Ghosn's Nissan Strategy Implementation

3810 Words16 Pages
EVALUATION OF USE OF STRUCTURE AND SYSTEMS IN IMPLEMENTING STRATEGY OF NISSAN LIST OF CONTENTS 1. Introduction 4 2. Structure 4 2.1 Organisational architecture framework 4 2.2 Mintzberg’s Six Basic Parts of an Organisation 5 2.3 Integrated Strategic framework of organizational design and structure 6 3. Systems 6 1. Organisational architecture framework 6 2. Simple rules 7 3.3 Simon’s four levers of control 7 Appendices: A: Mintzberg’s Six Basic Parts of the organization 16 B: Integrated Strategic framework of organizational design and structure 17 List of References 21 1. Introduction In 1999 Carlos Ghosn was…show more content…
If Nissan is indeed seen to transform into a divisional form in the sense of Mintzberg’s model, diversification of products based on the particular market would be apparent. This is not overtly stated in the case study. However, as Nissan is viewed as a multinational organization which implies, as Porter cited in Segal-Horn (2006a), suggests, faces the associated challenges of major differences between markets of various countries. Consequently, subsidiaries of Nissan would diversify products in other countries in order to ensure optimum global market penetration. Furthermore, the co-ordinating mechanism was the standardization of outputs in terms of performance control measures, the aim of the NRP. This is apparent in the need to encourage innovative methods of working, evident in altering staff mindset in the engineering component to focus on cost reduction, in addition to quality. Sakai, the CFT pilot for business development commented on discipline required to quantify recommendations with workable figures (Yoshino and Egawa, 2003). Chandler and Williamson, both cited in Boojihawon (2006) further proposed multi-divisional structures and holding structures, the former of which may be applicable to Nissan. In expanding upon the notion of Nissan steering towards a divisional form of structure, Chandler noted that as organizations mature and grow, they
Get Access