Henry Ford (1863-1947) was founder of Ford Motor Company and the pioneer of the assembly line, one of the key developments that led to mass production. As a result of his streamlined production, Ford was able to produce the first vehicle affordable for many middle class Americans, revolutionizing both the automobile industry and other mass-producing industries in the process.
Ford was born in Michigan and from an early age, became fascinated with the assembly and operation of everyday inventions. At 16, Ford left the family farm to find an apprenticeship in Detroit despite his family’s wishes. Until 1901, Ford supported himself by working numerous engineering jobs, designing engines and automobiles. In November, the Henry Ford Company came into being.
Ford focused almost exclusively on race cars until 1903 when the company became known as the Ford Motor Company after a new wave of investment. Five years later, the Model T was born, retailing at $825. Sales exploded and the car became a staple of transportation for middle class America. Through his production process and avid use of the moving assembly line, Ford was able to reduce costs significantly and by 1916, the cheapest model was only $360.
Ford conducted his business based on a strict set of principles that shaped his philosophy on labor. He could be described as a staunch believer in “welfare capitalism”, the idea that poverty could be actively fought through capitalistic means rather than government action. In practice, this looked like a $5 wage, reducing turnover and blowing the average wage for an American worker out of the water. Ford’s goal was to provide a wage satisfactory enough for his employees to actually be able to afford the automobiles they were producing. In 1926, Ford also developed and implemented the five day work week.
At his peak, Ford’s net worth was $200 billion in today’s money.
Like all people, Ford’s actions were not always perfectly noble or dishonorable. He actively encouraged the hiring of African American workers as well as women and handicapped individuals at a time when this was rare, to say the least. At the same time however, Ford was an open anti-Semite, promoting his views in multiple anti-Semitic works including a newspaper and a book.
Needless to say, Ford lived his life like virtually all humans, one filled with moments of inspiring advancement, moments of charity, and moments of prejudice. Although some of his beliefs should certainly be condoned, his work in the automobile industry and the future impact it has made on society and economies around the world make him this week’s Hero of Capitalism.
Sources:
Wiki entry
Britannica Profile