LARSEN & TOUBRO

Its all about imagineering...

ABOUT LARSEN AND TOUBRO

LARSEN & TOUBRO (L&T) IS A TECHNOLOGY-DRIVEN USD 8.5 BILLION COMPANY THAT INFUSES ENGINEERING WITH IMAGINATION AND OFFERS A WIDER RANGE OF ADVANCED SOLUTIONS, SERVICES AND PRODUCTS. IT BELIEVES IN PRODUCING RICH PRODUCTS OF EXTREMELY HIGH QUALITY. L&T'S IN-HOUSE CAPABILITIES IN TECHNOLOGY DEVELOPMENT ARE COMPLEMENTED BY TIE-UPS WITH WORLD LEADERS AND THEY PROVIDE STATE-OF-THE-ART PRODUCTS & SOLUTIONS TO A LARGE AND DIVERSE CUSTOMER BASE.

HISTORY

FOUNDED : 1938 BY: HENNING HOLCH- LARSEN AND SOREN KRISTIAN TUBRO BEGINNING WITH THE IMPORT OF MACHINERY FROM EUROPE THE COMPANY RAPIDLY TOOK ON ENGINEERING AND CONSTRUCTION ASSIGNMENTS. THE COMPANY CONVERTED INTO A LIMITED(LTD) COMPANY ON FEBRUARY 7th,1946.

VISION

L&T SHALL BE A PROFESSIONALLY-MANAGED INDIAN MULTINATIONAL, COMMITTED TO TOTAL CUSTOMER SATISFACTION AND ENHANCING SHAREHOLDER VALUE. L&T-ITES SHALL BE AN INNOVATIVE, ENTREPRENEURIAL AND EMPOWERED TEAM CONSTANTLY CREATING VALUE AND ATTAINING GLOBAL BENCHMARKS. L&T SHALL FOSTER A CULTURE OF CARING, TRUST AND CONTINUOUS LEARNING WHILE MEETING EXPECTATIONS OF EMPLOYEES, STAKEHOLDERS AND SOCIETY. IT REFLECTS THE COLLECTIVE GOAL OF THE COMPANY. IT WAS DRAFTED THROUGH A LARGE SCALE INTERACTIVE PROCESS WHICH ENGAGED EMPLOYEES AT EVERY LEVEL, WORLDWIDE.

RECORD OF ACHIEVEMENTS
L&TS SIGNATURE OF EXCELLENCE IS EVIDENT ON:

THE WORLD'S LARGEST COAL GASIFIER MADE IN INDIA AND EXPORTED TO CHINA. THE WORLDS BIGGEST EO REACTOR FOR A PETROCHEMICAL COMPLEX IN THE GULF. THE WORLDS LARGEST FCC REGENERATOR FOR A REFINERY . ASIAS HIGHEST VIADUCT. THE WORLDS LONGEST COAL CONVEYOR . L&T PLAYED A CRITICAL ROLE IN BUILDING INDIAS FIRST NUCLEAR POWERED SUBMARINE.

CORPORATE OVERVIEW

LARSEN & TOUBRO LIMITED (L&T) IS INDIA'S LARGEST ENGINEERING AND CONSTRUCTION CONGLOMERATE WITH ADDITIONAL INTERESTS IN ELECTRICALS, ELECTRONICS AND IT. A STRONG CUSTOMER-FOCUS APPROACH AND CONSTANT QUEST FOR TOP-CLASS QUALITY HAVE ENABLED L&T TO ATTAIN AND SUSTAIN LEADERSHIP OVER 6 DECADES. EPC PROJECT BUSINESS CONSTITUTES A CRITICAL PART OF THE L&T'S ENGINEERING CORE. L&T HAS INTEGRATED ITS STRENGTHS IN BASIC AND DETAILED ENGINEERING, PROCESS TECHNOLOGY, PROJECT MANAGEMENT, PROCUREMENT, FABRICATION AND ERECTION, CONSTRUCTION AND COMMISSIONING, TO OFFER SINGLE POINT RESPONSIBILITY UNDER STRINGENT DELIVERY SCHEDULES. STRATEGIC ALLIANCES WITH WORLD LEADERS ENABLE L&T TO ACCESS TECHNICAL KNOW-HOW AND EXECUTE PROCESS INTENSIVE, LARGE SCALE TURNKEY PROJECTS TO MAINTAIN ITS LEADERSHIP POSITION. L&T'S INTERNATIONAL PRESENCE IS ON THE RISE, WITH A GLOBAL SPREAD OF OVER 30 OFFICES AND JOINT VENTURES WITH WORLD LEADERS. ITS LARGE TECHNOLOGY BASE AND POOL OF EXPERIENCED PERSONNEL ENABLE IT TO OFFER INTEGRATED SERVICES IN WORLD MARKETS.

I realize MUTUAL BENEFITS

I serve as an example in ENVT. MATTERS

I improve CONTINUOUSLY

Operating Principals

I VALUE & LISTEN to the CUSTOMERS

I ensure that employees and colleagues SUCCEED

I do it RIGHT the FIRST time

STRENGTH AND WEAKNESSES

SWOT ANALYSIS IS ONE OF THE IMPORTANT TASKS OF EVERY COMPANY. LIKE EVERY COMPANY, L &T ALSO FOLLOWS THE RULE OF EMPHASIZING ON THEIR STRENGTHS, ELIMINATING THEIR WEAKNESSES,SEIZE THE BEST OPPORTUNITIES AND COUNTER THE THREATS. THEY FOLLOW THE RULE,

DO NOT RELY ON A SINGLE ECONOMY.

ORGANISATION STRUCTURE

LARSEN AND TOUBRO HAS AN OVERALL STRENGTH OF 35,000 EMPLOYEES. SINCE LARSEN AND TUBRO IS A VAST COMPANY, IT IS DIVIDED INTO VERTICAL ODs. EVERY OD HAS ITS OWN DIRECTOR AND MANAGER, WHO LEADS THEM AND EVERY OD IS INDEPENDENT THERE ARE VERTICAL ODs SO THAT EVERY DEPARTMENT WORKS WITHOUT ANY INTERFERENCE OF THE OTHER. ACCORDING TO THEM VERTICALLY DIVIDED ODS HELP THEM TO FOCUS BETTER ON THE WORK.

CONT...

The companys strengths and weaknesses and areas of development or decline are analyzed. Financial, strategic and operational factors are considered. The opportunities open to the company are considered and its growth potential assessed. Competitive or technological threats are highlighted. The report contains critical company information business structure and operations, the company history, major products and services, key competitors, key employees and executive biographies, different locations and important subsidiaries. It provides detailed financial ratios for the past five years as well as interim ratios for the last four quarters. Financial ratios include profitability, margins and returns, liquidity and leverage, financial position and efficiency ratios.

ORGANISATION STRUCTURE

DIRECTOR

VICE-PRESIDENT

GENERAL MANAGER

DEPUTY GENERAL MANAGER

MANAGER
EXECUTIVE ENGINEERS (MORE THAN 1000)

PAY STRUCTURE

LOW LEVEL MANAGERS (1600030000)

MIDDLE LEVEL MANAGERS (2500050000)

TOP LEVEL MANAGERS (50000- upto 3.5 crores)

STRATEGIC PLANNING

Market survey, analysis of customer needs and aligning business accordingly has always given an edge to ECC over its competitors. Over the years the organization has perfected its operations with inputs from market study and forecasted future business plans and targets. Strategic plans have been developed to provide direction to business and accompanying strategic initiatives help in focused action to achieve targets.

RESOURCE PLANNING

Centralized Resources dept at HQ takes care of allocation, distribution and movement of Staff and Plant & Machinery to meet the requirements for deployment in various regions and overseas across the company. Resources department as a focal point helps the Operational Units to optimize the productivity by maintaining a balance between the availability and the requirement of resources (Staff and Plant & Machinery). It also facilitates the process of decision and deployment of equipment from external agencies as needed.

QUALITY MANAGEMENT

Good quality products and customer satisfaction are two basic requirements of business. Well-structured quality management systems ensure good quality, safety, reliability and controlled cost at every stage of construction with a view to enhance customer satisfaction and value addition to stake holders. ECCD's quality management program was initiated since its inception. It was given a thrust by deciding to bring the organization under ISO certification.

RISK MANAGEMENT

The Division has a robust risk management framework. This has been identified as one of the key enablers to achieve the Companys strategic objectives. The E&C Risk Management team has been set up to effectively manage risk that is inherent in the Engineering and Construction business, be it costing, scheduling, safety, financing human capital and contracting risk. It is an active member of the Engineering & Construction Risk Institute (ECRI) USA, an initiative of World Economic Forum. Today we see a shift away from traditional compliance and insurance motivated risk management to one that is closely linked to business performance. The objective is to strengthen E&Cs competitive edge and evolve a riskembracing culture.

INTERNATIONAL PROJECTS

L&T is globalising its operations with increasing focus on international business opportunities. Today, the activities of construction division extend beyond the subcontinent. ECC has a major presence in the Middle East, South East Asia, Russia, CIS countries, Mauritius, Africa and SAARC countries. ECC is increasing its market share in the developing countries of the Indian Ocean Rim, Africa and Latin America.
Taj lagoons resort , Maldives

JOINT VENTURES

L&T-Valdel Engineering Pvt. Limited - A joint venture with Bangalore based Valdel Engineers & Constructors Pvt. Ltd. It offers upstream engineering services to the oil & gas sector. L&T-Chiyoda Limited - A joint venture with Chiyoda Corporation of Japan, it offers international-grade engineering services to the hydrocarbon processing industries that include refineries, petrochemicals, oil & gas processing, LPG and LNG terminals, fertilisers, chemicals, etc L&T-Sargent& Lundy Limited - A joint venture with Sargent& Lundy (USA), it offers a complete range of engineering and design services for the power sector HPL Cogeneration Limited - Provides power to Haldia Petrochemicals Limited. L&T International FZE - A wholly owned subsidiary of L&T, incorporated in 2001 at The Hamriyah Free Zone, Sharjah, United Arab Emirates. It is the investment arm of L&T for all international joint ventures and provides resource for international projects. Larsen & Toubro (Oman) LLC - A joint venture between L&T International FZE and The Muscat Trading Co. LLC. This ISO 9001 company offers products and services in the construction field, with specialisation in turnkey projects

CHALLENGES FACED

The construction market shows a mixture of optimism and apprehension. Owing to lowering demand, some sectors like realty, especially in premium housing and capacity augmentation in manufacturing sectors, are expected to move a bit slower than in the recent past. However with more and more migration of people in to urban areas, the housing sector will continue to generate a lot of opportunities. Infrastructure projects will continue to be the focus of both Government and private sectors, supported by policy initiatives to drive infrastructure growth.

FINANCE ACCOUNTS AND ADMINISTRATION

Finance, Accounts and Administration Department administers the Finance & accounts related policies of the Company at all project sites through Regional Offices. Besides this, the Department manages the working capital for the Division through effective funds management, monitoring of receivables and vendor financing. It also ensures compliance of statutory requirements and internal controls at Regional Offices and project sites. The department also consolidates and presents the audited accounts of the Division as applicable under the relevant Acts.

SOCIAL RESPONSIBILITY
L&T believes that the true and full measure of growth, success and progress lies beyond balance sheets or conventional economic indices. It is best reflected in the difference that business and industry make to the lives of people.

This can be seen in the following fields: Health Education Environment Response to natural calamities Employee Volunteering

L&T's

participates in building a healthy community through continuing initiatives in several areas of healthcare, with a focus on mother & child care and HIV/AIDS awareness. Through health care centers and regular family camps L&T organizes health checkups, provides gynecology and laboratory facilities, carries out free cataract surgeries and intra ocular lens implants, and helps maintain health data for children.

HEALTH

L&T's diverse and sustained programmes in education provide underprivileged children with learning opportunities through supply of educational materials, teaching aids, recreational tools and up scaling school infrastructure.

The

vocational training institutes of the Larsen and Toubro Public Charitable Trust, provide local communities with skill-based training in Formwork, Masonry, Agro Mechanics, Electricals, Fabrication, Welding and Housekeeping.

EDUCATION

Global

warming: at L&T, we have always been conscious of the need to maintain harmony with the environment. We continuously seek newer environment-friendly approaches in all our operations energy conservation, exploring alternative sources like wind and solar energy, waste water reduction, etc.

ENVIRONMENT

L&T

and its employees have provided relief measures during natural calamities like earthquake and floods. L&T has assisted in disaster relief through employee and corporate donations, employee volunteering, supply of construction material, medical and food supplies. After the floods in Surat (Gujarat-India), L&T played a major role in roadclearing operations, organising medical camps, and supply of food, water, clothes and other relief materials.

RESPONSE TO NATURAL CALAMITY

L&T

encourages employees to volunteer for activities, resulting in a self-driven approach while retaining consistency. L&T employees and the ladies clubs formed by their families at different locations, serve their communities by investing personal resources and time.
From

taking initiatives in building the next generation of productive citizens, empowering women, paying regular visits to old age homes and orphanages, to organising blood donation camps, our employees have always believed in truly making a difference to the world in which they live.

EMPLOYEE VOLUNTEERING

HR POLICY
The basic principles of ECC's Human Resources policies include:

Recruitment based solely on merit by following well-defined and systematic selection procedures without discrimination. Sustain motivated and quality work force through appropriate and fair performance evaluation, reward and recognition systems. Identify training needs within the Organisation and design and implement those need based training programmes resulting in continuous upgradation of knowledge, skills and attitudes of the employees. Maintain a quality Human Resource Management System to meet the international standards as per ISO 9001. Plan, design, train, equip and motivate the department staff to meet this standard of expectation.

SELF LEARNING PACKAGES

Employees increasingly feel, "Let me learn at my own choice of time, topic and pace!" To make this happen, ECC promoted the concept of selflearning. Training Desks ( Multi-media computers) are available in the Head Office, Regional Offices and factories of ECC. Various CD ROMs and CBTs of varied operational, behavioral, finance, quality related topics are made available to enable the employees learn at their own pace. ECC strongly believes that to be in business, upgradation of employees' knowledge and skills is essential. Hence investment in Human Resources is one of the top priorities of the Management.

OPPORTUNITIES IN L&T

L&T offers multiple career options across all its business lines. Every career avenue reflects the Companys strong people orientation. People are our most valuable resource. We invest in them. We believe in them. L&T is different from other large corporates. There is no ownership overhang. It is a company that is managed by its employees. The leadership team is formed by L&Tites who joined as graduate trainees and rose to the top based entirely on merit. The high road of opportunity is open to all. You could be one of them to reach to the top.

The

objective of this 'finishing school' is to successfully on-board the campus recruits in L&T so that they can have an overview of the breadth of work.
The

35-day programme consists of an orientation about L&T, its businesses, and projects undertaken. The trainees have to work on technical projects, individual assignments, product simulations, and have to undergo various technical as well nontechnical exercises on-line.

TRAINING FOR CAMPUS RECRUITS

CAMPUS OFFERS

TEAM MEMBERS

Rushabh Khimshia-4