Nissan motors

University of

sargodha

NISSAN MOTORS

SUMMARY

AUTOMOBILE INDUSTRY

Automobile Industry, industry that produces automobiles and other gasoline-powered

vehicles, such as buses, trucks and motorcycles. The automobile industry is one of the most important industries in the world, affecting not only the economy but also the

cultures of the world. It provides jobs for millions of people and also generates billions

of dollars in worldwide revenues

Lecture Review

1. productivity Graph

2.Fisahbone Diagram

3.Mission And Vision Statement

1.Productivity Graph

ENRICHING PEOPLE’S LIVES

OUR VISION

ENRICHING PEOPLE'S LIVES

Nissan’s Missionprovides unique and innovative

automotive products and services that deliver superior measurable

values to all stakeholders in alliance with Renault

Nissan Motor Company Ltd (Nissan) is Japanese Company engaged in the automotive industry worldwide.

The company and its brands designs, produces and sells more than 3.7 million passenger cars and commercial vehicles in more than 190 countries

CHECKLIST FOR

STRATEGY

Strengths and Weaknesses of the Company

STRENGTHS

Global Brand: - The popularity of the brand name results in brand loyalty. This in turn helps to drive away other rivals of the same industry. It reduces the pressure created by other competitors.

Global Financial position: - One of the biggest strengths of Nissan. This can indicate that Nissan will be able to survive tough economic conditions since its businesses are spread around the world.

  Renault-Nissan Alliance: -The alliance has provided advantages to both

companies. The companies can spread out to new markets with low costs since they don’t have to build new plants. E.g. Renault builds cars in Nissan's Mexico plants and Nissan uses Renault's Brazil plant and distribution networks. Now they have increased purchasing power too excuse now there are two big companies working together, not Nissan alone. The alliance has so far enhance the profitability, market capitalization and sales in 192 countries for both partners

WEAKNESSES

Product Innovation time lag; - There have been time lags for their new innovation, especially in the US market. The company was a relative late-comer to the country's high-profit margin and high-volume pick-up markets. Nissan's late entry meant that it has suffered from the decline in the sector as a result of rising fuel prices in the United States.

Lack of Diesel Technology: - Diesel technology has been increasingly popular throughout the world as it is said to be reducing fuel emissions and cost. However Nissan lacks the technology and experience to produce diesel engines of comparative quality since demand for diesel engines is low in Japan... 

Dependence in overseas market: - Nissan produces more vehicle abroad than at home. Increase dependent on overseas production indicating their pace of globalization. However in case of a global economic crisis or a change of government policy in other countries it could mean the home industry could also be affected since it is not stable by its own but dependent on overseas markets.

Potential Opportunities

Asia market: - Lower penetration coupled with strong rise in income levels, led to continuous jumps in car sales in markets like china and India. Hence it is necessary for global player to be present in these countries. In India in year 2004-05 domestic sales of car and utility vehicles has crossed the 1 million mark. Therefore Asia market will create a huge demand.

Relocate its manufacturing unit to reduce cost: - China, India and Thailand have been regarded as the Low Cost Production bases with their unique offering to the outsourcers. Low cost country will provide them the global clientele and technology and also have synergetic operation. Area of opportunity for India lies in the products which have high level of design and engineering requirements, low level of automation and significant assembly requirement.

Renault-Nissan Purchasing Organization (RNPO): - The RNPO, was one of the main ways in which Renault-Nissan would combine their resources to create a more competent organization. This has led Nissan to achieve greater purchasing power and has served to reduce costs and reduce the bargaining power of suppliers

Potential Threats

Cross-Cultural Disharmony: -When the two companies integrate more cross cultural disharmony occurs. If so, overall company performance may be reduced and the current strengths that the Alliance provides may become instabilities.

Rising Commodity Prices: - The price of steel used in car production has risen by nearly 30%. As this increase in cost has been passed on to the consumer, demand for new vehicles has reduced

Market saturation: - Due to overall market saturation, the individual company new product development strategy towards market expansion is changing from iterative year on year model changes to drastic innovation. The emergence of SUV market few years back is an evidence of how product and market innovation has changed the very composition of US auto market.

HIERARCHY

HIERARCHY

Chief Executive Officer (CEO)

Carlos Ghosn

Executive Vice President, Chief Performance Officer (CPO)

Colin Dodge

Senior Vice President, Chief Creative Officer (CCO)

Shiro Nakamura

WHAT SHOULD I DO FOR NISSAN MOTOR

SERVICE PROMOTES ECO-DRIVING

This service will assist drivers to become more conscious of their vehicle’s fuel-

efficiency performance by providing them with the average fuel-consumption data

according to their day-to-day driving habits, and allows the driver to track and monitor

improvements to their eco-driving skills over a period of time.

Culture Of Nissan Motors

HR POLICIES OF NISSAN

“Nissan we believe our people are the most valuable asset” - Carlos Ghosn

President and Chief Executive Officer

Nissan Motor Co., Ltd.

The nature of the organization Nissan works under the theme “We call it the Nissan way”. They believe in expanding in their horizons. They claim that Nissan is more than just a great car company. It's a way of doing things that's designed to bring the best out of every employee

What the workers should expect from the company

Nissan offers a strong career development plan to help employees achieve their goals and reach their career aspirations. They provide ample opportunities for the workers to work on your their initiative as well as cross-functionally and within an international environment. Life at Nissan presents exciting new challenges every day for those who are keen to grow and who are hungry to learn. To meet our ambitious targets, we need highly motivated people with drive and commitment to thrive in a fast-moving environment

Recommendation

What the company expects of them?

Company expects all type of diversity from their workers.

Diversity isn’t limited to gender issues nationality, age, personal values and

lifestyle are all areas of continuing interest to us, and addressing the issues surrounding them can produce great value for the organization. Naturally, we felt that tackling gender issues was a logical first step.

CONCLUSION

The new business plan, known as Nissan GT 2012, begins in fiscal

year 2008. The “GT” name stands for growth and trust. During this five year plan Nissan GT 2012 will

focus the company’s efforts on long-term performance and their

responsibilities to stakeholders as Nissan becomes truly global

business.

INFORMATION TECHNOLOGY

Nissan motor manufacturing in UK relies heavily on Information Technology to function.

Computer-controlled robots and other machinery, particularly in the Body Shop, are vital to

production. These machines are maintained and controlled by specialist engineering teams.

Thank You For Your Cooperation

THE END……