The world copied Japanese manufacturing. Now that model is cracking

Nissan Motor Company, the world's fifth-largest automaker, disclosed in September that its Japanese factories let unqualified employees perform final quality inspections on some cars

Japan’s reputation for flawless manufacturing quality and efficiency transformed the country’s postwar economy, changed business practices world-wide and spawned a library’s worth of management manuals and business advice books. Now, the model is cracking.

Kobe Steel Ltd., Mitsubishi Materials Corp. and Subaru Corp. have all admitted in recent months to manipulating quality inspections, though all say no safety problems emerged. Takata Corp. declared bankruptcy last year after admitting to supplying more than 50 million defective vehicle air bags in the US Mitsubishi Motors Corp. has admitted covering up vehicle faults and falsifying fuel-economy data.

Nissan Motor Co. the world’s fifth-largest