Certainly.

However, based on experience from quite a lot of similarly formulated questions in the past, I dare to bet that by "89C51" Sateesh meant "AT89C51".

And, Konstantinos, once you said "A" ("there are derivatives with different clocking of Timer1 in the role of baudrate generator"), you should continue with "B", "C" etc. - i.e list all the options. Which are at least:

• as Erik said above, use AT89C52 (or, better, AT89S52, as the 'C'-s are manufactured no more already), or any other derivative with Timer2 (the vast majority of "classical" 40/44-pin derivatives do have it), and use Timer2 rather than Timer1 as the baudrate source
  
• use the less-than-12-clocker capable of less-than-12-clocking Timer1, as you suggested
  
• use a derivative with a baudrate generator independent from the timers, if capable of 115200 with 11.0592MHz Xtal
  
• use a different crystal, 115200 baud can be achieved using 22.1184MHz crystal (which is a commonly available one) even with the "plain '51"
  
• use an external UART chip, capable of 115200 with the crystal of your choice
  
• any combination of the above
  
• any other option I forgot to list
  

JW