Nissan Case Study
Southern New Hampshire University
July 12, 2017 Generating Value
In Operations Management, there are two main categories that resonate with the specific management of the company Nissan, one of the largest car makers in the world, these categories are: service operations and manufacturing operations. Nissan harnesses the outcomes of optimization of such operations by offering, for example, better prices to the end consumer, making sure that the supply of units won’t be interrupted by national or global irregularities, including natural disasters and economic crises. Another example is the possibility to address the international markets and global supply management …show more content…
One can include in the manufacturing operations: setting of the workplace, efficient processes design, proper and timely acquisition of raw materials, supplies and also the number of trained human resources. Equipment maintenance is also a function of manufacturing. In the case of Nissan, the coordination of the delivery systems of supply through the interchange of the processes in the different parts of the world is an important function of manufacturing operations. They provide value to the customer in the sense that Nissan will be able to keep the prices down regardless of global economic uncertainty. The brand is perceived as more …show more content…
Under the framework that is shared by both, is the division of a project in sets of activities, all of them happening after the predecessors are completed. The main difference between CPM and PERT is the nature of the time required to complete each activity. CPM considers that the time for an activity is fixed; it is discrete and doesn’t change between the planning and the actual happening on the activity.
On the other hand, PERT considers the duration of the activities as open to probabilities, and consequently, the time of duration cannot be explicitly calculated and only estimated times can be proposed. Both approaches have advantages and disadvantages and therefore they should be used according to the nature and the needs of the project. Nissan benefits from the CPM during periods of stability, globally or locally. In contrast to the Toyota Production System, this removes the inventory to have a leaner production and supply, Nissan benefits from keeping units in the different markets across the world, reducing the possible negative outcomes of problems with the supply systems, for example (Jüttner,