2007 Interactive Annual Report - Renault

tHe PrinciPles
of tHe alliance
tHe PrinciPles of tHe alliance
The Alliance is based on trust and mutual
respect. Its organization is transparent,
ensuring clear decision-making for speed,
accountability and high standards of performance.
It aims for maximum efficiency by
combining the strengths of both companies
and developing synergies through common
structures, cross-company teams, shared
platforms and components.
To attract and retain the best talent, the
Alliance offers good working conditions and
objectives
The Alliance pursues a strategy of profitable
growth with three objectives:
to win customer recognition as one of the
top three automotive groups for the quality
and value of its products and services
— in each business region and on each
market segment;
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to rank among the top three automotive
groups for critical technologies, with each
partner taking the lead in specific domains
of excellence;
to consistently generate total operating
profit that places it among the top three
automotive groups in the world, by holding
operating margin high and maintaining
strong growth rates.
The RenaulT-nissan alliance
challenging opportunities, encouraging staff
to adopt an entrepreneurial approach open
to the world at large.
The Alliance targets attractive returns for
the shareholders of both companies, and
complies with recognized best practice in
corporate governance. It upholds the principles
of sustainable development.
strategic management
Nissan and Renault, respectively headquartered
in Tokyo and Paris, have separate
managements and run their operations
through their own Executive Committees.
Each is accountable to its own shareholders
and board of directors.
In March 2002, the Alliance set up a strategic
management company, Renault-Nissan
bv, to draw up common strategies and take
overall responsibility for synergies. This
Dutch company, equally owned by Nissan
and Renault, hosts the Alliance Board, which
meets up to ten times a year. Carlos Ghosn
is the President of the Board, whose members
also include three Renault Executive
Vice Presidents and three Nissan Executive
Vice Presidents. Other members of the
Renault and Nissan Executive Committees,
representing the highest levels of management,
also attend meetings. The Board sets
the strategic course for the Alliance over the
medium and long term, and co-ordinates
joint operations worldwide.
The Alliance Board oversees other entities
that include:
the Renault and Nissan Coordination
Bureau and the teams in Paris and Tokyo
coordinating Alliance activities, including
the work of the various steering committees
and cross-company teams;
steering committees, co-chaired by members
of Renault and Nissan Executive
Committees, which are charged with submitting
key issues for the consideration of
the Alliance Board meetings, supervising
the operation of joint working groups,
and, in a general way, contributing to the
realization of Alliance projects;
over 30 cross company teams and functional
task teams providing support for
the Alliance in all key areas of business,
including product planning, research and
advanced engineering, vehicle engineering,
powertrain engineering, manufacturing
and purchasing. Their prime
mission is to explore scope for added
synergies between the two companies.
Based in Tokyo, Paris and other Alliance
sites around the world, team members
are in daily contact; they usually hold
conference calls once a week and faceto-face
meetings once a month. Team
leaders make regular reports to the
Alliance Board on progress in their field
of competence.
more information at
www.renault.com
2007 Renault Annual Report