PLANNING FOR QUALITY AND

PRODUCTIVITY

(A NISSAN CASE STUDY)

GROUP 3

BSBM311

Members:

Bocado, Jelyn Cuizon Morales, Joseph Mari

Ramirez, Jeriejoice Macalindong, Emmanuel Kristian

Batingan, Bea Rebecca Elopre, John Paul

Calderon, John Kevin Paul

1. Enumerate and describe, with examples, which critical components of total

quality management did Nissan use in its operations.

- Cost Leadership – the objective of this strategy is to become the lowest cost

producer in the industry. This strategy is usually associated with large scale

businesses offering standard products with relatively little differentiation that

perfectly acceptable to the majority of customers. By lowering the cost and

still maintain a competitive quality it can bring in more profit to company. It

can be also use for a competitive advantage. Nissan is a perfect example,

producing products that have a high quality with a cheaper price. Polishing

every detail, Nissan assures its consumer that their products are worth it to

buy.

- Design – effective product strategy requires selecting, designing, and

defining a product and the operations manager must build a product develop

system that has the ability to conceive. Nissan operates other UK sites and

this one’s main focus is on design; Nissan Design Europe (NDE) supports

design teams responsible for aspects such as color and trim design, digital

design, modeling, design strategy, and communications.

- Just-in-time management (JIT) – a management system wherein the

material or the product are produced and acquired just a few hours before

they are put to use. The success of JIT depends on how the company

manages their suppliers. Nissan motor has JIT system where they produced

specific vehicles and other components right just in time, to meet the

demands for them.

2. Research on Nissan’s vision and mission. How did they incorporate these in the

company?

- Nissan’s vision: Enriching people’s lives, building trust with our employees,

customer dealers, partners, shareholders, and the world at large.

- Nissan’s mission: To provide unique and innovative automotive products and

services that deliver superior measurable values to all stakeholders in alliance

with Renault.

3. What are the core values that can be seen in Nissan’s total quality management?

Use examples to defend your answers.

- Safety Technologies – Nissan aims to have the number of fatal and serious

injuries from accident. The vehicle activates various barriers according to

circumstances, from normal driving to post accident, to provide continuous

support against dangerous situation.

- Education – educating and training their employees.

- Consistency – TQM making customers satisfaction top priority.

Given this goal, everything the organization and its people do is focused on

creating high quality.

4. Describe how Nissan used just in time management to ensure quality in its

products.

- Nissan used just in time management to ensure the quality in its products by

aiming to primarily lessen flow times within production as well as the response

times from the suppliers, and to customers by initially gathering assembled parts

before they come up to the production. Vehicles that have been taken by
 customers including its ingredients are produced just-in-time the particular

vehicle is being demanded. Furthermore, other components such as rear-view

mirrors, head-lights, radiator supports, bumpers, fenders, doors, hoods, step

bumpers and other internal car device can be established with the least amount

of money and minimum amount of development or work-in-progress.

5. Based on the case, how does Nissan define quality?

- For team building, Nissan aims to be recognized by customers as a brand with

top-level quality. Nissan listens to customers and reflects their feedback in every

process throughout the company in its pursuit of customer satisfaction. Quality is

a means of displaying how successfully Nissan interacts with its customers and

exceeds customer expectations as well as bringing out the best in both people

and machines.