With the fuselage of the Alouette II and the dynamics of the Alouette III, the SA.315 Lama has built a reputation for hot and high operating in the world's mountainous regions. To fill an Indian requirement for a helicopter capable of operating in the Himalayas, the Lama first flew in March 1969. With the ability to lift underslung loads up to 1135kg the Lama proved ideal for many demanding tasks. The Lama holds the absolute all class-altitude record (12440m) for aerial work and transport around the mountain summits of the Himalayas and Andean Cordillera.

Initially evolved to meet an Indian armed forces requirement of 1968 and intended primarily for operations in 'hot-and-high' conditions, the basic design of the Aerospatiale SA 315B Lama combines a reinforced Alouette II airframe with SA 316B Alouette III dynamic components, including its Artouste power-plant and rotor system. The SA 315 prototype was first flown on 17 March 1969, received the French Certificate of Airworthiness on 30 September 1970, and the name Lama was bestowed by its manufacturers in July 1971.

From the outset the SA 315B excelled in load-to-altitude performance. During a series of demonstration flights in the Indian Himalayas during 1969 an SA 315B, carrying a crew of two and 120kg of fuel, landed and took off at the highest altitude ever recorded: 7500m. On 21 June 1972, a Lama with only a pilot aboard established a helicopter absolute height record of 12442m. These achievements, and the high reputation for reliability established by its close relations, Alouette II and III, ensured a good reception on the market. Already in 1971 arrangements were completed for licence production of the SA 315B by HAL at Bangalore in India. The first Indian-assembled Lama flew on 6 October 1972, with deliveries commencing in December 1973. The HAL-produced Lama is renamed Chetak.

Similar to the Alouette series, the SA 315B Lama can be fitted out for various commercial roles, such as a light passenger transport or for agricultural tasks, while the military variants include conversions for liaison, observation, photography, air/sea rescue (hoist capacity 160kg), transport (maximum external load 1135kg), ambulance (two stretchers and one medical attendant), and other tasks. Its altitude performance makes the SA 315B particularly suited for mountainous districts: the production Lama can transport underslung external loads of up to 1000kg at an altitude of 2500m. Another important factor is its universal landing gear consisting of skids with removable wheels for ground handling, provision for floats for normal operations from water and emergency flotation gear, inflatable in the air.

In 1978 agreement was reached between Aerospatiale and Helibras in Brazil for the assembly of SA 315B Lama helicopters, leading to full licence production.