Tata indian yet global

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TATA Indian Multinational Conglomerate

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Transcript of Tata indian yet global

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TATA

Indian Multinational Conglomerate

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• The company headquartered in the Bombay House in Mumbai, India. Tata Group is one of the largest companies in India by market capitalization and revenue. • It has interests in communications

and information technology, engineering, materials, services, energy, consumer products and chemicals.

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• The Tata Group has operations in more than 80 countries across six continents and its companies export products and services to 80 nations. • The Tata Group comprises 114

companies and subsidiaries in eight business sectors,27 of which are publicly listed. 65.8% of the ownership of Tata Group is held in charitable trusts.

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The seeds of what would mature and become today's Tata group were laid long years before India became independent.

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Establishment

1868• Jamshetji Nusserwanji Tata starts a private trading firm, laying the foundation of the Tata group.

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• The foundation of what would grow to become the Tata Group was laid in 1868 by Jamshetji Nusserwanji Tata — then a 29-year-old who had learned the ropes of business while working in his father’s banking firm  — when he established a trading company in Bombay.  

• A visionary entrepreneur, an acknowledged nationalist and a committed philanthropist, Jamshetji Tata helped pave the path to industrialisation in India by seeding pioneering businesses in sectors such as steel, energy, textiles and hospitality.

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• The beginning of the Tata Group can be traced back to 1868, when Jamshetji Nusserwanji Tata established a trading company dealing in cotton in Bombay (now Mumbai), British India.

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1874• The Central India Spinning, Weaving and

Manufacturing Company is set up, marking the group's entry into textiles and its first large-scale industrial venture.

• The installation of 'Empress Mills' in Nagpur in 1877.

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• Empress Mills, a textiles venture set up in Nagpur in central India in 1877, was the first of the big industrial projects undertaken by the Tata Group. Jamshetji Tata was by this time, though, already gripped by what would the three great ideas of his life: setting up an iron and steel company, generating hydroelectric power and creating an institution that would tutor Indians in the sciences.

•  • None of these ideas would come to fruition while

Jamshetji Tata lived, but they were realised in full measure by those who followed him.

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1902• The Indian Hotels Company is incorporated

to set up the Taj Mahal Palace and Tower, India's first luxury hotel, which opened in 1903.

• Taj Mahal Hotel in Bombay (now Mumbai) was opened for business in 1903. Sir Dorab Tata, the eldest son of Jamshetji Tata became the chairman of the group after his father's death in 1904.

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Globalization 1907• The Tata Iron and Steel Company (now Tata

Steel) is established to set up India's first iron and steel plant in Jamshedpur. The plant started production in 1912

• Sets up its first office overseas, Tata Limited in London

 

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• Tata Limited was established in London in 1907 as the Tata Group’s representative in Europe. The company has evolved to become the agent for the overseas procurement of goods and services for the Group.

• It has expanded beyond its traditional purchasing activity by introducing sophisticated systems; it now offers comprehensive and highly specialised services that cover almost every type of industry and activity.

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Areas of business• A fully computerised system for worldwide

sourcing of equipment, spares, raw materials and services.

• An in-house freight management company specialising in the movement of goods from anywhere in the world to the Indian subcontinent.

• Insurance at competitive rates as principal agents. 

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 • Raising of finance for trading operations and

investments. • Identification of potential partners for

collaborative ventures. • Representation in the UK and other parts of

Europe for liaison work.• Marketing of products / services in the UK and

other European markets.• Commodity trading in metals and soft

commodities. • Besides these, Tata Limited is being geared to

providing advice and assistance to Indian companies seeking overseas opportunities for their products.

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1912• Tata Steel introduces eight-hour working days.• Tata Steel introduced eight-hour working days in 1912,

well before it became statutory in much of the West, and the first Tata provident fund scheme was started in 1920 (governmental regulation on this came into force in 1952). The Tata townships, and the facilities they have, are another example of the manner in which the Group extends itself to care for its employees.

• The Tata Group presently employs about 350,000 people. Taking good care of this large family is a priority for the Group, and it has a tradition to stay true to while doing so.

 

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The Tata group ventured into new areas and built on the foundations, in spite of the restraints imposed by a controlled economy

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1932• Tata Airlines, a division of Tata Sons, is established, opening up the aviation sector in India. Air India was nationalised in 1953.

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• In 1945, he founded Tata Motors. In 1948, JRD Tata launched Air India International as India's first international airline. In 1953, the Indian Government appointed Babu as Chairman of Air-India and a director on the Board of Indian Airlines - a position he retained for 25 years. For his crowning achievements in aviation, he was bestowed with the title of Honorary Air Commodore of India.

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1939Tata Chemicals, now the largest producer of soda ash in the country, is established 

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•1952• Jawaharlal Nehru, India's first Prime Minister, requests the group to manufacture cosmetics in India, leading to the setting up of Lakme. The company was sold to Hindustan Lever (now Unilever) in 1997

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1954• India's major marketing, engineering and

manufacturing organisation, Voltas, is established 

1962• Tata Finlay (now Tata Tea), one of the

largest tea producers, is established• Tata Exports is established. Today the company,

renamed Tata International, is one of the leading export houses in India

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1968• Tata Consultancy Services (TCS), India's

first software services company, is established as a division of Tata Sons

 1971• Tata Precision Industries, the first Tata company in

Singapore, is founded to design and manufacture precision engineering products

1984• The first 500 MW thermal power unit at the

Trombay station of the Tata Electric Companies is commissioned

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The liberalisation of the Indian economy unleashed a period of remarkable growth for the Tata group, in India and worldwide

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1995• Tata Quality Management Services institutes the

JRD QV Award, modelled on the Malcolm Baldrige National Quality Value Award of the United States, laying the foundation of the Tata Business Excellence Model

1996• Tata Teleservices (TTSL) is established to

spearhead the group's foray into the telecom sector 

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• Taj Air offers executive charter services in India and overseas. Established in 1993, it is an associate of Indian Hotels and offers guests a flexible travel itinerary, customised schedules, express departures and direct access to destinations that are not connected on conventional routes.

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1998• Tata Indica — India's first indigenously designed and manufactured car — is launched by Tata Motors, spearheading the group's entry into the passenger car segment

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1999• The new Tata group corporate mark and logo are launched 2000• Tata Tea (now Tata Global Beverages) acquires the

Tetley group, UK. This is the first major acquisition of an international brand by an Indian business group

 2001• Tata AIG — a joint venture between the Tata group and

American International Group Inc (AIG) — marks the Tata re-entry into insurance. (The group's insurance company, New India Assurance, set up in 1919, was nationalised in 1956)

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2002• Tata Sons acquires a controlling stake in VSNL

(renamed Tata Communications in 2008), India's leading international telecommunications service provider 

• Tata Consultancy Services (TCS) becomes the first Indian software company to cross one billion dollars in revenues

• Titan launches Edge, the slimmest watch in the world 

 

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2004• Tata Motors is listed on the world's largest bourse,

the New York Stock Exchange, the second group company to do so after VSNL 

• Tata Motors acquires the heavy vehicles unit of Daewoo Motors, South Korea.

• TCS goes public in July 2004 in the largest private sector initial public offering (IPO) in the Indian market, raising nearly $1.2 billion.

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2005• Tata Steel acquires Singapore-based steel

company NatSteel by subscribing to 100 per cent equity of its subsidiary, NatSteel Asia 

• VSNL (now Tata Communications) acquired Tyco Global Network, making it one of the world's largest providers of submarine cable bandwidth 

• Tata Sons completes 60 years of Tata operations in the US 

• The Taj acquires a hotel run by Starwood, Sydney (renamed Blue) and takes over management of The Pierre, NY 

  

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2006• Tata Sky satellite television service

launched across the country • Foundation stone for the Tata Medical

Centre unveiled in Kolkata 

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2007• Tata Steel acquires the Anglo-Dutch company Corus, making it the world's fifth-largest steel producer • TCS inaugurates TCS China — a joint venture with the Chinese government and other partners 

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• Computational Research Laboratories, a division of Tata Sons, develops Eka, one of the fastest supercomputers in the world and the fastest in Asia • The Taj acquires Campton Place Hotel

in San Francisco • Tata Steel celebrates its centenary on

August 26, 2007

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2009• Tata Motors announces commercial launch of the

Tata Nano; Tata Nano draws over 2.03 lakh bookings; first 100,000 owners of the Tata Nano chosen; delivers first Tata Nano in the country in Mumbai 

• Tata Teleservices announces pan-India GSM service with NTT DOCOMO

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• TRF acquires Dutch Lanka Trailer Manufacturers (DLT), Sri Lanka, a world-class trailer manufacturing company.

• Jaguar Land Rover introduces its premium range of vehicles in India.

• Tata Motors acquires remaining 79 per cent shares in Hispano Carrocera, one of the largest manufacturers of bus and coach cabins in Europe .

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• Tata Chemicals launches Tata Swach — the world’s most cost-effective water purifier 

• Tata Housing makes waves with its launch of low cost housing in Mumbai

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2010• TRF acquires UK-based Hewitt Robins

International • New plant for Tata Nano at Sanand

inaugurated • Advinus Therapeutics announces the

discovery of a novel molecule — GKM-001 — for the treatment of type II diabetes 

• Tata Tea announces joint venture with PepsiCo for health drinks.

• Tata Tea group rebrands itself as Tata Global Beverages, headquartered in London. 

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• Tata DOCOMO launches its 3G services in Maharashtra and Gujarat

• Brunner Mond acquires 100-per-cent stake in leading vacuum salt producer British Salt, UK 

• Tata Chemicals launches i-Shakti dals, a range of branded pulses

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2011• Tata Coffee and Starbucks sign MoU for strategic

alliance in India • Tata Chemicals rebrands its global subsidiaries in

the UK, the US and Kenya under the Tata Chemicals corporate brand 

• The Tata brand soars into the top 50 club of global brands 

• Tata Medical Center, a comprehensive cancer care and treatment facility established in Kolkata, was inaugurated by Tata Sons Chairman Ratan Tata

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• Tata Nano begins international journey with Sri Lanka, as Tata Motors celebrates 50th year of its international business 

• Tata Interactive Systems selected amongst world’s top 20 content development companies 

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The Global Presence

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• ASIA PACIFIC • CHINA• EUROPE• MIDDLE EAST• AMERICA• UNITED KINGDOM

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Tata In Asia Pacific• Asia Pacific is a key market for the Tata group as it

enjoys a strong brand presence in the region — apart from the Indian sub-continent, Tata is present in Singapore, Thailand, Vietnam, Indonesia, Malaysia, the Philippines, South Korea, Australia and China. 

• Although most Tata companies are headquartered in India, the group's growing global spread has resulted in the Asia Pacific region becoming a significant base of operations as well. Singapore is the headquarters of Tata Technologies and Tata NYK and also the regional headquarters of Tata Consultancy Services

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Asia Pacific (cont..)• Several Tata companies have set up

manufacturing plants, sales and marketing operations and representative offices around the region. For instance, NatSteel, a Tata Steel company, is the leading provider of steel in the region with plants and bases in several Asia Pacific nations. A significant portion of Tata Communications network is located in the area. 

• Tata Motors has two large operations — Tata Daewoo in South Korea and Thonburi Automotive Assembly Plant Company in Thailand. Indian Hotels has set up several Taj properties in the area, including its luxury getaways in Malaysia, Bhutan and the Maldives, and the Blue in Sydney

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Tata In China• Currently the Tata group has a fairly significant presence in

China, with the number of companies and operations growing steadily. Tata companies employ over 2,600 employees in China, generated $3 billion worth of sales in the country and purchased goods and services worth $700 million in 2010.

• Recognising the potential for high growth in existing businesses and opportunities for new ones, Tata Sons, the group promoter company, has set up representation in China.

• Tata operations in China are spread over a range of sectors: from automotive to IT, and project management to logistics.

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Tata in Africa• Tata Africa Holdings has a strong presence in over 10 African

countries with investments exceeding US$100 million. The company was established in Johannesburg, South Africa as a subsidiary of global trading company Tata International in 1994 and serves as headquarters for Tata operations in Africa.

• A part Tata Africa shares the core Tata values of business ethics and commitment to corporate social responsibility. Over a period of three decades Tata Africa has entered into joint ventures and partnerships with several African companies to help develop local resources and talent. The organisation today employs over 750 people and operates in major industrial sectors such as information systems, engineering, services, materials, consumer products and chemicals. Major Tata Africa subsidiaries include Tata Zambia, Tata Holdings Moçambique Lda, Tata Holdings (Tanzania) and Tata Ghana.

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Tata in Middle East• The countries of the Gulf Cooperation Council —

the UAE, Saudi Arabia, Oman, Bahrain, Kuwait and Qatar — are both a strong base and a key market for Tata companies.

• The Tata footprint in the region was established in the early 1990s and has been steadily increasing since then. The main industry segments are IT, communications, hospitality, engineering, steel, power and chemicals. Several Tata brands have established a firm reputation, further driving the Tata presence in the area.

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Tata in UK•

• Tata is one of the world’s most dynamic and trusted business groups. Combining deep ethical values with proven business performance, Tata has a heritage of deep social commitment that has earned the trust and respect of its stakeholders.

• Tata has more than a century of experience and leadership in the UK, its leading international market, with combined revenues exceeding $7 billion. Having established Tata Limited in 1907 to represent it in Europe, Tata has grown to become the largest Indian employer in the UK, comprising 19 companies and a 42,000-strong workforce spread across the region. Today, Tata is also the largest foreign investor in UK industry.

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UK (cont..)• Tata companies include some well-known brands in the UK, among

them: Tetley Tea, Tata Steel Europe, Jaguar, Land Rover, Tata Consultancy Services, Quilon, and The Bombay Brasserie. In addition, Tata Communications, Tata Chemicals Europe (formerly Brunner Mond), Tata Motors, and Taj Hotels are all significant players in their respective fields.

• Five core values – integrity, understanding, excellence, unity and responsibility – are woven into the fabric of Tata and its brands and are fundamental to its success around the globe.

• The Tata name is a unique asset, representing ‘Leadership with Trust’. It stands for consistent business excellence and profitable growth, with a commitment to the communities it serves, fair and ethical business conduct, and adherence to high standards of corporate governance

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• Information Technology and Communications

Tata Business Support Services Tata CommunicationsTata Elxsi:It provides high quality, cost effective, time-to-market

solutions across product design lifecycle. The company's core practice areas cover embedded product design services, industrial design and engineering, animation and VFX services, and systems integration services.

Tata Technologies

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• EngineeringJaguar Land Rover: Acqired In 2008, for 2.3 billion

(Euro)

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• Materials Tata Steel Tata Steel Plating Kalzip: Kalzip is an international company which is part

of Tata Steel Europe Limited (formerly Corus). Kalzip is a major Tata Steel Europe brand.

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• Consumer Goods: Tata Global Beverages

Eight O'Clock Coffee: Eight O'Clock Coffee remains in that position, with US consumers purchasing 436 million more cups of the brand last year to that of the previous year.

Tetley (US) Good Earth (US): One of the first American herbal companies

and a leader in specialty tea, Good Earth focuses on exceptional taste and quality.

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Chemicals:• Since 1884, Tata Chemicals North America (formerly

General Chemical Industrial Products Inc.) has been a leading supplier of soda ash to a broad range of manufacturing industries.

• The company's Green River, Wyoming operation is one of the largest soda ash facilities in North America. It contains an underground trona mine and a surface refining plant to process the trona ore into soda ash. It is jointly owned by Tata Chemicals North America (75%) and Owens Illinois (25%), a world leader in glass container manufacture.

• General Chemical was acquired by Tata Chemicals in March 2008, making the Tata company the second largest soda ash maker in the world.

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Service • Taj Hotels Resorts and Palaces• Taj Campton Place: It was acquired by Taj Hotels

Resorts and Palaces in April 2007.• Taj Boston: It was acquired by Taj Hotels Resorts

and Palaces in January 2007, its second hotel in the US.• The Pierre New York, a Taj Hotel:The hotel was acquired by Taj Hotels Resorts and Palaces

in June 2005. It was Taj's first US luxury hotel and the company's US flagship.

The hotel was reopened in 2009 following a $100 million renovation designed to retain its classic ambiance, while adding fresh elements of 21stcentury elegance and technology.

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• Taj Pamodzi Zambia

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• Tata Motors European Technical Centre

Tata Motors European Technical Centre (TMETC) plc was established in 2005. A 100 per cent subsidiary of Tata Motors, it is in the business of design engineering and product development for the automotive industry.TMETC's 200-strong workforce in Warwick complements Tata Motors’ own skill-sets and helps provide European and international standards of delivery to the company’s passenger and light commercial vehicles.

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Global Market Share

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• Tata is dual listed, i.e. BSE as well as NYSE.• Anchored in India and committed to its traditional

values of leadership with trust, the Tata group is spreading its footprint globally through excellence and innovation

•  The Tata group's revenues for 2010-11 from its international operations were $48.3 billion, which constitutes 58 per cent of its total revenues.

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• Each operating company in the group develops its international business as an integral element in an overall strategy, depending on the competitive dynamics of the industry in which it operates. For some businesses a focus on the domestic Indian market remains the priority. For others it is developing a robust presence in neighboring markets. And then there are Tata companies, a small but growing number, that have global ambitions.

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• Exports from India remain the cornerstone of the Tata group’s international business, but different Tata companies are increasingly investing in assets overseas through greenfield projects (such as in South Africa, Bangladesh and Iran), joint ventures (in South Africa, Morocco and China) and acquisitions.

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• Acquisitions are a crucial component of the global expansion of Tata enterprises. Over the past ten years the group has made overseas acquisitions. Among the bigger deals on this front have been Tetley, Tata Chemicals Europe (formerly Brunner Mond), Tata Steel Europe (formerly Corus), Jaguar and Land Rover in the UK, Daewoo Commercial Vehicles in South Korea, NatSteel in Singapore, and Tyco Global Network and Tata Chemicals North America (formerly General Chemical Industrial Products) in the US. 

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• Priority marketsWhile individual Tata companies have differing geographical imperatives, the Tata group is focusing on a clutch of priority countries, which are expected to be of strategic importance in the years ahead. The regions are North America, UK, China, the Netherlands, Germany, South Africa, members of the Gulf Cooperation Council, Brazil, Vietnam, Thailand and Sri Lanka.

• Ratan Tata, Chairman, Tata Sons, sums up the Tata group’s efforts to internationalize its operations thus: “I hope that a hundred years from now we will spread our wings far beyond India, that we become a global group, operating in many countries, an Indian business conglomerate that is at home in the world, carrying the same sense of trust that we do today.”

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• Tata group branding competition

• Tata Indian Yet Global