The Contributions Of The Lincoln Electrical Company

I think the argument that control of the recording industry by a few multinational conglomerates inevitably leads to cultural homogenization and the ascendance of profit over music is true. “Cultural homogenization is the worrisome outcome of virtually all the world’s influential recording being controlled by a few profit-oriented giants” (Baran, 165). How can a major label spend millions of dollars on one major talent who can immediately provide goods to the public rather than a great artist who is truly inspired by events that occurred in their lives. Think about this—Mariah Carey’s label spends about $80 million on her because she can achieve “instant goods”, while Chance the Rapper is executing music well and is not assigned to a label.

Besides, managers in Lincoln Electric Company were not high in the sky, they worked and lived with workers in daily life, they had free atmosphere at work and they strengthened the feeling that workers were managing themselves.

Elements of Lincoln Electric’s management system that made it so popular in the U.S. such as piece-rate work, bonuses, and

The founders of the Lincoln Electric Company left a legacy of an organization culture that promotes high productivity through sound management policies which have stood the test of time. The exponential growth of the company after the death of James F. Lincoln was a direct result of the establishment of a rich culture mix based on values that were widely shared and accepted by the members of the organization. Management empowered employees to become part of the decision making process through the contribution of ideas through the Advisory Board which was elected by the employees from amongst themselves. Reward management systems and all the other artifacts of the Lincoln Electric’s distinguished strong organizational culture will be analyzed in greater detail in this essay.

The idea that stuck out the most about the Lincoln Electric Company is that they obviously have a strong culture that all levels of employees are proud to be a part of. According to Carpenter, Taylor, and Erdogan (2010), “culture is a more powerful way of controlling and managing employee behaviors than organizational rules and regulations” (pg. 193, para. 2). The Lincoln Electric Company encompasses facets of multiple types of cultures instead of adhering to only one.

1. Why do Americans perceive their culture as egalitarian, and their society as basically fair and equal? Is this consistent with reality? Explain.

Primary features of the Lincoln Electric business model and employment system are displayed through the company’s overall strategy, philosophy, compensations and benefits policy, leadership, and communication within and outside the organization.

After the Great Depression in 1934, the company developed the Lincoln system. The Lincoln system is a three-pillared approach towards employee compensation. The system consists of yearly discretionary bonuses, a piece rating system and a promise of guaranteed employment. Yearly bonuses are paid out based upon

Lincoln Electric is a world-renowned manufacturer of welding equipment. The company has experienced success year over year since the early 1900s. Their success can be attributed to the unorthodox way in which the company is led and managed.

The Lincoln Electric Company is a welding company that has been around since the late 1800’s. Not only are they known for their prospering business, but they also are known for their management plan. A company’s culture has so much to do with their success, and The Lincoln Electric Company is definitely a business to look up to in that regard. They are a company that succeeds through their sturdy history, their incentive plan for their employees, their management style, and much more.

Over the decades and since it was first created, the ongoing guidance and encouragement of the management towards their employees made Lincoln’s expansion possible to a global level. The ideas and philosophy of the founders are still at the core of the organizational culture because they strongly supported the company in its initial stages and helped distinguish it from others. “Thus, by providing a competitive advantage, these values were retained as part of the corporate culture and were taught to new members as the right way to do business.”

Lincoln Electric Company was founded in 1895 by John C. Lincoln, who was joined by his brother younger brother James in 1907 (Lincoln Electric, Inc., n.d.). From the very beginning these no-nonsense brothers set about building a company that valued its customers first, prioritized frugality, focused on delivering ever increasing value and lower consumer costs. The company has a borderline fanatical commitment to achieving competitive advantage through an employee incentive system that drives productivity well beyond any norms for the industry, or manufacturers as a whole. To this day, the influence of the founders is clear in the entire structure of the company and its operating philosophies.

Since the founding of Lincoln electric to present day, the founders (Lincoln Family) ideals and management processes have been the backbone of the company. Though stemming from a christian belief the company doesn 't reflect any kind of religious organization and religion inst forced on the employees according to interviews with the employees. Instead, Many would say that their odd approach to incentives and performance would be what drives their success. Some others would say that it would be their management style, the communication within the company or event he bonus and merit pay systems in place. I think it would be a combination of great management techniques and great incentives. One of the core beliefs of the founders has been; and will always be that the “worker cares as much about a lack of income as management”. It is one of the reasons they have so many things in place like

In 1895, engineer, inventor, and businessman John C. Lincoln started Lincoln Electric Company. His brother James would join him shortly, in his business endeavor, starting in 1907 (Sharplin, A 1989). James managerial style would most closely be described as people-oriented. He once said “Labor and management are properly not warring camps; they are parts of one organization in which they must and should cooperate fully and happily.” (Sharplin, A 1989) Early on, he created the Advisory Board, a committee made up of both employees who were elected by their peers and upper management, including the chief executive officer. The Advisory Board continues still to this day, meeting bimonthly to discuss employee policies, working conditions, etc. Though these meetings, employees have gained such things as health benefits, life insurance, paid vacation time, retirement pension plans, stock incentives, continued on and off site education, and much more. (Sharplin, A 1989)

The atmosphere directly controls in part the behavior of the employee. The culture that has been created and cultivated at Lincoln Electric is very intentional. There are a variety of different company profiles that can be created. To use the language from our text book in my opinion this company profile has characteristics from two of the possible seven profiles from the text. Stable culture. Stable culture is described as a company culture that is not quick to change with the times and trends of every day, it has a centralized management system. Stable cultures can be desirable when a winning business model is chosen early on in the game. Investors seem to like them, in that they can often predict how the company will react to changes in the marketplace. Stable culture is only in part true, one of the main characteristics that is missing is large bureaucratic departments within Lincoln Electric.