The biggest lesson for Tata today: The institution is bigger than individuals
Many are sad that Tata is facing internal conflict. As retired directors, who together served Tata for many decades, we feel enormous pain and also that the dispute is existential. Differences are common, but leaders can rely on proven methods to resolve disputes. The Mahabharata and Ramayana, among others, suggest the method: One, apply rajdharma; two, seek compromise before conflict; three, protect both the institution and the weak; and four, use wise advisors. Tata’s enterprise and philanthropy institutions must align to avoid losing the plot. Together, they are collaborators; individually, they become competitors. American investor Ray Dalio’s formula for nations applies equally to companies: Educate your people, earn more than you spend, and avoid internal and external fights. The late Ratan Tata transformed a tradition-bound Tata into a growth-oriented, entrepreneurial organisation. Based on what they read, however, the modern commentariat makes its own sombre prognostications. Globally, the corporate world is seeing early signs of shared power rather than a single all-powerful CEO (See Pilita Clark, ‘Why co-CEOs might suit our tumultuous times,’ Financial Times, May …
