Nissan1

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Keiser University, Orlando *

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ECONOMIC H

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Management

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Feb 20, 2024

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doc

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Uploaded by sandravargas13

1 Nissan Motor Company Sandra Vargas Southern New Hampshire University

2 Nissan Motor Company Table 1: Favorable Location of the Plant (assignment table) Scores (Out of 100) Weighted Scores Factor Weight Mexico City Columbia, SC Mexico City Columbia, SC Political Risk 0.25 70 80 17.50 20.00 Transportation Costs 0.20 40 90 8.00 18.00 Labor Productivity 0.20 85 75 17.00 15.00 Rental Costs 0.15 90 55 13.50 8.25 Labor Costs 0.10 80 50 8.00 5.00 Taxes 0.10 90 50 9.00 5.00 Totals 1.00 73.00 71.25 Considering factor-rating methodology, key success factors were listed. Every factor was given a weight according to the importance of the firm's objectives. From the table above, factors are rated from highest to least important, from political risk to taxes. (Heizer et al., 2017). From the results, Mexico City is preferred to Columbia, SC, due to its highest score. B. Hypothetical process map

3 Customer Sales Plant A Plant B Warehouse Transport 9 days 2 days 3 days 1 day 1 day 5 days Order for 15 optimas Process Order Casting Welding Assembly Coating Wait Coating Wait Inspection Shipped 21 days (Heizer et al., 2017) The hypothetical map above is used to analyze the timeline for Nissan's optimal order. The map helps the operations manager understand every step and know the issues that need improvement to eradicate delay and maximize value to the clients (Nissan Motor Company, 2018). Cause and Effect Diagram Inventory Method Order of materials Fill order Train Stock Materials Supply chain failure Air Review of the order Check stock

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4 Effort Pull materials Manpower Equipment The cause-and-effect diagram above shows the provision of materials to Nissan Motor Company. The diagram shows where the errors could occur within the supply chain because the supplier does not meet Nissan's needs. For instance, if there is an unavailability of the materials, the process may not be finalized. Theories and Techniques A. Steps The process begins with the identification of the constraint. Here, the manufacturing process is studied to recognize the constraint. Then the second step entails exploitation of the constraint, subordinate, and synchronization of the constraint. Finally, there is an evaluation of the constraint performance and repetition of the process. (Heizer et al., 2017). Nissan Motor Company utilizes this process for addressing the restrictions on the production materials and enhance employees' output. B. TQM These principles and tools may enhance the Nissan Motor Company's quality by employing a cause and effects diagram and hypothetical processes map to come up with concepts, collate and analyze data, and recognize the problems. For instance, the tools can be employed to reduce the time for completion of the production order.

5 References Heizer, J., Render, B., & Munson, C. (2017). Operations management: Sustainability and supply chain management. (12th ed.). Boston, MA: Pearson Education. Nissan Motor Company. (2018). Business overview. Nissan Global. Retrieved from: https://www.nissan-global.com/EN/COMPANY/PROFILE/ ( Accessed: 21 st July 2021).

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