Subject category:
Strategy and General Management
Published by:
IBS Case Development Center
Length: 15 pages
Data source: Published sources
Abstract
In April 2005, Carlos Ghosn, the ''turnaround artist'' behind the much acclaimed restructuring at Nissan, would lead two companies. Louis Schweitzer, Chief Executive Officer CEO of Renault, announced in 2002 that Carlos Ghosn would succeed him as CEO of Renault, while continuing as CEO of Nissan. While at Nissan, with his cost-cutting ventures and bold ''unJapanese'' ways of management, he was regarded as the most charismatic leader in the company as well as among the Japanese business community. With his unconventional ideas and attention for urgency, he managed to bring radical changes in the company''s operations. As the industry observers eagerly awaited the management change, the pressure was perceived to be high on Carlos Ghosn. Brazilian by birth, Ghosn has to deal with Japanese culture at Nissan as well as French etiquettes at Renault, while achieving synergies with their partnerships. At the same time, the challenges for the two automakers were equally high with the global automobile industry in a downturn and product and market expansions underway at both the companies. The case details the leadership style of Carlos Ghosn at Nissan, highlighting how he dealt with the cultural differences he faced at the company and implemented stringent cost-cutting to recover from debt and losses. In the age of globalisation, and increasing corporate scandals, Carlos Ghosn epitomizes the qualities required to be a successful leader with cultural adaptability and transparency constituting the core of his leadership style. A structured assignment ''305-044-1'' is available to accompany this case.
About
Abstract
In April 2005, Carlos Ghosn, the ''turnaround artist'' behind the much acclaimed restructuring at Nissan, would lead two companies. Louis Schweitzer, Chief Executive Officer CEO of Renault, announced in 2002 that Carlos Ghosn would succeed him as CEO of Renault, while continuing as CEO of Nissan. While at Nissan, with his cost-cutting ventures and bold ''unJapanese'' ways of management, he was regarded as the most charismatic leader in the company as well as among the Japanese business community. With his unconventional ideas and attention for urgency, he managed to bring radical changes in the company''s operations. As the industry observers eagerly awaited the management change, the pressure was perceived to be high on Carlos Ghosn. Brazilian by birth, Ghosn has to deal with Japanese culture at Nissan as well as French etiquettes at Renault, while achieving synergies with their partnerships. At the same time, the challenges for the two automakers were equally high with the global automobile industry in a downturn and product and market expansions underway at both the companies. The case details the leadership style of Carlos Ghosn at Nissan, highlighting how he dealt with the cultural differences he faced at the company and implemented stringent cost-cutting to recover from debt and losses. In the age of globalisation, and increasing corporate scandals, Carlos Ghosn epitomizes the qualities required to be a successful leader with cultural adaptability and transparency constituting the core of his leadership style. A structured assignment ''305-044-1'' is available to accompany this case.