Is The Tata Legacy Losing Its Shine?
Three disappointing experiences with Tata companies made me question whether the group's historic values of customer focus and accountability are slowly fading, notes Dr N Ravichandran.
Illustration: Dominic Xavier/Rediff Key Points Three separate customer experiences (Air India, Tata 1mg, Taj Tirupati) revealed service failures. In each case, there was lack of accountability, poor communication and absence of customer sensitivity The issue may not be operational lapses alone but leadership orientation. Legacy must be practiced daily — not preserved as branding. Cultural alignment of CEOs in diversified or acquired businesses is critical. Institutional values require active reinforcement, especially in large conglomerates. Customer transparency must be non-negotiable.
In this opinion article, I narrate my experiences with three different Tata group companies and reflect on the managerial challenges related to nurturing, sustaining, and strengthening the legacy of an organisation over a prolonged duration.
A Flight That Raised Bigger Questions
1. Air India
I travelled by Air India flight 127 on January 26, 2026 from Delhi to Chicago. This is a 17-hour long non-stop flight (with a refuelling stop in Vienna). I was accompanied by my wife.
Having been seated, we discovered that the reading lights were not working and the entertainment system was not functioning.
On mentioning this to the cabin crew, I was told that nowadays this is a routine affair in many Air India aircraft.
In this particular aircraft, according to the cabin crew, 80% of the screens do not function and a similar number of reading lights are also out of order.
Nothing could be done by the crew; they pleaded helplessness. They appreciated the difficulty and inconvenience caused to the passengers but were unable to provide any remedial or corrective action.
They also mentioned that the Air India management is completely aware of the situation and perhaps has its own compulsions in dealing with it.
All these features functioned in business as well as in first class. The 250-plus passengers in economy class had to suffer this inconvenience.
I was told that the entertainment feature would work on mobile devices. However, since the power connections in the respective seats were not working (for recharging), using a mobile device was not an option.
Asking for a reading light is not a luxury. Expecting some entertainment is a standard feature on all such long-duration flights.
Many of us could not even monitor the flight status and the remaining flying hours to the destination, as the respective monitors were not working.
What is hurting in this experience is that Air India management is taking passengers for granted.
It is not even keeping them informed on the status and working conditions of basic features in the aircraft.
I also understand this is a consequence of the planned retrofit of these aircraft. Obviously, Air India is generating revenue at the cost of passenger discomfort.
It is not clear how such aircraft are cleared for flying. Given the age of the aircraft, I was actually scared and apprehensive about the reliability of the aircraft to undertake such a long flight. But I had no choice at that stage.
ALSO READ: A Desi Jugaad Experience on Air India
Photograph: Kind courtesy Wikimedia commons When Medical Supply Delays Become a Trust Issue
2. Tata 1mg
On January 10, 2026, I ordered 4 units of real-time glucose monitoring patches by Abbott.
The patches were supposed to be delivered on January 19th. This was postponed to January 27th and then subsequently to January 29th.
Since I was scheduled to travel on January 26th to the US, I had no option but to cancel the order on January 23rd.
I was forced to look for alternative sources. This caused considerable distress in terms of my travel planning (and at the last minute, too).
The refund is expected to be done in the near future; I am sure it will be credited to my account eventually.
It is important to note that the delivery date was changed three times by Tata 1mg.
No consent was asked or obtained from the customer. No prior information was available to the customer.
The customer had to monitor the order status routinely. The company earned a float of 17,000 rupees for a month on this transaction.
No one is bothered about the inconvenience caused to the customer. There was not even a follow-up on why the order was cancelled.
IMAGE: The Taj Hotel at Tirupati. Photograph: Kind courtesy Taj Hotels A Premium Hotel Experience That Felt Ordinary
3. Taj Hotel, Tirupati
I sent a feedback communication to the Chairman, Tata Sons, on May 8, 2025, as I could not locate the e-mail ID of the CMD of the Taj group of hotels.
'I am writing this email to bring to your notice our recent dining experience in Taj Hotel Tirupati on 4th May 2025. This isn't the first time we are visiting this property. Actually, it is our most preferred place whenever we visit Tirupati. Normally, we have a meal or snack in this property either before visiting Tirumala or after.
'My wife accompanied me on this visit. The experience on the 4th was disappointing and made us feel uncomfortable about our decision to visit this place for a meal.
'We chose to go to Southern Spices for lunch and ordered the meal. The price for a meal was Rs 1,750 plus applicable taxes.
'This is not the concern; we are happy to pay for a quality product and service. What followed was disappointing. The menu was exhaustive, but the food was not even warm or hot.
'The service response was modest. We had an opportunity to interface with three service providers: A young lady from Assam and two gentlemen.
'The lady showed utmost courtesy and made us feel comfortable. The other two gentlemen just went about their routine.
'Their uniforms were dirty/unwashed and brought the ambiance quality down by a few notches. The food quality was modest.
'On the whole, we left the place regretting our choice. There was a buffet option in the adjacent facility.
'We felt we should have chosen that, in spite of mixed veg and non-veg options. The facility we went to was purely vegetarian.
'I am aware that in spite of the best efforts of management, sometimes customer satisfaction may not be accomplished. We were not demanding customers.
'We felt what was offered and served represented a suboptimal choice and was nowhere close to the premium charges and the Taj brand.
'We would have been better off visiting one among the several popular restaurants in Tirupati. Maybe this facility is franchised.
'I am aware this is too small a matter for your attention given your responsibility and busy schedule.
'I wanted to write this feedback to the customer care of Taj hotels, but I did not find any contact information on the web. You may consider appropriate corrective actions.'
It is unfortunate that this communication was not even acknowledged.
I know that the Chairman, Tata Sons, is a busy person and he may not have time to answer all mail. But I am sure he has an office infrastructure by which some of these communications can be responded to.
I not only experienced poor customer service in all three cases but felt completely let down by the leadership attitude.
By referring these experiences to a friend and a Tata veteran, these issues are being addressed at various levels. I hope eventually a solution or learning will happen for all.
Illustration: Dominic Xavier/Rediff
Larger Issues
The examples clearly indicate the complete apathy of three different CEOs of Tata companies who are either not exposed to Tata culture or not adequately convinced about using it in their business.
Can you imagine how J R D Tata would have reacted to the release of an aircraft for passenger service knowing that 80% of the screens/reading lights are not working and not informing the customers about it on a 17-hour flight?
Can you imagine JRD's reaction to the delivery postponement of a medical need three times without even keeping the customers informed?
Can you imagine JRD tolerating the poor quality of services in a Taj property and being indifferent to the feedback when it was brought to his notice?
I think these are pointers to the changes in the value system and the fundamentals on which business is run.
One may continue to glorify the Empress Mills initiative, the Silk factory at Bangalore, the Elephant corridor in the Tata Tea estate, and the flora and fauna in Tata Motors.
The Bombay Plan, Tata Hydro Power, and the response by the group to the Tata Finance crisis are now only promotional material.
This is not to say that there is something inappropriate with the business models of Tata group companies.
These only point out that the core value systems — including customer orientation, transparency in business transactions, and quality of service — have dramatically changed.
Is This About Operations Or Leadership?
Thoughts for Leadership
Very few companies are endowed with illustrious leadership, a clear purpose for business, a strong commitment to social concern and impact, a focus on customer satisfaction, transparency in business transactions, and a quality obsession like the Tatas.
Then, what do these experiences indicate? Are they some inevitable customer service failure issues that happen in any large organisation? Should they be noticed and ignored?
Or do these experiences across multiple businesses indicate a need for deeper retrospection and corrective action by senior management? How do these experiences reflect on the legacy of the group?
IMAGE: Tata Sons Chairman Natarajan Chandrasekaran. Photograph: ANI Photo Legacy Vs Expansion: The Cultural Dilemma
Legacy, core values, and culture are invisible, critical resources of an organisation on which a business model is developed to create wealth and do good for society at large.
How does one nurture and sustain this legacy for more than 100-plus years? What can the group do to constantly reinforce its legacy?
It appears that a toxic legacy (an opportunity-based, exploitative business model) is easy to replicate and perpetuate.
The conservation and sustaining of legacy are relatively easy in a single business.
In a context like the Tata group, which is involved in several connected and unconnected businesses, retaining and nurturing the founders' legacy is a challenge.
Such groups are under constant pressure to diversify into multiple businesses to increase shareholders' wealth.
The new businesses need competent leaders to effectively manage them. The profile, experience, and maturity of new leaders are ensured by an appropriate search process.
However, the cultural fit of the CEO of a new business to the legacy of the group is not always obvious.
This is more so when a new business is acquired and the CEO continues to be the founder of the acquired business.
While the CEO may be an excellent business leader, he may not be an appropriate cultural fit for the group's legacy.
Turning Heritage Into Daily Practice
In this context, we may draw some lessons from Japanese conglomerates. In all of them, customer focus (satisfaction), superior quality, productivity enhancement, and employee focus are a religion.
The business results are a consequence of these. The implication for the Tata group is how the group should convert its legacy into a cult.
The first and foremost requirement is that business leaders should pass the test of commitment to Tata values in addition to other professional requirements.
On a quarterly basis, a day or two may be devoted to reliving the past experiences of the legacy through company folklore, illustrations, and contemporary examples.
Several unit-level events to help all members of the community appreciate, understand, and relive the legacy of the group should be routinely planned.
These initiatives have to be routine, regular, and driven by purpose (so as not to degrade into a ritual).
With these and some additional need-based, contextually relevant creative initiatives, the group may be able to retain its legacy and glory.
The alternate path is to treat business as business, where legacy is only a brand value used to attract the relevant market segment.
The inadequacies of such an approach are obvious and need not be expanded upon here.
Dr N Ravichandran is a retired professor at the Indian Institute of Management Ahmedabad and was the fourth director of IIM Indore.
Disclaimer: The purpose of this opinion note is not to place in the public domain aberrations in the conduct of business by Tata group companies. I have used these varied personal experiences to highlight the challenges involved in retaining and sustaining the core values and legacy of a business group.
Feature Presentation: Rajesh Alva/Rediff
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