Renault-Nissan-Mitsubishi Alliance Introduces Updated Cooperation Model

Renault-Nissan-Mitsubishi Alliance Introduces Updated Cooperation Model

May 27, 2020 0 By autotimesnews

Today, members of the Renault-Nissan-Mitsubishi Alliance have announced a number of initiatives within the framework of a new model of business cooperation designed to increase the competitiveness and profitability of the three partners.

Participating companies plan to develop existing synergies, including in the field of joint procurement, using their leadership positions and geographical advantages to support the business development of partners.

    “The Alliance is a strategic and operational alliance, unique to the automotive world, that gives us significant advantages against the background of constant changes in our industry,” the press service of Renault quotes Jean-Dominic Senard, Chairman of the Operations Council of the Alliance and Renault. – The new business model will allow the Alliance to use the available assets and capabilities of each company as efficiently as possible, based on their internal culture and traditions. Three members of the Alliance will develop in all automotive segments and related technologies, in all regions, for the benefit of each client, and will continue to increase their competitiveness, sustainable profitability and the level of social and environmental responsibility. ”

The leadership of the three companies approved the principles of the “standard-analogue” strategy in the field of car development, which provides for the joint solution of the following tasks: further development of the Alliance standardization strategy, starting from platforms and ending with bodies; concentration of efforts on one “parent” (reference) car and analogous cars in each product segment, which are developed by the leading company with the support of successive teams; the most competitive production of a reference car and analogues for each brand, including, if necessary, the integration of production; continued product sharing in the light commercial vehicle segment, where the reference-analogue scheme is already in use.

It is expected that thanks to the “standard-analogue” strategy, investments in the development of new car models that are fully implemented according to this scheme will be able to be reduced by almost 40%. These benefits complement existing synergies.

The Alliance also approved the use of the designation “reference region” for individual parts of the world. Each company will focus on its key regions and become one of the leaders in competitiveness, as well as a role model for other partners.

    Under this system, Nissan becomes a leader in such “reference regions” as China, North America and Japan, Renault – in Europe, South America and North Africa, Mitsubishi Motors – in ASEAN and Oceania.

The presence of a reference company in each region will help increase the volume of shared use, maximize the separation of fixed costs between partners and effectively use the assets of each participant.

Updating the product lines of the Alliance members will take place within the framework of the “standard-analog” strategy, and the production of the standard car and analogues will be organized in the most competitive way.

Regarding the efficiency of technological development, the Alliance partners will continue to use the existing assets and jointly invest in new platforms, power plants and technologies. This sharing has already proven its worth in developing power plants and platforms and has helped to successfully launch the CMF-B platform for Renault Clio and Nissan Juke, as well as the key car platform for Nissan Dayz and Mitsubishi eK Wagon. In the near future, CMF-C / D and CMF-EV are expected to appear.