Niraj BS 0104

Internship At L&T Construction Equipment
INTERNSHIP REPORT
TITLE: Intern report on

L&T Equipment
Manufacturing and sales
Submitted by
NAME: NIRAJ B.
ROLL.NO: U03FJ21M0011
In partial fulfillment of the
requirement for the award of
Degree in business During
2024
Under the Guidance of
Asst. Professor
Smitha Nadiga
JYOTHY INSTITUTION OF COMMERCES

AND MANAGEMENT --560082
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Certificate
This is to certify that Mr. Niraj B S bearing Reg No. U03FJ21M0011 of Sixth Semester of
BBA has successfully completed project report titled “A STUDY ON SALES AND
MARKETING STRATEGY L&T” during the
academic year 2023-2024 in partial fulfillment of the requirement for the award of Degree of
Bachelor of Business Administration of Bangalore University.
Date: Dr. S Satyeshwar

Place: Bengaluru Principal
JICM
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DECLARATION
I NIRAJ BS , hereby declare that this report entitled a study on “A STUDY ON

SALES AND MARKETING STRATEGY L&T” ' Doddaballapur' study
conducted by me during from
05-04-2024 to 08-05-2024 under the supervision and guidance of Asst. Professor
Smitha Nadiga of JYOTHY INSTITUTE OF COMMERECE AND
MANAGEMENT
DATE:
PLACE: Signature
Niraj.B.S
U03FJ21M0011
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ACKNOWLEDGEMENT
I am very thankful to LARSEN & TOUBRO CONSTRUCTION EQUIPMENT

LIMITED for giving me the opportunity to undertaken my internship. It was very good
learning experience for me to have worked at this site as an intern student involved in many
unique construction practices and challenges.
I would like to convey my heartful thanks to Mr. JAGAN MOHAN, HR Manager

and Mr. BHARGAVA, HR Executive L&T Construction Equipment Limited.
Kamashettyhalli, Raghunathpur, Doddaballapur, Bangalore-561203
I would also like to thank, Dr. S. Sathyeshwar ,
who guided me during this internship to encourage and helped for successfully
completion of internship Smitha Nadiga
I would like to thank all the staff at L&T Construction for being so helpful during
this internship who contributed their valuable advices, shared their work experience with
me and helped me to complete the internship successfully.
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INTRODUCTION ABOUT THE ORGANIZATION AND INDUSTRY

1.1 Introduction:
The internship program is designed to provide students engaged in a field experience with an
opportunity to share their insights to explore the links between student’s academic preparation and
their field work and their field work and to assist participants in developing and carrying out the major
research project which project which will serve to culminate their internship experience.
This report is description of my internship carried out as compulsory part of school of management,
presidency university. The following report describes the activities carried out during the full-time
internship at L&T Construction Equipment Ltd, Doddaballapur.
Larsen & Toubro has been actively associated with construction and mining equipment industry for over
seven decades. It has a rich legacy of innovation on heavy engineering and has proven expertise in
manufacturing hydraulic excavators and other earthmoving equipment. L&T Construction Equipment
has been a part of this long journey crossing significant milestones, stimulating indigenous development
and launching new products.
With a highly-prospective sales networks connecting strategic locations, coal belt areas, granite clusters
and activity centers, L&T looks to expand into newer markets, while consolidating on existing
territories. These products have been enabled L&T to create new productivity standards in the industry.
They also provide unmatched products support to customers for services and parts through a
countrywide footprint of modernized services centers and dealer locations.
Objectives:
 To Gain first-hand knowledge and a greater understanding in an organization, including

the administrative functions and the community forces which affect its organization and
administration.
 To analyze the practical implication of theoretical knowledge acquired during the
MBA program.
 To understand the major functions along with products and services of the organization.
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1.2 INDUSTRIAL PROFILE
Industry is the production of goods or related services within an economy. The major source of revenue
of a group or company is the indicator of its relevant Industry. When a large group has multiple
sources of revenue generation. It is considered to be working in different Industries.
Larsen and Toubro Ltd is a manufacturing industry.
Manufacturing Industry is an economic activity concerned with the processing of collecting raw
materials and making them into finished products in factories.
Companies in this industry manufacture various kinds of machinery used in agriculture, mining,
construction, or manufacturing. Top countries for machinery manufacturing include China, Germany,
Japan, South Korea and the US. Machinery demand closely follows growth in GDP and emerging
markets are expected to post the most robust growth in the coming years.
The L&T Ltd company manufactures, markets and provides service support for industrial products,
industrial machinery as well as construction and mining machinery. Excavator is a self- propelled
crawler or whole mounted machines, with an upper structure, capable of a minimum of 360-degree
rotation, which excavates, elevates, swings and discharges materials, by the action of a bucket fitted to
the boom and the arm or telescopic boom, without moving the chassis or under-carriage, during any part
of the working cycle of the machine. Hydraulic Excavator is a multipurpose Earthmoving machine
which can perform many duties in the field such as digging the earth, mining, loading, quarrying, etc.....,
apart from other activities like well-digging, materials handling. The Excavator is the only
“Earthmoving” machine capable of working in 3 dimensions in all directions.
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Top 5 Construction Equipment Manufacturing Companies in India:
I. Triton valves
II. L&T Construction Equipment
III. Volvo Construction Equipment India
IV. ACE Construction Equipment
V. Universal Construction Machinery Equipment
2.1 ORGANIZATION PROFILE:

Larsen &Toubro Limited, commonly known as L&T, is the largest Indian multinational firm
headquartered in Mumbai, Maharashtra, India. The company has business interests in engineering,
construction, manufacturing goods, information technology, and financial services, and has offices
worldwide Larsen& Toubro is a 2.01 trillion technology, engineering, construction and manufacturing
and financial services conglomerate.
It addresses critical needs in key sectors including infrastructure, construction, hydrocarbon, power,
defense and aerospace. Its footprint extends across seven countries in addition to India.
L&T Construction Equipment manufacturing facility – comprises two manufacturing divisions they
are Machinery Works and Hydraulics Works. The Hydraulics Works manufactures various Hydraulic
Equipment required for the manufacture of Machinery Works.
They also supply customized Hydraulic systems to Komastu Ltd. Japan. L&T Construction Equipment
Limited, Doddaballapur manufactures and sells construction equipment. The company manufactures
high pressure hydraulic components and systems and earthmoving equipment. L&T Construction
Equipment Limited also manufactures hydraulics pumps, motors, cylinders, turning joints, hose
assemblies, valve blocks, hydraulic systems and power drives and allied gear boxes.
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2.2 BACKGROUND
Larsen & Toubro originated from a company founded in 1938 in Mumbai but two Danish engineers,
Henning Holck-Larsen and Soren Kristian Toubro. The company began as a representative of Danish
manufactures 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 understand jobs and provide
service facilities.
In 1975, L&T started operations in Bangalore to manufacture hydraulic excavators for the first the first
time in India, with technical collaboration from Proclaim SA, France. The company introduced several
models of excavators in the Indian market with enormous success, followed by other crawler and
wheeled equipment as well. In 1998, L&T Limited was formed as a joint venture company between
L&T and Komatsu Asia Pacific Pvt. Ltd, Singapore, which is a wholly-owned subsidiary of Komatsu
Limited, Japan, one of the global giants in construction & mining industry.
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L&T has since acquired the shareholding of Komatsu in L&T-Komatsu Limited effective
15th April 2013. Accordingly, the name of the company is changed to L&T Construction Equipment
Limited. The company was formerly known as L&T-Komatsu Limited. As a result of acquisition of
L&T Construction Equipment Limited by Larsen & Toubro Limited, the name was changed in April
2013. The company was incorporated in 1997 and is based in Bangalore, Karnataka.
The plant houses advance CNC machines, robotic welding facilities, hydraulic shop and automated
assembly lines to roll out Hydraulic Excavators of various sizes from 7 tons to 45 tons. The products
are benchmarked to international standards in design, materials, manufacturing and quality. The plant
is certified under ISO-14001 for environment management system and OHSAS-18001 for
occupational health & safety management system.
2.3 NATURE OF BUSINESS CARRIED ON BY L&T :
L & T’s Construction Equipment Limited offers Construction Equipment, and tipper trucks as well as
product support & spare parts for all equipment supplied by company.
Products and services:
CONSTRUCTION:
• Building & factories

• Transportation infrastructure
• Heavy civil infrastructure
• Water & effluent treatment
• Renewable energy
• Power transmission & distribution
• Smart World & communication
CONSTRUCTION & MINING MACHINERY:
• Construction & mining equipment
ELECTRICAL & AUTOMATION
• Relays
• Meters
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• Automation products & systems

• Low voltage products
• Electrical switches & control systems
• Medium voltage systems
• Compact substation
HEAVY ENGINEERING
• Process plant
• Nuclear power plant
• Defense & Aerospace
• Critical piping
POWER
• Coal based power plants

• Gas based power point
POWER DEVELOPMENT LIMITED
• Thermal power projects

• Hydro power projects
RUBBER PROCESSING MACHINERY
• Mechanical tire curing presses

• Hydraulic tire curing presses
• Tire building machines
• Spares
• Tube curing presses
• Bladder curing presses
• Auxiliary equipment
SHIPBUILDING
• New construction – defense shipbuilding

• New construction – commercial shipbuilding
• Ship repairs, refits & mid-life upgrades
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TECHNOLOGY SERVICES
• Smart product & services

• Smart manufacturing services
• Industrial products
• Medical devices Telecom, consumer electronics & semiconductor
• Process industry
• Transportation
• Embedded system and applications
• Us delivery centers
• Engineering analytics
• Semiconductor IP solution
COMPETITORS:
• J C Bam Ford Excavators Limited (JCB)
• Tata Engineering Locomotive Co Ltd
• Volvo India Ltd
• Hyundai Construction Equipment Ltd
• Case
QUALITY POLICY:
We shall manufacture and deliver a range of Construction, Mining, and Road building equipment
and their Adjacencies catering to the requirements of the Customers in these Industries so as to
achieve a profitable growth and are committed to:
• Derive and achieve the Quality Objectives in relation to Quality, Cost, Delivery, Safety &
Profitability
• Satisfy applicable requirements
• Continually improve the Quality Management System
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2.1 VISION MISSION AND QUALITY POLICY
VISION STATEMENT:
• We shall be a world-class company with high standards of governance, dedicated to excellence

in Products, Processes & People.
MISSION STATEMENT
We shall manufacture a premium range of globally competitive Construction Equipment and Hydraulic
Systems for the domestic and International marks0
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WORK FLOW MODEL:
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2.6 PRODUCT PROFILE
Product range
Hydraulics Systems
Hydraulic excavator & Components
CK models PC models
# Hydraulics pumps
# Hydraulic motors
# Hydraulic cylinders
# Turning joints
# Hose assemblies
# L&T 9020 # Hydraulic systems
# L&T 300
# Valve blocks
# L&T 1190
# L&T 300i
# L&T 990HF
# L&T 491
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List of products manufacturing at Doddaballapur plant:
L&T 9020
Price: 36 lakhs
Type: 4-wheel drive loader
Engine: Ashok Leyland
Gross power rating: 99.2 KW [131.5HP] @2300 rpm
Operating Weight: 11500 kgs
Bucket Width: 2700 mm
Loading system: Front end loading, Z bar linkage system
Hydraulic system: Tandem Gear pump directly mounted on to the transmission
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L&T 990 HF
Price: 32 lakhs
Type: pressure spray drum wetting systems with LLDPE water tanks with vibration system
Horse power: (gross) 76 hp @2200rpm as per ISO 1585
Operating weight: 10000 kgs
Drum drive motors: Heavy-Duty Radial Piston Mot
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L&T 1190 D
Price: 34 lakhs
Type: Drum drive
Horse power: 101 hp @2200rpm as per ISO 1585
Drive motors: high speed low torque driving motors mounted on rear axle input shaft
For Drum Drive (optional)
Low speed high torque drive motor mounted on front drum frame along with rear axle Operating
weight: 11300
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L&T 300
Price: 1.25 crore
Type: Crawler mounted
Engine: Cummins India
Machine operating weight: 58400 kg
Flywheel Horse Power: 320 HP (As per SAE J1349)
Bucket lifting capacity: 10900kg
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L&T 300i
Price: 1.55 crore
Type: Crawler Mounted
Engine: Cummins India
Machine operating system: 61000 kg
Bucket lifting capacity: 12500 kg
Flywheel Horse Power: 385 HP
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L&T 491
Price:12 lakhs
Type: two Drum drive
Engine: Mahindra
Power: 44.5 HP @2000 rpm
Operating weight: 3650 kg
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2.7 OWNERSHIP PATTREN:
India’s largest engineering and construction company Larsen and Toubro Ltd. It was crossed RS 2
Trillion market capitalization for the first time after its shares soared over 13% so far this year. The
stock touched a high of RS 1430.60.
Share and gained as much as 1.25% in intraday trades. Currently its market cap stands at RS 2.01
Trillion. (Based on last update on 29 Jan, 2023)
Shareholding pattern:
Holder’s name No. of shares % share holding
Foreign institution 256471993 18.3%
Financial institution 322956700 23.04%
General public 295635842 21.09%
Others 284035842 20.26%
Mutual funds 211007101 15.05%
GDR 28335463 2.02%
Central govt 3284668 0.23%
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2.7 AWARDS & RECOGNITION:
YEAR AWARDS
2016  L&T voted ‘champion of champion’ at the ABCI 52nd annual awards
L&T 9th in Global ranking of word’s most innovative companies.
 L&T Top engineering company in business today listing of ‘Best
Companies to work for’
 FICCI awards for excellence in quality systems
 L&T ranks among top 10 in S&P ESG India index L&T wins
NDTV profit business leadership award
 L&T Heavy Engineering wins safety innovation award
 L&T – Chiyoda wins ICAI national awards for excellence in cost

management – 2011
 L&T hydrocarbon bags CNBC TV18 ‘infrastructure excellence awards’

 L&T heavy engineering wins national awards for export excellence
2017  L&T bags NDTV profit business leadership award
 L&T power wins ‘Golden Peacock National Quality Awards’ L&T wins D&B
top infrastructure company awards
2018  F&S India manufacturing excellence awards for MFF- Hazira
 L&T technology services wins frost 7 Sullivan excellence awards
 L&T wins golden peacock awards for excellence in corporate governance

 L&T wins most attractive employer in infrastructure industry from
Randstad
 L7t electrical & Automation’s AU-series wins best product award at

ELECRAMA 2014
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2019  L&T wins golden peacock awards for Risk management
 L&T wins awards for excellence in power project execution
L&T wins BCCI’s good corporate citizen awards
2020 L&T technology services is IACC’s ‘company of the year’
2021  Best capital projects & infrastructure risk management awards from CNBC
TV18
 FICCI quality systems excellence awards
2022 “special Recognition award’ in Ramstad brand survey
2.8 FUTURE GRWOTH AND PROSPECTS.
 The company assure better business prospects

 Technical service
 Wide range of service to all type of customers
 Assured quality
 Introduce new product
`
 Market expansion to ot
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STRATEGY:
Organizations develop strategic plans in with their vision. Different companies use different
methodologies and tools to deploy these strategies across and down the organization hierarchy, to suit
their business requirement. X-Matrix is one such tool which is widely is widely used and would
renowned for its applicability sectors and industries. It helps to prioritize and optimize resources. It
aids management to communicate their goals and derive action plan to achieve them in the stipulated
time frame. It is a practical tool for quality/improvement projects. It allows the employees to visualize
and long tern direction of the company.
It is a tool utilized for successfully implementing strategy/goal deployment and simple manner as part of
goal setting exercise in organization
If we take the matrix’s general structure there are mainly four divisions which are interrelated. They are
Key result Measures

area
Key focus Thrust

area
Depending on the parameter of the department thrust area will be different. This represents base or the
goals that the department wants to achieve. There will be certain functions which are to be performed in
order to achieve these goals. This is a part of KFA. For each function mentioned in KFA there are some
actions which are taken.
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Actions to achieve these goals are included in KRA which would give us some results. Results are
measured by achieving targets in a fixed time. General structure of the matrix is included in the
annexure. It acts as a report card where we measure us
X- matrix is applied for supervisory levels. Each objective of individual is linked to x- matrix which in
turn is related to Organization goal.
Objective of individual may fall in any of four types which are mentioned below:
 Functional or financial
 Strategic
 Development of successor
 Espousing corporate values
STRUCTURE:
The prevalent structure in Larsen & turbo is more of functional type wherein a functional Head has
been assigned for each of the broadly categorized functions in vis-a-vis Design and Development
(D&D), Project Management, Quality Control,
Marketing, and Production. All the functional heads report to the Head of the Strategic Business Unit
(Larsen & turbo), i.e. General Manager in this case.
• Each of the functional department is headed by a Dy. General Manager who

is reported by Manager (s). Each of the Managers has Engineer (5) under his
• Direction, and Engineers have Junior Engineers (or draftsmen in case of

D&D) reporting to them.
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Organization structure :
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SYSTEM:
Performance appraisal system:
• L&T is following 270 appraisal systems which exclude external customers.
• Subordinates are rated by immediate superior in the scale of 1-8.
• Performance appraisal report is made in the month march for the entire year.
• Based on report performance link reward will be given.
• The report goes to higher authorities, they may accept or reject.
• For giving awards etc., corpus amount is used.
MACRO VIEW GROUP
DEPARTMENTAL HEAD
SUPERIOR
IMMEDIATE SUPERION
SUBORDINATE
PARTIES INVOLVED INAPPRISAL SYSTEM:
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STEPS:
Objectives Setting:
Appraiser and apprise will together decide on the objectives based on the objectives
setting matrix and common performance theme.
• They would also decide on Weigh Tags for each objective.
EVALUTION PROCESS:
• Appraise reviews his own performance – Half yearly self – review
(Desirable for all)
• Ratings are not to be communicated at this stage.
• IS gives the score and his comments to NS.
Moderation by dept. Head:
• NS makes is comments and forwards the form to the dept. Head
• The departmental Head moderates the ratings on an 8- point rating scale and sends it
to
“Macro View Group” (MVG)
• Force fit of ratings is done by relative grading of all employees in each band.
• Force fit: To distinguish amongst outstanding, good, average and low performers.
Macro View Group (MVG) Evaluation:
• The MVG evaluates relative performance; force fits all employees of one band
and gives the overall rating.
• MVG uses 8- point ratings scale to force fit employees.
• There is one force fit for employees in each band.
• This from is then routed back to the IS.
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Feedback to the Employee:
• Meaningful dialogue takes place between immediate superior and the appraise
when the ratings are communicated. This process seeks to ensure management of
expectations in an effective manner.
• There is discussion on the developmental inputs (training, seminars etc.) that

the employee may require.
STAFF
In L&T Construction Equipment Ltd employees are categorized as below:
T – Technical Category
A – Administrative Category
S – Skilled Category
B – Supervisory Category
E –employees Category
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No of employees in each cadre are represented below:

76
S, T AND A CADRE
B CADRE- SUPERVISORY
42
E CADRE- EMPLOYEES
458
M CADRE- MANAGERIAL
12
APPRENTICE TRAINEES
278
TOTAL
866
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STYLE
It is a set of some shared values, norms and belief systems that controls organization operations and
interaction with the members both inside & outside of the company.
L&T follows a very distinct and insular culture throughout the company. The company
incorporates various activities, which help in the betterment of four factors that account for
cultural differences among the organization-
 Organizational ethics
 The property right system used by the organization
 Organization structure
 The characteristics of people working in the organization
In L&T Ltd, every employee needs to portray “officer like qualities” which make them different from
their competitors. A unique characteristic of each employee is that they contribute towards production
and share the information to each other as when required. The top management is having right to use
organization resources.
The work force may be given rights to participate in decision making through various forums so
that they can help in achieving the goals of an organization of higher productivity, good quality and
cost reduction.
The shareholders of the company are given the strongest property rights as they own the resources of the
employee and share from profit.
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Organization culture:
It is a set of some values, norms and belief systems that controls organizations operations and
interaction with the members both inside & outside of the company.
L&T Komatsu following a very distinct and insular culture throughout the company the company
incorporates various activities, which help in the betterment of four factors that account for cultural
differences among the organization.
 Organization ethics
 The property right system used by the organization
 Organization structure
 The characteristics of people working in the organization.
In L&T Komatsu Ltd Company, every employee needs to portray “officer like
qualities” which makes them different from their competitors. A unique characteristic of each other as
when required. The top managers are right to use organization resources.
The shareholders of the company are the strongest property right as they own the resource of the
employee and shares from profit.
Management Style:
It’s all about the fundamental responsibility of their employees in interacting with each department. It is
represented in the flow chart below.
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SKILLS
L&T has a very strong people-oriented process. For assessing the performance of employees, they
have assessment process. For assessing the availability of future leaders, they have leadership
programs. There are host training programs – (both internal and external) covering performance-
oriented development programs, technical competence,
Every job requires skills and the skills vary from job to job depending on levels of job. The skills
depend on work which they have to perform.
Depending on level of job competencies required for job varies. Few jobs require high technical skills
and low communication skills.
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TCHINICAL COMPETENCIES
Function related competencies COMMUNICATION
1. Process knowledge
COMPETENCIES
1. Oral communication
2. resourece knowledge
2. Report writing
3. material knowledge
3. presentation
4. Tooling knowledge
4. Listening & Summarizing - 2 way link
5. Quality/inspection/testing knowledge
SKILL
MATRIX
PEOPLE ORIENTED TASK COMPATETIVE

COMPETENCIES COMPETENCIES
1. Interpersonal skills
2. Team working 1. Customer focus
3. Team leadership skills 2. Total quality Orientation
4. Conflict management 3. Planning & monitoring (M)
5. Empowering motivating 4. Problem solving
5. Decision making (M)
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SHARED VALUES:
Values of the organization are mainly grouped into their main categories which are represented below:
INTEGRITY EXCELLENCE
• Aligning actions with words and • Being passionate about their people,
constantly deliver what they process and products.
promise. • Quality of their products reflect
• Building and strengthening what their processes are and how
reputation through trust. committed their employees are.
• To be Believing in ethical • They believe in continuous
performance.
improvements and also
• To be respectful and behave significantly focus on customer
honest manner. needs and dedication.
TEAM WORK
• Theyshare their talents and
knowledge with whom they work
and take decisions on time to
strengthen team work.
• They respect and value people
with different opinion, experience
and background.
• They shall always thrive to
understand the big picture and work
together for consistently improving
their performance.
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3.2 PORTERS FIVE FORCES MODEL
Porter's Five Forces is a frame work for analyzing a company's competitive environment. The number
and power of a company's competitive rivals, potential new market entrants, suppliers, customers,
and substitute products influence a company's profitability.
Porter's Five Forces is a model that identifies and analyses five competitive forces that shape every
industry and helps determine an industry's weaknesses and strengths.
Five Forces analysis is frequently used to identify an industry's structure to determine corporate
strategy. Porter's model can be applied to any segment of the economy to understand the level of
competition within the industry and enhance a company's long-term profitability.
The Five Forces model is named after Harvard Business School professor, Michael E. Porter.
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3.2.1 THREAT OF NEW ENTRANT:
The economies of scale are fairly difficult to achieve in the industry in which Larsen Toubro operates.
This makes it easier for those producing large capacitates to have a cost advantage. It also makes
production costlier for new entrants. This makes the threats of new entrants a weaker force.
The product differentiation is strong within the industry, where firms in the industry sell differentiated
products rather a standardized product. Customers also look for differentiated products. There is a
strong emphasis on advertising and customer services as well. All of these factors make the threat of
new entrants a weak force within this industry.
3.2.2 THREAT OF SUBSTITUTES:
There are very few substitutes available for the products that are produced in the industry in which
Larsen Toubro operates. The very few substitutes that are available are also produced by low profit
earning industries. This means that there is no ceiling on the maximum profit that firms can earn in the
industry in which Larsen Toubro operates. All of these factors make the threat of substitute products a
weaker force within the industry.
The very few substitutes available are of high quality but are way more expensive. Comparatively,
firms producing within the industry in which Larsen Toubro operates sell at a lower price than
substitutes, with adequate quality. This means that buyers are less likely to switch to substitute
products. This means that the threat of substitute products is weak within the industry.
3.2.3 BARGAINING POWER OF BUYERS:
The product differentiation within the industry is high, which means that the buyers are not able to find
alternative firms producing a particular product. This difficulty in switching makes the bargaining
power of buyers a weaker force within the industry.
The number of suppliers in the industry in which Larsen Toubro operates is a lot more than the number
of firms producing the products. This means that the buyers have a few firms to choose from, and
therefore, do not have much control over prices. This makes the bargaining power of buyers a weaker
force within the industry.
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3.2.4 BARGAINING POWER OF SUPPLIERS:
The number of suppliers in the industry in which Larsen Toubro operates is a lot compared to the
buyers. This means that the suppliers have less control over prices and this makes the bargaining power
of suppliers a weak force.
The product that these suppliers provide are fairly standardized, less differentiated and have low
switching costs. This makes it easier for buyers like Larsen Toubro to switch suppliers.
This makes the bargaining power of suppliers a weaker force.
3.2.5 RIVALLRY AMOUNG EXISTING COMPETITORS:
The number of competitors in the industry in which Larsen Toubro operates are very few. Most of these
are also large in size. This means that firms in the industry will not make moves without being
unnoticed. This makes the rivalry among existing firms a weaker force within the industry.
The very few competitors have a large market share. This means that these will engage in competitive
actions to gain position and become market leaders. This makes the rivalry among existing firms a
stronger force within the industry.
The industry in which Larsen Toubro is growing every year and is expected to continue to do this for a
few years ahead. A positive Industry growth means that competitors are less likely to engage in
completive actions because they do not need to capture market share from each other. This makes the
rivalry among existing firms a weaker force within the industry.
The fixed costs are high within the industry in which Larsen Toubro operates. This makes the
companies within the industry to push to full capacity. This also means these companies to Reduce their
prices when demand slackens. This makes the rivalry among existing firms a stronger force within the
industry.
The products produced within the industry in which Larsen Toubro operates are highly differentiated.
As a result, it is difficult for competing firms to win the customers of each other because of each of
their products in unique. This makes the rivalry among existing firms a weaker force within the
industry.
The production of products within the industry requires an increase in capacity by large increments. This
makes the industry prone to disruptions in the supply-demand balance, often leading to overproduction.
Overproduction means that companies have to cut down prices to ensure that its products sell. This
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makes the rivalry among existing firms a stronger force within the industry.
Reduce their prices when demand slackens. This makes the rivalry among existing firms a stronger force
within the industry.
The products produced within the industry in which Larsen Toubro operates are highly differentiated.
As a result, it is difficult for competing firms to win the customers of each other because of each of
their products in unique. This makes the rivalry among existing firms a weaker force within the
industry.
The production of products within the industry requires an increase in capacity by large increments. This
makes the industry prone to disruptions in the supply-demand balance, often leading to overproduction.
Overproduction means that companies have to cut down prices to ensure that its products sell. This
makes the rivalry among existing firms a stronger force within the industry.
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4.1 SWOT ANALYSIS
Positive Negative
I S W
Strengths Weakness
Internal
E O T
opportunities Threats
EXTERNAL
STRENGTHS
 Professionally managed company
 Strong brand name
 Technical expertise
 Strong financial position
 Conflict as a measure of inflicting the motivation (inter- department competition)
 Maximum resource utilization
 Superior quality
 Technology upgrading in regular intervals
Page 40
 Importing certain prime components
 90% of the components is made in house of key hydraulic components

like Cylinders,
 Quality and schedule adherence
 Extensive testing facility
 Corrective and preventive action
WEEKNESS
 Time is consumed in introduction of new products/models
 Dependence on domestic operations for revenue generation
 Increasing debt
 More formalities are involved in the process of introduction of new product
 Growth or the promotion is time bound
 Underutilization of knowledge
 Limited scope for growth
OPPORTUNITIES
 Mining
 Growth in Indian construction and engineering industry
 Strong order book position
 Introduction of new model and option
Page 41
THREATS
 Rise in cost of construction may affect margin
 GST impact can be negative
 Increasing steel prices Increased competition
 Limited scope for exporting
 Market uncertainty because of sudden and unparsed government policies
Page 42
4.1 FINANCIAL STATEMENTS OF L&T CONSTRUCTION LTD
The financial statement is prepared for the purpose of presenting a periodical review of a report and
progress by the management and deal with the status of the investments in the business and the result
achieved during the period under review they reflect a record.
We have audited the accompanying financial statement of Doddaballapura, Larson and toubro
Construction Equipment’s ltd. which comprises the balance sheet as at31st at march 2022 & 2023
FINANCIAL ANALYSIS:
Profit & Loss – Larsen & Toubro Ltd.
PARTICULAR Mar’22 Mar’23
INCOME
Sales Turnover 74611.65 66301.35
Excise Duty 149.10 577.49
NET SALES 74462.55 65723.86
Other Income 0 0
TOTAL INCOME 76347.37 67638.82
EXPENDITURE:
Manufacturing Exp 48305.37 41145.57
Material Consumed 10242.01 10339.67
Personal Exp 5713.59 5147.38
Selling Exp 67.92 61.02
Administration Exp 2704.94 2549.21
TOTAL EXPENDITURE 67033.83 59242.85
Operating Profit 7428.72 6481.01
EBITDA 9313.54 8395.97
Page 43
Depreciation 1049.46 1215.19
EBIT 8264.08 7180.78
Interest 1432.23 1316.91
EBT 8264.08 7180.78
Taxes 1875.08 1304.10
Profit & Loss for the year 4956.77 4559.77
Non-Recurring Items 433.03 885.95
Other Adjustments -2.50 8.02
REPORTED PAT 5387.30 5453.74
KEY ITEMS
Share in Issues (Lakhs) 14013.69 9329.66
EPS – Annualized (Rs) 38.44 58.46
Page 44
Balance sheet – Larsen & Toubro Ltd:
Particulars Mar’22 Mar’23

Liabilities 12 months 12 months
Share Capital 283.83 186.59
Reserves & Surplus 48737.22 45672.95
Net Worth 49021.05 45859.54
Secured Loan 1206.06 2112.92
Unsecured Loan 9508.14 8598.65
TOTAL LIABILITIES 59735.25 56571.11
Assets
Gross Block 9496.35 8762.47
(-) Acc. Depreciation 3030.80 2114.58
Net Block 6465.55 6647.89
Capital Work in Progress 1127.85 900.48
Investments 27339.24 26758.89
Inventories 2500.04 1762.86
Sundry Debtors 24454.24 19921.95
Cash and Bank 4317.87 3535.72
Loans and Advances 49405.23 42710.65
Total Current Assets 80677.38 67931.18
Current Liabilities 54299.68 44103.66
Provisions 1575.09 1563.67
Total Current Liabilities 55874.77 45667.33
NET CURRENT ASSESTS 24802.61 22263.85
Page 45
Misc. Expenses .00 .00
TOTAL 59735.25 56571.11

ASSESTS(A+B+C+D)
RATIO ANALYSIS:
Ratio analysis is one of the most important and powerful tools of financial analysis, where ratios are
used as yard sticks for evaluating the financial condition and performance of the firm.
Analysis and interpretation of various accounting ratios gives a clear study and a better understanding of
the financial position of the firm.
Financial ratio analysis is the calculation and comparison of ratios which are derived from the
information in a company’s financial statements. The level and historical trends of these ratios can be
used to make inferences about a company’s financial conditions, its operations and attractiveness as an
investment.
ANALYSIS AND INTERPRETATION OF RATIOS
1. CURRENT RATIO:
Current Ratio = Current Assets / Current Liability

Year Current Assets Current Liabilities Current Ratio
2022 67,931.18 44,103.66 1.54
2023 80,677.38 54,299.68 1.49
Page 46
Graph showing the Current Ratio of the financial years 2022 and 2023
Current Ratio
1.55
1.54
1.53
1.52
1.51
1.5
1.49
1.48
1.47
1.46
2022 2023
ANALYSIS INTERPRETATION:
Larsen & Toubro Ltd Current Ratio in the year 2022 is 1.54 and in the year 2023 is 1.49. From the
graph it is evident that current ratio of Larsen & Toubro Ltd is decrease. This decrease in Current
Ratio indicates solvent position of the company comes down.
2. ASSET TURNOVER RATIO
Asset turnover Ratio = Sales / Total Asset

Year Sales Total Assets Asset Turnover
Ratio
2022 74,462.55 59,735.25 0.83
2023 65,723.86 56,571.11 1.16
Page 47
Graph showing the Asset Turnover Ratio of the financial years 2022 and 2023
Asset Turnover Ratio

1.4
1.2
0.8
0.6
0.4
0.2
0
2022 2023
Larsen & Toubro Ltd Asset Turnover Ratio for the year 2022 is 1.66 and in the year 2023 is 0.83.
From the graph it is evident that asset turnover ratio of Larsen & Toubro Ltd is decreasing. The
decreasing in asset turnover ratio of Larsen & Toubro Ltd indicates that the company fails to utilize.
3. PROPRIETARY TURNOVER RATIO
Proprietary Turnover Ratio = Owners Fund / Total Assets

Year Owners Funds Total Assets Proprietary Ratio
2022 49,021.05 59,735.25 0.82
2023 45,859.54 56,571.11 0.81
Page 48
Graph showing the Proprietary Ratio of the financial years 2022 and 2023
Proprietary Turnover Ratio

0.822
0.82
0.818
0.816
0.814
0.812
0.81
0.808
0.806
0.804
2022 2023
Larsen & Toubro Ltd Proprietary Turnover Ratio for the year 2022 is 0.81 and in the year
2023 is 0.82. From the graph it is evident that proprietary turnover ratio of Larsen & Toubro Ltd
is increasing. The increasing in proprietary turnover ratio of Larsen& Toubro Ltd indicates that
in the company there is proper utilization of capital funds for the long-term assets.
Page 49
4. NET PROFIT RATIO:
Net Profit Ratio = Net Profit After Tax/ Net Sales *100
Year Net Profit After Net Sales Net Profit Ratio
. Tax
2022 4,956.77 74,462.55 7%
2023 4,559.70 65,723.86 7%
Graph showing the Net Profit Ratio of the financial years 2022 and 2023
Net Profit Ratio

0.08
0.07
0.06
0.05
0.04
0.03
0.02
0.01
0
2022 2023
Larsen & Toubro Ltd Net Profit for the year 2022 is 7% and in the year 2023 is 7%. From the graph it is
evident that net profit ratio of Larsen & Toubro Ltd is stable.
Page 50
5. DEBT EQUITY TURNOVER RATIO:
Debt Equity Ratio = Total Long-Term Debts / Shareholders Funds

Year Total Debts Shareholders Fund Debt Equity Ratio
2022 10,714.20 49,021.05 0.22
2023 10,711.52 45,859.54 0.23
Graph showing the Debt Equity Ratio of the financial years 2022 and 2023
Debt Equity Ratio

0.232
0.23
0.228
0.226
0.224
0.222
0.22
0.218
0.216
0.214
2022 2023
Larsen & Toubro Ltd Debt Equity Ratio for the year 2022 is 0.23 and in the year 2023 is 0.22. From
the graph it is evident that debt equity turnover ratio of Larsen Toubro Ltd is decreasing. The
decreasing in debt equity ratio of Larsen & Toubro Ltd Company means lower the debt ratio less the
company has to worry in meeting its fixed obligations and also less dependent on shareholders and
outsiders.
Page 51
LEARNING EPERIENCE
L&T Construction Equipment ltd. is one of the main mining and construction equipments supplying
Company which supplies equipment’s to more divisions. There was an opportunity for us to do in
training in one of the best and efficient company of Doddaballapura. In two months training is the
study about organizational structure, Behavioral strategies adopted by the company.
It is very essential for management students to gain more chance to study various aspects of the
organization practically, acquiring the knowledge about the classifications of various departments and
the duties and responsibilities of each department.
Before getting exposed to the real corporate world as a professional, students may not get a chance to
know how an organization works practically.
As a part of curriculum if students get an opportunity to enter into different organizations, they can
learn more about the various practices, work culture, style of management and style of decision
making adopted in the company participative. And its relation to the management theories that they
have learnt in class.
During my internship program, I get familiar with the work environment and the culture of L&T.
I observed many of HR related concepts and compared theoretical study from the practical work. How
the personnel department takes care of each employee, HR functions and implementation of managed
principles in various aspects.
Page 52
BIBLIOGRAPHY:
• google. (2022). Retrieved from Larsen and Toubro Ltd: http://www.larsen and toubro.com
google. (2022).
• Retrieved 2022, from NSE stock exchange: http://www.nseindia.com google. (2022).
• Retrieved 2022, from lntsln: htttp://www.lntsnl.com google. (2022).
• Retrieved 2022, from http://www.tradeindia.com google. (2022).
• Retrieved 2022, from economictimes: http://www.economictimes.com
BOOKS:
• Kotler, P. (2022). Strategic Management.
• Raman, B. (2022). Financial Management.
• T, L. N. (2022). company annual report.doddaballapur: Larsen and toubro.
Page 53

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Internship At L&T Construction Equipment

TITLE: Intern report on

JYOTHY INSTITUTION OF COMMERCES

Date: Dr. S Satyeshwar

I NIRAJ BS , hereby declare that this report entitled a study on “A STUDY ON

I am very thankful to LARSEN & TOUBRO CONSTRUCTION EQUIPMENT

I would like to convey my heartful thanks to Mr. JAGAN MOHAN, HR Manager

I would also like to thank, Dr. S. Sathyeshwar ,

INTRODUCTION ABOUT THE ORGANIZATION AND INDUSTRY

 To Gain first-hand knowledge and a greater understanding in an organization, including

1.2 INDUSTRIAL PROFILE

Larsen and Toubro Ltd is a manufacturing industry.

Top 5 Construction Equipment Manufacturing Companies in India:

II. L&T Construction Equipment

III. Volvo Construction Equipment India

IV. ACE Construction Equipment

V. Universal Construction Machinery Equipment

2.1 ORGANIZATION PROFILE:

2.3 NATURE OF BUSINESS CARRIED ON BY L&T :

Products and services:

• Building & factories

CONSTRUCTION & MINING MACHINERY:

• Construction & mining equipment

ELECTRICAL & AUTOMATION

• Automation products & systems

• Coal based power plants

POWER DEVELOPMENT LIMITED

• Thermal power projects

RUBBER PROCESSING MACHINERY

• Mechanical tire curing presses

• New construction – defense shipbuilding

• Smart product & services

2.1 VISION MISSION AND QUALITY POLICY

• We shall be a world-class company with high standards of governance, dedicated to excellence

WORK FLOW MODEL:

2.6 PRODUCT PROFILE

List of products manufacturing at Doddaballapur plant:

Type: 4-wheel drive loader

Engine: Ashok Leyland

Gross power rating: 99.2 KW [131.5HP] @2300 rpm

Operating Weight: 11500 kgs

Bucket Width: 2700 mm

Loading system: Front end loading, Z bar linkage system

Hydraulic system: Tandem Gear pump directly mounted on to the transmission

Engine: Ashok Leyland

Horse power: (gross) 76 hp @2200rpm as per ISO 1585

Operating weight: 10000 kgs

Drum drive motors: Heavy-Duty Radial Piston Mot

Type: Drum drive

Engine: Ashok Leyland

Horse power: 101 hp @2200rpm as per ISO 1585

For Drum Drive (optional)

Price: 1.25 crore

Type: Crawler mounted

Engine: Cummins India

Machine operating weight: 58400 kg

Flywheel Horse Power: 320 HP (As per SAE J1349)

Bucket lifting capacity: 10900kg

Price: 1.55 crore