Henry Ford was a character characterized by his tireless inventiveness and his quest to reduce costs and welfare of his workers. In the actions he carried out in his life, we find many people who fervently admire them, taking into consideration the economic and social impact of the time; but also its detractors are counted in large numbers for the negative effects perceived in its time and for the effects it had towards the future.
Introduction
In this work some aspects of the work carried out by Henry Ford, one of the best-known men in the history of the business field and, therefore, studied within the classical theories of the organization are addressed. His actions are viewed from the perspective of social responsibility that has been raised since ancient times throughout the history of the human being in its political, economic and social spheres. It is also approached from a relativistic approach in which actions that at one time are desirable and favored, at another, are disapproved and censured.
Social responsability
Nowadays it is quite common to hear organizations from the public and private sectors talk about social responsibility. To find the origin and development of this theme, one can go back to the ancient Greeks and go through the different stages in the history of man. Maybe with different names but there has always been talk of social responsibility.
For the purposes of this work and based on the conception of various authors, social responsibility is defined as the commitment or obligation that the components of a social community have with society as a whole, either individually or as members of subgroups. This commitment implies having to consider the impact, positive or negative, that the carrying out of an action or a decision in this or that sense would have. That is, when a person who is part of a society or organization as a whole, decides to implement an action, it is necessary to consider the effects for good and ill of this action on the rest of society as a whole.
This ambivalence has also been present in the development of the concept and the perception that each historical context or moment gave it. The norm that at one time was correct and desired for a particular society, perhaps was incorrect and unwanted for another in another context and historical moment in a clear manifestation of leading relativism.
In this way, public life and freedom of expression, appreciated and demanded in ancient Greek society, would be opposed to the discreet and demure way of life imposed by the church of the Middle Ages. Consumerism, criticized and condemned as social behavior today, was at other times something desirable and that organizations should consider as a form of "social responsibility".
Henry Ford and his concern for the welfare of others
The Ford surname is currently well known thanks to the brand of motor vehicles that bears this name. And it is that in reality, Henry Ford, an American who lived between two centuries (the XIX and the XX), was the founder of the Ford Motor Company.
Mr. Ford, in addition to being a fruitful inventor, since he claims to have registered 161 patents, is considered the father of the production chains that are still used for large-scale manufacturing and through which automobile manufacturing was revolutionized at a very low cost.
Despite his limited formal academic training, Henry Ford clearly visualized the now fashionable concept of Social Responsibility.
Henry Ford seemed to be clear about this concept of social responsibility in his action proposals and the realization of them.
For example, although apparently contradictory, their commitment to reducing costs was evident in their attempts to improve and optimize the operation and performance of their companies by considering the consumption needs of their workers and making better wages and opportunities available to them. buy your own products at a low price.
Otro aspecto de ese sentimiento de responsabilidad de Ford hacia la sociedad se puede visualizar en su generosa donación para echar a andar los proyectos de la Fundación Ford, la cual fue creada en 1936 con el propósito de promover la democracia, combatir la pobreza, propiciar la cooperación internacional y el desarrollo humano. En la actualidad, esta Fundación promueve, además, la educación superior otorgando becas para la realización de posgrados y estancias de investigación.
In times when the world economy was not doing very well, Ford surprised locals and strangers when it doubled the wages of its workers. Of course, his strategy resulted in profits for his company, but it also brought benefits to the general population, particularly its workers and their families. It allowed, among other things, to increase productivity and reduce the costs of education and training when workers from other companies were attracted by wages, in what Ford himself called “wage motivation”.
Thanks to the reduction in costs, the Ford T car, which for its prohibitive price until then had been reserved for the wealthy class, could be sold at low prices. This generated that the same workers, now with a better salary, were in the capacity to acquire their own car, which in turn, caused the increase in sales, profits and production; all in a virtuous circle.
On the other hand, as mentioned above, Ford was always attentive to opportunities to reduce costs and increase efficiency, so in 1913 it introduced mobile assembly tapes in its plants, with which an enormous increase in production was achieved. The method consisted of installing an assembly line based on drive belts and sliding guides, which moved the car's chassis to the places where the mechanics were, doing a specialized activity until the car was completely finished.
Ford correctly applied the recommendations of the "scientific administration" of Frederick W. Taylor and was socially responsible because, through chain manufacturing, it was possible to avoid loss of work time and unnecessary displacement of workers; additionally allowing to raise wages well above what was normal at that time
However, as was said before, alluding to Protagoras, what was once desirable, over time shines and is judged differently. For example, it could be said that among the negative effects of these actions is the beginning of a consumer society that later was and has been the victim of the “creation of needs” to be able to satisfy them later.
Ford's philosophy of work
As established, Henry Ford was a pioneer among employers seeking the welfare state through the consumer society and sought to improve the living standards of their workers and reduce their turnover. However, Ford's intention to act "with social responsibility" was criticized by Wall Street for having started the implementation of the 40-hour week and for establishing a minimum wage.
Another action that earned him applause from a sector of the population was his intention to involve businessmen to positively influence an action in favor of peace. To achieve this, in 1915, in the midst of World War I, he financed, without the support of the United States Presidency, a trip to Europe for himself and 170 other peace-loving leaders. Of course, there were those who saw in this action an attempt of personal benefit.
conclusion
Throughout the history of humanity there have been men whose concern for others leads them to carry out actions that, at times, for their time are considered initiatives of uncertain adventure. Henry Ford was ahead of his time and aware of the consumption needs of contemporary society and his social responsibility, he carried out acts such as doubling the wages of his workers, starting a large-scale production system, reducing costs and consequently the prices of their products, fight for peace and donate a good part of their fortune to promote democracy and fight poverty, among other things.
Naturally, as usually happens in most situations, not everyone perceives and understands things the same way. And in this natural difference in the way of valuing things, the acts of Henry Ford had promoters, who appreciated socially responsible behavior and, detractors who reviled and demerited him. Among the latter, there were those who strongly criticized the implementation of the working day and the minimum wage received as a way of motivating the worker.
Sources
Buckingham, Will et ali (2011), The Book of Philosophy, Santillana Ediciones Generales SA de CV, México, DF
Keith, Davis (1983), Human Behavior at Work, McGraw Hill de México SAde CV, México, DF
Ford Innovation recovered on May 23, 2012.
retrieved on May 23, 2012.
es.wikipedia.org/wiki/Henry_Ford retrieved on May 24, 2012.
