India, March 18 -- Tata Trusts Chairman Noel Tata is advocating for a two-year extension for Tata Sons Pvt. Ltd. Chairman Natarajan Chandrasekaran rather than the five-year mandate, as part of a succession revamp at India's largest corporate empire.

The Tata Trustees are preparing to deliberate on this truncated term, according to people aware of the matter. The core of Noel Tata's proposal hinges on bifurcating the conglomerate's top leadership, transitioning from a single all-powerful chairman to a tiered structure comprising a non-executive chairman, a chief executive officer and managing director, and a deputy CEO.

The Tata Sons board, which first appointed Chandrasekaran to the helm in 2017 and renewed his mandate in 2022, unexpect...