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Henry Ford
| (July 30, 1863 – April 7, 1947) |
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| Henry Ford was the founder of the Ford Motor Company and
father of the modern assembly line used in mass production. His
introduction of the Model T automobile revolutionized transportation and
American industry. As sole owner of the Ford Company he became one of
the richest and best-known people in the world. He is credited with "Fordism",
that is, the mass production of large numbers of inexpensive automobiles
using the assembly line, coupled with high wages for his
workers--notably the $5 a day pay scale adopted in 1914. Ford, though
poorly educated, had a global vision, with consumerism as the key to
peace. He was a leading pacifist in World War I, but turned his company
into a major producer of war materials in both world wars. His intense
commitment to lowering costs resulted in numerous experiments and
innovations, as well as the franchise system that put a dealership in
every city in North America, and in major cities on six continents.
However arch-rival General Motors jumped ahead in the 1920s by offering
far more options to consumers in terms of power, prestige, styling, and
convenient financing plans. Ford left most of his vast wealth to the
Ford Foundation, but arranged for his family to control the company
permanently. |
Early life
Henry Ford, 1888Ford was born on a prosperous farm in Springwells Township (now
in the city of Dearborn, Michigan) owned by his parents, William Ford
(1826-1905) and Mary Litogot (c1839-1876), immigrants from County Cork, Ireland.
The Ford family has its origins in western England - the family was evicted from
their land in Somerset and 'planted' in Ireland. His siblings include: Margaret
Ford (1867-1868); Jane Ford (c1868-1945); William Ford (1871-1917) and Robert
Ford (1873-1934).
During the summer of 1873, Henry saw his first self-propelled road machine, a
stationary steam engine that could be used for threshing or to power a saw mill.
The operator, Fred Reden, had mounted it on wheels connected with a drive chain.
Henry was fascinated with the machine and Reden over the next year taught Henry
how to fire and operate the engine. Ford later said, it was this experience
"that showed me that I was by instinct an engineer."
Henry took this passion about mechanics into his home. His father had given him
a pocket watch in his early teens. By fifteen, he had a reputation as a watch
repairman, having dismantled and reassembled timepieces of friends and neighbors
dozens of times.
His mother died in 1876. It was a blow that devastated poor Henry. His father
expected Henry to eventually take over the family farm, but Henry despised farm
work. And with his mother dead, little remained to keep him on the farm. He
later said, "I never had any particular love for the farm. It was the mother on
the farm I loved."
In 1879, he left home for the nearby city of Detroit to work as an apprentice
machinist, first with James F. Flower & Bros., and later with the Detroit Dry
Dock Co. In 1882, he returned to Dearborn to work on the family farm and became
adept at operating the Westinghouse portable steam engine. This led to his being
hired by Westinghouse company to service their steam engines.
Upon his marriage to Clara Bryant in 1888, Ford supported himself by farming and
running a sawmill. They had a single child: Edsel Bryant Ford (1893-1943).
In 1891, Ford became an engineer with the Edison Illuminating Company, and after
his promotion to Chief Engineer in 1893, he had enough time and money to devote
attention to his personal experiments on gasoline engines. These experiments
culminated in 1896 with the completion of his own self-propelled vehicle named
the Quadricycle, which he test-drove on June 4 of that year. After various
test-drives, Henry Ford brainstormed ways to improve the Quadricycle.
In 1894, Ford also became a Freemason, joining Palestine Lodge #357 in Detroit
Ford Motor Company
At age 40, Ford, with 11 other investors and $28,000 in capital, incorporated
the Ford Motor Company in 1903. In a newly-designed car, Ford drove an
exhibition in which the car covered the distance of a mile on the ice of Lake
St. Clair in 39.4 seconds, which was a new land speed record. Convinced by this
success, the famous race driver Barney Oldfield, who named this new Ford model
"999" in honor of a racing locomotive of the day, took the car around the
country and thereby made the Ford brand known throughout the United States. Ford
was also one of the early backers of the Indianapolis 500.
Ford astonished the world in 1914 by offering a $5 a day wage that more than
doubled the rate of most of his workers. The move proved hugely profitable.
Instead of constant turnover of employees, the best mechanics in Detroit flocked
to Ford, bringing in their human capital and expertise, raising productivity,
and lowering training costs. Ford called it 'wage motive.' The company's use of
vertical integration also proved successful, as Ford built a gigantic factory
that shipped in raw materials and shipped out finished automobiles.
The Model T
The Model T was introduced on October 1, 1908. It had many important
innovations--such as the steering wheel on the left, which every other company
soon copied. The entire engine and transmission were enclosed; the 4 cylinders
were cast in a solid block; the suspension used two semi-elliptic springs. The
car was very simple to drive, and--more important--easy and cheap to repair. It
was so cheap at $825 in 1908 (the price fell every year) that by the 1920s a
majority of American drivers learned to drive on the Model T, leaving fond
memories for millions. Ford created a massive publicity machine in Detroit to
ensure every newspaper carried stories and ads about the new product. Ford's
network of local dealers made the car ubiquitous in virtually every city in
North America. As independent dealers the franchises grew rich and publicized
not just the Ford but the very concept of automobiling; local motor clubs sprang
up to help new drivers and to explore the countryside. Ford was always eager to
sell to farmers, who looked on the vehicle as a commercial device to help their
business. Sales skyrocketed--several years posted 100+% gains on the previous
year. Always on the hunt for more efficiency and lower costs, in 1913 Ford
introduced the moving assembly belts into his plants, which enabled an enormous
increase in production. Sales passed 250,000 in 1914. Although Henry Ford is
often credited with the idea, contemporary sources indicate that the concept and
its development came from employees Clarence Avery, Peter E. Martin, Charles E.
Sorensen, and C.H. Wills. (See Piquette Plant) By 1916, as the price dropped to
$360 for the basic touring car, sales reached 472,000. [5]
Ford Assembly Line, 1913By 1918, half of all cars in America were Model T's. As
Ford wrote in his autobiography, "Any customer can have a car painted any colour
that he wants so long as it is black"[6]. Until the development of the assembly
line which mandated black because of its quicker drying time, Model Ts were
available in other colors including red. The design was fervently promoted and
defended by Henry Ford, and production continued as late as 1927; the final
total production was exactly 15,000,000. This was a record which stood for the
next 45 years.
In 1918 President Woodrow Wilson personally asked Ford to run for the Senate
from Michigan as a Democrat. Although the nation was at war Ford ran as a peace
candidate and a strong supporter of the proposed League of Nations. Ford lost by
1%. [7]. In December 1918 Henry Ford turned the presidency of Ford Motor Company
over to his son Edsel Ford. Henry, however, retained final decision authority
and sometimes reversed his son. Henry and Edsel purchased all remaining stock
from other investors, thus giving the family sole ownership of the company.
By the mid-1920s, sales of the Model T began to decline due to rising
competition. Other auto makers offered payment plans through which consumers
could buy their cars, which usually included more modern mechanical features and
styling not available with the Model T. Despite urgings from Edsel, Henry
steadfastly refused to incorporate new features into the Model T or to form a
customer credit plan.
The "Model A" and Ford's Later Career
By 1926, flagging sales of the Model T finally convinced Henry to make a new
model car. Henry pursued the project with a great deal of technical expertise in
design of the engine, chassis, and other mechanical necessities, while leaving
the body design to his son. Edsel also managed to prevail over his father's
initial objections in the inclusion of a sliding-shift transmission. The result
was the successful Ford Model A, introduced in December, 1927 and produced
through 1931, with a total output of over four million automobiles.
Subsequently, the company adopted an annual model change system similar to that
in use by automakers today. Not until the 1930s did Ford overcome his objection
to finance companies, and the Ford-owned Universal Credit Company became a major
car financing operation.
Time Magazine, January 14, 1935Henry Ford promoted many technical innovations
and became a promoter of aviation. He was granted over 131 patents.
He sponsored the Stout Metal Airplane Company, which developed the Ford
Tri-Motor, an early airliner.
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