The Lincoln Electric Case Study
Analysis of the Study A company started during an economic depression, The Lincoln Electrical Company, was started on two hundred dollars and a dream. That dream was to own his own company through the process of hard work. As the world’s largest manufacturer of electrodes and welding machines, Lincoln Electric has approximately 40% market share. They employ two thousand, four hundred employees in factories in the United States, and approximately 600 employees in other countries. Lincoln Electric sets standards in management through culture, incentive plans, productivity, and is often quoted in college management textbooks. According to the case study, Lincoln Electric had a strong, continuing influence. …show more content…
Employees have cards, going from left to right, starting on the left side and moving right as an indicator of an increase. There are four major cards, and they include the quality, dependability, ideas and cooperation and output of each employee. The quality card rate an employee based on the quality of work that an employee does. Quality can be measured by error elimination or reduction in scraps. Second, dependability was rated. The dependability of an employee is determined on how supervisors are able to depend on an employee, and to do the things that they assign without their supervision. On another note, this also includes work safety, orderliness, care of equipment and what you make of your skills. Third, Ideas and Cooperation would be rated. An employee will be rated on their cooperation and initiative. This also rates an employee on how well they work in a team, which in most applications is a must. Last, is an employee’s output which rates how much productive work that an employee turns out. It also includes attendance, and willingness to not hold back. (Sharplin, p. …show more content…
There is a mixture of different types of culture throughout sales, management, and other departments. I see an aggressive culture when it comes to cost control and pricing. The company wants to make profits, but at the same time, the company aggressively pushes costs down as well. The sales department and manufacturing departments appear to have an Outcome-Oriented Culture. When we look at how the company envelops an Outcome Oriented Culture, employees are making bonuses and regular wages based on their pieces that they move or create. The outcome of what the employees do will be awarded. Overall, I believe that the Lincoln Electric Company as a whole is a people-oriented culture. According to the case study, this company has done extensive research on how people react to management, incentives, and reviews. The company has spent time emphasizing respecting fellow employees and giving employees benefits. All of these things drive a culture, which can reduce or increase a turnover rate, or can increase costs due to training and education of new employees. (Sharplin, p.
Analysis of the Study A company started during an economic depression, The Lincoln Electrical Company, was started on two hundred dollars and a dream. That dream was to own his own company through the process of hard work. As the world’s largest manufacturer of electrodes and welding machines, Lincoln Electric has approximately 40% market share. They employ two thousand, four hundred employees in factories in the United States, and approximately 600 employees in other countries. Lincoln Electric sets standards in management through culture, incentive plans, productivity, and is often quoted in college management textbooks. According to the case study, Lincoln Electric had a strong, continuing influence. …show more content…
Employees have cards, going from left to right, starting on the left side and moving right as an indicator of an increase. There are four major cards, and they include the quality, dependability, ideas and cooperation and output of each employee. The quality card rate an employee based on the quality of work that an employee does. Quality can be measured by error elimination or reduction in scraps. Second, dependability was rated. The dependability of an employee is determined on how supervisors are able to depend on an employee, and to do the things that they assign without their supervision. On another note, this also includes work safety, orderliness, care of equipment and what you make of your skills. Third, Ideas and Cooperation would be rated. An employee will be rated on their cooperation and initiative. This also rates an employee on how well they work in a team, which in most applications is a must. Last, is an employee’s output which rates how much productive work that an employee turns out. It also includes attendance, and willingness to not hold back. (Sharplin, p. …show more content…
There is a mixture of different types of culture throughout sales, management, and other departments. I see an aggressive culture when it comes to cost control and pricing. The company wants to make profits, but at the same time, the company aggressively pushes costs down as well. The sales department and manufacturing departments appear to have an Outcome-Oriented Culture. When we look at how the company envelops an Outcome Oriented Culture, employees are making bonuses and regular wages based on their pieces that they move or create. The outcome of what the employees do will be awarded. Overall, I believe that the Lincoln Electric Company as a whole is a people-oriented culture. According to the case study, this company has done extensive research on how people react to management, incentives, and reviews. The company has spent time emphasizing respecting fellow employees and giving employees benefits. All of these things drive a culture, which can reduce or increase a turnover rate, or can increase costs due to training and education of new employees. (Sharplin, p.