Renowned industrialist and chairman emeritus of Bajaj Group, Rahul Bajaj, passed away in Pune on February 12, 2022, at the age of 83 after a prolonged illness. He would be remembered, for his immense contribution to the Indian auto industry.
He was born on June 10, 1938, in Calcutta (now Kolkata), to Kamalnayan Bajaj and Savitri Bajaj. His father, a businessman and politician, was the son of Indian freedom fighter, Jamnalal Bajaj, a close associate of Mahatma Gandhi. Rahul Bajaj did his schooling from Cathedral and John Connon School in Mumbai and graduated (Economics Honours) from St Stephen’s College, Delhi University in 1958. He then studied Law from Bombay University. Thereafter, he did his MBA from Harvard Business School, USA.
Career
Rahul Bajaj joined the Bajaj Group in 1965, and became the CEO of Bajaj Auto in 1968 and steered the reputed group of companies till 2005. Rahul Bajaj’s iconic reign at Bajaj Auto began amidst commotion, when Piaggio refused to renew a licence to manufacture its scooters in India. He took up the challenge to make scooters on his own, and built great Indian brands like Chetak and Super. There was a time when Bajaj scooters enjoyed a waiting period of close to a decade, giving Bajaj Auto a dominating presence in the Indian two-wheeler market. Presently, Bajaj Group has presence across industries including automobiles, general and life insurance, and consumer finance.
When Rahul took over Bajaj Group in 1965, the group with a turnover of Rs 7.5 crores and he brought it to Rs 12,000 crores. The company’s scooter Bajaj Chetak was the main growth driver. Chetak became an aspirational symbol for middle-class Indian homes during the 1980s and 1990s. The advertisement jingle ‘Hamara Bajaj-Buland Bharat ki Buland Tasveer’ become synonymous with Indian middle-class’s hopes for a better future.
He was among the exclusive group of great founders of the Indian automotive industry along with Sumant Moolgaokar, the architect of Tata Motors; Keshub Mahindra, Chairman Emeritus of the Mahindra Group; H.P. Nanda, founder of Escorts Group; V. Krishnamurthy, the first chief of Maruti Udyog Limited; and B.M.L. Munjal, the founder of Hero Group.
During India’s transition from a closed economy to a liberalised one, Rahul drove the flagship Bajaj Auto to expand its product portfolio with the Bajaj brand finding a secure position in global markets while confronting emerging competition from Japanese motorcycle makers to the company’s scooters. As the head of Bajaj Group, he oversaw group activities, including manufacture and sale of two-three-and four-wheeler vehicles, general and life insurance, investment and consumer finance, home appliances, electric lamps, wind energy, special alloy and stainless steel, material handling equipment and travel. He spearheaded the corporate social responsibility activities of the Bajaj Group of companies and charitable trusts, including Jamnalal Bajaj Foundation.
In 2005, Rahul stepped down from his role and his son Rajiv Bajaj, became the managing director of Bajaj Group. In 2008, he split Bajaj Auto into three units—Bajaj Auto, Bajaj Finserv, and a holding company. A holding company does not manufacture anything, sell any products or services, but holds the controlling stocks or membership interests in other companies. In 2019, he became chairman emeritus.
He was an elected member of the Rajya Sabha between 2006 and 2010. He was elected as the President of the Confederation of Indian Industry twice: in 1979–1980 and 1999–2000. Other positions held by him include chairman of the International Business Council at the World Economic Forum, a member of the South Asia Advisory Board at Harvard Business School, chairman of Indian Airlines, chairman of the Board of Indian Institute of Technology, (Bombay), and member of the International Advisory Council (the Brookings Institution, Washington DC, USA).
Awards and Honours
Rahul Bajaj received the Padma Bhushan, India’s third highest civilian honour in 2001. For his outstanding work to the Indian industry, he was awarded with the CII President’s Award for Lifetime Achievement in 2017. He also received honorary doctorates from many universities.
In 2016, on the Forbes list of world’s billionaires, he was ranked 722, with a net worth of USD 2.4 billion.
© Spectrum Books Pvt Ltd.