This paper investigates the quality characteristics of the welding geometry of the laser welding process for the ANSI 304 austenitic stainless steel, with the use of a pulsed Nd:YAG laser welding system. Laser welding of 2 mm thick ANSI 304 stainless steel is performed at three different levels of three factors, i. e., peak power, welding speed and pulse duration. In this study, a multi‐response optimization problem is developed to achieve weld bead geometry with full penetration as well as a narrow bead width and minimum crater. Grey relational analysis based on Taguchi orthogonal array is used to present an effective approach for the optimization of laser welding process parameters. Regression equations between the welding parameters and the bead dimensions for laser welded austenitic stainless steels are developed, which are used in predicting the penetration, width and crater. Finally, the equations are tested for values different from the levels of the parameters in the orthogonal array. It will be beneficial to engineers for continuous improvement in laser welded product quality.