Aaj Ki ‘Tata’ Khabar: Ratan In A Huddle
Action packed day after Cyrus Mistry is removed as chairman of Tata Sons.
A day after Cyrus Mistry, the chairman of the $108 billion Tata Group, was sacked, Ratan Tata was back at Bombay House taking stock. He moved his office out of the Tata Group headquarters four years ago when he stepped down as chairman, making way for Mistry.
The Walk Across The Road
At 11am Ratan Tata walked the short 5 minute distance from the Tata Trusts office to Bombay House, choosing to enter through the back gate, perhaps to give the large media contingent stationed outside the building a miss. But he couldn’t avoid BloombergQuint’s camera.
He was there to chair a meeting with the chief executive officers, managing directors and other senior leaders of the group. The meeting was attended by most of the group’s senior leadership, including by those travelling - TCS chief executive officer & managing director N Chandrasekaran is in Australia and joined via video conference.
Ratan Tata had a clear message for the leadership team, as revealed in a media statement released later. “An institution must exceed the people who lead it,” said Tata. He added that he would revisit all the ongoing initiatives undertaken during the last four years.
We will evaluate and continue to undertake those (initiatives) that are required to. If there is any change, they will be discussed with you.Ratan Tata’s message to the Tata leadership team
Also Read: How To Remove A Chairman: The Tata Sons Way
Caveat vs Caveat
While Tata huddled with the group’s leadership, his lawyers were taking no chances, filing caveats in the Bombay High Court, the National Company Law Tribunal, the Delhi High Court and the Supreme Court. The caveats are in anticipation of Cyrus Mistry and the Shapoorji Pallonji Group approaching courts to challenge his dismissal. But Cyrus Mistry made no such legal move, instead his office issued a statement to clarify that “Tatas have filed caveats seeking notice from Cyrus Mistry fearing legal action. Cyrus has not filed any caveats.”
Business As Usual For Ratan Tata
Early afternoon, Ratan Tata left Bombay House having concluded his meeting with the Tata leadership. He headed back to Tata Trusts office and later in the evening called it a day. 24 hours after he sacked his successor and made it to the headlines, Tata seemed unaffected by the drama unfolding around him. When BloombergQuint asked him for a comment on the developments of the day he said, “no developments, I was in my office.”
New Members on Tata Sons’ Board
Tata ended the day by expanding the board of Tata Sons. According to a Tata Sons media statement, two of the group’s best performing chief executives - Ralf Speth of Jaguar Land Rover and N Chandrasekaran of Tata Consultancy Services (TCS), as additional directors on the Tata Sons Board. Tata said, “This is in recognition of their exemplary leadership in their companies.”
Also Read: From Ratan Tata To Cyrus Mistry And Back
