18-04-2013, 04:39 PM
PROJECT REPORT ON LARSEN & TOUBRO LIMITED
LARSEN.docx (Size: 159.2 KB / Downloads: 47)
INTRODUCTION
Today, L&T is one of India's biggest and best known industrial organizations with a reputation for technological excellence, high quality of products and services, and strong customer orientation. It is also taking steps to grow its international presence.
Larsen & Toubro Limited (L&T) is a technology, engineering, construction and manufacturing company. It is one of the largest and most respected companies in India's private sector.
More than seven decades of a strong, customer-focused approach and the continuous quest for world-class quality have enabled it to attain and sustain leadership in all its major lines of business.
L&T has an international presence, with a global spread of offices. A thrust on international business has seen overseas earnings grow significantly. It continues to grow its global footprint, with offices and manufacturing facilities in multiple countries.
The company's businesses are supported by a wide marketing and distribution network, and have established a reputation for strong customer support.
L&T believes that progress must be achieved in harmony with the environment. A commitment to community welfare and environmental protection are an integral part of the corporate vision.
In response to changing market dynamics, L&T has gone through a phased process of redefining its organisation model that facilitates growth through greater levels of empowerment. The new structure is built around multiple businesses designated ‘Independent Companies’ or ‘ICs’.
HISTORY
The company was founded in Mumbai in 1938 by two Danish engineers, Henning Holck-Larsen and SørenKristian 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 two repair and fabrication shops signalling the expansion of the company. The sudden internment of German engineers in India (due to suspicions caused by the War), who were to put up a soda ash plant for the Tatas, gave L&T a chance to enter the field of installation. In 1944, ECC 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 decided to build a portfolio of foreign collaborations. By 1945, the company represented British manufacturers of equipment used to manufacture products such 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 born.
POST-INDEPENDENCE
Independence and the subsequent demand for technology and expertise offered L&T the opportunity to consolidate and expand. Offices were set up in Kolkata (Calcutta), Chennai (Madras) and New Delhi. In 1948, fifty-five acres of undeveloped marsh and jungle was acquired in Powai, Mumbai. That uninhabitable swamp is presently its main manufacturing hub.
In December 1950, L&T became a public company with a paid-up capital of 20 lakhs. The sales turnover in that year was 1.09 crore. Notable orders executed by the Company during this period included the Amul Dairy at Anand and Blast Furnaces at Rourkela Steel Plant. With the successful completion of these jobs, L&T emerged as the largest erection contractor in the country.
NATIONWIDE NETWORK
Larsen & Toubro Limited (L&T) is a technology, engineering, construction and manufacturing company. It is one of the largest and most respected companies in India's private sector.
More than seven decades of a strong, customer-focused approach and the continuous quest for world-class quality have enabled it to attain and sustain leadership in all its major lines of business.
L&T has an international presence, with a global spread of offices. A thrust on international business has seen overseas earnings grow significantly. It continues to grow its global footprint, with offices and manufacturing facilities in multiple countries.
The company's businesses are supported by a wide marketing and distribution network, and have established a reputation for strong customer support.
L&T believes that progress must be achieved in harmony with the environment. A commitment to community welfare and environmental protection are an integral part of the corporate vision.
In response to changing market dynamics, L&T has gone through a phased process of redefining its organisation model that facilitates growth through greater levels of empowerment. The new structure is built around multiple businesses designated ‘Independent Companies’ or ‘ICs’
Meaning & Importance of Trend Analysis
Trend Analysis compares account balances over accounting periods of months, quarters and years as the date ranges and cutoff dates for account activity. It can be helpful in determining unusual changes in balances from period to period. Unusual changes in account balances can pinpoint errors, under/over payments and fraud.
Trend analysis is useful because:
• Trend shows the direction of the changes .
• Trends are easy to calculate and interpret.
• It is quick method of analysis.
• It is accurate because it is based on percentage.
The base year trend percentage is always 100.0%. A trend percentage of less than 100.0% means the balance has decreased below the base year level in that particular year. A trend percentage greater than 100.0% means the balance in that year has increased over the base year. A negative trend percentage represents a negative number.
CONCLUSION
As the annual report of company is made very well and as per the law, it was very interesting to analyze the financial statement of company.
From the above analysis it can be conclude that the company hasgood financial position due to good management in company. Financial position is so much good because company making expansion every year and it can be seen from its healthy balance sheet.