Introduction about Danfoss

Value: Trusting People

Ideology behind Danfoss Name:

Danfoss has lent its name to Lemur species in Madagascar- as the

company supported to work to protect the lemur.

The little Animal able to drastically reduces its metabolic rate, using minimal energy during the
day or the cold season.

Danfoss used lemur in heating marketing campaigns to compare high efficient in energy saving.
 Segments
 Danfoss Climate Solution - DCS
 Danfoss Drive Solution - DDS
 Danfoss Power Solution - DPS

Cost Sheet:

Direct Material -DM XXX

Direct Labour - DL XXX
Direct Expense - DE XXX
Prime Cost -PC XXXX
Factory Overhead (+) XXX
Cost of Goods Manufactures -COGM XXXX
Sales & Distribution (+) XXX
Cost of Goods Sold - COGS XXXX
Sales (-) XXX
Gross Profit XXXX
Depreciation (-) XXX
Amortization (-) XXX
EBITDA – Earnings Before Interest, XXXX
Tax, Depreciation & Amortization
Interest – I (-) XXX
EBIT – Earnings Before Interest Tax XXXX
Tax (-) XXX
PAT – Profit After Tax XXXX

EPS = PAT/ No. of Equity Shares

SAP TERMS:

Material Master:

It contains information on all the materials that a company procures (or) produces stores & sells.

It’s the company central source for retrieving materials specific data.

Plant:

Is the manufacturing location were all the production of materials and product takes place.

Where these product are stored temporarily before they are exported.

Valuation Area:

Is the organizational level at which materials are valuated such as the plant or company code
level.

When the valuation area is at the plant level you can valuate materials in different plant at
different prices.

Example:

SFG-1 SFG-2 SFG-3

Company Code:

It is the central organizational unit of external accounting within the SAP System.

Internal Order:

It is a short term Cost Collector for a project or unit in SAP Controlling.

They are not structured.

There is no standard Hierarchy.

Cost Center:
 It is a component in the organization that adds cost and indirectly adds profit to the
organization.

It is a long term cost collector.

It is the organization unit within the controlling area which represents the location- were cost
collected.

It does not generate revenue but incur additional expense to operate.

Profit Center:

It is internal Controlling that is responsible for the profit of the organization.

It is used to determine which unit is the most and least profitable area within the organization.

The main function is to identify revenue generation area across division.