The paper "Use of Teams and Decision Making in Nissan" is a perfect example of a management case study. The effective development of organizations depends largely on the management practices employed by the leadership of the firms. Since the Nissan Revival Program in 1999, the company has continued to effectively use tram work and improved decision making, thus scaling it higher in the global car manufacturers’ ladder. Additionally, the use of teams in Nissan has helped in the motivation of the employees thus increasing their output. The use of teams in Nissan dates back to 1999 when cross-functional teams (CFTs) were created under the leadership of the then CEO Carlos Ghosn with the aim of reviving the company.
At the time, the company was making any losses that threatened its existence. Following the revival plan, the management of the company formed a total of nine cross-functional teams, each comprising ten members, with the aim of bringing together people with different business backgrounds within the company. Today, the number of cross-functional teams in Nissan has increased to fourteen. These encourage the employees to work together to achieve the mission and vision of the organization despite their differences (Barmeyer and Franklin, 2016, p.
122-135). The cross-functional teams found within Nissan currently include; business development team mandated with product planning, engineering, manufacturing, sales and marketing, the purchasing team that performs functions such as purchases, engineering, and manufacturing, the manufacturing, and logistics team with the role of manufacturing, product planning, logistics, and human resources management, the research and development team which performs such functions as purchasing, engineering and designing as well as the sales and marketing team with the main aim of advertising the company’ s products to the market. Apart from the cross-functional teams, Nissan has also developed sub-teams that help the cross-functional teams in achieving their goals.
The formation of the sub-teams stems from the realization that the composition of the CFTs is not enough to address all the issues within the teams. Consequently, each CFT forms various sub-teams to help in addressing the issues that affect the broader team. Since the incorporation of teamwork in the management of Nissan in 1999 following its alliance with Renault and under the leadership of Carlos Ghosn, Nissan has achieved high levels of organization development.
One of the benefits accrued by Nissan following the use of teams after the change is increased profitability. Bringing together people with diverse business and cultural backgrounds ensures that new ideas are invented as the teams strive to meet their objectives. In the case of Nissan for instance, the working together of the employees in CFTs ensured that the teams achieved their objectives in time, thus increasing the profits of the company even after the revival. Another advantage of the use of teams in Nissan after the change is the increased motivation of the employees.
When the company was facing financial problems, the employees were demotivated and chose to sink with the company. However, following the revival plan and the formation of various teams within the company, the employees felt motivated and became more productive. Today, the employees are capable of using the resources of the company in their various groups to achieve the set objectives and the mission of the company in the long-run. This way, the employees feel appreciated and increase their productivity.
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