National treasure: Arvind Garg

As Larsen & Toubro Group approaches its 90th anniversary, the Indian multinational’s construction arm is sitting on top of the world. L&T is among the world’s 20 largest construction companies, a US$30 billion firm with 50 percent of its business coming from all over the world.

The other 50 percent comes from India, a signifier of the country’s weight when it comes to construction. L&T’s Indian roots are an important part of the company’s DNA, and it’s with no small quantum of pride that Arvind Garg – Advisor to the Chairman and Managing Director, Larsen & Toubro – touts the connection.

"We’re one of India’s most respected companies," he tells The CEO Magazine. "And that’s because we’ve championed the causes of being ethical, trustworthy, maintaining the highest governance and integrity in what we do, and building long-term partnerships with our customers."

When L&T’s global esteem is considered, serving as it does clients in more than 50 countries, Garg adds that company values are again to credit.

"You can only reach this place when you uphold – and champion – these values. They’re very deeply personal to those who lead the business and the teams that work for us. It’s the only way we will do business, because this business is for the long term."

Decades of evolution

Certainly, L&T has spent decades developing India’s infrastructure growth. Active at the time of Indian independence in 1947, L&T has evolved with the nation.

"I’m very proud that as a company, we’ve been pioneers in many ways," Garg says. "We were the first to introduce hydraulic excavators to the country in the early 1970s, a time when the concept was unheard of. We engaged in technology transfers with France and brought in vibratory compactors; later, we partnered with Komatsu, the global world leader in this space."

These innovations allowed India to gain a foothold when it came to infrastructure. At the same time, they took L&T to new heights.

"When I started as a young engineer, what we saw was technology in its infancy, but still pathbreaking," Garg says. "So at L&T, we took it upon ourselves to sell these concepts to customers by proving that work can be done by different equipment.

"We got into application engineering to study the needs, provide the appropriate products and back them with a fantastic amount of after-sales support."

In a country as wanting for infrastructure as India was in the 1940s, L&T’s vision and persistence were game-changers.

"It wasn’t easy to be able to serve machines that were spread so thin across the country, but we ensured we were close to our customers and able to serve them," he adds.

In that respect, little has changed. Although India is now a powerhouse of modern infrastructure, L&T is just as innovative and supportive as ever.

"Every time we make a decision, the first question is, ‘Does it help the customer?’ If the answer is yes, we’ll invest," Garg reveals. "That’s been an important part of the process."

Challenging gender stereotypes

One such innovation was L&T’s support of Tata Steel’s flagship all-women mining team at Noamundi Iron Mine in 2024.

"We’ve had a very long relationship with Tata Steel, and when they suggested running an all-female shift, we didn’t hesitate," Garg says.

"But we decided that our people supporting the machines we supplied also had to be women, so we formed a team of about 20 diploma holders and engineers. We brought them into L&T, trained them and supported them with the right equipment."

When Tata Steel expanded on the concept by commissioning a 100-metric-ton payload truck, L&T tasked its all-female team with the job. Despite poor weather and the enormous challenge of the job itself, the women got it done.

"Unfortunately, it can be a challenge to prove to male colleagues that women are equally good, but we worked hard to change that mindset, as well as that of the women themselves," Garg acknowledges.

That other steel companies are now looking at similar opportunities speaks to the influence L&T holds and the success of its mission. It’s no wonder that so many local and international businesses are quick to partner with L&T for long-term success, from precision engineering firm Oriental Plants & Equipments of Tamil Nadu to Gulf Oil Lubricants India and Komatsu.

"We’re not transactional," Garg explains. "We believe in building long term, enduring relationships with every stakeholder we deal with, from customers to employees to suppliers. Time brings a certain amount of transparency and that’s important."

This is evident in the company motto – ‘In service lies success’ – which was gifted to the L&T team by its founding fathers and still holds strong today. Garg says while success remains the goal, service is constantly shifting. The shift to digital, for instance, has made it easier than ever for customers to find spare parts for L&T products right across India.

"We look at digital and other emerging technologies as ways to improve our service, not as a follower but as a leader," he says. "We want to be the first to bring them in, try them out and prove their worth. It helps the others to follow."

And although India may not be the same nascent country it was at the beginning of the L&T story, Garg believes the nation still possesses huge potential for growth.

"I think we have a responsibility to help the country achieve its aspirations," he says. "We’re always looking to take steps forward, so helping our women take on responsible positions, building new systems that are safer and more comfortable and providing equal opportunities.

"For L&T, business is not just about the right product, it’s also about the right kind of people."