Tata Motors has won the National Award for Excellence in Cost Management for the year 2006, conferred by the Institute of Cost and Works Accountants of India (ICWAI). Tata Motors bagged the first prize in the manufacturing category in the private sector.

A high profile, 17-member jury led by the former chief justice of India, JS Verma, chose the winners after a comprehensive selection process. The criteria for selection were:

i) Better practices for resource management
ii) Efficient utilisation of capacity and working capital
iii) Quality augmentation programme and R&D efforts, and
iv) Precise information on performance

The application of management accounting and cost management system by organisations has been evaluated in the process. At Tata Motors, cost management is considered a key value creation process. The company believes that through effective cost management, hidden profits can be uncovered.

The award is presented in several categories to organisations that demonstrate excellence in cost management practices and aims at giving national and global recognition to the corporate sector for successful cost management initiatives. ICWAI was established by the government of India as an autonomous professional institute in 1959 to provide training, education and research facilities in cost and management accounting.

The Tata Motors team comprising Asim Kumar Mukhopadhyay, head (CVBU business planning — corporate), Ashok P Mene, head, CVBU finance, Pune, and SL Gangopadhyay, AGM (finance), Lucknow, accepted the award from Prem Chand Gupta, minister of corporate affairs, government of India on July 2, 2007, at Vigyan Bhawan, New Delhi.