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IIM sips from chaiwala cup

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Page 1: IIM sips from chaiwala cup

IIM SIPS FROM CHAIWALA CUP

CREATED BY : AJIT SINGH

ENGLISH TRAINER

Page 2: IIM sips from chaiwala cup

A humble chaiwala who inspired a website has been honoured with a case study at IIM-A on his business that has all the ingredients that go into a successful venture.

RAMBHAI CHAIWALA

Page 3: IIM sips from chaiwala cup

For the past 25 years, Ram Attar Kori has been selling student favourites such as tea, biscuits, egg bhujiya, buns, paan and cigarettes on the footpath outside the campus of the premier business school which has recognised him by “opening” a window through the border wall which allows easier access.

RAMBHAI CHAIWALA

Page 4: IIM sips from chaiwala cup

Today, Rambhai, 51, was in the classroom as an “observer”, listening to three management experts who presented a case study on his business model, which, as one of them said, was a humbling lesson on the untold success stories that abound on India’s dusty and bustling streets.

RAMBHAI CHAIWALA

Page 5: IIM sips from chaiwala cup

He keenly listened to the discussion on the case study presented by the three: Umesh Neelakantan of the DCMAT School of Media and Business, Kerala, Jaspreet Ahluwalia, assistant professor at the Centre for Management Training and Research, Mohali, and Sonal Katewa, assistant professor, Asia Pacific Institute of Management, Jaipur.

RAMBHAI CHAIWALA

Page 6: IIM sips from chaiwala cup

The trio are part of a batch of 38 business management teachers who are doing a faculty development programme at IIM.

RAMBHAI CHAIWALA

Page 7: IIM sips from chaiwala cup

“The reason why we chose Rambhai as our case study is that we noticed he had a huge clientele among the students. We learnt that he has been doing business at the same place for the last 25 years. As we have to do a case study as a part of our curriculum, we decided that instead of going to any corporate house, why not study this man who has blended various principles of management without undergoing any formal management training,” said Katewa.

RAMBHAI CHAIWALA

Page 8: IIM sips from chaiwala cup

Language was no barrier as Rambhai listened to the presentation on him and his business model.“I was not supposed to say anything as I was there as a guest and observer,” said the man who had turned out for his big moment shorn of his patent stubble and smartly attired in a new olive green shirt and cream trousers.

RAMBHAI CHAIWALA

Page 9: IIM sips from chaiwala cup

Much like Pramod-da of Calcutta’s Presidency College and Arun-da of St Xavier’s, who has “retired”, Rambhai is a legend on campus. He has even inspired a website www.rambhai.com, which is a platform for free exchange of views, similar to the kiosk he runs where many ideas have been born.

RAMBHAI CHAIWALA

Page 10: IIM sips from chaiwala cup

The son of an agriculture labourer from Faizabad in Uttar Pradesh, Rambhai came to Ahmedabad at the age of four. After doing odd jobs, he started his teashop in the early eighties and has not looked back since.

RAMBHAI CHAIWALA

Page 11: IIM sips from chaiwala cup

And like any savvy entrepreneur, he isn’t willing to let out the numbers. “Let me say that I earn well enough to look after my needy relatives and educate my 20-year-old daughter, a student of fine arts at CN Vidyalaya,” he said, adding that the IIM experts had promised to help him expand his business. But students say his daily sale would be “at least” Rs 2,000.

RAMBHAI CHAIWALA

Page 12: IIM sips from chaiwala cup

Neelakantan said the rationale for doing a case study on the man was to show that “even an institute like IIM-A can learn a lesson from a street vendor”.

RAMBHAI CHAIWALA

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“Generally, street vendors are perceived to be tough and ill- mannered guys, but here is a man who is simple, loveable, light-hearted and yet has been successfully doing business outside an elite institute, stationing himself in one place for the last 25 years and maintaining a long-term customer relationship,” said Neelakantan.

RAMBHAI CHAIWALA

Page 14: IIM sips from chaiwala cup

Ahluwalia pointed out that even without formal management training, Rambhai was “practically executing all management principles”.

RAMBHAI CHAIWALA

Page 15: IIM sips from chaiwala cup

“Like every entrepreneur, he first saw an opportunity to start his own business outside the IIM-A campus, developed a strategy and maintained a system which ensured he got repeat customers,” said Ahluwalia.

RAMBHAI CHAIWALA

Page 16: IIM sips from chaiwala cup

Katewa said Rambhai mastered the concept of good customer relations: a popular management concept considered a cornerstone of success for any consumer product. “He has been observing customers. He realised the importance of location, right outside the IIM-A gate,” said Katewa.

RAMBHAI CHAIWALA

Page 17: IIM sips from chaiwala cup

THANK YOU