Tatas the time tellers

Imagine you met a remarkable person who could just look at the sun or stars at any time and state the exact time and date.This person would be an amazing time teller and we’d probably revere that person for the ability he has but wouldn’t that person be even more amazing if instead of telling time,he or she could built a clock that could tell the time forever,even after he or she was dead or gone?

This quality of “Clock Building,not Time Telling” is what separates visionary companies from others of which the Tata group is a perfect example.The reason for the long run success of such companies is that they concentrate primarily on building an organization (building a ticking clock),rather than on hitting market with a visionary product idea and riding the growth curve of an attractive product life cycle.Instead of concentrating on acquiring the individual personality traits of a visionary leadership,they take an architectural approach and concentrate on building the organizational traits of visionary organization like Tatas.Their greatest creation is the organization itself and what it stands for.Such organizations depend on a timeless set of core values and an enduring purpose beyond just making money.By no means are these organizations inflexible.They change in response to a changing world,while simultaneously preserving their core values and purpose.

FIVE CORE VALUES AT TATAS

Integrity: We must conduct our business fairly, with honesty and transparency. Everything we do must stand the test of public scrutiny.

Understanding: We must be caring, show respect, compassion and humanity for our colleagues and customers around the world, and always work for the benefit of the communities we serve.

Excellence: We must constantly strive to achieve the highest possible standards in our day-to-day work and in the quality of the goods and services we provide.

Unity: We must work cohesively with our colleagues across the Group and with our customers and partners around the world, building strong relationships based on tolerance, understanding and mutual cooperation.

Responsibility: We must continue to be responsible, sensitive to the countries, communities and environments in which we work, always ensuring that what comes from the people goes back to the people many times over.

TATA- THE FIRST MODERN BUSINESS HOUSE OF INDIA

As much an institution as it is a business conglomerate, the Tata Group is unique in more ways than one. Established by Jamsetji Tata in the second half of the 19th century, the Group has grown into one of India's biggest and most respected business organisations, thanks to its entrepreneurial vision, its commitment to ideals that put people before profits, and its fortitude in the face of adversity. The Tata Group comprises 98 operating companies in seven business sectors: information systems and communications; engineering; materials; services; energy; consumer products; and chemicals. The Group was founded by Jamsetji Tata in the mid 19th century, a period when India had just set out on the road to gaining independence from British rule. Consequently, Jamsetji Tata and those who followed him aligned business opportunities with the objective of nation building. This approach remains enshrined in the Group's ethos to this day.

The Tata Group is one of India's largest and most respected business conglomerates, with revenues in 2006-07 of $28.8 billion (Rs129,994 crore), the equivalent of about 3.2 per cent of the country's GDP, and a market capitalisation of $59.64 billion as on January 24, 2008. Tata companies together employ some 289,500 people. The Group's 27 publicly listed enterprises — among them stand out names such as Tata Steel,Tata Consultancy Service, Tata Motors and Tata Tea — have a combined market capitalisation that is the highest among Indian business houses in the private sector, and a shareholder base of over 2.9 million. The Tata Group has operations in more than 80 countries across six continents, and its companies export products and services to 85 countries.

The Tata family of companies shares a set of five core values: integrity, understanding, excellence, unity and responsibility. These values, which have been part of the Group's beliefs and convictions from its earliest days, continue to guide and drive the business decisions of Tata companies. The Group and its enterprises have been steadfast and distinctive in their adherence to business ethics and their commitment to corporate social responsibility. This is a legacy that has earned the Group the trust of many millions of stakeholders in a measure few business houses anywhere in the world can match.

THE TATA TITANS

-JAMSETJI NUSSERWANJI TATA-THE PRINCE OF INDIAN INDUSTRIALISTS



In the India of today the words Tata Steel connote progress, prosperity and industrial peace. Six decades ago the bearded biblical patriarch Jamsetji Nusserwanji Tata first conceived the idea of the giant steel complex at Jamshedpur in Bihar — the greatest in the British Commonwealth and by far the largest single private enterprise in our Republic.

Jamsetji Tata’s life spanned the golden era of Queen Victoria’s reign — born in 1839, he died in 1904. He belonged to the priestly class and hailed from Navsari, the stronghold of the orthodox Zoroastrians. Young Jamsetji was an industrious individual, a voracious reader and a diligent student — being a Green Scholar at the Elphinstone College.

After having gained his business baptismal in China, he had an insight into textile manufacture in England and made his debut into the mill industry by purchasing the Chinchpoogly Oil Mills at Bombay and converting it into the Alexandra Spinning and Weaving Mills. His next venture was the Empress Mills at Nagpur, where the ring spinning frame was first introduced into India. Encouraged by the extraordinary success which had attended this undertaking of his Mr. Tata decided to run another mill on the same lines at Bombay. He bought up the Dharamsey Mills at Coorla and re-named it the Svadeshi Mills. It was at these mills that a development of considerable import took shape — the spinning of the first higher counts and the production of superior qualities of woven goods — techniques which were employed throughout the country, in later years.

Round about the year 1896 Jamsetji became embroiled in a furious controversy which was famously called “War of Frights”. The two warring camps being composed of Mr. Tata and a Japanese Steamship Company, the Nippon Yusen Kaisha on one side and the combined might of the Peninsular and Orient Steam Navigation Company, The Austrian Lloyds Company and the Italian Rubattino Company on the other. The European ‘combine’ had virtually monopolised the freight between India, China and Japan and the Japanese shipping concern was naturally out to break this monpoly. The battle of rates raged for sometime and finally Tata succeeded, but not before the matter had been taken up at the highest forum of representative public opinion in the Empire — the British Parliament. Jamsetji next directed his energies towards rehabilitating the ancient silk industry of Mysore by introducing scientific methods of cultivating silk worms. He then went on to mining and thence to the allied subject of metallurgy — with particular emphasis on iron and steel.

The immense hydro – electric potential of the Western Ghats had remained untapped till Jamsetji Tata hit upon the brilliant idea of harnessing it in the service of Man. But before the preliminaries could be completed the venerable gentleman crossed the Great Dividing Line and it was left to his sons, Sir Dorab and Sir Ratan, to complete the project. In 1910 the Tata Hydro-Electric Power Supply Company was launched and the capital of two crores of rupees was promptly subscribed. At a later date it was found necessary to extend the scheme and the Andhra Valley Power Supply Company Limited and the Tata Power Company Limited came into being. The Tata group of installations are spread over five lakes and have a combined capacity of 274,000 killowatts of power, which is capable of generating 1,300 million electrical units per annum. A vast network of over 575 miles of 100 K.W. high-tension cables supplies electro-motive force to metropolitan Bombay, its environs and Poona. The handicap on power generation previously imposed by Bombay’s lack of coal has thus been completely overcome.

Another feature of J. N. Tata’s long and illustrious career was his implicit faith in the advantages to be derived from an advanced course of study. Having gathered the fruits of liberal education himself he resolved to help others to glean them too. With this end in view he organised a scheme for sending out young Indians to England for specialisation and for appearing at the Indian Civil Service and the Indian Medical Service competitive examinations. In his own land he tried his level best to bolster up scientific research and set apart thirty lakhs for the founding of a centre for post-graduate training in General and Applied Chemistry, Electro-Technology and Organic Chemistry. But for one reason or another the plan was shelved, the originator died and his cherished objective was once again brought to fruition by his devoted sons. This, in short, is the history of the inception of the Indian Institute of Science at Bangalore.
The people adored and admired Jamsetji and the sculptor has fittingly adorned his statue at the corner of J. N. Tata Road and Madame Cama Road with the allegorical symbols of Industry, Science and Fame.


-SIR DORAB TATA



Through his endeavours in setting up Tata Steel and Tata Power, this elder son of Jamsetji Tata was instrumental in transforming his father's grand vision into reality. It was also under his leadership that the Sir Dorabji Tata Trust, the premier charitable endowment of the Tatas, was created, propelling the Tata tradition of philanthropy.

Sir Dorab Tata, aided by his cousin R. D. Tata, saw group founder Jamsetji Tata's projects through to the stage of accomplishment. The additions during his leadership were an integrated steel plant, then the largest single unit in the British empire, three hydroelectric power companies, a large edible oil and soap company, two cement companies and an aviation unit pioneered by JRD Tata.

Sir Dorab also saw through the establishment of the Indian Institute of Science, Bangalore, which was to spearhead scientific research in India for decades to come. He was knighted in 1910. Sir Dorabj's love of sport was abiding. He had the country scoured for sports talent and brought India into the Olympic movement. As president of the Indian Olympic Council, he financed the Indian contingent to the Paris Olympiad in 1924.He always believed that wealth must be put to constructive use. Towards the end of his career, in 1932, he put all his wealth — including the 245-carat Jubilee Diamond, twice as large as the famed Kohinoor and estimated to cost Rs 1 10 million then — into a trust for the advancement of learning and research, the relief of distress and other charitable purposes. This was the beginning of the Sir Dorabji Tata Trust.

-SIR RATAN TATA



Jamsetji Tata's younger son had a personality that reflected his sensitivity to the struggles of ordinary people and his desire to utilise his considerable wealth to enhance the quality of public life. A philanthropist all his life, he created a trust fund for "the advancement of learning and for the relief of human suffering and other works of public utility". The Sir Ratan Tata Trust is today the second largest of the Tata trusts.

Jamsetji Tata's younger son had a personality that reflected his sensitivity to the struggles of ordinary people and his desire to utilise his considerable wealth to enhance the quality of public life. A philanthropist all his life, he created a trust fund for "the advancement of learning and for the relief of human suffering and other works of public utility". The Sir Ratan Tata Trust is today the second largest of the Tata trusts.

-JEHANGIR RATANJI DADABHOY TATA-FATHER OF CIVIL AVIATION IN INDIA



Jehangir Ratanji Dadabhoy Tata was popularly known as J.R.D Tata. Born in Paris, on 29th July 1904, he was the second son of Ratanji and his French wife Sooni. Ratanji purchased a house on the beach of Hardelot in France where, as luck would have it, the famous aviator Louis Bleriot was a neighbour. Young J.R.D was thrilled to watch Bleriot’s exploits in the air and he had his first joyride in a plane at the age of 15. This inculcated in him an insatiable urge to fly, an ambition which he later realised in abundant measure.

After his preliminary schooling in Paris, J.R.D studied at the Cathedral and John Connon School in Bombay and then at a school in Yokohama, Japan. At the end of the First World War the family moved back to France. J.R.D then spent a year in a Crammer School in England to brush up his English. Later he was drafted into the French Army for a year and was assigned to the Regiment de Spahis.

On completing his training in November 1925, he wanted to serve for another six months to become an officer and then go on to Cambridge where a seat had already been reserved for him. But this was not to be as destiny ruled otherwise. His father called him back to Bombay to join Tatas. He had his initial grounding under an astute retired I.C.S Officer named John Peterson and soon thereafter was sent off to Jamshedpur, as an unpaid apprentice. Within a year his father passed away in Paris and J.R.D took his place on the Board of Tata Sons. His great regret in later life was that he was never able to complete his studies.

The first of his big adventures in business was born of a fascination for flying. In 1929, J.R.D was the first pilot to have qualified in India with No.1 on his flying licence. In the 1930’s, a daring Englishman named Neville Vincent came to India and travelled the country offering joy rides in a small plane. He suggested to J.R.D that they start an airline. That was J.R.D’s dream too. John Peterson persuaded Sir Dorabji Tata, the then Chairman of the House of Tatas to agree. In 1932, Tata Aviation Service the forerunners to Tata Airlines and Air India was launched. On 15th October 1932, the first flight in the history of civil aviation in India lifted off from Drigh Road in Karachi with J.R.D at the controls of a Puss Moth flying solo to Ahmedabad and then to Bombay. In 1946, Tata Airlines —- a division of Tata Sons Limited —- became a full-fledged company called Air India and two years later at J.R.D’s suggestion, Air India International was launched. He resigned from the Boards and Chairmanship of both the companies when Indian Air transport was nationalised. Later he was offered Chairmanship of both the airlines. He agreed to Chair the global airline and remained at its helm till 1978.

Millions regarded J.R.D as a symbol of integrity and forthrightness. He was certainly the nation’s most distinguished and adventurous citizen. He was appointed Chairman on 26th July 1938 and continued to preside over the destinies of this huge conglomerate till 25th March 1991 when he voluntarily handed over the reins of his exalted office to his successor Mr. Ratan Tata. At the time when J.R.D first occupied the “hot seat”, there was a nucleus of 14 companies. Under his stewardship the Group diversified and expanded into a vast range of industrial activities e.g. commercial vehicles, engineering, hotels, air-conditioning and refrigeration, consultancy services, information technology, consumer goods, consumer durables and industrial products.

Tata Consultancy Services which was established as a software division of Tata Sons Limited, in 1968,under leadership of J.R.D Tata is currently the largest software company in India. Mr. Tata was not only an industrial titan and a pioneer aviationist, but also a great crusader of public causes. Issues of national interest such as family welfare, city planning and prevention of environmental degradation were closest to his heart. His contribution in the sphere of population control received due recognition when he was given the UN Population Award, in September 1992. J.R.D was instrumental in creating, over the years, monumental institutions for public good —- the Tata Institute of Fundamental Research; National Centre for the Performing Arts and the Tata Memorial Hospital (the first hospital in India exclusively for Cancer Research and Treatment) at Bombay and the National Institute of Advanced Studies at Bangalore. Mr. Tata firmly believed that the rapid spread of literacy and education specially amongst women and children was a panacea for most of India’s ills and would considerably help in raising the standard of living of the people of India. At the age of 40, he set up the multipurpose J.R.D Tata Trust by donating many of his valuable shares of Tata Sons Limited and other companies. He was appalled by the plight of the disadvantaged women in India and to ameliorate their lot he established the J.R.D and Thelma Tata Trust.

Towards the end of World War II J.R.D invited leading industrialists such as G. D. Birla, Kasturbhai Lalbhai, and technocrats like John Matthai, Ardeshir Dalal and A. D. Shroff to discuss ways and means of significantly enhancing the country’s industrial capacity. This resulted in a comprehensive document entitled “A Plan of Economic Development” which was published in 1943-44. This prognosis came to be known as “The Bombay Plan”. Even though he did not ever seek recognition and rewards numerous honours and awards were showered upon him because of his selfless work and intrinsic worth. He was the recipient of the David Guggenheim Award and the Edward Warner Award, the Bessemer Gold Medal and some of the most prestigious awards in aviation like the Tony Jannus Award; France conferred upon him its most exclusive decoration —- Commander of the Legion of Honour; Germany presented him with the Knight Commander’s Cross and Badge. India’s highest civilian honour —- Bharat Ratna —- was bestowed upon him by a grateful nation in 1992.

CONCLUSION

The Tatas still continue to be the pillar on which the growing Indian economy is thriving and continues to be well respected all around the world due to its ideology which is the foundation of this organization.The organization which started as a private trading firm under Jamsetji Nusserwanji Tata in 1868, today is a global giant with its operations in more than 80 countries with a market capitalization of around 60 billion dollars and still growing under leadership of Ratan Tata and will probably continue to do so due to its ever strong ideology,values and flexibility in adapting to ever changing market scenarios.This organization truly represents the rare class of “clock builders and not time tellers”-the visionary organization which would continue to exist successfully generations after generations.