Today, it has strength of 350,000 employees all over the world andan estimated annual turnover of $62 billion USD. Tata? s contribution to India? s GDP is nearly 5. 5% and 60% of its revenue comes from foreign countries. Tata group was always known for its business ethics and corporate governance. The Tata Group has spread its operations across six continents andmore than 80 countries.
He elucidated the needs of remaining focused rather than diffused, and he insisted on more aggressive attitude towards the growth and market share . The aspiration which triggered off restructuring has been described as (a) Returns must be greater than cost of capital; (b) Each company must be the industry leader occupying one of the top three positions; and (c) The business identified must have potential for high growth and should be globally competitive (From the Internal Company Journal).
Once the goal has been set, strategies were put together for exits and entries. A new scientific and rational approach has been introduced in the company. This perfectly describes how an able entrepreneurs exercise their vision to motivate employees, inspire them to meet the challenges and to “facilitate their Attempts to achieve more than they thought possible as they strive to help the firm reach its vision” (Kuratko et al. 2001, p. 62). Ratan Tata chosen to shake off the businesses of soaps and toiletries, cosmetics, consumer electronics, pharmaceuticals, computer and telecom hardware, branded white goods, paints, oil exploration services, cement, textiles, likewise enthusiastic on his spreading out into lucrative businesses like passenger cars, auto components, retailing, telecom, power and insurance(Lala,2004).