Company
Cancel
Corporate TrendsCorporate TrendsView in App

Ratan Tata assures Narendra Modi on a swift transition at the Tata Group

Just a few days back former Chairman Emeritus of Tata Sons had expressed concern over the alleged growing intolerance in the country.

By , ET Online | Updated:
Ratan Tata assures Narendra Modi on a swift transition at the Tata Group
NEW DELHI: After assuring employees of the Tata Group about the removal of Cyrus Mistry, Ratan Tata has written to the Prime Minister Narendra Modi informing him about the removal of Cyrus Mistry as a chairman of Tata Sons with immediate effect.

"A new management structure is being put in place and a Selection Committee has been constituted to identify the next chairman of Tata Sons," Mr Tata informed PM Modi in the letter.

"The committee has been mandated to complete the process in four months," he added.

Read Also: In an open letter, Ratan Tata reassures employees

Just a few days back former Chairman Emeritus of Tata Sons had expressed concern over the alleged growing intolerance in the country and called it as "a curse we are seeing of late".

Earlier today, Tata sons board has unceremoniously removed Cyrus Pallonji Mistry, 48, as its chief.
ADVERTISEMENT




Download
The Economic Times Business News App for the Latest News in Business, Sensex, Stock Market Updates & More.
Download
The Economic Times News App for Quarterly Results, Latest News in ITR, Business, Share Market, Live Sensex News & More.
Was Tata Sons unhappy with Cyrus Mistry's performance?
1/9
Text: Economictimes.com

Tata Sons on Monday announced that its Board has replaced Cyrus P Mistry as Chairman of Tata Sons at a meeting held in Mumbai. An insider said, there was an inherent bureaucracy in the system that has gone unchallenged for years.

While Mistry, who would have completed four years at the helm in December, or any others from the group is yet to give out a reason behind this sudden decision, here are our guesses.
Text: Economictimes.com Tata Sons on Monday announced that its Board has replaced Cyrus P Mistry as Chairman of Tata Sons at a meeting held in Mumbai. An insider said, there was an inherent bureaucr..
Read More
In August 2016, when shareholders of Tata Motors complained that the dividend of 20 paisa a share was piddly, Mistry justified the move. "We have raised capital from all of you last year. We are now employing that capital in new products. I think the journey is going to be long and not for the faint hearted."
In August 2016, when shareholders of Tata Motors complained that the dividend of 20 paisa a share was piddly, Mistry justified the move. "We have raised capital from all of you last year. We are now ..
Read More
Much of Tata’s problems is owing to its elephantine structure. Cross-ownership of companies — Tata Sons owns stakes in businesses like Tata Motors or Tata Steel and these businesses own stakes in each other — has made it difficult for the group to make the most of its identity as a diversified conglomerate. An insider said, "There is an inherent bureaucracy in the system that has gone unchallenged for years."
Much of Tata’s problems is owing to its elephantine structure. Cross-ownership of companies — Tata Sons owns stakes in businesses like Tata Motors or Tata Steel and these businesses own stakes in eac..
Read More
Tata watchers said the group is so infatuated with a long-term vision that it has shied away from recalibrating strategy in key businesses.

It has even shown a strange reluctance to focus on the growing Indian market; the international market still accounts for two-third of overall revenues at $70 billion. The performance of the group, nearly four years into Mistry’s reign as Tata boss, has largely been listless. The head of a top investment fund says Mistry has a very tough job.
Tata watchers said the group is so infatuated with a long-term vision that it has shied away from recalibrating strategy in key businesses. It has even shown a strange reluctance to focus on the gro..
Read More
Mistry pressed companies to focus on improving the efficiency of boards, pushing for a performance-oriented culture. He created parallel teams and structures with the freedom to challenge and break hierarchical structures, according to Tata insiders.

He has shone a light on critical requirements like going digital and being agile, and has clearly placed his finger on the right issues, stressing sustainable, profitable growth."
Mistry pressed companies to focus on improving the efficiency of boards, pushing for a performance-oriented culture. He created parallel teams and structures with the freedom to challenge and break h..
Read More
By 2025, Mistry wanted the group to be in the top 25 globally by market capitalisation and he wants the conglomerate to reach out to 25% of the global population, but he he did not lay out a detailed strategy.

Even the in-house interview offered few cues. To confront the challenging situations would ultimately "entail hard decisions on pruning the portfolio", according to Mistry.
By 2025, Mistry wanted the group to be in the top 25 globally by market capitalisation and he wants the conglomerate to reach out to 25% of the global population, but he he did not lay out a detailed..
Read More
Mistry had spent the first three years understanding the sprawling Tata empire and its complexities. Half a dozen Tata insiders say he has been building knowledge about specific domains to ask the right questions and understanding geopolitics, technology and societal issues.

Mistry often attended classrooms that have professors and academicians sharing knowledge. He recently attended a digital marketing session addressed by Facebook executives and conducted by Harvard University.
Mistry had spent the first three years understanding the sprawling Tata empire and its complexities. Half a dozen Tata insiders say he has been building knowledge about specific domains to ask the ri..
Read More
Tata insiders say Mistry is a workaholic who is in office even on weekends. Many of them receive his emails late into the night. On a Parsi holiday a month back, ET caught Mistry walking out of Bombay House, the Tata headquarters, talking animatedly with CEO Guenter Butschek.
Tata insiders say Mistry is a workaholic who is in office even on weekends. Many of them receive his emails late into the night. On a Parsi holiday a month back, ET caught Mistry walking out of Bomba..
Read More
What Mistry has not done in earnest yet, according to investments fund managers, is reinvigorate the leadership in various businesses.

A top investment fund CEO criticised the delay in appointing a CEO for Tata Motors after Karl Slym’s death in 2014. "Why could not the group have deployed a smart leader like Chandra (TCS boss N Chandrasekaran)? The group has to create a strong leadership pipeline."
What Mistry has not done in earnest yet, according to investments fund managers, is reinvigorate the leadership in various businesses. A top investment fund CEO criticised the delay in appointing a ..
Read More
See More SlideshowsMore Slideshows
READ MORE
ADVERTISEMENT

READ MORE:

Narendra Modi |ratan tata |Pallonji Mistry |Tata Sons |Cyrus Pallonji Mistry

LOGIN & CLAIM

50 TIMESPOINTS

Cyrus Mistry’s exit could create uncertainty at Tata Motors, say industry experts

More from our Partners

Loading next story
Cancel
Business News › News › Company › Corporate Trends › Ratan Tata assures Narendra Modi on a swift transition at the Tata Group
Text Size:AAA

Popular Categories

Hot on Web

In Case you missed it

Top Searched Companies

Download ET APP


Follow us on


Powered by

become a member

Terms of Use & Grievance Redressal Policy
DNPA Code of Ethics|Privacy Policy|Archive|Delete Data|Feedback|

Copyright © 2026 Bennett, Coleman & Co. Ltd. All rights reserved. For reprint rights:
Times Syndication Service

Do Not Sell My Personal Information
Success
This article has been saved

*

+