Presentation on Summer Training in Blue Star on the

Topic of

Presented to Presented By Mohd.Alam (MBA-Finanace) Roll No-

Guiding values And beliefs

To deliver a World - class customer Experience. Focus on Profitable company growth Be a company that is a pleasure to do business with. Work in a boundary less manner between division to

provide the best solution to the customer. Win our people’s heart and mind. Place the company’s interest above one’s own. Encourage innovations, creativity and experimentation in

what we do. Build an extended organization of committed business

partner. Be a good corporate citizen. Maintain personal integrity. Ensure high standard of corporate governance. Honour all personal and corporate commitments.

Quality policyTo deliver world class customer experience.

MORNING SPIRIT IN BLUE STAR LIMITED

SWINGING FORTUNE

HISTORY Mohan T Advani, an entrepreneur of exemplary vision and drive,

founded blue Star in 1943. The Company began as a modest 3-member team engaged in reconditioning of air conditioners and refrigerators. Within three years, the Company secured the agency for US-based Melchoir Armstrong Dessau's air-conditioning equipment.

Year 1943 Mohan T Advani establishes Blue Star Engineering Company as

a proprietary firm 1946 Blue Star secures Melchior Armstrong Dessau agency 1947 Worthington selects Blue Star as Indian Partner. Manufacturing

of ice candy machines and bottle coolers begins. Central airconditioning system design and execution begins

1948 Manufacture of water coolers commences 1949 Proprietorship converted to Private Limited Companies 1954Blue Star selected as distributor for Honeywell 1955 GDR Testing machines distributorship begins

cont

•1957Perkin-Elmer tie-up marks the start of the electronics business. GDR business machines agency commences

•1960 Total Income crosses the Rs 1 crore mark

•1962GDR Machine Tools distributorship begins

•1964 Total employment crosses 1,000

•1965Techniglas Pvt Ltd set up to manufacture insulation material

•1969Factory moves from Colaba in Mumbai to Thane

•1970Hewlett- Packard distributorship commences

•1972

First skyscrapers of Mumbai – Air India Building, Express Towers and Oberoi Hotel set-up – all airconditioned by Blue Star

Corporate Communications & Mktg

N SivasankaranVice President

Information TechnologyRahul Mehta

Sr General Manager

Airconditioning Projects DivisionS Sankaran

Vice President

Packaged AirconditionerDivision

Avinash PanditVice President

Electronics DivisionArun KhoranaVice President

Finance & AccountsH Rajaram

Vice President

Human Resources & Quality

Ranajit MajumdarVice President

Legal & SecretarialK P T Kutty

Company Secretary

Bharuch Plant

Jagdish PatelSr General Manager

International Sales

International Projects

Working DirectorsORGANISATION CHART

Analytical Instruments A Bandopadhyay General Manager

Medical Electronics

P M Chandrasekar General Manager

Data Communication

Y A Bhat Sr General Manager

Industrial ProductsPartho Mitra

Dy General Manager

Test & Measuring Instruments

Y A Bhat Sr General Manager

Testing Machines

Dadra PlantB F Modi

Sr General Manager

Thane PlantR G DevnaniSr GeneralManager

Research & DevelopmentJ M Bhambure

Sr GeneralManager

Materials & LogisticsA ChaudhuriSr GeneralManager

EC Members of the Executive Committee

Internal AuditT Sankar

General Manager

President & Vice Chairman Suneel M AdvaniEC

Chairman & Chief Executive

Ashok M AdvaniEC Executive Director

T G S Babu EC

Special Projects DivisionV V Inamdar

Executive Vice President EC

AC & R Service DivisionB ThiagarajanVice President

Customer Service Refrigeration & Airconditioning

Products

Customer Service Central Plants

Customer Service Packaged

Airconditioners

Room AirconditionerDivision

P Venkat RaoGeneral Manager

Executive Director

Satish JamdarEC

Refrigeration Products Department

K S RajanGeneral Manager

Cold Storages DepartmentM Anuraaga Chandra

General Manager

05/ 05/ 2004

EC

Executive Director

T G S Babu EC

Product costing

A Product Costing System is…a management tool that identifies the actual cost of producing each product. Identifying profit or loss on each product, companies can identify and promote profitable products while dropping, redesigning, or reprising unprofitable products.

Need And Benefits Of Product costing

NeedKnow how much it costs to produce each product? Know your profit margin for each product?

BenefitsSelling profitable products Better managing of resources Maximizing profits Understanding each product's contribution to the bottom line

Benefits of Product Costing Take immediate action on disruptions in supply

by changing the cost accounting method for a product.

Allow for different costs at different locations for identically manufactured items by maintaining cost information at the branch/plant level.

Track cost variances, such as engineering, planned, and actual.

Store and retrieve cost information. Evaluate manufacturing budgets, product design,

and accounting to determine their impact on profitability.