L&T has been at the forefront of the CE industry evolution.

Arvind K Garg
Executive Vice President & Head– Construction & Mining Machinery,
Larsen & Toubro Limited.

L&T’s seven decades of active association with the CE industry has enabled it to develop expertise and bring in advanced technologies and superior products to the Indian customers.

How do you assess the evolution of the CE industry over the years?
The Indian construction equipment industry has come of age, thanks to the focus by successive governments to develop the infrastructure of the country. This has led to an influx of multiple players, both multinationals and Indian companies in the industry. L&T has been at the forefront of this evolution – we pioneered the hydraulic excavator technology in the country by launching several models of equipment through successful technical collaborations and joint venture with global manufacturers viz., Poclain-France and Komatsu-Japan. L&T’s seven decades of active association with the CE industry has enabled it to develop expertise and bring in advanced technologies and superior products to the Indian customers.

What has been your firm’s contributory role in this evolution of the CE industry and the construction practices / methodologies where your products had been deployed?
L&T-supplied hydraulic excavators have been part of the several ambitious and iconic projects taken up in irrigation, dam construction, roads, power plants, steel mills and mining projects. L&T also pioneered manufacturing of vibratory compactors way back in 1980s in technical collaboration with Albaret-France. L&T has been largely responsible for ushering in the modern practices and mechanisation process that saw increasing use of hydraulic excavators, dozers, motor graders, vibratory compactors and wheel loaders. Besides, L&T developed its own R&D capacity that saw it launch a slew of products. Today, we offer an entire range of construction and mining machinery that are technologically superior and have higher safety and reliability. The government’s impetus on infrastructure development will continue to drive the momentum for future.

Please elaborate on couple of your products that have brought radical shift or transformational value to the construction sector?
We pioneered the hydraulic excavator technology in India way back in 1973. Though it took some time, it revolutionised the earthmoving industry. Similarly, we brought in vibratory compactors in 1980s for the first time in India. Today, it is not feasible for any road construction activity without the deployment of vibratory compactors. Subsequently, we joined hands with Komatsu in 1997 to manufacture their state-of-the-art hydraulic excavator model L&T-Komatsu PC200. This machine revolutionised the 20T class market in the construction segment with its record sales of 13,000 machines in the retail sector and set new benchmarks in terms of productivity, performance and reliability. Along with Komatsu, after phasing out PC200, we substituted it with a superior technology machine PC210LC-M0.

Similarly in the material handling operations, we had introduced the L&T 9020 wheel loader, manufactured by L&T Construction Equipment Limited, a wholly owned subsidiary of L&T, by harnessing in-house technology. The machine has made good inroads in a short time and has found excellent acceptability in various applications.

Could you spell out your company’s philosophy of innovation?
Innovation has been key to our success in the market. Over the years, we have scaled up and introduced several new models of hydraulic excavators, motor graders, dozers, dump trucks, vibratory compactors, wheel loaders, to cater to various user segments through our globally reputed partners. L&T has set up its own R&D Centre in Coimbatore which has introduced several new products with patented designs giving substantial benefits to the end users. In addition, we have continuously brought in contemporary technology like KOMTRAX and VHMS (Vehicle Health Monitoring System) to remotely track the machines and monitor their performance.

We have indigenously developed machines for a wide range of applications for tunnelling and granite segment. With growing requirement from urban infrastructure segment, Komatsu has introduced rock breakers and quick couplers suitable for hydraulic excavators which promise to have a long life. Our latest offering is the PC210 super long front with long boom to address specific applications. Our customers have realized the importance of these improvements in the machines and patronize our equipment.

What has been the shift in buying patterns from the end-user segments?
We see a well-informed and mature customer profile today who are keen to use products that are technologically superior and give reliable performance. They are also ready to try out new features and advancements. Last year, we launched the Komatsu GD535 motor grader which has an engine meeting advanced emission norms and the only grader equipped with KOMTRAX system and is ideally suited for Indian road projects.
Similarly, we have added versatility to our mini excavators PC71 and PC130 and mid-size excavators PC210, PC300,PC350 based on continuous feedback received from our customers. We have been able to introduce a host of attachments like rock breakers, bucket crushers and demolition tools offering additional value to the customers.

What are the current technology trends in the products that L&T is presently dealing with?
We see a definite trend towards ICT (Information & Communication Technology) tools and remote asset management of construction machines. Several construction companies are going in for digitalisation and are expecting remote monitoring of equipment fleet through ICT tools like KOMTRAX on construction equipment. Reduction in operating cost, improvement in machine life and operator training to handle advanced technologies are the needs of Indian customers. Globally, the trend is shifting towards ‘Smart Construction’ equipment. Along with our principals – Komatsu and Scania, we are not only bringing in contemporary technologies, but adapting them to suit tough
Indian operating conditions. We have installed equipment simulators in our service centres in order to provide advanced training to the drivers and operators.

L&T has been highly proactive in the product development cycle by engaging its in-house R&D in several projects. The company has taken major steps to address the growing requirements from various user segments and working towards developing improved tools for tomorrow.

How do you rate the company’s journey so far and what do you think the major factors contributing to your success saga?
L&T has been successful in its 70-year journey as a pioneer and then leader in earthmoving equipment. It has been able to forge major partnerships and bring out equipment that have been serving the core sectors of the economy. The success is largely driven by its commitment to developing and manufacturing equipment that deliver the best results. We have been prudent in investing in technology that would see cost-effective development of infrastructure that is so fundamental to the growth of the nation.

A customer-centric approach to business has always been our guiding force which has helped us keep pace with the changing times. We have invested significantly in extending excellent after-sales service support for these advanced equipment. L&T has set up six world-class service and training centres which are equipped to undertake complete machine and component overhauls. We also have excellent training infrastructure with our training centres, which are accredited by IESC under PMKVY.

Please elaborate on the growth trajectory of your R&D?
Our proactive R&D has been operating from Product Development Centre – Coimbatore and developing an entire range of equipment for the road sector. These products have been developed from decades of expertise developed in the area of hydraulics and machinery that holds the key to these products. Our newest products are pneumatic tyred roller, skid steer roller and hydraulic paver. Our product development centre will continue to play a critical role in developing new indigenous construction equipment to complement our existing range.

Could you give an insight to us on your road map for year 2020?
We are quite optimistic about the construction and mining equipment segment. The government of India has taken many steps to remove bottlenecks in construction projects. We recently witnessed the roll out of the biggest tax reform in India since independence, GST, hailed as ‘One nation, one tax’ which is expected to bring in efficiency in tax management. It eliminates the cascading effect of plethora of taxes and will certainly reduce cost of logistics management in terms of faster and assured deliveries. We have long-term agreements with our principals Komatsu and Scania, who have committed large investments in manufacturing facilities near Chennai and Bangalore respectively. Along with them, we will continue to fulfil different needs and requirements of customers engaged in construction projects.

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