Carlos Ghosn, CEO of Nissan and Renault – Highlights of his speech at the Stanford University

I am enclosing a few highlights of the speech, which I believe are very pertinent for all successful companies to remind themselves of. I am deeply inspired by the results and energy of  Mr. #Ghosn. I hope this will inspire you as it did to me and  allow you to introspect on them…

My fellow Escortians,  please embed these suggestions  and take #Escorts to being one of the most valued  #engineering-companies of  India. And for others who are reading my blog, I wish you to take maximum benefit from this post, because I believe firmly that in life, if you want prosperity, you must learn to spread it first.

So here it goes :

QUOTE

  • Turning around a company- solution should come from inside the company in the  manner that the involvement of the people and the buy in is 100% and people get to see their thoughts to be part of the big plan.
  • 72% of cost in a Profit & Loss of a manufacturing company comes from Material Cost(what you buy) – if you don’t buy well, you’re not going to be efficient.
  • Important to focus on the right segments in a market.
  • Analyze why your competitors make more money than you? Understand it in details and bridge those gaps.
  • Meet people in your organizations and ask them questions— you will get your answers of what you need.
  • Use your common sense to do what is correct.
  • My job- is to just turn around the company, once you accept the job, you just have to fix it and get the job done.
  • Fix the problem in the company, fixing the company is going to require many changes in certain habits of our people.
  • Commit to certain results, let people understand and see what we need to achieve, once done clearly then people will come around.
  • Focus on changes that deliver results.
  • Don’t segregate the young people, they have great ideas, so help them to voice it and make their ideas a part of your big plan.
  • The company must make a committment to itself and all its people to achieve the results…..people should deliver or get out.
  • Execution is 95% of the success and 5% is strategy – for all the successful companies.
  • Moving and mapping is more important, than just pointing and agreeing on what is right. In short, deliver the results.
  • Disciplined actions, execution and building strong processes are very important.
  • Move your organizations near to the CUSTOMERS.
  • Manufacturing- is where the product in born. Start from here and focus on quality, processes and your suppliers.
  • All the top managers must come fresh to work and this requires discipline. You have to organize yourself coz no shareholder wants to know your stresses and they want to see results.
  • Surround yourself with great people.
  • Top leaders most important job is to have the capacity to connect with people (both external and internal).
  • All leaders must understand, what’s on the mind of their people.
  • Empathy is very important, we all must possess it to move forward in life.
  • Decisiveness – does not mean taking quick decisions, but taking good decision at the right time.
  • Important to have strong team around you so that they remind you about the common sense if you ever were to lose it.

UNQUOTE

 

186 thoughts on “Carlos Ghosn, CEO of Nissan and Renault – Highlights of his speech at the Stanford University”

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    Dear Sir
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    its amazingly full of very good take away
    I read in one article of KPMG report that today competition is no longer between two companies but it is between their networks, by networks it meant the suppliers, OEM, and distribution
    so in todays increasingly complex global arena companies can no longer afford to ignore their Procurement and Supply Chain Management part which is becoming major dept. fully in parallel with Marketing, Finance, Production, etc.
    with the rise of new industries such as e-commerce, big changes are coming in business styles. Motorola sold all its phones only through online route. Few others following same.
    big benefits like no inventory of finished goods, rather it is “”order to make”” now, and instead of “push” it is now “pull” demand. Then Working Capital is actually negative in case of Amazon, etc. rather than so high amounts for general cases
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