Incorporated in 1941, Mysore Kirloskar manufactures lathes, grinders, computerised numerically controlled (CNC) machines and special purpose machines. It also produces grey iron and iron castings for machine tools, diesel engines, compressors and high-pressure valves. Company has a fully owned subsidiary -- Precision Tooling Systems.
The recession in the capital goods industry has hit the company's performance since the eighties. The company was passing through one of the worst periods of crisis particularly around 1985 when Vikram Kirloskar took charge. No improvement was evident in the next three years and the company finally ended 1987 with a net loss of Rs 57 lac. A large export order from the then USSR pulled the company out of the mess to some extent for the next few years. However, it sank once again, recording a massive loss of Rs 16.42 cr in 1993-94. Till 30 Sep.'95, the company's sales remained stagnant at Rs 40.75 cr.
To insulate its machine tools operations from cyclic fluctuations, the Rs 60-cr company has diversified into various fields like packaging machines, software exports, pollution control, manufacture of sophisticated life-saving equipment, etc, dumping outdated products and entering into technological collaborations with foreign leaders. It has tied up with Linde, Nesa, Kaiser Aluminium and EMW for air- and water-pollution control and effluent-treatment systems. For software, it has a tie-up with Wipro Infotech; and for surgical equipment with Waxter, US.
During 1996-97, the company has established a new unit for the manufacture of Cobalt Therapy Equipments for Cancer treatment with a installed capacity of 10 nos.
Kirloskar Institute of Advanced Management Studies was amalgamated with the company with effect from 1st April, 1997. The operations of the merged entity are being conducted as Management Education Division of the company.
On account of continuing severe recession in the market during the year 1999-2000, the company has implemented restructuring plans like transfer of its Hubli unit to Harihar, Voluntary Retirement Schemes for employees, etc. The company has become sick industrial unit and a reference to the BIFR has been made.