Nissan Africa, Middle East and India (AMI) today unveiled a comprehensive four-year strategy for the region under the company’s Global Transformation Plan. The AMI business plan aligns with the global direction of rationalization, prioritization and focus to bring core models and technologies to a region that accounts for around 10% of the world automotive market.
The company will build on Nissan’s existing strengths in the region including continued growth in key markets and strong brand presence, maximising synergies with Alliance partners and leveraging an expansive and competitive manufacturing presence in South Africa, Egypt, India and Nigeria.
AMI will follow the global transformation strategy, announced last month by Chief Executive Officer, Makoto Uchida, which aims to achieve sustainable growth, financial stability and profitability by the end of fiscal-year 2023. In line with Nissan’s global plan, the AMI strategy is developed around two strategic areas of ‘rationalization’ and ‘prioritization and focus’:-
1) Rationalize: actions to improve regional cost and efficiency:-
Optimise the regional product portfolio by 20%
Further increase the cost competitiveness of local plants
Seek and enhance export opportunities from AMI plants
Leverage additional opportunities to reduce Fixed Cost
2) Prioritize & Focus: actions to build on key strengths in products, markets and technology:-
Product:
Introduce 8 new models
By market, focus on core models and segments to channel investment to most profitable products
Regional priority on Sports Utility Vehicles (SUV) and affordable sedan models (B-sedan segment)
Market:
Continue building on existing strengths in key markets including GCC, Saudi Arabia and Egypt
Fully realize the opportunity of Africa and Turkey as high potential markets
Launch local models including Navara in South Africa and B-SUV in India
Technology:
Phased regional deployment of Nissan Intelligent Mobility including e-POWER, EV and Connected technologies
Increase Digitalization and enhancement of the Customer Experience
AMI will leverage the new Alliance global cooperation model in which all partners (Groupe Renault, Nissan Motor Co., Ltd. and Mitsubishi Motors Corporation) will deepen synergies to support the competitiveness and profitability of member companies.
In AMI, the Alliance ‘leader-follower’ approach will enhance efficiency and competitiveness in products and technologies including common platforms and advanced technology, while there will be additional benefits through shared procured services including IS/IT and distribution.
The global ‘reference region’ scheme will also apply, with Alliance partners focusing on core regions to act as a reference for the other members. In AMI, Nissan will be the reference in the Middle East, South Africa and Egypt; Renault in Turkey and North Africa (excluding Egypt); with joint status in India.
