Nissan's supplier struggle with continuous improvement [automobile industry

Abstract

Nissan Motor Manufacturing UK must be among the best in the world. But a three-year study by a Nissan insider, based on surveys and interviews among Nissan's 265 suppliers, reveals that the Nissan supply base is full of companies who underestimate both their competitors and their employees. They are over-reliant on continuous improvement (CI) tools and methodologies that they do not fully understand. Moreover, they have little idea what CI means either in practical terms or in terms of management commitment. Eight CI myths derived from the study are: the idea that employee attitudes are the biggest barrier to CI success; lean suppliers must make large investment in CI tools and methodologies; CI tools will solve all of a company's problems; consultants know which tools are right for a business; CI is all about becoming leaner, and this means downsizing and reducing the headcount; CI is only about cost reduction; CI does not deliver quick improvements; and that CI is going to cost the company. The article sheds light on these myths.