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Ratan Tata,
chairman, Tata Group
Ratan Tata, the chairman of the
Tata Group, pays his tributes to Jamsetji Tata, JRD Tata
and Naval Tata
If Jamsetji Tata and JRD Tata
could transport themselves to today's environment, I think
they would be pleased with the Tata Group. I also think that,
like me, they would not be entirely satisfied with what they
see. They would understand that the group has a long way to
go and much to do, that we have no reason to sit back and
feel complacent.
Our times are distinctly different from what they were during
the days of Jamsetji Tata and JRD. It's a much more competitive
milieu and there are far fewer barriers between India and
the rest of the world. The ferocity of competition, both clean
and dirty, is much higher and the demands for sophistication,
quality and customer satisfaction are a world away from what
obtained in earlier years.
Jamsetji
Tata
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Jamsetji Tata created the foundations
of Indian enterprise; JRD furthered that enterprise. They
played significantly different roles in the evolution of this
group. Jamsetji Tata was a nation builder, industrialising
India and making it self-sufficient in basic areas. Much of
this was an expression of pride that the country could do
something, that it could make textiles, manufacture steel,
and generate power.
Jamsetji Tata was remarkable in that he adopted international
standards in those days. He went to the best consultants and
was always looking to provide India with world-class enterprises.
He had the ability to identify people, Indians and expatriates,
who he intuitively believed could execute and lead his projects.
He was a true internationalist in that sense and, yet, a committed
nationalist.
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JRD Tata
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JRD, who became the chairman
of the group in the last decade of colonial India, was involved
in the development of an independent nation, a country that
was on its own. Apart from leading the group through those
early days of independence, he participated in and moulded
the industrialisation of a sovereign India.
JRD was also a committed nationalist. He was proud of India
and tremendously passionate about building a vibrant nation
with an open economy and a free-enterprise structure. He shaped
the Tata Group and directed it through an exceptionally difficult
period. I think that if India had gone another way in the
business sense, not taken the socialist path but a real free-market
way, the Tatas would have been far, far bigger than they are
now.
JRD's outstanding contribution, the greatest among the many
he made, was to expand the group on the basis of principles
and values and ethics. He worked in a world of onerous regulations.
He had the courage to object to them publicly, but he never
broke the law. JRD imparted the discipline that he expected
his people to follow. Never, not once, did he cut corners
or find a loophole. Nor did he ask anyone to do so.
JRD kept the group together. He held it together through a
kind of patriarchal leadership. He did not have the legal
backing to call it a group, yet he managed to expand our existing
businesses, enter new businesses and pick talented people
to lead the various Tata enterprises. What's truly extraordinary
is that he achieved all this while staying true to the ideals
of the group's founders.
Business was but one facet of the JRD mosaic. He played the
part of statesman in India and abroad. He espoused causes
like family planning and, in his later years, became a staunch
supporter of women's rights, and had deep concern for the
plight of the girl child.
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Naval
Tata
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It's easier for me to talk about
JRD than about Naval Tata. It's rather complicated to say
what kind of memories you have of your own father. We were
close and we were not. I left India when I was 15 and was
away for a decade. I would have to say that, as often happens
between a father and son, there were many instances of misunderstanding,
and perhaps a divergence of views.
My father also made a great contribution to the group and
to India, but he did so in a different way. He hated
confrontations. He was very good at negotiating settlements,
and I don't mean this in a formal way. Whether it was a fight
between two brothers or any kind of crisis, at home or in
the world outside, he would find a settlement and he would
work towards that. Frequently, that settlement would involve
a compromise, and he was all for 'give and take'. As a person,
he gave in a great deal and, sometimes, as younger and less
mature people, we would fight with him for conceding ground
in the quest for a solution, for peace or whatever. I think
he probably hurt himself by not being firm in some situations.
My father had great standing. He was accepted by all manner
of people, poor and rich, by those in the government and all
communities. He was exceedingly humble, very warm, very emotive
and very emotional. With him everything was built on emotions.
If you chose to exploit that trait, you could do so easily.
He was driven much more by emotions than logic.
My father loved people; he could never be alone. In fact,
he would be miserable when alone. He would call up people
to join him, to be with him. He always wanted to be in the
company of people.
He would forever be entertaining those around him with stories
and jokes. He had this gift of making people laugh, so he
was much sought after. But there was a serious side to him,
and this too related to people. Much of what he did in the
International Labour Organisation, through many years, related
to giving workers their due, resolving industrial relations
and raising the quality of life of employees. Several far-reaching
labour policies were spearheaded by him at the ILO, and his
leadership at this forum won him great recognition in the
international labour scene.
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here for special section on Naval Tata

The
future of the Tata Group
Coming back to the Tata Group, I think it's a tougher environment
from what it was about 15 years ago. The demands are far greater,
many of the sectors are moving faster, and technology change
is quicker. The luxury of having time to make decisions no
longer exists. Decisions need to be taken faster and, unlike
in the past, they have to be based on more on information
and less on intuition. The impact of wrong decisions
is greater today. Furthermore, people today are, if I might
say so, more opportunistic, materialistic and rebellious.
So you are managing a different type of environment: less
protected, less feudal, and more demanding in terms of speed,
in terms of technology.
One hundred years from now, I expect the Tatas to be much
bigger, of course, 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, that we become a global group,
operating in many countries, an Indian business conglomerate
that is at home in the world, carrying the same sense of trust
that we do today.

Uploaded on June 24, 2004
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