3-Minute Summary of Sucheta Dalal's Insights on the Tata Group's Transition Introduction to the Leadership Transition The Tata Group is undergoing a critical leadership transition following the death of Ratan Tata, its patriarch. Within just a day of his passing, Noel Tata was swiftly appointed as the chairman of Tata Trusts, which controls 66% of Tata Sons. This quick decision has raised questions about whether it will ensure stability or lead to tensions within the conglomerate. While Noel Tata’s appointment seems to mark a smooth transition, the reality is more complex due to underlying power struggles and the sheer size of the group’s influence. Significance of Noel Tata's Appointment Noel Tata is stepping into a role that carries immense influence. The Tata Trusts are a key player, indirectly controlling the empire that spans industries such as salt, steel, software, retail, and more. Noel Tata himself emphasised that the trusts remain focused on philanthropic initiatives and nation-building, but their control over Tata Sons gives them significant sway in corporate decisions. Historically, Ratan Tata ensured that voting control was consolidated within the Trusts, and this influence has only grown over time. Noel Tata’s leadership will be pivotal in maintaining the group’s unique corporate culture and ethos. The Challenge of Power Dynamics Internally, there are multiple power centres within the Tata Group. Noel Tata must navigate these complexities, especially with Natarajan Chandrasekaran, the chairman of Tata Sons, who has a close relationship with the board and significant control over the $165 billion empire. Another key figure is Venu Srinivasan, a vice-chairman of Tata Trusts and someone who holds a close connection to both the Reserve Bank of India (RBI) and the group. These relationships are crucial as the RBI is pushing for Tata Sons to list publicly by 2025, a move the group has resisted. This internal power balance will test Noel Tata’s leadership skills, as he must manage different factions and maintain unity. Family Ties and the Shapoorji Pallonji Group Adding to the complexity is Noel Tata’s family connection to the Shapoorji Pallonji (SP) Group, which holds an 18.37% stake in Tata Sons. This makes them the largest private shareholder, but relations between the two groups have been strained ever since Cyrus Mistry, a member of the SP Group, was ousted as chairman of Tata Sons in 2016. The legal battles between the two groups lasted until 2021 and only recently began to thaw after the tragic deaths of Cyrus Mistry and his father, Pallonji Mistry. The SP Group’s financial difficulties, including a massive debt burden, make this relationship even more delicate, as they seek to unlock the value of their Tata Sons stake. The RBI's Mandate and Future Challenges A key challenge for the Tata Group is the RBI’s mandate that Tata Sons must go public by September 2025. Currently, Tata Sons operates as a private company, but it is one of the top 10 non-banking financial companies in India. The group has resisted listing due to the complexities involved in unravelling its financial structures. However, with Venu Srinivasan on the RBI board, there is speculation that he might be able to secure an exemption for Tata Sons. This, however, could spark further controversy. Conclusion: Noel Tata's Leadership in the Face of Challenges Noel Tata’s leadership will be critical as he faces a series of challenges: managing internal power dynamics, maintaining the group’s unity, navigating its relationship with the SP Group, and addressing the RBI’s listing mandate. His ability to keep the Tata Group’s vast empire cohesive, while preserving its corporate ethos, will determine how smoothly this leadership transition unfolds. As the government closely monitors the situation, the next few years will be telling for the Tata Group’s future under Noel Tata’s stewardship.
Give Noel Tata a chance please! Dont make assumtions! Ratan just passed away so give the family a chance to grieve! Also we should be supporting Noel and don't expect him to be carbon copy of Ratan Tata. God does not create identical personalities! Let's pray for him instead!
Thank you for your thoughtful feedback! We're thrilled to hear that you found the overview valuable and insightful. . Your support means a lot to us! ..Please subscribe to our channel for more such content.
I thought there are only two TATA decendant left, Sir Ratan Tata and Jimmy Tata. First time I heard of Noel Tata and don't know how many decendant of Tata family are there.
Madam it is so refreshing to hear you. To the point no masala. Was trying to read between the lines in this and previous video wether Tata Sons will go public 😂. Plz come with more such.
Big fan of Sucheta dalal! Keep the episodes coming :) Would love it if you could have some podcasts with experts evaluating key changes in the Indian economy - maybe on a biyearly basis 🙂
Great content. Would like to know more on how you gather (google search is too broad a term for noobs like me), critically cut through the noise madam.
It is not about Noel Tata.Thr whole Tata group is running due to the Dynamic and Magnetic chairman N.Chandra.Any change will impact the Tata group. Meaning if Noel Tata wants a change in the Chairmanship level..
Regarding that instagram post, there seems to be no reason to call it a scandal because that is how things happen in life. Most likely he felt unwell and since he was VIP he got placed under observation but his health deteriorated instead.
I am sceptic that the group will survive for long if Noel Tata won't follow Ratan Tata's footsteps. Since Ratan had setup many rules regulations and policies, and, may be, tangles too that none can cross his line. Similar things were seen when J R D TATA retired and that the job was tough for Ratan. Remember, Dilip Pendse, Ajit Kerkar, Russi Mody, J E Talaulicar and Cyrus Mistry had to pay the price for breaking the aforesaid TATA rules. Passing on the baton isn't easy at the Tatas.
You may want read Moneylife’s latest exclusive: www.moneylife.in/article/rbi-says-tata-sons-has-not-sought-exemption-from-listing-requirements-ipo-before-september-2025-deadline/75404.html
which part of the video led you to JUMP to that conclusion?? And is that the ONLY thing that. you got from a long discussion about a large corporate group with several listed companies in which people put their savings? Was it about one individual? Was it even about Ratan Tata or the future .
As usual trying to tarnish a good business and trying to sow the poisonous seeds. Tata Sons have payed down the debt and sought exemption from NBFC classification itself. Hence if they are exempted from classifying as NBFC, there won’t be requirement to list and hence doesn’t make sense to seek another exemption from listing. May be instead of trying to usurp controversy like in case of Harshad Mehta, better check all the facts and focus on all round journalism than current form of single sided journalism. With respect to SP Group, they made bad decisions and took on loads of debt, which is now coming back to haunt them. There is no need to cry foul for SP Group needing to sell their stake in Eureka Forbes and other companies. This shows that sacking Cyrus Mistry was a good decision. Because Tata Sons has limited shareholders, they can take long term view and stand behind their investments during bad economic conditions while listing it would pressure them to fall victim to short term goals of keeping share price up.
Seriously? You really need to read a lot more... Here is one such article on RBI stating that Tata Sons had not sought any exemption... moneylife.in/article/tata-sons-has-not-sought-exemption-from-listing-requirements-ipo-before-september-2025-deadline/75404.html
So basically the 'only' ones that actually benefit by listing Tata & Sons is the 'deep in debt' Shapoorji Pallonji Group. Let's cut through the BS... 😅
Tensions already started with a ban on air hostesses sporting tilak and no entry for jobs in Air India. For Hindus .He is a Christian not a paarsi Hindus must boycott Air India ?there are many airlines for domestic travel .For zimternational travel too reject Air India .Tnere are dozenS of air lines which give better service .I never expected this with in a few weeks of zRatan Tata's death such hatred for Hindus will be openly displayed .if Hindus unite and boycott Air India they will have to shut down their business ess That is power of unity amongst us
Noel Tata is Not Young, But what he is doing as per you all news givers, Not Seems Good at All. God give him & All Others Some Wisdom To do Rights Only.🙏🙏
A video trying to blow down ratan tata,s legacy. Noel is just a face. Spg will sale stake likely to adani. And tata won’t remain tata if this continues.
you can watch BISBO channel video on this. Basically Cyrus mistry was more inclined to do business but TATAs historically had been empathetic employer so that was main reason for clash.
Don’t praise this man he is unfit to be Ratanji’s successor .Within a day ne has proved he is aHindu hater .by banning Tilak .for Air hostesses .A man with communal hatred can he run the huge Tata organisation effectively .Hindus Boycott Air India for both domestic and International travel..Teach this Christian communalist a lesson
God bless Mr Noel Tata & give him strength to take Tata Foundation & Trust to new & greater heights
When huge eulogies are being bandied about regarding RNT, am glad that someone is researching and talking about hard facts.
Still waters run deep… Mr N Tata, is built n groomed for a long time to finally lead the Tata brand to new heights.
3-Minute Summary of Sucheta Dalal's Insights on the Tata Group's Transition
Introduction to the Leadership Transition
The Tata Group is undergoing a critical leadership transition following the death of Ratan Tata, its patriarch. Within just a day of his passing, Noel Tata was swiftly appointed as the chairman of Tata Trusts, which controls 66% of Tata Sons. This quick decision has raised questions about whether it will ensure stability or lead to tensions within the conglomerate. While Noel Tata’s appointment seems to mark a smooth transition, the reality is more complex due to underlying power struggles and the sheer size of the group’s influence.
Significance of Noel Tata's Appointment
Noel Tata is stepping into a role that carries immense influence. The Tata Trusts are a key player, indirectly controlling the empire that spans industries such as salt, steel, software, retail, and more. Noel Tata himself emphasised that the trusts remain focused on philanthropic initiatives and nation-building, but their control over Tata Sons gives them significant sway in corporate decisions. Historically, Ratan Tata ensured that voting control was consolidated within the Trusts, and this influence has only grown over time. Noel Tata’s leadership will be pivotal in maintaining the group’s unique corporate culture and ethos.
The Challenge of Power Dynamics
Internally, there are multiple power centres within the Tata Group. Noel Tata must navigate these complexities, especially with Natarajan Chandrasekaran, the chairman of Tata Sons, who has a close relationship with the board and significant control over the $165 billion empire. Another key figure is Venu Srinivasan, a vice-chairman of Tata Trusts and someone who holds a close connection to both the Reserve Bank of India (RBI) and the group. These relationships are crucial as the RBI is pushing for Tata Sons to list publicly by 2025, a move the group has resisted. This internal power balance will test Noel Tata’s leadership skills, as he must manage different factions and maintain unity.
Family Ties and the Shapoorji Pallonji Group
Adding to the complexity is Noel Tata’s family connection to the Shapoorji Pallonji (SP) Group, which holds an 18.37% stake in Tata Sons. This makes them the largest private shareholder, but relations between the two groups have been strained ever since Cyrus Mistry, a member of the SP Group, was ousted as chairman of Tata Sons in 2016. The legal battles between the two groups lasted until 2021 and only recently began to thaw after the tragic deaths of Cyrus Mistry and his father, Pallonji Mistry. The SP Group’s financial difficulties, including a massive debt burden, make this relationship even more delicate, as they seek to unlock the value of their Tata Sons stake.
The RBI's Mandate and Future Challenges
A key challenge for the Tata Group is the RBI’s mandate that Tata Sons must go public by September 2025. Currently, Tata Sons operates as a private company, but it is one of the top 10 non-banking financial companies in India. The group has resisted listing due to the complexities involved in unravelling its financial structures. However, with Venu Srinivasan on the RBI board, there is speculation that he might be able to secure an exemption for Tata Sons. This, however, could spark further controversy.
Conclusion: Noel Tata's Leadership in the Face of Challenges
Noel Tata’s leadership will be critical as he faces a series of challenges: managing internal power dynamics, maintaining the group’s unity, navigating its relationship with the SP Group, and addressing the RBI’s listing mandate. His ability to keep the Tata Group’s vast empire cohesive, while preserving its corporate ethos, will determine how smoothly this leadership transition unfolds. As the government closely monitors the situation, the next few years will be telling for the Tata Group’s future under Noel Tata’s stewardship.
Give Noel Tata a chance please! Dont make assumtions! Ratan just passed away so give the family a chance to grieve! Also we should be supporting Noel and don't expect him to be carbon copy of Ratan Tata. God does not create identical personalities! Let's pray for him instead!
Insightful, informative as always. 👍👍
Thank you for your thoughtful feedback! We're thrilled to hear that you found the overview valuable and insightful. . Your support means a lot to us! ..Please subscribe to our channel for more such content.
I thought there are only two TATA decendant left, Sir Ratan Tata and Jimmy Tata.
First time I heard of Noel Tata and don't know how many decendant of Tata family are there.
Many thanks. Very informative.
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Madam it is so refreshing to hear you. To the point no masala. Was trying to read between the lines in this and previous video wether Tata Sons will go public 😂.
Plz come with more such.
We are glad you appreciate the direct and informative approach. Please subscribe for more insights!
Thanks sucheta as fine as always
Appreciate your kind words. Hope you would help in spreading the word about our channel and encourage others to subscribe as well!
Excellent analysis and delivery
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Big fan of Sucheta dalal! Keep the episodes coming :) Would love it if you could have some podcasts with experts evaluating key changes in the Indian economy - maybe on a biyearly basis 🙂
Thank you! We are always looking for ways to improve, so we will keep your request in mind.
Superb & timely video
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Thanks - very informative even for a complete outsider.
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Excellent insights. Thanks.
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Thanks for an insightful explainer.
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Good to listen. No masala added. Facts just simply stated. Keep it up.
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Great video as always!
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Thanks Sucheta... have read your books and watched your videos.. its always informative.
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Pls look into PPF Modifications,SGB also
I feel noel tata was not ratan tata's choice for this post otherwise ratan sir would have handed over this responsibility before
Agree
Great content.
Would like to know more on how you gather (google search is too broad a term for noobs like me), critically cut through the noise madam.
It is not about Noel Tata.Thr whole Tata group is running due to the Dynamic and Magnetic chairman N.Chandra.Any change will impact the Tata group. Meaning if Noel Tata wants a change in the Chairmanship level..
Regarding that instagram post, there seems to be no reason to call it a scandal because that is how things happen in life. Most likely he felt unwell and since he was VIP he got placed under observation but his health deteriorated instead.
Mr Ratan Tata never stepped down from the Major trust,
Thank you ma'am
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Very informative video
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Very good analysis
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Here's something to write about. Are our RTOs issuing licences to drive or to kill. Look at the way we drive our vehicles.
Professional reporting
Thank you.
I am sceptic that the group will survive for long if Noel Tata won't follow Ratan Tata's footsteps. Since Ratan had setup many rules regulations and policies, and, may be, tangles too that none can cross his line. Similar things were seen when J R D TATA retired and that the job was tough for Ratan. Remember, Dilip Pendse, Ajit Kerkar, Russi Mody, J E Talaulicar and Cyrus Mistry had to pay the price for breaking the aforesaid TATA rules. Passing on the baton isn't easy at the Tatas.
Good podcast .
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Tata SONS is a holding company, not an NBFC and the RBI wants financial services companies such as Tata Finance listed. Please confirm this.
You may want read Moneylife’s latest exclusive: www.moneylife.in/article/rbi-says-tata-sons-has-not-sought-exemption-from-listing-requirements-ipo-before-september-2025-deadline/75404.html
Thanks madam
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I'm my opinion it's way to early to write the script. What will be, will be.
Will Kumbhkaran wake-up soon & show his true powers? Time will tell
T(amil)ATA 😂😂
We have a common joke here, TCS = Tamil Consultancy Services 😂
first they will change the sons' chairman.. as he was a replacement for cyrus mainly.. the bro in law..!
This was decided earlier itself should a contingency arrives.
Just watching (Scam 1992) in Oct-2024
Noel would definitely want Chandra and Venu out. It would just be a matter of time
Lousy fellow it belongs to tata
Probably looking for controversy where there is none.
Ma'am, I just have one question: did you have something against Mr. Ratan Tata?
which part of the video led you to JUMP to that conclusion?? And is that the ONLY thing that. you got from a long discussion about a large corporate group with several listed companies in which people put their savings? Was it about one individual? Was it even about Ratan Tata or the future .
Dear Suchetha, please listen to your diction and voice which fades off now and then. Makes it difficult to hear sometimes
As usual trying to tarnish a good business and trying to sow the poisonous seeds. Tata Sons have payed down the debt and sought exemption from NBFC classification itself. Hence if they are exempted from classifying as NBFC, there won’t be requirement to list and hence doesn’t make sense to seek another exemption from listing. May be instead of trying to usurp controversy like in case of Harshad Mehta, better check all the facts and focus on all round journalism than current form of single sided journalism.
With respect to SP Group, they made bad decisions and took on loads of debt, which is now coming back to haunt them. There is no need to cry foul for SP Group needing to sell their stake in Eureka Forbes and other companies. This shows that sacking Cyrus Mistry was a good decision. Because Tata Sons has limited shareholders, they can take long term view and stand behind their investments during bad economic conditions while listing it would pressure them to fall victim to short term goals of keeping share price up.
Seriously? You really need to read a lot more... Here is one such article on RBI stating that Tata Sons had not sought any exemption...
moneylife.in/article/tata-sons-has-not-sought-exemption-from-listing-requirements-ipo-before-september-2025-deadline/75404.html
Nobody like Ratan sir sorry 😢😢😢😢😢
So basically the 'only' ones that actually benefit by listing Tata & Sons is the 'deep in debt' Shapoorji Pallonji Group. Let's cut through the BS... 😅
Very political
Tensions already started with a ban on air hostesses sporting tilak and no entry for jobs in Air India. For Hindus .He is a Christian not a paarsi Hindus must boycott Air India ?there are many airlines for domestic travel .For zimternational travel too reject Air India .Tnere are dozenS of air lines which give better service .I never expected this with in a few weeks of zRatan Tata's death such hatred for Hindus will be openly displayed .if Hindus unite and boycott Air India they will have to shut down their business ess That is power of unity amongst us
Noel Tata is Not Young, But what he is doing as per you all news givers, Not Seems Good at All. God give him & All Others Some Wisdom To do Rights Only.🙏🙏
A video trying to blow down ratan tata,s legacy. Noel is just a face. Spg will sale stake likely to adani. And tata won’t remain tata if this continues.
Why Cyrus Mistry was ousted ?
Was his intensmtions wrong?
Could someone provide a TLDR
Thank you.
An insider once said that Cyrus wanted to make Tata an efficient group.
you can watch BISBO channel video on this. Basically Cyrus mistry was more inclined to do business but TATAs historically had been empathetic employer so that was main reason for clash.
@@yastikakumar7257 thanks bros
Kuch to gadbad hai Daya
Don’t praise this man he is unfit to be Ratanji’s successor .Within a day ne has proved he is aHindu hater .by banning Tilak .for Air hostesses .A man with communal hatred can he run the huge Tata organisation effectively .Hindus Boycott Air India for both domestic and
International travel..Teach this Christian communalist a lesson
madam ❤
i was waiting for your episode.
exactly on this topic.
déjà vu
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Yes, he will do better than his brother.
Cunning fellow