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PROJECT ON STRATEGY IMPLEMENTATION PROCESS FOLLOWED AND ITS IMPACT ON THE TATAGROUP OF COMPANY SUBMITTED BY PRIYANKA SURYANATH SHARMA

SEAT NO. M.Com - I (SEMESTER -II) *2012-2013*

UNDER THE GUIDANCE OF


PROF. VIJAYA JACQUILINE

SUBMITTED TO
UNIVERSITY OF MUMBAI NIRMALA MEMORIAL FOUNDATION COLLEGE OF COMMERCE AND SCIENCE 90 FEET ROAD, ASHA NAGAR, THAKUR COMPLEX, KANDIVALI (E), MUMBAI-400 101.

DECLARATION

I, Ms. Priyanka Suryanath Sharma of M.Com (Master of Commerce, Semester II) hereby declare that I have completed the project on STRATEGY IMPLEMENTATION PROCESS FOLLOWED AND ITS IMPACT ON THE TATAGROUP OF COMPANY. in the academic year 2012-2013. The information submitted is true and original to best of my knowledge.

________________ Date of Submission.

________________ Signature of Student, ( Priyanka Suryanath Sharma)

CERTIFICATE
This is to certify that the project titled as STRATEGY IMPLEMENTATION PROCESS FOLLOWED AND ITS IMPACT ON THE TATAGROUP OF COMPANY has been completed by Ms. PRIYANKA SURYANATH SHARMA of M.Com. (Semester-II) examination in academic year 2012-2013. The information submitted is true and original to the best of knowledge.

______________ (Dr. T. P. Madhu Nair) Principal `

______________ (Prof. Dr. Neha Goel) Programme Coordinator

________________ (Prof. Ganga Susheel) Project Guide

________________ External Examiner

ACKNOWLEDGEMENT

I would like to extend my gratitude to Prof. Vijaya Jacquiline for providing guidance and support during the course of project. She has been a great help through the making of the project. I would like to thank the University of Mumbai for giving me the opportunity to work on such a relevant topic. I would also like to thank the college faculties, the librarian and the Principal Dr. T. P. Madhu Nair for their help and others who are indirectly responsible for the completion of this project. In addition I would like to take this opportunity to thank our M.Com Coordinator Prof. Dr. Neha Goel for being there always to guide me and for extending her full support. Date-

Mumbai

_______________ Signature of Student (Priyanka S. Sharma)

INDEX

CHAPTER 1 Introduction About the Topic


Strategy Implementation Strategy implementation is a process of activating the strategy. It is the sum total of all the activities and choices required for the execution of a strategy plan. Is it the process by

which strategies and policies are put into action through the development of budgets, programs, and procedures. Issues/ steps involved in strategy implementation Strategy implementation involves several issues in activating the strategy. The main issues relating to activating or implementing the strategy are follows: 1. Institutionalization of strategy: Institutionalization of strategy the first activity involved in activating the strategy. Institutionalization of strategy involves two aspects:

OBJECTIVES OF THE STUDY


To study the concept of strategy implementation . To study and understand the strategies implemented by the company.

RESEARCH METHODOLOGY:
Secondary data: Secondary data collected from the published magazines and websites to collect the data. The secondary data is collected from the following sources. Business magazines Journals Published books Website Books CHAPTER -2

COMPANY PROFILE OF TATA GROUP OF CAMPANY


INTRODUCTION: Tata Group is an Indian multinational conglomerate company headquartered in Mumbai,

Maharashtra, India. It encompasses seven business sectors: communications and information technology, engineering, materials, services, energy, consumer products and chemicals. Tata Group was founded in 1868 by Jamsetji Tata as a trading company. It has operations in more than 80 countries across six continents. Tata Group has over 100 operating companies each of them operates independently out of them 32 are publicly listed. The major Tata companies are Tata Steel, Tata Motors, Tata Consultancy Services (TCS), Tata Power, Tata Chemicals, Tata Global Beverages, Tata Teleservices, Titan Industries, Tata Communications and Taj Hotels. The combined market capitalization of all the 32 listed Tata companies was $89.88 billion as of March 2012. Tata receives more than 58% of its revenue from outside India. Tata Group remains a family-owned business, as the descendants of the founder (from the Tata family) owns majority stake in the company. The current chairman of the Tata group is Cyrus Pallonji Mistry, who took over from Ratan Tata in 2012. Tata Sons is the promoter of all key Tata companies and holds the bulk of shareholding in these companies. The chairman of Tata Sons has traditionally been the chairman of the Tata group. About 66% of the equity capital of Tata Sons is held by philanthropic trusts endowed by members of the Tata family. The Tata Group and its companies & enterprises is perceived to be India's best-known global brand within and outside the country as per an ASSOCHAM survey. The 2009, annual survey by the Reputation Institute ranked Tata Group as the 11th most reputable company in the world. The survey included 600 global companies. The Tata Group has helped establish and finance numerous quality researches, educational and cultural institutes in India. The group was awarded the Carnegie Medal of Philanthropy in 2007 in recognition of its long history of philanthropic activities.

PROFILE: The Tata group comprises over 100 operating companies in seven business sectors: communications and information technology, engineering, materials, services, energy,

consumer products and chemicals. The group has operations in more than 80 countries across six continents, and its companies export products and services to 85 countries. The total revenue of Tata companies, taken together, was $100.09 billion (around Rs475, 721 crore) in 2011-12, with 58 percent of this coming from business outside India. Tata companies employ over 450,000 people worldwide. The Tata name has been respected in India for more than 140 years for its adherence to strong values and business ethics. Every Tata company or enterprise operates independently. Each of these companies has its own board of directors and shareholders, to whom it is answerable. There are 32 publicly listed Tata enterprises and they have a combined market capitalization of about $94.51 billion (as on February 14, 2013), and a shareholder base of 3.8 million. The major Tata companies are Tata Steel, Tata Motors, Tata Consultancy Services (TCS), Tata Power, Tata Chemicals, Tata Global Beverages, Tata Teleservices, Titan, Tata Communications and Indian Hotels. Tata Steel is among the top ten steelmakers, and Tata Motors is among the top five commercial vehicle manufacturers, in the world. TCS is a leading global software company, with delivery centres in the US, UK, Hungary, Brazil, Uruguay and China, besides India. Tata Global Beverages is the second-largest player in tea in the world. Tata Chemicals is the worlds second-largest manufacturer of soda ash and Tata Communications is one of the worlds largest wholesale voice carriers. In tandem with the increasing international footprint of Tata companies, the Tata brand is also gaining international recognition. Brand Finance, a UK-based consultancy firm, valued the Tata brand at $16.3 billion and ranked it 45th among the top 500 most valuable global brands in their Brand Finance Global 500 March 2012 report. In 2010, Business Week magazine ranked Tata 17th among the '50 Most Innovative Companies' list. Founded by Jamsetji Tata in 1868, Tatas early years were inspired by the spirit of

nationalism. It pioneered several industries of national importance in India: steel, power, hospitality and airlines. In more recent times, its pioneering spirit has been showcased by companies such as TCS, Indias first software company, and Tata Motors, which made Indias first indigenously developed car, the Indica, in 1998 and recently unveiled the worlds most affordable car, the Tata Nano. Tata companies have always believed in returning wealth to the society they serve. Twothirds of the equity of Tata Sons, the Tata promoter holding company, is held by philanthropic trusts that have created national institutions for science and technology, medical research, social studies and the performing arts. The trusts also provide aid and assistance to non-government organizations working in the areas of education, healthcare and livelihoods. Tata companies also extend social welfare activities to communities around their industrial units. The combined development-related expenditure of the trusts and the companies amounts to around 3 percent of the group's net profits in 2011. Going forward, Tata is focusing on new technologies and innovation to drive its business in India and internationally. The Nano car is one example, as is the Eka supercomputer (developed by another Tata company), which in 2008 was ranked the worlds fourth fastest. Anchored in India and wedded to traditional values and strong ethics, Tata companies are building multinational businesses that will achieve growth through excellence and innovation, while balancing the interests of shareholders, employees and civil society.

HISTORY:
The Tata Group was founded as a private trading firm in 1868 by entrepreneur and philanthropist Tata. In 1902 the group incorporated the Indian Hotels Company to commission the Taj Mahal Palace & Tower, the first luxury hotel in India, which opened the following year. After Jamsetjis death in 1904, his son Sir Dorab Tata took over as chair of the Tata Group. Under Dorabs leadership the group quickly diversified, venturing into a vast array of new industries, including steel (1907), electricity (1910),

education (1911), consumer goods (1917), and aviation (1932). Following Dorabs death in 1932, Sir Nowroji Saklatwala became the groups chair. Six years later Jehangir Ratanji Dadabhoy Tata (J.R.D.) took over the position. His continued expansion of the company into new sectorssuch as chemicals (1939), technology (1945), cosmetics (1952), marketing, engineering, and manufacturing (1954), tea (1962), and software services (1968)earned Tata Group international recognition. In 1945 Tata Group established the Tata Engineering and Locomotive Company (TELCO) to manufacture engineering and locomotive products; it was renamed Tata Motors in 2003. In 1991 J.R.D.s nephew, Indian business mogul Ratan Naval Tata, succeeded him as chairman of the Tata Group. Upon assuming leadership of the conglomerate, Ratan aggressively sought to expand it, and increasingly he focused on globalizing its businesses. In 2000 the group acquired London-based Tetley Tea, and in 2004 it purchased the truck-manufacturing operations of South Koreas Daewoo Motors. In 2001 Tata Group partnered with American International Group, Inc. (AIG) to create the insurance company Tata-AIG. a) Values and purpose Purpose: At the Tata group we are committed to improving the quality of life of the communities we serve. We do this by striving for leadership and global competitiveness in the business sectors in which we operate. Our practice of returning to society what we earn evokes trust among consumers, employees, shareholders and the community. We are committed to protecting this heritage of leadership with trust through the manner in which we conduct our business. Core values Tata has always been values-driven. These values continue to direct the growth and business of Tata companies. The five core Tata values underpinning the way we do business are: Integrity: We must conduct our business fairly, with honesty and transparency. Everything we do must stand the test of public scrutiny. Understanding: We must be caring, show respect, compassion and humanity for our

colleagues and customers around the world, and always work for the benefit of the communities we serve. Excellence: We must constantly strive to achieve the highest possible standards in our day-to-day work and in the quality of the goods and services we provide. Unity: We must work cohesively with our colleagues across the group and with our customers and partners around the world, building strong relationships based on tolerance, understanding and mutual cooperation. Responsibility: We must continue to be responsible, sensitive to the countries, communities and environments in which we work, always ensuring that what comes from the people goes back to the people many times over.

CHAPTER 3 STRATEGY IMPLEMENTED BY & ITS IMPACT ON THE TATA GROUP OF COMPANY Tata group strategic planning and implementation

This report is brief description of the Marketing Strategies planned and adopted by TATA Group. The Tata group is one of India's oldest, largest and most respected business conglomerates. The group's businesses are spread over seven business sectors. Founded by Jamsetji Tata in 1868, Tata's early years were inspired by the spirit of nationalism. It pioneered several industries of national importance in India: steel, power, hospitality and airlines. In 1874 the Central India Spinning, Weaving and Manufacturing Company was set up, marking the group's entry into textiles and its first large-scale industrial venture. The Indian Hotels Company is incorporated to set up the Taj Mahal Palace and Tower, India's first luxury hotel, which opened in 1903. In 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. In 1910 the first of the three Tata Electric Companies, The Tata Hydro-Electric Power Supply Company is set up. The second, Andhra Valley Power Supply Company was established in 1917 and Tata Power in 1919. The first two companies were merged with Tata Power in 2000 to form a single entity. In 1917 the Tata's enter the consumer goods industry, with the Tata Oil Mills Company which was established to make soaps, detergents and cooking oils. The company was sold to Hindustan Lever in 1984. In 1932 Tata Airlines, a division of Tata Sons was established, opening up the aviation sector in India. In 1939 Tata Chemicals was established. In 1945 Tata Engineering and Locomotive Company was established which was later renamed as TATA Motors in 2003. In 1996 Tata Teleservices (TTSL) was established. STRATEGY - I This report is a brief understanding and presentation of an marketing strategy planning and its implementation for TATA Group. Tata group of companies operates in seven business sectors starting from communications and information technology, engineering, materials, services, energy, consumer products to chemicals. This is the largest group based in India and has significant international operations. The total revenue of Tata companies, taken together, was $70.8 billion in 2008-09, with 64.7 per cent of this coming from business outside India, and they employ around 357,000 people worldwide.

The Tata name has been respected in India for 140 years for its loyalty to strong values and business ethics. Stakeholders And Their Market Participation: Every Tata company operates independently. Each of these companies has its own board of directors and shareholders. There are 27 publicly listed Tata enterprises and they have a combined market capital of approx $60 billion and a shareholder base of 3.5 million. The Tata Sons Limited has a 65.89% of shareholding and Tata Industries Limited holds a 28.62% of shareholding in the Tata Group. The major Tata companies are Tata Steel, Tata Motors, Tata Consultancy Services (TCS), Tata Power, Tata Chemicals, Tata Tea, Indian Hotels and Tata Communications. Tata Steel became the sixth largest steel maker in the world after it acquired Corus. Tata Motors is among the top five commercial vehicle manufacturers in the world and has recently acquired Jaguar and Land Rover. TCS is a leading global software company with delivery centre's in the US, UK, Hungary, Brazil, Uruguay and China, besides India. Tata Tea is the second largest branded tea company in the world, through its UK-based subsidiary Tetley. Tata Chemicals is the world's second largest manufacturer of soda ash and Tata Communications is one of the world's largest wholesale voice carriers. The Tata group of companies has always believed in returning wealth to the society they serve. Two-thirds of the equity of Tata Sons, the Tata promoter company, is held by charitable trusts that have created national institutions for science and technology, medical research, social studies and the performing arts. The trusts also provide aid and assistance to non-government organisations working in the areas of education, healthcare and livelihoods. Tata companies also extend social welfare activities to communities around their industrial units. The combined development-related expenditure of the trusts and the companies amounts to around 4 per cent of the net profits of all the Tata companies taken together. The group's businesses are spread over seven business sectors: Information technology and communications: The Tata group has well-established enterprises in the fields of software and other information systems, telecommunications and industrial automation.

E.g.: CMC, Nelito Systems, Tata Elxsi, Tata Technologies (TTL) Engineering products and services: The Tata group has a robust presence in engineering, with operations in automobiles and auto components and a variety of other engineering products and services. E.g.: Hispano Carrocera, Jaguar Land Rover, Tata Cummins, Tata motors Consumer products: The Tata group has a strong and longstanding business in watches and jewellery, and a growing presence in the retail industry. E.g.: Tata Tea, Tetley Group, Titan Industries and Landmark Chemicals: The Tata group is one of the largest producers of soda ash in the world. Additionally, it has interests in fertilizers and in the pharmaceuticals business Eg: Rallis India, Brunner Mond, Tata Chemicals, Tata Pigments Materials: The Tata group is among the global leaders in this business sector, with operations in steel and composites. E.g.: Corus, Tata steel, Tayo rolls, JAMIPOL Services: The Tata group has widespread interests in the hospitality business, as also in insurance, realty and financial and other services. E.g.: Hotel (Indian Hotels Company) and Financial (TATA AIG Insurance, Tata financial services, Tata Capital) Energy: The Tata group is a significant player in power generation and is also involved in the oil and gas segment. E.g.: Tata Power, North Delhi Power, Tata Petrodyne, Tata BP Sola

STRATEGY - II The two decision-making bodies that define and direct the business endeavors for the Tata group are the Group Executive Office and the Group Corporate Centre.

1) Group Executive Office: The Group Executive Office (GEO) defines and reviews the business activities of the Tata group and is involved in implementing programmes in corporate governance, human resources, the environment, etc. The chief objective of the GEO is to make the Tata group more synergistic; it does this by strengthening the relationship between the group and its companies. The GEO creates a shared understanding of a Tata company's current activities, its strengths and its weaknesses. It then addresses the most strategic issues facing the company. Apart from this, the GEO has reviewed the group's business portfolio and clustered companies into seven business sectors. The GEO assesses what unique value a company adds to a particular business sector and, conversely, what unique value the group can bring to that company. 2) Group Corporate Centre: The Group Corporate Centre (GCC) is a forum at which broad policy issues relating to the growth of Tata companies are reviewed and the entry into new areas discussed. The GCC also plays a key role in protecting and promoting the Tata brand in India and across the globe. The GCC also provides advisory services to Tata companies in the areas of Human Resources, Finance, Legal, and other functional areas as and when required. Tata Code of Conduct This comprehensive document serves as the ethical road map for Tata employees and companies, and provides the guidelines by which the group conducts its businesses in 2008 : Clause 1 Clause 6 Clause 2 Clause 7 Clause 3 Clause 8 Clause 4 Clause 9 Clause 5 Clause 10

Clause:1 National interest The Tata group is committed to benefit the economic development of the countries in which it operates. No Tata company shall undertake any project or activity to the

detriment of the wider interests of the communities in which it operates. A Tata companys management practices and business conduct shall benefit the country, localities and communities in which it operates, to the extent possible and affordable, and shall be in accordance with the laws of the land. A Tata company, in the course of its business activities, shall respect the culture, customs and traditions of each country and region in which it operates. It shall conform to trade procedures, including licensing, documentation and other necessary formalities, as applicable. Clause:2 Financial reporting and records A Tata company shall prepare and maintain its accounts fairly and accurately and in accordance with the accounting and financial reporting standards which represent the generally accepted guidelines, principles, standards, laws and regulations of the country in which the company conducts its business affairs. Internal accounting and audit procedures shall reflect, fairly and accurately, all of the companys business transactions and disposition of assets, and shall have internal controls to provide assurance to the companys board and shareholders that the transactions are accurate and legitimate. All required information shall be accessible to company auditors and other authorised parties and government agencies. There shall be no willful omissions of any company transactions from the books and records, no advance-income recognition and no hidden bank account and funds. Any willful, material misrepresentation of and / or misinformation on the financial accounts and reports shall be regarded as a violation of the Code, apart from inviting appropriate civil or criminal action under the relevant laws. No employee shall make, authorize, abet or collude in an improper payment, unlawful commission or bribing. Clause:3

Competition A Tata company shall fully support the development and operation of competitive open markets and shall promote the liberalization of trade and investment in each country and market in which it operates. Specifically, no Tata company or employee shall engage in restrictive trade practices, abuse of market dominance or similar unfair trade activities. A Tata company or employee shall market the companys products and services on their own merits and shall not make unfair and misleading statements about competitors products and services. Any collection of competitive information shall be made only in the normal course of business and shall be obtained only through legally permitted sources and means. Clause:4 Equal opportunities employer A Tata company shall provide equal opportunities to all its employees and all qualified applicants for employment without regard to their race, caste, religion, colour, ancestry, marital status, gender, sexual orientation, age, nationality, ethnic origin or disability. Human resource policies shall promote diversity and equality in the workplace, as well as compliance with all local labour laws, while encouraging the adoption of international best practices. Employees of a Tata company shall be treated with dignity and in accordance with the Tata policy of maintaining a work environment free of all forms of harassment, whether physical, verbal or psychological. Employee policies and practices shall be administered in a manner consistent with applicable laws and other provisions of this Code, respect for the right to privacy and the right to be heard, and that in all matters equal opportunity is provided to those eligible and decisions are based on merit. Clause:5 Gifts and donations

A Tata company and its employees shall neither receive nor offer or make, directly or indirectly, any illegal payments, remuneration, gifts, donations or comparable benefits that are intended, or perceived, to obtain uncompetitive favours for the conduct of its business. The company shall cooperate with governmental authorities in efforts to eliminate all forms of bribery, fraud and corruption. However, a Tata company and its employees may, with full disclosure, accept and offer nominal gifts, provided such gifts are customarily given and / or are of a commemorative nature. Each company shall have a policy to clarify its rules and regulations on gifts and entertainment, to be used for the guidance of its employees. Clause:6 Government agencies A Tata company and its employees shall not, unless mandated under applicable laws, offer or give any company funds or property as donation to any government agency or its representative, directly or through intermediaries, in order to obtain any favourable performance of official duties. A Tata company shall comply with government procurement regulations and shall be transparent in all its dealings with government agencies. Clause:7 Political non-alignment A Tata company shall be committed to and support the constitution and governance systems of the country in which it operates. A Tata company shall not support any specific political party or candidate for political office. The companys conduct shall preclude any activity that could be interpreted as mutual dependence / favour with any political body or person, and shall not offer or give any company funds or property as donations to any political party, candidate or campaign.

Clause:8 Health, safety and environment A Tata company shall strive to provide a safe, healthy, clean and ergonomic working environment for its people. It shall prevent the wasteful use of natural resources and be committed to improving the environment, particularly with regard to the emission of greenhouse gases, and shall endeavor to offset the effect of climate change in all spheres of its activities. A Tata company, in the process of production and sale of its products and services, shall strive for economic, social and environmental sustainability. Clause:9 Quality of products and services A Tata company shall be committed to supply goods and services of world class quality standards, backed by after-sales services consistent with the requirements of its customers, while striving for their total satisfaction. The quality standards of the companys goods and services shall meet applicable national and international standards. A Tata company shall display adequate health and safety labels, caveats and other necessary information on its product packaging. Clause:10 Corporate citizenship A Tata company shall be committed to good corporate citizenship, not only in the compliance of all relevant laws and regulations but also by actively assisting in the improvement of quality of life of the people in the communities in which it operates. The company shall encourage volunteering by its employees and collaboration with community groups. Tata companies are also encouraged to develop systematic processes and conduct management strategic direction for social development activity. The company shall not treat these activities as optional, but should strive to incorporate them as an integral part of its business plan. PRODUCT & SERVICES

Chemicals 1Tata Chemicals 2Rallis India 3Tata Pigments Limited 4General Chemical Industrial Products 5Brunner Mond 6Advinus Therapeutics 7Magadi Soda Company Consumer Products 1Tata Salt 2I-shakti 3Casa Dcor 4Tata Swach 5Tata Global Beverages Tata Tea Limited is the world's second largest manufacturer of packaged tea and tea products. 1Eight O'Clock Coffee 2Tata Ceramics 3Infiniti Retail (Crom) 4Tetley 5Tata Coffee 6Tata Industries 7Titan Industries 8Trent (Westside) 9Tata Sky 10 TajAir 11 Tata International Ltd. 12 Tanishq 13 Tata Refractories 14 Westland

Steel 1Tata Steel 2Tata Steel Europe 3Tata Steel KZN 4Tata Steel Processing and Distribution 5JAMIPOL 6NatSteel Holdings 7Tata BlueScope Steel 8Tata Metaliks 9Tata Sponge Iron 10 Tayo Rolls 11 The Tinplate Company of India 12 TM International Logistics Services 1Tata Sons 2TKM Global ( Logistics and Supply Chain ) www.tkmglobal.net 3The Indian Hotels Company 4Ginger Hotels 5Roots Corporation 6Landmark Bookstores 7Tata Housing Development Company Ltd. (THDC) 8Tata Limited 9TATA AIG General Insurance 10 TATA AIG Life Insurance 11 Tata AG 12 Tata Asset Management 13 Tata Financial Services 14 Tata Capital 15 Tata International AG 16 Tata Investment Corporation 17 Tata Advanced Systems Limited

18 Drive India Enterprise Solutions 19 Mjunction services 20 Tata Quality Management Services 21 Tata Realty and Infrastructure Limited 22 Tata Interactive Systems 23 Tata Africa Holdings 24 Tata AutoComp Systems 25 Tata Industrial Services 26 Tata NYK 27 Tata Services 28 Tata Strategic Management Group 29 Taj Hotels

STRATEGIES THAT SUCCEED

Quietly but systematically, TSMG has built up a formidable reputation in strategy formulation and deployment, performance improvement and business analytics

It works silently, and behind the scenes. But it has been transforming the face of businesses across industries, functions and geographies. The Tata Strategic Management Group (TSMG) advises clients in the areas of strategy formulation, strategy deployment, performance improvement and business analytics. When TSMG was founded in 1991, it operated exclusively in the strategy spec and worked mostly with Tata group companies. Today, it is spread over several industries, and has clients from all over India and around the world. But, says TSMG chief executive Raju Bhinge, this is only a beginning. He sets out the company's vision, "Our goal for 2010 is to be the leading Indian multinational management consulting firm, with at least 10 lines of business, a presence in 10 countries and over 50 per cent of revenues from outside India." Currently, TSMG is offering management consulting services in West Asia (Dubai, Saudi Arabia and Yemen) and South Asia (Sri Lanka and Bangladesh). This is in addition to India entry studies for clients across the globe (North America, Europe / UK and South East Asia). A space of its own As the only Indian-owned management consulting firm of stature, TSMG has created a niche for itself, and enjoys a unique positioning. But the journey has not been an easy one. Though the goodwill enjoyed by the Tata brand did provide the right credentials and helped the company establish its roots, the real challenge has been finding clients outside the group. Competitors of Tata group companies, for example, were reluctant to work with TSMG, fearing a conflict of interest. And, considering the number of areas the 93-company group has a presence in, this has been an enormous handicap. But TSMG did find a way out, by moving into sectors where the group was not represented.

In the final analysis, this limitation has proved to be a blessing in disguise. TSMG put in an extra effort to carve out a foothold and prove its mettle. Of course, being an Indian company with Tata values had its advantages too. As against a McKinsey or a Deloitte, clients were happy to work with a company that delivered quality, was available through the planning and deployment stages of the project, and was affordable too. Bobby Pauly, an engagement manager at TSMG, explains, "Indian clients soon discovered the comfort of working with a group of consultants that had a more aligned view of their culture, markets and people, and an ability to relate to them. TSMG offered actionable solutions, rather than giving them a western view of the world." Home advantage The other factor that went in its favour was that though it was easy to commission a McKinsey or Deloitte for a project plan, it was very, very expensive to retain their services right through implementation. With TSMG, on the other hand, each project created a kind of symbiosis; the client got a consulting company that would willingly be a partner in implementation, while TSMG gained learnings that were much richer than their western counterparts could gather. To give its service a clear advantage, TSMG has focused on building expert teams. Pankaj Gupta, practice head for consumer and retail, elaborates, "In several cases, we add technical experts to our project teams people who have actually been in senior positions of companies for 10 to 30 years in automotive, retail or consumer products." This is a very strong differentiator that sets TSMG's services apart from and above those of its competitors. One of the first projects that TSMG took up within the group was a strategy study for the Tata Oil Mills (TOMCO), which culminated in its sale to Hindustan Lever. Next came the study for restructuring Voltas, the strategy study for Lakm which led to the sale of the cosmetics business to Unilever, the acquisition of Little Woods a British-owned retail chain in south India and Trent's entry into apparel retail through Westside and

Food & Grocery retail through Star Bazaar. TSMG worked on the acquisition ofVSNL, its broadband entry plan and corporate data services growth strategy; it prepared the business plan for the group's entry into consumer electronics retailing, provided JV negotiation and implementation support for the formation of Infiniti Retail. TSMG also worked on the entry plan for theTata Sky satellite television service venture. A world to win Several of these experiences opened new vistas, enabling TSMG to move out of its comfortable home turf into non-Tata companies. Last fiscal, non-Tata business comprised 10 to 15 per cent of business. At present, non-Tata business is over 50 per cent and is expected to grow to 60 or 70 per cent by the end of the next fiscal. From 2005, on the basis of capabilities developed in-house, TSMG began offering some of its services to advanced markets such as the US and the UK. It has three offerings for these markets. One is strategic analysis for understanding country selection, markets, competitors' strategy, etc. The second is financial research, which includes work on valuation, equity, fixed income, etc. Third is statistical optimization or an analytical solution, which comprises risk modeling and predictive modeling, like fraud in telecom or risk analysis in insurance. With its new business model and internationalization plans well on track, TSMG has expanded its core competencies and is moving into completely new areas of operation. No wonder the company is being ambitious and dreaming big. Integration with TECS A step in this direction was the operational integration of Tata Economic Consultancy Services (TECS) with TSMG in April 2006. TECS's expertise lies in investment advisory, infrastructure and government sectors and perfectly complements the experience TSMG has in strategy. TSMG lacked a focus in infrastructure and government practice, a gap that TECS can fill. Together, their experience could pull in a large number of infrastructure projects. Infrastructure spends have already seen an upsurge in India and TSMG (along with

TECS) has been engaged in no less than six SEZ assignments. While TSMG takes care of positioning and branding, the techno-feasibility aspects including layout plans and the architecture of the facility are managed by TECS. The going is good now, but what lies ahead? Consulting is a cyclical business linked to overall economic conditions. What does it mean for the organizations development plans? Bhinge is quietly confident, "The risks are there, but we have been able to mitigate them by offering a broad range of solutions to customers, adding new offerings in business analytics, and growing in the international space." TSMG, it appears, is ready to take centre stage. Interesting problems, innovative solutions TSMG has undertaken several consulting projects for some of the best names in business. These include: British Telecom TSMG did a customer insights programmes for their enterprise offerings. BT was looking at global customers, to try and understand their data networking needs. A cutting-edge exercise, it appears as one of the best practices of customer understanding, and has been applied in dozens of their global companies. Rolls Royce Rolls Royce came to TSMG with an interesting problem. Their plant in Norway had reached its full capacity and they were looking for a new international manufacturing hub in India or China. TSMG made the India case, and convinced the company that India is better than China. Mumbai Railway Vikas Corporation (MRVC) The Central Railway is planning to construct a new 80,000 sq meter station building at Carnac Bunder, to serve as a second terminus linked to the Chhatrapati Shivaji Terminus in Mumbai. TECS is assisting MRVC to arrive at the optimal land use mix for

commercial development along with architectural plans for a world class railway terminus. SWOT ANALYSIS

FUTURE STRATEGIES Since it is penetrated only in urban areas, it needs to focus on rural penetration.

With existence of cut throat competition, the TTSL shall adopt customer centric plans.

The Number portability has further added to the baskets of problem. Now for TTSL, the most important factor is its customer loyalty

It shall provide the value added services so that customer can be retained.

CONCLUSION In the whole; the group is acquiring the different strategy in the different market; such as;

in the home country Tata's strategies are same as to cost leadership and differentiations. The announcement of introduction of Tata's 1 Lakh car had already penetrated the market and the rivals and competitors are worried about the market. Recently; the Global Insight stated in the analysis that, It is likely that VW will wait to see what impact Tata's proposed 1-lakh car has on the Indian automotive industry before deciding on a final strategy for entering the country. The eagerly awaited model is due to go on sale at the end of next year and will have a price tag of roughly 100,000 rupees (US$2,298), hence the unofficial name of the project. The Group is trying to achieve the low price strategy in markets such as automobile industry in order to provide lowest price cars and achieve a high share in the market. A hybrid strategy seeks simultaneously to achieve differentiation and a price lower then that of competitors. The hybrid strategy is used by the company in various industries, it involved a higher degree of organizational excellence and integration of al the departments. Here the strategy of the group is to maintain the cost of raw materials as lowest as possible and to achieve the lowest cost of final products. The group also invested a huge amount in research and development in order to achieve the highest degree of quality at the lowest price (Anonymous, 2005).