Following Nissan’s example, Renault adopts the cost-cutting measures standardizing more of its auto parts.
Beginning next year Nissan will manufacture cars combining four modules in various ways for different models, which will help the automaker standardize more parts for each module, reducing costs for those mass-produced parts. Nissan hopes to reduce costs by 30% since nearly 80% of its auto parts will be standardized. Currently only 40% of the parts are standardized.
Renault plans to adopt these measures and standardize its auto parts, further cutting costs. Nissan and Renault are already collaborating using the same chassis and in parts procurement. Standardized auto parts imply other benefits too. For example the companies will be able to rapidly develop new models for the emerging market’s increasing needs. Renault and Nissan will be able to built quality vehicles even with workers with different skill levels.
Renault and Nissan are not the only carmakers that adopted these measures to survive fierce global competition. Volkswagen will introduce later this year the new system which to standardize almost 70% of it auto parts. On the other hand, Mazda has already begun using standardized auto parts for several models.