Nissan Case Study
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Institution of Affiliation
Nissan Case Study
Theories and Techniques
Toyota Company is the founder of the concept of lean. The main aim of the lean concept is to minimize wastes by maintaining a smooth flow of production, producing only what the customer needs at the moment and improving perfection through quality. Just in time strategy is automation in production which reduces the chances faults in the production of car parts and stops the system. This prevents the wastage in downstream as the downstream will not receive faulty parts which will increase more wastage in the company. The Toyota production system also is a system that ensures coordination of activities of all systems to improve efficiency
Just in time
a) Advantages of Just in time
One of the common advantages of just in time as presented in the case study is a reduction of wastage downstream by disallowing raw materials from being pushed down the system. The theory also reduced the stockpiling by limiting production only to those wanted by the customer. This reduced wastage (Schmidt, and Simchi-Levi, 2013).
b) Disadvantage of Justine in time
Since the concept relies on production as per demand, there are no spare parts in store in case there is a need.
Toyota Production System
One of the advantages is that the system helps in identification of the problems that otherwise could not have been identified by a large system buffer. The system also ensures that activities of different departments are done in a coordinated manner (Schmidt, and Simchi-Levi, 2013).
One of the most common disadvantages associated with this system is that it disturbances communications which may lead to a disturbance in downstream
The first advantage is that lean concept relies on customers’ feedback and this improves customer relationship. The second advantage is that it reduces wastage downstream by reduction of piling which is beneficial to the organization.
It is tied to missed deliveries in the supply chain management
Application of the Concept of Triple Bottom Line
Coined in 1994 by Elkington, triple bottom line concept is gaining acceptance in many organizations in terms of measuring the sustainability of doing business. It involves the use of 3ps namely people, profits, and the planet. People, in this case, refer to a socially acceptable way of doing business by paying back to the community. The Toyota Company can use this element by organizing activities such as health outreaches post-disaster or pre-disaster as a means of paying back to the society. In addition to that, employing a certain portion of people in from the surrounding community will help in empowering the community. The planet, in this case, refers to environmental sensibility any corporate that is doing business. There is always an environmental cost hence the Toyota Company needs to invest in the management of disasters such as earthquakes. It can also participate in other environmental protection activities such as tree planting. The last p stands for profits. The importance of doing business is to minimize losses while maximizing profits. The company should invest more in brands that fetch more money in order to maximize profits.
Integration of ISO 14000
The company has integrated ISO 1400 by the introduction of Nissan Green production which aims at reduction of carbon production to the atmosphere (Nissan Motor Corporation, 2016). This will reduce environmental destruction.
Corporate social responsibility
The company maintains in corporate social responsibility by the provision of emergency aid during the time of disasters such as earthquakes. They also protect employees by alerting them in case of an emergency and do recovery activities to prevent disaster from increasing its destruction. Of all this, provision of emergency aid to disaster victims during emergencies is the most effective as it serves a wider scope unlike work related mitigation measures
Nissan Motor Corporation (2016) Environmental Management. Environmental activities. retrieved from http://www.nissan-global.com/EN/ENVIRONMENT/APPROACH/MANAGEMENT/
Schmidt, W.Simchi-Levi, D. (2013) Nissan Motor Company Ltd.: Building Operational Resiliency. MIT Loan Management, Francisca, California, USA.
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