Laser cladding is a direct energy deposition method that is used to deposit desired property material on the substrate with sound metallurgical bond and has well-known applications, like surface depositions, for improving or altering the corrosion and/or wear resistance of the material. The laser cladding process involves various physical phenomena occurring together. It is a layer by layer deposition technique. The accuracy and precision of the laser cladding process are high because of the controlled heat input and minimal dilution. With these beneficial aspects, laser cladding finds application in the development of a thermal barrier coating. This paper is focused on the development and characterization of a thermal barrier coating via laser cladding. Parametric study to clad Yttria Stabilized Zirconia (8YSZ) on H13 tool steel was performed using 3kW fiber laser and 6-axis KUKA robot. For the engineered thermal response of the thermal barrier coating, i.e., thermal diffusivity, different methods were studied. Characterization of the laser flash method is done for accurate thermal diffusivity measurement. In addition, the effects of process parameters such as scanning speed, laser power, and powder flow rate on the macro clads and micro clad geometry, surface roughness, and microhardness have been studied. The deposition height and width were found to be increasing with an increae in laser power for both microscale and macro-scale depositions. Also, if the scanning speed is increased, the deposition height and width decrease. The hardness of the deposited Yttria-Stabilised Zirconia coating was found to be ∼1400 HV.