To begin with, Lincoln Electric has approximately three thousand employees in the United States and three other foreign countries. Also, when the founder of the company, James F. Lincoln passed, the people worried for the future of the company. However, despite the expected downfall, Lincoln Electric has had higher profits and bonuses since 1965.
James’ first call while establishing the company was to “ask the employees to elect representatives to a committees that would advice him on company operations”. This ideal is known as The Advisory Board which meets twice every month with the chief executive officer. The representatives work hard to bring new ideas to the table and to discuss how operations are improving and/or how they may be improved. This “tradition” of meeting on a monthly basis has been operating since 1914.
On The …show more content…
Just like stated before, The Advisory Board is made up of representatives that the employees select to represent them at the bi-monthly meetings. Formal authority is very important at Lincoln Electric however. Despite the belief that because employees have power in their job they can act and do as they please, that is not the case at this company. The sense of authority at the company reminds the employees that they have a mission to do; And that is to share an amazing product to the