INDIAN BUSINESS HOUSE REPORT ON THE TATA GROUP

INDIAN INSTITUTE OF EDUCATION AND BUSINESS MANAGEMENT (IIEBM), PUNE MEba(2008-2010)

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ACKNOWLEDGEMENT
We wish to express our sincere gratitude to director jai singh marwah who gave us an opportunity to learn something new on the basis of political aspect. It is due to him we came to know deeply about the tata group.we also thank prof. arjun madan who guided us on preparing this project.

GROUP NAME SPRINTERS

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GROUP LEADER TANVI R. SAWAL GROUP MEMBERS REG NO. SECTION

TANVI R. SAWAL VIVEK KAPOOR SHASHANK PANDEY VINOD KUMAR YADAV CHANDRANSHU SRIVASTAV SOURAV SACHDEV ISHAN YADAV Contents OF INDIAN BUSINESS HOUSESs Section – I

336 207 119 266 23 02 144

VINDHYAS VINDHYAS VINDHYAS VINDHYAS VINDHYAS VINDHYAS SHIVALIK

Page No. 06 09 16 20 23 28 45 48 54 98 103 109

1. Origin and founder. 2. Brief History, Vision and Mission. 3. Core business when started / established. 4. Business philosophy and policies. 5. Progress over the years. Section - II 1. 2. 3. 4. 5. 6. 7. Organization and Management Structure. Revised Vision, Mission and Outlook. HR, Marketing, Finance & Safety Policies. Corporate Governance. Approach towards the Environment, Pollution and Ecology. CSR and its implementation. Name and Performance of the Companies controlled by the Business House (companies controlled by the Business House / Industry verticals
they have entered into, their Product Lines, Market Share, their 3

Major competitors, Export Earnings, Market Capitalization, Technology absorption and major innovations).

8. Impact of LPG on the Current and Future Business Prospectus. 9. Important Milestones and Turning Points. 10. Progress over the years. Section - III 1. Future Prospectus and Outlook. 2. Succession planning. Section – IV 1. Brief on the Stalwarts and their role in shaping the Business house. 2. Conclusion. Bibliography

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BREAK-UP OF WORK LOAD • Section – I Points 1 – 3 (Chandranshu Srivastav) Points 4 - 5 (Vinod Kumar Yadav)

• Section – II Points 1 – 3 (Tanvi R. Sawal) Points 4 – 7 (Vivek Kapoor) Points 8 – 10 (Shashank Pandey)

• Section – III
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Jamshedji joined him at the tender age of fourteen. He breathed his last in 1904 in Germany. Those were turbulent times. The British had just managed to ruthlessly crush the 1857 Revolt. Nusserwanji was the first businessman in a family of Parsi Zorastrian priests. His parents were Nuseerwanji and Jeevanbai Tata. Since the age of twenty-nine Jamshedji continued to work in his 5 . Jamshedji graduated in 1858 and joined his father trading firm. He took admission in Elphinstone College and while still a student he married Hirabai Daboo.Points 1 & 2 (Saurav Sachdev) • Section – IV Points 1 & 2 (Ishan Yadav) Origin and founder The story of the Tata Group of business unfolds with the birth of its founder Jamshedji Tata in the small town of Navasari in Gujarat in 1839. Destiny called him to Bombay where he started trading.

hotels. materials. It was completed in December 1903 for a princely amount of Rs. Its revenue touches $967. In 1868 he started a trading company on his own with a capital of Rs. Its operations covers many fields related to industry and allied activities concerned with know-how and its application engineering.000/-In this too he was inspired by nationalist thinking. Tata operates in more than forty countries across six continents. Taj Mahal Hotel was a befitting reply to this discrimination.9 billion in 2005/06. He did not just think of innovative ways of manufacturing textiles but he devised new labor practices that would satisfy the workers. The former should be the base of the latter.R. In those days the locals. information technology. There are ninety-six companies operating in seven business sectors.D. This is equal to 2. He came to the conclusion that economic self-sufficiency should go hand in hand with political independence. There are about 246. In this way he was far ahead of his times.father’s firm. communications.4. Unfortunately during his lifetime none bore fruit but he had planted the seed.8% of India’s GDP. Market capitalization figure is $57. Queen Victoria had just been declared the Empress and in keeping with the times Jamshedji named it Empress Mill. which later took roots and spread its branches under the care of his successors. world class learning institution and a hydroelectric plant. telecommunications.The statistics and figures of Tata Group speak for themselves. The only achievement that he lived to see was The Taj Mahal Hotel. It exports products and services to one hundred and forty 6 . 00. Tata in 1991. Tata Group is a private conglomerate with headquarters at Mumbai.000 employees in the Tata group as per records of 2004. steel and consumer goods.His first step was to acquire a bankrupt oil mill and convert it into a cotton mill which he renamed Alexander Mill. were not allowed into the best European Hotels. chemicals energy.21. He wanted to set up an iron and steel company. 21. It was not just his own personal success but also of those who worked for him and his group. With this he set up a cotton mill in Nagpur in 1874. that is Indians. Jamshedji had three key ideas in mind.Jamshedji was a unique personality. The present Chairman is Ratan Tata who took over from J. Jamshedji was in close contact with revolutionary thinkers and nationalists like Dadabhai Naoroji and Pherozeshah Mehta and strongly influenced by them. Two years later he sold it with a good margin of profit.229 million or $21. A member of the Tata family is always the Chairman of the group. 000/. Only twenty-eight of the ninetysix in Tata Group are publicly listed. software. automotive.6 billion.

Tata Management Training center. The name of Tata is linked to consumer durables like tea. After an unprecedented nine rounds of bidding Tata finally clinched the deal. January 2007 is a watershed in the history of Tata Group. This is mainly because it is assisted by group member concern that deals with the supply of raw material like coal and iron. It has turned out to be the biggest acquisition by any Indian company. Pune. 1932 saw the establishment of Tata airlines.8% of the ownership of Tata group TISCO now called Tata steel set up in 1907 India’s first iron and steel plant in Jamshedpur. economic and financial consultancy services. In the service sector there are Tata companies dealing with hotels. Then there are Tata Chemicals and Tata Pigments. Tata Energy Research Institute and Air India (Tata Airlines) owe their origins to the name of Tata. In 1917 the Tata group made its debut in the field of consumer goods industry with the setting up of Tata Oil Mill dealing in soaps. Telco now known as Tata Motors started to manufacture locomotive and engineering products from 1945. Other educational institutes are Tata Institute of Science now Indian Institute of Science. Bangalore. Tata steel made a successful bid for UK based Corus Group. detergents and cooking oil. watches (Titan) Tata Trent (Westside) to Tata Sky and even gold and diamonds like Tanishq brand of jewellery.nations. It produces steel at the lowest cost in the world. Tata offered to buy 100% stake in Corus at 608p per share (all cash) totaling to a value of $12. Many renowned public sector companies and research organizations like Indian Institute of Science. The Charitable Trust of Tata holds 65.In information systems and communications the Tata name comes with 7 . which is often called Tatanagar. Tata Institute of Social Sciences. general insurance and life insurance. Production actually started in 1912. Tata Institute Of Social Science “ deemed University and National Centre for the Performing Arts. Tata Institute of Fundamental Research. Tata Chemicals made its appearance in 1939.04 billion. Tata is one of the best names in the world of investments and shares. In the area of education Tata’s publishing house of Tata McGraw Hill is a renowned name. Tata offers management. Tata Institute Of Fundamental Research “ deemed University. In 1910 was set up Tata Hydro-Electric Power Supply Company. Tata Power is one of the largest private sector companies in India and supplies power to Mumbai and parts of New Delhi. which was one of the world’s leading steel and aluminum producers.

Tata Technologies Ltd. It can also be seen as a tree under which all are welcome to take refuge. Tata’s contribution to India’s education. unity and responsibility. excellence. TCS and Tata Elxsi. Tata Teleservices. 8 . Weaving and Manufacturing Company is set up. The blue colored log of Tata speaks for fluidity as well as fountain of knowledge. Tata acquired VSNL. There are software companies Tata Interactive Systems. Tata Infotech. 1902 The Indian Hotels Company is incorporated to set up the taj Mahal Palace ad Tower India’s first luxury hotel which opened 1903. INCAT. The aim of Tata Group is to improve the quality of life in the society by virtue of integrity. science and technology has been widely documented and respected. the Indian telecom giant from Bermuda based Canadian company named Teleglobe in 2005. The entire family known as the Tata Group shares these values. Vision and Mission BRIEF HISTORY 1868 Jamsetji Nusserwaji Tata starts a private trading firm laying the foundation of the Tata group.marking the Group’sentry into textiles. understanding. 1874 The Central India Spinning. Nelito Systems. Nelco. Brief History.Computational & Research Laboratories. Tatanet etc.

detergents and cooking oils. well before such a system was implemented by law even in most western countries. 1912 Tata Steel introduces eight-hour working days. which started production in 1912.is set up to generate electricity. 1932 9 . 1911 The Indian Institute of Science is established in Bangalore to serve as a centre for advanced learning.the Tata Hydro-Electric Power Supply Company. 1917 The Tatas enter the consumer goods segment as the Tata Oil Mills Company is established to make soaps. 1910 The first of the three Tata Electric Companies.1907 The Tata Iron and Steel Company is established to set up India’s fi rst iron and steel plant in Jamshedpur.

1968 Tata Consultancy Services (TCS).a division of Tata Sons.requests the Group to manufacture cosmetics inIndia. The company began manufacturing commercial vehicles in 1954 in a JV with Daimler Benz.Tata Airlines. 10 . opening up the aviation sector in India. 1939 Tata Chemicals is established.is established.India’s fi rst Prime Minister.is established as a division of Tata Sons 1984 Titan Industries —a joint venture between the Tata Group and the Tamil Nadu Industrial Development Corporation (TIDCO) — is set up to manufacture watches. and Lakme is established.India’s fi rst software services company. 1945 Tata Engineering and Locomotive Company (renamed Tata Motors in 2003) is established to manufacture locomotive and engineering products. 1952 Pandit Jawaharlal Nehru.

laying the foundation of the Tata Business Excellence Model. developed and manufactured car —is launched by Tata Motors. 1998 Tata Indica — India’s first indigenously designed. modelled on the Malcolm Baldrige National Quality Value Award of the United States.1995 Tata Quality Management Services institutes the JRD QV Award.in the fi rst major acquisition of an international brand by an Indian group. 2000 Tata Tea acquires the Tetley Group. 1996 Tata Teleservices Limited (TTSL) is established to spearhead the Group’s foray into the telecom sector. 11 . UK. spearheading the Group’s entry into passenger cars.

headquartered in Singapore. The Pierre.South Korea. • Titan launches Edge.2001 Tata-AIG — a joint venture between the Tata Group and American International Group Inc (AIG) —marks the Group’s re-entry into insurance. was nationalised in 1956 2002 The Tata Group acquires a controlling stake in Videsh Sanchar Nigam Limited — India’s leading international Telecommunications service provider.making it one of the world's largest provider of submarine cable bandwidth. 2007 12 . •Tata Consulting Services goes public in India's private sector's largest initial public offer. The Group’s insurance company. •Tata Steel makes its first major overseas investment in NatSteel Asia. •VSNL acquires Tyco Global Network.the slimmest watch in the world 2004 Tata Motors acquires the heavy vehicles unit of Daewoo Motors. 2005 Indian Hotels adds New York's iconic hotel. to its portfolio as also its Ginger "Smart Basics"hotels in India. New India Assurance. •Tata Consultancy Services becomes the fi rst Indian software company to cross one billion dollars in revenues.

Tata Steel acquires Corus. In 1991. by becoming the supplier of choice. pride and passion.1 bn. by fostering team work. Ratan Naval Tata (Ratan Tata/Ratan) took over the Chairmanship from JRD Tata. Jehangir Ratanji Dadabhoy Tata (JRD) became the Chairman of the Tata Group and played a significant role in continuing the vision of the group. as the Tatas lacks an heir who can succeed Ratan. After Ratan Tata's retirement who would succeed him and carry the vision of the Group is a dilemma. Tata Motors had increased its sales to INR 1 million in the year 1991 and it had rolled out 3 million vehicles in the same year. over the years. and envisaged to make India self-reliant.Tata Steel is now the world’s 6th largest steel producer with capacity of 26 million tonnes per annum and operations in 24 countries. Our INNOVATIVE APPROACH. Our OFFER. the UK-based steel company. However. Ratan revamped the operations of Tata Steel and made it one of the lowest-cost steel producers in the world. for $ 12. 13 . He restructured Tata Group's business operations and made the Group compete globally. Our PEOPLE. by developing leading edge solution in technology. nurturing talent. the group is at cross-roads to decide who will be the next chairman. Tata Consultancy Services went public and Tata Motors was listed in the New York Stock Exchange.the biggest overseas acquisition by an Indian company. Vision and mission The Tata Group is one of India' largest business conglomerates established by Jamshedji Tata (Jamshedji) in the second half of the 19th century. process and products. After Jamshedji. delivering premium products and services and creating value with our customers. enhancing leadership capability and acting with pace. Ratan Tata disproved his critics. Starting from the late 1990s. Although he was initially criticized for his poor performance. Under Ratan Tata's chairmanship. Tata's assets climbed from INR 620 million in 1939 to INR 100 billion in 1990. Jamshedji's vision for the Group was in line with nationalist goals and ideals then.In a major step in its unfolding strategy of growth and globalisation.

Our CONDUCT. by providing a safe working place respecting the environment. MISSION Our Mission in Tata is to improve the quality of life in India through leadership in targeted sectors of national economic significance to which the Group can bring a unique set of capabilities. caring for our communities and demonstrating high ethical standards. Core business when started / established : 14 .

There were enormous initial problems in clearing the Sakchi site and. In India. to study the coking process in action. and went to Birmingham.2 million in shares. such as Bihar and Orissa in the northeast of the subcontinent. American specialists were brought in and began surveying in 1903. Lord George Hamilton. Also involved in the surveying was Tata's nephew. production was meeting expectations and during World War I the company exported 1. in ensuring that the coal was of a uniform quality. however. whose health suffered so much that he was sent to London to recuperate. In the face of warnings that India could not afford a flotation of this size. to locate iron ore within easy reach of coal deposits and water.000 Indian investors came forward and the whole share issue was taken up. He visited the United States to seek the advice of the world's foremost metallurgical consultant. Within eight weeks some 8. With Julian Kennedy's help. he discussed his plans with the secretary of state for India.500 miles of steel rails to Mesopotamia. both essential elements in steel production. and he became Communist member of Parliament for Battersea North in 1922. his sons Dorabji and Ratanji began development of the Bihar site. By 1916. rich iron ore deposits were identified in the dense jungle in Bihar at the confluence of two rivers near Sakchi three years after Jamsetji Tata's death in 1904. Four years after Tata's death. by seeking out Indian investors. After a series of disappointments. His energies were soon channeled away from business matters and into politics. he joined his uncle's London office. Alabama. which had been established some years earlier to represent the interests of the family cotton business. once production began. Tata commissioned a series of surveys in India's coalproducing areas. Rapid expansion to support the Allied war effort was 15 . A conscious decision was made to retain control within India of the new enterprise.Development of Tata Iron & Steel Company: Late 1800s-1980s From the mid-1880s. the way had been opened for private enterprise with the introduction of a more liberalized mineral concession policy in 1899. Shapurji Saklatvala. A factory and township were carved from the jungle and named Jamshedpur. the Tata Iron and Steel Company. In England in 1900. Julian Kennedy. The Tatas retained 11 percent of the stock for themselves. the Tata brothers set out to raise Rs 23. There.

Expansion was restricted by a government committed to helping nationalized industry.000 in the neighboring coal mines. transport and labor difficulties. as India's only private sector steel producer. to retain an efficient private sector yardstick against which the performance of public sector companies could be judged. it was believed. and a major earthquake in Japan. by now TISCO's biggest customer. TISCO emerged from the 1930s. and rail transport.000 people at Jamshedpur. Government attempts to nationalize TISCO in 1971 and 1979 were defeated. The company had to suspend its dividend for 12 out of 13 years in this period and was on the brink of closing in 1924 when Sir Dorabji Tata had to pledge his personal fortune to secure the necessary bank loans to keep the business afloat. however. however. to plough money into modernization. Following six years of almost continuous production to serve the war effort. however. upgraded four years later to the Two Million Ton Project (TMP) to give TISCO the capacity to produce two million tons of crude steel. however. known as Tatanagars. as the biggest steel plant in the British Empire. This was achieved in 1958 but further expansion was put on hold during the 1960s while the country passed through a period of devaluation and recession. An estimated Rs 45 crores of salable steel was lost during 1979-80 because of these shortages. it became imperative in the late 1940s to begin replacement of the plant. In association with Kaiser Engineering of the United States capacity was expanded and a Modernization and Expansion Program (MEP) was launched in 1951. with a further 20. TISCO soldiered on. Further difficulties were created in the late 1970s by chronic shortages of coal. which were used extensively by the British Army in the North African desert. TISCO employed 40. and in the following decade began to benefit from a relaxation of government control as a more pragmatic attitude to the 16 . hampered Tata's freedom to develop in the postwar period. in part. In 1978. power. An ever-increasing range of government legislation to bring private sector businesses into line with national economic planning on the Soviet model.followed by Depression during the 1920s with escalating prices. World War II brought a resurgence in demand for Tata products and the company specialized in the manufacture of armored cars. the government restricted TISCO's dividend to 12 percent to force it. By 1970.

Promoter companies Tata Sons.Group holding structure Tata Sons and Tata Industries are the two promoter companies of the Tata Group. By 1990. which are registered in India and several other countries. the Tata group increased its stake in the steel firm to ward off any attempts by outside shareholders to gain control of the company.A more detailed profile of these companies can be accesses through the ‘related info’ links on the right.About 66 per cent of the equity capital of Tata Sons is held by philanthropic trusts endowed by members of the Tata family. 17 . Tata Sons This premier promoter company of the Tatas was established as a trading enterprise by group founder Jamsetji Tata in 1868.in the early 1980s. Tata Sons is the owner of the Tata name and the Tata trademark.It is the promoter of all key companies of the Tata Group and holds the bulk of sharehoding in these companies.importance of private sector industry emerged. Tata Industries Tata Industries was set up Tata Sons in 1945 as a managing agency for business it promoted.Tata Industries. Tata Industries’ mandate was recast. The chairman of Tata Sons has traditionally been the chairman of the Tata Group. announcing a 30 percent increase in profits against a backdrop of general depression in the Indian economy as a whole.to promote the Group’s entry into new and high-tech areas. In 1989. TISCO remained India's largest nonpublic company. Following the abolition of the managing agency system.

advanced materials and telecom hardware. information technology .auto components. including control systems. Group Holding Structure 18 .financial services . initiated and promoted the Group’s ventures into several sectors.Tata Industries has over the last two decades.

Tata Steel will strive continuously to foster a climate of openness. It is committed to equal employment opportunities for attracting the best available talent and ensuring a cosmopolitan workforce.improvement and innovative work in environment. mutual trust and teamwork Tata is committed to create an exciting work pace based on self-directed teams . a) Create work conductive to superior performance . it will increasingly be necessary for Corporates to encourage and generate internal passion for volunteering and Community service. which enable employees to realize their full potential through continuous learning and training 19 . The central theme of the Tata Group purpose statement. Policies HUMAN RESOURCE POLICY Tata Steel recognises that its people are the primary source of its competitiveness. It will aim at ensuring transparency. "Our Purpose in Tata is to improve the quality of life in the communities we serve" is a powerful guiding statement. It will pursue management practices designed to enrich the quality of life of its employees.Business philosophy and policies Philosophy The current growth of our economy and the confidence with which we face the world provide a compelling context in which Corporates need to engage with the disadvantaged sections of our society. This will have a positive impact not only on our competitive advantage but also on the corporate reputation. In the coming years. develop their potential and maximise their productivity. fairness and equity in all its dealing with its employees.

apart from inviting appropriate civil or criminal action under the relevant laws. develop their potential and maximise their productivity. Tata Steel recognises that its people are the primary source of its competitiveness. All required information shall be accessible to company auditors and other authorised parties and government agencies. It will pursue management practices designed to enrich the quality of life of its employees. mutual trust and teamwork Finance Policies A Tata company shall prepare and maintain its accounts fairly and accurately and in accordance with the accounting and financial reporting standards which represent the generally accepted guidelines. and shall have internal controls to provide assurance to the company’s board and shareholders that the transactions are accurate and legitimate. fairly and accurately. Internal accounting and audit procedures shall reflect. authorise. laws and regulations of the country in which the company conducts its business affairs. Tata Steel will strive continuously to foster a climate of openness. principles. c) High potential employee working in congenial work environment. It is committed to equal employment opportunities for attracting the best available talent and ensuring a cosmopolitan workforce. unlawful commission or bribing. Any willful. No employee shall make. 20 . all of the company’s business transactions and disposition of assets. abet or collude in an improper payment. no advance-income recognition and no hidden bank account and funds. fairness and equity in all its dealing with its employees. It will aim at ensuring transparency. There shall be no willful omissions of any company transactions from the books and records. material misrepresentation of and / or misinformation on the financial accounts and reports shall be regarded as a violation of the Code. standards.b) Identify and develop potential leaders for future growth.

Market Policies A Tata company shall fully support the development and operation of competitive open markets and shall promote the liberalisation of trade and investment in each country and market in which it operates. Any collection of competitive information shall be made only in the normal course of business and shall be obtained only through legally permitted sources and means. Progress over the years 1868 Jamsetji Nusserwanji Tata starts a private trading firm. laying the foundation of the Tata Group. 1874 21 . no Tata company or employee shall engage in restrictive trade practices. Specifically. abuse of market dominance or similar unfair trade activities. A Tata company or employee shall market the company’s products and services on their own merits and shall not make unfair and misleading statements about competitors’ products and services.

The first two companies were merged with Tata Power in 2000 to form a single entity. 1902 The Indian Hotels Company is incorporated to set up the Taj Mahal Palace and Tower. 1911 The Indian Institute of Science is established in Bangalore to serve as a centre for advanced learning. detergents and cooking oils. The Tata Hydro-Electric Power Supply Company is set up. The plant started production in 1912. 22 . Andhra Valley Power Supply Company was established in 1917 and Tata Power in 1919. with the Tata Oil Mills Company being established to make soaps. Sets up its first office overseas. marking the Group's entry into textiles and its first large-scale industrial venture. well before such a system was implemented by law in much of the West.The Central India Spinning. The second. 1910 The first of the three Tata Electric Companies. 1912 Tata Steel introduces eight-hour working days. 1907 The Tata Iron and Steel Company (now Tata Steel) is established to set up India's first iron and steel plant in Jamshedpur. 1917 The Tatas enter the consumer goods industry. Weaving and Manufacturing Company is set up. The company was sold to Hindustan Levers (now Unilever) in 1984. India's first luxury hotel. which opened in 1903. Tata Limited in London.

is established. leading to the setting up of Lakme. one of the largest tea producers. is established as a division of Tata Sons. 1968 Tata Consultancy Services (TCS). 1952 Jawaharlal Nehru. is established. requests the Group to manufacture cosmetics in India. India's first Prime Minister. Voltas. renamed Tata International. is established. engineering and manufacturing organisation. 23 . 1962 Tata Finlay (now Tata Tea). Today the company. opening up the aviation sector in India. 1939 Tata Chemicals. Tata Industries is created for the promotion and development of hi-tech industries. The company was sold to Hindustan Levers (now Unilever) in 1997. 1945 Tata Engineering and Locomotive Company (renamed Tata Motors in 2003) is established to manufacture locomotive and engineering products. a division of Tata Sons.1932 Tata Airlines. is one of the leading export houses in India. Tata Exports is established. is established. 1954 India's major marketing. now the largest producer of soda ash in the country. India's first software services company. Air India was nationalised in 1953.

1971 Tata Precision Industries. 24 . modelled on the Malcolm Baldrige National Quality Value Award of the United States. 1996 Tata Teleservices (TTSL) is established to spearhead the Group's foray into the telecom sector. the first Tata company in Singapore. spearheading the Group's entry into the passenger car segment. 1998 Tata Indica — India's first indigenously designed and manufactured car — is launched by Tata Motors. laying the foundation of the Tata Business Excellence Model. 1999 The new Tata Group corporate mark and logo are launched. 1984 The first 500 MW thermal power unit at the Trombay station of the Tata Electric Companies is commissioned. UK. is founded to design and manufacture precision engineering products. 1995 Tata Quality Management Services institutes the JRD QV Award. 2000 Tata Tea acquires the Tetley Group. This is the first major acquisition of an international brand by an Indian business group.

2001 Tata AIG — a joint venture between the Tata Group and American International Group Inc (AIG) — marks the Tata re-entry into insurance. 25 . New India Assurance. the second Group company to do so after VSNL. the New York Stock Exchange. Tata Sons completes 60 years of Tata operations in the US.2 billlion. (The Group's insurance company. Tata Consultancy Services (TCS) becomes the first Indian software company to cross one billion dollars in revenues. 2005 Tata Steel acquires Singapore-based steel company NatSteel by subscribing to 100 per cent equity of its subsidiary. Sydney (renamed Blue) and takes over management of The Pierre. NY. set up in 1919. 2004 Tata Motors is listed on the world's largest bourse. raising nearly $1. India's leading international telecommunications service provider. Tata Motors acquires the heavy vehicles unit of Daewoo Motors. Titan launches Edge. the slimmest watch in the world. was nationalised in 1956). making it one of the world's largest providers of submarine cable bandwidth. 2002 Tata Sons acquires a controlling stake in VSNL (renamed Tata Communications in 2008). NatSteel Asia. TCS goes public in July 2004 in the largest private sector initial public offering (IPO) in the Indian market. VSNL (now Tata Communications) acquired Tyco Global Network. South Korea. The Taj acquires a hotel run by Starwood.

the People’s Car. The Taj acquires Campton Place Hotel in San Francisco. Foundation stone for the Tata Medical Centre unveiled in Kolkata. TCS inaugurates TCS China — a joint venture with the Chinese government and other partners. Tata Chemicals acquires General Chemical Industrial Products Inc. making it the world's fifthlargest steel producer. at the 9th Auto Expo in Delhi on January 10. 2007. one of the fastest supercomputers in the world and the fastest in Asia. 2008 Tata Motors unveils Tata Nano.2006 Tata Sky satellite television service launched across the country. Tata Steel celebrates its centenary on August 26. a division of Tata Sons. develops Eka. 2007 Tata Steel acquires the Ango-Dutch company Corus. Tata Motors acquires the Jaguar and Land Rover brands from the Ford Motor Company. organization & management Structure ORGANISATION STRUCTURE  26 . 2008. Computational Research Laboratories.

When companies announce their annual reports or bask in the glow of successful deals. said Tata Steel group CFO Kaushik Chatterjee as he spoke at the 2nd CFO Strategies India 2008 on Monday. the CFO. as he delivered insights on the remarkable rise of Tata Steel and its much-publicised acquisition of Corus last year. Sourya Biswas reports from the venue. the changing dynamics of international business have caused him to adopt and adapt at a frenetic pace. And for the top finance professional in an organisation. a lot of the groundwork for a successful venture is done by another important functionary in the corporate machinery. 2007 Tata Steel . With rapid economic growth and increased globalisation over the last decade. 15 September in Mumbai. it is often the CEOs who take centre stage. All these and many other details were discussed at the closed27 . the chief financial officer who goes by the humbler acronym of CFO.November 28.Organisation Structure of Tata Steel Group ''The CFO is the conscience-keeper of the organisation''. the importance of the finance professional has grown manifold. However.

Chatterjee candidly admitted that the earlier growth of the Tata Group had been largely organic as previous political regimes had not been very conducive to growth by acquisition. group CFO. topping off with the $12. On the first day. he didn't forget to mention that his company continues to be the ''lowest-cost steel producer in the world'' as well. the steep growth curve that had started in 2000 with Tata Tea's acquisition of Tetley grew even steeper and faster with one acquisition after another by different group companies. As of 2003. centred in the pristine 28 . treated the delegates to an enlightening session. Chatterjee said that the consultancy had been quite vocal on the group's needs to be internationally competitive. all on the strength of mergers and acquisitions. Chatterjee spoke in detail on the growth of the Tata Group in general and Tata Steel in particular. organised by Dubai-based Naseba. something quite alien to the house of Tata then. Elaborating on the Arthur D Little recommendations for the group in the early 90s. either domestic or international.11-billion takeover of Corus last year. The meteoric growth of Tata Steel Chatterjee now spoke on the growth strategy for Tata Steel in particular and how it grew to become the sixth-largest steel producer in the world. Of particular interest were his views on the Corus acquisition of 2007 that had occupied the pages of pink sheets worldwide. Tata Steel. Kaushik Chatterjee. Tata Steel was essentially a one-site company. However. Of course.growth strategy for value creation''.door two-day CFO Strategies India 2008 summit. at the Hotel Le Meridien in Mumbai on 15 and 16 September 2008. In his 30-minute presentation ''M&A . He called the 10 years from 1992 onwards as the ''decade of transformation''.

South-East Asia and Brazil. as well as brainstorm on how to achieve it.5 billion in annual sales. there is a strong co-relation between GDP and consumption of metals. China. subsequently revised to 50 million tonnes . in many other aspects it lagged behind its competitors. even though Tata Steel had a leadership position in finished goods like automobiles and white goods. Although an ideal township where nature is in perfect harmony with steel manufacturing.it now accounts for $1.8 million tonnes in 2008 (on schedule) and 6. with gradual increments over the years: 4 to 5 million tonnes in 2005 (already achieved).8 to 10 million tonnes in 2010 (expected).a ten-foldplus increase in just ten-plus years.aptly named after the great man who envisioned the place. according to Chatterjee. the company's jewel in the crown Jamshedpur was to be very much a part of the action. Shri Jamshedji Nusserwanji Tata. with special emphasis on engines of growth like India. Of course. many of the company's recent investments bear ample testimony to its belief in the strength of emerging economies. Russia. 29 .locales of Jamshedpur . there was none Chatterjee spoke of how the senior management got together at this point of time to envision an aspirational target for the company. This was because. admittedly. 5 to 6. as regards a foreign presence. Indeed.whenever a country's per-capita GDP had exceeded $3. a small operation with only 4 million tonnes annual capacity. Chatterjee made an interesting observation .000. More importantly. there was no better time for Tata Steel to spread its wings and fly. From these high-level discussions emerged a target . Target capacity was set at 10 million tonnes by 2010. it was. Reason behind these ambitious numbers Chatterjee explained that such an ambitious target was born out of the management's confidence in a vibrant world economy. Chatterjee spoke of the increasing importance of branded steel in the company's scheme of operations .15 million tonnes annual capacity by 2015. In an aside. a metal boom had been witnessed. With India's GDP almost at that threshold. Also.

customer-centric units to enhance customer focus. Mumbai : Tata Consultancy services . This structure will also provide more opportunities for leadership growth at all levels in the organization and encourage the next generation of leaders by empowering group heads to run their unit with growth and profit responsibilities. Coming back to Tata Steel's growth plans. TCS needs a structure that allows us to build a nimble organization to capture new growth opportunities. platform-based BPO as well other new initiatives. the leading IT services.Chatterjee's assertion that steel items can be branded like FMCG items because they last longer certainly has merit. 30 . agile organisation structure 12 Mar 2008 . Ramadorai. Ramadorai. CEO and MD.” added Mr.” said N.” said S. The new global operating model will provide customers with a single view of TCS encompassing project delivery and relationship management and enable a sharper focus on the customer. drive operational agility and address new growth opportunities in the market. “As we scale up over 100. This was especially true of developed markets where the costs of establishing Greenfield projects were prohibitive TCS unveils new. business solutions and outsourcing organization has announced plans to organize its global operations into integrated. The structure will also allow us to adapt to specific customer and market requirements while ensuring a uniform global service delivery. “This will create a framework that is scalable for growth across markets and provide focus on strategic initiatives like asset leveraged solutions.000 employees. the management had identified that acquisition would definitely play an important part in the company's future plans. “The modular structure will simplify our interface with customers and drive agility in all areas of operations.

Process Excellence. a new organisation is announced today. and Shared Services groups. In the new operating model. All operating units will be supported by a common group of organizational infrastructure units. domain and technology expertise and resources will be embedded in these units to promote greater collaboration with the customer. In addition to TCS Financial Solutions. delivery and customer relationships as required. The new structure will also support greater focus for strategic initiatives that will help drive non-linear revenue growth. Chief Operating Officer and Executive Director. the company has constituted a new unit for Platform BPO Solutions. Tata Steel Group comprise of two entities. 31 . and the Small & Medium Business Solutions. These three Strategic Growth Businesses will operate as independent units that will leverage TCS sales. Resource Management.Chandrasekaran. Tata Steel (including Tata Steel Thailand and NatSteel Asia) and Corus Group Ltd. which is effective from 1st January 2008. In order to realise this ambition. such as the Technology Excellence. namely. all necessary delivery. Organisation Structure of Tata Steel Group Tata Steel Group has set itself an ambition to become one of the leading players in the global steel industry.

Mr.Hemant Nerurkar. Technology & Integration . Strategy.Mr Koushik Chatterjee is appointed as Group Chief Financial Officer .Mr Jean-Sébastien Jacques is appointed as Group Director. This committee will be co-chaired by the MD of Tata Steel and the CEO of Corus. Mr B Muthuraman and the CEO.B Muthuraman.Dr Tridibesh Mukherjee is appointed as Group Director.• The Chairman of Tata Steel.Jean-Sébastien Jacques are members of this Committee.Philippe Varin. • MANAGEMENT STRUCTURE 32 .Mr Manzer Hussain is appointed as Group Director. Mr.Koushik Chatterjee and Mr. A Joint Executive Committee for Tata Steel Group will meet quarterly to review overall performance against the Group ambition. Mr. Mr Philippe Varin respectively.Mr Arun D Baijal is appointed as Group Director Global Minerals • Both Tata Steel and Corus entities will have Executive Committees chaired by the MD.Jim Leng. Mr. A Group Centre is created for functions that are to be performed with a common approach across the Tata Steel Group. Mr. Finance. Communications . The executives responsible for these functions will report to the MD of Tata Steel and the CEO of Corus: • . Mr. Strategy . Dr. Corporate Relations & Communications and Global Minerals. Mr Ratan Tata will continue to chair the Strategy and Integration Committee. Tridibesh Mukherjee.Rauke Henstra. These functions are Technology & Integration.

Legal. and other functional areas as and when required. etc. what unique value the Group can bring to that company. The GCC also plays a key role in protecting and promoting the Tata brand in India and across the globe. Group Corporate Centre The Group Corporate Centre (GCC) is a forum at which broad policy issues relating to the growth of Tata companies are reviewed and the entry into new areas are discussed. The GEO assesses what unique value a company adds to a particular business sector and. the GCC from time to time.Apart from this. The GEO creates a shared understanding of a Tata company's current activities. 33 .There are two decision-making bodies that define and direct the business endeavours of the Tata Group. Group Executive Office : The Group Executive Office (GEO) defines and reviews the business activities of the Tata Group and is involved in implementing programmes in corporate governance. the environment. Besides Chairman Ratan N Tata. the GEO comprises R Gopalakrishnan. Apart from this. Kishor Chaukar. human resources. conversely. The chief objective of the GEO is to make the Tata Group more synergistic. the GEO has reviewed the Group's business portfolio and clustered companies into seven business sectors. These are called the Group Executive Office and the Group Corporate Centre. its strengths and its weaknesses. Finance.The GCC also provides advisory services to Tata companies in the areas of Human Resources. It then addresses the most strategic issues facing the company.Arunkumar Gandhi and Alan Rosling. it does this by strengthening the relationship between the Group and its companies. Ishaat Hussain.

R Gopalakrishnan.Executive Deputy Chairman) 34 . RK Krishna Kumar. The GCC comprises Chairman Ratan N Tata. 2008) Mr R N Tata Mr Nusli N Wadia (Chairman) (Company Director) Mr James Leng (Non .reviews Tata companies’ business portfolios across business sectors.Ishaat Hussain. JJ Irani. NA Soonawala. Arunkumar Gandhi and Alan Rosling. BOARD OF DIRECTORS (As on 14th April. Kishor Chaukar.

Executive Independent Director) (Non . Global Mineral Resources 35 .Mr S M Palia Mr Suresh Krishna Mr Ishaat Hussain Dr Jamshed J Irani Mr Subodh Bhargava Mr Jacques Schraven Dr Anthony Hayward Mr Philippe Varin Mr B Muthuraman Mr Andrew Robb (Company Director) (Financial Institutions' Nominee) (Board Member) (Board Member) (Board Member) (Non . 2008) Mr B Muthuraman Mr H M Nerurkar Mr A D Baijal Managing Director Chief Operating Officer Vice President & Tata Steel Group Director.Executive Non independent Director) (Managing Director) Dr T Mukherjee (Non Executive Director) (Non Executive Independent Director) MANAGEMENT (As on 14th April.Executive Independent Director) (Non .

Misra Mr Varun K Jha Mr Om Narayan Vice President. Mumbai MANAGEMENT STRUCTURE       Board of Directors: 36 . Orissa Project Company Secretary Mr H C Kharkar Vice President. Chattisgarh Project Vice President. Safety & Long Products Vice President & Tata Steel Group Head. Corporate Services Vice President.Mr R P Singh Mr Koushik Chatterjee Mr Anand Sen Mr Abanindra M. M&A Vice President. Flat Products & TQM Vice President. Finance & Tata Steel Group CFO Vice President. Shared Services Mr Chief Human Resource Officer Radhakrishnan Nair Mr Partha Sengupta Mr H Jha Mr N K Misra Mr B K Singh Mr J C Bham Vice President. Engineering Services & Projects Vice President. MD Office. Raw Materials & CSI Vice President.

Jha Non-Independent Director Mr. V. Basu Independent Director Mr. Ajoy Roy Independent Director Mr. Dipak Banerjee Independent Director Mr. A.Mr. C. K. Harsh K Jha Managing Director Mr. Rao Independent Director Mr.H. Wadhawan Independent Director Mr.Nerurkar Chairman Mr. V. Manish Gupta Independent Director Mr. Murty Non-Independent Director Senior Management Team Senior Management Team: 37 . S. N. P. K. A.M. Ashok Kumar Non-Independent Director Mr. M.

Daniel Kumar Chief Manufacturing System. It is part of Tata Group of companies. Kharagpur Tata Steel. is the world's 5th largest and India's largest steel company with an annual crude steel capacity of 28 million tonnes. Rajesh Mishra C. Subhasis Dey CFO and Company Secretary Mr. Mr. It is based in Mumbai.Mr.E. Ashok Mohanty Chief of Human Resources (Corporate) Mr. Marketing & Sales Mr. Tata Steel is also India's second-largest and second-most profitable company in private sector 38 . Tata Metaliks Kubota Pipes Ltd. Debasish Misra General Manager.P. India. It is a Fortune Global 500 company with a rank of 315. Redi SBU Dr. formerly known as TISCO (Tata Iron and Steel Company Limited). Mitter General Manager. Sudhin C.O.

The company is listed on BSE and NSE. The Jamshedpur plant contains the DCS supplied by Honeywell. Management Tata Steel is a limited company registered in India under the Companies Act. BOARD OF DIRECTORS (As on 14th April.700 people (as of 2007).350 crore during the year ended March 31. 1956. Its main plant is located in Jamshedpur.Executive Independent Director) Dr Anthony Hayward (Non . The company was also recognized as the world's best steel producer by World Steel Dynamics in 2005.Executive Independent Director) Mr Philippe Varin (Non . In the year 2000.110 crore and net profit of over Rs 12.with consolidated revenues of Rs 1. 2008) Mr R N Tata (Chairman) Mr James Leng (Non . 2008. 2008) Mr B Muthuraman (Managing Director) Mr H M Nerurkar (Chief Operating Officer) Mr A D Baijal (Vice President & Tata Steel Group Director.Executive Non independent Director) Mr B Muthuraman (Managing Director) Dr T Mukherjee (Non Executive Director) Mr Andrew Robb (Non Executive Independent Director) MANAGEMENT (As on 14th April. the company has become a multinational with operations in various countries. Global 39 . though with its recent acquisitions.The registered office of Tata Steel is in Mumbai.Executive Deputy Chairman) Mr Nusli N Wadia (Company Director) Mr S M Palia (Company Director) Mr Suresh Krishna (Financial Institutions' Nominee) Mr Ishaat Hussain (Board Member) Dr Jamshed J Irani (Board Member) Mr Subodh Bhargava (Board Member) Mr Jacques Schraven (Non .32. Jharkhand. and employs about 82. the company was recognised as the world's lowest-cost producer of steel.

Misra (Vice President. 40 .Mineral Resources) Mr R P Singh (Vice President. Tata Strategic has completed over 500 engagements with more than 100 clients across countries and industry sectors. Mumbai) TATA STRATEGIC MANAGEMENT STRUCTURE Set up in 1991. Safety & Long Products) Mr N K Misra (Vice President & Tata Steel Group Head. M&A) Mr B K Singh (Vice President. MD Office. Finance & Tata Steel Group CFO) Mr Anand Sen (Vice President. Flat Products & TQM) Mr Abanindra M. Chattisgarh Project) Mr Om Narayan (Vice President. public sector enterprises. Shared Services) Mr Radhakrishnan Nair (Chief Human Resource Officer) Mr Partha Sengupta (Vice President. the Tata Strategic Management Group (Tata Strategic) ranks among the top three management consulting fi rms in South Asia. Corporate Services) Mr H Jha (Vice President. Raw Materials & CSI) Mr Varun K Jha (Vice President. Engineering Services & Projects) Mr Koushik Chatterjee (Vice President. Its clientele includes medium to large private sector companies in India. multi-national corporations including select Fortune 500 companies. Mumbai-based but with a presence in SAARC and West Asian countries. the Government of India and a cross-section of companies within the Tata Group. Orissa Project) Mr J C Bham (Company Secretary) Mr H C Kharkar (Vice President.

Today over 60% of its business comes from non-Tata clients and 25% from international clients. Tata Strategic has a team of more than 70 consultants, recruited from top business schools in India and abroad or laterally from industry. The team is aided by a panel of experts, each with over 20 years of industry domain expertise. Tata Strategic works with clients across the following industry sectors: • Automotive and engineering • Chemicals and energy • Consumer products and retail • Telecom, media and technology • Infrastructure and • Government Tata Strategic addresses ‘top-of-mind’ needs of the client top management through a range of contemporary offerings spanning the areas of strategy formulation, organisation effectiveness, competitiveness enhancement and business analytics.

International Experience Tata Strategic has on-site assignments from clients in Sri Lanka, Bangladesh and multiple countries in West Asia (Saudi Arabia, Yemen and Dubai). Clients from Germany, UK and the United States also work with Tata Strategic frequently. Tata Strategic also formulates India entry plans for global companies and provides implementation support to them. Tata Steel Ltd has informed about the following: - Tata Steel Group has announced a new organization structure effective from
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January 01, 2008 as follows: Tata Steel Group comprises of two entities, namely, Tata Steel (including Tata Steel Thailand and NatSteel Asia) and Corus Group Ltd. In order to realise this ambition, a new organisation is announced on November 28, 2007, which is effective from January 01, 2008. * The Chairman of Tata Steel, Mr. Ratan Tata will continue to chair the Strategy and Integration Committee. Mr. Jim Leng, Mr. B Muthuraman, Mr. Philippe Varin, Dr. Tridibesh Mukherjee, Mr. Rauke Henstra, Mr. Hemant Nerurkar, Mr. Koushik Chatterjee and Mr. Jean-Sebastien Jacques are members of this Committee.
* A Group Centre is created for functions that are to be performed with a common

approach across the Tata Steel Group. These functions are Technology & Integration, Finance, Strategy, Corporate Relations & Communications and Global Minerals.

The executives responsible for these functions will report to the MD of Tata Steel and the CEO of Corus: - Dr. Tridibesh Mukherjee is appointed as Group Director, Technology & Integration - Mr. Koushik Chatterjee is appointed as Group Chief Financial Officer - Mr. Jean-Sebastien Jacques is appointed as Group Director, Strategy - Mr. Manzer Hussain is appointed as Group Director, Communications - Mr. Arun D Baijal is appointed as Group Director Global Minerals * Both Tata Steel and Corus entities will have Executive Committees chaired by the MD, r. B Muthuraman and the CEO, Mr. Philippe Varin respectively. * A Joint Executive Committee for Tata Steel Group will meet quarterly to review
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overall performance against the Group ambition. This committee will be cochaired by the MD of Tata Steel and the CEO of Corus.

Revised Vision, Mission and Outlook

REVISED VISION 43

Ratan Tata Quotes One hundred years from now, I expect the Tatas to be much bigger than it is now. More importantly, I hope the Group comes to be regarded as being the best in India.. best in the manner in which we operate, best in the products we deliver, and best in our value systems and ethics. Having said that, I hope that a hundred years from now we will spread our wings far beyond India. Vision, implementation, risk taking, and meeting the needs of a changing economy are all apparent in Tata's pet project: the creation of Indica. "I believed in the product. In fact I was very much involved in conceiving its initial fundamentals and design parameters. Yes, it's like seeing a child being born, almost limb-bylimb. Today we have in excess of 50,000 Indicas on the road and I feel a sense of great exhilaration every time I come up next to one. I have an urge to roll my window down, tap on the Indica's window and ask the owner: How do you like it?" A look at the Tata’s strategic plan for Indica.

At the threshold of stepping down from group executive chairmanship, today Ratan Tata can see the results of his grand vision for the group all around him. The Tata Group has turned around loss making companies (Tata Motors), sold non core businesses (ACC, Tomco, Lakme, Goodlass Nerolac, Merind), enhanced existing businesses (Tata Steel, Tata Chemicals, Tata Consultancy Services), entered new industries (telecom), pioneered India's first home grown car (Indica), and is now firmly set on its growth curve. "My main contribution, if you like, is to move us into the high tech areas of business, partly in IT, partly in telecommunications, partly in process control," Tata once told CNBC's Sue Herera. Today, the group has combined revenues of $11.2bn or Rs535bn or 2.4% of India's gross domestic product (GDP). The guiding principle behind Tata's vision is to change with the times. In his own words, "Weshould become a younger organization, an organization of our time, more risktaking, less risk averse."
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but also enriched by formalising the high standards of behaviour 45 .Mission The Group Purpose Our purpose in Tata is to improve the quality of life in India through leadership in targeted sectors of national economic significance to which the Group can bring a unique set of capabilities. our management efforts and our investment priorities so that Group synergy is brought to bear at the point of delivering value to the customer. This is a precious heritage. The enormous Group resources : in people and finance needs to be re-architectured so that the whole is larger than the sum of its individual parts. shareholders and the community. employees. Our Group size and scale will provide management and financial resources to profitably cater to the emerging opportunities and to develop globally competitive skills to succeed in this endeavour. unique in India. Our heritage invokes trust among consumers. and will not only be preserved. Our long-term success requires us to considerably focus our portfolio. Our past success in delivering such purpose provides the basis for our belief in the future and our role in it.

fairness and equity in all its dealing with its employees. 46 . This requires us to grow aggressively in focused areas of business.improvement and innovative work in environment.The Tata name is a unique asset representing leadership with trust Leveraging this asset to enhance group synergy and becoming globally competitive is the route to sustained growth and long-term success. to which the group brings a unique set of capabilities. Finance & Safety Policies HUMAN RESOURCE POLICY Tata Steel recognises that its people are the primary source of its competitiveness. Tata Steel will strive continuously to foster a climate of openness. HR. We do this through leadership in sectors of national economic signifi cance. At the Tata Group our purpose is to improve the quality of life of the communities we serve. Marketing. It is committed to equal employment opportunities for attracting the best available talent and ensuring a cosmopolitan workforce. This heritage will be continuously enriched by formalising the high standards of behaviour expected from employees and companies. mutual trust and teamwork Tata is committed to create an exciting work pace based on self-directed teams . It will pursue management practices designed to enrich the quality of life of its employees. employees. The Tata name is a unique asset representing Leadership with Trust.expected from our employees and the companies in the years to come.Our heritage of returning to society what we earn evokes trust amongconsumers. develop their potential and maximise their productivity. It will aim at ensuring transparency. shareholders and the community. Leveraging this asset to unify our companies is the route to long-term success and delivery of returns to the shareholder in excess of the cost of capital.

particularly with regard to the emission of greenhouse gases. healthy. in the process of production and sale of its products and services. 2. which enable employees to realize their full potential through continuous learning and training e) Identify and develop potential leaders for future growth. Tata Steel will strive continuously to foster a climate of openness. 47 .d) Create work conductive to superior performance . It will pursue management practices designed to enrich the quality of life of its employees. f) High potential employee working in congenial work environment. and shall endeavour to offset the effect of climate change in all spheres of its activities. Tata Steel recognises that its people are the primary source of its competitiveness. social and environmental sustainability. A Tata company. It will aim at ensuring transparency. It is committed to equal employment opportunities for attracting the best available talent and ensuring a cosmopolitan workforce. A Tata company shall strive to provide a safe. shall strive for economic. regulations and other requirements. It shall prevent the wasteful use of natural resources and be committed to improving the environment. clean and ergonomic working environment for its people. o Comply with all applicable legislation. develop their potential and maximise their productivity. mutual trust and teamwork Safety Policy 1. fairness and equity in all its dealing with its employees.

all of the 48 . standards. The Company will institutionalise Evaluation and Improvement system in business practices to make rapid progress. reduce or control hazards/ risks arising out of our operations and products. laws and regulations of the country in which the company conducts its business affairs. Preserve and develop environment by reduction in pollution in all its forms and nurture the eco-system within and outside the organisation. Internal accounting and audit procedures shall reflect. principles. Make systematic and progressive reduction of losses in operational areas by deploying Total Productive Maintenance. Finance Policies A Tata company shall prepare and maintain its accounts fairly and accurately and in accordance with the accounting and financial reporting standards which represent the generally accepted guidelines. This policy will be made available to all the interested parties on demand. fairly and accurately. Harmonise its economic progress with social and community considerations. Eliminate. Health and Quality Management Programmes. skill and consequent involvement in Environment.o o o o o o Enhance employee's knowledge. Safety.

Any collection of competitive information shall be made only in the normal course of business and shall be obtained only through legally permitted sources and means. There shall be no willful omissions of any company transactions from the books and records. Any willful. abuse of market dominance or similar unfair trade activities. Outlook 49 .company’s business transactions and disposition of assets. A Tata company or employee shall market the company’s products and services on their own merits and shall not make unfair and misleading statements about competitors’ products and services. and shall have internal controls to provide assurance to the company’s board and shareholders that the transactions are accurate and legitimate. material misrepresentation of and / or misinformation on the financial accounts and reports shall be regarded as a violation of the Code. apart from inviting appropriate civil or criminal action under the relevant laws. All required information shall be accessible to company auditors and other authorised parties and government agencies. Market Policies A Tata company shall fully support the development and operation of competitive open markets and shall promote the liberalisation of trade and investment in each country and market in which it operates. no Tata company or employee shall engage in restrictive trade practices. abet or collude in an improper payment. authorise. No employee shall make. Specifically. unlawful commission or bribing. no advance-income recognition and no hidden bank account and funds.

Standard & Poor’s ratings on all Tata Motors’ rated debt remain on CreditWatch with negative implications.3 billion in cash for Jaguar and Land Rover (comprising brands. At the same time. 2008. July 9 Standard & Poor’s Ratings Services said today it kept its ‘BB’ corporate credit rating on Tata Motors on CreditWatch with negative implications. The rating on Tata Motors was lowered on April 4. The group chairman Ratan Tata says that we are not promoting our one brand but we are getting serious of properties that have their one brand it can also happen with a company like Titan if you are willing to spend huge amount of money propagating the brand it will work. Over the next five to seven years the group has to start looking seriously and strategically at creating brand awareness for ourselves in new business commercially and strategically in this region’s the group also says that in commodities the brand is not as important as it is in product. 50 . pending finalisation of the long-term financing plans for funding the company’s purchase of Jaguar and Land Rover from Ford. Tata Motors has paid about $2. and intellectual property rights). S&P keeps negative outlook for Tata Motors Mumbai. plants.Group chairman Ratan Tata speaker on a wide range of issue concerning the Tata Group and its pace in a world changing dramatically than ever before what will be the nature ad scope of Tata Group engagement in the coming years with a world changing more rapidly than ever before. Here are numerous questions and who better to address and opportunities before the group as it continuous reinforcing and reinventing itself in India and in the world. after the announcement of the agreement with Ford Motor Co for the purchase of Jaguar and Land Rover. to ‘BB’. from ‘BB+’.

liquidation of investments. “To fund the initial transaction.” said Standard & Poor’s credit analyst Mr Anshukant Taneja. The company has obtained a board approval to raise up to $1. and $500 million-$600 million through a separate issuance of securities in overseas markets.05 billion through a rights issue of equity shares. up to $750 million of optionally convertible preference shares.Ford has contributed $600 million to the Jaguar-Land Rover (JLR) pension plans. 51 . which it plans to repay through a mix of fresh equity infusion. and long-term debt. Tata Motors raised short-term bridge facilities of $3 billion.

and provides the guidelines by which the Group conducts its businesses. Clause:1 National interest The Tata Group is committed to benefit the economic development of the countries in which it operates. 52 .Corporate Governance Tata Code of Conduct This comprehensive document serves as the ethical road map for Tata employees and companies. No Tata company shall undertake any project or activity to the detriment of the wider interests of the communities in which it operates.

fairly and accurately. No employee shall make. Any willful. shall respect the culture. It shall conform to trade procedures.A Tata company’s management practices and business conduct shall benefit the country. to the extent possible and affordable. unlawful commission or bribing. including licensing. documentation and other necessary formalities. all of the company’s business transactions and disposition of assets. laws and regulations of the country in which the company conducts its business affairs. in the course of its business activities. customs and traditions of each country and region in which it operates. Clause:3 Competition A Tata company shall fully support the development and operation of competitive 53 . apart from inviting appropriate civil or criminal action under the relevant laws. abet or collude in an improper payment. All required information shall be accessible to company auditors and other authorised parties and government agencies. localities and communities in which it operates. authorise. Internal accounting and audit procedures shall reflect. There shall be no willful omissions of any company transactions from the books and records. and shall have internal controls to provide assurance to the company’s board and shareholders that the transactions are accurate and legitimate. no advance-income recognition and no hidden bank account and funds. and shall be in accordance with the laws of the land. A Tata company. principles. as applicable. material misrepresentation of and / or misinformation on the financial accounts and reports shall be regarded as a violation of the Code. Clause:2 Financial reporting and records A Tata company shall prepare and maintain its accounts fairly and accurately and in accordance with the accounting and financial reporting standards which represent the generally accepted guidelines. standards.

gender. Employee policies and practices shall be administered in a manner consistent with applicable laws and other provisions of this Code. sexual orientation. religion. Specifically. respect for the right to privacy and the right to be heard. directly or indirectly. to obtain uncompetitive favours for the 54 . Human resource policies shall promote diversity and equality in the workplace. whether physical. ethnic origin or disability. while encouraging the adoption of international best practices. and that in all matters equal opportunity is provided to those eligible and decisions are based on merit. any illegal payments. Employees of a Tata company shall be treated with dignity and in accordance with the Tata policy of maintaining a work environment free of all forms of harassment. age. caste. Clause:5 Gifts and donations A Tata company and its employees shall neither receive nor offer or make. nationality. colour. as well as compliance with all local labour laws. verbal or psychological. or perceived. remuneration. Any collection of competitive information shall be made only in the normal course of business and shall be obtained only through legally permitted sources and means Clause:4 Equal opportunities employer A Tata company shall provide equal opportunities to all its employees and all qualified applicants for employment without regard to their race. gifts. ancestry. marital status. no Tata company or employee shall engage in restrictive trade practices. donations or comparable benefits that are intended.open markets and shall promote the liberalisation of trade and investment in each country and market in which it operates. abuse of market dominance or similar unfair trade activities. A Tata company or employee shall market the company’s products and services on their own merits and shall not make unfair and misleading statements about competitors’ products and services.

provided such gifts are customarily given and are of a commemorative nature. candidate or campaign. directly or through intermediaries. Each company shall have a policy to clarify its rules and regulations on gifts and entertainment. unless mandated under applicable laws. and shall not offer or give any company funds or property as donations to any political party. However. fraud and corruption. A Tata company shall not support any specific political party or candidate for political office. 55 . Clause:6 Government agencies A Tata company and its employees shall not. Clause:7 Political non-alignment A Tata company shall be committed to and support the constitution and governance systems of the country in which it operates. in order to obtain any favourable performance of official duties. The company shall cooperate with governmental authorities in efforts to eliminate all forms of bribery. accept and offer nominal gifts. to be used for the guidance of its employees. The company’s conduct shall preclude any activity that could be interpreted as mutual dependence / favour with any political body or person. A Tata company shall comply with government procurement regulations and shall be transparent in all its dealings with government agencies. a Tata company and its employees may. offer or give any company funds or property as donation to any government agency or its representative.conduct of its business. with full disclosure.

clean and ergonomic working environment for its people. 56 . in the process of production and sale of its products and services. particularly with regard to the emission of greenhouse gases. safety and environment A Tata company shall strive to provide a safe.Clause:8 Health. shall strive for economic. social and environmental sustainability. The company shall encourage volunteering by its employees and collaboration with community groups. Clause:9 Quality of products and services A Tata company shall be committed to supply goods and services of world class quality standards. healthy. caveats and other necessary information on its product packaging. backed by after-sales services consistent with the requirements of its customers. Tata companies are also encouraged to develop systematic processes and conduct management reviews. and shall endeavour to offset the effect of climate change in all spheres of its activities. The quality standards of the company’s goods and services shall meet applicable national and international standards. A Tata company shall display adequate health and safety labels. A Tata company. while striving for their total satisfaction. Clause:10 Corporate citizenship A Tata company shall be committed to good corporate citizenship. not only in the compliance of all relevant laws and regulations but also by actively assisting in the improvement of quality of life of the people in the communities in which it operates. It shall prevent the wasteful use of natural resources and be committed to improving the environment. as stated in the Tata ‘corporate sustainability protocol’. from time to time so as to set strategic direction for social development activity.

Clause:13 Third party representation Parties which have business dealings with the Tata Group but are not members of the Group. shareholders. human and management resources. In all its public appearances. agents. Clause:11 Cooperation of Tata companies A Tata company shall cooperate with other Tata companies including applicable joint ventures. channel partners. dealers. and on behalf of. a Tata company shall give preference to other Tata companies. as long as this does not adversely affect its business interests and shareholder value. employees. but should strive to incorporate them as an integral part of its business plan. It shall be the sole responsibility of these authorised representatives to disclose information about the company or the Group. a Tata company. shall not be authorised to represent a Tata company without the written permission of the Tata company. Clause:12 Public representation of the company and the Group The Tata Group honours the information requirements of the public and its stakeholders. a Tata company or the Tata Group shall be represented only by specifically authorised directors and employees. contractors and suppliers. Third parties and their employees are expected to abide by the Code in their interaction with. agents. sales representatives. franchisees. Tata companies are encouraged 57 . such as consultants. In the procurement of products and services. as long as they can provide these on competitive terms relative to third parties. and by making efforts to resolve disputes amicably. the financial community.The company shall not treat these activities as optional. distributors. by sharing knowledge and physical. distributors and importers. with respect to disclosing company and business information to public constituencies such as the media. and / or if their business conduct and ethics are known to be inconsistent with the Code.

including full-time directors and the chief executive. while conforming to high moral and ethical standards. The use of the Tata brand is defined in and regulated by the Tata Brand Equity and Business Promotion Agreement.to sign a non-disclosure agreement with third parties to support confidentiality of information. Clause:15 Group policies A Tata company shall recommend to its board of directors the adoption of policies and guidelines periodically formulated by Tata Sons. The board of directors of a Tata company shall duly and fairly inform its shareholders about all relevant aspects of the company’s business. shall exhibit culturally appropriate deportment in the countries they operate in. and disclose such information in accordance with relevant regulations and agreements. Such conduct shall be fair and transparent and be perceived to be so by third parties. No third party or joint venture shall use the Tata brand to further its interests without specific authorisation. Clause:17 Ethical conduct Every employee of a Tata company. codes and agreements to be issued by Tata Sons. Clause:16 Shareholders A Tata company shall be committed to enhancing shareholder value and complying with all regulations and laws that govern shareholder rights. honesty and integrity. and deal on behalf of the company with professionalism. 58 . Clause:14 Use of the Tata brand The use of the Tata name and trademark shall be governed by manuals.

Clause:20 Conflict of interest An employee or director of a Tata company shall always act in the interest of the company. Every employee shall be responsible for the implementation of and compliance with the Code in his / her environment. In the case of a full-time director or the chief executive. then the standards of the Code shall prevail. accept employment or a position of responsibility (such as a consultant or a director) with any other company. in their business conduct. 59 . shall comply with all applicable laws and regulations. in letter and spirit. Clause:19 Concurrent employment Consistent with applicable laws. in all the territories in which they operate. such approval must be obtained from the board of directors of the company. an employee of a Tata company shall not. Failure to adhere to the Code could attract severe consequences. and shall strive to honour commitments. If the ethical and professional standards of applicable laws and regulations are below that of the Code. Clause:18 Regulatory compliance Employees of a Tata company. nor provide freelance services to anyone. with or without remuneration. including termination of employment. and ensure that any business or personal association which he / she may have does not involve a conflict of interest with the operations of the company and his / her role therein.Every employee of a Tata company shall preserve the human rights of every individual and the community. officially written approval of the company. without the requisite.

Competent authority. directly or indirectly… a) An employee of a Tata company engages in a business. The above shall not apply to (whether for remuneration or otherwise): a) Nominations to the boards of Tata companies. joint ventures or associate companies. relationship or activity which might conflict with the interest of his / her company or the Tata Group. actual or potential. the Group Corporate Centre shall be the competent authority. As good governance practice they shall safeguard the confidentiality of all information received by them by virtue of their position. as determined by the competent authority.Independent directors of a Tata company shall comply with applicable laws and regulations of all the relevant regulatory and other authorities. including the executive director (other than independent director) of a Tata company. 60 . c) Nominations / memberships in government committees / bodies or organisations. In case of the chief executive and executive directors. who in turn shall report such exceptional cases to the board of directors on a quarterly basis. shall be the chief executive. An employee. shall not accept a position of responsibility in any other non-Tata company or not-for-profit organisation without specific sanction. b) Memberships / positions of responsibility in educational / professional bodies. wherein such association will benefit the employee / Tata company. d) Exceptional circumstances. but they need not be bound by all other conflicts that are applicable to employees or executive directors. A conflict of interest. as indicated below. may arise where. in the case of all employees. An employee or a director of a Tata company shall not engage in any business. relationship or activity with anyone who is party to a transaction with his / her company.

to resolve / avoid the conflict. the employee concerned shall be required to take necessary action. posting. 61 . may have in a family business or a company or firm that is a competitor. as advised. customer or distributor of or has other business dealings with his / her company.b) An employee is in a position to derive an improper benefit. resulting in a benefit to him / her or his / her relative. including parents. The main areas of such actual or potential conflicts of interest shall include the following: a) An employee or a full-time director of a Tata company conducting business on behalf of his / her company or being in a position to influence a decision with regard to his / her company’s business with a supplier or customer where his / her relative is a principal officer or representative. where such an individual is in a position to influence decisions with regard to such benefits. It is also incumbent upon every employee to make a full disclosure of any interest which the employee or the employee’s immediate family. c) An independent judgement of the company’s or Group’s best interest cannot be exercised. If an employee fails to make the required disclosure and the management of its own accord becomes aware of an instance of conflict of interest that ought to have been disclosed by the employee. c) The interest of the company or the Group can be compromised or defeated. adequate and full disclosure by interested employees shall be made to the company’s management. by making or influencing decisions relating to any transaction. b) Award of benefits such as increase in salary or other remuneration. spouse and children. supplier. Upon a decision being taken in the matter. Notwithstanding such or any other instance of conflict of interest that exist due to historical reasons. the management shall take a serious view of the matter and consider suitable disciplinary action against the employee. personally or to any of his / her relatives. promotion or recruitment of a relative of an employee of a Tata company.

their patents. Restructuring plans. and which therefore constitutes insider information. trademarks and inventions. Group. and strictly observe a practice of non-disclosure. Announcement of new product introductions or developments. earnings and dividends. Such insider information might include (without limitation) the following: • • • • • • • • Acquisition and divestiture of businesses or business units. An employee of a Tata company shall also respect and observe the confidentiality of information pertaining to other companies. Clause:22 Protecting company assets The assets of a Tata company shall not be misused. or assist others to derive any benefit. constitutes unpublished. for making or giving advice on investment decisions about the securities of the respective Tata company. intellectual property rights.Clause:21 Securities transactions and confidential information An employee of a Tata company and his / her immediate family shall not derive any benefit or counsel. Investment decisions / plans. price-sensitive insider information. An employee of a Tata company shall not use or proliferate information that is not available to the investing public. Major supply and delivery agreements. Raising of finances. thus. they shall be employed primarily and judiciously for the purpose of conducting the business for which they 62 . Financial information such as profits. Asset revaluations. client or supplier on which such insider information has been obtained. from access to and possession of information about the company or Group or its clients or suppliers that is not in the public domain and.

Clause:25 Reporting concerns Every employee of a Tata company shall promptly report to the management. as well as intangible assets such as information technology and systems. Such a protected disclosure shall be forwarded. subject to this involvement having no adverse impact on the business affairs of the company or the Tata Group. which shall bear the identity of the whistleblower. facilities. Any Tata employee can choose to make a protected disclosure under the whistleblower policy of the company. proprietary information. Such reporting shall be made available to suppliers and partners. too. and / or third-party ethics helpline. 63 . providing for reporting to the chairperson of the audit committee or the board of directors or specified authority. when she / he becomes aware of any actual or possible violation of the Code or an event of misconduct. These include tangible assets such as equipment and machinery. and relationships with customers and suppliers. the approval of the management. the integrity of data or information furnished by him/her to the company. act of misdemeanour or act not in the company’s interest. materials and resources. Clause:24 Integrity of data furnished Every employee of a Tata company shall ensure. at all times. systems. intellectual property. with a covering letter. when there is reasonable evidence to conclude that a violation is possible or has taken place.are duly authorised. He/she shall be entirely responsible in ensuring that the confidentiality of all data is retained and in no circumstance transferred to any outside person/party in the course of normal operations without express guidelines from or. Clause:23 Citizenship The involvement of a Tata employee in civic or public affairs shall be with express approval from the chief executive of his / her company.

Government regulations can be a guide. consequently. therefore. its shareholders. It is no surprise. in this process. an apex association of company directors. regulators. awarded the company the national award for excellence in corporate governance in 2000. though they are the farthest away and the most fragmented. the communities in and around the areas where it operates. that the ministry of finance. but it has a fallout effect on other constituents too. at best. The shareholders. Much before the business world woke up to the importance of evolving a 'method' for corporate governance. Tata Steel has imbibed this culture better than most. Deputy managing director AN Singh defines the Tata Steel approach thus: "Corporate governance is the ethical and responsible behaviour of a corporation towards its owners. Tata Steel was following the letter and spirit of the rules that define ethical business behaviour Companies learned long back that having the complete cooperation and participation of their employees meant improved efficiencies and. Articles on governance The covenant and the code Long before corporate governance became a buzzword in industry circles. More important is a culture of self-policing. and shareholders — at every stage of its evolution. superior products." Tata Steel has engaged all its stakeholders — a broad category that includes employees. 64 . Tata Steel had already been practising its substance. Two years later Tata Steel bagged the golden peacock award for excellence in corporate governance and corporate social responsibility from the Institute of Directors.The company shall ensure protection to the whistleblower and any attempts to intimidate him / her would be treated as a violation of the Code. Both are elements of a corporate governance template which demands that broad-based systems of accountability be built into the spinal structures of companies. Government of India. remain at the heart of the company. Now they have begun understanding that a strong commitment from investors and other stakeholders can lead to similar payoffs for the organisation.

Tata Steel's balance sheet is certified as fair and true by its chief executive officer and its chief finance officer. This ensures that the interests of shareholders are put above all else and that people inside the company conduct their personal securities transactions in an ethical manner. receipt of balance sheet and dividends. Statutes on the number of non-executive and independent directors. even though the law does not require this. Tata Steel recently adopted the Social Accountability (SA) 8000 standard. The code goes way beyond government-mandated regulations. meets twice or thrice a year and checks if all issues have been resolved satisfactorily. The Tata code explicitly prohibits insider trading and sets out disclosure practices that help shareholders take informed decisions. and this comprises. a comprehensive set of tenets that all Tata employees have to adhere to. To ensure this Tata Steel has a three-pronged governance structure that provides for checks and balances throughout its operation. It has also set up apex committees for 65 . which promotes responsible behaviour towards labour supplied by its contractors. Tata Steel's investor grievance committee. leave with pay. among other things. The company never meddles in the share market. It invites a social audit every 10 years. and terms of office are followed with rigour. The second tier of Tata Steel's corporate governance edifice is based on the Tata code of conduct. It has mandated committees for audit. board procedure." says Mr Singh. in which an independent authority checks if it has functioned responsibly and ethically with all its stakeholders. For example. as stipulated by the code. The first layer of this structure is the law of the land. gratuity and profit sharing. the offices of non-executive chairman and managing director are separated in Tata companies. Tata Steel has an ethics and compliance committee."We have to ensure a transparent and fair administration so that the money the shareholders put in is safe and productive. labour welfare measures like the eight-hour working day. and the company also submits a report on various corporate governance parameters. The rules implicit in Tata Steel's proactive workday ethos have been around for many years. remuneration for directors and investor grievances. which looks into complaints about transfer of shares. provident fund.

research and development. This is important because trust is the foundation of our name and our brand. The office of the ethics counsellor executes this vision." TRUST A tradition of trust The Tata trusts are the unsung heroes of an extraordinary saga of philanthropy that has enriched India and its citizens in myriad ways You may wonder why the Tatas — among the country's biggest and most illustrious industrial families for well over a century — never show up on any of those ritual listings of India's richest people. business excellence. The reason is as simple as it is remarkable.management. the Tatas have sustained a tradition of bequeathing much of their personal wealth to the many trusts they have created for the greater good of India and its people That is how the Tata trusts have come to control 65. but if we find that someone has flouted rules we take decisive and immediate action. institutions and individuals in a wide variety of areas. Says ethics counsellor Rekha Seal. The wealth that accrues from this asset supports an assortment of causes.8 per cent of the shares of Tata Sons. safety. We start with the given that everyone is honest. 66 . the third layer of its corporate governance structure. information technology. etc. Over generations. "We manage with trust. To ensure that a culture of self-motivated ethics percolates to the rank and file. The trusteeship principle governing the way the group functions casts the Tatas in a rather unique light: capitalistic by definition but socialistic by character. the holding company of the group. Tata Steel lays plenty of emphasis on communication.

Jayant Narlikar and Raghunath Mashelkar. scientists. doctors. as many as 15 joined the Indian Civil Service. Their father’s sons Jamsetji Tata's idea of philanthropy was to be given true expression by his sons. The Endowment has thus far supported more than 3. the Group's holding company. The scheme helped bright Indian students of moderate means become administrators. Illustrious JN Tata Endowment scholars include former president KR Narayanan. The remaining comes from their own statutory investments. Batliwala. By 1924. the colonial version of the Indian Administrative Service. programme officer of the Sir Dorabji Tata Trust: "Over 75 per cent of our trust's funds come from dividends on the shares it owns in Tata Sons. The maiden grant was to Dr Freney Cama. who became one of the first women gynaecologists in India and who would come to have a maternity hospital in Mumbai named after her. lawyers and engineers. funding their education through loans and grants. who heads the Sir Dorabji Tata Trust: "Our trusts don't handle corporate social 67 . renowned scientists Raja Ramanna.500 scholars. realising Jamsetji Tata's objective that Indians should learn how to govern themselves.Support for higher studies This was the sentiment that led Jamsetji Tata to establish the JN Tata Endowment Scheme for higher education in 1892. both of whom donated the major chunk of their personal wealth for the public good. working tirelessly to make his father's visionary ideas a reality — roaming the jungles of what is now Jharkhand in eastern India in a bullock cart to set up Tata Steel and pioneering the generation of hydroelectric power in the wilds of the Western Ghats — while Sir Ratan was a connoisseur of the arts and a passionate votary of social development. A funding agency How do the trusts operate? Says Shernaz Vasunia. Sir Dorab was the quintessential entrepreneur. over a third of Indian ICS officers were Tata scholars. Sir Dorab Tata and Sir Ratan Tata." Adds Sarosh N. Of the 37 beneficiaries in the first batch. and Gyanpeeth awardwinning writer and actor Girish Karnad.

The endowment awards only loan scholarships. mostly in times of natural disasters. From time to time the Sir Dorabji Tata Trust also initiates the process for establishing institutes of national importance. However.responsibility. The amount to be awarded to each scholar by way of loan and gift scholarship is determined on the basis of norms laid down for the purpose. Jamsetji Tata. 68 . Students in the final year of a degree course and those awaiting results can also apply. It is the first Tata benefaction in the field of education. like the Ford Foundation. while others are community based — usually for a period of three to five years. JN Tata Endowment The JN Tata Endowment was set up in 1892 by the founder of the Tata Group. some research. and does not cover the full cost of studies. and possibly the first of its kind in Asia. to encourage young people to take up higher studies at some of the best universities in the world." The Sir Dorabji Tata supports different kinds of NGOs — some do social work. the selected scholars may also qualify for a gift award. Scholarships are granted for higher studies in all disciplines and subjects Eligibility criteria • • Applicants should be Indian nationals and graduates of a recognised Indian university with a consistently good academic record. It also works with international agencies such as the United Nations. they are more of a funding agency.

It was established in 1918 following the death of Sir Ratan Tata. The final selection is on the basis of interviews that are held in Mumbai. generally between March and June every year. specialisation or training are eligible to apply.• • Other mid-career professionals planning to go abroad for further research. education. At the time of submitting the completed applications. the younger son of Group founder Jamsetji Tata. Sir Ratan Tata Trust The Sir Ratan Tata Trust is one of India's oldest grant-bestowing foundations. Endowment grants: The trust supports institutions that work within the thematic areas that it focuses on. candidates need not have the admission / offer letters from the universities to which they have applied for the relevant academic year. Sir Ratan wanted to establish a trust that would help further "the advancement of education. and civil society and governance. art and culture. the elder son of Group founder Jamsetji Tata. welfare-oriented organisations. learning and industry in all its branches. Small grants: This caters to the needs of small. and is one of the oldest philanthropic organisations in India. Institutional grants • • • Programme grants: These cover rural livelihoods and communities. and it operates in accordance with his will. Sir Dorabji Tata and allied trusts The Sir Dorabji Tata Trust was established in 1932 by Sir Dorab Tata. Selection process After the initial screening of applications. and those needing support to implement innovative ideas. The Trust's vision of constructive philanthropy has been 69 . health. candidates are shortlisted for an interview in person by subject experts.

the Tata Institute of Fundamental Research. Mumbai. land degradation and better methods of cultivating and harvesting crops. family welfare. focusing on children. the Tata Agricultural and Rural Training Centre for the Blind. research and culture in India. Social development initiatives: These cover many areas. Livelihoods: The Trust has backed several projects in this sector. Individual grants The Trust gives merit and need-based educational and medical grants to individuals.sensitive to the fast-growing needs of a developing nation. including community development. NGO grants The Trust makes grants to NGOs in five social development sectors: • • • • • Management of natural resources: The Trust supports projects related to water and water resources. and the projects and programmes it supports bear contemporary relevance Endowment grants The Trust has promoted. capacity building of grassroots groups. while focusing on training community health workers. human rights. Education: The Trust has supported initiatives in the field of education. covering unorganised labourers. civil society. Health: The Trust has made contributions in creating and upgrading medical infrastructure and healthcare facilities across India. The Trust also supports research studies in alternative systems of medicine such as ayurveda. and relief work. and continued to support. Mumbai. Mumbai. Mumbai. Phansa. 70 . art and culture. adolescents and adults (within and outside the formal education system). and business development of a variety of people-based organisations. These include the Tata Institute of Social Sciences. the Tata Memorial Centre for Cancer Research and Treatment. several institutions of learning. and the National Centre for the Performing Arts.

• •

Medical: Financial help is extended to individuals for the treatment of diseases and to solve other health problems. Education: The Trust offers scholarships for higher education and travel grants for studying abroad and for attending conferences, as well as for sports activities.

The Allied Trusts The Allied Trusts are, primarily, smaller trusts; while some have a specific mandate, the rest are broad-based in their approach to grant-making. The Sir Dorabji Tata Trust administers the Allied Trusts. JN Tata Endowment: The first of the Tata trusts, it was established by Group founder Jamsetji Tata, in 1892 to provide scholarship loans to individuals for the pursuit of higher studies abroad. Over 120 students are selected every year from across India as JN Tata scholars.

INSTITUTE

IISc has produced Nobel laureates, trained many of India's greatest scientists and helped nurture some of the country's finest scientific institutions. Housed in a 37571

acre campus in Bangalore, this trailblazing institution has 40 departments and centres pursuing R&D and teaching in all departments of science, engineering and technology. JRD Tata Ecotechnology Centre: The flag bearer of the ecotechnology movement in India, JRDTEC is part of the MS Swaminathan Research Foundation, Chennai. Established in 1996, it is devoted to seeding and encouraging sustainable development, one that protects the environment while also benefiting the people who depend on it. Tata Institute of Fundamental Research: The need to improve India's scientific temper and strengthen the nation's science infrastructure were the objectives that drove scientist Homi J Bhabha and JRD Tata, the late chairman of the Tata Group, to pursue their vision of establishing TIFR in Bombay back in 1945. Tata Institute of Social Sciences: Set up in 1936, TISS is a pioneer in the field of social-work education in the Asia-Pacific region. The Institute, which offers postgraduate and doctoral programmes, has made significant contributions in the domains of social policy and planning, intervention strategies and human resource development. Tata Memorial Centre: TMC is India's best-known cancer hospital and research centre. This global centre of excellence, where 70 per cent of patients get free primary care, was established in Bombay in 1941, a time when there were only a handful of such institutions in the world. It has added significantly to its capacity and capabilities since then.

Tata Medical Centre: To be commisioned in 2009, Tata Medical Centre in Kolkata, in eastern India, is being equipped with the most contemporary and state-of-the-art medical equipment and will be one of the leading cancer care and research institutions in the country
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JRD Tata Ecotechnology Centre MS Swaminathan Research Foundation The flag bearer of the ecotechnology movement in India is the JRD Tata Ecotechnology Centre, which is part of the MS Swaminathan Research Foundation, Chennai. Established in 1996, the Centre was born of renowned agricultural scientist Mr Swaminathan's conviction that an optimum blending of traditional wisdom and scientific endeavour that nurtures and protects the environment is the bedrock of truly sustainable development. Dr Swaminathan, winner of the 'world food prize' back in 1987,set aside the money he received from the award for the Centre. A greater monetary contribution came from the Sir Dorabji Tata and Allied Trusts, which initially bestowed Rs1.85 crore to the Centre. Formally inaugurated in July 1998, the institution has received more than Rs4.5 crore from the Tata trusts thus far. This is the kind of backing that has enabled it to play a role in transforming the lives of the rural poor in Tamil Nadu and elsewhere. The JRD Centre's holistic vision for rural development stretches way beyond farming. That means literacy programmes that use computers and touch-screen technology, interaction and advocacy with the government, educating the poor about the schemes the state administration has for them, and helping establish village knowledge centres, where the poor can source information on agriculture, health, animal husbandry, horticulture, government programmes and subsidies, etc.

This all-encompassing approach is part of the sustainable development course that the Centre's parent body, the Swaminathan Foundation, has charted. "The village communities we work with are our partners in research, not just users of our knowledge. We learn from them and they from us," says K Balasubramanian, the
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director of the JRD Centre. "Time and labour are the only assets the poor have. Our endeavour is to provide them with skills that can be linked to these assets." There's no fixed bouquet of projects and no set sequence of initiatives that the JRD Centre carries to every new place it gets involved with. So it could be micro-credit organisations in one village, self-help groups in another and literacy projects or sustainable farming in a third. But there are three essentials to the JRD Centre's approach: creating grassroots institutions that can respond to any problem; building capabilities, so that people can understand where solutions are available; and helping start micro-credit associations and micro enterprises that deliver livelihood opportunities. There are six phases in the JRD Centre's matrix of sustainable development: mobilisation, organisation, technology transfer, systems management, capacity building and withdrawal. The last of these is critical. The Centre's objective is to make itself redundant, so to speak, over a period of time to the people who benefit from its expertise. This is a consistent theme with the Centre, and it's a huge bonus for the organisation and, more importantly, the villages it works with. "The famine of work causes the famine of food," says Mr Swaminathan, the patriarch whose vision shaped the centre. "Today's world is in need of a message of hope. What we need is an ecology of hope: not a 'doom ecology', but a 'do ecology'. This is where the new movement for eco-enterprises and ecotechnology has become a very powerful instrument."

Tata Institute of Social Sciences
An American missionary, Clifford Manshardt, pioneered several urban community programmes in the chawls of Bombay near Nagpada in the 1920s. His initiatives where supported by Sir Dorabji Tata. It was during this time that the idea of an
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" The present campus of the Institute. the School successfully worked to influence national laws and policies. the Labour Act was introduced. Jawaharlal Nehru. In 1936. in the first year itself there were 400 applicants for 20 seats on offer. What started as a small institution offering post-graduate diplomas in social work has grown into a university with diversified activities. at Deonar in Mumbai. In 1944. RR Singh. "We pioneered programmes which were later enacted into laws by the Indian government. by the then prime minister. Since then the Institute has expanded continuously.institute for social work took root. The year 1964 is an important landmark in the history of the Institute — it was recognised as a deemed university by the University Grants Commission (UGC). It has responded to the changing needs of the social and educational system in the country and has gone far beyond its initial concern of social work education. carries out research on social problems and social sciences. both in educational programmes and infrastructure. was opened on October 6. It trains professionals in human resources and social work. Though it was a diploma course. about the history of the Institute. Between 1936 and 1948. the Dorabji Tata Graduate School of Social Work was established for professional training in social work. as well as publishes and disseminates this 75 . 1954. It helped that these concepts were already part of the Tata culture. in the premises of the Nagpada Neighbourhood House. Dr Manshardt was its first director. "Our labour welfare and industrial management course was formulated because we believed labour problems needed attention. Today TISS is one of India's premier educational institutions. In 1948. it was renamed the Tata Institute of Social Sciences (TISS). The concept of labour welfare in India directly evolved from the work of the Dorabji Tata Graduate School. says TISS's present director.

The social justice budget and report was prepared with our help. Over time we have formed units for research into child welfare and the sociology of education and urbanisation. the faculty participates in field-action projects." says Dr Singh. among other subjects. Like Jamsetji Tata. and is played out in the mindset and thinking. "We have never believed in pure classroom instruction." The problems faced by Dr Manshardt in Nagpada exist even today. The Tatas have financially supported the institute with critical grants for the building and the rural campus. "Our link with the Trust continues even today. JRD Tata himself headed the board for a number of years. with the Sir Dorabji Tata Trust supporting a few. At the moment.information for the benefit of society. the representative of the Trust is still the chairman of the governing board. the departments are constantly adding new thrust areas like sustainable rural development and education. is a continuous process. disaster management. This is a first for the state of Maharashtra and a great challenge for us. small projects are under way in these 76 . domestic violence and human rights. To keep up with the changing social fabric. Though it is a deemed university." says Dr Singh. The Institute has published over 500 research reports and has initiated 32 field action projects. "Apart from teaching and training. explains Dr Singh. Located 500 km from Mumbai (near Solapur in Maharashtra). On the cards are centres for developmental studies. A parched hillock has been successfully greened. he too believed that wealth must be ploughed back for regeneration of society. the rural campus is in a chronically drought prone area. It is also one of the few institutions in the country which undertakes field projects to demonstrate the workings of organised and systematic welfare measures. and various other projects are taking shape here. Maintaining relevance.

training. It is holding workshops and running programmes to share knowledge with other universities. TISS is contributing towards teaching. His initiatives where supported by Sir Dorabji Tata. research. hospital management. The Institute offers postgraduate and doctoral programmes in social sciences. The Institute is also facilitating the setting up of similar units in other parts of the country. eight research units. It was during this time that the idea of an 77 . supported and strengthened us. An American missionary. "The inspiration of Jamsetji. as well as capacity building in educational institutions." says Mr Singh. personnel management.areas. Fact file The Tata Institute of Social Sciences is a pioneer in the field of social-work education in the Asia-Pacific region. and extending technical support to voluntary organisations. two resource units and resource cells. industrial relations and health. planning. intervention strategies and human resource development. pioneered several urban community programmes in the chawls of Bombay near Nagpada in the 1920s. It has made a significant contribution in the area of social policy. and social work It has nine teaching departments. and the philanthropy of Dorabji constitute a confluence which has nurtured. including primary education. the stewardship of JRD as chairman of the governing board. Clifford Manshardt.

In 1948. It helped that these concepts were already part of the Tata culture. Dr Manshardt was its first director. Jawaharlal Nehru. at Deonar in Mumbai. "Our labour welfare and industrial management course was formulated because we believed labour problems needed attention. by the then prime minister. both in educational programmes and infrastructure. in the premises of the Nagpada Neighbourhood House.institute for social work took root. It trains professionals in human resources and social work. it was renamed the Tata Institute of Social Sciences (TISS). Today TISS is one of India's premier educational institutions. the Dorabji Tata Graduate School of Social Work was established for professional training in social work. Since then the Institute has expanded continuously. In 1944. In 1936. The year 1964 is an important landmark in the history of the Institute — it was recognised as a deemed university by the University Grants Commission (UGC). Between 1936 and 1948. the Labour Act was introduced. It has responded to the changing needs of the social and educational system in the country and has gone far beyond its initial concern of social work education. about the history of the Institute. was opened on October 6. Though it was a diploma course." The present campus of the Institute. in the first year itself there were 400 applicants for 20 seats on offer. RR Singh. 1954. The concept of labour welfare in India directly evolved from the work of the Dorabji Tata Graduate School. carries out research on social 78 . "We pioneered programmes which were later enacted into laws by the Indian government. says TISS's present director. the School successfully worked to influence national laws and policies. What started as a small institution offering post-graduate diplomas in social work has grown into a university with diversified activities.

domestic violence and human rights. and various other projects are taking shape here." says Dr Singh. among other subjects. as well as publishes and disseminates this information for the benefit of society. The Institute is also facilitating the setting up of similar units in other parts 79 . Though it is a deemed university. The Institute has published over 500 research reports and has initiated 32 field action projects. Over time we have formed units for research into child welfare and the sociology of education and urbanisation. The social justice budget and report was prepared with our help." The problems faced by Dr Manshardt in Nagpada exist even today. At the moment. Located 500 km from Mumbai (near Solapur in Maharashtra). The Tatas have financially supported the institute with critical grants for the building and the rural campus. the rural campus is in a chronically drought prone area. JRD Tata himself headed the board for a number of years. Maintaining relevance. Like Jamsetji Tata. the faculty participates in field-action projects. small projects are under way in these areas. "We have never believed in pure classroom instruction. "Our link with the Trust continues even today. This is a first for the state of Maharashtra and a great challenge for us. and is played out in the mindset and thinking.problems and social sciences." says Dr Singh. disaster management. the representative of the Trust is still the chairman of the governing board. A parched hillock has been successfully greened. he too believed that wealth must be ploughed back for regeneration of society. It is also one of the few institutions in the country which undertakes field projects to demonstrate the workings of organised and systematic welfare measures. the departments are constantly adding new thrust areas like sustainable rural development and education. with the Sir Dorabji Tata Trust supporting a few. On the cards are centres for developmental studies. To keep up with the changing social fabric. explains Dr Singh. "Apart from teaching and training. is a continuous process.

industrial relations and health. It is holding workshops and running programmes to share knowledge with other universities. and social work It has nine teaching departments. TISS is contributing towards teaching." says Mr Singh. as well as capacity building in educational institutions. intervention strategies and human resource development. including primary education. Tata Memorial Hospital 80 . personnel management. The Institute offers postgraduate and doctoral programmes in social sciences. training. planning. "The inspiration of Jamsetji. supported and strengthened us. and the philanthropy of Dorabji constitute a confluence which has nurtured. hospital management. research. It has made a significant contribution in the area of social policy. the stewardship of JRD as chairman of the governing board. eight research units. and extending technical support to voluntary organisations. Fact file The Tata Institute of Social Sciences is a pioneer in the field of social-work education in the Asia-Pacific region.of the country. two resource units and resource cells.

81 . pursued this dream. TMC treats about one-third of the cancer patients in the country. wanted to bring to India a facility similar to the ones where his wife was treated abroad. Administrative control of the hospital was then transferred to the Department of Atomic Energy in 1962. Starting as an 80-bed hospital covering an area of 15. By 2020. In India 800. the Ministry of Health temporarily took over the Tata Memorial Hospital. opening in Parel.5 million cancer patients in the country. adding. the next chairman of the Tata Group. After Lady Meherbai Tata died of leukaemia in 1932. Bombay. At any given time there are 2. the number of patients globally will shoot up to 20 million. her husband. and 72 per cent of them will be from the third world. But JRD Tata and Homi Bhabha — the pioneer of India's nuclear energy programme — had the vision to foresee the role that radiation would play in cancer treatment. But it was the support of JRD Tata that finally saw the Tata Memorial Hospital. 1941. from imaging to staging and actual therapy. a seven-storey structure.” says Dr Ketayun Dinshaw.000 square metres. TMC now has more than 440 beds spread over almost 54. the Cancer Research Institute — set up in 1952 — and TMC were merged. Nowroji Saklatwala. Tata Memorial Centre (TMC). there's worse to come.000 in 1941. Sir Dorabji Tata. The annual budget." She says it was extraordinary vision which made the Tatas set up a speciality cancer centre at a time when there were only a handful of them in the world. Is India geared for this future? “Not at all.About 10 to 12 million people the world over suffer from cancer. on February 28. is now close to Rs280 million. Rs500. In 1957. Today.000 are diagnosed with this dreaded disease every day. After four years. director. After Dorabji's death.000 sq metres. If you think this is bad news. More than 50 per cent of them are from developing countries. "we need a Tata Memorial Hospital in every state.

She recalls how committed JRD was to the institution. Over the years. it was because of his involvement and concern that the hospital was handed over from the Ministry of Health to the Department of Atomic Energy.TMC is a comprehensive centre for the prevention and treatment of cancer. Research and Education in Cancer) to focus on research into cancers relevant to India and South Asia." says Dr Dinshaw. The Centre lays a lot of emphasis on education in the field of cancer. medical professionals. "TMC as well as the Department of Atomic Energy — through its links with the Tata Institute of Fundamental Research and Dr Bhabha — inherit their work culture from the Tatas. scientists and technicians undergo training at the hospital. and for research. not only from all over India but from neighbouring countries as well. "In fact. Nearly 25.000 patients visit the clinics each year. The Department of Atomic Energy has established a new state-of-the-art research and development centre at Khargar in Navi Mumbai (called the Advanced Centre for Treatment." Tata Institute of Fundamental Research 82 . About 70 per cent of patients seeking primary care are treated free of charge. TMC has also realised the importance of preventive activities and is reaching out to create awareness even in rural areas. It is a landmark on the global health map and particularly important to this part of the world. Over 150 students.

The fundamental research we were involved in then was of the atypical kind. Given that there was little scientific and industrial infrastructure at the time. considered science an integral component to modern India's identity. This was unusual for any country at that time. But TIFR managed to keep the course it had charted by making excellence intrinsic to its existence. it was also about discovering and delivering the benefits drawn from science to Indian society. The building of TIFR was quite interesting. which meant that we had to create our own infrastructure. including the carpentry and such. Our early years were marked by this wide vision we had of what research needed to be done. Mr Bhabha — in the letter he wrote to the Sir Dorabji Tata Trust requesting financial assistance to get the TIFR idea off the ground — talked about "creating a school of physics comparable to the best anywhere in the world. We were at the frontiers of science. TIFR became the cradle of the country's atomic energy endeavour. to me. stressed the "progress" aspect while arguing the case for the institution. These were the objectives that drove Homi J Bhabha and JRD Tata to pursue their vision of establishing the Tata Institute of Fundamental Research (TIFR) back in 1945. The Institute wasn't just about science. is one of the Institute's most remarkable triumphs.Homi Bhabha Road Pre-independence India's scientific achievement were far ahead of its industrial successes. These visionaries. Everything was done in-house. This." JRD. What usually happens when you have so a broad vision is that you compromise on either quality or excellence. working together at a critical time in the nation's history. TIFR came to play a crucial role. 83 . but there remained the need to improve India's scientific temper and strengthen the newly free nation's science infrastructure. on the other hand.

if the Indica had qualities its competitors didn't. In that sense the continuity of the vision articulated by Mr Bhabha and JRD has been preserved. say. that part of TIFR's original charter — being at the frontiers of science — remains relevant. India has turned the corner. has spawned a variety of vital organisations.We have done a large amount of experimental research that has blossomed into trend-setting initiatives. Today. If it does not it will be frozen in an earlier time. you can try and develop it to. then that would make it distinct. It does not look much different from other cars of its class. This was a significant success by any yardstick. To make things indigenously and also make them distinct — that would be an extraordinary combination. but being self-reliant and developing infrastructure is secondary. Therefore. In science you cannot stop once you have crossed the indigenous hurdle. which means it would fail in its mission. be somewhat different from the past. Today. Frontier science is about being the discoverer. more than any other Indian institution or industry. you hear of technology that's spun off. For instance. but still stay faithful to the original idea. we have to be up there with the best. If you don't have a particular technology. India's goal was self-reliance. in its details. and so it must. build a car indigenously. However. back in 1957. It is a more confident country and its infrastructure has improved tremendously. in terms of self-reliance there is a difference between science and technology. you cannot go to your lab and rediscover it. TIFR now functions differently. The Indica is a fine example of self-reliance. If someone has discovered something. In the years immediately following independence. But. In my reckoning. you also have to get to a given point before everybody else. 84 . TIFR. Some of our activities have changed down the years and this process will continue as we chart a new course that will. Catching up is no longer an achievement. India's first digital computer was crafted at TIFR. but its strength is that it is built indigenously.

the question now is how to take an outstanding institution and make it truly exceptional. We want to make sure we get the best people. An excellent institution must be able to rediscover and reinvent itself frequently. which takes an enlightened view of the long-haul factor. Without funding you cannot do research. Earlier. We will only applaud if you are the first one to discover something. But we try to even the playing field as much as possible so that we can compete with the best. financially speaking. we cannot provide the kind of salaries that some of our competitors around the world do. Steadfast support can make you complacent. We receive tremendous backing from the Department of Atomic Energy. and in some ways better. We have a steady source of funds. It's a more complicated struggle. with the finest machines and the latest technology equipment. was a problem. That is no longer true. a successful organisation by any measure. and not secured just as an entitlement. The Institute had many successes in the early years of its existence and that. And that is one of the strengths of TIFR. we provide a work environment that's as good as any other. This is a huge challenge because. Apart from salaries. An institution is much more alert if it is in trouble.We are now trying to set a standard by saying that we are not going to applaud if our people repeat something that somebody else has done. But we had to go through that period to get where we currently are. When an institution is doing well constantly. so we have to ensure that support is earned. 85 . the high level of confidence generated can sometimes lead to complacency. For TIFR. to be able to produce something was an accomplishment of a kind. in a way. requiring a new point of view and a course of action that's consistent with the times we live in. but there is a flip side to this equation. We have a beautiful campus and excellent infrastructure. Our libraries are among the best anywhere and we have good housing facilities.

the Homi Bhabha Centre for Science Education is putting in place the nurture programme for engineering students. Generally. It's our grand plan. that the basic sciences are not an attractive career for today's youngsters. where will our next generation of scientists come from? This is where we now have to concentrate our energies.Youth is the future. Given that reality. To get young people and give them a quality education — that's the top item on my agenda. We have to adapt to this new era and we can do that by incubating our own original ideas. University systems are in distress and we need to be involved there. Under the TIFR umbrella. but the times are changing. we have to understand. always has been and always will be. the economy and society are changing. TIFR has had a good run of more than 50 years. Earlier. we did not get involved in the education bit. and — this is my personal opinion — leading institutions such as TIFR have been short sighted in not engaging with this system. If bright young people don't do science. But a large number of them may continue in basic science if we can compensate by having a first-class education programme. We have now become a deemed university and can give them the degrees they seek. but in the frontier sciences largeness does not bring quality. followed by an advanced programme for graduates. And youth are our lifeblood. more lucrative option as a career. our best and brightest students go to institutions such as the IITs. We have a two-pronged strategy: first comes a 'nurture programme' for young students. We also want to capture students who go abroad for their MSc or PhD and take them into our own programmes. We may have grown a little too big. We need to ensure that our 86 . a cradle-to-grave programme for students from 12th class upwards. we did not feel the need to. because they think that's the safer. We are making a beginning in this sphere by starting an integrated PhD programme. particularly in the basic sciences. It is a crisis that we have brought upon ourselves. hard as it is. Our education system is not in good shape.

This institute is uniquely placed to do this — and I believe we can do it. Six months later the facilities moved to Bombay (Kenilworth on Peddar Road). We have to set the highest standards for accomplishments. No one group dominates. We have to recognise that our original charter requires us to act differently. condensed matter physics. theoretical physics and mathematics. We've had many distinguished visitors. In a sense. Later. We have had some significant accomplishments. Many of our students have gone abroad to teach. the Institute expanded its research umbrella to embrace nuclear physics. The governing structure set up by the founders. but TIFR has been global in its outlook since its birth. not third-world standards but the best global standards. 1945: TIFR begins life at the Cosmic Ray Research Unit in Bangalore. high-energy physics. is ideal. radio astronomy and science education. Fact file • June 1. The GMRT telescope is one of its kind and the best in the world for what it does. with representatives from the Government of India. • January 15. geophysics.centres have significant autonomy to forge their own destinies. among them Nobel laureates John Nash and Stephen Hawking. Our scientists discovered a new class of superconductors. the Sir Dorabji Tata Trust and the Government of Maharashtra. which means the Institute can retain its autonomy. 1962: Prime Minister Jawaharlal Nehru inaugurates the Institute's new 15-acre campus at Navy Nagar in Bombay. • Initial research was carried out in the areas of cosmic rays. we are the bridge between our community and the world. Today everybody talks about being global. computer science. molecular biology. 87 .

therapeutic. India. telemedicine and other services.• TIFR's pioneering work led to it designing India's first digital computer (TIFRAC). • TIFR has three schools (School of Mathematics. Tata Medical Centre (TMC) The Tata Medical Centre (TMC) is a comprehensive cancer hospital and research establishment coming up in Kolkata. the High-Energy Cosmic Ray Laboratory at Udhagamandalam in Tamil Nadu. the centre is a philanthropic initiative from the Tata Group for the people of West Bengal and north-eastern states of India. rehabilitation and palliation for cancer patients. The hospital has 150 beds reserved for the underprivileged and is being provided with the best of medical equipment and personnel. It was envisioned to provide a world-class cancer care organisation for the region. It will be managed by the Tata Medical Centre Trust (TMCT). To be commissioned in 2009.5 – 3 million cases of cancer and the 88 . diagnostic. the National Centre for Radio Astrophysics in Pune. especially for the poor. School of Technology and Computer Sciences) and as many centres (the Homi Bhabha Centre for Science Education in Mumbai. and the National Balloon Facility in Hyderabad. cure. TMC’s mission is to promote prevention. given that India has about 2. which has been formed specifically for this purpose. the High-Energy Cosmic and Gamma Ray Laboratories at Pachamarhi in Madhya Pradesh. the National Centre for Biological Sciences in Bangalore). The need for such a centre is acute. • The Institute also runs four facilities: the Giant Meterwave Radio Telescope at Kodad near Pune. Kolkata. The hospital will have outpatient. inpatient. School of Natural Sciences. The teams will work with state-of-the-art equipment from the best of manufacturers worldwide.

radiation oncology. 89 . psychiatry. Kolkata on 13. a renowned architectural firm from North America. medical strategies and guidelines that will reflect a holistic view of the problem and its manifestation. pathology. It will also provide education in the field of medicine and allied subjects. To ensure integrity and complete security of the diagnostic process. etc. currently under development by the Tata Consultancy Services (TCS).Tata Memorial Hospital in Mumbai registers nearly a quarter of its cases from the east / north-east regions of India and Bangladesh. with a special focus on oncology. The centre will be monitored by a comprehensive and customised Hospital Management System (HMS). Diagnosis and treatment TMC will work with the best professionals and equipment to ensure that its diagnostic and treatment services are comparable with the best in the world. Research and education TMC will collaborate with the best institutes in the world and nurture talent from local universities. This will ensure a multi disciplinary approach towards treatment protocols. clinical research. drugs and consumables will be transported across the hospital through a pneumatic chute system. The hospital will maintain an efficient waste management system. medical social work. including basic science research. intramural research and multi-centric trials. medical oncology.36 acres of land procured from the West Bengal government and has easy accessibility from the city centre as well as the city airport. radiology. It will set up disease management teams with experts from different streams like surgery. the hospital is located at Rajarhat. Designed by Cannon Design. patient samples. It will have a slew of research initiatives.

Inpatient services 90 . day-care surgery. biopsies and stent placements. The centre will have an operation theatre complex and a variety of associated facilities. Among the outpatient services envisaged are consultations. Outpatient services The infrastructure at TMC’s outpatient department aims to maximise ambulatory care and minimise the need for hospitalisation. Images will be captured in digital format and with the help of an ‘enterprise picture archival and communication system’. The samples will be processed and the results made available on the hospital information system. lecture and seminar rooms.The centre will have academic offices. minimal-access surgery. chemotherapy and counselling. diagnostic investigations. Service delivery TMC's objective is to always provide the best possible services in every area of intervention. and access to electronic journals and a networking of libraries. fluoroscopy. major and minor surgical procedures. ultrasonography and different scans. Samples collected will be transported from collection centres in the hospital to laboratories through a pneumatic chute system. a digital library. radiotherapy. minimal-access surgery. mammography. Diagnostic services These will include laboratory and imaging services. laser surgery and day surgery. Among the imaging services provided will be conventional radiography. Therapeutic services Among the therapeutic facilities to be made available at TMC will be surgical oncology.

Other benefits would include online training programmes and distance education. children’s play room. Mumbai. prayer/meditation room. The main objective here is to exchange expertise in patient care and provide opportunities for experts to share their skills and knowledge. Rehabilitation services Among the rehabilitation services to be provided will be physiotherapy. The services include canteen. In addition. The benefits that will accrue as a result of this alliance are: Telemedicine facilities The TMC facility will conduct a telemedicine programme with the Tata Memorial Centre. Prevention and care TMC will provide preventive oncology services to the public by means of dissemination of cancer-related information. and a network of other institutions.The inpatient services will be located in a separate building. screening services. There will also be a high-dependency unit. etc. a bone marrow transplant ward and isolation rooms. executive health check-up programmes and tobacco cessation initiatives. among others. a central nursing station and patient rooms and wards. laundry. shuttle services to the hospital. occupational therapy. the centre will work closely with a network of support organisations and sister institutions to provide complete cancer treatment facilities. launderettes. The amenities provided will be consistent with the intensity of care and will comprise. speech therapy. Patient rest houses: The hospital is planning to provide low-cost comfortable accommodation. 91 . The motel/ lodge will initially accommodate 200 beds. catheter care and a prosthesis clinic. packed food delivery and self cooking stations. for attendants of out-station in-patients and low dependency outpatients while they undergo treatment.

committed and well trained professionals from all parts of the country and beyond to ensure that the centre is counted among the best in the world. Support services The centre will set up cancer support teams such as medical social work team and the psychiatrists and clinical psychologists group. in collaboration with NGOs and voluntary organisations.Human Resource TMC is bringing together a team of dedicated. Activities include: • • • • • Patient support Financial Aid Counselling Patient navigation Helpline The objective at TMC is to build an organisation that excels in services. education and research in the field of cancer. 92 .

Sports has always been an integral part of the Tata way of life. When Jamshedpur was planned (around 1900). The Club was Mumbai-centric because most Tata companies had their headquarters here. Sir Jamsetji Tata. and it was supported by people who were either employees or on contract. and grounds for cricket. We believe in improving the quality of life. as president of the Indian Olympic Council. he wrote to his sons to ensure that the city had wide streets. He sponsored the Indian contingent for the Antwerp Olympics in 1920 and. Whether it be with Bachendri Pal climbing Mount Everest or Premchand Dogra being crowned Mr Universe. and the Club provided that avenue.SPORT 'Every sport is worthy of support' The Tata Group’s sporting legacy The Tata Group has been connected with sporting activities since 1920. hockey and football. The Club was a group effort involving employees from different companies. They needed an organisation through which they could represent their sports (you can’t represent just the Tatas). and sports is a vital part of life Tata Sports Club The Tata Sports Club was the channel through which sports people found their expression. financed the Indian squad that went to the Paris Olympics in 1924. Sir Dorab Tata was a great sportsman. He had the vision to realise that sports is an integral part of any city plan. 93 . He was a Cambridge blue at cricket and a founding member of the Willingdon Club in Mumbai. lots of trees. Tata Steel has always been a great supporter of sports. Jamshedpur had Tata Steel. a nursery for sports. but Tata Steel players would represent the Club. Tata Steel was and is. and JRD — its president for over 50 years — was based here. in its own rights. The group’s interest in sports comes from our founder.

had more than its share of potent elements: drama on the court. I believe it’s possible to bring that era back and break the mindset that sports people are not productive from the business point of view. passionate fans. 2003. a superb arena. or has the potential to reach that level. Geet Sethi and Michael Ferriera. And loads of fun. If someone is at that level. and a ‘Thaigar’ who thrilled fans and tamed opponents with style and panache. strength. and the generous support of the Tata Group have made the Open India’s premier sporting event. in a week that straddles two years. the country’s finest tennis arena. a multitude of events off it. passionate and knowledgeable fans. 94 . so long as people excelled in a particular field. we supported their talent. and the sport that exemplifies this singularity best is probably tennis. There’s something about one-on-one combat that team games can never provide. Serving up an ace Fantastic players. 2002. an international tennis caravan rolls into Chennai with top-ticket performers to deliver sporting entertainment of the highest quality. A world-class organisational set-up. I don't think the Tatas would be concerned about which sport he or she represents. Two world billiards champions. There was a time when 80 per cent of the Test players in the Mumbai team were from the Tatas. This year’s championship. unlimited fun and scintillating tennis — the Tata Open 2003 was a winner from start to finish The gladiatorial spirit in sport shines brightest in individual disciplines. Once every 12 months. You would believe it definitely is — if you witnessed the recently concluded Tata Open Championship 2003. and climaxed on January 5. athleticism and uncompromising competition. Mumbai was once the cradle of Indian cricket. which unfolded at the bull-pit cauldron that is the Nungambakkam Stadium on December 28.Beyond cricket The Tata Group has considered every sport as worthy of support. a feast of skill. were Tata employees.

Among them are world champions. both on the playing fields and beyond Sportsmen and women associated with Tata Group companies and the Tata Sports Club have won a multitude of honours.The Tata roll call of champions Some of the prominent sportsmen and women associated with Tata Group companies and the Tata Sports Club who have won a multitude of honours. Here are the most prominent of them. Athletics Mohinder Singh Gill KL Powell Parveen Kumar Edward Sequeira Shivnath Singh VC. both on the playing fields and beyond. Shetty Jujhar Singh Rajinder Singh Saroj Lakra 95 . Borromeo Balwinder Singh Bagicha Singh Mercy Kuttan Ajit Bhaduria BRH Prasad TC Yohannan AP Ramaswamy Sucha Singh Satish Pillai Adrian Kennedy MG Murlikuttan Pavittar Singh Ajmer Singh Iqbal Singh Vijay Pal PC Ponnappa MP Ravi Kumar BV Satyanarayan Baldev Singh AF. Countinho Anil Kumar MG. winners at the Olympics. and others. the Asian and Commonwealth Games.

Archery Sanjeev Singh Limba Ram Purnima Mahato Lalrem Sanga Basketball Sunil Panda Sunil Tandon T Vijayraghavan Harbhajan Singh M Jaganathan R Srivastava S Qureshi UJ Anthony 96 .

to the good earth rather than profiteering. 97 . Balancing the imperatives of creating jobs and selling products and services with the absolute necessity of protecting and regenerating what remains of the natural environment is an onerous challenge.Approach towards the Environment. but this is a task requiring a commitment to ideals more than bottom lines. A focus area for the Group. The Group's efforts to preserve and regenerate the environment find expression in the slew of projects and programmes it has undertaken in and around its facilities and operations. That it can be done is beyond doubt. Pollution and Ecology Environment The Tata ethos places a special emphasis on environmental and ecological issues. is the climate change crisis Nurturing nature The Tata Group's kinship with the environmental cause has resulted in a slew of initiatives that place the good earth above bottom lines A big chunk of the responsibility for containing the plague driving our polluted and populous planet towards peril rests with industry and business. The long history of the Tata Group teems with examples of just such a commitment. in this context.

is being 98 . and the philanthropic thrust of the Tata trusts. following directives and guidelines from within and without is just one facet of the Tata approach to environmental issues. improve land and water use. chairman. Tata Council for Community Initiatives. community development and livelihoods. Important as it is. The Group's contribution to conservation falls into two categories: the efforts of different Tata companies. "Environment is a focus area within our overall corporate social responsibility matrix. From this flows its support for endeavours to conserve plant and animal species. Understanding that no environment policy can operate in isolation means an enhanced ability to link processes and people in a manner that benefits both nature and those dependent on it." says Mr Chaukar.The Tata ethos places a special emphasis on environmental and ecological issues. the environmental efforts of group companies. to preserve and enrich the environment in and around their areas of operation. "Our real contribution. The greater portion of what the Group does in this sphere is by choice and conviction. often in rural regions and frequently facing inequitable struggles to secure livelihoods." says Kishor Chaukar. big and small. "Ours is a deliberate effort to do more than what is required by statute. on the environment front and on the entire corporate responsibility issue. A host of Tata companies also adhere to environmental procedures drawn up by the Global Reporting Initiative (GRI). which support a diverse cluster of non-governmental organisations working in areas such as the management of natural resources. a centrally administered nodal agency that coordinates. among other activities. This dual canopy accommodates and nurtures a variety of initiatives in a range that extends from watershed programmes and land regeneration to forestry projects and the protection of endangered species. The central tenet of this earthy philosophy is people and communities. and protect forest tracts and green sanctuaries. The flora and fauna stories and articles in this subsection attempt to encapsulate the Tata Group's allegiance to the environmental cause. which operates under the aegis of the United Nations.

and that's what the Tatas are doing. Business can — and do. is that we have borrowed it from our children and the generations after them. I as a corporate entity. far-removed place — how can that ever be justified? There used to be a time when rivers were sources of clean drinking water. our air and our bodies are becoming the unwitting recipients of all manners of toxic intruders. the discourse of our times. The reality." Only those living in denial can argue that environment and ecology are subjects too esoteric for a society bred on consumerism and the pleasures of the present. carriers of filth and waste. Polluting the environment in one place to supply a product to consumers in some other. as I see it. as the Tatas have proved — make a huge difference in turning this beastly tide. The Tatas. Humankind is currently engaged in the surprisingly easy job of driving into extinction more plant and animal species than at any time since the dinosaurs disappeared 65 million years ago. Environment policies 99 . it becomes obvious that I as an individual. "Looked at from that perspective. Our forests are fading. The general mindset. I as a factory.socially responsible. today any child will tell you that rivers are giant garbage cans. view them as an inherent duty that is part and parcel of being in business. on the other hand. "Some people think that environmental matters are cause for concern. There is no way out of this messy situation other than affording the environment the highest priority. our oceans are rising. the snowcaps on our mountain peaks are shrinking. our water. tends to see the environment as something we have inherited from our ancestors. and that means doing much more than staying on the right side of the law. our climate is mutating. Meanwhile. have no God-given right to do what I please with what can never truly belong to me." Mr Chaukar articulates the Group's environmental philosophy as an obligation to society.

they endeavour to give environmental issues the priority they deserve. To integrate environmental parameters in the Tata Business Excellence Model and the Tata Code of Conduct. stakeholders and the community at large through a process of participatory dialogue and collaboration The Tatas have what is known as a 'Group environment network' to guide its companies and organisations on environmental issues. customers. By constantly upgrading the technologies they use and by applying the best of sustainable processes and practices. use and disposal of any of their products and services. The objectives of this network are three-fold: • • • To develop a common approach on the environment so that Group companies can champion the cause of sustainable growth and enhance the image of the Tata brand. the Group continuously trains its employees and creates awareness among its business associates. 100 . often beyond what is mandated by government and other institutional policies. the proper use of natural resources and the minimisation of any hazardous impact stemming from the production. It does this by protecting. development. The companies are dedicated to constantly improving their performance on the prevention of pollution. To enhance awareness and to train Group environmentalists through workshops. Towards this end.The Tata Group has striven to be responsible and sensitive on ecological and environmental matters. and share their experiences through case studies and exchanges. conserving and restoring natural resources. Tata companies are committed to complying in full measure with all regulations relating to the preservation of the environment around its operations.

Changes or improvements are made as and when these are required (the way the Group is addressing the climate change issue is an example CSR and its implementation 101 . Review environmental performance at different levels in the management hierarchy. Set up environmental management systems and programmes at the organisational level and annually budget for environmental improvement.The Tata approach to environmental management makes it mandatory for Group companies to do the following: • • • • • • • • • • • Have a vision and mission statement that explicitly states its policy on environmental management. Establish a convention for conducting impact-assessment surveys and periodic audits. This is to be followed by lifecycle assessments and eco-labelling for product stewardship throughout the supply chain. Define a corporate environment policy and communicate that to all employees. water and land in and around the areas where it operates. Regularly scrutinise resource consumption and the quality of air. Publish annual environmental performance in annual reports. The environment policies of the Tata Group are reviewed continually. Train its workforce on environmental issues and assign management representatives and facilitators to the task of monitoring environmental systems. Set quantitative objectives and targets for continuous improvement (preferably beyond legal compliance). Encourage applications and attainment of eco-labels and accreditations such as ISO 14000/01.

“Giving back is a means towards going ahead".Corporate Social Responsibility Tata Power is committed to setting high standards in its pursuit of social responsibility and remaining sensitive to the issues of resource conservation. Our widespread programmes on biodiversity conservation. afforestation. environment protection and enrichment and development of local communities in its areas of operations.                                                                 Awards • CII EXIM Bank Award 2005 – "Certificate for Strong Commitment to Excel". health services. pisciculture. family planning. primary and secondary education and many more have made inroads into the tiny hamlets and tribal regions of our hydro catchment areas and it is our endeavour to light up these dark and narrow streets to new dawns. The company has a simple philosophy that guides its activities in these matters. 102 .

• The Power Plant Award. instituted by Electric Power International. to the Trombay Thermal Power Station in 1995. • Outstanding Structures of the Year by the American Concrete Institute: Bronze Award to the Trombay Thermal Power Station for the year 1988 – 1989. • Tata Power among the top 13 Best Managed Companies in India by Business Today – AT Kearney (11 March 2005). Mumbai in 2004. Jharkhand in 2004. • Greentech Environment Excellence Award: Platinum to Jojobera Thermal Power Plant. • Jojobera has been declared as the winner of Golden Peacock Special Commendation Certificate for the year 2005 (11 June 2005).• “Energy Efficient Unit Award” at the National Award for Excellence in Energy Management – 2005 for T&D divisions conducted by CII. • Greentech Safety Award: Gold to Trombay Thermal Power Station. • The 2nd Wartsila – Mantosh Sondhi Award for outstanding contribution to the Indian Power Sector in 2004. Community initiatives 103 .

measuring and improving the social uplift programmes that Group enterprises undertake. and is built around the Tata Business Excellence Model. Tata index for sustainability: The Tata index for sustainable human development is a pioneering effort aimed at directing. biodiversity restoration and employee volunteering. increasingly. Tata Council for Community Initiatives: The Tata Council for Community Initiatives is the umbrella agency that guides and supports Tata Group companies with their community development initiatives. TCCI has a charter that embraces social development. The index provides guidelines for Tata companies looking to fulfill their social responsibilities.The many companies of the Tata Group are involved in a wide variety of community development projects and programmes. women-children welfare and more Overview: The panoply of community development endeavours undertaken by Tata companies — embracing everything from health and education to art. environmental management. from the social uplift efforts of the Tata trusts). The community development endeavours of Tata companies cover many areas. and separated. Reinforcing the implicit beliefs the Group brings to its mission of sustainable development with an explicit set of structures. principally in India but also. many lives. Tata company initiatives: Different Tata companies have in-house 104 . from health and education to livelihoods. and changed. sport and more — has touched. in different parts of the world (these initiatives are distinct.

the managing director of Tata Steel at that point. sport and more — has touched. the company had been dedicating between 3 and 20 per cent of its profits to social development causes. The Tata Steel example is not an anomaly for a Tata company. the Tata Steel Rural Development Society.” The Tata Steel example is not an anomaly for a Tata company. The most prominent of these are the Tata Chemicals Society for Rural Development. The money numbers are staggering: by a rough estimate the Tata Group as a whole. it has to be the time.” recalls Mr Irani. If there is one attribute common to every Tata enterprise. PV Narasimha Rao. spends about 30 per cent of its profits after tax (PAT) on social-uplift programmes. through its trusts and its companies. Later. it has to be the time. over a 10-year period. Rallilove ACTS (Assisting Communities Through Service) and Voltas for Women. the figure has continued to vacillate within this band. Representing the Tata Group were Chairman Ratan Tata and JJ Irani. effort and resources each of them devotes to the wide spectrum of initiatives that come under 105 . many lives The time was the early 1990s and the occasion was gathering of industrialists called by India’s prime minister. The rainbow effect The panoply of community development endeavours undertaken by Tata companies — embracing everything from health and education to art. “Mr Tata and I looked t each other. “The prime minister proposed that we business people set aside 1 per cent of our net profit for community development projects totally unconnected to the workers and industry any of us was involved with. and changed.organisations to implement and manage the community development projects that they undertake. We discovered that. In the years since. we drew up a chart that quantified Tata Steel’s contribution on Mr Rao’s scale. effort and resources each of them devotes to the wide spectrum of initiatives that come under the canopy of community development. depending on profit margins. If there is one attribute common to every Tata enterprise. we didn't make any comment.

Arts and sports A different dimension of this social development doctrine shines through in the Tata support and backing that enriches the country's cultural and sporting spheres. the Tata Group is contributing all it can to the other two." While there's not much it can do about the first sector. from tribal hamlets in Jharkhand and the rural outback of Gujarat to the high ranges of Kerala and disadvantaged villages in Andhra Pradesh — the community work being undertaken by Tata companies touches a multitude of Indians across the land. and a social sector of effective community organisations. sponsorship of talented individuals. sporting and academic excellence.the canopy of community development. And now. Tata index for sustainability 106 . The money numbers are staggering: by a rough estimate the Tata Group as a whole. In India and abroad No matter how elaborate. systems and processes cannot really capture the magnitude and dispersion of all that the Tatas do in the field of community development. Beyond purely social work. In the field of art. a private sector of effective businesses. through its trusts and its companies. and organisations such as the Tata Sports Club — has helped numerous sportspeople realise their potential. the social uplift efforts of the Group are reaching communities in different parts of the world. this support has played a critical part in preserving and promoting every component of India's cultural heritage. As management guru Peter Drucker says: "A healthy society requires three vital sectors: a public sector of effective governments. this support extends to individuals and institutions pursuing artistic. The Tata backing for sports — in the form of academies for a variety of sporting disciplines. spends about 30 per cent of its profits after tax (PAT) on social-uplift programmes. From health and education to livelihoods and women-children welfare. as Tata enterprises spread their wings to reach global locations. The panoply of the Tata engagement in community development encompasses much more than can be encapsulated in a few pages.

VP. Group corporate sustainabiity." The index is actually a set of guidelines for Tata companies looking to fulfil their social responsibilities. Mr Nadkarni sees the index as a work in progress. "What we have here is a framework.The Tata index for sustainable human development is a pioneering effort aimed at directing. and it is the third set of such guidelines fashioned by TCCI. an open-ended framework that drives business excellence in Tata companies. Speaking about the Tata index. that's the spirit in which the Index was drafted. not some edict set in stone. measuring and enhancing the community work that Tata Group enterprises undertake. Anant G Nadkarni. says: "We have adopted a business model to drive social responsibility efforts within the group because that way you ensure a huge network. The index provides guidelines for Tata companies looking to fulfil their social responsibilities. and is built around the Tata Business Excellence Model. The index helps structure our efforts and quantify their effect on the communities and people they are aimed at." Name and Performance of the Companies controlled by the Business House 107 .

It operates in more than 20 countries and has a commercial presence in over 50.Companies Tata Steel is the world's sixth largest steel manufacturer. 108 .

the company produces rolls for integrated steel plants. In the past few years. The company is exploring opportunities in the titanium dioxide business in Tamil Nadu. packaging. Tinplate Company of India: Industry leader in India in the manufacture of tinning line products. Areas of business The company produces crude steel and basic steel products. the paper. Joint ventures. including electrolytic tinplate. Corus produces long and strip products for the construction. the company produces steel for the construction industry.The company was established in Jamshedpur. its joint venture with Australia's BlueScope Steel. the company has created a manufacturing and marketing network in Europe. and will soon be producing high carbon ferrochrome from its plant in South Africa. Tata Steel has also set up joint ventures for the development of limestone mines in Thailand. South East Asia and the Pacificrim countries. Tata Steel Thailand: A major steel producer in Thailand. tin-free steel and coldrolled products. • 109 . associates • • Corus Group: Europe’s second largest steel maker with major operations in the UK and continental Europe. NatSteel has operations in seven countries in Asia. textile and food processing sectors. power plants. With these. engineering and other markets worldwide. subsidiaries. and makes steel for building and construction applications through Tata BlueScope Steel. Millennium Steel (renamed Tata Steel Thailand) and NatSteel Asia (Singapore). and the government mint. in 1907. Tata Steel has invested in Corus (UK). India. and the setting up of a deep-sea port in Orissa in India. automotive. India. the procurement of low-ash coal from Australia and coking coal from Mozambique. Tayo Rolls: India’s leading roll manufacturer and supplier. NatSteel Asia: A leading supplier of premium steel products for the construction industry. It has the capacity to produce over 26 million tonnes of crude steel every year.

installation and commissioning of engineered-to-order equipment and systems in the areas of bulk material handling. Tata Refractories: Produces high-alumina. Tata BlueScope Steel: A joint venture with BlueScope Steel. procurement and re-lining services. TRF: In the business of design. basic. Jamshedpur Injection Powder: Manufactures carbide de-sulphurising compounds used for the production of low-sulphur. Indian Steel and Wire Products: Recently acquired by Tata Steel. cement floors and plastics. TM International Logistics: Provides material handling and port operation services at the Haldia and Paradip ports in India. dry cement paint. exterior emulsion paint and distemper. manufacture. Dhamra Port Company: A joint venture between Larsen & Toubro and Tata Steel to build a deep-draft (18 metres) all-weather port in Orissa on the east coast of India. reclaiming and blen Jamshedpur Utility and Service Company: Re-engineered out of Tata Steel's town services. 110 . Its products are used in paints.• • • • • • • • • • • • • Tata Ryerson: Offers hot. dolomite. mjunction services: A 50:50 joint venture involving Steel Authority of India and Tata Steel. Australia. the company offers a comprehensive range of branded steel products for building and construction applications. processing. Tata Sponge Iron: Produces sponge iron lumps and fines. JUSCO provides municipal and civic services for townships.and cold-rolled flat steel products in customised sizes and quantities. Tata Metaliks: Manufactures and sells foundry-grade pig iron. silica and monolithic refractories and offers design. high-quality steel. it is India's largest e-commerce company and the world's largest e-marketplace for steel. supply. Tata Pigments: Produces oxides of iron. emulsions. also has freight-forwarding and chartering services. ISWP has a wire unit and a steel roll manufacturing unit.

111 . producing met coke and electric power. mainly for captive use. Sila Eastern Company: Established to develop limestone mines in Thailand.000 tonnes. Tata NYK: A 50:50 joint venture with Nippon Yusen Kabushiki Kaisha (NYK Line) to set up a shipping company to handle dry-bulk and break-bulk cargo. Tata Steel KZN: Setting up a high carbon ferrochrome plant in South Africa with an annual production capacity of 135.• • • • • Hooghly Met Coke & Power Company: A joint venture with the West Bengal Industrial Development Corporation. Lanka Special Steel: A Sri Lankan unit that manufactures galvanised wires.

distribution and trading. Maharashtra.300mw in the areas of thermal. solar. Power project related services: The company provides expertise in setting up independent and captive power plants. transmission and distribution to trading and consultancy. Bhivpuri and Khopoli in Maharashtra (western India) and the wind farm is in Ahmednagar. Maharashtra.000mw mega power project in Mundra. In addition. from generation. Areas of business The company operates across the entire power value chain. Transmission and distribution: The company supplies power to the cities of Mumbai and Delhi. transmission. hydro and wind energy generation. It is a partner in the 1. Tata Power has a 110kw solar plant at Walwhan. • • • Power generation: Tata Power’s thermal power stations are at Trombay in Mumbai. India's first interstate transmission project and one of the largest power grids in the world. Jojobera in Jamshedpur and Belgaum in Karnataka (southern India).Tata Power Tata Power is India’s largest power utility in the private sector today. Maharashtra and a 17mw wind power project at Supa. 112 . Tata Power has an installed power generation capacity of over 2.200km Tala transmission project. and operations and maintenance management in India and overseas. Gujarat. Trading: The Tata Power Trading Company has the licence to carry out transactions in power trading in India. The hydro stations are at Bhira. transmission and distribution projects. The company was established in 1911 as the Tata Hydro-Electric Power Supply Company to supply power to Mumbai. with a presence in generation. the company is implementing a 4.

and the Nano. began manufacturing commercial vehicles in 1954 with a 15-year collaboration agreement with Daimler Benz of Germany. Established in 1945. Tata Safari. It entered the passenger vehicles segment in 1991 and now ranks second in India's in this market. India's first sports utility vehicle. Spain and the UK. India's first indigenously manufactured passenger car.Joint ventures. Tata Motors has over 1. subsidiaries and associates • • • • • • North Delhi Power: A joint venture with the Government of Delhi to supply power to the north and northwest areas of Delhi . Strategic Electronics Division: An internal division that designs and develops electronic products and systems for India’s defence sector . Coastal Gujarat Power (CGPL): The subsidiary behind the Mundra project. VSAT networks and automation. South Korea. Tata Indica. Powerlinks Transmission: A joint venture with the Power Grid Corporation of India. It has.400 engineers and scientists in six R&D centres in India. formerly known as Tata Engineering and Locomotive Company. Nelco: A subsidiary company with core competencies in the areas of systems integration and project management for defence electronics. the world's cheapest car. power electronics. 113 . the Middle East. it is also among the world’s top five manufacturers of medium and heavy trucks and the world's second largest medium and heavy bus manufacturer. Industrial Energy: A joint venture with Tata Steel to develop captive power plants Tata Motors is India’s largest automobile company. energy network management. since. for the 1. Tata Power Trading Company: A wholly owned subsidiary and the first company to get a power trading licence from India’s Central Electricity Regulatory Commission .200km Tala transmission project. The company. Africa. India's first indigenous light commercial vehicle. South and Southeast Asia and South America. developed Tata Ace. Its vehicles are exported to Europe.

associates Tata Motors has joint ventures with Marcopolo. 100-per cent subsidiary engaged in design engineering and development of products. Tata Motors also distributes Fiat’s cars in India. 12-seaters to 60-seaters. product lifecycle management and product-centric information technology services. Tata Motors has a 60 per cent holding. a 100-per cent subsidiary of Tata Motors in the business of heavy commercial vehicles Tata Motors European Technical Centre is a UK-based. Telco Construction Equipment Company makes construction equipment and allied services. the Brazil-based maker of bus and coach bodies. multi-utility vehicles and light. medium and heavy commercial vehicles. the sedan Indigo in 2002 and the station wagon Indigo Marina in 2004. Tata Technologies provides specialised engineering and design services. the rest is held by Hitachi Construction Machinery Company. Other associates include: • • • • Tata Daewoo Commercial Vehicle Company. Joint ventures. and with Fiat Auto (to build a commercial vehicle at Fiat's facilities in Córdoba. Argentina). Utility vehicles: The Tata Sumo was launched in 1994 and the Tata Safari in 1998. subsidiaries. medium and heavy segments. Commercial vehicles: The commercial vehicle range extends from the light two-tonne truck to heavy dumpers and multi-axled vehicles in the above 40tonne segment.Areas of business Tata Motors makes passenger cars. Japan. in the light. Passenger buses: The company also manufactures and sells passenger buses. • • • • Passenger cars: The company launched the compact Tata Indica in 1998. 114 .

Concorde Motors is a 100 per cent subsidiary retailing Tata Motors’ range of passenger vehicles.500 engineers at two product development centres. in Whitley in Coventry and Gaydon in Warwickshire.000 people. Tata Cummins manufactures high horsepower engines used in the company’s range of commercial vehicles. HV Transmissions and HV Axles are 100-per cent subsidiaries that make gearboxes and axles for heavy and medium commercial vehicles . Tata Motors Finance is a 100 per cent subsidiary in the business of financing customers and channel partners of Tata Motors Jaguar Land Rover Jaguar Land Rover is a business built around two great British car brands with exceptional design and engineering capabilities. is one of the world’s premier manufacturers of luxury saloons and sports cars. Its products have defined the segments in which they operate. predominantly in the UK. including some 3. Jaguar Land Rover’s manufacturing facilities are in the UK.• • • • • • • Tata Motors (Thailand) is a joint venture between Tata Motors (70 per cent) and Thonburi Automotive Assembly Plant Co (30 per cent) to manufacture and market the company’s pickup vehicles in Thailand. 115 . Areas of business Jaguar Cars. The Jaguar Land Rover business employs over 16. TAL Manufacturing Solutions is a 100-per cent subsidiary that provides factory automation solutions and designs and manufactures a wide range of machine tools. Land Rover has been manufacturing 4x4s since 1948. founded in 1922. Jaguar Land Rover’s manufacturing facilities are in the UK. Hispano Carrocera is a Spanish bus manufacturing company in which Tata More has a 21-per cent stake.

XJ and XK models are manufactured at the company's Castle Bromwich plant in Birmingham. Hooghly Met Coke and Power Company (HMCPC) Incorporated in 2005. Sales to customers are conducted principally through franchised dealers and importers. Location Jaguar Land Rover is based in the UK. Designed to meet stringent environmental norms. Tata Steel holds a 98 per cent stake in the company Areas of business HMCPC is setting up a greenfield project at Haldia.The Jaguar XF. Discovery 3.6 million tonne of metallurgical coke. UK. 116 . Range Rover Sport and Range Rover models are all built at Solihull. with 78 per cent of Land Rovers exported to 169 countries and 70 per cent of Jaguars exported to 63 countries. The project will supply metallurgical coke to the blast furnaces of Tata Steel at Jamshedpur. UK. The business is a major wealth generator for the UK. while the Jaguar X-TYPE is produced alongside the Land Rover Freelander 2 at the Halewood plant in Liverpool. West Bengal (in eastern India) with a proposed capacity of 1. the plant’s waste heat will be harnessed for power generation by Tata Power Company. Land Rover's Defender. Hooghly Met Coke and Power Company (HMCPC) is a joint venture involving Tata Steel and the West Bengal Industrial Development Corporation (WIBDC). UK. and for sale in the domestic and international market.

implements and supports PLM products from leading solution providers such as IBM. analysis and production engineering. India. UGS and Autodesk. Infiniti Retail operates a national chain of multi-brand electronics stores under the brand name Croma. product lifecycle management (PLM).Location The company’s headquarters is in Kolkata. engineering and design services. the US-based company became a subsidiary of Tata Technologies in 2005. Europe and the Asia Pacific region. automotive and general manufacturing sectors. INCAT INCAT is a global leader in engineering and design services outsourcing and IT services. It operates mainly in the aerospace. enterprise resource planning and customer relationship management systems. Founded in 1989. the holding company of the Tata Group. The organisation also distributes. It is a wholly owned subsidiary of Tata Sons. It has more than 3. Areas of business INCAT's services include product design. enterprise solutions and plant automation. Location INCAT’s main offices are in Michigan (USA). 117 . Dassault Systèmes. knowledge-based engineering.000 employees at facilities in North America. The company is engaged in product and information lifecycle management. Pune (India) and Stuttgart (Germany).

The Croma chain The company has a technical and sourcing agreement with Australian retail giant Woolworths.000 products and 180 brands in eight categories: home entertainment. imaging and gaming software . 118 . a wide range of consumer electronics products across categories and brands. The stores are spread over 12.000 sq ft and have more than 6. in different cities of India. communication. small appliances. computers. Areas of business The Croma chain of stores offers. white goods.000 to 20. music. Under the arrangement Infiniti Retail owns and runs retail operations in India while Woolworths provides technical support and strategic sourcing facilities through its global network.

Jusco is the only Indian water company to have received recognition for its contribution to the development of water sector on the Indian subcontinent by London-based Global Water Intelligence in 2008. concession. etc. Muzaffarpur.Location Infiniti Retail is headquartered in Mumbai. Jusco was formerly a part of Tata Steel and has been providing municipal services for Jamshedpur since 1907. engineering and construction: Town planning. • Public health and horticulture services: Environmental management for healthy living. 119 . construction. maintenance and distribution of power. industrial construction and urban infrastructure. Jamshedpur Utilities and Services Company (Jusco The Jamshedpur Utilities and Services Company (Jusco) is India’s first private sector integrated civic services provider with a focus on water services. Bhopal. Gwalior. Areas of business • Water and waste water management: Operation and maintenance. Today the company works with several urban local bodies and is currently executing projects across the country in Kolkata. Haldia. • Power services: Operation. It was hived off as a separate company in 2003. etc of water and wastewater systems. Bangalore. • Planning. The company is also the first Indian water company to receive the prestigious 5th Asia Water Management Excellence Award in 2008 for its contribution towards the development and improvement of the water industry in Asia.

Pune and Vadodra. quiz shows. The company has an online e-store called landmarkonthenet. with over 100. Gurgaon. etc.com and its own distribution business (Westland) that supplies books to all Landmark stores as well as other retailers. home accessories. Bangalore. Landmark Landmark is one of the leading retailers of books and music in India. The chain also acts as an event host for book launches and promotions. music promotions.Location Jusco is located in Jamshedpur. Lucknow. it became a part of Trent. Mumbai. India. It also has an extensive range of regional publications and a comprehensive selection of music. gift items and toys. in 2005. Location Landmark is headquartered in Chennai and has stores in Ahmedabad. the Tata company that runs the Westside retail chain. Areas of business Landmark. Established in 1987 as a book retailer in India. 120 . Chennai. has a wide range of books across different segments.000 book titles. Its other products include magazines.

China. NatSteel became a part of Tata Steel in 2005. Location The company's bottling plant is at Dhaula Kuan in Himachal Pradesh. Malaysia. which is the only internationally accepted natural mineral water from India. Vietnam. Himalayan is bottled at source. multiplexes and restaurants. Thailand. Areas of business MEMW sources its water directly from an underground aquifer located about 130 metres below the earth's surface in the Shivalik range of the Himalayas. The Singapore-based company produces about 2 million tonnes of premium steel products. Nat Steel Nat Steel Asia is the leading provider of steel in the Asia Pacific region. The company bottles and sells natural mineral water under the brand name Himalayan. It has in seven countries: Singapore. India.Mount Everest Mineral Water (MEMW) Mount Everest Mineral Water (MEMW) became a part of Tata Tea in 2007. the Philippines and Australia. The company's clientele includes luxury hospitality chains. 121 . premium airliners.

Nelco Nelco is focused on system integration. wire rods. prefabricated cages. associates • • • • • • • • • Singapore: NatFerrous Pte. steel couples and ecomas starter bar systems. Southern Steel Bhd Philippines: Steel Asia Manufacturing Corp Thailand: The Siam Industrial Wire Vietnam: Nat Steel Vina United Arab Emirates: Middle East FZE Location The company is based in Singapore. NatSteel Trade International Australia: Best Bar Pty. NatSteel (Xiamen) Indonesia: PT Material Recycling Indonesia Malaysia: Easteel Services (Malaysia) Sdn Bhd. NatSteel Australia Pty China: Wuxi Jinyang Metal Products . defence electronics and VSAT networks.Areas of business The company makes reinforcement bars. subsidiaries. Joint ventures. power electronics. automation and product management solutions for industrial controls. wire mesh. 122 .

scanners. Areas of business Nelco caters to core industries such as defence. water distribution. • Energy network management systems: Develops and supplies SCADA systems for sectors such as electrical utilities. It now specialises in the areas of security and surveillance for defence and civil applications. including intrusion detection systems. • Tatanet network solutions: Provides VSAT-based networking solutions such as internet over VSAT. railways. SCADA (supervisory control and data acquisition system) projects. • Building management systems: Integrated building management systems. drives and automation.The company was established in 1940 to manufacture consumer electronic products for the Indian market. • Drives: Provides medium and low voltage AC drives for industrial use. The company operates the following business units: • Strategic electronics: Provides electronic-based solutions in the security and surveillance sectors. access controls and CCTV. bandwidth on demand. interactive distance learning. steel. steel plants. Also delivers server co-location and managed services facilities. oil and gas industries. electronics for locomotives. traction. including HVAC controls. and VSAT-based networks. paper and ceramics. IP multicast and digital streaming. railways. e-fencing systems. integrated security solutions. real-time and embedded software. fire alarms. • Traction electronics: Provides power electronics equipment to various works of the Indian Railways for passenger and freight AC locomotives. automobile. oil and gas. 123 . explosive detectors and weather management systems. cement.

The company was set up as a 51:49 joint venture between Tata Power and the government of Delhi in 2002. subsidiaries. NDPL has a consumer base of over 1 million customers and supplies a peak load of 1. Japan. with a manufacturing plant at Navi Mumbai. NDPL is a member of the UN Global Compact Charter. with a commitment to safety and environment issues. ISO 14001 and OHSAS 18001 company. It is also a certified ISO 9001. associates • • Nelito Systems: A joint venture with Itochu. It has instituted several customer-centric initiatives such as online bill payment. Tatanet Services: Operates the Tatanet VSAT network Location Nelco is based in Mumbai. automated bill payment kiosks and complaint management systems. India.Joint ventures. It has a countrywide sales and service network. 124 . Areas of business The company supplies power over a geographical area of more than 500sq km.150mw. North Delhi Power (NDPL) North Delhi Power (NDPL) is a power distribution company that operates in Delhi.

fungicides and plant nutrients for Indian farmers. including insecticides. Turbhe. plant-growth nutrients and seeds. Lote. fungicides.000 tonne litres per annum of formulations). 125 . Plants are located at Akola. The export basket includes technical-grade pesticides. Areas of business • The domestic formulation business caters to the crop protection and yield enhancement needs of the Indian farmers through a wide portfolio of products. • The domestic institutional business caters to the bulk and technical requirements of institutional customers. Rallis India Rallis India is one of India’s leading agrochemicals companies. The company has factories in five locations in India and a network of 1. herbicides. • The international business handles exports of pesticides to all parts of the world.000 tonnes per annum of technical grade pesticides and 30. India.500 distributors that reach more than 40.Location The company is located in Delhi. branded formulations and contract-manufactured products Location The company’s head office is in Mumbai.000 retail counters. It has the largest agrochemicals capacity in the country (10. Ankleshwar and Patancheru. herbicides. It has more than 150 years of experience in servicing rural markets and a comprehensive portfolio of pesticides. all in India.

food and beverages and farming. hospitality. Tata Africa Holdings Tata Africa Holdings. Tata Africa Holdings (SA) and Tata Ghana. Joint ventures. associates Some of the major Tata Africa companies are: Tata Zambia. steel and engineering. Tanzania. chemicals. Nigeria. Mozambique. Tata Holdings (Tanzania). South Africa. is an joint venture between Tata Steel and BlueScope Steel for manufacturing and marketing products in coated steel. it was established in Johannesburg. South Africa. information technology. Tata Zimbabwe. established in 2005. Tata Africa has offices in Ghana. 126 . the company operates in many industrial sectors. A subsidiary of Tata International. Tata Holdings Moçambique Lda. Tata Africa operates in several business sectors across Africa and has entered into joint ventures and partnerships with several African companies. The company is responsible for identifying development opportunities and promoting new projects. Location Tata Africa Holdings is headquartered in Johannesburg. Zambia and Zimbabwe Areas of business Employing over 750 people. Uganda. among them automobiles. Malawi. steel-building solutions and related building products. Kenya. subsidiaries. South Africa in 1994. The company is also interested in energy and mining.Tata Africa Holdings Tata Africa Holdings is the main promoter company of the Tata Group in Africa. Senegal.

More than 60 per cent of company sales come from exports. Chennai and Bhiwadi. at Pune. large institutions and communities. 127 . the coated steel business markets metallic coated and pre-painted steel for the building and construction industry.Based in Australia. BlueScope Steel is the global leader in high-quality metallic coated and painted steel products for building and construction. India. The building solutions division has three manufacturing facilities. rollformed roof and wall-cladding solutions and related building components. general manufacturing and the automotive sector. one of the largest solar energy companies in the world. Areas of business Tata BlueScope Steel has two business divisions: buildings solutions and coated steel. and a network of 20 sales offices. Tata BP Solar India Tata BP Solar India offers innovative solar solutions that cater to the needs of individual customers. The company was set up in 1989 as a joint venture between Tata Power and BP Solar. Location The company’s head office is in Pune. The building solutions business markets pre-engineered buildings. mostly to Europe and America.

Location The company’s head office and manufacturing facilities are in Bangalore. Road-safety aids.000 customer touch-points covering tier I. tier II and tier III cities. streets and communities. The company is focused on providing multiple financial services through an extensive network of over 1. Heating of water for residential and commercial applications.Areas of business Tata BP Solar provides customised solar solutions for: • • • • • Homes. The building of integrated photovoltaic capacities. It was established in 2007 as a wholly owned subsidiary of Tata Sons and is registered with the Reserve Bank of India as a systemically important non-deposit taking non-banking financial company (NBFC). Tata Capital Tata Capital is a finance company that fulfills the financial needs of retail and institutional customers in India. 128 . The pumping of water for irrigation.

agricultural inputs and agricultural enterprises. 7. Commercial finance: Financial products for small and medium enterprises. 2. Rural finance: Relevant financial products for rural customers. used car loans. 3. It has also entered into an understanding with Equifax Inc and CRISIL to develop plans to create a credit information company in India. Distribution and broking: Third-party investment products. Investment banking: Advisory and debt and equity market products for corporate and small and medium enterprises. including financing of farm equipment. structured finance and other business areas such as wealth management. and project finance for capital equipment and infrastructure. 6. investment banking including cross border merger and acquisition. 129 . personal loans. credit cards and consumer durable loans for retail customers. Wealth management: Suite of advisory and investment offerings for high net worth individuals. home loans. securities business including broking and distribution. equity and commodity trading for retail and institutional customers. The company has entered into an understanding with Japan-based Mizuho Securities Co to promote an alliance in private equity. Retail finance: Passenger and commercial vehicle loans. Private equity: Investments in India and other countries.Areas of business Tata Capital has financial products and services in the following seven sectors: 1. 5. 4.

TSL distributes thirdparty investment products and offers stock broking services of buying. The company's products are exported to Australia. associates • Tata Securities (TSL): A wholly owned subsidiary of Tata Capital Limited engaged in retail and institutional distribution and broking. New Zealand. Location The company is headquartered in Mumbai. Tata Sons and others. Germany. in its capacity as a member of the Bombay Stock Exchange and the National Stock Exchange. • Tata Capital also owns around 4 per cent of equity capital of Development Credit Bank. a growing private sector bank. selling or dealing in securities. TCML has a category I merchant banking license from the Securities and Exchange Board of India. owned by Tata Capital. subsidiaries. South Korea. 130 . India. the UK and the US. Ireland. Italy. including futures and options. It also sells to institutional customers. TSL is also a depository participant. • Tata Capital Markets (TCML): A wholly owned subsidiary of Tata Capital engaged in debt and equity capital markets and M&A advisory. The company was incorporated in 1991 and is an associate company of Tata Power. Canada. • e-Nxt: A KPO unit specialising in the area of financial services.Joint ventures. Tata Ceramics Tata Ceramics produces and sells fine-bone china crockery and tableware in India and other markets.

making the conglomerate the second largest soda ash producer in the world. food additives.Areas of business The company's range includes hollow ware. Location The Tata Ceramics factory is in Kochi. dyes. It exports to markets in Europe. Royal Doulton and Churchill. bromine and bromine based compounds and gypsum. caustic soda. over the last few years. invested in increasing its stake in the global soda ash business. Kerala (southern India). South East Asia and the Middle East. in an international range of designs. The company also makes food additives and fertilisers and has a varied user industry base comprising glass. salt. direct farm application. Tata Chemicals (TCL Tata Chemicals (TCL) is the second largest producer of soda ash in the world. refining. Areas of business • Chemicals: The range of chemicals produced at the company’s integrated complex at Mithapur includes soda ash. • Fertilisers: The company manufactures nitrogenous fertilisers at the Babrala plant. TCL has. NPK complexes and single super phosphate. The china is sold to reputed brands such as Wedgewood. petroleum. cement. paper. textiles. sodium bicarbonate. pesticides. It is India's market leader in the branded and iodised salt segment as well as in urea and phosphatic fertilisers. 131 . The company’s plant at Haldia produces phosphatic fertilisers like diammonium phosphate. etc. chemicals. Established in 1939 at Mithapur in the Indian state of Gujarat. flat ware and mugs in fine-bone china and fine china. Africa. It has acquired UK-based Brunner Mond group and American company General Chemical Industrial Products Inc.

the Netherlands and the US. subsidiaries. the nitrogenous fertiliser facility is in Babrala and the phosphatic fertiliser plant is in Haldia. TCL manufactures four varieties of salt. Kenya. The centres are one-stop resource centres for farmers Joint ventures. acquired in 2006. • General Chemical Industrial Products Inc: US-based soda ash manufacturer. TCL's cement and salt facilities are in Mithapur. • Agri-services: The company has set up a network of Tata Kisan Sansars (or Tata farmer centres) in the northern Indian states of Uttar Pradesh. the UK. to start a fruits and vegetables distribution business in India. The soda ash plants are located in India. Haryana and Uttaranchal. and has over 40 per cent market share in the branded salt segment in India. set up in 2005. Ireland. 132 . acquired in 2008. Punjab. Location TCL is headquartered in Mumbai. • Indo Maroc Phosphore SA: An equal partnership with Chambal Fertilisers and global phosphate major. India. associates • Brunner Mond group: The UK-based company is Europe's second largest soda ash business. the third largest fruits and vegetable distribution company in the world.• Food additives: TCL’s food additives business has two premium products: branded salt and sodium bicarbonate. iodised salt. • Khet Se Agriproduce India: A 50:50 joint venture set up in 2007 with Total Produce. OCP of Morocco. crystalline salt. vacuum salt and pure salt.

Tata Power Trading Company (TPTC) Tata Power Trading Company (TPTC) is in the business of trading power units in India. Tata Sky Tata Sky. The company can now. captive power plants and state-owned electricity boards. Areas of business TPTC was initially allotted a category ‘A’ licence. trade in higher volumes without any upper limit. It was incorporated in 2003 as a wholly owned subsidiary of the Tata Power Company. back in June 2004. which restricted it to trades up to 100 MUs. the Power and Electricity Department of Government of Mizoram. the Damodar Valley Corporation. the Madhya Pradesh State Electricity Board. The company was incorporated in 2004 and offers a range of media and entertainment options to customers. the West Bengal State Electricity Board. Its trading partners include the Maharashtra State Electricity Board. 133 . TPTC sources surplus power from various states and private-sector power generation utilities. with an equity capital of Rs2 crore. TPTC was the first company in India to receive a power trading licence from the Central Electricity Regulatory Commission. by enhancing its equity base to Rs20 crore. the Haryana Power Generation Corporation and Delhi Transco. Location TPTC has its office in Mumbai. This licence was elevated to category ‘F’ to cater to the requirements of a growing business. provides satellite television services to Indian viewers. an 80:20 joint venture between Tata Sons and the Star group.

news. bulk tea. 134 . The Tata Tea The Tata Tea group is the world’s second largest global branded tea operation with a presence in over 60 countries. chat rooms. recipes. Set up in 1964 as a joint venture with the UK-based James Finlay and Company. Good Earth and JEMCA. Areas of business • Branded tea: The company has five major brands in the Indian market — Tata Tea. the company has three call centres (Pune.500 towns in India Location Based in Mumbai. The prominent companies in the group are Tata Tea. the group has operations in branded tea. the UK-based Tetley group and Tata Coffee. green. Chandigarh and Hyderabad). The Tata Tea brand leads in volume market share in India while the Tetley brand is the second-largest teabag brand in the world. learning. The group has interests in South African tea company Joekels Tea Packers and Polish tea brands Vitax and Flosana. • Specialty tea: Tata Tea sells black. It has state-of-the-art digital infrastructure and a retail network that covers more than 4. movies and interactive services for games. Chakra Gold and Gemini — catering to all major consumer segments for tea. etc. coffee and other beverages.2 million retail outlets. and also has plantations. Tata Tea’s distribution network in the country caters to over 1. Kanan Devan. Tetley. fruit and herbal teas under the brands of Tetley.Areas of business Tata Sky's direct-to-home satellite platform delivers more than 100 television channels.

has worldwide branded tea operations. • Plantation operations: The company has over 50 tea estates in India. supplies basic instant tea powders in bulk to manufacturers. • Coffee: Tata Coffee produces 9.000 million tonnes of instant and ground coffee annually. • Other beverages: Ready-to-drink teas. Tata Coffee: Formerly Consolidated Coffee. subsidiaries. 135 . as well as interests in Sri Lankan plantations. • Tata Tetley: A subsidiary of Tata Tea. Eight O'Clock Coffee is the third-largest coffee brand in the US. USA. It has an exclusive stocking arrangement with the Barista range of coffee bars. runs an export unit that supplies instant tea powders to the US. a subsidiary of Tata Tea. • Tata Tea Inc: A subsidiary of Tata Tea based in Florida. • Watawala Plantations: Tata Tea has a substantial interest in this Sri Lankan plantation company.• Instant tea: Tata Tetley has an export unit that sells a range of instant tea powders in the US. energy drinks and Himalayan branded mineral water are a part of Tata Tea's portfolio. • Tetley Group: UK-based tea major. Tata Tea is also associated with the following companies: • Mount Everest Mineral Water Company: Producer of the Himalayan brand of bottled mineral water. Joint ventures. associates • • Eight O’Clock Coffee: Acquired by Tata Coffee.

an online learning system used by more than 90. iKnowledge Solutions (formerly Cadpo) became a subsidiary of Tata Technologies in 2006. UG /NX. Canada.000 members and 5. • Zhejiang Tea Export and Import Company: Tata Tea has recently signed a joint venture contract with this Chinese company to manufacture polyphenols and instant tea extracts. Teamcenter. SolidWorks. Tata Technologies Tata Technologies iKS is the world's leading provider of engineering knowledge and training. Established more than 15 years ago. the US. Solid Edge. 136 . It has plants and facilities in the UK.• Kanan Devan Hills Plantation Company: Produces and manufactures black tea out of 18 estates in Kerala. Poland. distribution. a product that addresses data quality and standards compliance. Location The company is headquartered in Kolkata. Russia. Pro / ENGINEER Wildfire. India. COSMOSWorks and CATIA on a single delivery platform. the company provides solutions related to the acquisition. Inventor. Pakistan.000 enterprises Areas of business TM is a comprehensive online learning system that provides engineering knowledge delivery for AutoCAD. and knowledge-based engineering products. Bangladesh and South Africa. The company is internationally known for its flagship product — i get itTM. certification and verification of engineering knowledge to the world's top manufacturing organisations. Renamed Tata Technologies iKS. India. Australia. The company also offers iCHECK.

and the government mint. engineering forgings and forged rolls. Egypt. Oman. Singapore . Indonesia. Taiwan. South Africa. Tayo Rolls manufactures state-of-the-art rolls for modern flat and long product rolling mills. Belgium. Bangladesh. Tayo Rolls has set up a mini blast furnace of 40. New Delhi. UAE. It has also been exporting rolls to Australia. USA. New Zealand. The company was promoted in 1968 by Tata Steel in collaboration with Japanese companies Yodogawa Steel Works and Nissho Iwai Corporation (since merged with Sojitz Corporation). Tayo has a license and know-how agreement with Sheffield Forgemasters International. Canada. Kazakhstan. Its headquarters is in Colorado.000 tpa for the manufacture of pig iron. India and Ireland. As a part of its backward integration. Trinidad.Location The company has offices in Singapore. for the transfer of technology to manufacture forging quality ingots. 137 . rubber. Saudi Arabia. Czech Republic and the US. UK. Norway. Austria. Tayo Rolls Tayo Rolls is a market leader in the manufacture and supply of cast and forged steel rolls. Nepal. Areas of business Tayo Rolls is a one-stop shop for both cast and forged rolls. textile and food processing sectors. the paper. Its customers include key integrated steel plants and rolling mills. Germany. Romania. including round ingots. The company has diversified into the production of special castings for use in power plants. Sweden. forged bars. Qatar.

with a strong portfolio of black. acquired in 2006. decaffeinated and ready-to-drink teas. has one of the largest teabag factories in the world.Location The company's plant is located at Gamaria. 138 . The group is in the worldwide branded and packaged tea business and Tetley is the second-largest teabag brand in the world. India. trademarks acquired in 2007. Every year over 60 branded teas are blended and packed for sale in over 67 countries. acquired in 2006. organic. acquired in 2005. Tetley is the UK’s favourite brand and is also the brand leader in Canada. The group was acquired by Tata Tea in 2000. green and fruit and herbal teas. • Joekels Tea Packers: A South African tea company that manufactures and sells a strong portfolio of brands spanning the economy and mainstream tea sectors. fruit and herbal teas. making Tetley the No 2 brand in the Polish tea market. Areas of business Tetley makes a vast range of teas. in Jharkhand. red. • JEMCA: The leading tea company in the Czech Republic. • Vitax and Flosana brands: Leading brands in Poland. Tetley was established in 1837. which introduced the teabag to the UK in 1953. including black teas. Joint ventures. associates • Good Earth Corporation: A herbal and specialty tea business with an established base in the US west coast. subsidiaries. The company. The Tetley Group The Tetley Group is an overseas subsidiary of Tata Tea. iced. green. about 16km from Jamshedpur.

tea-buying operations in Kenya and Malawi. the company established the Indian Institute of Hotel Management in Aurangabad in Maharashtra in western India. West London. near Darlington in the northeast of England. The latest additions to the Taj portfolio are The Pierre. Poland and the US. Its flagship property continues to be the Taj Mahal Palace in Mumbai. The Indian Hotels Company (IHCL) The Indian Hotels Company (IHCL) is India’s largest hospitality enterprise. the company runs more than 70 hotels under its umbrella brand of Taj Hotels Resorts and Palaces in India and overseas. the Czech Republic. In 1993.Location The Tetley group has its headquarters in Greenford. the Taj Boston. Campton Place in San Francisco and the Blue in Sydney. 139 . IHCL is the main promoter company and owns about a third of the Taj group's inventory of rooms. and joint ventures in Pakistan and Bangladesh. Canada. Established in 1903. The manufacturing facility is located at Eaglescliffe. New York's iconic hotel. It has commercial operations in Australia.

Its other products include: • • • spa therapies under the brand name Taj Spas. Australia and Africa. the UK. India. subsidiaries. • airline catering services. leisure hotels and business hotels. • Taj Air. and Taj Yachts. the US. 140 . three-bedroom luxury yachts. service apartments. a subsidiary of Singapore Airlines. Joint ventures. • Roots Corporation: A wholly owned subsidiary that operates the Ginger chain of budget hotels in India. Location IHCL’s head office is in Mumbai. wildlife tourism in collaboration with CC Africa.Areas of business The Taj group operates three business units: luxury hotels. associates • TajSats Air Catering: The largest airline catering service in South Asia and a joint venture with Singapore Airport Terminal Services. a luxury private jet operation. Taj properties are located in Asia.

since then.Titan Industries Titan Industries. The jewellery division has an exclusive design studio. lenses. The flagship brand is Titan and there are a number of sub-brands that cater to strong customer segments. offering a range of gold and platinum jewellery. sunglasses. • Precision engineering division: This unit supplies precision components to the avionics and the automotive industry. It has. It also manufactures dashboard clocks for car manufacturers in Europe and America 141 . a manufacturing company. with a network of 750 service centres. jewellery. It is available in more than 100 boutiques in 70 cities across India. accessories and contact lenses). Titan's after sales service is a benchmarked operation. selling Fastrack sunglasses and a range of prescription eyewear (frames. The company has a world-class design studio for watches and accessories. embellished with precious stones. produces India's largest and bestknown range of personal accessories: watches. • Jewellery: Tanishq is India's largest jewellery brand. • Watches: Titan currently has four main watch brands. sunglasses and prescription eye wear. grown to become the largest watch manufacturer in India and the sixth largest in the world. The company was established in 1984 as a joint venture between the Tata Group and Tamil Nadu Industrial Development Corporation. jewellery. The company also markets Tommy Hilfiger and Hugo Boss products under licensing arrangements. eyewear and precision engineered components. • Eyewear: Eye+ is Titan's new division. Areas of business Titan has four main business units: watches.

market and service Virgin Mobile products in India. making it one of the largest retail chains in the country. Titan has manufacturing and assembly operations in Hosur (Karnataka).Location Headquartered in Bangalore. The organisation was set up in 2007 to focus on telecom services for the youth market. India. 142 . The Virgin Mobile Group has created internationally recognised brands in mobile telephony. Tata Teleservices is one of India's leading telecom service providers. Dehradun (Uttarakhand). and music. with a customer base of over 23 million. transportation. Areas of business Virgin Mobile India will design. Roorkee (Uttarakhand) and Baddi (Himachal Pradesh) and a plant in Goa. The company has more than 200 exclusive showrooms across 112 Indian cities. Virgin Mobile India Virgin Mobile India is a brand franchise association between the Virgin Mobile Group and Tata Teleservices to launch the Virgin Mobile brand of services in India. travel and leisure. The brand will be available in 20 telecom circles and will be serviced by nine centres across nine Indian cities.

Voltas Voltas is among India's leading air-conditioning. spanning office complexes. airports. refrigeration and engineering services companies. • Cooling appliances: Design. Central Asia. Voltas is India's largest supplier of engineering products and services for the textile machinery sector and is a major manufacturer of forklift trucks. hospitals. mercantile ships. The company has ISO 9001-2000 certification and has executed projects in the Middle East. • Engineering products and services: Design. Areas of business The company mainly operates in the following areas: • Heating. 143 . installation. etc of engineering products and services in the fields of textile machinery. maintenance. IT parks. Africa and Europe. training. mining and construction equipment and materials handling equipment. It provides solutions in turnkey pumping projects for water. etc. manufacture and marketing of a range of air conditioners and water coolers for household and institutional use.Location The company is headquartered in New Delhi. Set up in 1954. sourcing. atomic energy plants. ventilation and air-conditioning (HVAC) solutions: Includes the entire range of mechanical. effluent and sewage treatment. Southeast Asia. machine tools. its core competencies lie in air conditioning and cooling appliances and services. India. and water pollution control. electrical and plumbing services for a diverse range of applications. malls.

Hong Kong and Singapore. Location Voltas has its head office in Mumbai and regional offices in several major cities in India. The company has factories at Thane (Maharashtra).• Chemicals: Import and distribution of an array of industrial. associates Voltas's subsidiaries include Metrovol FZE. the union territory of Dadra and Sanathnagar (Andhra Pradesh). The company also exports gelatine. ultramarine blue and agrochemicals. 144 . Weathermaker. all in India. specialty and pharmaceutical chemicals. Its overseas offices are in Abu Dhabi (UAE). Jebel Ali (Dubai). Joint ventures. VIL Overseas Enterprises BV. Simto Investment Company and Auto Aircon (India). subsidiaries. Voice Antilles NV. industrial plastics and bulk drugs.

396 0.8 145 .7 Tata Motors 11.144 2. Resorts and Palaces 3.508 0.1 Taj Hotels.492 3.Market capitalisation of Tata companies Market capitalisation of 13 Tata Group companies as on 8th October Name of the Company Tata Consultancy Services Rs.5 Tata Steel 24.831 0.1 Tata Communications 13.490 $ billion 11.1 Tata Elxsi 323 0.4 Voltas 2.6 Tata Tea 3. Cr 53.716 5.7 Tata Power 17.564 2.

8 3.Titan 0.2 Tata Chemicals 4.8 Rallis 485 0.955 Trent 754 0.00 146 .005 0.1 Note: Exchange rate $ = Rs48.

These missions have visited companies such as Microsoft. Tata Innovation Day: Instituted to encourage creative thinking. this annual event and contest recognises and awards innovation among Group companies. The three key drivers are better communication and recognition of innovative ideas and efforts. Intel. propagate the relevant ones and spread them through the enterprise. One of the key drivers of this critical transition has been innovation The Group looks at innovation as a strategic approach to global growth and has adopted a three-pronged strategy to encourage it. Olympus. HP and 3M in the US.INNOVATION Overview In the last few years the Tata Group has extended its global footprint. Clayton Christensen. just as it has enhanced its performance and competitiveness. facilities for learning from other companies. Langdon Morris and David Wittenberg are among those who have held such workshops in the recent past.and Nissan. Tata Innovation Mission: Under this programme. and support for collaborative research and partnerships with academic institutions. Fuji. Innovation workshops: Tata Quality Management Services invites experts to talk about various aspects of innovation and share best practices with Tata managers. Ito En. Toshiba and Hitachi in Japan 147 . The role of TGIF members is to assist their companies in experimenting with ideas.senior Tata executives visit global companies to study how they foster innovation. Communication and recognition A number of initiatives have been launched to spread the message of innovation and recognise innovators: • • • • Tata Group Innovation Forum (TGIF): This initiative brings together a community of ‘innovation enthusiasts’ from across Tata companies.

Titan R Ramanan. Tata Management Training Centre PS Viswanathan. innovation experts and academicians. Tata Quality Management Services Ravi Arora. Tata Quality Management Services Innovation workshops TGIF invites academics and other experts in the field to conduct workshops and seminars which introduce new innovation concepts and tools and stimulate innovative thinking among Tata managers. Group HR B Bowonder. chairman of the forum. 148 . Tata Consultancy Services Sunil Sinha. TGIF members comprise senior executives of the Tata Group. Tata Consultancy Services Murali Sastry. The team is headed by R Gopalakrishnan.Tata Group Innovation Forum The objective of the Tata Group Innovation Forum is to help create a culture that fosters innovation in Tata companies Managed by Tata Quality Management Services. Tata Motors European Technical Centre Satish Pradhan. Tata Chemicals B Shiva. the Tata Group Innovation Forum (TGIF) organises a number of events and workshops to facilitate interaction among Tata companies and stimulate innovative thinking. Tata Teleservices Clive Hickman. and has the following members: • • • • • • • • • • • • Homi Khusrokhan. CMC Vinayak Deshpande. Tata Chemicals Bhaskar Bhat.

Thought leadership In order to capture and disseminate the learning from various initiatives. 149 . while also covering the Tata innovation missions to the US and Japan. Technology and research clusters To create opportunities for technological innovation. Innovation awards TGIF celebrates ‘Tata Innovation Day’ to recognise innovators in the Tata Group. and undertakes a technology mapping exercise. TGIF brings together technologists and researchers from different Tata companies. the Tata Management Training Centre in Pune and the Group Publications unit at Tata Sons have been bringing out publications that feature innovation case studies from across the world.

construct and operate power projects in the domestic and international markets. two gas-fired projects (10.220 MW). an Indian private sector power utility company along with the Anil Dhirubhai Ambani Group promotes Reliance Power. it is presently developing 13 medium and large-sized power projects with a combined planned installed capacity of 28.080 MW) and northeastern India (2.COMPETITORS Reliance Power Limited. 150 .000 MW). About the company The company was incorporated in January 1995 as Bawana Power Private Limited and changed its name to Reliance Delhi Power Private Limited in February 1995. northern India (9. Later. it changed its name to Reliance EGen Private Limited in January 2004. three of them in Arunachal Pradesh and one in Uttarakhand. A part of the Reliance Anil Dhirubhai Ambani Group. to Reliance Energy Generation Limited in March 2004.900 MW) and southern India (4. and four hydroelectric projects (3. They include six coal-fired projects (14.300 MW).200 MW.[1] The company website identifies project sites broadly to be located in western India (12. Along with its subsidiaries. Reliance Energy Limited. and to Reliance Power Limited in July 2007.280 MW) to be fueled primarily by reserves from the Krishna Godavari Basin (the "KG Basin") off the east coast of India. was established to develop.620 MW) to be fueled by reserves from captive mines and supplies from India and abroad.

080 MW) and northeastern India (2. They include six coal-fired projects (14.Business Profile Reliance Power Limited is part of the Reliance Anil Dhirubhai Ambani Group and is established to develop. The 7. fuel type.000 MW each at Sasan in Madhya Pradesh and Krishnapatnam in Andhra Pradesh. We intend to sell the power generated by these projects under a combination of longterm and short-term PPAs to state-owned and private distribution companies and industrial consumers 151 . northern India (9.280 MW) to be fueled primarily by reserves from the Krishna Godavari Basin (the "KG Basin") off the east coast of India.200 MW.300 MW). Reliance Power has acquired the two ultra mega power projects of 4.000 MW).900 MW) and southern India (4. three of them in Arunachal Pradesh and one Uttarakhand. and four hydroelectric projects (3. fuel source and off-take. and each project is planned to be strategically located near an available fuel supply or load center. Our 13 power projects are planned to be diverse in geographic location. construct and operate power projects domestically and internationally. The identified project sites are located in western India (12. one of the largest portfolios of power generation assets under development in India.220 MW). The Company on its own and through subsidiaries is currently developing 13 medium and large sized power projects with a combined planned installed capacity of 28. two gas-fired projects (10.620 MW) to be fueled by reserves from captive mines and supplies from India and abroad.480 MW project to be located at Dadri in Uttar Pradesh is expected to be the largest gas-fired power project at a single location in the world.

consists of the most modern. ecofriendly steel plants with the latest technologies for both upstream & downstream processes. JSW Steel Ltd. is one among the largest Indian Steel Companies in India today.Forging ahead. has received all the three certificates • • • • • Hot Rolled Product Cold Rolled Product Galvanised Product Pre-painted Galvanised Product Jindal Vishwas 152 . JSW Steel Ltd. JSW Steel Ltd. India’s third largest steelmaker.

Bharti Airtel
Airtel comes to you from Bharti Airtel Limited, India’s largest integrated and the first private telecom services provider with a footprint in all the 23 telecom circles. Bharti Airtel since its inception has been at the forefront of technology and has steered the course of the telecom sector in the country with its world class products and services. The businesses at Bharti Airtel have been structured into three individual strategic business units (SBU’s) Mobile Services, Airtel Telemedia Services & Enterprise Services. The mobile business provides mobile & fixed wireless services using GSM technology across 23 telecom circles while the Airtel Telemedia Services business offers broadband & telephone services in 94 cities. The Enterprise services provide end-to-end telecom solutions to corporate customers and national & international long distance services to carriers. All these services are provided under the Airtel brand. Airtel comes to you from Bharti Airtel Limited, India’s largest integrated and the first private telecom services provider with a footprint in all the 23 telecom circles. Bharti Airtel since its inception has been at the forefront of technology and has steered the course of the telecom sector in the country with its world class products and services. The businesses at Bharti Airtel have been structured into three individual strategic business units (SBU’s) Mobile Services, Airtel Telemedia Services & Enterprise Services. The mobile business provides mobile & fixed wireless services using GSM technology across 23 telecom circles while the Airtel Telemedia Services business offers broadband & telephone services in 94 cities. The Enterprise services provide end-to-end telecom solutions to corporate customers and national & international long distance services to carriers. All these services are provided under the Airtel brand.

153

Business Divisions MOBILE SERVICES Bharti Airtel offers GSM mobile services in all the 23-telecom circles of India and is the largest mobile service provider in the country, based on the number of customers. INTERNET The group offers high speed broadband internet with a best in class network. With Landline services in 94 cities we help you stay in touch with your friends & family and the world The group focuses on delivering telecommunications services as an integrated offering including mobile, broadband & telephone, national and international long distance and data connectivity services to corporate, small and medium scale enterprises. The Company compliments its mobile and broadband & telephone services with national and international long distance services. It has over 35,016 route kilometers of optic fibre on its national long distance network. For international connectivity to east, it has a submarine cable landing station at. For international connectivity to the west, the Company is a member of the South East Asia-Middle East-Western Europe – 4 (SEA-ME-WE-4) consortium along with 15 other global telecom operators.

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EXPORT Exports surpass target in 2007-08
India succeeded in surpassing its export target of $160 billion in the last fiscal (2007-08), as per the latest date released by the Directorate General of Commercial Intelligence and Statistics. The cumulative value of exports for 2007-08 stood at $162.9 billion, registering a growth of 29.02 per cent over the same period last year, while in rupee terms, it reached a level of Rs. 6.55-lakh crore as against Rs. 5.71lakh crore, a growth of 14.71 per cent.

Major drivers
The major drivers of exports during the period were engineering goods (27.34 per cent), petroleum products (51.97 per cent), gems and jewellery (23.27 per cent), agriculture and allied products (55.51 per cent) and ores and minerals (30.34 per cent). Exports of textiles, handicrafts and sports goods, which were badly hit during 2006-07 due to appreciation of the rupee vis-a-vis the U.S. dollar since September 2006, showed improvement in their performance during the year, the data said.

Tata Motors profit up at Rs1,913 crore
Tata Motors has announced a net profit of Rs. 2,028.90 crore for 2007-08, an increase of 6 per cent over the previous year’s Rs. 1,913.46 crore. The company’s margins were under pressure during the year due to rising interest rates, constraints in availability of vehicle financing from outside sources and unprecedented increase in input prices. The company had focussed on cost reduction measures but there have been delays in the introduction of two new products, which are soon to be launched.

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Total sales volume (including exports) was at 5.86 lakh units (5.80 lakh units), which is the highest ever for the company. The company maintained its leadership position in commercial vehicles and was among the top three in the passenger vehicles, although it lost some market share. In the domestic market, commercial vehicle sales increased by 4.8 per cent to 3.13 lakh units and passenger vehicle sales declined by 4.5 per cent to 2.18 lakh units. Also, after six years of consecutive growth, 2007-08 saw a 5.3 per cent decline in the company’s sales volume due to heightened competition and other factors. The company has maintained the dividend at Rs. 15 per share of Rs. 10 each for 2007-08. . A new plant at Pant Nagar (in Uttarakhand) for Ace and the Magic range went on stream during 2007-08. Construction activity is on at Singur (in West Bengal) for Tata Nano and at Dharwad (in Karnataka) for buses to be made by the company’s joint venture, Tata Marcopolo Motors. The plants in Pune, Jamshedpur and Lucknow are undergoing expansion and modernisation. Addressing the media here on Wednesday, Ravi Kant, Managing Director, Tata Motors, said the investment over the next four to five years would be Rs. 10,000 crore. “We have plans to introduce around 100 product/variants over the next 4-5 years. The World Truck product will be launched by the end of this year and the platform will unfold over the next 12-15 months. It will be launched simultaneously in India and Korea. The bus plant at Dharwad will probably be the largest bus manufacturing facility in the world,” he said. Over the next 12-18 months, the company will be introducing variants of Ace, Marcopolo buses, the World Truck which is a medium and heavy commercial vehicle by Tata Daewoo, defence vehicles and ready to use solutions. Among the passenger vehicles, the company will introduce versions of Sumo Grande, a new Indica, Nano, Crossover, New Indigo, a new utility vehicle platform and the Fiat Punto and Fiat Linea from Fiat.
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History is full of examples of industrial groups that thrived in the industrial RAJ but failed to adjust to the competitive era of the liberalized economy.Impact of LIBERALIZATION. 157 . GLOBALIZATION AND PRIVATIZATION on the Current and Future Business Prospectus Restructuring Initiatives. corporate India was hit by the negative effects of facing up to global competition.Successes and challenges As the initial europium of opening off the company since 1991 subsided. On the other hand. Tata group had three elements to restructuring the organization: 1. Tata group is probably the best example of a group that has gone through substantial restructuring over the past few years and had survived the slowdown in economy and the lower margins. Tata group is one of them who had changed themselves according to the liberalization demand. Changing the group ethos: Restructuring of Tata group is more interesting because the issues were not only of adjusting to a different economic environment but also of trying to make a group more cohesive. Global deflation and reduced margins earlier strategies report that corporate India was left with only one option-restructure and cut costs or perish. there were groups that restructured themselves and survived and have prospered in the greater freedom that they now enjoy.

However. 2) Restructuring of companies internally: This included cutting costs and improving efficiencies to make the companies viable in the new economic environment. There is now a common code of of operation in the group that is followed by all the companies and reflects what the Tata brand name should stand for. However there was no formal set of values running across the various companies in the group. One of the anecdotes a decade ago used to be the fact that Birlas have a higher in TISCO than the TATAS. For most investors this is the most visible and existing part of restructuring of a company or a group. c) Crating a common brand equity: The Tata name has historically been associated with a reputation for honesty and integrity. They now have a stake at least 26% in all major companies making it morally and legally easier to manage them. we must remind investors that given the protected nature of the economy. which each company adopt. it was more important to create the psychological frame-work so that there was minimum resistance to the changes that were being implemented at the company levels. b) Raising ownership limits: The Tata managed most of the companies with very small stakes. d) Creating common standards: This involved having a common quality standard. so that the consumer had the assurance of getting a certain minimum from any Tata product.A)Greater say in management of companies: The Tata group operated as a confederation of loose entities where the professional management of each of the Tata companies in operation had total control on the companies and ran it as their felfdom. 158 .

Restructuring of the product portfolio again was not an easy exercise. 159 . While this is commonly accepted in western countries. Tata to sell out of businesses. the group has been an active bidder in the government privatization process. The report card We believe the restructuring of businesses has made the Tata group leaner and more competitive. Greter aggression in the group: The group has traditionally been a conservative group and has tented to be slow in decision making. Pace of restructuring-slow but irresible: Investors have often raised concern on the pace of restructuring. There are enough signs. the bigger challenge was changing the mid-set of the people internally so that they accept the restructuring process. Apart from some of the restructuring initiatives highlighted above. The Tata group comprised 85 companies in 45 industry group. we agree that the pace could have been hastened.3) Restructuring of the product portfolio: It was said that restructuring of the product portfolio of the group by identifying seven core businesses that did not fit with in these seven years. as can be gauged by the fact that there was a need to start with the basic fact of taking an inventory of the companies constituting the Tata group. While investors do tend to criticize the pace of being too slow. It has bagged two companies – VSNL and CMC amongst tough competition. in India. asset ownership was taken as a benchmark of power and progress amongst corporate. we believe the willingness to sell businesses and the divestment of businesses ecxeeds that of any other group in India. traditionally. Restructureing of the product portfolio of the group by identifying seven core business that did not fit within these seven years. Divestment and Acquisition Accepted By The Group Willingness To Sell Businesses: We believe the greatest positive of the Tata group restructuring has been the willingness of Mr. however that this has changed. While in hindsight.

consist of deductions from individuals' primary incomes (e. or remittances from other family members. 160 . brand businesses and services are playing a more significant role. In FY 1991. In particular.g.Shifting Group To Knowledge Based Sectors Inability of businesses to earn retuns greater than cost of capital: Another criticism has been the inability of some of the key businesses of the group to earn return on capital employed greater than the cost of capital. or public goods.g. a further set of theoretical considerations is crucial.. In examining inequalities within countries. While the commodity businesses are more cyclical. on the other hand. Now they account for one fifth of sales in terms of profit similarly. or additions to income such as through pensions provided by the state. through taxes). Primary incomes are those generated by the economic system (e. brand businesses accounted for around one fifth of sales. Secondary incomes are thus affected by changes in government taxation and expenditure policies and by access to publicly provided goods and services. wages or dividends) and these are affected by the impact of changes in the structure of the market on the incomes people earn. Shift from generic-driven to brand led business: The group has also been making a conscious shifts towards bards driven businesses and services. provided mainly by the state.. Liberalization Growth rates are affected by liberalization but they also depend on other factors. profits in IT services have secular growth. in looking at distributional outcomes it is vital to distinguish primary incomes from secondary incomes. but also by nongovernmental organizations (NGOs) and families. such as savings and investment rates and education policy. Secondary incomes.

VSNL was stripped of Rs. in practice. In this manner. and the total works out to Rs.111 crores.425 crores.741 crores of the company's reserves.1. through which step.1.761. A Tata-dominated board decides to use VSNL's cash reserves to invest in Tata Teleservices. VSNL was made to pay out a special dividend of 750 per cent. 161 . Here again. Add to this the Rs. but could have through its own investments integrated with the consumer. In hindsight. The total dividend VSNL would have paid out at that time would.5 crores . In addition.200 crores that VSNL is investing in TTSL. the government got VSNL to pay out a dividend of 500 per cent.136. it mopped up Rs. Prior to VSNL's disinvestment. perhaps forged by the decision to hand the firm over to the private sector. the total dividend paid out by VSNL would have been Rs.5 crores.2.561. without resorting to strategic sale the government could not only have retained control of a profitable telecom major like VSNL.4. the government's decision not to give VSNL a basic services licence was a way of preventing it from exercising this option.which is more than the total equity capital of TTSL.5 crores of its cash reserves prior to privatisation.3. which gave the government Rs.1. given its 52 per cent equity holding. based on these figures.Privatization The Tata Sons takeover of Computer Maintenance Corporation shows that it is possible to privatise without controversy. thus becomes a means through which public resources are used to finance private accumulation. That is. have amounted to Rs. Privatisation.

the company has strengthend its position in the domestic market and forged joint venture partnerships in order to become a major global player.D of TASCO.” Says D. In the competitive auto components industry. in turn supplies its products to Toyota and Nissan. Tata autocomp systems has traveled the long road. Tata Ficosa will become the sole supplier for the internal view mirror. This is worth between 7 and 8 million dollars in the current year. Another example of its tier two business is a partnership with Ficosa. The company now aspires to become a tier one supplier globally.Globalization It is a company that stated its operations less than a decade ago and in the brief span has charted its course on the world map. but the company accepts it to grow to $100 million per annum in future. “Having now paved the way into international businesses. the next challenge for TACO is to become a one-stop-shop supplier. On the first rung are those manufacturers who supply directly to the automaker. TACO is supplying wiring harness to Yazaki. Yazaki. The auto comp industry is subject to a three level global tierisation. A step towards that direction was taken recently with a $100 million order from ford for supply of plastic parts. At the tier two level.Gupta. for Ficosa customers worldwide. M.S. its Japanese partner. 162 .

a. important for the company to set up show in Asia and the West. Europe and Japan. TACO is looking at setting up officers in Thailand. The company also proposes to set up manufacturing and engineering offices in Germany and France in the near future. China has raw materials for plastic. TACO has recently acquired an order from General Motors and Ford. As a result of this. Asian countries have certain advantages that India can use to its benefit. It is in the process of setting up a corporate office in the US that will oversee operations both in the Us and Europe. cost and delivery. The companys turnover was Rs. the company has been growing at a CAGR of 30% p. TACO has managed to survive and grow by focusing on quality. Sequential delivery system is a global norm and by adhering to it. The company has created values for its customer by pushing quality through the six sigma programme. Vietnam. while Taiwan is well known for actual assembly of electronic components. Despite the global recession in the auto industry. It is. The company should be able to use the core facility and to learn to build capability at low cost. In Asia. TACO illustrates its strengths in QCD. Malayasia produces cheap rubber. China.The major players of the auto industry are present in the US. and this year it is expected to gross between 1200 to 1300 crores. Malayasia and Koria. 163 . TACO has spotted some of the advantages in its partner countries. 817 crore in 2002-03. Therefore. Taiwan.

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a new telecom company in S. or 6. while the rest will be funded by debt. The deal also marks the TATAS second telecom venture in South Africa. will pay about $677m to buy 30% of US based energy brands. it will also build and operate marine telecom infrastructure for international long distance traffic. Indias largest tea maker.3b. will require about $350 million just to launch operations.Tatas Some Acquisitions And Partnership Globally Tata to acquire 26% in telecom JV with S. The joint venture will be the third network operator in S. The remaining stke in the company will be held by the South Africa Government.4 times its sales. 165 . TATA TEA. Infra co.Africa. VSNL already has a 26% stake in SNO Telecom.Africa Govt. Tatas pick up 30% in US bottled water co. edging out Dr. for $677m. the S. and apart from offering long distance services within the country. Reddy’s $570m buy out of Germany’s betapharm. The deal values EBI at $2. and is the largest ever acquisition by an Indian company. The Tatas are picking up 26% in infra co. Of this. The Acquisition expands Tata Tea’s foothold in American market and is aimed at consolidating the company’s position in the global beverage industry.African Government will provide $225 m. The buyout of Tetley for 271m in 2000 gave a company a major presence in the UK and the US. which sells a range of nutrient rich and flavoured water brands. except mobile services.Africa. VSNL about $ 60m. which has license to provide all telecom services.This was followed by the june ’06 purchase of Eight O’Clock Coffee for about $220m.

675 Crore in 2005. The 79 years old Ritz-Carlton is the longest continuously run hotel in the US.3 bn .300 crore net cash from operating activities. is buying the Boston based Ritz-Carlton hotel for $170m. Indian Hotels.The deal will be carried out through its US subsidiary. The UK subsidiary which own Tetley.1313 Crore deal in 2004. Tata steel acquired Singapore-based NatSteel in Rs. Tata steel acquired Thailand-based Millenium Steel for about Rs. Tata’s buy Ritz-Carlton In a deal that will expand its presence in US market. 166 . which runs Hotels and Resorts under Taj brand. is currently carrying out due diligence for the Ritz-Carlton. and it generated Rs. and is owned by millennium partner. International Hotel Management Service. Tata steel also trying to acquire Dutch based Corus (which is 7th largest steel company in terms of volumes) in about $ 8.Tata tea will finance the deal by investing $192 in tata Tea GB. The firm’s consolidated debt. The Hotel opened for business in 1927 and was bought by Millenium Partners of New York in 1999 for $122m. Indian Hotels owns 75 Hotels.equity ratio at the end of march ’06 was 1:1.

total industry sales will cross the magic million milestone quite comfortabely in 2003-04.5-6. The significance is not just in the number of cars sold but in the quality and category of sales of sales. Equally impressive was the performance of the D segment where volumes shot up 12-fold to 12. 4. So what do these numbers convey? 167 . In 2002-2003 the corresponding ratio was one out of every six. While the A and B segments grew by 24 percent each. In what can be constructed as a maturing of the market. or a little more than a 1000 cars a month.Important Milestones and Turning Points Will it be a million this fiscal? Domestic passenger car and utility vehicle sales are racing ahead with 8. the real push came from the same C. Just domestic sales may fall tantalizingly short of the mark but if exports (1.5 lakh range –has galloped. This is a significant figure for the automobile industry and could well be turning point from where there is no looking back. segment which witnessed a 53 per cent growth. Just consider these numbers. Roughly one out of every five cars sold in the last one year was in the mid-size segment and that is almost the same as the entery level A segment where the only model is Marutis M-800.02 lakhs vehicles being sold in the April.February 2004 period. which are supposed to be premium models with limited market. Just consider these numbers. or mid-sized car.526 cars.12 lakh cars in the same period) are included. growing at a faster pace than the mass market B and A segments. Total passenger car and utility vehicle sales grew by 30 percent in the April-february period. And this segment boasts of the Skoda Octavia and the Toyata Corolla. sales in the mid segments –that is. the Rs.

which is considered quite affordable. One is better choice. There are more models available in this segment today compared to the couple of years back. especially the concentration of high incomes at the hands of young people who are obviously aspiring for better quality cars that are present in the mid-size segment. The second factor is rising income levels.Market is evolving without doubt we are witnessing a significant evolution in the passenger car market with buyers upgrading to mid-size cars. which is really the entery-level segment in the developed markets. This segment is dominated by Tata Motors and Hyundai with a 20 per cent share each. There could be a couple of factors driving sales in this segment.000. marutis share is just half that. appear to have been the main drivers for growth in this segment even as those such as Mitsubishi Lancer and Fiat Siena have lagged in the market-share sweepstakes. These three models. 168 . along with the the Hyundai Accent. Adding fuel to this are the various finance schemes available in market that reduce an Opel corsa or a Tata Indigo to a monthly EMI of about Rs 5. The arrival of the Tata Indigo has served to expand the market for midsize cars as have the Opel Corsa from General motors and the new Honda city.

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170 .443 employees across 93 companies. Chemicals. first private sector power utility. amongst others. the first car maker in a developing country to design and produce a car from the ground up. The business operations of the group currently encompass seven business sectors – Engineering. it is Indias most respected private sector group. Energy. The group is increasingly focusing on new technology areas: it has the largest footprints in Indias new economy. The groups pioneering spirit continued with Tata consultancy services. and group company VSNL is one of Indias leading international communication and internet service providers. Long known for its adherence to business ethics. Services. and is the countrys largest private sector telecom service provider. and Tata Motors. Tata Chemicals is asias largest manufacturer of soda ash. Materials. first luxury hotel chain and first international airlines. and Communications and information systems. it is also Indias largest employer in the private sector. Titan is one of the worlds top six manufacturer brands in the watch segment and Tata Motors is amongst the top six commercial vehicle manufacturers in the world. The group pioneered several in first Indian industries: Indias first private sector steel mill. Tata Tea is the first Indian MNC in the global tea industry and indias largest integrated tea company.4 billion. The Groups early years were inspired by the spirit of nationalism. today Asias largest Software and services company. Consumer Products.Progress over the years The Tata group Indias best known conglomerate in the private sector with a turnover of around US $ 20. With 210. and the scale of the groups operations and increasingly turning global.

healthcare and social upliftment. energy and arts.The group has always believed in returning wealth to the society which it serves. 171 . the groups promoter company. Thus. nearly two-thirds of the equity of Tata sons. and which give substantial annual grants and endowments to deserving indivisuals and institutions in the areas of education. medical care. is held by philanthropic truste which have created a host of national institutions in natural sciences.

Lord George Hamilton. to study the coking process in action. both essential elements in steel production. Julian Kennedy. the Tata Iron and Steel Company. In the face of warnings that India could not afford a flotation of this size. After a series of disappointments. Four years after Tata's death. Alabama. and he became Communist member of Parliament for Battersea North in 1922. There. to locate iron ore within easy reach of coal deposits and water. and went to Birmingham. A conscious decision was made to retain control within India of the new enterprise. With Julian Kennedy's help. he discussed his plans with the secretary of state for India. A factory and township were carved from the jungle and named Jamshedpur. Within eight weeks some 8. whose health suffered so much that he was sent to London to recuperate. American specialists were brought in and began surveying in 1903. his sons Dorabji and Ratanji began development of the Bihar site. Shapurji Saklatvala. Also involved in the surveying was Tata's nephew.000 Indian investors came forward and the whole share issue was taken up.2 million in shares. by seeking out Indian investors. which had been established some years earlier to represent the interests of the family cotton business. he joined his uncle's London office. the way had been opened for private enterprise with the introduction of a more liberalized mineral concession policy in 1899. 172 . In England in 1900. His energies were soon channeled away from business matters and into politics. He visited the United States to seek the advice of the world's foremost metallurgical consultant. the Tata brothers set out to raise Rs 23. such as Bihar and Orissa in the northeast of the subcontinent. In India. rich iron ore deposits were identified in the dense jungle in Bihar at the confluence of two rivers near Sakchi three years after Jamsetji Tata's death in 1904.Development of Tata Iron & Steel Company: Late 1800s-1980s From the mid-1880s. Tata commissioned a series of surveys in India's coalproducing areas.

This was achieved in 1958 but further expansion was put on hold during the 1960s while the country passed through a period of devaluation and recession. as India's only private sector steel producer. it was believed. in part. however. to plough money into modernization. In association with Kaiser Engineering of the United States capacity was expanded and a Modernization and Expansion Program (MEP) was launched in 1951. Expansion was restricted by a government committed to helping nationalized industry.000 people at Jamshedpur. Government attempts to nationalize TISCO in 1971 and 1979 were defeated.000 in the neighboring coal mines. By 1916. however. production was meeting expectations and during World War I the company exported 1. as the biggest steel plant in the British Empire. In 1978. and a major earthquake in Japan. to retain an efficient private sector yardstick against which the performance of public sector companies could be judged. in ensuring that the coal was of a uniform quality. which were used extensively by the British Army in the North African desert. transport and labor difficulties. by now TISCO's biggest customer.The Tatas retained 11 percent of the stock for themselves. once production began. World War II brought a resurgence in demand for Tata products and the company specialized in the manufacture of armored cars. however. TISCO emerged from the 1930s. hampered Tata's freedom to develop in the postwar period. Rapid expansion to support the Allied war effort was followed by Depression during the 1920s with escalating prices. known as Tatanagars. with a further 20. however. Following six years of almost continuous production to serve the war effort. upgraded four years later to the Two Million Ton Project (TMP) to give TISCO the capacity to produce two million tons of crude steel. By 1970. An ever-increasing range of government legislation to bring private sector businesses into line with national economic planning on the Soviet model.500 miles of steel rails to Mesopotamia. it became imperative in the late 1940s to begin replacement of the plant. The company had to suspend its dividend for 12 out of 13 years in this period and was on the brink of closing in 1924 when Sir Dorabji Tata had to pledge his personal fortune to secure the necessary bank loans to keep the business afloat. TISCO employed 40. the government restricted TISCO's dividend to 12 percent to force it. 173 . There were enormous initial problems in clearing the Sakchi site and.

TISCO remained India's largest nonpublic company. The British proponents. it was argued that the Workers' Union operated in fact as a management tool to impose its will on a workforce so heterogeneous by nature that rival unions made little headway. were invited out to India from England to advise the Tatas on the best form of social. the Tata group increased its stake in the steel firm to ward off any attempts by outside shareholders to gain control of the company. and cooperative services for the newly established Jamshedpur and as a consequence schools. 174 . TISCO could claim in 1989 that it had not lost a day's work through industrial action in 50 years. however. contributed to advances. an officially recognized Tata Workers' Union established with Gandhi's associate. and rail transport. recreational facilities. Despite the reputation of the Tata family for concern over workers' rights. creches. as much as anything. and its management illustrated its commitment to the welfare of its employees by commissioning an audit of its "social performance" by a team of eminent public figures. there was much unrest among the workforce during the 1920s over wages and conditions and it has been claimed that this. Whatever the arguments.F. Andrews. medical. announcing a 30 percent increase in profits against a backdrop of general depression in the Indian economy as a whole. which set the tone for future company policy. and other amenities were established on site at an early stage. and in the following decade began to benefit from a relaxation of government control as a more pragmatic attitude to the importance of private sector industry emerged. TISCO soldiered on. as its first president. Jamsetji Tata was both a nationalist and a philanthropist. Growth of the Tata Empire Over the Course of the 20th Century The growth of Jamshedpur and the involvement of the firm in every aspect of its industrial and municipal life was the subject of several studies. pioneers of social reform Sydney and Beatrice Webb. He showed a paternalistic concern for the well-being of his employees. An estimated Rs 45 crores of salable steel was lost during 1979-80 because of these shortages. and profit-sharing schemes were brought in in 1934. power. C. In 1989. By 1990. The commitment of the Indian Trades Union Congress after independence to the same goals as central government--economic self-sufficiency and prosperity--allowed the Tatas a relatively free hand in dictating their own industrial relations policy. Against this.Further difficulties were created in the late 1970s by chronic shortages of coal. An eight-hour working day had been introduced in 1912.

To encourage the process. syndicate to support other less successful firms within the group. Under this system. basically steam-driven cotton spinning industry lay the monsoon-swollen rivers of the western Ghats. By the 1960s. Two further power stations followed in 1916 and 1919. After this date. TELCO.S. and Tata Hydro-Electric Power Company were only three parts of the Tata empire that by the late 1970s included 30 separate companies. Together the group accounted for 1. with TISCO alone providing 0. He was succeeded in 1981 by Ratan Naval Tata. By 1915. ducts. and pipelines had been laid to feed the new turbines. Following the Monopolies and Restrictive Practices legislation of 1969. In 1970. The second element in Jamsetji Tata's plan for India's modernization was the development of a hydroelectric capability. which represented the views of a government hostile to large private enterprises. Tata Industries Ltd. whose chairman from 1938 was Jehangir Ratanji Dadabhoy Tata.8 percent of India's GNP. British investments in the subcontinent were managed by firms of agents who charged commission for their services. power stations had been supplemented by four thermal installations. far more than any single equivalent firm in the United States or United Kingdom.4 percent. a distant relative of the founder of the Tata industrial dynasty. the managing agency system that had characterized much of Indian industry since the British period was abolished. central control was not difficult. the required dams and reservoirs. the natural resources existed to provide this new source of power. which together satisfied Bombay's entire domestic and industrial requirement. This ripple encouraged other areas of Indian industry to become suppliers of spare parts for new products and by 1970 TELCO had more than 500 Indian ancillary suppliers.TISCO's success spawned numerous offshoots making use of Tata products. and until 1970. whose father had been adopted by Ratanji Tata's widow in 1917. Within reach of Bombay's thriving. shares in the 30 or so Tata enterprises were retained by Tata Industries. If Bombay's captains of industry could be persuaded to invest in the necessary conversion from steam to electricity. the Tatas bought up sufficient mills to create the necessary demand before launching Tata HydroElectric Power Supply Company in 1910. 175 . some of them part of the Tata Group. Between the wars the family had to sell some 50 percent of its stake in the hydroelectric company to a U. TISCO. acted in this capacity for many of the firms in the Tata Group. These included the Tata Engineering and Locomotive Company (TELCO).

Government monopoly legislation also restricted diversification into high-profit areas such as fertilizers or pharmaceuticals. and leather production. the Taj Mahal Hotel. There were no restrictions on overseas investment or new technology. much informal consultation between firms. and its Mithpur plant produced mineral extracts required for glass. in Bombay. In reality. India needed firms such as TISCO or TELCO if the country was to maintain a viable industrial capability. even when government controls officially restricted growth. With the support of the Tata group and the usual Tata resourcefulness in times of crisis. whose centerpiece. an obvious move for a group such as Tata whose traditional staple was high-cost. For example. ceramic. a recurrence of names in the lists of directors.000 vehicles per year. however. The plant had a checkered history in its early years owing to delays in perfecting the soda ash process. This "lakeless week" was a great success and ensured that sufficient supplies of water remained for the company to 176 . The only exception was in 1956. The continued prosperity of the group during the difficult postwar years for private sector firms was probably also helped by its refusal to take up an overtly political stance in opposition to prevailing government policy. low-profit industry. the Tata Electric Company was given the green light during the 1970s to build privately a new 500-megawatt plant. was conceived by Jamsetji Tata and opened in 1913. and a shared head office in Bombay. when it backed the short-lived Forum of Free Enterprise against a government committed to assigning a dominant role to public sector industry.000 to 36. the company stayed in business. the Tatas had been adept in holding together their empire with a steady growth in the group's assets. Among the better known of these firms is the Indian Hotels Company.the Tata group was self-conscious within India about the size of its operation and great emphasis was placed on publicizing the independent nature of each of its firms. management prevailed upon the local population to ration the domestic consumption of water. and sanction was given to TELCO to increase its output from 24. TISCO developed as one of the independent but interrelated companies within the Tata group. and inroads into both these areas were made. as the first hotel in the country using electricity. Tata Chemicals was launched in 1939. It was pointed out that 75 percent of the firms' shares was owned by trusts established by the Tata family to promote research and welfare projects. Therefore. when a drought in 1962 threatened to close the plant. however.

which bought Finlay's 53 tea estates and has become the biggest tea producer in the world. An air service was inaugurated to carry the mail between Bombay. took part in a Green Millennium Countdown program and planted 1. for example. TISCO. His scheme to launch a Science University in India in 1898 was opposed by the viceroy Lord Curzon as overambitious and inappropriate for Indian needs.continue in production. Tata funds have gone into other projects such as the Bhabha Atomic Research Center in Bombay. the government of India showed itself more amenable to the proposal. Tata persevered. Tata joined the Burroughs Corporation of Detroit in 1977 to market the U. Tata Airlines went public as Air India Ltd. In the field of electronics. Bangalore was chosen as the site for an Indian Institute of Science with joint funding from the Tata family. which has developed techniques for more efficient power generation. One of Jamshedji's greatest legacies was a concern for creating better educational opportunities for his countrymen. One Tata initiative that slipped through the net was air travel. This commitment to education. central. 177 .S. After Curzon's departure. TISCO is also known for providing relief during natural disasters and was awarded the Outstanding Corporate Citizen Award from the Economic Times. The institute produced a number of eminent scientists and became a focus for much pioneering research. it also supported the Lifeline Express program that provided healthcare to those living in remote areas. By the 1920s. With such an array of experience and expertise. and offered to underwrite the project with an endowment derived from his Bombay properties. In 1946.5 million trees. He did not live to see the scheme realized. welfare. and other humanitarian projects continues today and is part of the Tata distinctiveness. however. The third requirement of Jamsetji Tata for a successful and independent India was a system of technical education. In 2001. the group entered the consultancy market with the establishment of the Tata Consulting Engineering and Tata Economic Consulting Services. Another venture in 1962 involved joining with James Finlay and Company of Scotland to form the Tata-Finlay Company. Karachi. and in 1911. and Madras in the 1930s. and the company was nationalized in 1953 to form Air India and Indian Airways. however. firm's computer systems and to begin to develop the manufacture of mainframe computers in India. and provincial governments. one in five of Indian recruits to the Indian civil service had benefited from Tata scholarships.

Since the abolition of the managing agency system in 1970. and business ties. TISCO.S. cut its workforce from 78. The Tata sense of identity survived a postwar period of almost continuous economic and political adversity. family. a U. up from 2. TISCO and most of the larger firms in the "family" shared the same head office in Bombay. and of an over-concentration on traditional highcost but low-profit industries. chemicals. In 1990. During the decade.821 in March 2001. At the start of the new millennium. TISCO was faced with trying economic times as it forged ahead with modernization and expansion. Tata Inc. India also began allowing foreign manufacturers involved in such steel-dependent industries as electronics and automobiles to operate in the country. By 1996. TISCO planned to increase its annual steelmaking capacity in Jamshedpur to 3. consumer products. and distribution were lifted in India. TISCO Operations During the 1990s During the 1990s. It was during 1991 that restrictions on licensing. TISCO and the various Tata companies operated entirely independently. the steel firm began its fourth stage of upgrades and improvements. and services. As part of the modernization. As demand increased. IT and communications. steel 178 .7 million tons in 1996. allowing TISCO to expand its capacity..2 million metric tons by 1999. TISCO set plans in motion in 1995 to construct India's largest blast-furnace mill with an eventual annual capacity of ten million metric tons. The steelmaker also broadened its geographic reach. of an often ill-judged concern for the continued existence of every member of the corporate group irrespective of profitability. but they retained many personal. energy. the firm opened offices in Singapore and Dubai.The Tata family was often accused of paternalism toward its workers.669 employees in 1993 to 48. Tata directors were focused on profitable operations as well as securing leading industry positions for each Tata company. the Tata group included 80 companies involved in various industries including engineering. The management culture of the group as a whole was changing in the new millennium. subsidiary. however. price. was established and the following year. materials.

179 . Under a new director. TISCO was able to complete its $1. TISCO was able to keep its bottom line in the black. The Tata Pigments Ltd. India's steel industry and economic climate weakened. As such. TISCO pledged to continue cutting costs and focus on new growth areas such as making investments in the telecom industries. TISCO reported earnings of $90. Despite the trying economic conditions.consumption in India had grown by ten percent in each of the last four years.2 million metric ton cold rolling mill and also became one of the lowest-cost producers of hot-rolled coils. Kalimati Investment Company Ltd.1 million. Stewarts & Lloyds of India Ltd. Jamshed Irani. Tata Incorporated.1%). Although conditions in the steel industry remained uncertain and the economic climate in India remained unstable.. TISCO began aggressive costcutting measures and drastically cut its workforce. a joint venture that would provide industrial materials management services in India. Tata Technodyne Ltd. TISCO expanded further and teamed up with Inland International Inc. During fiscal 2000.5 billion modernization program in April 2000. It began operation of a 1. TISCO's managing director. Many construction projects in the region were put on hold. During the mid-to-late 1990s. (60. In 1998.. retired. however. the company reported a 61 percent fall in net income. That year.2 million earned in the previous year. While most companies involved in the steel industry reported losses. Principal Subsidiaries: Tata Refractories Ltd (51%).. Tata Korf Engineering Services Ltd. As steel demand and prices fell. TISCO appeared to be well positioned to handle the problematic environment. after 30 years of service.D. Muthuraman at the helm. leaving B. an increase over $60. to create Tata-Ryerson. TISCO's profits plummeted. In 2001.

1970: TISCO employs 40. 1989: The Tata Group doubles its stake in TISCO to thwart takeover attempts.000 workers in neighboring coal mines.5 billion modernization program. 1939: By now. 1996: The company begins a joint venture with Inland International to build a steelworks facility in India. Key Dates: 1907: Tata Steel is established by Jamsetji Tata. Tata Steel strives to strengthen India's industrial base through the effective utilization of staff and materials. Sir Dorabji Tata pledges his personal fortune to secure bank loans to keep the company afloat. TISCO operates as the largest steel plant in the British Empire. 180 . $1. 2000: TISCO completes a ten-year.000 people at Jamshedpur and 20. Tata Steel recognizes that while honesty and integrity are the essential ingredients of a strong and stable enterprise. consistent with modern management practices. 1978: The Indian government forces TISCO into modernization efforts. profitability provides the main spark for economic activity. 1955: The MEP is upgraded to the Two Million Ton Project (TMP). The means envisaged to achieve this are high technology and productivity. 1924: On the brink of disaster. 1998: TISCO records a 61 percent decline in net income due to a downturn in the steel industry.Tata steel (formerly TISCO) Company Perspectives: Consistent with the vision and values of founder Jamsetji Tata. 1990: TISCO begins expanding and establishes subsidiary Tata Inc. in New York. 1951: A Modernization and Expansion Program (MEP) is launched.

Tata Advanced Internship Programme The Tata Advanced Internship Programme (TAIP). The move comes in the run-up to the scheduled roll out of the gasoline-powered Nano from Singur. work practices and business philosophy. reach and visibility. It intends to bring in young management students from premier international business schools from USA and UK and build the Tata brand on campuses abroad. is working on new variants of the world’s cheapest car Nano to overcome challenges posed by high fuel prices. The programme is being managed by Tata Group HR with the support of Group companies where the candidates may be placed as summer interns. academic focus areas and areas of interest. a Group-level summer internship programme. aims at garnering talent from premier international business schools in the United States and Europe as well as giving students an insight into the Group's ethos. said company chairman Ratan Tata in the latest annualreport. as also market requirements of several international markets. Selection of candidates and allocation of projects is based on their work experience. Tata Motors has also started developing new variants of Nano to meet environmental and fuel price challenges. 181 . Tata Motors. Mr Tata said. The Singur manufacturing facilities would be expanded to meet domestic and global demand in the future. The high volumes of Nano is expected to dramatically change Tata Motors’ market position.Future Prospectus and Outlook Nano manufacturing at Singur to start in Q4 Tata Motors expects to start manufacturing of its much-hyped mini car Nano at Singur in the fourth quarter of this calendar year. which could negatively impact vehicle sales. the country’s largest truck maker.

Subramanya elaborates on plans of becoming a $300-million company by 2010. based on their work experience. etc? Tata BP Solar has plans of investing over Rs 100 crore in 2006 in expanding its capacity. academic focus areas and areas of interest.Tata International Internship Programme In keeping with the Tata Group's globalization strategy. The company's track record has been very good so far and we have been growing at a rate of about 20-25 per cent every year. one of the largest solar power companies in the world. and how it is moving from strength to strength. and the company's plans to tap potential markets Tata BP Solar. 182 . Initiated in 2006. is determined to light up a great many lives over the next few years. Subramanya. has the company any investment plans with regard to production expansion. IIP Interns can be placed with any Tata Group company. discusses the Indian and global renewable energy industry. Tata BP Solar. K. Tata BP Solar chief operating officer K. COO. Group HR has initiated an international internship programme (IIP) that aims to give an opportunity to young undergraduates and postgraduate students from across the world to gain the Tata experience. Beginning with three of Singapore's leading universities — National University of Singapore. We hope to sustain this and want to be a $300-million company by 2010. Nanyang Technical University. this Group level internship programme intends to bring in management students from international business schools and build the Tata brand on campuses abroad. Considering the fact that Tata BP Solar has established a name for itself not only in the domestic market but also internationally. a joint venture between Tata Power Company and BP Solar. and Singapore Management University — the programme also collaborates with the Asian Institute of Management in Manila and the Peking University and Tsinghua University in Beijing.

OUTLOOK Group chairman Ratan Tata speaker on a wide range of issue concerning the Tata Group and its pace in a world changing dramatically than ever before what will be the nature ad scope of Tata Group engagement in the coming years with a world changing more rapidly than ever before.Right now we are at $100 million. With regard to production capacity. 183 . The group chairman Ratan Tata says that we are not promoting our one brand but we are getting serious of properties that have their one brand it can also happen with a company like Titan if you are willing to spend huge amount of money propagating the brand it will work. we aim to have 43-MW solar cell manufacturing capacity in the near future. Right now our solar cell manufacturing capacity is about 16 MW. Over the next five to seven years the group has to start looking seriously and strategically at creating brand awareness for ourselves in new business commercially and strategically in this region’s the group also says that in commodities the brand is not as important as it is in product. Here are numerous questions and who better to address and opportunities before the group as it continuous reinforcing and reinventing itself in India and in the world. The company is readying itself for the Tata Business Excellence Model process in the coming years.

Tata Steel. There is time till December 2007.J Irani.E.Tata’s steel new cold rolled mill. continues to be a non-executive Director of Tata sons and is Chairman of Tata Teleservices. likening it to a technical shift from a formal zone to an informal one. Ratan Tata move is not seen to create any waves being more in the realm of a technical change. it makes no difference.TATA was non-executive chairman for many years. TATA’s central achievements was putting the glue back into the group. TATA turns 70. citing as example the of Dr.”All that is happening on 28th is that he ceases to be Executive Chairman.when Mr. To oversee the conglomerate.D. a think-tank that brings together GEO directors and group seniors. a Group Executive Office(G. Mr. TATA can continue to be non-executive chairman of Tata sons till he is 70years old. So . Mr. including Mr. ”one official said. The change to Mr.R. the corporate centre.The way insiders see it: Mr. Tata’s chairmanship is founded on grounds much stronger than his retention of executive authority.Succession planning Although Ratan Tata is 68 years old he look more like some who is in late 40’s/early 50’s the million dollar question on everybody mind is who will succeed Ratan Tata. It is guided by the highest policy forming body of the group. Thus December 28 does not by itself raise the spectra of a succession plan at Bombay House. Some goes for the position of chairman he holds at other Tata companies as well. The Promoter’s stake in key Tata companies was increased and adherence for the Tata’s. Tata. who on turning 65 stepped down as Managing Director. Tata Engineering’s foray into cars 184 . some of them ruled by long-lasting fiefdoms. ” he said. the group made solid advances with its old economy companies. Along the way. A common response across the group was that the late J.O) with executive directors was put in place some times back. Taking over a collection of companies. Tata authority was best described by a senior official. a group official said. J.

Tata industries-the group’s holding company for new businesses-that pushed Mr. from the erstwhile Tata oil mills company. as at present. On the other hand.and Tata Tea’s acquisition of the UK-based Tetley. adopted a structure. Simply put . Lakme and Acc.D. But further on the upside. if chairmanship there were indeed the accepted route to eventual succession at Tata sons. have the Tata then. 185 . Though he joined the Tata in 1962 .”It shows the extreme professionalism of the group at the highest level. changes in management structure at the group’s apex –essentially the corporate center and GEO-could be interpreted as preparing the Tata’s for a time when its original family promoters are not so closely associated with the operations of the group. slip-ups too happened. As he took over that post from J. nothing like that is due at Tata Industries. while infotech major Tata consultancy services is touted as a significant unlocking of value due in near future. most publicized being the still unraveling mess at Tata Finance.Mr. Ratan Tata centre stage. which can run without a Tata at the helm? There is no answer to this either. the Tata’s are now a leading role in telecom with the VSNL and Tata Teleservices.” was all what one top official would say. it was his appointment in October 1981 as chairman. Coming Saturday. Ratan Tata has a track record that finches respect with or without executive powers.R. he was seen to be a successor in the making. Exits occurred.

exploring avenues such as mutual funds and stock markets more aggressively. soft furnishings. Many can come and go at different times of the day-times of their choosing. attractive cafeterias. people in the same workplace have different relationships with the organisation they are working for-some are employees. academic training and experience-and. The interesting thing about the future is that a lot of it is already here in seedling form. consistency and co-existence. in terms of gender as well. Work teams are beginning to become diverse in terms of age. yes most heartening. Instead. experience. In some BPO organisation.The challenge for us is to know in advance which of these will in fact become significant realities in the future. other are consultants. There is much greater openness to having people in their in senior positions. some get paid more then others in similar roles. while some work from home or only part-time. skills. The shape of things to come so. ’videos’ and weak signals strengthen . based on how the organisation values their knowledge. open plans. network. piped music. l earn to cherish the values of commitment. Employees are increasingly opting forretials. in all aspects of their lives.OFFICE DYNAMICS SUCCESS PLANNING Workplaces have begun to look very different from the way they used to in the past-pastel colours. calendarised and hyped-up fun events run by dedicated section of the HR department from part of the employee engagement and retention strategy. 186 . including work. they are taking charge of their financial planning.The workplace of the future will only accelerate these trends. The work place of the future will strive to provide these for individuals-and in the process. They are going for insurance policies with varied features that suit their risk mitigation needs. what sense can we make of future? I think people will increasingly make three demands: choice. Increasingly.in the form of fringe movements. flexibility and autonomy. Among employees. play and relaxation areas. or potential. Some of them are employed by a ‘temping’ organisation. and others are vendors’ employees.

Diffusion of office space and work timings. which will bring greater stress on what a person brings to the table. more work will get done by teams. Markets will price assignments differentially meaning that people may move from higher paying to less paying to less assignments. People may have greater autonomy in their own work but will have greater inter-linkage and inter-dependence with the work of others.How will all this translate into the workforce? Here are few vignettes of what we might we walk into a workplace of the future: Greater focus on skills and capability.Choice and commitment will have to go hand in hand-each can exits only when the other does. empowerment and autonomy. Focus on doing work that is enjoyable and meaningful to do. Multicultral workforce greater respect by individuals and organisations for individuality. Similarly. Redefinition of employees-companies will have to maintain a fine balance between career planning and free agent ship a new work ethic. Greater interdependence in work processes and less stand-alone work. You are likely to catch yourself messaging from home in the middle of the right to colleagues across the planet!End of steady jobs and fixed roles. More teamwork at the same time. the world seems to be becoming more tolerant of multiplicity of views and approaches. Finally. local communities and natural surroundings. Malls and multiplexes are bringing weak signals’ of the future of the work place. while making other trade-offs. We will see a transition from jobs-forlife to specific assignments. 187 . yet seeking greater predictability and consistency. rather than by individuals. rather than who he/she is or has been in the past. signaling freedom from supervision. are leading employees to learn to temper their behaviors to align efforts with those they work with the changing demographics the world over and especially in India will mean that the ‘baby boomers’ of today will find the ‘genX’ and ‘genY’ opportunities to save which preoccupied the baby boomers we are seeing the search for opportunities to spend amongst the emerging workforce. There will be as much value placed on diversity and spontaneity as on achieving sixsigma.

The challenge for large corporation to create the small-organization ethos will continue to seem daunting. reviewed regularly. Personalized work plans and performance goals. greater involvement of business leaders in managing social issues-heath care. agreed with the superior. corporate and services related system-fears of ‘Big Brother Watching will get heightened. This will spur the emergence of an ‘empowered middle manager’ of a different kind. with life-like pictures and sounds. insurance. etc.The whole concept of a ‘workplace’ may become redundant as where people work and the place where their payment comes from could be completely different greater demand for privacy and protection of the individual accompanied by greater need for information on the individual by government. the challenge of social fracture as a consequence of economic and opportunity disparities will drive more recognition of the fact that ‘island’ of prosperity and well being cannot exits admist disenfranchisement. poverty and squalor. More socially useful productive work for CEO’s. Intuitive machine-man interfaces that can be operated by speech and tactiles stimuli will become the vogue. factories. glare-free. infrastructure creation and maintenance. with a very serious focus on coaching along the way. 188 . Access to capabilities will be seen as more important than ‘ownership’ of assets -people. Many of the other forces will bring greater proximity of areas that could be ignored in the past like downtown neighborhoods and sub-saharan African or part of other societies.Fewer meeting!Many face-to-face interactions will be replaced by face-to-screen interactions-screens that will be touch-sensitive. an end to the phenomenon of specifying lower and upper age limits for roles. End of the age of super-annotation and in fact. and corporate roles of coordination and enabling of a less intrusive and directive kind. This will be needed to ensure people get work they enjoy doing. and therefore stay on this will also be necessary for the rapid grooming of talent that will become imperative. school syllabi. quality of academic institution. despite the extensive use of communication technology. Organisation and individuals will come together for mutual benefits in diverse kinds of relationship. stronger partnerships. depending on the value that needs to be created at the moment .

Greater transparency and openness around business policies, including those related to employees. Greater courage to question them by one and all such courage will be encouraged due to its salutary effect on corporate intelligence about business issues of the organisation they work for all this could sound be wilding to some and exhilarating to others. To me the future has potency, challenge and ,most fascinating of all, space for the eternal paradox of predictability and unpred-ictability.so welcome to our worst nightmare and our best dream all into one! welcome to the workplace of tomorrow. The world is my office S Padmanabhan, executive vice president and head, Global human resourses, TCS. Boundaries in the business world are increasingly dissolving. As delivery move around the world are increasingly dissolving. As companies move around the world setting up offices, services delivery centers and manufacturing hubs, there will be an even forward. The globalization of the workforce will have a far-reaching impact on every aspects of human resources. Processes, policies and system will have to evolve and challenge according to the region or country. But the biggest challenge we face is integrating this global workforce. For the Tata Group, acquisition have become a way of life and handling integration issues has become a way of life and handling integration issues has become a critical function of HR departments. In international acquisition, we have to deal with different nationalities, regulatory issues and even the tensions of being acquired or merged. There are also many soft issues involved with integrating the management, the workforce, and business practices. Earlier at TCS, foreign nationals formed less then one per cent of the workforce with over 62,000 associates from 53 nationalities, the company is emerging as a true global firm with a diverse employee base. We have found that the best way of assimilating them into TCS’s culture is to have them work on projects together with our people both in India and outside while recruiting internationally, we need to respect the local legal norms, cultures and attitudes. That has been the learning at TCS. We need to understand what is relevant to people in different societies, and change our pitch to suit local contexts. For instance, Indians love to travel and work abroad,

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but in ways other countries people like to work in their own town city. So we need to focus on their roles and targets in TCS rather than the opportunity to work in different geographies. Work-life balance today it is very fashionable to ask,” Do you have a work-life balance?”But this is a choice people have to make. A company cannot dictate or regulate it by switching off lights at 5 pm or ask employees to go on a picnic. What companies can do is to faster a productive work environment within the working days. If employees need to work outside, then this should be facilitated though the internet and mobile phones. I feel we should give more opportunities for people to work outside, then this should be facilitated though the internet and mobile phones. I feel we should give more opportunities for people to work from home if they want to and make work more flexible. So it may not be necessary that the entire workforce of TCS comes to office every morning at the same time. Such an approach will also cut down on commuting time and enable employees to spend more time with their families. Work-sharing is another way in which couples. or any two people, share the work. All this would not mean less productivity but result in happier employ at TCS we are creating opportunities for employees ‘ ‘families to understand what is happening in the company. This gives them a sense of pride in the work that the spouse or parent is doing and makes them feel less neglected. The issue of work-life balance is going to become bigger future. We have start looking at the work environment very differently from the way we do today. In all this companies need to look at certain regulatory requirements in different countries. People should not lose out on benefits such as superannuation and gratuity because employment laws do not permit these for part-time employees. We will need to consider some structural changes in policies and people practices attracting and retaining employees compensation has been, and will continue to be, the big driver in retaining people. But I feel the importance of money varies at different stages of life and in different roles that people play.

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Once people reach a minimum level of compensation, what matters to them are their aspiration-and this is where role planning and the work environment are critical. Goals and targets need to be clear so that people can know what they are going to do and they have achieved. These two rules have been in focus for last 25 years of my life and they will continue to be important. It’s also universally true that people join companies but work with bosses and equally true, people leave bosses; not a company. What people will also look for is a comfort level that they have a good job to do in the company. A company needs to create a good employer brand, internally as well as externally, by ensuring that people have good jobs which make them feel proud of working for the organisation. After that, depending on the demography and age of the person, companies need to add certain benefits that create a social status for the person, give him or her recognition outside the company .People want their place under the sky. Employees can be given opportunities to make presentations at international forums, or made members of academic institutes or industry associations this will increase retention. It is increasingly evident that people are reaching higher, faster. So where do you go when you approach the top? A company can take you only so far in your personal ambition and growth. After that the company should allow you to move to an internal or external company. In this respect, the TATA GROUP has a phenomenal advantage. TATA have more than 90 companies, there is a good opportunity for mobility in groups. Helping them to grow outside the Group is also good because if that process is well managed, you have a wider populace as a friend- because if the leader (in another company) is your friend, the others will align with the leader. For the Group, the TATA brand will continue to be a magnet for people looking for a job. In the Indian ethos there is a certain value attached to the TATA.

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Brief on the Stalwarts and their role in shaping the Business house
For the Tata family of people and companies, the year gone by was a call to remembrance as much as it was a time for achievements and accolades Theyear 2004 was momentous for the Tata Group in more ways than one, marking as it did the death centenary of Group founder Jamsetji Tata, the birth centenaries of two other stalwarts, JRD Tata and Naval Tata, and a slew of achievements by Tata companie in various industry sectors. Among the many activities undertaken to commemorate theCentury of Trust initiative in memory of the three Tata titans was a travelling exhibition, a business quiz competition, an advertising campaign and the publication of Lasting Legacies, a special edition of Group magazine Tata Review. The following is an encapsulated recap of the strides that the Tata Group and its major companies took in the year gone by. Products and services Tata Group companies continued to respond to the needs of its customers and clients with agility while launching a variety of new products and services:

Tata Motorshad a bunch of significant launches this year. It introduced the New Indica V2, the Indigo Advent, the Indigo Marina and the Sumo Victa. It also launched the Indica and Indigo in South Africa. In May,Tata Asset Management launched its Tata Equity P/E Fund, which identifies suitable investment opportunities by analysing undervalued stocks on the basis of price-to-earnings ratio. In June,Indian Hotels launched indiOne, its smart basics hotels in an innovative attempt to redefine the hospitality landscape with a new category that is comfortable yet affordable. In September, it opened India's first luxury homes complex, Wellington Mews, in Mumbai. In November, the company launched theTaj Exotica Resort and Spa in Mauritius. This property is spread over 27 acres on Wolmar Beach and laps the turquoise waters of Tamarin Bay.

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Titan touched a new milestone in creativity by launching Flip.Tata AIG Life unveiled operation quantum leap. In December. an aggressive business growth strategy for the next three years. It has set its sights on becoming a top player in the private insurance sector and on securing a market share of 20 per cent by 2007. This was part of the companys quest to increase its global footprint. purchased Chennai-based Dishnet DSLs internet service provider division for Rs 270 crore. 193 . Novus. the dominant steel producer of Singapore. India's first dual-face watch. Tata Steelacquired NatSteel. with dual functionality and styling. which allows Indians travelling abroad to make calls to India or any other international destination from any mobile. In March. which allow customers to call a group of people at one time by simply pressing a button.VSNL announced the launch of Tata Indicoms global calling card. VSNL acquired Tyco Global Network. Tata Chemicalslaunched Tata Kisan Sansar. In October.Tata Teleservices became the first company in the Indian telecom market to launch Push-To-Talk services.313 crore. New partnerships Many Tata companies forged new alliances and grew through acquisitions: These are some of the noteworthy developments on this front: • • • In August. among the worlds most advanced and extensive submarine cable systems. the Daewoo Commercial Vehicle Company. The new entity then went on to launch a heavy duty truck model. landline or pay phone. for $130 million. In September. In November. Tata Motors acquired South Koreas second largest heavy truck maker.• • • • • In July. in the South Korean market. a chain of one-stop resource centres for farmers that offer end-to-end agricultural solutions. In November. for Rs 1.

the international business gateway of the Tata Group. a small town in South Gujarat. The year also saw the company providing infotech solutions and engineering services to Formula One racing carmaker Ferrari. the birth anniversary of late Tata Group chairman JRD Tata. and in civil infrastructure projects. stock markets being oversubscribed seven times over. celebrated its silver jubilee in February. Tata Motors became the first company in the Indian engineering sector to list its securities on the New York Stock Exchange. The issue was a roaring success. Here are some highlights: • • • • • • • • Tata Projects. In May. software giant Tata Consultancy Services made its foray into the with an initial public offering. 194 . joined the billion dollar club with a 22-per cent rise in turnover. Nusserwanji Tata was the first businessman in a family of Parsi Zoroastrian priests. VSNL launched the Tata Indicom Cable. transmission and distribution. added the promising Karun Chandhok to its stable of racing drivers in April. the fastest Indian in the world. He moved to Bombay and started trading. Singapores first fully Indian-owned undersea fibre-optic cable. In September. which has been supporting Narain Karthikeyan. In November. This cable system will increase the existing bandwidth capacity into India. Tata International. now a leading company in the field of power generation. Tata Racing. In October. Voltas. Titan announced that Indian film idol Aamir Khan would be its brand ambassador. On July 29. the refrigeration and air-conditioning giant.Hitting the headlines Tata companies made news throughout 2004 in different ways. Early life Jamsetji Tata was born to Nusserwanji and Jeevanbai Tata on 3 March 1839 in Navsari. is celebrating the fiftieth year of its existence.

he always maintained that political freedom must be accompanied by economic self sufficiency. 195 . Legacy The company started by Jamsetji Tata came to be known as the Tata Group and is today among the largest and most respected companies of India. When he started the Empress Mills in Nagpur. also known as Tatanagar. he paved the way for many future enterprises. was however. Though India remained under British rule while he was alive. he also put in place very good labour practices. He was strongly influenced by their thinking. he didn't just think of novel ways to manufacture textiles. He was married to Hirabai Daboo[2] while he was still a student. a city in the Indian state of Jharkhand is named after him. The establishment of Indian Institute of Science was initiated by him. Not only did he manage to create thousands of jobs. Jamsetji. he interacted with activists such as Dadabhai Naoroji and Pherozeshah Mehta. However. This was long before any labour laws came into existence. including Tata Steel. It was a turbulent time to step into business as the Indian Rebellion of 1857 had just been defeated by the British government. known for much more than just starting a company.Jamsetji joined him in Bombay at the age of 14 and enrolled at the Elphinstone College. The Tata Group has many facilities there. He was a pioneer in his field and thought way ahead of his times.[3] He graduated from college in 1858 and joined his father's trading firm. Jamshedpur.

'Jeh'. by Mr R M Lala. a pioneer industrialist in India. He did not continue beyond matriculation as mentioned in his biography. by the French Government in 1954. Tata was inspired early by aviation pioneer Louis Blériot. He was awarded the Bharat Ratna. Tata studied engineering at the University of Cambridge. 'Tata Airlines'. Engineering. Under J R D's Chairmanship. Power.D. India's highest civilian award in 1992 for his service to industry 196 . he spent much of his childhood in France and as a result. in 1932. He was famous for succeeding in business while maintaining high ethical standards refusing to bribe politicians or use the black market. As his mother was French. Monetarily. He later came to be known as the father of Indian civil aviation. In 1929 Tata got the first pilot license issued in India. He attended the Cathedral and John Connon School. French was his first language. and took to flying. He was awarded the Legion d'honneur. At the age of 34. His father was a first cousin of Jamsetji Tata. He founded India's first commercial airline. Businessman J. the holding Company of the Tata Group. J. with major interests in Steel. France. Bombay (now Mumbai).D. J R D directed the huge Tata Group of companies. the second child of Ratanji Dadabhoy Tata and his French wife Suzanne Brière[citation needed]. Early life J. the number of companies in the Tata Group. Tata was born in Paris. Tata also attended the French Foreign Legion. or 'JRD' as he was commonly known.R. came to be regarded as the most famous industrial pioneer in modern India.Chemicals and Hospitality. he became Chairman of Tata Sons. now India's national airline. He also received the prestigious Guggenheim Medal for aviation in 1988. which in 1946 became Air India.R. the assets of Tata group grew from Rs 62 crores to over Rs 10000 crores. 1993) was a pioneer aviator and important businessman of India. For decades.D. He was awarded Bharat Ratna during his life time.Jehangir Ratanji Dadabhoy Tata (July 29. grew from 15 to over 100.R. 1904–November 29.

consideration and conciliation to national and international organizations working to minimize employer-employee friction. He was the founder President of the Indian Cancer Society and held the position from 1951 through 1989. Naval Hormusji Tata: The People's Person Born in August 1904. Naval Tata's caring and endearing nature. He was the administrative head of the game in India when the country won gold in three successive Olympics. For over four decades he provided a voice of reason. Naval H.and nation building. He was an employer who always regarded himself as a trustee of the rights and interests of workers. He is buried at Père Lachaise Cemetery in Paris. Mr. He was also a member of the International Organisation of Employers for 38 years and was the president of the Employers' Federation of India from 1959 to 1985. Mr. made him one of a kind. Tata joined the Tata Group in 1930. and by 1933 he was the secretary of the Group's Aviation division. Naval Tata passed away in 1989. In 1939 he was made the Managing Director of the Group's textile companies and in 1941 was made the Director of Tata Sons. his abiding concern for the poor. He believed in responsible negotiations between employers. Mr. Mr. He died in Geneva. Switzerland in 1993 at the age of 89. He was also an avid sports lover and Indian field hockey was another beneficiary of his capabilities. Naval Tata symbolized all that is best of the Tata spirit of giving back to society and the communities in which its enterprises grow. 197 . His most valuable contribution outside of business was in the domain of labor relations. Naval Tata became part of Geneva-based International Labor Organisation governing body in 1951 and continued in the post till 1989. his love of a good laugh and his instinct to trust even those not worthy of it. workers and governments in the search for equitable solutions to labor issues. He married Simone in 1955. Naval Tata was actively engaged with the Tata Charities and served as the Chairman of the Sir Ratan Tata Trust from 1965 to the time of his passing.

J. His mother moved out and both Ratan and his brother were raised by their grandmother Lady Navajbai. a shy man. J. Nelco had 2% market share in the consumer electronics market and a loss margin of 40% of sales when Ratan took over.R. In 1975 however. rather than in consumer electronics. and recovered its losses. shoveling limestone and handling the blast furnaces. the Tatas confronted the unions and. Ratan suggested that the company invest in developing high-technology products. Nonetheless. rarely features in the society glossies. Mumbai and graduated from Cornell University in 1962 with a degree in Architecture and Structural Engineering.[2] In 1971. Ratan is the great grandson of Tata group founder Jamsetji Tata. after turning down a job with IBM on the advice of JRD Tata. D. a Gujarati-speaking Parsi family. Ratan joined the Tata Group in December 1962. when he was about seven and his younger brother Jimmy was five. Ratan continued to believe in the fundamental soundness of Nelco. Nelco eventually grew to have a market share of 20%.[1] Ratan Tata. Ratan was appointed the Director-in-Charge of The National Radio & Electronics Company Limited (Nelco). Finally. He was first sent to Jamshedpur to work at Tata Steel. so even after demand improved. a company that was in dire financial difficulty. his parents separating in the mid-1940s.D. R. From 1972 to 1975. but the venture did not survive. India's Prime Minister Indira Gandhi declared a state of emergency. He was schooled at the Campion School. He was born to Soonoo and Naval Hormusji Tata. which led to an economic recession. Further. This was followed by union problems in 1977. production did not keep up. following a strike. dog-filled bachelor flat in Mumbai's Colaba district. a lockout was imposed for seven months. has lived for years in a book-crammed. followed Ratan's suggestions. He worked on the floor along with other blue-collar employees. was reluctant due to the historical financial performance of Nelco which had never even paid regular dividends.Ratan Naval Tata Ratan Tata was born into the wealthy and famous Tata family of Mumbai. Ratan's childhood was troubled. 198 .

competition from less labour-intensive enterprises had made a number of companies unviable. Tata Motors introduced his brainchild.D. So. a textile mill controlled by the Tatas. In 1998. Ratan managed to turn it around and even declared a dividend. Since then. On Ratan's insistence. As the market for coarse and medium cotton cloth (which was all that the Empress produced) turned adverse. under the chairmanship of Ratan Tata. Ratan was severely disappointed with the decision. the Tata headquarters. Ratan was named Chairman of Tata Industries. but it did not suffice. Ratan was entrusted with Empress Mills. where he became responsible for transforming it into the Group's strategy think-tank and a promoter of new ventures in high-technology businesses. Bombay House. pushing out the old guard and ushering in younger managers. The merger created the fifth largest steel producing entity in the world.In 1977. Under Ratan's guidance. including those like the Empress which had large labour contingents and had spent too little on modernisation. 2007.R. the Group's other holding company. some Tata directors. the Empress began to accumulate heavier losses. On January 31. When he took charge of the company. it was one of the few sick units in the Tata group. Tata Consultancy Services went public and Tata Motors was listed on the New York Stock Exchange. In 1991. Tata. 199 . took the line that the Tatas should liquidate the mill. which today has the largest market capitalization of any business house on the Indian Stock Market. Ratan Tata became a celebrated personality in Indian corporate business culture. was unwilling to divert funds from other group companies into an undertaking which would need to be nursed for a long time. some investment was made. However. In 1981. he has been instrumental in reshaping the fortunes of the Tata Group. he took over as group chairman from J. which was finally closed down in 1986. Tata Sons successfully acquired Corus Group. chiefly Nani Palkhivala. an Anglo-Dutch steel and aluminum producer. With the acquisition. and in a later interview with the Hindustan Times would claim that the Empress had needed just Rs 50 lakhs to turn it around. the Tata Indica.

This would affect the image of West Bengal in rest of India and abroad as well. On October 7. 2008.000 (1998: approx.Recently when his plant for Nano production was obstructed by Mamta Banerjee(plant was shut down for 2 weeks. Tata Motors.3 billion). today US$2. Praising Modi for speedy allocation of about 1." referring to his earlier promise to deliver this car at the said cost. were acquired for £1. 2008. bought Jaguar & Land Rover from Ford Motor Company. and Ratan Tata delivered on his commitment to developing a car costing only 1 lakh rupees.528). 2008.The final decision is yet to come. Industrialization in West Bengal is only supported by CM Budhadeb Bhattacharjee. Three models of the Tata Nano were announced. under Ratan Tata.15 billion ($2.Although.000 crore (Rs 20 billion). On March 26. He realized his dream by launching the car in New Delhi Auto Expo on January 10. After a controversial stay in West Bengal. His Tata Nano Car 2008 Ratan Tata's dream was to manufacture a car costing Rs 100. US$2. adding that "a promise is a promise.Ratan Tata's dream fulfilled.its first car for use in the market will be delayed by a couple of weeks). Ratan Tata and his men on Tuesday shifted their Rs 1-lakh car Nano project to Sanand near Ahmedabad at an investment of Rs 2.100 acres of 200 .200. his decision of going out of West Bengal was warmly welcomed. The two iconic British brands. Jaguar and Land Rover. delcaring that efforts will be made to roll out the world's cheapest car from a make-shift plant to meet the deadline.

centrally located land. Ratan Tata said that the company had a great deal of urgency in having a new location and was driven by the reputation of the state. 201 .

making it imperative for the group to become competitive in India against the new entrants. has considerable consequences on the nature of corporations. especially when it takes form through international acquisitions. can exploit the possibility of leveraging increasingly developed financial markets in India. in steel). As it pertains to a challenger conglomerate from formerly peripheral areas that goes international in order to access resources. and global liquidity. survive.g.g. The process of growth. including the need to access new markets (e. A praise for this way of managing the group came from Standard & Poor’s. their internal characteristics. and the quest for brand control (e. Such transformational dynamics is likely to be more complex in the case of emerging economies’ multinationals. Of particular interest is the fact that Tata has not blindly embraced ready-made recipes to face the challenges of multinational management. for this very reason emerging economies’ multinationals are likely to conclude their deals in more developed economies. most Tata companies then looked overseas. and achieve a sustainable competitive position in industries that are globalizing. This strategy proved feasible because Tata possesses strong leadership combined with vision. To gain scale. On the other hand. the Tata group has been driven by multiple factors. Operating across borders and time zones and integrating diverse management teams and corporate governance practices do not seem to have modified the Tata imprinting.. in BPO services). where firms are not very amenable to adopt management methods and values developed in poorer countries. preferring instead organizational solutions aimed at fostering mutual recognition and knowledge exchange within the multinational conglomerate. these companies may use acquisitions in order to access resources they do not have. reduce their exposure to the cyclicality of India’s economy. the opportunity to integrate the value chain (e.. Tata’s recent experience is an excellent case for analyzing ‘accelerated internationalization’ (Matthews 2002). in tea). and reacted fast to the opening of specific opportunities at given times.CONCLUSION Since the opening of the Indian economy in 1991. a large domestic market.g. On the one hand. Changes take time to unravel and loops may originate whereby target companies pass their DNA to the acquirer and modify the latter’s basic features. rather than to deploy un-imitable ones in the way that is predicted by the standard models of traditional multinationals. which in December 2006 expressed the view that the “policy to support its companies and the improved financial profile of its entities also enhances the overall financial flexibility of Tata 202 . and their relationship with stakeholders. Tata has been subject to global competition..

The process of internationalization of large corporations from non-Western countries – be they in some kind of East like China. or in some kind of South like Latin America. especially in analyzing the time and geographic dimensions of diversification. 203 . the Parsis. This gentle approach may distinguish Tata from counterparts that produce much noise in their expansion. far from converging on a single model. Future research will inevitably focus on detailed case studies of key firms.” In the case of VSNL.Motors. or Turkey – is more than a passing fashion. India. to analyze a broad variety of issues. see Chua 2002). Another Tata advantage is the fact of being run by a very successful minority. without stirring anger amid the majority of the population (as is tragically common in other countries. from management practices and industrial relations. the process whereby corporate models. a strategic link with TCS has given the advantage of offering customers a single partner option that can deliver a combined IT and telecom solution.e. to the organization of R&D function and innovation. or Russia. the issue of hybridization – i. Mimicking the trajectory of the history of industrial nations’ business. take multiple and diverging roads to innovate and become increasingly open to the global economy – will figure prominently in the research agenda. This paper has offered a first modest contribution in this direction. South Africa.

tata.com 204 .BIBLIOGRAPHY Our mentors provided a lot guidance but apart from this we took help from these sources.co.google.in www. MAGAZINE NURTURING IDEAS – DRIVING GROWH BUSINESS WORLD INDIA TODAY NEWSPAPER FINANCIAL EXPRESS BUSINESS STANDARD TIMES OF INDIA WEBSITE www.

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