Convergence of four operational areas intends to make company more efficient
The Renault-Nissan Alliance is moving to strengthen its partnership further by implementing convergence initiatives in four key operational areas starting April 1. The said convergence is made to be able to achieve the minimum of 4.3 million euros of synergy goal in four key areas: Engineering, Manufacturing & Supply Chain management, Purchasing, and Human Resources.
The four key operational areas will be jointly managed by both companies with a newly appointed Alliance Executive Vice President leading each function. Moreover, there will also be a new management committee to oversee the implementation. The move aims to further make use of its Common Module Family engineering.
Tsuyoshi Yamaguchi, Alliance Director of Platforms and Parts, has been appointed EVP for Alliance Technology Development to take care of Engineering. Renault and Nissan will combine Common Module Family engineering, advanced research, powertrain development (including electric vehicles), systems engineering and testing facilities and services.
Nissan Corporate Vice President for Vehicle Production Engineering Shohei Kimura has been tasked to head Manufacturing & Supply Chain management. The department will manage the global industrial strategy (including sourcing), production process engineering, production control and supply chain management.
Christian Vandenhende, Managing Director of the Renault-Nissan Purchasing Organization, will be handling the Purchasing department of Renault-Nissan Alliance.
The Human Resources role has been given to Marie-Francoise Damesin, Renault executive vice president for Human Resources. In addition, the Renault-Nissan Alliance has created a unified 'talent management' policy across the companies' global operation which will be headed by Greg Kelly, Nissan Senior Vice President of the CEO Office and Global Human Resources.
The Management Committee Alliance headed by Carlos Ghosn will be assisting the development of the new organizational structure of the Renault-Nissan. In addition, Christian Mardrus, Senior Vice President and Managing Director for the Alliance CEO Office and Global Logistics, will become Alliance Executive Vice President for Renault-Nissan BV and the Alliance CEO Office.
"Convergence within these four key business functions will result in an immediate increase in efficiency and leverage our size to achieve competitive economies of scale. The synergies will then enable us to deliver higher-value vehicles to customers and stay at the leading edge of innovation," said Renault-Nissan Chairman and CEO Carlos Ghosn.