As ousted Tata Group Chairman Cyrus Mistry stepped up attack, Ratan Tata hit back saying his removal was “absolutely necessary” for the future success of the Tata Group.
“The decision to change the leadership of Tata Sons was a well-considered and serious one for its board members. This difficult decision, made after careful and thoughtful deliberation, is one the board believes was absolutely necessary for the future success of the Tata Group,” the interim chairman wrote to employees of USD 100 billion Group.
The letter came shortly after Mistry ratcheted up war of words by rebutting “insinuations” of mishandling a dispute with Japan’s NTT DoCoMo, saying Ratan Tata was party to all decisions regarding the telecom venture.
Tata, 78, who retired as Tata Group Chairman nearly four years back, justified his return for “maintaining stability and continuity of leadership” and promised to give the group “a world-class leader” when a fulltime boss is appointed.
Tata in his second letter to employees after the October 24 sacking of Mistry, said the Group companies should focus on their profit margins and their market position and not compare themselves to their own past.
“The focus has to be on ‘leading’ rather than ‘following’,” he wrote.
Stating that he was excited to work with them once again, Tata in his letter to over 6.6 lakh employees sought to soothe them in the wake of high profile top level change and its subsequent public spat with Mistry.
“Your company and the Tata group are well served. The directors on your boards and the empowered leadership of your companies continue to serve with the same degree of passion and ethical commitment as they have done in the past,” he wrote.
Meanwhile, N S Rajan and Nirmalya Kumar resigned as non- executive directors on boards of Indian Hotels Company and Tata Chemicals respectively, days after Group Executive Council set up by Mistry was disbanded.