Why was Ratan Tata’s appointment as chairman of Tata Sons difficult for JRD Tata?

In his book, he explained why JRD Tata chose Ratan Tata as chairman of Tata Sons. He mentioned that JRD had several candidates before him, including Rusi Mody, Sumant Moolgaokar, and Ajit Kerkar, all of whom were much more experienced.

Retired IAS officer Thomas Mathew presents many facts about the late Ratan Tata in his book, Ratan Tata: A Life. The author explains that it was no easy task for JRD Tata to choose his successor, but he did so with conviction and elaborated on his reasons in the book.

It was very difficult for JRD Tata to choose someone capable of leading a company known for its excellent management and vision.

Mathew cited in his book that JRD Tata stated it is necessary to have a succession plan because, at a certain stage, a person’s effectiveness begins to diminish with age. He emphasized the need for a successor that the process should be done in advance. 

In his book, he explained why JRD Tata chose Ratan Tata as chairman of Tata Sons. He mentioned that JRD had several candidates before him, including Rusi Mody, Sumant Moolgaokar, and Ajit Kerkar, all of whom were much more experienced.

Mathew states that Ratan Tata was chosen not just because of his surname, which was the least significant factor, but also because he shared ancestry with Jamsetji Tata. Additionally, he had a visionary mindset and the potential to handle crises during the turbulent phase of economic liberalization. 

The book states that Ratan Tata was unaware of JRD’s intention to ask him to assume the chairmanship. He was under the impression that Rusi Mody would lead Tata Sons as chairman.