Nissan Group suffered major setback as its data system called NANNeT crashed on Saturday, August 17, 2019, in Denver as a result of power outage. News of the incident spread like wild fire, leaving customers and retailers frustrated as operations at the factory were interrupted. This is happening at a time when the Japanese automaker is desperately making efforts to revive its falling retail sales in the US.
From Naijauto’s research, we found that the incident brought to the fore, the threat the auto industry of today is exposed to, especially as it heavily relies on data for the manufacturing and distribution of vehicles.
The shutdown hit the US market of Nissan Group badly as its about 1,300 US dealers could not carry on with operations. An undisclosed number of retailers in Canada and Mexico were also affected.
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One of Nissan's operation centers
The number of new vehicles Nissan lost to the accident was not clear at the time of filing this report neither was the implication it had on retailers and dealers stipulated.
NNANNeT is the tool retailers make use of to place orders for Nissan cars and their various parts, collect information about product rebate, report claims about warranty, collect information about factory financing and track vehicle recalls among other things. The system was down for no fewer than four days, halting all operations involving retailers. It was a big relief to everyone when it was restored around 6pm on Wednesday, August 21, 2019.
As a result of the crash, production in Nissan’s factories in places such as Canton, Smyrna, Miss. and Tenn. was also halted.
Spokesman of the automobile giant, Chris Keeffe, did not disclose the loss recorded in production and sales. He said: "Our data center in Denver experienced a power failure, disabling our backup systems and prolonging the systems outage."
Nissan declined to explain why a data crash could affect the company so badly, disrupting operations for days.
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Operations have resumed at Nissan
The crash happened at a bad time for Nissan. Sales are often booked by dealers toward month end. The crash made dealers to suffer an estimated 10 percent loss in sales. A dealer, Ray Brandt, said: "This is the crunch time of our month. We've got to make big sales. We have big objectives and money on the table. We were penalized. There's no doubt about it."
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