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Supply Chain Management - Essay Example

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A Brief History of Nissan: The process of business within the 21st century has developed to a remarkable extent(Davies, 2004). Facing fundamental issues with cost and levels of continued business growth, Nissan’s European division chose to integrate with its supply chain as a means of evoking positive change. Nissan therefore reviewed the issues that their supply chain engendered and sought to evoke a further level of efficiency from it. Supplier Initiative/Management Initiative: 1: Referenced Definition of Supplier Development Some of the points that can be taken away from this particular case are with regards to definitions of supplier development, the different foundations which need to be put in place as a means of improving the initiatives that were engaged, a clear delineation of the objectives of the customer and supplier may seek to achieve from such improvement initiatives, the role of leadership within Nissan and how this impacted upon the supply-chain management that took place, the way in which commonality of purpose was achieved between the suppliers and Nissan, the performance measurements that were used as metrics, a close discussion of supply improvements that were engaged, the risks and benefits of engaging in such an initiative, mistakes that can be learned from, and future trends that are likely to be evidenced within other branches of Nissan; as well as throughout the industrial world. 2: The foundations which need to be in place to enable the improvement initiatives between customer and supplier contained in the case to take place Firstly, it must be understood that with regards to supplier development, Nissan fundamentally engaged in a redefinition of the way in which this process was previously affected. Through an internal investigation with regards to efficiency and the means through which product was provided, Nissan came to the clear understanding that if further profitability and viability of the brand was to be effected, a fundamental shift with regards the way in which products were supplied must be effected. As such, a reintegration with the definition and approach to supplier development was necessitated and affected. Supply Chain Management: As a function of the difficulties that have thus far been defined, Nissan Motor Company found it necessary to engage directly with the suppliers and enter into a new form of cooperation and communication that they term as COGENT. Within this particular approach, Nissan sought a level of oversight with respect to the design process and final production of the components that would eventually make their way into Nissan automobiles within Europe (Ludwig, 2010). Instead, COGENT was engaged as a means of overseeing and reviewing the supplier process. Nissan co-development initiative (COGENT) Realizing that the major drawbacks of the other approaches that they could take would place little incentive or integration within the actual supply mechanisms of Nissan, the Co-development init ...Show more
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Table of Contents Brief history of Nissan - 1 Supplier Initiative - 2 Management initiative - 3 Supply chain management - 3 Nissan co-development Initiative - 4 Ownership cost minimization - 4 Factors to enhance improvement initiative between supplier and customer - 5 Challenges to Suppliers development program - 5 Future trends -5 Theoretical Discussion -5 Key leaning outcomes - 7 Recommendations - 10 Conclusion - 10 Bibliography - 11 Introduction: Firstly, before delving into the actual models and theories that can be applied with respect to Nissan Motor Company’s supply-chain management, a brief consideration of the changes that took place should be engaged…
Author : marlenoberbrunn
Supply Chain Management
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