New Delhi, June 10 (IANS). The world is changing rapidly due to geopolitical developments, supply-chain changes, energy transition, AI and climate impacts. This statement was given by N Chandrasekaran, Chairman of Tata Sons Private Limited and Tata Consumer Products Limited (TCPL) on Wednesday.
Addressing shareholders at the company’s Annual General Meeting (AGM), Chandrasekaran said TCPL is using Artificial Intelligence (AI) to improve product development, identify consumer trends and strengthen supply chains as businesses now operate in a very complex global environment.
“In response, companies across a variety of industries are focusing on increasing resiliency, improving productivity, and making trust-based decisions,” he said.
Chandrasekaran said, “TCPL is using AI in many areas of its operations, including accelerating product development cycles, better forecasting demand, tracking new customer preferences, improving supply chain and driving innovation.”
Talking about the macroeconomic environment, Chandrasekaran said the year had started on a positive note with events like the India-EU trade agreement and the India-US interim trade agreement.
However, the outbreak of conflict in West Asia in early March increased concerns about ‘stagflation’. This is a situation in which the pace of economic growth slows down and inflation increases.
Despite uncertainties around the world, he expressed confidence in India’s growth prospects. “India remains the fastest growing major economy, driven by its demographic strength, growing digital infrastructure and rising expectations of the people. It continues to deliver strong growth and a large market,” he told shareholders.
Chandrasekaran said that there are major changes in consumer behavior in India, as changing lifestyles, new retail formats and the rise of digital commerce are changing shopping habits.
He said this is creating huge opportunities for companies that can combine customer-centric strategies with innovation, strong working practices and trusted brands.
He also highlighted the changes that TCPL has undergone over the years and said that the company has successfully transformed itself from primarily a tea and salt business to a diversified Fast-Moving Consumer Goods (FMCG) company.
The Chairman said that the FMCG sector is witnessing rapid growth in new age sales channels, especially quick commerce, which is growing faster than traditional retail formats.
According to TCPL, these new channels now account for more than 35 percent of its business in India. However, he stressed that traditional retail still remains the backbone of the company’s ‘go-to-market’ strategy.
–IANS
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