Nissan: Engineering innovations viewed as key to market share gains

Jan. 1, 2020
Enthusiastic executives at Japan’s Nissan believe they are sounding the right note with the summer’s world premiere of its new Note, billed as a “global compact car.”
Enthusiastic executives at Japan’s Nissan believe they are sounding the right note with the summer’s world premiere of its new Note, billed as a “global compact car.”

Production will begin this fall in Japan. Nissan’s Sunderland plant in the U.K. will assemble the European models, planned for release in 2013.

“With a goal of becoming the most user-friendly car in its segment. Here you’ve got downsized technology, a lightweight car, great aerodynamics and great fuel economy without the premium price of a hybrid. This is one of the vehicles that we call a ‘global growth model’,” says Executive Vice President Andy Palmer.

Variances will be implemented based on identified preferences in each region. “There’s always going to be differences per market. It would be an extremely arrogant product planner that could tell you that there could be one car globally,” Palmer asserts.

“Our brand positioning statement includes ‘for everyone.’ So, clearly we are listening to the customers in each of our main markets and we’re adapting the vehicle to their needs. Now, from a design perspective, the vehicle doesn’t change significantly from market to market, but you will see differences,” he reports.

“For example, in the type of engines that we use and some features of the design which will be a little bit different from market to market – tuned to the customer needs, tuned to the customer taste – but basically execution of the best compact car that Nissan can bring to the market. It’s one of our 10 key products for the future,” according to Palmer.

“Clearly, these volume cars define the brand to most people. These really define on a day-by-day basis what the brand really stands for: innovation, excitement and, in this case, very much for everyone,” he says. “This is a very affordable motorcar, but on the other hand it represents the best of Nissan monozukuri.” (Monozukuri is defined as the processes and craftsmanship that go into making quality products.)

Power 88 upgrades
Building on a record-setting 2011 worldwide sales increase of 15 percent, amounting to an operating profit of $6.9 billion with major production gains in the U.S., Mexico, the U.K., Spain and China, under the company’s Power 88 program, upgrades are being made to its dealership network along with the introduction of 10 new models this year.

Among future releases in progress is the return of the Datsun nameplate, which marked Nissan’s debut into the American market in 1959; it was phased out in 1986.

Established in 1933, Nissan has had car connections with the U.S. ever since one of the founders visited Detroit in 1908. An American manufacturing expert, William R. Gorham, went on to become the company’s longtime chief engineer, transplanting Motown’s machinery and vehicle design elements to steer Japan’s then-fledging pre-war civilian and military automotive demands.

Currently a successful restructuring of the Tokyo area’s dealership network last year is being replicated internationally.

“The growth is going to be the greatest in the emerging markets,” says CEO Carlos Ghosn. “This is where we are going to add a lot of locations. In fact, this is going to be a record year in terms of adding locations with more than 700 planned this year,” he adds.

“We are going to have to pay a lot of attention – not only to find the appropriate location – so ‘geo-marketing’ is going to be very important,” according to Ghosn. “This is going to have to be the object of a lot of studies, analysis and ‘pay careful attention’ because it is a big investment.”

“There are skilled dealers and less skilled dealers,” explains Executive Vice President Takao Katagiri. “In order to reach a more global level, we identify which countries and dealers are strong, as it’s always a case of evaluating the variation. We provide direct support to the less skilled dealers. There are many levels of this that we address globally to raise the bar.”

In June, the New Jersey Service Training Center in Somerset was inaugurated to provide the augmented educational offerings to technicians in the Northeast, along with other enhancements.

“Both Nissan and Infiniti continue to bring forward exciting new products to the market, and our consistent focus on ensuring a quality ownership experience to our customers will be strengthened by this new facility,” notes training director Mario Polit.

“This new state-of-the-art facility will support the launch of five new vehicles in the U.S. over the next several months in addition to ongoing core curriculum requirements,” he says. “Technical training is part of the foundation of Nissan’s ongoing effort to improve customer satisfaction.”

Covering more than 31,000 square feet, the center includes five classrooms for technical training, a 28-bay workshop with 14 vehicle lifts, two bays dedicated to alignment and wheel service, a component repair room for engine and transmission training and a large classroom for a variety of technical, sales and fixed-operations classes.

The New Jersey site is one of 11 Nissan and Infiniti training centers in the U.S., supporting 230-plus dealerships and more than 1,800 technicians. New technical centers are also scheduled to open later this year in Washington, D.C. and Chicago.

Rising sales
June’s record sales of 92,237 vehicles marked an average increase of 28.2 percent over 2011’s tally. Nissan rose 24.6 percent as the Infiniti division posted a 66.1 percent gain.

The company has embarked upon a series of auto communications initiatives and collaborations with noted industry innovators such as Google, Pandora Radio and Intel. Nissan is “determined to introduce class-leading connected content and services to drivers and passengers around the world in a way that does not distract the driver,” according to Ghosn, the CEO.

“It’s clear that consumers expect to be connected wherever they are, and that includes the time spent in their automobiles,” he says. “To meet those needs, Nissan is developing a series of innovative breakthroughs in communication devices that will be safe to use while driving.”

Ghosn points out that “20 years ago, the radio was the only connection to the outside world available in a car. Today, we take it for granted that we can communicate by mobile phone using Bluetooth technology, check traffic conditions and receive navigation guidance while driving. By 2020, aided by wireless and cloud-based technologies, Nissan will offer our customers enhanced safety and a wide variety of new conveniences like accident-avoiding driving intervention technologies, electric vehicle charging reservations or a music player that adapts to the listener’s moods.”

During June’s National Tire Safety Week, Nissan unveiled plans to make its “Easy-Fill Tire Alert” system available on all of its vehicles beginning in 2013. It currently comes standard on the 2013 Altima, 2012 Leaf and 2012 Quest.

First, the TPMS (Tire Pressure Monitoring System) alerts the driver to a low tire, and on some models it indicates the current pressure and the tire that requires attention on the dashboard display. At that point, you should immediately stop at the nearest gas station to fill the tire. Once the air begins flowing, the vehicle’s four-way flashers come on to confirm that the process has started. When the tire hits the appropriate pressure level, the horn chirps to let the driver know that the tire has been properly inflated. If the driver continues to fill the tire with air, the horn honks more aggressively and the tire deflates to the correct operating level.

“Nissan’s ‘Easy-Fill Tire Alert’ system is straight forward and eliminates the need to keep a tire gauge in your vehicle’s glove compartment,” says Pierre Loing, vice president of product planning. “By making this unique Nissan innovation available on all our future products, the guessing and the gauge vanish for our customers.”

For more information, visit www.nissan-global.com/EN/.

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