The saga continues

1. .Henning holck Larsen and Saren Kristin Toubra were learning about
India in history classes and that is the starting point of the formation of
L&t. In 1938 they decided to left Europe and started their operation in
India .At first the head office was made at Mumbai which was so small
that were only one of the partners could use the office at a time. But today
LNT becomes the India’s biggest and best known industrial organisation
with a reputation for technological excellence high quality of products
and services and strong customer orientation
Though they have strong presence in India their goal is to make company
multinational . They noticed that the middle East market was booming LNT
therefore started their new operation in six countries in the gulf with joint
ventures. The idea was to develop mini LNT in the region .they also found they
would have some most benefits if they operates manufacturing plant in China
this is how LNT developed as strong MNC
2. Though LNT made huge turnover not everything went well with it in the
late 90s the micro environment was not very inspiring which resulted in
LNT stagnant revenues and low margins. LNT core strength was its
engineers but they were not able to cope up with it the fast-growing
software sector. Though LNT was a good companies its stock price for
some reason was fixed at the rupees 142 to 210 band
Many changes was brought in 1999 when Naik took over as the CEO. He
visited each employees despite of hierarchy. LNT become the first company to
offer shares as to their own employees .Nike set himself 90 day transformation
agenda .the main point of that was to complete all projects within time in
September 2003 LNT sold its cement companies
Aditya Birla which reduce its debit equity from 1:1 is to 0:2:1 .The financial
health of the company also swing from negative rupees 350 crore to a positive
rupees 50 crore immediately. this is how LNT overcame their difficulties
3. LNT has big plans to foray into new businesses
The new businesses are:
 Ship building: it aims to produce world class facility ships and already has
small shipyard in Hazira
 Power equipment: it made joint venture with Mitsubishi for super critical
boiler and with Toshiba for furbines
 Financial services: it is planning to come up with Dollar 1 billion
infrastructure fund
 Railway :LNT aims to provide tracks laying to signalling to transmission

in railway sector with the ultimate motives and LNT saga continues
without end