Nissan Cogent Case Study

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SUPPLY CHAIN MANAGEMENT

NISSAN COGENT CASE STUDY

CONTENTSPage number

1. AIM3

2. INTRODUCTION3
3.1. Supply Chain

3. NISSAN-An Overview4
4.2. Mission4
4.3. SWOT analysis.4

4. Evolution of COGENT5
5. COMPARATIVE CASE STUDY7-8
6.4. Toyota7
6.5. Nissan8
6.6. Honda8

6. CONCLUSION 9

7. KEY LEARNING OUTCOMES 9

8. REFERENCES 10

1. AIM
To study the NETC case study video and asses the role of co-development in long term supplier relations and development through NISSAN’S COGENT initiation and to write a detailed report on the same. 2. INTRODUCTION

SUPPLY CHAIN
“All activities associated with the flow and transformation of goods from raw material stage (extraction), through to the end user as well as the associated information flows. Material and information flow both up and down the supply chain. Supply Chain Management (SCM) is the integration of these activities through improved supply chain relationships, to achieve a sustainable competitive advantage”. (Southey.P 2011). What is Supplier Development?

According to Krause, Handfield 1999, “It is a bilateral effort by both the buying and supplying organisations to jointly improve the supplier’s performance and/or capabilities in one or more of the following areas-cost, quality, delivery, time to market, technology, environmental responsibility, managerial capability and financial viability” Supplier selection comprises of Product capability, Process capability and relationship capability. KRAUSE model 1999, of supply development comprised of four steps. 1. Good SCM to bring your supplier base down, towards long-term good relationships and to measure initial performance to evaluate improvement overtime. Goal: Pool of potentially capable suppliers.

2. First Stage of Supplier development where checking suppliers of Q,C,D,D,M (Quality, Cost, Delivery, Development and Management), comparing them and eliminating deficiencies takes place. Goal: Suppliers meet current production requirements.

3. Marching towards improvement or first class quality level including good information sharing, awarding incentives or implementing penalties as required and steps to maintain momentum to make suppliers self-reliant. Goal: Self reliant supply base – continuous improvement.

4. To maintain globally aligned supplier network.

3. NISSAN-An Overview
Nissan was established in Yokohama, Japan in 1933. Nissan Motor Co. Ltd. currently manufactures vehicles in 20 countries, Global unit sales in 2009 totalled 3.5million vehicles. In addition to vehicles, Nissan also develops, manufactures and markets and marine equipments. Nissan has prospered and grown to higher levels of quality and performance under the leadership of Mr Carlos Ghosn who at present is the CEO of NISSAN. Mission: Nissan provides unique and innovative automotive products and services that deliver superior measurable values to all stakeholders. (Nissan-global 2010)
SWOT analysis in any organisation is a useful technique in understanding its strength and weakness and for identifying both the opportunities open to it and the threats it face. Strength and weakness are often internal to the organisation while opportunities and threats relates to external factors. (mindtools 2011)

*Strong brand name....
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