LIVE TV
ZEE Business
ZEE BUSINESS
हिंदी में पढ़ें  हिंदी में पढ़ें
Live TV
Live TV
  • Home
  • Budget 2021
  • Personal Finance
    • PPF
    • Mutual Funds
    • Income tax
    • EPFO
    • Income Tax Calculator
    • Personal Loan Calculator
    • Car Loan Calculator
    • Home Loan Calculator
    • SIP calculator
    • SWP Calculator
    • MF Returns Calculator
    • Lumpsum Calculator
  • India
    • Companies
    • Property
    • Startups
    • Uidai
  • Economy
    • Aviation
  • Tech
    • Mobiles
    • Apps
  • Auto
    • Cars
    • Bikes
  • Markets
    • Commodities
    • Currency
  • Jobs
  • Indian Railways
  • World
    • Economy
    • Politics
    • Markets
  • videos
  • photos
  • Authors
  • More ...
    • VIDEOS
    • PHOTOS

Read in App
Business News » India News

How clear thinking has helped Dubhashi turn around L&T Finance

  • Twitter
  • Facebook
  • Linkedin
  • whatapp
  • View in App
Updated: Sun, Oct 01, 2017
09:39 am
PTI
RELATED NEWS
Expert Views: BIG! India's retail inflation eases to 4.59% in December Expert Views: BIG! India's retail inflation eases to 4.59% in December
Budget 2021 Expectations – HOME BUYERS to benefit if Govt accepts this demand; JLL CEO lists following demands Budget 2021 Expectations – HOME BUYERS to benefit if Govt accepts this demand; JLL CEO lists following demands
Jobs, land prices, Covid-19 vaccine, rural India, household savings, NBFCs, banks, consumption, capex - Positives and Negatives | EXPLAINED Jobs, land prices, Covid-19 vaccine, rural India, household savings, NBFCs, banks, consumption, capex - Positives and Negatives | EXPLAINED
Economy, markets, FIIs, chemicals, IT and Pharma - Make money, as India powers to new highs | EXPLAINED    Economy, markets, FIIs, chemicals, IT and Pharma - Make money, as India powers to new highs | EXPLAINED
Setback for China – Trend reversing in favour of India; SFI lands big blow! Know here WHY! Setback for China – Trend reversing in favour of India; SFI lands big blow! Know here WHY!

From being an almost crippled player with low RoE and plenty of bad-press till two years ago to one of the top five NBFCs now, L&T Finance has come a long way, thanks to the turnaround plan sewed up by the new management under chief executive Dinanath Dubhashi.

In short, the financial services arm of engineering giant Larsen & Toubro had badly missed the bus and the bull- run that the industry had till last year, but fortunately moved up the ladder in the past six quarters.

Today, L&T Finance Holdings is among the top five NBFCs with high return of equity (RoE) and one of the best in terms of asset quality and is among the top NBFCs in terms of market capitalisation.

"To begin with we decided to be a pure-play NBFC as we were confused whether we are an NBFC or a bank. So, we'd to get the right business plan with the right structure in place that means less complexities, the right execution and the right people. To get this moving we had to ensure there's no room for anyone to blame the externalities for their failures.

"So as I started off, I stuck my neck out and said we'll achieve the top quartile RoE by 2020 offering 18-20 per cent by 2020. I'm happy today that we'll be able to achieve this one full year in advance," is how Dubhashi recalls the course correction he undertook since taking over in July 2016 as the managing director & chief executive, though the turnaround plan was rolling from April 2016.

The focus was on three-four things from beginning -- the right cost structure, getting the right people in and wrong people our and right product and execution strategies.

"First of all, we'd a very heavy cost structure, which was eating into our nimbleness. As an NBFC, we'd to be nimble and fast. Then we'd a laundry list of 20-odd products earlier.

To trim them to a sensible level was a key target and so we slashed them to just five now," Dubhashi tells

 

(This article has not been edited by Zeebiz editorial team and is auto-generated from an agency feed.)

Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.

TAGS:
Economy
RELATED NEWS
Expert Views: BIG! India's retail inflation eases to 4.59% in December Expert Views: BIG! India's retail inflation eases to 4.59% in December
Budget 2021 Expectations – HOME BUYERS to benefit if Govt accepts this demand; JLL CEO lists following demands Budget 2021 Expectations – HOME BUYERS to benefit if Govt accepts this demand; JLL CEO lists following demands
Jobs, land prices, Covid-19 vaccine, rural India, household savings, NBFCs, banks, consumption, capex - Positives and Negatives | EXPLAINED Jobs, land prices, Covid-19 vaccine, rural India, household savings, NBFCs, banks, consumption, capex - Positives and Negatives | EXPLAINED
Economy, markets, FIIs, chemicals, IT and Pharma - Make money, as India powers to new highs | EXPLAINED    Economy, markets, FIIs, chemicals, IT and Pharma - Make money, as India powers to new highs | EXPLAINED
Setback for China – Trend reversing in favour of India; SFI lands big blow! Know here WHY! Setback for China – Trend reversing in favour of India; SFI lands big blow! Know here WHY!

LATEST NEWS

Petrol crosses Rs 86 mark in Delhi, diesel above Rs 83 in Mumbai

Stock Market Holidays 2021 India: Sensex, Nifty, other markets closed today for Republic Day celebration

Kangana Ranaut: Indians supporting farmers' protests are ''terrorists'', should be jailed

FD Calculator - SBI vs HDFC vs ICICI Bank: Which will give more return for your fixed deposit money?

7th Pay Commission latest news: Whopping salary plus allowances; check details of this central government job at joinindianarmy.nic.in

Homefirst Finance IPO Share Allotment Status: Here is how to check subscription - Step by step guide

Amazing pagdi! PM Narendra Modi's turban pics go viral! Know story behind headgear and who gifted it

Vacate Delhi, return to borders, Punjab CM tells farmers

Amit Shah calls emergency meeting following farmers' violence

Farmers storm Red Fort, clashes and teargas as R-Day tractor parade turns violent

  • India News
  • World News
  • Companies News
  • Market News
  • Personal Finance News
  • Technology News
  • Automobile News
  • Small Business News
  • Income Tax Calculator
  • Live TV
  • Videos
  • Photos
  • Author
  • Rss Feed
  • Advertise with us
  • Privacy Policy
  • Legal Disclaimer

Latest Trending Updates

  • EPFO
  • Budget 2020
  • Income Tax Return
  • Auto Expo 2020
  • Home Loan
  • Business News

Trending Topics

  • Income Tax
  • income Tax Calculator
  • 7th Pay Commission
  • Reserve Bank of India
  • GST
  • Latest Business News

Follow us on

zeebiz
zeebiz

Partner Sites

  • Zee News
  • Hindi News
  • Marathi News
  • Bengali News
  • Tamil News
  • Malayalam News
  • Gujarati News
  • Telugu News
  • Kannada News
  • DNA
  • WION
Copyright © Zee Media Corporation Ltd. All rights reserved