Tata Motors Wants to Become Future Ready For Next Gen Mobility: Chairman
The next few years will be decisive for Tata Motors, says Chairman N Chandrasekaran. “The next few years are going to be decisive for our company. We have to focus on strong operational excellence to deliver positive cash flows while making the right investments to be prepared for the future,” Chandrasekaran said.
Tata Motors is committed to take the lead in this transition and work with other companies in the Tata ecosystem to help create a viable environment to drive the adoption of electric vehicles. On JLR, he said from an operational performance perspective, the last twelve months have been challenging for the company.
“These have resulted in the business reporting a revenue decline this year and an operating loss,” he said adding JLR e-company faced headwinds from external factors, including the slowdown of sales in China and Europe along with internal factors of high fixed cost structures, dealer network profitability and high investment leading to cash outflows. Chandra said it “is taking steps to cut costs while taking a calibrated approach towards future investment in the product portfolio”.
“The company is actively looking at partnerships and prioritising its investments while ensuring that it is not compromising its future. These are critical interventions and JLR is committed to delivering cost and cash improvements,” he said.
Commenting on Tata Motors’ domestic operations, he said under the ‘Turnaround’ programme started in July 2017 the company has undertaken a series of comprehensive steps to address different aspects of the business. Chandra said while the company continued to make significant progress, “by no means the work is done.”