Nissan The Squeaks Get Louder
#1
Nissan The Squeaks Get Louder
A slew of defects is dragging down the cars' J.D. Power ratings
Scott Mount's Nissan Armada gives him a headache -- literally. Soon after buying the SUV in December, the Orange County (Calif.) restaurant manager began experiencing skull-jarring vibrations from the roof. What's worse, the brakes squealed, and clicks emanated from the rear. Mount says the dealer replaced the brakes, checked the rear, and tried to quell the roof noise, but he remains unsatisfied. This is Mount's fifth Nissan, and it may be his last. "I won't buy another vehicle from them if they don't do something about this Armada," he swears.
Five years after CEO Carlos Ghosn kicked off an astounding comeback that has unleashed a half-dozen hot-selling vehicles on the U.S. market and generated solid profits after years of losses, Nissan Motor Co. (NSANY ) is having serious growing pains. Quality problems with the Armada, the Quest minivan, and the Titan full-size pickup dragged down Nissan's ranking in J.D. Power & Associates' annual initial quality survey, which reflects flaws found by owners in the first 90 days. In the survey, which was released on Apr. 28, Nissan finished 11th, way down from last year's 6th place. And the 147 problems spotted per 100 vehicles trail the industry average of 119.
That could spell big trouble for the Japanese auto maker. These problem-plagued vehicles represent a new thrust into key market segments -- minivans, big pickups, and SUVs -- already well served by Honda Motor (HMC ), Toyota Motor (TM ), and the Big Three. And all three are made at a year-old plant in Canton, Miss., built to boost Nissan's U.S. market share. Says Wesley R. Brown, an analyst at Los Angeles auto consulting firm Iceology: "If there isn't a quick fix, this could derail their momentum."
It isn't the first time Nissan has had quality woes. The Altima sedan, built at the company's 21-year-old plant in Smyrna, Tenn., has also had bumps. But they weren't as serious as those from the Mississippi factory, where poor craftsmanship was the chief complaint from consumers, says J.D. Power. And while squeaks, rattles, and vibrations account for many of the complaints, more serious issues have prompted two recalls of the Quest minivan -- including one for a sliding door that opened when drivers accelerated rapidly.
That, as it turns out, may be an apt image for what ails Nissan, which has been pedal to the metal since 1999. In that time the company has launched 13 new vehicles in the U.S. -- most engineered when Nissan was emerging from a near-death experience. The carmaker knew it was being aggressive, but since its quality was pretty decent, execs thought they could pull off the crowded launch schedule. Analysts, however, say Nissan lacked the engineering resources to check thoroughly for defects before cranking up the assembly lines.
CHEAP MATERIALS. What's more, Ghosn was seeking to roll out the new models while demanding price concessions from suppliers. As a result, Nissan often used cheaper materials at the expense of manufacturing precision. One consultant, who took apart a Titan to study it for a rival, says that certain internal parts aren't made to fit together as precisely as at Toyota and others. That forced assembly line workers at Canton to find ways of fitting the pieces snugly together -- hardly ideal since many of them had never worked at a car plant before.
Putting an end to the problems will be crucial, since initial quality problems often affect long-term reliability. "These things tend to persist," says Joe Ivers, executive director for quality and customer satisfaction at J.D. Power. "If things are this extreme, it will probably wind up costing them in warranty costs." The auto maker says it's investigating the problem vehicles and the Canton plant. At the same time, Nissan is beefing up its engineering talent and spending more on parts and materials to ensure that future models have better quality. It is also replacing the Quest dashboard responsible for some squeaks. "We're going to address all of the issues," says a company spokesman.
Nissan has won thousands of new customers during the past three years with its powerful and stylish vehicles. But all that hard work could be for naught if Ghosn & Co. can't improve quality.
By David Welch in Detroit
Five years after CEO Carlos Ghosn kicked off an astounding comeback that has unleashed a half-dozen hot-selling vehicles on the U.S. market and generated solid profits after years of losses, Nissan Motor Co. (NSANY ) is having serious growing pains. Quality problems with the Armada, the Quest minivan, and the Titan full-size pickup dragged down Nissan's ranking in J.D. Power & Associates' annual initial quality survey, which reflects flaws found by owners in the first 90 days. In the survey, which was released on Apr. 28, Nissan finished 11th, way down from last year's 6th place. And the 147 problems spotted per 100 vehicles trail the industry average of 119.
That could spell big trouble for the Japanese auto maker. These problem-plagued vehicles represent a new thrust into key market segments -- minivans, big pickups, and SUVs -- already well served by Honda Motor (HMC ), Toyota Motor (TM ), and the Big Three. And all three are made at a year-old plant in Canton, Miss., built to boost Nissan's U.S. market share. Says Wesley R. Brown, an analyst at Los Angeles auto consulting firm Iceology: "If there isn't a quick fix, this could derail their momentum."
It isn't the first time Nissan has had quality woes. The Altima sedan, built at the company's 21-year-old plant in Smyrna, Tenn., has also had bumps. But they weren't as serious as those from the Mississippi factory, where poor craftsmanship was the chief complaint from consumers, says J.D. Power. And while squeaks, rattles, and vibrations account for many of the complaints, more serious issues have prompted two recalls of the Quest minivan -- including one for a sliding door that opened when drivers accelerated rapidly.
That, as it turns out, may be an apt image for what ails Nissan, which has been pedal to the metal since 1999. In that time the company has launched 13 new vehicles in the U.S. -- most engineered when Nissan was emerging from a near-death experience. The carmaker knew it was being aggressive, but since its quality was pretty decent, execs thought they could pull off the crowded launch schedule. Analysts, however, say Nissan lacked the engineering resources to check thoroughly for defects before cranking up the assembly lines.
CHEAP MATERIALS. What's more, Ghosn was seeking to roll out the new models while demanding price concessions from suppliers. As a result, Nissan often used cheaper materials at the expense of manufacturing precision. One consultant, who took apart a Titan to study it for a rival, says that certain internal parts aren't made to fit together as precisely as at Toyota and others. That forced assembly line workers at Canton to find ways of fitting the pieces snugly together -- hardly ideal since many of them had never worked at a car plant before.
Putting an end to the problems will be crucial, since initial quality problems often affect long-term reliability. "These things tend to persist," says Joe Ivers, executive director for quality and customer satisfaction at J.D. Power. "If things are this extreme, it will probably wind up costing them in warranty costs." The auto maker says it's investigating the problem vehicles and the Canton plant. At the same time, Nissan is beefing up its engineering talent and spending more on parts and materials to ensure that future models have better quality. It is also replacing the Quest dashboard responsible for some squeaks. "We're going to address all of the issues," says a company spokesman.
Nissan has won thousands of new customers during the past three years with its powerful and stylish vehicles. But all that hard work could be for naught if Ghosn & Co. can't improve quality.
By David Welch in Detroit
#2
MAN I AM SOOOO GLAD THAT AN ARTICLE LIKE THIS WAS WRITTEN.
I applaud Nissans success thus far, and how well their revival plan was executed, but the quality area is what erks me the most about them. It makes me want to knock Ghosn's teeth out for being so ****ing dumb.
I know that they have been reading the comparo test where the Nissan vehicle would have place 2nd or better, had it not been for shitty interiors and poor build quality. 2 years ago I would have taken up for them, but they have no excuse now being that they are making major profits, and can now devote more money into improving the interior. Mark my words that this will come back to haunt them in the future in a major way.
I applaud Nissans success thus far, and how well their revival plan was executed, but the quality area is what erks me the most about them. It makes me want to knock Ghosn's teeth out for being so ****ing dumb.
I know that they have been reading the comparo test where the Nissan vehicle would have place 2nd or better, had it not been for shitty interiors and poor build quality. 2 years ago I would have taken up for them, but they have no excuse now being that they are making major profits, and can now devote more money into improving the interior. Mark my words that this will come back to haunt them in the future in a major way.
#4
Originally Posted by M Type X
Hondas and Nissans are sooooooooooooo undependable poorly-built crap. We should all drive :ghey: little Priuses. Oh Prius how we love you. TOYOTA
anyways ya, big surprise. i pretty much agree with you, OLDZ. they made a brilliant comeback, but with those prices and the amount of time they took putting all those cars into the market, you knew they were taking shortcuts in the quality department. its a pity. it sounds like they intend to correct all the problems though, so i hope they follow through.
#5
I think that Nissan's focus in the last few years was to rebuild the brand on exciting vehicles that offered performance and value. Now that they've done that, I'm sure that newer models will get renewed emphasis on quality. Most of the models, such as Titan and Quest, were already in design phase when Ghosn took over, so I don't think its fair to lay all the blame on him. The article doesn't mention the Infiniti brand, but I think they've done well in the quality dept. (but I could be wrong).
#6
Originally Posted by More&Faster
i have no idea what you're trying to say.
More on the newest Nissans:
http://www.detnews.com/2004/autosins...a01-150861.htm
#7
I think we can all agree that Nissan has made phenomenal progress in the span of the last five years. That's something that Ghosn & all Nissan employees should be proud of. I - for one- am not the least bit surprised that these sorts of fabrication problems have popped up. I for one am conifident that Nissan will take decisive action and apply effective remedies.
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#8
Originally Posted by NorCal DC4
I think we can all agree that Nissan has made phenomenal progress in the span of the last five years. That's something that Ghosn & all Nissan employees should be proud of. I - for one- am not the least bit surprised that these sorts of fabrication problems have popped up. I for one am conifident that Nissan will take decisive action and apply effective remedies.
When I think about Nissan, I think about sports cars mostly. Sure, the Maxima has been a valuable nameplate, as has been the Pathfinder.
But the Pathfinder is now just another SUV in a sea of Nissan truck-based vehicles, and the Maxima fights against the competent V6 Altima.
Now you know why Honda plays it more carefully, nurturing each nameplate instead of just tossing a ton of stuff onto the market.
#9
:werd: indeed.
I still question what role the Maxima will play in Nissan's future. It's a strong nameplate with a lot of history behind it...and I can see that Ghosn & co are reticent to pull the plug. But if the car isn't supporting itself in sales volume, and is made largely irrelevant by the Altima, one wonders why they'd sink so much money into a redesign? :dunno:
I still question what role the Maxima will play in Nissan's future. It's a strong nameplate with a lot of history behind it...and I can see that Ghosn & co are reticent to pull the plug. But if the car isn't supporting itself in sales volume, and is made largely irrelevant by the Altima, one wonders why they'd sink so much money into a redesign? :dunno:
__________________
:: :ToDspin: - supermod - but who gives a shit?
:: HAN Integra FAQ: If, by some miracle, yours hasn't been stolen... check it out!
:: HAN Integra FAQ: If, by some miracle, yours hasn't been stolen... check it out!
#10
Originally Posted by NorCal DC4
:werd: indeed.
I still question what role the Maxima will play in Nissan's future. It's a strong nameplate with a lot of history behind it...and I can see that Ghosn & co are reticent to pull the plug. But if the car isn't supporting itself in sales volume, and is made largely irrelevant by the Altima, one wonders why they'd sink so much money into a redesign? :dunno:
I still question what role the Maxima will play in Nissan's future. It's a strong nameplate with a lot of history behind it...and I can see that Ghosn & co are reticent to pull the plug. But if the car isn't supporting itself in sales volume, and is made largely irrelevant by the Altima, one wonders why they'd sink so much money into a redesign? :dunno:
I like the Maxima, but with the V6 Altima and the G35, it's just another sedan in the Nissan-Infiniti lineup, in the same way that Nissan is piling on the SUVs.
The same way that the Avalon is spun off the Camry inspired Nissan to create a Maxima off of an Altima base. Toyota and Nissan laugh all the way to the bank.
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03-03-2003 05:13 PM