Leadership on Henry Ford Motor Company Term Paper

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Leadership of Henry Ford-Ford Motor Company. It gives a corporate and organizational history. It discusses the company's culture as a result of Ford's influence and includes comments of leadership theories.

LEADERSHIP OF HENRY FORD: THE FORD MOTOR COMPANY

As the twentieth century drew to an end, Time magazine named the Model T. The "automobile that defined the twentieth century from start to finish" (Alvarado 9). Henry Ford's Model T. mass production methods, and wage price theories revolutionized American industry. He was extraordinarily influential and respected because he made a product that met a public need (Lewis 1). Ford had an immeasurable impact on American life. "When he got his Model T. rolling in 1908, the horse disappeared so fast that the conversion of acreage from hay to other crops is said to have caused an agricultural revolution" (Stewart 108). By the 1920's, it was rarely possible to find a farm where a horse did most of the hauling and plowing (Alvarado 12). Ford was the most influential force in putting North America on wheels (Pegg A1).

Henry Ford didn't invent the automobile. He invented the automobile business (Stewart 108). At the time when he founded the Ford Motor Company in 1903, cars were fussy, unreliable, and costly novelties affordable only by the wealthy (Stewart 108). In 1907, Henry Ford said, "I will build a car for the great multitude, so low in price that no man will be unable to own one" (Iacocca 76). His Model T. was designed for 'everyday wear and tear' with virtues of lightness, simplicity, and utility. It became the most successful vehicle ever produced in America (Stewart 108). During its 19-year run, more than 15 million Model T. cars were sold (Stewart 108). Furthermore, the price dropped from $850 in its introduction year of 1908 to $290 in 1927, the final year of production (Alvarado 12).

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Henry Ford made a reliable and inexpensive automobile because of his introduction of the innovative moving assembly line, a system for carrying an item that is being manufactured past a series of stationary workers who each assemble a particular portion of the finished product. Instead of having workers put together the entire car, tool and diemakers organized teams that added parts to each Model T (Iacocca 76). Thus, by 1914, his Highland Park plant was churning out a car every 93 minutes on the world's first automatic conveyor belt (Iacocca 76).

Ford controlled most aspects of his company operations. He shocked the world in 1914 by raising the hourly wage from $2.34 per hour for a nine hour shift to $5.00 per hour for an eight hour shift (Iacocca 76). He encouraged regular attendance at work, and required all immigrant laborers to learn English and become United States' citizens. He was one of the first business men to introduce time clocks into his business operations to monitor employee activity. An active philanthropist, Henry Ford built a hospital for his employees in Detroit and in 1936 established the Ford Foundation for the purposes of "advancing human welfare"(biography.com/HenryFord). The Ford Foundation has issued more than $8 billion in grants worldwide since its founding (biography.com/HenryFord).

Ford also invented the dealer-franchise system to sell and service cars (Iacocca 76). His 'road men' became a familiar part of the American landscape, and by 1912 there were 7,000 Ford dealers across the country. Furthermore, he pushed for gas stations everywhere and campaigned for better roads, which eventually led to an interstate highway system that is still the envy of the….....

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