Nissan Motor Company
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Nisssan Motor Company is a Multinational motor company, initially founded in Japan by Yoshisuke Aikawa, in 1911. The most phenomenal element about this company is its versed operational management-often directly to achieving a lasting sustainability. The risk management strategies used by Nissan Motor Company is one of interesting topics about the company. For instance, this company invests huge capital on data analysis and risk assessment. This explains why Nissan Motor Company was not so much affect by the 2011 high magnitude and intense Tsunami that occurred in Japan. Another intriguing topic for discussion under the operations management for this company is its streamlined supply chain management (Sako, 2004).
Nissan Motor Company risk management department specialized in formulating business resilience strategies for business continuity. The company later on uses data analysis from this information to make supply chain related decisions. For instance, after predicting the probability of facing the destructive earthquake and tsunami that happened in Japan. Following that, Nissan adopted a build-on-order production strategy for its vehicles. Moreover, the company shifted its production functions offshores (in the United States) and only concentrated on a few plants that remained functional in Japan. When the tsunami occurred, the company was not much affected as compared to its strong rivals, Honda and Toyota Motor Company. Other related questions to be answered under this discussion would be how Nissan Company managed to survive after the 2008 Great Financial Crisis, with most of its operations based in the U.S (Takeuchi, 2012).
Nissan company website published annual statement reports, sustainability audit reports and strategies for the next fiscal year. These are alongside many previous publications on academic business journals and books are great sources to extract information for this research paper.
I am interested in the topic on risk management in supply chain management, particular for Nissan Motor Company since the most companies collapse due to poor risk management. This is despite of how much capital they invest on production, marketing, research and development and other business functions that lie under operations management (Holweg, 2007).
Holweg, M. (2007). The genealogy of lean production. Journal of operations management, 25(2), 420-437.
Sako, M. (2004). Supplier development at Honda, Nissan and Toyota: comparative case studies of organizational capability enhancement. Industrial and corporate change, 13(2), 281-308.
Takeuchi, A. (2012). Nissan motor company. The Corporate Firm in a Changing World Economy: Case Studies in the Geography of Enterprise, 36, 166.
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