Tata Steel’s CEO shares strategies behind ₹42,000 crore profit, work-life balance
Key Points:
- Narendran elaborates on how he led Tata Steel from ₹7,000 crore loss to ₹42,000 crore profit.
- Emphasizes work-life balance, stakeholder commitment, and continuous learning.
- Strategic acquisitions, cost control, and a value-added product mix are core strategies.
JAMSHEDPUR – T. V. Narendran, the global CEO and MD of Tata Steel, has said that Tata Steel does not waste a crisis and that the company tries to come stronger after every crisis.
In a long two-part interview with the Business Magazine Dhanam Online, T. V. Narendran, CEO of Tata Steel, reflected on navigating crises, achieving remarkable financial success, and balancing professional and personal life.
He also spoke at length about the remarkable journey of Tata Steel under him that began with challenges like regulatory mine closures and steel dumping. He elaborated on how overcoming these, the company transformed a ₹7,000 crore loss in 2013 to a record ₹42,000 crore profit in FY22. Narendran credits resilience and strategic planning for this turnaround.
Driving Factors Behind Tata Steel’s Success
Narendran said that the company emphasized cost competitiveness, making Tata Steel one of the lowest-cost steel producers globally.
This approach ensured profitability even during low-price periods. Additionally, the focus on a value-added product mix reduced reliance on commodity cycles. Strategic acquisitions in India, such as Bhushan Steel, strengthened Tata Steel’s market presence and production capacity.
Workforce investment also played a crucial role. The company fostered a culture of loyalty and development, enabling long-term success. Narendran’s forward-looking vision aligns decisions with benefits projected decades into the future.
Insights Into Narendran’s Leadership Style
Asked about his personal life, he revealed that he starts his day at 5:00 AM with a 9 km run, a practice he considers vital for mental clarity. He said his disciplined schedule balances work and family time, with evenings dedicated to loved ones. A lifelong learner, he draws lessons from daily experiences, avoiding traditional management books.
He also revealed that music, travel, and reading are his key personal interests. At 40, he learned drumming, fulfilling a long-held dream. His favorite travels include exploring Norway and Scotland with his family.
Commitment to Stakeholders and Community
Narendran emphasized Tata Steel’s commitment to employees and communities. He said that the company maintains operations at loss-making plants, such as in the UK, to support workers. Extensive CSR initiatives often exceed government mandates, reflecting Tata Steel’s values.
Narendran’s advice to younger professionals underscored self-confidence and positivity. He encouraged embracing challenges as opportunities for growth and maintaining a mindset of continuous learning.
Vision for the Future
Narendran said that he aims to increase Tata Steel’s capacity to 40 million tons by the decade’s end. He said that his leadership strives for a sustainable and innovative global presence, leaving a legacy of strength and preparation for future leaders.
