Carlos GhosnFrance – The Alliance partners will progress their collaboration in four key areas: Engineering; Manufacturing Engineering and Supply Chain Management; Purchasing; and Human Resources. New convergence projects will also be launched, starting with Quality and Costing.

The four key functions were converged in 2014 and are now managed by Alliance executives. The move helped Renault and Nissan to generate more than €4 billion ($4.4 billion) in annualised synergies last year. The Alliance aims to boost this figure to €5.5 billion in 2018.

“The auto industry is rapidly evolving, requiring Renault and Nissan to leverage the Alliance as a pragmatic business tool,” said Carlos Ghosn, Renault-Nissan Alliance CEO and chairman. “The road ahead is one of more convergence, working more closely together.”

Quality and Costing will now be partially converged in support of the original four functions, while the Alliance will also study the potential for synergy in Sales and Marketing, Connectivity and Connected Services, Product Planning, Aftersales and other support functions.

This month, Renault and Nissan executives will present the proposed convergence projects to employee representation and corporate decision-making bodies. If the internal review process approves, implementation will begin on April 1; new managers and their areas of responsibility will be announced at that time.