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An Investigation on the Colossal Success of Larsen and Toubro Limited: Human Resource Management Perspective

Saurav Goel and Arti Parmar

Pertanika Journal of Social Science and Humanities, Volume 20, Issue 4, December 2012

Keywords: Human resource management, India, Larsen and Toubro Limited

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Larsen and Toubro (L&T) Limited is India's largest construction conglomerate. L&T's expertise is harnessed to execute high value projects that demand adherence to stringent timelines in a scenario where disparate disciplines of engineering are required to be coordinated on a critical path. However, no company can acquire such a feat without systematic management of its human resource. An investigation on the human resource management practices in orienting L&T's success can help to identify some of the ethical human resource practices, especially in the context of Indian market. Accordingly, a well-designed employee satisfaction survey was conducted for assessment of the HRM practices being followed in L&T. Unlike other companies, L&T aims to meet the long-term needs of its employees rather than short-term needs. There were however few areas of concerns, such as yearly appraisal system and equality to treat the employees. It is postulated that the inequality to treat the male and female employees is primarily a typical stereotype due to the fact that construction is conventionally believed to be a male dominant activity. A periodic survey intended to provide 360° feedback system can help to avoid such irregularities. This study is thus expected to provide healthy practices of HRM to nurture the young talents of India. This may help them to evaluate their decisions by analyzing the complex relationship between HRM practices and output of an organization.

ISSN 0128-7702

e-ISSN 2231-8534

Article ID

JSSH-0512-2011

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