Ratan Tata dies, India loses desh ka chamak

Ratan Tata, legendary business leader and chairman emeritus of Tata Sons, died on Wednesday. He was 86. With his quiet leadership, Ratan Tata not only turned a $5-billion group into a $100-billion behemoth, with operations in 100 countries, but shaped the very fabric of India. In every business initiative, he kept India first. He shone with his business acumen and philanthropy.

In Short

• Ratan Tata, Chairman Emeritus of Tata Sons, passed away in Mumbai at 86
• He transformed Tata Group into a global giant; acquired Tetley, JLR, Corus
• With his philanthropy he touched millions; skipped award event for ill dog

For crores 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 moulded the Tata Group in his own image over the last many decades as it diversified from salt to steel to software to automobiles and aviation. As the Tata Group silently became a corporate behemoth, one thing that it has come to mean to Indians is trust. That trust was taken to new heights by Ratan Tata who passed away on Wednesday. He was 86.

Ratan Tata was everything rolled into one. He was an industrialist under whom the group's revenue rose 40-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 building of cancer hospitals.

He became the chairman of Tata Sons, the parent company of the Tata Group, in 1991 and helmed it till 2012. Since then, he used the honorary title of Chairman Emeritus.

Born on December 28, 1937, in Bombay, Ratan Tata would go on to head one of India's biggest conglomerates, Tata Sons.

He was the son of Naval Tata and Sooni Tata.

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

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

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

"America held a special fascination for the young Ratan Tata. He studied architecture at Cornell University and travelled across the country, washing dishes to make ends meet," according to a 2008 report in The Guardian. "Ratan Tata admitted falling in love with a young woman in America," it said.

He worked for a short duration with Jones and Emmons in Los Angeles and returned to India in late 1962. He earned his Advanced Management Programme at Harvard Business School in 1975.

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 privy to his inimitable quiet leadership style as he has led the Group to achieve its iconic status," wrote Piramal. "He is modest, calm, understated, kind and a futurist — which makes him a unique leader of global acclaim," he added.

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

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

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

The takeover of Tetley, a British beverage manufacturer, was one of the first major international acquisitions by an Indian company. With this, the Tata Group became a global competitor. The JLR acquisition made Tata a global automotive player.

In 2017, the Tata Group and American aerospace giant Lockheed Martin signed a historic deal to jointly produce the combat-proven 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 Indica, the first truly Indian car, in 1998.

Ratan Tata was fond of cars.

"He does not drink or smoke. His vices revolve around speed: driving fast cars, flying jets and at weekends racing his speed boat across Mumbai's harbour," according to The Guardian.

He didn't only love fast cars, he also loved the idea that every Indian should be able to afford a car. That is what got Tata Motors to launch the Nano, touted as the world's cheapest car, at Rs 1 lakh in 2008.

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

To honour 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 around $5 billion. He transformed the group into a truly global entity with operations in 100 countries. When he retired in 2012, the group's revenue was at $100 billion.

HOW RATAN TATA STEERED GROUP THROUGH CRISIS SITUATIONS

Ratan Tata also steered the Tata Group through several crisis situations.

"Not one to shy away from tough decisions, he has successfully navigated through many difficult ones, including that with the seven satraps at Tata Group early on in his career, or the more recent matter with Cyrus Mistry," wrote Ajay Piramal in the 2021 piece for India Today Magazine.

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

Mody, who had been the chairman and managing director of Tata Iron and Steel Company (Tisco), was part of the old guard that had thrived under the leadership of JRD Tata. Mody resisted the new retirement norm and the centralisation of power under Ratan Tata, leading to a bitter feud.

Mody attempted to assert his independence and control over Tisco, but Ratan Tata's determination to maintain the unity and cohesion of the Tata Group ultimately prevailed.

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

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

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

RATAN TATA THE DOG LOVER AND PHILANTHROPIST

There is never a mention of the business leader Ratan Tata without compassion and philanthropy not being uttered in the same breath.

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

There is a reason why Ratan Tata never featured on top of Forbes or any other billionaires list.

Philanthropy is in the Tata DNA. Starting from founder Jamshetji, Tata Group chairmen have bequeathed their assets to Tata Trusts, which own a two-thirds stake in Tata Sons. Around 60% of Tata Sons' dividends are directed to charitable causes.

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

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

Tata Sons chairman N Chandrasekaran said Ratan Tata's dedication to philanthropy 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 with funding a start-up to support street dogs.

He, in fact, skipped a ceremony where he was to be awarded by Prince Charles for his lifelong philanthropy in 2018 because one of his two pet dogs was unwell.

When Prince Charles found out the reason why Ratan Tata had chosen to give the ceremony a miss, he said, “That’s a man. That’s the man Ratan is. That’s why the house of Tata is what it is.”