Corporate Governance on L&T

1. CHANDAN KUMAR
DILIP NARAYANAN K
PRACHI BHUTANI
SANDEEP BATS

2. COMPANY PROFILE
• L&T is a Technology, engineering, construction, manufacturing and technology conglomerate with
additional interests in electrical & automation, Information Technology and other diversified
businesses
• Started in 1938 by Danish engineers
• In 1946, Larsen & Toubro Private Limited was born.
• The L&T Board comprises a Chairman and Managing Director, Whole-time Directors and
independent External Directors. Mr A. M. Naik is the present chairman and managing director
• It has 119 subsidiary company under its parent company
Henning Holck-Larsen Soren Kristian Toubro

3.  One chairman and
managing director
 Seven executive
directors
 Eight non-executive
directors

4. EXECUTIVE DIRECTORS
• Mr. A.M Naik - Executive chairman & Managing Director
• Mr. K. Venkataramanan - CEO & MD
• Mr. V. Kotwal - Whole time Director & President (Heavy Engineering)
• Mr. S.N. Subrahmanyan – Whole time Director & Sr. EVP (Infrastructure & construction)
• Mr. R. Shankar Raman – Whole time Director & Chief Financial Officer
• Mr. Shailendra Roy - Whole time Director & Sr. EVP (Power & Corporate Affairs)

5. NON – EXECUTIVE DIRECTORS
• Mr. S. Rajgopal
• Mr. S.N. Talwar
• Mr. M.M. Chitale
• Mr. N Mohan Raj
• Mr. A.K. Jain
• Mr. M. Damodaran
• Mr. Vikram Singh Mehta
• Mr. Sushobhan Sarker

6. L&T follows 5 – Tier corporate Governance
The Board has three committees - Audit, Nomination &
Compensation, Shareholders' Grievance Committee.

7. L&T Business structure

9. Larsen & Toubro Limited is a professionally managed Company, having its
own vision statement committed to total customer satisfaction and enhancing
stakeholders' value.
• Ensures compliance with the provisions of the revised Clause 49 of the Listing
Agreement with Stock Exchanges.
• The Senior Officers should adhere to and facilitate effective functioning of the
Company's mechanism for redressal of complaints of sexual harassment.
• Any amendment or waiver of any provision of the Code should be approved by the
Company's Board of Directors and disclosed on the Company's website.
• All Reports are rated A+ by Global Reporting Initiatives, indicating the highest level
of transparency.

10. • The Company‟s annual Sustainability Reports highlight achievements and
objectives across the traditional three „Ps‟ of Planet, People and Profits.
• The code propagates key environment-friendly and socially-responsible business
practices which include prevention of corruption, respect for human rights, water
conservation, waste reduction and OHS.
• L&T adhere to Section 299 of the Companies Act, 1956,which requires that every
Director of a company who is in any way concerned or interested in a contract or
arrangement, is required to disclose the nature of his concern or interest at a
meeting of the Board of Directors.
• Every Officer has to secure, preserve, safeguard and use discreetly, confidential
information in the best interest of the Company.

12. • L&T has a strong, customer-focused approach, conformance to global HSE
standards.
• With over 55% of the workforce below the age of 30, L&T is a young engineering
conglomerate.
• L&T have a well-established customer feedback mechanism which enables us to
have regular interactions with our clients. Individual interactions, customer meets
and satisfaction surveys are channels to obtain stakeholder response.
• Products of L&T are labelled as per the relevant codes and various necessary
specifications.
• L&T ranked among the top 10 in a Best Companies to Work For listing published by
Business Today, India.

13. • L&T encourages employees to volunteer for CSR activities, resulting in a self-driven
approach while retaining consistency.
• Forbes rates L&T the 9th Most Innovative Company in the world.
• L&T imparts, totally free of cost, basic training in formwork, carpentry, masonry, bar-
bending, plumbing and sanitary, scaffold and electrical wireman trades to a wide
spectrum of the rural poor.
• Various subsidiaries under the L&T undertakes CSR activities across the globe in
which they are operating.
• It has formed a trust called “Prayas” to provide medical facilities to the economic
weaker section of the society.

15. • L&T follow various corporate governance and audit policy such as United Nations
Global Compact Programme, US SEC's Blue Ribbon committee
• It has placed a separate Audit Policy board
• Approval of the appointment of the Chief Financial Officer (CFO)
• Reviewing the risk management mechanisms of the Company
• Looking into the reasons for substantial defaults in payments to
depositors, debenture holders, shareholders and creditors
• Reviewing of compliance with Listing Agreement
• Disclosure of contingent liabilities

16. • Recommending the appointment of the Statutory Auditors and fixation of their
remuneration
• Overseeing the Company's financial reporting process and disclosure of its
financial information
• The Company Secretary is the Secretary of the Audit policy committee.
• The Company has an internal corporate audit team consisting of Chartered
Accountants, Engineers & system experts.