With the passing of Ratan Tata, former chairman of Tata Group, the question of who will succeed him as the chairman of Tata Trusts looms large. Tata Trusts, which holds a 66% stake in Tata Sons, plays a crucial role in steering the direction of the $165 billion diversified group, especially as it faces numerous challenges in the coming years.
The group’s crown jewel, Tata Consultancy Services (TCS), generated a profit of ₹43,559 crore in FY2024, providing the financial backbone for Tata Sons’ investments. However, with global economic uncertainties and domestic challenges on the horizon, companies like Tata Steel, Tata Motors, and TCS are expected to encounter significant hurdles. The next chairman will need strong leadership, foresight, and strategic vision to navigate these obstacles.
The Successor Candidates
Noel Tata, Ratan Tata’s half-brother, is seen as a strong candidate to take the helm due to his deep involvement in various group companies. Currently, he chairs Trent, Voltas, Tata Investment Corporation, and Tata International, and also holds vice-chairmanship roles in Tata Steel and Titan. As a board member of Sir Ratan Tata Trust, Noel has the advantage of being closely linked to the Trusts, positioning him as a potential successor.
Another possible candidate is Mehli Mistry, a director at the Meherji Pallonji Group and a close associate of Ratan Tata. Mistry, who shares family ties with the group—being the cousin of former Tata Sons chairman Cyrus Mistry—has long been connected to Tata Group’s operations. His strong ties to the Tata legacy, despite the legal tensions between the Tatas and the Mistrys, make him a contender for the role.
However, the next leader could also emerge from within the group or even from outside, as the conglomerate seeks a leader capable of driving the group forward amidst growing global competition.
The Leadership Structure
Under Ratan Tata’s leadership, the roles of chairman of Tata Sons and chairman of Tata Trusts were deliberately separated. This decision ensured that no single individual had overarching control over both institutions, allowing for more balanced leadership. N. Chandrasekaran, the current chairman of Tata Sons, has successfully led the group after Cyrus Mistry’s exit, but he is not on the board of Tata Trusts. Chandrasekaran has four more years left at Tata Sons before retirement, which typically occurs at age 65 for executive positions within the group.
Other notable figures on the Tata Sons board include TVS Group’s Venu Srinivasan, Ajay Piramal, Jaguar Land Rover CEO Ralf Speth, and group CFO Saurabh Agarwal, among others. Despite his influence, Chandrasekaran’s absence from the Tata Trusts board raises questions about whether his leadership at Tata Sons could eventually extend to a more prominent role.
A Complex Legacy
Ratan Tata’s passing leaves behind a complex and expansive legacy. The Tata Group operates in over 100 countries and employs more than one million people. Its 26 publicly listed companies have a combined market capitalization exceeding $365 billion, with key players like TCS, Tata Steel, and Tata Motors leading in their respective industries.
As the conglomerate moves forward, the new leader will not only inherit a vast business empire but also a legacy of trust, innovation, and philanthropy—qualities that defined Ratan Tata’s leadership.
Whoever succeeds Ratan Tata will face the immense responsibility of preserving this legacy while steering the group through the challenges that lie ahead.