Lincoln Electric 's Business Model

1. Lincoln Company manufactures and sells small electric heaters for homes and offices. The company’s income statement for the FY2014 is given below:

Lincoln Electric (LE) has been a producer of electrical and welding technology products since the late 1800's. The company remained primarily a family and employee held company until 1995, then approximately 40% of its equity went to the public. James Lincoln, one of the founders, developed unique management techniques that effectively motivated the employees. These management techniques were implemented as an unusual (for the era) structure of compensation and benefits called "incentive management". The incentive management system consisted of four key areas: factory jobs based solely on piecework output; a year-end bonus that could equal or exceeded an individual's regular pay; guaranteed employment; and limited benefits. Management

The founder, James F. Lincoln used his Christian upbringing as the basis for his vision of how he defined entrepreneurial success. The customers ' needs are first priority, the employee second, and the stockholders are last. Quality and cost efficiency are the two most important factors considered in their product engineering and manufacturing. The hierarchy is stringent, however, the culture of the company is greatly people-oriented. This company has a strong culture that is instilled in new employees from the beginning and continuously practiced by every member of every facet in the organizational structure.

Lincoln Electric Company is a manufacturing company, which has been focusing on welding products for the recent 30 years. The company had outstanding brothers leading the company to success. John was a technical genius and he brought the best skills in production and James was good at management and he was working on the employees ' incentives. The company gained its reputation through the world war till present as the welding equipment supplier with higher quality and lower price at the same time. For the production aspect of welding equipment, it is an advanced production line with continuous flow with high flexibility and low idling time.

Michael Gillespie, The Lincoln Electric Company’s new president for the Asia Region, was “encouraged to develop plans to open welding consumables factories in several Asian countries” by the new CEO, Anthony Massaro, and Gillespie had specifically “turned his attention to plans for Indonesia [O’Connell,[1] main reference, p 1].” We worked with Gillespie to prepare for the September 1996 meeting with Massaro and the presidents of the other worldwide regions. We analyzed Lincoln’s current capabilities and its past experiences and prepared a transformative plan based on business concept innovation [Hamel[2], ch 3], documented by this report, with a three pronged approach for the Asia Region. The first

Lincoln Electric Company is an epitome of a well-run company with an outstanding record of accomplishment in terms of productivity. This success has achieved by prioritizing the needs of its employees. Even the group of stockholders will be the last order of priority of the company.

The Lincoln Electric Employees' Association was formed in 1919 to provide hearth benefits and social activities.This organization continues today and has assumed several addittional functions over the years.

Lincoln Electric is one of the leading producers and manufacturers of Arc Welding Products and Electric Motors. It is undeniable that the success of Lincoln Electric lies on the foundation of the various company policies introduced by James Lincoln.

The Lincoln Motor Company (Lincoln) is an American automaker, and functions as the luxury division of the

One of the world 's biggest maker of welding machine and electrodes is the Lincoln Electric company. Since 1965, has seen the higher net income and incentives. Employees turnover is nonexistent except for retirement and Lincoln 's organization culture supported on closeness, trust, percentage control and classless tone is one of the reason why its so prosperous.

Established in 1895 and specialized in producing and selling electric motors, Lincoln Electric Company rapidly developed after the movement to welding equipment and consumable welding products in the USA. By 1995, this company first hit $1 billion in sales and became the world largest company in welding industry. With the differentiate strategy by providing premium -price -products , this company got 60% sales in the North American and expanded internationally since the period of 1986 and 1992. Although this company is facing problems in global expansions, its overall strategy as well as practices in human resources, marketing, technology development, and international expansions is a useful lesson for other businesses.

117 Years of Excellence; this is the header of the “Company History” section of Lincoln Electric’s website. I began the analysis at the careers section, looking through a variety of job descriptions and qualifications. The common requirements for management on the site are a Bachelor’s degree (Masters preferred), 5+ years of previous management experience, experience with Lean/Six Sigma tools to create impactful business improvements, proven experience in implementing and/or running an operation in an SAP environment, high level of integrity, confidentially, and accountability, sound analytical thinking, planning, prioritization, and execution skills, a well-defined sense of diplomacy, including solid negotiation, conflict resolution, and people management skills.

A case study by Arthur Sharplin indicates that the Lincoln Electric Company is the world's biggest maker of welding equipment and supplies with a market share of more than 40 percent. The case study further says that the company has two factories located in the U.S. near Cleveland where it employs 2,400 workers and about 600 employees in three factories situated in other countries. These figures exclude field sales force of over 200

Lincoln Electric Company is a company who makes electric arc welders. These welders are known worldwide by a lot of businesses who use them, they are the leader in welders and welding supplies. In 1906, John C. Lincoln started the company. Later on his brother, James came on and became the General Manager for the company as John had moved on to other business ventures.

The Lincoln Electric Company is the world’s largest manufacturer of welding machines and electrons. Lincoln employs 2,400 workers in two U.S. factories near Cleveland, OH and approximately 600 in three factories located in other countries. (The Lincoln Electric Company p. 1.)