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

158 168 171 182 185 193 203 205

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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Destiny called him to Bombay where he started trading. Jamshedji joined him at the tender age of fourteen. The British had just managed to ruthlessly crush the 1857 Revolt.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. His parents were Nuseerwanji and Jeevanbai Tata. Jamshedji graduated in 1858 and joined his father trading firm. Nusserwanji was the first businessman in a family of Parsi Zorastrian priests. He took admission in Elphinstone College and while still a student he married Hirabai Daboo. Since the age of twenty-nine Jamshedji continued to work in his 5 . Those were turbulent times. He breathed his last in 1904 in Germany.

229 million or $21. There are ninety-six companies operating in seven business sectors. The only achievement that he lived to see was The Taj Mahal Hotel. were not allowed into the best European Hotels. A member of the Tata family is always the Chairman of the group. In those days the locals.father’s firm. Its revenue touches $967.6 billion. information technology. There are about 246. In 1868 he started a trading company on his own with a capital of Rs.21. Market capitalization figure is $57.4.R.D. automotive. Only twenty-eight of the ninetysix in Tata Group are publicly listed. He came to the conclusion that economic self-sufficiency should go hand in hand with political independence.9 billion in 2005/06.Jamshedji was a unique personality. which later took roots and spread its branches under the care of his successors. The former should be the base of the latter. Unfortunately during his lifetime none bore fruit but he had planted the seed. 000/. Queen Victoria had just been declared the Empress and in keeping with the times Jamshedji named it Empress Mill. Tata operates in more than forty countries across six continents. Taj Mahal Hotel was a befitting reply to this discrimination. 00. steel and consumer goods. telecommunications. In this way he was far ahead of his times. This is equal to 2. materials. He did not just think of innovative ways of manufacturing textiles but he devised new labor practices that would satisfy the workers. communications. chemicals energy.His first step was to acquire a bankrupt oil mill and convert it into a cotton mill which he renamed Alexander Mill. Jamshedji had three key ideas in mind. 21. Tata in 1991.8% of India’s GDP. He wanted to set up an iron and steel company. that is Indians. software. Tata Group is a private conglomerate with headquarters at Mumbai.000 employees in the Tata group as per records of 2004. 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. hotels.The statistics and figures of Tata Group speak for themselves. It was not just his own personal success but also of those who worked for him and his group. world class learning institution and a hydroelectric plant.000/-In this too he was inspired by nationalist thinking. Two years later he sold it with a good margin of profit. It was completed in December 1903 for a princely amount of Rs. Its operations covers many fields related to industry and allied activities concerned with know-how and its application engineering. With this he set up a cotton mill in Nagpur in 1874. It exports products and services to one hundred and forty 6 .

Tata Management Training center. which was one of the world’s leading steel and aluminum producers. This is mainly because it is assisted by group member concern that deals with the supply of raw material like coal and iron.In information systems and communications the Tata name comes with 7 .nations. 1932 saw the establishment of Tata airlines. Tata Institute Of Fundamental Research “ deemed University. In the service sector there are Tata companies dealing with hotels. Pune. Telco now known as Tata Motors started to manufacture locomotive and engineering products from 1945. which is often called Tatanagar. Then there are Tata Chemicals and Tata Pigments. Tata offers management. Bangalore. Tata is one of the best names in the world of investments and shares. Tata Institute of Fundamental Research. In the area of education Tata’s publishing house of Tata McGraw Hill is a renowned name. Other educational institutes are Tata Institute of Science now Indian Institute of Science. Tata Energy Research Institute and Air India (Tata Airlines) owe their origins to the name of Tata. Tata Institute Of Social Science “ deemed University and National Centre for the Performing Arts. Tata Chemicals made its appearance in 1939. After an unprecedented nine rounds of bidding Tata finally clinched the deal. Tata offered to buy 100% stake in Corus at 608p per share (all cash) totaling to a value of $12. Tata Institute of Social Sciences. The name of Tata is linked to consumer durables like tea. It has turned out to be the biggest acquisition by any Indian company. general insurance and life insurance. Tata Power is one of the largest private sector companies in India and supplies power to Mumbai and parts of New Delhi. It produces steel at the lowest cost in the world. The Charitable Trust of Tata holds 65.04 billion. watches (Titan) Tata Trent (Westside) to Tata Sky and even gold and diamonds like Tanishq brand of jewellery. Tata steel made a successful bid for UK based Corus Group. January 2007 is a watershed in the history of Tata Group. In 1910 was set up Tata Hydro-Electric Power Supply Company. 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. detergents and cooking oil. economic and financial consultancy services. Production actually started in 1912. Many renowned public sector companies and research organizations like Indian Institute of Science.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.

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

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

requests the Group to manufacture cosmetics inIndia. 10 . 1945 Tata Engineering and Locomotive Company (renamed Tata Motors in 2003) is established to manufacture locomotive and engineering products.a division of Tata Sons. The company began manufacturing commercial vehicles in 1954 in a JV with Daimler Benz. opening up the aviation sector in India. 1952 Pandit Jawaharlal Nehru.India’s fi rst software services company.India’s fi rst Prime Minister.is established. 1968 Tata Consultancy Services (TCS).Tata Airlines.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. 1939 Tata Chemicals is established.

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

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

nurturing talent. Jamshedji's vision for the Group was in line with nationalist goals and ideals then. Ratan Tata disproved his critics. enhancing leadership capability and acting with pace. by developing leading edge solution in technology. Jehangir Ratanji Dadabhoy Tata (JRD) became the Chairman of the Tata Group and played a significant role in continuing the vision of the group. and envisaged to make India self-reliant. He restructured Tata Group's business operations and made the Group compete globally. Our OFFER.the biggest overseas acquisition by an Indian company. by fostering team work. Tata Consultancy Services went public and Tata Motors was listed in the New York Stock Exchange. process and products. Ratan revamped the operations of Tata Steel and made it one of the lowest-cost steel producers in the world. 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. Tata's assets climbed from INR 620 million in 1939 to INR 100 billion in 1990. the UK-based steel company. Ratan Naval Tata (Ratan Tata/Ratan) took over the Chairmanship from JRD Tata. over the years. for $ 12.Tata Steel is now the world’s 6th largest steel producer with capacity of 26 million tonnes per annum and operations in 24 countries. as the Tatas lacks an heir who can succeed Ratan. However. Our INNOVATIVE APPROACH. delivering premium products and services and creating value with our customers. pride and passion. In 1991.1 bn. After Ratan Tata's retirement who would succeed him and carry the vision of the Group is a dilemma.In a major step in its unfolding strategy of growth and globalisation. Starting from the late 1990s. the group is at cross-roads to decide who will be the next chairman. 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. After Jamshedji. 13 . Tata Steel acquires Corus. Under Ratan Tata's chairmanship. Although he was initially criticized for his poor performance. Our PEOPLE. by becoming the supplier of choice.

Core business when started / established : 14 .Our CONDUCT. by providing a safe working place respecting the environment. caring for our communities and demonstrating high ethical standards. 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.

and he became Communist member of Parliament for Battersea North in 1922. Tata commissioned a series of surveys in India's coalproducing areas.500 miles of steel rails to Mesopotamia. and went to Birmingham. Rapid expansion to support the Allied war effort was 15 . A conscious decision was made to retain control within India of the new enterprise. such as Bihar and Orissa in the northeast of the subcontinent. the way had been opened for private enterprise with the introduction of a more liberalized mineral concession policy in 1899. production was meeting expectations and during World War I the company exported 1. the Tata Iron and Steel Company.000 Indian investors came forward and the whole share issue was taken up. Lord George Hamilton. By 1916. the Tata brothers set out to raise Rs 23. which had been established some years earlier to represent the interests of the family cotton business. Within eight weeks some 8. Also involved in the surveying was Tata's nephew. A factory and township were carved from the jungle and named Jamshedpur. however. In the face of warnings that India could not afford a flotation of this size. After a series of disappointments. American specialists were brought in and began surveying in 1903. With Julian Kennedy's help. In England in 1900. his sons Dorabji and Ratanji began development of the Bihar site. to locate iron ore within easy reach of coal deposits and water. 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 1904.2 million in shares. Shapurji Saklatvala. he joined his uncle's London office. In India. to study the coking process in action. both essential elements in steel production. He visited the United States to seek the advice of the world's foremost metallurgical consultant. There were enormous initial problems in clearing the Sakchi site and. There. His energies were soon channeled away from business matters and into politics. by seeking out Indian investors. Alabama. whose health suffered so much that he was sent to London to recuperate. he discussed his plans with the secretary of state for India. Four years after Tata's death. in ensuring that the coal was of a uniform quality. once production began. Julian Kennedy.Development of Tata Iron & Steel Company: Late 1800s-1980s From the mid-1880s. The Tatas retained 11 percent of the stock for themselves.

Government attempts to nationalize TISCO in 1971 and 1979 were defeated. Further difficulties were created in the late 1970s by chronic shortages of coal. it was believed. however. by now TISCO's biggest customer. By 1970. upgraded four years later to the Two Million Ton Project (TMP) to give TISCO the capacity to produce two million tons of crude steel. power. however. as the biggest steel plant in the British Empire. An estimated Rs 45 crores of salable steel was lost during 1979-80 because of these shortages. with a further 20. the government restricted TISCO's dividend to 12 percent to force it. however. 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. and in the following decade began to benefit from a relaxation of government control as a more pragmatic attitude to the 16 . TISCO employed 40. In 1978.000 in the neighboring coal mines. and a major earthquake in Japan. it became imperative in the late 1940s to begin replacement of the plant. transport and labor difficulties.followed by Depression during the 1920s with escalating prices. An ever-increasing range of government legislation to bring private sector businesses into line with national economic planning on the Soviet model. hampered Tata's freedom to develop in the postwar period. World War II brought a resurgence in demand for Tata products and the company specialized in the manufacture of armored cars. 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. Following six years of almost continuous production to serve the war effort. to plough money into modernization. as India's only private sector steel producer. which were used extensively by the British Army in the North African desert. in part. In association with Kaiser Engineering of the United States capacity was expanded and a Modernization and Expansion Program (MEP) was launched in 1951. TISCO soldiered on. and rail transport. TISCO emerged from the 1930s. to retain an efficient private sector yardstick against which the performance of public sector companies could be judged.000 people at Jamshedpur. known as Tatanagars. Expansion was restricted by a government committed to helping nationalized industry. however.

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

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

The central theme of the Tata Group purpose statement. 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 . This will have a positive impact not only on our competitive advantage but also on the corporate reputation.Tata Steel will strive continuously to foster a climate of openness. In the coming years. fairness and equity in all its dealing with its employees. It is committed to equal employment opportunities for attracting the best available talent and ensuring a cosmopolitan workforce.improvement and innovative work in environment. develop their potential and maximise their productivity. 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. 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 . "Our Purpose in Tata is to improve the quality of life in the communities we serve" is a powerful guiding statement. It will aim at ensuring transparency. Policies HUMAN RESOURCE POLICY Tata Steel recognises that its people are the primary source of its competitiveness.

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

no Tata company or employee shall engage in restrictive trade practices. abuse of market dominance or similar unfair trade activities. laying the foundation of the Tata Group. 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. 1874 21 . 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.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. Progress over the years 1868 Jamsetji Nusserwanji Tata starts a private trading firm. Specifically.

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

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

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

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

2008 Tata Motors unveils Tata Nano. a division of Tata Sons. at the 9th Auto Expo in Delhi on January 10.2006 Tata Sky satellite television service launched across the country. Tata Steel celebrates its centenary on August 26. Foundation stone for the Tata Medical Centre unveiled in Kolkata. develops Eka. 2007. Tata Chemicals acquires General Chemical Industrial Products Inc. Computational Research Laboratories. 2008. one of the fastest supercomputers in the world and the fastest in Asia. TCS inaugurates TCS China — a joint venture with the Chinese government and other partners. 2007 Tata Steel acquires the Ango-Dutch company Corus. the People’s Car. making it the world's fifthlargest steel producer. Tata Motors acquires the Jaguar and Land Rover brands from the Ford Motor Company. organization & management Structure ORGANISATION STRUCTURE  26 . The Taj acquires Campton Place Hotel in San Francisco.

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

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

29 . Chatterjee spoke of the increasing importance of branded steel in the company's scheme of operations . This was because.8 million tonnes in 2008 (on schedule) and 6. with special emphasis on engines of growth like India. even though Tata Steel had a leadership position in finished goods like automobiles and white goods. Russia. Of course.000.a ten-foldplus increase in just ten-plus years. In an aside. Chatterjee made an interesting observation . there was no better time for Tata Steel to spread its wings and fly. 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. Indeed. From these high-level discussions emerged a target .whenever a country's per-capita GDP had exceeded $3. 5 to 6. a small operation with only 4 million tonnes annual capacity. 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. Also. With India's GDP almost at that threshold. with gradual increments over the years: 4 to 5 million tonnes in 2005 (already achieved). a metal boom had been witnessed. there is a strong co-relation between GDP and consumption of metals. according to Chatterjee. many of the company's recent investments bear ample testimony to its belief in the strength of emerging economies. Target capacity was set at 10 million tonnes by 2010.8 to 10 million tonnes in 2010 (expected). More importantly. Shri Jamshedji Nusserwanji Tata. it was.aptly named after the great man who envisioned the place. as well as brainstorm on how to achieve it. Although an ideal township where nature is in perfect harmony with steel manufacturing. China. subsequently revised to 50 million tonnes . in many other aspects it lagged behind its competitors. as regards a foreign presence. admittedly.5 billion in annual sales.15 million tonnes annual capacity by 2015.it now accounts for $1.locales of Jamshedpur . South-East Asia and Brazil. the company's jewel in the crown Jamshedpur was to be very much a part of the action.

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

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

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

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

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

Executive Independent Director) (Non .Executive Non independent Director) (Managing Director) Dr T Mukherjee (Non Executive Director) (Non Executive Independent Director) MANAGEMENT (As on 14th April.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 . Global Mineral Resources 35 .Executive Independent Director) (Non . 2008) Mr B Muthuraman Mr H M Nerurkar Mr A D Baijal Managing Director Chief Operating Officer Vice President & Tata Steel Group Director.

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

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

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

The registered office of Tata Steel is in Mumbai. 1956.700 people (as of 2007). 2008. the company was recognised as the world's lowest-cost producer of steel. The company is listed on BSE and NSE. 2008) Mr B Muthuraman (Managing Director) Mr H M Nerurkar (Chief Operating Officer) Mr A D Baijal (Vice President & Tata Steel Group Director. BOARD OF DIRECTORS (As on 14th April.350 crore during the year ended March 31.with consolidated revenues of Rs 1. Jharkhand. 2008) Mr R N Tata (Chairman) Mr James Leng (Non . The Jamshedpur plant contains the DCS supplied by Honeywell. The company was also recognized as the world's best steel producer by World Steel Dynamics in 2005. and employs about 82.32. Global 39 .Executive Independent Director) Mr Philippe Varin (Non .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 . Management Tata Steel is a limited company registered in India under the Companies Act. the company has become a multinational with operations in various countries. Its main plant is located in Jamshedpur.Executive Independent Director) Dr Anthony Hayward (Non . In the year 2000.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. though with its recent acquisitions.110 crore and net profit of over Rs 12.

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

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
42

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 . and will not only be preserved. shareholders and the community. Our long-term success requires us to considerably focus our portfolio. our management efforts and our investment priorities so that Group synergy is brought to bear at the point of delivering value to the customer. 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. unique in India. 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. Our past success in delivering such purpose provides the basis for our belief in the future and our role in it. This is a precious heritage. Our heritage invokes trust among consumers.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.

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

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

o o o o o o Enhance employee's knowledge. Internal accounting and audit procedures shall reflect. 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. 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. Harmonise its economic progress with social and community considerations. all of the 48 . Health and Quality Management Programmes. Eliminate. The Company will institutionalise Evaluation and Improvement system in business practices to make rapid progress. skill and consequent involvement in Environment. fairly and accurately. Safety. This policy will be made available to all the interested parties on demand. Make systematic and progressive reduction of losses in operational areas by deploying Total Productive Maintenance. principles. Preserve and develop environment by reduction in pollution in all its forms and nurture the eco-system within and outside the organisation. standards.

and shall have internal controls to provide assurance to the company’s board and shareholders that the transactions are accurate and legitimate. authorise. unlawful commission or bribing. Outlook 49 . All required information shall be accessible to company auditors and other authorised parties and government agencies. abet or collude in an improper payment.company’s business transactions and disposition of assets. There shall be no willful omissions of any company transactions from the books and records. 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. 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. apart from inviting appropriate civil or criminal action under the relevant laws. no Tata company or employee shall engage in restrictive trade practices. material misrepresentation of and / or misinformation on the financial accounts and reports shall be regarded as a violation of the Code. 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. Any willful. No employee shall make. abuse of market dominance or similar unfair trade activities. Specifically. no advance-income recognition and no hidden bank account and funds.

to ‘BB’. 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. 2008. At the same time. and intellectual property rights). plants. 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. 50 . from ‘BB+’.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. 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. The rating on Tata Motors was lowered on April 4. July 9 Standard & Poor’s Ratings Services said today it kept its ‘BB’ corporate credit rating on Tata Motors on CreditWatch with negative implications.3 billion in cash for Jaguar and Land Rover (comprising brands. after the announcement of the agreement with Ford Motor Co for the purchase of Jaguar and Land Rover. Tata Motors has paid about $2. pending finalisation of the long-term financing plans for funding the company’s purchase of Jaguar and Land Rover from Ford. S&P keeps negative outlook for Tata Motors Mumbai. Standard & Poor’s ratings on all Tata Motors’ rated debt remain on CreditWatch with negative implications.

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

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

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

gender. no Tata company or employee shall engage in restrictive trade practices. colour. nationality. respect for the right to privacy and the right to be heard. ancestry. caste. directly or indirectly. 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. marital status.open markets and shall promote the liberalisation of trade and investment in each country and market in which it operates. and that in all matters equal opportunity is provided to those eligible and decisions are based on merit. any illegal payments. or perceived. donations or comparable benefits that are intended. 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. religion. 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. as well as compliance with all local labour laws. Specifically. remuneration. Human resource policies shall promote diversity and equality in the workplace. whether physical. abuse of market dominance or similar unfair trade activities. verbal or psychological. to obtain uncompetitive favours for the 54 . while encouraging the adoption of international best practices. age. ethnic origin or disability. Employee policies and practices shall be administered in a manner consistent with applicable laws and other provisions of this Code. sexual orientation. Clause:5 Gifts and donations A Tata company and its employees shall neither receive nor offer or make.

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

A Tata company. as stated in the Tata ‘corporate sustainability protocol’. Clause:10 Corporate citizenship A Tata company shall be committed to good corporate citizenship. 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. while striving for their total satisfaction. A Tata company shall display adequate health and safety labels. healthy. 56 . social and environmental sustainability. in the process of production and sale of its products and services. clean and ergonomic working environment for its people. The company shall encourage volunteering by its employees and collaboration with community groups. and shall endeavour to offset the effect of climate change in all spheres of its activities. shall strive for economic. from time to time so as to set strategic direction for social development activity. Clause:9 Quality of products and services A Tata company shall be committed to supply goods and services of world class quality standards. particularly with regard to the emission of greenhouse gases. The quality standards of the company’s goods and services shall meet applicable national and international standards. caveats and other necessary information on its product packaging. safety and environment A Tata company shall strive to provide a safe. 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.Clause:8 Health.

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

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

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

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

the employee concerned shall be required to take necessary action. c) An independent judgement of the company’s or Group’s best interest cannot be exercised. adequate and full disclosure by interested employees shall be made to the company’s management. promotion or recruitment of a relative of an employee of a Tata company. Upon a decision being taken in the matter. resulting in a benefit to him / her or his / her relative. to resolve / avoid the conflict. 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. It is also incumbent upon every employee to make a full disclosure of any interest which the employee or the employee’s immediate family. supplier. spouse and children. including parents. c) The interest of the company or the Group can be compromised or defeated. 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. personally or to any of his / her relatives. where such an individual is in a position to influence decisions with regard to such benefits. 61 . posting. may have in a family business or a company or firm that is a competitor. b) Award of benefits such as increase in salary or other remuneration. as advised. 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. by making or influencing decisions relating to any transaction. 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.

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

Such reporting shall be made available to suppliers and partners. and / or third-party ethics helpline. intellectual property. act of misdemeanour or act not in the company’s interest. systems. Such a protected disclosure shall be forwarded. when she / he becomes aware of any actual or possible violation of the Code or an event of misconduct. providing for reporting to the chairperson of the audit committee or the board of directors or specified authority. proprietary information. at all times. which shall bear the identity of the whistleblower. too. Clause:25 Reporting concerns Every employee of a Tata company shall promptly report to the management. the approval of the management. materials and resources. facilities.are duly authorised. These include tangible assets such as equipment and machinery. Any Tata employee can choose to make a protected disclosure under the whistleblower policy of the company. 63 . 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. subject to this involvement having no adverse impact on the business affairs of the company or the Tata Group. as well as intangible assets such as information technology and systems. with a covering letter. the integrity of data or information furnished by him/her to the company. 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:24 Integrity of data furnished Every employee of a Tata company shall ensure. and relationships with customers and suppliers. when there is reasonable evidence to conclude that a violation is possible or has taken place.

Now they have begun understanding that a strong commitment from investors and other stakeholders can lead to similar payoffs for the organisation. that the ministry of finance. It is no surprise. 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. though they are the farthest away and the most fragmented. More important is a culture of self-policing. its shareholders. 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 regulations can be a guide. in this process. remain at the heart of the company. the communities in and around the areas where it operates. therefore. 64 . Much before the business world woke up to the importance of evolving a 'method' for corporate governance. consequently. superior products. Government of India. Articles on governance The covenant and the code Long before corporate governance became a buzzword in industry circles. Tata Steel has imbibed this culture better than most. and shareholders — at every stage of its evolution. Two years later Tata Steel bagged the golden peacock award for excellence in corporate governance and corporate social responsibility from the Institute of Directors. regulators. awarded the company the national award for excellence in corporate governance in 2000. 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. an apex association of company directors. Tata Steel had already been practising its substance." Tata Steel has engaged all its stakeholders — a broad category that includes employees. The shareholders. but it has a fallout effect on other constituents too. at best.The company shall ensure protection to the whistleblower and any attempts to intimidate him / her would be treated as a violation of the Code.

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

the third layer of its corporate governance structure. 66 . research and development. institutions and individuals in a wide variety of areas. business excellence. but if we find that someone has flouted rules we take decisive and immediate action. The reason is as simple as it is remarkable. The office of the ethics counsellor executes this vision. To ensure that a culture of self-motivated ethics percolates to the rank and file. Over generations. safety. The trusteeship principle governing the way the group functions casts the Tatas in a rather unique light: capitalistic by definition but socialistic by character. Tata Steel lays plenty of emphasis on communication. Says ethics counsellor Rekha Seal. information technology. The wealth that accrues from this asset supports an assortment of causes. etc. 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. We start with the given that everyone is honest." 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.8 per cent of the shares of Tata Sons. This is important because trust is the foundation of our name and our brand. the holding company of the group.management. "We manage with trust.

Sir Dorab Tata and Sir Ratan Tata. both of whom donated the major chunk of their personal wealth for the public good. and Gyanpeeth awardwinning writer and actor Girish Karnad. Jayant Narlikar and Raghunath Mashelkar. A funding agency How do the trusts operate? Says Shernaz Vasunia. renowned scientists Raja Ramanna. who became one of the first women gynaecologists in India and who would come to have a maternity hospital in Mumbai named after her. The maiden grant was to Dr Freney Cama. funding their education through loans and grants. The Endowment has thus far supported more than 3. Illustrious JN Tata Endowment scholars include former president KR Narayanan. Batliwala. who heads the Sir Dorabji Tata Trust: "Our trusts don't handle corporate social 67 .Support for higher studies This was the sentiment that led Jamsetji Tata to establish the JN Tata Endowment Scheme for higher education in 1892. The scheme helped bright Indian students of moderate means become administrators. the Group's holding company.500 scholars. 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. Of the 37 beneficiaries in the first batch. 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. The remaining comes from their own statutory investments. lawyers and engineers." Adds Sarosh N. realising Jamsetji Tata's objective that Indians should learn how to govern themselves. doctors. over a third of Indian ICS officers were Tata scholars. By 1924. 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. scientists. the colonial version of the Indian Administrative Service. Sir Dorab was the quintessential entrepreneur.

It also works with international agencies such as the United Nations. 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. the selected scholars may also qualify for a gift award. Students in the final year of a degree course and those awaiting results can also apply. The endowment awards only loan scholarships. However. It is the first Tata benefaction in the field of education. they are more of a funding agency. some research.responsibility. and does not cover the full cost of studies." The Sir Dorabji Tata supports different kinds of NGOs — some do social work. to encourage young people to take up higher studies at some of the best universities in the world. like the Ford Foundation. From time to time the Sir Dorabji Tata Trust also initiates the process for establishing institutes of national importance. JN Tata Endowment The JN Tata Endowment was set up in 1892 by the founder of the Tata Group. Jamsetji Tata. while others are community based — usually for a period of three to five years. mostly in times of natural disasters. 68 . 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. and possibly the first of its kind in Asia.

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

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

• •

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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What started as a small institution offering post-graduate diplomas in social work has grown into a university with diversified activities. 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. it was renamed the Tata Institute of Social Sciences (TISS). about the history of the Institute. Dr Manshardt was its first director. RR Singh. in the premises of the Nagpada Neighbourhood House. The concept of labour welfare in India directly evolved from the work of the Dorabji Tata Graduate School. "Our labour welfare and industrial management course was formulated because we believed labour problems needed attention. the Dorabji Tata Graduate School of Social Work was established for professional training in social work. In 1944. was opened on October 6. says TISS's present director. 1954. In 1948. Though it was a diploma course. as well as publishes and disseminates this 75 . In 1936." The present campus of the Institute. It helped that these concepts were already part of the Tata culture.institute for social work took root. It trains professionals in human resources and social work. in the first year itself there were 400 applicants for 20 seats on offer. the Labour Act was introduced. at Deonar in Mumbai. by the then prime minister. carries out research on social problems and social sciences. both in educational programmes and infrastructure. the School successfully worked to influence national laws and policies. "We pioneered programmes which were later enacted into laws by the Indian government. Jawaharlal Nehru. Today TISS is one of India's premier educational institutions. Since then the Institute has expanded continuously. Between 1936 and 1948. 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).

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

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

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

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

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

000 square metres. "we need a Tata Memorial Hospital in every state. and 72 per cent of them will be from the third world. By 2020. 81 . If you think this is bad news.” says Dr Ketayun Dinshaw. 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. Today. The annual budget. wanted to bring to India a facility similar to the ones where his wife was treated abroad.000 sq metres. Nowroji Saklatwala. At any given time there are 2. on February 28. opening in Parel. Bombay. After four years. pursued this dream. After Dorabji's death. the next chairman of the Tata Group. TMC now has more than 440 beds spread over almost 54. the Cancer Research Institute — set up in 1952 — and TMC were merged.000 in 1941. TMC treats about one-third of the cancer patients in the country. her husband. 1941. the number of patients globally will shoot up to 20 million. from imaging to staging and actual therapy. Starting as an 80-bed hospital covering an area of 15.000 are diagnosed with this dreaded disease every day. More than 50 per cent of them are from developing countries. a seven-storey structure. In 1957. Is India geared for this future? “Not at all. In India 800.5 million cancer patients in the country. director. Sir Dorabji Tata. Rs500. Tata Memorial Centre (TMC).About 10 to 12 million people the world over suffer from cancer. After Lady Meherbai Tata died of leukaemia in 1932. Administrative control of the hospital was then transferred to the Department of Atomic Energy in 1962. But it was the support of JRD Tata that finally saw the Tata Memorial Hospital. is now close to Rs280 million. adding. the Ministry of Health temporarily took over the Tata Memorial Hospital." 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. there's worse to come.

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. About 70 per cent of patients seeking primary care are treated free of charge. 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. Research and Education in Cancer) to focus on research into cancers relevant to India and South Asia. not only from all over India but from neighbouring countries as well. "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. "In fact. TMC has also realised the importance of preventive activities and is reaching out to create awareness even in rural areas. She recalls how committed JRD was to the institution.TMC is a comprehensive centre for the prevention and treatment of cancer. Nearly 25. scientists and technicians undergo training at the hospital. Over 150 students." Tata Institute of Fundamental Research 82 . The Centre lays a lot of emphasis on education in the field of cancer. medical professionals." says Dr Dinshaw.000 patients visit the clinics each year. and for research. It is a landmark on the global health map and particularly important to this part of the world. Over the years.

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

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

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

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

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

and the National Balloon Facility in Hyderabad. which has been formed specifically for this purpose. Kolkata. cure.5 – 3 million cases of cancer and the 88 . School of Technology and Computer Sciences) and as many centres (the Homi Bhabha Centre for Science Education in Mumbai. The hospital has 150 beds reserved for the underprivileged and is being provided with the best of medical equipment and personnel. diagnostic. The need for such a centre is acute. It was envisioned to provide a world-class cancer care organisation for the region. 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. TMC’s mission is to promote prevention. It will be managed by the Tata Medical Centre Trust (TMCT). The hospital will have outpatient. the National Centre for Radio Astrophysics in Pune. therapeutic. Tata Medical Centre (TMC) The Tata Medical Centre (TMC) is a comprehensive cancer hospital and research establishment coming up in Kolkata. India. • The Institute also runs four facilities: the Giant Meterwave Radio Telescope at Kodad near Pune. the High-Energy Cosmic and Gamma Ray Laboratories at Pachamarhi in Madhya Pradesh. inpatient. To be commissioned in 2009. • TIFR has three schools (School of Mathematics. The teams will work with state-of-the-art equipment from the best of manufacturers worldwide. School of Natural Sciences. especially for the poor. telemedicine and other services. rehabilitation and palliation for cancer patients.• TIFR's pioneering work led to it designing India's first digital computer (TIFRAC). given that India has about 2. the National Centre for Biological Sciences in Bangalore).

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

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

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

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. 92 .Human Resource TMC is bringing together a team of dedicated. education and research in the field of cancer. Activities include: • • • • • Patient support Financial Aid Counselling Patient navigation Helpline The objective at TMC is to build an organisation that excels in services.

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

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

and others. the Asian and Commonwealth Games. Athletics Mohinder Singh Gill KL Powell Parveen Kumar Edward Sequeira Shivnath Singh VC. Shetty Jujhar Singh Rajinder Singh Saroj Lakra 95 . Here are the most prominent of them. 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. 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. both on the playing fields and beyond. Countinho Anil Kumar MG. Among them are world champions. winners at the Olympics.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.

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 .

That it can be done is beyond doubt. 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. 97 . but this is a task requiring a commitment to ideals more than bottom lines. 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. to the good earth rather than profiteering. Pollution and Ecology Environment The Tata ethos places a special emphasis on environmental and ecological issues. in this context.Approach towards the Environment. The long history of the Tata Group teems with examples of just such a commitment. 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. A focus area for the Group.

among other activities." says Kishor Chaukar. "Ours is a deliberate effort to do more than what is required by statute. is being 98 . improve land and water use. A host of Tata companies also adhere to environmental procedures drawn up by the Global Reporting Initiative (GRI). on the environment front and on the entire corporate responsibility issue. to preserve and enrich the environment in and around their areas of operation. Important as it is. and the philanthropic thrust of the Tata trusts. From this flows its support for endeavours to conserve plant and animal species.The Tata ethos places a special emphasis on environmental and ecological issues. and protect forest tracts and green sanctuaries. 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. the environmental efforts of group companies. "Our real contribution. which operates under the aegis of the United Nations. often in rural regions and frequently facing inequitable struggles to secure livelihoods. following directives and guidelines from within and without is just one facet of the Tata approach to environmental issues. Tata Council for Community Initiatives. chairman." says Mr Chaukar. big and small. The flora and fauna stories and articles in this subsection attempt to encapsulate the Tata Group's allegiance to the environmental cause. community development and livelihoods. which support a diverse cluster of non-governmental organisations working in areas such as the management of natural resources. "Environment is a focus area within our overall corporate social responsibility matrix. a centrally administered nodal agency that coordinates. 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. The Group's contribution to conservation falls into two categories: the efforts of different Tata companies. The greater portion of what the Group does in this sphere is by choice and conviction.

Our forests are fading. Environment policies 99 . have no God-given right to do what I please with what can never truly belong to me. is that we have borrowed it from our children and the generations after them. our water. our climate is mutating. Business can — and do. Meanwhile. our oceans are rising. I as a factory. "Some people think that environmental matters are cause for concern. the snowcaps on our mountain peaks are shrinking. far-removed place — how can that ever be justified? There used to be a time when rivers were sources of clean drinking water. 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. our air and our bodies are becoming the unwitting recipients of all manners of toxic intruders. on the other hand. the discourse of our times. The reality. carriers of filth and waste. Polluting the environment in one place to supply a product to consumers in some other. as I see it." Mr Chaukar articulates the Group's environmental philosophy as an obligation to society. "Looked at from that perspective. 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. The general mindset. I as a corporate entity." 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. and that's what the Tatas are doing. tends to see the environment as something we have inherited from our ancestors. as the Tatas have proved — make a huge difference in turning this beastly tide. and that means doing much more than staying on the right side of the law. There is no way out of this messy situation other than affording the environment the highest priority. The Tatas. it becomes obvious that I as an individual.socially responsible.

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. Tata companies are committed to complying in full measure with all regulations relating to the preservation of the environment around its operations. customers. To integrate environmental parameters in the Tata Business Excellence Model and the Tata Code of Conduct. and share their experiences through case studies and exchanges. By constantly upgrading the technologies they use and by applying the best of sustainable processes and practices. 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. It does this by protecting. 100 . use and disposal of any of their products and services.The Tata Group has striven to be responsible and sensitive on ecological and environmental matters. Towards this end. development. often beyond what is mandated by government and other institutional policies. they endeavour to give environmental issues the priority they deserve. The companies are dedicated to constantly improving their performance on the prevention of pollution. conserving and restoring natural resources. To enhance awareness and to train Group environmentalists through workshops. the proper use of natural resources and the minimisation of any hazardous impact stemming from the production.

Publish annual environmental performance in annual reports. Define a corporate environment policy and communicate that to all employees. Train its workforce on environmental issues and assign management representatives and facilitators to the task of monitoring environmental systems. Set up environmental management systems and programmes at the organisational level and annually budget for environmental improvement. Establish a convention for conducting impact-assessment surveys and periodic audits.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. This is to be followed by lifecycle assessments and eco-labelling for product stewardship throughout the supply chain. Regularly scrutinise resource consumption and the quality of air. The environment policies of the Tata Group are reviewed continually. water and land in and around the areas where it operates. Set quantitative objectives and targets for continuous improvement (preferably beyond legal compliance). Review environmental performance at different levels in the management hierarchy. Encourage applications and attainment of eco-labels and accreditations such as ISO 14000/01. 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 .

                                                                Awards • CII EXIM Bank Award 2005 – "Certificate for Strong Commitment to Excel". environment protection and enrichment and development of local communities in its areas of operations. 102 . 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. “Giving back is a means towards going ahead". pisciculture. health services. family planning. Our widespread programmes on biodiversity conservation. The company has a simple philosophy that guides its activities in these matters.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. afforestation.

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

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

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

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

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

108 . 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.

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

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

producing met coke and electric power.• • • • • Hooghly Met Coke & Power Company: A joint venture with the West Bengal Industrial Development Corporation. mainly for captive use. Sila Eastern Company: Established to develop limestone mines in Thailand.000 tonnes. Tata Steel KZN: Setting up a high carbon ferrochrome plant in South Africa with an annual production capacity of 135. 111 . Lanka Special Steel: A Sri Lankan unit that manufactures galvanised wires. 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.

and operations and maintenance management in India and overseas.200km Tala transmission project. distribution and trading. Tata Power has a 110kw solar plant at Walwhan. hydro and wind energy generation. The hydro stations are at Bhira. Maharashtra and a 17mw wind power project at Supa. from generation.000mw mega power project in Mundra. • • • Power generation: Tata Power’s thermal power stations are at Trombay in Mumbai. transmission and distribution projects. the company is implementing a 4. with a presence in generation. Areas of business The company operates across the entire power value chain. The company was established in 1911 as the Tata Hydro-Electric Power Supply Company to supply power to Mumbai. Gujarat. Tata Power has an installed power generation capacity of over 2. 112 . It is a partner in the 1. Transmission and distribution: The company supplies power to the cities of Mumbai and Delhi. Jojobera in Jamshedpur and Belgaum in Karnataka (southern India). Maharashtra. transmission and distribution to trading and consultancy. Bhivpuri and Khopoli in Maharashtra (western India) and the wind farm is in Ahmednagar. India's first interstate transmission project and one of the largest power grids in the world.300mw in the areas of thermal. Maharashtra. solar. transmission. Trading: The Tata Power Trading Company has the licence to carry out transactions in power trading in India.Tata Power Tata Power is India’s largest power utility in the private sector today. In addition. Power project related services: The company provides expertise in setting up independent and captive power plants.

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

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

• • • • • • • 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. founded in 1922.000 people. Concorde Motors is a 100 per cent subsidiary retailing Tata Motors’ range of passenger vehicles. Hispano Carrocera is a Spanish bus manufacturing company in which Tata More has a 21-per cent stake.500 engineers at two product development centres. 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. in Whitley in Coventry and Gaydon in Warwickshire. Land Rover has been manufacturing 4x4s since 1948. 115 . Areas of business Jaguar Cars. The Jaguar Land Rover business employs over 16. is one of the world’s premier manufacturers of luxury saloons and sports cars. Jaguar Land Rover’s manufacturing facilities are in the UK. TAL Manufacturing Solutions is a 100-per cent subsidiary that provides factory automation solutions and designs and manufactures a wide range of machine tools. Its products have defined the segments in which they operate. Jaguar Land Rover’s manufacturing facilities are in the UK. predominantly in the UK. including some 3. Tata Cummins manufactures high horsepower engines used in the company’s range of commercial vehicles.

116 . Discovery 3. Tata Steel holds a 98 per cent stake in the company Areas of business HMCPC is setting up a greenfield project at Haldia. Land Rover's Defender. Location Jaguar Land Rover is based in the UK. UK. with 78 per cent of Land Rovers exported to 169 countries and 70 per cent of Jaguars exported to 63 countries. the plant’s waste heat will be harnessed for power generation by Tata Power Company. Hooghly Met Coke and Power Company (HMCPC) is a joint venture involving Tata Steel and the West Bengal Industrial Development Corporation (WIBDC). Sales to customers are conducted principally through franchised dealers and importers.The Jaguar XF. while the Jaguar X-TYPE is produced alongside the Land Rover Freelander 2 at the Halewood plant in Liverpool. and for sale in the domestic and international market. Hooghly Met Coke and Power Company (HMCPC) Incorporated in 2005. The business is a major wealth generator for the UK. West Bengal (in eastern India) with a proposed capacity of 1.6 million tonne of metallurgical coke. The project will supply metallurgical coke to the blast furnaces of Tata Steel at Jamshedpur. UK. UK. Designed to meet stringent environmental norms. Range Rover Sport and Range Rover models are all built at Solihull. XJ and XK models are manufactured at the company's Castle Bromwich plant in Birmingham.

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

The Croma chain The company has a technical and sourcing agreement with Australian retail giant Woolworths.000 to 20. music. 118 . computers. 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. imaging and gaming software .000 products and 180 brands in eight categories: home entertainment. white goods. The stores are spread over 12. a wide range of consumer electronics products across categories and brands. Areas of business The Croma chain of stores offers. small appliances.000 sq ft and have more than 6. in different cities of India. communication.

etc. Today the company works with several urban local bodies and is currently executing projects across the country in Kolkata. 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. maintenance and distribution of power. concession. 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. etc of water and wastewater systems. construction. 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. Muzaffarpur. • Planning. Gwalior. • Power services: Operation. engineering and construction: Town planning. It was hived off as a separate company in 2003.Location Infiniti Retail is headquartered in Mumbai. Haldia. Areas of business • Water and waste water management: Operation and maintenance. • Public health and horticulture services: Environmental management for healthy living. Bangalore. industrial construction and urban infrastructure. Bhopal. 119 . Jusco was formerly a part of Tata Steel and has been providing municipal services for Jamshedpur since 1907.

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

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

Nelco Nelco is focused on system integration. wire mesh. Joint ventures. defence electronics and VSAT networks. prefabricated cages. NatSteel Australia Pty China: Wuxi Jinyang Metal Products . wire rods. automation and product management solutions for industrial controls. 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. steel couples and ecomas starter bar systems. power electronics. 122 . associates • • • • • • • • • Singapore: NatFerrous Pte. subsidiaries. NatSteel (Xiamen) Indonesia: PT Material Recycling Indonesia Malaysia: Easteel Services (Malaysia) Sdn Bhd.Areas of business The company makes reinforcement bars. NatSteel Trade International Australia: Best Bar Pty.

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

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

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

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

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

streets and communities. Tata Capital Tata Capital is a finance company that fulfills the financial needs of retail and institutional customers in India.Areas of business Tata BP Solar provides customised solar solutions for: • • • • • Homes. Road-safety aids. tier II and tier III cities. The company is focused on providing multiple financial services through an extensive network of over 1. 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). Location The company’s head office and manufacturing facilities are in Bangalore. Heating of water for residential and commercial applications. 128 .000 customer touch-points covering tier I. The pumping of water for irrigation. The building of integrated photovoltaic capacities.

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

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

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

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

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

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

• Instant tea: Tata Tetley has an export unit that sells a range of instant tea powders in the US. • Tata Tetley: A subsidiary of Tata Tea. • Other beverages: Ready-to-drink teas. • Tata Tea Inc: A subsidiary of Tata Tea based in Florida. as well as interests in Sri Lankan plantations. subsidiaries. Eight O'Clock Coffee is the third-largest coffee brand in the US. USA. has worldwide branded tea operations.000 million tonnes of instant and ground coffee annually. a subsidiary of Tata Tea. 135 . It has an exclusive stocking arrangement with the Barista range of coffee bars. • Coffee: Tata Coffee produces 9. • Plantation operations: The company has over 50 tea estates in India. supplies basic instant tea powders in bulk to manufacturers. runs an export unit that supplies instant tea powders to the US. Tata Coffee: Formerly Consolidated Coffee. Tata Tea is also associated with the following companies: • Mount Everest Mineral Water Company: Producer of the Himalayan brand of bottled mineral water. associates • • Eight O’Clock Coffee: Acquired by Tata Coffee. • Watawala Plantations: Tata Tea has a substantial interest in this Sri Lankan plantation company. Joint ventures. • Tetley Group: UK-based tea major. energy drinks and Himalayan branded mineral water are a part of Tata Tea's portfolio.

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

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

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

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

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

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

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

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

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

4 Voltas 2.Market capitalisation of Tata companies Market capitalisation of 13 Tata Group companies as on 8th October Name of the Company Tata Consultancy Services Rs.490 $ billion 11.7 Tata Motors 11.492 3.8 145 .6 Tata Tea 3. Resorts and Palaces 3.716 5.5 Tata Steel 24.1 Tata Communications 13.564 2.831 0.144 2.1 Taj Hotels.508 0. Cr 53.396 0.7 Tata Power 17.1 Tata Elxsi 323 0.

Titan 0.00 146 .005 0.8 Rallis 485 0.2 Tata Chemicals 4.955 Trent 754 0.8 3.1 Note: Exchange rate $ = Rs48.

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. Ito En. Fuji. just as it has enhanced its performance and competitiveness. Innovation workshops: Tata Quality Management Services invites experts to talk about various aspects of innovation and share best practices with Tata managers. Olympus. Toshiba and Hitachi in Japan 147 . The three key drivers are better communication and recognition of innovative ideas and efforts. propagate the relevant ones and spread them through the enterprise. and support for collaborative research and partnerships with academic institutions. HP and 3M in the US. 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.senior Tata executives visit global companies to study how they foster innovation.These missions have visited companies such as Microsoft.INNOVATION Overview In the last few years the Tata Group has extended its global footprint. The role of TGIF members is to assist their companies in experimenting with ideas. Tata Innovation Mission: Under this programme. Tata Innovation Day: Instituted to encourage creative thinking. Langdon Morris and David Wittenberg are among those who have held such workshops in the recent past. facilities for learning from other companies. Intel. this annual event and contest recognises and awards innovation among Group companies.and Nissan. Clayton Christensen.

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

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. Innovation awards TGIF celebrates ‘Tata Innovation Day’ to recognise innovators in the Tata Group. TGIF brings together technologists and researchers from different Tata companies. 149 .Thought leadership In order to capture and disseminate the learning from various initiatives. Technology and research clusters To create opportunities for technological innovation. and undertakes a technology mapping exercise. while also covering the Tata innovation missions to the US and Japan.

280 MW) to be fueled primarily by reserves from the Krishna Godavari Basin (the "KG Basin") off the east coast of India. Later.080 MW) and northeastern India (2.COMPETITORS Reliance Power Limited.900 MW) and southern India (4.300 MW).620 MW) to be fueled by reserves from captive mines and supplies from India and abroad. it is presently developing 13 medium and large-sized power projects with a combined planned installed capacity of 28. and four hydroelectric projects (3. northern India (9.000 MW). three of them in Arunachal Pradesh and one in Uttarakhand. 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. it changed its name to Reliance EGen Private Limited in January 2004. and to Reliance Power Limited in July 2007. 150 . construct and operate power projects in the domestic and international markets. Reliance Energy Limited. Along with its subsidiaries. an Indian private sector power utility company along with the Anil Dhirubhai Ambani Group promotes Reliance Power.220 MW). two gas-fired projects (10.200 MW. to Reliance Energy Generation Limited in March 2004. was established to develop. They include six coal-fired projects (14. A part of the Reliance Anil Dhirubhai Ambani Group.[1] The company website identifies project sites broadly to be located in western India (12.

620 MW) to be fueled by reserves from captive mines and supplies from India and abroad.Business Profile Reliance Power Limited is part of the Reliance Anil Dhirubhai Ambani Group and is established to develop. and four hydroelectric projects (3.300 MW). They include six coal-fired projects (14. Reliance Power has acquired the two ultra mega power projects of 4.000 MW each at Sasan in Madhya Pradesh and Krishnapatnam in Andhra Pradesh.080 MW) and northeastern India (2. Our 13 power projects are planned to be diverse in geographic location.280 MW) to be fueled primarily by reserves from the Krishna Godavari Basin (the "KG Basin") off the east coast of India. one of the largest portfolios of power generation assets under development in India. The identified project sites are located in western India (12. fuel type. The 7. 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. 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 . and each project is planned to be strategically located near an available fuel supply or load center. construct and operate power projects domestically and internationally.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. fuel source and off-take.000 MW).200 MW. northern India (9. three of them in Arunachal Pradesh and one Uttarakhand.220 MW).900 MW) and southern India (4. two gas-fired projects (10.

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

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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Tata group is one of them who had changed themselves according to the liberalization demand. there were groups that restructured themselves and survived and have prospered in the greater freedom that they now enjoy. On the other hand. Tata group had three elements to restructuring the organization: 1. 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. 157 . 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. 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. GLOBALIZATION AND PRIVATIZATION on the Current and Future Business Prospectus Restructuring Initiatives.Successes and challenges As the initial europium of opening off the company since 1991 subsided. Global deflation and reduced margins earlier strategies report that corporate India was left with only one option-restructure and cut costs or perish. corporate India was hit by the negative effects of facing up to global competition.Impact of LIBERALIZATION.

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. b) Raising ownership limits: The Tata managed most of the companies with very small stakes. One of the anecdotes a decade ago used to be the fact that Birlas have a higher in TISCO than the TATAS. we must remind investors that given the protected nature of the economy. However there was no formal set of values running across the various companies in the group. d) Creating common standards: This involved having a common quality standard. 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. c) Crating a common brand equity: The Tata name has historically been associated with a reputation for honesty and integrity. 158 . 2) Restructuring of companies internally: This included cutting costs and improving efficiencies to make the companies viable in the new economic environment. However. They now have a stake at least 26% in all major companies making it morally and legally easier to manage them. 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. so that the consumer had the assurance of getting a certain minimum from any Tata product. which each company adopt. For most investors this is the most visible and existing part of restructuring of a company or a group.

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

brand businesses accounted for around one fifth of sales..g. or remittances from other family members.g. While the commodity businesses are more cyclical. a further set of theoretical considerations is crucial. or additions to income such as through pensions provided by the state. on the other hand. Now they account for one fifth of sales in terms of profit similarly. such as savings and investment rates and education policy. in looking at distributional outcomes it is vital to distinguish primary incomes from secondary incomes. Secondary incomes. consist of deductions from individuals' primary incomes (e. In FY 1991. or public goods. 160 . brand businesses and services are playing a more significant role. Secondary incomes are thus affected by changes in government taxation and expenditure policies and by access to publicly provided goods and services. Primary incomes are those generated by the economic system (e. but also by nongovernmental organizations (NGOs) and families. Liberalization Growth rates are affected by liberalization but they also depend on other factors.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. 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. In particular. In examining inequalities within countries.. provided mainly by the state. through taxes). profits in IT services have secular growth.

VSNL was stripped of Rs. and the total works out to Rs. Privatisation. Prior to VSNL's disinvestment.425 crores.3. In this manner.200 crores that VSNL is investing in TTSL. without resorting to strategic sale the government could not only have retained control of a profitable telecom major like VSNL.561.1. VSNL was made to pay out a special dividend of 750 per cent.111 crores.761.4. based on these figures. thus becomes a means through which public resources are used to finance private accumulation. Add to this the Rs. That is. it mopped up Rs.Privatization The Tata Sons takeover of Computer Maintenance Corporation shows that it is possible to privatise without controversy. given its 52 per cent equity holding. have amounted to Rs.136. The total dividend VSNL would have paid out at that time would. In hindsight.1. the government got VSNL to pay out a dividend of 500 per cent. In addition. the government's decision not to give VSNL a basic services licence was a way of preventing it from exercising this option. which gave the government Rs. in practice.5 crores . but could have through its own investments integrated with the consumer.5 crores of its cash reserves prior to privatisation.5 crores.741 crores of the company's reserves. 161 .which is more than the total equity capital of TTSL. Here again. perhaps forged by the decision to hand the firm over to the private sector. A Tata-dominated board decides to use VSNL's cash reserves to invest in Tata Teleservices. the total dividend paid out by VSNL would have been Rs.2. through which step.1.

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

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

164 .

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

Tata steel also trying to acquire Dutch based Corus (which is 7th largest steel company in terms of volumes) in about $ 8.1313 Crore deal in 2004. and is owned by millennium partner. The UK subsidiary which own Tetley. International Hotel Management Service. 166 . which runs Hotels and Resorts under Taj brand.3 bn . and it generated Rs. Indian Hotels.300 crore net cash from operating activities. 675 Crore in 2005.Tata tea will finance the deal by investing $192 in tata Tea GB. Indian Hotels owns 75 Hotels.equity ratio at the end of march ’06 was 1:1. is currently carrying out due diligence for the Ritz-Carlton. The Hotel opened for business in 1927 and was bought by Millenium Partners of New York in 1999 for $122m.The deal will be carried out through its US subsidiary. is buying the Boston based Ritz-Carlton hotel for $170m. The firm’s consolidated debt. Tata steel acquired Singapore-based NatSteel in Rs. The 79 years old Ritz-Carlton is the longest continuously run hotel in the US. 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.

Just consider these numbers.12 lakh cars in the same period) are included. The significance is not just in the number of cars sold but in the quality and category of sales of sales. the real push came from the same C. 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. 4. Just domestic sales may fall tantalizingly short of the mark but if exports (1. In 2002-2003 the corresponding ratio was one out of every six. or mid-sized car.February 2004 period. 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. Just consider these numbers.526 cars. So what do these numbers convey? 167 . This is a significant figure for the automobile industry and could well be turning point from where there is no looking back. or a little more than a 1000 cars a month.5-6. the Rs. Equally impressive was the performance of the D segment where volumes shot up 12-fold to 12. which are supposed to be premium models with limited market.5 lakh range –has galloped. segment which witnessed a 53 per cent growth. In what can be constructed as a maturing of the market. While the A and B segments grew by 24 percent each. And this segment boasts of the Skoda Octavia and the Toyata Corolla.02 lakhs vehicles being sold in the April.Important Milestones and Turning Points Will it be a million this fiscal? Domestic passenger car and utility vehicle sales are racing ahead with 8. total industry sales will cross the magic million milestone quite comfortabely in 2003-04. sales in the mid segments –that is.

000. One is better choice. This segment is dominated by Tata Motors and Hyundai with a 20 per cent share each. 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. 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. marutis share is just half that. which is really the entery-level segment in the developed markets. which is considered quite affordable. 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. There could be a couple of factors driving sales in this segment. 168 . The second factor is rising income levels. along with the the Hyundai Accent. These three models. There are more models available in this segment today compared to the couple of years back. 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.Market is evolving without doubt we are witnessing a significant evolution in the passenger car market with buyers upgrading to mid-size cars.

169 .

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

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

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

TISCO employed 40.500 miles of steel rails to Mesopotamia. Rapid expansion to support the Allied war effort was followed by Depression during the 1920s with escalating prices. 173 .The Tatas retained 11 percent of the stock for themselves. in part. There were enormous initial problems in clearing the Sakchi site and.000 in the neighboring coal mines.000 people at Jamshedpur. In association with Kaiser Engineering of the United States capacity was expanded and a Modernization and Expansion Program (MEP) was launched in 1951. transport and labor difficulties. in ensuring that the coal was of a uniform quality. hampered Tata's freedom to develop in the postwar period. however. 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. By 1916. and a major earthquake in Japan. production was meeting expectations and during World War I the company exported 1. once production began. TISCO emerged from the 1930s. An ever-increasing range of government legislation to bring private sector businesses into line with national economic planning on the Soviet model. In 1978. Expansion was restricted by a government committed to helping nationalized industry. 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. By 1970. however. it was believed. World War II brought a resurgence in demand for Tata products and the company specialized in the manufacture of armored cars. it became imperative in the late 1940s to begin replacement of the plant. however. by now TISCO's biggest customer. upgraded four years later to the Two Million Ton Project (TMP) to give TISCO the capacity to produce two million tons of crude steel. with a further 20. 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. Government attempts to nationalize TISCO in 1971 and 1979 were defeated. known as Tatanagars. Following six years of almost continuous production to serve the war effort. to plough money into modernization. which were used extensively by the British Army in the North African desert. the government restricted TISCO's dividend to 12 percent to force it. however. as the biggest steel plant in the British Empire.

medical. Jamsetji Tata was both a nationalist and a philanthropist. as much as anything. and cooperative services for the newly established Jamshedpur and as a consequence schools. the Tata group increased its stake in the steel firm to ward off any attempts by outside shareholders to gain control of the company.Further difficulties were created in the late 1970s by chronic shortages of coal. an officially recognized Tata Workers' Union established with Gandhi's associate. recreational facilities. An estimated Rs 45 crores of salable steel was lost during 1979-80 because of these shortages. Against this. and other amenities were established on site at an early stage. He showed a paternalistic concern for the well-being of his employees. which set the tone for future company policy. TISCO soldiered on. 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. TISCO could claim in 1989 that it had not lost a day's work through industrial action in 50 years. contributed to advances. An eight-hour working day had been introduced in 1912. TISCO remained India's largest nonpublic company. 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.F. 174 . were invited out to India from England to advise the Tatas on the best form of social. announcing a 30 percent increase in profits against a backdrop of general depression in the Indian economy as a whole. power. and rail transport. In 1989. and profit-sharing schemes were brought in in 1934. pioneers of social reform Sydney and Beatrice Webb. The British proponents. 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. 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. C. however. By 1990. Despite the reputation of the Tata family for concern over workers' rights. 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. Andrews. creches. as its first president. Whatever the arguments.

basically steam-driven cotton spinning industry lay the monsoon-swollen rivers of the western Ghats. Within reach of Bombay's thriving. TISCO. By the 1960s. which together satisfied Bombay's entire domestic and industrial requirement. syndicate to support other less successful firms within the group. far more than any single equivalent firm in the United States or United Kingdom. the managing agency system that had characterized much of Indian industry since the British period was abolished.S. Between the wars the family had to sell some 50 percent of its stake in the hydroelectric company to a U. whose chairman from 1938 was Jehangir Ratanji Dadabhoy Tata. Tata Industries Ltd. These included the Tata Engineering and Locomotive Company (TELCO). the Tatas bought up sufficient mills to create the necessary demand before launching Tata HydroElectric Power Supply Company in 1910. To encourage the process. and until 1970.8 percent of India's GNP. The second element in Jamsetji Tata's plan for India's modernization was the development of a hydroelectric capability. TELCO. central control was not difficult. the natural resources existed to provide this new source of power. and pipelines had been laid to feed the new turbines. In 1970. which represented the views of a government hostile to large private enterprises. 175 . If Bombay's captains of industry could be persuaded to invest in the necessary conversion from steam to electricity. Together the group accounted for 1. the required dams and reservoirs. some of them part of the Tata Group. By 1915. with TISCO alone providing 0. Following the Monopolies and Restrictive Practices legislation of 1969. a distant relative of the founder of the Tata industrial dynasty. Under this system.TISCO's success spawned numerous offshoots making use of Tata products. acted in this capacity for many of the firms in the Tata Group. 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. British investments in the subcontinent were managed by firms of agents who charged commission for their services. and Tata Hydro-Electric Power Company were only three parts of the Tata empire that by the late 1970s included 30 separate companies. He was succeeded in 1981 by Ratan Naval Tata.4 percent. whose father had been adopted by Ratanji Tata's widow in 1917. After this date. Two further power stations followed in 1916 and 1919. shares in the 30 or so Tata enterprises were retained by Tata Industries. power stations had been supplemented by four thermal installations. ducts.

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

and other humanitarian projects continues today and is part of the Tata distinctiveness. Tata joined the Burroughs Corporation of Detroit in 1977 to market the U. This commitment to education. took part in a Green Millennium Countdown program and planted 1.S. After Curzon's departure. however. Another venture in 1962 involved joining with James Finlay and Company of Scotland to form the Tata-Finlay Company. Bangalore was chosen as the site for an Indian Institute of Science with joint funding from the Tata family. welfare. 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. One of Jamshedji's greatest legacies was a concern for creating better educational opportunities for his countrymen.continue in production.5 million trees. The third requirement of Jamsetji Tata for a successful and independent India was a system of technical education. however. In 1946. With such an array of experience and expertise. TISCO. which has developed techniques for more efficient power generation. TISCO is also known for providing relief during natural disasters and was awarded the Outstanding Corporate Citizen Award from the Economic Times. which bought Finlay's 53 tea estates and has become the biggest tea producer in the world. In the field of electronics. and Madras in the 1930s. The institute produced a number of eminent scientists and became a focus for much pioneering research. the government of India showed itself more amenable to the proposal. and in 1911. Tata persevered. one in five of Indian recruits to the Indian civil service had benefited from Tata scholarships. Tata funds have gone into other projects such as the Bhabha Atomic Research Center in Bombay. it also supported the Lifeline Express program that provided healthcare to those living in remote areas. the group entered the consultancy market with the establishment of the Tata Consulting Engineering and Tata Economic Consulting Services. and provincial governments. One Tata initiative that slipped through the net was air travel. Tata Airlines went public as Air India Ltd. By the 1920s. He did not live to see the scheme realized. and offered to underwrite the project with an endowment derived from his Bombay properties. An air service was inaugurated to carry the mail between Bombay. Karachi. central. for example. firm's computer systems and to begin to develop the manufacture of mainframe computers in India. and the company was nationalized in 1953 to form Air India and Indian Airways. 177 . In 2001.

By 1996. TISCO. the steel firm began its fourth stage of upgrades and improvements. and of an over-concentration on traditional highcost but low-profit industries. of an often ill-judged concern for the continued existence of every member of the corporate group irrespective of profitability. Since the abolition of the managing agency system in 1970. Tata directors were focused on profitable operations as well as securing leading industry positions for each Tata company. During the decade. consumer products. TISCO and most of the larger firms in the "family" shared the same head office in Bombay. but they retained many personal. energy.. chemicals. family. price. steel 178 .669 employees in 1993 to 48.2 million metric tons by 1999. As demand increased. At the start of the new millennium. India also began allowing foreign manufacturers involved in such steel-dependent industries as electronics and automobiles to operate in the country. The steelmaker also broadened its geographic reach. As part of the modernization. cut its workforce from 78.The Tata family was often accused of paternalism toward its workers. The Tata sense of identity survived a postwar period of almost continuous economic and political adversity. and distribution were lifted in India. TISCO planned to increase its annual steelmaking capacity in Jamshedpur to 3. It was during 1991 that restrictions on licensing. was established and the following year. however. TISCO and the various Tata companies operated entirely independently. the firm opened offices in Singapore and Dubai. and business ties. The management culture of the group as a whole was changing in the new millennium.821 in March 2001. IT and communications. subsidiary. allowing TISCO to expand its capacity. the Tata group included 80 companies involved in various industries including engineering. In 1990.S. Tata Inc. TISCO Operations During the 1990s During the 1990s. TISCO was faced with trying economic times as it forged ahead with modernization and expansion.7 million tons in 1996. and services. 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. materials. a U. up from 2.

however. Despite the trying economic conditions. Tata Korf Engineering Services Ltd. TISCO's managing director. TISCO reported earnings of $90.2 million earned in the previous year. to create Tata-Ryerson. As steel demand and prices fell. As such. Many construction projects in the region were put on hold. Under a new director. TISCO began aggressive costcutting measures and drastically cut its workforce..D. Kalimati Investment Company Ltd. 179 . retired. It began operation of a 1. leaving B.. (60.consumption in India had grown by ten percent in each of the last four years. During the mid-to-late 1990s. India's steel industry and economic climate weakened. TISCO appeared to be well positioned to handle the problematic environment. TISCO was able to keep its bottom line in the black. Stewarts & Lloyds of India Ltd. The Tata Pigments Ltd. Muthuraman at the helm. the company reported a 61 percent fall in net income.1%). TISCO was able to complete its $1. Principal Subsidiaries: Tata Refractories Ltd (51%). Although conditions in the steel industry remained uncertain and the economic climate in India remained unstable. While most companies involved in the steel industry reported losses.1 million. In 2001. During fiscal 2000. In 1998. TISCO expanded further and teamed up with Inland International Inc.5 billion modernization program in April 2000. TISCO's profits plummeted. an increase over $60. a joint venture that would provide industrial materials management services in India.2 million metric ton cold rolling mill and also became one of the lowest-cost producers of hot-rolled coils. Jamshed Irani. after 30 years of service.. TISCO pledged to continue cutting costs and focus on new growth areas such as making investments in the telecom industries. Tata Technodyne Ltd. That year. Tata Incorporated.

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

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. reach and visibility. 181 . Tata Motors has also started developing new variants of Nano to meet environmental and fuel price challenges. as also market requirements of several international markets. which could negatively impact vehicle sales. 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. 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. The high volumes of Nano is expected to dramatically change Tata Motors’ market position. The move comes in the run-up to the scheduled roll out of the gasoline-powered Nano from Singur. The Singur manufacturing facilities would be expanded to meet domestic and global demand in the future. a Group-level summer internship programme. is working on new variants of the world’s cheapest car Nano to overcome challenges posed by high fuel prices. work practices and business philosophy. Tata Advanced Internship Programme The Tata Advanced Internship Programme (TAIP). academic focus areas and areas of interest. Mr Tata said. the country’s largest truck maker. Tata Motors. The programme is being managed by Tata Group HR with the support of Group companies where the candidates may be placed as summer interns. said company chairman Ratan Tata in the latest annualreport. Selection of candidates and allocation of projects is based on their work experience.

discusses the Indian and global renewable energy industry. We hope to sustain this and want to be a $300-million company by 2010. Tata BP Solar. Nanyang Technical University. Initiated in 2006. etc? Tata BP Solar has plans of investing over Rs 100 crore in 2006 in expanding its capacity. this Group level internship programme intends to bring in management students from international business schools and build the Tata brand on campuses abroad. has the company any investment plans with regard to production expansion. a joint venture between Tata Power Company and BP Solar. COO. Considering the fact that Tata BP Solar has established a name for itself not only in the domestic market but also internationally. is determined to light up a great many lives over the next few years. 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. based on their work experience. 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. academic focus areas and areas of interest. one of the largest solar power companies in the world. Tata BP Solar chief operating officer K. Beginning with three of Singapore's leading universities — National University of Singapore. and the company's plans to tap potential markets Tata BP Solar. 182 . 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. K. Subramanya elaborates on plans of becoming a $300-million company by 2010. and how it is moving from strength to strength. IIP Interns can be placed with any Tata Group company.Tata International Internship Programme In keeping with the Tata Group's globalization strategy. Subramanya.

The company is readying itself for the Tata Business Excellence Model process in the coming years. we aim to have 43-MW solar cell manufacturing capacity in the near future. 183 . 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. With regard to production capacity.Right now we are at $100 million. 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. 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. 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. Right now our solar cell manufacturing capacity is about 16 MW.

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

Ratan Tata has a track record that finches respect with or without executive powers. if chairmanship there were indeed the accepted route to eventual succession at Tata sons. the Tata’s are now a leading role in telecom with the VSNL and Tata Teleservices.” was all what one top official would say.and Tata Tea’s acquisition of the UK-based Tetley. On the other hand. it was his appointment in October 1981 as chairman. But further on the upside. as at present. Lakme and Acc. 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. Exits occurred.Mr. Coming Saturday. adopted a structure. which can run without a Tata at the helm? There is no answer to this either.”It shows the extreme professionalism of the group at the highest level. while infotech major Tata consultancy services is touted as a significant unlocking of value due in near future. Tata industries-the group’s holding company for new businesses-that pushed Mr. Simply put . Ratan Tata centre stage. most publicized being the still unraveling mess at Tata Finance. slip-ups too happened. Though he joined the Tata in 1962 . As he took over that post from J. from the erstwhile Tata oil mills company. 185 . nothing like that is due at Tata Industries. have the Tata then.R.D. he was seen to be a successor in the making.

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

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. There will be as much value placed on diversity and spontaneity as on achieving sixsigma. 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. 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. while making other trade-offs. Markets will price assignments differentially meaning that people may move from higher paying to less paying to less assignments. signaling freedom from supervision. Finally. more work will get done by teams. Similarly. rather than who he/she is or has been in the past. Diffusion of office space and work timings. People may have greater autonomy in their own work but will have greater inter-linkage and inter-dependence with the work of others. More teamwork at the same time. rather than by individuals.Choice and commitment will have to go hand in hand-each can exits only when the other does. We will see a transition from jobs-forlife to specific assignments. empowerment and autonomy. the world seems to be becoming more tolerant of multiplicity of views and approaches. 187 . yet seeking greater predictability and consistency. Redefinition of employees-companies will have to maintain a fine balance between career planning and free agent ship a new work ethic. Multicultral workforce greater respect by individuals and organisations for individuality. local communities and natural surroundings. which will bring greater stress on what a person brings to the table. Greater interdependence in work processes and less stand-alone work. Focus on doing work that is enjoyable and meaningful to do. Malls and multiplexes are bringing weak signals’ of the future of the work place.

poverty and squalor. with life-like pictures and sounds. This will spur the emergence of an ‘empowered middle manager’ of a different kind. insurance. corporate and services related system-fears of ‘Big Brother Watching will get heightened. greater involvement of business leaders in managing social issues-heath care. school syllabi. End of the age of super-annotation and in fact. infrastructure creation and maintenance. The challenge for large corporation to create the small-organization ethos will continue to seem daunting. despite the extensive use of communication technology. depending on the value that needs to be created at the moment . agreed with the superior. More socially useful productive work for CEO’s. Access to capabilities will be seen as more important than ‘ownership’ of assets -people. quality of academic institution. an end to the phenomenon of specifying lower and upper age limits for roles. 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. Organisation and individuals will come together for mutual benefits in diverse kinds of relationship. reviewed regularly. This will be needed to ensure people get work they enjoy doing. and corporate roles of coordination and enabling of a less intrusive and directive kind. with a very serious focus on coaching along the way. Personalized work plans and performance goals. Intuitive machine-man interfaces that can be operated by speech and tactiles stimuli will become the vogue. 188 .Fewer meeting!Many face-to-face interactions will be replaced by face-to-screen interactions-screens that will be touch-sensitive. glare-free. and therefore stay on this will also be necessary for the rapid grooming of talent that will become imperative. factories. 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. stronger partnerships.

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

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

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

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

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

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

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

delcaring that efforts will be made to roll out the world's cheapest car from a make-shift plant to meet the deadline. On October 7.3 billion). His Tata Nano Car 2008 Ratan Tata's dream was to manufacture a car costing Rs 100.Although. his decision of going out of West Bengal was warmly welcomed." referring to his earlier promise to deliver this car at the said cost. US$2.15 billion ($2.Recently when his plant for Nano production was obstructed by Mamta Banerjee(plant was shut down for 2 weeks. Industrialization in West Bengal is only supported by CM Budhadeb Bhattacharjee. were acquired for £1.528). 2008.The final decision is yet to come.000 crore (Rs 20 billion). Praising Modi for speedy allocation of about 1. adding that "a promise is a promise. Tata Motors. He realized his dream by launching the car in New Delhi Auto Expo on January 10. under Ratan Tata.This would affect the image of West Bengal in rest of India and abroad as well.100 acres of 200 .its first car for use in the market will be delayed by a couple of weeks). and Ratan Tata delivered on his commitment to developing a car costing only 1 lakh rupees.Ratan Tata's dream fulfilled. On March 26. The two iconic British brands. 2008. 2008. Three models of the Tata Nano were announced.200. After a controversial stay in West Bengal. today US$2. Jaguar and Land Rover.000 (1998: approx. bought Jaguar & Land Rover from Ford Motor Company. 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.

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.centrally located land. 201 .

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

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

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

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