AFRICAN JOURNAL OF ECONOMIC REVIEW
Nissan is a modern automotive company with its own distinctive course and philosophy that is from within (2004 Annual report n.p). The motor company was founded in 1933 under duol governance comprising the board of directors and Statutory Audit Committee. The board of directors governs important decision making, while the statutory audit committee is in charge of all the important functions in the company (Witcher and Chau 182).
In late 1990s during the financial crisis of the East Asia the company incurred serious debts from the Kereitsu and property investment. The action further led to the alliance with the Renault. A revival process was carried out by the new president of the company Carlos Ghosn who embarked on the major reviews of all the company’s units including the oversees branch (Witcher and Chau 182).
Since its revival the company has managed to maintain a management of high caliber, leaders with great strength on how they convey visions, manage with accountability, commit to action plan, recognize high performance and assess progress of the company (2004 Annual report n.p). Similarly it runs under two concepts the first one being cross-functional terms (CFT) and v-up that is a powerful tool for management and assists in reaching across the functions of this global company (2004 Annual report n.p). Secondly, the stretch; this aims at meeting the expectations of the customers through combining diverse ways of thinking and background to create decision and solutions that stretch the organization to a better and new direction (2004 Annual report n.p).
According to the 2004 Annual report; Commitment is a vital role to the organization. In order to achieve the set goals people must commit themselves to achieving these goals. Further, the attitude of the people working at Nissan is very motivating and positive therefore, this greatly reflects on the good performance of the company. The employees at Nissan are the company’s greatest asset (2004 Annual report).
How leadership and management underpin performance management
An organization is an indication of a certain leader. A leadership that is tactful in issues of managing organization is of great assistance to the company at large. Managing organization and assisting them achieve their set goals and dealing with the global business setup is of great significance (Laschinger et al. n.p).
Upon the taking over of Nissan by Carlos Ghosn he had one mission of making deep changes in the company. However, his belief was that; to make changes he needed the right catalyst of people in the right place and not the loads of people (Hughes, Kathryn, Barsox and Manzoni 3). He chose people of around 40 years, very open minded coaches and experts in their respective fields (Hughes, Kathryn, Barsox and Manzoni 3).
In an article redesigning Nissan the authors agree that when Carlos was joining Nissan he had a clear objective of fixing the company. Nonetheless he managed to embrace transparency whereby he broadcasted globally the speeches he made in the organization (Hughes, Kathryn, Barsox and Manzoni 3). Further, he formed a team Renault-Nissan that was to form a dictionary of essential terms that further increased efficiency in the organization (Biek n.p).
Carlos came up with a cross-functional team to help generate ideas for change and recommendations. Similarly he reduced the barriers on communication between the boards and the hierarchy lines (Hughes, Kathryn, Barsox and Manzoni 3).
Finally Carlos Ghosn had a transformational leadership approach that was change oriented and necessary for empowering other organizations (Milikin and Fu, d., 123).
Training and development
The company’s target is to become among the top innovative and trusted car company. Therefore, they provide training and development to their employees by relying on world class people and innovative thinkers (Noe and Kodwani n.p). According to Noe and Kodwani Nissan has embraced a culture of life-long learning whereby ones knowledge and skills are further trained to development opportunities. From the newly hired people to the professionals they are taken through the leadership skills, problem solving and project management. Further the company offers mentorship, assessment and cross-cultural team assignment (Noe and Kodwani n.p).
The company provides special accelerated development programs to increase the performance of their employees. However, this action creates an opportunity for growth of leadership skills in the organization (Noe and Kodwani n.p).
In Nissan they believe that to achieve high performance; the company should recruit, maintain and develop best talents that acts as the main factor in achieving their goals (Furusawa 160). The company constantly inspires and unifies people worldwide. They have three policy that constantly keeps them on top (Furusawa 160). Firstly, they believe in hiring the best and challenging them, this way they are left with a broad and deep talent pool. Secondly the talent management team under the Renault-Nissan alliance has provided challenging diverse career opportunities (Furusawa 161).
In conclusion and thirdly they believe in shattering the glass ceiling whereby they the high and best performers’ employees should rise to the top and not be limited to irrelevant factors such as age, gender, nationality or race (Furusawa 162)
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