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Henry Ford - Essay Example

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Henry Ford

He was one of those people who believed firmly in participation rather than centralization of power. His thinking in this direction helped him in coming up with the line assembly model.
The first wonder of Henry Ford was to produce an affordable car. He is considered as an industry leader in the car manufacturing niche. He was the owner and founder of Ford Motor company, and till this day he is considered to be the most revolutionary and successful leader in the car manufacturing industry. He was not only a genius when it comes to thinking of the ways to produce cost effective cars, he was a perfect human resource mobilizer as well. In the times when industry was suffering from great economic depression, he managed to come up with increased wages policy of labor and still mange to scrape a lot of profit. This was all due to his participatory leadership approach.
Ford's approach towards leading was to lead from the front. Yet he was fond of participatory approach. As for the niche n which he was better than many, he introduced the concept of line assembly of cars. The concept itself is a proof that he believed in the perfectly finished product with the combined effort of all who are involved. This was his style of leadership. So in general we can say that his approach towards leadership was participatory in nature. ...
He was one of those very few industrialist leaders of his times who believed in improving the conditions of his workers to get loyalty from them in return. At that time after the World War I employee turnover was great and the great depression was eating up businesses. At that time Ford came up with his labor policy of increasing minimum wage of his staff and workers from $2.34 to $5. Also, he made another change which is significant to note here. He reduced the working hours per week for the laborers. In 1926, he reduced the work week to 40 hours per week with 8 hours a day for 5 days in a week. Although his fellow industrialists criticized him for this act, he was a gem of a leader. He achieved a turn over rate so low through these reforms that it became negligible. As a result the productivity improved and so did the profits.

Ford was a very intelligent industrialist and also was a very keen and intelligent businessman and leader. He knew that to sell his product, people need to have money in their pockets. He was willing to take risks to ensure future success. Also, he was one of those people who believed in decentralization of power and trust in his workers.

Another social change he brought in the labor laws for his workers was a social department in his organization. This department t worked for the betterment of the workers. This department tried to make sure that the workers spent their life in a good and positive manner. Gambling and drinking was not appreciated. Although this step was out of concern, it was criticized a lot and in the end Ford decided to back off and not to look into the personal affairs of his workers. Still, many benefitted from this activity. His concept of profit sharing with the workers was implemented and ...Show more


Henry Ford was names as "Businessman of the 20th Century" by Fortune magazine in the year 1999. He was born in the year 1863. Henry Ford is a household name when it comes to cars, automobiles assembling and earning respect for innovation and motivational leadership…
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Henry Ford essay example
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