Major carmaker on ‘brink of collapse’ announces huge shake-up to management with changes coming into force in weeks
A HUGE car brand battling plummeting international sales has announced a massive management restructure.
The changes are expected to be enforced in a matter of weeks as part of a desperate bid to save the iconic manufacturer.
Japanese firm Nissan is currently facing a make-or-break 12 months and could reportedly go under without drastic action.
The brand has a factory in Sunderland, as well as a technical centre in Bedfordshire and a design studio in London.
Nissan has seen tumbling sales in the US and China, as well as struggling with amounting pressures to increase the number of electric vehicles they sell – with the threat of hefty fines should it fail.
In a recent development, bosses announced that Nissan’s management team will transition to a single-layer, non-officer framework, which means a 20 percent reduction in top positions.
According to Nissan’s website, all corporate officers will be given the title of Corporate Executive.
A spokesperson says the move will create a “streamlined and borderless organisation”.
“This is also part of Nissan’s commitment to improving decision-making efficiency by simplifying organizational layers and expanding the span of control,” they added.
“These changes are designed to empower regions and establish clear roles and responsibilities within the organization.”
The changes will be implemented from April 1.
Former chief operating officer Dr Andy Palmer has since called the Japanese car giant’s shaky future “extraordinary” after it was the first to launch a mass-market EV.
Dr Palmer also commented on the suggestion that the company was considering cutting ties with the UK – branding the idea “mad”.
He called on the industry to use its lobbying powers to request grants from government.
Referring to its development of the first mass-market EV, he called the company “intellectual” but warned its biggest failings were its short-sightedness.
He told Car Dealer magazine: “It largely invented the mass-production EV but it’s ceded that to everybody else.
“So in many respects, what you find, is that Nissan is an intellectual company which is very good at developing stuff, but generally speaking is impatient and not committed to the long term.”
Nissan was dealt a blow recently after its merger with Honda fell through.
The two brands were hopeful that their partnership and shared plants would create EVs to rival Tesla.
But the talks grew complicated by growing differences on both sides, and soon “died a death”.
Earlier this month, Nissa also saw its shares plummet forcing it to plead for Elon Musk to come to the rescue.
Shares of Nissan Motor dropped by as much as 10 per cent, according to Bloomberg, leaving the manufacturing giant in the lurch.
It started to struggle after “not keeping up with the times” in terms of the soaring popularity of hybrid electric vehicles.
The Sun has approached Nissan’s representatives for comment.