HR Restructuring at Nissan
Human Resource, Organization Behavior Case Studies
This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.
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Ghosn set a timetable for Nissan within which the company had to recover from its losses. Otherwise, Ghosn said, he would resign. This created a sense of urgency both in him and in everyone else around and helped Nissan to achieve what had earlier been considered impossible...
Ghosn's efforts not only resulted in increased sales growth (Refer Exhibit 3), asset streamlining, and cost-cutting, but they also helped Nissan achieve an increase in market share from 4.6% globally in 1999 to 5.3% in 2003. Nissan also maintained its second position in the domestic market (Refer Exhibit 4)...
Revival Plan Vs Union
Ghosn was not only known as the Cost Killer. He also earned the less than flattering nickname of Employee Killer for the numerous job cuts he did. Approximately 21,500 workers lost their jobs - 4,000 in the production department, 6,000 in sales management, and 6,500 in sales outlets across the country, while 5,000 workers were relocated due to the sale of some businesses...
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