A decision by the leader of Tata Sons shows the challenges of bringing corporate professionals into family companies. A storied Indian conglomerate that owns the country's biggest outsourcing firm and makes millions of iPhones for Apple is in the middle of a leadership shake-up that has highlighted the challenges facing India's family-founded behemoths. Last week Natarajan Chandrasekaran announced he would step down as chairman of Tata Sons. The highly regarded veteran was the first chair of the company with no ties to the family that founded the group's first ventures over a century ago. He was widely expected to be reappointed to a third term.

The departure underscores the persistent influence of founding families across Asia's corporate landscape. Despite efforts to professionalize management, family control often reasserts itself at critical junctures. Analysts say the move reflects deeper governance tensions in conglomerates where family trusts hold significant voting power. The search for a successor will test whether Tata Sons can maintain its professional management model or revert to family-led leadership.