A

Minor Project Report (34)

ON

LARSON & TOUBRO PRIVATE LIMITED

Post Gadute Diploma in Management

Term-II

Submitted to: Submitted by:

Dr. Anu Thakur Mr. Ritesh Kumar

Assistant Professor (Finance) Roll.No-GM19150

GL BAJAJ INSTITUTE OF MANAGEMENT AND RESEARCH

GREATER NOIDA

2019-2021

1
 GL BAJAJ INSTITUTE OF MANAGEMENT AND
RESEARCH

GREATER NOIDA

CERTIFICATE

This is to certify that Mr Ritesh Kumar (GM 19150) PGDM, Term- II, work
exemplified in minor project report (PG 34) on LARSEN &TOUBRO limited
under my mentorship in GL Bajaj Institute of Management and Research,
Greater Noida (U.P)

Mentor in Charge Section in Charge Faculty in Charge

Dr. Anu Thakur Dr. Arpita Srivastava Dr. Dileep Singh
(Assistant Professor) (Assistant Professor) (Professor)

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 Contents

CHAPTER 1 Page No.

1.1 INDUSTRY PROFILE 4
1.2 MARKET SIZE 4-7
CHAPTER 2
MAJOR COPMETITOR 8-11
CHAPTER 3
3.1 DETAILS OF L&T 12-18
3.2 MISSION& VISSION 19
CHAPTER 4
4.1 MARKET ANALYSIS 20-22
4.2 MARKET SHARES 23-24
4.3 SWOT ANALYSIS 25-26
CHAPTER 5
5.1 H.R ANALYSIS 27-30
CHAPTER 6
6.1 FINDINGS 31-32
CHAPTER 7
7.1 RECCOMNDATION 33

References 34

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 Chapter-1
Industry Analysis
The real estate sector is one of the most globally recognized sectors. Real estate sector
comprises four sub sectors - housing, retail, hospitality, and commercial. The growth of this
sector is well complemented by the growth of the corporate environment and the demand for
office space as well as urban and semi-urban accommodations. The construction industry
ranks third among the 14 major sectors in terms of direct, indirect and induced effects in all
sectors of the economy.

It is also expected that this sector will incur more non-resident Indian (NRI) investments in
both the short term and the long term. Bengaluru is expected to be the most favoured property
investment destination for NRIs, followed by Ahmedabad, Pune, Chennai, Goa, Delhi and
Dehradun.

Market Size
Real estate sector in India is expected to reach a market size of US$ 1 trillion by 2030 from
US$ 120 billion in 2017 and contribute 13 per cent of the country’s GDP by 2025. Retail,
hospitality and commercial real estate are also growing significantly, providing the much-
needed infrastructure for India's growing needs.
Sectors such as IT and ITeS, retail, consulting and e-commerce have registered high demand
for office space in recent times. Commercial office stock in India is expected to cross 600
million square feet by 2018 end while office space leasing in the top eight cities is expected
to cross 100 million square feet during 2018-20. Gross office absorption in top Indian cities
has increased 26 per cent year-on-year to 36.4 million square feet between Jan-Sep 2018. Co-
working space across top seven cities has increased sharply in 2018 (up to September),
reaching 3.44 million square feet, compared to 1.11 million square feet for the same period in
2017.
Investments/Developments
The Indian real estate sector has witnessed high growth in recent times with the rise in
demand for office as well as residential spaces. Private Equity and Venture Capital
investments in the sector have reached US$ 1.47 billion between Jan-Mar 2019. Institutional

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investments in India’s real estate are expected to reach US$ 5.5 billion for 2018, the highest
in a decade.
According to data released by Department of Industrial Policy and Promotion (DIPP), the
construction development sector in India has received Foreign Direct Investment (FDI)
equity inflows to the tune of US$ 25.04 billion in the period April 2000-March 2019.
Some of the major investments and developments in this sector are as follows:

 New housing launches across top seven cities in India are expected to increase 32 per
cent year-on-year by 2018 end to 193,600 units.
 In September 2018, Embassy Office Parks announced that it would raise around Rs 52
billion (US$ 775.66 million) through India’s first Real Estate Investment Trust
(REIT) listing.
 New housing launches across top seven cities in India increased 50 per cent quarter-
on-quarter in April-June 2018.
 In May 2018, Blackstone Group acquired One India bulls in Chennai from India bulls
Real Estate for around Rs 900 crore (US$ 136.9 million).
 In February 2018, DLF bought 11.76 acres of land for Rs 15 billion (US$ 231.7
million) for its expansion in Grogram, Haryana.

Government Initiatives
The Government of India along with the governments of the respective states has taken
several initiatives to encourage the development in the sector. The Smart City Project, where
there is a plan to build 100 smart cities, is a prime opportunity for the real estate companies.
Below are some of the other major Government Initiatives:

 Under the Pradhan Mantri Awash Yojana (PMAY) Urban, more than 8.09 million
houses have been sanctioned up to May 2019.
 In February 2018, creation of National Urban Housing Fund was approved with an
outlay of Rs 60,000 crore (US$ 9.27 billion).
 Under the Pradhan Mantri Awash Yojana (PMAY) Urban 1,427,486 houses have
been sanctioned in 2017-18. In March 2018, construction of additional 3, 21,567
affordable houses was sanctioned under the scheme.

Road Ahead

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The Securities and Exchange Board of India (SEBI) has given its approval for the Real Estate
Investment Trust (REIT) platform which will help in allowing all kinds of investors to invest
in the Indian real estate market. It would create an opportunity worth Rs 1.25 trillion (US$
19.65 billion) in the Indian market over the years. Responding to an increasingly well-
informed consumer base and, bearing in mind the aspect of globalisation, Indian real estate
developers have shifted gears and accepted fresh challenges. The most marked change has
been the shift from family owned businesses to that of professionally managed ones. Real
estate developers, in meeting the growing need for managing multiple projects across cities,
are also investing in centralised processes to source material and organise manpower and
hiring qualified professionals in areas like project management, architecture and engineering.

The growing flow of FDI into Indian real estate is encouraging increased transparency.
Developers, in order to attract funding, have revamped their accounting and management
systems to meet due diligence standards.

Final Reports

Real estate sector in India is expected to reach US$ 1 trillion by 2030. By 2025, it will
contribute 13 per cent of the country’s GDP. Real Estate stock in India is expected to reach
3.7 million square feet in 2019, with addition of 200 million square feet during the year.
Emergence of nuclear families, rapid urbanisation and rising household income are likely to
remain the key drivers for growth in all spheres of real estate, including residential,
commercial and retail. Rapid urbanisation in the country is pushing the growth of real estate.
More than 70 per cent of India’s GDP will be contributed by the urban areas by 2020. Indian
real estate increased by 19.5 per cent CAGR from 2017 to 2028.
Private Equity and Venture Capital investments in the sector reached US$ 4.47 billion in
2018 and reached US$ 1.47 billion during January- March 2019. Institutional investors
pumped in Rs 24,220 crore (US$ 3.5 billion) in India’s real estate sector so far in 2019.
During the first six months of 2019, the real estate sector witnessed private-equity (PE)
inflows of Rs 27,767 crore (US$ 3.9 billion). Between 2009-18 (up to October 2018), Indian
real estate sector attracted institutional investments worth US$ 30 billion.
Office space has been driven mostly by growth in ITeS/IT, BFSI, consulting and
manufacturing. Gross office absorption in top Indian cities has increased 26 per cent year-on-
year to 36.4 million square feet between Jan-Sep 2018. Warehousing space is expected to
reach 247 million square feet in 2020 and see investments of Rs 50,000 crore (US$ 7.76

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billion) during 2018-20. Grade-A office space absorption is expected to cross 700 million
square feet by 2022, with Delhi-NCR contributing the most to this demand.
The Government of India has been supportive to the real estate sector. In August 2015, the
Union Cabinet approved 100 Smart City Projects in India. The Government has also raised
FDI limits for townships and settlements development projects to 100 per cent. Real estate
projects within the Special Economic Zone (SEZ) are also permitted 100 per cent FDI.
Exports from SEZs reached Rs 7.01 lakh crore (US$ 100.30 billion) in FY19.The total
number of houses built under the Pradhan Mantri Awash Yojana (PMAY) reached 69 million
up to May 27,2019. Government of India’s Housing for All initiative is expected to bring
US$ 1.3 trillion investments in the housing sector by 2025. Under the Pradhan Mantri Awash
Yojana (PMAY) Urban, 8.09 million houses have been sanctioned up to May27, 2019. The
scheme is expected to push affordable housing and construction in the country and give a
boost to the real estate sector. The government has also released draft guidelines for
investments by Real Estate Investment Trusts (REITs) in non-residential segment.

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 Chapter-2
Major Competitors of SAYA Homes Pvt Ltd

Amrapali Groups:-
Amrapali was an enchanting courtesan. Those who were spellbound by the stories of her
extraordinary beauty and magical charms likened her to the timeless legend of Queen
Cleopatra. And so the name came to symbolize enduring beauty and elegance. It is a name
that has endured in modern India with the majestic rise of the Amrapali Group.

The name sits well on the crown of the Chairman and Managing Director of the Amrapali
Group, Dr Anil Kumar Sharma. He is also, today, the President of the CREDAI-NCR. The
CREDAI itself is the apex body of builders and developers in India.

The Amrapali Group has catapulted into fame in a short span of barely over a decade. It has
undertaken over 50 projects across 24 cities in India. Success walks hand-in-hand with
success. That is how Amrapali’s brand ambassador is none other than M.S.Dhoni, India’s
most successful Test and ODI captain. The similarity between the two successful men does
not end with fame alone. There is more. While Dr Sharma hails from Bihar, Dhoni hails from
Jharkhand, a state that was carved out of Bihar.

The Amrapali Group has delivered about 15,000 units till now. More than 30,000 units are
under construction, catapulting it into the league of the heavyweight builders. Buoyed by
success and backed by a sharp mind, the group has diversified into townships, malls,
commercial complexes, IT parks, hotels and hospitals.

The group has a strong presence over various locations in north, central, eastern and southern
India covering cities such as Bhilai, Lucknow, Bareilly, Vrindavan, Muzaffarpur, Purnea,
Gaya, Jaipur, Jodhpur, Udaipur, Raipur, Kochi and Indore. The Group is the destination to

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one of the largest home producers in Noida and Greater Noida. Projects include residential
condominiums, commercial plazas, those related to hospitality, multiplexes and townships.

Dr Sharma is soft- spoken. But his words flow with conviction and from a position of
confidence and strength. Here’s a man who set out to execute his plans, and did so quite
brilliantly. After all not too many men have so much captive real estate at their disposal, not
in the National Capital Region at least. Somewhere hidden behind Dr Sharma’s friendly
visage is an astute mind that is scanning the horizon and thinking of spreading the group’s
presence across new acres. The eyes tell a story of their own-----of dreams made possible,
and milestones made real. In an industry that has seen its fair share of ups and downs, Dr
Sharma’s vision for raising the bar is well known. And for a man who has earned numerous
accolades, awards, encomiums and laurels in India and across the world, Dr Sharma is
inspiringly down-to-earth. It has also perhaps something to do with his background and
education.

Dr Sharma was born at Pundarak, a hamlet about 50 kilometres from Patna. He attended a
village school initially before joining the Patna Science College. He attributes his higher
education to the guidance and mentorship of his father, Mr Madan Mohan Sharma, who
wanted him to be a civil engineer. A B-Tech degree with distinction was obtained from NIT,
Calicut and then an M-Tech in structural engineering from IIT, Kharagpur. He followed up
his engineering degrees with an LLB and MBA from Patna. And then he launched himself
into a technocrat’s career by joining the National Thermal Power Corporation (NTPC) and
then the National Project Construction Corporation (NPCC). He briefly served in the Bihar
Civil Services.

ACE Platinum:-
ACE is one of the top reputed builders in Noida, who has always been creative, innovative
and imaginative in the front of the real estate developments in Delhi NCR region. The group
is very well known for its world class projects and professionalism in delivering all the
projects on a timely basis and with top quality products. Our primary business is the
development of residential and commercial projects that consists of modern standards. They
give consistent high performance and a strong commitment to maintain quality standards and
customer service.

Today ACE has become reputed builder in Noida which is synonymous with quality, style,
luxury, comfort, space, innovation and is delivering a wide range of luxurious projects

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through its innovative construction method, best quality materials, services and modern
designs.

In a short period of time we have achieved excellence, client satisfaction and trust and have
efficiently served them luxurious projects without compromising on the quality. We have
always offered affordability, location advantage, quality, modern features and luxurious
amenities to our clients for their convenience. We are well-known for understanding our
clients’ needs and catering to their dreams.

ATS Greens:-
ATS Green is one of the top performing real estate companies in India. Since its inception in
1998, the developer has seen phenomenal growth and delivered landmark projects across the
National Capital Region (NCR) in Noida, Gurgaon, Greater Noida and Yamuna Expressway.
The property portfolio of the builder includes residential, commercial, hospitality and retail
projects. A Member of CREDAI, the company has gained the trust of thousands of customers
because of its commitment towards building a sustainable environment. It has won several
awards for its projects such as Premium Apartment Project of the Year in 2017 by NDTV
Property Awards and Achievement Award for Best Construction Projects at the 8th CIDC
Awards in 2016.

A dedicated workforce of around 3,500 employees at ATS Greens led by a highly

experienced management team led by Chairman and Managing Director, Get amber Anand,
ATS Infrastructure Ltd. The company is committed to operating every aspect of the business
in compliance with the mission and core values of the organization like unprecedented
professionalism, transparency, reliability and integrity. The builder is focused on meeting the
customers’ requirements through methodical project development and management
procedures as well as adherence to global quality standards and best industry practices.

Properties developed by ATS Green are a sheer reflection of extraordinary in-house

construction and unmatched brand equity. The developer has successfully delivered around
7,000 residential units to over 30,000 customers. All these properties boast modern
architecture and superior construction quality accompanied by earmarked features entailing
green surroundings and a host of world-class amenities.

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ATS Green strives towards setting and achieve new milestones while considering ‘best
customers experience’ as their top-most priority. The builder works towards “Ensuring
Environmental Sustainability and Ecological Balance” through special programmes involving
environment conservation initiatives.

Jaypee Greens:-
Jaypee Infract Ltd is an Indian infrastructure development company. The company is a part
of the Jaypee Group. They are engaged in the development of the Yamuna Expressway and
related real estate projects. The company's business model consists of earning revenues from
traffic and related facilities on the expressway during the 36-year Concession period and
development of associated real estate pursuant to the Concession. The Yamuna Expressway
is a 165-kilometre access-controlled six-lane concrete pavement expressway along the
Yamuna river, with the potential to be widened to an eight-lane expressway. The company
also has the right to develop 25 million square metres (approximately 6,175 acres) of land
along the Yamuna Expressway at five locations for residential, commercial, amusement,
industrial and institutional purposes. The company holds the Concession from the YEA to
develop, operate and maintain the Yamuna Expressway in the state of Uttar Pradesh,
connecting Noida and Agra. The Concession also provides for the right to develop 25 million
square metres (approximately 6,175 acres) of land along the Yamuna Expressway at five
locations for residential, commercial, amusement, industrial and institutional purposes.
Jaypee Infract Ltd was incorporated on April 5, 2007 as a Special Purpose Vehicle for
implementation of 165 km long 6-lane Access-Controlled Yamuna Expressway in the state of
Uttar Pradesh connecting Noida and Agra. The company received the certificate for
commencement of business on April 27, 2007. In October 2007, Jaiprakash Associates Ltd
and Yamuna Expressway Authority assigned the assignment in favour of the company. Also,
the holding company Jaiprakash Associates Ltd executed the project transfer agreement in
favour of the company. In December 2007, they commenced the construction of Yamuna
Expressway. In November 2008, the company launched the residential project 'Jaypee Greens
Classic' at Noida in Uttar Pradesh. In May 2009, the company launched the residential project
'Jaypee Greens Aman' at Noida in Uttar Pradesh and in July 2009, they launched the
residential project 'Jaypee Greens Cosmo’s' at Noida in Uttar Pradesh. In October 2009, the
company commenced the construction of the Jaypee medical super speciality 450 bed
hospital, at Noida, Uttar Pradesh, India. In January 2010, the company launched the
residential project 'Jaypee Greens Kensington Park (Plots)' at Noida in Uttar Pradesh and in

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February 2010, they launched the residential project 'Jaypee Greens Kensington Park
(Apartments)' at Noida in Uttar Pradesh.

Larsen & Toubro Limited (L&T):-

Larsen & Toubro Limited, commonly known as L&T Limited is an Indian multinational
conglomerate company headquartered in Mumbai, Maharashtra, India.It was founded by two
Danish engineers taking refuge in India.[4] The company has business interests in basic and
heavy engineering, construction, realty, manufacturing of capital goods, information
technology, and financial services. As at March 31, 2018, L&T Group comprises 93
subsidiaries, 8 associates, 34 joint-venture and 33 joint operations companies.

Chapter-3

L&T Industry Profile

Founder Henning Holck-Larsen,

Soren Kristian Tourbo

Founded In 07 Feb 1938, 81 Years

Company Type Private

Headquarters L&T House, Ballard Estate, Mumbai,

Maharashtra, India

Chair Man A.M Naik

MD & CEO S.N Subramanyam

Product Heavy Equipment, Electrical-

Equipment, Power Generation,

Infrastructure, Constructions,

IT Services, Real estate.

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Revenue ₹141,007 crore

(US$20 billion) (2019)

Net Income ₹8,905 crore, (US$1.3 billion)

Total Assets ₹279,134 crore, (US$40 billion)

Total Equity ₹62,374 crore, (US$9.0 billion)

NO of Employees 44,761 (2019)

Website www.larsentourbo.com

Larsen & Toubro Limited, commonly known as L&T Limited is an Indian multinational
conglomerate company headquartered in Mumbai, Maharashtra, India.[3] It was founded by
two Danish engineers taking refuge in India. The company has business interests in basic and
heavy engineering, construction, realty, manufacturing of capital goods, information
technology, and financial services. As at March 31, 2018, L&T Group comprises 93
subsidiaries, 8 associates, 34 joint-venture and 33 joint operations companies.

History

Larsen & Toubro originated from a company founded in 1938 in Mumbai by two Danish
engineers, Henning Holck-Larsen and Soren Kristian Toubro. The company began as a
representative of Danish manufacturers of dairy equipment. However, with the start of
the Second World War in 1939 and the resulting restriction on imports, the partners started a
small workshop to undertake jobs and provide service facilities. Germany's invasion of
Denmark in 1940 stopped supplies of Danish products. The war-time need to repair and refit
ships offered L&T an opportunity, and led to the formation of a new company, Hilda Ltd, to
handle these operations. L&T also started to repair and fabricate ships signalling the
expansion of the company. The sudden internment of German engineers in British India (due
to suspicions caused by the Second World War), who were to put up a soda ash plant for the
Tata's, gave L&T a chance to enter the field of installation.

In 1944, ECC (Engineering Construction & Contracts) was incorporated by the partners; the
company at this time was focused on construction projects (Presently, ECC is the
construction division of L&T). L&T began several foreign collaborations. By 1945, the
company represented British manufacturers of equipment used to manufacture products such

13
as hydrogenated oils, biscuits, soaps and glass. In 1945, the company signed an agreement
with Caterpillar Tractor Company, USA, for marketing earth moving equipment. At the end
of the war, large numbers of war-surplus Caterpillar equipment were available at attractive
prices, but the finances required were beyond the capacity of the partners. This prompted
them to raise additional equity capital, and on 7 February 1946, Larsen & Toubro Private
Limited was incorporated.

After India's independence in 1947, L&T set up offices in Calcutta (now Kolkata), Madras
(now Chennai) and New Delhi. In 1948, 55 acres of undeveloped marsh and jungle was
acquired in Powai, Mumbai. A previously uninhabitable swamp subsequently became the site
of its main manufacturing hub. In December 1950, L&T became a public company with a
paid-up capital of ₹20 lakh (US$29,000). The sales turnover in that year was ₹1.09
crore (US$160,000). In 1956, a major part of the company's Mumbai office moved to ICI
House in Ballard Estate, which would later be purchased by the company and renamed as
L&T House, its present headquarters.

During the 1960s, ventures included UTMAL (set up in 1960), Audco India Limited (1961),
Eutectic Welding Alloys (1962) and TENGL (1963). Largest Indian Engineering Service
Company.

Operating Division

L&T formed a joint venture with Sapura Crest Petroleum Berhad, Malaysia for providing
services to the offshore construction industry.[7] The joint venture owns and operates the LTS
3000, a crane vessel for heavy lifting and pipe-laying.

L&T Power has set up an organisation focused on coal-based, gas-based and nuclear power
projects.[8] L&T has formed two joint ventures with Mitsubishi Heavy Industries, Japan to
manufacture super critical boilers and steam turbine generators.

L&T is among the largest five fabrication companies in the world. L&T has a shipyard
capable of constructing vessels of up to 150 metre long and displacement of 20,000 tons at its
heavy engineering complex at Hazira, Gujarat. The shipyard constructs specialised heavy-lift
ships, CNG carriers, chemical tankers, defence & para-military vessels, submarines and other
role-specific vessels.

The design wing of L&T ECC is EDRC (Engineering Design and Research Centre), which
provides consultancy, design, and services. It carries out the basic and detailed design for
both residential and commercial projects.
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L & T Reality

L&T Realty is the real estate development arm of Larsen & Toubro.The Company operates in
Western and Southern India, constructing residential, corporate office, retail, leisure and
entertainment properties with 35 million sq. ft. under various stages of development.

L & T Technology Services

L&T Technology Services. a subsidiary of Larsen & Toubro, is an engineering services

company that operates in the global Engineering, Research and Development (“ER&D”)
space. L&T Technology Services offers design, development and testing services for the
industrial products, medical devices, transportation, aerospace, telecom and process
industries. The company serves customers across the product engineering life cycle from
product conceptualization to implementation. Services include consulting, design,
development, testing, maintenance, and to-market integration services.L&T Technology hits
the Indian Capital Markets with its IPO offering 10.4 million shares at a price band of Rs.850
to Rs.860.

Machinery and industrial products

L&T manufactures, markets and provides service support for construction and mining
machinery, including surface miners, hydraulic excavators, aggregate crushers, loader
backhoes and vibratory compactors; supplies rubber processing machinery and manufactures
and markets industrial valves and allied products along with application-engineered welding
alloys.

Major subsidiaries and joint ventures

As of March 2018, L&T has 93 subsidiaries, 8 associate companies, 34 joint ventures, and 33
joint operation companies.

 L&T Infrastructure Engineering Ltd. is one of India's engineering consulting firms

offering technical services in transport infrastructure. The company has experience
both in India and Globally, delivering single point ‘Concept to Commissioning’
consulting services for infrastructure projects like airports, roads, bridges, ports and
maritime structure including environment, transport planning and other related
services. Established in 1990 as L&T-Ramboll Consulting Engineers Limited, the
company became the wholly owned subsidiary of L&T in September 2014. Today,

15
 L&T Infra Engineering is an independent corporate entity managed by a Board of
Directors. The company enjoys complete freedom to set and pursue its goals,
drawing, as and when required, on the technical and managerial resources of L&T
Infrastructure Engineering Limited.
 L&T Kobelco Machinery Private Limited: this is a joint venture of L&T and Kobe
Steel of Japan, to manufacture internal mixers and twin screw roller-head extruder's
for the tyre industry. The company has a factory at Korai Village, Kanchipuram, that
manufactures internal mixers and twin-screw roller head extruder's for
the tyre industry, which commenced commercial operations on 1 December 2012.
 L&T – Construction Equipment Limited: having its registered office at Mumbai, India
and focusing on construction equipment and mining equipment, L&T-Komatsu
Limited was a joint-venture of Larsen and Toubro, and Komatsu Asia Pacific Pte
Limited, Singapore, a wholly owned subsidiary of Komatsu Limited, Japan. Komatsu
is the world's second largest manufacturer of hydraulic excavators and has
manufacturing and marketing facilities. The plant was started in 1975 by L&T to
manufacture hydraulic excavators for the first time in India. In 1998, it became a
joint-venture. The Bengaluru works comprise machinery and hydraulics works, with a
manufacturing facility for design, manufacture, and servicing of earth moving
equipment. The hydraulics works have a precision machine shop, manufacturing high-
pressure hydraulic components and systems, and designing, developing,
manufacturing and servicing hydraulic pumps, motors, cylinders, turning joints, hose
assemblies, valve blocks, hydraulic systems, and power drives as well as allied
gearboxes. In April 2013, L&T bought the 50% stake held by Komatsu Asia &
Pacific. The company's name was changed to L&T Construction Equipment Limited.
 L&T-John Deere: In 1992, L&T established a 50-50 joint venture with John Deere to
manufacture tractors in India, called L&T - John Deere. L&T sold their interest to
John Deere in 2005.
 L&T Case: In 1992, L&T established L&T-Case Construction with CNH Global as a
50-50 joint venture to build backhoes. In 2011, L&T decided to exit this joint venture
and sold its share to CNH, and the company was renamed Case New Holland
Construction Equipment India.

16
 They also have a joint venture with Qatari company albalagh group which they jointly
are the main contractors for alrayyan stadium, the 2022 FIFA World Cup stadium
which will host matches up to the quarter-final.
 L&T Finance: Larsen & Toubro Financial Services is a subsidiary which was
incorporated as a non-banking financial company in November 1994. The subsidiary
has financial products and services for corporate, construction equipment etc. This
became a division in 2011 after the company declared it’s restructuring A partnership
between L&T Finance and Sonalika Group farm equipment maker International
Tractors Ltd in April 2014 provided credit and financing to customers of Sonalika
Group in India.

 Larsen & Toubro Infrastructure Finance: this wholly owned subsidiary commenced
business in January 2007 upon obtaining Non-Banking Financial Company (NBFC)
license from the Reserve Bank of India (RBI). As of 31 March 2008, L&T
Infrastructure Finance had approved financing of more than US$1 billion to select
projects in the infrastructure sector. It received the status of "Infrastructure Finance
Company" from the RBI within the overall classification of "Non-Banking Financial
Company"
 L&T Technology Services, a subsidiary of Larsen & Toubro, is a global engineering
services company headquartered out of Vadodara, Gujarat, India. It offers design,
development, and testing solutions across the product and plant engineering value
chain, for various domains including Industrial Products, Transportation, Aerospace,
Telecom & Hi-tech, and the Process Industries. As of 2016, L&T Technology
Services employs over 10,000 workers and has operations in 35 locations around the
world. Its clientele includes a large number of Fortune 500 companies globally.
 L&T Valve’s business group markets valves manufactured by L&T's Valve
Manufacturing Unit and L&T's joint-ventures, Audco India Limited, India and Larsen
& Toubro Valves Manufacturing Unit, Coimbatore as well as allied products other
manufacturers. The group's manufacturing unit in Coimbatore manufactures industrial
valves for the power industry, along with flow control valves for the oil and gas,
refining, petrochemical, chemical and power industries, industrial valves and
customised products for refinery, LNG, GTL, petrochemical and power projects. L&T

17
 Valves Business Group has offices in the US, South Africa, Dubai, Abu Dhabi, India
and China, and alliances with valve distributors and agents in these countries.
 L&T-MHPS Boilers is a joint venture between L&T and Mitsubishi Hitachi Power
Systems. The group specialises in engineering, manufacturing, erecting and
commissioning of supercritical steam generators used in power plants. It is mainly
headquartered in Faridabad with a manufacturing facility in Hazira and an
engineering centre in Chennai and Faridabad. Currently, the group is engaged in
projects for JVPL, MAHAGENCO, and Nabha Power & RRVUNL.
 L&T MHPS Turbine Generators Pvt Ltd: in 2007, Larsen & Toubro and Mitsubishi
Heavy Industries set up a joint-venture manufacturing agreement to supply a
supercritical steam turbine and generator facility in Hazira. This followed a
technology licensing and technical assistance agreement for the manufacture of
supercritical turbines and generators between L&T, MHI, and Mitsubishi
Electric Corporation (MELCO), headquartered in Tokyo, Japan. In February 2014,
MHI and Hitachi Ltd integrated the business centred on thermal power generation
systems (gas turbines, steam turbines, coal gasification generating equipment, boilers,
thermal power control systems, generators, fuel cells, environmental equipment and
so on) and started a new company as Mitsubishi Hitachi Power Systems (MHPS) Ltd,
headquartered in Yokohama, Japan.
 L&T Howden Pvt Ltd is a joint venture between L&T and Howden to
manufacture axial fans and air pre-heaters in the range of 120-1200 MW to thermal
power stations. L&T Howden is an ISO 9001 and ISO 5001 certified organisation,
with a plant located in Surat Hazira and a marketing office in Faridabad.
 L&T Special Steels and Heavy Forgings Pvt Ltd. is a joint venture between L&T
and NPCIL, headquartered at Hazira. It is the largest integrated steel plant and heavy
forging unit in India, capable of producing forgings weighing 120 MT each. LTSSHF
currently is engaged in projects from the nuclear, hydrocarbon, power and oil and gas
sectors.
 L&T-Sargent & Lundy Limited (L&T-S&L), established in 1995, is a premier
Engineering & Consultancy firm in the Power Sector, born out of shared vision of two
renowned organizations - Larsen & Toubro Limited (L&T), India's largest
engineering and construction company and Sargent & Lundy L.L.C. - USA, a global
Consulting firm in Power industry since 1891.

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 L&T General Insurance
 In 2015, the company began developing commercial, retail and office space around
the Hyderabad Metro Rail project.
 In June 2019, the company acquired a controlling stake in IT services company Mind
tree Ltd

Visions and Mission

Visions

To become a leading

Integrated engineering solutions provider

In the global power sector,

Continuously creating value for

Our stakeholders.

Mission

 Be responsive to customer needs, delivering optimal solutions and value-added

services
 Ensure sustainable growth and professional excellence using state-of-the-art
technology, process-driven approaches, eco-friendly solutions and IT enabled tools
 Foster a culture of mutual trust, respect, teamwork, continuous learning, innovation,
and challenge and employee empowerment to provide a growth-oriented workplace

19
  Adhere to fair, transparent and ethical practices in interactions with all stakeholders,
in keeping the tenets of good corporate citizenship
 Remain flexible and agile, continually adapting to the changing business environment

Chapter-4

Market Analysis of L&T Industry

Services of L&T

Many of India's iconic buildings - from airports to IT parks, malls to monuments, high-rises
to health centres, places to stay, pray or play - carry the signature of excellence of L&T
Construction. The company's track record in successfully addressing tough challenges is built
around its unique capability to offer total solutions including 'Design-Build-Commission'

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expertise, advanced systems like Building Information Modules, a global supply chain and
unrivalled project management expertise.

Airports:

As the way the world travels changes, L&T is driving the airport revolution in India and
overseas with a track record of airport projects that reads like a flight itinerary - Abu Dhabi,
Bengaluru, Kozhikode, Hyderabad, Delhi, Mumbai, Chandigarh, Cochin, Kannur and
Salalah in Oman. L&T offers Design & Build solutions including integrated airport system
solutions under a single roof, a world-wide network for engineering, global supply chain
management and world-class project management expertise.
Table-1.1, Airport Programing.

Passenger Terminal Buildings(PTB) Airside and Landside Works

Maintenance and Overhaul Facilities Cargo Terminals

Air Traffic Control Towers MEP & Airport Special Systems

IT and Institutional Space:

Concept-to-commissioning solutions for IT parks, office spaces including high-rise towers,

green buildings and design and construction of educational institutions, metro stations, sports
stadia, exhibition / convention centres’ and other public buildings.

Health & Leisure:

Design and construction of hospitals, including procurement, installation, testing and

commissioning of medical equipment. In the leisure segment, turnkey construction of world-
class hotels, entertainment centres, commercial malls and mixed use developments.

Elite Housing:
Over the past two decades, L&T has been creating high-end luxury homes for some of the
most prestigious communities. Bringing to play their expertise in Design & Build using
quality materials and equipping the edifices with ultra-modern home automation systems.

Affordable Housing:
The combination of construction technologies, sustainable materials, decades of experience

21
and domain knowledge gives L&T a competitive edge.
Table-1.2, House programing,

Turnkey Capability Design and Build

Construction Techniques Precast Technology

Avant-Garde Technology Finishes Implementation Centre(FIC)

Factories:

Turnkey design and construction services for cement plants, automobile factories, process
plants, glass factories and warehouses.

Educational Institutions;

Many educational institutions like elite management institutes and business schools around
the country and abroad carry the distinctive imprint of L&T's construction excellence.

Hospitals:

L&T provides integrated design, engineering, procurement, construction and project

management services for the healthcare sector. From super-specialty hospitals, medical
colleges and nursing colleges to infrastructure and residential facilities, L&T offers EPC
solutions across a wide spectrum of businesses. The concept of a single-window solution on
EPC basis offers a hassle-free environment where a fully commissioned hospital with end-to-
end healthcare facilities is delivered to the client just as a builder offers a fully furnished
apartment for possession.

Figure1.1 Hospital, school, House

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Distribution Channel of L&T House

IN spite with increased competition from alternate distribution channels, L&T believe
independent agents continue to represent a major chunk of carriers'' business. Hence it is
imperative for carriers to focus on enriching their relationship with Agents. His suite of
services enables insurance companies to achieve a ''Carrier of choice'' status amongst agents.
L&T Agency Relationship Management Solution, Agency Point.

 Agency Portal
 Mobile Based Agency Management Solution
 Agency - Carrier Interface Solution
These services enable insurance carriers to retain its top agents, while developing an
attractive proposition to attract new agents.

How it Works
1-Tell us what you need by filling the form
2-Receive Verified supplier details
3-Compare Quotations and seal the deal

Market share of L&T Construction

Infrastructure major Larsen & Toubro’s Maharashtra order book may be at risk as the state
government reviews big-ticket infrastructure projects, but the company has recently bagged
several significant awards in India and abroad. The heavy civil construction arm of the
company, L&T Construction, on Thursday said it has bagged an order of around Rs 1,000-
2,500 crore from Rail Vikas Nigam (RVNL) for construction of tunnels, bridges and
formation works in Uttarakhand.

The company has been awarded the contract for construction of the main tunnel, with a
parallel escape tunnel and ballast-less track that runs inside the main tunnel, of Rishikesh-
Karanprayag Tunnel 2, which is located in the Garhwal Himalayan Range and a part of the
flagship Golden Quadrilateral railway project. The tunnel consists of a significant portion of
the Rishikesh-Karanprayag project, which has a total length of 125.2 kilometres.

23
Table-1.2, Market share among all construction industry,

Tech Mahindra Ltd:-

Tech Mahindra Cover 28% Market Share in India.

Mphasis Ltd:-

Mphasis Ltd has 13% Market Shares.

Mind Tree Ltd:-

Mind Tree has 15% Market Share in India.

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L&T Industry:-

L&T has Cover 12% of Indian Market Shares.

Syntel Ltd:-

Syntel Ltd has 13% of Indian Market Shares.

Swot Analysis of L&T Industry

Larsen & Toubro Limited (L&T) is a giant in the field of construction and manufacturing in
India. L&T also has ventured into electronic and electrical equipment, financial services and
information technology. L&T has observed impressive growth in revenue in the past few
years and has many projects in the pipeline currently.

Strengths in the SWOT Analysis of L&T.

Strong Brand Name in construction and manufacturing in India: L&T has a strong brand
name in India in the field of construction and manufacturing which enhances its trust on its
clients. L&T has handled various large scale projects in India and has successfully created a
trustworthy brand name which is very important especially in the construction industry.

Competitive advantage: L&T is one of the most respected companies in India for
engineering for its custom made technology-intensive equipment and systems. With the
strong brand name and strong manufacturing facilities, L&T holds a competitive advantage.

Technical expertise: L&T’s technological capabilities support its design and manufacturing
capabilities and provide an expertise in engineering and project management. L&T’s
Technical expertise provides a competitive advantage to the company.

Strong financial position: L&T’s financial position has been improving from the past few
years with company’s total assets growing at a CAGR of 18% and its total capital grew at a
CAGR of 12% from FY2011-15. Improving financial conditions provides a cushion at the
time of adverse market conditions.

Weaknesses in the SWOT Analysis of L&T.

25
Dependence on Indian market: Indian market contributes over 65% of its total revenues and
thus makes L&T largely dependent on the Indian market. Overdependence on a particular
market makes the company vulnerable to any fluctuations in the Indian market.

Increasing debt: L&T’s debts have been increasing steadily for the past few years. L&T’s
debt has increased from INR 98960 million in FY2011 to INR 136090 in FY2016. Increasing
debts impact company’s financial flexibility.

Opportunities in the SWOT Analysis of L&T

Growth in Indian construction and engineering industry: The Indian construction and
engineering industry grew by 8% year on year. With expected high government and private
spending on infrastructure in the next 10 years on smart cities, metro projects etc. L&T is
well placed to leverage the opportunity created in the industry.

Strong order book position: L&T has won various contracts in the recent past and secured
new orders worth more than $20000 million in the year 2015-16 which showed a growth of
over 7% over the year.

Threats in the SWOT Analysis of L&T

Extensive environmental regulations: L&T is subject to follow extensive environmental
regulations relating to health, pollution, waste disposal etc. These regulations increase
compliance cost for the company.

Low Oil prices affect the industry: With oil prices decreasing, various drilling projects have
been stopped and expansion plans have been scaled back. This affects growth opportunity for
the company and the industry.

GST impact can be negative: The cost of under construction buildings are expected to
increase with GST and it will have an overall negative impact on the construction industry.

26
 Chapter-5

Human Resources Analysis

Carrier Opportunity Last 2 Year.

NEW DELHI: Infrastructure giant Larsen & Toubro (L&T) plans to hire 1,500 people this
year, the same as in previous years, a top company official said.

The company's manpower strength stood at 42,924 as on March 31, 2018 as compared to
41,466 as at March 31, 2017. On an average, we hire close to 1,500 people across functions
every year and we see no discontinuity in this practice unless business dynamics change
drastically," Yogi Sriram, Senior Vice President - Corporate HR, Larsen & Toubro, told PTI.

L&T recently made a hostile takeover bid for mid-sized IT services firm Mindtree. However,
the company's founders have resisted the unsolicited acquisition bid, citing differences in
corporate culture and other factors.

L&T recently made a hostile takeover bid for mid-sized IT services firm Mindtree. However,
the company's founders have resisted the unsolicited acquisition bid, citing differences in
corporate culture and other factors.

Elaborating on L&T's HR practices, Sriram said: "We are putting a greater emphasis on
ensuring wider participation of women and frame policies to enable their career growth."

Women employees are not just deployed in IT and finance roles, but are also present in core
engineering jobs like heavy engineering shops, construction projects and defence engineering
projects, he said.

Asked whether there will be job cuts as the company opts for digitisation, Sriram said, "There
have been no lay-offs and the exits were limited to reasons of non-performance."

27
The company's Leadership Development Academy (LDA) at Lonavala has been set up for
learning interventions, he said, adding that an artificial intelligence driven digitalised
platform, called ATLNext, caters to the learning needs of its workforce.

Business magazine Forbes had listed L&T among the 'World's Best Employers' for 2018. The
list, based on Forbes' Global 2000 rankings of publicly traded companies in 60 countries,
placed L&T at number 22, making it the highest-ranked Indian firm across all sectors.

In 2017, the Company’s workforce had 41,466 members, which rose to 42,924 members in
2018. The Company also boasts of one of the lowest employee attrition rates — only about
five per cent.

Green Portfolio

Figure:-1.2 Green Portfolio

28
L&T has retained its leadership edge by leveraging its entrenched competitive capabilities
while simultaneously remaining alert to emerging possibilities. We continued our
engagement with India's strategic sectors as well as in critical areas Such as infrastructure
development. Our existing capabilities are also in sync with national programmes like Make

in India and Digital India.

L&T's integrated capabilities span the spectrum of design to deliver for infrastructure and
engineering solutions. However. L&T believes in inventing the wheel and leveraging new
technologies for a wider portfolio of green products. Characterised by professionalism, high
standards of corporate governance and sustainability, the Company has developed a Green
Products and Services Portfolio With our Green Portfolio. We deliver engineering and design
solutions focused on Sustainability and infrastructure with low environmental impact. These
include technology solutions with lower carbon emissions, less water consumption, lesser air
pollution, energy efficiency improvement clean energy and resource conservation.

Human Resource Stability

People are central to L&T's activities, achievements and the value it delivers to its
stakeholders. The zeal, dedication and expertise of its people powers L&T's growth and
prospects.

We are a meritocracy and strive for diversity in nationality, caste, age, physical ability and
religion; and believe in equal career opportunities for all. The male to female remuneration
ratio is at 1:1.

With over 55% of the workforce below the age of 30, L&T is a young engineering
conglomerate. We stimulate and leverage this young intellectual capital by offering a healthy
mix of opportunity, responsibility, growth and purpose. Our integrated talent management
framework is established on a robust model that enhances employee capabilities and nurtures
both professional and behavioural competencies.

Our work culture empowers individuals with the freedom to think beyond the conventional,
innovate out of the box and raise performance levels.

Diversity

29
We believe in gender equality and aim to increase the number of women in our workforce.
The Company employs a large number of differently-abled individuals. We initiated a
programme called Renew, a platform that enables women professionals to re-enter the
corporate world after a career break. Any woman on a career break is eligible, and those
applying will be evaluated as per the current employment criterion.

L&T has a redressal system to handle complaints from female employees and it is covered
under Protection of Women's Rights at Workplace Policy. We have constituted apex and
regional complaints committees to address cases of sexual harassment at the workplace.

Employee Development

Training and skill development are the pillars which uphold L&Ts capacity-building agenda.
We impart training in new skills in emerging fields to employees. We offer several training
modules for employee development and skill building to meet various facets of the
organization's growth and performance.

Categories of training programmes available to employees:

Orientation Programmes -These entry-level programmes ensure a smooth transition of the

workforce from academic institutions into the corporate world. They introduce fresh recruits
to L&T's Culture and values, information about the organisation, its businesses and
interaction with senior management. They also cover human rights related aspects.

Core Development Programmes- These programmes develop and groom talent in general
management and equip trainees to address higher-level responsibilities.

Centre of Excellence Programmes-These structured programmes provide end-to-end

consulting on various business initiatives of operational excellence. These programmes assist

30
L&T's businesses in improving performance and effectiveness, by organizing training and
certification Courses.

Training Programmes- These programmes, conducted by external agencies, meet specific

training needs on technical subjects.

Performance Oriented Development Plan- After identifying the developmental and

training needs of an individual, support for performance improvement is provided through
on-the-job training, self-study material, participation in external and internal competitions
.pecial projects voluntary assignments, external programmes and seminars.

Theme Based Programmes - These are need-based programmes conducted to spread

awareness and knowledge about a system, model or a process. These programmes also cover
training modules for employees who are due to retire.

Chapter -6

Findings

Larsen & Toubro Limited, commonly known as L&T Limited is an Indian multinational
conglomerate company headquartered in Mumbai, Maharashtra, India.It was founded by two
Danish engineers taking refuge in India.[4] The company has business interests in basic and
heavy engineering, construction, realty, manufacturing of capital goods, information
technology, and financial services. As at March 31, 2018, L&T Group comprises 93
subsidiaries, 8 associates, 34 joint-venture and 33 joint operations companies.

Infrastructure giant Larsen & Toubro (L&T) on Thursday said its construction arm has
bagged "large" contracts from multiple clients in the domestic market.

The engineering and construction company, however, did not provide the exact value of the
contract; but as per its project classification, the value of the contracts were in "large"
category which is in the range of Rs 2,500 to Rs 5,000 crore.

31
The buildings and factories business has secured an order for the construction of campus
development of IIT Hyderabad at Kandi, Telangana, L&T said in BSE filing.

L&T said its buildings and factories business has received another order from an Indian Real
Estate development company for the construction of "Asset 13 project" at Aerocity, New
Delhi.

The project consists of hotel building, office complex, international conference and business
centre as well as multi-level car parking spaces. The project has to be completed in 22.5
months.

The company further said that the business has secured add-on orders from some of its
existing projects.

The Centre’s push towards infrastructure — road construction, electrification of railways and
high-speed rail, airport expansion and smart cities — is likely to augur well for infra major
L&T’s order flow. Aside from a healthy pipeline of projects providing good revenue
visibility, the company’s diversified business and strong financials are key positives. The
company has also added several private players, alongside a few overseas ones, to its client
base.

The Centre had announced in the Budget a spend of ₹100-lakh crore towards infrastructure
over the next five years. However, owing to funding constraints, developments on the ground
have fallen short of expectations. Despite the broader slowdown, L&T witnessed a healthy
order intake of ₹1.8-lakh crore in FY19, 16 per cent growth year-on-year (consolidated
basis), predominantly on account of diversification. In the current fiscal too, the company is
off to a good start, bagging orders worth ₹38,700 crore in the latest June quarter.

At a current market price of ₹1,328, the stock trades at a PE of 20.6 times, which is at
discount to its five-year average PE of 27 times. Long-term investors can buy the stock at
current levels.

32
 Chapter-7

Recommendations\Suggestion

My recommendation? Resolve to take back control of your personal data online. Most people
but don't know what to do to fix it, or worse, think they can’t do anything to fix it. I’m here to
tell you that you can achieve this meaningful resolution through a few quick steps, each of
which make a huge difference protecting your privacy: from stopping big tech from sucking
up all your browsing data, to adding extra protection to your passwords and email. And, once
set up, unlike going to the gym or mastering a new skill, it doesn’t take much effort to
maintain.

L&T has a redressal system to handle complaints from female employees and it is covered
under Protection of Women's Rights at Workplace Policy. We have constituted apex and
regional complaints committees to address cases of sexual harassment at the workplace.

33
We believe in gender equality and aim to increase the number of women in our workforce.
The Company employs a large number of differently-abled individuals. We initiated a
programme called Renew, a platform that enables women professionals to re-enter the
corporate world after a career break. Any woman on a career break is eligible, and those
applying will be evaluated as per the current employment criterion.

L&T recently made a hostile takeover bid for mid-sized IT services firm Mindtree. However,
the company's founders have resisted the unsolicited acquisition bid, citing differences in
corporate culture and other factors

L&T Valve’s business group markets valves manufactured by L&T's Valve Manufacturing
Unit and L&T's joint-ventures, Audco India Limited, India and Larsen & Toubro Valves
Manufacturing Unit, Coimbatore as well as allied products other manufacturers. The group's
manufacturing unit in Coimbatore manufactures industrial valves for the power industry,
along with flow control valves for the oil and gas, refining, petrochemical, chemical and
power industries, industrial valves and customised products for refinery, LNG,
GTL, petrochemical and power projects. L&T Valves Business Group has offices in the US,
South Africa, Dubai, Abu Dhabi, India and China, and alliances with valve distributors and
agents in these countries.

References

Books

Logistics and supply chain of management by D K Agarwal.

Marketing Management by Philip Kotlor.

Marketing Management by Rama Swami.

Financial Management by L M Pandey.

Management Accounting by S Hashi K Gupta

News Papers

The Hindu.

34
The times of India.

Economics Times.

India Today.

Mint.

Websites

http//: www.L&T.com
http//; www.wikipedia.org

35