Jaguar Land Rover's digital transformation will ride on collaboration with parent Tata

Jaguar Land Rover outlines its EV strategy as well as plans to leverage the IT, software and communications knowhow of parent company Tata.
Written by Larry Dignan, Contributor

Jaguar Land Rover laid out plans to become an all-electric luxury brand, launch six electric vehicles in the next five years and become more agile via a hefty dose of digital transformation and technology know-how from parent Tata.

The automaker, owned by India conglomerate Tata, is going to use its parent's wide reach in software, IT, communications and engineering to reimagine Jaguar Land Rover.

In a video presentation, Jaguar Land Rover CEO Thierry Bolloré laid out a plan that rhymes with other automakers including GM and Ford that transforms the company from one driven by the internal combustion engine to one that revolves around electric, software and services. Where Jaguar Land Rover's digital transformation plan differs is that it has a bevy of sibling companies to leverage under one owner.

"This is where being part of the Tata Group is such an advantage, we have so many of the ingredients we need from within," said Bolloré. "Others have to rely on external partnership. We have natural access to world leaders in energy, technology, communication and software. The potential is incredible."

Bolloré said that Jaguar Land Rover has "thousands of software engineers in UK, Ireland and China." Software engineers represent about 25% of the company's engineering team, but that percentage will grow.

Jaguar Land Rover plans to invest £2.5 billion on the initial effort. Bolloré said that Jaguar Land Rover will resize its business to flatten management layers and leverage data to be the engine of the company's manufacturing, supply chain and services.

Specifics of the company's digital transformation are being worked out. Jaguar Land Rover's announcement Monday was more about broad strategy and direction. It remains to be seen how the company leverage Tata units in information technology and telecom. to advance the digital transformation.

The to-do list from Bolloré goes like this:

  • Become a net zero carbon business by 2039.
  • Make Jaguar an all-electric luxury brand from 2025.
  • Launch six pure electric variants and make all Jaguar and Land Rover nameplates available in electric by the end of the decade.
  • Leverage three platforms as the company goes electric (two for Land Rover, one for Jaguar).
  • Launch the first all-electric Land Rover in 2024.
  • Generate double-digit EBIT margin and positive cash flow with positive cash net of debt by 2025.

More on auto digital transformation:

Editorial standards