The Potential and Limitation of Teamwork Ethics as a Success Factor in the Business World

The Lincoln Electric company, under the leadership of James F. Lincoln saw a major shift in the way business was to be directed and operated with visionary mind-set emulating companies like Ford, Wal-Mart, Merck, 3M as focus was towards the customer’s needs and employee’s compensation. Philosophically customer needs become critical as the reason for being in business and the employees also being the vehicle in achieving the needs of the customers as the case study by Sharplin, A (1989, p.3) clearly positions the companies aspirations. James Lincoln places much importance on the relationship with employees that is guided by mutual respect and individual effort.

Lincoln Electric Company has a very strong culture based on shared assumptions values and beliefs. This is evidenced by the attitudes of both the company management and employees towards the organization. The unchanged policies, practices and products point towards a very strong corporate culture. High employee performance and productivity over the many years of the company’s existence is also another indicator of a strong culture.

Lincoln Electric (LE) has been a producer of electrical and welding technology products since the late 1800's. The company remained primarily a family and employee held company until 1995, then approximately 40% of its equity went to the public. James Lincoln, one of the founders, developed unique management techniques that effectively motivated the employees. These management techniques were implemented as an unusual (for the era) structure of compensation and benefits called "incentive management". The incentive management system consisted of four key areas: factory jobs based solely on piecework output; a year-end bonus that could equal or exceeded an individual's regular pay; guaranteed employment; and limited benefits. Management

The Lincoln Electric Employees' Association was formed in 1919 to provide hearth benefits and social activities.This organization continues today and has assumed several addittional functions over the years.

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.

     Headquartered in Euclid, Ohio, a suburb of Cleveland, The Lincoln Electric Company is a world leader in welding and cutting products, as well as a premier manufacturer of electric motors. The company is well known for its dedicated, talented workforce and its superior technology. Lincoln Electric Company gives its customers total solutions along with a commitment to quality. Lincoln Electric Company is also well known for its incentive management system. Many companies strive to duplicate the success that Lincoln has enjoyed over the years.

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

As stated in the assignment profile, Lincoln Electric is considered one of the best managed companies in the world. I believe this to be partially attributed to their hiring process. Lincoln Electric has strict requirements to weed through unqualified candidates who will not buy in to the company culture of excellence. This is an especially important aspect of their hiring process particularly due to the fact of leadership – a trait that plays a vital role in implementing and sustaining a company’s culture.

Lincoln Electric Company separated itself from the competitors for its innovative policies. For instance, hours were reduced from to 55 to 50 hours a week. Life insurance was offered to each employee. A welding school was created, which it still exists today. “An employee bonus” was contemplated but was not accomplished successfully. But until now, the employee bonus remains in the Lincoln management system. In addition, employees were empowered to form an association, which let to health benefits and other things. Furthermore, employees received two weeks of paid vacation and raises. These are the benefits that continue up to this day.

Creating and sustaining an ethical workplace can be a daunting task. Could it be that culture, race, and creed have a responsibility when trying execute such a major assignment? Company’s thrive off of making profit and ensuring their shareholders are well pleased. However, there seems to be an underlining issue that has capsized or created an unbalanced work environment. Creating a climate of ethical behaviors will create a healthy company.

The Lincoln Electric Company 's culture is a wonderful example of how to create an exceptional culture within your business. Lincoln Electric has been a leading manufacturer in welding machines and electrodes for over 100 years. During this impressive tenure, the Lincoln Electric Company has adhered to its founders’ philosophy that the customer always comes first, the employee always comes second, and stockholders come third. This philosophy is upheld throughout the entire organization, from the executive team down to its factory line workers and is evident in their daily business culture. Displayed through a plethora of initiatives; including employee compensations, a concentration on productivity, encouragement of management and supervisors to participate in active leadership and a general appreciation for its employees ' input and feedback; the working culture in this organization is the backbone of the company’s continued achievements. Through the demonstration of their philosophy, Lincoln 's founders and management team have created a culture that has become a timeless model of employee productivity for the world.

Ethics refers to the principles that influence how a person or a group of people behaves. It is what dictates what is right or wrong but in some cases what may be right to a person may be wrong to another person. The idea of what is right or wrong is influenced by factors of religion, the society, past experience and individual perceptions about different issues (Carroll & Buchholtz, 2014). Ethics dictates what values are and the social responsibility that an individual or a group of people play towards the society. The purpose of this article is to discuss the ethical issues that affect the field of organizational behavior. Organizational behavior refers to the study of how people interact with each other in organizational settings and this forms the culture of the organization (McShane & Von, 2015).

To be able to give directions to others, a man must lure to go ahead alone. However, any sort of mismanagement can lead to unintended results even. But it seems that management just didn’t bother Lincoln Electric much during its tough early phases.

Business ethics play an essential role in the business world today. Since their development they have become a major influence on anything business related. The importance of ethics was chosen to give more of an in-depth look at not only basic benefits that business ethics bring about, but some less known benefits as well. Business ethics add great morale to the corporation and its culture, allowing the organization to use this as a tool for a multitude of organizational affairs. While there are some that oppose the use of business ethics in today’s business world, the benefits outweigh the opposition’s points. Comparing and contrasting the benefits and the opposition’s invalid arguments, it can be plainly seen why business ethics should be implemented and are a core aspect of any business that is looking to be successful in the modern world.