Ratan Naval Tata, the beholder of Padma Bhushan and Padma Bhushanvibhushan, is a legend in the list of Indian Business tycoons. He brought a revolutionary change in the TATA group during his tenure of being a chairman. But nothing comes handy. It took a whole life for him to build that repo. Ratan Tata’s net
Ratan Naval Tata, the beholder of Padma Bhushan and Padma Bhushanvibhushan, is a legend in the list of Indian Business tycoons. He brought a revolutionary change in the TATA group during his tenure of being a chairman. But nothing comes handy. It took a whole life for him to build that repo.
Ratan Tata’s net worth is $1 Billion. And if you’re thinking it’s not that much then you must know that Ratan Tata donates a large part of his wealth every year.
Let’s dig a bit more in the exemplary life of the Ratan tata.
Ratan Tata, the king of businesses, was born on Dec 28, 1937 (82 years old). He started his early life as a normal child-student. He started his schooling at Crampon school Mumbai till class 8 and then continued his further education from the Cathedral and John Connon School, Mumbai, and Bishop cotton school Shimla.
The Struggle That Brought Success To His Life
Bad times of life often hit us when we are not ready for them. The same happened with Ratan Tata. In 1948, his parents got divorced, and her grandmother raised him. After finishing his schooling in India, he took a flight to America to get higher education at Cornell University for architecture.
Ratan Tata was born with a sober and straightforward attitude. He never believed in pomp and show. Despite having a Tata surname, he never used it to gain the privileges. His simplicity allowed him to work as a dishwasher and perform some other small jobs to earn his pocket money while he was in graduation.
In 1959, he successfully got his degree of bachelor’s in architect. In 1961, he started his career with the TATA group by working at the TATA steel shop floor. Till 1970 he worked in different companies of the TATA group. In 1970 he was promoted into a management job. In 1971, his life took a turning point when the Nelco company, which was already drowning, was handed over to Ratan Tata.
But the entrepreneur mind and determination of Ratan Tata bought the company bank on track. Within three years, he raised the Nelco market share from 2% to 20%. Unfortunately, he was never his friend!. Due to the enforced emergency followed by the economic recession, the Nelco company was closed. Ratan that marked the first failure of his life.
He took a break from the business world, and in 1975, he got a degree of management from Harvard University.
Challenges And The Young Man
Challenges were attracted to him, in 1975, again a ‘about to be closed,’ the express mill was handed over to him. He put forward investing 50 lakhs in the company, which was declined by the managers, and the mill was finally shut down. This was another failure of Ratan Tata’s life.
In 1981, he was appointed as the director of Tata company, and in 1991, JRD Tata handed over the responsibility of Chairman to him. Tata group was already excelling in the production of motors. But Ratan Tata dreamed of bringing luxury into India in the form of the luxury car Indica. On 30 Dec 1998, he launched the commercial passenger, luxury can, Indica, to India. The car accepted a lot of criticism from the automobile critics, which eventually brought its sales to the ground. The car was a flop in India, and Ratan Tata became the chat word for the critics.
He received a hell lot of criticism from all around in and out of the company as to launch the car was his dream project. Finally, he agreed to sell the car company to Ford.
Ratan Tata shares a very bitter-sweet memory with the then-president of Ford’s group- Bill Forbes.
Bill Forbes welcomed Ratan Tata with words of criticism and barbs. He even mentioned that he is doing a favor on him by undertaking the company. Ratan Tata did not say a word but canceled the deal and returned to his office. This incident shook him from inside. He might have been devastated from inside, but he took it as a challenge and decided to answer Bill Forbes by his action.
Further, he spent a lot of time researching automobiles, and then he returned to the market with the new version of Indica. The car was much accepted in India, and the sales rocked!
Meanwhile, Ford company launched Jaguar and Land for, which resulted in a blunder for the company. History repeats itself, and so happened here. Ratan Tata once again met Bill Fords, but this time, the situation was reversed, and so were the words of Bill Forbes. He thanked Ratan tata for doing him a favor by buying the company. Ratan tata purchased the company for 2.3 billion dollars and made it a hit in India. And since then, there was no looking behind for him.
He kept on merging a lot of foreign companies into the Tata group. In 2000, he bought the sales of the Tetley group and converted it into India’s largest tea producing company. In 2004, he bought the Daewoo company, followed by Corus London Steel in 2007.
He launched TATA Nano in 2008 with the vision of bringing cars to every middle-class family at the affordable price of just 1 lakh. The car bloomed in the initial years but gradually the sales went down. Ratan Tata has a very strong foresight. He understood the inclination of youth towards the digital market and thus he invested his shares in a lot of digital companies. The digital companies include Olx, Paytm, Cardekho, Lenskart, Xiaomi, first cry and the list is very long.
On 28 Dec 2012, Mr. Ratan Tata resigned from the chairman position of the Tata group and handed over the position to Cyrus Mistry Mistry. But after a few years, he removed him from the position.
Today Tata is a brand with 30 companies working in more than 100 countries across six continents, with headquarters in India. The companies included in TATA business includes Tata Consultancy Services, Tata Motors, Tata Steel, Tata Chemicals, Tata Consumer Products, Titan, Tata Capital, Tata Power, Tata Advanced Systems, Indian Hotels, and Tata Communications.
Tata Sons is a major constituent of the TATA company that is popular for its charitable deeds. It is the principal investment holding company and promoter of Tata companies whose 66% of the equality share capital is held by philanthropic trusts which support the underprivileged with education, health, livelihood generation, and art and culture.
TATA company is well versed with its principle that stays :
“The Tata philosophy of management has always been, and is today more than ever, that corporate enterprises must be managed not merely in the interests of their owners, but equally in those of their employees, of the consumers of their products, of the local community and finally of the country as a whole.” — JRD Tata, 1973
Ratan tata is an example of carving your own path to success. He sets an example, you can stand back even after you fall for a thousand times. Ratan Tata’s life is an inspiration and every incident of his life is a life teaching example. The consistent hard work and determination of Ratan Tata made him the Ratan Tata.
We can learn a lot from Ratan Tata because he is the man who isn’t just crazy behind the money. He puts his country and countrymen first and doing a lot of charity including free education, free medical, and many things. You can also learn how to identify reasons for failures in business and also how to deal with failures.