The Alliance has decided to stay "Together Stronger" amidst the uncertainty of the Renault-Nissan-Mitsubishi Motors Alliance following the arrest of its chairman and very architect Carlos Ghosn in November last year.
The global automakers have decided to form a new operating board which involves its three major stakeholders in decision making, departing from the highly-criticized ‘one-man rule’ presided by Ghosn in the past.
The announcement was made at the Nissan Global Headquarters in Yokohama, Japan.
The decision was not unexpected in the age of consolidation and mergers of major automotive companies globally.
Jean-Dominique Senard will act as Chairman of this new operating board of the Alliance, with the CEOs of Nissan, Renault, and Mitsubishi Motors also joining the board.
"We have agreed together to enhance and reinforce the Alliance in the future. Actually, we have decided to join our force again to enhance the strength of our collaboration," said Jean-Dominique Senard, Chairman of the Alliance and Renault.
Joining Senard will be the respective CEOs of Nissan, Renault, and Mitsubishi Motors; Hiroto Saikawa, Thierry Bollore, and Osamu Masuko.
"We want to recreate the spirit of the Alliance to the way it was at the very beginning. That is an Alliance that is based on the total balance and fast decision-making process totally respectful of the cultures of our companies, respectful of our brands," added Senard.
The commitment for mutual respect is considered to be behind the new Alliance board structure which will do away with the current RNBV (Renault-Nissan BV) and NMBV (Nissan-Mitsubishi Motors BV). The group says it will be the face and primary driver of its “New Start”.
The new Alliance board will be making decisions as being consensus-based and will be presided by its new Chairman and the CEOs of its three major stakeholders. Nissan, Renault, and Mitsubishi Motors hope that this will be their new “win-win” approach.
The three automakers signed an MOU as part of the initial agreement to continue their alliance and will sign the definitive agreement on March 27th as the Alliance officially celebrates its 20th anniversary.
Monthly meetings for the new board will be held in Paris or Tokyo to update stakeholders on its key value initiatives and achievements. The Alliance operating board will ask for the creation of specific projects to make recommendations and drive the execution of new ways to create an incremental value of the three auto companies.
Senard also highlighted autonomy and accountability in his statement which his predecessor has been much criticized of, short of being referred to as a 'dictator'.
The creation of the new Alliance operating board is designed to help Nissan, Renault and Mitsubishi Motors become what they can be together – the top organization in the rapidly changing and highly competitive global auto market.
Apart from the three automakers, the Alliance also has an interest in Russia’s AvtoVAZ and long-standing collaborations with Germany’s Daimler and China’s Dongfeng Motor.
In 2018, the Alliance was the global auto sales leader selling 10.76M vehicles.
Nissan seems to have leveraged a stronger voice in the "new alliance". Of particular note in their new communication is the positioning of the names of the automakers where Nissan is now mentioned ahead of Renault in their official release. The alliance name, however, remains 'Renault-Nissan-Mitsubishi Motors'.
Also under the MOU, the group will "anticipate" Renault Chairman to be a candidate for Vice Chairman and a Representative Director in Nissan, while a candidate for the chairmanship (among other matters) will be upon the recommendation of the Nissan Special Committee on Improving Governance (SCIG).