Adrian Stalum argues that companies should not aim to be 'future-proof', but rather to become 'change-capable'.
From the late 19th century to the early 20th century, cars were not common in Japan. If so, it certainly wasn't Japanese. The only cars on Japanese roads were cars manufactured by Ford and GM and imported from the United States. However, all that changed when Masutoshi Hashimoto established his Kaishinsha automobile factory in Hiroo, Tokyo in 1911. In this small factory, Mr. Hashimoto built a small passenger car with a two-cylinder 10ps engine that reached speeds of 32km/h, and named it after the investor's initials.
Thus the Model 41 DAT was born. Sales soared and success continued. And after 10 years of growth and mergers, the company changed its name to DATSUN in 1932. Datsun evolved into Nissan in 1934. This marks his 90th anniversary since the creation of one of the world's most iconic car brands. Today, Nissan is at the forefront of automotive evolution. The company is a pioneer in the production of electric vehicles (EVs) and connected cars. But we also provide a customer-centric approach and are cutting edge in our efforts to reimagine both our infrastructure and commercial environments. So what can we learn from the story?
Drive principle
Nissan was created through a complex series of ownership changes and mergers. The company was facing an identity crisis and chose to put Datsun plates on new Nissan cars in order to maintain the brand recognition that Datsun had achieved. I ignored the fact that one of the reasons they chose to rebrand was because the word “Datsun” sounded eerily similar to the Japanese word for “losing money.” But that was the least of my worries.
What was going on in Nissan's world was complicated. What was happening outside was complete chaos. There was uncertainty. depression. And soon global tensions erupted into World War II. Suddenly, Nissan's only purpose was to produce vehicles for war.
Sustaining success over the long term requires a comprehensive commitment to evolution and transformation
Peace was declared, and after narrowly overcoming numerous bankruptcies and bitter union struggles, the enemy became Nissan's friend. Automakers have started selling overseas, especially to the United States. In 1950 he was producing 865 cars a year, but by 1959 he was producing more than 32,000 cars.
This period of success defined Nissan and separated it from the Datsun tradition. Unless you lived outside Japan, outside of Japan he only recognized vehicles exported by Nissan from 1958 to 1986 as Datsuns. With models ranging from the iconic Skyline to the revolutionary Leaf, Nissan began to write its name in history.
plan your course
Nissan's success lies in its ability to steer well. It doesn't mean navigating routes or roads. But it's in the way we navigate change. Over the past 100 years, the automotive industry has undergone fundamental changes, from the roar of internal combustion engines to the quiet precision of EVs. The world has also changed. There are new technologies, new pressures and new values. A new challenge. New opportunities.
So how has Nissan adapted?
Embracing the electric future
Nissan is a pioneer in the EV market. In 2010, the company launched the world's first mass-produced electric vehicle, the Nissan Leaf, an affordable electric vehicle. The Leaf quickly became Europe's best-selling electric car and represented a major step forward in the automotive industry's transition to electric mobility. In January 2021, Nissan announced that global sales of the Leaf had surpassed 1 million units, a significant milestone for the world's best-selling electric vehicle at the time.
But the work is not done yet. Car brands must continue to address challenges such as range, battery life, and public perception to redefine what it means to drive electric. That's why Nissan doesn't just make cars. We're building an ecosystem to support that. The development of BEV infrastructure, including charging solutions, is critical. Nissan is working on mobile and remote charging solutions, standardizing charging protocols and improving charging speeds. This infrastructure is key to making EVs a viable option for more consumers.
Connected cars: a new driving experience
The future of driving isn't just about getting from point A to point B. It's about the experience in between. The rise of connected cars has opened new horizons for Nissan and other OEMs, integrating advanced technologies to increase safety, convenience and enjoyment. Connected His approach to cars goes beyond technology. It's about building a deeper, more personal relationship with your vehicle that needs to evolve with increasing customer expectations.
And this relationship isn't limited to the in-car experience. Nissan has been successful because it takes a holistic view of the customer experience. Cars are not just machines, they are part of people's lives and stories, and car brands need to understand how cars fit into this story. This shift to customer centricity is reshaping manufacturers' approaches to design, sales and service, making the customer journey as important as the car itself.
Redefining design and delivery
Advances in technology and consumer behavior are reshaping the automotive industry. OEMs are adapting to move from a B2B to a more B2C model. This new model aims to create value at every touchpoint and make customer relationships stronger and more meaningful than ever before. And artificial intelligence (AI) is playing a crucial role in this new battleground. For Nissan, AI is now fundamental to its design and delivery strategy. AI's role in modeling, predicting, and personalizing customer experiences increases efficiency and accelerates innovation. It has become as important to success as Hashimoto's workshop in 1911.
road ahead
Nissan's story is one of change. Ninety years after our founding, we find ourselves in a similar situation of economic uncertainty and geopolitical instability. However, the world is very different from when Mr. Hashimoto founded Kaishinsha Automobile Works. And Nissan is now a completely different company.
There is a lot of discussion today about how companies can become 'future-proof'. But that's not possible. Nothing is immune to the future. Rather, as Nissan has shown, it is better to be able to “respond to change.” Sustaining success over the long term requires a comprehensive commitment to evolution and transformation. You can't become an EV business overnight. Nor can you let AI take over your brand and marketing. But you can prepare for change.
The automotive industry is always at the forefront of innovation, but Nissan shows that maintaining success is all about having the right systems in place within the company.
About the author: Adrian Stalham is Chief Change Officer at Sullivan & Stanley.
