Annapurna Dabbavala

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    Case StudyOn

    Annapurna Dabbawalla

    Presented By

    B .SyamgopalSuhailVinayVennelaSuresh

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    Service Marketing

    THE ANNAPOORNADABBAWALLA COMPANY LTD

    (ADC)

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    The Magic of Dabbawalas

    116years they didnt touch technology - yet got six sigmaand ISO

    Manual Logistics. Everyone is shareholder Flat Organizational structure instant decisions are made. Keep extras for fault tolerance. They are paid equally. Commitment matters- qualification doesnt Knows the Implication of Failure - this makes them more

    responsible. Remembers the address of 2 lakh customers by heart.

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    ADC- at a glanceInception - mid 1880s Qualifications: Semi-literate(15%) or illiterate (85%)Employees: 5000Number of Tiffin's: 2,00,000Cost : 200/monthProcess time: 3 4 hours

    Works on Relay system

    Six Sigma Performance Technological Backup: Nil Error Rate: 1 in 16 Million transactions. Standard Price for all (weight, distance, space)

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    Color Coding System the main reason of error freedelivery

    Initial Coding system used coloredthreads for marking.

    Colored threads were replaced by thecotton waste by the tailors. Currently Color Markers are in use.

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    Some Examples of Coding System

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    LFD- Distribution

    S1

    S2

    S3

    2

    3

    7

    4

    5

    6

    Zones for destin

    DistribBy Carat luncTo offi

    Point ofAggregationAnd Sorting

    C DB

    A E

    Collection from home

    1

    Source: mydabbawala.com

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    Q1 SHIFTS IN TARGET CUSTOMERS

    Clerks-25 % to 10 %

    Textiles

    Working women

    Annapurna dabbawalla decline: it has lost their business due following reasons:

    Government accommodation

    Cheaper rent

    Transformation of those employees

    Retired

    Sold house in Mumbai

    and their target segment also changed to Navi Mumbai because of following reasons:

    Better place to stayReasonable Priced Houses

    Near workplace

    Change of job

    Business in Navi Mumbai

    Rental house available easily

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    Q2 ADC Vs. Fast food Centers

    Dimension Fast Food centers Dabbawala

    Degree of tangibility high low

    Directed to customer or his possession Directed to customer,possession is less

    High possession ,custparticipation is very le

    Time and place of service delivery To the Service provider To the customers p

    Level of customization orstandardization

    Customization Standardization

    Formal or Informal relationship with thecustomer

    Informal Formal

    Fluctuations in demand and supply High Low,

    Interaction with people or Inanimateobjects

    high low

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    Q3 Contrasting Services according toClassification System

    Intangibility

    Tangibility

    InvestmentAdvisory

    Legal ServiceAdvertising

    hotelsbanking

    Saloon airlines

    Hospital

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    Possession

    Customer

    Legal ServicesInvestmentAdvisory

    BankingServices

    AdvertisingAirlinesSaloon Hotel Hospital

    Whether the services is directed at the customer or his possessions

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    Legal Services

    InvestmentAdvisory

    BankingServices

    Advertising

    AirlinesSaloon HotelHospital

    ServiceprovidersPlace

    Customers

    Place

    The time and place of service delivery

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    Standardizati

    Customization

    Legal ServicesInvestmentAdvisory

    BankingServices

    Advertising Airlines

    Saloon

    Hotel

    Hospital

    Level of Customization Vs Standardizations

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    Affected bydemand andsupply

    Un affected

    Legal ServicesInvestmentAdvisory

    BankingServices

    Advertising

    Airlines

    SaloonHotelHospital

    Extent to which demand and Supply fluctuate

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