Procurement：Though there is an involvement of several costs in management of relationship with the supplier, purchasing companies are successful in reaping certain benefits like the achievement of low costs of production by the sources of right designing in one go, improving the flow of materials by reducing the level of inventory, and reducing costs of administration by the sources of integrated systems of information (Ballou, 2007). Strategic items are important for NETC (Nissan European Technology Centre) because they are a key player in Nissan’s European market. Any risks identified with these suppliers needs to be avoided or solved to prevent major impacts on production.
Supplier ：The key objectives for the improvement initiative from the base of supplier were approximately 75 per cent. Though the suppliers were known to be having world class levels of quality with the rate of defects being below 10ppm, as per the perception of public, Nissan had been identified as being below the competitors even after it surpassed them in figures of quality data (Ballou, 2007). With these types of feedbacks, the key focus of Nissan was on enhancing attractive quality in addition to basic quality. Supplier development is important for NPD (New Product Development). Integrated suppliers will help reduce costs, improve quality and performance at the development stage (Ngai, 2005). Their expertise will enhance the ideas in design and development.
Manufacturing：By the involvement of workshop, Cranfield University has been successful in the creation of an environment for simplifying effective understanding and communication between Nissan and supplier, and for having a better combined relationship at work for identifying the needs of supplier and Nissan for maintaining competitiveness within the global market platform (Ballou, 2007). The whole process is not only to look at key areas of improvement for the supplies, but also for presenting advantageous joint efforts of development in the future for bringing continuous improvements and improvements of performance (Masclef 2002). This will surely be useful in eliminating wastes at each and every stage, initiating concept for the purpose of success delivery.