logistics management,

supply chain management, customer service,Just-in-time management, team work and

problem solving. People cannot believe that uneducated people can provide such an efficient

service. Even people of foreign countries (like U. K., Italy etc.) are amazed that uneducated

dabbawalas can carry out such type of business so accurately. Actually the uneducated have an

ability to memorize and retain more as opposed to the educated who are used to writing down

everything. So they claim that “our head is our computer and Gandhi cap in the computer covers

to protect it from the sun or rain.” The white–capped, white–shirted dabbawalas shot the

limelight when they were awarded the six sigma rating, but it was Prince Charles’ meeting with

them in Mumbai in November 2003 that really helped them. He was the first celebrity who

visited them. R. Megde said “Many people talk about us, but Prince Charles was the first famous

person who met the dabbaswala and encouraged them Hard work and sincerity of dabbawalas are

the two main factors to reach such levels of efficiency with such an untrained work force. They

got six sigma rating of highest operational efficiency without using any paper work or computer.

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Evolution of Six Sigma at Wipro

Wipro is the first Indian company to adopt Six Sigma. Today, Wipro has one of the most mature

Six Sigma programs in the industry ensuring that 91% of the projects are completed on schedule,

mush above the industry average of 55%.

As the pioneers of Six Sigma in India, Wipro has already put around ten years into process

improvement through Six Sigma. Along the way, it has scaled Six Sigma ladder, while helping to

roll out over 1000 projects.Six Sigma at Wipro simply means a measure of quality that strives for

near perfection so that it could transform itself in a world class organization.

At Wipro, it means:

(i) Have products and services meet global benchmarks

(ii) Ensure robust processes within the organization

(iii) Consistently meet and exceed customer expectations

(iv) Make Quality a culture within.

Difficulties encountered by Wipro and learning from them:

1. Build the Culture:

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Implementation of Six Sigma required support from the higher level managers. It meant

restructuring of the organization to provide the infrastructure, training and the confidence in the

process. Wipro had to build this culture and that took time in implementation.

2. Project selection:

The first year of deployment was extremely difficult for Six Sigma success. For the selection of

the right project the field data was collected, process map was developed and the importance of

the project was judged from the eyes of customers.

3. Training:

After the set up, the first step of implementation was to build a team of professionals and train

them for various stages of Six sigma. To find the right kind of people and train them was a

difficult job. This motivated Wipro to start their own consultancy to train the people.

4. Resources:

It was difficult to identify resources that required for short-term basis and long-term basis as it

varied from project to project. Wipro did it on the basis of seriousness and importance of the

project.

Implementation of Six Sigma at Wipro

Wipro has adopted the project approach for Six Sigma, where projects are identified on the basis

of the problem areas under each of the critical Business Processes that adversely impacts the

business significantly.

Wipro has evolved following Six Sigma methodologies

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(I) For developing new processes:

DSSS+ (Developing Six Sigma Software) - Software Development

DSSP (Designing Six Sigma Process & Product) –Software Development

DCAM (Design for Customer Satisfaction and Manufacturability)-Hardware design Manufacture

(II) For Improving Existing Processes

DMAIC (Define, Measure, Analyze, Improve, Control) - Helpdesk, Infra support, Call centre

TQSS (Transactional Quality Using Six sigma)- defect reduction

CFPM (Cross Functional Process Mapping) - Cross functional streamlining of process

Currently 15000+ employees are trained in Six Sigma methodologies. Wipro has also built up a

Six Sigma skill base of over 180 certified black belts while helping to roll out over a 1000

projects.

Reaping the Benefits:

The financial gain that Wipro has achieved by using Six Sigma has been one of the high points.

The Six Sigma process resulted in an achievement of close to 250%, 6 minutes for 1 MB transfer

and 18 minutes for average data transfer. The set target was 200%.

Six Sigma concepts have played an important role in:

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Improving performance through a precise quantitative understanding of the customer’s

requirements thereby bringing in customer focus

Improving the effectiveness in upstream processes of the software development life cycle

by defect reduction (software defects reduced by 50%) and cycle time reduction (rework

in software down from 12% to 5%).

Waste elimination and increased productivity up to 35%.

Cost of failure avoidance (installation failures down from 4.5% to 1% in hardware

business).

Tangible cost savings due to lower application development cost for customer.

Analysts remarked that Six Sigma was an indisputable success at Wipro whether in term of

customer satisfaction, improvement in internal performance, or in the improvement of

shareowner value.

The results of achieving Six Sigma are rapid and overwhelming at Wipro Its unique

methodology provides Six Sigma knowledge and skills to the client, enabling the client to create

ownership, generate results and sustain success. The maturity of Wipro’s quality processes takes

the benefits to another level, ensuring that the customers benefit from:

30-40% lower total cost of ownership

20-30% higher productivity

On-time deliveries (93% projects completed on time)

Lower field defect rates (67% lower than industry average). The performance

enhancement enabled the client to have an improved product with the overriding benefit

that the end customer perception of the quality of the client’s product is improved.

Resources invested in Six Sigma by WIPRO

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The graph represents the number of black belts in the organization from 1997-98 till 2006-

07, this graph clearly depicts the sharp increase in the number of professionals.

Six sigma and financial gains of WIPRO

The graph represents the savings made by WIPRO due to implementation of six sigma. And by looking at the two graphs i.e. the resources employed and the savings incurred it can be seen that they represent “A DIRECT RELATION TO EACH OTHER”.

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INTENATIONAL ORGANISATION FOR STANDARDS (ISO)

ISO (International Organization for Standardization) is the world's largest developer and publisher of International Standards.

ISO is a network of the national standards institutes of 159 countries, one member per country, with a Central Secretariat in Geneva, Switzerland, that coordinates the system.

ISO is a non-governmental organization that forms a bridge between the public and private sectors. On the one hand, many of its member institutes are part of the governmental structure of their countries, or are mandated by their government. On the other hand, other members have their roots uniquely in the private sector, having been set up by national partnerships of industry associations.

Therefore, ISO enables a consensus to be reached on solutions that meet both the requirements of business and the broader needs of society.

Because "International Organization for Standardization" would have different acronyms in different languages ("IOS" in English, "OIN" in French for Organisation internationale de normalisation), its founders decided to give it also a short, all-purpose name. They chose "ISO", derived from the Greek isos, meaning "equal". Whatever the country, whatever the language, the short form of the organization's name is always ISO.

What standards do

ISO standards:

make the development, manufacturing and supply of products and services more

efficient, safer and cleaner

facilitate trade between countries and make it fairer

provide governments with a technical base for health, safety and environmental

legislation, and conformity assessment

share technological advances and good management practice

disseminate innovation

safeguard consumers, and users in general, of products and services

make life simpler by providing solutions to common problems

ISO standards provide technological, economic and societal benefits.

For businesses, the widespread adoption of International Standards means that suppliers

can develop and offer products and services meeting specifications that have wide

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international acceptance in their sectors. Therefore, businesses using International

Standards can compete on many more markets around the world.

For innovators of new technologies, International Standards on aspects like

terminology, compatibility and safety speed up the dissemination of innovations and

their development into manufacturable and marketable products.

For customers, the worldwide compatibility of technology which is achieved when

products and services are based on International Standards gives them a broad

choice of offers. They also benefit from the effects of competition among suppliers.

For governments, International Standards provide the technological and scientific

bases underpinning health, safety and environmental legislation.

For trade officials, International Standards create "a level playing field" for all

competitors on those markets. The existence of divergent national or regional

standards can create technical barriers to trade. International Standards are the

technical means by which political trade agreements can be put into practice.

For developing countries, International Standards that represent an international

consensus on the state of the art are an important source of technological know-

how. By defining the characteristics that products and services will be expected to

meet on export markets, International Standards give developing countries a basis

for makingthe right decisions when investing their scarce resources and thus avoid

squandering them.

For consumers, conformity of products and services to International Standards

provides assurance about their quality, safety and reliability.

For everyone, International Standards contribute to the quality of life in general by

ensuring that the transport, machinery and tools we use are safe.

For the planet we inhabit, International Standards on air, water and soil quality, on

emissions of gases and radiation and environmental aspects of products can

contribute to efforts to preserve the environment.  

The ISO brand

Democratic

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Every full member of ISO has the right to take part in the development of any standard which it judges to be important to its country's economy. No matter what the size or strength of that economy, each participating member in ISO has one vote. Each country is on an equal footing to influence the direction of ISO's work at the strategic level, as well as the technical content of its individual standards.

Voluntary

ISO standards are voluntary. As a non-governmental organization, ISO has no legal authority to enforce the implementation of its standards. ISO does not regulate or legislate. However, countries may decide to adopt ISO standards - mainly those concerned with health, safety or the environment - as regulations or refer to them in legislation, for which they provide the technical basis. In addition, although ISO standards are voluntary, they may become a market requirement, as has happened in the case of ISO 9001 quality management systems, or of dimensions of freight containers and bank cards.ISO itself does not regulate or legislate.

Market-driven

ISO only develops standards for which there is a market requirement. The work is mainly carried out by experts from the industrial, technical and business sectors which have asked for the standards, and which subsequently put them to use.

Consensus

ISO standards are based on international consensus among the experts in the field. Consensus, like technology, evolves and ISO takes account both of evolving technology and of evolving interests by requiring a periodic review of its standards at least every five years to decide whether they should be maintained, updated or withdrawn. In this way, ISO standards retain their position as the state of the art.

Globally relevant

ISO standards are technical agreements which provide the framework for compatible technology worldwide. They are designed to be globally relevant - useful everywhere in the world.

ISO standards are useful everywhere in the world.

How to recognize an ISO standard

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In paper form, an ISO standard is published in A4 format - which is itself one of the ISO

standard paper sizes. It may be anywhere between a four-page document and one several

hundred pages' long. ISO standards are also available as electronic downloads and many are

available as part of a collection on CD or in handbook. An ISO standard carries the ISO

logo and the designation, "International Standard".

The scope of ISO's work

ISO has more than 18   000 International Standards  and other types of normative documents in

its current portfolio. ISO's work programme ranges from standards for traditional activities,

such as agriculture and construction, through mechanical engineering, manufacturing and

distribution, to transport, medical devices, information and communication technologies, and

to standards for good management practice and for services.

What's different about ISO 9001 and ISO 14001

The vast majority of ISO standards are highly specific to a particular product, material, or

process. However, ISO 9001 (quality) and ISO 14001 (environment) are "generic

management system standards". "Generic" means that the same standard can be applied to

any organization, large or small, whatever its product or service, in any sector of activity, and

whether it is a business enterprise, a public administration, or a government department. ISO

9001 contains a generic set of requirements for implementing a quality management system

and ISO 14001 for an environmental management system.

Generic standards can be applied to any organization.

ISO's origins

In 1946, delegates from 25 countries met in London and decided to create a new international

organization, of which the object would be "to facilitate the international coordination and

unification of industrial standards". The new organization, ISO, officially began operations

on 23 February 1947, in Geneva, Switzerland.

Who can join ISO

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Membership of ISO is open to national standards institutes most representative of

standardization in their country (one member in each country).

Full members, known as member bodies, each have one vote, whatever the size or

strength of the economy of the country concerned.

Correspondent members  pay reduced membership fees. They are entitled to

participate in any policy or technical body as observers, with no voting rights.

Subscriber members also pay reduced membership fees. They are institutes from

countries with very small economies that nevertheless wish to maintain contact with

international standardization.

Although individuals or enterprises are not eligible for membership, both have a range of

opportunities for taking part in ISO's work:

Individuals may be selected by national member institutes to serve as experts on

national delegations participating in ISO technical committees

Individuals and enterprises may provide their input during the process of developing a

national consensus for presentation by the delegation. This may done through

national mirror committees to the corresponding ISO technical committee

International organizations and associations, both non-governmental and representing

industry sectors, can apply for liaison status to a technical committee. They do not vote,

but can participate in the debates and the development of consensus.

There is a range of opportunities for taking part in ISO's work.

How the ISO system is managed

All strategic decisions are referred to the ISO members, who meet for an annual General

Assembly. The proposals put to the members are developed by the ISO Council, drawn from

the membership as a whole, which resembles the board of directors of a business

organization.

ISO Council meets twice a year and its membership is rotated to ensure that it is

representative of ISO's membership.

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ISO's operations are managed by a Secretary-General, which is a permanent appointment

resembling the chief executive of a business enterprise. The Secretary-General reports to the

ISO Council, the latter being chaired by the President who is a prominent figure in

standardization or in business, elected for two years.

The Secretary-General is based at ISO Central Secretariat in Geneva, Switzerland, with a

compact staff which provides administrative and technical support to the ISO members,

coordinates the decentralized standards' development programme, and publishes the output.

How the ISO system is financed

ISO's national members pay subscriptions that meet the operational cost of ISO's Central

Secretariat. The subscription paid by each member is in proportion to the country's Gross

National Income and trade figures. Another source of revenue is the sale of standards.

However, the operations of ISO Central Secretariat represent only about one fifth of the cost

of the system's operation. The main costs are borne by the member bodies that manage the

specific standards development projects and the business organizations that provide experts

to participate in the technical work. These organizations are, in effect, subsidizing the

technical work by paying the travel costs of the experts and allowing them time to work on

their ISO assignments.

How ISO decides to develop a standard

ISO launches the development of new standards in response to the sectors that express a

clearly established need for them. An industry or business sector communicates its

requirement for a standard to one of ISO's national members. The latter then proposes the

new work item to ISO as a whole. If accepted, the work item is assigned to an

existing technical committee. Proposals may also be made to set up technical committees to

cover new scopes of activity.

At the end of 2006, there were 3 041 technical bodies in the ISO system, including 193 ISO

technical committees.

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The focus of the technical committees is specialized and specific. In addition, ISO has three

general policy development committees that provide strategic guidance for the standards'

development work on cross-sector aspects. These committees ensure that the specific

technical work is aligned with broader market and stakeholder group interests. They are:

CASCO  (conformity assessment)

COPOLCO  (consumer policy), and

DEVCO  (developing country matters)

Who develops ISO standards

ISO standards are developed by technical committees comprising experts from the industrial,

technical and business sectors which have asked for the standards, and which subsequently

put them to use. These experts may be joined by representatives of government agencies,

testing laboratories, consumer associations, non-governmental organizations and academic

circles.

The experts participate as national delegations, chosen by the ISO national member institute

for the country concerned. These delegations are required to represent not just the views of

the organizations in which their participating experts work, but of other stakeholders too.

According to ISO rules, the member institute is expected to take account of the views of the

range of parties interested in the standard under development. This enables them to present

a consolidated, national consensus position to the technical committee.

ISO standards are developed by experts from the sectors which have asked for them.

How ISO standards are developed

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The national delegations of experts of a technical committee meet to discuss, debate and

argue until they reach consensus on a draft agreement. This is circulated as a Draft

International Standard (DIS) to ISO's membership as a whole for comment and balloting.

Many members have public review procedures for making draft standards known and

available to interested parties and to the general public. The ISO members then take account

of any feedback they receive in formulating their position on the draft standard.

If the voting is in favour, the document, with eventual modifications, is circulated to the

ISO members as a Final Draft International Standard (FDIS). If that vote is positive, the

document is then published as an International Standard.

Every working day of the year, averages of eight ISO meetings are taking place somewhere

in the world. In between meetings, the experts continue the standards' development work by

correspondence. Increasingly, their contacts are made by electronic means and some ISO

technical bodies have already gone over entirely to working electronically, which speeds up

the development of standards and cuts travel costs.

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