LOGISTICS
MANAGEMENT AND
EMERGING TRENDS
Logistics is the part of supply chain
process that plans, implements and
controls the effective forward and
reverse flow and storage of goods,
services and related information
between the point of origin and the
point of consumption in order to meet
the customer’s requirements.
Elements
Transportation – air, water, land
Warehousing
Inventory Management
Packing and Utilization
Information and communication
Importance of Logistics
Management
Transportation costs
Large retailers, low distribution costs
Deregulation –(The removal of government controls from
.)
an industry or sector, to allow for a free and efficient marketplace
Changing strategies
Technology
Globalization
MUMBAI
DABBAWALAS
(A good Example
of SCM)
What is NMTBSA?
Nutan Mumbai tiffin box supply
Association.
It started in 1880 – British raj
Total area coverage is 60 kms.
5000 employees
Each person working is a share holder
4,00,000 transactions per day
Time taken – 3hrs.
Six sigma performance
ISO 2000 certified
Error rate 1 in 16 million transactions.
Technological backup: Nil
Cost of service: Rs. 200/month
Six Sigma
Six Sigma is a business management strategy originally developed
by Motorola.
Sigma is the Greek letter used to represent standard deviation in
statistics
Six Sigma stands for Six Standard Deviations from mean.
Six Sigma methodology provides the techniques and tools to
improve the capability and reduce the defects in any process .
Six Sigma seeks to improve the quality of
process outputs by identifying and
removing the causes of defects (errors)
and controlling variability in manufacturing
and business processes.
Six Sigma is a methodology developed by
Motorola that describes how the management of
product and service delivery should be
implemented. The management processes
emphasize setting extremely high objectives,
collecting data, and analyzing results to a fine
degree. Once you determine where the defects
are in a process, you can work to reduce them.
In order for a company to achieve Six Sigma, it
cannot produce more than 3.4 defects per
million opportunities
The potential benefits of Six Sigma include up
to 50% process cost reduction, cycle-time
improvement, less waste of materials, a better
understanding of customer requirements,
increased customer satisfaction, and more
reliable products and services. the largest
drawback with Six Sigma is that it can be costly
to implement and can take several years before
results appear on a company's bottom-line
It uses a set of quality management methods, including
statistical methods, and creates a special infrastructure
of people within the organization ("Black Belts","Green
Belts", etc.) who are experts in these methods.
It uses a set of quality management methods,
including statistical methods, and creates a
special infrastructure of people within the
organization ("Black Belts","Green Belts",
etc.) who are experts in these methods
How do they do it?
Organisational structure
Logistic management
Executive committee
(5 members)
Team of 20 to 25 people
headed by a groupleader
Individual dabawalas=
30 Tiffin's/day
Logistic Management
9.30 am
The “pick up” people pick up the tiffin
boxes from house wives
10.34 – 11.20 am
This period is actually the journey time.
Dabbawalas load the wooden crates filled
with tiffin box in the luggage and goods
compartment.
11.20 to 12.30 pm
The unloading takes place at the
destination station.
The “delivery” people unload the boxes
from the train And re-arrangement of tiffin
boxes are done as per the coding.
12.30 to 1.00
lunch time
Coding
The coding indicates the originating rail station,
the destination station, the building name and
the floor number of delivery
POKA-YOKE (..is to eliminate product defects by
preventing, correcting, or drawing attention to
human errors ) technique color indicates the
group responsible for collecting dabba at
particular point.
1.15 to 2.00 pm
Here begins the collection process.
The dabbawalas collect the tiffin from the
offices where they have delivered almost
an hour back.
2.00 to 2.30 pm
The return journey
The group members meet at the
segregation as per the destination.
2.48 to 3.30 pm
The return journey by train
Group finally meets up after the day’s
routine of dispatching and collecting from
various destination offices.
3.30 to 4.20pm
Here the final sorting and dispatching
takes place. The group finally meets up at
the origin station. The tiffins are finally
sorted out as per their original areas. This
is again done through the coding
process.
Latest Trend
The Web site (www.mydabbawala.com) –
online booking
on line poll
Booking through SMS
Top 10 Reason For Using
Dabbawalas Services
Home made food is best for health and because health
is wealth. Outside junk foods may take your life and
makes you sick. Home made food keeps your doctors bill
down and there are fewer absences from office due to
poor health. In fact bad food is the reason #1 of all the
diseases.
Home made food is cheaper. When you use
Dabbawala's services to deliver your home cooked food
to your office you are actually saving your hard earned
pennies. The delivery charges of Rs 250 - 300 per month
is very nominal and reasonable. Its simple maths.
Do you not love your mother or wife and like to eat
food made by her?
Even if there is no one at home to cook
food for you , Dabbawalas can deliver you
good quality home like lunch through
many restaurants. We have quality
restaurants all over Mumbai where cheap
and best quality food is prepared which is
delivered at your office or home through
Dabbawala Channel.
Safety - The Local train of Mumbai are always very crowed
and it is very tough to take even small luggage during peak
times. There are instances where the person's hand got
hurt or broken and ones belongings destroyed while
traveling during peak time. People leave from their home at
about 8 - 9 PM which is peak time and its not possible to
carry Tiffin during this time and Even the food is not ready
by this time. By using this services you are getting hot food
safely deliver in your office.
Dabbawalas give reliable services and their performance
and accuracy match six sigma standards. You must be sure
that your home cooked food reaches in time.
The DabbaWalas never go on strike.
By taking this services it proving direct
employment to 5000+ Dabbawalas and
many of their dependent families.
Dabbawalas are an icon in their own
sense and famous world over for their
efficiency .
Dabbawalas are from the remote villages
of Maharashtra and mostly uneducated.
They regularly organize bhajan and kirtans
and spread the essence of Marathi
culture , good will and one ness of India.
Dabbawalas are invited for lecture for following
reasons:
To learn the "Management Learning's From Dabbawala"
and then to attempt to apply them in the organization.
To understand the logistics of Dabbawala in delivering
2,000000 ( 2 lakh ) Dabba daily within stipulated time.
To gain insight into the colour coding used by the
Dabbawalas to ensure error free delivery.
To know the organizational hierarchy of Dabbawalas to
understand what keeps Dabbawalas self motivated and
get going.
To understand as how Dabbawalas got six sigma , ISO
certificate and many other quality certificates even being
so not well educated.
To share the management lessons that Dabbawalas
have gained over 116 years.
To motivate employees by showing that if
uneducated Dabbawalas can work so great then
why not our employees.
As we have never gone on strike for past 116
years , some times we are invited to address the
employees in sharing the harm of strike.
Some times Dabbawalas are invited to deliver
lecture on annual days and other celebrations of
organizations.
The lecture by us is extremely humorous and
everyone enjoys it - its not a lecture rather
experience sharing so organizations just invite
us to know as how we work.
