1

Entrepreneurship
Development
PRESENTED BY-
PRATIK KAREL; SHIVA KANT JAISWAL; ROHIT MISHRA; VAIBHAV HADA;
PURNADAL BAGCHI; RAHUL SHRIVASTAVA; VIKRAM SINGH CHAUHAN
KIRLOSKAR 2

GROUP
THE KIRLOSKAR GROUP WAS FOUNDED IN
THE YEAR 1888 BY THE LATE MR. L. K.
KIRLOSKAR AND HAS A RICH
ENGINEERING HERITAGE OF 123 YEARS. IT
IS COUNTED AMONGST INDIA‟S LARGEST
MULTI-PRODUCT, MULTI-LOCATION
DIVERSIFIED ENGINEERING
CONGLOMERATES WITH ANNUAL SALES
OF $1.6 BILLION.
KIRLOSKAR GROUP FAMILY TREE 3
LAKSMAN RAO
KASHINATH
KIRLOSKAR

PRABHAKAR RAVI
S.L. KIRLOSKAR
KIRLOSKA KIRLOSKAR

CHANDRAKAN SAROJINI SRIKANT VIJAY RAJARAM

P.L. KIRLOSKAR
T KIRLOSKAR AMIN KIRLOSKAR KIRLOSKAR KIRLOSKAR

SUKUMAR AJIT
ATUL SANJAY RAHUL VIKRAM
KIRLOSKAR KIRLOSKAR

ALOK
 4
A brief history of India‟s largest multi-
product and diversified engineering
conglomerate

Mr. L. K. Mr. S. K. Mr. C. S.

Kirloskar Kirloskar Kirloskar
 Laying the foundation of
Kirloskarwadi 5
• Mr. L. K. Kirloskar believed that an understanding of one's
environment and reality was essential to manufacture
path-breaking industrial implements.
• In 1888, he set up his first venture - a small bicycle repair
shop at Belgaum.
Mr. L. K.
• Strongly believing that agricultural implements must fit
Kirloskar the milieu they are used in, he manufactured iron
ploughs, the first Kirloskar product.
• His dream was to build his own industry and community
for his employees; he realised this dream with
Kirloskarwadi, a place where he started the Kirloskar
Brothers Limited factory in 1910.
• He strongly believed in the theory of creation of wealth.
 India‟s First indigenous diesel
engine 6

• He is credited with developing the manufacture of diesel

• Son Of Mr. L. K. Kirloskar Earned a Bachelors of Science degree
engine indigenously as an import substitute after India attained
in Mechanical Engineering from MIT in Cambridge,
independence.
• Massachusetts
Under his dynamic and leadership
was among thethe batch
group of firstone
enjoyed Indians to
of the
graduate from MIT.
highest growth rates in Indian history.
•• Mr.
TodayS. L.this
Kirloskar
Groupwas a global thinker
is amongst India's and an Engineering
largest enterprising
Mr. S. K.
Kirloskar
person who had the courage and the confidence in the
Conglomerate.
• potential
In Feb 2003,of Mr.
his own country
Atal Bihari even in the
Vajpayee, the then
pre-independence
Prime Minister,
era.
released a commemorative postage stamp marking Mr. S. L.
Kirloskar's 100th anniversary.
• He often said, "Economic preparedness is as vital as military
preparedness.“
• He always looked at India as a part of the rest of the world and
worked towards making India globally competitive. After the
end of World War II, the group grew rapidly under his
 Chandrakant Kirloskar: Self-reliant,
Strong Research and Engineering 7

 Was a visionary who carried forward the legacy of his

grandfather and father.
 He strongly believed that sustained growth could only be
possible through self reliance & being self sufficient.
 He laid great emphasis on research and development
Mr. C. S.
Kirloskar activities, which according to him are the backbone of all
engineering activities and believed in setting up systems and
processes that even the companies from overseas would like
to emulate.
 He furthered the rapid progress and evolution of this
organisation.
Fourth Generation 8

Sanjay Kirloskar runs Kirloskar Brothers Ltd (KBL), Atul

Kirloskar runs KOEL and Kirloskar Ferrous Industries Ltd,
and their younger brother Rahul Kirloskar manages
Kirloskar Pneumatic Co Ltd. Cousin Vikram manages
the auto component joint ventures such as TKM and
TKAP in Bangalore.
All are fourth-generation Kirloskars.

Sanjay Atul Kirloskar Rahul Kirloskar Vikram Kirloskar

Kirloskar
India's largest multi-product and 9

diversified engineering group

The Kirloskar group comprises the following

companies, which operate in the specialised areas
of power, water, air and gas solutions, grey iron
casting and metal processing. These group
companies have left no stone unturned to achieve
a leading position with respect to image and
customer satisfaction in their respective verticals.
 Kirloskar Group Companies
10

 Kirloskar Oil Engines Limited. (KOEL)

 Kirloskar Brothers Limited. (KBL)
 Kirloskar Pneumatic Company Limited. (KPCL)
 Kirloskar Ferrous Industries Limited. (KFIL)
 Kirloskar Integrated Technologies Ltd.(KITL)
 Kirloskar Proprietary Limited. (KPL)
 Kirloskar Industries Limited. (KIL)
 Kirloskar Middle East FZE. (KMEF)
11
Global presence
12
The first Kirloskar Group Company 13

Kirloskar Brothers Limited (KBL) - the first Kirloskar

venture at Kirloskarvadi was to become the base for
all of the Kirloskar Group's subsequent enterprises. It
began as the only Indian company with its own
standard products - the fodder cutter and the iron
plough, which competed with the British products.
Incorporated in 1920, it leads in the design and
manufacture of pumps, hydro-turbines, valves, and
anti-corrosion products.
Kirloskar Oil Engines Ltd. (KOEL) 14

Shantanurao Kirloskar, the eldest son of the

founder travelled to Pune to initiate a new aspect
of the group's activities - diesel engines.

Shantanurao Kirloskar won a place for Kirloskar Oil Engines

Ltd. (KOEL), twelve months after signing an agreement of
collaboration with Associated British Oil Engines Export Ltd. of
UK.

The KOEL factory was incorporated in 1946

 To electric motors and pneumatics 15

Ravi Kirloskar, his youngest son, in 1946 set up the

Kirloskar Electric Company limited (KECL)
KECL's logo in
the 40's In collaboration with Broom and Wade of England, Kirloskar
Pneumatic Company Limited began the manufacture of air
compressors and pneumatic tools.
 Kirloskar Pneumatic company 16
Pvt Ltd.
Kirloskar Pneumatic Co Ltd (www.kirloskarkpcl.com):
Incorporated in 1957, it is the leader in designing and
manufacturing air compressors, air-conditioning and
refrigeration and hydraulic power transmission.

Competitors:-

COMPANY
Ingersoll rand
Elgi equipments
Revathi cp
Kirloskar Ferrous Industries 17
Limited. (KFIL)
Incorporated in 1992, it leads in the manufacture of grey
Vision:-
To be a product leader in pig iron & casting business
iron castings, SG iron castings, pig iron, alloy steels and
Mission:-
investment castings.
To become lowest cost, quality pig iron manufacturer amongst the secondary pig iron
plants by:
Reduced coke consumption
Improved productivity
Increased power generation
To become preferred partner in casting business by:
Supply of Quality castings
Faster new product development
On time delivery
KFIL Timeline
18
1994 Year of inception
1994 Commercial production of Pig Iron from Mini Blast Furnace I
1995 Commercial production of Grey Iron castings
1995 Commercial production from Mini Blast Furnace II
1995 ISO 9002 certification
2001 QS 9000 certification
2002 ISO 14000 certification
2005 ISO / TS 16949:2002
2007 Acquired Solapur foundry from Kirloskar Oil Engines Ltd.
2007 Hot Blast Stove - I
2008 HPML Plant Solapur
2010 Hot Blast Stove - II
2010 Power Plant - III
2011 Sinter Plant
Kirloskar Integrated Technologies 19
Ltd.(KITL)
Provides
VISION:- end-to-end decentralized sustainable energy
solutions
We which
will contribute are an
to creating environment friendly,
eco-friendly world economically
by developing and implementing
self-reliant, affordable and sustainable technologies for distributed energy.
viable, technically feasible and socially acceptable, using
renewable energy technologies such as biofuels (biogas
MISSION:-
and biodiesel), straight vegetable oil (SVO), solar, wind,
 Become a major player providing sustainable energy solutions to our customers, with
micro-hydro,
increasing focusetc.
on green technologies
 “Help Kirloskar Group Companies maximize the business potential for their products by
developing system integration capabilities that support the KITL vision”
 Work towards empowering the population at the grassroots to thrive on the locally
developed economy by utilizing available renewable energy sources, and maximize
business returns to KITL stakeholders
Kirloskar Proprietary Limited. 20
(KPL)
Kirloskar Proprietary Limited was established in the year
1965. Kirloskar Proprietary Ltd. is the registered owner of
intellectual property consisting of various trademarks and
copyrights in India and many foreign countries. it also
looks after enhancing the image of Kirloskar brand.
Kirloskar Middle East FZE. (KMEF)
21
Kirloskar Group has been active in the Middle East and Africa since the 1960s. A
need was continuously felt to establish an identity in the region, which would be
close to the end customers as well as the channel partners in the region. Kirloskar
Middle East FZE (KMEF) was founded in November 1996 with the objective of
further improving response to customers‟ requirements.

KMEF is now expanding operations to include packaging of Compressor

Engineered Sets and Pumpsets in UAE. Also new products are being introduced
such as Refrigeration Systems, Gas Compressor Packages, Centrifugal and Screw
Chillers etc.

VISION:-
We shall contribute significantly to achieve Kirloskar group vision and inculcate
Kirloskar group values.
MISSION:-
To establish „KIRLOSKAR' as the preferred brand in MENA region for its products
and services.
Toyota Kirloskar Pvt Ltd. 22

The company
Toyota Kirloskar Toyota
Auto Parts
Motor Kirloskar
PrivatePvt.Limited
Ltd.,
Motor
(TKAP)
is Private
jointis venture
anLimited
autobetween
parts
(TKMPL)
manufacturing
according
Toyota Motor to Corporation
itscompany
mission statement
inand
India.
theTKAP
aimsisto
Kirloskar a play
joint
Group,venture
a major
for therole in
among
the development
Toyotaand
manufacture Motor
of the
salesCorporation,
ofautomotive
Toyota cars Japan,
industry Toyota
in India. and Industries
the creation
It currently is the
Corporation,
of
4th employment
largest carJapan opportunities,
maker and Kirloskar
in India not
Systems
after MarutionlySuzuki,
Limited,
through Bangalore.
its dealer
Hyundai,
TKAP is having
network,
Mahindra. but also
two through
plants, viz.,ancillary
100% EOU, industries
transmission
with aplant
business
and a domestic
philosophy of "Putting
axles plant.
Customer In the
First".
EOU Plant, TKAP
manufactures transmissions and is a key supplier for the Toyota
both globally and locally
Economic downturn hit group 23

hard
All was not well in the Kirloskar group. The Kirloskar group companies
had been passing through difficult times.
The downturn in the economy coupled with the slump in the capital
and engineering industry, had affected bottom lines of group
companies. The respected Kirloskar name took a beating when the
finance company in the group Kirloskar Finance & Investment
defaulted on deposits and was unable to pay off depositors.
This was further damaged when Vijay Kirloskar sold his stake in the
finance company to the Ahmedabad-based businessman Hari Singh
Champawat.
Inability to pump in investments into the joint venture with Toyota also
affected the group.
STEPS FOR IMPROVEMENT 24

 There are complex cross-holdings between the Kirloskar

group companies.
 There was split in the family business
 that there would be no change in the holding patterns of
the companies.
 The separation is of management and control.
 The separation is based on shareholding and not on
geography
GLOBAL MARKETING 25

 The company launched a customer loyalty program in the form of

„Oldest Pumps Contest for pumps
 KBL Completed market research surveys for pumps with applications
 KBL‟S communication team crafted advertisements &promotions for
nuclear & thermal energy
 Seminars were organized in Kenya, Uganda and Tanzania focused
on sugar industries as a part of the „Focus Africa‟ program
 Product exhibition & launches held in Nigeria to tap business
potential.
STRATEGY AND POLICY 26

 Focus on profit driven sale with good cash flow

 Offering integrated fluid management sol
 To achieve operational excellence all factories are under QMS 2008
 Motor manufacturing capacity will be enhanced to 6000 units per
month
 To make standard products a energy efficiency star product
 Kirloskar System ltd formed to address the need of system
engineering & support services
 RESULT 27

 KBL is a leading manufacturer and exporter of centrifugal pumps, valves

and allied equipment‟s in India
 KBL Sales in 2011-2012 exceeded US $ 590 Million with a market
capitalization of more than US $ 350 million.
 KBL has created the world’s largest pumping scheme which will irrigate
more than two million hectares of land and supply water to 4620 towns
and villages in the state of Gujarat
 KBL also commissioned a water pumping scheme called The Devadula
Scheme in Warangal in Andhra Pradesh supplying water to 4 drought
prone socio-economically backward districts
 Carmaker Toyota Kirloskar Motor reported 26.09% jump in its sales at 6,361 units
during August, 2012. Toyota Kirloskar Motor in a statement said that the company
had sold 5,045 units in the corresponding month last year.
 28
 KBL is one of the three manufacturers in the world who have
manufactured and installed 200 kW Canned motor pumps for nuclear
application .

 KBL is the first company to introduce Concrete Volume Pumps in India.

 Subsidiary company in England, SPP Pumps Limited (Acquired in 2003) is

the undisputed leader in the Fire-fighting and Water Supply segments in
Europe. They have recently launched lowest life cycle cost pumps in the
UK successfully with large players like Thames Water preferring these
energy efficient products.
POSTAL STAMP 29
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