"I was clear that I would leave at 65 as per the rules of the company and there was no question of seeking an extension," he said when asked if he felt a wee bit wistful about stepping down. On his tenure as managing director and CEO, Kulkarni said that the last five years had been "very interesting".

"L&T is a big training school and the best people in the business are found here. Hence, it was only logical that my successor was an internal man and Naik is the ideal man for the job," he said. On his plans post-retirement, he was categoric that he would not take any executive responsibility but still keep himself intellectually busy and active.

Kulkarni joined L&T in 1975 and spent the greater part of his 40-year work experience here. "I took to the company like a fish does to water," he recollects. He joined theboard of directors in 1988 and by then was active in a host of functions that included personnel management, exports, advertising and public relations.

Kulkarni said that during his five years as CEO, there was really no need for him to get personally involved in the nitty gritty of daily operations. "We have very competent people who know their ropes well. I decided to concentrate on the long term policies of the company and this explains the bout of restructuring that happened during my tenure," he said. This, he added, would ensure that the company maintained its leadership as it entered the 21st century.

Elaborating on the need to prune some activities, Kulkarni referred to the shipping division which was like a "milestone around our necks" and, hence, had to be disposed of. Apart from this, the company closed down its shoe unit, exited manufacturing electronic hardware and restructured its construction business by spinning it off into separate tieups with Komatsu of Japan and Case Corporation of theUS (which is expected to materialise this year). Likewise, information technology was spun off as a separate activity, a "wise decision" considering its vast business potential in the years to come.

Kulkarni said that L&T also decided at that time to reposition itself in existing businesses like engineering. A separate centre for specialised operations was created in Baroda which today boasts of over 1,000 high calibre engineers. The company has also honed its skills in the EPC power business and today has the ability to set up a 500 mw plant. "We were concentrating on the future of this company while the changes were being envisaged," Kulkarni said.

He was as categoric about the foray into cement which has come in for criticism from some quarters who feel that it could be a drain on the company's finances. "In 1994, the board had a detailed review of the cement business and it was decided that capacity would touch 12 million tonnes from 2.2 million tonnes by the turn of the century. Today, I am proud tosay that we have stuck to our target," Kulkarni said.

Defending the expansion, he indicated that India's per capita consumption of cement is a mere 75 kg compared to China's 500 kg and over 700 kg in Thailand. "We are talking of a boom in housing and construction, activities that will demand enormous cement and that is when L&T will be in a position to deliver," Kulkarni said. He added that the recent acquisition of Narmada Cement would ensure better coordination with the Gujarat cement plant and do away with the former proposal to set up a grinding unit in Surat.

Kulkarni said that power was another key area for the future and that the company would continue to focus on this activity over the years.

He said that the decision to enter into a tractor manufacturing business with John Deere of the US also made sense as there was room for highly skilled players. "We are sure that this will be a successful joint venture and Deere, in any case, is the biggest name in the tractor business worldwide," he said.