Tata Group chairman Cyrus Mistry has said that the strategy at the group level is to get closer to consumers, and anticipate their needs. “The digital wave is transforming all industries. We are developing three companies in the digital space – Tata CLiQ, Tata iQ, Tata Digital Health,” he said. “We are building customer centri-city as a cultural pillar at Tata group of companies. We are not afraid of taking tough decisions for the right reasons,” he added.
Outlining his vision for the group, Mistry said, “We are looking at opportunities with a global landscape in mind. Tata group companies’ international revenues are approximately 70% of composite turnover.” “Our capex has been on an average $9 billion in each of the last three years. As of March 2016, the net debt of the companies is about $24.5 billion. We are not very concerned about the aggregate debt at group level,” he said. “We emphasise on the importance of corporate foresight and customer insight in every business. Our individual companies need to earn the right to grow,” he added. According to Mistry, green shoots of a turnaround are visible at Tata Motors.
Mistry, who took over the reins in late 2012 from the legendary Ratan Tata, also spoke about coming to grips with responsibility of chairmanship, multiple challenges facing Tata companies, essentials of technology, innovation and customer centricity, and continuing Tatas’ commitment to societal causes. “We recognise that growth has to be a function of the operating cash flows we generate. At the group level, over the last three years, our operating cash flows have grown by over 30 per cent CAGR. But this, as we know, is not the appropriate way to use such data – our individual companies need to earn the right to grow,” Mistry said.
(With inputs from PTI)