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Tata group of companies
Corporate restructuring became a key solution to overcome all extensive problems lying in Indian corporate
sector. And an extensive reform taken in the year 1991 - Liberalization, Privatization and Globalization (LPG)
in Indian economy led Indian corporate to gain more competitive edge opening up with great global
opportunities. It has signaled the need for an extensive restructuring of an Indian corporate sector. Mergers and
acquisition have emerged as one of the most potent tool of corporate consolidation and restructuring. Firms are
combining their businesses, their operations and trying to bring down their operating cost by achieving
economies of scale, reducing internal competition and sustaining the financial position of both. In the present
study, the mergers and acquisitions of Tata Group of Companies specifically the ten cases are taken to
understand the impact of such decisions on the overall financial performance of the group. The study is
confined to ten mergers and acquisitions in the Tata Group and for the pre and post five years of decisions. For
better understanding and insight of the concept, researcher has summarized each chapter and findings and
suggestions have been drawn in point wise format.
Tata Group (/ˈtɑːtɑː/) is an Indian multinational conglomerate holding company headquartered
in Mumbai, Maharashtra. Founded in 1868 by Jamshedji Tata, the company gained international
recognition after purchasing several global companies, beginning with Tetley in 2000, recorded as
"the biggest acquisition in Indian corporate history."[4] One of India's largest conglomerates, Tata
Group is owned by Tata Sons, a registered charity.[5][6]
Each Tata company operates independently under the guidance and supervision of its own board of
directors and shareholders. There are 29 publicly listed Tata enterprises with a combined market
capitalisation of about $151.62 billion as of March 1, 2018.[3] Significant Tata companies and
subsidiaries include Tata Steel, Tata Motors, Jaguar Land Rover with its marques Jaguar and Land
Rover, Tata Consultancy Services, Tata Power, Tata Chemicals (including Tata Swach), Tata Global
Beverages, Tata Coffee, Tata Teleservices, Titan, Tata Communications, and The Indian Hotels
Company Limited (Taj Hotels).
A n estimated 450 million people in India need vision correction, but the actual number of those who use
optical lenses is less than 25 percent of that, says S Ravi Kant, chief executive officer of the eyewear division at
Titan Industries. The shockingly high number of people with untreated vision-correction requirements speaks
volumes about the state of ocular health in the country and about access to ophthalmic health care. For the
people at Titan Eye Plus, the challenge is not just to bring to the market eyewear that blends style and
functionality, but also to address the immediate need to increase awareness about ocular health. It is a
challenge that they have met with considerable success. In an attempt to create awareness — and reach out
especially to people who are not even aware that they need vision correction — the company launched an
online vision testing portal, a first and one-of-a-kind service from a retail chain anywhere in the world. Created
in-house, this simple test has been used by more than 250,000 visitors since its launch in October 2012 (it can
be accessed in all major Indian languages). Says Mr Kant: “Most people are unaware that they need vision
correction till they experience symptoms such as headaches, which is generally one or two years late. Being
the leader in the industry, I think it is our responsibility to bring about awareness on this issue and our
innovative online test is a step in that direction.” Anybody over six years can take the online vision test, which
does not give out a prescription but is able to identify four different types of vision problems. If the test
reveals a problem — and if the participant agrees — a trained Titan Eye Plus professional contacts him or her.
Another interesting innovation that has helped create widespread awareness is the Titan Vision Screener,
which is a portable eye screening unit. The unit is used at the healthcare camps the company organises in
residential complexes and in offices in select Indian cities.
It is very true that the Indian business news papers are full of events like mergers, acquisitions, takeovers and so on.
These events are aimed at achieving defined synergies by the respective company. It has become a common trend in our
economy. Mergers and acquisitions proven to be the potentials for further growth for many of the organizations and
simultaneously such decisions may be harmful and they were not successful. Many researches had been taken place on
the same. The evaluation of the pre and post performances of such decisions is an emerging need. The merger takes
place with various motives from various perspectives. Mergers and acquisitions decisions are considered to be the
growth indicator of a particular company. An attempt has to be made for understanding the improvement or to
compare the pre and the past performance of such decisions. Here the main objective of the study is to analyse the
mergers and acquisitions decisions taken by the company. Researcher has specifically selected Tata Group for the
research work, as the most respected group of India, as the oldest business group of India and the successful
conglomerate of India

Aims and objective

Mumbai: The Tata Business Excellence Model-2002 (TBEM) has a new look with the inclusion of new
core objectives and assessment processes. TBEM, based on the US-based Malcolm Balridge, has
undergone a change so as to reorient itself and make it more savvy with the group's initiatives
towards new economy sectors.
While the TBEM is undergoing a change, the number of group companies, which have signed up for
the Tata Brand Equity and Business Promotion Scheme and thus opted for TBEM quality process,
has increased from the 30-odd to 54. This not only includes various Tata group companies but also
various profit centres under them.

Tata Quality Management Services (TQMS) chief executive officer G Jagannathan has told this
newspaper that although basic values remain the same, the 11 core values have been modified so as
to make them more contemporary to the group's new initiatives as also to capture the speed of the

To explain a few changes, the leadership criteria now involves how the leader reviews and monitors
the progress of the management instead of just setting the direction. Innovation management is the
new entrant which deals with the agility of a certain organisation and is measured on the basis of its
ability to cope with changes. While greater emphasis has been put on the role of senior leaders,
human resource focus includes succession planning and stronger focus on cooperation,
communication and knowledge sharing.

Continuous improvement is now modified into organisation and personal learning, whereby
knowledge management by an individual, both at the personal and organisation level, is reviewed.

Finally, the core value now includes the system perspective, wherein the objective is to keep a
balance within the organisation of all individual developments happening within the company. To be
precise, the leadership has been changed to a visionary leadership, valuing employees to valuing
both the employees and the partners, fast response to agility, and a long-range view of the future.
Changes in the process management include, business processes to business growth and success
and non-product and services such as technology acquisition and knowledge management.

Besides incorporating these changes in the core value, the processes of assessment have also
undergone change. In TBEM 2002, various innovative practices have been started so as to enable all
group companies to adopt the quality management model, not in isolation but in synergy with the

This includes, one group company assessment team being assessed by another group company's
CEO and, in the process, one group company gets the perspective of the another. Also, the
assessment remains unbiased and objective.

Sharing of best practices has been made more comprehensive with the formation of four regional
forums at one each in the East and South and two in the West, where senior executives of group
companies will meet at regular intervals to share the best practices of their own company, for
instance, the customer satisfaction of Titan Industries, or industry relations of Tisco.

Besides, in a bid to take the quality vision forward, a team of senior executives from across the group
are also sent abroad to study and interact with the best quality companies there. Under the system,
some group CEOs have already visited the US and Japan.

Further, TQMS has also tied up with Tata Management Training Centre, Department of Economic
Studies, and Tata Council for Community Initiatives, so that the quality initiatives can be implemented
with inputs from all sides.

Review of Literature:
The strategic moves in the form of mergers and acquisition have gained an importance the most. And as a result rich
potential is available to research scholars as well as academicians to examine the effects of corporate restructuring and
to study the impacts of the same. There can be varied perceptions, objectives and motives with which the studies can be
perceived. There have been numerous studies on mergers and acquisitions in India as well as in foreign countries.
Abroad review of literature has been carried out by the researcher in order to enhance the present level of
understanding in the area of mergers and acquisitions, gain insight into the success of failure of mergers and formulate
the problem for further research in this area. From the literature review, the following points are concluded. 1. India is
blessed with wide corporate restructuring in Indian industry specifically post liberalization. 2. The reasons can be or in
fact are increased global competition, reduced cost of production, diversified existence in the industry, global
leadership, reduction in rate of interest, expectations of high operational efficiency, corporate tax benefits, inducement
of FDI in India as a emerging nation and many more Studies have undertaken majority in the banking industry,
manufacturing industry, pharmaceutical industry, airline industry, metal industry etc. 4. Studies are taken place for the
varied range of period pertaining to various mergers and acquisitions in the Indian industry 5. Majority of the studies
have concluded that synergies can be generated or achieved in the long run if the resources of the merged entities are
used strategically post merger decision. 6. Studies are even conducted for the mergers and acquisitions taken place in
economies like Japan, Malaysia, Pakistan, and Nigeria. 7. The most significant and famous deals in the Tata group of
companies ( Tata Motors & Jaguar and Land Rover and Tata Steel and Corus acquisition) are even studied a lot. 8.
Further to conclude it is observed that no studies are conducted to understand the overall mergers and acquisitions
taken place in the Tata Group as whole in their diversified portfolio containing more than 109 companies all over world.
Methods and methodology
Research Methodology: Research methodology chapter contains the brief of the kind of research process. It is a
descriptive research. The chapter contains the objective, need and scope of the research conducted by the research
scholar. Researcher has conducted the research study on the financial performance of mergers and acquisition of Tata
Group of companies. Researcher has taken various existing literature from different related sources available such
research papers, research articles, companies’ websites, Ph.D. thesis etc. The study is based on secondary data and they
are collected from websites, various newspapers, magazines, journals etc. The collected data were classified and
analyzed to achieve the objective of the study. The statistical tools like Mean, Standard Deviation and Students t’test are
used by researcher for fundamental research which identified pre and post-merger financial performance. Hypothesis
related to the significance between pre and post-merger profitability, liquidity, leverage, operational efficiency and
corporate performance is tested with the help of t’test
Sampling population: - The population for the present study will be mainly management consultants, social
scientists, employees of Infosys Technologies and the Tata Group, other stake holders and also members of
the general public, including those who have had some interaction with these companies. They will be chosen
keeping the objectives of our research study and the constraints of time and budget that we have.
SECONDARY SOURCES The Secondary data will be obtained from Newspapers like The Times of India, The
Hindu, The Economic Times, The Financial Times, HR and financial periodicals, Annual Reports and websites of
the companies , Business sites like rediff business etc
METHOD OF DATA COLLECTION The present study will be done using Personal Interview with a questionnaire
method to collect the Primary data.
Administrating the questionnaire :-
The respondents will be informed primarily about the study at their work and the primary data will be
collected by personally interviewing the individuals. The information will be recorded in a structured
questionnaire. The participants will be assured that all the information recorded in the questionnaire will be
anonymous and confidential
Sample size: At least1200 general public members, across Mumbai, including employees of the Infosys
technologies and the Tata group will be selected as the unit of analysis by using convenient sampling method.
10 management consultants and other experts will also be interviewed. Categories: Once the sample is
obtained, few categories will be determined by sorting the Information on the basis of similarities and
dissimilarities. Characteristics of sample Respondents will be male as well as female in this study and in
different age groups. The following age groups will be chosen:22 -30 years; 30 -50 years; 50years and above
They will be chosen, in keeping with the objectives of our study and will be selected not randomly but keeping
in mind their academic and professional expertise. The scope of the study, as in any study of this kind does get
limited by some constraints and they are elucidated next.
Tata Projects have successfully lifted 500 MW steam generator drumof Unit-IX at NTPC's Vindyachal
Super Thermal Power Plant on August 18, 2004 using 'Hydraulic Strand Jacking' method. It is for the
first time that any Indian erection contractor has used this technique andtherefore it evoked
considerable interest fromour clients, NTPC / BHEL and other contractors.
Two hydraulic jacks of 180 tons capacity each along with a set of strands, both specially transported
from UK , operating from a height of 90 meters were utilised to hoist the steam generator drum
weighing approximately 240 tons to a height of 76 meters in a matter of 10 hours. In India,
conventionally, steam generator drums are being lifted by using 15 ton winches with multi-sheave
pulleys requiring considerable pre and post preparation time and auxiliary source of power.
The new system adopted, in addition to being fully fail-safe, is most unobtrusive and allows other
works to continue unhindered prior to and after the lifting operation, thus providing about two weeks
savings in time schedule. Going by the enthusiasm the new erection method has generated, it is
expected that this process will be widely adopted in other projects, with likelihood of its becoming a
standard erection practice in future.
On this special occasion it is worth remembering that Tata Projects was associated with the erection
of Indias first 500MW indigenous steam generator Unit-VI for Tata Powers Trombay Plant in 1988.
There after the company created a national record in erecting the 500 MW steam generator drum of
Unit-VI at NTPC's Talcher Super Thermal Power Plant in 110 days during April 2002. This was
followed by the highest tonnage and pressure part joints erected on any project in India in a month at
Unit-III NTPC's Rihand Super Thermal Power Plant in November 2003
Details report of project
Tata Group's methods to raise funds in order to consolidate its holdings draws flak
For a group which has always prided itself on its strong code of ethics, the Rs 29,000 crore Tata conglomerate
seems to be doing a pretty bad job. Increased shareholder discontent over the proposal to charge a fee from all
group companies for using the 'Tata' brand name forced Group Chairman Ratan Tata to stay away from the
annual general meeting of Indian Hotels (popularly, the Taj Group) on September 23.
And as the news broke that several group companies had forked out Rs 299.38 crore to subscribe to the rights'
issue of Tata Sons at a premium of Rs 99,000 per share on September 25, 1995, Finance Secretary Montek
Singh Ahluwalia met the heads of various financial institutions (FIs) in Mumbai and advised them to take the
matter up with Ratan Tata.
The FIs, who hold a large chunk of the equity of these companies, wrote to Ratan Tata last fortnight, asking for
more details on the issue of brand name fees and the purchase of Tata
Sons shares. "The brand-name fees will give Tata
While the FIs are yet to take a decision on what stand they should Sons money to buy group company
finally take, directors of Tata Sons - the holding company through shares."
which the group companies are controlled - are going to meet early in Ritu Gupte, Strategist, Jardine
November to discuss the issues that have been raised and formulate a Fleming India
group response.
Meanwhile, Ratan Tata as well as his fellow directors are maintaining a studious silence - Ratan Tata refused to
answer a detailed questionnaire from INDIA TODAY on the matter.
Since it is arguable whether the Tata name is what has really helped the group companies do well, the fee-for-
brand-name scheme has invited the most flak. Broadly, it envisages that group companies pay an annual sum of
up to a maximum of 0.25 per cent of their turnover - for the group, this would roughly work out to around Rs 50
This amount is to be used essentially for building a group brand image through advertising and other means.
Says Ravi Dubey, vice-president, Tata Services Limited: "It was a marketing decision as the House of Tatas
wanted to fully utilise the brand equity of the company."

Click here to Enlarge

However, as long as the shareholders are assured that the money is used for the purposes it is meant for, Ratan
Tata may finally manage to get his way. Adds Anurag Mathur, analyst at Peregrine Capital: "The decision by
the House of Tata is not a normal practice and will severely affect the bottomlines of the companies which will
pay the fee."
Even so, it will take at least a year till the scheme is actually operational as various group companies are yet to
accept the Tata Sons' proposal. As the chairman of companies like Tisco and Telco - each of these paid Rs
68.75 crore for the Tata Sons' rights issue - however, Ratan Tata will find it more difficult to explain to
shareholders how the companies benefited from the investment decision made.
While the interest cost on the investment of Rs 299.38 crore alone adds up to Rs 45 crore, even if Tata Sons
declares a 100 per cent dividend, the maximum that the group companies can earn is Rs 3 crore.
To counter this, Ratan Tata has stated that, if and when Tata Sons goes public, then its shares would appreciate
tremendously and the companies would stand to gain a lot. Says BSE President M.G. Damani: "That will
happen once they are listed. Right now they are illiquid and no one will touch them."
Many shareholders appear to share Damani's view, that the only person who seems to have gained is Ratan Tata
himself since the money was used to increase the Tata stake in group companies (see graphic).

Shareholders like these at Tisco's AGM feel they are being shortchanged
Prima facie, however, it does not appear that the Tatas have violated the law. For one, the valuation of the Tata
Sons' share was done by a reputable company and appears justified on the basis of the market value of its assets.
The decision of group companies buying Tata Sons' shares is in itself not illegal. Neither is the purchase of their
shares by Tata Sons against the law.

Says K.S. Mehta, partner, in the chartered accountant firm S.S. Kothari & Co: "The group will have broken the
law only if a direct nexus can be proved between the two actions." That is, it will have to be proved that these
companies invested the money in Tata Sons only so that it could use this to invest in their shares - Section 77 of
the Companies Act prevents companies from directly or indirectly financing purchases of their own shares.
If shareholders complain about the wisdom of the investment especially since it is liquid, then the Securities and
Exchange Board of India (SEBI) will investigate the matter. Under Section 397, no management can take a
decision which oppresses the rights of shareholders.
Says SEBI Executive Director Pratip Kar: "We cannot act until we get an official complaint." And if the FIs
decide to take a firm stand and allege a nexus, then the Company Law Board (CLB) could also pursue the
In 1993-94, for example, several subsidiaries of well-known multinationals issued shares to themselves at prices
far below the market price. This was later outlawed by SEBI which came out with guidelines on the valuation of
"For the shareholders in the If SEBI or the CLB comes out with similar guidelines in this case, it
companies that have bought the will ensure that other promoters who have low equity stakes in the
shares, the returns will be very poor." companies they promoted do not follow a similar pattern of financing an
Sanjay Aggarwal, CEO, Lloyds increase in their equity holdings.
Securities At a time when SEBI is working on a model code to facilitate genuine
takeover bids, it is time it came out with a code which prevented
corporates from making a mockery of existing rules to prevent such takeovers.
Tata companies  Financial Services
The Tata group comprises over a 100  Tata AIA Life Insurance
operating companies spread across six  Tata AIG General Insurance
continents. Find out more about key Tata  Tata Asset Management
companies and their operations  Tata Capital
 Communications & ITeS  Tata Investment Corporation
 Nelco  Manufacturing
 Tata ClassEdge  Indian Steel and Wire Products
 Tata Communications  Jaguar Land Rover
 Tata Consultancy Services  JAMIPOL
 Tata Elxsi  Jamshedpur Continuous Annealing and
 Tata Interactive Systems Processing Company
 Tata Teleservices  NatSteel Holdings
 Tata Teleservices (Maharashtra)  Rallis India
 Consumer & Retail  Tata Autocomp Systems
 Infiniti Retail  Tata BlueScope Steel
 Inzpera Healthsciences  Tata Ceramics
 Landmark  Tata Chemicals
 Tata AG  Tata Chemicals Europe
 Tata Global Beverages  Tata Chemicals Magadi
 Tata Coffee  Tata Chemicals North America
 Tata Sky  Tata Cummins
 Tata UniStore  Tata Daewoo Commercial Vehicle
 Titan Company Company
 Trent  Tata Hitachi Construction Machinery
 Defence & Aerospace  Tata International
 TAL Manufacturing Solutions  Tata Metaliks
 TASEC  Tata Motors
 Tata Advanced Materials  Tata Motors European Technical Centre
 Tata Advanced Systems  Tata Petrodyne
 Tata Technologies  Tata Pigments
Analysis and Interpretation of data: This chapter is related with the data analysis and its
interpretation. Data have been collected, classified and analyzed as per the objective of the
research study by the researcher. Various statistical tools and techniques like Students’-
test have been used 291 to interpret the data and to find out the pre and post financial
performances of the selected group companies of Tata. A) Financial tools: Ratio Analysis:
Ratio analysis is extensively accepted and most widely used financial tool. An accounting
ratio shows the relationship between two numbers or two accounting variables.
Accounting and financial ratios are used for evaluating profitability, liquidity, operational
efficiency and leverage position of the selected merger and acquisition case. Ratio analysis
as a tool of financial statement analysis was used for the ratios calculation and
classification for the stated study. The profitability ratios, operating efficiency ratios,
leverage ratios, liquidity ratios and proprietary ratios were taken into consideration to
understand the overall financial performance of the selected cases of merger and
acquisitions. B) Statistical Tools: 1. Mean: Mean is used to refer to the measure of the
central tendency. Mean is total sum of data divided by the number of observations. Mean is
well known statistical tool. Mean is calculated on the basis of all the observations. 2.
Standard Deviation: Standard Deviation was introduced by Karl Pearson in the year 1823.
It is the most acceptable tool for the calculation of dispersion. Standard deviation is
denoted by small sigma sign. 3. T-test / Student’t-test: W. S.Gosset developed the t-test
around 1915. Since he published his finding under a pen name Student, itis known as
Student’s t-test. It is suitable for testing the significance of a sample mean or for judging
the significance of difference between the means of two samples when the samples are
less than 30 in number and when the population variance is not known. When two
samples are related, the paired t-test is used. The t-test can also be used for testing the
significance of the coefficients of simple and partial correlations. To investigate the impact
of merger and acquisition activities ratios have been calculated for five year before the
merger and five year after the merger. Paired sample t-test is conducted to assess the
difference in pre merger and acquisition financial performance and post merger and
acquisition performance. Here the 292 difference between the means of two variables is
observed. These variables here are the mean ratio of selected company pre and post
merger and acquisition period.
Fourteen Tata companies are partnering Tata Insights and Quants (Tata iQ), a Big Data firm, to
analyse data collected from users, consumers and make sense of it to put changes in place
Croma, the speciality retail chain selling consumer durables and information technology (IT)
products, realized a year ago that it wasn’t smartphones but sound products that were the top draw
for its customers.
The chain, run by Infiniti Retail Ltd, a 100% subsidiary of Tata Sons Ltd, then created space at its
showrooms specially for sound products, starting from Rs499. Earlier, these products used to be
scattered across sections, said Ritesh Ghosal, chief marketing officer, Infiniti Retail.
Croma is also changing the product assortment at nearly a third of its close to 100 stores after
analysing the customer catchment of each store.
The effort seems to have paid off. In the past year, repeat customers walking into Croma stores within
90 days of their previous visit has increased from 14% to 24% of all shoppers.
Croma’s is just one example of a Tata group company using Big Data and analytics to analyse
consumer behaviour and tweak the way it does business. As many as 14 Tata companies are
partnering Tata Insights and Quants (Tata iQ), a Big Data company incubated by Tata Industries Ltd
18 months ago, to analyse data collected from users and consumers and make sense of it to put
changes in place.
In Year 1, some of the early partners of Tata iQ have added as much as Rs100 crore cumulatively to
their top line by cross-selling, upselling or by making changes to better serve their customers, said
Deep Thomas, chief executive officer of Tata iQ, in an interview.
At, Tata group’s e-commerce venture, the conversion rate (a measure of how many
visitors of a website actually buy something) has improved from 0.5% to 1.5% in the past year. Within
a year of operations, the e-tailer has identified its core consumers to be working women who are 30-
40 years old in the top 10 cities of the country.
“We have actually leap-frogged an e-commerce company’s journey by two years with the
segmentation,” said Ashutosh Pandey, chief executive officer,
According to Pandey, e-commerce companies which launched 3-4 years-ago are now looking at what
customer segments to target.
At Tanishq, the jewellery arm of group firm Titan Co. Ltd, the use of targeted carousel advertisements
on Facebook led to a 30% increase in in-store sales among 25-44 year-olds, said Pulkit Trivedi,
industry director for e-commerce, retail, travel and financial services verticals at Facebook India, at
the India Fashion Forum in Mumbai in April.
The focus on Big Data and analytics in customer targeting is expected to increase under Tata Sons
chairman Natarajan Chandrasekaran, who took over in February after spending three decades at Tata
Consultancy Services Ltd.
The group will be using Big Data across functions ranging from manufacturing and operations to
supply chain management and rural business.
“Data and analytics have taken a larger-than-life pole position in Tata group today compared to where
we were a few years ago,” said Harish Bhat, chairman of Tata Global Beverages Ltd and brand
custodian of the group.
According to Bhat, chairman Chandrasekaran is an evangelist of Big Data and analytics.
“In fact, when we asked him recently what is the single most important thing that marketers should
focus on, Chandra answered ‘data, data, data’,” said Bhat.
“Data and analytics will no longer be one more thing we do, it will be central to what we do,” he
added. “It will be a glue that will bind our organization.”
Use of data and analytics is still a nascent phenomenon at Indian companies.
“Most companies are doing static analysis—that is, they look at data at a point in time or periodic data
and do analytics around that,” said Milan Sheth, advisory partner and technology sector leader, EY
These are areas that Tata iQ is looking to address.
“I think we are at the cusp of a transformation,” Thomas said in a February interview to Tata group’s
in-house magazine. He estimated that by 2025, the Indian analytics industry will be close to $16-18
billion in size.
“Two or three years from now, as organizations compete on a global scale, Big Data will be a non-
negotiable competency for every organization—they will just not be in a position to compete without
the power of data analytics,” Thomas said.

TATA group-Analysis-group
1. Tata Group is a Indian Multinational conglomerate holding company. It is India's largest
conglomerate. It was founded in the year 1868 by Jamsetji Tata.  It is head quartered in
Maharashtra, Mumbai. Jamsetji Tata INTRODUCTION
2. 3. Bombay House is a historic privately owned building in Fort, Mumbai that serves as the
head office of the Tata Group. Situated near Flora Fountain it was completed in 1924 and
has been the Tata Group's headquarters ever since. The building is a four storey colonial
structure built with Malad stone. It was designed by architect George Wittet, who later
became the head of Tata Engineering Company Limited, now Tata Motors. BOMBAY HOUSE
3. 4. The present CEO of TATA Group is Mr. Ratan Naval Tata. Ratan Naval Tata, (born 28
December 1937) is an Indian businessman, investor, philanthropist and interim chairman of
Tata Sons. He is the chairman of Tata Group, a Mumbai-based global business conglomerate
from 1991 till 2012 and again from 24 October 2016 for interim term, and continues to head its
charitable trusts. He is the recipient of two of the highest civilian awards of India–Padma
Vibhushan (2008) and Padma Bhushan (2000). He is an alumnus of The Cathedral & John
Connon School,Cornell University & Harvard Business School.
4. 5. In 2015-16, the revenue of Tata companies, taken together, is $103.51 billion. These
companies collectively employ over 660,000 people. Each Tata Company or enterprise
operates independently under the guidance and supervision of its own board of directors and
5. 6. Chairmen Jamsetji Nusserwanji Tata (1868-1904) Sir Dorab Tata (1904–1932) Nowroji
Saklatwala (1932– 1938) Jehangir Ratanji Dadabhoy Tata (1938–1991) Ratan Tata (1991–
2012) Cyrus Pallonji Mistry (2012- 2016) Ratan Tata (Interim Chairman, Oct 2016 onwards)
Jamsetji Nusserwanji Tata (1868-1904) Sir Dorab Tata (1904–1932) Nowroji Saklatwala
(1932–1938) Jehangir Ratanji Dadabhoy Tata (1938–1991) Ratan Tata Cyrus Pallonji Mistry
6. 7. BUSSINESS SECTOR Information technology and communication TCS Tata Teleservices
Tata sky Engineering Tata Motors Voltas Materials Tata Steel Services Indian Hotel Tata
Capital Energy Tata Power Consumer Products Titan, Infinite Retail Chemicals Tata
7. 8. Its TATA everywhere!! Why is it so ?
8. 9. Its TATA everywhere!! ‘TATA’ in your life!! What makes you lick your fingertips? TATA
Salt What makes your costume neat and clean? TATA Swatch What gives a foundation to
your dream? TATA Capital What makes you feel fresh? TATA Hamam What helps you to
prosper? TATA Yellow Pages Who/What increase your valuable treasure? TATA McGraw Hill
Publishers What beeps next to your heart ? TATA Cellular
9. 10. The Producer of MISSWORLD AND MISS UNIVERSE from India? TATA LAKME What
makes you relaxed? TAJ RESORTS What keeps you on the move? TATA ENGINEERING
AND LOCOMOTION What protects you from disease? TATA PHARMA What makes you
punctual? TITAN Who gives you roof over your head? TATA HOUSING
10. 11. Some interesting and inspiring facts about Tata group of industries Fact No. 1: JRD Tata
was India's first licensed pilot and founder of the country's first commercial airline company
Tata Airlines in 1932;. Tata Airlines was later renamed as Air India in 1946. Fact No. 2: Tata
Motors, Jamshedpur has a blood bank where employees get to donate a bottle of blood. In
return, not only are they given off for that day, but they can also avail an extra leave within 7
days of donating the blood. Employees indeed use it to extend their holidays and the
organisation loses man-hours through this policy. Nevertheless the company continues this
policy to encourage blood donation to save precious lives. Fact No. 3: About two-thirds of the
huge annual profits generated by Tata Group go to charity in the form of Tata Trust, and this is
done without publicity.
11. 12. Some interesting and inspiring facts about Tata group of industries Fact No. 4: Tata group
of companies usually foregoes contracts rather than paying bribes. This is in accordance with
the established policy of the group of not giving or accepting bribes. Fact No. 5: Despite
diversification of business interests in many fields, Tata group has so far abstained itself from
entering into alcohol business or tobacco business. Fact No. 6:TATA group believes in the
parsi legend, humata hukhta hvarshata, which means good thoughts, good words and good
12. 13. PHILANTHROPY The Tata Group has donated ₹ 2.20 billion ($50 million) to the Harvard
Business School (HBS) to build an academic and a residential building on the institute's
campus in Boston, Massachusetts. After the Mumbai attacks, salaries of the attacked Taj
Hotel employees were paid despite the hotel being closed for reconstruction. About 1600
employees were provided food, water, sanitation and first aid through employee outreach
centres. The employee's relatives were flown to Mumbai from outside areas and were all
accommodated for 3 weeks. In 2013, the Tata group, through the Tata Relief Committee and
the Himmotthan Society, an associate organisation of the Sir Ratan Tata Trust, has been
working in close collaboration with the Uttarakhand government to provide relief to the
impacted local communities in three districts of the state. The relief activities, which include
provision of food and household material, have so far covered over 65 villages and 3,000
15. 16. SUSTAINABLE INNOVATIONS Innovation centres- Research, Development and
Technology business of Tata Steel Europe; Tata Chemicals Innovation Centre; Tata Motors
European Technical Centre; TCS Innovation Labs; Advinus Drug Discovery Centre; and
National Automotive Innovation Centre Few of the examples of innovation’s are : Tata Swach-
Silver Nanotechnology based water purifier provides micro-biologically safe drinking water
without using harmful chemicals and electricity, Diamond bagging- Titan is the first company in
the world to make an automatic diamond bagging machine. Pedestrian airbags on cars- from
Jaguar Land Rover for increased safety of pedestrians.

The global growth for Tata Group became feasible as the acquisition took place through better ethical
leadership, the need to access new markets, the opportunity cost and the growth, need for the quality of the
product thereby creating a brand name to integrate the value chain of ethics and social responsibility towards its
stakeholders and the community itself. Tata Group has followed the ethics and no corporation issues
regardingthe finances and accounts has come out so far as they have not given any chances to exploit or cook
the books, a benchmark created by the Tata Group. Tata Group has shown and proved that if ethics and business
are put together any organization can grow significantly without any issues from management practices to the
industrial relationship of innovation. Last, but not the least, effective Management with ethics is crucial to the
success of everyorganization as it affects the job performance throughout the organization and consequently
affects profitability. To be effective, managers must understand and competently practice “the Tata way” to show
an appreciation of the impact of technology and global competition to survive in today’s economy by valuing
the employees and the stakeholders with a social responsibility towards the community where they operate or
the global world.

Founded in the year 1868 by late Shri Jamsetji Tata, an Indian conglomerate has its footprints in seven different sectors
employing six lakh employees all over the world. It has its thirty companies listed on Bombay Stock Exchange. Tata
Group eyes the market capitalization of $350 billion by the year 2025. Tata group has added $100 billion to the market
capitalization by its thirty listed companies during last 15 years. Tata Group accounts for 7.9% of the total market
capitalization of BSE. They believe in wealth creation and not the economic parameter of profitability. Whatever they
earn, whole-heartedly they gift it to the society in the various forms. The history of wealth creation is not ten or twenty
year old but it’s a long journey from the year 1868 where in the five generations of leadership has already been blessed.
The current leadership of the group is with Cyrus PallonjiMistry. They were the first to enter into the foreign boundaries
to do the business through acquisition. They have booked many leaderships and been pioneered in various employee
oriented efforts. As a result Tata group is the most respected business conglomerate of the world. The individual
profitability or the loss making incidences are not affecting the strong rootholds of the group. Collectively the Tata group
has more than 110 companies operating in six continents on the earth. The collective financial performance will battle
prominently the economic threats to their group companies
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Suggestions: Mergers and acquisitions have proven to be the most adopted strategic move by the corporates all over
the world. One can call today’s world as the Competition world. Restructuring in the form of mergers and acquisitions is
considered as one of the best way to roothold the company’s existence. Mergers and acquisitions have proven to be a
significant and increasingly popular means for achieving corporate diversity and growth. It is experienced that many of
the corporate restructuring decisions have proven wrong due to unfruitful rewards. It would be a kind of embellishment
if mere on the basis of few M&A decisions to suggest to the strongly rooted business hub. It is suggested here that the
success of merger and acquisition do not depend only upon the deep financial and strategic analysis and planning, but
planning of congruence between two companies for the implementation of the decision is equally significant. 1. It is
necessary to assess the merger and acquisition decision as a unique decision always as far as its immediate and long run
impacts are concern. 2. It is observed that the synergies can be achieved in the long run period of time. So short-term
impacts should be tackled strategically. 3. It is advisable for the group to control on the operating cost of the company
so that the profit margin can be improved. 4. It is suggested that cost benefit initiatives, well-specified market
segmentation, and value additions to the product should also be focused in conjunction with the restructuring decisions.
5. The financial parameters are most important for the success of any merger and acquisition decision, operational and
leadership problems even cannot over looked. 6. Sometimes reversing the decisions can be a work out for the
improvement in performances. Tata Steel has already worked out with sale of its European arm to Greybull Capital. It is
thought as the cost improvement initiative by the company. 7. The economic conditions of the overall economy even
plays significant role for the success of merger and acquisition. 298 8. Divestment of certain units those which are not
forming the core part of business is again a solution to improve the revenue of the business and resulting into increased
group revenue. 9. Strategic planning - pre acquisition, and post acquisition implementation or executions of the
strategies is equally vital for the success of any merger and acquisition decision.