Redesigning Nissan (A): Carlos Ghosn Takes Charge

Name: Redesigning Nissan (A): Carlos Ghosn Takes Charge (English version)
SKU: IN-S728

Jean-Francois Manzoni; Jean-Louis Barsoux; Kathryn Hughes

Product #:IN-S728

Supplier:INSEAD

Discipline:General Management

Details:Case (PDF) • 12 pages • 2003-01-02

Subjects:

Change management Leadership Product development Purchasing Strategic alliances Turnarounds

Industries:

Transportation and distribution

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This is the first of a two-case series. When Renault sent Carlos Ghosn to turnaround its alliance partner Nissan, observers were skeptical of his chances. After soliciting recommendations from the employees, he unveiled a three-year plan involving plant closures, job cuts, and a refocus on design. Within two years, the company had achieved a dramatic recovery, posting record profits and proposing a dazzling array of new models. Note that there are two versions of the case: 'Redesigning Nissan (A) & (B)' covers the dynamics of taking charge (case A) and the process of leading change (case B). There is also a combined and condensed version of the cases: 'Nissan's U-Turn: 1999-2001', for instructors wishing to cover the material in a single session.

Learning Objectives

The cases raise a number of themes to do with how an incoming leader establishes credibility, builds a case for painful change, gathers support, provides constant and consistent communication, sells growth as well as cuts, enforces accountability, measures progress, and sustains momentum for change.