The Organizational Culture Of The Lincoln Electric Company

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The Organizational Culture of the Lincoln Electric Company

The Lincoln Electric Company is one of the largest manufacturers of welding machines and electrodes in the world. With about 2,400 employees in the USA and near 600 workers in other countries. The Lincoln management plan is well known for accomplishing the highest worker productivity. His founder Mr. James F. Lincoln died in 1965, leaving a profitable and reliable company. As a president of the business, he invigorated a committee that was confirmed by representatives elected by employees. This committee called the Advisory Board met with him twice a month to advise him on the company operations. The Advisory Board was the pioneer of personal policies to provide benefits to their employees including the reduction of hours from 55 hours to 50 hours a week. In 1915 the workers received a paid-up life insurance. Two years after, the company opened a welding school that is still operating today. In 1919 The Lincoln Electric Employees’ Association was created to offer Health benefits and social activities to their employees.

By 1923 employees received a two-week paid vacations each year and wages were according to the consumer prices guide. The Lincoln Electric company was designated about 30% of their stock for essential workers. During his period of general manager Mr. James F. Lincoln in 1925, initiated commodities purchase plan for all the workforce. In 1934 a Legendary Lincoln plan of a bonus was proposed by the
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