Tata Motors recently confirmed the appointment of Carl-Peter as their group chief executive officer, giving him overall responsibility for the global operations of Tata Motors which will include Jaguar Land Rover (JLR). Mr. Foster vacated his last post as CEO of General Motors Europe last year prior to the decision by the GM board to cancel to proposed sale of Opel to Magna and retain the unit instead. Mr. Forster had publicly aligned himself with Magna’s bid, and the lengthy negotiations along with political machinations surrounding the German government’s tacit support for the Magna bid led to the stalling of the planned bid. There had been considerable speculation concerning Mr. Forster’s probable appointment to a senior position within Tata Motors after the January departure of JRS CEO, David Smith. It is widely thought in the industry that JLR will be chief among Mr. Forster’s new projects.

Mr. Forster, 55, has been involved in the automobile industry for almost a quarter of a century and has most recently been head of GM Europe, overseeing Saab, Opel/Vauxhall as well as the European arm of Chevrolet. Prior to joining GM in 2001 Mr Forster spent 13 years at BMW, holding a number of posts including Managing Director of BMW South Africa. He was also on the managing board responsible for manufacturing. The chairman of Tata Motors Ratan Tata commented on the appointment and was enthused about the possibility for Tata’s expansion overseas, stating that ‘Mr. Forster’s induction will facilitate its (Tata Motors) ambition towards being a truly international company.”

Mr. Forster’s appointment comes as little surprise to those within the industry as he possesses the requisite experience to push Tata motors on to the next level with his extensive knowledge of the European automobile market and industry. His knowledge of just how a major international player like GM operates and functions in terms of diversity and with an international approach will be invaluable to TM, and is clearly just what the company requires. Mr. Forster also brings valuable cost-management experience from his work on Project Olympia with GM Europe. Also, his perspectives on industrial relations should prove especially valuable to Jaguar Land Rover.

It is believed that Mr. Forster’s industry-wide respect as well as his ability to bring a fresh perspective to the Indian market will be invaluable to TM. It is thought, however, that Mr. Forster’s principal task will be to catapult TM to the next level, and that means international exposure. It could well be a case of right place, right time for both TM and Mr. Forster as many of TM’s building blocks are already there given that the company is already well-established in one of the globe’s emerging markets coupled with very low manufacturing costs. TM is also fairly diverse with regards to its products as it makes cars and trucks, and is also part of a conglomerate that also has the potential to reap further dividends.

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