Since Carlos Ghosn's arrival as the head of Renault in 2005, there have been many movements in the strategies of Renault. These changes were particularly implemented in the 2009 contract. Three directions were given: Quality(Laguna III in the top 3,in quality of product and services)Profitability (operating margin of 6 % in 2009)Growth(800.000 sales of vehicles in 2009). Currently, Renault meets difficulties to sell its products in Europe zone but at the same time, it launches new products. We can say it is a period of change. Created in 1898 by Louis Renault, Renault became, in January 1945, a nationalized industry and the company's name was changed to"Regie Nationale des Usines Renault." Since 1990, French State only got 15 % in Renault parts. Then Renault made an alliance with Nissan in 1999. Renault Corporate is currently the second French automotive industry. For each activity, the turnover shares are in this way:
[...] If the number falls below 1 (which means the company has a negative working capital), we could imagine that if Renault could make liquidity by selling its inventories which would help the company. Nevertheless, we know that it currently is a difficult period for Renault which is facing difficulties to sell cars in Europe. CR (Current Ratio) = CA (Current Assets ) / CL (Current Liabilities ) CA CL CA CL CA CL 2. Long term The Total Debt Ratio gives an indication of the management's ability to forecast the future dispenses and then to make growth. [...]
[...] It forms an increasingly wide part of the Renault group's risk management activities. Legal risk : Legal risk is assessed, controlled and monitored according to 2 main principles : responsive reporting and the precautionary principle. As we can see, Renault Group strives to limit every risk. Nevertheless, they can not avoid every problem like we saw in the October news. A problem with the firm of Cleon. A man reproached Renault for not recognizing he was bound. This example makes us to wonder about Human Resources tools. [...]
[...] What this Alliance really means for Renault is modernizing its industrial tool . Indeed Renault benchmarks Nissan and we can find a lot of Japanese terms and techniques used in their firms (Pokka Yoke, Kaizen, etc.). Nissan and Renault, headquartered respectively in Tokyo and Paris, have separate managements and run their individual operations through their respective executive committees. Each is accountable to its shareholders and its board of directors. In March 2002, the Alliance created a linked strategic management company equally owned by Nissan and Renault to define a common strategy and manage all synergies. [...]
[...] Renault needs a speeder to remain competitive Profitability PM (Profitability Margin) = Net Income (NI)/Net revenue (Sales) The Profitability Margin indicates the management's ability to be efficient by creating values from sales. NI Sales NI Sales NI Sales ROA ( Retain on Assets ) = Net Income / Total Assets NI TA NI TA NI TA ROE (Retain On Equity ) = Net Income / Total Equity NI TE NI TE NI TE If I have calculated well, I just can say that these ratios are very bad. [...]
[...] Renault management A. Organization and Government In 2006, Renault Corporate was constituted by 128.893 employees working everywhere in the world (Europe / Asia / Africa / Euro med / America). How does Renault Corporate manage all of them? What tools are used? Renault Corporate 18 members compose the Renault Board of Directors: 13 directors are appointed by the Annual General Meeting of Shareholders; 3 directors are elected by employees; 1 director is appointed by the Annual General Meeting of Shareholders on the recommendation of employee shareholders. [...]
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