Lincoln Electric: Case Study

2209 Words Apr 3rd, 2013 9 Pages
Lincoln Electric: Case Study

Lincoln Electric is one of the leading producers and manufacturers of Arc Welding Products and Electric Motors. Lincoln Electric’s success lies on the foundation of the various company policies introduced by James Lincoln. This case study analyzed the critical points on which the success of Lincoln Electric’s has its foundations.

Company’s Basic Principle

Lincoln Electric’s foundations are based on values of trust, overt nature to management, self reliance, righteousness, commitment, answerability and inter-collaboration. These beliefs and moral code formed a powerful base of Lincoln’s culture and management regularly providing the rewards to deserving employees. Pride of workmanship and feelings of
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al. supports that employee contentment results in higher products quality and it regulates customer contentment directly which eventually lead to financial gains. They provided certification to the important links of employee contentment and profitability. In addition to employee contentment, Lincoln took care of the organization hierarchy very well. He never let a organizational chart to develop. Open Door Policy is adopted by the company which encouraged people to direct difficulties and problems directly to the persons who will solve them most efficiently and have capability. It is believed that this increased qualitative nature and involvement of the Lincoln workforce and thus a continuous direction on the employees was not necessary. Klein’s (2012) studies about the company proved that Open culture at Lincoln was very crucial to company’s success in very hard times too. Beliefs and moral values of the company lead to hard work and dedication and by every employee from top to bottom in hard times due to which company survives even the hardest of the times. Although the line between managers and employees is stated finely, managers appreciate the skills of production workers and respect their share of work to many characteristic of the business. The company has an open-door policy for all top executives, middle managers, and production workers, and regular direct communication is promoted. The stockholder not involved at the moment will also get his/her share. At
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