Nissan may sell its HQ to save funds
Amid a series of cost-cutting efforts (outlined here) in its fight for survival, Nissan may sell off its global headquarters.
Following a massive loss reported for the last financial year the struggling Japanese automaker may sell off its Yokohama base. Located in the Minato-Mirai 21 district, the building is estimated to be worth over 100 billion yen ($NZ1.2b).
Now Nikkei Asia reports the building appears on a list of assets Nissan intends to sell before the end of the financial year. The company's newly appointed CEO, Ivan Espinosa, has announced upcoming asset sales. However, he has not yet specifically mentioned Nissan HQ.
If it does sell, it may lease the building instead. McLaren did a similar thing a few years ago. Some of Sunderland's spare capacity might be used by Chinese partner, Dongfeng.
Nissan is embarking on a major cost-cutting scheme. It will likely close up to seven factories, including two domestic sites. The workforce will significantly downsize, with 20,000 jobs going in the coming years.
Espinosa said that former management mishandled things by opting to go large in 2015. Nissan started building more plant and was aiming for sales of eight million units eventually. Now it is selling under half that annually.
Nissan is also halting the development of certain models to cut costs. Six vehicle platforms will go, leaving just seven in the line-up. The company is also busy unifying more products and in doing so will reduce parts complexity by 70 percent. Nissan is also trying to determine how to survive on its own after a recent failed merger with Honda. Around 3000 R&D staff are now working on cost cutting initiatives. New Euro-only Micra is based heavily on Renault 5.
Badge-engineered cars like the Micra/Renault 5 will help bring new models to market at a reduced cost. Nissan will also strengthen its partnership with Mitsubishi to accelerate the development of new products.
It might even allow its Chinese partner, Dongfeng, to build cars at some of its underused factories, like Sunderland.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Scoop
7 hours ago
- Scoop
Trump Tariffs Critique Sparks Councillor To Jump To US President's Defence
If Donald Trump ever found himself on the West Coast, he could count on at least one fan to roll out the regional council welcome mat. Goldmining councillor Allan Birchfield sprang to the defence of the US President at this month's corporate services meeting, after the council's treasury advisor critiqued Trump's tariff policies and their chaotic impact on financial markets. Bancorp corporate manager Miles O'Connor was presenting the firm's quarterly report on the West Coast Regional Council's (WCRC) $14 million investment fund, and the global trends likely to affect interest rates - all backed up with graphs, facts and figures. The US was moving away from acting in the world's interest towards an America-centric approach, he noted. Traditionally 60 percent of the world's capital had gone to the US because it was seen as a safe haven in uncertain times, O'Connor said. But the volatility in the equity and bond markets that followed Trump's 'Liberation Day' tariffs had not been seen since the stock market crash of 1987, and had caused a flight of capital out of the US and into European, Asian, and Japanese markets. Predicting profits and interest rates had become so difficult that some banks and major companies had given up forecasting completely, O'Connor said. The US president had also challenged the independence of the Federal Reserve by calling on its governor to cut interest rates. "Now that's just not done normally by political leaders. You don't see our Reserve Bank being told by the Prime Minister you must drop rates. "It's inherent in monetary policy that the central bank is independent of political influence." Trump had since reduced the 145 percent on Chinese goods to 30 percent, and the markets had settled down somewhat, but some tariffs would be permanent and New Zealand exports would be affected, O'Connor said. A recent Federal Reserve survey showed the tariffs were not working as hoped in the US domestic market: businesses were passing on price hikes to customers which was inflationary and hardly any overseas companies were relocating to the US. "My view is (Trump) probably won't go back to what he was doing; he probably didn't expect the reaction he got." Two Trump policies that did make sense were US defence spending and ending "unfettered" immigration, O'Connor said. "I'm not totally opposed to what he (Trump) does - some of the other policies I am slightly dubious about." Councillor Birchfield, whose goldmine office sports a large photo of Trump, seized his opening. "I'm pleased you're starting to give Donald a bit of credit - you go on with the usual rhetoric, anti-Donald Trump. "You say the US only does stuff in its own interest - you need to think about the US Navy - it guarantees freedom of trade - even for China [and] it's a huge cost on the US taxpayer." The US had recently "sorted out" the (Yemen rebel group) Houthis who had been disrupting world trade, Birchfield said. "Nobody else is gonna do that so you do need to start recognising the value of the US. And I see you saying it could impact New Zealand exports. "You don't really know. Lift your game," Birchfield instructed the Bancorp manager. O'Connor agreed the US did protect world trade. "But [the tariffs] are having an effect on our exports - we know that from some of our clients who've had orders cancelled." Birchfield continued, saying Trump had a huge problem of debt and a trade imbalance with China. "There's gonna be a bit of a shake down but at the end of the day he had to sort that out." O'Connor said the reason for the trade imbalance was that the US just could not match China's manufacturing capabilities. Council chairperson Peter Haddock put an end to the exchange, saying "We've had a shot across the bows by the US". "We have to recognise the volatility in the world... the best we can get out of it is lower interest rates." O'Connor said the official cash rate was likely to drop to three percent this year or possibly lower by November. The council had longer term cover in place for its investments and would not need to make any changes until next year, he said.
Scoop
14 hours ago
- Scoop
SYSPRO Research Reveals That Manufacturers Are Eager To Adopt Smart Technologies, But Face Deployment Challenges
Data shows that skilled labour shortages remain a top concern for manufacturers SYSPRO, a leading global ERP software provider for the manufacturing and distribution industries, today released consolidated results from several surveys that show manufacturers are eager to adopt new technologies such as AI, automation and IIOT. The new research includes: a poll of 128 manufacturers conducted at its 2024 SPARK Customer Roadshow, responses from an October 2024 Trends Webinar Survey, and over 360 data points from interviews with manufacturing leaders conducted in collaboration with Frost & Sullivan, 20% of whom were from Asia Pacific. Major findings from the three research surveys include: Complex manufacturing companies are beginning to embrace smart technologies A significant number of manufacturers are overcoming barriers of high upfront costs and internal resistance to change, to adopt technologies such as automation and robotics (37%), AI and machine learning (19%) and industrial internet of things (IIOT) (18%) technologies. Looking ahead to 2025, AI and automation (40%) lead in their digital transformation priorities, followed by enhancing digital integration and real-time insights (29%) and managing costs while adopting new technologies (24%). China leads in the adoption of smart manufacturing technologies While U.S. manufacturers are beginning to adopt smart manufacturing technologies, they have ground to make up with their Chinese competitors, who lead the way in adoption. Just under half (45%) of Chinese manufacturers have already adopted these emerging technologies. Most manufacturers have plans for AI 40% of respondents said that implementing AI and automation was their first priority when it comes to digital transformation, and 80% are either devoting resources to AI implementation or are making near-term plans to do so. 12% have already deployed AI (differentiated from machine learning) or are actively in the process of doing so, while almost six in 10 (57%) are actively researching use cases, and another 11% plan to deploy AI within the next 12 months. Manufacturers face significant technical hurdles that impede the adoption of new technologies Almost one in three (30%) say they have difficulty integrating new technology, while 15% say outdated systems are creating inefficiencies, and another 15% suffer from limited scalability to meet future needs. Manufacturers face difficulty providing real-time data and analytics Another significant challenge manufacturing leaders face is the inability to obtain real-time data so they can make quick, data-driven decisions (40%). Analytics can provide a solution to this problem, but only 23% have made implementing analytics a key technology priority for the coming year. Additionally, almost one-quarter (24%) are not using any kind of analytics at all. Skilled labour shortages remain a serious challenge for manufacturers When manufacturers were asked about the biggest challenges they expect to face in 2025, the number one response was their ability to attract and retain a skilled workforce (30%), followed by supply chain disruptions (23%) and cybersecurity (12%). Matthew Day, Chief Information Officer at Langs Building Supplies in Brisbane, Australia, stated: 'I oversee all the business-critical IT systems in our production environment. We have recently completed a successful upgrade of our enterprise IT infrastructure, which provides us with remote access in a hybrid cloud setting. The subsequent improvements to digital integration across our environment enable us to utilise SYSPRO ERP for real-time insights and cost management while incorporating advanced technologies such as AI and automation into our production facility." 'Manufacturers clearly see smart technology as the key to overcoming workforce shortages and supply chain disruptions. However, adoption is still challenging,' said James Robinson, head of services for Asia Pacific at SYSPRO. 'SYSPRO's ERP solutions are designed to simplify this transition, providing the flexibility and integration needed for real-world manufacturing environments.' The full Frost & Sullivan Research Report can be downloaded here: Complex Manufacturing Trends and Opportunities | SYSPRO US About SYSPRO SYSPRO is a leading, global software provider specialising in key manufacturing and distribution industries. For over 40 years, SYSPRO's team of specialists has continued to address unique industry needs and enable customers to easily adapt and grow. The solution is scalable and can be deployed in the cloud, on-premise, or both, and accessed via the web on any device to provide customers with choice and flexibility. SYSPRO remains focused on the success of partners and customers. Our evolving solutions are aligned with industry trends to leverage emerging technology that will enable partners and customers in securing a digital future. With more than 15,000 customers in over 60 countries across six continents, SYSPRO offers guidance and support every step of the way as a trusted digitalisation partner.
Scoop
15 hours ago
- Scoop
SYSPRO Research Reveals That Manufacturers Are Eager To Adopt Smart Technologies, But Face Deployment Challenges
Press Release – SYSPRO A significant number of manufacturers are overcoming barriers of high upfront costs and internal resistance to change, to adopt technologies such as automation and robotics (37%), AI and machine learning (19%) and industrial internet of things (IIOT) (18%) … Data shows that skilled labour shortages remain a top concern for manufacturers SYSPRO, a leading global ERP software provider for the manufacturing and distribution industries, today released consolidated results from several surveys that show manufacturers are eager to adopt new technologies such as AI, automation and IIOT. The new research includes: a poll of 128 manufacturers conducted at its 2024 SPARK Customer Roadshow, responses from an October 2024 Trends Webinar Survey, and over 360 data points from interviews with manufacturing leaders conducted in collaboration with Frost & Sullivan, 20% of whom were from Asia Pacific. Major findings from the three research surveys include: Complex manufacturing companies are beginning to embrace smart technologies A significant number of manufacturers are overcoming barriers of high upfront costs and internal resistance to change, to adopt technologies such as automation and robotics (37%), AI and machine learning (19%) and industrial internet of things (IIOT) (18%) technologies. Looking ahead to 2025, AI and automation (40%) lead in their digital transformation priorities, followed by enhancing digital integration and real-time insights (29%) and managing costs while adopting new technologies (24%). China leads in the adoption of smart manufacturing technologies While U.S. manufacturers are beginning to adopt smart manufacturing technologies, they have ground to make up with their Chinese competitors, who lead the way in adoption. Just under half (45%) of Chinese manufacturers have already adopted these emerging technologies. Most manufacturers have plans for AI 40% of respondents said that implementing AI and automation was their first priority when it comes to digital transformation, and 80% are either devoting resources to AI implementation or are making near-term plans to do so. 12% have already deployed AI (differentiated from machine learning) or are actively in the process of doing so, while almost six in 10 (57%) are actively researching use cases, and another 11% plan to deploy AI within the next 12 months. Manufacturers face significant technical hurdles that impede the adoption of new technologies Almost one in three (30%) say they have difficulty integrating new technology, while 15% say outdated systems are creating inefficiencies, and another 15% suffer from limited scalability to meet future needs. Manufacturers face difficulty providing real-time data and analytics Another significant challenge manufacturing leaders face is the inability to obtain real-time data so they can make quick, data-driven decisions (40%). Analytics can provide a solution to this problem, but only 23% have made implementing analytics a key technology priority for the coming year. Additionally, almost one-quarter (24%) are not using any kind of analytics at all. Skilled labour shortages remain a serious challenge for manufacturers When manufacturers were asked about the biggest challenges they expect to face in 2025, the number one response was their ability to attract and retain a skilled workforce (30%), followed by supply chain disruptions (23%) and cybersecurity (12%). Matthew Day, Chief Information Officer at Langs Building Supplies in Brisbane, Australia, stated: 'I oversee all the business-critical IT systems in our production environment. We have recently completed a successful upgrade of our enterprise IT infrastructure, which provides us with remote access in a hybrid cloud setting. The subsequent improvements to digital integration across our environment enable us to utilise SYSPRO ERP for real-time insights and cost management while incorporating advanced technologies such as AI and automation into our production facility.' 'Manufacturers clearly see smart technology as the key to overcoming workforce shortages and supply chain disruptions. However, adoption is still challenging,' said James Robinson, head of services for Asia Pacific at SYSPRO. 'SYSPRO's ERP solutions are designed to simplify this transition, providing the flexibility and integration needed for real-world manufacturing environments.' The full Frost & Sullivan Research Report can be downloaded here: About SYSPRO SYSPRO is a leading, global software provider specialising in key manufacturing and distribution industries. For over 40 years, SYSPRO's team of specialists has continued to address unique industry needs and enable customers to easily adapt and grow. The solution is scalable and can be deployed in the cloud, on-premise, or both, and accessed via the web on any device to provide customers with choice and flexibility. SYSPRO remains focused on the success of partners and customers. Our evolving solutions are aligned with industry trends to leverage emerging technology that will enable partners and customers in securing a digital future. With more than 15,000 customers in over 60 countries across six continents, SYSPRO offers guidance and support every step of the way as a trusted digitalisation partner.
