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Ratan Tata dies, India loses ‘desh ka chamak’
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Ratan Tata dies, India loses ‘desh ka chamak’

To millions of Indians, rich or poor, if Tata stands for ‘desh ka namak’, Ratan Naval Tata is ‘desh ka chamak’, India at its sparkling best. A quiet, inspiring leader, Ratan Tata shaped the Tata Group in his own image over the decades as it diversified from salt to steel, to software, to cars and aviation. As the Tata Group quietly became a corporate giant, trust has become one thing for Indians. That confidence was taken to new heights by Ratan Tata passed away on Wednesday. He was 86.

Ratan Tata was all in one. He was an industrialist who increased the group’s turnover forty-fold, he was an entrepreneur who invested in start-ups, he was a trained pilot who flew the F16, and he was also a philanthropist who led the construction of cancer hospitals.

He became chairman of Tata Sons, the parent company of the Tata Group, in 1991 and headed it until 2012. Since then, he used the honorary title of chairman emeritus.

Born on December 28, 1937 in Bombay, Ratan Tata would later head one of India’s largest conglomerates, Tata Sons.

He was the son of Naval Tata and Sooni Tata.

The family of Ratanji Tata, the son of Jamsetji Tata, the founder of the Tata Group, adopted Naval Tata when he was 13.

Ratan Tata was just 10 when Naval and Sooni separated, and he was raised by Navajbai Tata, his grandmother and widow of Ratanji Tata.

Ratan Tata received his bachelor’s degree in architecture from Cornell University in 1962.

“America had a particular fascination with the young Ratan Tata. He studied architecture at Cornell University and traveled around the country washing dishes to make ends meet,” said a 2008 report in The Guardian. “Ratan Tata admitted that he had fallen in love with a young woman in America,” it said.

He worked briefly with Jones and Emmons in Los Angeles and returned to India in late 1962. In 1975, he completed his Advanced Management Program at Harvard Business School.

RATAN TATA AND HIS SILENT LEADERSHIP

In a 2021 piece for India Today magazine, Piramal Group chairman Ajay Piramal described what set Ratan Tata apart.

“…I have been aware of his inimitable calm leadership style as he guided the Group to its iconic status,” Piramal wrote. “He is modest, calm, understated, friendly and a futurist – making him a unique leader who is praised worldwide,” he added.

After returning to India, he joined Tata Steel, where he reportedly worked on the shop floor, and then rose to become chairman in 1991.

It was under Ratan Tata’s leadership that the brand’s telecommunications arm, Tata Teleservices, was founded in 1996 and Tata Consultancy Services (TCS) went public in 2004.

Under Ratan Tata, the Tata Group acquired Tetley, Jaguar Land Rover (JLR) and British-Dutch steelmaker Corus, giving the group a global image.

The acquisition of Tetley, a British drinks manufacturer, was one of the first major international acquisitions by an Indian company. This will remove the Tata Group became a global competitor. The acquisition of JLR made Tata a global automotive player.

In 2017, the Tata Group and American aerospace giant Lockheed Martin signed a historic agreement to collaborate to produce the battle-tested F-16 fighter jets in India.

In all business ventures, it is as if the Tatas kept India first. Ratan Tata oversaw the launch of the Indica, the first truly Indian car, in 1998.

Ratan Tata loved cars.

“He doesn’t drink or smoke. His vices revolve around speed: driving fast cars, flying planes and racing his speedboat around Mumbai harbor on weekends,” said The Guardian.

Not only did he like fast cars, he also liked the idea that every Indian should be able to afford a car. That’s what prompted Tata Motors to launch the Nanotouted as the world’s cheapest car, at Rs 1 lakh in 2008.

In a statement confirming Ratan Tata’s death on Wednesday evening, Tata Sons chairman N Chandrasekaran said his “immeasurable contributions have shaped not only the Tata Group but also the fabric of our nation”.

In honor of his extraordinary contributions, Ratan Tata was awarded the Padma Vibhushan, India’s second highest civilian award, in 2008.

When Ratan Tata took over as chairman of Tata Sons in 1991, the Tata Group was largely an Indian conglomerate with annual revenues of about $5 billion. He transformed the group into a truly global entity with operations in 100 countries. When he retired in 2012, the group’s turnover was $100 billion.

HOW RATAN TATA TOOK THE GROUP THROUGH CRISIS SITUATIONS

Ratan Tata also guided the Tata Group through various crisis situations.

“He is not one to shy away from difficult decisions. He has successfully navigated many difficult decisions, including the one with the Seven Satraps at Tata Group early in his career, or the more recent Cyrus Mistry issue,” wrote Ajay Piramal in the 2021 newspaper piece for India Today Magazine.

In the early 1990s, Ratan Tata faced a formidable challenge from Russi Mody, an experienced and influential figure within the Tata Group, who stood up for himself after the retirement of JRD Tata as chairman of Tata Sons.

Mody, who had been chairman and managing director of Tata Iron and Steel Company (Tisco), was part of the old guard that thrived under the leadership of JRD Tata. Mody opposed the new pension standard of 75 years and the centralization of power under Ratan Tata, leading to a bitter feud.

Mody tried to assert his independence and control over Tisco, but Ratan Tata’s determination to maintain the unity and cohesion of the Tata Group eventually prevailed.

In 2016, Ratan Tata again faced a major crisis, this time involving Cyrus Mistry, who had been appointed chairman of Tata Sons in 2012.

Mistry, a member of the influential Pallonji Mistry family which has a significant stake in Tata Sons, was seen as a successor to Ratan Tata, but their relationship quickly deteriorated.

On October 24, 2016, the Tata Sons board unexpectedly dismissed Mistry as chairman, citing a loss of confidence in his leadership. The aftermath of Mistry’s removal was marked by intense infighting and legal battles, which were ultimately won by the Tata Group following a Supreme Court order in 2020, which upheld Mistry’s dismissal.

RATAN TATA THE DOG LOVER AND PHILANTHROPIST

Business leader Ratan Tata is never talked about without compassion and philanthropy being expressed in the same breath.

“Shri Ratan Tata Ji was a visionary business leader, a compassionate soul and an extraordinary human being. He provided steady leadership to one of India’s oldest and most prestigious business houses. At the same time, his contributions extended far beyond the boardroom. He endeared himself to several people thanks to his humility, kindness and unwavering commitment to making our society better,” Prime Minister Narendra said Modi said this on Wednesday after reporting the death of Ratan Tata.

There’s a reason why Ratan Tata never topped Forbes’ or any other billionaire’s list.

Philanthropy is in Tata’s DNA. From founder Jamshetji onwards, the chairmen of the Tata Group have bequeathed their assets to Tata Trusts, which own a two-thirds stake in Tata Sons. All around 60% of Tata Sons’ dividends go to charities.

According to the IIFL Wealth Hurun India Rich List of 2022, Ratan Tata was ranked 421st with an estimated net worth of Rs 3,800 crore.

Tata Trusts, under the leadership of Ratan Tata, has developed and expanded 10 cancer care centers in Assam, Jharkhand, Andhra Pradesh and Karnataka. The facilities make world-class treatment accessible to poor people.

Tata Sons chairman N Chandrasekaran said this Ratan Tata’s commitment to philanthropy has touched millions of lives. “From education to healthcare, his initiatives have left a deep-rooted mark that will benefit generations to come,” he said.

Ratan Tata, who never married, was a dog lover. He helped finance a start-up to support street dogs.

He even skipped a ceremony where he was due to be rewarded by Prince Charles for his lifelong philanthropy in 2018 because one of his two dogs was unwell.

When Prince Charles discovered why Ratan Tata had chosen to miss the ceremony, he said: ‘That’s a man. That’s the man Ratan is. That is why the house of Tata is what it is.”

Published by:

Akhilesh Nagari

Published on:

October 10, 2024