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Life and Times of J.N. Tata N. R. Sudheer GTC session 18-09-2011

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  • 1.Life and Times of J.N. Tata
    N. R. Sudheer
    GTC session 18-09-2011

2. There are many reasons why India is beginning to shine on the economic front. One of the less-trumpeted ones can be traced to the late 19th century, when a band of home grown entrepreneurs laid the seeds of indigenous industrialisation.
The outstanding Indian businessman of the time was
JamshedjiNusserwanjiTata,
industrialist, nationalist, humanist and the founder of the House of Tata.
3. JamshedjiNusserwanjiTata3rd March 1839 19th May 1904
4. Who are Parsis?
Zoroastrianism a religion founded by Prophet Zarathushtra in Persia around 3500 BC
God Ahuramazda in a vision gave three tenets to Zarathushtra.
Humata , Hukta and Huwarshta in Avesta Language meaning Good Thoughts, Good Words and Good Deeds.
Zoroastrianism was official religion of rulers of Persia till Arabs conquered them around 600 AD
5. Who are Parsis?
Choice Either convert to Islam or leave.
Many left for China and lost identity.
Some from village Sari of Pars region in Persia left for India in small sail boats with their Women, Children and whatever little possessions they had and landed in Sanjan.
Ruler JadavRana provides shelter after they promise blending with locals like sugar in milk.
6. Who are Parsis?
Nagamandal where they settled resembling native Sari becomes Navsari. Since they hail from Pars region will be known as Parsis.
They integrate well adopting local dress and customs and Gujarati language.
Become popular by hard and honest work and no politics for next six hundred years.
Good in business and known for honesty and integrity.
Worshippers of Fire God (Agni) and Navsari grows as religious centre for Parsis and Suratthebusinesscentre.
7. House of Tatas- Values enshrined based on Zoroastrian tenets.
Humata- Good Thoughts
Hukta Good Words
Huwarshta Good Deeds
Enshrined inthe Tata Houses Coat of Arms
8. J.N.Tatas parents
Nusserwanji Tata belonged to a poor priestly family. Became a first generation businessman with reasonable success.
Married at age15 to even younger JeevanBai.
Established business in Bombay and built a seven storeyed bungalow with his earnings.
JamshedjiNusserwanji Tata was born on 3rd March 1839 at Navsari. He was the only son soon followed by four younger sisters.
9. Nusserwanji Tata
10. Jamshedji Tata
11. Childhood and Education
Initially trained as a priest at Navsari and tutored at home in Gujarati.
At age 14 shifted to Bombay to receive Englisheducation at Elphinstone College.
Graduated in 1857 as Green Scholar.
Very sharp and great interest in academics and literature. Read Dickens, Thackeray, Mark Twain and others others at a very young age. Learnt to read and speak French.
Marries Heerabai 5 years younger while still in College.
12. Professional Carreer
Began career as a LawyersApprentice. But soon joined his fathers business.
Was sent to Hongkong to oversee setting up a Trading company Jamshedji & Ardeshir.
Import of Cotton and Opium from India for sale to China and export Chinese Tea, Silk & brocades, Cinnamon, Camphor, Gold, Copper & Brass to India.
Also started a branch in Shanghai soon.
1859 First son Dorab was born
13. To London
Returns to India from far east by 1864
1864 American Civil war at its peak. Supply of long stapled cotton from Americas to Lancashire and Manchester mills of Britain cut off.
Supplying cotton from India to Lancashiremills became a very attractiveproposition to Indian merchants. Many become Millionaires overnight.
Famous Bombay businessman PremchandRaichand appoints Jamshedji as his agent in London. First trip to London by Jamshedji.
14. London 1864 -67
Jamshedjidid a commendable job and earned the confidenceof everyoneby his straightforward dealings.
He also quickly foresaw end of American Civil war and resumption of cotton supplies to British mills and warns his compatriots in India to liquidate their stocks early.
Most including PremchandRaichanddid not heed his warnings seriouslyand either went bankrupt or lost heavily.
Many even committed suicide.
15. London1864 -67
Despite this, many merchants prevailed uponJamshedji to stay back in London and help them in collection of and outstandings and squaring up accounts as they had immense confidence in his integrity and honesty.
Jamshedji stayed on in London for four years and put this period to good use by studyingand learningin detail the cotton yarn making technology and textile business by visiting Manchester and Lancashire mills frequently.
16. London 1864 -67
Struck lifelong friendship with eminent Indians such as Sir DadabhaiNavroji, Sir BadruddinTyabji, Phiroz Shah Mehta and others became lifelong friends.
Befriended and attended lectures by eminent thinkers and speakers such as Cobden, Bright, Carlyle, John Ruskin, John Stuart Mills and William Gladstone etc., and thus was exposed to westn liberal thoughts, ideas and art & literature.
17. Return to India
Returned by end of 1967, Cotton market had collapsed.
Even his father had lost a fortune and had to sell his seven storied house to survive.
However an event in Abyssinia ( currently Ethiopia) occurred which for their rescue.
The army was led by Sir Robert Napier of Sindh who was then Governer of Greater Bombay and supply contract ( tents, canteen, bedding & blankets, food and water etc., ) went to Nusseranji Tata. This contract revived their fortunes.
18. In India 1867 to 1873
Handsome profits were made.
Mr. Nusserwanji who had been taken ill decided to take it easy and handed the reins of the company to Jamshedji and went on a holiday to China and Japan.
Jamshedji decided to set up a Textile mill to produce fine cotton yarn and purchased a defunct Oil mill in Chinchpokli and converted the same to Textile mill. Named it as Alexandra Mill after the British Princess. Ran the mill well for two years and sold the same for a profit in 1871.
19. In India 1867 to 1873
1871 Jamshedjis ten year old daughter betrothed to BurjorjiPadshah dies due to a mysterious illness. Second son Ratan born
Starts planning establishment of a Modern textile mill nearer to Cotton growing areas instead of consumer centers in Bombay and Ahmedabad.
Considers use of Hydel power for running the mill long before even before WestinghouseElectric Corporationset up the worlds first Hydel power station at Niagara in USA.
20. Alexandra Mills
Starts planning establishment of a Modern textile mill nearer to Cotton growing areas instead of consumer centers in Bombay and Ahmedabad.
Considers use of Hydel power for running the mill long before even before WestinghouseElectric Corporationset up the worlds first Hydel power station at Niagara in USA.
Sets up Central India Spinning , Weaving& Manufacturing company to build a modern textile mill at Nagpur.
21. AlexandraMills
Visits England again to buy modern machinery and also recruit Specialists to run the mill at Nagpur.
Buysmarshy land from the local King and begins construction i 1874.
Inaugurates a modern textile mill on 1st January 1877 under the name of Empress Mill commemoratingQueen Victorias ascension to the throne on that day.
22. Labour welfare and Reforms long before even Industrialized England...
Modern methods of Ventillation, Dehumidification and sprinklers to suppress cotton mill dust for safer and healthier working conditions for workers.
Profits plowed back to build housing, recreational facilities, hospitals , schools and gardens , playgrounds etc., for employees whose living standardsimproved manifold.
23. Labour welfare and Reforms long before even Industrialized England...
Introduces Provident fund and Employee life insurance as incentives for regular attendance for employees. Pension scheme in 1877 and Accident relief schemes in 1895.
All above without dictates of state.
Improved productivity and efficiency to never seen before levels.
Investors got an unprecedented return of 16% on their investments in 1881 despite a fire in early 1878 when the entireLoom shed had burnt down
24. We do not claim to be more unselfish, more generous or more philanthropic than other people. But we think, we started on sound and straightforward business principles, considering the interests of ourshareholders our own, and the health and welfare of our employees the sure fondation of our prosperity.
-JamshedjiTataat the opening speech of extension of Empress Mills in 1895
25. Return to Bombay 1878
Leaves Alexandra Mills in capable hands of Bejonjee Mehta and reacquaints with his London friends.
Dorab returns from Cambridge and begins a career in Journalism and later joins Empress Mills.
Jamshedji Tata Grooms his mothers brother Dadabhais son RatanDadabhai ( RD) as his deputy and support for Dorab.
Establishes Bombay Political Association, Parsi Gymkhana, Rippon Club and Elphinstone Clubs with help from his London friends.
26. Return to Bombay 1878
After Nuserwanji had sold his seven storied house they had lived in rented accomodation ill suited to their status and wealth.
Jamshedji embarked on building a new home Esplanade House on Esplanade Road overlooking the Arabian sea.
Started in 1880 got completed in 1887. First house with large rooms marble stairs, first class teak wood almirahs in Library, grand banquet hall etc.,
First house with Electricity connection and Lift
27. Hosted Cricketers from England, Maharajas, VVIPs to Banquets in the House
28. Jamshedji and Swadeshi
Helped draw up development plans for Bombay.
Quietly financed establishment of Indian National Congress in 1885
Studied and offered to help Indian cotton growers to grow long stapled Egyptian Cottonso fine yarn and cloth could be developed in India tocompete with Lancashire mills.
Bought the Old Dharamsi mill and converted into a modern Textile mill named Swadeshi Mills . Made it a profit making concern with doggednessdespite long odds.
29. Experiments with Coffee and Strawberries
Bought large tracts of land around Panchgani and started a number of plantations to grow Coffee. After 50 years of struggle in absence of getting good workforce to maintain these lands were donated by son Dorab to VinobaBhave under Bhoodan movement.
To help local growers of Strawberries purchased 43 acres of land to start a Jam factory at Mahabaleshwar. Gave up the Project due stiff resistance by Bristishers and owners of English school. Land and Bungalows donated by Dorab later to house a fine sanatorium calledBel Air sanatorium.
30. Development of Indian Silk Industry
Set up a modern Silk Farm at Bangalore in 1898 with Japanese specialist couple to teach the Japanese silk rearing and reeling technology on land provided by Maharajaof Mysore.
Trained thousands of farmers in South India and elsewherein technology of silk worm rearing, reeling and rereeling silk yarnand also set up training centers in Punjab, Ceylon etc.,
Handed over the center to Salvation Army in 1910. Only name of Tata Silk Farm survives.
31. Tata Silk Farm , Bangalore
32. Tata Silk Farm , Bangalore
33. Tata Shipping Line
P & O Shipping Company of England had sole monopoly of transport of goods to and fro England. Differential tarif to favour British goods manufacturers was hurting Indian Interests.
With help from Nippon Yusen Kaisha Line company of japan, leasedtwo ships named Annie Barrow andLindisfarne from NYK to ply on China route.
However P&O and the Austrian and Italian shipping companies undercut him and spread canards against sea worthiness of the vessels.
34. Tata Shipping Line
Fight as he could, due to lack of support from the British administration in India who were partial to P&O and also by Indian merchants not backing him fully he had to close the shipping line .
Japanese were very appreciative of his efforts and later started an office of their own in Bombay and started business.
Jamshedjisearlier efforts made it easy for them to do roaring business and acknowledged the same by awarding the prestigiuosKin Koso award in 1897.
35. Educational Endowments
Primarily to enable bright Indians to be able to compete with Britishersin Indian Civil service examinations set up J. N. Tata Endowments.
Extended later to advanced stiudies and research in Physical sciences, humanities and social sciences.
Benficiaries to return endowmentwithout interestwhen they succeed and can afford to.
Beneficiaries include Dr, M. D. Gildar , Jeevraj Mehta, Dr. Raja Ramanna, Dr. J. V. Narlikar and his Father earlier, Dr. J. J. Irani, Dr. R. A Mashelkar and Dr. K. R. Narayanan
36. Indian Institute of Science
Dreamt of setting up a Centre for advanced research in Science and Humanities in India.
Set aside major part of his personal wealth and also bought large tracts of land on either siderailway tracks in Bombay when no one knew when the would be laid. Later sold at great profit generate funds for the Institute.
Struggled very hard with Lord Curzon and other Britishers who were opposed to the idea for nearly a decade and moreto get approval just before he died in 1904
37. Indian Institute of Science
Shared his thoughts and dreams with Swami Vivekananda on his voyagefrom Yokohama to Chicago in 1893 and received encouragement.
Invited Swami Vivekananda to head the Institution to awaken the ascetic spirit of research amongst Indian scientists.
Recieved donation of 400 acres of land at Bangalore and grant from Maharaja NalvadiKrishnarajaWodeyar which clinched the issue.
Indian Institute of Science started in 1910 thanks to continued efforts of Dorab and BurjorjiPadshah after Jamshedjis death.
38. 39. Tata Hydel Power at Bhira
Long before Niagara Jamshedji thought of using Hydel Power for Textile mills.
To rid Bombay of pollution from black smoke belching chimneys, thought of clean non fossil fuel generation of Power.
With dogged determination pursued his dream in the last few years of his life and selected a site at Khandala valley for building a reservoir to store water and generate power and transmit the same to Bombay at distance of 50 kilometers.
The Project at Bhira became reality in 1915.
40. Today 1625 MW of Electricity is generated at Tata PowerPlant at Bhira.
41. Tata Iron & Steel Company
While studying Cotton Industry at Manchester he attended a lecture by Thomas Carlyle when he had declared that The nation which has steel will also have the Gold
This remark stuck in his mind and he started dreaming of setting up a Steel Plant in India.
Four years after start up of Empress Mills in 1882 he had sent samples of Iron Ore and Coal from Central India to Germany for testing.
But Mining laws were not suited for infusion of private capital atthat time and he had to wait for opportune time.
42. Tata Iron & Steel Company
In 1899 Lord Curzon liberalized mining laws and invited British Industrialists to set up Steel plants in India. The response was lukewarm
Jamshedji submitted his proposal to set up a steel plant
Ridiculed by Sir Frederic Upcot, Commissioner of Great Penisnsular Railway . Do you mean to say that Tatas propose to make steel rails to British specifications? Why, I will undertake to eat every pound of steel rail they succeed in making.
43. Tata Iron & Steel Company
He personally travelled to USA to study various Steel Plants and selected Consultants. Invited Charles Page Perinto assist in drwaing plans and blue prints.
Tata Iron & Steel works started at Sakchi in Bihar ( Jamshedpur today) in 1912.
In 1914 during the First World war British sourced 1500 miles of steel rails for Selonica, Egypt, Mesopotamia and east African theater and 30000 tons of armour plates.
80000 tons of Steel for Howrah bridge at Calcutta was produced by TISCO.
44. TajMahal Hotel in Bombay
Jamshedji loved his city of Bombay.
Pained at this great city not having an International quality hotel decide to build one himself.
Bought 2.5 acres of land at Appolo Pier and invested his personal funds and built a world class hotel.
Personally travelled to European countries and purchasedequipment etc.,
The hotel opened for business on 16th December 1903 with 17 guests
Today one of the finest hotels in the world.
45. 46. 47. 48. After a brief illness Jamshedjidied on 19th May 1904 at Bad Neuheim in Germanywith Dorab, his wife Meher and RD in attendance.
49. Last wish of Jamshedji to Dorab and RD
Please carry on my work. Even if you can not make it greater at least preserve it. Do not let things slide. Go on doing my work and increasing it, but if you can not, do not lose what we have already done.
50. Thank You