Corporate governance

Led by visionaries, Tata Motors Group upholds corporate governance standards that are best in class and that strengthen stakeholder trust in the Company.

BOARD'S KEY AREAS OF FOCUS
The Board of Directors oversees several areas of the Company's business, as well as its value-creation process.

• Direct, supervise and control the performance of the Company
• Provide leadership and guidance to the Company’s management
• Review the Company’s strategic and business plan
• Monitor the responsibilities delegated to the Board Committees, to ensure proper and effective governance and control of the Company’s activities
• Establish a framework for the risks to be assessed and managed

BOARD EFFECTIVENESS EVALUATION

The Board of Directors carry out an annual evaluation of its performance, and the performance of its Committees as well as individual Directors. This involves receiving inputs from all the Directors. A separate meeting of Independent Directors is held to review the performance of Non-Independent Directors, the performance of the Board of Directors and the performance of the Chairperson of TML. The Independent directors consider the views of Executive Directors and Non-Executive Directors.

The criteria for the performance evaluation of the Board of Directors includes aspects such as its composition and structure, and the effectiveness of its processes, information flow and functioning.

The criteria for the performance evaluation of individual Directors includes aspects, such as the Director’s contribution to the Board of Directors and Committee meetings, including preparation on the issues to be discussed as well as meaningful and constructive contribution and inputs during meetings. In addition, the Chairperson is evaluated on the key aspects of their role.

INTEGRATED GOVERNANCE STRUCTURE

The governance structure of the Tata Motors Group companies ensures that the key businesses although diverse in nature are led by the Board of Directors based on common principles and the Tata group ethos. As part of our ‘integrated thinking’ process, the Board Committees make key decisions on the Company’s holistic value-creation process across the six capitals.

Although there are two different Boards for TML and JLR, there are five common Board members, including the Chairman.

BOARD COMMITTEES AND THEIR RESPONSIBILITIES