Today I would like to share with you people an inspiring story of a common man with a high vision. I am talking about Ratan Naval Tata; or if I could say the bright star of TATA Group of companies! So, come with me, let’s discover how it all started.
Get into the car
From childhood Ratan Naval Tata has a passion for cars. So, after completing his higher studies in Management Program from Harvard Business School in 1975, Ratan N. Tata returned to India and turned down a job at IBM on JRD Tata's advice and joined the Tata Group in 1962, for which he was sent to Jamshedpur to work on the shop floor at Tata Steel.
In 1971, he was appointed as the Director of National Radio and Electronics, which was in a bad state of 40% losses and only 2% of consumer market share. But as soon as Ratan N. Tata joined the company he gave its statistics an upward turn, he took the company from 2% of market share to 25%.
JRD Tata soon declared Ratan Tata his successor in 1981 and Ratan had to face criticism since people believed that he's not experienced enough to handle a business of the scale that of like the Tata Industries. After ten years of his entry into the Tata Industries, he was appointed the Chairman of the Tata Group in 1991.
In 1998, Ratan Tata thought to start jump in Passenger Car and very soon they launched TATA Indica. Tremendous effort was made to bring the company to new heights under guidance of Ratan Tata. But these met with failure as they did not succeed in attracting clients. Additionally, according to experts’ opinion the designs had some defects.
Soon in the span of one year the company was drown in losses and so is the future of Tata motors. Ratan Tata tried to find a solution but in vain. Tension was increasing day by day and they thought to wind up the business. However after a round of table with colleagues and friends they suggest the idea to sell the company.
Then Ratan Tata visits the CEO of Ford that was Mr. Bill Ford at USA. During that time Ford was the king of the passenger car.
Bill Ford and his team humiliated Ratan Tata during his three hours presentation and said,
“If you don’t have the knowledge of what is passenger car and how to do business of the passenger cars; then why did you enter in this line? It will be a favor if we buy this business from you.”
Ratan Tata had never expected this type of scenario from the employees of Ford. He came back to India that night without sealing the deal.
Reset, steady ...
Inch by inch, he made each and every possible effort to restart the business and finally they launched Tata Indica V2 (eV2). Luckily it was the most famous car and worldwide hit. It has also been declared as the Most Selling Hatchback. Then after Tata motors launched many other models of cars, profit keep non increasing day by day; achieving the greater height in the business.
During this time Ford was facing a dire situation in the markets. Land Rover and Jaguar were at the edge of closing the business. It was at this peak critical time that Ratan Tata offered to buy Ford’s Land Rover and Jaguar. The whole scenario was changed: Bill Ford recognized this as a favor from Ratan Tata.
The deal was finalized in Mumbai in 2008. By his skills Ratan Tata changed the game and he made the business of Land Rover and Jaguar 6 times more profitable.
This is not to spread any hate feeling friends, but let’s see things positively – my objective of writing this piece for you today is but to encourage positive vibes and motivates every single soul striving every day for a living.
After achieving success in the market of Jaguar and Land Rover, TATA came to its dream project Tata NANO. His vision was that the country’s marginalized people (less rich society) can buy this car and bring happiness to their family.
My cousin and some of my friends are in Tata Consultancy Services. I asked my cousin the benefits of working in TCS and I was amazed by his replied:
"At Chroma electronic store 2.5 % discount, Tanishq jewellery 2.5 %, Tata Hosing 2.5%, Volts AC 20%, Additional cash back of Rs. 1,18,000 on Tata Motors, 22% discount on tata sky, 10 % on Titan eye plus with usual annual increment, bonuses and much more benefits that I cannot calculate."
Then it came to me that I was wondering how come it is Mukesh Ambani the richest person in India today! I found that the only reason behind is that Tata Group donated 66% of its income. Tata Group had revenue of 108 billion dollars, while the reliance had 44 billion dollars. Modesty is in nature of Ratan Tata; otherwise none of the power in the world could stop him to become the richest person in the world.
Awards & Achievements
- In 2000, he was conferred the Padma Bhushan, the third highest civilian honor awarded by the Government of India.
- In 2004, he received the ‘Medal of the Oriental Republic of Uruguay’ from the Government of Uruguay.
- In 2005, he was conferred the ‘International Distinguished Achievement Award’ by the B'nai B'rith International.
- In 2007, he was conferred the Honorary Fellowship of The London School of Economics and Political Science.
- In 2008, he was awarded the ‘Padma Vibhusan’, the second highest civilian honor awarded by the Government of India.
- In 2009, he received the ‘Award of 'Grand Officer' of the Order of Merit of the Italian Republic’ from the Government of Italy.
- In 2009, he was awarded the title of Honorary Knight Commander of the Order of the British Empire, United Kingdom.
- In 2010, he won the ‘Oslo Business for Peace Award’ presented by the Business for Peace Foundation.
- In 2014, he was conferred the ‘Honorary Knight Grand Cross of The Order of the British Empire’.
On his 75th birthday, i.e., on 28 December 2012 Ratan Tata resigned from the post of Chairman of Tata Group, managing director of Shapoorji Pallonji Group. Even after retirement, he is still an active businessman and invests in upcoming promising business ventures. His dream is to upgrade the quality of life of the country’s people with the development of human resource.