Even before the full impact of the coronavirus pandemic could be comprehended, the Tata Group has started engaging the CEOs of its various group companies to do a brainstorming in their own companies or divisions on what steps needed to be taken to remain positive in these trying circumstances.
The Tata Group could be one of the few Indian corporate entities that have more to worry about since their business operations are spread over many countries and a number of countries severely affected by the COIVD-19 crisis are importers of their products. The US, the UK, China, Europe, UAE and Singapore are all markets where the Tata Group’s products are exported.
More significantly, the Group has to worry about is employees in Europe, the US, the UK and China where they have business operations. The company would want every employee in each of these countries to stay safe and not fall a victim to the deadly virus.
Tata Group Chairman N Chandrasekaran has held a video conference with the CEOs of Tata Power, Tata Steel, Tata Motors, Tata Consultancy Services (TCS), Tata Global Beverages (TGBL), Jaguar Land Rover (JLR) and Tata Chemicals, besides others to discuss the status of the crisis brought on by coronavirus and the immediate steps needed to be taken to contain the impact on each of these companies.
Each of these companies has been asked to create internal support groups which can ensure the welfare and wellness of the employees and explore ways of keeping the business risks to the unavoidable minimum.
It is reported that a few employees of JLR and Tata Steel have been quarantined. The Chairman has advised the CEOs to exercise their discretion where quick decisions are needed to be taken. Wherever feasible, work form home has been adopted.
There have been restrictions imposed on the executives of the Tata Group travelling. They have been advised to avoid face-to-face meetings. Where video conferencing facilities are available, they will be put to use. The Chairman has instructed that all employees be treated equally irrespective of their position in the organisational hierarchy.
The holding company Tata Sons has transferred an amount of ₹20,000 crore as growth capital of these companies over the past 2-3 years.
The Tatas don’t have to be overly worried about the debts on the books of the companies as it has stayed at the same around ₹3 lakh crore level for the past three years.
The Group may be doing some business restructuring, including exiting some of them.