Vision, Mission and Goals Case Study

Tata Group's Strategy: Ratan Tata's Vision

OR

Abstract:
The Tata Group is one of India' largest business conglomerates established by Jamshedji Tata (Jamshedji) in the second half of the 19th century. Jamshedji's vision for the Group was in line with nationalist goals and ideals then, and envisaged to make India self-reliant. After Jamshedji, Jehangir Ratanji Dadabhoy Tata (JRD) became the Chairman of the Tata Group and played a significant role in continuing the vision of the group. Tata's assets climbed from INR 620 million in 1939 to INR 100 billion in 1990. 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. In 1991, Ratan Naval Tata (Ratan Tata/Ratan) took over the Chairmanship from JRD Tata. Although he was initially criticized for his poor performance, over the years, Ratan Tata disproved his critics. He restructured Tata Group's business operations and made the Group compete globally. Under Ratan Tata's chairmanship, Tata Consultancy Services went public and Tata Motors was listed in the New York Stock Exchange. Starting from the late 1990s, Ratan revamped the operations of Tata Steel and made it one of the lowest-cost steel producers in the world. However, as the Tatas lacks an heir who can succeed Ratan, the group is at cross-roads to decide who will be the next chairman. After Ratan Tata's retirement who would succeed him and carry the vision of the Group is a dilemma.

Pedagogical Objectives:

• To understand the vision that has driven the Tata group till Ratan Tata joined
• To analyse the contribution made by Ratan Tata to the Tata Group
• To analyse if conglomerates can be driven by leaders' vision and not necessarily by a strategy
• To analyse the leadership style of Ratan Tata
• To analyse the succession dilemma at the Tata Group
• To analyse what kind of leadership is required for Tata Group after Ratan Tata steps down

Keywords : Tata Group; Succession Dilemma; Ratan Naval Tata; Organisation Transformation; Tata Business Excellence Model; Total Quality Management Services; Ratan Tata's Vision; HR Revamp; Vision, Mission and Goals Case Study; Leadership Style; Future of Tata Group; Jehangir Ratanji Dadabhoy Tata; Jamshedji Tata

Contents:

• Tata Group (till 1990)
• Tata Group (1991 – 2007)
• The Succession Dilemmas