Leveraging experience

This clarity — and the capability to execute a merger in what can safely be called record time — came from hard-earned experience. In 2020, Tata Consumer Products was formed with a vision to synergise, simplify, and scale the principal consumer products’ interests of the Tata Group under one umbrella. At the time, the Group’s FMCG businesses were fragmented across multiple entities: Tata Global Beverages; Tata Salt and Tata Sampann under Tata Chemicals; a 50:50 joint venture with PepsiCo for ready-to-drink beverages, and a ready-to-eat business under Tata Industries.

“The Group Chairman’s [N Chandrasekaran] marching orders were very clear: as one of the most recognised and trusted names in India, we had a right to win in consumer products. But to do that, we needed to bring all these businesses together, create synergies, and scale them dramatically,” says Ajit Krishnakumar, Executive Director and Chief Operating Officer, Tata Consumer Products, who was brought on board in 2020.

The task was therefore clearly defined for leadership: to build a company that would be commensurate with that ambition. The first order of business was integrating the fragmented businesses. “That didn’t happen in 100 days — it took six to nine months,” says Mr Krishnakumar. “But it allowed us to create the templates and groundwork that we now use for integration.”

This template was put to good use as a newly integrated Tata Consumer Products embarked on an ambitious growth strategy, acquiring and integrating six different companies. The largest and most recent being the simultaneous acquisition and integration of Capital Foods and Organic India. “Typically, when you acquire a company, there is disruption,” says Mr Krishnakumar. “The incoming team doesn’t know how to work within the new system, and vice versa. This disruption can drain value very quickly, particularly for an FMCG company. So, we created a process for quick integration intended to bring the new businesses and teams onto the Tata Consumer Products platform as quickly as possible, to help enable the businesses to then start growing.”

House of brands strategy

Mr Krishnakumar is clear when he says that integration means that all systems and processes are aligned so everything works as closely as possible as one entity by Day 100. Despite this standardisation, it is crucial that the core value drivers of the acquired company remain intact – these are typically how the brands are managed, among various other unique elements of the value chain. “The core team, for example, typically drives a lot of this value,” says Mr Krishnakumar. “So, this team usually stays separate and protected.”

What is integrated are the many common operating parts that drive synergies: how you develop new products at scale, how you source raw materials, how you manufacture and distribute your products. “This approach works for us because we are clear on where we are trying to drive value, based on our diligence of the acquired companies,” says Mr Krishnakumar. “For Capital Foods, for instance, distribution reach was going to be a key driver of value. They were in 3 to 4 lakh stores; we reach 18 to 20 lakh stores. To unlock that value, we had to get them into our system quickly so that the team could then expand reach.”

But Mr Krishnakumar cautions that the 100-day model isn’t one-size-fits-all. While 100 days is undoubtedly an adrenaline-charged target, he admits that sometimes, just sometimes, the pace may need to be adjusted. “We are not talking about a year, but instead maybe four or five months instead of three,” he says. “The key is to avoid losing valuable institutional knowledge in the rush.”

Lessons learned

• Involve integration teams early to preserve business nuances.
• Over-communicate to manage change and reduce anxiety. Establish counselling services, help desks and multiple support channels to help employees through the change process.
• Set realistic expectations and be patient — stabilisation takes time, even after formal integration.
• Balance speed with depth — integration is not just about timelines, but about thoughtful execution.

100-Day Integration Timeline

Day 0-1: The launch pad

The integration kicked off with a meticulously choreographed Day 1 plan. Within 24 hours of the deal closure, TCP had already generated the golden invoice (the first sale of products from the acquired portfolio), dispatched goods, and unloaded them at a distributor. A 24-hour war room was activated, with a dedicated integration team of seven to eight professionals uniting cross-functional teams from planning, logistics, sales, and digital. The goal was to resolve any issue within 15 min. This high-alert, high-collaboration environment ensured that the transition from stand-alone entities to a unified operational model was smooth. Critically, all of this was preceded by a ‘pre-day 1’ activity, which included a meeting with key stakeholders, interactions with the integration team and aligning on gaps, best practices, policies, processes and vendor base from both companies.

Day 2-30: Aligning the frontend

With the first transactions complete, the focus shifted to the sales and distribution engine — the lifeblood of any FMCG business. TCP began integrating Capital Foods and Organic India into its existing go-to-market model. This included aligning distributor networks, onboarding new outlets, and rolling out trade schemes. International business operations were also harmonised during this phase. Regulatory frameworks, packaging artworks, and compliance protocols were reviewed and aligned to TCP’s standards. Weekly functional meetings ensured that any bottlenecks were escalated early and resolved quickly.

Success strategies

• Developing a comprehensive guide covering 650+ tasks, processes, or actions needed for structured and timely execution
• Early identification and activation of cost and revenue synergies to unlock value quickly and sustainably
• Building a robust digital infrastructure for seamless integration of ERP, payroll, and other systems for operational continuity
• Uniform policies and procedures across entities to ensure compliance and reduce risk

Day 31-60: Back-end integration

The second month was all about deep system integration. TCP activated its comprehensive 650+ activity playbook, covering everything from ERP and payroll to procurement and vendor contracts. Each function — HR, finance, legal, IT, and supply chain — had a clear road map and ownership.

This phase also involved harmonising policies and processes. Whether it was aligning procurement terms, updating digital systems, or transitioning employee benefits, the goal was to ensure that the acquired companies could operate seamlessly within TCP’s infrastructure without losing their unique strengths.

Day 61-90: Embedding synergies

By the third month, the integration was no longer about transition; it was about unlocking value. TCP began tracking cost and revenue synergies, optimising distributor overlaps, and implementing shared services across functions. The company also focused on cultural integration. Town halls, help desks, and one-on-one sessions were used to communicate changes, address concerns, and reinforce a shared vision across the workforce. Employees were reassured that while systems and structures were being standardised, the essence of each brand would be preserved.

Day 91-100: Integration complete

As Day 100 approached, TCP had achieved full system integration across all core functions, including demand and supply planning, warehouse rationalisation, route to market, alignment of policies and ways of working. The acquired brands were now fully embedded into TCP’s sales, distribution, and digital infrastructure. By Day 100, the integration was complete. With the platform in place, synergies began to emerge, allowing the focus to shift to building the business.

What’s next for Capital Foods and Organic India?

In FY25, Tata Consumer Products’ growth businesses, which include Capital Foods and Organic India, reported a revenue of ₹3,200 crore, accounting for 28% of the company’s India business. Of this, Organic India contributed ₹374 crore in revenue, while Capital Foods’ revenue was ₹799 crore, a combined 19% year-on-year growth for both companies. The growth was aided by the launch of several new products including Ching’s Secret Momo Chutney, Ching’s Schezwan Ketchup, Ching’s Original Sriracha Hot Chilli Sauce, Organic India Desi Khandsari Sugar and Organic India Gokshura.

Mr Krishnakumar says their ambition is to grow these two businesses ‘dramatically’. “We have made a public commitment that 30% of our India business will grow at 30%, and that includes brands like Organic India and Capital Foods,” he says. “For example, we have launched new advertising for Ching’s and are expanding into many more stores. The infrastructure is ready, and now it is about scaling.”

Going ahead, the company also plans to leverage Organic India’s extensive offerings to establish a strong presence in India’s pharmacy networks. “The acquisition of Organic India has enabled the company to start developing a pharma channel that will not only drive the herbal supplements and infusions portfolio of Organic India but also provide a gateway for other relevant brands from Tata Consumer Products’ portfolio,” says Sunil D’Souza, Managing Director and Chief Executive Officer, Tata Consumer Products. “A structured rollout of the channel is underway across 40 markets.” 

- Anju Maskeri