What Is The Lincoln Electric Company

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The largest manufacturer in the world of welding machines and electrodes, Lincoln Electric Company employs 2400 employees in two U.S. factories near Cleveland, and approximately 600 employees in three factories located in other countries. The company employs a field sales force of more than 200 persons. According to Arthur Sharplin (1989), Lincoln’s market share for arc welding equipment and supplies is more than 40 percent. James F. Lincoln became the general manager and vice president of the Lincoln Electric Company in 1914. He was the younger brother of John C. Lincoln, who founded the Lincoln Electric Company. James encouraged the workers to elect an advising committee that would have an input in the company’s operations. That committee …show more content…
Charles G. Herbruck wrote that these incentives provided to the workers were expressions of the mutual respect for each person’s importance to the job to be done. These were implemented under the leadership of James Lincoln. The company continued to prosper during the war despite many difficulties with financial institutions and by the end of World War II Lincoln electric was the world’s largest manufacturer of arc welding products. They recorded sales of about $4 million in 1934, and by 1941 sales grew to $24 million. Productivity had more than doubled during this period. The company’s level of productivity was more than twice that of their competitors. The management viewed the satisfying of the customers need as being the first goal of the business, followed by the interests of their employees, and then the stockholders were last priority. The company’s policy is “at all times price on the basis of cost, and at times keep the pressure on our cost”. The goal of the business is “to build a better and better product at a lower and lower …show more content…
Although employee participation is controlled in the Lincoln company, because of trust, teamwork, fairness and the various benefits offered to the workers through sources such education, ownership of stocks, bonuses, fair hours of work, an open door policy for all employees from top management to line staff, coupled with financial policies used by the management (management believes that financing for company growth should come from within the company), the Lincoln company has been able to retain its position as the leader in the manufacturing of welding machines and

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