This analysis is done for study purpose. No intention to judge anyone.

1. -Rasika R Salodkar
SIMSREE (MMS)
(2014-16)

2. FORGING PROCESS
Forging is a manufacturing process
involving the shaping of metal using localized
compressive forces. A metal is shaped by
compressive forces.
Types of Forging:
1. Open-Die Forging
2. Impression-Die & Closed-Die Forging

3. Forging Industry in India
The Indian Forging Industry has emerged as a major
contributor to the manufacturing sector of the Indian Economy.
Briefly, it is categorized into four sectors- large, medium, small
and tiny.
The industry was previously more labour intensive but now
with increasing globalization it is becoming more capital
intensive.
Total investment in the large and medium sectors is US$600
million
Most of them are suppliers to Original Equipment Manufacturers
(OEMs) in the automobile sectors
Industry’s major markets are USA, Europe and China
Bharat Forge : India’s No. 1 Forging Company

4. Bharat Forge Limited (BFL) is a technology driven global
leader in metal forming having transcontinental presence
• Part of Kalyani Group
• A USD 2.5 billion conglomerate
• Global work force of 10,000
• It has repository of metallurgical knowledge in the region
• Offers full service supply capability to its geographically
dispersed marquee customers from concept to product
design, engineering, manufacturing, testing and validation.
• World's largest forging company with manufacturing
facilities spread across India, Germany and Sweden

5. Company Information
Founded in: 1961
Founded by: Nilkanthrao Kalyani
Businesses:
I) AUTOMOTIVE (main): Passenger Vehicles,
Commercial Vehicles, SUV
II) INDUSTRIAL: Power , Oil & Gas, Locomotive &
Marine, Aerospace, Metals &
Mining, Construction, General Engineering

6. Top Management
• B N Kalyani - Chairman & Managing Director,
• G K Agarwal - Deputy Managing Director
• Amit B Kalyani - Executive Director
• B P Kalyani - Executive Director
• S E Tandale - Executive Director
• Sunil K Chaturvedi - Non Executive Director

7. Location of Headquarters
India
Pune Cantonment
Mundhwa
Pune - 411 036
INDIA
Email: info@bharatforge.com
Bharat Forge America
2807 South Martin Luther King Jr. Blvd
Lansing, MI 48910
Bharat Forge Kilsta AB
P.O. Box 428, SE-69127 Karskoga,
Sweden

8. Plant Locations over the global
1. Ennepetal, Germany
2. Saxler, Germany
3. Brand-Erbisdorf, Germany
4. Bharat Forge Scottish Stampings Limited,
Scotland
5. FAW Bharat Forge (Changchun) Company Ltd,
China

9. Core Objectives of the Company
To be committed to listening and responding to the
needs of our customers, associates and business
partners and honouring their individual value
To be committed to an entrepreneurial spirit that
fuels the growth of our companies and increases
shareholder value

10. Shareholding Pattern
The equity shares of the Company has a face value of
Rs. 2 each.
42%
6% 9%
10% 9%
12%
12%
Shareholders
Promoters
Individuals
FIIs
Banks, Fis,
Insurancs Cos.
Corporate Bodies

11. Financial Performance
Income statement: (In Rs Cr)
STANDALONE March 2014
Net Sales 903.72
Other Income 32.60
PBDIT 275.26
Net Profit 118.98

12. Performance compared to main peers
Company
Name
Market
Cap
Price
29.07.1
4
Total
assets
Net Sales Net
Profit
Bharat Forge 16541.66 944.00 3743.09 3399.27 399.93
Mahindra CIE 1467.84 159.00 159.00 932.62 440.36
Jayasawal
Neco
1047.61 18.30 4024.64 2549.24 28.66
Electrosteel 1045.88 29.40 4312.22 1934.55 97.23
Ahmednagar
Forge
1034.33 275.00 2894.03 1718.49 173.29

13. Noteworthy Points about BFL
98 percent growth in net profit
Revenues grew 23.7 percent year-on-year in the
quarter ended December 2013
Continues to do well despite the domestic slowdown
because of its diversified product mix and strategic
entry into the non-automotive sectors
Earnings shot up 50.7 percent to Rs 214 crores
Company's shipping tonnage jumped 14 percent to
42,702 tonne in Q3FY14

14. SWOT Analysis
Strengths:
1. High Economies of scale
2. Strong and trusted Brands
3. Technology and manpower cost advantage
Weaknesses:
1. Over-dependence on Automobile segment
2. Lack of in-house R&D
Less focus on small forging equipments

15. SWOT Analysis
Opportunities:
1. High demand in automobile industry
2. Demand in Nuclear, Power and Refinery sectors
3. Access to better technology & work practices across
globe
Threats:
1. Rising input costs, particularly steel & electrical power.
2. Demand for new products, especially from foreign OEM’s
which may not match by Economic Order Quantity.

16. Products of BFL
Automotive components
Chassis components
Manufacturing facilities
Safety and critical components for passenger cars,
commercial vehicles and diesel engines
Specialized components for railways
Construction equipments
capabilities to manufacture complex forgings out of both steel and
aluminium are a unique feature of BFL‘s competitiveness.

17. Facilities
World-class design and engineering capabilities
Forging facilities
Best-in-class machining facilities
Rigorous inspection and testing
Largest single location forging facility in the world
Modern forging facilities include over 29 state-of-the-art fully
automated press lines ranging from 1600 MT to 16000 MT
State-of-the-art machining facility is the largest of its kind and
has a crankshaft machining capacity of 650,000 units per
annum
Design and Engineering
Tool and Die Manufacturing
Heat Treatment
Processing and
Inspection and Testing

18. Customers
Its customer base includes virtually every global
automotive OEM and Tier I supplier. Daimler
Chrysler, Toyota, BMW, General Motors,
Volkswagen, Audi, Renault, Ford, Volvo, Caterpillar -
Perkins, Iveco, Arvin Meritor, Detroit Diesel,
Cummins, Dana Corporation, Honda, Scania and
several others source their complex forging
requirements including machined crankshafts, front
axle beams and steering knuckles from Bharat Forge

19. Strategies
The US $2.4 billion giant ventured into the Indian energy market in
2011 to become a leading supplier of generation equipment for
thermal and nuclear power plants
The power sector provided the perfect opportunity to Bharat Forge
as the nation embarked on an ambitious plan to add 78,000 Mw in
the 11th plan
Bharat Forge, along with its Joint Venture partner Alstom, is setting
up a manufacturing base in Mundra with an investment of Rs 1,500
crore
The company has also Joint Ventured with David Brown Systems
for opportunities in the heavy engineering sector
Bharat Forge is also partnering French nuclear giant Areva for the
heavy forgings required for erecting nuclear power plants. The
proposed facility will have a state-of-the-art 14,000 tonne open-dye
forging press and will be operational by end of 2012
The company formed a JV in 2010 with Pune-based technology firm
KPIT Cummins to offer low-cost hybrid solutions for the auto
industry and automobile owners

20. BFL is presently focused on creating a position of
Global Leadership in the Engine & Chassis components
for Passenger Cars and Commercial Vehicles. The
company has therefore embarked upon a three-pronged
strategy to offer the customers :
Dual Shore Design capability
Dual Shore Forging manufacturing capability
Dual Shore machining capability

21. Awards and Recognitions
SWORD OF HONOUR for safety success by the British Safety Council
for our Health & Safety Management Systems
FIVE STAR RATING by The British Safety Council, UK. The award
aims to recognise the 'best of the best' in health and safety management
Mr. Baba Kalyani, Chairman and Managing Director, Bharat Forge
Limited was today, conferred with the prestigious LAKSHYA
BUSINESS VISIONARY AWARD by the National Institute of Industrial
Engineering (NITIE)
B. N. Kalyani, CMD, BFL was honoured with the CROSS OF THE
ORDER OF MERIT of the Federal Republic of Germany
The French government has bestowed the award of KNIGHT OF THE
NATIONAL ORDER OF THE LEGION OF HONOUR (CHEVALIER DE
L’ORDRE DE LA LÉGION D’HONNEUR) on Baba Kalyani, CMD, BFL

22. Certifications
ISO 9001: 2008 CERTIFICATION
ISO 9001: 2008 certification for Mundhwa, Baramati and
Chakan Plants.
ISO/TS 16949: 2009
ISO/TS 16949: 2009 - Mundhwa
ISO/TS 16949: 2009 - Chakan
ISO/TS 16949: 2009 - Baramati
AS 9100 C : 2009-01 EN9100:2009 JIS Q9100:2009
AS 9100 C : 2009-01 EN9100:2009 JIS Q9100:2009 -
Mundhwa
AS 9100 C : 2009-01 EN9100:2009 JIS Q9100:2009 - Baramati
EC CERTIFICATE OF QUALITY SYSTEM APPROVAL
EC Certificate of Quality System Approval

23. Sustainabilty
BFL FOCUSES ON VARIOUS INITIATIVES LIKE:
Use of bio fuels aimed at minimizing energy
consumption at all of its plants
Adoption of modern regenerative combustion technology
to reduce fuel consumption
Use of recycled water from effluent treatment plant for
maintenance of greenery in the Plant.
Implementation of rain water harvesting
Reduced cycle waste & adoption of eco-friendly waste
disposal
Implementation of scientific tree plantation to reduce
atmospheric pollution

24. Corporate Social Responsibilty
Pratham Pune Education Foundation (PPEF)
LAKSHYA (Looking at Knowledge in Sports and
Help Youth Achieve)
Tie ups with BITS, Pilani, Warwick University and
IIT Bombay
Kalyani Centre for Technology and Innovation
(KCTI), which addresses the group's requirements of
augmenting employee knowledge and skills through
three areas namely Advanced Technical training,
Advanced Academic Courses and Research and
Development

25. R&D: Present and Future
R&D Activities at KCTI comprises of:
Modeling for prediction of micro structure,
cost reduction, controlling residual stresses,
development of new heat treatment processes
like plasma nitriding, development of quench
media, FATT improvement, fatigue life
improvement, structure property correlation
vis-a-vis creep behavior/stress rupture
behavior, machining characteristics of rare-earth
& other micro alloyed Ti6AI 4V
materials, development of eco friendly
lubricant solution for performance
improvement of various machining processes,
work on improvement of 34CrNiMo6 Alloy
Steel, HSLA steel etc, CBN grinding process of
steel forgings, development of aerospace
components and their processing, work on
titanium alloys etc

26. Referneces
1. Company website (www.bharatforge.com)
2. www.moneycontrol.com
3. www.bseindia.com
4. www.mbaskool.com
5. www.forgingmagazine.com