Just days after news trickled in that Cyrus Mistry has been replaced as the head of Tata Motors, the company confirms that it has appointed Ralf Speth as a board director. Speth is the CEO of Jaguar Land Rover and has been in the position since Feb 2010. Under his leadership, JLR has been making steady profits. Speth is joined by N Chandrashekharan (board director) who is the MD and CEO of TCS. Interim chairman of Tata Sons, Ratan Tata said that both the appointments have been made considering the strides they have made in their respective leaderships. Tata Sons board currently has 12 members.
Cyrus Mistry's removal from the post as head of Tata Motors was shocking to the entire automotive fraternity. Sources as well as reports however suggest that this wasn't an overnight decision and there was apparently tension brewing within the company because of clash of cultures and the way of leadership. 48-year old Cyrus is the son of Pallonji Mistry who owns a 18.5 per cent stake in Tata Sons. There are reports on the interweb which also suggests that Cyrus Mistry may file a case with the High Court challenging Tata Sons' decision to sack him. Mistry however is still the director of individual companies of the Tata Group.
More details will be available as soon as we get information from Tata Motors. Stay tuned.