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ФЕДЕРАЛЬНОЕ ГОСУДАРСТВЕННОЕ АВТОНОМНОЕ

ОБРАЗОВАТЕЛЬНОЕ УЧРЕЖДЕНИЕ ВЫСШЕГО ОБРАЗОВАНИЯ

«САМАРСКИЙ ГОСУДАРСТВЕННЫЙ АЭРОКОСМИЧЕСКИЙ

УНИВЕРСИТЕТ ИМЕНИ АКАДЕМИКА С.П.КОРОЛЕВА

(НАЦИОНАЛЬНЫЙ ИССЛЕДОВАТЕЛЬСКИЙ УНИВЕРСИТЕТ)»

(СГАУ)

Молодёжная научная конференция

Кафедра иностранных языков

Topic: "Who are you, Mr Henry Ford?"

Compiled by:

Frolova Svetlana

Group 7205

Scientific supervisor:

associate professor

Stepnova N.G.

Самара 2015 г.

Content

Introduction.

The short biography.

The creation of the "Model T".

The economic policy of Henry Ford.

The Ford's competitors.

Fordismus.

Conclusion.

Literature.

Introduction

Henry Ford is a man who literally transformed the world. The car he built and the changes he made on the techniques of industrial production revolutionized the lives of people everywhere. At the height of his fame, in the 1920s, Ford was a name known universally. "Fordismus" entered the European vocabulary as a word for mass production; and a correspondent in the Soviet Union in 1927 commented that Ford's name was as well known as Lenin's or Trotsky's. He was regarded as a symbol of industrial technology.

Ford's philosophy of manufacturing and business is set forth in his autobiography: "Ask a hundred people how they want a particular article made. About eighty will not know; they will leave it to you. Fifteen will think that they must say something, while five will really have preferences and reasons. The ninety-five, made up of those who do not know and admit it and the fifteen who do not know but do not admit it, constitute the real market for any product. The majority will consider quality and buy the biggest dollar's worth of quality. If therefore you discover what will give this 95 percent of the people the best all-round service and then arrange to manufacture at the very highest quality and sell at the very lowest price, you will be meeting a demand which is so large that it may be called universal....The only further step required is to throw overboard the idea of pricing on what the traffic will bear and instead go to the common-sense basis of pricing on what it costs to manufacture and then reducing the cost of manufacture...".

The Model T Ford was introduced in 1908. It was boxy and tinny-looking, as its nickname, the "Tin Lizzie," implied; but it was within the purchasing power of people who were not rich. It fulfilled the goal which Ford had set for himself: "I will build a motor car for the great multitude. It will be large enough for the family but small enough for the individual to run and care for. It will be constructed of the best materials by the best men to be hired, after the simplest designs that modern engineering can devise. But it will be so low in price that no man making a good salary will be unable to own one - and enjoy with his family the blessing of hours of pleasure in God's great open spaces."

The purpose of my work is to show what an extraordinary personality was Henry Ford.

To achieve this goal I set a number of questions:

1.) to discover the essence of the legendary invention of Henry Ford Model T;

2.) to review the economic policy of Henry Ford;

3.) to descry the Fordismus.

The short biography

Henry Ford was born on July 30, 1863 in Dearborn, Michigan. There was a civil war between North and South in the US at this time.

In 16 years, Henry Ford received an apprenticeship of the machinist in Detroit. During these years, he worked part time repairing watches (and then it turned into a hobby for life) and independently studied mechanics and engineering. After finishing the period of apprenticeship, Ford was installing and repairing steam engines on locomotives. Intrigued by internal combustion engines and opportunities for self-propelled means of transport, Henry Ford in 1893 (he was 30 years old) designed his first single-cylinder engine that runs on gasoline. In 1892 he built his first car - it was a light wagon with two-cylinder engine. Three years later Ford resigned from the post of chief engineer of the Electricity Company of Thomas Edison, the creator of the light bulb, to devote himself to create his own car company in Detroit.

But two years later the company went bankrupt, and then Ford decided to gain a reputation for their participation in racing cars. For this he left he created the Detroit car company. And he really managed to become a very popular race car driver. And only in June 1903 Henry Ford with a help of a group of financiers creates, finally, "Ford Motor Company".

Henry Ford received 25 and a half percent of the shares from creating the automotive corporation "Ford Motor Company". The authorized capital of the company is 150 thousand dollars, of which only managed to get cash 28 thousand dollars. However, a month later they released their first car company.

The creation of the "Model T"

In 1905, Ford's financial partners did not agree with his intent to produce cheap cars, because the expensive models were in demand at that time. Disagreements over the fact that the main stake holder Alexander Malcolmson sold its stake to Ford, and then Henry Ford became the owner of a controlling stake and the president of the company. Freed from the pressure, Ford began to establish the main vehicle of his life - "Model T", which first appeared in 1908. It was a big black car with an engine capacity of 20 horsepower. In the first year of the corporation "Ford" was able to sell 10,000 cars model "T".

When "Model T" appeared, most of the cars in the United States cost from $ 1100 to $ 1700. A luxury car's price reached $ 2500 dollars. And then there is quite a decent car Ford Model "T" at the price of 825-850 dollars, that is almost half of the price of the average car, and almost a third less than the cost of the cheapest in the years 1908-1910. And for those years the difference of 400 dollars is a lot of money. On average, worker in the US then received $ 100 a month. And the value of the vehicle exceeds the average annual salary.

A "Model T", thanks to the conveyor assembly and the adjusted production of spare parts, went on sale at a price affordable factory workers. Before the car was considered a toy only for the rich. Even the middle class cannot afford it. But thanks to the Ford man working in a factory or plant 40 hours a week, received the opportunity to buy a new car for the first time.

Then you had to buy for cash. People saved their money or borrowed from relatives and friends. The banks first started to provide auto loans later, around 1917 or 1920.

By 1914, the number of the sold cars model "T" reached a quarter of a million. This is about 50% of the US car market in those years. By 1927, when the "Model T" was taken out of production, the number of cars sold in this series has reached 15 million. In the history of the global automotive industry has sold more only the famous "Juke" of the German corporation "Volkswagen".

Orientation to produce just one model then allowed Henry Ford to standardize components and establish in-line production of cars constantly thereby reducing their costs. Wide advertising campaign across the country, surpassed in size any advertising campaign carried out before Ford has helped to keep "Model T" in the center of attention of the consumer over the. A sale across the United States was carried out by the first time established dealer network. In 1913-14 years Ford had 7,000 such dealers who does not only sell, but also repair the "Model T".

The economic policy of Henry Ford

Ford's reputation grew even more when in 1914 his company has announced about the introduction of the minimum daily wage to 5 dollars. This was the case of low-skill workers, who satisfy the minimum requirements. This step was for that time very bold, even revolutionary, and has done work in enterprises of Henry Ford is the most desirable for millions of Americans. Henry Ford stunned the world of business with the statement that he guarantees to workers of the factories at least $ 5 a day and is ready to share with them a part of last year's revenue of $ 10 million. Automobile magnate also said that the corporation's plants begin to work around the clock in three shifts of 8 hours each, instead of working in 2 shifts to 9 hours. This innovation will ensure a few thousand people the work.

One of the secrets of success of Henry Ford is that he initially managed to surround himself with very talented people. He had big ideas. He knew what he wanted to achieve, and allowed his aides to look for the best ways to implement his plans. His goal was to create an inexpensive cars available to as many buyers.

By the way, he did not consider the assembly line as an integral part of the production process. He was just looking for the best solution for the production of mass car. And this problem just solved the assembly line.

By itself, the pipeline in those years was no longer a novelty. Example, of course, from another area, but let's say. Workers butchered cow or pig carcass on the assembly line in a slaughterhouse. The same, in fact, the principle, not the disassembly but assembly, Ford applied in the automotive industry. Such ideas in the late 19th - early 20th centuries were in the air, but Ford and his associates first implemented them in relation to such a complex product as a car.

That was an absolute innovation of Henry Ford, it's salary at least $ 5 a day. Increasing the existing then tariffs immediately doubled, Henry Ford quickly solved the problem of shortage of staff for their pipelines.

By the way, these 5 dollars a day were not guaranteed to absolutely everyone. Curiously, Ford thought that he is a father for his workers. He has the right to educate, encourage one and punishing others. Worker was to demonstrate that he spends his salary is reasonable for the family. And if he drank away the money if he sat all night in the bar, he would fire. At the same time, those who meet the Ford's established standards of conduct, will not dismissal. These rules are stored in a corporation up to the period of the Great Depression.

In 1914, when only appeared a plan providing for a minimum wage of $ 5 and the redistribution of income in favor of the workers, one of the statements of the company said: "We believe that social justice begins at home. We want you to those who helped us create our company and who contribute to its future prosperity, would share with us her wealth. "

Henry Ford's position in his corporation at that time is so entrenched that he could unilaterally decide what to do. Ford, for example, adopted a decision arguable that his company should be engaged in the process of car production from start to finish in order to minimize dependence on suppliers.

But in 1920s US car market seriously changed. For example, in the post-war depression buyers prefer to buy cars, even those inexpensive as "Model T", not for cash, but in installments. But Henry Ford would not hear about the trade credit. His son, Edsel, who become in 1919 at the age of 26 years the president of the corporation, persuaded his father to meet the requirements of the market, but Henry Ford was stubborn. And although the "Model T" at the beginning of the 20s is still in demand, stronger competition began to be felt from the side of the corporation "General Motors", headed by Alfred Sloan and, later, by even more new car company, founded by Walter Chrysler . In the end, Ford admitted his mistake, he has become more attentive to the economic policies of competitors. Ford was obsessed with the idea of the universal car. Universal he called his "Model T" and thought it was the only model that customers need. Actually, it was so until the majority of Americans do not have a car. But when the initial demand for cars has been satisfied, the consumer has become to get accustomed to other brands, began to look for cars with more powerful engine, a more elegant appearance, closed on all sides, to develop greater speed, more pliable in management. Henry Ford did not noticed changes in the market's sentiment. He still believed that Americans still dream only of "Model T".

The Ford's competitors

Meanwhile, "General Motors" caught the changes in the requirements of customers and offer them the cars which were more comfortable, had greater size and more color. These cars cost a bit more expensive than Ford's "Model T", but the buyer thought that for cars "General Motors" you can pay a little more. In addition, "General Motors" began to offer several different car brands: Chevrolet, Pontiac, Oldsmobile, Buick, Cadillac. But Ford was just a cheap "Model T" and very expensive "Lincoln." If the person sought some success in life, but this is not yet enough to afford to go to the "Lincoln", he was looking for something between a "Model T" and "Lincoln" and found it at "General Motors". The business sense, a sense of the market deceived Henry Ford.

May 26, 1927, American newspapers wrote:

Today the 15 millionth car "Model T" came off the assembly line of the Ford's factory in the River Rouge in Detroit. Although the cars of the brand are the most successful in the history of the automobile, they are sold worse and giving way to more modern models of competitors. Rumors are in the air that Henry Ford is going to replace the "Model T" a new, more perfect car in the near future.

In 1927, Henry Ford withdrew his main creation "Model T" from the production, and in January 1928 was started a new "Model A". Innovation of this model was installed in the assembly protective windshield, which since become an indispensable element of the car. The glass may be colored and has 17 configurations. On all 4 wheels brake pads and hydraulic shock absorbers were installed. Although the new model is liked both buyers and dealers, Ford's former position as the undisputed leader of the automotive industry has failed to recover.

The popularity of the Ford's cars continued to decline and by 1940 the share of the corporation had already less than 20% of the US market.

The overwhelming success of Henry Ford initially facilitated by the fact that he had gathered a great team of talented engineers and economists, who later, in fact, dispersed, becoming intolerable situations, when he pointed out the errors in the organization of planning, marketing and business in general.

In 1945, Henry Ford resigned as president of his corporation, and on April 7, 1947, died in Dearborn at the age of 83.

So, Henry Ford is the most powerful businessman of the XX century. He, in fact, predetermined the strategy for the development of industrial mass production of the century: the production of relatively inexpensive products, but very carefully distributed. The basis of this is the principles developed by Henry Ford. They are used in various industries. In this example, grew the company "Coca-Cola" or chain of restaurants "McDonalds". Here, the number and accessibility of quality cover flaws. Food in the "McDonald's" is not much of a fine, but it is quite acceptable quality, cheap, and always there at every corner. "Model T" of Henry Ford is not a brilliant car, but it was quite acceptable, cheap and can be bought everywhere.

This system introduced by Henry Ford, became the basis of successful businesses in the 20th century. And a higher rate for unskilled labor on the assembly line is the same idea of Ford which has received in the 20th century spread in all highly developed countries. Car, higher wages and self-interest operating income of the enterprise formed the middle class in the West. Already in the beginning of the century people making cars, were able to buy these cars. This redundant system, proposed and implemented by Ford, called Fordism.

Fordismus

ford car production line

Fordismus is the system of the organization of mass-line production, originated in the United States in the 1st quarter of the 20th century. Named after the American engineer and industrialist H. Ford (N. Ford, 1863-1947), who first introduced her to his car factories in the cities River Rouge and Dearborn (USA).

The basis of Fordism and the resulting of new methods of production and labor has become an assembly line. Each of the workers, placed along the conveyor, carried out one operation, consisting of several (or even one) labor movements (for example, turn the nut key) for which performance was not required virtually no training. According to Ford, for 43% of workers needed training to one day, for 36% needed training from one day to one week, and for 6% needed training from one to two weeks, while for 14% needed training from a month to a year.

Introduction conveyor assembly, along with some other technical innovations (typing products, standardization and unification of parts, their interchangeability, etc.) has led to a sharp increase of the productivity and reduce of the production costs, marked the beginning of mass production. However, Fordismus has led to an unprecedented increase in the intensity of labor, its emptiness, automatism. Fordismus is designed to turn the workers into robots, and requires extreme nervous and physical stress. Forced rhythm of labor, given by conveyor, necessitated the replacement of piecework payment methods by workforce hourly. Fordismus, as before Taylorism, has become synonymous with the methods of exploitation of workers, which inherent of the monopoly stage of capitalism and ensure to increase profits of the capitalist monopolies.

In an effort to quell the discontent of workers and prevent their organized struggle for their rights and interests, Ford introduced a barrack discipline in enterprises, planted espionage among workers and had his own police force to crack down on militant workers. For years, companies are not allowed the union activities.

In his book "My life and work " (1924) Ford claimed the role of a "social reformer" and asserted that his methods of production and labor can turn bourgeois society in the "affluent society and social harmony." Ford extolled his system as a concern for the workers, especially higher wages in their factories than the industry average. However, higher earnings are primarily associated with exceptionally high rates of labor, rapid wear of the labor force, the task of attracting more and more new workers to replace retiring from the system.

Speeches workers against the devastating social consequences of Fordismus were considered by bourgeois ideologists as resistance to technological progress. In fact, the working class is struggling not against technological progress, and against the capitalist use of his achievements. Fordismus became inhibits the growth of labor productivity in the modern scientific and technological revolution and raising the level of general education and professional training of the working class. In the early 70s some capitalist firms conduct experiments on modification of the conveyor production to reduce monotony, enhance content and attractiveness of labor, and, consequently, its effectiveness. For this conveyor lines reconstructed: they are shortened, they combined operations, in displacement of workers along the conveyor to perform the cycle of operations, etc. Such events are often portrayed by bourgeois sociologists as caring employers of "humanization of work". However, in reality, they are dictated by the desire to adapt Fordismus to modern conditions and thereby improve methods of exploitation of workers.

Only under socialism true humanization of labor is achieved: a man becomes a creative person, confident in the public value of its activities; understands the art of management, the state and society. Any form of technical progress, including conveyor, were used in normal conditions of the average social labor intensity and accompanied by relief and improvement in its terms.

Let us return to the beginning. Henry Ford before approached his "Model T", created 8 other models. All of them were not the best for its time. But they are inexpensive. Then the main idea of Henry Ford was formed by him: to turn the car from a luxury to a necessity.

In general, the world's oldest car manufacturer is considered to be a German corporation "Daimler-Benz." Karl Benz passed at its first car in 1885. Gottlieb Daimler passed at its first car in 1886. The first American car, which got a commercial success was "Oldsmobile" with an engine capacity of 3 horsepower: in 1901 it sold 425 "Oldsmobile", and in 1904 there were already 5000. This success has caused a chain reaction, and from 1903 to 1908 in the US, like mushrooms after rain, there were more than 240 automotive companies. "Ford Motor Company", which I am now told, was only one of them.

Conclusion

Ford was a genuine folk hereto the American people. He represented the virtues of an older, simpler agrarian society--hard work, self-reliance, and thrift even though he contributed to the demise of agrarian life. He was a colorful figure, and stories of his love of running (long before the days of jogging) and his strange notions about diet (he sometimes ate grass sandwiches) were well known. People had an idea of who Henry Ford was - and he in turn, seemed to know what the American people wanted in terms of a product.

As owner of the Ford Motor Company, Henry Ford accumulated more than $1 billion. Between the years 1908 and 1947, when he died, he contributed more than $40 million to charitable causes, such as public hospitals, and research institutions. He established the Ford Foundation which continues to support various programs in education, media, and culture. And he constructed Greenfield Village, near his birthplace in Michigan, as a living museum representing the industrialization of America.

A controversial figure, Ford saw his ideas adopted and applied throughout the world. Yet Ford himself was frequently the target of criticism. When he ran for public office in 1918, as Democratic candidate for Senator for the state of Michigan, he was defeated. In his satire, Brave New World, Aldus Huxley used Ford's name as a curse, and even the comic genius Charles Chaplin ridiculed Ford's contributions in his film Modern Times. Without a doubt, however, Ford was a technological genius.

Not a great inventor, he was able to borrow ideas and apply them to new uses. In bringing the automobile to the average worker, he altered the structure of society, its cities, and the nations of the world.

Literature

1.) Albert Lee, Henry Ford and the Jews, Stein and Day, New York, p.59.

2.) Henry Ford and the Jews: the Mass Production of Hate by Neil Baldwin. Public Affairs. New York. 2001.

3.) Henry Ford. My life and work.

4.) Henry Ford. Today and tomorrow.

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