Nissan cuts management team

Nissan Motor Co has announced plans to shake-up its leadership structure by axeing 20 per cent of top management positions as part of a drive to turn around the company’s performance.

The changes will take effect from April 1 when Ivan Espinosa takes over as the company’s new chief executive officer from the outgoing Makoto Uchida.

Nissan’s top management will transition to what the firm calls a “single-layer, non-officer framework”, with all corporate officers assuming the title of “corporate executive”.

It means 42 positions will be reduced to 33 as the Japanese carmaker seeks to create what it calls “a streamlined and borderless organisation”.

“This is also part of Nissan’s commitment to improving decision-making efficiency by simplifying organisational layers and expanding the span of control,” the company says. 

“These changes are designed to empower regions and establish clear roles and responsibilities within the organisation.”

The changes come after potential merger talks with Honda collapsed and its operating profit for the nine months to the end of December last year fell by nearly 90 per cent year-on-year.